SteelNews.com Article
Posco Completes Corporate Restructuring
Mar. 10, 2010 Posco recently carried out large-scale restructuring centered on growth, customers, and technology in an effort to enhance global competitiveness and to accelerate the mutual growth of the Posco family.
Posco created the Growth Investment division, integrated the Marketing and Production divisions, and established the new post of Chief Technology Officer (CTO) to increase the synergy on technology independence and development.
Posco also has placed Raw Materials Purchasing, Jeong-Do (Ethical) Management, and PR departments directly under the supervision of the CEO. In addition, it reshuffled the existing five divisions (Finance, Administration, Marketing, Production Technologies, and Stainless) into Corporate Strategy and Planning, Corporate Technology, and Business staff and three business units of Growth Investment, Carbon Steel Business, and Stainless Business.
The Growth Investment unit consolidates the investment-related functions that were dispersed throughout many departments.
The grouping of marketing and production in the Carbon Steel business unit is part of the company’s plans to improve responsiveness to customers’ needs and competitiveness in the market.
The CTO will be responsible for technological strategies, securing of original steelmaking technologies, and R&D of non-steel and composite materials. Also under the CTO’s supervision is Posco’s newly founded Productivity Research Centre, which specializes in innovative consulting and the research and diagnostics of productivity at Posco and partners.
The Business staff division will be rearranged into two groups: Corporate Strategy and Planning, in charge of spawning strategies, integrated risk management, finance, and HR; and Administration, responsible for integrative purchasing, social welfare, and legal support.
Posco plans to expand its matrix management, which will be the core policy strengthening its system of inter-organizational affiliations.