The dedicated members of the Alliance for Chemical Distribution (ACD) play a crucial role in ensuring the timely delivery of high-quality chemical products that are essential to our daily lives. Over the years, our members have broadened the base of the industries they support to include paint and coatings, general manufacturing, water treatment, petroleum, automotive, energy markets, and more. One sector, however, stands out among the rest this holiday season: household cleaners and personal care.
The demand for different products can fluctuate seasonally, and that’s certainly true for cleaning and personal care products. It’s also one of the leading markets that ACD members sell into, with 56% of ACD members engaged in the household cleaner sector and 55% engaged in the personal care and cosmetics sector.
With flu season in full swing, the changes in demand for these products require businesses to plan ahead. ACD member Rierden Chemical and Trading Company (RCT), based in Libertyville, Illinois, is a leader in the global oleochemical market and understands the preparations that must take place to meet market and customer needs.
“Understanding your supply chains and trade flows, especially if they are international, is an essential part of keeping up with the ebbs and flows of demand year-round,” said Jonathan Rierden, Vice President of RCT. “Having a detail-oriented inventory management system is the key to ensuring you can meet the needs of your customers and prepare for the unexpected.”
With its line of oleochemical offerings, RCT serves a diverse and broad array of markets from food and flavor to personal care, and the industrial cleaners needed to get through flu season.
But it’s not just stuffy noses that give inventories a squeeze. Beyond surges in demand, there are any number of issues that can impact cargo deliveries to the U.S. at any given time. Geopolitical turmoil in the Suez Canal, hurricanes in the Southeast, port strikes and congestion, and another looming labor strike in January 2025, are all issues that chemical distribution industry leaders are watching as they consider market demand and inventory management.
“Companies like ours need to be proactive in building inventory to serve as a buffer and mitigate potential risks and vulnerabilities,” said Rierden. “At RCT, we ensure that we maintain at least three months of inventory for the possibility of a surge in demand or port disruptions. By being proactive, we can better mitigate unexpected risks down the line.”
Luckily, technology is evolving alongside our members and it’s becoming an effective tool to aid inventory management. Artificial intelligence (AI) and sustainable supply chain solutions are now being used across the chemical supply chain to help ensure businesses are meeting – and exceeding – customer needs.
“Despite AI being a hot-button issue, we’ve made an effort to adapt these technologies into our business strategy to not only enhance our efficiencies, but better understand our inventory flow and manage projects. RCT is also taking important steps to ensure we have a sustainable and transparent procurement strategy in place for our supply chain partners and customers.”
By focusing on detail-oriented inventory management and leveraging advanced technologies, ACD members like Rierden Chemical are better equipped to navigate supply chain disruptions and meet increased demand for critical chemical products this holiday (and flu) season, and beyond.
To learn more about ACD members and Affiliates making an impact in this sector, visit our Membership Directory https://www.acd-chem.com/member-benefits/membership-directory/
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