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BASF is an acknowledged star in an industry
void of standout performers. This multinational specialty
chemical company’s name is synonymous with such qualities as
innovation, product superiority and customer service.
Specialty chemicals differ from commodity
chemical products in that they comprise the value-added segment
of the business — products sold based on their performance
in-use characteristics. Specialty chemicals are typically
premium ingredients, often requiring special handling.
In the making of specialty chemicals,
competitiveness has traditionally been defined by innovation,
not by price. In recent years, though, the demands of the global
marketplace have exerted pressure on manufacturers to lower
prices on all products, specialty chemicals included.
Cutting costs Gulf Coast to West Coast
As price pressure lowered profit margins,
BASF needed a new strategy for moving its specialty product,
urethane polyols, from plants on the Gulf Coast to customers on
the West Coast. According to Michael Labadie, materials
management-Urethanes of BASF, “We looked at several options, but
found the one that made most sense at Ventura Transfer Company —
if they could satisfy one critical condition, ensuring the high
product quality controls that our customers demanded.”
Tim Dodds, customer service and
transloading manager of VTC, remembers that the BASF review
process was an extensive and thorough one. “They carefully
audited our facility, making sure that both nitrogen and steam
were available at the rail siding. Our trucks also...
...Continued
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