Future-Proofing the Chemical Industry with Digitalization

Abhinav Anand | July 14, 2022 | 994 views | Read Time : 02:00 min

Future-Proofing
Over the next five to seven years, the chemical sector will place a greater emphasis on sustainability, and digitization will play a significant part in this. Reducing resource use, pollution, energy consumption, and waste are some of its main applications. Additionally, it will increase demand for a circular economy supported by IoT, AI, and other digital technologies.

Some of the systems now in place or being used in the sector include autonomous solutions that enable lower energy usage, dispatching systems for effective logistics and strategies for sustainable power and fuel consumption.

Chemical players making the switch to digital platforms have a chance to triumph if they move swiftly and update their operational models in accordance with a few common success characteristics. In fact, according to our study, making the correct decisions can increase total earnings before interest, taxes, depreciation, and amortization by 3 percent or more (EBITDA).

The Next Step of Operational Excellence

The same level of transformation is available with digital technology for optimal performance, together with success-enabling measures. The same level of corporate participation and realignment will also be necessary for the effective implementation of digital technology.

Finance and telecoms were early leaders in adopting digital technology faster than the chemical sector, which has just recently started to move in more significant numbers toward digitalization.

A circular economy in the sector is also being enabled by the use and evaluation of digital technology. The "Right to Fix" movement is being driven by governments and legislators in Europe and the US, and small and medium-sized businesses in the industry are expected to invest in technology that makes it easier to repair electronic items with the least amount of waste.

On a side note, by enabling the re-use of resources and products throughout the supply chain, digitalization with lean manufacturing (LM) would enable businesses to improve operational excellence and create value, thereby supporting the circular economy goal.


Conclusion

Given its extensive safety and regulatory requirements, the chemical sector has evolved slowly. However, as the global economy changes, some skills will become obsolete and others essential.

The interconnectedness of people, processes, and technology, as well as the requirement for real-time insight at the levels closest to the action, are among the basic principles of Industry 4.0. These values have existed for some time and are an extension of our teams' current operational excellence initiatives.

Digital transformation is not a technology endpoint but rather the following stage in the process and business evolution as the chemicals industry advances continuously.

Spotlight

Custom Chemical Services

Custom Chemical Services is a distribution partner focused on specialty chemicals and innovative ingredients. Utilizing our distribution network we supply chemicals to the agriculture, food & beverage, nutraceutical, personal care and pharmaceutical industries.

OTHER ARTICLES
CHEMICAL TECHNOLOGY

Transporting biological and chemical materials - what you need to know

Article | August 8, 2022

The landscape of biological and chemical logistics has changed rapidly - as have the regulatory frameworks around it. What has not necessarily kept pace is the end-user understanding of the nature of these logistical processes, their opportunities and their constraints. Twenty years ago, the transmission of biological and chemical materials was limited to a small range of organisations: usually national and international research companies, hospitals, major university departments, police and military departments with forensic responsibilities.

Read More
CHEMICAL TECHNOLOGY

Setting record straight on testing harm in chemicals

Article | July 20, 2022

The modern world is built on chemicals, be it the medicines we use, or cleaning fluids, crop protection products, or the raw materials for everything from laptops and mobile phones to clothes and furniture. Across all, we have created an entire modern society with chemicals, and, as a result, constantly stretched the size of the world population we can feed, clothe and shelter. Yet, balancing all the gains from the modern chemistry around us against any negative environmental and human impact has been a rising concern, making for ever greater focus on testing and on risk assessment.

Read More
CHEMICAL TECHNOLOGY

Why chemical characterization is the best way to assess patient risk

Article | June 11, 2021

Everyone is very familiar with the phrase when buying a house: All that really matters are three things - location, location, and location. This same principle applies to extractables and leachables chemistry analysis – the three things that truly matter are identification, identification, and identification. The greatest growth in the past ten years in demonstrating the safety of medical devices and container closure systems for drugs has been using analytical chemistry to determine what chemicals can leach from the device and what the patient is exposed to during its intended use.

