What is Sustainable Procurement?

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Sustainable Procurement
Train-the-Trainers Workshop
Office of Sustainability
2010
Agenda
8:30
8:45
9:15
10:00
10:15
Introductions - Ice breaker
What is Sustainability? What is Sustainable
Procurement?
Commodity clusters
Break
Social side of Sustainable Procurement
Just Us Video
10: 50
11: 30
12:00
Myth Busters, Check list and Commodity
brain storm
Tools and resources
Finish
Goals
1.
Gain an
awareness/understanding
of sustainability.
2.
Learn about and practice
using tools to help with
sustainable procurement.
Introductions
Ice breaker
Sustainability Wheel
At the center of the wheel is academic
life which represents governance
issues, student life, and academic
achievement.
Six major inputs support academic life
(in orange). On the outer ring are
positive outcomes that we aim to
achieve (in yellow) and negative
outputs that we aim to reduce (in blue).
A primary approach of sustainable
activity is to make the most effective
use of inputs and reduce negative
outputs.
History – Office of Sustainability
Office established in
January of 2008 with the
Director of
Sustainability.
Reports to the VicePresident of Finance and
Administration.
DSU Sustainability Office
and Dalhousie College of
Sustainability also
established in 2008.
Office Pillars of Action
Behaviour
Design (policy and planning)
Physical Upgrades
Measurement & Monitoring
Definition
sustainable procurement
is a key method for delivering an organization’s sustainable
development priorities. It is about taking social and
environmental factors into consideration alongside financial
factors when making procurement decisions. (Forum for the
Future)
What is the impact of procurement on
Sustainability issues?
Large!
amount purchased x type of
products and there impacts


At Dal we purchase many things from around the
world.
On our own and with others we can influence
markets.
Methods for Purchasing
Procurement at Dalhousie is facilitated by the Purchasing Department.
Dalhousie employees have the opportunity to direct their purchases towards
more sustainable conscious goods and services within the following
thresholds:
$1,500 can be made directly using a Pcard or on a Requisition.
For goods purchased over $1,500 up to $25,000 Purchasing requires
quotation(s) and a Requisition.
For goods over $25,000 we must go to public tender through Purchasing.
Visit http://purchasing.dal.ca/ for more information.
Commodities
Paper
Toner
Appliances
Electronics: printers,
faxes, computers,
monitors, phones ..
Office Supplies
Couriers
Custodial and grounds
equipment and supplies
Food and Beverages
Accommodations/Travel
Furniture
Renovation and
Construction Equipment
& Supplies: Lights, paint,
Automobiles
Laboratory Equipment &
Supplies
Advertising Products
Paper & Printing
Dalhousie currently use a supply agreement enabled
by Interuniversity Services Inc. where competitive
quotes were gathered and sustainable product
compared. This contract is available to all Dalhousie
by contacting the Print Centre. 100% post-consumer
paper is available.
Reduce paper consumption by editing on screen and
only printing the final product.
Print double sided
Recycle paper instead of putting it in the garbage.
Sustainability Procurement
Trends – Beyond the
purchase cost
Need
examining whether a product is
really needed or are there alternatives to
purchasing (rent, lease, etc)
Sourcing from
environmentally and socially
sound suppliers (fair trade, local
products, companies with established
environmental policies)
Addition of health criteria:
indoor air quality and pollutant criteria
Accounting for the total
environmental and
economic impact of a product or
service (pollution, recycled content, local
suppliers, etc.)
Sustainable Procurement
Trends – Beyond the
purchase cost
Triple bottom line accounting
versus traditional financial accounting
Provision of more tools –
purchasing guides and frameworks
Movement from policy to
regulation (i.e. US EPA)
Adoption of existing
standards (ex. Energy Star) versus
device specific requirements
Impacts of Sustainable Procurement
Environmental
Compliance
(policy and
law)
Economic
Sustainable
Procurement
Leadership &
Reputation
Social and
Health
Sustainable Procurement Framework
People
Policy
Procurement Process
Engaging suppliers
Measurement and Results
Goods and
Services
costs: Purchase,
transport,
operational, and
waste
quality,
durability, …
Health and social
water quality
and quantity,
toxics,
energy,
waste and
emissions, …
Economic
Environmental
Overarching Principles: Avoid, Reduce, Efficient Use, Triple Category Consideration (Below)
worker health
& safety,
community
development,
fair wage,
human
rights…
Sustainable Procurement Check List
adapted from City of Ottawa
http://www.ottawa.ca/residents/environment/workplace/procurement_en.html

Absolutely necessary [Env., Econ]

Durable [Env., Econ.]

