Realignment to Support Next Phase of Outokumpu Strategy Development
11/06/2007 - Outokumpu is aligning its organization into an integrated model emphasizing its one-company approach toward customers as the group enters the next phase in its strategy development targeting a more stable and profitable business model.
As it enters the next phase in its strategy development targeting a more stable and profitable business model, Outokumpu is aligning its organization into an integrated model emphasizing its one-company approach toward customers.
The realignment will support the group’s efforts to increase its share of value-added special grades sales and to increase the share of sales to end-user and project customers, while also addressing the most attractive growth opportunities.
The new organization is designed to serve customers in an optimal way. Sales will be organized into customer segment groups that are served by dedicated teams. Each customer will have a one-point contact in Outokumpu that will facilitate access to the Group’s entire offering.
In the integrated organization, Outokumpu’s Business Units will be in charge of product strategy and overall profitability. Group Sales & Marketing, a cross-organizational unit, will be responsible for the delivery of commercial targets, and the Supply Chain Management, also a cross-organizational unit, will be responsible for end-to-end delivery performance.
Group Executive Committee members’ responsibilities will be adjusted in accordance with the new integrated organization, which also includes a new appointment to the Group Executive Committee. Mr. Jamie Allan, currently Senior Vice President—Thin Strip, will take up the position of Executive Vice President—Supply Chain Management, as of January 1, 2008.
The composition of the Group Executive Committee and responsibilities of its members will be as follows:
- Juha Rantanen, CEO, will have responsibility for Group management, communications and IR, and corporate social responsibility.
- Karri Kaitue, Deputy CEO, will have responsibility for Group strategy, business development and M&A, new ventures, legal affairs & IPR and portfolio businesses.
- Jamie Allan, EVP—Supply Chain Management, will have responsibility for Production excellence, SCM operations, procurement, and control and steel balance.
- Bo Annvik, EVP—Specialty Stainless, will have responsibility for Special Coil and Plate, Thin Strip, OSTP and investment projects.
- Pekka Erkkilä, EVP—General Stainless, will have responsibility for Tornio Works, Long Products, R&D, energy procurement, and safety, environment & quality.
- Andrea Gatti, EVP—Group Sales and Marketing, will have responsibility for End-user & project sales, distributors & processors sales, European stock & processing development, pricing office and sales company controlling.
- Esa Lager, CFO, will have responsibility for Financial and business control, treasury and risk management, IT, change management and projects, and real estate.
- Timo Vuorio, EVP—Human Resources, will have responsibility for HR strategy and policy, and key HR processes: performance management (including compensation), resource management and HRD & leadership, and head office administration.
The new organization and responsibilities of the Group Executive Committee members will be effective as of January 1, 2008.
*Jamie Allan has had a 30-year career in the steel industry, most recently in Outokumpu, as Senior Vive President of the Thin Strip Business Unit, an International, multi-site role, based in Stockholm, and as a Director and Board member of Outokumpu Ltd in the UK.
His career commenced in Independent and Mill owned carbon steel, developing management skills in sales and marketing, project management, production management and general management. For the last 17 years he has been in the stainless steel industry, and has been responsible for small, medium and large operations, in tubes, coil and plate, at operational, strategic and policy development level. Jamie was born in 1956 in Glasgow, Scotland.