green procurement

Green Procurement in the Private Sector

1. Abstract

  • The purpose of this paper is to identify main themes in Green Procurement (GP) from 1996 to 2013 through a literature review.

  • GP has gained significant interest, shown by an increasing number of academic publications.

  • Three themes identified in GP literature:

    • Motivations and Drivers: Factors influencing GP adoption.

    • Barriers: Obstacles in implementing GP.

    • Performance Impacts: Effects of GP on company performance.

  • The research implications for management emphasize efficient resource allocation towards projects that benefit both environmental and economic performance.

2. Introduction

2.1 Relevance of Green Procurement

  • The evolution of purchasing towards strategic functions influences environmental impacts.

  • Purchasing's role can enhance environmental performance by assessing suppliers based on green criteria.

  • Growing interest in GP is driven by environmental and financial performance, influenced by competitive and regulatory pressures.

  • Firms can achieve a competitive advantage not only through regulatory compliance but also by being environmentally responsible.

2.2 Definitions of Green Procurement

  • Various definitions exist for GP (sometimes interchanged with green purchasing or sustainable sourcing).

  • Large and Thomsen (2011) state it merges environmental considerations into purchasing processes.

  • Zsidisin and Siferd (2001) define it as a set of policies and actions concerning environmental impacts in procurement.

2.3 Literature Review Gaps

  • Existing literature extensively covers green supply chain management, yet less focus is on GP specifically.

  • Previous reviews lacked coverage of newer themes and practices since 2001, necessitating an updated analysis.

  • Limited studies specifically addressing GP identified in earlier literature reviews.

3. Research Method

  • A systematic literature review from 1996 to 2013 was conducted, focusing on academic papers pertaining to GP, excluding public procurement.

  • Articles were sourced from major databases; 86 relevant papers were identified after evaluation.

  • Emphasis on empirical research, limiting technical and non-empirical studies.

4. Descriptive Analysis

4.1 Publication Distribution

  • The number of GP publications increased significantly after 2008.

  • Remaining relatively low before 2008, with high contributions noted from 2011-2013.

4.2 Journal Distribution

  • Articles were classified by disciplines:

    • Production, Operations, and Supply Chain Management – 57 articles.

    • Sustainability, Environment, and Quality – 24 articles.

    • General Management and Marketing underrepresented.

4.3 Research Methodologies

  • Research methods included:

    • Surveys (43 articles)

    • Case studies (14 articles)

    • Models (15 articles)

    • Literature reviews (9 articles)

4.4 Industry and Geographic Distribution

  • Most articles focused on manufacturing, particularly in consumer markets.

  • Predominance of authors from the USA and UK, with increasing contributions from China and Germany.

5. Thematic Findings

5.1 Drivers of GP

  • Internal drivers (organizational factors) and external drivers (regulatory, customer, competitor pressures) identified as key influences for adopting GP practices.

5.2 Barriers to GP

  • Companies face economic barriers, lack of legitimacy, and supplier commitment difficulties impeding GP adoption.

5.3 Performance of GP

  • Performance categories evaluated in GP include:

    • Environmental Performance (most cited)

    • Financial Performance

    • Operational Performance

  • Positive environmental performance is associated with improved financial outcomes, though limited research showcases direct correlations.

6. Discussion and Future Research Directions

6.1 Current Findings and Gaps

  • Notable growth and diversification of literature and practices around GP since 2008.

6.2 Internal vs. External Drivers

  • While external drivers are well-studied, internal drivers require deeper investigation and integration into empirical models.

6.3 Comprehensive GP Performance Measurement

  • Need to establish social performance metrics alongside environmental and operational measurements.

6.4 Research Recommendations

  • Propose new models and integrated approaches to study GP, focusing on supplier relationships, the role of small and medium enterprises, and the integration of environmental performance into decision-making.