Creating a sustainable future for personal care products

This year the CIEX conference will be held in Frankfurt, Germany on the 5 & 6 October. Leading up to the event, we speak to Coralie Alonso, Ashland R&D Leader for Hair Care and Home Care to give you a glimpse of what to expect from her session: The challenge of balancing performance and sustainability in personal care products.

“The future is exciting, bringing new challenges, new puzzles to solve. No one can do it alone therefore industry leaders need to be collaborative and open minded.”

CIEX: Without giving too much away –what is the core message of your talk and what would you like delegates to remember?

Coralie Alonso: The chemical industry has a major role to play to enable the change in consumer habits for a sustainable future in personal care. With increasingly greater emphases going forward on cleaner, safer technologies including the use of biotechnologies for example, the future innovations increasingly require multidisciplinary skills / diverse teams from the outset. Lots of scope for innovation/ideas in the coming together of such skills/varied backgrounds. We as an industry have to (collectively/collaboratively) play a leading part in addressing the challenges of climate change.

CIEX: Why did you choose the topic of your talk?

Coralie Alonso: Every change brings opportunities. I strongly believe this is an amazing time to work in the industry. The chemical industry is undergoing a fundamental change, having to address new demands on sustainable approaches. To be successful we need to be creative, innovative and collaborate more than ever. I think this is very motivating.

CIEX: What motivates you to join CIEX 2022 and what are your expectations?

Coralie Alonso: The personal care industry needs new solutions, I hope to get inspired by innovative ideas from other parts of the chemistry world, and exchange ideas. Our CTO at Ashland recommended CIEX to me as a great platform for networking.

CIEX: The need for innovation has been a continued topic for the chemical industry –how would you sum up the current state of the industry, specifically with a focus on its innovation efforts?

Coralie Alonso: From my vantage point of view in personal care, it looks like the industry in on the verge of a revolution or a re-invention at least. We need to bring new solutions, sometimes to problems that have already been solved. That requires new ways of thinking, and this is difficult, but we are getting there. And with the help of in silico tools, we will get there faster than anticipated. The innovations reaching the market now are more and more creative. The future looks bright.

CIEX: What must (chemical) industry leaders do to remain competitive and prepare for the future?

Coralie Alonso: The future is exciting, bringing new challenges, new puzzles to solve. No one can do it alone therefore industry leaders need, in my opinion, to be collaborative and open minded. Good ideas can come from anywhere, we need to stay connected. We need to keep investing in Innovation – it is key. The chemical industry needs to continues to embrace the advances in clean technologies including biotechnology, and work collaboratively to make them work on industrially relevant scales. The adaption of biotechnology driven advances offers new areas of opportunity or exploration for new chemical products and/or for cleaner ways to make them, or to make existing products.

Join us at CIEX 2022 on the 5 & 6 October to hear more from Coralie Alonso and other industry experts from Solvay, Clariant, Nobian, Evonik, GFBiochemicals, Pryme, Dow discuss game-changing innovation through collaboration. Tickets are available at ciex-eu.org.

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Partnership and collaboration through Open Innovation with Croda

At CIEX 2021 Nick Challoner, President Life Science at Croda talked about the company’s strategy to unlock innovation through partnerships and collaboration. The below is a summary of Nick’s presentation.

Introduction

Everyone would agree that there have been long-term alterations to the pattern of the weather and temperature. These alterations can be natural, like the variations in the solar cycle. However, these alterations could be biological or influenced by man’s activities. The solar process causes naturally influenced changes, but human activities have been the primary driving force.

Climatic Changes

Since the 1800s, anthropogenic events have led to the revolution in the world today. Similarly, burning fossil fuels like oil, coal, and gas drives climatic changes. Burning these fuels produces emissions that deplete the ozone layer, trap the heat from the sun, and increase the temperature of the earth. Significant examples of greenhouse gas emissions are carbon dioxide and methane.

Deforestation, burning coal, or driving a car that uses gasoline will increase the amount of carbon dioxide in the environment. Gathering garbage in landfills is the major contributor to methane release. The use of energies, emissions by industries, transportation, buildings, and agriculture do the most to the devastating state of the world we experience.

However, people have not been able to answer all the questions that surround the problems of climatic change. The urgency to fix the issue of the world is becoming intense considering the degrading effects of climatic changes. As a result, Open Innovation seems pivotal at this point.

Open Innovation

Open Innovation collaborates with people to solve this common issue of man. Every individual does not have all of the answers to these problems. However, there is strength in unity; this is where collective innovation power is needed. People have simple solutions but can be agglomerated into practical solutions for all.

Why should we innovate?

Innovation helps to have specific purposes and targeted goals. Innovations aim at permanent solutions rather than providing solutions for a temporary fix. As a result, different people and organizations have innovated several solutions to deliver these solutions. These innovations come as New and Protected Products (NPPs).

Technology Readiness Levels

New and Protected Products (NPPs) arise from synthesis, application, and manufacturing. The ecosystem of partnership brings organizations together to solve the common problem – having a green community. Also, organizations can enjoy a competitive advantage from these partnerships. With the innovation method, you can measure performance outcomes.

Skin science has contributed immensely to this new revolution as it has developed a long-term relationship. Skin science focuses on healthy products rather than using some products that could increase the unpleasant gases in the atmosphere. As a result, they have an excellent effect on the body and, eventually, the environment.

