Chemicals and Natural Resources
The last several years have been challenging for the chemical industry. Total sales for the largest 50 U.S. companies are up, yet operating profits have declined. Chemical companies continue to face enormous pressures to improve the bottom line by lowering costs. At the same time, feeling the need to increase market capacity, and struggle with the voltality in energy and feedstock commdities such as natural gas.
Meanwhile, innovation spend is under siege - constrained by underperforming stock market prices. Regulatory scrutiny has heightened. And market-driven pricing isn’t leaving much profit on the income statement. Although top line growth has stalled for many chemicals businesses, many entities are taking advantage of significant opportunities to improve the bottom-line by cutting costs, streamlining operations and focusing investments on value-based initiatives. In fact, we’re working every day with companies that are implementing strategic initiatives with significant and quantifiable returns.
For some companies, it’s about acquisitions and global expansion. For others, it means a renewed focus on new branded products. And for many corporations still trying to wrestle value from the mergers, consolidations and acquisitions over the last decade, it’s about taking the critical steps in realigning core assets necessary to drive future quarterly performance
Recent work Done
Bearing point helped a global chemical company consolidate 12 disparate instances of SAP, in addition to connecting other technology applications with 250 interfaces to be entirely supported within SAP. This global effort identified more than $10 million in process optimization benefits, achieving estimated savings to $49 million, greater than 12% of gross sales. Bearing Point planned and helped deploy a business process outsourcing initiative for a chemicals client that reduced their human resource processing costs by more than 30%. Bearing point’s chemical industry depth and breadth extends from systems integration work around products like SAP to optimizing the chemicals industry portfolio of products and customers to drive profitable growth. The BearingPoint worldwide network of chemicals experts includes over 450 dedicated consultants, each with an average of 15 years of chemical industry experience serving corporate clients in 14 countries across the Americas, Europe, and Asia-Pacific regions.
Bearing Point offers industry-specific set of solutions: