Wide-ranging investments for SIPOL®

February 2018

Services And Flexibility In The Foreground

Established in 1998, Sipol® is a chemical company whose core-business is the polymerization of hot-melt adhesives based on co-polyester and co-polyamide, especially intended for the footwear and automotive industries.

Besides being Sipol® historical soul, the footwear market is the most important one for the company in terms of sales volumes. In addition, over the years, Sipol® has become a leader in terms of market share – thanks to the almost unique production integration in polymer chemistry – in the segment of adhesives for closed shoes lasting.

In fact, Sipol® products are used in the most important shoe factories worldwide as rod thermoplastic adhesives (polyester - Technipol® 170 and polyamide -Technipol® PA 167), and polyamide granules for folding operations (Technipol®PA / G). Having also the synthesis of the basic adhesives for extrusion, Sipol® has managed to establish solid partnerships with most rod producers in the world, to which it supplies thermoplastic granules.

Besides operating in the footwear adhesive sector, the company produces adhesives for bonding pleated papers used in diesel air-oil filters, and for coupling technical fabrics. Sipol® operates also significantly in the market of co-polyester-based thermoplastic elastomers for the technopolymer segment for the realization of high physical-mechanical performance components.

Although featuring a fast and competent research & development unit, indeed Sipol® growth and success is also due to its high quality standards, order management flexibility, price stability, and fast, timely deliveries.

During 2017, which can be remembered as “annus horribilis” in terms of raw material supply, also Sipol® has suffered a series of limited availability periods for some monomers and subsequent price increase.

A year afflicted by several accidents in chemical plants and natural disasters, such as the hurricane Harvey, with consequent declaration of “force majeure”; to make things even more complicated, there have also been frequent problems in transport systems, and initiatives – positive in themselves – like the introduction of more rigid environmental regulations in China (Blue Sky), which generated further production loss and plant closures.

Any medium-sized company is obviously impacted by events of this magnitude and their concatenation. For those, like Sipol®, which build their future on stability goals, the sole recipe that can mitigate the consequences of increasingly frequent changes in availability is the enhancement of logistics capabilities, and resilience to events.

The raw materials and finished goods storage level increase – although financially affecting a company – is a necessary step in order to ensure maximum stability to its customers, plants, employees, and shareholders.

As a result, on late 2017, Sipol® has launched an investment program aimed at strengthening the whole supply-chain. During 2018, an estimated investment of 3 million euro will be made for the realization of:

• A new 2,400 square meter warehouse dedicated to finished goods and powder-raw material storage increase.
• 6 new tanks for liquid monomer storage.
• Dedicated software for the timely and flexible management of inventory and production schedules.
• Packaging quality enhancements to facilitate handling and maximize the finished goods shelf-life.

Companies with long-terms strategies must renovate themselves through innovation, creativity, and investments.

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http://www.sipol.com/images/press/Int.Tech.-02.2018.pdf