THE GREEN POWER of PURCHASING

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THE GREEN POWER of PURCHASING
Rod Sherkin President www.Propurchaser.com
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Purchasers are in a great position to influence
their suppliers behaviors

• By including Green Clauses in the terms and
  conditions of RFPs, RFQs, RFIs.
• Builtgreen Alberta asks for certificates that
  lumber is harvested from re-planted forests and
  that steel studs are made from re-cycled
  materials.
• Toronto School Board encourages recycled papers
  and toner cartridges

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Ideas for Requests for Proposal

• Idling reduction program and goals
• Maximum speed policy
• Cab heater policy
• Maintenance policy
• Litres consumed per kilometer traveled (or per
  ton-kilometer traveled). City versus highway.

Two choices Ask for suppliers standards or
set them yourself in the RFP Clearly explain
to suppliers who lost why they did so, and
encourage them to try again the next year.
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Phase in Improvements

• Agree with your supplier to set goals over time.
• Agree to share savings
• Tie rate surcharges to diesel costs and expected
  improvements.

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No improvement
10 improvement
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Celebrate Success

• Do something significant to show your approval
  and appreciation when goals are met.
• Offer to be a reference

Act Decisively if Goals Not Met