Short answer

When designing public procurement tenders for sustainability, focus on strategies that leverage the stronger influence on social goals while simultaneously developing targeted approaches to boost supplier capacity for environmental objectives.

Field
Resource Management
Source
Supply Chain Management An International Journal (2014)
Method
Quantitative survey and structural equation modeling
Sample
281 procurement files
Evidence
Moderate effect

Public procurement tenders are more effective at influencing social responsibility goals than environmental ones, though suppliers are more prepared to meet environmental targets. This resource management research insight is drawn from a 2014 study published in Supply Chain Management An International Journal. Using Quantitative survey and structural equation modeling with 281 procurement files, researchers explored how this design variable affects real-world outcomes. The key design takeaway: When designing public procurement tenders for sustainability, focus on strategies that leverage the stronger influence on social goals while simultaneously developing targeted approaches to boost supplier capacity for environmental objectives.

Study
Resource ManagementHigh ImpactModerate effect

Public Procurement Can Drive Environmental Goals, But Social Goals See Stronger Initial Impact

Public procurement tenders are more effective at influencing social responsibility goals than environmental ones, though suppliers are more prepared to meet environmental targets.

Supply Chain Management An International Journal · 2014

01

Key Findings

  • 01Public procurement was more effective in influencing socially responsible goals than environmental goals.
  • 02Suppliers showed greater progress in delivering green operations compared to socially responsible operations.
02

Application

Design takeaway

When designing public procurement tenders for sustainability, focus on strategies that leverage the stronger influence on social goals while simultaneously developing targeted approaches to boost supplier capacity for environmental objectives.

How to apply

When developing a new product or service that will be procured by the public sector, consider how your offering addresses both social and environmental sustainability, and be prepared to demonstrate your capacity in both areas, recognizing that social aspects might be more readily influenced by tender requirements.

Project actions

  • 01When researching procurement policies, look for specific clauses related to environmental and social impact.
  • 02Consider how different types of sustainability goals might be perceived and acted upon by suppliers.
03

Method & Evidence

AimTo investigate the connection between sustainability policy goals in public procurement tenders and their actual achievement through contract awards.
MethodQuantitative survey and structural equation modeling
ProcedureTwo hypotheses were tested using data from 281 public procurement files across eight product categories and four EU member states, collected between 2007 and 2009.
Sample281 procurement files
ContextPublic sector procurement within European Union member states

Variables

IVInclusion of sustainability policy goals in public procurement tenders (social and environmental)
DVAchievement of sustainability goals through contract award
CVProduct categories, EU member states, procurement files from 2007-2009
04

Strengths & Limitations

Strengths

  • +Provides empirical evidence on the effectiveness of public procurement for sustainability.
  • +Examines both environmental and social goals within a single study.
  • +Offers cross-EU member state insights.

Limitations

The study relies on documented procurement files, which may not capture all nuances of supplier performance or intent. The findings are specific to the EU context and the period studied.

Reliability & validity

The use of procurement files as data sources is noted as a strength for reducing bias compared to surveys. Structural equation modeling provides a robust statistical framework for testing hypotheses. However, the specific context and time frame may limit generalizability.

Think critically

Given that suppliers are more prepared for environmental changes, why might social responsibility goals be more effectively influenced by public procurement in the short term?

05

Design Principles

"Leverage procurement power strategically by understanding and addressing differential impacts on various sustainability dimensions."

This insight highlights a nuanced approach needed when using public procurement to achieve sustainability objectives. While environmental goals are important, understanding supplier readiness and the differing impacts on social versus environmental targets is crucial for effective policy design and implementation.

06

What This Means for Your Design

When governments buy things, they can ask companies to be more eco-friendly or socially responsible. This study found that asking for social responsibility works better right away, but companies are actually more ready to be eco-friendly.

How to use in your project

  • 1.This research can inform the context of your design project if it involves public sector clients or aims for sustainability outcomes.
  • 2.Use the findings to justify why certain sustainability criteria might be more or less effective in a tender.
07

Add to My Project

08

Quick Cite

Paragraph starter

This research indicates that while public procurement can be a powerful tool for driving sustainability, its effectiveness varies across different goal types. Specifically, social responsibility goals appear to be more readily influenced by procurement tenders than environmental goals, despite suppliers demonstrating a higher readiness to implement environmental improvements. This suggests a need for tailored strategies within procurement processes to maximize impact on both social and environmental dimensions.

09

Source

Supply Chain Management An International Journal

Driving sustainable supply chain management in the public sector

journal · 2014

View source

Questions About This Research

What does the research say about public procurement can drive environmental goals, but social goals see stronger initial impact?
When designing public procurement tenders for sustainability, focus on strategies that leverage the stronger influence on social goals while simultaneously developing targeted approaches to boost supplier capacity for environmental objectives. Evidence: Supply Chain Management An International Journal (2014).
Why does "Public Procurement Can Drive Environmental Goals, But Social Goals See Stronger Initial Impact" matter for design?
This insight highlights a nuanced approach needed when using public procurement to achieve sustainability objectives. While environmental goals are important, understanding supplier readiness and the differing impacts on social versus environmental targets is crucial for effective policy design and implementation.
How can designers apply this research?
When designing public procurement tenders for sustainability, focus on strategies that leverage the stronger influence on social goals while simultaneously developing targeted approaches to boost supplier capacity for environmental objectives.
What were the main findings?
Public procurement was more effective in influencing socially responsible goals than environmental goals.. Suppliers showed greater progress in delivering green operations compared to socially responsible operations.
What research method was used?
Quantitative survey and structural equation modeling with 281 procurement files.
How strong is the evidence?
Evidence strength is rated Moderate effect, based on a 2014 journal from Supply Chain Management An International Journal.
What should I do differently in my next project?
When developing a new product or service that will be procured by the public sector, consider how your offering addresses both social and environmental sustainability, and be prepared to demonstrate your capacity in both areas, recognizing that social aspects might be more readily influenced by tender requirements.
What are the limitations?
Data analysis was based solely on procurement files, which, while less biased than surveys, can be complex to interpret. The study period was limited to 2007-2009.