104 : Jump Up
May 31st
It was the 26th day since Bulk No. 1 left.
‘If I go to Australia normally, it will take about 22 days, so the telex should come by today…’
I tried hard to stay calm, but I couldn’t concentrate on my work at all.
Word should arrive by now that the shipment of iron ore has been completed.
Captain Smith wouldn’t know that I’m waiting until my eyes go out.
Piririk. Beep. drooling. drooling. drooling.
“Chansu! I think it’s here! I think I came!”
“Really!”
Not only me, Sambok and all the office staff rushed in front of the telex.
「Completed shipment of 40,000 tons of hematite and 200,000 tons of limonite. Immediate departure to the home country – Captain Smith.”
“Waaa!”
“Success! success!”
As soon as we read the telegram spouted out by Telex, we all hugged and rejoiced.
Indeed, the raft transport operation was a success.
Since the bulk carrier is carrying heavy iron ore, the return trip will be much safer than the trip to Australia.
Above all, since the first shipment from Hammersley was safely completed, the possibility of exercising negative options in future supply contracts has been greatly reduced.
Inventory is checked at the time of shipment, so it is impossible to absurdly claim that there is no stock to be loaded.
‘Now there is no problem even if there is a war in the Middle East!’
It was so good that I clenched my fists without realizing it.
“Hey, it seems that luck follows the trend. There is nothing wrong with it! Everything you do is a great success!”
Sambok was particularly happy, as if he had been worried.
“President, shouldn’t we expand the headquarters? The Kablar joint venture in Ulsan has also started full-scale production, and sooner or later a branch should be opened in Australia.”
“Hahaha, do you really have to do that?”
The managers subtly asked to expand the headquarters.
Honestly, I think the time has come for that too.
Now is the time to enter into a full-fledged virtuous cycle.
Daesei’s factory in Seongsu-dong was now called the headquarters.
Even though the equipment was sent to another factory and the three-story building was used only as an office, there were not enough seats.
Daesei Unemployment, Daesae Chemical, Daesei Construction, Daesae Timber, Daesei Shipping, Incheon Steel, Daesei Shipbuilding, etc. business divisions continued to increase.
In particular, Daese Construction had become too large to exist as a division, so it needed to be independent as an affiliate.
In addition, the related export and import business was enormous if you count the large-scale cooperative companies centered in Jeonpo-dong, Busan.
If the Kavla plant in the petrochemical complex is added to this, the head office’s work will explode.
“president. I’m sorry in the middle of the talk, but a guest has come.”
“A guest?”
“He is from Boston. I am American.”
“Boston? Take me to my room.”
“Yes.”
***
Knock. Knock.
“welcome.”
I opened the door and welcomed the guest inside.
I wondered if I had seen him at various investment meetings, so I recalled my memories, but it was the first time I had seen him.
“My name is Bill Bain of Boston Consulting. Nice to meet you.”
“This is the trending CS Woo. Nice to meet you.”
Looking at the business card, it was a consultant working for the Tokyo branch of Boston Consulting.
“I came here after receiving a request from N. We need to keep an inventory of things so far.”
‘N? Ah, Nancy.’
Before I even asked why I had come, I was told that I had come at Nancy’s request.
“Here it is. It was brought in as a raw material for the construction of the integrated steelworks and petrochemical complex, so it might need a little oiling when you take it out again.”
I handed over import data on iron ore and crude oil stored at Ulsan and Incheon ports.
Since most of the documents were decorated with raw materials to support the US joint venture, it was only necessary to pay the public officials for their labor when they were taken out of the country again.
Originally, it was subject to tax exemption, so if it was not to be consumed domestically, it could be taken out of the country again through due process.
It was possible temporarily because Korea is building a large-scale industrial complex, and it was a great opportunity for Nancy to do source laundry.
Frankly, there’s nothing good about a high-ranking official in the US Department of Defense being known about this stuff.
“thank you. That’s neat. We will take care of the selling, so please take care of the buying. Crude oil will only be purchased until this year, and iron ore will continue to be purchased until next year.”
That’s good information.
Silverstein’s judgment is that oil prices will rise by the end of this year and iron ore by the end of the year.
“Where can I take you?”
“Please move all of them to the Port of Kobe. Because I’ll be buying them all in Japan.”
Nancy also seems to have connections with Boston Consulting.
Trusting and entrusting things to be disposed of before the war breaks out. Well, if you move things before the war breaks out, useless rumors won’t spread.
In the world, it will be known as Boston Consulting, which happened to secure the product, and won great luck through the war.
Maybe, even if there are doubters, they can claim it.
“Anyway, it’s amazing. To think that a consulting company could even do this.”
“Consulting companies are not just consulting in the literal sense. Even things that are difficult to reveal will be handled neatly under the surface.”
“okay?”
“Especially, Boston outperforms our competitors in terms of strictly maintaining customer confidentiality.”
How come he is more than a general consultant.
If you were a nobleman working in the Tokyo branch, not in the US or Europe, you would be in an ambiguous position even in the head office politics. He had the ability, but there was a high possibility that he was a nobleman who was kept in check.
Besides, for some reason the name Bill Bain was unusual.
Doesn’t it have the same name as Bain & Company, which specializes in heavy industry consulting?
Could it be that this nobleman is the Bane of the Bain company?
Did the Bainsa CEO start out at the Boston Consulting Group? There’s no way to check right away, but it was worth trying out this nobleman.
“Customer confidentiality… Then, is it possible to ask this question? How much does consulting cost for this job? As a potential customer, I think this kind of question is okay.”
I pretended to be a potential customer and looked up Bill Bain.
“Consulting fees are negotiated with customers at the level of 3% of each project’s revenue. We always do our best because we have more money to take when the customer’s profit is bigger.”
oh wow, that’s funny
Are you talking about profit strategy from the time of contract?
Doesn’t this mean that Nancy and Boston Consulting worked together from the beginning?
There seems to be some connection between the Silverstein family and Boston Consulting.
Well, since the consulting company has a much more free range than Silverstein, it must be easier to get information.
The two of you should work together.
“Then do you do headhunting too?”
“Of course. Headhunting is the basis of consulting. Do you have any talent you want?”
“Rather than that, how much does headhunting cost? If you spend a lot more money than you think to hire people, it will be difficult for both of you.”
“I do not know. The cost will depend on what kind of talent you want.”
Bill Bain said with a grin.
He was ready to remove executives from competing companies if he wanted to.
There is no global company that still considers Daese as a competitor, though.
“We need talented people who can reorganize the organization in line with the growing trend, help with management and financial management, and gather global information.”
“Oh, you want someone to lead the secretariat.”
“That’s it. I hope Dae-se is a talented person who can afford it.”
“There may be such talent, but I don’t think the cost negotiations will go smoothly. To be honest, there is no way that such a high-level manpower would voluntarily apply to Korea, especially to a start-up company.”
“Looks like Boston Consulting is also a tough job.”
“No, that’s not what I meant. I am saying that I will review this matter as my personal capacity, not as a company.”
“There’s no need to do that, but…”
“Securing potential clients is the basis of a consultant. Please leave it to me.”
Bill Bain offered a contract if he would take over.
It was a standard contract, so there was nothing to review.
I wrote ‘Secretary Office Talent Recruitment’ in the request item and handed it over.
“I was commissioned. sir.”
“Please take care of me.”
“I will do my best.”
In the second half of this year, we had to reorganize.
I wish I could decorate the secretary’s office by then.
***
Read at noblemtl
June 9th.
「Rally across the country to denounce fraud in the 6.8 general election」
「An election stained with makgeolli and rubber shoes」
“The war in the Middle East intensifies. Israel’s Massive Air Raid”
It was the 3rd day after the outbreak of the 3rd Middle East War, and Korea was in a fuss because of the general election fraud.
It’s funny and absurd that the ruling party swept votes by spraying rice wine and rubber shoes in large quantities in rural areas, but I wondered if the general elections overlapped at a time like this.
Oil and iron ore prices have already risen by 30 percent.
It was cute compared to the oil shock that would come in the future, but it was evidence that the world was embarrassed to see oil prices and raw material prices soaring to the ceiling, which had not budged even during the Vietnam War.
Well, it was obvious that the Suez Canal was blocked, so the price increase was natural.
With Israel’s surprise attack razing airbases in Egypt, Jordan and Syria, it was only a matter of time before Israel extended its borders to the physical boundary of the Suez Canal.
As a result of this incident, crude oil supply will be short of about 6% of total demand, or about 2 million barrels per day on average.
A 2% discrepancy between demand and supply breaks the price equilibrium, but a 6% price spike will continue for a while.
Nancy said to buy crude oil by the end of this year, so prices will stabilize again in the first half of next year.
Interpreting that information, it means that at the end of this year, ship owners around the world will give up on opening the Suez Canal in the short term and build a new logistics line going around the Cape of Good Hope.
