In the ever-evolving landscape of supply chains, where adaptability is key, Indorama Ventures’ Country Head in Vietnam, Mr. Vinay Bhardwaj, participated in the “Shifting Supply Chains: Prospects and Challenges” Logistics Forum, hosted by the Ho Chi Minh Logistics Association on 29 November 2023.

The dynamic discussions delved into the intricacies of supply chain shifts to Vietnam, covering regionalization trends, Small and Medium-sized Enterprises (SME) integration, sustainable practices, and the transformative role of AI in supply chain management.

Shaping the landscape: Indorama Ventures’ strategic balance in supply chain

One of the key insights shared by Mr. Vinay Bhardwaj relates to the shifting strategies post-COVID. The company recognizes the evolving sourcing landscape, prioritizing multi-location facilities for seamless business continuity. With three strategic plants in Vietnam and a BCG (Boston Consulting Group) growth-share matrix for regional clients, Indorama Ventures Vietnam operations strategically support customers across borders. In today’s competitive market with a strong reliance on imports for specialized segments, striking a balance between local and global operations to ensure business continuity, while ensuring robust service and technical support for key machinery, is crucial.

Driving sustainability initiatives: A global commitment

The company’s sustainability agenda is a global commitment, extending to Vietnam with well-defined planning and substantial investments. As the leading preform, closure, and bottle manufacturer in Vietnam, the company is committed to increasing the use of recycled PET (r-PET) and lightweight packaging solutions, supporting the circular economy. By the end of 2025, the company aim to achieve zero waste to landfill and pioneer renewable energy sources, with plans to become the first plastic manufacturing company with a solar plant for captive consumption.

Empowering local businesses – SME integration

Addressing the low integration of SMEs into the global supply chain in Vietnam, the company actively collaborates with local SMEs, particularly in the packaging segment. In greenfield projects in the North, the Indorama Ventures deliberately selects Vietnamese companies for construction, aligning with its commitment to enhancing SME integration into the global supply chain.

Embracing AI transformation

Indorama Ventures is at the forefront of embracing AI to enhance workplace efficiency. Collaborating to leverage AI’s capabilities, the company anticipates more data-driven and logical decision-making. For example, freight cost analysis, a time-consuming manual process currently, is expected to be significantly faster. Overall, AI is poised to eliminate system leaks, marking a significant leap in operational efficiency and cost savings.

The insights shared at the forum underline the company’s unwavering commitment to navigating the future with a strategic focus on sustainability, innovation, and the integration of advanced technologies, collectively shaping a more resilient and efficient supply chain.