Read More

How Chemical Companies Benefit from the Experience Economy

Article | February 10, 2020

To feel or experience from a business engagement started with customer experience mainly in the consumer products business. Today it has extended to even knowledge industries like the chemical industry where experiencing or feeling can be leveraged to include all stake holders from customers primarily to employees to supply chain people & suppliers and all else. With digital technologies this has become easier than before. The benefits from promoting the ‘feel’ or ‘experience’ emotion could be multifarious for the chemical industry as described in this article.

Read More

Spotlight

Custom Chemical Services

Custom Chemical Services is a distribution partner focused on specialty chemicals and innovative ingredients. Utilizing our distribution network we supply chemicals to the agriculture, food & beverage, nutraceutical, personal care and pharmaceutical industries.

Related News

CHEMICAL MANAGEMENT, PRODUCTS AND TECHNOLOGIES

Sustainability Program ‘reduce’ Yields Results: OQ Chemicals Reduces CO2 Emissions at Bay City, Texas Plant by 10% in 2022

businesswire | March 24, 2023

Under its sustainability program ‘reduce’, the global chemical company OQ Chemicals has reduced its carbon dioxide (CO2) emissions by 10% at its Bay City, Texas production site in 2022, compared to the previous year's averages. To achieve this, the company carried out a dedicated boiler and flare improvement project to optimize the flow of vent gases from chemical production units and to further improve the combustion process. Project progress was tracked for 2022, and demonstrated improved production process stability and subsequently reduced emissions. “Reducing greenhouse gas emissions is crucial to addressing the urgent issue of climate change. OQ Chemicals has made a significant contribution to this global effort by reducing its emissions at Bay City by 10%. This success was made possible through the excellent collaboration of our dedicated teams from the Engineering and Operations departments. The project aimed to improve boiler controls, enabling increased consumption of vent gases for energy recovery and reduced flaring, and included equipment improvements in the utilities area,” said Kevin Hunt, OQ Chemicals Director of Maintenance and Technical at Bay City, Texas. OQ Chemicals’ company-wide strategic program ‘reduce’ aims to significantly reduce greenhouse gas emissions over the next years, with the ultimate goal of becoming climate neutral by mid-century. The boiler and flare improvement project falls under Scope 1, which encompasses direct emissions from production activities. With the reduce program, OQ Chemicals tackles all scopes of emissions, including indirect Scope 2 and all relevant Scope 3 emissions. “Our ‘reduce’ program takes a comprehensive approach that will eventually cover all scopes of our greenhouse gas emissions, as we’re committed to reducing our carbon footprint across all aspects of our operations. While the ‘reduce’ program currently comprises over 200 projects and initiatives with short-, mid- and long-term goals, the success of the boiler and flare improvement project marks a significant milestone on the path of our sustainability approach,” commented OQ Chemicals CEO, Dr. Oliver Borgmeier. About OQ Chemicals OQ Chemicals is a global manufacturer of Oxo Intermediates and Oxo Performance Chemicals such as alcohols, polyols, carboxylic acids, specialty esters, and amines. These are used to produce high-quality coatings, lubricants, cosmetic and pharmaceutical products, flavors and fragrances, printing inks, and plastics. OQ Chemicals employs more than 1,400 people worldwide and markets its chemicals in more than 60 countries. The company is part of OQ, an integrated energy company originating in Oman.

