Global

Details

  • Industry: Chemicals & Performance Technologies
  • Type: Business and industry issue
  • Date: 5/30/2012

Petrochemicals: Optimising value in today’s changing global petrochemicals market 

Petrochemicals: Optimising value
The petrochemicals sector continues to face multiple challenges including the cyclical nature of the industry, product commoditisation, constant technology creep, the emergence of new competitive threats and a steady migration of volume eastwards. However, as with many challenges, opportunities are created for those that think and act differently.

In this article, we consider strategies and opportunities to deliver value across the investment and operating lifecycle, including:


  • Market demand, location selection and the impact of infrastructure on competitiveness.
  • Ownership models, over-the-fence commercial agreements and the ability to drive performance improvement in these situations.
  • Transitioning from investment to operate and the need to consider all elements of the operating model not just that required for physical manufacture.
  • Focusing on sustainable fixed and variable cost optimization and what it takes to maximise the value in such programs.
  • Maximising value from across customer portfolios and supply chains through effective use of pricing tools and cost to serve analysis to drive higher margins and minimise value leakage.

By Barry Van Bergen and Fergus Woodward

 

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