Episode
82

Net Zero Procurement & Supply Chain with Bob Willard

April 26, 2023
|
Duration:
1719646
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In This Episode:

Join David Arkell, John Pooley, Lysandra Naom, and Bob Willard, Founder and Chief Sustainability Champion at Sustainability Advantage, on an episode all about net zero procurement. This episode features driving forces of procurement, KPIs and net zero, supply chain sourcing, and more. More information about Bob and his resources for sustainability champions can be found at www.sustainabilityadvantage.com. Check out our 360 Carbon Excellence Program.

Highlights

  • Shift in Procurement Focus: Traditional procurement practices focused on getting the best price, but Net Zero goals are driving a shift toward “best value,” which includes sustainability metrics.
  • Sustainable Procurement Defined: Sustainable procurement assesses not only the quality and cost of goods but also the environmental and social impacts associated with their production, sourcing, and supply chain.
  • Supplier Sustainability: Companies are increasingly evaluating suppliers on their environmental footprint and ethical practices to align with corporate sustainability values and avoid reputational risks.
  • Executive Support and Compensation: To encourage sustainable procurement, Bob emphasizes linking executive compensation to sustainability goals, which can drive more focused and effective implementation.
  • Standardized Tools and Metrics: Willard introduces a toolkit that includes specifications, self-assessment tools, and contract terms to help businesses integrate sustainability criteria into their procurement processes.

    • Key Insights

  • Comprehensive Supplier Assessment: Sustainable procurement requires companies to consider their suppliers’ practices, from emissions to worker treatment, ensuring alignment with their sustainability objectives.
  • Quantifying Supply Chain Emissions: Scope 3 (supply chain) emissions are often larger than direct emissions, making it essential for organizations to address these to achieve Net Zero targets.
  • Framework for Simplified Implementation: By utilizing pre-designed templates and self-assessment tools, companies can integrate sustainable practices into existing procurement processes more easily.
  • Risk Mitigation in Procurement: Sustainable procurement reduces the risk of partnering with unethical suppliers, which can harm a company's reputation and undermine its sustainability commitments.
  • Global Standardization Potential: Willard suggests that Canada’s approach to Net Zero procurement could be replicated internationally, aligning efforts across regions to support global sustainability goals.
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