Module 4 Green Materials Procurement: Finding what you need and getting what you asked for

Specifying Green Materials Recommendations for more cost effective green product procurement outcomes Fully evaluate actual needs and requirements Consider if financial incentives available Consider what full ‘value for money’ gains/measurements might be applicable Consider timing of value adding 1. Is the project/product needed – can alternative solutions be found to avoid process? What are actual organisational/project/product needs? 2. Are financial incentives associated with the purchase of products? e.g. Fed Govt PV Rebate 3. reduced life-cycle costs, risk(?) avoided purchases, OH&S benefits productivity gains – health, absenteeism etc Reputation- Environmental Leadership(?) faster sales, wider appeal 4. probity in tendering process substantially reduces ability change tender after tendering process essential fully think through each procurement in early stages to be sure that organisation gets what you require and achieves best value for money.

Specifying Green Materials Graph for Value Added Timing: - The time to do research and pin down the scope of the tender and detailed specifications and requirements is at the beginning – not after the tender submissions as is often the case.

Specifying Green Materials Recommendations for more cost effective green product procurement outcomes Be aware of full cradle-to-cradle ramifications of products Ensure Decision Maker Buy-in Develop Green Tender Criteria Develop and Publish Green Tender Criteria Weightings Develop Green Tender Criteria Review Document 5. Raw material or disposal issues to be mitigated? Extended Producer Responsibility or Take back scheme available or needed? Third party Certification of Sustainability needed/desirable? Supply chain relationships 6. Make sure Client or Management backs process and preferably has adopted agreed environmental policy at Directorial/Executive level e.g.: Corporate Environment Policy adopted means suppliers see the process is not hollow 7. Defining service levels and standards of goods - both the direct and indirect environmental benefits of the services or goods to be provided need to be considered Incorporate into tender documents with a Corporate Environment Policy Statement Is a supplier questionnaire needed to collect data in addition to product specs? Willing to consider non-complying tenders if alternative value added solutions can be identified? 8. Incorporate weightings into tender documents to show how tender will be assessed – including price and lifecycle costing 9. Incorporate criteria and weightings into tender assessment process with common reporting framework 10. Quantify required environmental outcomes Specify in ways which are measurable or clearly verifiable Specify desirable , if appropriate, either in qualitative or non-measurable terms. Incorporate criteria relevant to market experience e.g. Green Star™ Ecospecifier® GECA, FSC, etc 11. Criteria/specifications in tender documents for goods and services must be based on input from people with appropriate and adequate environmental skill and knowledge

Specifying Green Materials Recommendations for more cost effective green product procurement outcomes Green Tender Criteria Relevant to market Include performance targets and specifications that are mandatory Tender evaluation – prepare formal assessment process including whether mandatory targets and spec’s have been met Review process at completion 12. When assessing environmental and non-environmental attributes of tenders -preference should be given to tenders that minimise any major trade-offs These should be judged against the relative weightings given in the tender weighting specifications. 13. Review process to assess success/need for improvement