nietgratni g ni novatvie technologies into grown supply chains · bitumen logistics and asphalt...

Integrating Innovative Technologies Into Grown Supply Chains

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A case study from the asphalt industry

Integrating innovative technologies into grown supply chains 2

Manufacturers in all industries are continuously confronted with innovations. Driven by a number of economic factors, there comes a point when new technologies have to be applied and implemented within the manufacturer’s supply chain. This consequently causes a number of operative problems in terms of interfacing, capacitating, applying, et al. However, practice shows that a huge portion of these problems can be avoided through the professional pre-selection of adequate technologies. This choice should not only be driven by economic measures (capex, opex, et.al.), but should also reflect a deep understanding of technical supply chain restrictions.

While the number of technology examples is unlimited, the number of metrologies that can be used to evaluate and find fitting supply chain solutions is quite small. In this case study, PwC Management Consulting presents a proven example from the asphalt industry of how innovative technologies can be chosen and implemented in existing, grown supply chains by using utility analysis.

Due to current trends and developments in the sector of bitumen production, bitumen logistics and asphalt production, in the next few years technologies for the cold handling of bitumen will continue to move to the forefront in terms of presenting problems for the international distribution of bitumen. Consequently, there are already numerous packaging methods for cold bitumen that are continuously supplemented by innovative systems. This makes it difficult to keep up to date with the most recent status of the technology and classify it among the numerous existing and partly proven old systems. Equally, neither has a comparative evaluation of all known existing packaging systems been carried out, nor a method developed to integrate new developments in this sector into the decision-making process. This has been made difficult because each supply path for the international logistics of cold bitumen has other general conditions and has thus presented other packaging requirements. In this case study, with the aid of a utilisation analysis, a tool is developed that enables a suitable packing system to be selected as appropriate for the practical requirements in the manufacturing, supply chain and operations, and that enables a comparison of new packaging systems with the available technologies.

Innovation in bitumen packaging and logistics – conclusions and recommendations

Marius WunderPwC Management Consulting E-mail: [email protected]

Dr. Marius Wunder is a senior consultant with PwC Management Consulting. His scope of expertise is the process industry with special focus on supply chain optimization and network design.

New developments in bitumen production and logistics, in particular the cold handling of bitumen, will challenge the traditional methods of distribution.


Table of contents

Innovation in bitumen packaging and logistics – conclusions and recommendations ...........................................................................2

Comparing existing technologies – the starting point for innovation in packaging .........................................................4

Trends in practical bitumen production, distribution and application ......................5

Present technologies for bitumen packaging ............................................................6

Criteria for comparing packaging innovations .........................................................8

Selection of the optimum packaging system ........................................................... 11

Summary and outlook ............................................................................................13

Our expertise ......................................................................................................... 14

Contacts .................................................................................................................15


Bitumen is a dark-coloured, viscous, and complex mixture of different organic substances1. The natural thermoplastic2 is obtained as residue from the vacuum distillation of certain crude oils3, 4. Nevertheless, it has a relatively high industrial value because, among other things, the base product forms the binding agent in the construction of asphalt roads5. For economic and ecological reasons, transporting bitumen should be done by expending the least amount of energy possible from the refineries to other production plants6.

Various manufacturers and systems are competing in this sector7. It is therefore not possible to determine a packaging system that is ideally suited to all applications. Thus, for example, a manufacturer of bituminous sealing compound requires completely different forms of delivery vessels for building construction in Germany than a mobile asphalt mixing system in a far-flung region of Africa or a European road construction company that ensures the supply of bitumen using cold transportation. This form of transportation requires that, for the most part, the bitumen be loaded as a hot liquid and cooled down in the packaging and transported in container form. Due to, among other things, the high cost of the primary energy needed to subsequently liquefy the bitumen8, this form of handling represents a technology niche that is only applicable to a relatively low proportion of bitumen production globally (102,000 tonnes a year9). Nevertheless, depending on the application, cold transportation may be necessary10.

