Aludium Today 9

Aludium Magazine August 2019 | Issue 09

Focus Amorebieta at the heart of Aludium Changes at the top: meet the new team

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Index

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Welcome

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Oliver Bell takes the reins

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Markus Plakolm appointed Vice President of Manufacturing

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Aludium appoints Daniel Jubera as CCO

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New man in town, meet Alberto Ruiz

10 Making it happen every day August 2019 | Issue 09

14 Making the difference with high quality surfaces

17 Colophon Editorial staff: Elsy Aelvoet, Bob Van Cauwenberghe, Dan Smith Contributors: Oliver Bell, Markus Plakolm, Daniel Jubera, Alberto Ruiz, José Ignacio, Gorka Murcia Fernandez, Cristina Barturen Ercilla, Luis Sainz, Diego Pastor Ruiz, Oscar Parra, Jorge Macías, Igor Dorronsoro Ojanguren, Eduardo Garate Alvaro, Juan del Río Martín.

Your opinion counts!

Please email your suggestions or comments to: marketing@aludium.com

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Gorka Murcia Fernandez, new Amorebieta HR Manager focuses on new challenges

18 Update

By the end of 2019 we expect the multi-chamber furnace to be at full production

Welcome to the latest edition of Aludium Today. The focus in this edition is on Aludium Amorebieta. Located in the Basque region in Spain’s north, the plant is at the heart of Aludium’s operations. Almost all the aluminium we produce passes through this facility at some point in its life.

Over the past few years Amorebieta has undergone massive changes. That started with the installation of the new rotary furnace in 2016, and has continued as we install our new multi-chamber furnace and its supporting infrastructure.

Around the time you receive this edition of Aludium Today, that multi-chamber furnace

will be in the final stages of its ramp-up. By the end of 2019 we expect it to be at full production. It will help Aludium to reduce our carbon emissions significantly.

Over the past six months there have been several adjustments to Aludium’s lead team. The new appointments – including myself – are already looking to see how we can build on the successes of the past while positioning Aludium for a sustainable long-term future. You can catch up with the changes and meet most of us in the following pages.

I hope you enjoy reading this edition of Aludium Today.

Oliver Bell, Aludium CEO

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OLIVER BELL takes the reins Aludium Today (AT): How did you get started in the aluminium industry?

Oliver Bell (OB): When I left university, I began my career in sales before going into operations. I worked for several mid-size companies before taking up a leadership role at Norsk Hydro. There I became head of the rolling business. At the time, this was a non-strategic activity, but we lifted the unit to a position where it became a core business.

We achieved this by becoming a leader in our defined markets and developing new segments such as automotive. This earned us the right to grow and implement strategic investments – up to €200 million in 2013 and 2014.

That raised our profile and enabled the rolling business to become one of the most profitable units.

Oliver Bell was appointed interim CEO of Aludium effective from 1 May 2019. He has almost 30 years of experience in the aluminium industry and has held multiple senior leadership roles. Aludium Today spoke with Oliver to discover his vision for the next chapter in Aludium’s evolution.

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AT: I believe you had your first contact with Aludium’s Alicante mill in this role?

OB: I first visited the Amorebieta and Alicante mills in 2009 and was impressed by some of their best practices. As soon as I got back, I implemented some - for example, the system of daily meetings with the production teams in each plant.

AT: And then you had your first contact with Atlas Holdings…

OB: In 2015, I became CEO of Deutsche Edelstahlwerke GmbH. Shortly after that, I had my first contact with Atlas Holdings.

The following year I became an operational partner with Atlas and a member of the Aludium board. In that position, I helped to develop the strategic plan for Aludium.

AT: What were your first impressions of Aludium?

OB: I discovered a highly motivated and dedicated team. And everyone was keen to develop the company by doing their individual jobs very well.

AT: How is Aludium performing?

OB: 2018 was a good year in terms of volume, but our financial results were lower than forecast. The main reason for this is that we have grown our portfolio of commodity products with low margins, but our added value products haven’t grown as well. The strategic plan was always to focus on products with added value, such as alloys where surface properties are critical.

AT: How can we rectify this situation?

OB: We need to go back to the initial strategic plan and stick to it. In a nutshell, that means focusing on three pillars: 1. Becoming a reliable partner in our core markets, particularly Building and Construction and Distribution, in terms of quality and delivery performance. We need to exceed the expectations of our customers in these areas.

2. Upgrading our portfolio by developing products with high quality and unique surface properties which suit new markets, particularly specialty products.

3. World class delivery performance, excellent quality, and providing superior service – including technical support – to customers. And that’s where our Cindal experts come into the picture. They can help our customers to grow successfully and ensure Aludium becomes a preferred supplier.

Aludium CEO

AT: Why is Aludium the better alternative to Asian producers?

OB: Every day, we need to answer one question – why would anybody buy from us? As our existing customers know, the main reason is that we are a proven, reliable, and stable partner with a long-term strategy for our core markets.

Secondly, we are close to our European customers so we can offer short lead times and excellent logistics. And finally, our three plants are organised as one system.

Key production processes can be performed at more than one plant to provide a back up. Whatever alloy, finish, or property a customer needs, we can supply it from one of our three mills - fast!

We need to be the preferred partner for our customers. And the only way to achieve that is to compete on service, quality, and delivery performance. And it is here that our teams need to lift the bar even higher every day. It’s a bit like a football match - you can only win if everybody on the team is performing at their best.

AT: Is Amorebieta still Aludium’s flagship mill?

OB: In the past, Amorebieta has always been the leading plant in terms of quality and delivery performance. Alicante has performed very well over the past few years. Now I want to grow Amorebieta back to a leading position by improving quality and delivery performance.

AT: How has Alicante achieved this remarkable feat?

OB: It’s been down to seven years of hard work by Alberto Ruiz and his team. They have clearly improved and become an agile, customer-driven organisation with a strong focus on quality and deliveries. The Atlas management team has seen this and proven our belief in the mill by investing in the re-opening of the Alicante cast house.

AT: Can Amorebieta regain its leading position?

OB: I am very confident that Amorebieta can do this. Firstly, the mill is the heart of Aludium – all the aluminium we produce passes through this mill. Secondly, there has been a lot of investment in Amorebieta over the past few years. That’s led to a lot of disruption, a lot of changes.

But the Atlas board has expressed confidence in Amorebieta by making these major investments. Now it’s time for the focus to shift to our people, and to the

processes and procedures we use. And we need to make the move to becoming a customer-driven organisation. That requires a fighting spirit to win the game, and even more so in the competitive environment which exists now.

I know it can be done – we have the right people in place. I was responsible for this at a plant in Norway. There we were able to realise a turnaround by placing a strong focus on added value products and lifting the bar every day in terms of service and performance.

AT: You mentioned that we’re operating in a ‘competitive environment’. How do we need to adapt and survive?

OB: In the markets in which Aludium, and particularly Amorebieta, has achieved an important position, things are developing very fast. The level of competition is stronger than ever.

The only way to make our position stronger is to focus on product quality. That is not just important for specialty products, but also for our product portfolio in the building and construction and distribution sectors. The better our products are, the more chance we have to become a repeat or preferred supplier.

Alicante has already done this exercise and is managing the complexity and flexibility required. Now we need to prepare Amorebieta to do the same. That’s why we moved the architect of change in Alicante – Alberto Ruiz – to Amorebieta. The success of the change in Alicante was down to placing a strong focus on the perfect application of processes and procedures.

By doing that, we take quality to the next level automatically.

AT: Which KPIs are the most important?

OB: Safety is our license to operate, so that comes above everything. But when it comes to customer satisfaction, quality and delivery performance are key. Our motto should be: ‘Never do the same thing twice.’

That is why I want to focus on these KPIs: • Lost work-day rate (LWDR): Safety is always our top priority.

• Delivery performance.

• Claim rate: If the product is rejected, we need to redo the job and we have an unsatisfied customer.

• Recovery rate: The more material we need to recover, the more spill we have. This rework should be avoided.

“Every day, we need to answer one question – why would anybody buy from us?”

AT: The move of Alberto Ruiz to Amorebieta leaves big shoes to fill in Alicante…

OB: Absolutely. But we have chosen José Ignacio Juan Planelles who was a key part of Alberto Ruiz’s team. José Ignacio understands he has a duty to continue along the continuous improvement path to ensure we protect the gains we have made in Alicante. But I’m very confident that this will be the case.

AT: And there is a new plant director in Castelsarrasin…

OB: Yes, Julien Saurat – and he will have the same task. The focus will be on people, and our processes and procedures. We want to make the plant much more competitive in terms of delivery performance and quality.

Castelsarrasin is the plant where we make products with the highest quality surfaces for our most demanding customers, so there is huge scope.

AT: Are you confident 2019 will be a good year for Aludium?

OB: 2019 is a crucial year for Aludium. This year we need to establish the basis of our future. We need to be more ambitious, we need to be better than our competition, and we need to be faster than them without affecting quality. In this way we will differentiate Aludium from our competitors, particularly those in Asia. But we also need to remember that the future is in our hands. ■

Meet

Oliver Bell Oliver Bell was born in Cologne (Germany). He gained a Master’s in Business Administration at the University of Cologne. In his younger days, Oliver played first division hockey. Today he enjoys tennis, golf, and spending time with his family and friends.

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Vice President of Manufacturing

Markus Plakolm appointed Vice President of Manufacturing

Aludium appoints On 1 July 2019, Daniel Jubera joined Aludium as Chief Commercial Officer (CCO). This is a new and key position for the company. Aludium Today was there on his second day to find out more about Daniel, and the role of the CCO.

In December 2018, the acting plant director of Aludium Amorebieta – Markus Plakolm – was appointed Aludium’s Vice President of Manufacturing. Markus was replaced as Amorebieta plant director by Alberto Ruiz who formerly held this position in Alicante. Alberto was replaced as Alicante plant director by the promotion of José Ignacio Juan Planelles.

Since his appointment, Markus has been reviewing the operations of all three Aludium plants. A key focus has been the standardisation of performance indicators and quality systems. The goal is to ensure they are the same in all plants, and throughout Aludium’s organisation.

This was the subject of the first Aludium manufacturing meeting which involved all of the company’s plant managers. The meeting agreed that the manufacturing team would create standardised production and maintenance systems which respect the needs of individual plants. Some initial actions will involve sharing best practices and providing more support for plant managers in their daily operations.

With the completion of major investment projects (such as the

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re-opening of the cast house in Alicante and the commissioning of the multi-chamber furnace in Amorebieta), the manufacturing team will now concentrate on optimising the new equipment to obtain the best results. That will involve assessing how processes, procedures, and quality are affected by human factors.

During the manufacturing meeting, the performance of Aludium Castelsarrasin was also discussed.

The plant is on track to improve the quality and volume of its output.

Although profitably was affected when the reflector market collapsed (due to the widespread adoption of LED lighting), the sales team is already exploring new opportunities for the mill’s output. These efforts are starting to pay off and Castelsarrasin is expected to return to profitability in 2019. ■

Aludium Today (AT): You are Aludium’s first CCO. Can you explain the role and what you will be doing?

Daniel Jubera (DJ): The task of the CCO is to create value for the company, for our shareholders, and for our customers. As CCO, I will achieve this by defining and implementing a commercial strategy for the business. That strategy must be sustainable, and it needs to drive our profitability so that we can grow and invest in the future.

It sounds simple, but it’s quite complicated because of the fast-changing global market in which we operate. But it can happen if, as a company, we work in the same direction. We need to lead and be the benchmark in several areas including quality, delivery performance, reliability, new product development, and sustainability.

AT: What will be your strategy? Where will you focus?

(DJ): This is only my second day, so it’s quite early to say exactly. But one priority is to ensure that we meet our targets and commitments for 2019. That will require a lot of interaction within the sales team and support from all parts Aludium. In a second step, we will define our sales strategy for 2020 and beyond. That process will happen over the next few months.

AT: Have you worked in similar positions before?

(DJ): Yes, but every company is different – in many areas – and they are also positioned differently in the market.

Knowing the industry is an advantage, but there is no magic formula.

