STAFF DEVELOPMENT

The ability to shift paradigms, overcome limits and expand frontiers make Gerdau professionals a unique team of steelmaking specialists

In 2003, the Gerdau Group invested R$ 21 million in training, a fact that reflects the Company's increasing concern with keeping its professionals constantly up to date. During the year, we administered a total of 1.1 million hours of training, corresponding to 75 hours per person.

Within the self-training concept, we encourage teams to become the managers of their own development process. The Gerdau Group uses the Industrial Training System, which encourages skill improvement through specialized training in the areas of maintenance, operations, information technology and management of safety, environment, people and quality. In 2003, the program benefited a total of 6,800 people, and since its implementation in 2001, has trained 11,700 professionals.

A study carried out with employees at Gerdau Riograndense (state of Rio Grande do Sul) exemplifies the contribution that the Industrial Training System has had on building greater interaction between areas of the Company, improving performance and increasing levels of productivity and security in making decisions for new situations. A total of 82% of the interviewed participants report that they use the concepts studied in the courses and 83% report that their work attitude changed after completing the training.

In the commercial areas, we have developed the Commercial Training System, which is focused on improving customer service and operating efficiency levels. In 2003, we identified individual training needs for the business teams and the appropriate training modules will be implemented during the coming year.

Important tools were developed in this area with the aim of promoting self-training. The Distance Education portal offers courses on information technology, steelmaking, administrative procedures and management systems via the Company Intranet. In 2003, we performed 15,500 hours of training. In addition, several units have Education Centers that are equipped with computers, classrooms, videos, reading material and specific modules created to facilitate individual learning.

The Leader Development Program, in line with the vision of international growth, is designed to develop competencies that generate world-class performances. The program works on content related to culture, strategic thinking, business and leadership. During the year, 1,100 people were trained, a figure 63% higher than that recorded for 2002.

The Company offers its employees full scholarships for Master of Business Administration (MBA) courses at top universities in Brazil and abroad. We also offer an internal exchange program between operations, designed to prepare global leaders. These programs take place in Brazil and in the other countries where Gerdau units are located.

The Gerdau Group believes that the future of the Company is directly related to attracting and developing new talents. In 2003, we carried out our first national selection of trainees. Twelve thousand recent graduates competed for 130 positions available at units throughout Brazil.

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