ThyssenKrupp Steel Europe to optimize management structure

thyssenkruppAt its meeting today the Supervisory Board of ThyssenKrupp Steel Europe AG decided to realign the company’s management structure. The reorganization is in connection with the optimization program “Best-in-Class Reloaded”, under which Steel Europe is making a significant contribution to the profitability and strategic development of the Group as a whole.

The aim of the reorganization is to create a stronger focus on business operations and a leaner and more efficient organizational structure. The new organizational structure is an important step in achieving the core objectives of BiC Reloaded – increased customer orientation, improvements in costs, and stronger technological and logistical capabilities.

In the future the Executive Board will consist of four members, responsible for Chair/Finance, HR & Social Affairs, Sales & Innovation, and Production. The number of functional departments will be reduced from 28 to 23. The previously separate directorates for metallurgy and rolling/coating will be combined and structured more leanly. In the future, all production operations from pig iron and crude steel production to the various rolling and coating operations to engineering services will be the responsibility of one Executive Board member. Through integrated production processes, more efficient resource allocation and logistical advantages it will be possible to achieve significant cost savings. In addition it will be possible to better meet different customer needs in terms of quality and delivery.

Increased customer orientation is also to be achieved through greater innovation and faster times to market for new products. The research and development function will therefore be under the responsibility of the sales director in the future and will bring innovations to market in close cooperation with customers. In addition, responsibility for highly specialized products such as tinplate, medium-wide strip, heavy plate and electrical steel will be combined under sales to align them more closely with end-user industries.

Dr. Heinrich Hiesinger, Supervisory Board Chairman of ThyssenKrupp Steel Europe AG: “We are rigorously implementing our optimization program to enable us to be successful in a continuing difficult competitive climate. We want to be best-in-class again. With the new management structure we have now taken the necessary steps for this.”

The new structure will be effective from October 1, 2013, i.e. from the start of the coming fiscal year 2013/14.

In the future the new Executive Board will comprise the following members:
– Andreas J. Goss, Executive Board Chairman / Finance
– Thomas Schlenz, HR & Social Affairs
– Dr. Heribert R. Fischer, Sales & Innovation
– Dr. Herbert Eichelkraut, Production

Thilo Lutz, currently responsible for sales on the Executive Board, is leaving the company by mutual consent on September 30, 2013. The Supervisory Board of ThyssenKrupp Steel Europe AG has thanked Mr. Lutz for his work on the Executive Board.