The Ministry of Defence (MOD), together with the defence industry, plays a critical role in the protection of the country and its citizens. By providing a vast range of products and services, businesses within the defence sector support the country’s military and security efforts. However, this is not the only benefit it provides. By procuring goods and services from companies in the sector, there is an increase in job creation, opportunities, and exports, all of which aid the British economy. Due to the sensitive and complex nature of the defence industry, ethical considerations are vital.
What is ethical procurement? Ethical procurement is also referred to as responsible procurement or sustainable procurement. It is the process by which goods and services are acquired in ways that reduce the negative effect on society and the environment.
There are four aspects of ethical procurement that are fundamental:
- Upholding human rights and labour rights
- Minimising environmental impacts
- Promote transparency and reduce corruption
- Ensuring public trust
To understand the impact of implementing an ethical and responsible procurement process, we will explore these four pillars of ethical procurement for UK defence contracts.
Upholding Human Rights and Labour Rights in the MOD Procurement Process
From the production of weapons to the defence procurement processes, the defence sector is very sensitive and complex to navigate. From counterterrorism contracts to security tenders, the nature of the defence industry revolves around national security. As such, ethical issues within the defence industry can severely impact both human rights and labour rights. The consequences of neglecting responsible procurement processes are not just reputational but potentially legal.
To successfully implement ethical procurement practises for MOD contracts, it is imperative that policies and processes are put in place. By embracing ethical principles, defence industry companies can apply for and win Ministry of Defence tenders ranging in nature from cyber security tenders to aerospace tenders and more. These policies should take into consideration aspects such as transparency, responsibility, integrity, labour rights, and human rights. These policies and processes can include:
- Ensuring Safe and legal working conditions
- Promotion of health
- Reasonable working hours
- Employment is freely chosen
- Fair pay and benefits
- Training
- Equal opportunity hiring processes
Additionally, factors like child labor and inhumane treatment of employees are prohibited by law.
Minimising Environmental Impacts in the Defence Industry
There has been a global increase in awareness around climate change, environmental damage, and the overexploitation of natural resources, which has ultimately led to a loss of bio-diversity. The demand for sustainable procurement practices is resoundingly clear.
The defence industry relies on a large number of natural resources, ranging from metals, minerals, and raw materials to energy sources like fossil fuels. As such, it has become necessary for businesses in the defence sector to implement policies around environmental protection. These include aspects like resource efficiency, energy consumption and waste management.
Implementing policies to minimise environmental impact can aid companies within the defence sector move forward. This not only includes improved public perception but also the potential to apply for and win MOD contract and tenders in the UK.
By introducing seemingly simple changes, businesses in the defence sector can have a profound impact. Small things like embracing sustainability by switching to renewable energy sources play a key role in minimising environmental impact and, in turn, help win MOD tenders in the UK.
Promote transparency and reduce corruption
There are three key factors when it comes to reducing corruption: transparency, responsibility, and accountability. When implementing an ethical procurement process, they are vital. However, this can pose a challenge in the defence sector. Considerations around national security, confidentiality, and threat levels come into play.
By implementing policies related to transparency with the aim of combating corruption, businesses in the defence industry can not only successfully compete for security tenders but also win public trust.
There are a few aspects of ethical procurement related to increased transparency and reducing corruption. These include factors like open communication of procurement decisions, clear oversight and control of the defence procurement process, and strict anti-corruption measures.
The implementation of transparent, clear, and responsible policies can greatly aid companies aiming to apply for humanitarian tenders, aerospace contracts, or blue light tenders. By incorporating these key aspects and embracing them across the whole business, it contributes to creating a strong sense of confidence among the public.
Ensuring public trust
The defence industry is shrouded in secrecy and often involves complex operations that can impact national security. However, when it comes to defence procurement processes, adopting ethical processes can combat this. By embracing characteristics of ethical procurement practices such as upholding and even promoting human and labour rights or committing to anti-corruption policies, businesses in the defence sector can give the public assurance that their money is not being misused.
Ultimately, ethical procurement processes improve transparency and act as a bridge between the defence industry and the public. When the public is able to assess the allocation of contracts and the decision making processes, they can help ensure that they align with national interests. In addition, it builds trust.
For example, the UK’s MOD has committed to ethical and sustainable procurement in blue light tenders, which has been praised for its transparency and adherence to strict ethical standards. By embracing ethical procurement processes, the MOD has, in turn, encouraged confidence among the public.
To Sum up,
The Ministry of Defence and the defence sector as a whole need to embrace ethical procurement practises. This is imperative in today’s society to ensure that the processes and practises with which contracts are awarded are ethical, responsible, and sustainable.
Businesses and small and medium enterprises in the defence sector must adopt ethical and sustainable procurement practices. Embracing aspects such as upholding human rights and labour rights, using sustainable products minimising the damage to the environment, and adopting transparent processes with the aim of reducing corruption is vital for the defence industry. This builds a level of public trust and confidence that shows in their support for the military. Further, as the Ministry of Defence favours ethical and sustainable procurement and processes, it also helps them stand in good stead to win MOD contracts or Blue Light tenders.
For more information on ethical procurement processes and how to implement them in your business, contact us today!
