The World Economic Forum found that adopting sustainable procurement practices is not only better for the planet, but also provides businesses with 15% to 30% increase in brand equity, which fosters revenue growth. This practice can easily reduce a large company’s, like that of a hotel, carbon footprint to a great extent.
Hyatt, for instance, ensures that every purchased product is FSSAI approved and that its suppliers have the relevant certification and ‘Consent to Operate’ from MPCB or Central Pollution Control Board (CPCB). Additionally, it conducts detailed vendor audit, checking them on various parameters including hygiene, cleanliness, logistics, process control etc.
IN FOR A PENNY, IN FOR A POUND
Mapping out sustainable procurement strategies require lots of time and investment by a hotel company. Hyatt’s initiatives in this regard include Sustainable Seafood Procurement, Plant Forward Dining and Supplier Code of Conduct. However, is the hospitality industry keen on picking up this gauntlet in contemporary times when business is badly affected?
Arif Patel, Regional VP, Sales & Marketing, Hyatt India said, “Sustainability should not be viewed as a step that compromises potential profits. In fact, it has become a crucial element to any organisation’s strategy to succeed. A business that does not factor in sustainability risks is less successful in several measures– including profitability, growth and employee retention.”
Sustainability is one of the attributes guests have while choosing a hotel nowadays. After all, the newage
consumer is extremely conscious about the products they use and its impact on the environment.
“Guests today demonstrate a desire to change their lifestyle to be environmentally and socially conscious, and are willing to spend more for an eco-friendly product or service. At Hyatt, we promote the use of organic products by sourcing from local partners. This practice has been well received by our patrons,” Thomas Abraham, Area VP, Central India Hotels and General Manager Hyatt Regency Pune stated.
CHECKS AND BALANCES
To ensure that they are procuring truly sustainable products, Patel suggests that hotels get necessary certifications from manufacturers and obtain copies of environmental statements to ensure that the supplier files regular compliance returns with MPCB or CPCB. “Our Hygiene Manager and Procurement Manager also maintain a close vigil on the supplier’s manufacturing facilities and thoroughly assess every vendor’s operations,” he noted.
Abraham added that Hyatt uses an internal tracking tool across all hotel premises globally to measure how sustainable procurement impacts performance and savings. “Sustainability has always been of core importance and we have always had sustainability goals built into our operations model,” he summed up.
