Achievement Success and
10% growth in headcount of 10% also in sales and 20% in the production of Ceará Santana Textiles are one of the biggest (and most stable) companies. The secret? The union of a family that "breathes" the business all the time. For Wagner
Belmonte
Santana Textiles of Brazil has numbers that transform a complex organization, effective and differentiated. It produced 40 million meters of indigo in 2004 and has a product table with 60 types of jeans. Founded 42 years ago, in Jaguaruana, a small town in the interior of Ceará where the hammocks were made today it is among the ten largest industries in the Brazilian textile industry, according to Exame magazine.
The idea is to increase production, grow ever more. "The forecast for 2005 is estimated in the range of 48 million meters," says Vice-President Veronica Perdigao. With about a thousand employees and the intention to increase staff to 1,030 by the end of the year, Santana has 100% Brazilian capital. The company is headquartered today in the city of Horizonte, in the State of Ceará. In the cities of Sao Paulo and Buenos Aires, the company set up show-rooms, in order to track key fashion markets in South America What's more, New York has an office, since the United States are the largest consumers of indigo in the world.
The four decades of work in the textile sector and the rise can be attributed to a difference: developing a consultancy to the customers buying their products. The growth of 20% set for production is defined as follows: "Our job is fairly called the infighting. We worked very closely the customer, we give a full post-sales support, guide, 'we come together '"says Veronica. Loyalty crucial point is developed by the company and Vice President shows that buy their products is just the beginning of a process. "We take care to steer to make the best of each product and follow our guidelines and techniques. All of this to build customer loyalty, helping it grow. We provide the necessary conditions so he can buy and grow," he summarizes.
the external market, with the "unwanted" falling dollar, the index provided for exports will be lower in 2005 than the average 18% of previous years. According to Veronica, the domestic textile sector exports may not add up 1% of the world. "Therefore, there is much to growth in exports, since the internal environment is favorable system. "The company's revenue is not disclosed by the Vice President. But the speech by the organization share: 11.5% of all domestic production of 2005, ie 48 million of a total of 420 million meters of denim fabric. Veronica adds that "the national market should consume between 355 and 360 million" of total production this year. The rest is exported.
family business run by brothers, Santana Textiles innovation in social responsibility. This is the case that keeps the nursery with 200 children, plus other projects such as assisting adolescents also encouraged to sport. She participates in the Première Vision in Paris, the largest fair of fashion trends in the world. With pride in who is ahead of the company since he observed working parents, Veronica, who graduated in Business Administration and a postgraduate degree in Finance, says: "This is not a traditional fair. Here, you must be invited to participate and, to be invited, there is a committee of nearly two years of analysis. "
In Fortaleza, at the Federation of Industries of the State of Ceará (FIEC), the executive gave us the following interview.
Manager - Santana Textiles was founded in 1963, founded by the family Delfino, in Jaguaruana. Today she is one of the largest industries in the country Indigo Capital is 100% Australian?
Veronica - Yes, exactly. The capital, we play here is 100% Ceará (laughs).
Manager - Industrial Park it is an area of 30 hectares?
Veronica - Correct. Our industrial park in Horizon has 20 acres of built in 30 hectares of total area. We also have two production units, the Natal (RN) and Rondonopolis (MT), the first plant in operation since 2003, with estimates of the second inauguration in 2006.
Manager - The company produced, in 2004, 40 million meters of indigo and the product table unites 60 different types?
Veronica - Exactly. In 2005 will produce 48 million meters of denim, and also add 15 new products in our chart of sales, ie at the end of the year we will have 75 products in the manufacturing line.
Manager - The lady gives a growth of over 20% in production value to what?
Veronica - Our work is rather "infighting". We work very closely the customer, we offer all the necessary support to the client with an emphasis on post-sale, the advice, "come together". Who buys our products is just early in the process. We advise how to treat the tissue, provided it is received and care in storage until the improvement in the industrial laundry and finishing, or how to get the best out of each product, which includes, of course, technical guidelines. Are loyalty strategies. We provide conditions such that he can buy and grow.
Manager - How did the concept of consulting the client's business?
