Move will improve customer focus, increase efficiency
NEW YORK- Alcoa (NYSE: AA) announced today that it plans to accelerate growth in its midstream Global Rolled Products businesses by shifting away from a regional, asset-based structure to a market-based structure, effective immediately.
“We have seen very good growth in our midstream businesses, but we believe even better returns are possible by changing from a regional approach to a market approach,” said Klaus Kleinfeld, Alcoa Chairman and Chief Executive Officer.
Helmut Wieser, Alcoa Executive Vice President and Group President, Alcoa Global Rolled Products (GRP), said GRP will concentrate on five global markets: Aerospace, Ground Transportation, (which includes Industrial and Specialty Products), Packaging, Consumer Electronics and Defense. The new organization will also focus on growth opportunities in China, Russia, Brazil and the Middle East where the Company is building a state-of-the-art rolling mill in Saudi Arabia with its joint venture partner, Ma'aden.
"We see very favorable trends in these markets,” Wieser said. “Our new structure will allow us to capitalize on the growth ahead and profitably gain share. We will do this through better customer focus, global product platforms and by taking regional resources and re-deploying them to support global market initiatives."
Leaders of the five global markets will report to Wieser. Mark Vrablec is named President, Global Aerospace, Ground Transportation and Industrial and Specialty Products. He will oversee all rolled products activities in these markets. Vrablec was most recently President of Alcoa’s China Rolled Products, which is growing about three times faster than the market in China.
Andrey Donets is named President, Global Packaging, where he will oversee the Company's business serving the food and beverage can and bottle markets. He will also oversee the company's lithographic sheet business. Donets was most recently President of Alcoa Russia, which has grown steadily to become a positive cash and profit contributor for the Company.
Jiming Zhu is named President, Consumer Electronics, in addition to his role as President, China Rolled Products. Zhu joined Alcoa in July from Caterpillar where he directed China operations.
David Dobson will remain President, Alcoa Defense, responsible for serving the military with aluminum solutions such as armor protection for ground vehicles, bulkheads for the F-35 Joint Strike Fighter, and sheet and plate products for the Navy's new Littoral Combat Ship (LCS).
Maxim Smirnov is named Acting President, Alcoa Russia, succeeding Donets. Smirnov previously served as chief financial officer of Alcoa Russia.
Last week, Alcoa announced it would expand its Davenport, (Iowa), rolled products plant to meet rising demand from the automotive market as more and more automotive original equipment manufacturers (OEMs) are switching from steel to aluminum products from Alcoa to increase the fuel efficiency, safety, durability and performance of the cars they produce.
Biographical information follows:
Mark J. Vrablec
Mark Vrablec is President, Global Aerospace, Ground Transportation and Industrial and Specialty Products for Alcoa’s Global Rolled Products (GRP) business. He oversees Alcoa’s global rolled product activities in these markets.
Vrablec has spent his nearly 30-year career with Alcoa in operating and management assignments in Alcoa’s GRP organization. He joined the company in 1982 as a metallurgist in Tennessee. He progressed through a series of quality assurance and operation management assignments in Alcoa’s Warrick, (Ind.), Lancaster, (Pa.), and Texarkana, (Texas), facilities, until being named Director of Manufacturing at Davenport, (Iowa), Works in 2001. He took on additional responsibilities for Alcoa Aerospace Centers and Danville (Ill.) Operations in 2003. Vrablec was appointed Managing Director of Alcoa Australia Rolled Products in 2008, added responsibility for China Rolled Products in 2010, and Vice President, GRP Technology and Engineering to his accountabilities in early 2011.
Vrablec has a degree in metallurgy and materials science from Lehigh University in Pennsylvania.
Andrey Donets became President, Global Packaging, for Alcoa in September 2011, responsible for the company’s business which serves the food and beverage can and bottle markets. He also manages Alcoa’s global lithographic sheet business.
