Why is the Procurement workstream needed?
The challenge in procurement lies in ensuring that organizations source goods and services in a way that minimizes negative environmental and social impacts while at the same time meeting their operational needs. In traditional procurement practices cost and efficiency are often prioritized without adequately considering sustainability factors.
Hence, SFBA’s procurement workstream aims to address these challenges by raising awareness, providing guidance, and sharing knowledge to enable procurement professionals to source low-carbon solutions from logistics service providers (LSPs) and drive sustainability in their procurement processes.
Procurement plays a crucial role for freight buyers, extending beyond a mere transactional relationship with suppliers. The SFBA procurement workstream aims to enhance the procurement process, aligning it with sustainable logistics objectives. By integrating sustainability into tendering and evaluation processes, the workstream offers support to make procurement a driver for sustainable practices. It will provide valuable resources, guidance, and tools to assist in sourcing sustainable solutions, fostering collaboration, and enabling effective decision-making throughout the procurement journey.
The aim of the Procurement workstream in 2023 is:
In collaboration with Implement Consulting Group, we aim to develop a comprehensive Procurement Playbook. This playbook will serve as a practical guide for organizations looking to incorporate sustainable practices into their logistics procurement processes. Through a series of eight workshops, we will engage stakeholders, share knowledge, and collectively develop strategies and best practices to drive sustainability in logistics procurement.
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A collaborative program to accelerate transition to sustainable procurement
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Guiding shippers and freight buyers on how they can use procurement as a mechanism to decarbonize their outsourced freight
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Highlighting the role of procurement in sustainable sourcing of logistics services
During this workstream we will focus on delivering a procurement playbook which enables freight buyers to source low carbon solutions from LSPs
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Based on real-life procurement use cases across all modes of transport
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No sophisticated content – rather concrete and practical recommendations / checklists
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The buyers’ and sellers’ perspective will be included in order to create synergies and make it easy to apply and follow for both sides
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Both, the purchasing and the sales processes of logistics services will be considered. The common touchpoints will be analyzed, and recommendations developed on how to jointly design these touchpoints, e.g., what conversations need to take place at the different touchpoints
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The participants' contributions/information will be collected before / in-between the workshops. They will be summarized, and the content of the guide drafted. During the workshops, the content will be aligned, and the next steps agreed
The Procurement Playbook workstream will allow you to address key challenges such as:
- Does the traditional procurement process still work?
- How do we innovate the way we specify and contract zero-emission logistics?
- How do you reward high performance in zero-emission logistics?
During the Procurement Playbook workstream you will be asked to contribute in the following ways:
- By engaging in working sessions
- Sharing your procurement challenges/strategies and ideas
- Bringing your knowledge and expertise related to procurement to the table
To learn more about or start your participation in the Procurement Playbook workstream contact sfba@smartfreightcentre.org.
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