— Oleksandr Ivanovych, I propose to begin our conversation from the last jubilee year of “Zarya” enterprise. This event, probably, impacted the activities of plant’s staff. How can you assess the last year?

— Indeed, 2017 was for “Zarya” the year of 100th anniversary of the enterprise. Today, the research and production enterprise “Zarya” continues to develop the manufacturing process and the line of products, including the one that started in 1917.

We have properly celebrated the historic anniversary. Many residents of Rubizhne, Lysychansk and Severodonetsk will remember the large-scale events for a long time, including a festive concert, which gathered thousands of people in the main square of the city. Such bright final touch was crowned by dozens of jubilee events that were held throughout the year.

Regarding the social projects it is necessary to emphasize that the 100th anniversary of “Zarya” was marked by the opening of a recreational area in the southern part of the city on Pisochne Lake, that was an opportunity of both individual and family recreation. The recreation center was functioning the whole week, although initially we tried to establish certain sanitary days. But we looked at the number of people who planned recreation, including on weekdays, and immediately changed the schedule, so that this place is opened daily. On some days, the number of people reached 1.5-2 thousand people. The analysis has shown that the recreational area became the best recreation place in the region.

There is another significant social project that could be of interest for you –the park in the southern part of the city.

— I remember the solemn ceremony of opening the training center.

— Indeed, we are proud that the modern training center has been opened at our manufacturing site, the services of which today are used not only by the employees of the enterprise. The creation of the state-of-the-art center, and introduction of the newest teaching methods make it possible to raise the professional level of the employees and managers of this field. Foreign languages training have become very popular too. The center provides an opportunity to train specialists who could quickly and efficiently solve the issues of health and safety, as well as technological, technical, organizational, commercial issues that arise in the course of enterprise activities.

In the same building together with the training center there is also a public catering center with modern equipment and comfortable conditions for both visitors and staff. This is a convenient place, where anyone can have tasty and inexpensive meals. And we will continue this practice, improving the provided services.

— The economics determines the policy of any enterprise and “Zarya”, in particular. How did the manufacturing site work?

— Regarding our economic activities, the year ended with good results. The indicators of 2017 were significantly improved.

Taking into consideration the new economic realities, currently the most urgent issue for us is maximum integration in the world market. We are developing our policy based on this. Therefore, we focus on updating and specifying the directions of enterprise development.

Numerous business trips to foreign companies allowed our employees to gain new experience and new knowledge and get answers to the questions: how and for what products the manufacturing should be modified, how the available capacity should be used for new production process that should meet the requirements of the customers. I am convinced that the manufacturing process should be modernized that could provide to the manufacturer the competitive advantages. The fact is that in order to be in demand we have to change. This is the only way to remain competitive not only in the present, but also in the future, being an active and long-term participant of the world market.

We have worked out the possibility to establish joint ventures with foreign companies that are ready to join us in this process. In terms of organization, our production is mostly in line with the requirements of the European Union, but on the other hand we have, undoubtedly, move forward to the excellence. We continued to introduce the new types of products, improve and create modern working conditions in the workplace. A new product line has been created for the second class of industrial explosives, and a number of other specialty chemicals that currently are being prepared for launching. I suppose that the last year made a good reserve for the current year. It is clear that all projects have different periods of implementation: if this project is small, then it can be realized in 1-1.5 years, if it is a larger one – we will spend nearly 2-3 years for it. But in terms of project payback, it usually takes 5-7 years, depending on the amount of investment and its profitability. In the next five years, we need to make serious investments in the enterprise – about $50 million, which will help to significantly increase the output of goods, and create modern manufacturing site that could compete with the best European companies. Realizing that the effectiveness of the movement towards the goal depends entirely on the development program, we clearly establish benchmarks to ensure constant development of our manufacturing site.

— That is, as in previous years, “Zarya” is trying to see further than tomorrow?

— Yes, at least 5-10 years ahead, and we have made significant progress in this direction. Before creating serious technical and industrial production, it is necessary to calculate and minimize the possible risks that arise in the market, it is important to be engaged in business diversification and create innovative products. This main goal is subject to technical, organizational and commercial activities, which we are implementing at the enterprise.

The tough world of competition obliges us to go not only in step with the times, but better – be one step forward. And the key link in this process is the personnel. Modern, well-trained, with knowledge of one foreign language – this is the requirement that we put forward to the directors. And not only we put it, but also we have created, as I said, the lesson of foreign languages on the basis of our training center. In addition, we are considering the possibility of training our specialists in the Czech Republic, Poland. We want to involve a number of professors from leading Ukrainian and foreign counties universities to read the course of lectures for our specialists. We prepare business trips to a number of European companies that will organize the necessary topics for visiting large enterprises – world leaders in the production of, say, aromatic hydrocarbons. This is a new direction in our activity. Yes, it costs money, but without renewal, and a breakthrough we will not achieve our goal – to become one of the leading companies and to compete in the market for a long time.

— How can you characterize the current situation of “Zarya” in the world market?

— The business reputation of “Zarya” is generally stable, although different types of products have different levels of stability, I would say. Regarding our main product, blasting industrial explosives, we are the best enterprise on the European market. If we look at this product in the context of the global criteria, then we are at the top three as to the quality, competitive price and fulfillment of contractual obligations. The confirmation is that for today the enterprise is fully loaded with orders for the main product type. Now we are improving the technology, we are rebuilding adjacent production in order to ensure the fulfillment of our contractual obligations.

I repeat: our task is to integrate into the world market for a long period of time, to be its active and reliable participant

Based on the materials of the newspaper Vestnik Nedeli

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Research and Production Enterprise "Zarya" Ltd
1G/36 Zavodskaya St., Rubezhnoe Lugansk region, Ukraine, 93001
Phone: +380 6453 95085
E-mail: info@zaryachem.com