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Nucor Corporation Case

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Assignment #4: HRM Issues/Diversification Strategies: Nucor Corporation

Strategic Management, Business 599

Introduction In this paper, we will present an analysis of Nucor Corporation in Case # 10 (Arthur, Strickland, & John, 2010). The paper will discuss the trends in steel industry and how it may impact Nucor’s strategy. In addition, the paper will describe the organizational and management philosophy at Nucor. Furthermore, the paper will identify 3 HRM issues related to strategy implementation and recommend actions to address these issues. Recommendation whether a related or unrelated diversification should be used will also be discussed. Finally, we will be looking at Organizational structure issues the company would need to address to implement the strategy.
Trends in Steel Industry and Its Impact on Nucor’s Strategy An analysis of the steel industry trends shows that from the period starting from 1910 till the year 1960, the first position in terms of producing the largest amount of steel in the whole world was captured by United States of America. During this period it was observed that almost half of the total steel production around the globe was produced by USA. But things started to change after the countries like Japan and China came to the fore. Again, in the recent years, India as well as Brazil has shown tremendous performance in the steel production industry. According to the recent steel industry trends, China is the largest steel producing nation. However the production of quality steel in China is very low. Thus, they have to import large quantities from the foreign countries, especially Brazil. The rise of India as a key player in the world steel industry is also evident while analyzing steel industry trends. Very recently, the Indian Steel company called TATA Steel has acquired the fifth largest steel company of the world

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