Also, partnerships bring smart science to the market. Many organizations with good intentions are becoming known because the world now pays attention to its global problem. For example, entekno provides sunscreen with UV protection over traditional spheres. Also, Glass flakes are environmentally friendly for the industrial and coating market.

Industrial contribution

Nautilus is another collaborative partner in Open Innovation. The company offers a natural source of personal care actives for the skin. Enza Biotech AB builds a platform of sugar-based surfactants which are degradable by the body. Also, the surfactants are biodegradable and do not increase the number of pollutants in the environment.

Another top organization that should be commended for its efforts to achieve a green society is Novel Process Development. Their effort includes the use of safe plants for economic benefit and carbon dioxide reduction. These plants help to purify the atmosphere and make it healthier for life. In addition, plants use Carbon dioxide for their activities and release oxygen into the environment. This reduces the toxicity in the environment and the materials therein.

Also, Supercritical CO₂is another innovation that helps achieve a safe environment. They contribute to the environment by replacing the typical carbon dioxide, which increases global warming. Global warming or the greenhouse effect refers to a high temperature making the world inhabitable for life. Supercritical CO₂replaces atmospheric carbon dioxide and eliminates the adverse effect it may cause to the world.

Agricultural contribution

Finally, another company with immense contribution is Agrochemical drift reduction technology. The focus is on agricultural products that help agriculture but help the environment. They are biodegradable purifiers that remove the carbon dioxide in the atmosphere. The agricultural products are friendly to human lives and animals. Eventually, it reduces the existing pollutants in the environment.

The technology uses drying droplet analysis to produce healthy chemicals that are compatible with the crops. Also, they are friendly with the environment.

Another collaboration is with Advanced Therapeutics. It brings us closer to our competition in a comfortable way. Many efforts are improving medical and pharmaceutical formulation to provide a better world for all.

Conclusion

Achieving a stable and clean environment should be everyone’s effort. The world is dying, and we are responsible for it. In the same vein, we can be more accountable for our solution to make it green. A safe world is precious to life and growth. Open Innovation is the solution to achieve it all.

You can find all recorded presentation on our CIEX Portal. It also contains past case studies and images captured from past CIEX conferences. Your next chance to join our CIEX live is in Frankfurt, October 5 & 6, 2022.

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Developing new business models and eco-design actions at Elkem

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Synthesis gas: A technology suite key to a low-carbon footprint production of chemicals

Developing new business models and eco-design actions at Elkem

The annual CIEX conference is taking place again on October 5&6 in Frankfurt, Germany. In the run-up to the event, we are talking to some of our key speakers. In our latest blog, Louis Vovelle, at Elkem speaks about his company’s climate roadmap, circular economy, the importance of open innovation and the need for increased agility.

CIEX: Without giving too much away – what is the core message of your talk and what would you like delegates to remember?

LV: Elkem has developed an ESG strategy for a long time and last year, we presented our climate roadmap, of which the circular economy is one of the components. Circular Economy is a quite new domain for us but behind this subject, we are gradually discovering that it is not a question of providing simple technical solutions but of operating a systemic shift in our product/process design and also in our relationships with our partners (suppliers/customers). In brief, what are the fundamentals of a lean and smart circular economy strategy? Can we keep an organizational agility in a such complex domain? How to onboard everyone and to convince them of our approach? How to be sure the chosen topics are the most material and how to avoid greenwashing?

CIEX: Why did you choose the topic of your talk?

Louis Vovelle: The urgency for action on these subjects and a personal appetite for risk taking. It is important for us to compare our ideas with our peers and receive their feedback.

For one, companies and governments are setting ambitious targets for the next decades, through this presentation, we would like to stress that, beyond carbon emissions considerations, collaborations and partnerships will be key to anticipate, prevent and adapt.

In addition, Open Innovation is a strong focus for Elkem and a key lever for growth, we believe that developing this kind of ecosystems on this domain is and will be a strong enabler and a competitive advantage.

CIEX: What motivates you to join CIEX 2022 and what are your expectations?

Louis Vovelle: Sharing initiatives, creating new links and strengthening our ecosystem is mandatory if we want to succeed on Circular Economy. Things are moving too fast and we don’t have all the competences and answers inside to find the best and more sustainable solutions. Then, we have to develop these transitions from linear to circular and only partnerships and an open mindset with suppliers, customers, academics will allow us to find the best models and best practices. Looking at the CIEX agenda, my expectations are very simple – To have “shaking” days, great contacts and new projects first at the European level.

CIEX: The need for innovation has been a continued topic for the chemical industry –how would you sum up the current state of the industry, specifically with a focus on its innovation efforts?

Louis Vovelle: If we look at the current state of the chemical industry and its efforts around Innovation, the words that come up are collaborative projects, acceleration and awareness. We all know that we have to change our practices if we want to develop sustainable growth that is acceptable to society as a whole. Innovation in the broad sense involving new business models, new organizations will be one of the key elements of success. Results of innovation to date has been judged mainly on amount and speed of economic success, innovation also now needs to ensure that it focuses on delivering sustainable success. Seeing that companies in the chemical industry have taken up this subject makes me very optimistic but also responsible of our role for the future.

CIEX: What must (chemical) industry leaders do to remain competitive and prepare for the future?