AT: What have been your biggest achievements?

CCO

Daniel Jubera as CCO (DJ): Professionally, there have been some related to contracts. The details are confidential of course. But normally after long and difficult negotiations, when you finally close the deal… that’s a great moment! But you forget it quite fast as the next deal is waiting to be done.

On the personal side, my greatest achievement is the family I have.

AT: How do you realise your goals?

(DJ): There is no standard formula. I think that there are many elements which go into achieving any goal in life. Things like a willingness to improve, respect, perseverance, commitment… all of these are necessary. It is also important to try and establish long-term partnerships. That takes time and is based on establishing trust and creating win-win situations for both parties.

AT: Which KPIs are important to you?

(DJ): We need to keep our promises and work every day to improve how we do things. That will happen step-by-step.

AT: What attracted you to Aludium?

(DJ): Aludium has gone through several phases and now is a good time to move to the next chapter. We have new investments coming into full production and they will offer us major benefits in many ways. We have a unique chance to position ourselves as a real market-leader in several segments, and we can compete head-to-head in others. It is an interesting time for Aludium. As a team, we have the chance to shape the future of the business.

AT: You’ve had quite an introduction to Aludium…

(DJ): I’ve started with a two-day sales meeting with the CEO, the complete Sales team, and other key functions in the company. For me, this has been the best introduction I could have imagined. I have had the chance to meet each of the team members and gain a quick overview of many aspects of the company.

AT: Can you explain the changes to Aludium’s sales organisation?

(DJ): As you know, Christiane Huber is

leaving the company after many years.

That requires us to make a few changes and reorganise the team. For example, Michael Brandner is taking over the role of Sales Director for Specialty products and Marcus Jerk is now our Overseas Sales Manager. And Cindy Munnikhuis has been promoted to Sales Account Manager in Michael’s team. Quite a lot of change is happening in a very short time.

AT: How do you see the role of Cindal in the sales plan?

(DJ): Cindal is a key element, not only today, but especially for our future. Our customers are demanding new products with better performance. In Cindal we have the right partner for them. They can develop our future product portfolio and offer technical support to our customers.

AT: Where do you see opportunities for Aludium?

(DJ): There are many. We cannot forget that we are still in a growing market – demand for aluminium will continue to grow over the next few years. We need to ensure that we follow new market trends by offering sustainable products and that we achieve ‘preferred supplier status’ with our customers. To achieve that we need to offer balanced and reliable products and services to our customers.

AT: What are the most recent trends in the industry and how can we anticipate them?

(DJ): Sustainability will be a key element for us as an industry and it will have an impact in all markets. Consumer reactions to plastics will create additional demands for aluminium and/or glass packaging. The electrification of mobility solutions is another trend we need to monitor closely.

We’ve already seen this with conventional cars, but there will be an increased need to lightweight electric vehicles.

AT: Which type of customers are we looking for?

(DJ): With many of our customers we have long-term relationships. We want to maintain these relationships and grow with new customers in the same way. ■

Meet

Daniel Jubera Daniel Jubera was born in Madrid in 1971. He studied to be an Industrial Engineer at ETH Zurich and gained a Masters’ degree in science from Brunel University in the UK. Daniel has both Swiss and Spanish citizenship.

He began his career in Spain, working as a sales director in the automotive stamping and tooling field.

In 2008, Daniel moved to Switzerland with his family where he had his first contact with aluminium. He spent five years leading the automotive sales team of an aluminium producer in Europe. In 2016, he joined another aluminium roller as Segment Manager for their Automotive Body Sheet business. Before joining Aludium, Daniel was Sales and Marketing Director at one of the company’s plants in Germany In his free time, Daniel enjoys spending time with his family, hiking, skiing, and motorcycling.

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Amorebieta in the SP

TLIGHT

New man

in town

Alberto Ruiz took over as plant manager of Aludium Amorebieta on 1 April 2019, after more than 10 years in Alicante. In this interview, Alberto speaks with Aludium Today about his time in Alicante and his initial impressions of Amorebieta.

Meet

Alberto Ruiz Alberto Ruiz was born in Valencia, but moved to Bilbao in June 2019 with his family. After receiving a degree in chemical engineering from the Polytechnic University of Valencia in 1999, Alberto was awarded an MBA from the Escuela de Administracion de Empresas (EAE Business School) in 2015.

Alberto has been a member of the Atlas Leadership Academy since 2016.

For the first eight years of his career, Alberto worked in quality and project management at SVS Systems, a leading supplier to the automotive industry. He took up the position of Quality Manager for Alcoa Alicante in 2007. By June 2012 he had been appointed Plant Director for the Alicante mill.

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Aludium Today (AT): What were your biggest achievements in Alicante?

Alberto Ruiz (AR): There have been two.

Firstly, I’m proud to have been part of a committed team that was able to perform at the highest level. We have a unique combination of strengths, and that has enabled us to prepare the plant for the future. And every member of the team added value.

The second major achievement has been the development of a new quality system based on International Automotive Task Force (IATF) rules for the automotive industry. The system has a special focus on process management tools. It’s about making our people aware of the importance of quality and how to deal with process variables. The system has been the basis for a lot of the progress the mill has made. Working with quality in mind has helped us to stabilise production, reduce internal rejections, and minimise customer claims. That makes our customers happy and contributes positively to Aludium’s bottom line.

AT: Can you tell us more about the new maintenance software (PRISMA)?

AR: : We’re investing around €300,000 on PRISMA and its integration into Aludium’s manufacturing system. PRISMA is the best system of its type in Europe and is used by major companies.

During 2019 we will run a pilot phase in Amorebieta and Alicante. Amorebieta will run the system in the hot mill and rolling mills (LF5). This represents a step change in how we manage our assets and the management system. That’s critical for a company our size.

AT: Do you have any advice for José Ignacio, your successor as Plant Manager in Alicante?

AR: My only advice would be to keep things running as they are for the first three or four months. That will give him time to discover what needs to be improved. My focus has always been on quality, but José is more of a production man. That will give him a different perspective. I’m sure Alicante will continue improving, and with renewed energy.

