In this episode of Corporate Treasury 101, we dive into the world of commodity risk management with Olivier Kaczmarek, Partner at O2 Finance and a seasoned treasury consultant. With over 20 years of experience advising multinational companies on treasury systems and risk strategies, Olivier helps us break down where commodity risk arises, why it’s often overlooked, and how companies can manage it more effectively.
Olivier Kaczmarek shares insights from real client work across manufacturing and energy sectors, explaining how natural hedging, pricing alignment, and internal coordination can mitigate risk, often more effectively than derivatives. His clear, practical approach offers a fresh perspective on making commodity risk a formal part of corporate treasury strategy.
What You’ll Learn in This Episode
- What commodity price risk really means in a corporate setting
- How commodity exposure arises across procurement, production, and sales
- Why most treasurers overlook commodity risk, and why that needs to change
- The role of natural hedges and pricing contracts in mitigating risk
- Why analyzing contracts and internal pricing mechanisms is more powerful than you think
Episode Breakdown with Timestamps
- [00:00] – Introduction & AFP Certification Promo
- [01:29] – Why Commodity Risk Management Matters More Than Ever
- [03:02] – What Is Commodity Risk? The Focus on Price Volatility
- [04:00] – Procurement, Production & Sales: How Exposure Spreads
- [06:25] – Natural Hedges and the Myth of “Just Passing on Costs”
- [08:30] – Treasurers vs. Buyers: Who Owns the Risk?
- [12:54] – Common At-Risk Commodities and Vulnerable Industries
- [14:56] – Identifying and Analyzing Exposure: The Toughest Part
- [16:59] – Real Case: Naturally Hedged Without Knowing It
- [19:00] – No Market, No Problem? Proxy Hedges and Pricing Sync
- [20:39] – Aligning Sales and Procurement to Manage Risk Internally
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