Statement: Building more Resilient Supply Chains
The chemical distribution outlook report by Boston Consulting Group, outlined on the previous pages, presents six key findings that capture the strategic pressures and capability shifts transforming the chemical disgtribution landscape, setting the stage for four imperatives that will help distributors to win amid uncertainty. Madjar Navah, one of the authors of the report, introduced the most significant results of the study at the FECC Annual Meeting in Hamburg, Germany, in mid-September. Among the audience were executives of the largest chemical distribution companies, some of which we asked to share their opinions on the report’s conclusions with us.
BCG’s latest findings capture the key themes shaping our industry, and many of them reflect what we are already seeing and acting on at Azelis. The report reinforces that, despite the uncertainty, the fundamentals of the distribution model remain strong, and distributors continue to deliver tangible value by connecting principals and customers, enabling innovation and ensuring resilience across complex global supply chains.
Building more resilient supply chains is critical. We have been adapting our network to be both global and local, ensuring we respond quickly to disruptions and continue serving our customers and principals wherever they operate.
We also agree that cutting the cost to serve must go hand in hand with investing for the future. We are taking a disciplined approach to efficiency while continuing to strengthen our digital, innovation and sustainability capabilities. Our higher capital expenditure in the first half of the year reflects this commitment, with increased digital investments even as we streamline costs elsewhere. That balance is what allows us to stay agile through a challenging market.
The point on scaling value and digital technologies is particularly relevant. We have consistently led the industry in using data and digital tools to enhance how we work with partners, from formulation support in our labs to smarter compliance and insight-driven decision-making.
And finally, the focus on people truly resonates. Our technical experts and commercial teams are what make Azelis different. Investing in their skills and enabling them to share knowledge across the business is one of our biggest priorities.
In many ways, BCG’s report validates the path we are on. These imperatives are not abstract ideas for us. They are part of how we are building a stronger, more connected Azelis that’s fit for the future.
“Despite the uncertainty, the fundamentals of the distribution model remain strong.”
CEO, Azelis
