Discover how integrated logistics can support growth and market expansion for the chemical industry.
The chemical industry takes a long-term view of development, and even when faced with significant changes, the goal has always been to find and implement solutions, the effects of which will contribute to sustained growth for the sector.
Logistics plays a key role in the transformation of the chemical industry, and Maersk is at the forefront of this transformation. An integrated approach to chemical logistics helps address the unique challenges of the industry and drives growth and efficiency.
Today, supply chain management is at the centre of decision-making, as opposed to being a byproduct back in the day.
Patrick Hore, Global Vertical Head of Chemical at A.P. Moller-Maersk, highlights the long-term view of the chemical industry and its slow decision-making process. However, he notes that the supply chain has become central to decision-making, enabling growth and market expansion.
Innovation and development in supply chains is very contingent on the chemical industry procuring in a specific way," Hore explains
A cohesive approach to chemicals can foster innovation and development in the chemical industry, leading to higher efficiency levels.
I would encourage the industry not to procure in silos. But to think how those actions, those links in the supply chain, can be brought together in procurement.
Maintaining consistency and reliability amid global disruptions
The chemical supply chain in the Middle East is predominantly a push supply chain, based on forecasted demand rather than actual customer orders. With challenges posed by global disruptions and geopolitical tensions, stability and visibility play a key role in ensuring consistency in the petrochemical supply chain.
Sherif Yousef George, Head of Integrated Sales for Chemicals in UAE, Qatar and Oman, A.P. Moller-Maersk, stresses the need for a multi-pronged approach to managing petrochemical supply chains in the region.
He explains that creating inventory points closer to markets can improve storage and distribution and provide consistent capacity. We’re also investing a lot to address the disruptions and shocks we’ve seen locally and globally. What we’re trying to do is enable visibility to take the right decision [through] state-of-the-art supply chain platforms that we’ve used to take predictive decisions, George says.
We’ve been investing a lot in understanding the needs of the chemical supply chain out of the region, together with the capability to provide our customers with dedicated capacity week on week.
A connected supply chain to balance demand
Maersk’s integrated logistics solutions provide a connected supply chain that balances demand, ensuring that all elements of the logistics process work seamlessly together. This approach helps companies manage fluctuations in demand and maintain a steady flow of goods, ultimately driving efficiency and growth.
Through innovative approaches and significant investments in technology and infrastructure, Maersk is helping chemical companies navigate global disruptions and achieve their strategic goals.
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