The Secret to Sustainable Procurement within Healthcare
Psst! Are you ready to take your procurement strategy to the next level and make a genuine environmental impact? We’ll let you in on the secret to sustainable procurement within healthcare…
Sustainability has become a top priority for healthcare facilities across the UK and procurement teams have an important role to play on the route to Net Zero – they have the power to influence the entire waste hierarchy, starting with prevention.
Procurement teams can minimise waste generation and maximise resource efficiency to ensure a positive environmental impact by making informed and strategic purchasing decisions in line with the NHS Clinical Waste Strategy.
TOPICS WE WILL COVER:
1 / What Is Sustainable Procurement?
2 / Why Is Sustainable Procurement Important?
3 / The 5 ‘Rs’ of Sustainable Procurement
4 / How to Implement Sustainable Procurement
5 / 17 Questions to Ask When Procuring Sustainably
6 / Sustainable Procurement Best Practices
7 / Healthcare Sustainable Procurement Policy
9 / Procurement on the Route to Net Zero
What Is Sustainable Procurement?
Sustainable procurement is a strategic approach to purchasing goods and services that meet your organisation’s needs AND make a profound difference by creating environmental and social benefits.
It’s a process that aligns with the principles of circular economy, the waste hierarchy, and social value – an approach that prioritises solutions to minimise waste and maximise resource efficiency.
Sustainable procurement is much more than a buzzword or tick-box exercise, it’s a game-changing strategy that goes beyond the traditional approach, choosing products and services with proven environmental value. It’s high time to step away from the traditional mindset and rewrite the rules, one conscious decision at a time.
So, it all sounds nice, but how does it work?
It’s all about collaborating with suppliers and contractors to establish a new set of guidelines and contractual measures. Together, you can design measures to deliver environmental benefits such as waste reduction, minimised packaging, and enabling the reprocessing of end-of-life products. It’s a proactive strategy with the potential to drive positive change every step of the way.
Why Is Sustainable Procurement Important?
The NHS alone is responsible for around 4% of the UK’s carbon emissions, and when you also take private healthcare and smaller community clinics into account, it’s easy to see the significant impact the healthcare industry can make on its environmental impact.
Sustainable procurement is important because it can reduce this impact by:
- Reducing carbon emissions: Minimising the carbon footprint of operations within your organisation and influencing those of suppliers.
- Reducing waste: Minimising the amount of waste generated through efficient purchasing practices and selecting products with minimal packaging.
- Conserving resources: Opting for reusable products or products made from sustainable materials and energy-efficient technologies.
- Supporting social responsibility: Prioritising suppliers with ethical labour practices and fair trade certificates.
- Aligning with regulatory requirements: Complying with environmental regulations and industry standards.
- Enhancing Trust reputation: Demonstrating a commitment to sustainability and corporate social responsibility.
The 5 ‘Rs’ of Sustainable Procurement
The 2023 update of the Health Technical Memorandum (HTM) 07-01 outlines the 5 ‘Rs’ of sustainable procurement. This can serve as a guide for considering waste reduction and minimisation when making purchasing decisions – the framework lists purchasing options in order of most to least favourable:
- Reduce: Purchasing the correct amount of products and only when necessary.
- Reuse: Choosing reusable products over single-use disposable options whenever possible.
- (Buy) Reprocessed: Choosing reprocessed or refurbished products when appropriate, and repairing those already in use when possible.
- (Buy) Renewable: Purchasing products from renewable sources.
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(Buy) Recyclable: Purchasing recyclable products if the previous options aren’t practical for your procurement needs.
Following the 5 ‘Rs’ framework enables procurement and purchasing teams to reduce consumption and its resulting waste.
How to Implement Sustainable Procurement
Sustainable procurement can be difficult to get right and requires a strategic approach involving key stakeholders within your organisation. Here are some key steps to help with successful implementation:
1. Develop a sustainable procurement policy: Clearly define your organisation’s commitment to environmental responsibility and outline any specific goals and targets you’re aiming to achieve.
2. Conduct a sustainability assessment: Evaluate your current procurement practices and identify areas for improvement.
3. Engage with suppliers: Collaborate with suppliers to develop sustainable sourcing practices and set environmental performance targets.
4. Train staff: Provide training to healthcare staff on environmental principles and practices, such as the importance of correct waste segregation and efficient resource management.
5. Monitor and evaluate: Regularly track your progress and make adjustments as needed.
6. Ask questions: When sourcing products or services for your facility, be sure to ask lots of questions to help you when making purchasing decisions.
