Welcome to the third article in Federico Caporali’s Sustainable Procurement series. In the last piece, he explored the current state of sustainable procurement in Australia, showing progress but also highlighting the capability and resource gaps holding procurement teams back. Catch up here.
This week, he’s diving into one of the most common things he hears from procurement leaders: “We get it. We know sustainable procurement matters. But where on earth do we start?” It’s a fair question. Read on to discover eight key steps.
Most teams are already at capacity with BAU work – chasing savings, renewing contracts and fighting fires. Sustainable procurement can feel overwhelming: modern slavery, Scope 3 emissions, Indigenous engagement, supplier resilience, governance frameworks…the list grows longer by the month.
But starting doesn’t mean boiling the ocean. In fact, the biggest risk is waiting for the “perfect plan” and ending up doing nothing at all.
Practical first steps
1. Review your company’s sustainability strategy
If your organisation already has a sustainability strategy or ESG roadmap, procurement must align with it. Review the goals, commitments and reporting requirements, and ensure your sustainable procurement framework reinforces these priorities rather than creating a parallel agenda
2. Run a workshop to define principles and priorities
Bring together internal stakeholders – sustainability, risk, finance, HR, operations – and align on what sustainable procurement means for your company. Identify guiding principles and focus areas such as human rights, climate impact, supplier diversity or resilience
3. Engage stakeholders inside and outside the organisation
Interview internal functions to understand expectations and pain points. Engage external peers and industry associations to benchmark. This helps clarify what’s mandatory, what’s strategic and what’s a “nice to have” for the future
4. Separate mandatory vs. strategic vs. future initiatives
Mandatory: Regulatory requirements (Modern Slavery Act, APRA CPS 230, Safeguard Mechanism)
Strategic: Initiatives that align with company values and competitive advantage (e.g. Scope 3 leadership, First Nations supplier engagement)
Future: Topics not yet urgent but emerging fast (e.g. biodiversity, circular economy)
5. Baseline your maturity
Use a simple maturity matrix aligned with ISO 20400. Even a light self-assessment can highlight strengths and gaps without requiring a big consultancy project
6. Identify quick wins
Early wins build credibility and momentum. For example: Consolidate deliveries to cut freight emissions and costs. Add sustainability questions to upcoming tenders. Launch a pilot with a key supplier to test Scope 3 reporting
7. Put in place a roadmap
Based on workshops, stakeholder input and your maturity baseline:
- Define an action plan
- Secure executive sponsorship
- Set clear KPIs and measures of success
- Develop a 3-5 year roadmap that balances compliance, strategy and future opportunities
8. Engage your suppliers, large and small
With top suppliers, explore what they’re already doing. Many will have global sustainability programs you can leverage.
With smaller suppliers, acknowledge the capability gap. Instead of simply adding ESG clauses to contracts, provide guidance, templates or phased expectations. Supporting them on the journey builds trust, resilience and long-term value in your supply chain.
Avoid “Analysis Paralysis”
One CPO put it bluntly: “We spent a year debating frameworks and ended up delivering nothing.”
Don’t wait for the perfect framework. A minimum viable plan is better than standing still. Even one pilot project, updated policy or supplier workshop can spark momentum and show that procurement is taking leadership.
Why this matters
Getting started shifts the conversation from “Why should we?” to “How can we do more?”
It also strengthens the business case for resources. Once you demonstrate impact, it’s much easier to argue for headcount, tools or external support.
What’s next?
This article looked at where to start: reviewing your strategy, aligning with stakeholders, defining priorities and building a roadmap with achievable steps.
In the next piece, I’ll cover when to bring in external experts, and how they can accelerate your journey from compliance to capability.
Connect with Federico Caporali on LinkedIn for more sustainable procurement insights.
About the author
Federico Caporali is a procurement leader with 25 years of global experience across industries, specialising in sustainable procurement, category management, supplier negotiations and procurement transformation. He currently advises public and private sector organisations in Australia, helping them move beyond compliance to unlock environmental, social and financial value through procurement.