Read More

CHEMICAL MANAGEMENT, MARKET OUTLOOK

LyondellBasell and EEW sign LOI for potential advanced waste sorting

prnewswire | March 28, 2023

LyondellBasell, a global leader in the chemical industry, and EEW Energy from Waste, a leading company in thermal waste treatment in Europe recently signed a letter of intent (LOI). The LOI includes exploring a potential long-term strategic partnership to extract and recycle plastics out of incineration waste streams. This proposed collaboration would potentially include construction of waste pre-sorting facilities at or near EEW incineration plants to remove plastics from waste streams bound for incineration, and investment in advanced sorting facilities to further sort and refine the plastic that has been removed. This collaboration supports the new LyondellBasell strategy to invest in advanced sorting infrastructure to produce plastic waste-based feedstocks, grow its Circular and Low Carbon Solutions business, and deliver on its value creation ambitions. "Collaborations across the value chain are part of our strategy and are increasingly necessary to free up plastic waste from sources that today do not end up in recycling," says Yvonne van der Laan, LyondellBasell executive vice president, Circular and Low Carbon Solutions. "The materials from these sorting facilities would not only support our existing mechanical recycling facilities in the Netherlands and a potential advanced recycling unit in Germany, but also allows us to optimize waste streams and drive additional value." This collaboration would close the loop on plastics that are today sent for incineration, by sorting them out for use as feedstock in mechanical and advance recycling processes. By removing these materials from the incineration waste stream, the fossil CO2 emissions associated with combusting the materials are also avoided. "With this cooperation, we are creating a convincing solution for plastic waste for which recycling is still ruled out today," says Bernard M. Kemper, chief executive officer EEW Energy from Waste. "EEW will first build a sorting facility and sort out plastics to recover them for the raw material cycle." The intended cooperation represents an advancement in recycling opportunities, using the sites and technical know-how of LyondellBasell and EEW to enable a sustainable circular economy. About LyondellBasell As a leader in the global chemical industry, LyondellBasell strives every day to be the safest, best operated and most valued company in our industry. The company's products, materials and technologies are advancing sustainable solutions for food safety, access to clean water, healthcare and fuel efficiency in more than 100 international markets. LyondellBasell places high priority on diversity, equity and inclusion and is Advancing Good with an emphasis on our planet, the communities where we operate and our future workforce. The company takes great pride in its world-class technology and customer focus. LyondellBasell has stepped up its circularity and climate ambitions and actions to address the global challenges of plastic waste and decarbonization. EEW: an indispensable part of the circular economy EEW Energy from Waste GmbH (EEW) is one of the leading companies in Europe in the field of thermal recovery of waste and sewage sludge. EEW Energy from Waste is already making an important contribution towards protecting the climate and resources and is a key player in the circular economy. Our corporate group currently operates 17 sites that can process around 5 million tonnes of waste per year. The more than 1,400 employees at our plants ensure that the energy stored in waste is utilized, the volume of waste is reduced, the hazards caused by waste are eliminated safely and without negative impact, and that scrap metals and compound materials are recycled. Moreover, we efficiently utilize the energy contained in waste to generate process steam for industrial plants, district heating for residential areas and environmentally sustainable electricity. In line with our vision for the future, we have set a goal to be climate neutral by 2030 and climate positive by 2040. A key measure in addition to carbon reduction will be carbon capture at our facilities. The captured carbon will be partly stored underground or utilised as a valuable feedstock for chemical products in a carbon-neutral economy of the future.

Read More

CHEMICAL TECHNOLOGY, CHEMICAL MANAGEMENT

Danimer Scientific Supports New Composting Program in Jacksonville

Danimer Scientific | March 09, 2023

Danimer Scientific, Inc. commends the City of Jacksonville for its newly launched pilot program offering organic recycling solutions to restaurants in the Riverside and Avondale areas. Sunshine Organics and Compost, also known as Compost Jax, is partnering with the city to execute the six-month program. After receiving training on proper diversion procedures, restaurants will have their food waste collected and delivered to the Sunshine Organics and Compost facility by the city every week for six months as part of the program launched on March 1. The accumulated food residues will be transformed into nutrient-rich compost that can be used to replenish soils and support the growth of more food. Most of Northeast Florida's food waste is in landfills, making up a considerable portion of solid waste. As organic waste decomposes in landfills, it produces hazardous methane that can contribute to climate change. Industrial composting, on the other hand, provides an eco-friendly way to treat organic waste, such as food waste, yard waste, and other organic matter, potentially lengthening the lifespan of landfills by years. Sunshine Organics and Compost is authorized to process food and yard waste and can accept certified industrially compostable products, including Danimer Scientific's Nodax® PHA. This makes it different from other composting operations in the Jacksonville region. The Nodax® PHA created by Danimer Scientific is appropriate for food packaging applications because it has FDA approval for food contact and can decompose without generating any pollution. About Danimer Scientific Danimer Scientific is a biopolymer manufacturer that creates sustainable and eco-friendly materials. The company uses natural resources like canola, corn, and other plant-based oils to develop compostable, biodegradable products that replace traditional plastic materials. Its products are designed to reduce waste and promote sustainability, and its technology has applications in various industries, including food packaging, textiles, and more. Danimer Scientific is headquartered in Bainbridge, Georgia, and is committed to reducing the negative impact of plastics on the environment and creating a cleaner, more sustainable future.

