Companies buying a great number of very diverse raw materials are not in a position to have detailed information regarding each single substance. Due to legal requirements (REACH e.g.), portfolio optimizations, mergers/acquisitions and new applications, there are constant changes in the procurement markets.
Therefore, it is worthwhile to regularly assess the following questions:
- Are there new manufacturers which use a more economical process?
- Are products discontinued because of more stringent environmental laws in China?
- Are there any raw materials which can or must be substituted?
- Are some of your raw materials suspected to be carcinogenic, mutagenic or toxic for reproduction?
- How is availability of your raw material influenced in case of co-production?
- How do your procurement competitors influence availability and price development?