Sustainable Procurement

Read this article, which highlights a novel strategy for procurement. Focus on sections 1, 2, and 5 and the opening paragraphs for sections 3 and 4. The model in the paper presents a new strategy to reduce procurement costs and enhance overall procurement flexibility.


In this paper, a new concept and an innovative method is proposed to initiate sustainable procurement process (SPP) by integrating the concept of sustainable supply chain and postponement strategy. The proposed method has several advantages, including but not limited to:

  1. 1 The proposed model is very simple and easy to apply.
  2. 2 It can be used for single item as well as multiple item of the assembly-to-order production system for stochastic and/ deterministic demand.
  3. 3 It considers reliability of supply to reduce inbound risk.
  4. 4 The proposed model also gives better supply chain visibility as it integrates far downstream customers with manufacturer through active co-operation of retailers. However, manufacturer should take appropriate strategy to share limited information with its retailers to maintain better security.

In addition to the above this innovative method can reduce logistic lead time, chances of over stock or under stock and the complexity of inventory. This proposed method is suitable for manufacturing industries which particularly assembled different components to develop complex products.