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voiceover: A key component of the
modern world economy, the chemical

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industry delivers products and
innovations to enhance everyday life.

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It is also an industry in transformation
where chemical executives and workers

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are delivering growth and industry
changing advancements while responding

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to pressures from investors, regulators,
and public opinion, discover how

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leading companies are approaching these
challenges here on the chemical show.

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Join Victoria Meyer, president
of Progressio Global and

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host of the chemical show.

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As she speaks with executives across the
industry and learns how they are leading

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their companies to grow, transform, and
push industry boundaries on all frontiers.

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Here's your host, Victoria Meyer.

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Victoria: Hi, this is Victoria Meyer.

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Welcome back to The Chemical Show,
where Chemicals Means Business.

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Today, I'm talking about the
six trends that are driving

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the chemical industry today.

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Why these are the topics that
are driving our industry, our

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strategies and our business
decisions today and into the future.

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So last week I spoke with John Richardson
of ICIS  and we talked about supply

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demand, the global changes that we're
seeing, the role of China, and more.

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And it's really around the
economics of supply demand and the

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economics of the chemical industry.

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And the reality is that is
only one part of the picture.

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Today I'm talking about more of
those trends and topics that are

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affecting the chemical industry.

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In fact, I've got six of them
that I'm talking about today.

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And by the way, we're going to be touching
on some of these things and discussing

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opportunities and solutions at The
Chemical Summit, which is coming up on

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October 8th and 9th in the Houston area.

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If you have not already registered,
you're going to want to do so because

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we're going to be discussing this on
stage and in the audience, and you'll

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have a chance to learn from your peers,
other business leaders and strategists

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and marketers across the industry about
how they are taking some of these trends.

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And applying them to their business.

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So, um, something you don't want to
miss, but back to today's episode,

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what I'm talking about today is  the
six trends that are driving the

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chemical industry in 2024 and in 2025.

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So first out of the gate.

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Supply chain dynamics.

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I've said this before.

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I'm going to say it again.

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This is the decade of supply chain.

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And I think what's really important
about this is supply chain

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used to be highly repeatable.

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You figured out what
that supply chain was.

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You figured out what your logistics
arrangements were, whether it was

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domestically U S Europe elsewhere,
whether it was internationally

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cutting across the water.

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That's not true anymore.

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There are so many factors that
are, are shifting our global supply

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chains and local supply chains.

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Could be tariffs, could be port strikes
and rail strikes and we're certainly

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seeing effects of both of those in 2024.

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Shifting global shipping
environment and just the maritime

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environment due to geopolitics.

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Shifting marine requirements
due to regulations.

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So supply chain has always
been, you know, okay.

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It's not always been a dynamic field,
but I'm going to tell you that supply

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chain today more than ever is a dynamic
part of the chemical industry, right?

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Decision making, resiliency, all
of those things are critical.

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That is one of the key trends that's
driving the chemical industry today.

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And actually one of the topics that we've
got a panel on, uh, around Navigating

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Uncertainties: Strategies for Building
Resilience in your Supply Chain.

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It's going to be a good one.

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Um, the second key trend that's
influencing the industry today is

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Shifting Customer Engagement Mechanisms.

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This is particularly true in a post COVID
world and a TikTok driven world, right?

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So let's just think about this.

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The way that we engage customers
has changed dramatically.

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And the reality is.

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It is continuing to change.

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I think many companies, many business
leaders, many sales professionals

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are still trying to figure out what
is the best way to communicate,

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engage, align with customers.

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The old folks,

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I'll group myself in that category,
we're looking for something different.

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And certainly the next generation, when
we think about who are our up and coming

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leaders and individual contributors,
and the people that are working on both

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sides of the table in an organization,
they are highly influenced by digital.

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In fact, they are digital natives, right?

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So if you think about millennials,
They've really only known a digital world.

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Um, and so these digital natives
are using Instagram, TikTok,

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and YouTube on a daily basis.

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Um, I'm going to be honest, I am not
a digital native and I'm using these

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things on a daily basis as well.

