ASU Center for Organization Research and Design

Chemical Management Services in Sweden and Europe: Lessons for the Future

by Oksana Mont; Pranshu Singhal; Zinaida Fadeeva

Jan 1, 2006

The number and diversity of chemicals produced and used in society today are growing in conjunction with the both evident and uncertain environmental impacts associated with the life cycles of these chemicals. Chemical management services (CMS) is a business strategy based on a strategic, long-term contract, according to which the supplier of chemical management services accepts the responsibility for managing chemicals and strives to reduce the associated costs and risks. This strategy also has the potential for reducing the environmental impacts of chemicals. This article provides an overview of the existing advantages and barriers for CMS providers and customers in the European context, identifies conflicts of interest between them, and highlights important lessons regarding the role of CMS in shaping these markets. It reports on findings from interviews with European chemical producers and other stakeholders of chemical management services and is directed toward industry professionals interested in chemical management services. It concludes that economic and environmental advantages of CMS are not automatically guaranteed and lists factors that are critical for developing a win-win CMS for both providers and customers. Finally, ways of fostering CMS dissemination in Europe are suggested.

Chemical Management Services in Sweden and Europe: Lessons for the Future