Based on the strategic partnership with Plasmaserv Metal Connection, SOCOT strengthens its position on the ironworks market by expanding production capacity (P)
SOCOT, a provider of professional engineering services for infrastructure, complex hydro-technical works, civil and industrial works, road and bridge construction, has started a process of expanding its production capacities for ironworks, a segment which developed in an accelerated manner after 2020, following the partnership with Plasmaserv Metal Connection, a supplier of equipment and complete solutions for plasma welding and cutting with over 20 years of experience on the local market.
“This partnership has allowed SOCOT to contribute to projects of strategic importance, such as the rehabilitation of the Iron Gates I dam, as part of the investment “Additional protection measures for the Iron Gates I tailing dam dissipator”, by carrying out works of high technical complexity. At the same time, SOCOT has diversified its portfolio of activities, and the collaboration with Plasmaserv has not only generated added value for the two companies, but has also provided a successful model for Romanian entrepreneurial partnerships, demonstrating that well thought-out investments and mutual support can redefine industries“, says Radu Popa, SOCOT Technical Manager.
Recognized for its experience in the field of hydro-technical constructions, SOCOT has undergone a profound transformation since 2020, with the strategic decision to integrate the production of ironworks in the internal activity, contracting the necessary equipment from Plasmaserv Metal Connection, the company set up in Targu Mures by engineers Csongor Andras Csegedi and Tiberiu Vladimir Vărzar, 20 years ago.
“Our partnership with Plasmaserv has been more than a commercial collaboration. In 2020, we started to invest in the development of this segment of ironworks thanks to technological support and consultancy, and now we are able to tackle complex projects, such as new or refurbishment works“, says Radu Popa.
Tiberiu Vărzar, co-founder and CEO of Plasmaserv Metal Connection, considers this relationship a positive example of collaboration for the Romanian business environment: “SOCOT has demonstrated that, through vision and strategic investments, Romanian companies can become leaders in key industries“.
The business relationship between the two companies, both based in Târgu Mureș, started in the context of the challenges imposed by the pandemic, as until 2020, SOCOT focused on hydro-technical works and civil construction where the necessary ironworks were outsourced to various third parties. After the onset of the pandemic, SOCOT re-examined its business model and decided to develop its ironworks capabilities in-house in order to better control processes but also to diversify its range of services. The new strategy soon proved successful, leading SOCOT to further expand in this direction, which optimized costs and reduced lead times.
Plasmaserv Metal Connection has proven that it can be the key ally in this process, offering not only equipment, but also valuable consultancy. Although the two companies had known each other for a long time, having close offices in Târgu Mureș and a good knowledge of each other’s professional skills in the field of welding equipment supply and services, the first major project resulting from this partnership was the purchase of a CNC plasma cutting machine. This was a significant investment for a strategic project in SOCOT’s portfolio: Design and execution of works for the investment “Additional protection measures for the Iron Gates I tailing dam dissipator”, which involved the fabrication of over 400 tons of ironworks.
“We were able to amortize more than 50% of the price of the equipment from the very first major project“, says the SOCOT representative, “The equipment not only accelerated execution times and improved technological performance, but also considerably reduced our costs, which made the difference in a large-scale project such as the Iron Gates“, explains Radu Popa.
Under these circumstances, SOCOT has decided to continue investing in modernization and development and has taken the decision to expand its production capacities by building a new industrial hall equipped with state-of-the-art machinery. Thus, the company has an authorization process ongoing for a completely new hall, designed to accommodate larger machinery and support increased production capacity. The new production base will allow the company to increase both the volume and complexity of projects. “This is a natural step in our evolution. The current hall has structural limitations, and in order to expand, we need modernized infrastructure. We want to become a major player in the complex ironworks sector, and this investment is an essential step to achieve this goal“, emphasizes Radu Popa.
The expansion also comes in response to the growing demand for ironworks and the need to modernize Romania’s strategic infrastructure, but also against the backdrop of a valuable Romanian partnership that means being able to work with a collaborator that goes beyond the role of a simple equipment supplier.
One aspect that sets Plasmaserv Metal Connection apart in the equipment supplier market is its approach and relationship with customers. “For us, the customer’s success is our success. We ensure that every solution we offer is perfectly tailored to the customer’s needs,” Tiberiu Vărzar explains.
In the case of SOCOT, Plasmaserv Metal Connection provided not only welding and cutting equipment, but also constant support in process optimization and staff training. “We have been by SOCOT’s side every step of the way, from identifying needs to implementing solutions. This level of involvement has allowed us to build a relationship of trust,” says Tiberiu Vărzar. A relationship of trust, therefore, which clearly has a positive impact on the economy and signals the need for support for local companies. SOCOT, with over 200 employees and an extensive network of subcontractors, contributes significantly to the development of Romania’s strategic infrastructure. “Infrastructure projects are not just simple constructions. They are investments, which have a direct impact on people’s lives and the national economy. A dam, for example, not only protects the population and ensures water supply, but also contributes to the country’s energy security“, says Radu Popa, emphasizing that it is essential for Romania to support local companies investing in infrastructure.
The new business direction was rapidly consolidated, allowing SOCOT to now produce between 300-500 tons of ironworks annually, depending on the complexity of the work. These works, which require extreme precision and special materials, far exceed the complexity of building simple metal structures such as industrial halls. “The added value comes from the complexity of the works, not the tonnage. These components are essential for the functioning of strategic infrastructures,” SOCOT representatives explain. SOCOT’s projects include essential components for dams, mechanical structures and other complex industrial equipment, providing to the company the possibility to meet rigorous technical requirements.
The representative of Plasmaserv Metal Connection also draws attention to the importance of supporting Romanian entrepreneurs and to the fact that the partnership between the two companies has not only generated immediate economic benefits for the two entities, but has also established a successful model in the Romanian entrepreneurial landscape. “We have local know-how and companies capable of meeting these challenges. We are happy to be part of this story. Working with SOCOT is an example of a win-win partnership. It is an example of how Romanian companies can work together to create value and support the national economy in the long term“, concluded Tiberiu Vărzar.