Damstahl is a proud member of the NEUMO-Ehrenberg-Group

Transcription

1 International Nickel Study Group 23rd Session 22 April 2013 Lisbon, Portugal Damstahl is a proud member of the NEUMO-Ehrenberg-Group NEUMO was established in 1947 in Germany by Senator Henry Ehrenberg of Germany The NEUMO-Ehrenberg-Group employs approx 1700 people -2-

2 NEUMO-Ehrenberg-Group NEUMO-Ehrenberg-Group Stainless Steel Flow Technology 10 countries world-wide 1050 employees Stainless Steel Distribution 6 countries in Europe 320 employees Cutting Tools 13 countries -3- The Damstahl Group Today, Damstahl is the largest North European family owned stockholder of stainless steel Group turnover above 2.0 billion DKK Group sales amount app. 66,000 MT -4-

3 A few facts about Damstahl Damstahl-facts European distribution the full range Access to a market beyond 2.000,000 T Present in 6 countries Volumes 2012 Flat rolled 26,500 MT Long products (bars) 24,000 MT Tubes 12,000 MT Seamless / hollow bars 3,500 MT Fittings EURO 25 M Strong economy (based on 2012 figures) Share capital EURO 14M Equity ratio EURO 75M Turnover EURO 268M Solvency ratio > 60 Liquid ratio 200 Facts that make Damstahl a desirable partner based on solid economy with a liquidity attractive to customers and the best suppliers world-wide. -5- Damstahl s vision As a member of the family-owned NEUMO Ehrenberg Group, Damstahl operates on a foundation of basic human values and high ethical standards, working determined in order to: Be the preferred supplier of stainless steel in our customer segments Be the preferred partner for our suppliers Be the company in the trade creating the maximum job satisfaction in each of our operations Ensure that the customers get access to environmentally sustainable products and run the company with the least possible negative environmental impact -6-

4 Damstahl s mission - customers Adding value for our customers and creating preference for Damstahl is our aim by means of: Sharing our knowledge with the customer, by jointly developing new business potentials and by jointly promoting the use of stainless steels Ensuring the right quality for each individual customer Ensuring on time deliveries Contributing to the customer s cost efficiency -7- Damstahl s mission - suppliers Adding value for our suppliers and creating preference for Damstahl is our aim by means of: Sharing our knowledge with the suppliers and by jointly creating additional sales of stainless steels On time Payments Always being a reliable business partner -8-

5 Damstahl s mission - employees We seek to make the job interesting to our employees and make our employees interesting through a challenging job content: We give room for initiative and innovative thinking The work is characterized by due concern and quality Each employee is obliged to be co-operative and to contribute to a good working atmosphere The development of the employees determines Damstahl s future -9- The industries we serve Food and drink close to 80% Wind app. 10% Pharma Chemistry Oil and gas Process water Drinking water Waste water Sludge treatment Soil and groundwater remediation Hospital equipment The building industry Furniture Industry White goods Communication/IT Bridge building Ship building industry Off shore industry Automobile Architectural Airports / Central Stations Pool manufactures Art Cutlery -10-

6 Keep it simple Suppliers Offer Demand Customers Long lead times Day-to-day delivery Large order quantities Access to full assortment Limited assortment One-point of contact Short term payments secured Best possible payment terms Risk of production re-runs (yield factor) Availability of goods No inventory Availability of goods Highly volatile pricing Firm prices Industry knowledge Market and product knowledge -11- Keep it simple Supplier Damstahl smoothens and simplifies the flow of goods and services! Customer Damstahl -12-

7 Our value proposition Committed resources Raw Finished goods Suppliers Damstahl Customers Inventory holding Quick and local distribution Bulk breaking Risk bearing (theft, damage etc.) Market and customer knowledge Market reach through sales & promotion Market information Months Weeks Days Lead time and risk Large order quantities Best Access possible to full payment assortment terms Short term payments secured Limited assortment One-point of contact Financing Management services & counselling -13- It s about making choices.. Customer oriented: Shortest possible order cycle times Perfect order fulfillment Quality Launch of customer specific solutions Statements from our mission: Adding value for our customers Sharing our knowledge Jointly developing new business potentials Right quality On time deliveries Contributing to the customer s cost efficiency Wide and deep product range On time payments Always being a reliable business partner 1? Efficiency : Supply chain costs Labour productivity? 3? 2 Asset utilization: Facility utilization Inventory turns Cash-to-cash cycle -14-

8 It s about making choices.. Competitive edge through: Fastest customer response Broadest product assortment Highest quality Supply chain focus: Shortest order-to-delivery cycle Fastest request-to-promise date Expert in managing complexity Highest quality of suppliers Strongest supplier quality controls Best customer service Most innovative Tailored service for each customer segment Maximum availability at point of sale Most efficient new product launch -15- The nature of competition is changing.. Continuous improvement through Lean and Six Sigma initiatives Web based track and trace of orders Automatic warehouse systems Focus on long term partnerships with customers and suppliers Damstahl Multi-echelon warehouse management Supply chain transparency & stock turn optimization Vendor Managed Inventory 24/7 access to Damstahl Up- and downstream automation and integration Process optimization services up- and downstream Next day deliveries -16-

9 Designing and influencing the future By forming partnerships upstream and downstream By adding value through the Blue IQ concept By involving top management in customers needs and wants By supplying a suitable product range supported by the best suppliers in the world By customer intimacy and dedicated key account involvement By granting access to all Damstahl and NEUMO branches globally By providing second to none service By offering the stainless steel sector s most informative web: Monthly report from SMR in Austria Live updates on nickel Price charges weekly updated -17- Adding value to the customers bottom line Mission: To share our knowledge with the customer, jointly develop new business potentials and together promote the use of stainless steel Consultancy in quality choice Consultancy in surface treatment Publications about stainless steel Seminars about stainless steel Training of customers Dr. lich. tech. Claus Qvist Jessen One of our key persons in this mission -18-

10 CSR We take an active share - both within our "own world" in Skanderborg as well as within fields such as Human Rights, environment and preventive Measures to combat diseases. We comply with UN's Global Compact and have entered into agreements with specially selected humanitarian organizations Nickel a big Share in Damstahl s Life 66,000 tpy = Damstahl sales of stainless steel 66,000 tpy = Damstahl sales of stainless steel 8% = nickel Totalling per year ~ 5,280 tons nickel 1,000 tons nickel currently and in average kept in Damstahl stocks

11 Key Issues in the World of Stainless 1. LME 2. Risk Management 3. Price Structure: Base and Alloy Surcharge 4. EUR versus USD 5. Financial markets - hedge funds 6. Profitability in our value chain is upstream 7. Downstream you find patient shareholders -21- Thank you for listening Now, it s time for Questions & Answers Next in importance to having a good aim is to recognize when to pull the trigger Quote: David Letterman -22-

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