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Sustainable Procurement
Myths & Legends
www.actionsustainability.com
Shaun McCarthy
Director
www.actionsustainability.com
Chair
www.cslondon.org
What – Sustainability…?
• “Development that
meets the needs of the
present without
compromising the
ability of future
generations to meet
their own needs”
-
Brundtland Definition
Economic
Social
Environmental
What – Sustainability?
• Living within environmental
limits
- 1.8 Global hectares per
capita
- 2 Tonnes CO2 per capita per
year
• Living in an equal world
- Gini coefficient 0.25 to
0.35
- Ratio of most
advantaged to least
advantaged
Inter-Governmental Panel on Climate Change
• CO2 levels highest for
650,000 years
• Climate change
“unequivocally” happening
• Global temperature will rise
between 1.8oC and 4oC in
the next century, worst case
6.4oC
• In the worst case, Trafalgar
Square would be under
water
Stern Report
Stern Report
Stern Report
Stern Report
The challenge
Ecological Footprint
12
10
8
6
4
Source www.nationmaster.com/index.php
India
Ken
ya
Wo r
ld
UK
R ep
ub lic
Ce e
ch
Ger
man
y
USA
0
Sh a
re
2
Wo r
ld
ha per capita
It’s not just about carbon…!
•
Resources
-
•
Inequality
-
•
25% of London’s Black Caribbean community is unemployed compared to 2.5% of the
Indian community
25% of the UK population has a physical or mental disability
3.8M children were living in poverty in the UK in 2005/6
Health
-
•
If the whole world lived like Western Europe we would need 3 planets resources to
sustain life
UK childhood obesity is increasing at the same rate as the USA, we are breeding a
generation that will have a shorter life expectancy than their parents
Average male life expectancy in Tower Hamlets is 7 years shorter than Kensington
Waste
-
Landfill capacity is likely to be non-existent within 7 years
Sustainable Procurement
“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 to society and the economy, whilst
minimising damage to the environment”.
Footnote:
Sustainable Procurement should consider the environmental, social and economic
consequences of:
Design; non-renewable material use; manufacture and production methods;
logistics; service delivery; use; operation; maintenance; reuse; recycling options;
disposal; and suppliers' capabilities to address these consequences throughout
the supply chain.”
Procuring the Future – June 2006
The challenge – to purchasers
“Using procurement to
support wider social,
economic and
environmental objectives,
in ways that offer real
long-term benefits”.
Sir Neville Simms
Chairman
Sustainable Procurement Task Force
Good Practice
• Flexible Framework
Lead
Enhance
www.actionsustainability.com/evaluation/
Practice
Embed
Foundation
Time
Myths…
Myths…
Which has the
bigger carbon
footprint…?
Myths…
Which has the
bigger carbon
footprint…?
14
Feb
From Kenya
From Holland
Myths…
• How big is theirs…?
Myths…
• How big is his…?
Myths…
• How big is his…?
- What proportion of
global emissions is the
UK responsible for?
- 2%
- 17%
- Both
- None of these
- It depends
Myths…
How big is yours…?
Myths…
Why bother with social
issues? I can make no
difference as a buyer.
The great ROC n’ Roll Swindle
Buying “Green Energy”
will make no
difference to your
carbon emissions.
Myths…
It’s all about risk. We
don’t want to end up
here!
Myths…?
“Centre for Sustainable
Procurement Excellence”
Myths…
“The UK is already among
the EU leaders in
sustainable procurement”
Legends…
Legends…
• Swedish vehicle
contract
- Created a market for
bio-ethanol vehicles
Legends
• Zero waste prison
mattress
- Market leading initiative
Legends
• M&S Plan A
-
Vision
Leadership
Research
Marketing led
Delivery?
Legends…
• Environment Agency
- Want to know everything
- And check it
- Concerned about plastic
membranes in Jiffy Bags
(among other things)
Legends…
• Manchester City FC
- Wind power
- Biomass CHP
- Local procurement
- Except the players
- …and manager
Legends…
• Premier Farnell
- 3 clear priorities with plans
and measures
- Responded to jiffy bag
challenge
- No more tungsten bulbs
- Presentation to a major
global manufacturer
resulted in objective to
double turnover through
this distributor
- Top 10 product hit list
On the horizon
• Water
- The new carbon…?
• Social issues
- Local
- Fair partner/employee
- Equalities/diversity
• Secondary impacts
- Embodied carbon
• Food
- Healthy
- Organic
- Sustainable
Statistics…
• We have a long way to
go:
- 83% buying professionals
“ill equipped” to deliver
sustainability in 2006/7
- 55% in 2007/8
- 550+ benchmarks,
average Level 1 against
FFW
- BITC Index still recording
low scores in this area
London 2012… Myth or Legend…?
•
•
3 different organisations procure (ODA, LOCOG, LDA)
ODA
-
•
LOCOG
-
•
NDPB
Current bulk of procurement activity
Under review by CSL working with NAO
Process includes balanced scorecard with sustainability embedded
Contract specs include sustainability requirements (?)
Ground breaking work with concrete (forward commitment)
Local opportunities and support (?)
Private company
Commercial sponsors provide free goods & services
Merchandising and promotions
Food
LDA
-
RDA
Legacy owner
Procurement activity 2012 onwards
London 2012 – Sustainable…?
It could be said that building a
lot of facilities and flying people
round the globe to stage an
event is inherently unsustainable.
But…
London 2012 – Sustainable…?
• …it is possible to…
- Create real, long term jobs for people in the UK and in particular
East London,
- Use the power of sponsorship, media and communications to
change people’s behaviour across the world,
- Develop a diverse and vibrant community in East London,
- Set new standards of sustainability for the construction industry,
- Deliver a truly inclusive and accessible place,
- Make all these things work together in a virtuous cycle,
• Then, the net effect of the London 2012 Games could be
positive.
Thank you for your attention
www.actionsustainability.com
[email protected]