Hans Ludwig Rosenstock, 45, has been Mittal Steel Galati steel plant”s chief operating officer (COO) for about a year.
“I couldn”t say there is a concrete job description for my position. I am the chief technician of this plant and as a result I have to deal with all the aspects pertaining to this,” says Rosenstock.
The Mittal Steel Anglo-Indian group, the world”s biggest producer of steel, has owned of Galati-based steel plant for five years.
“I must conceive the product of the future, I must work with customers, turn this organisation into a consumer-focused one and make money. Customers are the only ones giving you money,” states the COO of the plant.
“Since the beginning of the year, we”ve implemented a bonus system. Any employee can receive a bonus of up to 25% of his salary depending on several factors every month. Work quality comes first, but quantity matters, as well,” says Rosenstock.
“However, if a fatal accident occurs in a certain facility, no employee of that facility will receive any bonus that month. I won”t have any fatal accidents in production facilities. Each employee must return home safely,” explains the Mittal Steel Galati COO. He adds that the move was made in order to raise employers” awareness about the importance of work safety during the production process.
“The only investments we do not derive any profit from are those aimed at the environment and labour safety. Otherwise, all other investments we make must bring some profit, and we have to prove this,” Rosenstock stated.
Mittal Steel Galati (formerly Sidex), which operates under Indian management, saw the biggest profit in its history in 2004, standing at 429 million dollars (350 million euros) amid turnover worth 2.1 billion dollars (1.7 billion euros). Two thirds of turnover came from exports, while the rest of the profit was derived from deliveries onto the domestic market.
At present, Mittal Steel Galati employs 17,600 people.
As well as owning the Mittal Steel plant, the company”s Romanian portfolio also includes some production facilities in Hunedoara (the former Siderurgica), Iasi (Tepro), Roman (Petrotub) and Romportmet, the Galati harbour operator.
In 2001, Mittal Steel took over Sidex Galati, which was registering losses of one million dollars per day when owned by the Romanian state.
The Indians took over the majority stake in Sidex Galati in a deal totalling 500 million dollars, of which 70 million dollars were the price of the stake and the difference was made up of debts undertaken and an investment programme.
Figures for 2004 were posted amid a highly favourable foreign market, when steel quotations stayed at high levels. However, this situation changed in 2005.