Iron ore pellets used for making steel were produced by Samarco. In 2003, the business had a 17% share of the global market of the item. At the time it had 1,286 workers, divide between its units in Germano, in the State of Minas Gerais, and Ponta de Ubu, in the State of Espirito Santo.The two units were linked by an ore conveyor 396 kilometer long, with a maximum carrying capacity of 15.5 million tons a year. The company's assignment was "to be a Brazilian supplier of premium quality iron for the international steel industry, creating value for all its stakeholders".
Consistent with this specific guideline, between 2003 and 1997, Samarco coordinated and financed the Bento Rodrigues Popular Environmental Education system. The goal was to contribute to the creation of the community residing in the Bento Rodrigues district, by seeking solutions that may raise local development and getting the dedication of the residents for identifying community problems. In spite of the reach of real results, after the ending of the direct intervention undertaken by the company, a decline in the involvement of the community was perceived, together with the discontinuity of the actions started. In 2003, the need to construct another ore conveyor provided a brand new opportunity to Samarco for socializing with the communities.
Its earlier experience with all the Bento Rodrigues Popular Environmental Education Program induced the Environment Manager to propose a brand new social project concept for the company, called Communication Program and the Social Responsibility Education - PROECOS. For other supervisors, however, more adequate results had been reached by simpler technical projects and would be more consistent with all the company's business strategy. So, why not continue to pursue jobs already tried and tested rather than betting on such extensive and sophisticated ones? These fierce internal controversies culminated in a dilemma regarding whether the business's manner of operating socially should be shifted.
Samarco the role of businesses in empowering people case study solution
PUBLICATION DATE: April 08, 2011 PRODUCT #: SKE139-HCB-ENG
This is just an excerpt. This case is about STRATEGY & EXECUTION
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