Here's how you can meet the increasing demand for sustainable sourcing practices in Supplier Sourcing.
In supplier sourcing, sustainability refers to the practice of procuring goods and services in a way that considers environmental protection, social equity, and economic viability. These practices are not just about being environmentally friendly; they're about ensuring the longevity and ethical responsibility of your supply chain. As you source suppliers, look for those who use renewable resources, minimize waste, and prioritize workers' rights. This holistic approach to procurement can improve your brand's reputation and ensure compliance with increasingly stringent regulations.
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Raghu SubramaniamHead of Internal Services at Absa Bank ( Mauritius) Limited
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Nicolas Cerpa TorresConsultor SAP Ariba | Consultor SAP MM | Consultor Microsoft Dynamics 365 | Ariba Sourcing | Ariba Buying | Ariba…
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Arisha YounusFounder at Austere India Sourcing | Sourcing Specialist | Vendor Management | Problem Solver | Critical Thinker |…
Before diving into sustainable sourcing, you must understand your company's specific needs. Identify which aspects of sustainability are most crucial to your operations—be it reducing carbon footprint, eliminating hazardous materials, or ensuring fair labor practices. This assessment will guide you in setting clear objectives for your suppliers and help you communicate your sustainability goals effectively. Remember, a one-size-fits-all approach doesn't work; your sustainability strategy should be as unique as your business.
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Raghu Subramaniam
Head of Internal Services at Absa Bank ( Mauritius) Limited
Implementing sustainable sourcing practices begins with a diligent assessment of your organization's specific needs and priorities. This initial step is crucial for gaining clarity and understanding, enabling effective changes on both sides of the supplier relationship. It's important to view this process as a journey rather than a quick fix. Over-specifying requirements may not yield optimal results. Therefore, identifying key focus areas such as carbon reduction, material safety, and labor practices sets the foundation for a tailored sustainability strategy that aligns with your business goals and values.
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Nicolas Cerpa Torres
Consultor SAP Ariba | Consultor SAP MM | Consultor Microsoft Dynamics 365 | Ariba Sourcing | Ariba Buying | Ariba Contracts | Ariba SLP | Ariba Training | Ariba CIG | Microsoft Power Platform | Consulting SAP Ariba
Se debe integrar los criterios de sostenibilidad en la selección de proveedores para realizar una eficaz gestión, priorizando los proveedores que compartan sus valores de sostenibilidad ambiental y responsabilidad social.
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Balakumar Ananthakrishnan, CPSM®, C.P.M., ABP™
DGM-Strategic Sourcing at IBM | IBM Expert Supply Chain Management Professional | IBM Cloud Technical Advocate | 29+years SCM expertise | IT | Automobile Mass Production | Automobile High Technology DiscreteManufacturing
Sustainable Sourcing's importance currently in improving Brand image / reputation of the Corporate. Various aspects of Sustainability through Green Buying (Reduce-Reuse-Recycle)as below: 1.Human rights (including working conditions,forced labor,child labor), occupational health and safety, as well as sustainable production and environmental practices 2.Green House Gas(GHG) emission of scope 1/2/3 reduction/elimination leading to Carbon footprint reduction 3.Prevention of climate degradation / environmental protection 4.Conflict Minerals(3TG): Mined Tin, Tungsten, Tantalum,Gold Above to be incorporated into supplier selection while onboarding/RFXs to suppliers Technologies like Blockchain, AI can be used to automate for real-time processing.
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Kazi Afzal Anwar
Assistant Manager in Supply Chain & Commercial | MC-LSCM | CSCMP | Expertise in Foreign Procurement Operations, Purchase Department Management & Product Sourcing | Driving Efficiency & Excellence in Commercial Processes
To meet the demand for sustainable sourcing, establish clear sustainability criteria and certifications, collaborate closely with suppliers, and conduct regular audits. Prioritize local sourcing, incorporate digital and blockchain technology for transparency, and incentivize sustainable practices. Maintain open communication, publish progress reports, and stay updated on trends and regulations.
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Bisma Fatima
💰Generated $50k+ in sales for 10+ Amazon brands under 13% ACOS | Maximizing Sales and making business profitable for Amazon sellers | Within 60 Days Boost Amazon brands Sales with 10x Profits | 6-Fig brands PPC Manager
hat's a great point! Before implementing sustainable sourcing practices, it's essential to conduct a thorough assessment of your company's specific needs and priorities. This includes: - Identifying key areas of focus (e.g., carbon reduction, material safety, labor practices) - Setting clear objectives for suppliers - Developing a tailored sustainability strategy that aligns with your business goals and values A customized approach ensures that your sustainability efforts are effective, relevant, and aligned with your company's unique needs and industry. By understanding your company's specific needs, you can create a robust sustainability strategy that benefits both your business and the environment.
Locating suppliers who can meet your sustainability criteria is a critical step. Start by researching potential partners who have a proven track record in sustainable practices. Networking with industry peers and attending trade shows can be invaluable in discovering suppliers who are already aligned with your sustainability goals. When you engage with potential suppliers, ask detailed questions about their sourcing methods, material usage, and labor policies to ensure they can genuinely meet your standards.
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Kazi Afzal Anwar
Assistant Manager in Supply Chain & Commercial | MC-LSCM | CSCMP | Expertise in Foreign Procurement Operations, Purchase Department Management & Product Sourcing | Driving Efficiency & Excellence in Commercial Processes
To find partners who align with your sustainable sourcing goals, begin by identifying companies that share your commitment to sustainability. Research potential partners through industry networks, sustainability-focused online platforms, and professional associations. Attend conferences and events centered on sustainable practices to meet like-minded organizations. Evaluate their sustainability credentials, certifications, and track record to ensure compatibility. Reach out with a clear proposal highlighting the mutual benefits of a partnership, emphasizing shared sustainability goals and the potential for collaborative growth.
