The environmental, social and economic impacts of healthcare product consumption are substantial. As a collective procurement body, HPV is compelled to ensure sustainable procurement is integrated into its sourcing process.
Health Purchasing Victoria's Strategic Plan 2012-17 includes a commitment to embed sustainable procurement practices into health.
This is a key issue: around two-thirds of the overall environmental impact of healthcare provision occurs within the supply chain of goods and services purchased. Purchasing decisions can also have an impact on social and economic indicators.
HPV has a dedicated Sustainable Procurement Officer who is integral to supporting improvements in supply chain sustainability. Since 2011, this role has overseen a range of initiatives including:
- Investigating opportunities to mitigate key sustainability risks within the categories managed by HPV that have significant environmental impacts, social impacts, or related risks
- Evaluating the environmental management practices of potential suppliers within the assessment of value for money process during Invitations to Supply (ITS)
- Seeking to procure environmentally-preferred goods and services that meet health service needs and provide value for money
- Measuring indicators relating to the environmental sustainability of the supply chain and reporting these to the Department of Health and Human Services
- Engaging with hospital staff to investigate current practices in product use and disposal within health services
On most measures of environmental impact, the greatest part of the total impact from the healthcare sector occurs through the products consumed. These impacts occur primarily from the materials and manufacturing processes in the upstream supply chain, but also during product distribution and disposal after use.
Therefore, the decisions made in procurement and the environmental management practices of our suppliers (and their suppliers) are important to the overall sustainability of the provision of health services.
Supplier Code of Conduct
Health Purchasing Victoria is committed to ethical, sustainable and socially-responsible procurement.
We view our suppliers as partners and expect them to meet the minimum ethical expectations outlined in the Victorian Government’s Supplier Code of Conduct which came into effect on 1 July 2017.
As this is a whole-of-Victorian Government policy, both Health Purchasing Victoria (HPV) and mandated health services have a role in implementing the code. Health services can find a fact sheet and guidelines on this website. There is also more information and guidance available for health services and our suppliers on the Victorian Government Purchasing Board’s website.
Sustainable Procurement Guides
To assist Victorian health services with their own sustainable procurement initiatives, HPV provides the following resources: