In today’s world, supply-chain decisions are no longer just about cost and availability — they are central to corporate purpose, environmental impact and social justice. The Co-op Group, one of the UK’s largest consumer co-operatives, is showing how procurement can evolve from a transactional function into a strategic enabler for sustainability.
Buying Power Meets Purpose
With over 2,300 food stores, 800 funeral homes, and a wholesale network supplying around 6,000 other outlets, the Co-op Group’s scale is significant. Under the leadership of Chief Procurement Officer Imran Rasul, the organisation is harnessing that scale to drive new initiatives across energy, seafood sourcing and supplier partnerships.
One flagship initiative is Co-op Power, the group’s co-operative energy-buying vehicle. Originally designed to meet the Co-op’s internal energy needs, it has been relaunched with a broader mission: helping other like-minded organisations access ethically sourced, low-carbon energy while leveraging the Co-op’s established procurement expertise. Rasul explains:
“As the biggest Co-op in the UK, we buy power for our own business and we decided to use our buying power to help other like-minded businesses save money and source energy in an ethical and sustainable way.”
On the supply side, the Co-op is also targeting 100% of its own-brand farmed seafood to be certified to high sustainability standards (Aquaculture Stewardship Council certified) by 2027. Its own-brand seabass has already carried the certification, and other lines — such as smoked salmon and whole prawns — are slated for transition in the next 15-months. As Compliance Manager Sam Darley notes:
“Offering high-quality, sustainably-sourced seafood on our shelves is at the heart of our commitment as a responsible retailer.”
Three Key Procurement Levers
- Energy procurement as leverage
By aggregating demand and operating as a buying centre for others, the Co-op is pushing open access to green power and providing energy-strategy services (consultancy, portfolio management, billing) under the Co-op Power umbrella. - Supplier sourcing standards
Procurement doesn’t end at cost and delivery. For the Co-op, sourcing seafood by certified standards means tracing farms, assessing welfare impacts, and ensuring environmental and social outcomes are embedded in supply-chain decisions. - Internal alignment and cross-function integration
The procurement team is fully aligned with sustainability, property and operations teams. This alignment has enabled the Co-op to restructure its energy-hedging strategy, invest in embedded generation, and redesign the way it buys and uses power — all from a procurement lens.
Why This Matters
- Operational resilience and cost control: Managing energy strategically through procurement helps the Co-op defend against volatile markets and inflationary pressures, while supporting the shift to renewables.
- Supply-chain transparency and reputation: By demanding higher standards from suppliers, the Co-op improves traceability, reduces risks (environmental, ethical) and positions itself as a trusted brand in sustainability.
- Collective impact potential: The Co-op isn’t just focused on its own operations — its procurement strategy is scaled outward to support partner businesses and suppliers, expanding the sphere of influence beyond corporate walls.
What’s Ahead & Watch-Points
- Will other large-scale retailers adopt a similar procurement-driven sustainability model, and how will that shift competitive dynamics in sourcing?
- How quickly can the Co-op scale the certified-seafood transition and embed green energy services markets through Co-op Power?
- What metrics will measure success — e.g., scope-3 emissions reduced via procurement, renewable-energy share secured, supplier certification achieved?
- How will cost pressures (from energy, feedstock, certification) impact procurement choices and timeline commitments?
- How will smaller suppliers respond to rising procurement-driven expectations? Will they be supported through capacity building or face exclusion?
Final Thought
The Co-op’s approach shows that procurement isn’t just an operational function — it’s strategic. By aligning its buying decisions with sustainability goals, the Co-op is demonstrating how organisations can move from talk to action. Whether in energy, seafood or supplier standards, procurement becomes the engine of change. In the quest for sustainability, the question isn’t just what we buy — it’s how we buy.