Page 19 - Hexion Sustainability Report 2021
P. 19

Market Innovation (continued)




                                        ArmorBuilt : Ramping Up                                                        Hexion initially leveraged this technology to
                                                            ™
                                                                                                                       develop a fire-retardant solution for more
                                        Protection Against Wildfires
                                                                                                                       sustainable wooden utility poles and the Company
                                        In 2021, over 50,000 wildfires burned across                                   is actively developing additional applications

                                        upwards of 7 million acres of land in the western                              for a variety of industries. For example, Hexion

                                        United States and Canada, putting people,                                      expects that ArmorBuilt can play a critical role
                                        essential infrastructure and the environment at risk.                          in fire hardening protection for other critical

                                        These challenging conditions followed a horrific                               infrastructure, as well as several residential and
                                        wildfire season in 2020.                                                       commercial applications.


                                        Hexion’s ArmorBuilt  Fire Protection product                                   Managing Supply Chain Sustainability
                                                                    ™
                                        offers a durable, fire mitigation safeguard for

                                        securing critical infrastructure. The state-of-the-art                         Hexion recognizes the opportunities and

                                        smart material that is triggered by heat protects a                            obligations of a Sustainable Procurement
                                        renewably sourced power infrastructure—wooden                                  approach. We utilize a strategic procurement

                                        utility poles—while substantially minimizing the                               approach to ensure security of supply, combined

                                        cost of disruption and repair. ArmorBuilt has also                             with a logistics network to ship across town
                                        passed two industry approved wildfire simulation                               or around the world with minimal interruption.

                                        burn tests for fire resistance With its insulating                             In 2021, we added resources dedicated to

                                        and self-healing properties, ArmorBuilt provides                               developing Supplier programs, with a focus on
                                        a safe and reliable burn-prevention material for a                             fostering an increased use of more sustainable raw

                                        variety of industries potentially affected by fires,                           materials and assessing Environmental, Social and
                                        including wildfires.                                                           Corporate Governance risks and initiatives across
                                                                                                                       our supplier portfolio.
                                        Hexion is working closely with one of the largest
                                        wood pole producers in North America to make                                   In addition, Hexion continues to closely monitor

                                        ArmorBuilt wrap the specified solution for Pacific                             and adapt to the ongoing challenges associated

                                        Gas & Electric Company to protect their utility pole                           with a global supply chain crisis. With more than
                                        infrastructure in wildfire prone areas.                                        30 manufacturing and research and development
                                                                                                                       facilities around the world, Hexion relies on a large,
                                        To meet the continued strong customer demand
                                                                                                                       complex supply chain.
                                        to address the situation, Hexion announced two

                                        capacity expansions at its Portland, Oregon                                    As part of this effort, Hexion relies on key partners,
                                        manufacturing site in 2021, in support of its                                  such as Celonis, to assist Hexion’s global supply

                                        ArmorBuilt Fire Protection product.                                            chain with comprehensive, real-time data. Through
                                                                                                                       this partnership, Hexion leverages process mining
                                        In early 2022, the Company also announced
                                                                                                                       technology, which is an analytical discipline for
                                        another expansion at its Missoula site, enabling
                                                                                                                       discovering, monitoring, and improving processes
                                        Hexion to significantly increase its capacity to
                                                                                                                       that enable efficiencies and improve service for
                                        serve customers more easily in the wildfire prone
                                                                                                                       our customers.
                                        areas of the Western United States and beyond.

                                        The new capacity is expected to come online in
                                        fourth quarter of 2022.
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