GCPC 2025: Survival & profits fueling the drive for operational optimization in chemical manufacturing

GCPC 2025: Survival & profits fueling the drive for operational optimization in chemical manufacturing

By: Rahul Koul

Last updated : May 24, 2025 10:34 am



Latest technologies are setting new benchmarks in chemical manufacturing for performance, precision, and profitability


The chemical manufacturers are rethinking traditional operating models to boost efficiency, enhance agility, and ensure long-term competitiveness. From embracing Industry 4.0 technologies to implementing lean practices and data-driven decision-making, the focus is shifting toward operational excellence that is not only smarter but also more sustainable.

Leading industry experts discussed the latest scenario at the fifth session, 'Reinventing Operational Efficiency & Manufacturing Excellenceat the maiden edition of Chem & Petchem Conference 2025 organized by the Indian Chemical News on May 07-10, 2025 at Baruch in Gujarat. 

The session was moderated by Pravin Prashant, Executive Editor, Indian Chemical News. What Experts had to say:

B. M. Patel, President & Chief Operating Officer - Chemicals Business, DCM Shriram

For us, excellence is how we are constructing and building our assets; managing the assets; the systems and processes that are monitoring the operations; and the people who are driving the actions as their thinking pre-defines excellence. We are operating the largest chlor alkali plants in India that has grown from 150 tonnes a day production to 2250 tonnes tonnes a day now. There is a lot of variability in action which can at times kill the efficiency but our focus is on optimising this variability to develop algorithms and mathematical models that help the operator to take routine decisions and hence add value to the business. In terms of digital transformation, we have taken inputs from our partners, suppliers and customers to come up with a program named BLESSED (Becoming Lighthouse through Exemplary Safety System and Excellence in Digital transformation). The exemplary safety system is a licence to operate and without it we cant remain in the market for long. Digitalisation in safety, EHS, logistics in terms of transporting 4 million tonnes material, and processes in terms of producing 2.5 million tonnes materials. India took a lot of time to adopt new technologies but since 2010, there is an acceleration in how we have integrated it into our operations.”

Anant Pande, Chief Manufacturing Officer, Deepak Nitrite

First and foremost we are looking at the cost competitiveness. And we have worked on a plan that is multifold including energy, de-bottlenecking etc. But largely we are doing it in a compliant manner and fast manner. The focus is on getting a Minimum Viable Product (MVP), reaching one milestone first and then followed by a perfection stage later. Compliance is a big area which is having focus right now from the customer end as well as regulatory compliance such as ESG. Skill upgradation is another area. One basic challenge companies used in the past was that it was considered a burden but progressive ones have overcome this mindset. Today it has become a matter of survival as we have examples where companies have failed because of not being able to adhere to ESG and safety compliances. Globally, the customers are looking at these aspects and even they are taking the accidents at your premises seriously. Governance related matters have led to closure of many giants and thus companies are taking it as an absolute imperative. The challenge is on the reviews within the industry where compliances might be on paper but not in actual. Therefore, the reviews are very important.”

 

Subhat Kumar Jindal, Chief of Operations, Aarti Industries 

 For us safety and sustainability are the foremost. A few years ago we coined a definition that we want to become the world class manufacturer which means our assets operating at the rated capacity for a rated life, producing designed quality at designed cost of production with zero sustainability related deviations, followed by continual improvement on all the areas like capacity, life of assets, quality, cost and sustainability while ensuring well-being and development of employees. This definition covers both operational and manufacturing excellence. We have an instance where we came to know that a plant running for 40 years could do without a certain raw material. This fact came to us during our interaction with academia. There are new insights and opportunities in the market that come to us over the period of time. Then we start thinking in a new direction. During my experience with various companies, I have seen changes happening and that is possible only when we put the best efforts to tap the opportunities which will also decide how long we can remain in the market.”