As a rule, the clear formulation of the general logistical conditions is possible without much difficulty; however, the respective classification of the most suitable form of delivery of the cold bitumen is, for the most part, problematic and often, in practice, incorrect. This has often been compounded by a lack of immediate identification and classification of new developments in the sector of bitumen packaging among existing non-comparable technologies. Here, the problem can be solved with a utilisation analysis11, 12, which consists of a criteria catalogue that makes it possible to determine the best possible technical bitumen packaging for the respective application and to integrate future developments into decision-making processes. The latter consideration is of interest because international production, distribution and application of bitumen are subject to change processes that will continue to increase the need for cold-handling technology for bitumen over the next few years. This issue will be briefly presented in the next section.

Subsequently, the currently available technologies for packaging bitumen will be outlined, and a list of the technical and economic criteria presented, which can serve as a basis for comparing new and conventional packaging. Finally, a method is developed and presented for the selection of the packaging variant best suited for the application in question.

Comparing existing technologies – the starting point for innovation in packaging

1, 3 Straube, E. and Krass, K.: “Road construction and road maintenance: A manual for course of studies and practical experience”. Erich Schmidt, Berlin, 2005.2 Airey, G. D.: “Styrene butadiene styrene polymer modification of road bitumens”. Journal of Materials Science, Volume 39, Nottingham, 2004.4 Wollrab, A.: “Organic chemistry, an introduction for teaching and subsidiary subject for students (3rd edition)”. Springer-Lehrbuch, Heidelberg, 2009.5 Velske, Siegfried, Mentlein, Horst, and Eymann, Peter: “Road construction, road construction technology (6th edition, newly amended)”. Werner, Cologne, 2009.6, 10 Hutschenreuther, J. and Wörner, T.: “Asphalt in road construction, 2nd edition”. Kirschbaum, Bonn, 2010.7, 8 Wunder, M.: “Further development of the cold logistics and liquefaction of the construction material bitumen taking into consideration technical and economic aspects”. Germany, 2011.9 Asphalt Institute and Eurobitume: “The Bitumen Industry – A Global Perspective. Production, chemistry, use, specification and occupational exposure (2nd edition)”. Information Series

230, US, 2011.11 Zangemeister, C.: “Utilisation analysis in the system technology – A method for multidimensional evaluation and selection of project alternatives (4th edition)”. Wittemann, Munich, 1976.12 Hoffmeister, W.: “Investment calculation and utilisation analysis: A decision-orientated representation with many examples and exercises (2nd edition)”. Berliner Wissenschafts-Verlag,

Berlin, 2008.


As in many branches of industry, the bitumen and asphalt industry is also subject to slow but continuous technological change. Different trends, as well as new technological options and economic considerations, affect the handling of bitumen in the production processing chain right down to the use of the asphalt. In the following, an attempt is made to fully deduce the resulting influences of the different stages in the utilisation of bitumen in the sector of cold bitumen logistics.

Changes in bitumen productionProducing bitumen is not the primary interest of companies operating refineries13. Higher-quality crude oil products command a higher price, and for the most part, it is worth the additional thermal energy to extract and market the bitumen at a higher quality (by cracking hydrocarbon chains), as a result of which, of course, the supply of road construction material suffers. Thus, among other things, due to the demand for extensive processing of crude oil there is an accompanying reduction of bitumen production.

Furthermore, it is not of interest to the refiners whether bitumen can be extracted at all. So, new or modified refineries are either partly no longer able to process crude oils capable of producing bitumen or instead have possibilities to process incidental bitumen. The result is less refineries producing bitumen.

Changes in bitumen logisticsThe reduction in number of locations where bitumen is produced means longer distances for transporting the bitumen globally. Thus, transporters must account for greater distribution times for what are at present primarily hot liquid goods and adjust their fleets accordingly.

Changes in asphalt productionOn the demand side, clear trends can be seen in the asphalt-production sector. First, there is a global trend towards performance-oriented tendering for construction projects in the road-construction sector14, 15, which in turn has the effect of increasing the numbers of types of bituminous binding agents. Second, the demand for bitumen as a part of asphalt is globally on the rise in the course of infrastructure expansion in emerging markets.

Both trends will result in an increase in the transportation of bitumen internationally, partly in small quantities of a specific configuration.

