- Worthington Industries
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Worthington Industries, Inc. 
Type Public (NYSE: WOR) Founded 1955 (Columbus, Ohio) Headquarters Columbus, Ohio, U.S. Key people John P McConnell, Chairman & CEO
John H. McConnell, Founder
George P. Stoe, President & COO
Andy Rose, Vice President & CFOProducts Steel Employees 6,300 Website www.worthingtonindustries.com Worthington Industries, Inc. (NYSE: WOR) is a diversified metal manufacturing company with annual sales of approximately $2.6 billion. The Columbus, Ohio based company is a steel processor and a manufacturer of metal products such as light gauge steel framing for commercial and residential construction; framing systems and stairs for mid-rise buildings; pressure cylinder products such as propane, oxygen and helium tanks, hand torches, camping cylinders, and scuba tanks; current and past model automotive service stampings; metal ceiling grid systems; steel pallets and racks; and laser welded blanks. Worthington employs approximately 6,300 people and operates 64 facilities in 11 countries. Worthington Industries has three primary business units (steel processing, metal framing and pressure cylinders) and several joint ventures.[1]
Contents
Overview
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Worthington Steel processes steel for industries ranging from automotive to recreation and leisure.
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Dietrich Metal Framing's framing and finished products are used for commercial and residential construction.
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Worthington Cylinders produces pressure cylinders for the refrigeration, transportation and manufacturing industries as well as consumer products.
Divisions
- Worthington Steel is America's largest independent processor of flat-rolled steel. The company takes steel from steel producers and processes it for customers in a variety of industries including automotive, lawn and garden, construction, hardware, office furniture, electrical control, leisure and recreation, appliance, agriculture and HVAC.[2]
- Dietrich Metal Framing is the largest manufacturer of steel framing materials in America. The company produces steel studs, floor joists, roof trusses and other metal accessories for commercial and residential construction.[3]
- Worthington Cylinders is a global supplier of pressure cylinders. The company manufactures cylinders used in multiple capacities including liquefied petroleum gas cylinders used for gas grills and camping cylinders; refrigerant cylinders used for air conditioning systems; specialty high-pressure cylinders such as oxygen tanks used for diving; and consumer products like BalloonTime helium balloon kits.[4]
- Worthington Steelpac Systems produces customized crates, steel pallets and racks used for shipping products. Steelpac products are used for shipping in several industries and applications such as motorcycles, lawn and garden equipment and jet skis.[5]
- Worthington Integrated Building Systems is a full-service framing construction company that provides design and framing for residential and mid-rise construction. Examples include framing for hotels, assisted living facilities, multi-family housing, military housing and student dormatories.[6]
- Gerstenslager manufactures past model body panels for several major automakers including General Motors, Ford, Chrysler, Mitsubishi, Honda and Nissan. The company provides stamping, blanking, assembly, painting, packaging, warehousing and distribution services.[7]
Joint ventures
- Worthington Armstrong Venture (WAVE) is a joint venture between Worthington Industries and Armstrong World Industries that produces suspended metal ceiling grids.
- Tailor Welded Blanks (TWB Company), a joint venture with ThyssenKrupp, produces laser welded blanks for the automotive industry.
- Worthington Specialty Processing (WSP) is Worthington's first joint venture. Established in 1986, WSP is a partnership with U.S. Steel. The company toll processes wide sheet steel for the automotive industry.
- Spartan Steel Coating is a joint venture between Severstal North America and Worthington. Spartan produces light gauge hot-dipped galvanized steel mostly used for automotive applications.
- Serviacero Worthington is a joint venture with Serviacero Planos. It operates two steel service centers in central Mexico.
- LEFCO Worthington, a joint venture between Steelpac and LEFCO Industries, manufactures engineered wood crates, specialty pallets and steel racking systems.
History
In 1955, a young steel salesman named John H. McConnell saw an opportunity for custom processed steel. He purchased his first load of steel by borrowing $600 against his 1952 Oldsmobile and founded Worthington Industries. First year earnings were $11,000 generated from sales of $342,000.
From there, Worthington Industries expanded and added processing facilities throughout the late 1950s and 1960s. Profit sharing was instituted in 1966 and at the same time, all production workers were put on a salary rather than hourly schedule. In 1968, the company made its first public stock offering of 150,000 shares at $7.50 per share.
In 1971, Worthington Industries purchased a small cylinders business, the foundation of what is today Worthington Cylinders, one of the company's core businesses. Just a few years later, in 1976, Worthington Industries celebrated $100 million in sales.
The company continued to expand and grow throughout the 1980s. The following decade, in 1996, after working with the company for more than 20 years, John P. McConnell succeeded his father as Chairman and CEO. That same year, Worthington Industries acquired Dietrich Industries, a metal framing manufacturer serving the construction industry.
