SteelOrbis talked to Ira Vernon, president of Concrete Reinforcing Products, during the 15th annual SteelOrbis RWR conference regarmding his career in the steel industry and the changes the industry has faced down through the years.
How many years have you been in the industry?
I have been active in the steel business since 1981. At that time, I left the clothing business in Gainesville FL (Tuesday morning 1971 – 1979) and went to work for my uncle Allen Gordon at Port Everglades Steel. I started as an inside salesman working in the Tampa branch. After that, I moved into purchasing. I set prices for our American Steel Services retail distribution. Eventually we closed the retail business and I stayed with our wholesale side. We mainly concentrated on PC strand and reinforcing bars.
How did you get into working in the steel industry? You mentioned your father and uncle being inspirations. Could you elaborate on that?
When I graduated from college, I elected not to go into the family business for a multitude of reasons. It was the early 70s and I was a free spirit. While my uncle had taken my grandfather’s business (PESCO) and continued to grow the volume, we did not get along and the business went on without me. Finally, in 1981 I tired of the retail business, and I went “hat in hand” and asked my uncle for a job.
What is the most significant change to the steel industry that you’ve witnessed during your tenure?
When I entered the steel business, the first EAF mill had been built by Nucor in Darlington SC in 1969. Thus, the process was still relatively new. Most steel was still produced by the blast furnace method.
How have you seen the industry change so far this decade?
Obviously, in the last decade technology has led to communication advances that have made it easier for buyers and sellers to connect. Manufacturers and distributors now have a much easier time going downstream to connect with end-users. Also, the world has become much smaller. Circumstances and conditions in markets in Asia and Europe had a bigger effect on how we managed our business in the US. In addition, China continued to expand its production facilities. This made it paramount for local steel mills to produce competitively with the Chinese. If that was not successful, the mills began to use different governmental tariffs for protection.
What do you see as the biggest challenges to the industry in the next 12-24 months?
Decarbonization. This process is the reduction of carbon dioxide emissions through the use of low-carbon power sources. This achieves a lower output of greenhouse gasses into the atmosphere, and it’s a heavy responsibility for current producers.
What advice would you give to people who are just starting out in steel?
The steel business is a vibrant, challenging cooperation involving manufacturing, wholesaling, and retailing. Unfortunately, it is not the most glamorous business and we suffer from not enough new, young talent. I would suggest to anybody new entering this arena that they find themselves an established entity and work hard to understand their business. At Concrete Reinforcing Products, we are importers, but when we put our purchases on the ground for sale, we compete and act just like a steel mill. We sell products and services which go hand in hand. That is our niche.
Is there anything else you would like to add?
During my 42-year career I have met many interesting people. I have visited countries in Africa, Asia and Europe. The business has given me this vehicle to expand my horizons and grow both as a person and as a professional. There are so many opportunities in administration, operations and logistics and numerous commercial ventures and opportunities in our industry.