The Journey Continues: Tale of Steel Companies, Part 2

Fast forward. Four months from now, my 2nd and current company, Union Galvasteel Corporation (UGC) will celebrate in style its 50th year of existence. Center of celebration will be at the place where it all started in 1963, at Poro Plant at Poro Point in San Fernando City, La Union. As the company celebrates its golden years, it is likewise excitedly looking ahead for the next 50 years and perhaps beyond.

Fifty years ago, the company, then named Bacnotan Steel Corporation (BSC), a division of Bacnotan Cement Industries, started with its old, sheet to sheet galvanizing operation producing GI sheets for roofing products. Five years later, another similar type of galvanizing operations was opened in Davao City. It was only in 1990 when it opened up in Calamba City, Laguna which would then become until now as its main plant. It started to expand and modernize with the construction of its coil by coil color coating line in 1993 and the commissioning of its continuous galvanizing line in 1997. The Asian financial crisis took its toll and nearly brought down the company to bankruptcy. But with a bamboo like tenacity and resiliency, brought about by overall restructuring of its operations and strategies, it survived the storm and started to expand more, both in reach and products lines. Today, it has the country’s biggest supply chain and distribution network in the industry with 26 roll forming plants, warehouses, and sales offices strategically located throughout the country from north to south. “Sa Tibay at Ganda, Panalo Ka” has become an institutionalized tagline of the company.

I joined UGC in the latter part of 1996 at the worst time when the financial crisis was hitting the company, the industry and the country real hard. All through these years, I did my fair share, practically in all aspects of the business, from operations, technical/quality assurance, marketing, human resource, training, finance, etc. Externally, I have broadened my scope of knowledge and understanding of the industry, not just locally but regionally as well, through active involvement and regular liaisons with steel industry associations and leaders, government agencies, customers, competition, suppliers, environmental groups, consumer advocates, etc. I even wrote a technical paper about how the company survived the crisis, which I presented at the SEASI International Conference in Kuala Lumpur, Malaysia in November 2002. Indeed, an enriching experience.

Emma A., a dear colleague from NSC who is now happily settled in Canada, once asked us to write about our life after steel. This is what I wrote; “Fortunately or unfortunately, my life is STILL WITH STEEL.

It seems like I have taken my steel career in full circle. But not quite.

The Journey Continues: Tale of Steel Companies, Part 1

Two significant events will happen in the next few months to the only two companies that I have been connected (read: employed) throughout my professional career. These events definitely define my “steel journey.”

Photo credit: www.cityofwaterfalls-iligancity.com

Eight months from now, the moribund National Steel Corporation (NSC), then the largest steel company in the Philippines, would have been 40 years. It was established as a forerunner of the National Shipyard Corporation in the 1950’s and later on the IISMI or Iligan Integrated Steel Mill Inc. in the 60’s. All the main plants were located in Iligan City in northern Mindanao. Active and loyal “alumni” based in Manila are organizing a grand reunion on its anniversary month, February next year for all its ex-employees from Iligan Plant, Pasig Plant and Makati-Home Office many of whom are already settled abroad. This will surely be big event to enjoy and reconnect. There will be lots of hugs and kisses and embraces and lots of reminiscing, something which will make everybody’s hearts sink. Once upon a past era, these were the “steel trailblazers” who aspired and dreamed of “building the Country”.

I joined NSC as an engineering management trainee (we were then called Industrial Engineers) barely a month after college graduation. I am proud I belonged to this group, which former president Rolly Narciso described in his tribute as “among the best technical and managerial mind of NSC”. When I left 18 years later, already a developed professional, the NSC ship was already sinking and it was only a matter before this steel giant finally closed down 5years later. In that span, many left the company and the city for good. Notably, many migrated abroad to Canada, the U.S, Australia, New Zealand. the Middle East countries and the neighboring ASEAN countries. Such exodus can be aptly described as “the great brain drain”. Still, quite a number, including me, moved to the big city, Manila while some remained and cast their luck with the lamentable Malaysian and later on Indian owners who likewise closed shop without even taking off, weighed down by lack of capital, technological obsolescence, loss of market and overall mismanagement. What happened to the Iligan plant, its once thriving employees’ community called “Steeltown” and perhaps the lives of its people is reflected in the movie and now Broadway and Manila musical, Full Monty.

What a sad ending to a glorious past!