DuPont to Design PetroRabigh Safety Strategy

photo : arabianoilandgas.com

Very encouraging to see this week's news that Petro Rabigh has engaged DuPont Sustainable Solutions (DSS) to assist it on its journey towards world class safety performance.

DSS will initially carry out a baseline audit and will then work with Petro Rabigh to define a detailed implementation plan.

DuPont has always been an acknowledged leader in safety performance and safety culture, so this engagement shows real commitment on the part of Petro Rabigh in achieving world class levels of safety.

As those with experience in the industry know very well, safety culture takes time and significant management effort to develop but understanding current performance and then implementing an action plan is a very effective means of moving forward quickly.

This blog wishes Petro Rabigh much sucess with this positive initiative.

DuPont Continues Focus on Megatrends

US Speciality Chemicals Major DuPont gave a global media briefing in late 2010 in which it announced the alignment of its strategic themes with future growth trends. These so called Megatrends are seen as the shapers for the future of the industry and DuPont wishes to be taking a leading position. The megatrends are

• Increasing Food Production - recognising that the world's population continues to grow and needs to be fed
• Decreasing Dependence on Fossil Fuels - recognising that fuel supplies are finite and that many individuals and nations are concerned about the potential for climate change
• Protecting People and the Environment - recognising the need and desire to protect lives and preserve environments
• Growth in Emerging Markets - recognising the global shift that is taking place at a very rapid pace

Having identified the trends, DuPont is then looking at how it can differentiate itself to deal with the impacts of these megatrends. This means changing the structure of the organisation through acquisition. It means product and process innovation. It means having people of the very highest calibre, who have roles and responsibilities fully aligned with this changing cororate vision.

More recently, in May 2011, DuPont concluded the acquisition of the Danish company Danisco, a company whose product range is a very neat fit with the megatrends outlined above.

For all chemicals and petrochemical producers, it is essential to understand the factors that will shape the future of the business and to plan and manage accordingly. Innovation is the key, whether this be in terms of organisation, in terms of process, in terms of product. Standing still and hoping for the best is not an option.

Top 10 Chemical Companies in 2008 and in 1998

ICIS has recently published its fascinating analysis of the top 100 chemical companies in 2008 (ranked by sales). The names in the list will not be a surprise to many; BASF, ExxonMobil, Dow Chemical, LyondellBasell, Du Pont and Shell figure prominently in the list.

What is more interesting is to look back to the top 10 in 1998 and look at the differences. BASF, Dow and Du Pont were all present but other names have disappeared completely; ICI, Hoechst and Rhone Poulenc were very big 1998.

New additions to the top 10 are the likes of SABIC, Sinopec, LyondellBasell and Ineos, with SABIC and Sinopec growing very quickly in recent years. LyondellBasell and Ineos are, of course, new companies formed in recent years and which have grown through successions of acquisitions.

The brave amongst us might like to try and predict what 2018 might look like. New names like Borouge and ChemaWEyaat may well appear, with some European and North American companies coming under some pressure?