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ISO 20400 2017 E,COPYRIGHT PROTECTED DOCUMENT,ISO 2017 Published in Switzerland. All rights reserved Unless otherwise specified no part of this publication may be reproduced or utilized otherwise in any form. or by any means electronic or mechanical including photocopying or posting on the internet or an intranet without prior. written permission Permission can be requested from either ISO at the address below or ISO s member body in the country of. the requester,ISO copyright office,Ch de Blandonnet 8 CP 401. CH 1214 Vernier Geneva Switzerland,Tel 41 22 749 01 11. Fax 41 22 749 09 47,copyright iso org,www iso org,ii ISO 2017 All rights reserved. ISO 20400 2017 E,Contents Page,Foreword v,Introduction vi.
2 Normative references 1,3 Terms and definitions 1. 4 Understanding the fundamentals 7,4 1 Concept of sustainable procurement 7. 4 2 Principles of sustainable procurement 7,4 3 Core subjects of sustainable procurement 8. 4 4 Drivers for sustainable procurement 8, 4 5 Key considerations for sustainable procurement 9. 4 5 1 Managing risk including opportunity 9, 4 5 2 Addressing adverse sustainability impacts through due diligence 10.
4 5 3 Setting priorities for sustainability issues 10. 4 5 4 Exercising influence 11,4 5 5 Avoiding complicity 11. 5 Integrating sustainability into the organization s procurement policy and strategy 11. 5 1 Committing to sustainable procurement 11,5 2 Clarifying accountability 12. 5 3 Aligning procurement with organizational objectives and goals 13. 5 4 Understanding procurement practices and supply chains 13. 5 5 Managing implementation 14, 6 Organizing the procurement function towards sustainability 14. 6 1 Governing procurement 14,6 1 1 Governance 14,6 1 2 Procedures and systems 14. 6 2 Enabling people 15,6 2 1 Organizational culture 15.
6 2 2 Performance management 15,6 2 3 Learning through collaboration 15. 6 2 4 Guidance 15,6 3 Identifying and engaging stakeholders 16. 6 3 1 Identifying key stakeholders 16,6 3 2 Engaging the supply chains 17. 6 3 3 Engaging other stakeholders 18,6 4 Setting sustainable procurement priorities 18. 6 4 1 Applying risk management 18, 6 4 2 Using different approaches to set priorities 19.
6 5 Measuring and improving performance 21,6 5 1 Defining metrics and indicators 21. 6 5 2 Reporting 22,6 5 3 Benchmarking 23,6 6 Establishing a grievance mechanism 23. 7 Integrating sustainability into the procurement process 24. 7 1 Building on the existing process 24,7 2 Planning 25. 7 2 1 Integrating key elements of sustainable procurement 25. 7 2 2 Assessing sustainability risks including opportunities 25. 7 2 3 Analysing the costs 26,7 2 4 Analysing organizational needs 27. 7 2 5 Analysing the market 27,7 2 6 Completing the sourcing strategy 28.
ISO 2017 All rights reserved iii,ISO 20400 2017 E, 7 3 Integrating sustainability requirements into the specifications 29. 7 3 1 Defining sustainable procurement criteria 29. 7 3 2 Choosing the types of requirements 30, 7 3 3 Applying minimum and optional requirements 30. 7 3 4 Finding information to establish the requirements 31. 7 3 5 Evaluating that sustainability requirements are met 31. 7 4 Selecting suppliers 32,7 4 1 Assessing the capacity of suppliers 32. 7 4 2 Prequalifying suppliers 33,7 4 3 Managing tenders 34. 7 4 4 Awarding the contract 35,7 5 Managing the contract 36.
7 5 1 Managing the supplier relationship 36,7 5 2 Implementing the contract 37. 7 5 3 Using a contract management plan 37,7 5 4 Managing performance and relationships 38. 7 5 5 Encouraging supplier customer joint initiatives 38. 7 5 6 Managing supplier failure 39,7 5 7 Managing disposal and end of life 39. 7 6 Reviewing and learning from the contract 39, Annex A informative Sustainable procurement issues 41. Annex B informative Overview of ISO 26000 47, Annex C informative Examples of a sustainability issue approach 49.
Bibliography 51,iv ISO 2017 All rights reserved,ISO 20400 2017 E. ISO the International Organization for Standardization is a worldwide federation of national standards. bodies ISO member bodies The work of preparing International Standards is normally carried out. through ISO technical committees Each member body interested in a subject for which a technical. committee has been established has the right to be represented on that committee International. organizations governmental and non governmental in liaison with ISO also take part in the work. ISO collaborates closely with the International Electrotechnical Commission IEC on all matters of. electrotechnical standardization, The procedures used to develop this document and those intended for its further maintenance are. described in the ISO IEC Directives Part 1 In particular the different approval criteria needed for the. different types of ISO documents should be noted This document was drafted in accordance with the. editorial rules of the ISO IEC Directives Part 2 see www iso org directives. Attention is drawn to the possibility that some of the elements of this document may be the subject of. patent rights ISO shall not be held responsible for identifying any or all such patent rights Details of. any patent rights identified during the development of the document will be in the Introduction and or. on the ISO list of patent declarations received see www iso org patents. Any trade name used in this document is information given for the convenience of users and does not. constitute an endorsement, For an explanation on the voluntary nature of standards the meaning of ISO specific terms and. expressions related to conformity assessment as well as information about ISO s adherence to the. World Trade Organization WTO principles in the Technical Barriers to Trade TBT see the following. URL www iso org iso foreword html, This document was prepared by Project Committee ISO PC 277 Sustainable procurement. In the development of this document ISO Guide 82 has been taken into account in addressing. sustainability issues,ISO 2017 All rights reserved v.