Louis Vovelle: The answer is not so obvious because it must respond to divergent imperatives depending on the time scale. In the long term, the obligation of a “greener” industry will prevail. So, we have a starting point and a strategy for the next 5-10 years. There is of course a way to get there, but the impact of externalities (different regulations depending on the region, Energy balance, Governmental policies, etc.) is more difficult to grasp. One of the ways to maintain our competitiveness is certainly to de-risk our initiatives with even more collaboration and great agility and simplicity in our decision-making

CIEX: Louis, thank you very much. We look forward to hearing more at CIEX 2022!

Hear more from Louis Vovelle and the chemical industry’s innovation strategies and decarbonisation efforts at CIEX 2022. Speakers include C-level representatives from Solvay, Clariant, Nobian, Evonik, GFBiochemicals, Pryme, Dow and many more. Tickets are available at ciex-eu.org.

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Synthesis gas: A technology suite key to a low-carbon footprint production of chemicals

The annual CIEX conference is taking place again on October 5&6 in Frankfurt, Germany. In the run-up to the event, we are talking to some of our key speakers. Today we are speaking with Maurits van Tol, CTO for Johnson Matthey who will analyse the role syngas can play in decarbonisation efforts.

CIEX: Maurits, thank you very much for being with us at CIEX 2022. Without giving too much away –what is the core message of your talk and what would you like delegates to remember?

Maurits van Tol: Our world relies on chemicals – everything from cleaning products to jet fuel, food packaging to building materials. To tackle climate change, it’s vital that we decarbonise their production, decarbonising in the sense of us using non-fossil carbon sources and keeping carbon atoms “in the loop”. Synthesis gas or ‘syngas’, a key building block of many important chemicals and fuels, is the gateway to this decarbonised world.

We can enable our customers in the industry to shift away from traditional fossil fuels and make syngas from more sustainable feedstocks like biomass, and even waste, utilizing renewable energy to the maximum extent. Using our suite of technologies, this syngas can then be transformed into the chemicals we need to maintain our current standards of living. The message is that there can be a more sustainable future for the chemical industry, for all of us, and syngas is at the centre of it.

CIEX: Why did you choose the topic of your talk?

Maurits van Tol: As the impacts of climate change increase, the chemical industry is under increasing pressure to deliver on net zero targets. There is technology available now, and more in development, that can help the industry transition and meet this need. As a leader in the syngas value chain, at Johnson Matthey we recognise the important role syngas has to play in a decarbonised world. This talk is an opportunity to share that vision and highlight some of our exciting newly launched technologies that are key pieces in the decarbonisation puzzle.

CIEX: What motivates you to join CIEX 2022 and what are your expectations?

Maurits van Tol: Collaboration is hugely important in innovation, now more than ever with the transition to net zero happening at pace. We need to work together to deliver the solutions that we need, that the planet needs. CIEX brings together leaders and experts from across the value chain and is a great opportunity to combine expertise and share ideas. I expect to hear some engaging talks and be part of some great discussions. And I expect to leave the conference inspired, with a list of potential partners and collaborators that we can work with to build a net zero future.

CIEX: The need for innovation has been a continued topic for the chemical industry –how would you sum up the current state of the industry, specifically with a focus on its innovation efforts and decarbonisation?

Maurits van Tol: Innovation has always been extremely important to the chemical industry. However, traditionally chemical corporations had huge R&D/Innovation departments, inventing many technologies and solutions in quite an isolated fashion. However, with very material transformations going on in the fields of mobility, energy, the development of low-carbon emitting technologies for the production of chemical building blocks, chemicals and fuels for example, this insular approach does not work anymore. The urgency to combat climate change is such that it is “all hands on deck” in a wide variety of collaboration models. Outside-in, collaboration and consortia are key words describing innovation at the chemical industry going forward.

CIEX: What must (chemical) industry leaders do to remain competitive and prepare for the future?

Maurits van Tol: We need to diversify our approach to innovation and that means building external partnerships with innovation ecosystems to complement our internal R&D. Working with universities, start-ups, and other industry leaders, we can work together to evaluate new technologies and accelerate the commercialisation of viable solutions. Through this collaborative approach we can also tap into external capabilities and increase the pace of our innovation through access to cutting-edge digital tools. All of this requires agility and flexibility and is a shift in culture for large corporates, but we’ve seen the value that embracing ‘outside-in’ innovation can bring.

Hear more about the chemical industry’s innovation strategies and decarbonisation efforts at CIEX 2022. Speakers include C-level representatives from Solvay, Clariant, Nobian, Evonik, GFBiochemicals, Pryme, Dow and many more.

Get your ticket at ciex-eu.org

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Making sustainability a reality in the chemical industry | Clariant

Sustainability is the ultimate driver for innovation in the chemical industry. As the earth continues to experience an environmental crisis whose deadline for solutions was yesterday, the industry must make sustainability happen today through circularity, innovation and collaboration. Consequently, one of the leading chemical players, Clariant, is making decisive moves to push the sustainable development goals 12 and 13: responsible production and consumption, and climate change respectively.

Dr Martin Vollmer, Chief Technology Officer at Clariant, shared some of the key initiatives through which the company is innovating sustainability at the 2021 CIEX conference. Clariant’s activities span three core areas: care chemicals, catalysis and natural resources. In order to achieve truly transformative goals in these areas, sustainability has been embedded in the company’s values and strategy. This strategy is five-fold:

Focus on innovation research and development
Add value with sustainability
Repositioning of its portfolio
Intensified growth
Increased profitability

However, the validity of any strategy is underlined by its execution. For Clariant, innovating towards greater sustainability in the chemical industry meant tackling seven sustainability challenges in five ways.