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Maybe not TikTok.

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I'm not really a TikTok girl, but
Instagram, YouTube, absolutely.

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I am using social media, you are
probably using social media to engage

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with business partners, friends,
figure out what you want to buy, get

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some ideas about the news, right?

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So everything has transformed.

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Has your customer transformed?

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Has your customer experience transformed?

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Do you even know how your
customer wants to engage?

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How you want to engage
with your customers?

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Where that value is in this new
digital post COVID, TikTok-ified

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world, if I can use that word, right?

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Is that a word/ I'm making it up.

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Um, and in fact, we've got a couple
of great speakers on that as well.

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So Melina Palmer, who you've
heard on The Chemical Show before,

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she's talking about What your
Customers Want and Can't Tell You.

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And then one of the great topics that
we've gotten, I think it's so critical

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is around Savvy Segmentation, right?

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Here's the reality.

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One size does not fit all your
customers have different needs.

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And what's the best way to have a highly
satisfied customer, a great customer

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relationship, great customer value
is to figure out what those customers

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want and serve them in the right way.

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And that is not serving everyone
the same way all the time.

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It is figuring out what your customers
want and aren't telling you and

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then how you're going to serve them.

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So.

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Another great topic.

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Another great trend, really
relevant, um, in the industry today.

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And I'm excited to learn from
the speakers on the stage.

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And I'm excited to hear from people in
the room that are going to be talking

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about how this is playing out in their
business, how they're adapting, what

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they're thinking about for the future.

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It's a good one.

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The third trend is Shifting Global
Economics and Geopolitics, right?

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So if we just take a step and look at
what's going on, uh, in the U S everybody

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knows we have a presidential election
coming up that is going to influence

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the industry one way or another.

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Maybe not as directly as some people
think, but it's certainly seems

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to have put a bit of a pause in
what's happening across the world.

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Um, so And it's going to have
an influence going forward.

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Right?

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So we've got Europe that we've
certainly seen is heavily influenced

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by green policies, the Russia Ukraine
war, numerous elections, right?

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In fact,  if you look across the
world, major election in almost every

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Region country around the world.

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2024 is a big year.

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2025 is the year it all gets implemented.

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The new administrations,
new policies, et cetera.

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Maybe not the new policies, right?

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That takes a little bit longer, but
still it is there and it's happening.

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Um, the China economy.

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So again, if we get back to, to
global economics and geopolitics,

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and we talked a lot about that
last week with John Richardson.

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So again, if you have not listened
to that episode, go find it.

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Um, John Richardson and I talked
on episode 179 about just the

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shifting, uh, economics and
economies for the chemical industry.

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You're going to want to listen to that.

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But we know this what's going on in
China affects the rest of the world.

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The Chinese economy is not as
resilient demand growth has stagnated.

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Although.

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They continue to build.

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Um, and we are facing
a period of oversupply.

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So there's different
strategic reasons for that.

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Um, it's certainly, uh, a topic
of conversation and figuring out

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maybe some ideas, some scenarios
about what's going on in this world.

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Global economics and geopolitics
is critical as well as what are

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the things that the chemical
industry, you as a chemical

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business leader should think about.

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We've got Jason Schenker who is
an economist and a futurist who

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is going to knock your socks off.

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Um, I just had a
conversation with him today.

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He knocked my socks off.

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It was great.

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The fourth theme and trend that I'm
seeing in the industry and that we're

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all seeing is Digitization and AI, right?

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It's evolved though, like this is, we've
been talking about digitization and AI.

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Are you guys tired talking about that yet?

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I don't know.

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We're living in a digital world.

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So what I think is really interesting
is how we're evolving to data-driven

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decision making, um, topic of conversation
at last year's Chemical Summit.

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This year, we're talking about how
it's accelerated over the past year.

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Right.

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How are companies really tackling this.

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AI a year ago.

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I think back to 2023 and
we were fearful of AI.

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Today, we're still worried
about it, but you're using it.