ISO 20400 2017 E,Introduction, Every organization has environmental social and economic impacts. Procurement is a powerful instrument for organizations wishing to behave in a responsible way and. contribute to sustainable development and to the achievement of the United Nations Sustainable. Development Goals By integrating sustainability in procurement policies and practices including. supply chains organizations can manage risks including opportunities for sustainable environmental. social and economic development, Sustainable procurement represents an opportunity to provide more value to the organization. by improving productivity assessing value and performance enabling communication between. purchasers suppliers and all stakeholders and by encouraging innovation. This document assists organizations in meeting their sustainability responsibilities by providing an. understanding of,what sustainable procurement is, what the sustainability impacts and considerations are across the different aspects of procurement. organization,how to implement sustainable procurement. Figure 1 presents the structure of this document, This document is applicable to any organization public or private regardless of its size and location.
It is intended to be understood by any stakeholder involved in or impacted by procurement decisions. and processes The implementation of this document takes into account the particular context and. characteristics of each organization scaling the application of the concepts to suit the size of the. organization The adoption of this document by large organizations promotes opportunities for small. and medium sized organizations in their supply chains. Clause 4 provides an overview of sustainable procurement It describes the principles and core subjects. of sustainable procurement and examines why organizations undertake sustainable procurement. Important consideration is given to managing risks including opportunities addressing adverse. sustainability impacts through due diligence setting priorities exercising positive influence and. avoiding complicity, Clause 5 provides guidance on how sustainability considerations are integrated at a strategic level. within the procurement practices of an organization to ensure that the intention direction and key. sustainability priorities of the organization are achieved It is intended to assist top management in. defining a sustainable procurement policy and strategy. Clause 6 describes the organizational conditions and management techniques needed to successfully. implement and continually improve sustainable procurement The organization ensures that. such conditions and practices are in place in order to assist individuals with responsibility for the. procurement of goods or services integrate sustainability considerations into the procurement process. Clause 7 addresses the procurement process and is intended for individuals who are responsible for the. actual procurement within their organization It is also of interest to those in associated functions as it. describes how sustainability considerations are integrated into existing procurement processes. vi ISO 2017 All rights reserved,ISO 20400 2017 E, Figure 1 Schematic view of the content of ISO 20400. ISO 2017 All rights reserved vii,INTERNATIONAL STANDARD ISO 20400 2017 E. Sustainable procurement Guidance, This document provides guidance to organizations independent of their activity or size on integrating. sustainability within procurement as described in ISO 26000 It is intended for stakeholders involved. in or impacted by procurement decisions and processes. 2 Normative references, There are no normative references in this document.
3 Terms and definitions, For the purposes of this document the following terms and definitions apply. ISO and IEC maintain terminological databases for use in standardization at the following addresses. ISO Online browsing platform available at http w ww iso org obp. IEC Electropedia available at http w ww electropedia org. circular economy, economy that is restorative and regenerative by design and which aims to keep products components. and materials at their highest utility and value at all times distinguishing between technical and. biological cycles,SOURCE Adapted from Ellen MacArthur Foundation 24. decent work, work performed in conditions of freedom equity security and human dignity. SOURCE Adapted from ISO 26000 2010 6 4 1 1 Box 8,due diligence.
process through which organizations 3 16 proactively identify assess prevent mitigate and account. for how they address their actual and potential adverse impacts as an integral part of decision making. and risk management 3 22,environmental label, claim which indicates the environmental aspects of goods 3 7 or services 3 23. Note 1 to entry An environmental label or declaration may take the form of a statement symbol or graphic on. a product or package label in product literature in technical bulletins in advertising or in publicity amongst. other things, SOURCE ISO 14020 2000 2 1 modified The alternative term environmental declaration has been. deleted and the words product or service have been replaced by goods or services in the definition. ISO 2017 All rights reserved 1,ISO 20400 2017 E,ethical behaviour. behaviour that is in accordance with accepted principles of right or good conduct in the context of a. particular situation and is consistent with international norms of behaviour 3 9. SOURCE ISO 26000 2010 2 7,fair operating practices. operating practices that concern ethical conduct in an organization 3 16 and with other organizations. such as suppliers 3 30 with which it has relationships. Note 1 to entry In a sustainable procurement 3 38 context fair operating practices can potentially extend to. include the relationships between organizations their suppliers and organizations and others that interact with. the suppliers These include interactions with government agencies partners suppliers sub contractors and. communities with the aim of promoting a healthy relationship between the companies that buy goods 3 7 or. services 3 23 and those providing them,SOURCE Adapted from ISO 26000 2010 6 6.
items or materials that upon the placement of a purchase order are being manufactured processed. handled or transported within the supply chain 3 32 for usage or consumption by the organization 3 16. SOURCE ISO 28001 2007 3 11 modified The word purchaser has been replaced by organization. measurable representation of the condition or status of operations management or conditions. SOURCE ISO 14031 2013 3 15,international norms of behaviour. expectations of socially responsible organizational behaviour derived from customary international. law generally accepted principles of international law or intergovernmental agreements that are. universally or nearly universally recognized, Note 1 to entry Intergovernmental agreements include treaties and conventions. Note 2 to entry Although customary international law generally accepted principles of international law and. intergovernmental agreements are directed primarily at states they express goals and principles to which all. organizations 3 16 can aspire,Note 3 to entry International norms of behaviour . ISO 20400 2017 E Foreword ISO the International Organization for Standardization is a worldwide federation of national standards bodies ISO member bodies The work of preparing International Standards is normally carried out through ISO technical committees Each member body interested in a subject for which a technical committee has been established has the right to be represented on

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