PURPOSE: To obtain a highly active polyol compsn. by subjecting a reaction product of specified amts. of an alkylphenol, diethanolamine, and formaldehyde to the addition reaction of a specified amt. of an alkylene oxide.

CONSTITUTION: This polyol compsn. is produced by a process comprising a first step wherein (a) mol of an alkylphenol, (b) mol of diethanolamine, and (c) mol of formaldehyde are mixed and heated until the amt. of unreacted formaldehyde reaches 1wt.% or lower and a second step wherein the product resulting from the former step is subjected to the addition reaction of (d) mol of an alkylene oxide, subject to the conditions that a:b:c=1:(1-2.5):(1-2), b>c, and d=(b-c)-(b+c+a). Formaldehyde should be added lastly in mixing at the first step. Ethylene oxide, propylene oxide, etc., are pref. as the alkylene oxide added at the second step. Thus obtd. compsn. has a high isocyanate reactivity and is suitable for polyurethane foam production by spray foaming.