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And if you think you are not using
it, go do a Google search because the

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first answers that Google gives you
a lot of times is their AI based, um,

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assessment of what the answer is, right?

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So it's no longer just a
straightforward search mechanism.

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They're providing an AI solution.

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If you use your Microsoft products, right.

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Microsoft CoPilot is very
popular, um, across the board and

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they're really rolling that out.

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There's a lot of AI that's taking
place in our R&D and innovation.

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There's AI taking place in our businesses.

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I think one of the ways that we're
figuring this out, and if I combined the

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digitization and data and AI together,
it's really around an acceleration

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of analysis and answers, um, which if
used right, can only be good for us.

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And that's one of the topics
we'll be talking about as well.

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So digitization and AI.

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The fifth trend, Talent and Culture.

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Labor is challenging.

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It's eased a little bit, but we've
got ongoing labor challenges.

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When I talk to business leaders, they're
like, we're worried about talent.

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How do we hire talent?

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How do we develop talent?

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How do we ensure that we have the
business and the talent and that what

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goes hand in hand with that is the
culture that we want in our organization.

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We're still facing this post COVID world.

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Everybody figured out that
they could work from home.

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Um, a lot of businesses
are back in the office.

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A lot are still hybrid.

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Some are fully remote.

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The digital tools that we've
got enable that it makes it a

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little bit more challenging.

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Um, It can make it more
challenging to build connections.

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It can make it more
challenging to build culture.

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So this area of talent and culture in an
evolving world is going to be critical

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and it's a trend that's driving business
leaders when they think about what is the

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business of the future and how do they
achieve success through and with their

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talent, their people and their culture.

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So that's  trend number five.

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Trend number six.

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Innovation and Regulation, it's a
trend that goes hand in hand because

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let's be honest, we are seeking tons of
innovation, whether it be green and bio

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based chemistry, whether it be around
recycling, whether it's around energy,

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whether it's around business processes.

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We are also hampered at the
same time by regulation so that

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regulation is driving innovation.

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But if it's not.

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Um, on the back end quick enough to
approve new products and processes

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and help create those innovations that
the industry needs and that businesses

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and government and people are asking
for, um, That goes hand in hand.

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I think about, some of the trends that
we're seeing and, and the PFAS is a

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great example of a regulation that's
hit globally, but I think there's

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also some regulations that are getting
applied differently across the globe.

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And these apply to marine
transportation, right?

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Um, that's something
that's going to come up.

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These apply to products and innovation.

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And so.

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You know, one of the things that plays
into this whole aspect of innovation

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and regulation is, is one, have the
right culture, being ready to roll.

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Um, and then three is really this impact
of strategic relationships and strategic

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relationships are so critical across
the industry with the new innovative

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technologies that are coming to bear.

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If you look at.

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Anyone that's getting being successful
in commercializing green chemistry, bio

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based chemistry, advanced recycling.

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These are happening through
partnerships, consortiums and more.

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Um, so we are going to be talking
about the Impact of Strategic

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Relationships on Business Growth.

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And it's on business growth.

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It's on innovation and it's on really
partnering to figure out how to

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make those regulations work for you.

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So, you know, those are my six topics,
six trends that are affecting the

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chemical industry in 2024 and 2025.

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Right.

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I'm going to repeat those for you.

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Um, Supply Chain Dynamics, right?

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So moving from a repeat of
highly repeatable to much

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more dynamic supply chains.

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That's one.

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The second one is Shifting Customer
Engagement Mechanisms, right?

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Our customers want to
be treated differently.

00:14:03.311 --> 00:14:05.411
They want to be engaged differently
and we're figuring that out

00:14:05.841 --> 00:14:06.921
from a business perspective.

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The third one is Shifting Global
Economics and Geopolitics.

00:14:10.011 --> 00:14:12.791
We are not in a period of instability.

00:14:13.111 --> 00:14:19.011
I would not say that, but we're
certainly in a period of, um, Change

00:14:19.281 --> 00:14:24.991
right change and stress on our global
economics and geopolitical systems.

