1.1.0.2.

The 5 steps are designed to provide an approach to sustainable procurement that is within reach of delivery teams and useable, assuming no specialist knowledge. The outcomes will be of a simple nature but will better enable all teams to assess and embed sustainability (where proportionate and relevant) within procurement in an efficient and effective manner.

1.1.0.4.

Delivery Teams should complete the 5 steps as they progress the POEMS assessment. However, unlike the POEMS assessment which is revisited at multiple points during the acquisition lifecycle or the capability, the most benefit will be gained by applying the 5 steps to new acquisitions at the earliest stages of the CADMID cycle. For legacy capabilities, the 5 steps will be of most benefit during refits and upgrades. Step 5, Measurement and Learning from Experience, is applicable to all capabilities at end of life.

1.1.0.6.

Note: steps 2 and 3 can be utilised to compare similar options. Where options are being compared please note this within column “A” by indicating an option number accompanied by a brief description of the option. For example, “Option 1, hybrid drive propulsion system”, “Option 2, no hybrid drive system but 10% greater fuel efficiency of traditional propulsion system” or “Option 1, addressing compliance of future legislation during Systems Requirement Definition”, “Option 2, waiting until legislation is extant before addressing compliance as a modification during the in-Service phase”

1.1.0.8.

Prior to commencing the 5 steps, Delivery Teams should engage with similar acquisition programmes and their Operating Centre to better understand sustainable procurement successes, failures and missed opportunities that are often only apparent with hindsight.

1.2.0.1.

Risks and opportunities can be included as a supplementary element of the overall Environmental Management Plan created at POEMS EMP01. Therefore, it is recommended that where a sustainable procurement plan is relevant and proportional to the acquisition, it assumes the form of additional content within the Environmental Management Plan. This approach will avoid duplication of effort.

Note: Delivery teams should revisit this step upon completion of steps 2 to 4.

1.2.1.1.

EMP01 contains a list of specified contents of the environmental management plan. The list below is a direct reflection of this with the addition of further sustainable procurement content provided in bold:

a. A Product, System or Service Description;

b. Concept of use, operation and operating environment;

c. A description of the Project Team and structure;

d. Relationship with other systems;

e. Summary of anticipated and/or actual legal compliance arguments (including social and ethical policy and standards), exemptions / derogations;

f. Reference to the Environmental and Sustainability Policy to be met;

g. Stakeholders;

h. Anticipated and/or actual significant environmental and wider sustainability aspects;

i. Outline approach to anticipated aspects including objectives and targets, communications, number and nature of sustainable procurement issues to be applied to the acquisition and brief explanation (this should reflect information presented in the Environmental Feature Matrix);

j. Environmental and wider sustainability responsibilities;

k. Interface with other business systems/processes including commercial and finance;

l. Considerations to be embedded within the procurement process (link to significant environmental aspects);

m. Key environmental management milestones;

n. Assurance regimes;

o. Resources required;

p. Competence and SQEP;

q. Other pertinent information.

1.3.0.1.

The scoping of risks and opportunities (aligned with EMP04) shall be recorded within the Environmental Feature Matrix (EFM) of POEMS.

EFM column “B” shall provide an outline description of the acquisition and column “C” shall provide an outline description of risks and opportunities where there is a potential to manage/exploit them with targeted activity within the procurement process. Use the content of the Sustainable Procurement Introductory Guide and the following two tables to assist with populating column “C” where those issues may be relevant and proportional to the procurement in hand.

It is acceptable to include risks and opportunities that have been included in previous sections of the EFM where there is scope to address those risks or enhance those opportunities within the procurement process.

This guidance focuses on the need to consider SP in Environmental Management practices under ASEMS, but it should be remembered that sustainability covers a broad range of topics some of which will be led by other DE&S business functions. 

1.3.1.1.

The scoping exercise should give consideration (where relevant to the acquisition) to the management of the environmental, social, ethical and economic risks and opportunities of:

1.3.2.2.

1.4.0.1.

The priority assessment of risks and opportunities (aligned with EMP05) shall be recorded within the Environmental Feature Matrix (EFM) of POEMS. 

Note: Observations can interface with wider programme risk management. Eg Active Risk Management Tool 

Step 3 is a risk and opportunity priority assessment which provides a basic approach to proportionality and relevance that takes into account factors including through life cost, value, operational effectiveness and risk management.

1.4.1.1.

Populating columns “E” to “J” will provide an automatically generated score in column “K” and column “L” should be used to manually record the decision as to whether to proceed with activity within the procurement process.

This approach is designed to inform reasoned judgement when reviewing a range of options. Further in-depth analysis may be required.

1.4.2.1.

Column “E” Environmental Risk Level (1-5):

Environmental risks should be drawn down from the main POEMS assessment where there is reasonable scope to address them within the procurement process.

1.4.2.3.

Column “G” Environmental Opportunity Level (1-5):

Environmental opportunities will most often be based upon confronting an environmental risk (see column “E”). For example, a significant environmental aspect of operating an armoured personnel carrier is fuel use. An environmental opportunity could be the inclusion of a hybrid drive system. This would provide opportunity to reduce fuel use, enable greater operational capability through enhanced range and less refuelling required. Costs through life will most likely reduce (when considering the fully burdened cost of fuel) and a silent running facility will increase capability and force protection (a social and ethical opportunity, see column H).

1.4.2.5.

Column “I” Procurement Spend Level (1-10):

Please refer to the “In depth scoring guidance” table, found below, for guidance on procurement spend level. Note: procurement spend level should be the whole life anticipated spend for the whole system/project. Column “M” provides an opportunity to note the nature of the procurement spend used.

1.4.2.7.

Column “K” Priority Score:

This column provides an automatically generated score to aid decision to proceed or not. The score generated will be between 6 and 40. 

1.4.2.9.

Note: Due to the intentionally straightforward nature of this Toolkit, when comparing options that are completely opposite, the priority score generated at column “K” will be identical or very close. This is due to opportunities and risks often being different sides of the same issue. Where this occurs, the SQEP panel should seek further differentiation of options and/or take forward the more sustainable option.

1.4.3.1.

In depth scoring guidance is available from the table below.

Scoring Guidance Table 

1.5.0.1.

Activity within the contracting process should be led by the commercial resource with input from the delivery team and requirements owner. Commercial officers should refer to the Sustainable Procurement Commercial Guide for assistance.

1.5.0.3.

Note: It may be pertinent to involve other relevant functions and organisations at the same time as involving Commercial Officers where their involvement has the potential to better enable sustainable procurement.

As previosuly highlighted SP covers a broad range of risks and it touches topics led by other business functions.

1.6.0.2.

It is recommended that Delivery Teams proactively seek out similar delivery teams, the relevant Front Line Command, Operating Centre and other relevant parties to better understand sustainable procurement successes, failures and missed opportunities that are often only apparent with hindsight. These should then be considered where relevant.

LFE needs to follow the BP&A process for LFE manadated in the BMS.