Trends in practical bitumen production, distribution and application

13 Höbel, Reinhard; managing director at Bitumenhandelsgesellschaft mbH, Hamburg. Interview, 04/10/2010.14 Asphalt Institute: “Superpave Performance Graded Asphalt Binder Specification and Testing”. Superpave Seris No 1, US, 1995.15 Croney P. and Croney D.: “The Design and Performance of Road Pavements”. McGraw-Hill Book Company, London, New York, 1991.


Consequences for bitumen logisticsThe developments cited above – towards a wide range in structure and a heavy demand for specific types of bitumen – will result in the cold handling of bitumen continuing to become more important over the next few years. Also, the trans - por tation distances appear to mean that the packaging and cooling of the bitumen, to be liquefied later, is increasingly more economical. However, it must be said that this economic efficiency is not supported by the effective selection of packaging for the bitumen. In light of the very few fundamentals that exist for making a decision, the following aims to offer a process for selecting packaging types from the applications and systems which are widely recognised.

Initially, a list was made of the existing methods for cold packing bitumen, roughly subdivided into metal, plastic, carton and wood, and mixed systems. These were then sorted by form and size and, according to the primary application of the additional materials, arranged into one of these four categories. Figure 1 presents the recognised metal packaging.

Present technologies for bitumen packaging

The scope of packaging options for cold bitumen spans from metal to plastic and cartonage solutions.

f. l. t. r.: POLYCUBE Systems GmbH; Marius Wunder; iStockphoto/evirgen


Figure 1 List of metal packaging

No Volume (l) Description

M.1 24,000 Sealed ISO 20 container with integrated heating pipe facility along the base of the container floor for the thermal oil, or as flame pipe for heating

M.2 24,000 Tank container with integrated heating pipe facility for the thermal oil or as flame pipe for heating

M.3 12,000 Container system with half container height. The flattened geometry accelerates the heating process

M.4 120–200 Cylindrical steel container

M.5 60 Cylindrical steel container

M.6 40 Cylindrical steel container with cover

The advantages and disadvantages of the individual systems, which are arranged according to their volumetric capacity, are presented in detail in the next section. Generally, metal packaging is the most expensive, but, due to its high resilience in terms of mechanical or thermal influences, the cost is justifiable. Plastic packaging, as represented in Figure 2, provides a more economical alternative to metal packaging. However, for the most part, it has the disadvantage that the cost for filling and separating the packaging from the binding agent can be a difficult to impossible burden, even in the liquid state.

Figure 2 List of plastic packaging


P.1 24,000 Container-filling plastic bag

P.2 1,000– 2,000

Supporting polypropylene sack with PE or PP inliner as separator

P.3 1,000 Supporting polypropylene sack with PE or PP inliner as separator. Conical and reinforcement elements to ensure storage stability. Lifting loops

P.4 300 Supporting polypropylene sack with carrying loops and PE inliner as separator. Optimum geometry for container transport, reasonable geometry for liquefaction.

P.5 50–100 Filled film hoses only cut for ”hard” bitumen

P.6 50 PE bags filled in water bath. The polyethylene shrink films can be produced in biaxial or monoaxial design.

P.7 40 Sealed PE bags. Rock flour as separating agent. Only packaging that is filled cold.

P.8 30–40 Polyethlene bucket, only for “soft bitumen”, applied as penetration bitumen

P.9 25 Foils with cover. Easily resolvable from the cold bitumen.

P.10 25 and greater

Flat PE hose (SBS) rolled with bitumen filling.


In the course of the investigation into all handling methods in a large European construction company – including interviews with specialists – 21 criteria could be identified as important in practice, depending on the application of the bitumen packaging.

Economic considerationsIn the context of handling cold bitumen, economic considerations are difficult to separate from technical ones. Thus, for example, a storage hall required to protect cardboard packaging from weather, space utilisation during cold transportation, or the reusability of packaging are all technical as well as economic matters.

Furthermore, in terms of selecting the optimum packaging for the bitumen, the cost of the packaging material is also heavily dependent on the planned production quantity. Thus, for example, the unit costs for plastic packaging relative to the through-flow of bitumen is generally a higher fixed proportion of the cost than procurement of special filling equipment that cools down the bitumen to temperatures that the packaging can withstand.

