OverviewChemConnect Launches Leveraged Procurement Solutions
Managed events combine small-volume purchases to drive high-volume prices; buyers and sellers benefit from streamlined, strategic procurement processes
HOUSTON, TX (April 28, 2003) - ChemConnect, Inc. a leader in helping customers optimize their purchasing and sales processes for feedstocks, chemicals, plastics, and related products, announced today the availability of new Leveraged Procurement Solutions designed to optimize the purchasing of smaller volumes of product by consolidating them in logical lots as a means to increase buying power and enhance seller value. The new service has evolved from member-specific events managed by ChemConnect and is a customer-proven approach to streamlining smaller volume purchases.
The growth of online procurement for chemicals, plastics and related indirect purchases such as logistics and packaging materials has contributed to the optimization of purchasing and sales processes. To date, activity has been predominantly focused on large-scale purchases; however, procurement organizations are turning to ChemConnect's Leveraged Procurement Solutions to realize significant value by aggregating and organizing smaller-value products into manageable and repeatable auction events. ChemConnect's team of domain experts helps members identify goods that they may not have considered for online negotiation and devises and manages aggregation strategies as a means to create larger multiple product lots to drive supplier interest.
For buyers, ChemConnect's service team provides strategic management to help develop effective events. Sellers benefit from the consolidation of smaller sales into larger lots, converting what have traditionally been viewed as non-strategic sales into attractive opportunities. Both buyers and sellers benefit from a streamlined process, resulting in considerable time savings, optimizing internal resources.
H.B. Fuller manufactures and markets specialty chemicals used in thousands of formulations and applications worldwide. According to Ed Snyder, Company Vice President, Global Sourcing, "Using ChemConnect's Leveraged Procurement Solutions to aggregate purchases has helped us control costs and keep our processes efficient. ChemConnect provided excellent management of the event from start to finish while demonstrating a genuine understanding of our market, supplier base and industry, delivering ROI well in excess of our expectations."
"The process of buying and selling has yet again been made easier for our members," said Tim Fetters, VP Negotiation Solutions, ChemConnect. "Our negotiation services team is creatively evolving these critical business processes, helping members streamline their operations and maximize value on both the buy-side and sell-side."
About ChemConnect
ChemConnect is a leader in helping customers optimize their purchasing and sales processes for chemicals, plastics, and related products through a unique combination of market information, industry expertise, e-commerce solutions, and an active network of trading partners. More than 7,500 Member companies in multiple industries around the world can use ChemConnect's highly efficient tools and services to streamline transactions and lower costs. Visit www.chemconnect.com for more information.
Note to Editors: ChemConnect is a registered trademark of ChemConnect, Inc. All other product, trademark, company or service names mentioned herein are the property of their respective owners.