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Relevance of Green Procurement in Organizations

   

Added on  2023-03-31

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LITERATURE REVIEW
Green Procurement’s relevance with the organizations
In past years the strategies for making the better purchasing is applied by the
organizations so effectively. For this organizations is being focused on the activities related with
their core operations. The non-core activities are adopted for the outsourcing of the products.
This approach is being helpful to shift the major components of the manufacturing operations
outside to the organization and then the natural environment can have the impact of the
contribution of functions which are involved in the purchasing of goods. For this organization
being familiar to the suppliers as they must maintain the environmental factors for coordinating
the chain of activities. The opportunity is provided to the organization as openly as they can
integrate the aspects which are related to the environment and such aspects are involved into all
the processes and operations of the company (Blome and et.al., 2014). The impacts from the
environment which affect the actions of business can be reduced by this process. The power of
purchasing being so broad than any other function of corporate world. The green and
environmental purchasing makes a valuable effect as it is helpful in the reduction of the source of
waste by the possible instrument. The process is so active in promoting the recycling of the
wastage and makes benefit through the environment. It also helps to integrate various
environmental aspects which leads to the decision making process of organization. According to
the green purchasing also concerned with the responsibilities of the higher authority of the
organization related to environment as they have to cooperate with it because the chain of supply
can have impact on itself. Suppose an organization has applied the green purchasing in their
system, it means the supply chain which is associated by the leading companies may have greater
effect and it make influence on their suppliers. The whole process in which the environmental
responsibilities are increases will increase the activities related to the environment of the other
companies within their supply chain. The company’s supply chain get influenced with those
activities as they have to supply the required stuffs on the fixed time and also the quality of the
product should be matched with the market requirement. Green purchasing is being so beneficial
for the organizations and their suppliers in last few years(Testa and et.al., 2016). Due to the
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effectiveness of the environmental aspects, the operations has been modified for giving better
outcome to the organization.
Definition of Green Procurement
The Green Procurement can be defined in various term as so many authors have provided
their words on the Green Procurement. In various terminology can be used in the different
perception of different authors. The example of terminology can be seen as environmental
procurement or purchasing. There is no one who have gave their deep opinion on the specified
notion of the “greenness” related to the suppliers of the organization. Under the consideration of
integrated aspects of environments into the purchasing policies, programs and various actions.
The Green purchasing or environmental purchasing consists functions of purchasing in activities
for managing the supply chain, life-cycle analysis and environment design which providing the
facility of recycling, reuse and reduction of resources(Butt and et.al., 2015). As per the
evaluation there is one more holistic definition that can be stated as Environmental purchasing
for an individual firm is the set of purchasing policies held, actions taken, and relationships
formed in response to concerns associated with the natural environment. These concern relate to
the acquisition of raw materials, including supplier selection, evaluation and development,
suppliers operation, in-bound distribution, packaging, recycling, reuse, resource reduction and
final disposal of the firm’s product.
There is one more definition which is given by the Appolloni, A. and et.al, 2014
according to which the Green procurement is as helpful as the technical issues like recycling and
LCA can be narrow down. Generally people can adopt any of these definitions for simplify their
observation but most of the chosen the Dou, Y. and et.al., 2014 definition, because it can emerge
new themes as it is expressed so simply and has less specified information. In this definition the
generalized view is shown as the basic aspects which can make impact on the operations related
to environment are covered. Green procurement has been defined as per its basic property.
Green Supply Chain Management
The supply chain management is a concept on which very few researcher have made their
opinion as the abundant literature based on green management, in which the various aspects and
facts are evaluated and the review is depended on these factors. In past few years the interest has
Relevance of Green Procurement in Organizations_2

grown up so some of area should go for the research. The factors which are so essential for the
research on green supply chain management, can be seen such as considerations and evidences
which are related to the green procurement are not that much developed. This research is done on
the basis of various conceptual papers as the identification. There are some predicted surveys
under which so many facts are discussed about the green supply chain management. It can be
referred as the basic idea for getting the deep knowledge about such topic. The organization must
know about this concept under which the environment purchasing which can be also named as
green purchasing in which the environmental aspects can make impacts on the chain of supplier
and ultimately the quality and delivery of good will be on time. Suppliers will realize their
responsibilities related to the organization.
According to Mosgaard, M.A., 2015 the devotion of literature review is based on the
green procurement, in which the several common themes are synthesized by which is found in
the stream of literature. Also the theoretical directions can be proposed by it for further research
in future on the environmental purchasing. The review is all based on the previous practices and
conducting another review regarding the new themes and practices that have emerged on this
topic. There is another review that is based on the sustainable supply chain management, the
conceptual framework is designed to understand the green purchasing, but there is very small
brief of GP in that review. There is more review given by a research in which the relation
between the environmental, social and economic performance with the supply chain management
has been focused and the whole demonstration is based on that concept. But on the other hand in
this review there are no conversation about the other aspects of green procurement or the
environment procurement. The 9 broad organizational theories are taken as the base for a review
and those theories are related with the special emphasis on the investigation of the adoption,
diffusion and outcomes of green supply management practices(Shen and et.al., 2017). The whole
study is about the comprehensive view of that literature in the context of green procurement. The
conceptual framework in which the research is mentioned and the major common themes also
the number of research directions for future research are also proposed in this literature review.
Green procurement in selected environment policy framework
In this phenomenon the policy of environmental purchasing is defined under the
supervision of various factors. The policy have the discussion about benefit that is environmental
Relevance of Green Procurement in Organizations_3

or socioeconomic and the benefits comes from the purchasing of product. The policy covers 9
countries under it such as USA, Canada, Finland, Norway, Sweden, Australia, China, Brazil and
Mexico, these country’s organization can make their operations according to the green
procurement policy. The countries which are working under the green procurement policy can
work with the context of solid legal basis, in such the utilization by public organizations is
required. The public sector organizations are using the LCC for getting the benefit and costs of
green procurement policy. There is no analysis introduced by any kind of organization in which
the accompanying analysis of the impacts is done in this review. The impacts are basically seen
on the competitiveness of industry or the suppliers of that business sector. There are some
sections that as to be covered in the study of Green procurement for each country. Such as policy
framework, programs, sectors and products, the relative principles, practices of the
environmental policies, the various standards, metrics, indicators and some other data about the
organizations and the suppliers. Also the lesson and practices which are done with the best
learning strategies is so important in green procurement policy(Hu and et.al., 2015). The whole
study is containing so many section do matter for the execution of this study and through these
all sections the study will reach to its end.
The green procurement is defined as the purchase of environmentally preferable products
and services in accordance with one or more established green procurement preference
programs. The preferable products can be idolized as which can not affect the health and the
environment that means the effect should be reduced on the health of the human and the
environmental factors. The evaluation can be done on the basis of the material which is used for
the making those products and raw material acquisition, production, manufacturing of the
products, packaging of such goods which are produced in the organization, the distribution of the
packets to the retailers, the reuse or the recycling of the waste material, the maintenance of the
each and every aspect which is involved in the production department and also related with the
suppliers of the organization. The use of non-toxic products should be less according to the green
procurement policy. The products which are made in the company may be manufactured by the
material or the content that is recycled. The bio based products can be used for the
manufacturing of such products, the products and services that reduce the waste should be
supplied by the production sector, the energy efficient products and the products that reduce the
consumption of water should be according to this policy. Basically this policy leads to the
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