SUSTAINABLE SUPPLIER SELECTION IN INDIRECT PROCUREMENT: BEST PRACTICES AND CASE STUDIES IN ENGINEERING

Abstract

This systematic review examines sustainable supplier selection in indirect procurement within the engineering sector, focusing on best practices, criteria, and impacts on organizational performance. Adhering to the Preferred Reporting Items for Systematic Reviews and Meta-Analyses (PRISMA) guidelines, the review synthesizes findings from 35 articles published between 2000 and 2023. Key best practices identified include the integration of sustainability criteria into supplier evaluations, the use of lifecycle assessments (LCAs) to gauge environmental impact, and the implementation of carbon footprint analyses. Additionally, the emphasis on fair labor practices and the requirement for suppliers to obtain certifications like SA8000 enhance social sustainability and corporate social responsibility (CSR). The evolution of supplier selection criteria to encompass environmental, social, and economic factors reflects a more holistic approach, addressing complex sustainability challenges and driving long-term value and resilience in supply chains. The review also highlights the positive impacts of sustainable procurement practices, such as cost savings, risk mitigation, enhanced brand reputation, and improved operational efficiency. These findings underscore the strategic importance of sustainable procurement in achieving organizational sustainability goals and fostering sustainable development in the engineering sector.