Criteria for comparing packaging innovations

Because the inside of this packaging has a special coating, which counteracts the adhesive binding behaviour of the bitumen, it generally has an effect similar to baking paper: the packaging can be easily released from the bitumen in the cold state as well as in the hot state. The cold handling using cardboard packaging is made easier by the technical process, because bitumen can be fed into every recognised equipment for liquefaction. The packaging material is a little more expensive than plastic; however, no elaborate equipment is required for filling because cardboard is much more resilient to high temperatures than plastic is. Thus this form of handling, especially for quantities up to 100,000 tonnes, is generally more economical. But economic efficiency is not the only consideration in this context. Thus, the following section presents the other criteria that should be applied in selecting the optimum packaging system.

Figure 3 List of carton and wood packaging


C.1 2–40 Cardboard box with silicone on the inside, some sealed for protection against the weather

C.2 30–100 Siliconised thin cardboard

C.3 111 Carton with silicone on the inside with plastic hoop-casing belts, used for carrying and stabilising. Cover enables stacking. Optimum geometry for liquefaction in all types of liquefaction installations.

C.4 1,000 Cardboard or chipboard container with solid wood reinforcing elements, which also promote stacking. Partly with silicone carton and plastic hoopcasing belts.

Figure 3 shows carton and wood packaging.


16 VDP (Association of German Paper Mills): “Paper, cardboard, pasteboard, Federal Statistical Office, Producer Price Index”. 17 Wunder, M.: “Further development of the cold logistics and liquefaction of the construction material bitumen taking into consideration technical and economic aspects”. Germany, 2011.

Technical considerationsIn addition to the criterion mentioned for the cost of packaging, there are another 20 technical criteria that are briefly considered here, whereby the theoretical extreme conditions for the respective criteria will also be briefly mentioned. These extreme cases are required in the next section for preparing an evaluation system.

1 In practice, handling of the container (the capacity to lift it using the least effort possible) is an important criterion. In the optimum case, the container can be lifted and carried by one person. In the worst case, special heavy-lifting equipment is required.

2 The effort for filling is designated as the personnel, machine and economic cost for filling. Thus, in the optimum case, there is the option to fill containers without the use of additional filling equipment – for example, directly from a tanker, which in turn makes occupational safety considerations moot.

3 The loading area utilisation during transport is of decisive significance for the logistics. Area utilisation of nearly 100 percent represents an optimum case, but is, however, difficult to achieve when handling cold bitumen. Here, space utilisation of less than 80 percent is already considered to be a worst case.

4 The mechanical robustness of the container or packaging is important for construction projects. If the packaging is damaged, the thermoplastic bitumen contents slowly flow out, even at low temperatures, and bond all media in the vicinity. The optimum case here is packaging that can survive a fall from a height of three metres onto a pointed object without leakage occurring.

5 Thermal robustness of the packaging is understood to be its resistance to high temperatures, in particular during filling. In the best case, the packaging withstands filling temperatures for bitumen at 200°C. If the binding agent must be cooled down to 110°C or less, this represents the worst case.

6 Robustness against weather is a particularly decisive criterion within the framework of ensuring the supply of bitumen with cold, intermediate storage in halls. In the best case, the packaging withstands moisture and UV rays over a period of up to 34 months under extreme climatic conditions. The worst case is considered to be when even indoor storage is limited.

7 The cooling characteristics of the container are decisive for the logistics as well as for the operating company of the filling plant. Suitable geometry of the container can promote quicker cooling17. The most favourable situation is when no storage areas are needed for this procedural step because the containers can be loaded with hot contents.

8 The effort required for liquefaction is also influenced by the geometry of the container. Here, the thermal energy must not escape from the binding agent, but rather must ingress the bitumen. It is also important that all types of liquefaction installations can be used to liquefy the bituminous content of the container, rather than just one. This means, that in an optimal case the warming of the packing material is possible but not necessary and therefore enables to use every melting technology with small efforts according to manpower and time.

The cost of the packaging materials is also subject to price fluctuations in the related raw material markets, which, for example, was particularly the case for cardboard packaging in 2010 (increase in the producer price index for paper of approximately seven percent16).

For these reasons, quantifying the cost of the packaging should be avoided. In practice, the prices for the shortlisted packaging variants are generally easily procured.


