P&G Opens Facility to Focus on Sustainable Supply Chains of the Future

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P&G’s new Product Supply Innovation Center (PSIC) leverages P&G innovation and serves as the hub for the collaboration with a network of local suppliers, tech companies, R&D institutions and top universities, developing solutions that are global, scalable and modular to decarbonize its supply chain.

With the new PSIC, the No. 2 consumer goods company aims to accelerate innovation, transformation, and implementation of intelligent supply chain operations with new solutions from one of the world’s leading markets for sustainability innovation and industry 4.0. Establishing the Kronberg PSIC in this environment enables P&G to build a more resilient, future-proof supply chain. The market also offers a rich ecosystem for future partnerships with research institutes, businesses, universities, and other thought leading stakeholders in the Rhine-Main region.

Concepts and learnings from P&G’s new PSIC will make full use of the disruptive breakthroughs in cyber-physical systems, internet of things connectivity, and ubiquitous intelligence across materials, assets and processes. Innovations developed in the PSIC and its ecosystem will be disseminated globally for P&Gs 200 sites to inspire and guide sustainable progress in the entire FMCG industry.

P&G is investing significantly in talent and facilities as well as learning labs encompassing about 50 employees with diverse skills and to impact the areas of sustainability, manufacturing intelligence and supply chain.

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Angelique Terrien, senior director, Supply Chain Innovation, Sustainability Engineering at Procter & Gamble, said, “I am very excited to head the new Product Supply Innovation Center in Kronberg, bringing together our best talent from different continents, new talent and partners from across our ecosystem. Still, the pressing challenges in sustainability can only be solved through the power of partnerships and collaborative action. I’m looking forward in joining forces with our ecosystem partners to pool resources, new technologies, reach and knowledge to define together what the supply chain of the future will look like. We look forward to collaborating using our combined expertise and capacities to drastically reduce GHG emissions, water consumption and waste production toward net zero solutions we can scale in our operations. With the opening of our Product Supply Innovation Center (PSIC) we hope to inspire change beyond the Rhine-Main-region, Germany and our company and help improve and redefine global processes for production, logistics and retail.”


Julio Nemeth, chief product supply officer at P&G, added, “We decided to locate the PSIC in the heart of the Rhine-Main-Region, because of the unique ecosystem, and the passion of German consumers, retailers and regulators, for sustainability standards and innovation that protect the climate.”

Loic Tassel, president, Europe at P&G, says, “I believe in technology innovation as an engine of growth. That’s why I am thrilled and proud that this lighthouse for innovation is now located in Kronberg, right at the heart of Europe, where a lot of our Innovation comes from. This center is all about an accelerated transformation and implementation of intelligent supply chain operations. We need the most advanced Supply Chain Networks to further build resilience and to drive a zero vision across our operations faster.”

By 2020, P&G has already delivered 52% reduction in Scope 1 & 2 GHG emissions. By 2030, the company targets to cut its greenhouse gas emissions by 50% across operations. P&G has committed to purchase 100% renewable electricity globally and to achieve overall carbon neutrality for the decade from 2020-2030.

Virginie Helias, chief sustainability officer of P&G, said, “Our brands serve five billion people around the world. It is our mission to create sustainable supply chains as well as intelligent operations. Our new product supply innovation center (PSIC) in Kronberg is a key milestone for P&G to accelerate achieving our ‘Ambition 2030’ sustainability objectives.”