Borusan Mannesmann Boru Yatırım Holding

Borusan Group and Salzgitter Mannesmann GMBH merged their welded steel pipe investments in Turkey under Borusan Mannesmann Boru Yatırım Holding A.Ş. in 1998. The Company holds 73.48% of the shares in Borusan Mannesmann Boru San. ve Tic. A.Ş

A pioneer in the Turkish steel pipe industry, Borusan Mannesmann successfully created value for stakeholders also in 2020 by investing in occupational health and safety, peopleoriented success, digital transformation, innovativeness, and globalization. The Company shines out among competitors with its innovative approach to management and boasts a broad range of steel pipe products with its principle of continuous investment.

Strategic Positioning
Borusan Mannesmann is a globally recognized leading steel pipe and complementary solutions provider focusing on high value-added products with a production footprint in its primary markets. It is positioned as the leader of high value-added products in the Turkish market as well as one of the leading steel pipe producers in Europe and the USA. The company’s main competitive advantages include:

• Profitable growth strategy of investing in high value-added products in target markets;
• Global competitive edge attained by channeling approx. 65% of prime quality sales tonnage to global markets;
• Ability to garner more than three-fourths of prime quality product turnover from high value-added product sales;
• A sustainable and profitable business model for large diameter spirally welded line pipes in high value-added markets;
• Aiming to become North America’s most profitable and most preferred player in high value-added products in the drilling and well pipes market;
• Maintaining its lead in special pipes for the automotive sector in Turkey, and aiming to become one of the top three manufacturers in Europe;
• Digitalized business processes that provide efficiency increasing solutions and competitive edge in operations;
• Investment strategy focusing on high value-added products and processes to meet customers’ unfulfilled expectations with fast, innovative and value-adding solutions;
• Penetration strategy for niche and new markets while maintaining leadership in existing markets by pursuing a strategy focused on innovative products and new business models.

A Global Brand in its Industry
Borusan Mannesmann's prime quality product sales corresponded to 525,400 tons in 2020. Continuing investments in high value-added products in 2020, Borusan Mannesmann solidified its presence in global markets. The Company's overseas sales reached 65% of the total prime quality product sales.

Borusan Mannesmann's turnover from high value-added pipe sales, specifically, pressure, special and spiral pipes was 74% in the prime quality product sales turnover. Its existing production capacity was enhanced significantly upon the commissioning of the new production plant, which represents an investment of USD 75 million, in Gemlik that can manufacture high value-added standard pipes and pipes for the automotive industry.

Innovative and Value-Added Products
Borusan Mannesmann embraces new product and service development as one of the key triggers to reach the organization’s long-term targets. In 2020, Borusan Mannesmann focused on developing new value-added products and advanced processes for different customer segments. The company also targeted building innovative value-added services for customers to make their lives easier and increase efficiency in their businesses.

Sustainability Steps of Borusan Mannesmann
Borusan Mannesmann grows and develops together with its customers in line with its high-quality standards, passion to innovate and focus on customer satisfaction.

Accordingly, Borusan Mannesmann carefully listens to the expectations and needs of its customers and engages in meticulous VoC (Voice of Customer) and customer satisfaction efforts.

Throughout its operations, Borusan Mannesmann identifies strategies to minimize its ecological footprint on the environment and follow environment-friendly policies for a clean environment and a healthy future. It operates in accordance with all national and international regulations with a view to recycling its waste, minimizing its use of natural resources, and ensuring a healthy environment for future generations.

Reaching “Zero Accident” is the Main Target
A key player in the steel pipe industry in Turkey and around the globe, Borusan Mannesmann works with all its might to create safer and healthier working environments for stakeholders.

The company targets reaching the “zero accident” goal, and protecting the environment during production operations. Therefore, Borusan Mannesmann:

• Complies with all applicable laws, regulations and other rules on Occupational Health and Safety (OHS) and Environmental Protection;
• Identifies all potential risks emerging from its operations and works to mitigate them and attain acceptable risk levels;
• Strives to minimize waste, and guarantees the disposal of waste in an environmentally-friendly manner;
• Works to bring consumption of natural resources down to acceptable levels;
• Inspects its systems and activities regularly and allows the related parties to inspect them; and
• Adopts a management system built on continuous improvement principles and expresses its commitment to reach its targets.