The re-opening of the cast house in Alicante and the qualification of some new products are also new challenges for the team. And it gives Alicante a new opportunity to grow as an organisation. I believe in the Alicante team and I’m sure they will do well under José’s guidance.

AT: You have been in Amorebieta since 1 April 2019. What are your first impressions?

AR: I found a good team with excellent technical knowledge, experience, and professionalism. Of course, there is still some room for improvement. They have their priorities well aligned and seem ready to take on new challenges.

AT: What are those challenges?

AR: We need to increase our focus on safety, improve quality, and sustain and grow the mill’s best-in-class manufacturing system. Improving quality is a must for us and will help us to satisfy customers, make a positive financial contribution to the business, and create new market opportunities for our products. All three are vital if we want to guarantee the future of Aludium.

Amorebieta in the SP

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“ My focus will be on running the cast house at full productivity... it ensures that every bit of energy we use goes into producing aluminium.”

The new casting pit 3 includes an automatic and hands free starting casting machine for 5 strands

“ People are the key.

We all need to understand that we are responsible for quality every minute we are at work.”

AT: You are an expert in quality management. How can you improve quality in Amorebieta?

AR: People are the key. We all need to understand that we are responsible for quality every minute we are at work.

Improving quality can only happen if we translate the deep knowledge we have about our processes into clear standards which can be followed up. This will help us to maintain the stability of our processes and improve reactivity while continuously improving what we do.

AT: What is the status of the multichamber furnace installation?

AR: We started the ramp-up early in May and have been running around the clock ever since. We expect to be at full production capacity by the end of September.

AT: What is your personal goal for Amorebieta?

AR: I’m really committed to working with the team to create a high-performance plant which is sustainable and makes all our stakeholders happy.

To achieve this, we need a committed team that is willing to perform at the top of their ability. Every member of the team has value to add. The unique combination of their strengths will enable us to prepare the plant for the future AT: We are hearing a lot about Industry 4.0. Can you explain the concept and what needs to be done?

AR: Industry 4.0 involves extracting all the data we can get from our business. We create a system where we can manipulate that data and learn from it. For example, we can see if a component is performing at its peak capacity. If it’s not, the system might indicate to us that we need to do preventative maintenance to stop a complete failure. It enables us to be proactive rather than reactive.

Our focus in 2019 will be on quality improvement, team empowerment, the ramp-up of the cast house, and the start-up of the PRISMA maintenance software. That will give us the stability and data collection processes that we need to drive improvement. Once we achieve these priorities, we will expand our Industry 4.0 vision further.

AT: How will you make the production process more sustainable?

AR: My focus will be on running the cast house at full productivity. That might sound counter-intuitive, but it ensures that every bit of energy we use goes into producing aluminium.

The multi-chamber furnace will also help us to close the recycling loop with our customers. We can melt their scrap in both the multi-chamber and rotary furnaces which reduces our reliance on raw materials and improves our carbon footprint.

AT: Amorebieta is a leading supplier of aluminium for the building and construction and distribution markets.

How will you serve these markets?

AR: Quality and service – these are the key words.

AT: What will be the focus of Safety Week 2019 in Amorebieta?

AR: Across Aludium, the central focus will be on the Human Performance Program. In Amorebieta, a key safety issue is the risks associated with molten metal. With almost 500 tonnes of molten metal moving around the plant daily now, this must also be a central theme here.

We will also continue the work on safety around mobile equipment which we started in Safety Week 2018. ■

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Team in the SP

TLIGHT

Making it happen every day Almost 600 people work at Aludium’s plant in Amorebieta.

The mill is at the heart of Aludium’s operations with nearly all metal passing through the facility at some stage during its production. Aludium Today has spoken with several people at the plant to find out how they got started with the company, their job, and the challenges they face.

Juan del Río Martín, Quality Manager In 1999, Juan started his career at Aludium thanks to a scholarship. That saw him working in the Analysis department of the Cindal R&D centre in Alicante for three years. He then became responsible for corrosion testing and finishing at Cindal. Juan’s expertise saw him promoted to technical support where he provided advice to plants and customers, particularly on lithography products.

Juan became manager of the lithography flow-path in 2007 and finishing manager in 2012. He then became product manager within the Alicante Quality department. He moved to Amorebieta in 2017 to take up the

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A typical day starts with Juan inspecting the main finishing installations at the mill to ensure that products are in line with customer expectations. That’s followed by a Quality team conference which reviews daily indicators, defines short-term actions, and prioritises the high-risk tasks of the day for each machine. “These are typically projects which need close supervision due the importance of quality for the customer.”

As part of the Quality team, Juan then participates in the daily operational meeting with Planning, Maintenance, Operations, Customer Service, and EHS. “Here we share relevant indicators, the latest feedback from customers, and the tasks of the day for each machine. We also discuss hot topics with the other teams.”

The day typically ends with Juan participating in various working groups. “These groups look for a solution to particular issues such as non-conformance with our performance targets. We also have working groups for new projects or to investigate specific customer questions.”

Eduardo Garate Alvaro, Cast House Area Manager In March 2017, Eduardo joined Aludium as manager of the Amorebieta cast house. He became operational manager of the cast house in November 2018.

Since work began to install a new multichamber furnace in Amorebieta, Eduardo’s day is divided between the new existing installations. “The ramp-up of the multichamber furnace is a major project and will make a big contribution to Aludium’s results. But our existing production facilities are also key and must keep operating while we finalise the works. We are also working to improve the internal rejection and availability rates of these furnaces.”

To ensure both projects in the cast house remain on track, the Engineering and Maintenance teams have temporarily been divided in two.

One part of each team looks after the multi-chamber furnace installation, while the other works to maintain and improve the existing facilities.

“Leading this change has been very ambitious and challenging, but very satisfying at the same time.”

Cast House

position of Quality Manager where he is responsible for reinforcing Aludium’s processes, improving the revenue from existing products, and developing new ones.