Seven Sustainability Challenges of the Chemical Industry

While these challenges are clear and distinct, Dr Vollmer emphasizes that they are connected through their solutions.

In this vein, a special department at Clariant called Sustainability Development Unit is responsible for collaborating with other departments in order to unite efforts towards climate neutral operations and a sustainability driven portfolio change. So how does Clariant work towards goals while addressing these seven challenges?

1. Setting Clear Measurable Goals:

Following from the broad goal of zero net emissions, Clariant decided to establish ambitious interim goals towards 2030. To improve the climate change crises by reducing greenhouse emissions by a combined 54%. On the other hand, making operations more sustainable by decreasing water intake and waste by a combined 45%, reducing landfilled non-hazardous waste by 40% and hazardous waste by 45% among others. The sustainability unit consistently monitors relevant data on these goals to improve solutions.

2. Consumer-Centric Innovation Process:

Consumers are increasingly concerned about the carbon footprint of the products they purchase. Thus, adapting the product innovation process for circularity is a big deal at Clariant. Using industry generated tools like CompTox Suite, the company is able to evaluate innovations at the very earliest stages. Dr Vollmer encouraged the use of CompTox Suite for instance, because of its ability to highlight elements that may seem neutral at first but prove hazardous eventually. When everything goes well, a product typically hits the market with the EcoTain certification – a mark of sustainability.

3. Biomass feedstock:

By 2050, it is predicted that fossil feedstock will be totally eclipsed in the chemical industry by bio-based, CO2-based and recycled feedstock. Clariant has chosen to take an active part in this eradication of fossil feedstock and effectively make sustainability happen by engaging in circular solutions, hydrogen economy and bioeconomy. This is where most of the magic happens, and partnership is key.

Increasing ROI from Biomass Feedstock

The sunliquid process takes the enormous waste from agricultural products. For example, wheat stalk and processes them into cellulosic sugar and eventually cellulosic ethanol. Dr Vollmer puts the massive environmental savings into perspective by illustrating that from the hectre which produces seven tons of crop also comes up to five tons of straw. The seven tons goes into production of starch sugar for nutrition but what happens to the five tons of straw? Often they are burnt.

However, those five tons have the potential to yield up to 2.5 tons of cellulosic sugar! And this without interfering with the food chain. The need to profitably access this yield and transform it to ethanol inspired sunliquid® technology. This technology is the chief Clariant product not the second generation bioethanol; this is because wide-adaptation of the technology can bring significant changes. Also, beyond bioethanol, the sunliquid® process has the capacity to generate other biochemicals through biotechnology and catalysis.

Pilot Plant in Romania Shows High Energy Savings

To illustrate the commercial viability of this technology, Clariant is setting up a plant in Romania to prove their concept to stakeholders. When implemented correctly, sunliquid® plants will achieve high energy savings. It reduces greenhouse gas emissions by up to 120% (taking carbon capture into consideration) and save up to 147,000 tons of carbon dioxide emissions in the transport industry with just one plant.

Layout of Clariant’s bioethanol plant in Romania

The goal with Clariant’s first plant in Romania is to valorise 250,000 tons of straw to produce 50,000 tons of bioethanol per year. Like its products, the plant is poised for circularity in the way it effectively engages the by-products of operations. Two key byproducts of the process, lignin and vinasse are fed back into the system. Lignin is used as an energy source to power the sunliquid® plant, and vinasse as a bio-fertilizer for the wheat fields.

In order to make the plant completely circular there is an opportunity for partnerships in capturing CO2 emissions. At the same time, feeding it back into the system as residue to be re-processed.

Sunliquid® effectively recycles byproducts: lignin and vinasse

Safe and Sustainable Design Outside the Plant

To improve sustainability in the chemical industry, stakeholders must continually question how they can make even the extraction process of nutritional elements more circular. One example Dr Vollmer uses to illustrate the economic potential here is Clariant’s Licocare® from Rice Bran.

The difference between edible rice bran oil and crude rice bran oil is mostly the crude rice oil wax. This wax is a byproduct of the process and often ends up as waste. In line with their goal of reducing waste by 45%, Clariant upvalues this wax to produce Licocare® Rice Bran Wax, a bio-additive solution for plastics. Additionally, this meets the needs of Clariant’s plastic customers, making it a win-win in people, planet and profit.

Upvaluing Crude rice bran wax into Licocare® Rice Bran Wax

CO2 as Feedstock: Here, Clariant enters the Hydrogen economy. The goal is to hydrogenate CO2 to produce methane, ethanol and possibly (depending on the availability of hydrogen), Ammonia – a new energy carrier. To this end, Clariant is working towards establishing plants to purify CO2 emissions from steel production. Why the steel industry? Because it accounts for 5% of global emissions.

The potential of CO2 as feedstock
Partnering for Circularity: Some goals may seem daunting even in the long term. There are several immediate ways in which stakeholders can contribute to innovation in the chemical industry for sustainability. Participating actively in policy development and sustainability discourse does go a long way in partnering for circularity. This is why Clariant sits on the table of various global organisations like the World Economic Forum’s Low Emitting Technologies Initiative.

Clariant engages industry stakeholders toward circularity

Nevertheless, Clariant is just one player. The potential for sustainability in the chemical industry depends on the willingness of all stakeholders to innovate towards it. The aim of sharing Clariant’s goals and methods is to provide content that can catalyse further innovation and partnership. Remember, the Earth’s crises needed a solution yesterday. So what will your company do today?

