New Deloitte Report Shows “megatrends” a Good Source of Opportunities in Chemical Industry
A new Deloitte report about preparations for the changes in the chemical industry showed various ways by which chemical plants can capitalize on future market demands by handling smoothly cultural and market changes in their product lines.
The report showed various opportunities that changes in the market and culture, called “megatrends,” offer to chemical manufacturers. It also presents an analysis of how these changes may affect the landscape of the chemical industry, thereby offering solutions on how to use these changes for their advantage.
“Companies focused on pursuing megatrends will generate growth in new markets, therefore triggering unprecedented shifts in the industry,” said Tim Hanley, Deloitte Touche Tohmatsu Limited Global Chemical industry group leader.
There are new approaches that chemical companies can use to determine their strengths and weaknesses upon which their future success largely depends, the report finds.
Deloitte comes up with five distinct categories for the industry which, according to Duane Dickson, principal for Deloitte Consulting, “better identify a company’s current position within the industry, and provides insight into both its future options and the implicit strategic actions,” after traditional industry segmentation proves to be insufficient.
The report points out some strategic drivers that can help chemical companies to improve from their starting point in just a short period of time. The report also revealed what challenges may be facing the chemical industry in the future and how to address them.
The report cited a total of 228 chemical companies, analyzed for a 12-year span, for their exemplifications in structural changes, disciplined portfolio management, and innovation and growth.