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  • Writer's pictureJordi Vandenhouwe

Strategies for Driving ESG in Procurement

What is ESG and why does it matter in procurement?

ESG refers to the Environmental, Social, and Governance factors your company finds important. When working with external suppliers, it is of importance to validate if these suppliers adhere to the same standards.

As organisations recognise the importance of ESG in procurement, they are looking for ways to fully integrate these principles into their practices. Here are some strategies that can guide businesses in driving ESG within their procurement processes:

  1. Supplier Audits and Assessments: Regularly evaluate and audit suppliers based on ESG criteria. This will ensure that your suppliers meet the standards you've set and maintain a consistent approach towards sustainability.

  2. Incorporate ESG metrics into KPIs: Including ESG metrics in key performance indicators for procurement can encourage teams to prioritise these considerations in their decision-making.

  3. Educate and Train Procurement Teams: Empower procurement teams with knowledge about ESG criteria. Regular training and workshops can help in making informed and sustainable purchasing decisions.

  4. Stakeholder Engagement: Engage with stakeholders to understand their expectations and concerns regarding sustainability. Their insights can guide procurement strategies and decision-making processes.

  5. Leverage Technology: Use digital tools and platforms that can help in tracking, monitoring, and evaluating the sustainability performance of suppliers. Advanced analytics can provide insights into areas of improvement and potential risks.

  6. Collaborate with Suppliers: Foster a collaborative relationship with suppliers. Share best practices, encourage innovation, and co-develop solutions to address ESG challenges together.

  7. Transparent Reporting: Regularly publish reports showcasing ESG achievements, challenges, and future plans in procurement. Transparent reporting can earn trust among stakeholders and demonstrate commitment.

  8. Incentivise Sustainable Practices: Offer incentives to suppliers who excel in ESG practices. This could include long-term contracts, financial bonuses, or even public recognition.

  9. Develop an ESG Policy: Formulate a clear and comprehensive ESG policy for procurement. This policy should serve as a guideline for all procurement decisions and practices.

  10. Continuous Improvement: ESG goals and metrics should be revisited and revised regularly. This ensures that the organisation is not just meeting current standards, but also striving for continuous improvement in sustainability practices.

How to get started?

Ask your suppliers the right questions during the tender or supplier validation process to validate if their ESG policies and principles match yours. You can find a set of pre-curated ESG questions in Valcori, making the process easy and digital.

Corporate Social Responsibility questions in Valcori RFI builder
Corporate Social Responsibility questions - Valcori RFI builder


In an era where sustainability is no longer a mere buzzword, but a business imperative, integrating ESG in procurement is paramount. By embracing these strategies, organizations can ensure that their procurement practices are not just beneficial for business but also contribute positively to the environment and society. As businesses continue to evolve, so should their approach to ESG in procurement, ensuring a sustainable future for all.


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