Crafting a sustainable procurement strategy: A 2025 guide

Forward-thinking procurement leaders are recognizing that having a sustainable procurement strategy is not just a corporate responsibility but an opportunity. At its core, sustainable procurement is the process of acquiring goods and services in a way that has long-term positive environmental and social impacts. 

For enterprise procurement teams, developing a sustainable procurement strategy offers a chance to drive operational efficiency, strengthen supplier relationships, and stay ahead of increasing regulatory and stakeholder expectations. Instead of viewing it as an obligation, organizations can use it as a strategic lever for innovation, resilience, and growth.

To understand how sustainable procurement practices work, you’ll need to understand their key pillars, the steps to building a corporate strategy, and the frameworks that can help you get started.

What is a sustainable procurement strategy?

A sustainable procurement strategy is a process that integrates environmental, social, and economic considerations into purchasing decisions. Put simply, it helps organizations make smarter, more informed choices that can reduce supply chain vulnerabilities while improving long-term resilience. 

Instead of focusing solely on cost and speed, organizations using sustainable procurement practices take a broader view that also balances:

• Environmental impact: Prioritizing low-carbon, recyclable, or energy-efficient goods and services
• Social responsibility: Supporting fair labor practices, supplier diversity, and ethical working conditions across the value chain
• Long-term value: Finding value over the lifecycle of a product or service, including its energy consumption, maintenance, and disposal

Often referred to as socially responsible purchasing (SRP), this approach helps procurement align with broader business practices and organizational goals, such as neutralizing carbon emissions or improving supply chain transparency.

5 core pillars of a more sustainable procurement strategy

You can build a successful procurement strategy using five essential pillars. These elements work together to help align purchasing practices with sustainability goals, business objectives, and measurable impacts.

1. Align procurement with business and ESG goals

Procurement doesn’t operate in a vacuum. It must align with both your core business operations and environmental, social, and governance (ESG) objectives. 

A recent report by Accenture and EcoVadis found that delivering on corporate sustainability goals was the top driver of 71 percent of sustainable procurement programs. This number rose by 13 percent between 2021 and 2024. 

For example, your organization could switch to renewable energy or reduce greenhouse gas emissions associated with climate change to address ESG goals. You could also develop a procurement strategy that aligns with business goals like risk management and approved brand reputation.

Regardless of whether you’re addressing business or ESG objectives, procurement teams play a pivotal role in achieving broader organizational goals.

Tip: Use ESG frameworks to identify key impact areas and embed those into procurement KPIs.

2. Build a resilient and responsible supplier network

A responsible supplier network is both resilient and ethical. One way to build a responsible network is to prioritize vendors that uphold environmental standards, respect human rights, and enforce fair labor practices. Look for certifications, audit results, and third-party ratings to validate supplier claims and reduce supply chain risks.

3. Optimize costs without compromising sustainability

A common myth is that sustainability comes at a premium. In reality, sustainable purchasing can reduce total cost of ownership over time. Think of energy-efficient devices that lower utility bills or durable products that reduce replacement frequency. Both reduce costs while supporting sustainable goals.

4. Integrate AI, automation, and analytics for better decisions

Modern procurement requires data-driven insights. AI and automation tools enable smarter sourcing, spend analysis, and risk management by providing real-time visibility into supply chain performance and risk. These technologies help you forecast the environmental impact of procurement choices, leading to better decision-making.

5. Streamline compliance, reporting, and continuous improvement

Keeping up with compliance regulations—including local laws and international standards—requires consistent documentation and monitoring. Automated tools simplify sustainability reporting and tracking, while policy enforcement features ensure buyers select approved sustainable products.

How to build a sustainable procurement strategy

Building a more sustainable procurement strategy from the ground up requires a clear framework, stakeholder buy-in, and the right tools. Here’s a step-by-step process to help you move forward.

