Green Procurement
Design for Disposability
- bioegradable materials - environementally friendly matter
Green Specifications
- company focus - design for the environment - energy efficiency - disposability - hazardous material minimization - packaging - recycled materials - manufacturing - disassembly
Design for Energy Efficiency
- evaluating of products - appliances and machines - energy star programs - cars, efficiency not so much $ on SUVS - energy sources and routing
Local Sourcing
- lower carbon footprint - increase in quality - lower lead times - buying local products - fuel prices are high - limited options
Green Procurement
- lower cost - help the environment - suppliers -- sustainability policies -- total cost of ownership
Green Procurement 2.0
- lower cost (still a primary driver for business) - helping the environment / becoming sustainable - outsourcing (purchasing company's environmental policies, extend to suppliers)
Design for Remanufacturing
- metal housings get stronger with age - replace wearable's - usually 50% cost of new - BIG business - service parts
Finding Green Suppliers
- pre assessments do we want to do business with this supplier - assessments capabilities of the supplier to do business?
Design for Packaging
- protection - use recycled material / waste - reusable containers - up cycle
Hazardous Material Minimization
- reduce storage costs - compliance - handling - disposal
Supplier History
- references - issues in the past - iso certified - operations throughout the world - many third world countries?
Finding Green Suppliers
- supplier assessments - environmental component - rigid - reputation - audits
Procurement Costs/Issues that should be analyzed
- supplier's environmental record - unit costs - freight costs - maintenance costs - on going material used within the machine costs - energy costs - recycling costs - disposal costs - compare (not just 1 unit cost)
Whole System Thinking
- unit cost - total landed cost - cost of usage - life cycle cost +maintenance cost
Design for Recycled Materials
- use recycled material for products - cost efficient
Key for Green Procurement
Designing in sustainability
Procurement Departments
Supply Chain Sustainability Program - corporate guidelines - standards - expectations of suppliers - measurements
Green Procurement
The selection of products and services that minimize environmental impacts
