An approach to such a challenge is to combine a business process for the sulphur system and create a digital platform for decision making based on sulphur processes. Big data and advanced analytics, cloud computing, digital identifiers and low-cost sensor technologies will find their way into the petrochemical supply chain soon, if not now already. Finally, the overall interest in 3D-printing, unmanned aerial vehicles and bionic enhancement is low in the petrochemical supply chain. The solution focuses on optimisation of sulphur removal using analytics based on data from the sulphur circuit. Phased implementation of the system was planned for the refinery. In this article, we discuss two case studies from the refining and petrochemicals industry. The customers seem to “push” digitization into the supply chain, all the way from the consumer to the refinery. Digitization makes for better contract and commodity-procurement decisions. figure 1). Not only is there awareness of the importance and impact of digitization, there is also a sense of urgency. •    Reducing unplanned downtime with increased rate of asset utilisation Factories are becoming smart by introducing new process technologies, often referred to as Industry 4.0 or Internet of Things (IoT). In the past four years or so, the hype about the fourth industrial revolution (IR 4.0) has gone into overdrive. As with any major initiative, digital transformation in chemicals is likely to be challenging. We keep you posted - Subscribe to the CHEManager International newsletter here! This report focuses on the current state of automation in the petroleum/chemical industry… Helium Consulting. So, every industry is either at or near an inflection point for digital transformation. Interestingly, customers are even more stern; they almost unanimously report that the sector is lagging. Since many of these logistics service providers are active in different sectors, they gain experience with more advanced practices that they can transfer to the petrochemical supply chain. In a diversified industry that delivers products to virtually every other sector, customer service has a large impact on growth and operations. The petrochemical industry has ridden high on emerging-market demand growth since the start of the century, just like producers of metals and other commodities. The solution combines ‘deep domain’ knowledge from operations technology and information technology for online analysis. New business models will arise, in manufacturing as well as logistics. All Rights Reserved. Automation and augmented reality are changing the processes in warehouses and transportation. At present, it is almost impossible to find a refining or petrochemical company that has not announced its plans to introduce digital solutions at its plants. document.write(CurrentYear) Sulphur is present in crude oil and in natural gas in multiple forms including mercaptans. However, the increased visibility of assets and goods throughout the supply chain and the improved coordination and alignment across the chain has not (yet) led to lower inventory levels and improved asset utilization for many of the participating companies (cf. The primary objective of the solution is to optimise the sulphur recovery circuit and find the best operating parameters to enhance performance while minimising cost and bottlenecks. Download (PDF / 0.56MB) The smart factory in petrochemical industry is operational excellence as the goal, through the operational management of the whole process, with a high degree of automation, digitization, visualization, modeling and integrated refining chemical factory, which is the future development direction of the petrochemical enterprises. Digital transformation in the chemical industry (in German) Digital transformation in the chemical industry KPMG in Germany recently launched a ground-breaking study on digital transformation within the chemical industry, together with the market research institute, TNS Emnid where they interviewed 75 senior chemical industry executives. But we have to take the first step and put down our pens. Running the race requires a set of capabilities. Case Study I: The journey to digitalisation The case studies explain how the digitalisation journey started, the challenges faced, and the path to implementation of IIoT. Logistics service providers are investing in end-to-end visibility across the chain. We experience every day how data and digital applications change the way we communicate, the way we live, and the way we do business. There is a need for investment in developing these capabilities. These form the backbone of automated data collection systems, process simulation modelling and scheduling. In a recent AFPM webinar Bruce Taylor, director of digital transformation at Sinclair Oil and Chair of AFPM’s OPCAT Committee, described digital transformation … The global petrochemicals market size was predicted at USD 441.0 billion in 2019 and is anticipated to witness a CAGR of 5.0% over the forecast period. However, the current digitization of the Indian chemical industry is below average. Innovation in downstream industry means operating facilities at higher operational efficiency, less downtime and better safety. Key Considerations for Fuel and Petrochemical Companies Pursuing Digital Transformation. Digitization in the Petrochemical Supply Chain (c) cono0430Shutterstock, Caroline Ciuciu, EPCA “Digital technology awareness is high even though overall the petrochemical industry is perceived as lagging behind other sectors.”, Ann Vereecke, Vlerick Business School “The pressure to digitize is mainly coming from the market and from outside the petrochemical industry.”, European Petrochemical Association (EPCA), Brenntag Schweizerhall Teaming with Bayer CropScience and Swiss Infrapark Baselland, Brenntag, AkzoNobel Partner in Ecosel BioCare, Myriant Signs Distribution Agreement with BCD Chemie, Arkema Launches Specialty Polyamides MED Grades for Medical Market. The study clearly shows a higher level of maturity among the logistics service providers than among the petrochemical manufacturers. The acid gas removal unit is used to separate and concentrate H2S and other acid gases produced in hydrotreatment. The following case study explains how digitalisation and implementation of IIoT helped one of India’s leading refineries to deliver value and optimise processes, as well as meeting environmental standards. The results of the research study are discussed in the recently published report “Digitisation in the Petrochemical Supply Chain”. Pressure is also coming from newcomers in the sector: start-up companies launching new solutions, the so-called “GAFA” companies, or existing companies from other sectors entering the petrochemical sector. •    Lowering overall process risk, thus improving safety The LyondellBasell announcement arrived just two days after the collapse of a $17.4 billion joint venture between Dow Chemical and Kuwait’s Petrochemical Industries Co. Improved collaboration with suppliers is an often-mentioned benefit. Operating challenges Secondly, the more we use information and communication technologies in the supply chain, the more we rely on these systems for our day-to-day operations, and the more we must manage the risk of hacking, system failures and temporary black-outs. The customers are actually an important driver of digitization (cf. The global chemical industry can benefit from A special focus was put on the following questions: How digital is the petrochemical supply chain? This helps to convert a mountain of data into actionable information and translate that actionable information into decisions, leading to real, day to day plant improvements. A process simulation model was also developed for the sulphur system. 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