Increasing global competition and cost pressures compel enterprises and supply chains to uncover hidden cost-saving opportunities, particularly in procurement. Recent trends in international trade highlight the significant impact of uncertain deliveries and volatile prices on company costs. A critical question for research, industry, and policymakers is the optimal procurement strategy for raw materials amid unpredictable future prices, which is vital for corporate success and national wealth. Today, commodity and derivative markets facilitate transparent, rapid, and efficient trading and risk-sharing for raw materials and financial products tied to raw material prices, such as option contracts. This integration of operational and financial procurement instruments—buying opportunities in spot and derivative markets—presents a valuable opportunity to refine procurement strategies for raw materials, which is the central focus of this thesis. Commodities are primarily categorized into storable and non-storable types, with most being storable, albeit with associated costs. This category is diverse, with commodities exhibiting seasonal demand (like crude oil or natural gas) or production (such as wheat or sugar), contrasted with those that have more continuous production and consumption patterns (e.g., nickel and aluminum).