Your next chance to join CIEX live is CIEX 2022 in Frankfurt, October 5&6, 2022. Book your ticket at https://ciex-eu.org/.

In addition, you can find past presentations in our video archive at https://ciex-eu.org/presentations-from-ciex-2020/#

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Creating a sustainable future by fundamentally re-imagining the chemical business model

The Chemical Innovation Exchange – CIEX Europe 2021 conference is back face-to-face on 6-7 October in Frankfurt. As all our speakers are preparing their upcoming presentations, we are talking to them to find out their core message. This week, we spoke with Ari Kar, Chief Technology Officer, at SACHEM on his exciting presentation on crafting a strategy for sustainability journey.

CIEX: Without giving too much away –what is the core message of your talk and what would you like delegates to remember?

Ari: There is a growing realization that business operations and sustainable growth are increasingly impacted by the Earths environmental and resource limits, by broader socioeconomic issues, and by rising stakeholder expectations. The growing challenge is for business leaders to navigate through wide-ranging, rapidly changing environmental and social forces. While still delivering the financial results on which their stakeholders depend. To endure and thrive, organizatmodeions need to incorporate consideration of these dynamics into their strategies, business models, operational planning, and daily activities. Additionally, the global demand for sustainable solutions is both a significant business challenge and an exciting opportunity for innovation, value creation, and growth. This if we integrate business and financial objectives with the generation of broader environmental and societal benefits.

Chemistry is essential to life

Chemistry is essential to life and to meeting our basic needs in chemical innovation. It touches almost every aspect of our lives. Also, it will play an integral role in creating a sustainable future. We aim to seek out innovative ways to address environmental and societal needs through our core business model. Therefore, it will elevate the quality of life and make a positive difference in the world.

We have recently started our sustainability journey, with a major initiative that began during the pandemic. Our vision is to help create a sustainable future by fundamentally re-imagining our business model in a manner that turns sustainability into a core company value, and source of business advantage. Our approach is to use a holistic systems framework to consider the entire business ecosystem. At the same time, weave sustainability into the overall purpose, strategy, structure, work practices, and culture of the company. Everyone has a role to play! In sustainable innovation and growth, and in understanding and shaping the impact of the daily choices and decisions we make. Thus, we are starting our journey with an enhanced focus on waste reduction, improved customer experience, development of a sustainable product portfolio, and making a positive community impact.

CIEX: Why did you choose the topic of your talk?

Ari: This topic sits squarely at the intersection between critical business needs, macro-level socio-economic trends, the health and future of our planet, and my personal and professional values. I am passionate and purposeful about building and continuously improving products, systems and organizations. My goal is to create long-lasting impact and value and to contribute to the common good.

CIEX: What motivates you to join CIEX 2020 and what are your expectations?

Ari: I was a participant in the 2019 CIEX conference and found it very interesting, informative, and thought-provoking. In addition, I enjoy engaging with colleagues around the world. To understand regional perspectives and approaches on the global megatrends that drive innovation, progress and continuous improvement. At CIEX 2019 I was able to hear and learn from industry leaders, international experts and innovative thinkers from around the globe. Some of the things I took away from the 2019 conference became seeds for the initiation of our sustainability program. In CIEX 2021, I will be taking a more active role. I am looking forward to learning from and collaborating with others. Additionally, I will share some thoughts and insights that I hope may be of value to others.

CIEX: The need for innovation has been a continued topic for the chemical industry. How would you sum up the current state of the industry, specifically with a focus on its innovation efforts?

Ari: Looking back at the past few years, there is no doubt that we live in a VUCA world (characterized as Volatile, Uncertain, Complex and Ambiguous). The pace of change and the need for innovation to address global challenges has never been greater. We expect these trends to only increase and accelerate over the foreseeable future. Rather than seeing this as a threat to protect against, we need to see it as an opportunity to innovate and create a better future. For example, we can do this by directly linking the drivers of business value and competitive advantage to sustainability principles. Finally, working collaboratively with others to address global challenges.

CIEX: What must (chemical) industry leaders do to remain competitive and prepare for the future?

Ari: Firstly, transformations in sustainability and digitalization will be critical to survival and growth. In our industry, this means taking an interdisciplinary approach. To create and build a circular economy with advanced chemicals, materials and business models. Therefore, will improve and sustain the quality of life for future generations. Secondly, we will need to get better at communicating the integral role chemistry plays in addressing environmental and societal needs. Lastly, find out how this positively impacts people in their daily lives. To do this effectively, products, services and communications will need to be designed and tailored for both Global needs, as well as Regional/National/Local needs and interests.

CIEX: Thank you, Ari. We look forward to your presentation at CIEX 2021!

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Gaining competitive advantage with the circular economy

Sustainability is the language of the future

Sustainability is the language of the future. So, if your business wants to gain a competitive advantage, it must enrol in the school of the circular economy. This was the key message of Richard Haldaimann’s presentation at CIEX 2020.

The circular economy stands on three principles: reduce, reuse, and recycle. The goal is to recreate the natural ‘circle of life’ in the industrial process.

Typically, what we have is a linear trajectory. From raw materials straight to final product, with humungous waste to show for it. This waste which is triggering scientific panic attacks whenever any discourse related to the environment comes up. So, the industrial process needs to change.

However, circularity is only one dimension of sustainability. It has to interact with others so that its purpose isn’t defeated.

