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ArcelorMittal - Architecture

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[ArcelorMittal brand architecture] TONY >> Hello. For those of you who don't know me, my name is Tony Olds and I am ArcelorMittal's global brand identity manager. IAN >> And I am Ian Louden and I lead the FutureBrand Brand Consultancy Team that works with Tony and Nicola Davidson. Before we get into the detail, let's take a moment to consider the big picture. Let's suppose that it's 2018, 10 years in the future. How would we like the ArcelorMittal brand to be working then? As a single, world-class brand that stands for all that is best in steel, or, as a brand that works for some of us, but is, in fact, only tolerated, or even misused by a significant minority of others and is barely used at all by a few? It's not a hard question to answer. Obviously, we want one single, strong and consistent brand. TONY >> I guess, first of all, we should try to define exactly what we mean when we talk about brand architecture. After all, when I first heard this piece of jargon, I thought someone was going to tell me about how to design a building to align with the brand. Perhaps a good way to make sense of the idea of brand architecture is to think, not about the physical shape of a building, but rather, shapes of companies in terms of the way they organize and describe their different parts. Oh! And by the way, brand architecture is nothing to do with the many legal names that are used throughout the company. It's vital to realize that, while legal names are important for formal things, like contracts and purchasing, they are too complicated and confusing to be used every day to describe the parts of our company. IAN >> The other way to talk about it is to use the words "brand hierarchy" as this implies that the subject is about the way that the levels within a corporation are communicated, so that people know how one part relates to the other. The reality is that with a large and multi-faceted company like ArcelorMittal, it's really important to be clear about the relationships between the various parts of the company. TONY >> Another reason why brand architecture is an important subject, is, of course, that it is a powerful way of bringing Arcelor and Mittal together in people's minds. Achieving this objective goes a long way towards explaining why the GMB have adopted a monolithic model for the ArcelorMittal brand architecture. But, there we go with jargon, again. Maybe a better way to describe what we mean is to talk about the idea of one company, one name, one brand. IAN >> The final reason why this approach was chosen, is because it supports our business objective of being, not just the best steel company, but one of the best and most admired companies regardless of industry. It does this by talking about the parts of the comapny in a singular, consistent, one-brand way. Simply put, if we present ourselves as one single-minded company, we look stronger. And so, in turn, we actually become stronger. It's worth saying, as well, that this aligns with our stated business strategy of consolidation within the steel industry. Clearly, the idea of one brand supports this concept. IAN >> So, in simple terms, the intention of the ArcelorMittal brand architecture, is to support the brand strategy of ArcelorMittal, which is to build a single brand that not only symbolizes our brand promise, "transforming tomorrow" and our values, sustainability, quality and leadership but also the idea of our company being one of the most-admired companies globally, regardless of industry classification. TONY >> So far, so good. But we still need a way of describing the different parts of the company without compromising this basic principle. To achieve this objective, we have developed a simple decision-tree mechanism that sorts all entities within the company into one of 3 levels. You can see it on page 5 of the Brand Architecture Guidelines document that downloads from our Brand Guidelines website, The system works across 3 levels: Head Offices and Corporate Functions, Business Segments and Organizing Entities, and Operational and Administrative Sites. Using words and typography, each level has its own way of communicating so that the hierarchy of the organization is implied through the way it describes itself. IAN >> So, how do you decide which level you're in? That's where the decision tree comes in. It starts by asking, "Is yours a Head Office function?" If you answer yes, the decision tree places you in level 1 of the brand architecture and shows you a representative list of entities that sit at this level. By the way, it's worth noting that some Head Office functions, like purchasing, are not necessarily based in our physical Head Offices in Luxembourg and London. Here's a few, real-life applications of Level 1 of the brand architecture. Notice that Nicola Davidson's card mentions her department. TONY >> If you answer no, you are directed to the next question, "Does your entity have oversight of activity of multiple sites or across a country or region?" An obvious example of this would be our Steel Solutions and Services business which naturally operates from many sites. Answering yes to this question places the entity in Level 2, which covers Business Segments and Organizing Entities. On the face of it, this level is the most difficult to understand. But really, it's simply about whether the entity's operation are based at a single site or not. Once again, a representative list of entities that sit at this level is given. And here's 2 real-life applications. Notice the use of the unabbreviated name, "Steel Solutions and Services" rather than "AM3S" We want to avoid acronyms wherever possible, because they can be confusing. This use of the name, Steel Solutions and Services, is now standard practice for this important part of our business. IAN >> If the answer is no, you get directed to Level 3 of the architecture. which is for individual Operational and Administrative sites. At this level, sites are described using the company name, ArcelorMittal, followed by the name of the city or town where the site is located. Where 2 sites exist in the same town, the description of the different activities undertaken at the different sites enables differentiation. Please remember that it's not permitted to use any words other than town or city names after the company name. We really have to insist on this to ensure that the one brand idea gets the emphasis it needs. TONY >> Of course, there are a few exceptions, such as Dofasco and Jacinda, where market conditions have made it necessary to retain these names. In each case, this has been done by negotiation with corporate communications so that a specific method of using these names in the context of the ArcelorMittal brand can be agreed, together with a timeline. Both these companies will come 100% into line with the standard system within a few years so that they, too, can benefit from the power of one single and consistent ArcelorMittal brand. IAN >> Ultimately, achieving one single and consistent ArcelorMittal brand is the reason why the brand architecture has been developed and the reason why we have to insist on it. It's a goal that will be worth a little pain. We encourage you to contact us if you'd like further explanation. TONY >> Thanks for watching.

Video Details

Duration: 6 minutes and 53 seconds
Country: United States
Language: English
License: Dotsub - Standard License
Genre: None
Views: 254
Posted by: zad on Sep 9, 2008


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