The Dow Chemical Company Improves Production Planning

The Dow Chemical Company is a leader in the production of plastics, chemicals, hydrocarbons and agrochemicals. Dow is the largest chemical company in the United States, the second largest worldwide and manufactures more than 3,000 products.

Challenge

With significant changeover, production and additive constraints, The Dow Chemical Company needed to improve visibility across plants, reduce inventory, decrease the amount of off-grade product produced, and increase efficiency.

Solution

Logility Voyager Solutions¬ô helped Dow improve visibility between plants, reduce inventory and manpower, increase planning efficiency by almost 100% and decrease the production of off-grade material.

Bottom Line

  • Reduced inventory by 10% in the gas-phased polyethylene business, resulting in an annual $45 million savings
  • Decreased planning manpower by 50%, and centralized all planning at two sites
  • Increased planning efficiency by close to 100%, 75% of which was realized immediately after deployment
  • Reduced off-grade material by 2%, a savings of $120 million
  • Grew into new market areas because of improved visibility