Pursuing reinvention is proving to be a winning formula for growing local business and global export trade says Macsteel CEO Mike Benfield.
Leading manufacturer, merchandiser and distributor of steel and value-added steel products Macsteel’s consistently pursues reinvention. This is in order to sustainably and successfully provide its customers with high-quality, locally-produced and internationally-sourced steel products and services.
Rich history, broad reach and product range
The company has a rich history spanning decades: from its founding in 1904 as National Trading Company and S. Machanick & Co, and its foray into the Middle East and the America’s in the early 1970s, to sister company Macsteel International Trading’s presence across the world – from South Africa and Australia to the United States – the business is entrenched as a key player in the international steel value chain.
As such, the company – with a footprint extending into Africa – provides a vast array of steel products, including light, medium and heavy profile sections, hot rolled sheet, coil and plate, galvanised sheet and coil, cladding and roofing products to sectors ranging from agriculture and mining to manufacturing and construction.
Challenges and differentiators
Commenting on the challenges facing the steel value chain – and how Macsteel is pursuing reinvention to harness opportunities – Chief Executive Officer Mike Benfield says the industry must adapt, and desist from chasing volumes at the expense of quality.
“For too long the steel sector has been driving down margins because it has been chasing volumes at almost any cost. Many of our competitors have not survived due to this practice – which has also impacted on industry ethics and the quality of products on the market,” Benfield comments.
“At Macsteel we do not chase volumes, but rather focus on providing our customers and partners with high-quality locally manufactured or imported products, ethically sourced – at the right price – from our trusted partners worldwide. E-commerce has also helped us to achieve a greater market share as more businesses look online to swiftly find the right steel products that meet all the international quality standards for their projects,” he points out.
Extension of credit
“Another differentiator which gives us an edge is that we have an extremely strong balance sheet, enabling us to extend credit to our customers, depending on their project requirements. This places us in a strong supply chain position, as we are able to meet our customers’ needs for both quality products and efficient access to financing solutions – allowing their projects to progress swiftly and with no delays, to meet completion deadlines,” he says.
World record
Many of the business’s successes have been recognised globally, not least its highly sought-after Sky Forming product, a unique Novotexi 440® concealed-fix profile which clinched Macsteel a Guinness Book of Records 2022 title for the longest roof span covered by a single metal corrugated sheet. The sheet spans 280 metres, across the widest part of the roof covering the new Pick n Pay flagship distribution centre in Kempton Park.
“We were delighted to achieve this world record, which highlights that – in pursuing reinvention – we are also partnering with our customers on the journey. Through doing so, we work to understand and supply their require- ments, exploring innovative ways to grow our business while enabling our customers’ success,” Benfield says.
New trends driving demand
He adds that looking to the future, Macsteel remains committed to exploring new roofing and cladding innova- tions, such as those that will be in demand as the trend towards photovoltaic (PV) solar roof panels for renewable energy gains momentum.
Value from the SAISC
In addition to being rigorous in its efforts to remain relevant, keep innovating and proactively growing market share – ensuring all activities generate profitable returns – Macsteel has also been a long-term supporter and member of the Southern African Institute of Steel Construction (SAISC).
“We strongly believe in its role as custodian and champion of the steel sector. At the same time, it is also imperative for the SAISC to ensure its continued relevance by giving members what they want from a value perspective,” he comments.
Winds of change
“With well over a century of history in the market we are strongly positioned to partner with our customers and suppliers to meet current and future market challenges head-on, pursuing reinvention to meet evolving global demands for innovative steel products which will weather the uncertain future winds of economic and climate change,” Benfield concludes.
THE LINK NEWSLETTER
To access the entire content of the first edition of THE LINK NEWSLETTER, please CLICK HERE.