Evaluating purchasing decisions via benefits of socially responsible purchasing

In the globalised world, sustainability of companies depends not only on financial attributes but also companies' contribution to the welfare of society. Purchasing activities have a crucial role in this sustainability. The improvement in purchasing activities can increase company performance. We believe that managers can make better decisions when they know the aspects and benefits of socially responsible purchasing (SRP). Despite the growing impact of corporate social responsibility on business, it has had little impact on managerial decision. This study will fill the need of an overview of business benefits to measure and evaluate purchasing activities. As a result the motivation of this study is to clarify business benefits of SRP and to develop a model for evaluating purchasing decisions via business benefits of SRP which will support managers in their decision-making processes. In the introduction the motivations behind social responsible purchasing is defined. In the second part the business benefits of SRP is explained. In the third section a model for evaluating purchasing decisions via concrete business benefits of SRP is developed. This model is applied to a company in the copier industry.