Team in the SP

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rom left to right: Javier Ufano – Cast House Process Engineer, Eduardo Garate – Cast House F Operations Manager, Igor Dorronsoro – Cast House Maintenance Supervisor

Igor Dorronsoro Ojanguren, Cast House Maintenance Supervisor Another INESPAL veteran is Igor Dorronsoro Ojanguren who started working at Amorebieta in 1994. After gaining experience in the cast house and hot mill, Igor became head of the Mechanical Maintenance workshop in 2009. In 2013, he was appointed workshop manager in the cast house before becoming cast house maintenance supervisor.

First thing in the morning, Igor reviews all incidents that have occurred in the cast house or that are listed on the daily

Working at the pit 3

production report. He then prioritises the incidents and lists them for discussion in the daily Cast House team meeting.

Igor is also responsible for the maintenance of the mobile equipment used in Amorebieta. Each day he analyses and manages reports and incidents involving the mobile equipment and the subcontractor who is responsible for performing the actual maintenance.

Like other teams in Amorebieta, the Cast House team has been divided in two. One part looks after the existing casting facilities, while the second works on the installation and ramp up of the multi-chamber furnace.

Unusually, Igor supports both teams.

The implementation of the rotary hearth furnace in 2016 was an important challenge for the Cast House and Maintenance teams. “The installation of the multichamber furnace has been very complex in comparison. It is totally different from the other melting technologies we use, so we have had a lot of learning and training. This process is ongoing and will be quite long.”

The new multi-chamber furnace

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Team in the SP

TLIGHT

Oscar Parra, Hot Mill Maintenance Manager Oscar joined INESPAL in 1988 as part of the team for a new hot mill. “I was fortunate to work as an electrician on its implementation and development. We were very involved in the improvements that were made immediately after the hot mill was installed. We turned it into the best hot mill in the Alcoa network in terms of reliability and productivity.”

rom left to right: Oscar Parra – Hot Rolling Maintenance Supervisor, F Jorge Macias – Hot Rolling Manager

Jorge Macías, Hot Mill Area Manager When Jorge joined the Amorebieta mill in 1993, the facility was still a part of INESPAL. Starting as the hot mill shift manager, Jorge was promoted to the position of process engineer after five years. In 2005 he became head of service for hot rolling and in 2007 also took responsibility for cold rolling. With the 2015 change to Aludium, Jorge initially became responsible for the cold rolling mill and finishing area before returning to hot rolling in 2016.

Before he leaves for work, Jorge checks the production indicators for the previous day.

“I pay particular attention to the safety, quality, and production indicators. The first thing I do when I arrive at the factory is check the hot-mill coolant is within its defined parameters.

Hot Mill

At 10.15 every morning he meets with the Maintenance team to identify solutions for any glitches that have occurred.

“Together we find the best solution for each one. Later I participate in the operations meeting in the factory. Here we define the key activities for the day.”

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The rest of the day is dedicated to tasks such as investments, short- and mediumterm projects, and other specific issues. On Mondays, Jorge is also involved in the Amorebieta Management team meeting.

Jorge’s main objective is to achieve the production level required safely and in line with customer expectations. This must be regularly adjusted in line with budget forecasts. “We establish action plans and weekly monitoring is carried out to detect deviations and adjust production to achieve the required level. While it is critical that we comply with safety regulations and produce the amount of material required, the biggest challenge for the hot rolling mill is improving to meet the expectations of customers.”

After five years in charge of electrical maintenance in the foundry and three years in cold rolling, Oscar returned to the hot rolling mill in 2012. There he became responsible for electrical and mechanical maintenance.

The first thing Oscar does every day is analyse the reports left by the relay officers, and the database which contains details of stops and production. “With this information, we talk to the Maintenance team and analyse the errors that have occurred in the last few hours, establish a work plan, and define the priorities for the day.”

Next up is the Production team where Oscar shares the latest incidents, production results, and quality data. Together they agree on actions and define the next machine stops. “Every week we schedule at least one stop to perform pending corrective actions, preventive and predictive maintenance, inspections, and other improvements. The work carried out during the machine stop is essential to ensure the reliability and durability of the equipment. All jobs and procedures are prepared in detail.”

Team in the SP

ristina Barturen C Ercilla, Continuous Improvement Manager

TLIGHT

L uis Sainz, Maintenance & Engineering Manager

Cristina Barturen Ercilla,

Luis Sainz,

Continuous Improvement Manager

Maintenance & Engineering Manager

Cristina started with Alcoa in 2007 as a hot rolling process engineer. She had previous experience as a process engineer in other industrial sectors. “At Amorebieta, I was fortunate to meet other professionals who taught me the concepts of hot rolling and how to optimise a process from the point of view of quality, productivity, and cost.” She worked in hot rolling until 2016 when she moved to the Continuous Improvement department.

Luis began his career in Amorebieta in 2003 as electrical engineer reporting to the maintenance manager. He took over as maintenance and engineering manager in 2009.

Luis leads the team which carries out preventive and corrective maintenance on all assets in the plant. That includes operational lines, buildings, cranes, and utilities. A typical day starts with a team review of the previous day’s incidents and downtime in the cast house and rolling plant. During this meeting, the team also tracks the major maintenance activities planned for the day. “We shouldn’t look at maintenance as a cost for the company. It’s an investment in the plant, increasing the value of our assets and extending the lifetime of the machines.”

The Maintenance team also leads all investment and reliability projects included in the Capex plan. And it’s responsible for restoring service in the event of a major problem: “We must be ready to restore production as quickly as possible at any time in a safe way.”

One of the most critical projects for the Maintenance team today is the installation of the new PRISMA system which will replace the plant’s existing computer maintenance management system (CMMS). “PRISMA will give us structured information about assets in all of Aludium’s plants. We will be able to collect and process much more information. That will allow us to make the best decisions and ensure customer satisfaction remains high.”

As Continuous Improvement Manager, Cristina’s first task of the day is to meet with her team and review the projects for the day. They typically relate to improvements at the mill and ways to increase capacity in various parts of the mill. “Our key goal is to make all changes sustainable over time.”

