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You are at:Home»Features»5 Biggest Business Risks Facing the UK Chemical Sector
thinc-coowners-richard-stathers-and-dominic-ball-
Thinc coowners-Richard Stathers and Dominic Ball

5 Biggest Business Risks Facing the UK Chemical Sector

0
Posted By sme-admin on July 17, 2025 Features
A new survey conducted by Thinc at CHEMUK 2025 reveals the most urgent challenges facing chemical and manufacturing operations in the year ahead. With over 80 industry professionals responding, the results offer a real-world view of how today’s businesses are navigating complexity, regulation, and the limitations of legacy systems.
“We didn’t just talk tech at CHEMUK. We asked operational and commercial leaders what’s really keeping them up at night,” said Richard Stathers, Operations Director at Thinc. “The answers show it’s not transformation that they want: it’s control.”
Top 5 Business Risks in 2025 (According to CHEMUK Attendees)
  1. Rising Production Costs
    When asked about the biggest risk to their business right now, 58% pointed to rising production costs – more than those who selected regulation, innovation, or sustainability.
  2. Regulatory Overload
    Staying ahead of evolving regulations was the number one unsolved challenge for 35%, especially UK REACH, CLP, and COMAH.
  3. Planning Blind Spots
    In many SMEs, production planning is still reliant on spreadsheets leading to delays, inefficiencies, and material waste. In fact, 23% of businesses report facing these challenges due to outdated planning methods.
  4. Compliance Without Control
    Although 28% would prioritise simplifying compliance and quality control tomorrow if they could, disconnected data makes this difficult.
  5. Siloed Teams, Slower Decisions
    Departments still operate in isolation with 23% citing this as a critical improvement area that’s slowing operations. Staying ahead of evolving regulations was the number one unsolved challenge for 35%.
What This Means for the Chemical Sector
The pattern is clear.Chemical ops leaders aren’t demanding sweeping digital overhauls; they want clarity, simplicity, and speed. That means:
  • Smarter production planning using real-time inputs
  • Avoid last-minute stockouts and delays
  • Reducing waste without risking output
  • Respond to compliance deadlines without panic
This is where ERP (enterprise resource planning) and connected business systems come in. The most resilient manufacturers are already linking compliance to production data, integrating reporting into daily workflows, and automating MRP (materials requirements planning) to stay lean.
“The chemical sector’s biggest risks aren’t strategic; they’re systemic. These are solvable problems with the right data infrastructure,” said Stathers at Thinc. “Our survey shows a hunger for visibility and joined-up systems, not just another piece of software.”
Read the full survey breakdown and explore the playbook here:
https://www.wearethinc.com/trends/survey-chemical-business-risks-chemuk-2025/
Read about how Thinc helped Alfa Chemicals improve productivity, efficiency and traceability:https://www.wearethinc.com/case-studies/alfa-chemicals-multiple-entities-one-solution/
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