NLMK production system

The NLMK Production System is a business management approach based on a combination of processes and optimization tools which maximize the use of existing resources and eliminate losses.

BUILDING A CULTURE OF CONTINUOUS IMPROVEMENT

The NLMK Production System is based on the following principles:

  • Balanced objectives
  • Systematic achievement of results through process improvement
  • Transparency and objectivity of information; continuous improvement
  • Engaging employees in joint problem solving
  • Leadership support

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production stages with 11 efficiency improvement tools that enable online monitoring of 280 technical and financial indicators


The key elements of the NLMK Production System are lean tools, training systems, visual efficiency control and feedback loops. The core of the system are our employees: their attitude, behavior, perceptions and engagement in processes.

The development and rollout of the System has been an ongoing process. Strategic goals have been defined, a set of effective tools established and a system of optimization programs launched. Later, more lean tools were adopted to tackle business challenges and capture maximum value.

In 2017, the NLMK Production System entered into a new stage of development which aims at involving each and every employee in the process of continuous improvement.

Key principles of this stage of development of the NLMK Production System are:

1. There is always room for improvement. Even if much has already been done in terms of operational efficiency, our processes can always be improved.

2. Openness. This is one of our values that enables us to maintain our position in the market. Knowing about problems allows us to address them quickly and to benefit from the result. 

3. Employees share the principles of the NLMK Production System. Each employee is encouraged to share the Company's vision of the management system as well as the NLMK Production System.

4. Engagement and responsibility. Each employee has the right to know about the goals and the main priorities of the Company. Each employee knows what impact their day-to-day effort has on the Company's overall performance, and has their own area of responsibility for solving issues.