In the process of meeting these challenges, it will be crucial to improve the technical capacity of global chemical manufacturing decision-making and profitability.
ABB warned in the first part of a white paper today entitled “transforming the chemical business through technology” that the situation in the next 10 years may become more challenging because of the considerable uncertainty and differences in the performance of the entire chemical industry.
The white paper believes that the current situation shows that the chemical industry is in an important stage of transformation, and discusses the external and internal challenges that can be solved by digital.
The paper suggests that chemical manufacturer should invest wisely in digital technology and advanced analysis in uncertain macroeconomic environments and industries with significant production and geographic related complexity to help them maximize performance with data and thrive in the face of challenges.
“The complexity of chemical production makes it particularly difficult to make optimal decisions,” explains Dr. Zied M. ouertani, head of chemical and refining figures at ABB’s industrial automation oil, gas and chemicals business. “For best performance, the number of variables to be processed is huge. In addition to the unstable costs and prices, the production of chemical products can also achieve the same production in many ways. The challenges also vary by region. For example, emerging market factories must address skills gaps, while mature market factories need to address the problem of the loss of retirees.
“It’s easy to get data using digital technology, but it’s not useful for anyone to get it for the sake of it. The real benefits will only be achieved if technology can filter data and make it useful on the board, and we are at a turning point to make it possible. ”
ABB also recommends that leaders also act quickly, otherwise there is a risk of being overtaken by competitors. Competitors take advantage of the potential of digitization to change operations at the equipment, process, plant and enterprise levels.
“If digitization is done well, chemical manufacturers can get a high-grained view of their assets and, when combined with data from more traditional business systems, can generate faster and better insight to drive competitive advantage,” Dr ouertani added.
“But to gain significant benefits from the potential offered, chemical manufacturers will need to embrace digitization on a larger, more comprehensive scale, including the end-to-end processes of the entire plant and supply chain – not just in isolated change areas.”
The paper chooses from independent sources and explains the ways digital development can benefit the Department. It discusses the potential of increasingly cost-effective digital technology to promote improved monitoring, more integrated operations and remote management to reduce costs and risks and increase productivity in the context of market complexity and uncertainty.
The second part of the white paper will be released later this summer and will explore existing solutions in depth, with more case studies to demonstrate digital action in the chemical industry.