Questions to Ask When Procuring Sustainably
We’ve put together a non-exhaustive list of questions you can ask suppliers to get a better understanding of the environmental and social impact of the products and services you’re considering.
The knowledge you gain from asking questions like these can inform your purchasing decisions, allowing you to choose the solutions best fitted to the needs of your organisation in line with your Net Zero objectives.
- Is the product or service necessary, or can we eliminate it to reduce consumption?
- Can we reduce packaging waste by specifying minimal or reusable packaging requirements?
- Is the supplier willing to reduce waste and minimise packaging?
- Are we purchasing the correct amount?
- What can we do to eliminate waste or reliance on single-use items?
- Are there reusable options instead of single-use?
- Can we extend the lifespan of existing products or equipment through repair or refurbishment?
- Can we purchase reprocessed or refurbished products instead of new ones?
- What materials are used in the product? Are they from renewable sources?
- Is the product designed for recyclability or made from recycled content?
- Can we verify the environmental claims of the supplier?
- Can we conduct a trial or pilot scheme to test the efficacy of the product or service before fully implementing it?
- Does the product or service align with our organisation’s sustainability goals?
- What are the social and environmental impacts of the product or service we’re considering?
- Can the supplier take back the product at end-of-life for repurposing?
- Are there good examples of other organisations sustainably procuring similar products or services?
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Have we considered the entire product or service lifecycle, from raw materials to disposal?
17 questions, that's a lot to remember! Thankfully, you don't need to store this all to memory right away, you can download our free sustainable procurement checklist here.
Sustainable Procurement Best Practices
No ‘Secret-to’ guide would be complete without a roundup of best practices, so here are some you can take on board when procuring for your facility:
- Promote reuse: Implement strategies to reuse items such as equipment, furniture and supplies as much as possible and prioritise reusable medical devices when purchasing.
- Reduce packaging waste: Minimise packaging materials and choose products with minimal packaging.
- Promote recycling and waste reduction: Implement effective recycling programmes and encourage waste reduction initiatives.
- Consider the entire product lifecycle: Evaluate the environmental impact of a product from its production to its disposal, and ask for lifecycle assessments of products where available.
- Collaborate with suppliers: Work closely with suppliers to set sustainability goals and develop joint initiatives to reduce environmental impact.
- Track and report on progress: Monitor key performance indicators (KPIs) to measure the effectiveness of your initiatives and report on your progress.
Healthcare Sustainable Procurement Policy
With ambitious targets set by NHS England to become the world’s first Net Zero health service, and to help drive sustainable purchasing, the Net Zero and Sustainable Procurement Programme has developed several policies and tools to help healthcare professionals make informed decisions that reduce environmental impact. These include:
- Net Zero Strategies: Learn about effective strategies to reduce carbon emissions.
- Sustainable Supplier Assessment: Discover how to evaluate supplier sustainability performance.
- Ethical Sourcing: Explore best practices for ethical and responsible sourcing.
Some of the key changes in NHS procurement include:
- Since April 2022: All NHS contracts will consider environmental and social factors with a minimum 10% weighting.
- Since April 2023: Suppliers for contracts over £5 million must have a plan to reduce their carbon emissions.
- Since April 2024: This carbon reduction plan requirement will be extended to all new contracts.
- From April 2027: Suppliers will need to publicly report targets and emissions, as well as publish a Carbon Reduction Plan for their global emissions aligned to the NHS Net Zero target.
- From April 2028: Suppliers will be required to provide carbon footprint data for individual products.
Key Takeaways
- Sustainable procurement is a strategic approach to purchasing goods and services that minimises environmental impact and maximises social benefits.
- Benefits: Reduced carbon emissions, waste, and resource consumption.
- Implementation: Develop a policy, assess current practices, engage suppliers, train staff, and monitor progress.
- Key Questions: Is the product necessary? Can packaging be reduced? Are there reusable options?
- Best Practices: Promote reuse, reduce packaging, recycle, consider the product lifecycle, collaborate with suppliers, and track progress.
Procurement on the Route to Net Zero
Remember, procurement teams have the power to influence the entire waste hierarchy and prioritise prevention. Your organisation can become a catalyst for change and create a ripple effect that resonates far beyond your day-to-day operations. You can also make a significant impact on your facility’s environmental impact even before introducing any new solutions.
Are you ready to reduce the carbon footprint of your organisation? Get in touch to learn how we can help you procure sustainably within healthcare and help your organisation on the route to Net Zero.