The Integrated Bulk Operations program is revolutionizing the liquid gas supply chain
This program is based on four principles: predictive customer demand analysis, gas supply optimization, more efficient management of truck routes and real-time information on customer deliveries. The digital connection of supply chain assets – from production sites to trucks to customers’ on-site tanks – enables data reporting and analysis to improve the customer experience, operating performance and carbon footprint. A logistics revolution for the liquid gas business, which generates 27%(1) of Industrial Merchant activity revenue and supplies a variety of markets such as food, electronics, glass and metals industries.
It now permeates the solutions provided to customers, such as the Integrated Bulk Operations program that has been rolled out worldwide (see above). Air Liquide’s ambition is to improve customer service by optimizing the liquid gas supply chain end-to-end, using digital technologies and mass data collection from the production site to the customer’s site. This solution has already proven itself in North America, where Air Liquide Canada has become a pioneer in the field. The entity now has 95% of its assets connected and already operates two-thirds of its liquid gas business using these technologies. How does it work? Customer consumption and molecule availability data are analyzed in-depth and driver routes are optimized, all in real time. This also has several advantages: the logistics teams anticipate customer requests, identify the most competitive molecules and adaptthem to customers’ needs, in order to organize more efficient and reliable delivery rounds. The supply chain becomes more agile and CO2 emissions are reduced.
Continuing strategic investments
This same quest to drive performance for its customers has led Air Liquide, despite the crisis context, to continue its strategic investments in several regions. In the United States, for example, the Group has strengthened its positions in Texas with the conclusion of long-term contracts with Eastman Chemical Company and Steel Dynamics, two of the region's major players, specialized in steel and chemicals. These contracts cover the supply of oxygen, nitrogen and argon to these customers thanks to the construction of state-of-the art and energy efficient air separation units (ASU). Air Liquide has also invested in Europe, where it has signed several long-term agreements with BASF, a world leader in chemicals, thus strengthening its strategic positioning in the Antwerp industrial basin in Belgium. The Group has also reinforced its industrial presence in Russia and Poland through long-term partnerships with steel producer NLMK and copper and silver manufacturer KGHM Polska Miedź. In China, Air Liquide continues its development with the construction of a new ASU in the port area of Tianjin, which will allow the Group to support the growth of the region's industrial players. These investments underline
Air Liquide's commitment to support its major customers in their transition to safer, more reliable and sustainable technological solutions. They also demonstrate the Group's confidence in the growth of the industry and its transition to cleaner and more efficient methods of production.
The search for quality, reliability and performance, the need for supply autonomy, reduction of environmental impact… By working ever more closely with manufacturers and listening to their needs, the Group is inventing with them more efficient solutions.
(1) 8,959 million euros in 2020.
