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Connecting Sustainable Purchasing with
Organizational Imperatives
Madalyn Cioci  Environmental Specialist
SPLC May 21, 2019
Sustainable
purchasing
has
multiple
benefits
2
Case Study: Green cleaning at Rutgers University
• Financial:
• 20% reduction in cleaner costs
• Lower workers comp premiums
• Environmental:
• Fewer products used
• Reduced toxicity
• Management:
“The custodial staff liked the new products so much they wanted to take them home, so we set up a
program for them to purchase them at a discount”
--Kevin Lyons, director of Supply Chain Management
3
Identify a few potential benefits:
Fiscal
Responsibility
Buy less
Reduced life
cycle costs
Leverage
Environmental
Responsibility
Better air,
water
Less waste,
toxic pollution
Resource
conservation
Social
Responsibility
Equity in
access
Better local
well-being
Better global
well-being
Organizational
Health
Reputation
Employee
satisfaction
Silo reduction
4
Connect to your
organization’s mission
By NASA - NASA Images at the Internet Archive
(https://commons.wikimedia.org/w/index.php?curid=1144188i), Public Domain
5
Appeal to values, ideals, strategic plans
• “We are a learning organization”
• “We make data-driven decisions”
• “We improve the lives of others”
• “We make strategic decisions”
6
Look to laws, rules, or policies
• Federal or state statute and agency rules
• Your organization’s formal policies
Ask questions like:
• Can procurement reduce associated hazardous waste disposal costs or
reduce permit fees?
• Is there a policy that requires “total cost” “life cycle cost” or “best value”
considerations?
7
DEFORESTATION
SWEATSHOPS
DISCRIMINATION
OVERFISHING
Courtesy of SPLC
Look to projects, commitments or pledges
8
Sustainable purchasing
supports goals like these:
• Small business support
• Diversity in vendor pool
• Community/employee health
• Reducing reputation risk
• Reducing liability
• Employee retention
• Increasing cross-function
collaboration
• Energy benchmarking
• Water conservation
• Climate commitments
• Air pollution reduction
• Water pollution reduction
• Circular economy
• Cost reduction
9
Thank you!
Madalyn Cioci│madalyn.cioci@state.mn.us
www.pca.state.mn.us/epp
10

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  • 1. Connecting Sustainable Purchasing with Organizational Imperatives Madalyn Cioci  Environmental Specialist SPLC May 21, 2019
  • 3. Case Study: Green cleaning at Rutgers University • Financial: • 20% reduction in cleaner costs • Lower workers comp premiums • Environmental: • Fewer products used • Reduced toxicity • Management: “The custodial staff liked the new products so much they wanted to take them home, so we set up a program for them to purchase them at a discount” --Kevin Lyons, director of Supply Chain Management 3
  • 4. Identify a few potential benefits: Fiscal Responsibility Buy less Reduced life cycle costs Leverage Environmental Responsibility Better air, water Less waste, toxic pollution Resource conservation Social Responsibility Equity in access Better local well-being Better global well-being Organizational Health Reputation Employee satisfaction Silo reduction 4
  • 5. Connect to your organization’s mission By NASA - NASA Images at the Internet Archive (https://commons.wikimedia.org/w/index.php?curid=1144188i), Public Domain 5
  • 6. Appeal to values, ideals, strategic plans • “We are a learning organization” • “We make data-driven decisions” • “We improve the lives of others” • “We make strategic decisions” 6
  • 7. Look to laws, rules, or policies • Federal or state statute and agency rules • Your organization’s formal policies Ask questions like: • Can procurement reduce associated hazardous waste disposal costs or reduce permit fees? • Is there a policy that requires “total cost” “life cycle cost” or “best value” considerations? 7
  • 9. Sustainable purchasing supports goals like these: • Small business support • Diversity in vendor pool • Community/employee health • Reducing reputation risk • Reducing liability • Employee retention • Increasing cross-function collaboration • Energy benchmarking • Water conservation • Climate commitments • Air pollution reduction • Water pollution reduction • Circular economy • Cost reduction 9

Editor's Notes

  1. This is going to be a whirlwind 10 minutes. I’ll toss many questions your way with goal of you feeling optimistic about all the possible imperatives that Sustainable Purchasing can support in your organization. The more we looked, and the more we talked with people, the more opportunities we’ve found and the more people have started bringing ideas to us. So let’s crack this open.
  2. Like a swiss army knife – Sustainable Purchasing projects generally have lots of benefits. You want to pull out all the benefits and use them as tools to help connect to the organizational imperatives.
  3. Sometimes, the benefits may be surprising. * This case study from Rutgers showed that not only did they reduce costs in cleaner purchases, but also in workers comp. * And the response by employees gave management a chance to reinforce employee engagement with Rutgers.
  4. Given this, one good way to start is to identify a few known or potential benefits from your sustainable purchasing. Here are several possible ones, but you may have more.
  5. Once you’ve thought of your benefits, you can start to connect to organizational imperatives. Start broadly - First take the 40,000 foot (or 239,000 mile) view -- What’s your entity's mission, vision, and values? Q: What’s your entity's mission, vision, and values? Q: Is that the same throughout your organization? Or are there different agencies or divisions that might have a little different spin? Get familiar with them. MPCA: To protect and improve the environment and enhance human health. We needed to build a partnership with our procurement group. Their mission: ADMIN: Deliver excellence to customers, employees, and the public Goals – Diversity, inclusion, best value, sustainability, customer satisfaction, technology optimization, employee engagement.
  6. Don’t forget to look at values statements and strategic plans – that operationalize missions.
  7. Public purchasing is the largest procurement group in the nation (representing more than 20% of GNP)