Incorporating circularity implies a need to strive for climate neutrality by lowering the overall carbon footprint in a product’s lifecycle. After all, what’s the point of an easily recyclable product if you have to burn more carbon to get it? Reduce.

Figure 1: Dimensions of Sustainability

Circularity equally underscores the goal of zero pollution. This means working towards recovering components involved in production, allowing you to Reuse.

You also need to integrate safer chemicals into the production process. Fully biodegradable chemicals, and if not, at least make it easier to Recycle.

Keeping this picture in mind will help you smoothly implement Richard Haldaimann’s 3 steps to securing your competitive advantage. Richard is the Head of Sustainability Transformation at Clariant, an industry leader that provides over 9,000 speciality chemicals to a broad industry.

THREE STEPS TOWARDS A CIRCULAR ECONOMY

1) Make circularity and sustainability a strategic imperative

2) Provide your organization with the manpower and connections to access circular business opportunities

3) Foster value chain co-creation and easy-to-understand marketing communication.

ESTABLISH A STRATEGIC IMPERATIVE FOR CIRCULARITY

Naturally, nothing works till you decide it matters enough to work. Even from a utilitarian perspective, you can’t lose with the circular economy. By opting for a production cycle rather than a production line, you’ll be effectively:

– Reducing the cost of production due to increased recycling

– Abating consumer anxiety about pollution. Less anxiety improves brand love, thus, pushing competitive advantage.

– Cultivating positive relationships with environmentalist organizations as well as industry stakeholders.

As soon as you decide you have to, the foundation is already solid.

EMPOWER YOUR ORGANIZATION TO ACCESS CIRCULAR BUSINESS OPPORTUNITIES

Now for the pillars. Obviously, how to do the deed is unique for each organization, but the principles remain the same.

1) Hardwire sustainability into your production process

At every step of the way you have to investigate how to bring in the dimensions of circularity.

Like this, you’re not trying to find a way to ‘fit’ your product into the circular economy, rather you’re ENGINEERING a product for the circular economy. Beginning at ideation, conduct market research that highlights the sustainability needs and concerns of your customers.

This ensures the development of a product that wasn’t just sustainable on your end but improves the sustainability of other products it interacts with along the value chain.

Regarding Clariant, this approach involves conducting a customer survey on the toxicology and recyclability of their chemicals; including their effect on the customer’s manufacturing process.

2) Create a Team

You need a team of dedicated professionals that combine strategic leadership with excellent capabilities to yield sustainability transformation. Here’s the organizational structure Clariant implements.

– Advocacy and Public affairs: This department is all about cooperating with legal stakeholders, and providing insights on policy developments.

– Sustainability affairs: Your opportunity trackers. They are responsible for bringing all stakeholders to the table and engaging them to discover what issues need to be addressed. An efficient research and dialogue team.

– Sustainable portfolio: Your innovation experts. They mastermind solutions. Providing answers which adapt research findings.

– Sustainable Operations: Finally, your engineers for turning those ideas into reality.

Figure 2: Leadership and Responsibility

3. Cross Business Unit Platform

Richard says “collaboration manages complexity and achieves circular economy solutions”. Accordingly, you have to create some kind of platform that encourages cooperation towards sustainable innovation among members of a value chain.

For the plastic industry they cater to, Clariant developed Ecocycle. An entity that unites business units such as recyclers, polymer producers, etc to collectively achieve the goal of reducing plastic waste.

MARKETING COMMUNICATION AND VALUE CHAIN CO-CREATION

What good is all that hard work if it isn’t adopted? For Richard and his team, the first way to eliminate this hurdle is through value chain co-creation and designing for marketing communication. Here’s a good example of how this worked in Clariant.

Value Chain Co-Creation

In the body care industry they cater to, there’s a widespread use of black plastic packaging to create a sense of product exclusivity. Sadly, the dye for these plastics isn’t compatible with the sorting process involved in recycling (sustainability affairs).

So, Clariant involved a key manufacturer in the body care industry-Unilever, and the manufacturers of these sorting machines-Tomra, in generating a solution.

The task was to solve this problem while satisfying the marketing strategy of the black aesthetic (sustainable portfolio). In the end, they created a black (sustainable operations) Near-Infrared (NIR) detectable colourant that met this need.

The market adoption was fantastic. It created a new circular value chain and gave Clariant a competitive advantage.

Marketing Communication

Marketing gives your product wings. To sell a product that provides circularity, you have to help marketing communication by creating a designator that points to that circularity. Hence, Clariant created AddWorks. Manufacturing guidelines that enable circularity. Addworks has a circle designator, printed on products that meet these criteria–a clear and easily understood distinction.

For example, Clariant created a polymer stabilizer which when used in the production of BOPP film, increases its ability to be recycled without compromising quality (more benefits below). The final product bears the designator. Thus, effectively communicating its circular value and encouraging adoption.

Figure 3: Benefits

Consider now the time to optimise your business for the reality of today. Innovate for the common good and earn your competitive advantage.

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Your next chances to join CIEX live are during our CIEX Data Summit (Virtual conference, May 10, 2022)and CIEX Chemical Innovation Exchange (Frankfurt, October 5&6, 2022). Book your ticket at https://ciex-eu.org/.