9 The form stability of the container is decisive for logistics and storage. Even in the cooled state, the thermoplastic bitumen exerts hydrostatic pressure on the inside wall of the packaging18. In turn, this can result in permanent deformation and also displacement of the container’s centre of gravity. This results in new tension characteristics in the packaging material and between the containers. In the ideal case, there is no deformation; in the worst case, the packaging fails at the end of the storage period.

10 The stacking characteristics represent a criterion to be considered similar to and not entirely decoupled from the space utilisation and form stability. Good form stability promotes the stacking characteristics, which in turn results in a greater utilisation of the cargo space for transportation. In the optimum case, ten or more layers of containers can be stacked on one another. In the worst case, no stacking is possible.

11 Another criterion is flexible container geometry in light of recent innovative technologies in the cold bitumen packaging sector. In the best case, the geometry of the packaging can be modified on site shortly before filling. In the worst case, the geometry cannot be changed.

12 Transportation dimensions in accordance with the standards, if the standard dimensions of one or more of the containers (including after any deformation of the container) do not exceed, or are less than, the normal logistic units. This represents the optimum case. Otherwise the containers have to have special dimensions.

13 Here, the weight of the packaging and the utilisation of the dimensions for transportation are combined into one criterion that naturally also relates to the effort in handling the packaging after liquefaction of the bitumen contents. In the best case, the packaging is weightless or can be 100 percent recycled.

14 The volume of the packaging is decisive for calculating the recycling and procurement costs (transport and materials). In the optimum case, there are no remains of the packaging or the packaging is liquefied with the bitumen and thus utilised.

15 Unpacking is decisive for the effort involved in the technical procedure and thus, among other things, for personnel costs in the context of the bitumen liquefaction. In the best case, the bitumen is easy to release from the packaging at all temperatures. In the worst case, it is impossible to release the packaging from the hot liquid bitumen.

16 The innovation of a system should be rated. Here, a system is defined as innovative when the market maturity is less than one year.

17 Generally, there is very little experience to be leveraged with new, innovative packaging. To a certain extent, these two criteria cancel each other out, whereby the value of a proven old system with experienced personnel should not be underestimated. Here, the definition of particularly proven packaging is if it has been in use for more than ten years.

18 The protection of resources is decisive in terms of both socio-ecological and economic considerations. Thus, this criterion must, to a large extent, be evaluated with relative uncertainty and not decoupled from the issue of the reusability of the packaging. In order to better classify the packaging systems, packaging that protects resources is defined as not being manufactured from 100 M.-percent of renewable materials. When also practically evaluating the material cost for each bitumen unit, it should not go unconsidered.

19 In the best case for the reusability of the system solution, immediate reusability on site is possible, with no processing-related action needed for the purpose of handling the cold bitumen. In the worst case, the packaging must be recycled.

20 Recyclable bitumen packaging is made of materials that can be reused for the same or a similar purpose after special processing. In the optimum case, both are possible. In the worst case, only disposal is possible.

18 Wunder, M.: “Further development of the cold logistics and liquefaction of the construction material bitumen taking into consideration technical and economic aspects”. Germany, 2011.


19 Beier, U.: “The application of heuristic methods of decision for the determination of a consumption program”. Zeitschrift für Betriebswirtschaft (today the Journal of Business Economics), Volume 43, 1973.

Distribution chains that operate the handling of cold bitumen can primarily serve to provide the supply at the minimum cost, and to ensure supply or intermediate storage. Within these forms of arrangement, there are further specific requirements on the packaging that have also in part been caused by the numerous existing systems in this sector.

However, the question arises as to how the packaging systems mentioned, as well as other systems, are to be evaluated within the criteria catalogue. Furthermore, is a tool required in order to select suitable packaging in accordance with the respective requirements of a distribution chain?

Introduction of an evaluation systemIn order to qualify the suitability of a form of packaging in accordance with the criteria, a numerical evaluation is introduced as a first step. This scaling is all but arbitrary and can be adapted at any time by using the method developed here.

