Industries
Industries
Chemical Industry
Consulting in the Chemical Industry
The recent worldwide recession had an especially significant effect on the chemicals sector. Its position at the start of the value chain left it particularly open to highly volatile raw material prices. On top of this, the chemicals sector felt massive pressure due to a collapse in demand from its industrial clients. As a consequence, companies needed to react to inventory risks by safeguarding liquidity, reducing costs and maintaining their long-term ability to deliver. During that period of market turmoil, companies re-appraised their strategic direction – a process which many highlighted the necessity to safeguard and expand core competencies, shed peripheral activities or take advantage of new market opportunities.
It’s safe to say that the recent improvements, over the last 12 months or so, global demand and Chemical Company performance in general have exceeded the expectations of even the most optimistic CEOs during the downturn. The Chemical Industry shows again that it’s as an early lead indicator of prevailing economic conditions. The questions now for most Chemical Companies include: how to ensure the lessons learned from the downturn are built into their future behaviour and operations, and to check again that the re-appraisals they made to strategic direction 12-18 months ago are still valid – do they risk either being over-cautious, or over-optimistic!
Optimising the entire chemicals sector value chain leveraging J&M’s integrated business management and IT consultancy experience
J&M is experienced at both taking an end-to-end approach to evaluating the business value chain of chemicals companies, and identifying opportunities to improve efficiency, effectiveness and cycle times. Our prime focus is on working in partnership with clients to deliver significant, tangible cost reductions and optimised working capital utilisation.
J&M puts their experience of the sector to work. Dr.-Ing. Frank Jenner and Dr. Andreas Müller, the founders of J&M, started out by focussing on the chemicals industry and our sector experience has grown from then. The experience gained by J&M consultants in the chemicals sector has given us a wealth of knowledge of market-specific characteristics such as joint production, statutory requirements (REACH, etc.), price volatility, mergers and divestments, HAZOPS operating conditions, handling mulit way customer/competitor/supplier trade-offs. Additionally, the consultancy expertise developed in other industrial sectors (pharmaceutical, automotive, high-tech, etc.) puts J&M in a position to identify potential innovations and best practice early on – and apply them to the chemicals sector. The consultancy we offer is based on the following competencies:
- Developing and implementing approaches and solutions with a bottom line focus to deliver measurable sustainable difference
- End-to-end value chain experience (Commercial, Purchasing, Manufacturing, Distribution/Logistics, Customer Service)
- Insights into supply chain management
- Ability to fine-tune and optimise critical business systems (e.g. SAP)
- Expertise in change management and programme management, which allows to work in partnership with clients to deliver and implement sustainable results
The result: Optimum interplay between sites, employees, processes and systems
We enable our clients to fine tune and 'sweat' their 'total' assets by:
- Re-evaluating the customer value proposition in combination with profit-oriented value chain balancing
- Refining customer segmentation in order to deliver value right through the value chain
- Developing new business models and structures for low-cost, differentiated business
- Implementing new (and optimising existing) SAP solutions
- Supporting performance management by defining and implementing appropriate KPIs, FI, FC and BI
- Developing enhanced supply chain management processes and tools
- Re-defining appropriate LEAN organisation structures, roles and responsibilities
- Optimising outbound distribution, logistics networks and services
- Introducing LEAN operations performance
- Developing and implementing new sales & marketing approaches and making use of CRM support tools
'As a result of the practical workshops and the Value Stream design we developed with the J&M consultants, we are now capable of applying Lean Principles to our production processes. We now understand how to create leaner and mutually coordinated processes at every stage of the production procedure.'
Ewald Osseforth, Lingen Plant Manager, Advanced Nuclear Fuels GmbH
'In J&M Management Consulting we have found the partner we need for the design and implementation of our SCM developments, a partner that has already proven its competence and reliability.'
Klaus P. Kirnbauer, Head of Department Supply Chain Development & Benchmarking, OMV AG
'The pilot project for the ‘Membranes’ group, at the Sika Supply Centre in Sarnen, was a resounding success. We will now rollout the system to other project groups. With J&M at our side, we have every confidence that the company-spanning rollout will be a success.'
Axel Girod, Head of Logistics/Sales and Operations Planning, Sika AG



