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MANAGER: DIONISIO GARZA MEDINA (int'l edition)Running a conglomerate that is big in steel and petrochemicals in a time of falling prices should keep Dionisio Garza Medina up at night. But the CEO of Mexico's Alfa appears unruffled. Analysts' concerns about the impact of low commodity prices on Alfa are unjustified, he says. Garza Medina has spent more than $3 billion since he took the helm in 1994 to make Alfa one of North America's lowest-cost producers. Benchmarking the company against global rivals, he has pushed Alfa to make specialty steel and chemical products. And by strengthening its food and auto-parts units and investing in telecom, he is diversifying out of commodities. ''Either we're as good or better than the best in the world, or they will chase us out of here,'' says the 44-year-old engineer. Medina came of age as a manager as Latin governments opened markets. A member of the clan that dominates business in Monterrey, Garza Medina worked his way up through Alfa after studying engineering at Stanford University and earning a Harvard MBA. Although Alfa is family-controlled, half of its stock is publicly traded. It wins points from investors for its openness. While the credit crunch has pared investment for next year, Garza Medina wants to keep Alfa growing long term. Garza Medina is building on Alfa's venture with DuPont Co. to produce fibers for the North American garment market. ''We have to have NAFTA companies now, not Mexican companies,'' he says. That's one way Alfa is shielding itself from today's economic climate.
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Updated Oct. 15, 1998 by bwwebmaster
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