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Transportation Management in the Chemical Industry

by Stefan Guertzgen

March 11, 2011

Globalization, shorter product life cycles and increasing market volatility make it more and more difficult for Chemical companies not only to predict product demand but also to provide adequate transportation capacity across multiple modes along with corresponding services to ensure reliable order fulfillment.
Moreover, shipment of Chemicals means in many cases dealing with hazardous materials and safety issues which impose additional risks upon shippers and add even more complexity to the picture as they are subject to a variety of regulations which may differ by country or region.
Hence, coordinating cross border shipments in such an environment means aligning with many stakeholders like customers, 3rd party logistic providers or ocean carriers to ensure visibility along the entire transportation chain and to be able to anticipate/respond to risks or events in real time while still striving for best possible utilization of my transportation assets. It is also imperative to integrate transportation planning and execution systems with EHS and Global Trade Systems to meet regulatory and international trade requirements and ensure sustainable logistics operations.

In order to survive or even thrive in such a challenging environment Logistics Executives are facing the following typical issues:

  • How can I manage my logistics network in a holistic fashion?
  • How can I minimize the risk factors throughout my supply chain?
  • How can I reduce my operational costs and better understand transportation costs at the customer level?
  • How can I ensure best possible usage of my assets?
  • How do I ensure high customer service levels and responsiveness to unexpecte d supply chain events?
  • How do I ensure I am compliant with all the varying regulations and compliance policies?

Come and join us at SAP Insider to discuss global challenges in transportation management and logistics, potential business needs and the role of Information Technology to support those business needs.

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