Sludge Transport Services Market Procurement Intelligence Report

The market for Waste Management Services and its sub-segments such as Sludge Transport Services are at an interesting intersection. Most suppliers of Sludge Transport Services are moving up the value chain and offering integrated services that go beyond just Sludge Transport Services. Buyers are increasingly collaborating with vendors who can offer one-stop solutions as they now have fewer suppliers to manage and can achieve greater cost savings that arises out of awarding a larger contract to a supplier.

Sludge Transport Services category has traditionally been untouched with in-depth analysis of patterns. However, companies are now spending a good amount of analysis to optimize the entire waste management cycle, for example, the optimum frequency to collect waste, optimum size of containers of vehicles, types and volume of waste generated and customized solutions for each type and volume category. Suppliers are also expected to create in-depth data reports that can further facilitate the analysis and decision-making process.

Government regulation in North America, Europe and parts of APAC have compelled the local companies to reduce the volume of waste generated. Suppliers of Sludge Transport Services are trying to compensate for the lowering volume growth with high margin value-added services but the most common response so far has been an increase in pricing structure.

Trends like these and many others discussed in this report are necessitating a relook at the way Sludge Transport Services is procured and the procurement cost saving opportunities that exist.

It has become imperative for category managers to remain as agile as possible in terms of their procurement practices. However, it is not always easy to quickly spot and implement alternative practices in a category like Sludge Transport Services. To help quick decision making, this report advises on several procurement best practices that have worked well for category managers.

For example, Timely monitoring and inspection of waste management systems, processes or equipment is critical in taking the contract renewal decisions. A dedicated team of experts from the buyer's organization should conduct timely reviews and inspection to assess the performance of current solutions and use those intervention points to better negotiate at the time of contract renewal.

Shortlisted suppliers should also be assessed based on their knowledge of and adherence to local regulations and laws with respect to waste management. Buyers should conduct a proper due diligence on the past penalties, non-compliance cases and compliance processes associated with suppliers before finalizing the vendor.

Buyers should engage with suppliers that offer end-to-end solutions, including equipment and supplies, collection, disposal, and transportation of waste and consulting services. Such suppliers can assist buyers in implementing a more efficient waste management program, select correct waste processing method and maximize the waste operations.

Sludge Transport Services procurement managers also need to proactively identify and mitigate potential risks that can arise in the supply chain or contracts for Sludge Transport Services procurement. Some examples include: