Sustainable Procurement (2)

Following up on last week's blog where I wrote about the benefits, this time we'll have a look at the Principles of Sustainable Procurement.

There are some basic criteria to consider:

Quality

Always opt for the highest quality you can afford, whether for FF&E, OS&E, OE, uniforms or other goods; have them maintained at a regular basis or repaired when necessary. In general this is more cost effective than replacement and certainly reduces the use of materials and waste.

Energy efficiency

Choose "responsible/green" lighting, heating and air-conditioning and other appliances, which may cost a bit more initially but will produce savings in the long term due to lower operating costs.

Hazardous materials

Avoid products containing toxic substances. Today there are plenty alternatives to opt for non-harmful products, including non-toxic, water-based, hypoallergenic and biodegradable cleaning products, zero VOC paints and chemical-free amenities.

Natural and organic

Whenever possible, choose (local) certified organic food & drink products and linen/cotton fabrics.

Recycled or recyclable

Purchase products made from recycled or reclaimed materials (100% recycled content carpet) and/or those that can be recycled or reused at the end of their working lives (cradle to cradle or upcycling).

Avoid disposable products

Today there is plenty choice of biodegradable disposables or products that can be recycled, they add to the accumulation of landfill so choose an alternative with a useful lifespan.

Choose Fairtrade products

These certified items, including tea, coffee and chocolate, promote sustainable development by ensuring poorer producers around the world receive a fair price for their products, enabling them to trade their way out of poverty.

Consider all costs associated with your purchase

To assess the full environmental and social impacts of a product or service purchased, you should consider its cost over its entire life cycle, from "cradle" to "grave", from raw material extraction through to manufacture, distribution, use, repair and maintenance, and disposal or recycling. This is called life-cycle costing (LCC).

As part of any sustainable procurement policy, ask suppliers about the impacts associated at each life-cycle stage. Working out the LCC will help you assess on paying out an initial higher cost for a product or service that can be offset by lower ongoing efficiency savings over its lifespan. In the hospitality industry, LCC can be applied to almost everything from led lighting to more complex purchases, such as outsourcing housekeeping services and technical maintenance.

The LCC approach can be put into practice in the procurement process in a number of ways. Today it is not so difficult to calculate the savings on water and energy use, waste disposal or outsourcing a particular service.

Software or online tools are also readily available to help you work out life-cycle costs, e.g. a calculator offered by the EU Energy Star energy-efficiency programme and a tool developed by the Swedish Environmental Management Council.

Ecolabels and certifications schemes

An easy way to source sustainable products and services is to opt for those that carry an ecolabel or are certified by a third-party environmental, social or ethical scheme.

There are hundreds of ecolabels and certification schemes worldwide with some focusing on one environmental aspect only, such as energy efficiency or sustainable-wood harvesting (Forest Stewardship Council). Also on the protection of natural resources or habitats (Rainforest Alliance) or ethical impact (Fairtrade), while others consider the life-cycle impacts of a product or service. The International Organization for Standardization (ISO) describes several types of environmental labelling with only ISO Type I labels certifying that a product or service meets strict standards based on life-cycle assessment.

Online databases help you identify relevant standards for specific products or services, from food and drink, construction materials and cleaning products to appliances, paper or toiletries. There are fewer recognised certification standards for social issues, but the most popular include Fairtrade, health & safety standards and international labour standards.

Gradual implementation

Think of sustainable procurement as incremental and set priorities according to your resources; don’t be over ambitious. The best thing to do is start working with a small group of products and services from sustainable sources, such as recycled paper, non-toxic cleaners, energy-efficient led-lighting and fish. The environmental and social impacts of these items are well known and sustainable alternatives are readily available. Once you have created your policy, remember to communicate it to as many people as possible, including your staff, suppliers and other stakeholders to help raise awareness of your objectives, gain support and keep up momentum.

Keep in mind that sustainable procurement is a hugely complex process, particularly in the hospitality sector where you are dealing with so many different suppliers and governmental organizations providing so many different products and services. It really poses a steep learning curve for hoteliers, which is why it should be about making small, progressive steps.

For existing properties on their first step to sustainability, one of the first things I always recommend is making their paper stream greener. You should constantly be asking whether a purchase is needed in the first place. Any waste is a net loss on the balance sheet.

Establish availability and cost of "green" alternatives

There are alternative sustainable products (energy-efficient TVs, water-saving washing machines, etc.) and services (eco carpet cleaning) on the market. Make sure these will meet your sustainability requirements and, if there are extra costs involved, can these be justified?

Gather background information

Nowadays, with the internet available, it is much easier to find the information needed to set criteria for particular products and services. it will help you straightforward to express what you want technically from a supplier! For help with technical specifications, you could refer to the criteria of a reputable certification scheme. The majority of suppliers is more than willing to help to reach all the requirements for sustainable operations in your property.

Staff training

Training and transparency is very important to give staff the knowledge and understanding of sustainability matters and is key to embedding responsible procurement across the property.

Supplier improvement

Consider accepting suppliers with poor current sustainability performance if they are committed to embarking on systematic, collaborative improvement processes. The goal is long-term mutual success and partnership.

Be aware of green washing

Look for evidence that the product or service you procure is genuinely "responsible or sustainable".

About Hospro

HOSPRO|Hospitality Procurement prides itself on being a bit different. Traditional values are sustained and a good reputation is something to be proud of. Good business is building lasting relationships, helping us to grow our assets together. With a background in international hospitality and procurement services for some 30 years, our combination of market knowledge and expertise ensures the best possible service for our business relations. We support our clienteles with specific recommendations and references to stay focused on the total process. 

(Source: Greenhotelier.org)