Colleagues across Sweden, Finland, and Japan share their reflections on collaboration and continuous improvement.
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A partnership blossoms with the Japan exchange


Dear readers, hello and welcome to the August edition of Strength of Steel - we hope you are all enjoying your summer so far!


This month, we are shining a spotlight on an initiative that has become really important across our organization: the Competence Exchange Program with our Japanese parent companies, Nippon Steel and Sanyo Special Steel.

Since joining Ovako in 2011 as an HR Manager at one of our sites, I have developed a deep appreciation for the people in our industry. It’s not just the steel that’s strong.


The high standards we set are only possible because of our fantastic colleagues. The business is demanding, but it’s also a space where strong collaboration and problem-solving, rooted in a culture of continuous improvement and sustainability, are constantly in focus.


Our relationship with Nippon Steel, which began in 2018, has taken that collaboration to a new level. Today, through a mutual exchange program, we are creating opportunities for employees in Sweden, Finland, Japan, and globally, to learn from one another and share valuable insights across our geographies and specialisms.


This newsletter highlights what we have learned so far.


Explore the collaboration

   

Forging a two-way street

At its core, the program is a chance for people to both learn and teach. Through short-term secondments typically lasting 1–3 weeks, employees from Ovako travel to Japan, and vice versa. The exchange can include any of our teams, across our mills, research & development, environment and safety, and even finance and executive management.

You will find Japanese talent embedded in all three of our business. They are helping us boost productivity, quality control, and strategic development. And now, teams are heading to Japan as well.

Our goal is to refine the practices and technologies that will drive our company forward, and uncover new ways of thinking and doing. But more than that, we want to strengthen the ties between our colleagues across continents. When someone gets chosen for this assignment, it’s a sign that we recognize them. We want to spotlight their skills, and we want them to return energized, proud, and confident in their role as ambassadors for Ovako.

I have asked some of our recent participants to share their personal reflections on the benefits of global collaboration.


   


Q&A: Insights from across the seas



Mikael Schylander, VP Product Unit Tube & Ring, Ovako


Q: What new learnings did you bring home with you?

A: A lot of processes in Sanyo and Ovako look the same, for obvious good reasons. However, how we set up and run our production flows can vary due to market conditions. In Sweden, we lean toward flexibility; in Japan, the focus is on structured execution.

Secondly, the high focus on productivity stood out. Every operation is continuously scrutinized to optimize cycle times and save as much time as possible. The emphasis on inspecting material at every step was impressive.


Q: How was the culture different in the steel industry? And what similarities did you find?

A: The level of hierarchy is very different. In Japan, decision-making has a more defined structure, which is good in some ways and less agile in others. In Sweden, we might have a slightly shorter pipeline between idea and execution. But one core similarity stood out: professionalism. Regardless of the country or the level of automation, our people take pride in doing their jobs well.


   


Ludovic Gailleton, Head of Group Technology, Ovako


Q: What new learnings did you bring home with you?

A: During my visits to Sanyo Special Steel in Himeji and Nippon Steel in Muroran, I was struck by the structure and discipline of their processes. From the shop floor to senior leadership, the level of engagement was remarkable.

Secondly, their investment in inspection technologies and quality assurance was eye-opening. The systems are so precise that it’s nearly impossible for defects to go unnoticed. That commitment to zero defects aligns strongly with our own standards.


Q: How was the culture different in the steel industry? And what similarities did you find?

A: Structurally, Japanese steelmakers are more diversified but rely on a smaller pool of domestic equipment suppliers. Europe, especially Sweden, tends to have a broader ecosystem thanks to centuries of steel heritage.

In terms of challenges, both sides face aging work forces and stiff international competition. Ironically, those shared pressures are helping us find common ground to begin solving the problem.

   


Takeshi “Ken” Nakajima, Segment Leader Automotive, Ovako


Q: What motivated you to take on a new role in Sweden, and how does your experience support Ovako’s growth?

A: I joined Ovako in November 2023 after 37 years at Nippon Steel and a period at Sanyo. My career has focused on export sales and joint venture management, and I now lead the strategy for the automotive segment at Ovako, which represents about 30% of our total sales.

Having lived and worked largely in Japan, coming to Sweden was a big change, but a logical next step. I am aiming to work across all business units and serve as a bridge between our companies, aligning customer needs and internal planning. At the end of the day, our goal is to create value for customers globally.


Q: What are your impressions of Ovako so far?

A: Ovako is still distinctly Nordic, but you feel that international energy. The partnership with Nippon and Sanyo is not just the result of a boardroom handshake. It’s real. We’re standing in the same mills, actually solving problems together. I’m more of a realist than an optimist, so you should believe me when I say that the path ahead looks promising.

   


Always looking for the next opportunity


Another of our safety teams is already preparing for their upcoming exchange in Japan this autumn, following a visit by Japanese safety experts to Sweden and Finland last year. We may have more updates then!

Strategic investment secures future of ring production in Hofors


Ovako’s Board has approved a significant investment in a new electromechanical Ring Mill at the Hofors site, replacing Ring Mills 4 and 8. The project will reuse existing presses and furnaces, integrate both induction and rotary heating solutions, and shift the focus to cut tube production. At the same time, large ring production has been concentrated at Ring Mill 11, supported by new turning and ultrasonic testing equipment.


This is the third and final step in restructuring our ring production, creating a modern, efficient, and future-proof environment. By combining proven equipment with new technology, we are optimizing quality, flexibility, and competitiveness while ensuring sustainable operations for the long term.


Together, these investments position Ovako to continue delivering high-performance ring products that meet the evolving needs of our customers and partners, while securing a strong future for the Hofors site.



Unlock your potential with Ovako’s development programs


At Ovako, we believe our strength comes from our people. That is why we have designed central development programs and networks tailored to support different career paths and personal goals. Whether you are just starting out or looking to take the next big step, these initiatives provide the guidance, training, and connections you need to grow with us.


See how we help you grow

 

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This letter has been sent to james.mailer@ovako.com

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