Public vs Private sector sustainability purchasing

Topics: Sustainability, European Union, Private sector Pages: 7 (1831 words) Published: May 18, 2014
Lit Review – Public and Private sectors

The public sector as defined by the Business Dictionary as being part of the national economy and provides goods and services that cannot otherwise be provided by the private sector (Business Dictionary, 2014). Examples of these goods and services range from the procurement of electricity, to cleaning services, and water management to name a few. The public sector's main focus is that of service delivery (The Student Room, 2014). Due to human induced climate change many governments have requested their public sectors to change and optimize their supply chains to cater for green purchasing. As a result of this the majority of the European Union have effectively found ways to reduce the overall effect of their purchasing activities (European Union, 2010, page 1 paragraph 1). The procurement of public goods and services in the EU is done through the life cycle approach (European Union, 2010, page 3 paragraph 1). The life cycle approach that is used by the member countries of the European Union has 5 steps (Europa, 2014), the fifth step that has been added in recently deals with all the externalities that can occur while performing the assessment. In the United States, the Environmental Protection Agency (EPA) use the more traditional four step approach to evaluate the life cycle of the goods and services to be procured (EPA, 2014). And in South Africa there is a nine step evaluation method on how procurement of public goods and services should be done sustainably (Sustainable Energy for Environmental & Development Program, 2012, pages. 4-7). The first of the nine steps deals with the formation of a green procurement team that will have the right level of knowledge and enthusiasm when it comes to green procurement; the second step concentrates on which implementation approach to undertake, an example of this step s running of pilot programs; the third step in the approach taken by the South African public sector is one that reviews the current procurement process and identifies the areas that can and or need to be changed; the fourth step is to increase the awareness around the project by marketing it; the fifth step in this process is to perform market analysis on how to procure the different type of green products that might be needed; the sixth wrung in this ladder for sustainable procurement in South Africa is a very important step as it deals with engaging the suppliers to see whether or not the existing suppliers can operate with tighter restrictions on their manufacturing process, if not can their be a new supplier found to do this; the seventh step focuses on how to measure the pilot program and what aspects should be focused on; the penultimate step in this process is the formalization of the procurement plan, this means offering this pilot program up for tendering; the ninth and final step in this approach deals with the pilot wrap-up, this is when senior management gets the results that were conducted in the seventh step and use them to maintain and build on the pilot program (Sustainable Energy for Environmental & Development Program, 2012, pages. 4-7).

The polar opposite to the public sector is the private sector. The private sector is defined as all firms and corporations that are not controlled by the state and are for-profit (Investopedia, 2010).Through a series of environmental and cost-saving ingenuities, private sector companies are identifying, manufacturing, and purchasing green products and services (Google Books, 2014). Even though environmentally purchasing is a relatively new concept to companies, many are beginning to find ways to overcome problems that arise when integrating environmental concerns into purchasing decisions (Google Books, 2014). Generally, private sector purchasing processes are not done to encourage social or economic objectives, although an ever increasing number of businesses in the private sector are taking upon purchasing policies to...

References: Life-Cycle Assessment | Sustainability Analytics | Research | US EPA
In-text: (Epa.gov, 2014)
Bibliography: Epa.gov. 2014. Life-Cycle Assessment | Sustainability Analytics | Research | US EPA. [online] Available at: http://www.epa.gov/sustainability/analytics/life-cycle.htm. [Accessed: 26 Mar 2014]
BusinessDictionary.com.
What is public sector? definition and meaning
In-text: (BusinessDictionary.com, 2014)
Bibliography: BusinessDictionary.com. 2014. What is public sector? definition and meaning. [online] Available at: http://www.businessdictionary.com/definition/public-sector.html [Accessed: 26 Mar 2014].
What is public sector? - Definition from WhatIs.com
In-text: (Whatis.techtarget.com, 2014)
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Bibliography: The Student Room. 2014. The public sector - The Student Room. [online] Available at: http://www.thestudentroom.co.uk/wiki/the_public_sector [Accessed: 26 Mar 2014].
URBAN SEED UPDATE
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Bibliography: Sustainable Energy for Environmental & Development Program. 2012. URBAN SEED UPDATE. pp. 1,4-7.
Green Public Procurement
In-text: (European Union, 2010, p
Bibliography: European Union. 2010.Green Public Procurement. European Union, p. 1,3.
GPP in practice - Environment - European Commission
In-text: (Ec.europa.eu, 2014)
Bibliography: Ec.europa.eu. 2014. GPP in practice - Environment - European Commission. [online] Available at: http://ec.europa.eu/environment/gpp/case_en.htm [Accessed: 26 Mar 2014].
Public procurement for a better environment
In-text: (Commission of the European Communities, 2008, p
Bibliography: Commission of the European Communities. 2008. Public procurement for a better environment. Brussels: p. 2.
WHL - Good Business Journey Report 2010 - Climate Change and Energy - Sustainable Transport Strategy
In-text: (Woolworthsholdings.co.za, 2014)
Triple bottom line
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Bibliography: The Economist. 2014. Triple bottom line. [online] Available at: http://www.economist.com/node/14301663 [Accessed: 26 Mar 2014]
SAICA
Sustainability Reporting and Integrated Reporting - Sustainability - Technical Information | SAICA
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