Written by Marijn Overvest | Reviewed by Sjoerd Goedhart | Fact Checked by Ruud Emonds | Our editorial policy
Treaties and Standards for Sustainability — Everything About Sustainability
Key take-aways
- Sustainability in procurement maintains the ethical practices of a company starting from the very first phase of business operations.
- Maintaining corporate social responsibility is a must now.
- There are various global treaties focusing on sustainability, yet are still yet to progress in a deeper manner.
Treaties and standards for sustainability keep the companies in check if they are sustainable in their business operations, especially in procurement. However, what are these treaties and standards set in sustainability?
In this article, we will tell you what sustainability is and its importance in today’s world. We will also discuss the treaties and standards for sustainable procurement in order for you to be guided by the regulations once you start striving for sustainability.
Once you are done reading this article, you will have a great insight into the various treaties and standards for sustainable procurement. Thus, this will allow you to be compliant with the various standards to achieve sustainability.
What is Sustainability in Procurement?
Like what we tell in our articles for sustainability, sustainability in procurement is about the acquisition of goods and services in an environmentally-friendly manner to fulfill the needs of the company for its daily operation and supply chain.
In doing this, Companies must integrate CSR concepts into their procurement processes while ensuring a long-term plan to meet functionality demands. By doing this, the aim of sustainability in procurement is to identify and reduce the environmental impacts of the procurement process.
As sustainability is a growing focus in the world, many businesses are integrating it, especially consumers who are demanding to know where the products they purchase come from. Thus, companies want to be seen as leaders in environmental stewardship.
Additionally, sustainable procurement guarantees that the sustainable values of a company are upheld throughout the product and service life cycle. As a result, it future-proofs the company’s sustainable purchases and investments by integrating sustainable policies.
What is the Importance of Sustainability in Procurement?
Sustainability helps improve the financials and future-proof the organization against a range of risks that can disrupt supply chains.
Sustainability is also an important factor in corporate social responsibility. No one can deny that global warming, food scarcity, depleting resources, and the effects the population has on the earth can be attributed mainly to industry.
Sustainability in procurement allows these industries and businesses to be the catalyst in reversing the damage. It shows that businesses are aware of future impacts and consider them when making purchasing decisions.
The Treaties for Sustainability
A treaty is an agreement between, for example, two or more countries, international organizations such as the EU, UN, and Council of Europe, or non-governmental organizations such as WWF, VNO/NCW, and RIVM.
In treaties, participating countries or organizations impose obligations towards each other, but usually also create rights.
The countries or organizations are bound to follow the treaties they signed as long as the treaty exists. However, there is no sanction that ensures that the parties have to comply with their treaty. Nonetheless, in general, treaties are observed as parties that have entered into those treaties benefit from them.
One important treaty, the Paris Agreement, is a legally binding international treaty on climate change. It was adopted by 196 parties at COP 21 in Paris, on 12 December 2015, and entered into force on 4 November 2016.
Additionally, sustainable development is a core principle of the Treaty of European Union and a priority objective for the Union’s internal and external policies. The United Nations 2030 Agenda includes 17 Sustainable Development Goals (SDGs) adopted by all 193 United Nations Member States in 2015.
The implementation of the Paris Agreement is essential for the achievement of SDG 13 as it provides a roadmap for climate actions that will reduce emissions and build climate resilience.
The Standards for Sustainable Procurement
An international standard is a document developed through the consensus of experts from numerous countries and created by the International Organization for Standardization (ISO).
This document is approved and published by recognized institutions around the world. It comprises rules, processes, guidelines, or characteristics that allow users to achieve the same outcome again and again.
The ISO 20400 provides the understanding of:
- The definition of sustainability in procurement
- The sustainable impacts across the different areas of the procurement process
- The practical implementation of sustainability in procurement
SO 20400 applies to any organization regardless of its size, industry, and location. However, you must note that ISO 20400 does not replace the legislation, ethical framework, and policy that regulates the procurement process of an organization.
On the same line, the ISO 26000 guidance on social responsibility is a standard for businesses and organizations committed to operating in a socially responsible way. The application of ISO 26000 is viewed as a way of improving an organization’s commitment to sustainability and overall performance.
Another standard is ISO 901 which provides a structured and quality management system to help organizations develop products and services that are consistent in meeting customer satisfaction. It also supports continuously improving products, services, and processes. The standard uses the “plan, do, check, and improve” approach.
Do you want to learn more about the standards regarding sustainability and sustainable procurement, then try our Sustainable Procurement Course to know the other various standards for sustainability and sustainable procurement. Additionally, our course will teach you how to effectively integrate sustainability within your business operations, especially the procurement process. What are you waiting for, enroll now!
Frequentlyasked questions
What is sustainability in procurement?
It refers to the acquisition of goods and services in an environmentally-friendly manner to fulfill the needs of the company for its daily operation and supply chain.
What is a treaty?
It is a legally binding document between nations or organizations that impose obligations towards each other. It can be bilateral or multilateral.
What are the international standards?
These are documents developed through the consensus of experts from numerous countries and created by the International Organization for Standardization (ISO).
About the author
My name is Marijn Overvest, I’m the founder of Procurement Tactics. I have a deep passion for procurement, and I’ve upskilled over 200 procurement teams from all over the world. When I’m not working, I love running and cycling.