Read More

CHEMICAL MANAGEMENT, PRODUCTS AND TECHNOLOGIES

Sustainability Program ‘reduce’ Yields Results: OQ Chemicals Reduces CO2 Emissions at Bay City, Texas Plant by 10% in 2022

businesswire | March 24, 2023

Under its sustainability program ‘reduce’, the global chemical company OQ Chemicals has reduced its carbon dioxide (CO2) emissions by 10% at its Bay City, Texas production site in 2022, compared to the previous year's averages. To achieve this, the company carried out a dedicated boiler and flare improvement project to optimize the flow of vent gases from chemical production units and to further improve the combustion process. Project progress was tracked for 2022, and demonstrated improved production process stability and subsequently reduced emissions. “Reducing greenhouse gas emissions is crucial to addressing the urgent issue of climate change. OQ Chemicals has made a significant contribution to this global effort by reducing its emissions at Bay City by 10%. This success was made possible through the excellent collaboration of our dedicated teams from the Engineering and Operations departments. The project aimed to improve boiler controls, enabling increased consumption of vent gases for energy recovery and reduced flaring, and included equipment improvements in the utilities area,” said Kevin Hunt, OQ Chemicals Director of Maintenance and Technical at Bay City, Texas. OQ Chemicals’ company-wide strategic program ‘reduce’ aims to significantly reduce greenhouse gas emissions over the next years, with the ultimate goal of becoming climate neutral by mid-century. The boiler and flare improvement project falls under Scope 1, which encompasses direct emissions from production activities. With the reduce program, OQ Chemicals tackles all scopes of emissions, including indirect Scope 2 and all relevant Scope 3 emissions. “Our ‘reduce’ program takes a comprehensive approach that will eventually cover all scopes of our greenhouse gas emissions, as we’re committed to reducing our carbon footprint across all aspects of our operations. While the ‘reduce’ program currently comprises over 200 projects and initiatives with short-, mid- and long-term goals, the success of the boiler and flare improvement project marks a significant milestone on the path of our sustainability approach,” commented OQ Chemicals CEO, Dr. Oliver Borgmeier. About OQ Chemicals OQ Chemicals is a global manufacturer of Oxo Intermediates and Oxo Performance Chemicals such as alcohols, polyols, carboxylic acids, specialty esters, and amines. These are used to produce high-quality coatings, lubricants, cosmetic and pharmaceutical products, flavors and fragrances, printing inks, and plastics. OQ Chemicals employs more than 1,400 people worldwide and markets its chemicals in more than 60 countries. The company is part of OQ, an integrated energy company originating in Oman.

