ArcelorMittal Ostrava Simplifies its Corporate Structure
OREANDA-NEWS. November 13, 2014. ArcelorMittal Ostrava has simplified its corporate structure and streamlined its internal processes, principally through a merger with its subsidiary, ArcelorMittal Frydek-Mistek - a cold rolling mill that mainly produces electrical steels.
The changes will not affect employees or the rolling mill in Frydek-Mistek, which has had a close link with the local town since 1833. ArcelorMittal Frydek-Mistek will now operate under the commercial name of ArcelorMittal Ostrava.
As well as its steel rolling plant, ArcelorMittal Frydek-Mistek also operates a cold rolling mill (Valcovna za studena) in Ostrava-Vitkovice, which is located on the premises of Vitkovice Steel. As a result of the changes announced today, major parts of the cold rolling production activities in Ostrava-Vitkovice have been transferred from Vitkovice to ArcelorMittal Frydek-Mistek. All 82 employees have moved to other production positions within ArcelorMittal Ostrava, either in Ostrava-Kuncice or Frydek-Mistek.
“The simplified structure and consolidation of processes within the ArcelorMittal Ostrava group should result in cost optimisation and improved production efficiency for the company,” says Tapas Rajderkar, the CEO and chairman of the board of directors of ArcelorMittal Ostrava. The changed structure of the former ArcelorMittal Frydek-Mistek company including the merger with the parent company will bring benefits in the area of consolidation of internal processes, management of material flows, consolidation of services, and overall streamlining of the administration.
In recent years, ArcelorMittal Ostrava has increased its focus on production of high value added products. This is associated with a series of recent investments in order to change the product portfolio. The mill has expanded its portfolio to include higher quality vacuum-treated steel used in the gas and oil industry as well as for bearings and railway wheels, weathering steel, pipes with special coatings, lighter safety barriers and safety barriers for protection of motorcyclists and numerous other products. This year’s production innovation includes the manufacturing of threaded bars for civil engineering.
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