A few years later, on April 19, 2000, Worthington Industries moved to the New York Stock Exchange. In 2002, after 34 years with the company, founder and chairman emeritus John H. McConnell stepped down as a member of the board of directors. And in 2005, Worthington Industries celebrated 50 years of business.
Worthington Industries continued to grow into the new millennium. In 2006, the company entered the stainless steel market when it acquired Precision Specialty Metals in Los Angeles, California. A year later, Worthington Steel expanded internationally, forming a steel processing joint venture in Mexico with Serviacero Planos. Worthington Serviacero has three facilities in northern and central Mexico.
The following year, Worthington Industries lost its founder. On April 25, 2008, John H. McConnell, business leader and philanthropist, died. At the time of his death, the business he started back in 1955 with his first load of steel had become a $3 billion company, employing 8,000 people in 69 facilities in 11 countries.[1]
Awards and achievements
Worthington Industries has been recognized four times by Fortune magazine as one of the "100 Best Companies to Work for in America". In 2006, the "100 Best Fortune" article on Worthington Industries stated, "The steel processor's culture is based on trust and great benefits. Factory workers get a piece of the monthly profit sharing, which augments monthly salaries 40% to 100%. Join the wellness program, and your health premiums are covered."[8] Fortune also named Worthington one of the "Most Admired Companies in the Metals Industry".[9]
Worthington Industries has been on Money magazine's list of "30 Best Performing Stocks of the Past 30 Years",[10] and Forbes magazine has recognized Worthington Industries as one of "America's Best Big Companies".[11]
Philosophy
Worthington Industries operates under a corporate philosophy centered around Worthington's Golden Rule: "We treat our customers, employees, investors, and suppliers as we would like to be treated." This business philosophy, which started with John H. McConnell, has been studied at graduate business schools including Harvard University.[12]. Below is a copy of the company's philosophy[1]:
Worthington Industries Philosophy - Earnings
- The first corporate goal for Worthington Industries is to earn money for its shareholders and increase the value of their investment.
- We believe that the best measurement of the accomplishment of our goal is consistent growth in earnings per share.
- Our Golden Rule
- We treat our customers, employees, investors and suppliers as we would like to be treated.
- People
- We are dedicated to the belief that people are our most important asset.
- We believe people respond to recognition, opportunity to grow and fair compensation.
- We believe that compensation should be directly related to job performance and therefore use incentives, profit sharing or otherwise, in every possible situation.
- From employees, we expect an honest day's work for an honest day's pay.
- We believe in the philosophy of continued employment for all Worthington people.
- In filling job openings every effort is expended to find candidates within Worthington, its divisions or subsidiaries.
- Customers
- Without the customer and their need for our products and services we have nothing.
- We will exert every effort to see that the customer's quality and service requirements are met.
- Once a commitment is made to a customer, every effort is made to fulfill that obligation.
- Suppliers
- We cannot operate profitably without those who supply the quality materials we need.
- We ask that suppliers be competitive in the marketplace with regard to quality, pricing, delivery and volume purchased.
- We are a loyal customer to suppliers who meet our quality and service requirements through all market conditions.
- Organization
- We believe in a divisionalized organizational structure with responsibility for performance resting with the head of each operation.
- All managers are given the operating latitude and authority to accomplish their responsibilities within our corporate goals and objectives.
- In keeping with this philosophy, we do not create excessive corporate procedures. If procedures are necessary within a particular company operation, that manager creates them.
- We believe in a small corporate staff and support group to service the needs of our shareholders and operating units as requested.
- Communication
- We communicate through every possible channel with our customers, employees, shareholders, suppliers and financial community.
- Citizenship
- Worthington Industries practices good citizenship at all levels. We conduct our business in a professional and ethical manner.
- We encourage all our people to actively participate in community affairs.
- We support worthwhile community causes.
References
- ^ a b c http://www.worthingtonindustries.com
- ^ http://www.worthingtonsteel.com
- ^ http://www.dietrichindustries.com
- ^ http://www.worthingtoncylinders.com
- ^ http://www.worthingtonsteelpac.com
- ^ http://www.worthingtonibs.com
- ^ http://www.gerstenslager.com
- ^ Fortune magazine 2006, 2002, 1998, 1997
- ^ Fortune magazine 2006, 2004, 2002
- ^ Money magazine, 2003
- ^ Forbes magazine, 2004, 2001
- ^ Discover Columbus by Mike Harden and Brooke Wenstrup, Towery Publishing, Copyright 1997
External links
Categories:- Companies listed on the New York Stock Exchange
- Manufacturing companies based in Ohio
- Companies based in the Columbus, Ohio metropolitan area
- Companies established in 1955
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