IGPN - International Green Purchasing Network

November 5, 2024

How to successfully procure IT products for the circular economy

Implementing circular IT practices can help reduce environmental risk and save money. Knowing where to start can be a key challenge. TCO Development's new guide offers practical advice on procuring IT products that support a circular economy, helping organizations thrive in a sustainable future.
Step 1: Partner with sustainability-driven suppliers
Engage in open dialogs, meetings, and requests for information (RFI) to gather information. Clearly communicate your organization's sustainability and circularity ambitions and needs. Specify the sustainability data you require access to ensure transparency and accountability.

Step 2: Include circular criteria in procurement policies and processes
To enable circular IT management, products must be designed for longevity. Materials and components should be easily accessible and available.

Step 3: Prioritize durable, high-capacity products
Adopt a long-term perspective when purchasing IT products. Choose high-performance products with enough capacity to meet the organization's needs for several years. Consider replacing traditional software with cloud-based solutions to reduce performance demands and extend product lifespan.

Step 4: Embrace the Second-Hand Market
Maximizing product life is critical for a circular economy. When a product no longer meets the initial user’s needs, it should be redistributed or sold to a second user. Second-hand purchases offer both cost savings and a reduced sustainability impact.

Step 5: Establish Clear KPIs
Identifying the right KPIs helps your organization meet legal requirements on sustainability reporting and take steps toward meeting internal or external circularity goals. For IT, the negative sustainability impacts are embedded in the products you use. Indirect climate impact (scope 3 emissions) stems from the manufacturing phase. Extending product lifespan directly reduces annual Scope 3 emissions.

Download the full guide at TCO Development website.

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