Charlotte Regional Safety & Health School

DISCUSSION

• Who is Nucor

• Culture

Employee Relations Principles

The Platinum Rule

• Evolution of Safety & Health

• Leadership

• Conclusion

MISSION STATEMENT

Take care of our Customers

We are accomplishing this by being the Safest, Highest Quality, Lowest Cost, Most Productive, And Most Profitable Steel And Steel Products Company

In The World. We are committed to doing this while being Cultural

and Environmental Stewards in our communities where we live and work.

We are succeeding by Working Together.

Who Is Nucor

• 22,000 employees

• Corporate staff of 100

• Largest recycler in the United States

• Revenue of $19 Billion (2012)

• Net Income of $505 Million (2012)

• Ship 22 million tons of Steel

• 5 Layers of management

It Starts With Our Culture

• Team Work

• Incentive Based Pay – For everyone based on performance

• Non-Union

• Lean management

• Decentralized

• Egalitarian Benefits

• No Lay-off Practice

It Starts With Our Culture

4 Employee Relations Principles

Management is obligated to manage Nucor

in such a way that employees have the

opportunity to earn according to their

productivity.

It Starts With Our Culture

4 Employee Relations Principles

Employees should feel confident that if they

do their jobs properly, they will have a job

tomorrow.

It Starts With Our Culture

4 Employee Relations Principles

Employees have the right to be treated fairly

and must believe they will be.

It Starts With Our Culture

4 Employee Relations Principles

Employees must have an avenue of appeal

when they believe they are being treated

unfairly.

It Starts With Our Culture

Platinum Rule

Do one to others as they would have

done to themselves

GROUND ZERO to BEYOND ZERO

GROUND ZERO to BEYOND ZERO

Beyond Zero • Standard of Excellence • Target 0 Injuries and Illnesses • Target 0 Near Misses • Target 0 Property Damages • Target 0 Hazards

Climb a Mountain with no Top

Nucor Steel Mill Performance

Year Nucor I/I Rate

Industry I/I Rate

Nucor DART Rate

Industry DART Rate

2002 5.14 7.30 1.33 3.50

2003 3.70 6.90 0.82 3.80

2004 3.28 6.90 1.18 3.50

2005 2.94 5.20 1.08 2.70

2006 3.07 5.40 1.51 2.90

2007 1.78 4.60 0.91 2.50

2008 1.60 3.70 0.71 2.00

2009 1.46 3.30 0.68 1.80

2010 1.47 3.60 0.59 1.80

2011 1.58 3.20 0.79 1.70

2012 1.14 N/A 0.48 N/A

Industry rate is based off Bureau of Labor Statistics NAICS code 331111 DART Rate – Days Away, Restricted, & Transferred Cases Rate

GROUND ZERO

Leadership in Safety 21 VPP Sites 34 Special Government Employees Lead safety roles in Steel Associations across the country – AISI, SMA, AIST

As a Leader, your primary goal is to:

Your Role: Primary Goal

Help your

people succeed

Your Role: Help People Succeed

Leaders Contributors Participants Observers Detractors

?

Leadership Actions: Big Rocks

1. Let them know what you expect: GOALS

2. Provide the tools and resources: TOOLS

3. Tell them how they are doing : FEEDBACK

4. Coach and develop them: COACHING

5. Keep responsibility where it belongs: ACCOUNTABILITY

The following represents principles that seem to lead to Excellence.

(1) Create a picture or vision of the future state a) Must know what that is or be committed to figuring it out

b) Based on values, principles and results

(2) Get the right people on the bus a) The right people are those that share the Nucor values and principles

Pursuit Of Excellence Principles

(3) Alignment on Values, Principles and Expectations a) Leadership team must believe it and continuously drive it (continual drumbeat

message)

b) Identify what excellence looks like…must be able to define it and keep a

scorecard

Get the team involved in defining what it should look like

Their expectations will probably be higher than yours!

(4) Provide the tools that help instill and reinforce values and

expectations a) Tools must align with expectations

b) Tools help drive vision and values (to help leaders communicate vision and

values)

Pursuit Of Excellence Principles

(5) Push it down - “It’s up to me” a) The “How” comes from the team…have them identify the action items

b) Help them succeed (challenge, coach, don’t let them fall off a cliff)

(6) Consistent accountability based on values, principles and

expectations. No exceptions!

(7) Believe in the team. Let them know you believe in their ability to

succeed.

Pursuit Of Excellence Principles

Pursuit Of Excellence Principles

(8) Stay the course…believe in the vision The turtle wins, not the rabbit…

Again…a consistent, “continual drumbeat message”

It’s a journey…and there is no ending point

Mountain with no top

Enemies of the Process: Entitlement

Barriers and Silos

Rules-based management

Resting on past accomplishments

Remember…“Good” is the enemy of “Great”

Leadership Actions: Big Rocks

1. Let them know what you expect: GOALS

2. Provide the tools and resources: TOOLS

3. Tell them how they are doing : FEEDBACK

4. Coach and develop them: COACHING

5. Keep responsibility where it belongs: ACCOUNTABILITY