University Nucor Case Study: Strategic Recommendations for Growth

This case study analyzes Nucor Corporation, highlighting its strategic shift in the US steel industry, focusing on employee engagement, technology, and cost reduction. The report recommends sustainable cost reduction plans, adapting to market changes, and exploring mergers and joint ventures for increased production capacity. It suggests expanding operations internationally to mitigate economic impacts and revisiting its original business model. The study also recommends organizational restructuring, including the establishment of advertising, public relations, and corporate law departments, and the adoption of modern mill technologies, alongside implementing environmental policies for sustainability. The recommendations aim to address potential risks and ensure the company's continued growth and success in the evolving steel market.

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Recommendation on Nucor case study
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1NUCOR CASE STUDY
Nucor case is one of the remarkable cases in the American history that made a
strategic change in the US steel companies. Nucor Corporation had taken many policies
useful for the workers and met the market demand with highest priority. Nucor Corporation
has decentralized the structure and concentrated on the fields like employee engagement,
technology and cost reduction (Parks 2015). The business strategies adopted by the Nucor
Corporation has made a historic approach to the then corporate policies and in this report,
certain recommendations has been observed for the future of the corporation (Sergeyev,
Alaraje and Azizi 2016).
Nucor is the first company that decentralized the management system and built a
well communication with the employees. The company has run its business successfully due
to its strong technological focus. The company has, for the first time introduced the electric
arc furnace (Holston and Kleiner 2015). Further, the company has successfully utilised the
leadership skill of Ken Iverson that helps the company to mitigate their threats and weak
points.
On the other hand, there are certain threats also surrounded with the company that
will make the development process of the company sloth. Therefore, certain
recommendation should be made for the company so that it may avoid all the future risk
regarding the business:
 It is recommended that the company should make a sustainable plan for the reduction
of cost. All the strategies introduced by the company can be easily imitated by others.
Therefore, the company should have to adopt other strategies soon.
 The manufacturing activities help Nucor to develop innovative strategies. Therefore,
the company is recommended to make a change in the strategies for the production of
high quality goods.

2NUCOR CASE STUDY
 In the past, the company has gained success with the help of mergers and ventures.
Thus, the company is recommended to increase their production capacity by the help
of mergers and joint ventures. This will help to facilitate the cost reduction process of
the company in future.
 It has been observed that USA’s steel market is affected by the recession or uneven
political condition. Therefore, it is recommended that the company should open
certain steel plants in foreign countries for earning profit.
 The integration of the company should be amended. The company has supplied raw
materials to various companies, though the mother business of Nucor was car
manufacturing. The company is recommended to start the previous business again for
extra profit.
 The company should make certain organisational change as there is no advertisement
department in the company. Additionally, there is no department regarding public
relations or corporate law in the company and therefore, it is also recommended to
restructure the company.
 It is a fact that the company is technologically advanced. However, modern mill
technologies should be adopted by the company.
 The biggest weak point of Nucor is that it does not care about the environmental
standards and therefore the company is recommended to take certain green policies
for the betterment of the environment.

3NUCOR CASE STUDY
Reference:
Crowe, C.T., 2017. Business Sustainability: An Analysis of Three Enterprises in Charlotte,
North Carolina. The Winthrop McNair Research Bulletin, 3(1), p.3.
Holston, C. and Kleiner, B., 2015. Excellence In Reward Systems. Culture & Religion
Review Journal, 2015(3).
Parks, J.C., 2015. Evaluating Antitrust Exposure When Purchasing a Competitor's
Assets. American Bankruptcy Institute Journal, 34(11), p.18.
Sergeyev, A., Alaraje, N. and Azizi, M., 2016. Michigan Tech and Nucor Steel Partnership:
State-of-the-Art Industrial Control and Automation Laboratory. American Society for
Engineering Education.