Energy and fuel-efficient [Env., Econ.]

Local source [Env., Econ., Soc.]

Responsible source [Soc., community Econ.]

Reusable [Env., Econ.]

Low or no environmental impact [Env.]

Right size [Env., Econ.]
Is this purchase absolutely necessary to our operations? Can we do without it?
Is it built to last? Does it need lots of maintenance? What is the overall cost of ownership?
Does the product help us to save money on energy or fuel?
Can this product be purchased from a reliable local source? Does it require less fuel or energy to bring this to our workplace?
Does the manufacturer provide proof of responsible environmental and social practices? Is the manufacturer paying workers standard
wages and benefits?
Can the product be used several times for the same or multiple purposes? Can we borrow it, rent or get it used?
Is the source material easily renewable? Is there any negative impact on the environment in the harvest, production, transportation, use or
disposal? Is it recyclable?
Can it be smaller, lighter or made with less material?
Dal - Sustainability Procurement Highlights to Date
Avoidance:
• Pesticide-free landscaping
• Tray less in cafeterias
ReUse:
•
•
•
Chemicals exchange program
Second hand text book sales
Furniture Re-use
Recycled Content:
• Switch to 30% post-consumer content paper
• 100 per cent recycled, non-bleached and
single ply toilet paper and paper towels
• Mugs, clothes, other products in Book store
• Green Building (materials) - LEED
Dalhousie is first University Energy Star Partner in Canada
- agreed to promote following energy star products
Role of Certification?
• Use of Certification as a preference point and/or minimum standard.
Comprehensive
Be wary of Green washing:
http://sinsofgreenwashing.org/findings/the-seven-sins/
Singular category
What do we buy?
Activity:
1.
In groups have a discussion about what you buy.
2.
Decide which 3 items/categories you buy most often or
spend the most money on.
3.
Write the name of each of those 3 on a post-it.
4.
Hand them in to the moderator for grouping.
Common Areas of Concern regarding the social
side of Sustainable Procurement
Fair payment
Child Labour
Worker rights
Voices & Choices
Information
Working conditions
Health & safety
Education
Environmental sustainability
Raw materials & community impact
Complex supply chains
Levels of Assessment
Voluntary reporting & Sustainability Principles
e.g. Corporate Social Responsibility reporting
ISO 26000
Self-assessments
External guidelines
Internal assessments
Third-party monitoring
e.g. Fair Trade
Regulations and laws
State enforcement
US Sweatfree Public Procurement
Purchasing Consortium
http://buysweatfree.org/
Apparel Standards
Industry still lagging with transparency
Often voluntary measures
Include positive criteria in RFPs and contracts
Can also use negative screens (media & watchdog reports)
Standards
• Fair Trade (www.transfair.ca)
• Global Organic Textile Standard
(www.global-standard.org)
• Worldwide Responsible Accredited
Production (www.wrapcompliance.org)
www.ilo.org/global/lang--en/index.htm
Considerations
• Governance
• Self-assessments
• Frequency & method of monitoring
• Fees
• Enforcements / Fines
• International Labour Organization
standards
Mythbusters!
Myth #1
Financial cost is the only decision criteria .
Fair Trade vs. Non-Fair Trade Coffee
Non-fair trade (PC)
Financial Cost
 $5.29 for 343g ground Arabica
Environmental Cost
 Energy intensive
 Can have organic certification
if not - Pesticides – Toxics
 Clear cutting
Social Cost
 Working conditions
 Wages
 Community disparity
Fair Trade (Just Us!)
Financial Cost
 $9.49 for 340g ground Arabica
 min. price to producer reduces
handlers and can mean a
higher price to consumer
Environmental Cost
 Has Organic certification
 Minimize lifetime impact
 More human energy
Social Cost
 Safe working conditions
 Fair payment