Veronica - We saw a great need of this service. We work with small, medium and large customers. Customers midsize and large have more technical difficulties of fashion consulting, already small customer is one who mounts a production and is growing slowly. This, in addition to unstructured, in most cases, completely unaware of basic technical issues and has a great need for product orientation. Then comes a time such that if it does not follow, a support, he may have problems, and that's where we went. We diagnosed the condition of the machinery used and directed what steps should be taken to adjust to the desired end product. Our graduates in style and fashion as support the sale, or develop special washes in our tissues so that customers can have a product higher added value. Besides the provision of our customer surveys conducted several times each year in innovative markets in the fashion industry, we see the trends of behavior, to do a sociological study to see what the end consumer need, what he wants, etc.. And translate everything for our customers in an easy to understand through our speech-concept "Première Coffee, now in its seventh edition. We launch products twice a year and close to release, traveled to Brazil to present the Café Premiere in 14 cities considered producing areas of apparel. This is a special gift for our customers.
Manager - Clients are predominantly business?
Veronica - Yes
Manager - Indigo The company is negotiating for a third party?
Veronica - No. We produce only products with our brands: Santana Textiles of Brazil or Loco Serious Denim. The Loco is our designer fabrics and high value-added superconceituada in the luxury market. Our clients are primarily apparel. There are those who buy fabrics to sell their own brands, the clothing they buy to sell parts to third-party trademarks (called private label), a system widely used by department stores, there are those who buy only to provide services faction to other stores, and also attacked the tissue. We also export to several countries lot.
Manager - The volume is 20%, right?
Veronica - Well close to it: our historical average is 18%. Such a transformation does not always go to those who purchase our products. For example, the United States buy, but they deliver in Colombia. It has plenty of that. The United States is the largest consumer of indigo, but no longer are the largest producers since 2000.
Manager - What's first?
Veronica - China.
Manager - Competing with the Chinese product in the textile is predatory?
Veronica - Yes. First, for the following: we worked a lot with Chinese quality and focuses solely on price. It is clear that the market's mood smile more for those with the lowest price. Especially in times of crisis. It compromises the Brazilian participation in the consumption of larger market share. The negative effects are not long to appear, as the slowdown in production and the consequent growth of unemployment. So you may ask, "Why do no national weaving fabric bad?" That would not be advantageous for our textile industry. We have to work with quality and improve each days. Our technology is so good and refreshed that does not justify much investment to produce fabrics of dubious quality.
Manager - How long is the lady in Santana Textiles?
Veronica - I could say that my life (laughs).
Manager - The company belongs to a core of your family?
Veronica - Yes, I am a member of the company. We are five members and five brothers. It started with my parents and as children, watched the company grow and we helped too. It was a time at school and others in the firm. Working since 12 years and all my siblings were raised as well. We created love for what is now part and is in our blood, our DNA.
Manager - What is the company's position in the ranking of the industry?
Veronica - We are among the 10 largest industries in the textile sector in the country, according to Exame magazine (higher is better), but since we do not publish a balance sheet, our numbers are not presented to the market through that medium.
Manager - In relation to the volume of sales last year to this year, which is the expectation?
Veronica-We should grow 10% in turnover and 20% in production. This delay is justified because all other fabric producers have turned mainly to the domestic market, due to exchange rate overvaluation. Therefore, are all stockpiling or "burning" merchandise. The numbers only reflect the current scenario.
Manager - The general concept is selling price?
Veronica - Exactly.
Manager - Now, the production increased 20% and revenue grew 10%. This does not require structurally the company to monitor and reduce costs break even permanently?
Veronica - Certainly. Indeed, this is day to day. A company never stops to reduce their costs. We realize monthly meetings accordingly. Previously, the price formation occurred within the walls of the company. Not today. Today the market says: "I'm willing to pay so much for this product here." You will recalculate your costs until you reach a number that forms a price to suit different price stipulated by the consumer. In Santana has worked well since 1995 when we migrated spinning for weaving flat. Our meetings aimed at cost, plus continuous reduction, developing a culture of creativity that by using technology or studying, will lead very interesting work, are incentives for ongoing improvements. We even have a reward: if an employee at any level launches an idea, this is subjected to tests. If it works, we measured how much was the savings achieved. At the end the year, reward the person who launched the idea with a part of the result. These innovations are disclosed in our internal intranet, where we explain the idea, which sector, which was the official, etc.., Which is a source of pride for everyone involved in the improvement process.
Manager - How many employees does Santana Textiles?
Veronica - Approximately 1,000.
Manager - Later this year, which is the number of employees?
Veronica - We now have 989 and want to stick with 1030 until the end of the year.
Manager - At the end of last year which was that number?
Veronica - 918 in December.
Manager - That is, the workforce is growing at least 10%, the rate of sales also rose 10% and production increased 20%. It's a good year?
Veronica - Despite some difficulties, it is a good year.
