| Cover Story |
| Columns |
| Schuff Steel Co.: Focused on Big Goals |
| By Libby John | |||
| Monday, 21 April 2008 | |||
![]() Schuff Steel is a Phoenix-based steel fabrication and erection company that is experienced in design/build.
Schuff Steel has always strived to be diverse by being involved in different markets. President Ryan Schuff says that mindset gives the 32-year-old firm a competitive edge. “Our business plan is to be different and be ahead of the game,” he explains. “We used to think outside the box, but now, we think outside the galaxy,” Schuff continues. “We are always looking for new things and to innovate ourselves. “What I mean by galaxy is that we think of things beyond imagination which in return has separated ourselves from competitors by 10 steps.” Schuff Steel is a Phoenix-based steel fabrication and erection company. Most of its projects are performed in the Sunbelt and Midwest, as well as South America countries such as Peru, Chile and Argentina. The company has performed design/build projects for over eight years, while most of its competitors are just starting to enter that sector. “There was a demand for design/build because the projects demanded a faster schedule with incomplete drawings,” Schuff explains. “A lot of companies didn’t understand it because it was new and risky. But it gave us a competitive edge because it turned out to be a necessary change in the industry.” The company acquired its first fabrication facility in Phoenix when they acquired Marathon Steel, a competitor that was going out of business, Ryan Schuff says. In 1997, it bought out another competitor that owned a fabrication facility in Gilbert, Ariz. Growth exploded after it went public in 1998. The company borrowed $100 million in bonds and started acquiring many of its competitors, Schuff explains. It bought six industries located in Houston, Bannister Steel from in San Diego, Calif., Addison Steel, located in Florida and Georgia, and Quincy Joist in Florida. “We went forward and just started growing,” he says. The growth slowed post-9/11, but recovered in 2004, he adds. Schuff acquired the assets of Havens Steel, in 2005, another competitor that had filed for bankruptcy. “We were thinking outside the galaxy,” Schuff stresses. “If you are 10 steps ahead, it pays off.” Today, Schuff Steel is one of six companies that encompass Schuff International. Scott Schuff is president and CEO of Schuff International and Dave Schuff is chairman of the board. Economic conditions and the high price of steel have not yet significantly impacted Schuff Steel. “We protect our jobs from escalation so that we don’t get hurt,” Ryan Schuff says. “We also [ensure] the owner and the general contractor have the job and the financing in place so that it doesn’t get cancelled. Our pipeline looks great.” He says he has seen several changes in the industry since he came on full-time in 1999. For example, there are more design/build projects, and new facilities are larger and being completed on faster schedules with incomplete drawings. “The trend out there is new stadiums and ‘mega projects,’” he says. “It has gone on from the late ’90s until now. There are also more new stadiums being planned. “Public works, light industrial and infrastructure work, like airports, city projects and power plants are moving ahead,” he adds. The company has added more employees and a “different caliber of people” to meet the new trends, he says, such as people who could develop new ways to improve the company’s operations. It strives to have a diverse work force. “We like to see employees with experience and knowledge, but what we want most are energetic people that want to learn, and have the motivation to grow and just go kick butt,” he explains. Schuff Steel offers technical training, as well as classes that discuss project management, personality and listening skills. “We want to groom our employees to become leaders,” Schuff says. “It’s a fun company,” he says. “We go to our different subsidiaries to have lunch with the people. We also have Bible studies each Wednesday in the shop and the office. “Our most prized asset is our people,” he says. “We keep our atmosphere fair and treat people well.” |
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