00:14:25.031 --> 00:14:30.041
And so business leaders across the globe
are working on figuring these things out.

00:14:30.061 --> 00:14:33.281
And frankly, responding to them,
developing scenarios, figuring

00:14:33.281 --> 00:14:34.621
out how that take that forward.

00:14:34.911 --> 00:14:39.031
Um, and that's 1 of our key trends
that we're seeing in 2024 and moving

00:14:39.031 --> 00:14:41.541
into 2025 for the chemical industry.

00:14:42.296 --> 00:14:43.526
Digitization and AI.

00:14:43.906 --> 00:14:48.766
And frankly, it's the embracing
of digitization and AI.

00:14:48.896 --> 00:14:53.856
I think, um, up until, you know,
let's just say through 2023, there

00:14:53.856 --> 00:14:55.206
was a little bit of resistance.

00:14:55.586 --> 00:14:58.176
I see 2024 into 2025,

00:14:58.376 --> 00:15:02.526
the trend in this is  embracing it,
figuring out how to make it work

00:15:02.526 --> 00:15:04.896
for you, um, and taking it forward.

00:15:05.006 --> 00:15:09.976
Talent and culture, um, and readying
our workplace for the future.

00:15:10.036 --> 00:15:13.696
Because if I, if you look back on
the things that we've already talked

00:15:13.696 --> 00:15:18.116
about, all of those things influence
the talent and culture that our

00:15:18.126 --> 00:15:20.476
companies need to be successful.

00:15:20.896 --> 00:15:27.566
Um, and then trend number six, which
is Innovation Influenced by Regulation.

00:15:27.826 --> 00:15:33.136
Um, and it's influenced and hampered
by and supported by regulation.

00:15:33.176 --> 00:15:38.356
Um, but we are certainly in a period
of deep innovation to help drive

00:15:38.356 --> 00:15:43.016
sustainability to help meet the
chemical industry needs of the future.

00:15:43.426 --> 00:15:47.106
Um, and it's the industry needs
because it's the way the industry

00:15:47.106 --> 00:15:48.826
ties into the rest of the world.

00:15:48.826 --> 00:15:49.136
Right?

00:15:49.466 --> 00:15:54.966
So, uh, you know, the, the ACC talks
about the chemical industry and chemicals

00:15:54.986 --> 00:15:56.826
touching 98 percent of the products.

00:15:57.236 --> 00:16:00.716
Globally, you're 96 percent like
you guys know this, you and I

00:16:00.716 --> 00:16:03.766
know this and the rest of the
world is really coming to know.

00:16:03.766 --> 00:16:06.976
This is that the chemical industry
is driving the future of the world.

00:16:06.976 --> 00:16:11.426
And so we need to have that innovation
and supportive regulations and that

00:16:11.426 --> 00:16:14.816
is an ongoing trend and focus area
that I think we're going to be seeing.

00:16:15.036 --> 00:16:16.146
So that's it.

00:16:16.186 --> 00:16:19.546
I would love to hear if you have
any additional trends that you are

00:16:19.546 --> 00:16:21.666
watching, that you think we should
be watching and that I should

00:16:21.676 --> 00:16:22.926
be watching and talking about.

00:16:23.326 --> 00:16:24.946
Um, would love to hear from that.

00:16:25.336 --> 00:16:31.036
And, uh, you know, if you want to
gain some more insights, share some

00:16:31.036 --> 00:16:36.756
wisdom, find out how your peers are
engaging and talking about these trends

00:16:36.776 --> 00:16:40.576
and topics and applying them to their
business, join us at The Chemical Summit.

00:16:40.676 --> 00:16:41.566
We'd love to see you there.

00:16:42.326 --> 00:16:43.436
Thanks for listening today.

00:16:44.026 --> 00:16:46.436
Keep listening, keep following,
keep sharing, and we will

00:16:46.436 --> 00:16:47.906
talk with you again very soon.

00:16:52.422 --> 00:16:54.202
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00:16:54.612 --> 00:16:57.162
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