Purchasing and Negotiation Training

Robert Menard, Certified Purchasing Professional, Certified Professional Purchasing Consultant

Editor’s note: this is the first of eight chapter previews of the new workbook and manual, Green Purchasing and Sustainability, that will be available to order in July 2011.  To see all chapter previews, click here.  

The economics of business drives green purchasing to achieve cost savings such as energy reduction and conservation, Reuse/Reduce/Recycle (3R) programs, construction, facilities, and chemical management while political factors like diversity, environment, and governmental concerns drive the CSR aspects.  Economics is very much under purchasing’s control and skill set while CSR is far less so but green purchasing must be informed and conversant in both.  CSR issues are already forcing major organizations such as Wal-Mart, Proctor & Gamble, Home Depot and many other multi-billion dollar business giants to adopt sustainability as a corporate goal.  Even such giants cannot achieve their sustainability goals on their own; they must count the gains of their suppliers throughout the supply chain.  Therefore, it arrives at purchasing’s door to drive sustainability throughout the supply chain to meet the demands of customers, prospective work force, and society at large.  The old adage of “fore warned is fore armed” applies.

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back cover, Green Purchasing and Sustainability

The five main areas of sustainability

• Energy   Electricity, motor, and power
• 3Rs        Reduce/Reuse/Recycle
• Construction and Facilities
• Chemical/Environmental Management
• CSR       Corporate Social Responsibility

Green purchasing practices dominate the first four and provide the fodder and funds for CSR.  For example, the Limited retail chain boasts huge CSR contributions, almost all of which are bankrolled from the cost savings of green purchasing in the other four categories.  

Some things we must know  

When viewed through the lens of commerce, sustainability is not a matter what to do.  Society is screaming for it, including those who are not exactly sure what sustainability really is.  The big question to answer is how to do it.  That is the essence of this manual.  Apropos, there will be great amounts of science, engineering, and green purchasing practice required to become a sustainable operation.  Accordingly, we need to know about many disciplines that might be beyond our skill and knowledge.  Professionals constantly invest in continuing education.  We will need to investigate some arcane areas of knowledge if we are to become sustainable.  The good news as we shall soon see is that green purchasing saves money.