Manager - The company has managed to increase exports in volume from 18% to 20% of production?
Veronica - No. This year will fall slightly because of restrictions in Argentina. The quota reduction of 19 million meters of indigo to 15 million in Argentina had a strong impact on our export performance.
Manager - The coefficient of 18% to 20% ...
Veronica - should fall.
Manager - The volume of exports has been greater?
Veronica - No, this track has always been and should be lower this year alone. The sector's exports may not add up 1% of the world. So there are a lot of growing exports, since the internal environment is favorable.
Manager - E must be less than the 18% due to expansion of trade in Argentina within Mercosur?
Veronica - Yes, depending on the reflexes of Mercosur.
Manager - With the dollar at $ 2.30, the company can take the measure of international competitiveness of exports?
Veronica - It is very difficult. Well, if the goal is to maintain a business relationship, it is even acceptable cost because the cost in the current quote, do not get any margin for profit.
Manager - Here in Ceará, the businessmen linked to the industry argue that the dollar should be priced at £ 2.80 to give competitiveness to the sector. It would be ideal?
Veronica - It would be interesting for the industry.
Manager - This lag in the dollar takes a company's competitiveness in foreign markets?
Veronica - I think reasonably compromise. After all, denim fabrics are marketed based on their historical prices. It is an industry of more than 150 years. Complicating further, Brazil participates very little in the global textile exports. Therefore, the low dollar price in Brazil has no effect on the value of internationally traded product. If this was already in China, the conversation would be different.
Manager - The company opened a showroom in Buenos Aires, an area in Sao Paulo and one in New York.
Veronica - In New York is only one office. Our North American customers need to know that there is someone from the company to resolve and fulfill your requests whenever they need it. That's credibility and security gives the buyer if they need to solve a problem. In São Paulo we are two years and recently moved to Avenida Paulista, where we set up office and show room and hope to attend the largest Brazilian consumer market more closely.
Manager - There is also an institutional purpose?
Veronica - Ease institutional negotiations.
Manager - How did the idea of creating a partnership with the Jeans All the universities?
Veronica - The idea is Delfino Neto, my nephew, the third generation of the company. He is the son of the CEO. It was he who had this idea at universities. He works in Marketing and Product.
Manager - And how it came about? Worldwide textile industry, there is a wide gap between academic knowledge and market practice?
Veronica - discovered by accident. There are four or five years, more or less, receive the University of Fortaleza (UFC), which form the first class of students of the Fashion and Style. They asked to see our company and, when faced with the technological universe textiles, realized that they did not know much of the production process of the textile chain. In short, be professional graduates, but unable to assess the quality of products that would handle during the exercise of their profession. So we decided to take a course of a month for them. Every Saturday we were transporting these guys for the company. They spent an entire hours at our facility, they received technical guidance. With this, we come and sponsor the university. We supply this lack of training, without forgetting that our future will be buyers because, in some time, they will be the responsibility of setting entire collections on some clothing. This is actually a job for medium and long term.
Manager - In São Paulo, Rio and Curitiba, when discussing this subject, what you hear from executives is that the college did not order people to the market. The same training, they say, occurs in company. If you want a competitive employee, who speaks the language of the market, you have to bring it to the company with the notion that he has the Administration - even though he has attended a good college - and additional training in this organization ...
Veronica - Actually, it always has. Today is the greatest. The universities do not have assistance, they do not seek to fill the practice. Therefore, we give much opportunity for trainees.
Manager - Do you have an internship program?
Veronica - We have, yes. There are times when we have 15 or 20 trainees within the company are scattered in different areas. They are trained for 6 months to 2 years, depending on need, and most stay in business. Opportunities arise and incorporate the best. To get an idea, today we have interns in the fashion and style that perform various jobs, including fashion consulting with our representatives. So I think universities need to be reconsidered. In addition, remaining professional in the market every day and, unfortunately, not qualified professionals. Usually when someone is finishing a training, we put him in the same factory. And we always have someone intern within the factories, because the vacancy arises, we selected one immediately has trained professional.
Manager - What is the market share of the company?
Veronica - There are 11.5% of national production this year, or 48 million of a total of 420 million meters of denim fabrics. The expectation of the export sector is only 15% of total production, the domestic market should consume about 355 million. Santana Textiles in the domestic market should sell about 43 million meters, which amounts to 12.1% market share in Brazil. We are a very open.
Manager - In what respects?