In addition, you can find past presentations in our video archive at https://ciex-eu.org/presentations-from-ciex-2020/#

Using Chemical Management Software to Prepare for REACH 2018

Looking ahead to the future of science- and process-driven industries in the EU, one event is at the top of many lab managers’ minds — the coming REACH deadline in 2018. After the deadline, all chemical substances and products manufactured and imported into the EU must be demonstrated to be safe or, if the material is hazardous, that the risks surrounding its use can be properly managed. Adopted to help protect the environment and promote human health in the EU with more responsible business practices, it places the burden of compliance completely on companies and importers based in the EU. As companies prepare their R&D teams for the deadline, chemical management software can help labs ensure that lab processes continue to run smoothly.

Overcoming Challenges in Preparing for REACH 2018

As organizations develop and manufacture new products after the deadline, scientists will require more transparency into what their ingredients actually contain (i.e. trace impurities, solvents, etc.). Chemical management software can be helpful as companies deal with shifts in their supply chain.

Reformulating Products

A key challenge in the REACH regulation is that while companies based outside the EU are not responsible to comply with REACH, European organizations working with non-EU firms are. This may drive some European R&D teams to reevaluate and reformulate some of their products and processes to ensure compliance. As a result, chemical management software can be an invaluable recipe development tool for multinational companies. Company leaders can easily access chemical information regardless of the lab’s location and quickly determine if any materials are considered hazardous. In addition, regulatory information can be configured by country in order to ensure compliance with regional standards, and safety information can be stored in multiple languages, depending of the needs of lab personnel. These benefits can smooth the transition to manufacturing, reducing the logistical concerns that go along with global expansion.

Monitoring Shifting Regulations

In order to ensure there are no regulatory issues moving forward, companies will also need to focus on monitoring other regulations beyond REACH. Initial discovery can be a major challenge, especially as global regulations surrounding hazardous materials definitions and use continues to shift. As a result, it is important for researchers to actively track the regulations applicable to their supply chain. Adopting software that automates these processes, such as managing safety data sheets electronically, can help researchers make the most of their time.

By ensuring that researchers always have the reagents they need and supporting improved understanding of their product make-ups, chemical management software reduces waste and ensures teams develop products more responsibly. Since one of the major challenges in preparing for REACH has been to gain greater transparency in their supply chain, organizations need a solution which helps manage their raw materials data.

Overall, whether preparing a lab for new operating practices under REACH or establishing manufacturing facilities abroad, modern software can help chemicals companies improve operational efficiency. BIOVIA CISPro is an advanced software solution that supports effective chemical management.

On May 10^th, 2017, Dassault Systèmes BIOVIA will present a Webinar covering how to prepare for the upcoming 2018 deadlines for the European Chemical Agency’s REACH regulations:

REACH 2018 and the Drive Toward Agile Data Management will explore how improving data continuity can not only help organizations remain compliant with REACH 2018 but also gain greater transparency into their products and supply chains. As many companies adapt their IT infrastructure (e.g. Cloud deployments) and explore global partner networks, a unified data management solution can help drive the adoption of more agile workflows and streamline data access on an enterprise level. While challenging, the REACH deadline provides a unique opportunity for organizations to gain deeper understanding of their supply chain, transforming a former burden into a competitive advantage.

Click here to register for the free webinar or contact Dassault Systèmes BIOVIA to learn more about how they can assist you in your efforts to prepare for REACH 2018.

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BASF Aims To Contribute To The Circular Economy Through Efficiency, Smart Waste Management

The director of the Applied Sustainability group of chemical manufacturer BASF, Talke Schaffrannek, recently presented the corporation’s plan, policies and direction of sustainability efforts to BASF employees and associates. In her address at the recent CIEX conference, she explained BASF’s commitment to contributing to a more sustainable model of general economic activity.

Specifically, the economic model that BASF aims to aide is called the “circular economy”. The concept it relatively simple, and Schaffrannek boiled it down to two central concepts: keep it simple and close the loops. Keeping it simple involves maximizing the efficiency of both product and process, while closing the loops refers to the process of turning waste back into useful resources.

Schaffrannek explained that the Applied Sustainability group at BASF has spent several years categorizing the corporation’s 60,000 products into four different sustainability levels: accelerator, performer, transition, challenged.

The evaluation process says that an accelerator is a leading contributor to the circular economy value chain, a performer follows market standards, a transition product is performing below the market standard, yet actively being resolved, and a challenged product is one whose sustainability concern has been identified, but is not being actively addressed. She says more than 97% of BASF’s products are accelerators or performers.

Evaluation is only half the battle, of course, and Schaffrannek goes on to explain the other half of the battle: implementing new and more sustainable processes and products. In terms of a single product, she explains that the “keep it smart” process is as simple as identifying the challenge, researching and creating an action plan, and launching the superior product.

The “close the loops” process is a little more difficult, she says, because it requires behavioral change for the firm as a whole rather than for a single product. It’s all about streamlining production and eliminating waste. A model which BASF has worked under and continues to follow is called verbund, which requires connecting separate plants to maximize resources.

But that’s not all BASF can and will do to close the loops. Another new business model which BASF now has their eye on is biomass balance. This three step process calls for adding a renewable feedstock to chemical production, using verbund during the production process, and allocating the original renewable feedstock to certain products at the end of product life. It’s a little harder to envision, but she says it essentially requires monitoring of the renewable feedstock throughout the product’s lifespan.

Schaffrannek admits that changing business processes is an arduous task, and implementation could be far off. However, she emphasizes the importance of continuously taking steps forward to develop the circular and sustainable economy within the firm.