Cold Mill

The projects are carried out in close cooperation with the different departments in the factory. Monthly and weekly objectives are set for the different projects, and the Continuous Improvement team measures progress against them daily. “In theory, continuous improvement has no end as everything can be improved. It’s a constant challenge to maintain and improve our standards. And it requires the involvement and effort of all levels of the business.”

rom left to right: Diego A. Pastor – Senior Cold Rolling Process F Engineer, Iñigo Ibarreche – Cold Rolling Maintenance, Aurora Rodriguez – Cold Rolling & Finishing Manager, Olaia Bengoa – Junior Cold Rolling Process Engineer

The day is typically broken into two parts. “In the morning we check any issues that have arisen during the afternoon or evening of the previous day. This gives us a clear view of how the mill and furnaces are performing.”

Cold Mill Process Engineer

In the afternoon the team focusses on developing medium- and long-term actions for the mill and furnaces. “That includes quality and improvement plans, and assessing the trials we are running.”

Diego started his career as cast house process engineer in 1999.

“In 2001, I became process engineer for the cold mills. Even though I have been working here for 18 years, I always learn something new.”

With 20 years of experience in the mill, Diego has seen a lot of changes. But he believes becoming part of Aludium has had a positive effect. “Before we became Aludium, it was unusual to see any investment in this plant. Now it has become very usual!”

Diego Pastor Ruiz,

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Alicante news

Making the difference with high quality surfaces

José Ignacio was appointed Plant Director of Aludium Alicante in April 2019. He took over the role from Alberto Ruiz who became Plant Director of Amorebieta at the same time. With the reopening of the cast house in Alicante, the plant is well positioned to improve productivity significantly.

Aludium Today spoke with José Ignacio to discover how he plans to achieve his ambitious goals.

Aludium Today (AT): What is the main challenge for you as Alicante Plant Director?

José Ignacio (JI): The main challenge is keeping our people safe – as it has always been. We do everything we can to ensure the safety of our people. More than half our training time is spent on this subject. And it’s not just watching videos or attending training sessions. In the run-up to the reopening of the Alicante cast house, we spent time doing practical exercises in the Amorebieta cast house to familiarise our people with this environment.

We have received a lot of support from Raoul Aubry, Cast House Technology Manager, who is also a real expert in safety.

AT: How many positions were created by the reopening of the cast house?

JI: There are now 20 people working in the Alicante cast house. Of these, five worked in the cast house before it closed in 2010.

But 15 of them are completely new.

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AT: Was there a lot of interest in these new positions?

JI: There were more than 500 applications for the open jobs in the cast house. Our goal was to create an autonomous, multidisciplinary team so we focussed on people with good mechanical and electrical skills, and applicants who showed good team spirit.

We’ve created a good mixed team which includes young people with technical skills, and experienced people who have worked in similar roles at other companies.

It’s important to note that none of the new people had worked in a cast house before.

This experience comes from the five existing Aludium employees who had worked in the Alicante cast house prior to its closure.

AT: What technological improvements have been made in the cast house to improve safety?

JI: We have installed best-in-class equipment to ensure the safety of everyone

Furnaces and continuous casting line in Alicante.

working in the area. The continuous caster we chose includes several outstanding safety features such as automatic start-up.

This means that we do not need people nearby. In fact, we have done everything we can to ensure we don’t need to put employees in the risk zones of the cast house. For example, cameras have been installed in the new pit to monitor the slab casting process.

AT: You’ve indicated that you want to improve the productivity of the cast house. By how much, and what needs to be done to achieve the goal?

JI: Our general target is to double the productivity of the Alicante cast house compared to the situation in 2010 when it was closed. We’ve already implemented some improvements we need to achieve this goal, such as more automation. But there is still more we can do in this area.

We’ve also installed more productive equipment. For example, the regenerative burners we’ve used will speed up the smelting process.

Our next steps are to improve procedures, and the skills of the people working in the cast house. We’ve started analysing our procedures in detail to identify where improvements can be made to optimise cycle times.

Alicante news

Meet

José Ignacio José Ignacio was born in Alicante.

His father was a maintenance operator at the Alicante plant for more than 40 years, ensuring José was familiar with it from a very young age.

After leaving school, José Ignacio completed a degree in mechanical engineering at the University of Elche. Following an internship at Alicante plant in 2005, he joined Uralita (a ceramic tile manufacturer) as Production Manager in a factory employing 65 people.

AT: What is the situation with the cast house as at the end of May 2019?

JI: The first test slabs were cast on 12 December 2018. By 20 January 2019, we had optimised our processes and were able to cast the first good slabs for customers.

We also produced the first coils from the continuous caster in December. By 24 January, the quality of the coils we were producing was suitable for customers.

On 13 May, we closed the cast house for a week to make some improvements. This is a normal thing with a project of this scale.

During this closure we’ve reinforced the area around the continuous caster, and performed some maintenance on the door sills of the direct caster.

AT: What is your current production level?

JI: The cast house is operating at 70 percent of its capacity. Following the works done in May, we expect to commission another furnace which should be fully operational by the end of June. With the process and other improvements, we expect the cast house will reach full capacity early in the third quarter of this year.

AT: What alloys will you produce in Alicante?

JI: The continuous casting line will mostly

produce coils of alloys in the 3xxx family.

As feedstock, we will use clean scrap, much of it from our own processes. The coils will be cold rolled in Alicante and used to make products for the building and construction market.

Our new slab pit can produce three slabs per drop. Around half of production will be alloys in the 3xxx family, with the other half being alloys in the 8xxx family. All the slabs will be shipped to Amorebieta for hot rolling. The 3xxx slabs will be used for building and construction products. They can be cold rolled and finished in either Alicante or Amorebieta. The 8xxx alloys are typically used to make closures in Alicante.

AT: What are the key markets for Alicante’s production?

JI: Around 30 percent of all the aluminium produced in Alicante goes to the building and construction sector. The remaining 70 percent are products with high quality surfaces. Key applications for these include closures, cosmetic packaging, lithography, solar absorbers, and coffee capsules. Since we were formed in 2015, Aludium has successfully been qualified to supply nearly all the leading companies which are active in these sectors.

We make about 90 percent of our production to order.

In 2008, he came back to the Alicante plant as a Process Engineer with responsibility for continuous improvement processes in slitting and annealing. José worked closely with Alberto Ruiz in this role.

