Added value service capability

Over the course of time, chemical distributors have developed in the complex small-volume, rapid-response area of chemical distribution into playing an important role in the supply chain from chemical producers to consumers. In addition to fundamental delivery capabilities, distributors offer value-added services, skills in complying with environmental and safety standards, and economy of delivery to remote and small customers. 

If the distributor does not play an important role in terms of value-added and customer access, a direct disintermediation approach may be advisable. Such a strategy is unlikely to lead to complete elimination of the distributor, since chemical producers will not want to build capabilities speciBcaUy for the complex supply chain management of small customers. However, the distributor s role will change more to that of a logistics service provider. The approach of some of the consortia remains to be seen here. 

Used products are mainly commercialized through two transaction channels. In the first channel, a retailer buys used products from old users and sells them to new ones for a profit. In the second channel, the customer or new user can buy the used product directly from the old user without intermediaries (Yin et al. 2010). hi both channels, the price of the new product version and value added by new features or capabilities as well as the services provided by the retailer are decisive to promote or discourage a secondary market of used products (Kogan 2011). When creating a secondary market for used products, three factors are of special attention for a successful implementation (a) the commercialization channel, (b) the distribution channel, and (c) the costumer s demand for these used products. 

One other motivation for the need of a process framework and beyond for the education sector can be drawn from the success of the IT, ITES and SW industry. The progress of these industry segments is evolutionary and a twofold one. Firstly, the constituent corporates evolved into mature multinational companies. Secondly, nature of activities that constituted the services, progressively, added more and more direct values to the end product rather than being a part of the supportive ecosystem for the product or the subsystem. This success is achieved over a period of 2-3 decades. This fact proves the sustainability and assured unprecedented growth capability of the process orientation. 

Taking advantage of potentials for collaborations to systematically combine interfaces and capabilities is another means to optimize total operational costs. Any commercial risks need to be assessed beforehand. Ultimately, the range of services can usually be expanded. Thinking outside of the box is indispensible to taking this initial step toward a value added network. Individual operations and activities must be examined critically in order to be able to draft contracts expediently and ealculate costs realistically. The correlation between one s own and one s network partners success must always be borne in mind. 

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