Grupo Paranapanema: The Challenge to Consolidate a World Class Group

The Paranapanema Group was created in February 1996 when a group formed by the Brazilian pension funds acquired four companies dealing with nonferrous metals. The new Paranapanema Group, basically related to the tin and construction business, became the sole Brazilian primary copper producer, the second zinc producer and one of the most important producers of copper products, mainly tubes and fittings. To put together such different companies, managed before by family groups and with different cultures and principles, was and still is a big challenge. The strategy of developing and consolidating it as an homogeneous group is based in three pillars: an increase in production, quality and technological improvements on products and market mix and a permanent cost reduction program, using all the potential synergies founded.