Step 1: Assess current procurement practices and alignment

Begin by evaluating your existing procurement processes. Ask whether sustainability or corporate social responsibility (CSR) initiatives were considered when your current policies were established and what portion of your spending aligns with your responsible purchasing goals. 

Amazon Business tip: Use Amazon Business Analytics to assess your current spend with Amazon Business and identify areas for improvement.

Step 2: Gather and analyze supplier sustainability data

Request sustainability documentation from suppliers to support responsible supplier selection and risk management. This includes collecting data on:

• Environmental certifications (e.g., ENERGY STAR®, EPEAT®, CarbonFree®)
• Social compliance (e.g., fair labor practices, diversity certifications)
• Supply chain transparency and traceability
• Greenhouse gas emissions and climate impact

Amazon Business tip: Use Guided Buying and intuitive labeling to highlight products with sustainability certifications and surface small, diverse or local suppliers. You can filter search results to prioritize items from certified sustainable vendors, minority-owned businesses, women-owned enterprises, and more.

Step 3: Consult and engage stakeholders

Engage departments like legal, finance, operations, and sustainability to ensure your procurement strategy is cross-functional. Their insights can help refine sustainability criteria and prevent bottlenecks.

Consider taking the following actions:

• Host stakeholder workshops to align on sustainability priorities
• Collaborate with finance to evaluate total cost of ownership
• Partner with compliance teams to ensure policy and regulatory alignment
• Work with department leads to understand operational needs and constraints

Amazon Business tip: Use team management tools to build multi-user account structures, role-based access, and approval workflows so cross-functional teams can collaborate within a shared purchasing environment without losing visibility or control.

Step 4: Set clear sustainability goals and metrics

Define measurable sustainability metrics to drive accountability and progress. Examples of procurement sustainability goals include:

• Source 60% of office supplies from vendors with environmental certifications
• Reduce Scope 3 emissions from purchased goods by 20% by 2027
• Increase spend with small and diverse suppliers by 30% year-over-year

According to a Deloitte survey of nearly 350 global procurement leaders, 40 percent of CPOs said their procurement department doesn’t measure its own ESG factors, including supplier performance. For the most comprehensive programs, consider metrics that move beyond simple cost reduction to center on long-term value.

Amazon Business tip: Use custom reports and dashboards to track progress against sustainability performance indicators. Procurement teams can monitor the percentage of Amazon Business purchases made from preferred vendors, sustainable categories, and certified suppliers.

Step 5: Implement sustainable procurement policies that support your strategy

Develop sustainable procurement policies that mandate or encourage responsible purchasing. These policies should provide clear instructions on:

• Preferred product types and brands (e.g., ENERGY STAR® appliances)
• Vendor requirements and expectations
• Ethical sourcing standards
• Lifecycle and disposal considerations
• Budgeting guidelines tied to sustainability metrics

Integrate these policies into daily purchasing workflows to ensure consistency across departments and buyers.

Amazon Business tip: Use the Guided Buying feature to steer employees toward preferred products and pre-approved vendors that align with sustainability and diversity goals. You can set rules for preferred items, restrict certain categories, or flag more eco-friendly alternatives.

Step 6: Provide training and support

Equip your procurement team with training on sustainability standards, ethical sourcing, and policy updates so they know how to make responsible purchases. Training topics to cover include:

• How to identify sustainable and diverse vendors
• Understanding product certifications and what they mean
• Navigating policy changes and budget guidelines
• Using procurement tools like Amazon Business effectively

Amazon Business tip: Use the intuitive Amazon Business interface to reduce learning curves. Features like Guided Buying and automated workflows can help reinforce compliant, sustainable purchasing behaviors by design, requiring less manual intervention and reducing training friction.

Step 7: Monitor, report, and optimize your procurement processes

Use data to monitor outcomes, adjust policies, and optimize over time. Regular monitoring and performance reviews are essential to ensure your strategy is delivering impact and to identify areas for continuous improvement.

Here are some steps you can follow:

• Track performance against procurement KPIs and corporate sustainability targets
• Audit vendor compliance and update supplier scorecards
• Solicit feedback from stakeholders and end users
• Adapt policies and practices based on results and market changes

Amazon Business tip: Use real-time reporting through Amazon Business Analytics to monitor spending patterns, identify outliers, and ensure alignment with your sustainability objectives. Detailed dashboards let you slice data by department, category, product attribute, or supplier, making it easier to optimize and iterate.

3 models for sustainable strategies

Understanding foundational models for sustainable business can help organizations build procurement strategies that are comprehensive and credible. These three models serve as frameworks to guide decision-making, supplier engagement, and performance measurement. 

You might want to choose one model to get started, but in practice, it’s common to use a blended approach that draws from all three to build a more flexible and resilient procurement strategy.

The triple bottom line (TBL)

This model expands the traditional focus on financial performance to include environmental and social outcomes—commonly known as people, planet, profit. It emphasizes balancing financial gains with environmental stewardship and social impact to help organizations evaluate vendors based on cost and environmental/social value creation.

Example: A global consumer goods company might implement TBL by requiring all Tier 1 suppliers to report on emissions and labor practices. Procurement teams are incentivized not only for cost savings but also for improvements in suppliers' social and environmental ratings.

Environmental, social, and governance (ESG) framework

The ESG framework is widely used by investors, regulators, and corporate boards to assess a company's long-term sustainability and ethical impact. For procurement teams, ESG provides a comprehensive structure to evaluate both internal processes and external partnerships.

Example: An enterprise technology firm might require suppliers to complete ESG self-assessments and undergo independent audits. Contracts could include clauses that require corrective action for violations, particularly around environmental waste and labor practices.

Greenhouse gas protocol and Scope 1, Scope 2, and Scope 3 emissions

The Greenhouse Gas (GHG) Protocol is a widely adopted international accounting standard for understanding, quantifying, and managing greenhouse gas emissions. It breaks emissions into three categories (or “scopes”), each of which is relevant to procurement:

• Scope 1: Direct emissions from owned or controlled sources (e.g., company vehicles)
• Scope 2: Indirect emissions from the generation of purchased electricity, heating, or cooling
• Scope 3: All other indirect emissions, including those from the supply chain, purchased goods and services, employee travel, and waste
   

Choosing low-emission or carbon-neutral products can significantly reduce these emissions. Procurement teams can influence supplier behavior by requesting emissions data and setting emissions-related performance targets and incentives.

Example: A logistics company aiming to become carbon-neutral by 2030 might begin sourcing only ENERGY STAR® and EPEAT® certified devices for its global operations. It may also require suppliers to disclose emissions data and set a Scope 3 emissions reduction goal of 25 percent over five years.

6 benefits of sustainable procurement

A more sustainable procurement strategy can offer tangible advantages across your enterprise, including:

1. Cost savings through energy-efficient and long-lasting products
2. Reduced supply chain risk by partnering with compliant, ethical suppliers
3. Stronger brand reputation with consumers, investors, and partners
4. Improved compliance with emerging ESG and regulatory standards
5. Greater supply chain resilience by diversifying and auditing suppliers, which can help minimize disruptions
6. Increased employee engagement through values-driven procurement policies

Create a future-proof sustainable procurement strategy

Having a more sustainable procurement strategy is not a regulatory checkbox—it’s a competitive advantage. By aligning procurement with ESG goals, building a responsible supplier network, and leveraging technology, enterprises can create more resilient, cost-effective, and future-ready sustainable supply chains.

Amazon Business supports organizations in enabling a more sustainable procurement strategy through features like Compact by Design, Climate Pledge Friendly product filters, supplier diversity programs, and spend visibility dashboards. Our solution empowers companies to source more responsibly, track sustainability metrics, and optimize procurement efficiency. 

Sign up for your free Amazon Business account or speak with a sales expert to learn how you can start making more informed procurement decisions that support long-term sustainability objectives.