Benefits of supply chain collaboration.(A CHEMICALS WEEK Specials Publication)

The European chemical industry could achieve annualized cost savings of up to 15 billion[euro], or 2% of its sales, by implementing a range of initiatives to strengthen its supply chain, according to the findings of four high-level industry working groups. The initiatives require an unprecedented level of horizontal collaboration among logistics service providers (LSP) and among chemical companies, and vertical collaboration between LSPs and chemical firms. They also necessitate changes to how the industry is operated, serviced, and regulated.

The working groups evolved from a supply chain think-tank jointly established in 2003 by EPCA and Cefic. The groups had …