Nucor Internal Performance

1316 Words6 Pages

Lenora Ramsey Professor Nobles BA-301-HNS October 16, 2014 Nucor Corporation Report 1) Internal Performance Nucor Corporation is the second largest steel producer and scrap metal recycler in the United States and the eleventh largest company in the world (4). It recycles roughly 25 million tons of steel annually. (1) Nucor’s strategic plan is summed up in its mission, which is to be the, “safest, highest quality, lowest cost, most productive, and most profitable steel and steel products company in the world.” (2) To accomplish this they strive to stay innovative and environmentally conscious in the community and steel market. Further, Nucor’s strategy includes leveraging what it calls ‘mini’ mill technology to become the nation’s largest …show more content…

Its major customers consist of automakers, construction industries, appliance manufactures, farm equipment manufactures, and durable goods manufactures, all of which have a huge stake in the companies’ profitability and product output. The employees are affected by the steel demand, which is tied to profits, and thus employee pay and job security. Nucor wants its employees to feel secure in their pay, which is one reason they decided to make all employees compensation based on pay for performance. More specifically, all employee income is directly tied to the amount of steel that is produced each day. Stock holders invest in the company with an expectation of a return on their investment as a function of company success. They have great stakes in Nucor’s financial wellbeing and profitability. Nucor’s suppliers need to know that they will be able to keep the business to business trade continuous to meet their business objectives. When the steel market decreases suppliers and vendors are effected by how much Nucor is able to distribute to buyers. One of the most important stake holders of Nucor is its board of directors. These individuals are made up of community personnel, stockholders, and employees in the company. Not only are they financially tied to the company and have a vested interest in how profitable the company is, but their …show more content…

The company shares that they are proud of their minimalistic corporate structure which has “stripped away the management layers” which they believe creates a “buddy system” within the workplace.(8) Employees on the other hand feel that the company could use a more structured management system. Currently, the management is ranked from chairman, plant manager, department manager, supervisor, to plant worker. Due to this simple structure, that is supposed to be seen as a good thing for the company, employees have stated that they wish the company had more leadership and people that were in charge. They want more supervisors that are taking responsibility for actions and helping to create a better environment for employees to work under with more superiors enforcing

More about Nucor Internal Performance