Green Procurement Playbook 2025

Building block 2 Organizational structure and governance I II III IV Focus area Compliance driver Risk manager Value creator Sustainability leader Cross-functional collaboration and gover nance mechanisms— Procur ement works in isolation on its sustainability initiatives, with limited input from other areas. — Sustainability topics are not regularly discussed across functions; no shared ownership. — No forums or gover nance bodies exist to support cross-functional coor dination. — Sustainability criteria are applied inconsistently and without broader business validation.— Ad hoc collaboration occurs with functions such as legal or sustainability , mainly to manage risks. — A few champions in other functions may support specific sustainability efforts. — Procur ement may be invited to working groups but with limited influence or continuity . — Early steps to introduce sustainability considerations into cross-functional decisions.— Cross-functional gover nance forums (e.g. sustainability councils, sour cing committees) guide decisions with sustainability trade-of fs. — Procur ement collaborates regularly with key departments (e.g. product, finance, sustainability) on high-impact categories. — Clear responsibilities (e.g. RACI models) and decision frameworks are in place for shared sustainability outcomes. — Shar ed goals are increasingly aligned to green procur ement targets and timelines.— Integrated gover nance structur es with executive sponsorship actively oversee green procur ement decisions. — Procur ement, sustainability , operations, product and finance work as one team towar d shared sustainability goals. — Real-time collaboration is embedded in sour cing, product development and investment decisions. — Gover nance mechanisms (e.g. dual-appr ovals, escalation paths, carbon pricing reviews) are formalized and institutionalized. — No formal team or defined roles for green procur ement within the organization. — Sustainability is addr essed informally or ad hoc by category managers or sustainability teams. — Lack of clarity on responsibilities leads to duplicated or missed efforts. — No structural link between procur ement and sustainability functions.— A point of contact or informal champion handles sustainable procur ement alongside other duties. — Basic coor dination exists with sustainability or compliance teams, but roles are not clearly defined. — Some support activities (e.g. supplier screenings) are centralized, but responsibility remains fragmented. — Unclear gover nance on who owns decisions tied to green procur ement sour cing risks.— A dedicated green procur ement role or small team is established with a clear mandate and reporting line. — Role definitions and responsibilities are formalized and documented (e.g. for risk, innovation, supplier engagement). — The team collaborates closely with category managers and acts as an inter nal competence centr e. — Gover nance ensur es accountability and integration across the broader procur ement organization.— A fully embedded sustainable procur ement team operates as a strategic enabler across business units. — Structur e includes clear ownership at global and regional levels, with defined decision rights and escalation paths. — The team supports strategy , category execution, supplier collaboration and gover nance processes. — The team interacts with the CPO and C-level executives and is empower ed to influence major sour cing decisions.Green procurement ownership Note: A RACI model, or responsibility assignment matrix, is a project management tool that defines roles and responsibilities within a project team (Responsible, Accountable, Consulted, Informed). Green Procurement Playbook: The CPO’s Guide to Delivering Value for Business and Planet 11