February I Vol 80 I 2019
2019 Insight From the Partners
As we turn the page on a new quarter, we look to our partners for insight on what we can expect and where our focus will be for the balance of the year.
David Samrick & Pam Heglund Can you comment on the company's performance in 2018? • 2018 was a strong year for Mill Steel. We experienced volume growth of over 8% and we took advantage of a strong market relative to pricing. Although it was a strong year, good performance doesn’t just happen. In our industry, stronger-than-average performance can only occur if we are hitting on all cylinders; our sales team lands solid deals, our fulfillment team and operators work efficiently, and we properly manage our inventory. What are the goals and potential challenges for 2019? • The recruitment and retention of talented and dedicated associates is probably our number one challenge. Mill Steel is an innovative, welcoming and inclusive company. We pride ourselves on our culture. In a competitive employment environment, we all need to participate in this very important effort to retain our valuable associates and ensure a steady stream of talented recruits. • The move to our new headquarters will likely provide some headaches for us. As such, we need everyone to work with our management teams as we plan for a smooth transfer of activities from our 36th Street location to the new Lucerne building. Our goal is to make this transition as seamless as possible. There is a lot of behind the scenes planning going on and if you would like to assist, please send a note to Amanda Allspach. • Most economists believe there is about a 1/3 chance of a recession in 2019. A recession can take many
shapes and the impacts on Mill tomers. Adding quality customers Steel can vary greatly depending from whom we expect growth in on the sectors impacted. The posi- 2019 and beyond is a critical buildtive for us is that Mill Steel is a very ing block to our sustained growth diverse company. We have a strong foundation. automotive presence, but we also • Our plan for 2019 will be to keep have significant business in many doing what we know has worked – other sectors of the economy in- serve our customer to the best of cluding; housing, industrial equip- our abilities and always be looking ment, agricultural manufacturing, for the next opportunity. We will commercial building products, keep well informed about the incarport construction, heating and dustries our customers serve and cooling manufacturing, etc. respond promptly to their needs. We are well positioned for a strong economy and well positioned for a Carl Quenneville downturn. David Samrick has alDid our company grow in 2018? If ways reminded us, “the beauty of so, do you expect this to continue being the smallest of the big guys in the next year? is that we are nimble enough to We have seen manage our way through any obgrowth across stacle thrown our way.” all business segments in 2018. One example Rob Vella being our no- What are some exciting things we table growth in can look forward to in Operations the automotive in 2019? sector. It apWe invested pears that North $2,000,000 in American Vehipurchasing cle Production for 2018 was 17.1 MM two parcels advehicles, a 0.8% increase. Our sales jacent to our to the auto industry grew by over Melvindale facil10%, far outpacing this 0.8% vehicle ity. Our Melvinproduction growth. dale facility has • We witnessed significant growth been running last year as a result of a shift in conat or near its casumer preferences. Our measure pacity for more of production is expressed in “tons than a year and we are excited to sold”. Automotive production on now have the space to expand. the other hand measures produc- • SSP has some exciting updates tion in “vehicles built” which makes coming in 2019 as well. We have a no distinction between a compact new structural roll former coming car and a full-size SUV. We saw a to Houston. The line is currently continuation of the trend in favor getting installed and will be operaof SUV’s, crossovers, and full-size tional in March. We’re also retooling pick-up trucks in 2018. Therefore, our accessory line to manufacture Mill Steel benefits from this shift slotted slip products. Both projects towards more steel intensive ve- will increase our efficiency and enhicles such that even flat vehicle hance our product offering. production growth can yield inTell us about the new headquarcreased consumption of steel. ters in Grand Rapids and some • Doing a great job for great cusfeatures you've been working on tomers has proved to be the surin the new building? est path to profitable growth and 2018 was no exception. Working to • I think the new office will enhance grow naturally means constantly the great culture we already have. identifying and pursuing new cus-
INDEX 2 Partner Insight Cont'd. 2
Associate Highlight: Tyler Uhazie
3 Hello My Name Is
4 Big Buck Winners
4
Contest Corner
4 Weight Loss Results In Case You Didn't 4 Know
NORMS
& VALUES
People We believe in ourselves and trust one another. Customer Satisfaction We will do everything necessary to meet the needs of our customers. Accountability We are accountable to our customers and to eachother. Quality Work Environment We will provide a challenging work environment. Community We support our community needs. Profit We will earn a reasonable profit to assure stability and security for ourselves. Employee Empowerment We are empowered to do our jobs. Quality and Continuous Improvement We believe in continuous improvement through the use of corrective action process. Facilities We will have a clean, safe place to work. Integrity/Ethics We will be honest and fair.