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Ramdane Boumrah
storekeeper
Évaluation des fournisseurs : Sélectionner des fournisseurs qui ont des pratiques durables et respectueuses de l'environnement. Certifications écologiques : Privilégier les fournisseurs certifiés par des labels écologiques reconnus, tels que ISO 14001, Fair Trade, ou Rainforest Alliance.
To truly embrace sustainable sourcing, you must evaluate the environmental and social impact of your suppliers' practices. This means going beyond surface-level claims and certifications; look for evidence of genuine commitment to sustainability. Request data on their production processes, energy usage, and waste management. By thoroughly assessing the impact of your suppliers' operations, you can make informed decisions that align with your sustainability objectives and promote positive change within your industry.
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Kazi Afzal Anwar
Assistant Manager in Supply Chain & Commercial | MC-LSCM | CSCMP | Expertise in Foreign Procurement Operations, Purchase Department Management & Product Sourcing | Driving Efficiency & Excellence in Commercial Processes
To evaluate the impact of your sustainable sourcing practices, implement robust tracking and reporting systems to measure key sustainability metrics such as carbon footprint, resource usage, and labor practices. Regularly review and analyze this data to assess progress and identify areas for improvement. Conduct third-party audits to ensure compliance and transparency. Communicate the outcomes to stakeholders through detailed reports, showcasing the positive environmental and social impacts of your sourcing practices. Continuously refine your strategies based on these evaluations to enhance sustainability and meet evolving standards.
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Ramdane Boumrah
storekeeper
Suivi et amélioration continue Indicateurs de performance environnementale (KPI) : Mettre en place des indicateurs pour mesurer l'empreinte environnementale et suivre les progrès. Audits réguliers : Réaliser des audits réguliers pour identifier les opportunités d'amélioration et garantir le respect des normes environnementales.
Building strong relationships with your suppliers is crucial for sustainable sourcing success. Open communication and collaboration can lead to innovative solutions that benefit both parties. Encourage your suppliers to continuously improve their sustainability practices by sharing best practices and offering support for implementing new processes. A partnership based on mutual sustainability goals can lead to long-term success and a more resilient supply chain.
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Arisha Younus
Founder at Austere India Sourcing | Sourcing Specialist | Vendor Management | Problem Solver | Critical Thinker | Marketing Enthusiast | Product Developer | Hard-Goods
One thing I have realised that it is an ongoing and continuous process. It needs implementation, education and research on the global impact on the factors affecting the change. It is a 2-way journey and needs efforts from both the sides. Considering that existing vendors have an on going process, it needs time and plan to implement the sustainability process.
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Vasanth J.G.
Demand planner and Forecast Analyst at Capgemini(Unilever)| ex-Ford| SCM | Purchasing.
Sustainability does not contribute to short term goals alone, also for longer term. educating the existing supplier on the goals and sustainability needs and working on a action plan to achieve with them. this goes in 2 ways 1) The Supplier gets a sense of security that he is there for a longer time for fostering better relationship. 2) Their ways of business is also evolved into the new era for gaining further more business Apart from this I would also encourage to look for more partners who are also aligned to meet the company's needs, for having a sustainable business in this age of sustainability.
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Kazi Afzal Anwar
Assistant Manager in Supply Chain & Commercial | MC-LSCM | CSCMP | Expertise in Foreign Procurement Operations, Purchase Department Management & Product Sourcing | Driving Efficiency & Excellence in Commercial Processes
To build relationships with your suppliers, foster open communication and trust by regularly engaging with them and understanding their challenges and needs. Offer support and resources to help them improve their sustainability practices and create a sense of mutual benefit and cooperation. Strengthen these relationships by recognizing and rewarding their efforts in sustainability, thus ensuring long-term collaboration and commitment to shared sustainability goals.
Lastly, it's essential to monitor the progress of your sustainable sourcing initiatives regularly. Set up a system for tracking key performance indicators related to sustainability, such as energy efficiency, waste reduction, and ethical labor practices. This will help you measure the impact of your efforts and identify areas for improvement. Regular audits and feedback sessions with suppliers can foster ongoing commitment to sustainability and ensure that your sourcing practices remain aligned with your company's values and objectives.
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Vivek Ayyappan
Procurement and Supply Chain Professional (CIPS - Certified)
Incorporate sustainability assessments criteria into the supplier selection process. Evaluate potential suppliers based on their environmental impact, labor practices, and ethical standards. Also, ask the supplier whether they have a third-party sustainability certifications such as Fair Trade, Rainforest Alliance, or FSC.
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Ramdane Boumrah
storekeeper
Engagement des parties prenantes Sensibilisation : Sensibiliser les employés, les fournisseurs et les clients à l'importance du développement durable. Collaboration : Travailler en collaboration avec les parties prenantes pour mettre en place des initiatives durables et partager les meilleures pratiques.
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Vivek Ayyappan
Procurement and Supply Chain Professional (CIPS - Certified)
Stakeholder Engagement : Educate the internal stakeholders about the importance of sustainable sourcing. Ensure alignment with corporate sustainability goals. Communicate your idea of sustainable sourcing efforts to customers and meeting consumer demand for ethical practices.
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