Chemical logistics is a sensitive area. This, however, hasn’t stopped the global chemical supply chain from steadily expanding over the last several years. Spurred by several factors, such as improved methods of communication and advances in transportation technology, this has opened up new market opportunities and increased complications.
投票结果
在我们最近的 ǞǞǞ poll, we asked our social media followers what they thought the biggest supply chain issue is currently in the chemical industry in 2022.
Chemical industry supply chain issues: what we found
Complexity of supply chain
Of those that responded, 44% cited complexity of supply chain as having the most significant impact on the chemical industry.
The demand on chemical logistics is huge. With so many moving parts in the chemical supply chain, responsiveness and flexibility are vital in maintaining the supply chain and customer confidence. In addition, the chemical manufacturing industry is different from other manufacturers. Because of this, any inventory planning, cost calculations, and managing quality are highly complicated.
Complexity of regulations
The second highest response was 28% that highlighted the complexity of regulations as the greatest challenge.
The chemical industry is subject to complex and ever-evolving laws and regulations. Keeping up to date with constantly changing regulations can therefore become a struggle. As governments mandate new procedures, chemical companies must comply or face costly fines. Failure to comply can affect sales as customers seek alternative sources, with competitors taking the opportunity to attract new customers.
Meeting industry regulations
22% of respondents highlighted meeting industry regulations as their biggest challenge.
The chemical industry is full of complex and evolving regulations, but meeting these demands can be a struggle for some organisations. Increasing requirements such as customs regulations or data production must be implemented. It requires flexible structures to help implement permanent changes.
其他
6% of respondents cited ‘other’ as the biggest supply chain issue in the chemical industry.
‘Other’ could factor in several challenges, but some of the most common examples could be technological change or economic situation.
Logistics is always dependent on the current economic situation. Embargos can create trade tariffs or can develop complications in the supply chain. Furthermore, organisations are often faced with the decision of reacting to technological change; for example, when wanting to create faster communication and respond to change, new technologies are available to help but businesses must ensure they have the right technology to help with their issues, rather than just the latest.
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