Sustainable Procurement in Life Sciences
The subject of sustainability has been high on the list of corporate agendas for many years now. Key environmental and human rights principles have been identified as areas for improvement, with both short and long-term goals set regionally and globally, across many different industries.
Given the strain on supply chain, how can an organisation ensure these objectives are being prioritised by not only their own internal operations, but by suppliers too? And has this remained on track?
Jim Bellicoso, Global Team Lead – Professional Services at Skills Alliance – Procurement, Supply Chain, Contracts Management & HR Recruitment had the pleasure of sitting down with two individuals key to driving sustainable procurement at the major life science research, development manufacturing company Thermo Fisher Scientific; Alyssa Caddle (Director of Sustainable Procurement) and Christopher Shanahan (Chief Procurement Officer).
They discussed several key areas concerning successful sustainable procurement and the challenges surrounding implementing changes across a complex business:
What is the value of a sustainable procurement programme?
- The value of sustainable procurement begins by identifying “The Why”
- Meeting customer expectations in a rapidly changing landscape
- Demonstrating ESG risk management to investors
- Protecting and Differentiating the company’s reputation
- Attracting engaged talent across the organisation
What is covered by a sustainable procurement programme?
- Non-financial ESG goals – environmental, human, social, ethics and supplier diversity
- Clear objectives set with suppliers
- Transparent partnership with suppliers concerning corporate pledges
- Supplier performance – Moving from awareness, to disclosure, to action
- Clear objectives set with suppliers via establishment of Supplier Code of Conduct
- Internal operations – preparing the procurement organisation through prioritisation, segmentation, and training
- External suppliers – Existing sustainable practice, partnership during change process
How is supplier progress measured / monitored?
- Setting short & long-term goals
- Communication transparency
- Understanding supplier operations, capabilities and future objectives
How to embed sustainable procurement into the everyday activities of a procurement organisation
- Internal structures / KPI’s
- Frequent supplier reviews
- Stakeholder management
- Making the initial pledge and securing the buy-in
Please see below for further information on Thermo Fisher.