At Borusan Mannesmann, employees are the most valuable assets. This is why great importance is placed on employees within the organization. Borusan Mannesmann is improving the Health Safety & Environment (HSE) scores year on year. The aim is to formulate strategies and standards via the use of technology and automation to reach the highest level in Health Safety & Environment (HSE) standards and the ultimate zero accident target.

Embracing society and the environment, Borusan Mannesmann keeps its OHS and Environmental Protection Policies publicly accessible via its website, bulletins, and notice boards.

Furthermore, the OHS and Environmental Protection Policy is communicated to contractors and suppliers prior to working with them, i.e. the contract phase, with a letter. Contractors working on behalf of Borusan Mannesmann are required to act in compliance with the provisions of Occupational Health and Safety (OHS) stipulated by the laws and Borusan Mannesmann’s OHS and Environmental Management principles.

Borusan Mannesmann's Strides for "Good"
Positioning itself as a model corporate citizen, Borusan Mannesmann supports institutions and projects in the fields of education, culture, arts, and gender equality. While sending clothes to university students during the winter months, the Company provided IV poles made of pipes and medical equipment transportation vehicles in support of four hospitals after the outbreak of the COVID-19 pandemic. Besides, the Company provided masks and disinfectants to the Private Gemlik Rehabilitation Center affiliated with the Association for the Protection of Mentally Disabled Children.

"We have a debt of gratitude to healthcare workers" was the motto behind the "TEV Grand Fund for Corona Heroes” under the Turkish Education Foundation to support the children of healthcare workers, who lost their lives on the frontlines to fight the pandemic, throughout their education.

"We have a debt of gratitude to healthcare workers" was the motto behind the "Borusan Mannesmann Grand Fund for Corona Heroes" under the Turkish Education Foundation to support the children of healthcare workers, who lost their lives on the frontlines to fight the pandemic, throughout their education. This helped rapidly meet the education expenses of eleven university students for one year. The Company believes that the more one gives the more it will span communities, and therefore established the İyilik Kazansın (Let the Good Win) Platform as a force for good. This platform enabled the Company to provide support to the project, "You Can Light a Candle Too,” run by the Association for the Support of Contemporary Living (CYDD). A "Gender Equality Seminar" was held for the employees at Gemlik and Halkalı locations so as to raise awareness on gender equality. Meanwhile, Borusan Mannesmann was a sponsor of "Unprejudiced Ideathon,” a contest where ideas on a campaign geared towards tackling the bottlenecks, prejudices, and challenges linked with gender equality are conceived. The Company considered some of the ideas developed via the Equal Borusan Committee and incorporated them into its own studies. The Company changed the color of newborn packages sent to employees after childbirth with a gender neutral color to emphasize the message, "Gender has no color for us.” "Bring An End to Sexist Behavior!" is the motto behind the recruitment interviews held at the Company, which also had targeted communications with division heads and senior positions on this matter.

Experience in Different Function and/ or Segment; "Development knows no boundaries" was the motto adopted in this new period where development tools were diversified. The aim was to let employees have experience in different functions and/ or segments so as to diversify their skill sets, improve their skills in different areas, help them positively contribute to business results whilst raising their motivation. This way, employees can gain knowledge and experience in different fields, develop a new perspective into the new function/ segment where they assume a role, and explore new opportunities. This practice contributes to business results positively and offers new opportunities for development and learning, and thus is intended to have a positive impact on employee motivation and engagement.

Online Field Staff Assessment System;
The Field Staff Performance Assessment System was enhanced and moved to the digital environment so as to measure field employees' contributions to corporate goals, assess their performance as per their success criteria, and handle necessary rotation, relocation, or succession plans accordingly. Also designed to identify and raise future team leaders from today and develop action plans accordingly, this practice will help continuously develop business deliverables and reach an efficient and competent Human Resources profile that reflects their performance on business results.

Offering the Best Employee Experience;
Action Master; a team of volunteers in different departments and levels of experience from production and sales to finance and planning has utilized the Agile method in their ways of doing business and came up with new ideas and products by way of developing new perspectives into HR processes. On the other hand, Wise Talks By Techstation is a new platform that encourages learning from one another and covers mini exchange meetings held to enable different departments to get to know each other so as to further their cooperation. Meanwhile, teams continued their efforts towards improving orientation processes and experiences and running performance processes in a more fair, transparent, and collaborative fashion.