In this paper Stuart Speding, Head of Practice at RPS Energy, examines the longer-term role of in-house lubricants manufacturing and the tensions between lubes manufacturing and marketing.
With the aftermath of the recent economic crisis still top of mind in the industry, and with growth remaining fragile, lubricants companies are faced with examining where the potential next wave of efficiency opportunity and strategy may develop in the industry.
With the majors announcing significant rationalisation of their production and marketing businesses, recent RPS research has shown that for the industry’s key players, issues such as pricing and sales effectiveness are greater considerations than blending when they are thinking about their strategic capabilities.
However, the paper argues, the supply chain is important enough to debate how the next phase of manufacturing efficiency may arise. Not least because there could be a significant prize for those who position themselves well to benefit.
