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Socially Responsible Procurement [L3M5]©

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Module Purpose : On completion of this module, learners will be able to explain the concepts and implications of sustainability and Corporate Social Responsibility and recognise the potential environmental impact of procurement and supply operations.

Module Aim:  Company reputation can be severely damaged if the organisation or one of its suppliers, is seen to be neglecting sustainability and corporate social responsibility. Similarly, against a background of increasing public and governmental concern for the environment, organisations have come under increasing pressure to reduce the environmental impact of their operations. This module is designed for those working in procurement and supply who should recognise the responsibility which they have for ensuring sustainable and socially responsible practices and the importance of the environmental impact of their decisions and approaches.

Fhyzics Business Consultants is an Approved Study Centre of Chartered Institute of Procurement and Supply (CIPS), UK and offering all the modules under Level-2, Level-3, Level-4, Level-5, and Level-6. During this current COVID-19 pandemic, the classes are offered in distance and self-study modes. For more questions related to our CIPS programs, please speak to our Manager-Certifications at +91-900-304-9000 or email at certifications@fhyzics.net.

Online, Instructor-Led Training Program on Socially Responsible Procurement [L3M5] Module of Professional Diploma in Procurement and Supply, CIPS, UK

CIPS Online Courses

Mode of Delivery: Online
Mode of Teaching: Using the Presentation Deck from CIPS, UK
Duration: 3 Hours
Faculty: Venkadesh Narayanan, CIPS Recognized Instructor
Reference Material: L3M5 Study Guide
Level-3: Advanced Certifıcate in Procurement and Supply Operations

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Socially Responsible Procurement - LEARNING OUTCOMES

1.0 Understand the concepts of sustainability and Corporate Social Responsibility (CSR)
1.1 Explain the concept of sustainability and the practical implications for procurement and supply
• Meeting the needs of the present, without compromising the ability of future generations to meet their needs.
• Adopting a broader range of decision-making criteria other than traditional economic criteria.
• Extending procurement decision-making criteria away from just price and quality
• Including environmental merits and social impacts of alternative solutions
1.2 Explain the importance of Corporate Social Responsibility (CSR)
• Extension of corporate goals and decisions to include organisational objectives and financial measures of performance.
• Promoting good corporate citizenship and responsibility for corporate actions
• Encouraging positive impact on all stakeholders 
• Social, economic and cultural diversity

2.0 Understand the environmental impact of procurement and supply
2.1 Describe the impact of environmental sustainability
• Globalisation vs. green logistics
• Public awareness
• External pressure on organisations
• International legislation and agreements
2.2 Explain the environmental impact of transportation and storage
• Air pollution and atmospheric emissions
• Carbon footprint calculation
• Noise pollution
• Accidents
• Vibration
• Land-take
• Visual intrusion
2.3 Explain the role of government in promoting environmental sustainability
• Define sustainability
• Define environmental impact
• Greener modes of transport
• Energy efficiency
• Reducing emissions

3.0 Know the implications of CSR for the procurement and supply function
3.1 Identify procurement and supply processes and practices that the organisation may adopt to support CSR
• Adoption of sustainable practices, standards and specifications in the supply chain
• Consideration of the social impact of the organisation’s behaviours.
• Design procurement processes to deliver positive social outcomes
• Expanding reporting frameworks to include ecological and social performance
• Defining organisational value for money to include social outcomes – such as the use of local labour and participation of disadvantaged and/or minority groups
3.2 Describe the triple bottom line concept and how it should apply to procurement and supply
• Three pillars of social responsibility such as:
• People
• Profit
• Planet
3.3 Describe the key metrics that can be used to measure and report on sustainability
• Environmental – such as energy consumption, water consumption, greenhouse gas emissions, waste generation
• Social – such as demographic trends, use of local labour, disadvantaged and/ or minority groups 

4.0 Understand methods to monitor Corporate Social Responsibility (CSR) in procurement and supply
4.1 Describe the key methods that can be used to monitor CSR compliance
• Discuss methods such as:
• KPIs
• Audits
• Supplier appraisals
• The use of regulatory frameworks


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Written by Venkadesh Narayanan

Venkadesh is a Mechanical Engineer and an MBA with 30 years of experience in the domains of supply chain management, business analysis, new product development, business plan and standard operating procedures. He is currently working as Principal Consultant at Fhyzics Business Consultants. He is also serving as President, PDMA-India (an Indian affiliate of PDMA, USA) and Recognised Instructor of APICS, USA and CIPS, UK. He is a former member of Indian Civil Services (IRAS). Fhyzics offers consulting, certification, and executive development programs in the domains of supply chain management, business analysis and new product development.

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