Due to overcapacity, increasing commoditization in petrochemical and chemical markets, and current macroeconomic trends, pricing pressure in the chemicals sector is high, especially in Asia. As a result, businesses that focus on specialty chemicals are diverging further from commodity chemicals providers. In order to capture the most benefit from the attractiveness of the specialty chemicals business, Clariant must pay as much attention to cost and supply chain competitiveness as it does to profitable growth. In addition, as sustainability is becoming an increasingly important buying criteria, it is integral to Clariant’s business strategy. The Portfolio Value Program (PVP) screens the product portfolio for sustainability performance on 36 criteria considering the entire full lifecycle. Clariant awards products that show an excellent sustainability profile based on the PVP criteria with its EcoTain® label.
Digitization will also continue to impact the commercial process for the foreseeable future. For example, multi-channel sales possibilities, advanced sales analytics, and new service models all provide opportunities to increase revenues. In November 2016, Clariant established the corporate initiative Digital4Clariant to explore these new avenues of growth. In a first step, a cross-functional team with people from all Business Units has been formed that now develops a digital roadmap and sets up a project pipeline.