Devendra Kumar Ray, President - Operations, Cohizon Life Sciences

Our strategy for operational efficiency and manufacturing excellence has three pillars. One is innovation and technology; second is climate and environment; and third is workforce and empowerment. We spend heavily in some of the core areas where we think we have to work extensively. We have set up a world class research centre and created a pool of knowledge employees who will be driving chemistry innovation and then acquiring the best technologies for manufacturing. Also we have made good investment in building a skilled workforce. In all areas such as compliance, safety, incident reporting, emission reduction, digitalisation and learning management system for the workforce, we have done remarkably well. For manufacturing excellence, we have empowered cross functional roles and individual leaders for specific projects, and then setting up a review and governance mechanism. We also set up a concept of PACA where we have a defined procedure of making people accountable and making them competent. The review and governance mechanism further accelerates the speed of execution. By enabling such a system, we have witnessed amazing results in two and half years.”

Pravindan Gadhavi, Unit Head, Superform Chemistries 

Our 85 percent of manufacturing goes into formulations, particularly into agrochemicals and now expanding horizons in specialty chemicals business. In terms of operational excellence, we believe utilising our resources, man and machines efficiently is very important for operational excellence. That is possible only when we upgrade our existing operations with the best possible technologies. With this intention, we came up with the Project Lighthouse at our Unit 5 location in Jhagadia where we have covered the entire supply chain in terms of reducing wastage, improving compliance and decision making; improving productivity; predicting breakdown and performance of equipment; and bettering logistics as well as quality and sustainability. We have created 15 use cases and defined the key priorities for our business. Through these use cases, we have improved our productivity by utilising the technologies efficiently. In the last two years whoever we have applied this system, we have improved capacity by 15%, yield by 5%, we have reduced the breakdown and improved safety and compliance. We have improved age process safety through AI based methods and also in terms of employee behaviour, we have installed AI cameras to improvise the same. We plan to expand the Project Lighthouse to other plants as well.”

V. C. Narsinghani, Founder, Centre for Excellence in Management and Technical Education

In terms of operational excellence, the higher goal is about cutting down the cost. To do the same, it requires a lot of learning and implementing the best practices. The three pillars of operational excellence are People, Process and Cost. There is a thought process that a 50 year old plant has mastered it and doesn't need it any longer but continuous improvement in the processes is the ultimate reality. There is always a scope of improvement. For example, we have made an improvement in the material transportation system after 40 years of operation after eliminating certain processes which got us 25% cost reduction. There are four pillars of manufacturing excellence, i.e. safety, quality, yield, and productivity. The Japanese came to us with their urea plant and we were able to run it statewide at 140 percent as compared to their 100 percent. That means improvement is permanent. There are obstacles and threats to manufacturing excellence such as lack of capital, compliance, lack of leadership, resistance to change, and demand in the market. But these can be overcome in the longer run as no obstacle is permanent. Plants work best when we put our hearts into it.”

 

The Chem & Petchem Conference 2025 themed 'Viksit Gujarat: Visit Bharat@2047witnessed massive attendance by leading industry experts and stakeholders across Gujarat and India. The 12 sessions at the two day event were attended by a total of 76 speakers and more than 600 delegates.

The conference was supported by Academia partner - Somaiya Vidyavihar University; Platinum partners -- PremierTech Systems & Automation, ABB India, and Netradyne; Gold partners - Tvarit GmbH (Germany), SNF Flopam India, Alleima India, AMETEK Land Instruments International, BEIL, UPL University of Sustainable Technology, Forbes Marshall, Utthunga Technology, Syinfotech, Servilink Systems, Graphite India, Thermax, Gem Machinery & Allied Industries and Thermax; Associate partners - Diyani Automation, Flaminia Ecarb India, LAPP India, Goodrich Gasket, and GD Waldner; Industry Association partners - Gujarat Chemical Association (GCA), Jhagadia Industries Association (JIA), Dahej Industries Association (DIA) and Alkali Manufacturers Association of India (AMAI).

V. C. Narsinghani, Founder, Centre for Excellence in Management and Technical Education

Somaiya Vidyavihar University PremierTech Systems & Automation ABB India Netradyne Tvarit GmbH (Germany) SNF Flopam India Alleima India AMETEK Land Instruments International BEIL UPL University of Sustainable Technology Forbes Marshall Utthunga Technology Syinfotech Graphite India Thermax Gem Machinery & Allied Industries and Thermax Diyani Automation Flaminia Ecarb India LAPP India Goodrich Gasket GD Waldner Gujarat Chemical Association Jhagadia Industries Association Dahej Industries Association Alkali Manufacturers Association of India

First Published : May 24, 2025 12:00 am