Open innovation becomes the focus of global petrochemical enterprises

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China Drying Network News European debt crisis continues to spread, the global economic recovery is slow, not only China, global petrochemical companies are seeking transformation and upgrading at this stage, in order to maintain their position in this round of industry reshuffle. At the 2012 China International Petroleum and Chemical Engineering Conference “The Transformation and Upgrading of Chemical Companies” Leader Forum held on September 11, many multinational company leaders shared their transformation and upgrading experience with participants and proposed the recovery of the global petrochemical industry. Your own unique point of view. They all agreed that petrochemical companies should continue to transform, increase research investment, and pay attention to open innovation.

"The uniqueness of the petrochemical industry is that people's demand for petrochemical products is constantly changing, so petrochemical companies must also continue to transform to meet the needs of global change." Tang Luxi, CEO of Ineos Group, said.

“The decision-makers should make every transition closer to customers.” Hou Yuzhe, president of BASF’s Asia Pacific Region, expressed the same view. He said that the transition means closer to customers, so that they can establish a competitive advantage. Transformation is not necessarily a big company's ability to do. Enterprises, regardless of their size, should understand their strengths. “We have a very strong R&D strength in Europe. In the future, our R&D activities will expand as far as possible to other places, especially in Asia,” said Hou Yuzhe.

Serenity Group senior vice president and chief financial officer Steiner also believes that the transition is a continuous process, not a short-term battle. For example, to meet the consumption needs of the middle class in Tianjin, traditional multinational companies will need to change their operating methods, find suitable partners, and be close to consumers with different cost structures. However, the transition faces certain challenges and risks and must be strictly controlled so as to create a different future for customers.

As a representative of an Asian company, Kim Jong-shi, deputy director and chief executive officer of Lekin Chemical Co., Ltd., said that the company's products were 100% petrochemical products many years ago, but if they rely solely on petrochemical products, they cannot achieve strong growth. Therefore, the company has been seeking transformation in recent years and has begun to expand its business into batteries and electronic materials. The current proportion of chemical-type businesses has dropped to 75%.

“How to realize product structure transformation is through research and development. Now DSM, Dow Chemical and other companies invest 2% of annual sales in R&D. However, for example, Lejin Chemical’s battery business accounts for 10% of sales revenue. % R & D represents innovation, and the amount of R & D investment is generally quite large." Jin Yushi said.

After many years of experience in the transformation, Lejin Chemical realizes that it is not possible to go it alone and do research and development. A company cannot do all the things. Some solutions need to be completed in cooperation. “This is why we now emphasize open innovation, so Lejin Chemical recently cooperated with Mitsui Chemicals and other companies in Japan.” Kim Soo-shi revealed.

Hou Yuzhe also expressed his recognition of open innovation: “Every company needs to communicate with customers and understand customer needs. Open minds, joint development, and eventually come up with some common, shareable innovations. ."

At present, major multinational corporations attach great importance to the Chinese market. In order to adapt to the Chinese market environment, they have also made corresponding strategic transformations in their operations. “Now the Asia Pacific region is still an emerging market as a whole. We attach great importance to the partnership with Chinese customers and companies. We believe that China will continue to grow, and only if China grows, will we be able to grow. So, with Chinese companies, The innovative cooperation between the two is also more critical, and we have now begun to establish corresponding project cooperation with CNPC. This also shows that we are now promoting joint transformation and innovation through joint development,” said Jin Yushi.

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