The full BASF presentation on “Circular economy: Keep it smart, close the loops” is available to view below:

Editor’s note: The next CIEX conference will be held on Sep 19-20, 2017 in Frankfurt, Germany. Visit: http://www.ciex.-eu.org to reserve your seats!

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Expert Advice on the Sourcing of Sustainable Chemical Feedstock

Each decade has its own set of well-loved, overused, business buzzwords. The 80’s gave us ‘low-hanging fruit’ and ‘bottom-line’, the 90’s ‘streamline’ and ‘leverage’, whilst the 2000’s gave us ‘synergy’.

One of this decade’s top buzzwords is ‘sustainability’. But unlike most buzzwords, the word ‘sustainability’ is overused with good reason. That being that we live in a world with diminishing natural resources, and a growing population.

As a result, the UN is reporting that, “2016 is slated to be hottest year ever, with record-breaking emissions and melting Arctic ice.” While the WWF states that, “A new economic path towards sustainability is both a necessity and a huge opportunity.”

It is this necessity and opportunity that is directing the chemical industry’s thinking.

Take for example, the fact that the chemical company Henkel, includes sustainability as one of four main criteria for supplier selection (the others being price, on-time delivery and product quality). Given that Henkel is a very successful company, with 50,000 employees, and an €18 billion turnover, which operates brands such as Persil, Fa, Schwarzkopf, Pritt, Locktite and Dial, then other chemical companies would do well to follow their lead.

In fact, given the number of suppliers Henkel cooperates with, chemical traders or manufacturers need to source their feedstock wisely if they wish to do any business at all.

This is a point that Christine Schneider, Head of Global Sustainability in R&D in Laundry and Home Care at Henkel, made clear in her presentation at CIEX Europe 2016, a unique platform created for R&D and innovation experts from the consumer, industrial and specialty chemical sectors.

You can watch her full video presentation below (30 mins):

Here she opened up about some of the challenges chemical companies face in improving sustainability, and talked about the processes Henkel had in place to achieve their targets.

Sustainability Targets
Indeed, one of the first steps to success in sustainability is establishing targets, with Henkel setting out in 2010 with a simple goal to triple sustainability over the next 20 years. They aim to achieve this by increasing sales by 50% in that time, while halving the footprint of raw chemical material sourcing.

The second step a chemical company needs to take is analysis; the need to study a product’s environmental impact. This should take into account all the stages of its life, including the resources used during the product’s (even domestic) consumption. Schneider gave the example of washing detergent, and explained how much of this product’s impact was in packaging or in heating the washing water. As a result, a ‘life cycle assessment’ of detergent showed the phase that causes the biggest carbon footprint was ‘usage’, which creates 81% of a detergent’s ‘ungreenliness’.

As is evident in the graph, much of the challenge in making many domestic products more sustainable is that the largest carbon footprint process is out of the manufacturer’s control. If Henkel could persuade its customers to wash their laundry at 30°, instead of 40°, then the brand Persil would reduce CO² emissions by 500,000 tons a year.

But by analysing the data, any efforts to make Persil a more sustainable product can now focus on the heart of the problem. Without analysis, any sustainability drive may focus on the wrong goal, and any success would be immeasurable.

The third step towards sustainable chemical products was traceability. This was achieved by tracking where a raw material originated from, how it was sourced, how it was transported and refined, and knowing who was involved in each process. This traceability includes following the route that waste products take, as well as what happens to chemical products after they have been used and are at the end of their lives.

To do this, Henkel recommends working closely with suppliers, building long-term understandings, and sharing information about sourcing and sustainability issues. Co-operating with NGO’s, such as WWF and Greenpeace, also allows companies access to advice and helps with the sharing of ideas and efforts towards a mutual goal. This not only allows for ‘sustainability credentials’ to be openly verified, but also saves money, as the company can adopt a ‘one audit’ process, that is used by both chemical supplier and manufacturer to confirm the sustainability of feedstock.

Schneider also stated that, “Another very good initiative is [that we] reward our suppliers; one example being Novozyme, who won Henkel’s ‘Best Sustainability Award in Laundry and Home Care’. [They won] for their work in producing a better enzyme mix, with more high performing enzymes which could reduce the surfactant content, which is a driver when it comes to counting carbon footprint.”

The issuing of awards was also part of a concerted effort to establish a public commitment towards sustainability. This acts not only to promote the company’s efforts in a positive light, but also makes the public aware of the issues at hand. This could lower wastage, help recycle packaging, lower wash temperatures etc, as well as help guide the company towards its goals, as sustainability becomes a public and declared intent.

This is why Henkel has joined the initiative of ‘Zero net deforestation by 2020’, in an attempt to reduce the impact of the company’s sourcing of palm oil.

To the future, Henkel is looking to innovation to improve its sustainability. The use of fossil fuel alternatives, such as coconut oil, lignite or algae oils are being studied, but may be as far as 20 years from becoming a core chemical feedstock.

Despite all these efforts, the fact remains that sustainability is a hard nut to crack. It will require a lot of time, effort and money from everyone involved with chemicals if the industry is to become what it needs to become. But given the health of the planet, given the public’s desire for sustainable products, given the moral obligation chemical traders and manufacturers have to source responsibly. Isn’t doing good a necessary evil?

This blog is written by Simon Hilton and originally posted on Spotchemi blog.
Photo credit; SINCHEM Luca Cervone, Monica Palmirani

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