Plastic And Rubber Processing Equipment Market Procurement Intelligence Report

Several macro changes in the dynamics of overall Engineering Products and Equipment as well as Plastic And Rubber Processing Equipment procurement trends are poised to change the business practices and procurement thumb rules. Procurement costs for Plastic And Rubber Processing Equipment are highly impacted by an increase in the costs associated with the value chain of Plastic And Rubber Processing Equipment, such as logistics, labor cost and energy. Additionally, outdated assets are also increasing the cost for suppliers.

Suppliers are continuously taking efforts to improve efficiencies and productivity and deploying processes and technologies. Some of these investments are likely to increase their costs in the shorter term, but learnings from other sectors keep the suppliers optimistic about a lean cost structure in the longer run.

Customers are expecting service and experience levels which are at par with what ecommerce and consumer sectors of today offer. Moreover, competition keeps intensifying and demand and supply dynamics keep shifting.

Category managers need to take note of the potential of these developments and reassess the changes required in their procurement practices.

Sometimes, procurement functions are unable to timely alter their practices while responding to market conditions. Industry experts acknowledge that periodically reviewing procurement best practices and adopting learnings from across procurement categories can help procurement teams respond to market needs in a more agile way. This report combines our experience of other categories with Plastic And Rubber Processing Equipment procurement insights and hand picks best practices that can work for category managers delving in this market.

For example, Buyers should engage with suppliers that have adopted a global delivery model as it reduces buyers' risk. In this model, any disaster/emergency at any operating facility of supplier will result in the work being transferred to a different facility, thereby ensuring continuity of the project and reduced risk for buyers. This model also provides buyers access to skilled labor from across the globe, thereby improving the quality of engineering products provided by the supplier.

Buyers should engage with suppliers that have recycling capability. Recycling capability of the suppliers will lower their production costs which will be passed on to buyers. Additionally, the recycling capability will contribute in furthering the sustainability goals of the buyers' organization.

Buyers need to evaluate the in-depth expertise of suppliers in the Plastic And Rubber Processing Equipment industry. This can be assessed by considering factors such as the years of experience, number of resources that have multi-year experience of working in the same industry and at least 3 to 5 credentials for the supplier.

Plastic And Rubber Processing Equipment procurement managers also need to proactively identify and mitigate potential risks that can arise in the supply chain or contracts for Plastic And Rubber Processing Equipment procurement. Some examples include: