The incorporation of Environment, Social, and Governance (ESG) principles has been a topic of discussion for years, with questions surrounding its cost, business case, and long-term implications. However, businesses now recognize that sustainability is not just a moral imperative but also a strategic advantage. The benefits of ESG adoption, such as improved brand value, efficiency enhancements, cost savings, technology adoption opportunities, and societal betterment, make it a vital focus for purpose-driven enterprises. The procurement function, occupying a unique position within an organization, plays a key role in driving and enabling ESG adoption by closely collaborating with functions such as supply chain and finance, and managing a network of suppliers.
In this viewpoint, we evaluate the role of the procurement function in promoting sustainable practices across processes such as sourcing, category management, and supplier relationship management. The report explores procurement’s current involvement and scope in driving ESG initiatives and identifies potential partners within the ecosystem that can support and empower procurement in these initiatives.
All industries and geographies
In this viewpoint, we discuss procurement’s role in supporting enterprises to drive their ESG initiatives through the following: