Preferred Vendor Program
A preferred vendor program is different from preferred product lists—it focuses on vendor’s business activities rather than simply on their products. A Preferred Vendor Program may include product criteria, but it will also address:
- Manufacturing operations – environmental and occupational safety compliance record, use or release of specific substances. To research specific companies, see Scorecard
- Environmentally aware customer service – reduced packaging, takeback programs, warranty programs, tracking of purchasing environmental impacts
- Assumption of environmental responsibility for products – a full recycling program, responsible disposition of obsolete equipment, design for the environment initiatives to reduce product environmental impacts
- Comprehensive environmental reporting – available to the public
Assessment Criteria
There are many ways to create a preferred vendor program. You may require suppliers to do one or several of the following.
For product manufacturers:
- Otherwise document an environmental management system, and results related to that system – annual reporting, improvement efforts, concrete outcomes
- Provide a current list of environmentally preferable products they produce, with verification/certification
- Document ‘design for the environment’ research and development programs aimed at reducing toxic content in products
- Complete an environmental impact questionnaire for total operations and/or each product line.
- Track and report on sales of environmentally preferable products and resulting environmental improvements
For product vendors/distributors:
- Demonstrate that they use high-efficiency or alternative fueled vehicles for delivery
- Participate in EPA’s SmartWay Transport program
- Offer reusable packaging (totes or crates) and packaging takeback services
- Identify environmentally problematic (mercury, PVC) products and environmentally preferable (recycled content, energy efficient) products in their catalog or product ordering database
For service providers:
- Describe their own internal environmental improvement efforts – recycling, energy efficiency, paper reduction, environmental purchasing, efficient travel policies
- Describe their achievements for clients in specific detail – X KwH of power reduced in a Y square foot facility, Z pounds of cardboard recycled at a net profit of X, and so forth
- References from multiple clients (of course you will want this for other purposes, but make sure to check references with on environmental accomplishments and associated cost savings)
- List any professional recognition by or membership in environmental associations
Tools for Vendor Assessment
Several existing assessment systems can help you assess vendors’ overall environmental performance.
The University of Wisconsin has created a software tool, the Health Care Environmental Performance Tool that can help hospitals create preferred vendor programs by evaluating vendors’ environmental performance. The purchaser requests detailed environmental information from vendors, and the program provides a numerical score for the environmental performance of the vendor. In this way, different vendors can be compared and ranked. This tool was created some years ago, but the information and assessment it provides is still relevant to today’s purchasing decisions.
The Scorecard website can help you assess company environmental performance. It lists toxic releases, environmental violations and other data concerning specific facilities, locations or companies.
The Global Reporting Initiative supports companies’ sustainability reporting in a specific GRI format that addresses a broad range of environmental and social sustainability issues. The website offers the ability to search a database for reporting by specific companies. The list of specific environmental indicators required of reporting organizations is available at http://www.grig3.org/guidelines/environmental.html.
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Practice Greenhealth thanks its EPP Program supporters for their contributions to the creation of these resources.
    
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