Message From Our CEO
” Forging manufacturing capability, addressing megatrends, and creating the value of steel
Assalaamu Aleikum Warahmatullaah / May the Blessings of the Divine be up on you
Since 1992, when Baghlaf Steel Saudi Arabia was established, we have promoted business development aggressively and implemented restructuring in Saudi Arabia and the Middle East.
Recently, we have expanded our Operations worldwide to the Far East and South America and Europe to move forward and grow in the world market, as a global steelmaker with origins in
We must appropriately address social and industrial megatrends. This includes our response to structural changes in society and industries, such as rapid progress in advanced information
In addition, we must make our contribution to achieving the Sustainable Development Goals (SDGs) – or more specifically, reduction of greenhouse gas, formation of a recycling-oriented
society, and other measures aimed at realizing a sustainable society. Even in the midst of such a changing environment, steel remains a basic material with outstanding properties, which
cannot be replaced by alternative materials, and will continue to be widely used in society, especially as the global economy continues to grow.
Meanwhile, the balance of supply and demand for steel is drastically affected by the Covid Pandamic worldwide, however we are blessed that things have returned to normality and the huge demand from all over the world has presented it self at our gates .
We have restructed us to the emerging hugh world demand , and We at Baghlaf Steel re-dedicate ourselves to be the best steelmaker with world-leading capabilities by enhancing
competitiveness and achieving corporate value through tireless pursuit of three elements: technological innovation, cost reduction, and global reach.
Let me explain four priority issues we are now working on :
– The first priority issue is to take all possible measures for a steelmaker related to safety, environment, disaster prevention, quality, and compliance.
I believe that the trust afforded by society is the foundation of the existence of a company and is a prerequisite for sustainable growth. Each and every one of us at Baghlaf Steel pledges to firmly comply with the set rules.
– The second issue is to rebuild and reinforce our profit base. Rebuilding our “strength in manufacturing” is critically important.
Some of our manufacturing workplaces had operational and equipment troubles, which led to an increase in cost and a drop in production, and have not fully met the expectations of our
customers. We must therefore restore stable production as quickly as possible : by establishing a solid manufacturing base, including refurbishing key facilities; by executing practical measures regarding hardware and software, including measures to prevent operational problems; and by thoroughly implementing initiatives to enhance managers’ capability in line management and to strengthen training and development in workplaces.
– Next comes the enhancement of our “strength in sales and marketing”. What I mean by “strength in sales and marketing” is the ability to make the value of our products and services merit
and be appreciated by our customers thereby allowing us to secure appropriate margins that enable us to sustain business.
Our value should include stable supply in an increasingly difficult material purchasing environment as well as in making proposals to help our customers add value and improve productivity.
The steel industry plays a critical role upstream in the industrial supply chain and, unless we earn sufficient margin that allows us to keep production at a satisfactorily high level, we may not
be able to maintain that role. We will therefore continue efforts for securing margins.
– The third priority issue is to expand profit in overseas business. While global steel demand will continue to increase, particularly in emerging countries, the trend favoring domestic-made
products and protectionism must be anticipated to accelerate. Against such a background, we will focus on injecting our management resources in markets with high potential demand
growth, and in areas where we can make use of our technological and product strength. At the same time, we are committed to expanding earnings power of our overseas business by raising our presence as well as by contributing to the host countries’ shift towards self-sufficiency.
– The fourth and last priority issue is to promote business transformation, standardization, and workstyle reforms. Our aim is to establish the working environment in which we can perform
our best, partly by aggressively adopting advanced IT tools. This should lead us to become more productive and more competitive, and improve our outcome.
I embrace the expectations of all stakeholders and am absolutely committed to taking the lead and making my utmost efforts so that Baghlaf Steel, as a vigorous, integrated whole, will
achieve growth through enhanced alliances and generation of synergies, earning the trust and credibility from society as a steelmaker with origins in Saudi Arabia, increasing corporate value, and expanding the power of our brand. Let me ask for your support and cooperation in our journey to position ourselves surely and firmly as the best steelmaker with world-leading
capabilities through speedy decision-making and unfaltering, consistent execution.
BAGHLAF STEEL SAUDI ARABIA
CEO – Mr. Khalid Salmeen Bajandooh