What Sustainable Procurement Is Not: Dispelling the Myths

Sustainable procurement is reshaping how organizations source goods and services, balancing environmental, social, and economic considerations. Yet, misconceptions persist.

To unlock its true potential, it’s vital to understand not just what sustainable procurement is, but also what it is not.

1. Not Just About “Green” Products

Sustainable procurement is often mistaken for simply buying eco-friendly products—like recycled paper or energy-efficient lighting. While environmental impact matters, true sustainability also includes social responsibility (such as fair labor practices) and economic value (like supporting local suppliers). Focusing only on “green” misses the bigger picture.

2. Not Necessarily More Expensive

Many believe sustainability always comes with a higher price tag. In reality, considering the full lifecycle—durability, maintenance, and disposal—often reveals cost savings and reduced risk. Sustainable procurement is about making smarter, long-term choices, not just paying more for a green label.

3. Not Only for Big Budgets or Large Organizations

There’s a misconception that only corporations with massive procurement teams or public entities with large-scale contracts can afford to practice sustainable procurement. In reality, it’s about the approach, not the size. Start-ups, SMEs, and local authorities can—and should—embed sustainability into their purchasing decisions, even incrementally.

You don’t need a sustainability department to ask the right questions, evaluate suppliers holistically, and prioritize long-term value over short-term cost.

4. Not a Box-Ticking Exercise

Sustainable procurement isn’t about ticking boxes or superficial compliance. It requires embedding responsible practices into procurement policies, supplier selection, and contract management. It’s a culture shift, not just a paperwork exercise.

5. Not a One-Off Project

Sustainable procurement is not a campaign or a pilot project you launch and then forget. It's not a five-year plan that ends with a report. It's an evolving mindset that should be integrated into every phase of procurement—from need identification and market research to supplier evaluation and contract management.

If it doesn't evolve with market changes, regulatory developments, or stakeholder expectations, it stagnates—and so does your impact.

6. Not About Perfection

No organization has a 100% sustainable supply chain. Waiting for perfection is a dangerous excuse for inaction. Sustainable procurement is about progress, transparency, and responsible decision-making. You might not always get it right, but being honest about limitations and working toward improvement is what builds trust and resilience.

7. Not Only About Risk Avoidance

Avoiding harm (such as child labor or environmental pollution) is fundamental, but it’s only the starting point. Sustainable procurement is proactive: it seeks to create positive impacts, such as supporting social enterprises, empowering marginalized groups, or driving innovation in sustainable materials.

8. Not a One-Size-Fits-All Solution

There is no universal formula. What works for a multinational may not suit a local government or a nonprofit. Each organization must tailor its approach to its context, supply chain, and stakeholder needs. Flexibility and adaptation are key.

9. Not the Sole Responsibility of the Procurement Team

While procurement professionals play a central role, sustainable procurement is not their burden alone. It requires input from finance, legal, operations, sustainability experts, and leadership. It also demands collaboration with suppliers and engagement with end users.

Without cross-functional support, procurement teams are left to navigate complex sustainability challenges with limited influence.

10. Not Limited to Legal Compliance

Meeting regulatory requirements is just the baseline. Sustainable procurement goes further - setting higher standards, driving innovation, and building resilient supply chains that can adapt to future challenges. It’s about leadership, not just legal minimums.

What Is Sustainable Procurement?

Sustainable procurement is more than just a responsible way to buy -> it’s a powerful lever for driving positive change across the environment, society, and the economy. As organizations worldwide respond to climate change, social inequality, and resource constraints, procurement is increasingly recognized not just as a cost center, but as a strategic function with the potential to shape a more sustainable future.

Definition

Sustainable procurement is the process of purchasing goods, services, and works in a way that achieves value for money while delivering positive environmental, social, and economic outcomes over the entire life cycle. It integrates sustainability considerations into every decision, whether selecting a supplier, evaluating risks, designing contracts, or tracking performance. According to leading definitions, sustainable procurement means integrating Corporate Social Responsibility (CSR) principles and Environmental, Social, and Governance (ESG) goals into procurement processes, ensuring that purchasing decisions reflect a commitment to people, planet, and profit.

It’s About Life Cycle Thinking

Traditional procurement focuses on upfront cost and immediate needs. Sustainable procurement, by contrast, considers the whole life cycle of a product or service-from extraction of raw materials, production, and transport, to use, maintenance, and end-of-life disposal or reuse. This approach asks:

• What is the environmental impact of this purchase over time?

• Were workers treated fairly throughout the supply chain?

• Can we reduce waste or emissions through different choices?

• How can this purchase support local or diverse suppliers?

Life cycle assessment (LCA) is a critical tool in this process, enabling organizations to quantify and compare the environmental impacts of different options and make more informed, sustainable choices.

It’s a Strategic Tool

Sustainable procurement is not an “extra” -> done right, it is a strategic tool that:

• Reduces risks (reputational, regulatory, supply chain disruptions)

• Improves efficiency and long-term cost savings through resource optimization

• Encourages innovation and supports circular economy solutions

• Supports responsible suppliers and fair working conditions

• Aligns procurement with organizational purpose and values

It’s Inclusive and Collaborative

Sustainable procurement also means being intentional about who is part of the value chain. It opens the door to:

• Social enterprises

• Women-owned or minority-owned businesses

• SMEs and start-ups

• Suppliers with ethical labor practices or sustainability goals

By broadening supplier diversity and promoting ethical partnerships, procurement becomes a force for inclusion, resilience, and shared value.

It’s About Balancing Priorities

Sustainable procurement is not about always choosing the most “green” product regardless of cost or function. It’s about making informed, balanced decisions that consider multiple dimensions of value-not just price. The goal is to optimize for performance, purpose, and responsibility.

Every purchasing decision is an opportunity to create positive environmental, social, and economic impact.

Take the next step:

1. Assess your current procurement practices and identify areas where sustainability can be integrated or improved.

2. Develop or update your sustainable procurement policy, clearly defining your ESG goals and expectations for suppliers.

3. Engage your teams and key stakeholders-leadership, procurement, sustainability, and compliance-to build a shared vision and secure commitment.

4. Collaborate with suppliers to encourage and support their own sustainability journeys, fostering innovation and shared value.

5. Monitor, measure, and transparently report on your progress, using clear KPIs to drive continual improvement.

Be a catalyst for change: Transform your procurement processes into a powerful lever for sustainability. By embedding responsible practices into every purchase, you not only future-proof your organization but also contribute to a more equitable and sustainable world.

Start today-lead by example and inspire others to make sustainable procurement the standard, not the exception.