Cemex 1997 Annual Report Download - page 28

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22
Cement Sales Rise 29%
Overall, CEMEX Panama enjoyed a very good
year. Despite the delay of some expected public
works, 1997 cement sales volume grew 29%.
This jump resulted from the company’s
increased share of the country’s cement and
ready-mix markets and a two-month strike at
its local competitor, Cemento Panama. During
the strike period, the company managed to
supply 100% of domestic demand.
CEMEX Panama’s 1997 ready-mix sales vol-
ume increased 112%, compared to 1996, due
to its increased market penetration and
enhanced customer service. Over the year, we
continued to transform Bayano from a state-
owned and managed operation into a key part
of the CEMEX system. We have worked to inte-
grate CEMEX’ highly adaptive management
culture, operating style and philosophy. By
year-end, employees underwent 9,200 hours of
training, including industry practices, techno-
logical development, management skills, logis-
tics, communications and leadership.
In 1997, the company received ISO 9002 cer-
tification, which assures that its gray Portland
cement meets international quality standards. It
further lowered energy costs 25% by replacing
80% of its fuel oil with petroleum coke.
This year, we expect to maintain our com-
manding share of the local cement market and
increase our penetration of the ready-mix mar-
ket by offering new products and prompter ser-
vice to our customers. In September, we started
selling long-life mortar, which does not require
mixing at the work site and lasts 24 hours with-
out hardening. During the first quarter, we plan
to market Flexicem, a masonry cement, and, in
the second half of 1998, to sell pozzolanic
cement, a low-heat-hardening cement for large
construction projects.
We have also taken steps to reduce our
ready-mix trucks’ waiting time at construction
sites. During the year, we look forward to
installing and implementing CEMEX’ proven
SDO system to significantly improve our trucks’
productivity and on-time delivery.
A Total Transformation
From an environmental and safety standpoint,
CEMEX Panama continues to undergo a total
transformation. In addition to upgrading its
dust collection equipment, it is establishing
employee awareness programs and working
jointly with local governments and the commu-
nities to improve the environment. As part of
CEMEX’ comprehensive risk reduction program,
the company audited industrial safety criteria at
its cement plant.
CEMEX Panama is further taking actions to
conserve the wildlife, such as crocodiles and
ducks, that live around its facilities. Through
the donation of ecology books to the National
Association for the Conservation of Nature,
Bayano is also supporting a project to monitor
wildlife and plant species in the Panama Canal.
"Whether in regard to a business
unitÕs strategic goals or the effi-
ciency of a specific truck, CEMEXÕ
global technology system gives the
company real-time, online informa-
tion that it can share with employ-
ees and customers."
Arthur Andersen,
"BEST PRACTICES", 1997