Most recently, Donets was President, Alcoa Russia, supervising all aspects of Alcoa operations in Russia and was Chairman of the Board of Directors of Alcoa SMZ and Chairman of the Board of Directors of Alcoa Metallurg Rus.
Donets has extensive experience working in the Russian metals sector, holding senior management and commercial positions at Rexam Russia, the Russian arm of the global packaging producer, and at Rostar, the Russian beverage can maker. Later, he became Deputy General Director for Packaging for Rusal, the Russian aluminum group, and Chairman of the Board of Directors of Rusal Dmitrov, a foil facility.
Originally a physician by training, Andrey is a graduate of the First Moscow Medical University. In 1998, he earned an MBA degree from The Academy of National Economy under the Government of the Russian Federation.
Jiming Zhu joined Alcoa in July 2011 as President of Alcoa China Rolled Products. Two months later he added President, Consumer Electronics, to his portfolio. With this added responsibility, Zhu will coordinate the commercial organization across the company to increase the use of aluminum in the important and growing consumer electronics market.
As head of China Rolled Products, Zhu directs regional marketing efforts in packaging, lithographic sheet, ground transportation and aerospace, and manages the company’s Bohai and Kunshan, China, operations and the Hong Kong commercial organization.
Before coming to Alcoa, Zhu was Chairman of Caterpillar China, a global manufacturer of construction and mining equipment, diesel and natural gas engines, industrial gas turbines and locomotives.
Zhu holds a bachelor’s degree from the Beijing Foreign Studies University, a law degree from the University of North Dakota and an MBA from the University of Chicago.
David C. Dobson
David Dobson was named President of Alcoa Defense in 2006. He is also leader of the Alcoa Defense Market Sector Team and a member of the Alcoa Global Rolled Products Commercial Council, which focuses on best-in-class commercial results.
Previously, Dobson was President, Global Engineered Products for Alcoa, responsible for the Company’s hard alloy extrusions and rod and bar assets worldwide. Earlier, he ran Alcoa Engineered Products North America.
Prior to joining Alcoa, Dobson worked for more than 25 years for General Electric Company in several GE businesses, including business development manager for the automotive sales and marketing group for GE Plastics, general manager of motors and controls for GE Industrial Systems, and president of North America for the GE Lighting business.
Dobson has a bachelor’s degree in business administration from the College of New Jersey.
Maxim Smirnov was named Acting President of Alcoa Russia in September 2011, accountable for production, commercial, human resources, finance, legal, and government relations. He had been Chief Financial Officer for Alcoa Russia since 2009.
Before joining Alcoa as CFO Alcoa Russia, Smirnov held a similar position with Mondi Syktyvkar, one of Russia’s largest paper and pulp producers, which he joined in 2005. He also served in financial management positions for building materials company Lafarge Russia. While at Lafarge, he served as Financial Controller, and subsequently became Finance Director for Lafarge in Russia and the CIS countries. Earlier in his career, Smirnov held management positions in financial and business planning for Mars Russian, a subsidiary of the American confectionary and pet food producer.
Smirnov graduated in 1987 from Moscow State University with an Economics degree.
Alcoa is the world’s leading producer of primary and fabricated aluminum, as well as the world’s largest miner of bauxite and refiner of alumina. In addition to inventing the modern-day aluminum industry, Alcoa innovation has been behind major milestones in the aerospace, automotive, packaging, building and construction, commercial transportation, consumer electronics and industrial markets over the past 120 years. Among the solutions Alcoa markets are flat-rolled products, hard alloy extrusions, and forgings, as well as Alcoa® wheels, fastening systems, precision and investment castings, and building systems in addition to its expertise in other light metals such as titanium and nickel-based super alloys. Sustainability is an integral part of Alcoa’s operating practices and the product design and engineering it provides to customers. Alcoa has been a member of the Dow Jones Sustainability Index for 10 consecutive years and approximately 75 percent of all of the aluminum ever produced since 1888 is still in active use today. Alcoa employs approximately 59,000 people in 31 countries across the world. More information can be found at www.alcoa.com.