By the end of this stage you will have achieved the following outcomes from the Pathway Framework:

Local sourcing due diligence.

  • Local sourcing has been benchmarked.
  • Scoping has been conducted for local sourcing potential.
  • Strategy and plan have been developed for improving local sourcing.
  • Priority is given to local and fair trade suppliers whenever these are available and of sufficient quality.
  • The proportion of goods and services purchased from locally owned and operated businesses is measured and managed.
  • The proportion of non-locally owned or operated suppliers that are fair trade is measured and managed.

Setting up for success

Take ownership

Designate a lead person or team for each activity and ensure other relevant employees are aware of their roles

Review legislation related to the portfolio

Include senior leadership to make sure there is ownership and buy-in from the top-level

Raise awareness among internal stakeholders by introducing environmental and social sustainability training

Review the possibility for a monitoring system to track all environmental and social data in one location and monitor progress

Review and update governance procedures

Engage stakeholders

Conduct a stakeholder mapping to identify relevant stakeholders, and engage key stakeholders to understand their priorities

Find other brands and management companies you can learn from

Set up a process to regularly engage with hotels, to understand challenges, identify priorities, inform them of central programmes and share solutions

Understand impact & dependencies

1. Define what local sourcing means to you

2. Draw up a list of key products / goods and services that you purchase or mandate that hotels procure

3. Engage with large suppliers who are already part of your centralised procurement systems to see if they have any data on working with local suppliers

4. Review what products / goods and services are available locally to your hotels or as fair trade options

5. Review your current suppliers

6. Collect data related to local sourcing to create a baseline

7. Analyse data to identify opportunities

8. Review dependencies relating to local sourcing & SMEs

Set targets

9. Set company targets, property-level targets for managed hotels, and suggested targets for franchised hotels for improving local sourcing

10. Share targets with internal stakeholders, including hotel GMs and procurement teams

11. Share targets with internal stakeholders, including hotel GMs and procurement teams
Resource: Net Positive Action Planner

Take action

12. Review available guidance to identify relevant actions which increase local sourcing or sourcing from SMEs. This should consist of activities to be executed in the short-term (1 year), a medium-term (3 year) plan and a headline plan for longer-term initiatives (5-year plan)

13. Review what support local suppliers and SMEs may need

14. Support properties to partner with local organisations to help build awareness and promote local sourcing

15. Develop or review policies and procedures for local supply chain sourcing to ensure consistency in all levels of sourcing and communicate this to properties

16. Determine financial and non-financial resources needed, create a business case and gather required resources

17. Engage CEO and senior leadership to share the business case to improve local sourcing and get their buy-in

18. Implement at least one initiative at hotel level to recruit local suppliers within property regions

19. Liaise with regional managers to agree what the percentage of goods and services could be purchased from locally owned and operated businesses

20. Inform employees about your local sourcing objectives and their role in achieving your targets

Reviewing & Reporting Progress

Monitor & Report

Review progress by comparing against previous performance and industry benchmarks where available (such as CHSB). Repeat on a regular basis (e.g. monthly/quarterly)

Review benefits seen through actions

Review challenges encountered along the way and plan solutions to implement

Update leadership on progress

Inform corporate customers and investors of performance and activities by including information in communications and meetings

Share your case studies with us!

As hospitality companies progress towards Net Positive Hospitality, the Sustainable Hospitality Alliance is keen to share good news and best practice from across the industry. Our Net Positive case studies are shared across our website and LinkedIn, acting as a positive space to celebrate these actions, achievements, and commitments.

We invite hotels to get involved by sending case studies to press@sustainablehospitalityalliance.org and / or tagging @Net Positive Hospitality and @Sustainable Hospitality Alliance within LinkedIn posts relating to environmental sustainability or social responsibility.

Local Sourcing & SMEs - PDF Checklist

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Test the outcomes of ESG solutions

The Net Positive Hospitality Simulation brings the Pathway to life, helping users understand the impacts of their decisions, test sustainability actions and create a tailored sustainability action plan.

2 | Advancing - Minimise negative impacts and initiate positive impacts

Ready to move onto the next stage?

Once you have completed Local Sourcing & SMEs – 1 | Starting, you are ready to move on to 2 | Advancing.