Annual Report 2010 - Outokumpu

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Excel in operations
Safe working conditions and reliable production schedules are clear indications of operational quality. Outokumpu will
continue to focus on operational excellence and associated long-term improvements, which lead to reduced variability in
production, cost savings in raw materials and procurement, lower inventory levels and the provision of safe and clean
working environments.
Ferrochrome expansion
Outokumpu differs from its competitors in the stainless steel sector by having its own chromium mine and ferrochrome
production facilities. The availability of an in-house source of ferrochrome, an important raw material in the stainless steel
production process, yields unique cost savings in terms of raw materials, energy usage and logistics. The doubling of the
ferrochrome production that is currently under way will provide the Group with an attractive growth business as
Outokumpu will also become a significant supplier of ferrochrome to external markets.
Growth outside Europe
The most attractive growth markets in the stainless steel sector lie outside Europe, Outokumpu's traditional home
market. The Group will continue to strengthen its global sales network and is aiming for the leading global position in
project-based industrial applications. In the longer term, an increased Outokumpu presence in high-growth markets and
other attractive commercial opportunities will be considered.
Fast implementation and follow-up
Outokumpu's short-term focus is on efficient and rapid strategy implementation, with progress being monitored using key
strategic performance indicators. These are:
safety (lost-time injuries)
profitability (EBIT)
customer satisfaction (net-promoter score)
delivery performance (% on-time deliveries)
Outokumpu Annual Report 2010 – Outokumpu – Strategy