A leader with a growth mindset, Rok Rozman was the perfect candidate to take on what was once a business on a downward trajectory.
With 18 years experience in the financial sector, prior to joining Livar, Rok successfully advised on the restructure and financial stabilisation of Slovenia’s largest merchant.
In 4 years, CEO Rok has taken Livar from a business with a two out of ten financial stability rating, to a thriving company valued within the top 7% in Slovenia.
Joining the business in 2018 (taking on the role of CEO in 2019 alongside a new management team), Rok oversaw the implementation of Livar’s new strategy – The Roadmap to 2020+, including the business’ financial restructure.
During the financial restructure of Livar, which specialises in the production of grey and ductile cast iron with mechanical processing, the business achieved financial rehabilitation and gained new shareholders. The majority owners became financial creditors from the AnaCap Financial Partners group (currently Veld Capital Partners).
Whilst the restructure saw improved operational efficiency for Livar, one of the greatest achievements of this business turnaround was the saving of 600 jobs.
“I believe in the development and empowerment of strong team, and creating a supportive environment for necessary change,” shared Rok, “I want our colleagues to celebrate small wins, understanding that step-by-step we can achieve a bigger goal”.
Livar’s restructure combined with Rok’s leadership ethos has helped the business to adopt and promote a new company culture, which the CEO considers to be the “main engine for change”.
Supporting the business transformation is a new, young management team and collective of industry experts. To ensure the business sustainability, Livar has cultivated development and management programmes to grow colleagues from within.
The Largest Foundry in Slovenia
Working out of two foundries in Slovenia, with a combined net production square meterage of 38,000, Livar runs six production lines and can produce 35,000 tonnes of casting per year.
Livar’s operations focus on three core areas:
- Production of castings – Providing design, casting simulations, and 3D tools, Livar can produce the most complex castings from grey and nodular cast iron.
- Machine processing – Additionally, the business can perform tuning, milling, drilling, slotting, and balancing, mechanically processing its castings using CNC technology.
- Ducting range – Finally, under its Livar trademark, the business can produce gratings, manhole covers, and custom-made products.
“Livar is a one-stop solution provider. We differentiate ourselves from our competitors through our in-house ability to service the entire life-cycle of the casting process. From prototyping through to moulding and casting to machine processing and quality assurance,” explained Rok, “not only do we have the largest capacity in Slovenia, we are centrally located which adds efficiency for clients”.
On the Path to Excellence
With the business now financially stable, Rok and his team have set their sights on a new vision: the Roadmap to Excellence 2025.
Ultimately, Livar aims to become the first choice supplier for casting production, machining and assembly solutions, empowered by sustainable centre of excellence and highly motivated team. Livar’s strategy is supported by five pillars: sustainability, people, clients, production, and processes.
“The strategy is powered by innovation and culture. Initiatives in our Roadmap to Excellence focus on adding value to clients, improving efficiencies, and reducing fixed costs,” shared Rok.
A business case has already been presented to expand machining capacity at the foundries by 30% to add value as well as plans to consolidate its operations into a single facility to improve efficiency.
When it comes to innovation, it is clear that AI will have an exciting impact on Livar, with the business already being supported by solutions in 3D modelling to help it to produce optimal casting results.
“I foresee that AI will benefit the business by offering more robust data tracking which will help to increase productivity,” shared Rok, “it will also help us to make quicker decisions and enable more precise inventory management. This will likely improve the business in terms of efficiency and cost savings, and will be another value add for clients”.
Whilst the potential benefits of AI are on the horizon, it is in sustainability and ESG that Livar are reaping the reward of in the here and now.
Supported by the Norwegian financial mechanism, Livar has participated its CIRCI project, backed by the Slovenian Chamber of Commerce and Industry. The circular economy initiative has seen the implementation of an innovative new process which enables the reuse of specific waste materials from the foundry and machining production into a new product.
“We are now embarking on the final production tests. Initial results are promising and are indicating potential savings of €1 million. We are proud of this project and we strongly believe that the predicted savings will be delivered,” shared Rok.
At its core, Livar has been a part of the circular economy for 70 years, with its business collecting and recycling metal waste and moulding it into a new function. However, with better technology it now has a clearer vision and further opportunity to measure and report on sustainability outcomes.
With that in mind the business has outlined its ESG goals for the next two years. By 2025 (compared to a 2021 baseline), Livar has made a commitment to improve its carbon footprint by 5%, increase its energy usage from sustainable resources by 20% and reduce waste by 10%. Additionally it aims to increase the average salary in the company by 20%, and increase training resources by 20%, whilst reducing sick leave by 10%.
“We need to become more courageous and more ambitious with our goals. Now is the time for Livar to become more strategic and fearless about protecting our environment, people and communities, whilst creating the highest value in our field of operation,” added Rok.