Read More

CHEMICAL MANAGEMENT, MARKET OUTLOOK

LyondellBasell and EEW sign LOI for potential advanced waste sorting

prnewswire | March 28, 2023

LyondellBasell, a global leader in the chemical industry, and EEW Energy from Waste, a leading company in thermal waste treatment in Europe recently signed a letter of intent (LOI). The LOI includes exploring a potential long-term strategic partnership to extract and recycle plastics out of incineration waste streams. This proposed collaboration would potentially include construction of waste pre-sorting facilities at or near EEW incineration plants to remove plastics from waste streams bound for incineration, and investment in advanced sorting facilities to further sort and refine the plastic that has been removed. This collaboration supports the new LyondellBasell strategy to invest in advanced sorting infrastructure to produce plastic waste-based feedstocks, grow its Circular and Low Carbon Solutions business, and deliver on its value creation ambitions. "Collaborations across the value chain are part of our strategy and are increasingly necessary to free up plastic waste from sources that today do not end up in recycling," says Yvonne van der Laan, LyondellBasell executive vice president, Circular and Low Carbon Solutions. "The materials from these sorting facilities would not only support our existing mechanical recycling facilities in the Netherlands and a potential advanced recycling unit in Germany, but also allows us to optimize waste streams and drive additional value." This collaboration would close the loop on plastics that are today sent for incineration, by sorting them out for use as feedstock in mechanical and advance recycling processes. By removing these materials from the incineration waste stream, the fossil CO2 emissions associated with combusting the materials are also avoided. "With this cooperation, we are creating a convincing solution for plastic waste for which recycling is still ruled out today," says Bernard M. Kemper, chief executive officer EEW Energy from Waste. "EEW will first build a sorting facility and sort out plastics to recover them for the raw material cycle." The intended cooperation represents an advancement in recycling opportunities, using the sites and technical know-how of LyondellBasell and EEW to enable a sustainable circular economy. About LyondellBasell As a leader in the global chemical industry, LyondellBasell strives every day to be the safest, best operated and most valued company in our industry. The company's products, materials and technologies are advancing sustainable solutions for food safety, access to clean water, healthcare and fuel efficiency in more than 100 international markets. LyondellBasell places high priority on diversity, equity and inclusion and is Advancing Good with an emphasis on our planet, the communities where we operate and our future workforce. The company takes great pride in its world-class technology and customer focus. LyondellBasell has stepped up its circularity and climate ambitions and actions to address the global challenges of plastic waste and decarbonization. EEW: an indispensable part of the circular economy EEW Energy from Waste GmbH (EEW) is one of the leading companies in Europe in the field of thermal recovery of waste and sewage sludge. EEW Energy from Waste is already making an important contribution towards protecting the climate and resources and is a key player in the circular economy. Our corporate group currently operates 17 sites that can process around 5 million tonnes of waste per year. The more than 1,400 employees at our plants ensure that the energy stored in waste is utilized, the volume of waste is reduced, the hazards caused by waste are eliminated safely and without negative impact, and that scrap metals and compound materials are recycled. Moreover, we efficiently utilize the energy contained in waste to generate process steam for industrial plants, district heating for residential areas and environmentally sustainable electricity. In line with our vision for the future, we have set a goal to be climate neutral by 2030 and climate positive by 2040. A key measure in addition to carbon reduction will be carbon capture at our facilities. The captured carbon will be partly stored underground or utilised as a valuable feedstock for chemical products in a carbon-neutral economy of the future.

Read More

CHEMICAL TECHNOLOGY, CHEMICAL MANAGEMENT

Danimer Scientific Supports New Composting Program in Jacksonville

Danimer Scientific | March 09, 2023

Danimer Scientific, Inc. commends the City of Jacksonville for its newly launched pilot program offering organic recycling solutions to restaurants in the Riverside and Avondale areas. Sunshine Organics and Compost, also known as Compost Jax, is partnering with the city to execute the six-month program. After receiving training on proper diversion procedures, restaurants will have their food waste collected and delivered to the Sunshine Organics and Compost facility by the city every week for six months as part of the program launched on March 1. The accumulated food residues will be transformed into nutrient-rich compost that can be used to replenish soils and support the growth of more food. Most of Northeast Florida's food waste is in landfills, making up a considerable portion of solid waste. As organic waste decomposes in landfills, it produces hazardous methane that can contribute to climate change. Industrial composting, on the other hand, provides an eco-friendly way to treat organic waste, such as food waste, yard waste, and other organic matter, potentially lengthening the lifespan of landfills by years. Sunshine Organics and Compost is authorized to process food and yard waste and can accept certified industrially compostable products, including Danimer Scientific's Nodax® PHA. This makes it different from other composting operations in the Jacksonville region. The Nodax® PHA created by Danimer Scientific is appropriate for food packaging applications because it has FDA approval for food contact and can decompose without generating any pollution. About Danimer Scientific Danimer Scientific is a biopolymer manufacturer that creates sustainable and eco-friendly materials. The company uses natural resources like canola, corn, and other plant-based oils to develop compostable, biodegradable products that replace traditional plastic materials. Its products are designed to reduce waste and promote sustainability, and its technology has applications in various industries, including food packaging, textiles, and more. Danimer Scientific is headquartered in Bainbridge, Georgia, and is committed to reducing the negative impact of plastics on the environment and creating a cleaner, more sustainable future.

Read More

Events