The Rivne company “Stal-M”, a manufacturer of a wide range of metal doors, pleasantly surprised and delighted us.

When we traditionally asked its co-owner Andriy Mulyarenko about the damage caused to the company by the war, we expected the answer we usually hear from Ukrainian entrepreneurs: production and sales fell by a certain percentage, followed by a list of other troubles characteristic of doing business in a country at war. But no. He said that the company increased its production volumes even in the difficult conditions of wartime. Of course, our next question was: how did they manage it, and thanks to what?

– The war forced us to become exporters. We could probably have set up foreign sales of doors earlier, but there was no urgent need. And when the war significantly reduced the possibilities of the domestic market, the need to look for markets outside Ukraine became obvious. To this end, by the way, last year we participated in a trade mission to Great Britain with the assistance of the Ukrainian Association of Furniture Makers. We haven’t yet established sales there, but we are already exporting doors to Balkan countries.

– Many of our exporters have complaints about foreign clients: some refused to do business with companies from a country at war, others changed payment terms, refusing prepayments. Were you lucky to have more accommodating clients?

– Our clients had such fears too. But we were able to assure them of the company’s stable operation. We are geographically located in the city of Rivne, that is, in the relatively safe west of Ukraine, and therefore for our clients this was one of the factors that positively influenced their decision to work with us.

The same applies to payment terms. They are practically the same as we have with domestic buyers. Of course, there were some precautions. Prepayments are partial, there are other safeguards: half of the amount in advance plus additional payment when crossing the border or when the truck is cleared through customs, there are examples when the counterparty asks to make payments weekly, for instance.

– Exports allowed you to sell more products, but what allowed you to produce more? For many enterprises, the lack of qualified workers is now becoming a limiting factor in this regard. Stal-M isn’t on any special account with the state, so mobilization-related staff outflow affects you too, doesn’t it?

– The acquisition of new highly productive and high-tech equipment played a positive role here. And in several aspects: it contributes to larger production volumes, better quality and product range, allows us to produce more products with fewer people.

We manage to minimize the consequences of the forced outflow of workers through more efficient organization of production, which is achieved through the use of Kaizen techniques and lean programs and mechanisms. We started instilling the Kaizen philosophy in the company back in 2012, accustoming the team to it. And now it helps us a lot.

By the way, we thank UAM, which traditionally pays great attention to the exchange of experience between enterprises, the implementation of lean production methods, training and development of member companies. And the course on supporting exporters, which has become even more relevant in wartime conditions, and facilitating the participation of associated members in international exhibitions – this is also what we value UAM for.

– A reliable factor in increasing sales has always been expanding the product range, introducing new models, especially with some innovative content.

– Indeed. We have a good example in this aspect as well. In the first months of the war, a new model of fire doors without stiffening ribs was introduced into production, which corresponds to the best foreign analogues. They are already properly certified. We are expanding the line of street doors with new models.

Abroad, we mainly sell the same models as in the domestic market. But if a foreign buyer is ready for wholesale purchases and asks to make certain changes in the design that are important to him or even create a model according to his technical specifications, we do not refuse him this.

– What are your plans for the near future?

– To prepare for the fact that the personnel problem will become even more acute. So our thought is as follows: ‘Every enterprise must adapt the production process and workplaces to new realities. Namely, for the comfortable work of people with disabilities and women.’ For this, it is necessary to constantly facilitate the performance of labor-intensive operations, technologically simplify them.

– From your information sources, we learned that Stal-M sponsors motorcycle sport in Rivne, specifically speedway. It continues to do this even in the current complicated conditions for entrepreneurship. This hardly gives you any benefit, except perhaps image-wise…

-In Rivne, this sport is popular and widespread. We are its fans, so we support it and promote its development without counting on any benefits. Even image-wise. We simply help as fans what we are passionate about.”