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SUCCESS SECRET                                                                                  SUCCESS SECRET
 O. Chernov ''A team is the main asset of any        About foiled plans

            Yes, the pandemic has made major
 project''  adjustments  to  work  plans.  We  had  to
    postpone  the  delivery,  installation and
    commissioning of imported equipment for
    our future pipe plant by almost 3 months -
    Oleg Chernov, General Director of the Investment   and here there are problems not only with
 Metallurgical Union,  and  Artur  Polyashenko,  General   quarantine restrictions, but also in difficult
 Director of the Baltic Metallurgical Company, on the air   relations with Yantarenergo. Now we hope to
 of Business FM radio talked about how the metal trading   implement the project in the 3-4th quarter
 business of Kaliningrad is living in the current difficult   of 2020 (For now, the estimated capacity
 conditions.  of the future production is designed for a
 Oleg Chernov, on his Facebook page, briefly spoke   monthly output of 300 tons of products. By
 about what was being discussed on air:  the end of next year, we plan to reach 1000
 ''The word difficult in this case is too neutral: I really   tons).
 do not remember situations when so many difficulties      Despite  the  pandemic,  we continue
 fell on entrepreneurs in one moment. I think spring   to implement one more of our experimental
 2020  will  be  a  turning  point  for  the  entire  Russian   collaborative  projects  for  the  integrated
 economy.''  production of metal structures. It will involve three of our production projects at once. I am
   How did you survive  confident that in the end we will be able to offer our clients the BEST competencies in the
 As for our group of companies, I am once again convinced   industry in sales, production organization and construction.
 that a professional team, effective communications built with      About prospects

 Oleg Chernov  our clients, and the availability of our own resources are the      Of course, being contractors at state construction sites, the projects of IP Stahlwerk and
 most  important  ''anchors''  that  can  hold  a  business  during
 any  storm.  In  the  current  period,  the  priority  task  of  our   GC BMK were not closed for three months, so we kept the income level in April.
 projects has become the preservation of the health of the team and 100 % fulfillment of      The metal hypermarket, according to Artur Alekseevich, assessed the effectiveness of the
 our obligations to clients and partners. I think that we have coped with this very difficult   online store, which took part of orders for products and delivery services.

            However, we perfectly understand that the coming crisis will affect absolutely everyone.
 task perfectly.
    We have seen a reduction in construction volumes before a pandemic will accelerate this process
    of recession. According to our overall estimate, the drop in demand in our industry in the second
    About trust  half of 2020 will be at least 20 %. At the same time, it will take a long time to open borders,
    With the start of restrictive measures, we saw how the
 situation in business relationships can instantly change. All   and GDP losses for only second quarter of 2020 will cross the threshold of 20-30 % and this is
    an optimistic indicator.
 suppliers of our projects, except for one Russian partner,
 switched to 100 % prepayment ...     It is difficult to plan anything else, especially when government agencies begin to hide the
    It is good that  the  business is very  mobile and,   real numbers. For example, the Russian Ministry of Finance decided not to publish an estimate
    of the nominal volume of Russia’s GDP for May as the
 after  two months,  70  % of  suppliers have  restored   data turned out to be classified!
 their previous payment terms. I would like to note that      It will be quite difficult for small companies with
 IE Stahlwerk  and  BMK Group of  Companies remained   high credit obligations and  rather  weak own
 principled in matters of maintaining business partnership
 and commitments assumed: our projects have not changed   resources.
            Those who show the greatest flexibility
 their policy of commodity lending, since we value more than     in  the  new  conditions,  who  have  a  low level
 twenty years of partnership and support colleagues in a difficult
 environment.  Artur Polyashenko  of  credit burden,  who  are  closer  to  support
    However, in general, this situation makes one think about   measures, and government orders will survive.
 changing the investment strategy and again reveals the problem   On  the  part  of  the  business,  there  will  be  a
 of ''expensive'' credit money, which I have spoken about many   search for ready-made IT solutions, options
 times. It turns out that it is more profitable to sit on the accumulated ''money box'' than to   for  working  with cloud  solutions,  the
 invest in production.  development of online sales with prompt
    delivery of goods to the client, contactless
    About jobs  payment  forms,  CRM,  organization  of
    I am sure that the team is the main ASSET of any project. For example, when considering   work of personnel on a ''remote'' basis.
 the issue of financing a project, the primary criterion for me is not so much the business plan
 as the TEAM and its LEADER. Therefore, in our 23-year history, Arthur and I have never laid off
 staff, although we had to go through many difficulties. The history of BMK even knows examples
 when it was necessary to pay salaries to employees from their own funds. The current crisis
 situation has not changed our principles as the entire staff has been preserved and continues
 to work.
                                                                                                          metalinfo.ru


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