Many companies are experiencing headwinds from rising oil, energy and commodity prices. Directly compensating these higher costs by incorporating them in the sales price is often difficult in practice. Perhaps your organization is also experiencing challenges related to ever rising commodity prices, and you might be asking yourself how to better protect your margins and competitive position?
As circumstances in commodity markets are getting increasingly volatile, companies realize that they have insufficient control on the commodity component of their cost price. Different departments (risk, purchasing, management, sales) are often not acting in unison which can lead to an ad hoc policy and passively following the markets.
Firms with an optimized and structured commodity risk management policy are obviously also confronted with the same price fluctuations as firms without such a policy. However, the optimized risk management policy provides them with a well-filled toolbox to deal with price volatility.
Relevant questions can be: have we correctly mapped all of our commodity exposures? Is it crystal clear who is responsible for managing these risks? Is our company's continuity ensured in the face of extreme price fluctuations? Are the costs of our hedging policy in line with the financial risk of our commodity exposure? Could these costs be decreased? ICC can help you by examining your commodity risk from an experienced and independent viewpoint.
Get in touch and discuss your situation and needs with no commitment on your end, we would enjoy the opportunity to illustrate the benefits of having an independent commodity advisor on your side.
ICC has more than 20 years of experience in commodity risk management
ICC is licensed by the AFM to advise companies regarding commodity derivatives
ICC will refrain from any deal driven advice and decisions are always made by you
ICC's commodity analysis offers excellent insights into optimizing your risk management
ICC shares insights and best practices from industry leaders in many sectors
ICC's commodity risk management leads to calm of mind, more controle and better bottom line results