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Expertise

Broad experience from projects with major international companies and medium-sized businesses

ChemAdvice consultants and senior advisors offer a wide background of experiences from personally executed projects in the chemical industry and Life Sciences. Thereby, they are familiar with the "best practices" of the international market leaders as well as with the specific requirements of medium sized companies.

Case Study 1: Identification and characterization of potential acquisition targets (Specialty Chemicals Producer)
Situation
  • Specialty chemicals company is searching for potential acquisition targets in new region to support growth strategy
Consultant Role
  • Identification of potentially suited companies
  • Evaluation of business models from industrial perspective and strategic fit to client
  • Profiling of potential acquisition candidates
Outcome
  • Shortlist of feasible acquisition targets
  • Prioritization of acquisition candidates from industrial perspective incl. opportunities and risks
  • Clear recommendation
Case Study 2: Commercial and Technical Due Diligence (Specialty Surfactants Producer)
Situation
  • Successful German mid-sized specialty surfactant company managed by the owner
  • Owner is planning to sell the company
  • Private Equity company is checking the acquisition opportunity
Consultant Role
  • Commercial and Technical Due Diligence incl. unique selling propositions, evaluation of market conditions, business planning, cost structure and production infrastructure
Outcome
  • Bankable Due Diligence report incl. clear recommendations, chances and risks
Case Study 3: Strategic repositioning
(Industrial Chemicals Producer)
Situation
  • Specialty Chemicals producer was faced with substantially eroding margins due to increasing competition from Chinese competitors
  • Manufacturing platform of the core product family in Europe and the US was challenged
  • A risky capacity expansion with new sites in emerging countries was to be decided
Consultant Role
  • Analysis of client's business system including capabilities, cost position, market and competition
  • Development of different strategic scenarios from exiting the business to expansion with new sites in China and Middle East
  • Evaluation of the strategic scenarios with a
    detailed model calculation (NPVs, ...)
  • Recommendation of a feasible strategic scenario to the client's board
Outcome
  • Necessity to adapt the business model demonstrated to ensure the business' long term survival
  • Recommendation of a moderate scenario with one site closure but capacity expansion at other sites plus a Middle East JV ensuring raw material access; a potential JV in China was advised against
Case Study 4: Efficiency improvement
(Engineering Plastics Producer)
Situation
  • Complex chemical production of engineering plastics with high energy (steam) consumption
  • Dual business (60 percent standard, 40 percent specialties/b-t-o)
  • Above-benchmark maintenance & operations costs
  • Capacity constraints due to unreliable units together with tight coupling
Consultant Role
  • Installation of a comprehensive efficiency improvement program including
    • Organizational redesign (less management levels, span-of-control optimization, zero-based staffing)
    • Standardization of all operations / maintenance / engineering work processes incl. gatekeeper concept
    • Introduction of RCM and capex project prioritization
Outcome
  • Cost reduction (headcount, maintenance costs and yield improvement (raws and natural gas)
  • Reliability improvement, about 10 percent capacity gain
  • Customer supply reliability & increased flexibility for specialty (b-t-o) business
Case Study 5: Supply chain and working capital improvement
(Chemical Multinational Company)
Situation
  • Client was faced with high working capital caused by increasingly high inventories
  • Too long lead time to react on customers/market demands due to supply chain constraints
  • Lacking accuracy of demand and supply planning caused by seasonal effects and weak market intelligence
  • In consequence, customer lost market share
Consultant Role
  • Supply chain modeling with a series of workshops in different countries involving different functions of the client's organization
  • Detailed analysis of inventories on global and local warehouse level
  • Identification of stock reduction opportunities
  • Recommendation for changing organizational responsibility for supply chain planning
  • Support of implementing the improvement program in 3 pilot countries
Outcome
  • Substantial inventory reduction potential of >100 Mio Euro identified
  • Improved supply chain flexibility to react on market demand fluctuations and in consequence, capacity expansion investments avoided
  • Initiation of a program to reduce product portfolio complexity
Case Study 6: Reduction of operating expenditures
(Mid-Sized Specialty Chemicals Producer)
Situation
  • High operating expenditures due to sub-optimal plant design and operating mode
  • Limited production volumes due to operation near capacity limit
Consultant Role
  • Evaluation of process conditions (hardware and software) and operating mode
  • Development of a concept to
    • optimize time-space-yield
    • setting stabile operating conditions and
    • for debottlenecking
  • Support implementation into operational practice
Outcome
  • Higher time-space-yield
  • Substantially increased capacity with low investments
  • Substantially lower operational costs
Examples of ChemAdvice Projects
  • Strategy and Organizational Development
  • Business Process Optimization
  • Efficiency Improvement and Restructuring
  • Operational Excellence (incl. Six Sigma)
  • Implementation of optimization concepts
  • Evaluation of planned investments
  • Commercial, Technical and Operational Due Diligences
  • Industrial Advisory




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