OSTP IN JAKOBSTAD is a joint venture, owned by Tubinoxia and Outokumpu Group, that manufactures a broad range of welded stainless steel tubular products such as pipes and butt weld fittings in countless variations and dimensions; all made according to strict standards. The pipe diameter ranges from 16 mm tubes to pipes of 2 metres in diameter.
“It all started in 1949 with stainless steel coffee pots and kitchen sinks. Pipes and fittings have, however, always been a major product. Still today you can get replacement pipes for your 60-yearold pipes”, says Thomas Pettersson, Managing Director.
EVEN IF THE PRODUCT has remained the same during the years – the company has not. In thelast ten years, OSTP has gone from 140 employees to 250 and from two production lines to 13. The primary customer segment is the process industry, such as paper and pulp, and the chemical and petrochemical industries. The corrosion resistant pipes are often used in tough environments, where they must withstand internal pressures when transporting different types of acids, gases and oils.
“The customer’s overall perception of quality has changed. Previously if you met the strict standards, the quality was good, regardless of appearance. Today the pipes also have to be clean and without scratches.”
ANOTHER CHANGE is that the customers require significantly shorter delivery times. This means that the manufacturing process must be able to switch between product types quickly.
“We must be flexible, which means shorter delivery times and being more productive than the competition.”
This is achieved by having the right information available at the right time in a comprehensible way. In addition, lean principles are used to optimise the way of working.
“But I want to emphasise the importance of the human aspect of our success. Competence and superior skills are important, but only motivated employees can fully utilise their expertise and capacity. Employees who feel safe and secure also work better and enjoy their job. Our targets are zero accidents, zero customer complaints and 100% success also the next 70 years”, states Pettersson.
Business sector: Welded stainless steel pipes, tubes and fittings
Turnover: 130 MEUR
Export: Approx. 90%
Major markets: Nordic countries, Central Europe, Southern Europe