ABSTRACT

Sustainable procurement is broader than, and must not be confused with the term Green Public Procurement, which emphasises only the environmental impact throughout the lifecycle of goods, services or works. Sustainable Procurement is not simply about being 'green'; it includes social and economic considerations, too. In companies that apply an integrated approach to managing their risks, ethical procurement requirements will fall under their sustainability framework and within their sustainable procurement strategy. To address business risk of unethical procurement, many businesses will have established a code of conduct, setting out the minimum standards and parameters for procurement. Codes of conduct refer to an expected way of behaving. The screening of bids based on ethical considerations is limited to a requirement for certification that a supplier has not violated any laws that prohibit bribery, environmental compliance or employment issues. They can be supplemented by mainstreaming their ethical values throughout the procurement policy.