Case Study: Hexion achieves 20%+ finished inventory reduction and higher margins with Arkieva

Managing Mountains of Inventory Data, Hexion Ensures Sustainable Growth and Profits

Hexion Specialty Chemicals, headquartered in Columbus, Ohio, is the world’s largest producer of thermosetting resins with over 50,000 SKUs across 103 production and distribution facilities. Facing volatile raw material prices, global locations and pressure on working capital, Hexion engaged Arkieva—leveraging Arkieva S&OP, Supply Planner, Demand Planner and Inventory Planner alongside its SAP environment—to gain visibility and control of its massive inventory data and supply chain processes.

Arkieva implemented an integrated planning and optimization environment that delivers data visibility, advanced analytics and decision-support, and used rapid deployment methods to extend the solution across acquired businesses. As a result, Arkieva helped Hexion reduce finished inventory by more than 20% in the Phenolics and Forest Products division, lower feedstock and finished-product inventories overall, improve on-time deliveries, and increase margins and delivery cost efficiency.

Hexion

Paul Johnson

VP, Global Supply Chain Plan Process