Here, ten evaluation numbers on a range from zero to ten are used, whereby ten represents the best optimum case presented and zero the opposite worst case. In this case, there are eight grades so that, for example, the ability to stack four layers of silicone boxes can be evaluated with three or four. Here, the uncertainty with which this form of evaluation is afflicted is already clearly evident. Nevertheless, the system will be used in the following for all packaging systems.

Evaluation of the listed packagingThe evaluation presented in Figure 4 can be considered a suggestion for an evaluation applying the method developed here. Furthermore, the suggestions provide an evaluation for systems that are not known in the logistics. If the degree of compliance of a packaging system is unknown with regard to one or more requirements of a criterion, Beier suggests that the system remains unconsidered and thus not acclaimed19.

Selection of the optimum packaging system

The criteria mentioned are significant for a wide range of reasons. Furthermore, within his or her criteria catalogue, each user applies a different emphasis based on the application of the bitumen packaging system. For this reason, no emphasis should be made with regard to the significance of each individual criteria. The method selected from among those presented in the next section is left to the user to decide. The technical interdependency of each criteria in this context will be further explained.


Figure 4 Suggested multi-criteria evaluation form for bitumen packaging with values ki from 0 (poor) to 10 (very good)

Packing system from Figure 1–3(M: Metal, Table 1; P: Plastic, Table 2; C: Cardboard, etc., Table 3)

Metal, Table 1

Plastic, Table 2

Cardboard, et cetera,

Table 3

M. 1

M. 2

M. 3

M. 4

M. 5

M. 6

P. 1

P. 2

P. 3

P. 4

P. 5

P. 6

P. 7

P. 8

P. 9

P. 10

C. 121

C. 2

C. 3

C. 4

1 Handling of the container 0 0 0 6 8 10 0 1 1 4 10 10 10 10 10 5 10 2 4 1

2 Effort required for filling 9 9 9 10 10 10 5 0 0 0 0 0 0 7 0 0 10 5 10 10

3 Loading area utilisation during transp. 10 6 9 5 4 3 9 3 4 10 5 4 5 6 5 5 3 4 3 4

4 Mechanical robustness 10 10 10 10 9 9 7 7 7 7 2 4 5 8 4 5 2 0 2 8

5 Thermal robustness 10 10 10 10 10 10 0 0 0 0 0 0 0 3 0 0 9 2 9 9

6 Robustness against weather 10 10 10 10 10 9 9 9 9 9 5 6 6 10 6 6 0 0 0 1

7 Cooling characteristics 10 10 10 10 10 10 0 1 2 9 0 0 0 9 0 0 1 1 1 2

8 Effort required for liquefaction 0 0 1 4 4 4 0 1 1 6 7 7 7 0 7 5 9 9 9 2

9 Form stability 10 10 10 10 10 10 7 2 6 8 1 1 1 10 1 0 7 5 7 10

10 Stacking characteristics 10 10 10 10 8 9 0 0 1 4 6 9 9 10 9 2 3 3 3 9

11 Flexible container geometry 0 0 0 0 0 0 0 0 0 1 9 9 5 6 8 10 7 7 7 0

12 Transportation standard 10 9 9 9 9 5 8 5 5 4 6 2 2 4 2 0 7 2 7 8

13 Weight of packaging 3 2 1 10 0 0 10 9 9 9 10 9 9 4 9 10 8 9 8 3

14 Volume of packaging 0 0 0 4 0 0 10 8 8 8 10 10 10 0 10 10 7 9 7 4

15 Unpacking 4 4 4 0 4 4 1 1 1 1 1 1 6 0 920 0 10 9 10 7

16 Innovation 2 3 3 0 0 0 8 4 8 10 3 3 2 0 10 10 10 10 10 9

17 Experience available 8 8 8 10 10 10 5 6 6 4 6 6 6 5 5 4 4 3 4 3

18 Protection of resources 0 0 0 0 0 0 5 5 5 5 5 5 5 2 5 5 10 10 10 8

19 Reusability 10 10 10 10 8 8 0 1 2 3 0 0 0 9 0 0 3 0 3 3

20 Recyclability 1 1 1 1 1 1 5 5 5 5 5 5 5 5 5 5 10 10 10 1020 According to system provider21 Depending on configuration

In practice, each user applies the evaluation method presented here differently according to his or her personal interest or experience of individual procedures and thus may deviate from Table 2. Nevertheless, the user should consider certain dependencies between the criteria values (kcriterion). Formal consideration of these dependencies are suggested in the following:

How is that to be understood? kExperience + kInnovation ≤ 15

kRecyclability ≥ kProtection of resources

kCapacity of packaging – k Weight of packaging ≤ 4

kMech. Robustness – kForm stability ≤ 5

Additionally, it is recommended to attribute greater significance to the first four criteria of handling, effort required for filling, utilisation of the cargo space and robustness. This can also be carried out through the definition of minimum values in a requirements catalogue, as outlined in the next section.


Instructions for selecting packaging using the data presentedAs a final step in selecting the optimum packaging for the bitumen, the criteria catalogue must be consulted. Now, the criteria serve to structurally analyse the supply chain. Thus, the requirements of the supply chain can be quantified using the same numeric system and be synthesised into a multi-criteria requirements catalogue. Thus, for example, the supply of a mobile asphalt mixing system across gravel terrain for a hundred kilometres necessitates a high degree of packaging robustness (a nine or a ten). Furthermore, there is the option to define minimum values, whereby non-adherence of a packaging system to the minimum requirements excludes it from the solution space. Using this additional instrument, compelling arguments can be formally modelled against individual packaging variants.

Subsequently, this requirement list is compared to the multi-criteria catalogue. This can be carried out manually or by calculation of the deviations taking into consideration the minimum values within the conventional table calculations (eg, Excel).

Thereby, by efficiently applying the method, the unimportant criteria for a supply chain go unconsidered. The best suitable packaging is that with the least deviation from the requirements of the supply chain.

Another application option for the multi-criteria catalogue with the suggested evaluations (Figure 4) is the classification of developments in the sector of packaging cold bitumen in the development phase, as compared to the systems already on the market. Thus, it can be of great interest to technically compare systems (in accordance with the primary categories) in the R&D-Pipeline in order to paint a picture of the state-of-the-art technology

Summary and outlook

At present, there are numerous requirement profiles in the logistics for cold bitumen, compared to numerous solutions for packaging. In this work, an overview has been provided of the existing packaging for cold bitumen and the inhomogeneity thereby illustrated in its entirety.

Nevertheless, in order to make it possible to select suitable packaging, a criteria catalogue was created based on the values of experience. Using this catalogue, it is possible to evaluate the packaging presently available on the market in the course of a utilisation analysis with regard to technical criteria, as long as all of the information required is available. Consideration was not given to market prices because these are heavily reliant on the present price of raw materials and, in addition, are easily procured.

The evaluation was carried out using an arbitrary point system on a scale of zero to ten. Ultimately, using the criteria catalogue, it is also possible to approximately quantify the requirements of a supply chain. The method developed here serves to compare multi-criteria considerations, the criteria catalogue evaluated and the evaluation list that specifies the requirement profile of the supply chain, either manually or using the computer for comparison, in order to determine best supply


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chain technology solution. Thereby, there is always the option to choose to focus on a particular criterion or set of criteria, and doing so is, most of the time, also useful.

Based on the criteria catalogue presented here, in the future it will also be possible to document the numerous supply chains in the sector of handling cold bitumen, to analyse them with regard to their requirement profiles and, based on this, to select an optimum packaging solution. Hereby, especially in large companies, further potential for optimising costs can be uncovered and exploited.

Our expertise

Photo title, Cultura/variao images

© May 2013 PricewaterhouseCoopers Aktiengesellschaft Wirtschaftsprüfungsgesellschaft. All rights reserved. In this document, “PwC” refers to PricewaterhouseCoopers Aktiengesellschaft Wirtschaftsprüfungsgesellschaft, which is a member firm of PricewaterhouseCoopers International Limited (PwCIL). Each member firm of PwCIL is a separate and independent legal entity.

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Dr. Marius WunderPwC Management ConsultingTel: +49 89 5790-6594Mobile: +49 151 62904762E-mail: [email protected]

Dr. Christoph SkudelnyPartnerPwC Management ConsultingTel: +49 89 5790-5369Mobile: +49 151 46123211E-mail: [email protected]

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