eco buy
DESCRIPTION
TRANSCRIPT
Introduction to Sustainable Procurement
Sara Redmond-NealECO-Buy Business Program Manager
What is ECO-Buy?
Every purchase has an impact
Negative publicity
Green is the new Black
The Australian consumer market for healthier, more sustainable products and services is valued at $21.5Bn
– Living LOHAS Insights 4, 2011
70% of Asia Pacific consumers prefer to buy from companies who engage in CSR, including environmental sustainability.
55% of APAC consumers are willing to pay extra for products and services from those companies
– Nielsen Global Survey of Corporate Citizenship, 2011
Sustainable procurement is:
“a process whereby organisations meet their needs for goods, services, works and utilities in a way that achieves value for money on a whole life basis in terms of generating benefits not only to the organisation, but also to society and the economy, whilst minimising damage to the environment.”
UNEP definition
Triple bottom line
Economic
EnvironmentalSocial
Sustainable
What is ECO-Buy?
Total cost of ownership (TCO)
What is ECO-Buy?Paper towels vs. hand-dryers
Actual Savings• 76.8% less energy than other dryers• cost saving of over 85%• 186,761 kgs less carbon emissions• zero waste to landfill • 40,000L water
Paper Towels Hand-dryers
Consumables $9,000/year Purchase price (one off) $2,000
Labour (refilling, cleaning, disposal) $17,550/year
Electricity $ 100/year
Cost $26,550/year Cost $100/year
8
What is ECO-Buy?
How it’s done
Policy People Process Suppliers Measure-ment
Commitment
Communication
What is ECO-Buy?
What is ECO-Buy?
What is ECO-Buy?
1. Implement Supplier Sustainability Principles
• Corporate Governance • Occupational Health and Safety • Risk Management • Community • Environmental Management • Workforce Policies & Human Rights • Supply Chain Management
2. Monitor Compliance to Principles
3. Sustainability Initiatives with High Risk Suppliers
4. Support & Recognition of Supplier Performance
What is ECO-Buy?
Boral’s quest for a better bag
39% reduction in paper use per sack, or 860 tonnes paper per annum • Reduced carbon emissions, water use, waste, biodiversity impacts
20% reduction in sack price New sacks stronger and higher quality than the old 3 ply sacks Elimination of perforations which created dust leakages and
consequential OH&S issues 15% faster filling time and increased throughput on the filling line Decreased plastic film weight per sack on average by 50% Reduction in leakage during transport by over 90%
What can we do to improve the sustainability, price and performance of this product?
3 ply paper cement sack 2 ply
Global Best Practice
What is ECO-Buy?
Start now
What are you currently purchasing?
Get executive buy-in
Train procurement staff
Talk to your suppliers
Establish a baseline
Engage staff in the process
What is ECO-Buy?
ECO-Buy can help
ECO-Find
Consulting
Resourcesand Advice
Assessment Tool
Trainingand Events
Membership
