Taking an E2E viewpoint enables chemical players to accommodate faster to unstable market conditions and increase profits.
FREMONT, CA: Digital technologies obstruct old ways of functioning but also show opportunities to advance. Chemical companies can grab value by digitizing the wholeness of their value chains.
Three important trends are remodeling the operating models of chemical companies:
• Huge advancements in technology and innovation
• Fastly changing customer needs
• Growing pressure on cost and efficiency
Certainly, these trends interrupt traditional methods of working. Still, they also induce both strategies and tactics to move—clouding the picture of their plan for a wide, end-to-end (E2E) digital transformation.
Taking an E2E viewpoint enables chemical players to accommodate faster to unstable market conditions and increase profits. For instance, speaking of fast growth, digital and analytics can aid in unlocking capacity by growing yield and throughput while lowering costs. Concurrently, a seamlessly integrated supply chain and commercial function ensure this new capacity is assigned to the most worthwhile customer and products, delivering the best possible border. Production and supply plans are revamped in real-time across every step of the value chain, considering trade-offs.
Likewise, speaking of lower demand, digital and analytics can aid in proactively notifying the sales decision—through algorithms, for instance—to “push” lower-margin volumes into the market to load capacity and enthrall fixed expenses. Algorithms can also notify the redistribution of demand across plants and offer the temporary shutdown of complete lines. Furthermore, the growing level of digital support can help operators on the shop floor, enable an easier redeployment of workers across departments, and recommend the optimal timing for applying contractors (like during peak activity).
Finally, these digitally-allowed insights reinforce a more efficient and flexible application of resources.
