OREANDA-NEWS. Nippon Steel & Sumitomo Metal Corporation (NSSMC) announces the organizational integration of steelworks to further enhance the competitiveness in steel business for further collaboration between steelworks as a part of "promoting organizational and business management" program in its mid-term business plan announced on March 13, 2013, as described below:
1. Integrate Yawata Works and Kokura Works into "Yawata Works"
2. Integrate Wakayama Works and Sakai Works into "Wakayama Works"
3. Integrate Kimitsu Works and Tokyo Works into "Kimitsu Works"

These organizational integration above shall be effective as of April 1st, 2014

NSSMC has achieved synergy effects between steelworks by promoting collaboration such as, sharing energy sources, optimizing utilization of infrastructure in logistic operation, and mutually utilizing by-product scrap between steelworks.

After studying further optimization and collaboration between steelworks locating nearby, NSSMC decides the organizational integration of steelworks, taking into account multiple factors such as, progress of collaborations so far, geographical locations, and operational relationship in manufacturing activities.

The major purposes of this integration are more efficient management and administration structure, expanding the pool of human resources in terms of more effective recruiting, education and training, and optimized human resource allocation, and accelerating further collaboration from a new point of view by sharing technology, skills, and best practices between steelworks.

Following this organizational integration, NSSMC shall further enhance the competitiveness in its steel business by bringing together each works' manufacturing resources, such as manufacturing infrastructure, human resources, technology, skills and best practices, as well as accelerating the implementation seeking for further synergy after merger. At the same time, NSSMC shall continue best effort to earn the trust from customers, neighboring communities, and other stakeholders of the company.