Ovako’s strategy is based on three areas of development focused on operational excellence, growing in key segments and building a platform for the future.
Strategic areas of development
1. Drive operational excellence
- Further improve safety
Continuously improve workplace safety across all operations with the long-term ambition to reach zero accidents.
- Strengthen competitiveness through lean initiatives, cost- efficiency and clear operational priorities
Execute central and local initiatives to improve processes and cost control while implementing clear operational priorities with focus on safety, quality, delivery and productivity.
- Enhance commercial capabilities through next wave of digitalization, sales and pricing initiatives
Introduce new digital tools and processes, as well as training in areas including sales and group pricing initiatives.
2. Generate growth in key segments
- Grow in attractive niches through clear strategies for key segments
Drive growth in key leadership areas through clear segment strategies, both geographically and in terms of products.
- Capture growth in US and APAC, leveraging our global leading products
Evaluate opportunities to follow our customers globally and in other ways generate growth in new geographies.
3. Build a platform for the future
- Continue to invest in technology leadership with materials and products for new applications
Develop new products for leading applications.
- Build customer preference by offering world-leading low carbon footprint
Maintain and develop Ovako’s leadership in sustainability and green steel.
- Selectively evaluate strategic M&A to reinforce leadership in core market segments and/or drive consolidation
Continuously review opportunities to acquire companies that are leaders in their markets or that offer products or services further down the value chain that can augment the existing line.
The ambition is to reach zero accidents with an initial target of an LTIFR (accidents with sick leave per million working hours) below the average for Nordic peers (<5).
To be number one in customer preference, driven by attractive products, superior customer relationships, leading delivery service and lowest cradle-to-gate carbon footprint.
Ovako’s financial targets reflect our ambition of profitable growth, operational efficiency and a capital structure adapted to the business cycle of the steel industry.