The impact of sustainable public procurement on supplier management — The case of French public hospitals

In the public sector, procurement managers are now required to comply with new sustainable regulations and to look for suppliers able to provide a sustainable offering. Stating that contracts can only frame part of the interaction and that parties often turn to more negotiated agreements, we investigate whether sustainable expectations within public hospitals could impact supplier management and imply rearrangements between public buyers and private providers. Data were collected from fifteen French hospitals through semi-structured interviews. Findings first highlight the sustainable expectations of public buyers from global key providers, and, second, that sustainable procurement does impact the relationship by creating new rules. Building on these results, managerial implications are suggested.

► We explore new environmental requirements in hospitals' purchasing process.
► We notice a trend towards supplier base reduction and total cost of ownership approach.
► Procurement managers are expecting suppliers' innovation.
► Sustainability-related criteria increase the legitimacy of the purchasing function.