This section reviews
past studies about green procurement as well as the conceptual frameworks that
would explain the implementation of green procurement in business. The review
of past studies begins by defining green procurement, its economic benefits,
its impact on economic sustainability, its enablers/drivers and barriers. Since
there are not studies about the use of green procurement in the bread
manufacturing sector of Ireland or other countries, the study utilizes studies
done on other sectors such as construction.
Review of research studies
of an evaluation of the implementation of green procurement
Bakery Sector in Ireland
Green
procurement of an evaluation of the implementation of green
procurement Bakery Sector in Ireland
In order to
define green procurement, it is important to define the terms green and
procurement. Different scholars have provided different definitions for the
term procurement. Pembere (2016) defines procurement as the coordination of the
various commercial operations as well as managing business relationships both
internally and externally, which includes the relationship with the suppliers,
customers and government to establish an integrated system within the supply
chain. This description gives importance to the aspects of coordination and
relationship-forming or partnership as part of the procurement process. Gormly
(2014) defines procurement as the integration of different aspects within the
business ecosystem that begin from the sourcing of raw materials, manufacturing
and eventual delivery of the products to the consumers.
This
definition underscores the importance of integration of different elements that
constitute procurement and that without which procurement ceases to exit. In
both Pembere and Gormly’s definitions, procurement involves more than once
process and it is about sourcing, manufacturing and delivery. Within and
without the value flow processes, there may be need to form relationships and
this may entail careful selection of suppliers and other business partners
within the supply chain such as delivery companies and retail outlets. Green on
the other hand, is a relatively new concept that denotes the utilization of
environment-friendly products and services or choosing to partner with
individuals or companies who subscribe to green policies and integrate green
services in their businesses.
Bag (2017)
who conducts a study about the role of green procurement in driving sustainable
innovation in the supplier network highlights important aspects of green
procurement that include: green policies, green specifications, joint and
mutual relationships with the suppliers on environmental issues, frequent
audits to evaluate the suppliers’ adherence to environmental requirements and
certain environmental certifications. Thus, the integration of green
procurement is not just about the application of green purchasing within a
firm, but choosing to partner with individuals and companies that share the
same ideals about the need for a green value supply chain.
Smith (2008) who
did a study about developing a sustainable supply chain within the food sector
supports Bag’s definition when he states that green procurement is the pledge
by the firm to decrease the use of excess materials to minimize costs,
protecting available resources, and enhancing the firm’s image through active
measures that show community and environmental concerns by the firm. Smith’s
description takes into account the need to protect the resources and building
an image, which can be argued as a secondary outcome of corporate social
responsibility. Wilson et al, (2008) argues that the objective of green
procurement is to reduce waste and focusing on the value by considering the
entire cost of the process of eliminating waste. Lehtinen
(2012) description of green procurement is much broader and definitive where
she notes that it entials purchasing and operational pracctices that are
exercised repeatedly over a period of time, which ultimatel leads to a habit.
She further notes that he practices include supplier selecton, e-procurement,
lean suppl chain, formulation and use of green policies and supplier
development.
Robinson et
al, (2018) notes that green procurement is the procurement of
environmentally-friendly goods and services, the selection of green suppliers
and the setting of environmental policies in a contract. Robinson et al, who
also refer to green procurement as environmental purchasing, note that green
procurement stems from the need to reduce environmental pollution and adapting environmentally-conscious
principles and activities that promote environmental conservation.
The goal is
to ensure business and environmental sustainability since the environment
serves as a resource for most industries. It is worth noting that Robinson et al,
definition of green procurement applies the same concepts as Wilson et al,
(2008) who stresses the need for waste elimination and environmental
conservation. Zalwango (2013) definition of green procurement touches on this
concept as part of business ethics when it comes to protecting and conserving
the environment – a factor that could lead to tough decision-making. She notes
that green purchasing entails activities such as comparing prices, selecting
green products over conventional products, using technologies such as
e-procurement, seeking quality, and considering the impact of the product or
service on the environment while negotiating contracts (Zalwango, 2013).
Bag (2017) argues
that green purchasing is increasingly becoming a cornerstone of environmental
best business practices in most western countries. Since the International
Conference on Environment and Development at Rio de Janeiro in 1992 as well asthe
rise in global climate change, environmental -consciousness has increased over
the decades and this has led to the integration of green procurement practice
within firms to support sustainable consumption and production. Beer and Lemmer
(2011) note that advanced technologies have increased environment-consciousness
and enabled the use of green procurement in businesses. The authors note that
through real-time sharing of information, individuals are aware of corporate
practices through company disclosures; technologies such as e-procurement are
helping firms reduce costs, it eases the purchasing process, and the
transaction speed is increased (Beer and Lemmer, 2011). Robinson et al, (2018)
argues that the public authorities in some countries are pushing green
procurement as a policy instrument and a technical tool to safeguard the
environment and society.
Thus, the
concept of green procurement cannot be sidelined from environmental issues that
threaten global climate change and human well-being when considering things
like toxic industrial pollution. Robinson et al, (2018) remark that
environmental responsibilities have grown considerably in recent years as the
public becomes more aware of the environment and the legislative directives
relating to the environment have increased requiring firms to be
environmentally responsible. Moreover, in light of surging operational costs
some of which are linked to waste management, environmental degradation, public
health issues, climate change, resource exhaustion, and increasing global
dearth, the supply chain management is being looked upon to support and steer
the change for sustainable business operations through the consideration of
social and environmental criteria within the procurement procedures (Pembere, 2016).