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[Narodnaya Gazeta] Great and responsible work is waiting ahead

On the 15th of October RUE “BMZ” celebrated its 25th anniversary. On the eve of the event new General Director was introduced to personnel of the plant. However Anatoli Nikolaevich Savianok is a well-known person at the plant, due to the fact that prior to new appointment he has been working for many years as Deputy General Director for Steel Cord and Wire Production. Reporters of newspaper “Narodnaya Gazeta” interviewed the new manager of the one of the leading enterprises of country and found out his opinion about existing problems and future perspectives of the plant.

— Anatoli Nikolaevich, the plant celebrated its 25th anniversary in very difficult economical conditions. But as far as I know positive tendencies has already been outlined at the enterprise. How do you estimate current situation at BMZ?

— Indeed our enterprise was also influenced by processes caused by world financial-economical crisis. But employees of the plant celebrated anniversary in a good mood. Volumes of production and product sales are being reestablished and on some types of product even exceed rates which we had before crisis. BMZ also managed to take its previous positions at foreign markets. In a word, the enterprise is coming to life; new orders appear, even for those products which earlier was difficult to sale.

Steel melting and rolling shops which produce products for building industry work very intensively.

In August 160 thousand tons of steel were cast in CCM-2 (CCM = a continuous casting machine). Both results are the plant’s records. The pipe mill is provided with the material for three months ahead. It produces mainly OCTG pipes in demand on the market. As for steel cord and wire products the situation is the same. In August 2009 BMZ sold more tire cord than in August 2008 (101,2%) It is planned to produce and dispatch 8300 tons of steel cord in October. This also exceeds the record of the previous year.

Scrap is so to say our plant’s “bread”. Because of the crisis many Russian scrap harvesting organizations which were the main suppliers of our enterprise became bankrupt. In general, during eight months of this year scrap harvesting decreased by half. Only now this branch starts to revive. Measures undertaken by the sales and financial and economic departments allowed restoration of shipments of scrap to BMZ in October. The second question has also been solved, especially in the steel cord and wire production. As of the 1st of October, 0,32 per cent of the average-monthly production output of finished product remained in the store.

- A quarter of a century is a rather advanced age. How great is the progress made by the plant from the point of view of production?

- We can give several figures for comparison. In 2004 we celebrated the 20th anniversary of the plant. The 20-millionth ton of steel was melted in December that year. When we started to prepare for the 25th anniversary, it was found out that we have missed two significant milestones in our every-day work: we produced 20 million of liquid steel and last June this amount reached 30 million. It took us 20 years to manufacture the first 20 millions, and for the next 10 millions we spent only five years. This is a vivid confirmation of BMZ potential.

The plant has been developing all these years. Several production facilities were built. Since 1987 the operating production facilities have been constantly modernized, the plant’s capacity has been extended and the production output has grown up. Today a key investment project of 2009 is being implemented at BMZ: modernization of CCM-3. The task to finish the work before November 1 is set before all services of the plant. After CCM-3 is commissioned into operation, we will manufacture a new type of product – cast round billet for pipe production and ensure additional volumes of sales and consequently proceeds.

Byelorussian Steel Works is known all over the world. Its name is a guarantor of quality and reliability. It is a pleasure to realize that reinforcing bars produced by BMZ were used to restore the temple of Christ the Saviour in Moscow and our wire flew into space in a shuttle. We would like to have more similar symbolic events in the history of our plant.

- Anatoli Nikolaevich, you told in details about the impact of the global financial and economic processes on the operation of your enterprise. But there are macroeconomic factors which can affect its work. How is the policy of mobilization of internal reserves, decrease of wastes and prime cost of products has been pursued?

-Only in August and September fulfillment of the planned measures for wastes decrease allowed to save 27 billion roubles or 5,5% of the planned prime cost of the products. The saving was due to improvement of the technological processes, implementation of energy-saving measures and reduction of general production and economic costs.

- BMZ products are well known in our country. And what is done to expand the distribution of export deliveries?

- In 2009 certain steps were made in this direction. We searched for new partners, reconsidered the existing sales strategy taking into account global market tendencies. Initially planned sales amount was reoriented from Russian, CIS and a number of European markets to African and Middle East markets. This made it possible to increase the price of steel by USD20-30 per ton. The export geography was refreshed by 17 exporters. Today we have our partners in 57 countries worldwide. Percentage of steel deliveries to the new markets makes up 25% of the total volume of export.

We do not stop working in this direction. A decision to organize our own trading company in the Arab Emirates was adopted. We plan to implement this project by the end of 2009. At present we have talks about deliveries of seamless OCTG pipes to the market of Venezuela.

- The plant has great achievements in production, but it can also be proud of what is done for the plant’s employees.

-Our success became possible thanks to the people working at the plant. But we have to do even more. Our people are of great value for us. They love their plant. I am proud to say that 434 specialist have worked at the plant for 25 years. We highly value every man’s contribution into the common cause, and we also take care of our employees. Social protection of steel makers of Zhlobin is a system of forms and methods of social support. Erection of accommodation, care for pensioners and children, development of culture and sport, quality medical service. We are sure that the more considered social programs are, the higher the level of workers’ life is. And consequently the return.

“When you walk in the plant, you can see in the eyes of the people that BMZ is a worthy enterprise and it is honorable to work there. It seems to me that after Mr. A. Savianok took the position of the General Director, the situation will certainly improve,”

A.M. Radevich, minister of industry

“BMZ will solve all the tasks set forth. I know your collective, potential and your management. I do not doubt that you’ll be a success”.

A.S. Yakobson, chairman of Gomel regional executive committee

Narodnaya Gazeta