Anand S, Research Director, Technical Insights

25 Pages·2009·2.14 MB·English

Anand S, Research Director, Technical Insights,
Anand Subramanian is Research Director, Frost & Sullivan’s Technical
Insights based in Chennai, India. Anand manages the groups consulting
and is also responsible for providing the business unit’s syndicated
reports to clients.
At Frost & Sullivan, Anand has focused on engagements and issues that
deal with evaluation of emerging technologies and business models, their
impact on market terrain and the firms that operate within it.
Anand has been involved with numerous proprietary engagements in
North America, Europe and Asia-Pacific with Fortune 50, Fortune 500 and
numerous start-ups. He has participated in strategic assignments for
Procter & Gamble, General Motors, Lockheed Martin, Boeing, and IBM.
Over the years, he has also participated in initiating and managing the
production of hundreds of emerging technology studies
Prior to his current role, Anand has experience in technology information
Anand S
research, including work as an analyst, project manager, and technology
Research Director
market consultant. He has written multiple research reports, white
Technical Insights
papers and technology articles that have been published in global
research journals and prominent business magazines.
Anand has been quoted in Forbes, Washington Post and other key
business dailies. He has also been invited to speak at multiple
conferences as the guest of honor, thought leader and as an expert on
issues related to Business Strategy, and emerging technologies in the
business domain.
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The Global Chemicals & Materials
Industry:
A CEO 360 Degree Perspective
By – Anand S
Frost & Sullivan
October 2009
©2009 Frost & Sullivan. All rights reserved. This document contains highly confidential information and is the sole property of Frost & Sullivan.
No part of it may be circulated, quoted, copied or otherwise reproduced without the prior written approval and consent of Frost & Sullivan
Agenda
Global Perspective
Industry Perspective
Technological Perspective
Chemicals and
Economic Perspective
Materials
Competitive Perspective
Customer Perspective
Best Practices
2
First….
Global Perspective
Industry Perspective
Technological Perspective
Chemicals and
Economic Perspective
Materials
Competitive Perspective
Customer Perspective
Best Practices
3
A Bird’s Eye View
China
North America Europe (cid:1) Fastest growing region
(cid:1) Numerous capacities (feedstock) to (cid:1) Mature market and increasing (cid:1) Advantage of having abundant coal
consolidation (cid:1) Manufacturing hub
be shut down
(cid:1) REACh legislative framework divides (cid:1) Increasing competency in R&D and
(cid:1) Profits expected to decline, the industry high-value added products
following Middle Eastern and Asian (cid:1) Russia, Poland, Czech and Hungary (cid:1) Problems in quality control and
(cid:1) Improved IP laws –attractive climate
capacity additions demonstrating healthy R&D climate
for chemicals companies
(cid:1) Relative feedstock cost, and
conversion efficiency to be key
sources of competitive advantage
(cid:1) More active involvement of the
federal agencies in the regulation of
chemicals
Japan
(cid:1) Increasing consolidation
(cid:1) Innovative capability
and well developed
industry
(cid:1) More active
involvement in the
South America
Western financial
(cid:1) No new capacity (feedstock) in the U.S., institutions
Europe, but selective new capacity in Latin Middle East
America
India
(cid:1) Tremendous capacities for
(cid:1) Increasing focus in oil and gas exploration – Feedstock, owing to abundance (cid:1) Highly skilled labor and low
restructure in the state petrochemicals resources by 2011 costs – attractive market for
company (cid:1) Export hub for commodity partnerships
plastics (cid:1) Agrochemicals companies
(cid:1) Recognized potential for industrial growth
(cid:1) Currently a weaker player in with global presence
(cid:1) Biofuels have a good future in Latin America: other ‘Materials’viz. paints, (cid:1) Growing affluent middle-class
coatings, adhesives, etc
(cid:1) World leader in soy bean and sugar cane with spending power
(cid:1) Huge investments expected in
production downstream industries and (cid:1) Weak IP protection – a
concern
(cid:1) Productive temperate to tropical climate construction
range
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Roadmap to 2020: Top 10 Global Trends in Chemicals
Major 2010 2015 2020
Trend
Customers increasingly gain Support of companies which use
1 Power Customer access to chemicals information Customer-centric product development sustainable resources, recycle
2 Biorenewables Crops companies get involved more in the chemicals industry Self-sustained industry
Reduction in subsidies
3 Logistics Increases in oil and raw materials Chemical companies leverage Glocalisation –Global companies
Excellence prices drive massive logistics costs and share distribution expertise resource locally
R&D of new and better recycling techniques
4 Recycling Quality problems arise
Recycling an economic, not moral, decision
5 Super-Chem Rise of Mega chemical companies 10 Super-giant chemical
Increased consolidation
Companies in China, ME & Russia companies globally
6 Environmental Voluntary publishing of carbon footprints Sustainability audit of companies
REACh
Legislation for products and companies and trail accounting of products
7 Chemical companies pursue One-stop shop for entire
F/B Integration Agro companies become forward integrated
backwards integration supply chain
8 White Increasing investment and R&D Replacement of traditional synthetic
First commercial plants successful
Biotechnology into white biotechnology chemistry with organic alternatives
9 Increased use of auction sites Companies in developing countries use it
Internet Auctions Chemicals “e-bay”
for commodity chemicals as an easy market entry point
10 By-products Research into potential uses Increased utilisation of by-products
Elimination of waste by 70%
Management for waste and by-products as feedstock
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Next….
Global Perspective
Industry Perspective
Technological Perspective
Chemicals and
Economic Perspective
Materials
Competitive Perspective
Customer Perspective
Best Practices
6
Where the Industry is Heading….
The Top 3 Industry Trends
………. And they are here to stay
Increased Technological Focus Going Green
GCCrooessett n
(cid:1) Volatile Raw Material Costs (cid:1) Climate Change Awareness
(cid:1) Increasing focus on energy costs (cid:1) Green Consumerism
and energy efficiency (cid:1) Regulatory Support
(cid:1) Margin squeeze and price Specialty (cid:1) Green Technologies
competitiveness Chemicals
(cid:1) Increased R&D activities
DDTeeemmcoohggnrroaapplohhgiiccyss ConQQsuuoaalilldiittayytion
Consolidation
(cid:1) Pressure on margins and price competitiveness
(cid:1) Backward integration to control feedstock
(cid:1) Forward integration to diversify and increase value addition
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Next….
Global Perspective
Industry Perspective
Technological Perspective
Chemicals and
Economic Perspective
Materials
Competitive Perspective
Customer Perspective
Best Practices
8
Emerging Technology Trends in Oleochemicals…
Oleochemicals are those chemicals which are derived from animals and
plant fats such as fatty acids, fatty alcohols, fatty amines, fatty acid
methyl esters (FAME) and glycerols by various chemical and enzymatic
reactions. These chemicals are commonly used in the production of
biodiesel, detergents, lubricants, green solvents and bioplastics.
Descriptions Developed by
Bioplastics from organic Developed novel biodegradable plastics from sugar and vegetable oils, which
can prove to be sustainable alternatives to traditional petrochemical-based Metabolix Inc., USA
natural resources
plastics.
Developed NExBTL synthetic diesel, using its patented hydrotreatment
Biodiesel Production production leading to production of clean fuel with no engine-compatibility
Neste Oil, Finland
problems, virtually zero sulphur content, a high cetane number and lower
production cost
Emulsifier for Developed a range of fatty acids, rosin and rosin derivatives from renewable
Industrial Oleochemical Products
crops with a colorless rosin-based binder being specifically developed for the
Construction Industry (IOP), South Africa
incorporation of colored pigments for walkway and road-markings
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