21. Procurement

INTENT

The intent of the Procurement Indicator is to build awareness and contribute positively to the social conditions of the source communities through the intentional use of procurement funds.

METRICS

Level 1

1. Organization has a written policy documenting its commitment to equitable procurement.
   

Level 2

1. Organization has a written policy documenting its commitment to equitable procurement.
2. Organization has purchased at least 10% of its goods and services from independent, locally owned and operated businesses.
3. Organization has taken steps toward ensuring a socially responsible procurement process:
   • Completed a thorough assessment of its own procurement process to identify areas with actual and potential risk for human rights violations.

Level 3

1. Organization has a written policy documenting its commitment to equitable procurement.
2. Organization has purchased at least 20% of its goods and services from independent, locally owned and operated businesses.
3. Organization has taken steps toward ensuring a socially responsible procurement process:
   • Completed a thorough assessment of its own procurement process to identify areas with actual and potential risk for human rights violations.
   • Conducted due diligence to verify that all direct purchases of goods and services are from businesses that do not engage in known human rights violations.
4. Organization has purchased at least 5% of all goods and services from MBEs, WBEs, DBEs, LGBTBEs, gender non-conforming-owned businesses, service-disabled veteran-owned small businesses (SDVOSBs), certified B Corps, worker cooperatives, and/or Just organizations.
   

Level 4

1. Organization has a written policy documenting its commitment to equitable procurement.
2. Organization has purchased at least 30% of its goods and services from independent, locally owned and operated businesses.
3. Organization has taken steps toward ensuring a socially responsible procurement process:
   • Completed a thorough assessment of its own procurement process to identify areas with actual and potential risk for human rights violations.
   • Conducted due diligence to verify that all direct purchases of goods and services are from businesses that do not engage in known human rights violations.
   • Conducted due diligence to verify that at least 10% of all direct purchases of goods and services come from businesses with supply chains that do not engage in known human rights violations.
4. Organization has purchased at least 10% of all goods and services from MBEs, WBEs, DBEs, LGBTBEs, gender non-conforming-owned businesses, SDVOSBs, certified B Corps, worker cooperatives, and/or Just organizations.
   

SUMMARY TABLE

Table 21a – Procurement Metrics