By 2012, José had been promoted to the position of Cold Rolling Manager. His biggest challenge was balancing productivity and optimising the workforce in a time of low demand.

In 2015, he was appointed Production Manager of the Alicante plant when Alberto Ruiz became Plant Manager. José Ignacio took the decision to unify the plant as one production team to remove the ‘silo thinking’ which had affected operations to date. The targets and KPIs of all teams were aligned to create more synergies.

José Ignacio lives in Alicante. His main hobby is cycling. On a typical weekend he tries to ride around 150 kilometres a day. He is happiest when he feels useful and when he has helped people – both in his personal and professional lives.

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Alicante news

I n January 2019, the first slabs for customers left the cast house in Alicante.

“ Our general target is to double the productivity of the Alicante cast house compared to the situation in 2010 when it was closed.”

The remaining 10 percent is not directly linked to a customer order, so it goes into our intermediate stock. That enables Aludium to quickly react to customer demand and meet our short delivery targets.

AT: Now the cast house is operational, what are the main challenges for Alicante?

JI: My personal goal is to break the production record for the plant to ensure we meet the sales plan. I believe we can realise this by putting our focus on continuous improvement and our customers. That means improving our delivery performance even further, and reducing customer claims to the absolute minimum. We’re also monitoring key KPIs such as ‘internal rejection rate’ and ‘recovery rate’ closely to track our performance.

Producing a quality coil involves hundreds of small tasks and involves almost all employees in the plant. We want every employee to take ownership of their tasks to reach our ambitious targets.

We also need to make some further investments. For example, we plan to update gauge meters on the L2 and L58 mills to improve thickness control. During 2019 we will also improve the tension control on the L126 slitter to finalise a project which was started in 2018. We have already installed a new braking system and slitter head. These improvements will ensure we can reach the highest standards

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on surface quality – something that is absolutely vital for our customers in the cosmetic packaging sector.

AT: When you became Plant Director of Alicante, Daniel Lopèz took on your old role of Production Manager. Can you tell us a little about his background?

JI: Before being appointed Production Manager, Daniel Lopèz was responsible for the Engineering department in Alicante. He started in Logistics before joining

The continuous casting line in Alicante.

Engineering. Daniel has a huge amount of technical experience thanks to his involvement in the many upgrading projects we have carried out over the past decade.

In his new role, Daniel’s main challenges will be process and people management.

He will have my full support to become successful in this domain.

Laura Rodriguez Gomis, a young engineer, has taken on Daniel’s former role in the engineering department. Laura started with Aludium three years ago and has been working in engineering, finishing, and the cast house. She has always performed in an outstanding way and has all the capabilities needed to become a technical knowledge reference for the plant.

AT: Can you tell us a little about the Industry 4.0 project which is running in Alicante?

JI: Around the beginning of 2018 we started Industry 4.0 with an external consultancy known as WIKO. The goal is to digitise all the information we have about our production processes, and to use this information to improve and optimise our products, processes, and procedures. It should be complete by the end of 2019.

Once it is fully implemented in Alicante, Industry 4.0 will be rolled out to Amorebieta and Castelsarrasin. It will become the production control system for the entire Aludium group. The project is led by Antonio Miras from the Quality department. ■

HR

New Amorebieta HR Manager focuses on new challenges Gorka Murcia Fernandez joined Aludium as Human Resources (HR) manager of the Amorebieta plant on the first May 2019. His goal is to focus the HR function in Amorebieta on the new challenges facing the mill: “Technology and the different ways of working in a changing environment are key issues for people working at production sites such as Amorebieta. These sites also find it a challenge to attract the right sort of talent.

Getting both things right will enable Aludium to create a strong and sustainable company for the years ahead.”

Meet

Gorka Murcia Fernandez Gorka Murcia Fernandez was born in Barakaldo in Spain’s Basque country. He lives in a small town near Bilbao with his partner and two children.

Gorka gained a bachelor’s degree in psychology before studying for Masters’ degrees in HR management, health and safety and production management, and industrial process improvement. He has more than 15 years of experience in HR and production and has worked at major companies such as Kraft and Unilever.

In his spare time, Gorka enjoys spending time with family and friends, nature, and his motorbike.

In the long-term, Gorka wants to consolidate the HR function at Amorebieta: “HR should be a strong support for other areas of the plant. We also need to help people to develop their careers inside the company. That means implementing a new approach to HR rather than just focussing on labour relations.”

Taking this approach doesn’t mean that the viewpoints of trade unions and the Works Council should be ignored. “It is healthy have different points of view, as long as they are focused on adding value to the business and building a sustainable future for everyone.”

“That means listening to everyone and understanding their different motivations and realities. Everyone has their own reasons for working at Aludium – we need to understand all of them.”

Safety is also a key priority, and one where Gorkasees HR as a vital partner: “HR needs to support Aludium’s environmental, health, and safety (EHS) team in all areas.

It’s important that HR and EHS stay closely aligned to enhance Aludium’s safety culture. And we must lead by example and be prepared to explain to people why safety is relevant and important to them.”

Diversity and engagement of the workforce are also key priorities as Gorka explains: “We can create a strong group by building teams which include people with different points of view, motivations, and knowledge.

And it should be normal that women are equal in this process. It makes no sense in 2019 that this needs to be discussed.

Gender shouldn’t be relevant whether you are leading a company or working on the shop floor.”

It was Aludium’s diversity that attracted Gorka the company: “The opportunity to work in a multicultural environment and to be part of a company that is still growing were very attractive to me. And I like working in a production environment.”

Gorka believes that big companies have the responsibility to protect the human rights of employees and to be open and transparent with them: “Honesty in business should be the only way of working in serious companies such as Aludium. We must work responsibly and in close cooperation with our local communities.”

Under Gorka’s direction, HR will start to focus more on KPIs which are related to people: “All HR KPIs give us a picture of the business. But rather than focus on traditional metrics such as costs, I want to focus on the ones that are related to the evolution and development of our people. KPIs that add value to our people and our organisation are the most valuable.”

He also believes that training is critical, particularly in technical positions. “One of the most important questions in HR is how we can help people to adapt to the changes and new challenges they face.