Veronica - We have no distance between the President and officials of lower rank. We walked through the plant, talked to everybody, call, we ask, really close to the employee of the board. Interestingly, we built in the area of the glass board. She sees the administrative and administrative also sees the entire board. I do not have any insulation and they have free access if they need to talk to me. So this gives a very large management approach. We also work very close to them and offer many benefits as a policy of valuing its employees. We think that our greatest resource is not technology, but our human capital. After all, without this, the technology does not work. There are several employees who have 10 to 15 years in business. Among the oldest, over 20 years with the company, exists to those who retire and do not want to leave the company, asked to stay a little longer because they enjoy working at Santana.
Manager - What is the difference in management?
Veronica - Perseverance. For the cost and time factors are dominant in the formation of a professional. Even a professional to know how the company about to play the most of their productive potential, it takes six months. This is considering investments in courses, lectures, training, improvement and renewal of knowledge of our professionals. And intriguing is that these investments are consistent in our management. Our range of benefits is quite diverse, including education, which is the agreement with the universities here do Ceará.
Manager - What is the purpose of the agreement?
Veronica - Get more college-educated professionals, or even higher qualifications. Through reduction in tuition and driving especially for college students, we hope to encourage them to academic life. And as more people develop hierarchically as a result of this action. Do not contribute financially to a full scholarship because what is achieved without self-sacrifice is not valued, unfortunately. The professional have to give your hand so that there is total commitment and involvement.
Manager - What is the turn-over of the company today?
Veronica - The turnover in July was 1.31%, a rate below the industry average, which is 4%. The absence rate (the coefficient of absence) is 0.72% below the average index of industries, which is 2%.
Manager - is a good number?
Veronica - Excellent. Sure, it (the index of absence) are drawn from the failures by law.
Manager - Do not you think that the capital-labor ratio would be better without the government?
Veronica - Much better. Today we pay Social Security, but we need to make health insurance of employees. We have a very large amount of benefits and it also holds the employee to the company. We have health insurance and dental insurance. We also work with schools. We have an agreement with SESI, the City of Horizon and Santana, to train our staff. We support and encourage so that they can finish primary school or secondary school. So, we formed three groups to finish the primary and the other to finish school.
Manager - What is your opinion on the CLT?
Veronica - CLT, since 1943, is the north for both employees and employers and also for those who legislate with respect to profitably manage the working relationships. We believe that many impasses that arose were resolved with the decrees, provisional measures and all laws supplementary to it. We believe that our legislators can add much more than exists today. Many doubts and questions could be resolved easily if the rules were a little more explicit. Their importance in the productive working relationship is vital and we believe that in the near future, it will have more answers for employees and employers.
Manager - The company has employees illiterate?
Veronica - Yes, They are professionals former group and very devoted, therefore, chose not to replace them. After all, I believe that illiteracy is not synonymous with disability. And these officials know and perform their functions very well. These are people who excel every day.
Manager - Do not you find it interesting that the company not only subsidize, but taken care of?
Veronica - We do our part. Education is key, we encourage and support our employees, the rate of schooling is growing every year. They need to be convinced and you can not force them. After we formed the first group of adults, and concluded the year with everyone involved and happy by other groups are reading and completing the course and high school, the concept of studying, it was complicated, has changed. Soon, several classrooms.
Manager - You can "crawl" the education profile of your employee?
Veronica - we: Illiterate, 0.20%, up to the fourth grade, 3.48%, incomplete higher, 4.37% college graduates, 4.17%. The Human Resources accompanies everything, and we seek to encourage them. Most have an average education.
Manager - Job-rotation, do you?
Veronica - Formally we have not, but usually do rotation. When an opportunity arises, a vacancy, we seek people who have the profile and make an internal selection, so you can fill a seat next. So, the first selection is internal. If we fail to allocate internally, on to the market. I am for their first job and we worked a lot with him.
Manager - With partnerships with governments?
Veronica - With the government, we have partnerships called open doors. And even before that, we already had that job. I admit I prefer someone without a lot of "baggage" of other companies, we like the employee to incorporate our own culture. This is very important. We use the very first job and we'll qualifying other levels to enable them to occupy higher positions.
Manager - Santana is one of the few companies in the Northeast conform to the precept of hiring the disabled?
Veronica - Yes. Obey what the legislation requires. We maintain partnerships with agencies that collaborate with us in search of professionals with disabilities.
Manager - are very few companies that practice, not only in the Northeast, but also in the Southeast. How are you able to meet that rate?
