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 Production Analytics for the Specialty Chemicals Industry
Published: September 8, 2020 Original Media: This Publication
Updated: None
As specialized medicine and related treatment start to take hold, the production of specialty chemicals, of the constitutions of chemical solutions, biochemical solutions and biologics-suspensions has become paramount, and consequentially, the Specialty Chemical Industry becomes critical to the healthcare needs. Of particular observation is that cancer treatment biologics suspensions, chemical solutions, what have you, are but one class of such specialty chemicals. Then there are the reagents for diagnostic analysis and virus infections testing which constitute another class of products of the same industry.

Irrespective of the class of specialty chemicals these production operations are usually of one off need demand; and such demands therefore are of the batch production type, and also of short duration operations. The volumes of productions of these chemicals at the moment are usually small because of the cost-restricted market size and patient-specificity respect to some of them. While the reagents of diagnostics and virus testing often are required in large volumes, such reagents are usually sought after only during the periods of viral infection spread.

Yet, often the tendency is to use one off vessels and equipment as is reasonable to do from a design standpoint given the challenges of wash clean such vessels and equipment in addition to the cost of sterilization before reuse. However, drugs regulatory agencies often facilitate this path through the regulatory guidance they give towards the production of such chemicals.

These niche-specificities of demand and small volume demand therefore, often make such medications very expensive and further restrict the markets and as such impact the overall viability of corporations in the industry. For one thing the short duration operations attendant to the small volume productions further impacts the design of the process, as well as the choice of the engineering materials used for the design of the process. After all, normal chemical process plants are generally designed and operated with the expectation of being fully depreciated over thirty (30) years; but such can not be the realization in the operations of specialty chemicals production operations. Then, of course, the environmental concerns centered on Sustainability factors and social responsibility also argues against the use single-use vessels and equipment by Specialty Chemicals company, even for the production of such critical chemicals, biochemicals and biologics-suspensions; because of the added demand imposed by the disposal requirements of used equipment.

Obviously, there is the need to spread out the cost of production over long durations of time such that the initial capital investment is recoverable through depreciation and such that the cost of product is affordable as to ensure the existence of demand for the product; but that design approach also goes to support the need to choose process equipment materials that do not require frequent disposal.

The conflicting demands to specialty medicines productions therefore pose one of the major challenges as the design of the chemical, biochemical and biological processes that are required to support corporations in the specialty chemicals industries. Effectively, a specialty chemicals corporation should opt for a flexibility-imbued process design and construction as of paramount consideration for enabling both short run continuous process and batch run processes for the production of these specialty chemicals.

In this context of operations, the viability of a corporation in the specialty chemicals industry is determined to a great extent on its capacity of its operations to ensure certain broad requirements, a set of broad Design Specifications, that must be included in the  

  • wash-ability of the process equipments,
  • the choice of materials that ensure virtual absence of equipment-wall fouling,
  • the minimum number of products scope and production schedules that supports optimality under methods of linear programming constraints,
  • the minimum number of ready-assembled specialty process for production of set number of products as determined through the optimal analysis of linear programming  
  • the dynamic disassembly and reassembly into different process layout for the production of a different products as is needed.

While specific implementation considerations of these broad Design Specifications are engineering design issues, the significance of the specifications in viability analytics lies in the size of the downtimes of the production operations, and the impact of such on the production capacity of the plant.

To that end, a corporation with its business in the sub-industry of the Specialty Chemicals Industry has one of two options to design of its production process plant and facility support: On-Demand Process Layout implementations: Deploy only process units that must and can be dynamically restructured or reconstructed, with minimal downtimes, to implement different product-specific process layouts to produce on-demand products on production schedules; Fixed-Count Assembled Layout Process: The corporation has a fixed number of products and has processes pre-assembled in place and ready for use as the need arises even though some may be left idle at certain times; which must also be fully contained and enclosed within a facility for Intellectual Property protection and Cyber-security. By either method of production though, the necessary object would be the capacity to produce specialty chemicals of various mixes to reach optimal revenue generation as to be viable.

Evaluating the operations or proposed operations of a Specialty Chemicals corporation for its viability therefore is not trivial as amongst all else there is the need to perform the detailed Production Analytics of the production plant. Neither the analytics implementation of multi-process plants nor of dynamic disassembly-reassembly plant is not very computation intensive: The former involves expansive computations platform, and the latter entails dynamic constituting of virtual process layout for the assessing the revenue contribution of each product line. These considerations, of course, are essential features of the company’s Production Analytics that is a core component of the Viability Analytics performed for corporations in the Specialty Chemical Industry, the results of which are available for the advisory of investors active in the industry

 
   

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