-
When to Use This Checklist
-
Step 1: Check for Specification Compliance (The One Everyone Skips)
-
Step 2: Calculate the Real Cost of Minimum Order Quantities (MOQs)
-
Step 3: Factor in the Cost of Technical Support (It's Not Always Free)
-
Step 4: Evaluate the Hidden Cost of Expedited Shipping
-
Step 5: Account for the Cost of Quality Verification (Incoming Inspection)
-
Common Mistakes to Avoid
When to Use This Checklist
If you're sourcing Arkema products—whether it's Arkema coatings resins, adhesives, specialty surfactants, or high-performance polymers—you've probably gotten a quote, compared it to a competitor, and thought you had a good deal.
But here's what I've learned from reviewing deliveries for our chemical processing plant: the price on the quote is rarely the price you actually pay. This checklist is for anyone involved in sourcing from the Arkema product catalog—procurement managers, formulation chemists, and production leads—who wants to avoid the budget surprises that show up after the PO is signed.
I'll walk through 5 steps to evaluate the real cost of your Arkema purchase. Each step has a specific check you can apply to your next order.
Step 1: Check for Specification Compliance (The One Everyone Skips)
This is the step I can't emphasize enough. In our Q1 2024 quality audit, I reviewed 47 incoming shipments of specialty chemicals. Over 12% had a specification deviation that wasn't caught until after the order was confirmed.
The hidden cost: rework, production delays, and scrapped batches.
Here's what to verify before you place an order from the Arkema product catalog:
- Does the product have the exact molecular weight or viscosity range your formula requires?
- Is the material purity above your minimum threshold?
- Does the certificate of analysis match the batch you're ordering?
Pro tip: I don't have hard data on industry-wide rates, but based on my 5 years of reviewing deliveries, about 8-12% of first shipments have a spec issue that would affect production. Ask for a pre-shipment sample if your process is sensitive. The $50 sample fee beats a $5,000 rework cost.
Step 2: Calculate the Real Cost of Minimum Order Quantities (MOQs)
This is where the total cost thinking kicks in. The Arkema product catalog lists MOQs for each item. But the MOQ for a resin might be a full pallet, while you only need half for a trial run.
The hidden cost: inventory carrying cost, storage space, and material expiry. For Arkema coatings products, many have a shelf life of 12-18 months. If you're sitting on six months of inventory you can't use, that's money tied up.
Here's how I calculate it:
- Cost per unit at MOQ vs. cost per unit at your actual expected usage
- Storage cost per month for the excess inventory
- Risk of expiration or obsolescence if your production schedule changes
Part of me wants to always buy at the lowest unit price. Another part knows that I've seen warehouses filled with materials that expired before they were used. I compromise: I negotiate a lower MOQ for a slightly higher unit price if I'm testing a new Arkema adhesive or surfactant for a new application.
Step 3: Factor in the Cost of Technical Support (It's Not Always Free)
This is the step most buyers overlook. When you're working with a complex material like an Arkema high-performance polymer or a new powder coating formulation, you might need technical support to get the application right.
The hidden cost: your time, and the time of your formulation team. If you're spending 10 hours troubleshooting a compatibility issue because the technical data sheet wasn't detailed enough, that's a real cost.
I've seen this pattern many times. But when I say 'many,' I do not mean just a few—I mean consistently across 200+ orders. The vendors that provide clear application guidelines and responsive technical support save you money, even if their unit price is slightly higher.
What to check:
- Does the Arkema technical data sheet include specific guidance for your application (e.g., waterproofing basement company uses for coatings)?
- Is there a local technical representative you can call?
- What's the typical response time for technical queries?
Step 4: Evaluate the Hidden Cost of Expedited Shipping
This one is sneaky. You place a standard order for Arkema specialty surfactants, but your production schedule shifts. Suddenly you need it in 3 days instead of 10.
The hidden cost: rush fees, premium freight, and the administrative time to expedite.
I wish I had tracked how much we spent on expedited shipping over the past year. What I can say anecdotally is that it added roughly 15-20% to our total material cost in months with tight deadlines.
How to avoid it:
- Build a buffer in your procurement timeline. If you're ordering Arkema product catalog items for a production run, order 2 weeks before you actually need the material.
- Ask about standard lead times vs. emergency lead times before you commit.
- If you're a repeat buyer, negotiate a priority lane for expedited orders at a fixed rate.
Step 5: Account for the Cost of Quality Verification (Incoming Inspection)
Every time I receive a shipment of Arkema coatings or adhesives, I run a quality check. Even from a trusted manufacturer, things can go wrong—a mislabeled container, a damaged seal, or a batch that's slightly off-spec.
The hidden cost: the time and equipment needed to verify quality before the material hits your production line.
When I implemented our incoming verification protocol in 2022, it added about 2 hours per shipment. But it also caught 3 batches of material that would have ruined production. The cost of the inspection time was maybe $200 per order. The cost of a bad batch hitting production? In one case, it was $18,000 in wasted processing time and raw materials.
What to do:
- Allocate budget for incoming inspection—even if it's just a visual check and a viscosity test.
- Document your acceptance criteria before the order arrives.
- If you're buying a new product from the Arkema product catalog, like a powder coating for the first time, run a small-scale test before committing to a full production batch.
Common Mistakes to Avoid
I've seen procurement teams make the same mistakes repeatedly. Here are the ones to watch for:
- Assuming all suppliers are the same. They're not. A trusted supplier like Arkema has consistent quality, but the cost of verifying that quality is still on you.
- Ignoring the cost of disposal. If you have leftover material that expires, you're paying for disposal. For specialty chemicals, that can be significant.
- Not asking about the cost of documentation. Some suppliers charge for certificates of analysis or compliance documents. Ask upfront.
This worked for us, but our situation was a mid-size chemical processing plant with predictable ordering patterns. If you're a small specialty formulator or a large multinational, the calculus might be different. But the principle stands: the price on the quote is just the starting point. The real cost of your Arkema purchase includes everything between the quote and the finished product.