Silverstein will be at the vanguard of that.
Orders for large 200,000-ton oil tankers will pour in from the end of this year.
“Chansu, did you expect this?”
“What do you expect?”
“While watching the article, yes! Israel’s attack on the Arab Union.”
Sambok pointed out the war article I was watching.
“Ah, how can I predict a war when I am not a prophet?”
“No, no matter how complicated it is. Iron ore from Australia, as well as a lot of war scrap from Vietnam, was a hit. I even stocked up all the steel plates produced by Incheon Steel.”
“Have you got it? I was just trying to make a ship.”
I laughed and trembled.
Even thinking about it, I carried out as planned, splitting the time to the point of being tight. At this point, it would have been best to go back in a time machine and do it all over again.
“You are funny. That’s right, leaving 1/3 of the amount taken from Incheon Steelworks. I am always afraid of operating costs~ Export more gold skins~ Why did you stock up on steel that costs more than $50 per ton?”
“I know. Am I a genius?”
“Hey, are you going to die? Will you cheat on me too? Tell me, how did you know there was going to be a war? Are you really not going to talk?”
Sambok lifted his foot over the table and pretended to kick.
“Stop it, kid. I’ll tell you, get your feet off the ground.”
“Anyway, use violence to listen.”
“Come on. I will show you.”
I took out scraps of various materials from under the desk. Like the butterfly effect, my memory isn’t perfect, so I’m gathering relevant information to keep it as objective as possible.
“what’s this?”
“It is a report published annually by the International Waterway Conference. You can get a report from the Pacific Freight Alliance, which Daesae Shipping is a member of. You can get a lot of information about sea transportation routes, so read it when you have time.”
“Hey, you’re like the president of a major shipping company.”
“Hey, did you know that now? Stop talking white and look here. In last year’s report, there is information that the Arab Union declared a blockade of the Strait of Tiran.”
“The Strait of Tiran? Where is it? No, what does that have to do with this war?”
Sambok’s absurd answer was, in a way, natural.
This is because even the newspapers did not treat such an important international issue as important.
Unlike the 21st century, in the 1960s, before globalization began, Korea was not very sensitive to the impact of the international situation on Korea.
It was an era in which people were treated as people who had tasted advanced culture even if they only went to Japan, and if they went to study in the United States or Europe, they could become high-ranking civil servants with only that history.
“Oh no! The Strait of Tiran is virtually the only sea route through which Israel imports oil. Imagine you are an Israeli. It’s not even an oil-producing country, but someone said they would block and check the oil import route. It is also an enemy country! Would you be alone?”
Neighboring countries were all hostile, and the only countries that sold oil to Israel were Iran and Kuwait.
If they did not pass through the Strait of Tiran, they had to go around the Cape of Good Hope and return to the Mediterranean Sea.
“Hey, the only passage? Damn, the Arab countries threatened to cut off oil if they messed with Israel.”
“right. They were trying to put Israel on a leash by controlling oil. So I thought Israel would fight, though I don’t know when that would be.”
Of course, the threat of neighboring countries to build a dam on the Jordan River, Israel’s only source of drinking water, was a more direct cause than the blockade of the Strait of Tiran, but that is unknown in this day and age, so let’s cover it.
“Ugh! That’s why you collected iron. After a war, whether it’s a tank or an airplane, you need iron to make it! you are a genius! A genius.”
“You know now, hahaha.”
I put my hand on my hip and laughed out loud.
If I put Sambok in front of me, I seemed to be childish as well.
“Yeah, you are good. The important thing is, isn’t this a huge hit? So, when do you sell at the highest price? 120 per ton? 140? Or $150?”
“Ah, that’s a concern. Whether to sell now or not.”
“What are you talking about? If you don’t sell at this opportunity, when will you sell? It’s about saving close to 100 dollars per ton, not 10 dollars per ton, but 100 dollars!”
Sambok was very excited and made a fuss about selling steel quickly.
He looked like an ant investor who could not stand it without selling stocks when the stock price rose.
It’s sad, but it was real.
“Sambok, can’t you show a more managerial side? Opportunities like this don’t come twice in our lives. You have to make the best use of it.”
“Who said what? So you have to sell it at the top. Let’s sell it for $160 per ton! When I see it, it goes up to 160 unconditionally! going up.”
“decided. Seeing that you want to sell, the correct answer is not to sell.”
“mind!!! What else are you going to do?”
