Brenntag Splits into Two Divisions
Following an analysis of its internal structures and processes earlier this year, Brenntag will establish a new operating model with effect from January 2021, launching two global divisions – Brenntag Essentials and Brenntag Specialties.
The leading chemical distributor said the move is a core element of its transformation program, called Project Brenntag, which aims to lay the foundation for sustainable organic earnings growth in a rapidly changing global market environment. The company believes the two new divisions will better leverage its strengths while sharpening its profile towards relevant industry segments.
“We are in a leading position globally and have a resilient business model. However, the requirements of our business partners and industry change,” said Group CEO Christian Kohlpaintner. “By setting up two global champions with a differentiated steering approach and addressing the diverse markets needs and expectations, we develop our company to lead our industry as preferred partner for customers and suppliers.”
Brenntag Essentials will market a broad portfolio of process chemicals across a wide range of industries and applications, leveraging scale with flexible and cost-efficient delivery at competitive prices while continuing to follow a geographic and regional logic.
Brenntag Specialties will focus on ingredients and value-added services that are directly used in the production of the customers' end-products. This division will concentrate on the nutrition, pharma, personal care, home, industrial & institutional (HI&I), material science (coatings & constructions, polymers, rubber), water treatment and lubricants industries.
Brenntag said these sectors are large globally relevant industries with significant solutions potential and characterized by high regulatory requirements.
In accordance with the new model, the company has created two chief operating officer (COO) roles. Steven Terwindt will be COO of Brenntag Essentials with Henri Nejade taking the position at Brenntag Specialties.
Furthermore, Brenntag is creating the role of chief transformation officer (CTO) who has yet to be appointed. The CTO will lead the overall transformation process, also driving functional excellence and Brenntag’s digital transformation, completing the future five-member management board.
Author: Elaine Burridge, Freelance Journalist
