Introduction

This learning outcome covers collection and provision of resource efficiency systems and
procedures, measuring and recording of current resource usage, analyzing and recording
purchasing strategies, according to industry procedures and analyzing work processes to access
information and data.

Definition of key terms

Resources: They are the flows and reservoirs of matter and energy that can sustain or benefit
living systems.

Resource efficiency systems: These are procedures that ensure the limited resources are used
sustainably while minimizing impact on the environment. The systems allow for creation of
more using less and deliverance of greater value output with less input.

Purchasing strategies: These are actions that may be undertaken in order to increase overall
saving from buying of goods and services. They are used in order to make cost effective buying
decisions from a group of efficient vendors who will deliver quality goods and services on time
and at mutually agreeable terms.
Content/Procedures/Methods/Illustrations
4.1 Information on resource efficiency systems and procedures are collected and provided
to the work group where appropriate
Environmental Resource Efficiency Systems
Resource efficiency is a sustainable development aspect. Sustainable development is a dynamic
process that enables people of present and future generations to realize their potential and
improve their quality of life in terms of consequently protecting and enhancing the
environment’s life support systems. Resource efficiency systems involve gaining the most out of
what you have. The systems can be beneficial in ways such as reducing the amount of material
used, hence reducing manufacturing costs, waste and compliance to environmental regulations
thus reducing impact on the environment.
In the resource efficiency process, it is important to firstly understand the inputs and outputs
before analyzing environmental impact. This is usually done using a life cycle analysis.
When developing an environmental resource efficiency system, the following procedure is
followed:

Establish your resource use profile

Access resource usage and waste generation activities

Prioritize Resource Efficiency Actions

Document and review plan/process

Figure 1. Developing an environmental resource efficiency system procedure

Establish resource use profile

It entails collecting, analyzing and determining baseline data for current resource use and waste
generation and monitoring the efficient strategy gains. Baseline date includes:
 Energy use by fuel type
 Water use by source of water
 Waste generation by type of waste
Potential sources of these data include:
 Bills
 On-site metering information
 Existing internal resource management and tracking databases
Access resource consumptions
Offers an opportunity to consider the key processes for their potential to reduce resource usage
and optimize saving. This steps also involves the development of resource efficiency indicators.

Prioritize resource efficiency actions

It involves integrating known opportunities, evaluating the costs and benefits of each activity and
prioritizing ideal activities in the resource efficiency strategy.
These actions may include: Most effective technology available, most ideal product design that
minimizes wastage.

Document and review the plan/strategy

This is the monitoring and evaluation stage of the cycle. It seeks to ascertain the resource
efficiency strategy that is best suited for the resource.

4.2 Current resource usage is measured and recorded by members of the work group
Resource usage
Resource can be distinguished into at least three different definitions of resource:
 The economist’s view (any means that enters into the production of goods and services)
 The Physical’s view (energy, material and information)
 The ecologist’s view (naturally occurring components of the environment that can sustain
or benefit organisms, populations or communities within an ecosystem)
Resources can be termed as the flows and reservoirs of matter and energy that can sustain or
benefit living systems.
Measures for resource use
a) Energy Analysis
It is the analysis of the available energy that is lost in the course of material and energy
transformation.

b) Product-oriented Methods
Life cycle assessment – it is based on analyzing output in relation to input. It involves calculation
of environmental impacts.
Material input per unit of service (MIPS) – deals with flows into and out of the techno sphere but
pay little attention to the way these flows are dealt with within the techno sphere.

c) Entropy-based Measure
Evaluation occurs without reference to transformations of energy or materials. It takes into
account all resource consumption in the form of lost energy.
d) Muller-Wenk and operationalized in the Eco-indicator 99 Method
It is not based on the questions of how long resources last and how much they are decreased by
current practices, but instead evaluates the effects on future generations by examining the future
additional investment (in terms of energy) due to the extraction of resources in the present time.
4.3 Current purchasing strategies are analyzed and recorded according to industry
procedures
Purchasing strategies
These are the activities taken in order to increase overall savings from buying. It requires input
from all functional areas and departments of an organization. For a successful purchasing
strategy, the following steps can be used:
 Conduct an internal needs analysis
 Conduct an assessment of the supplier’s market
 Collect supplier’s information
 Develop a sourcing/outsourcing strategy
 Implement the sourcing strategy
 Negotiate with the suppliers and select the winning bid
 Implement a transition plan or contractual supply chain improvements

i. Conduct an internal needs analysis

You will need to benchmark current performance and then identify needs and targets in this stage
before developing a procurement strategy. It involves collection of different types of data. Initial
data collection is to benchmark current performance, used resources, cost for all functions in the
organization and current growth projections.
ii. Conduct an assessment of the supplier’s market
Potential suppliers that are feasible sources of the required goods and services are identified.
Specific requirements by the organization limits number of suppliers that are suitable, such as
technological requirements, quality.
iii. Collect supplier’s information
The business reputation and performance of the supplier must be evaluated. A supplier’s ability
to meet selection criteria may result in significant profits or losses. Use of agents who are experts
with the market and stakeholders can be beneficial. A competitive environment may be created
by selecting more than one supplier in order to avoid potential supply disruptions.
iv. Develop a sourcing/outsourcing strategy
Examples of sourcing/outsourcing strategies include: direct purchase, acquisition, and strategic
partnership. Determination of the right strategy is dependent on the competitiveness of the
supplier’s market and the organization’s risk tolerance, business strategy and
outsourcing/sourcing motivation.
v. Implement the sourcing strategy
Sourcing strategies involve partnerships that are strategic and/or acquisition. Suppliers may
possess the following characteristics:
 Activities involvement core to the buyer such as correct technological requirements, raw
material for product
 A limited number of suppliers with the specific skilled labor
 Part of the broader business strategy of the organization.
The organization may develop a competitive bidding process in case of a direct purchase.
vi. Negotiate with the suppliers and select the winning bid
The team must evaluate suppliers’ response and apply its evaluation criteria. Suppliers may
request additional information in order to make the most realistic bid. Evaluation of received
bids is done and the selection criteria used and the bidders shortlisted. After the evaluation
process, contract negotiations begin.
vii. Implement a transition plan or contractual supply chain improvements
Suppliers who won the bid should be invited to participate in implementing improvements. A
communication plan must be developed and a system for evaluating and measuring performance
will need to be developed using key performance indicators. Transition plans are very important
when switching suppliers.

4.1 Current work processes to access information and data is analyzed following enterprise
protocol
Data Analysis of Current Work Processes
An analysis of current work processes to access information and data is important as it helps to
increase the effectiveness and efficiency of a process. It offers an assessment of how well the
process attains its end goal, by examining every part of the structure. It can therefore help
identify potential improvements making it easier to carry out a re-engineering initiative later on
in the process. Data analysis is the process of collecting, transforming, cleaning and modelling
data with the goal of discovering the required information. Results obtained are communicated,
suggesting conclusions and supporting decision making. Data analysis process consists of the
following phases that are interactive in nature:
 Data Requirement Specification
 Data collection
 Data processing
 Data cleaning
 Data analysis
 Communication

Data Requirement Specifications

Required data for analysis is based on a question or experiment or project. Data necessary as
inputs such as population is identified. Specific variables regarding this population such as age
may be specified and obtained. Data can be numerical or categorical. Clear measurement
priorities must be set according to:
 What to measure?
 How to measure it?
Data collection
It is the process of gathering information on targeted variables identified as data requirements.
Data collection ethics are paramount in regards to accurate and honest data. It provides a target
to improve and a baseline to measure.
Data processing
It involves organizing data for analysis. It includes structuring the data as required for the
relevant analysis tools. Creation of a data model might be necessary.

Data cleaning
Processed and organized data may be incomplete, contain duplicates or errors. Data cleaning is
the process involving correcting the errors. It is dependent on the type of data.

Data analysis
Processed, organized and analyzed data is now ready for analysis. Various data analysis
techniques work to understand, interpret and derive conclusions based on the requirements. Data
visualization may also be used to examine the data in graphical format in order to obtain insight
on the messages within the data.
Statistical data models such as correlation, regression analysis may be used to identify the
relations among the variables. They are descriptive and help in analysis simplification and results
communication.

Communication
Results are to be interpreted in a format as required by the users to support their decision making.
Feedback from the users might result in additional analysis.
Visualization techniques such as tables, charts and graphs are used by data analysts to aid in
communicating messages clearly and efficiently to the users.

Data Requirements Specification

Data Collection

Data Processing

Data Cleaning

Data Analysis

Figure 2. Data analysis process

Conclusion
At the end of this learning outcome, the trainee should be able to properly develop an effective
resource efficiency system, quantify current resource usage, implement efficient purchasing
strategies and analyze data and access information on current work processes.

Further Reading
Mugenda, O. M. & Mugenda, A. G. (2008). Research methods: Quantitative and Qualitative
Approaches. Nairobi: African Centre for Technological Studies

1.3.5.3 Self-Assessment
Written Assessment
1. Which is not a benefit of using resource efficiency systems?
a) Sustainable Development
b) Cast reduction
c) Environmentally friendly
d) Less value output
2. Data analysis on current work processes involves certain phases apart from which one?
a) Data processing
b) Data guessing
c) Data collection
d) Data cleaning
3. Which is the odd one out in relation to resource usage?
a) Resource exploitation
b) Resource efficiency systems
c) Purchasing strategies
d) Data analysis on work processes
4. Baseline data in establishing resource use profile does not include?
a) Water use
b) Waste generation
c) Premises
d) Energy use
5. Which of the following is not included in the life cycle analysis?
a) Establishing resource use profile
b) Documenting and reviewing plan
c) Data collection
d) Prioritizing resource efficiency actions
6. Describe development procedures of a resource efficiency system.
7. Outline steps taken in developing purchasing strategies.
8. Define data analysis and explain the phases it involves.
Project
Do a project. An assessment of the work process involved in an organization
7.3.5.4 Tools, Equipment, Supplies and Materials
 Standards operating and/or other workplace procedures manuals
 Specific job procedures manuals
 Environmental Management and Coordination Act 1999
 Machine/equipment manufacturers specifications and instructions
 Personal Protective Equipment (PPE)
 ISO standards
 Company Environmental Management Systems (EMS)
 Montreal protocol
 Kyoto protocol

1.3.5.5 References
https://www.google.com/amp/www.tradeready.ca/2017/fittskills_refresher/
7_steps_of_a_strategic_procurement_process/amp/
https://www.tutorialspoint.com/excel_data_analysis/data_analysis_process
United Nations research institute for social development, 200. Business for sustainable
development. An occasional paper no. 2 by Peter Utting
www.betterregulation.vic.gov.au>…PDF DRAFT GUIDELINES ENVIRONMENT AND
RESOURCE EFFICIENCY PLANS.