Suppliers / Sourcing
What kind of materials & services are being bought by DSM?
We distinguish 2 areas of types of materials that we are buying from our suppliers:
- Direct Goods & Services, which are the majority of the necessary building blocks for the vast range of DSM products, for example Chemicals & Utilities.
- Indirect Goods & Services, which cover the most diverse range of purchasing needs for DSM that are not directly processed in our products (Facility Goods & Services, ICT, Physical Distribution, Technical Goods & Services).
What does DSM's Purchasing Organization want to achieve?
The Purchasing organization’s mission is to connect customer needs with supplier solutions. With in-depth knowledge of supply markets and close collaboration with our businesses and suppliers, our Purchasing professionals bring supplier capabilities to DSM in an efficient and transparent way. We ensure the best value by balancing quality of supply, price and risk management (Total Cost of Ownership), and we actively contribute to differentiated business strategies and goals for sustainability, innovation and ‘asset lite’ (capital efficiency).
To help facilitate collaboration with our suppliers we highlight a number of Frequently Asked Questions and their respective answers below
When DSM wants to buy certain materials & services from vendors, that needs to be done based on conditions. DSM has set-up General Purchasing Conditions which are used to agree upon a number of elements:
- Commercial conditions
- Compliance to laws, rules and policies
- Delivery, warranty & acceptance of goods
- Performance & acceptance of services
- Transfer of title
- Opportunity to inspect
- Controlled changes
- Chemical control regulations
- Sustainability, SHE & Security
- Indemnification, Liability & Force Majeure
- Ownership and intellectual property
- Termination and suspension
DSM can ask you as a supplier for a quotation before the purchase order is being issued and sent to you. To ensure that we have a short throughput time and prevent supply issues, we expect our vendor to provide us with a quotation within 3 working days after DSM’s request.
The quotation shall include at least the following information:
- Current prices: which shall be used on the purchase order
- Feasible delivery dates: which shall be used on the purchase order and used for expediting purposes
- Reference to availability of new services or material and its specifications: when earlier requested materials are not available anymore, DSM need to ensure that alternatively offered materials fit the same purposes, alignment needs to take place with internal DSM customer
- DSM case or reference number of the request: so we can easily make the connection between specific quotation and our request
There can be 2 situations that a purchase order requires confirmation/response by the supplier:
- When there is an indication on the purchase order that a PO response/order confirmation is required. In below picture you see the box marked for order confirmation. If in this box a yes is indicated on the purchase order supplier shall provide such confirmation within two (2) business days from the date of the purchase order to the relevant P2P Center indicated in the purchase order.
- The Supplier shall also inform the relevant P2P Center indicated in the purchase order within two (2) business days from the date of the purchase order in case of a deviation from the purchase order substantiating the details of the deviation. This also needs to happen when on the Purchase Order in the box for order confirmation No is indicated.
Invoices must contain the following information:
- Purchase order (PO) number stated in the first page.
- Purchase order (PO) line item number.
- Shipment number if applicable.
- DSM “Bill to” entity name and address.
- DSM “Ship to” address.
- Supplier VAT number/ VAT ID, if applicable.
- DSM VAT number/ VAT ID (applicable for countries having VAT).
- VAT amount.
- VAT rate.
- Total invoice amount.
- Invoice number.
- Invoice date.
- All pages of invoices.
- Delivery date, for transport invoices: shipment date.
- Invoice is in single currency and as per purchase order.
- The items part number (if applicable).
- Item(s) description(s). The description must match the description in the purchase order and in the same sequence, including its individual item value(s), and quantity.
- The name and email address of Supplier’s contact person
There are some additional requirements that need to be complied with:
- The Supplier needs to send the invoice(s) in a timely manner to DSM. This can be done based on the agreement of Purchase order. When there is no specific agreement on when an invoice can be send, then DSM expects that the invoice will be send within 5 working days after the date that the supplier is entitled to payment.
- An invoice which refers only to one purchase order
When a different supplier is used than on the purchase order to issue the invoice, DSM should be informed 2 working days before the invoice is issues. Furthermore, in such a case Supplier shall provide to the relevant P2P Center (can be found on Purchase Order) the relevant data to allow DSM to incorporate the Supplier that shall issue the invoice to the DSM Vendor Master Data.
In the Purchase to Pay process two sub departments are dominantly involved:
- P2P Centers
- Accounts Payable Department
P2P Centers are the departments within DSM whom are taking care of the creation of purchase orders. On the Purchase Orders is indicated which P2P Center has created the Purchase order. The email addresses of the P2P Centers are:
When communicating with these P2P Centers, always use the DSM reference numbers (e.g. PO number) as this will help us in providing our suppliers with a prompt response.
Accounts Payable Department(s) or AP
The Accounts Payable Department is responsible for the handling of invoices that are send by our supplier and the arrangements needed for its payment.
The email addresses of the Accounts Payable Departments are:
When communicating with these Accounts Payable Departments, always use the DSM reference numbers (e.g. invoice number) as this will help us in providing our suppliers with a prompt response.
All of a supplier’s details are protected and maintained by DSM with a unique vendor master data record in our system. In order to make sure that we will pay you on-time and that we send our Purchase Orders to the right address, it is crucial that we have your complete and accurate information up-to-date.
Therefore, please inform the relevant P2P Center or your local Purchasing contact of the following items as well as any changes in your details:
- The name of your contact person.
- Bank account details (including IBAN number) and the corresponding currency of each bank account.
- Your name, address, Remit-To address if different, and relevant email address for ordering and invoicing.
Each Purchase Orders indicates which P2P Center has created the Purchase Order. See the below list of P2P Centers with relevant email addresses:
When bank account details need to be changed in the vendor master data one of the following procedures applies within DSM:
- We need to verify your bank account details via email or phone.
- We will contact you to verify the received changed banking details via an independent source.
- After verification, changes will be made to the vendor master data record of the applicable vendor.
One of the invoice requirements is that the invoices are sent in time for DSM to make sure we can pay you on time. If we have not received the invoice within 5 working days after entitlement to payment, we will adjust the date that we received the invoice in our system as the date that the payment term starts counting.
For timely payment, please send your invoice always directly via email. Please also see the following documents.
If we are unable to process your invoice(s), because it is not compliant with our invoice requirements, we will send back the invoice(s) to you. When sending back the invoice(s), we will send you information why we are not able to process your invoice(s).
After you have revised your invoice(s) with the required corrections, please send your revised invoices to this email address.
On every Purchase Order that we send out you will find a DSM Company Code. Based on that Company Code, we have a dedicated regional service desk where you can ask questions about invoices.
Use this email address to send your invoice to, irrespective of company code.