A new start for the steel service company
Although Feon Oy is technically a young company, it has a long history and customer relationships going back to the 1990s. Feon calls itself a traditional steel wholesaler that specialises in long steel products, such as bars, beams and pipes. Its customers are mainly contractors that use steel structures and engineering companies that manufacture products used in, for example, power transmission or hydraulics.
Feon is currently one of the largest steel wholesalers in Finland, with estimated net sales of EUR 65 million. Its customer base is concentrated in Southern Finland and Pirkanmaa. The company has more than a hundred steel suppliers across the globe, although its procurements are primarily concentrated on European and Finnish steel mills.
Most of Feon’s hundred-plus employees work at the company’s large service centre in Hattula. Its headquarters are located in the Vallila district of Helsinki.
“I think it’s important that we can now focus on being a genuine steel wholesaler and the best possible partner to our customers. We’re investing in material quality, delivery reliability, and smoothly running processes,” says Kalliokoski. Product upgrades are also increasing due to rising demand.
All of Feon’s office personnel use the ERP on a daily basis. Production personnel will shortly start using digital tools as well.
“The ERP enables smooth operations and comprehensive management. We always know what’s happening, and are kept abreast of the latest figures.”
Kalliokoski says that the introduction of further digital models is vital for business growth and successful strategic implementation. New features in the pipeline include improvements to the customer interface and a screen that will enable customers to track their deliveries.
“The steel wholesale industry is not usually at the forefront of digital development – it employs a lot of traditional practices. Some customers still call our sales personnel hoping to receive the required goods immediately. But operating models are changing all the time and a new generation is already placing orders on their tablets,” says Kalliokoski.
“Online services must be available and we have to invest in them, even if we offer other alternatives alongside them. I think that it’s worth going with the digital flow and keeping up to speed with new practices.”