Veronica - It was very difficult, first because there were no qualified people. I would not put in place, because I disagree with welfarism. No We are here to play with anyone, employ qualified persons to perform their duties in a professional manner to a particular outcome expected by the company. It is not philanthropy. A person who is disabled has its shortcomings, her fears. So get a company to do nothing, she herself did not feel well. What we are partnering with the media in search of an already deficient or with some qualification with good potential. To get an idea, we have a handicapped quadriplegic graduate degree in Computer Science. He works with a pencil in his mouth and has an auxiliary side. He has a wonderful head.
Manager - The lady welcomed anyone that the market usually not welcome and that brought a good result?
Veronica - This is the case. His performance is very good. A man of high cultural level, quite prepared. Discuss all about Computers, occupying the important post of IT Manager, or its restrictions did not prevent the rise in the company, and what is best for their own merits.
Manager - Santana has ISO 9001?
Veronica - No. We are certified with the Seal 193 "given by the Fire Department. He was only given to two companies: Santana Textiles & Infraero.
Manager - As a business model to combat a possible fire? Veronica
- We are above the average required by law.
Manager - Santana And what does the field of Corporate Social Responsibility?
Veronica - We have a nursery built along with the city of Horizonte. A nursery with 200 children, close to the company, turned to the community and also for employees. We followed this nursery, besides having a job at Home of Clara, who are children and adolescents in the city near Caucaia. We have the Tigger project, which are street children who put them in sports. We also have many athletes in the company. Santana Textiles, Sesi in the league last year, participated. There were nine ways, and our team took the first places in all. We usually work pretty much the spirit of sportsmanship in the business, very motivated, not only within the company but outside as well. We have young players of national prominence, like Roberto Brazil, support for 5 years and is the only triathlete to compete in the Brazilian elite under 21 years, Pedro Zanotelli, a boy of 16 years, participates in the international championship of tennis.
Manager - Concerns about the quality of life for employees is increasingly present in the actions of HR. What HR Santana has done about this?
Veronica - Concern to offer quality of life for employees permeates the various HR actions because we believe that by providing a better quality of life, they will work more satisfied and this will directly reflect the levels of productivity and quality. Santana invests in social programs such as Mothers Day, fathers, dates bonfire, Christmas etc.. Moreover, we have lectures for the prevention of diseases etc.. We also have recreational areas, food education program, coral, encouragement to sports, work environment ergonomically studied, etc..
Manager - You are a 360 evaluation?
Veronica - Our employees are evaluated taking into account the behavior expressed in terms of technical and behavioral. This occurs through analysis and observations of the evaluator, his / her supervisor. All this within the standards and performance criteria considered, of course, the predominant values of our company.
Manager - How is it done?
Veronica - For those who possibly have a poor performance is a plan of action consisting of an analysis made with the developer of the points to be improved and which can be included in a training plan. Those who do not fit can be transferred to other areas where skills may be used.
Manager - Those who have good performance?
Veronica - Those who meet the expected performance receive compensation consistent with it. In Santana, we used the method of graphical scale in the assessment of performance. In the trial period and changes in wage rates or the function of the critical incidents method is used.
Manager - The company uses e-learning? What are your plans for 2006?
Veronica - Santana Textiles is a company concerned with a development environment of people in day-to-day. The tool of distance learning using Information Technology is an excellent complementary solution to the learning processes. It is used but still very sporadic.
Manager - What are the benefits offered by the company?
Veronica - Health care, in addition to the company doctor. Agreement-in pharmacy and dentistry, preventive medicine - including vaccination campaigns, feeding into the company cafeteria, food basket, etc.. Moreover, we have agreements with colleges, with language courses as well.
Manager - What are the trends for the sector benefits, in your opinion?
Veronica - The trend is the relaxation benefits. It is a practice that tends to be adopted by large companies. Santana differentiates themselves by having a wide range of benefits and they are largely corporate, ie, all employees are entitled, regardless of their position in the hierarchy.
Manager - Santana Textiles has gained international renown?
Veronica - Yes, it is held in Paris Première Vision, the largest fair of fashion trends in the world. It is not a traditional fair. The business must be invited to exhibit, according to criteria established by a board composed of European exhibitors, as well access is granted only to qualified producers. To apply for exhibitor passes any weaving for about two years of analysis. They get information on all areas, including social responsibility, benefits, environment, or how the company is perceived in the market. They get information on all aspects. We were the first Brazilian company to participate in February 2003, which I consider a landmark for the domestic textile industry, it confirms that some companies in our country are prepared to compete globally in quality.
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