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BMZ’s Distribution Network Analyzes 2014 Results and Sets 2015 Goals
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2015-03-13
On Jan. 22, 2015, a conference attended by representatives of the Commodity Distribution Network (CDN) took place at Byelorussian Steel Works (BMZ). During this event, over 20 top-level managers from Austria, China, Germany, Poland, Russia, USA, and other countries took part in. This meeting summed up problems in 2014 and set goals (tasks) for 2015.
Up to date, the distribution network of BMZ has established joint ventures in more than ten CIS countries, providing constant sales of products from the factories. It is worth noting that the export volume of BMZ was up 114.6% in 2013 (and was up 105.6% if calculated by value). Shipments of the exported products were up 83% in 2014 (2013: +78.7%).
The analysis made for 2014 in the meeting shows that the shares of countries where the products were generally delivered did not change a lot. For example, the share of Lithuania in the total export of BMZ products grew from 9.1% in 2013 to 11% in 2014; the share of Germany grew from 7.4% to 11.7%; the share of USA increased from 5.6% to 7.1%; the share of Romania grew from 4.7% to 5.6%; the share of Poland was up from 5.1% to 9.1%. Thus, the top 5 countries where BMZ’s products were shipped last year are as follows: Russia, Germany, Lithuania, Poland, and USA. To sum up the overall performance of the Commodity Distribution Network (CDN), it is possible to note that the greatest income these factories achieved in Europe in 2014 reached 493,836 thousand dollars (56.1%), followed by the CIS, in the 2nd place, with the gain of 276,699 thousand dollars.
As to plans and tasks for 2015, the focus during the meeting has been given to the organization of rolling sales, hardware, and products of section rolling. In detail, CDN will provide 53 thousand tons of orders in the 1st quarter of 2015. Manufacture of hardware is set to be 445,700 tons, including 99,300 tons of metal cords, 85,400 tons of different wires, and 261,000 tons of armatures. There are also plans for the new section rolling department in various regions: USA (10,000 tons), Europe (185,000 tons), Russia (35,000 tons), Belarus (50,000 tons), and other regions (120,000 tons). CEO Vyacheslav Kushnarev of U.S.-based BelCapSteel noted that, despite all economic difficulties, they managed to gain positive results. Following the results of the previous year, the factory is one of the leaders of the total increase in shipments of all BMZ products. The company not only manages to hold its position, but also works hard to increase the sales volume. The results achieved by BelCapSteel in 2014 have essentially exceeded those made in 2013, with an increase of 20-25% in the turnover. The positive results have been achieved for all products. A majority of representatives of BMZ’s CDN reported good results for 2014.