PROCUREMENT INSIDER 2 MIN READ

PlanetBids Helps Agencies Build Eco-Friendly Procurement Processes

Written by Sample Hubspot User

April 22, 2024

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“What is the most sustainable purchase you can make?”

This question asked during the opening session of the Foundation for California Community Colleges’ conference April 8-10 got a lot of answers. None of them were correct.

That answer was, “Not purchasing anything.”

We all know it’s impossible to “not purchase anything.” But as PlanetBids CEO David DiGiacomo puts it, the best way to minimize the effects of every purchase is to have good policies in place. And that’s what procurement is all about – policies and procedures.

As we celebrate Earth Day today, April 22, PlanetBids would like to look at how far procurement processes have come. From the days of 500 pounds of binders – which is what Robert Wallin, Contracts Administrator for Inland Empire Utilities Agency, had to go through to determine initial compliance on a bid several years ago – and the 2,000-page construction solicitations that agencies like Renewable Water Resources used to mail out, procurement has always been a paper-heavy industry.

Many agencies and companies are already taking their procurement processes online and going paperless to save natural, human, and financial resources. But there is an additional factor to consider.

“If we have to make the purchase, how do we do so from a local vendor to minimize the carbon footprint, like shipping from outside the country?” DiGiacomo asks.

  • How do you choose from qualified buyers?
  • How do you choose from local buyers?
  • How do you choose from sustainable manufacturers?

“The answer is to expand vendor pools,” DiGiacomo says. "Instead of awarding a bid to one vendor, why not break it down and have local vendors bid on smaller portions? You’ll have better results and save money."

San Diego International Airport awarded 22% of contracts to local businesses in 2023. Local Business Certification has been an important consideration in issuing RFPs and awarding contracts.

“San Diego requires proof of local office to be certified,” notes Director of Procurement Jana Vargas.

PlanetBids’ Business Certification module manages that verification.

Having access to a database of 20,000 vendors and more than 4,000 certified firms “makes the goal of reaching small business entities more attainable,” says Carmen Bermudez-Bracy, Metropolitan Water District of Southern California Certification Officer.

The PB System™ from PlanetBids provides greater outreach to small businesses, a primary goal for MWD, by allowing vendor databases sharing and collaboration across multiple agencies. This reciprocity means more diverse vendor and subcontractor choices and better access to small and disadvantaged businesses across the region. 

“PlanetBids' software handles the entire process, and MWD directs all vendors to register online,”says Dennis Morioka, MWD Contract Administrator.  

MWD field staff can contract more quickly with suppliers and contractors by performing quick quotes through PlanetBids’ Business Certification Management module, while their bidders can more easily accept contract terms and conditions.

“Many of our 8,000+ registered vendors have expressed how user-friendly PlanetBids is,” says Leyton Morgan, Manager of Contracts for the Southern California Association of Governments.  “The communications and alerts in the system guide vendors and the procurement staff to ensure procurement opportunities are expeditiously issued and received.”  

PlanetBids’ mission in fostering sustainability is to grow local vendor pools across the country.

“There are furniture vendors who only sell recycled furniture or landfill furniture,” DiGiacomo says. “The goal is to get those in the mix. We’re a conduit to create a frictionless process between vendors and our agency clients. Our system allows you to manage your procurement processes electronically, from anywhere in the world, so that we’re not increasing the carbon footprint to do the things that are everyday business.”

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