Training is critical to achieve that.” ■

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Update

Cindal’s ISO-17025 certification

extended The certification was granted by Entidad Nacional de Acreditación (ENAC), Spain’s only national accreditation body. ENAC is recognised by over 70 countries worldwide through the International Laboratory Accreditation Conference’s mutual recognition agreement (ILAC MRA).

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ALUDIUM TRANSF ORMACIÓN DE PRODUCTOS, S.L. (Unipersonal) CINDAL R&D Según criterios recogidos en la Norma UNE-EN la realización de ISO/IEC 17025, para ENSAYOS en el SECTO ANEXO TÉCNICO R INDUSTRIAL defin adjun idos

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Analysis, Surfaces & Lubricants Department Manager

Aludium’s Cindal R&D centre has had the scope of its ISO17025 certification extended.

The new certification allows Cindal to test lubricants, used on aluminium destined for applications in the food and cosmetics sectors, for compliance with US Food and Drug Administration (FDA) regulations.

Aluminium destined for use in food and cosmetic applications can only be marketed if it is FDA approved under ISO-17025. The certification should be part of the manufacturer’s hazard analysis and critical control points (HACCP) system. Tests must be carried out on lubricants used at any stage of the packaging’s production – from aluminium supplier (including Aludium) to final processing. Cindal is now the only laboratory in Europe which is certified to perform this kind of analysis.

Customers who take advantage of Cindal’s ISO-17025 testing procedures receive a full report. That report can be used as scientific and documentary evidence for inspection agencies.

AEA holds general assembly at Aludium Alicante

Prieto Barrio Presidente

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The accreditation should be acquired by companies which are new to the food and cosmetic sectors, or when new lubricants are introduced into Aludium’s production systems.

ISO-17025 certification is just one of the ways that Cindal R&D can help customers to ensure they comply with relevant legislation for their products. The Cindal team can help you identify the relevant standards, and testing procedures, for your products. ■

Spanish Association for Aluminium and Surface Treatments (AEA) held its 2019 General Assembly at Aludium Alicante in April. The event was attended by around 40 companies from across Spain. Attendees had the opportunity to visit the Alicante plant and the Cindal R&D Centre.

José Ignacio Juan Planelles, Director of Aludium’s Alicante plant, gave a speech during the conference which looked at the implementation of Industry 4.0 at Aludium. He highlighted the importance of digitising production processes and making use of new technologies to ensure sustainability and maintain economic margins.

During his speech, José Ignacio Juan Planelles also reiterated Aludium’s firm commitment to recycling. Recycling has been given a boost at Aludium thanks to a substantial investment plan. This has enabled Aludium to enhance its recycling efforts significantly and create a more sustainable operation. ■

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Update

SALES MEETING IN ALICANTE

sets Aludium’s new direction Aludium held a two-day sales meeting in Alicante at the beginning of July to reset the business’ focus for the second half of 2019 and beyond. The meeting was attended by the full management team, all sales personnel, and all customer service representative (CSR) team members.

Growth in competition

Specialties key for the future

Restructure of Sales team

The meeting began with an address by Aludium’s CEO, Oliver Bell, who outlined some of the drivers which are affecting the European aluminium industry. One of the most influential is the macroeconomic environment affecting some of our key markets.

A second opportunity arises from Aludium’s ability to produce high-quality surfaces and finishes which are ideal for the specialties market. Overseas producers find it hard to match Aludium’s level of quality and finish, creating demand for these products.

Although specialities has been a key part of Aludium’s strategic plans in the past, Oliver Bell believes we have focussed too much on producing commodity products which have low profitability.

During his address, Oliver Bell also outlined the new structure for the Sales team and the appointment of Daniel Jubera as Chief Commercial Officer (CCO).

The sales directors will report directly to Daniel.

For example, the automotive sector is declining. While this is not a key market for Aludium, the decline is causing some of our competitors to re-enter the building and construction and distribution markets they abandoned a few years ago. Both are core markets for Aludium’s products.

Another driver of competition is cheap imports from Asia. This is being driven by global economic policy, particularly the ongoing trade discussions between the USA and China.

However, these drivers are also creating opportunities for Aludium. Overseas demand for speciality products has been the driver behind our export growth. For that reason, Aludium has decided to appoint Marcus Jerk as Overseas Export Manager. In this role Marcus will enhance Aludium’s presence in the USA and Asia.

He outlined three actions that Aludium will focus on to increase our share of the specialties market. They include: 1. Developing and supporting specialty markets more closely.

2. Working with our customer to develop unique concepts which optimise and reduce delivery time and make them more successful.

3. Upgrading our product portfolio to meet the needs of existing customers.

To achieve this goal, Aludium needs to improve the level of quality in all parts of the business. That includes product quality, and quality in a range of other areas such as service and packaging.

Michael Brandner has been appointed Sales Director of Specialties, replacing Christiane Huber who left Aludium on 12 July 2019. He will report to Daniel Jubera, along with Aludium’s other Sales Directors, Stefan Kammerer, Marcus Jerk and Dieter Winterhoff.

In other changes, Sophie Rodriguez is our new sales manager for France and the Benelux. She represents Aludium in the distribution and building and construction markets.

Aludium’s complete team of Customer Service Representatives attended the event. Many of them work remotely and don’t have the opportunity to meet regularly.

A series of workshops gave all participants a chance to interact and provide practical advice as we planned the future of Aludium. ■

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“Working together for a better, brighter future�

ACR II Aluminium Group cooperatief U.A. Prof J.H. Bavincklaan 2-4 1183 AT Amstelveen The Netherlands +31 20 7237 218 www.aludium.com

Aludium Amorebieta Barrio Ibarguren s/n E-48340 Amorebieta, Vizcaya Spain +34 944 887 500

Aludium Alicante Avda. de Elche, 109 E-03008 Alicante Spain +34 965 989 500

Aludium Castelsarrasin 294 chemin de Lavalette 82100 Castelsarrasin France + 33 5 63 32 80 00

Cindal R & D Avda. de Elche, 109 E-03008 Alicante Spain +34 679 518 645