ArcelorMittal Design Project

1. ArcelorMittal Design Project Presented By: Braulio Escobar, Jim Beidleman, Dave Taucher, Joseph Kaminski

2. Table of Contents • Project Background • Project Objectives • Information • Design Process • Our Design • Conclusion

3. Project Background • Large Steel Company with Extensive client base • Facing large problem with disorganized and mislabeled scrap coming in • Causing off heats and affecting quality of their product • Creates dissatisfied clients • Currently correcting the heats one batch at a time • Do so by adding in pure alloys • Chromium cost $32 for every 100g • Manganese cost $6.50 for every 100g • Aluminum cost $15.72 for every 100g • Expensive • Time consuming • Would like a system created to mitigate these issues

4. Gathering Information • Would like for the material to be organized before entering their facilities • The problem requires us to look at the big picture • Cooperation between large entities (i.e. auto manufacturers, scrappers, etc.)

5. Gathering Information • The recycled steel is creating issues • Unfeasible to exclude scrap metal from the solution • Too costly to make steel solely from scratch • Will be impossible eventually • Expanding countries of China and India • Limited resources • Inflation & exorbitant prices • Effectively use scrap to sustain steel making into the future • “Cradle-to-Cradle”

7. Objectives • Identify Problem • Find The Needs • Identify Effective Solution • Analyze Effectiveness Of Solution

8. Faced with a Problem • Several Problems: • Issue of Organization • Issue of Effective Storage • Issue of Multiple Entities Cooperating

9. Attributes • Efficient • Cost • Time • Space • Within ArcelorMittal’s tolerances • Appropriate Incentives • Sustainable • Organized

10. Weighted Objective Tree

11. Specifications • Efficient Process • Sustainable • Incentives that propagate the process and can be maintained into the foreseeable future of all entities involved • Process that can be maintained without exorbitant operational costs • Space Efficient • ArcelorMittaldoes not separate the steel on site

12. Our design

13. A: By size/ chemical process/ Barges/ ArcelorMittalB: By composition/ coding/ train/ scrapyardC: By density/ Magnetic process/ trucking/ scrapyard

15. Manufacturers • Produce manuals to be sold to scrap companies • These manuals identify types • of metal used in product • Identify where metals are in product • Incentive • This would provide new income • Help with quality of steel arriving at their plants

16. Scrappers • Would Purchase manuals from Manufactures • More Specific in scrap process • Incentives • Increased payment from ArcelorMittal for properly separated steel

17. ArcelorMittal • Pays higher fees for the recycled steel imported into their plants • Needs to establish better and more frequent communication between themselves, manufacturers, and the scrappers • Incentives • Less need for raw materials like pure carbon etc. • Less expensive with more effective use of recycled material

18. Benefits • Builds on ArcelorMittal’s already established specs • Provides incentives for scrappers to meet their specs fully • Utilizes the cradle-to-cradle concept better • Less cost for raw materials • Possibly reduced mining • Help reach a shrinking state of new steel production

19. Conclusion • Our Solution • Effectively implement appropriate incentives • Can be sustained into the foreseeable future • Utilizes almost all of existing infrastructure therefore efficient process

20. Acknowledgements • ArcelorMittal • Schnitzer Scrapping • Chemicool • Steel.org • Ted Frick PhD Chemistry (U.S. Steel)