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UNEP Asia-Pacific GPP & Ecolabelling Training Workshop
ISO 20400: Sustainable Procurement
Beijing, China | December 17, 2016
Agenda
Why do we need an ISO Standard for Sustainable ProcurementDevelopment HistoryContent of the GuideBenefits of Using the Guide
Path to Creation
ISO Committee on Consumer Policy suggests CSR Standard
2002
2003
2004
2005
TMB sets up Strategic Advisory Group
Findings Reported back to TMB - Vote
Brazil & Sweden selected as secretariats
Meetings
2006
2007
2008
2009
Meetings
25,000+ comments from 450 experts
99 Countries & 40 Intl Organizations
2010
ISO 26000 Published
Path to Creation
ISO 26000
Scope
Guidance on Social Responsibility
a) concepts, terms and definitions
b) the background, trends and characteristics
c) principles and practices relating to
d) the core subjects and issues
e) integrating, implementing and promoting throughout the organization and, through its policies and practices, within its sphere of influence
f) identifying and engaging with stakeholders
g) communicating commitments, performance and other information related
Procuring According to Social Responsibility Concepts
2010BSR 8903: 2010 Procuring SustainablyISO 26000: 2010 Published
2012NFX 50 135 Responsible Purchasing (ISO 26000)
2013Launch of PC277 France and Brazil co-secretariats/Meeting (France)
2014Committee Drafts/Meetings (Brazil & Singapore)
2015Draft International Standard/Meeting (London)
20162nd Draft International Standard/Meetings (Sydney & Rio)
2017Publish (hopefully)
Global Involvement
37 Countries have commented; 13 Observing
Liaison Organizations
External Liaisons
• United Nations Environment Programme (UNEP)
• Organization for Economic Co-Operation and Development (OECD)
• Intl. Federation of Purchasing and Supply Management (IFPSM)
• Independent International Organization for Certification (IIOC)
• International Trade Union Confederation (ITUC)
• United Nations Office for Project Services (UNOPS)
• Sustainable Purchasing Leadership Council (SPLC)
9
ISO 20400 Content
1) Scope 2) Normative References 3) Terms and Definit ions
4) Fundamentals
5) Policy & Strategy
6) Enablers
7) Procurement Process
10
ISO 20400 Content
4) Fundamentals – Targeted to All
Overview of Sustainable Procurement. Describes Scope and Principles of Sustainable Procurement. Why should Orgs undertake SP.
4.1 Concept of Sustainable Procurement
4.2 Principles of Sustainable Procurement
4.3 Core Subjects of Sustainable Procurement
4.4 Drivers for Sustainable Procurement
4.5 Key Considerations for Sustainable Procurement
Important Ideas from Section 4
4.1 – Introduction of ‘…most positive environmental, social, and economic impact…’
4.2 Principles• Accountability
• Transparency
• Ethical Behavior
• Full and Fair Opportunity
• Respect for Stakeholder Interests
• Respect for Human Rights, the Rule of Law and Intl Norms of Behavior
• Innovative Solutions
• Focus on Needs
• Integration
• Life Cycle Costin
• Continual Improvement
Important Ideas from Section 4
4.3 – Core Subjects• Organizational Governance
• Human Rights
• Labour Practices
• The Environment
• Fair Operating Practices
• Consumer Issues
• Community Involvement and Development
Important Ideas from Section 4
4.4 – Drivers (15 total)
Customer
Competitive Advantage
Innovation
Legislation and Regulation Supply Chain
SecurityEconomic Value
Important Ideas from Section 4
4.5 – Key Considerations
Managing Risks
Addressing Adverse
Impacts thru Due Diligence
Setting Priorities
Exercising Influence
Avoiding Complicity
15
ISO 20400 Content
Guidance about how sustainable considerations should be integrated at a strategic level within Procurement Function.
5.1 Committing to Sustainable Procurement
5.2 Clarifying Accountability
5.3 Aligning Procurement with Organizational Objectives & Goals
5.4 Setting Procurement Policies
5.5 Managing Implementation
5) Policy & Strategy – Targeted to Upper Management
Important Ideas from Section 5
5.2 – Clarifying Accountability
Important Ideas from Section 5
5.3 – Aligning Procurement with Organizational Objectives and Goals5.4 – Setting Procurement Priorities5.5 – Managing Implementation
18
ISO 20400 Content
6) Enablers – Targeted to Procurement Managers
Describes the conditions and management techniques needed in order to successfully implement and continually improve Sustainable Procurement
6.1 Governing Procurement
6.2 Enabling People
6.3 Identifying and Engaging Stakeholders
6.4 Setting Sustainable Procurement Principles
6.5 Measuring and Improving Performance
6.6 Establishing a Grievance Mechanism
Important Ideas from Section 6
6.2 – Enabling People
Culture
Performance Mgmt
Collaboration
GuidanceEnabling People
Important Ideas from Section 6
6.3 – Engaging Stakeholders
Internal
Mgmt
Procure
Enviro
Supply Chain
Tier 1
Tier 2
Partners
Others
Customer
Investors
Govt
Important Ideas from Section 6
6.4 – Setting Sustainable Procurement Priorities
• Applying Risk Management
• Category Approach
• Supplier Approach
• Issue Approach
6.5 – Measuring and Improving Performance
• Metrics
• Reporting
• Benchmarking
22
ISO 20400 Content
7) Procurement Process – Targeted to Procurement Ind ividuals
Procurement Process itself. How Sustainability considerations should be integrated into existing procurement process
7.1 Building on the Existing Process
7.2 Planning
7.3 Integrating Sustainability Requirements in the Specifications
7.4 Selecting Suppliers
7.5 Managing the Contract
7.6 Reviewing and Learning from the Contract
Important Ideas from Section 7
Important Ideas from Section 7
7.2 – Planning
• Assessing Risks (and Opportunities)
• Analyzing Organizational Needs
• Analyzing Market
• Analyzing the Costs
Important Ideas from Section 7
7.3 – Integrating Sustainability Requirements in the Specifications
• Define Criteria
• Ensuring Requirements are Met
Important Ideas from Section 7
7.4 – Selecting Suppliers7.5 – Managing the
Contract7.6 – Reviewing and
Learning
Potential Outcomes
Stakeholder Engagement – Internal/ExternalBetter Understanding of Supply ChainInnovationRisk ManagementEnvironmental, Social, Financial ImpactContinual Improvement