 Community enhancement
Other considerations: Transport, Demand,…
Fair Trade - Not just coffee
Coffee
Cocoa
Tea
Sugar
Spices
Honey
Rice
Slide provided by Just Us! Development and Education Society
Quinoa
Fresh Fruit
Fresh flowers
Cotton
Sports Balls
Shea butter
Wine
Myth #1 BUSTED!
Financial savings don’t always outweigh the other costs.
The triple bottom line
• Financial
• Environmental
• Social
Screening
Mythbusters!
Myth #1
It’s more expensive to be sustainable.
Energy Star vs. Non-Energy Star Computers
Non-energy Star
•
•
•
Idle mode
(69W*5853hrs*$0.103/kWh)
=$41.60
Sleep mode
(3W*439hrs*$0.103/kWh)
=$0.14
Off mode
(2W*2467hrs*$0.103/kWh)
=$0.51
=$42.25
Energy Star
•
•
•
Idle mode
(46W*5853 hrs*$0.103/kWh)
=$27.73
Sleep mode
(2W*439hrs*$0.103/kWh)
=$0.09
Off mode
(1W*2467hrs*$0.103/kWh)
=$0.25
=$28.07
Myth #2 BUSTED!
Energy Star saves $14.18 per year in electricity!
• Average lifetime is 4yrs = $56.72 savings
• Think about the number of computers on campus!
$$$
• Cost to purchase
• Cost to run
• Cost to maintain
• Cost to dispose of
Sustainable Procurement Toolkit
Scenario
Use check list from Slide 18
Activity
Brainstorm consideration for a commodity of interest
Discuss
Sustainable Procurement Toolkit
Where to find it
• http://office.sustainability.dal.ca/Programs/Procurement_and
_Wast/Procurement//
What’s in it
Trainer Power Points and Outline
Energy Star Purchasing Guide
Energy Star Calculator
Session Power points and outline
Web resources
Extra energy star intranet and Province of NS online training
2 hr. Training Curriculum
Where to find it
• http://office.sustainability.dal.ca/Programs/Procurement_and
_Wast/Procurement//
Covers
• Sustainability and sustainable procurement
• Triple bottom line
• Sustainable procurement toolkit
What now?
Deliver your training session!
Take the Province of Nova Scotia online Sustainable
Procurement training
•You will be acknowledged on the Office of Sustainability
website when these are completed!
Use the toolkit the next time you purchase something!
Discussion
How can Dalhousie support more sustainable
procurement activity?
Modify purchasing policy to include sustainability aspects
More training and educational tools
Inserting sustainability language in?
Other
What kinds of measures and targets could we use?
Sustainable Procurement Website and Tools
Buy Smart BC
Responsible Purchasing Network
Government of Canada
Energy Star (Office of Energy Efficiency)
Nova Scotia Government US Federal Government
Eco Logo Program
Green Electronics - EPEAT
Municipality of Whistler UBC's Sustainable Purchasing Guide
Canadian Food Inspection Agency - Food Labelling and
Advertizing
Samples from existing groups
Brock University:
Ethical
purchasing policy
– fair trade
coffee and tea &
university
apparel and
sweatshop free.
Guelph
City of Ottawa
Ethical
Purchasing
Policy: apparel
and sweatshops
Supplier Code of
conduct. Calgary
PSU RFP
RFP/
Tender/Pro Sustainability
Excerpts -food
cedures
Series of 10
questions for
vendors
Food: San
Francisco Dept.
of Health Policy ,
procedures,
definitions.
Lesson learned
Whistler
purchasing
policy and tools
– incorporated in
main policy
Approach
Third party verification: Blue sign – textiles, Trans Fair – Fair
Trade certification, Canadian organic certification, ..
Policy
Sustainable
Food
Purchasing
Guide and
Policies;
Number of
organizations
Simon Fraser University
Local law, employment
conditions, policy is
accompanied with
vendor application form
Direct involvement with producers/manufactures: MEC,
Just Us!, …
Feedback
Discussion
• Do you need clarification on any topics?
• Do you feel comfortable using the curriculum and tools to
deliver your own training session?
• What is the most significant thing you will take away from
this workshop?
• Other comments?
Written
• Please fill in the feedback form
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