Eco Buy


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Eco Buy

  1. 1. Introduction toSustainable Procurement Sara Redmond-Neal ECO-Buy Business Program Manager
  2. 2. Every purchase has an impact What is ECO-Buy?
  3. 3. Negative publicity
  4. 4. 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
  5. 5. 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
  6. 6. Triple bottom line Economic Sustainable Social Environmental
  7. 7. Total cost of ownership (TCO) What is ECO-Buy?
  8. 8. PaperWhat is ECO-Buy? towels vs. hand-dryersPaper Towels Hand-dryersConsumables $9,000/year Purchase price (one off) $2,000Labour (refilling, cleaning, disposal) Electricity $ 100/year$17,550/yearCost $26,550/year Cost $100/year 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 8
  9. 9. How it’s done What is ECO-Buy? Communication Measure- Policy People Process Suppliers ment Commitment
  10. 10. What is ECO-Buy?
  11. 11. What is ECO-Buy?
  12. 12. What is ECO-Buy?1. Implement Supplier 2. Monitor Compliance to Sustainability Principles Principles• Corporate Governance• Occupational Health and Safety 3. Sustainability Initiatives with• Risk Management High Risk Suppliers• Community 4. Support & Recognition of• Environmental Management Supplier Performance• Workforce Policies & Human Rights• Supply Chain Management
  13. 13. Boral’s quest for a better bag What is ECO-Buy?What can we do to improve the sustainability, priceand performance of this product?3 ply paper cement sack 2 ply  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%
  14. 14. Global Best Practice
  15. 15. Start now What is ECO-Buy?  What are you currently purchasing?  Get executive buy-in  Train procurement staff  Talk to your suppliers  Establish a baseline  Engage staff in the process
  16. 16. ECO-FindWhat is ECO-Buy? Membership Consulting ECO-Buy can help Training Resources and Events and Advice Assessment Tool
  17. 17. Any questions? Sara Redmond-Neal Business Program 9349 0402