We are experiencing a turbulent economic moment with the reduction in investments by Petrobras and Vale, which is directly affecting suppliers, especially those from Espírito Santo. This moment requires caution and reflection, since solutions adopted without studies and assessments can affect the future of companies.

Previous crises brought losses to some and gains to others. Those who reduced costs improved productivity with new equipment and processes, identified markets suited to their skills, grew and became a reference in the national market.

Large companies operating in the state have annual revenues of over R$50 billion and need to invest in continuous improvements and maintenance that cost over R$500 million annually. Local participation in these supplies of goods and services can be increased.

An example is the oil and gas sector. Since 2008/2009, the state has been the second largest producer in the country, with more than 400 thousand barrels/day, consuming more than 6 billion reais per year in its operations, mainly in the activities offshore, sendo a maior parte atendida por empresas de outros estados ou países.

The ongoing investment by Estaleiro Jurong (already manufacturing rigs) and Imetame, both in Aracruz, Porto Central, in Presidente Kennedy, Edson Chouest and Itaóca, in Itapemirim, will enable local companies to expand their supply of goods and services and consolidate themselves in this sector that has Petrobras, Shell, StatOil, Perenco, among others, as current and future clients.

MECSHOW 2015, an event where technologies and market trends are presented and discussed, will be attended by ONIP, IBP, ABM, ABIMAQ, SHELL, PETROBRAS, BR Distribuidora, Transpetro, Estaleiro Jurong, Imetame, Porto Central, among others, representing an important recognition for the Espírito Santo industry.

There are good prospects and the future depends on our efforts to invest in education, technology, innovation, promotion and partnerships. Those who are competitive will grow and endure.

THE IMPORTANCE OF STRATEGIC PLANNING

O The Strategic Planning It is a fundamentally important tool for an organization, as it is necessary to understand its reality in order to propose improvements assertively. With planning, actions become more feasible, the chances of success increase and business management becomes more efficient.

This is a common theme in the private sector and is also gaining prominence in the public sphere. There is a new trend in public management that is beginning to recognize the importance of management for the institutional strengthening of the State and, consequently, the development of a favorable environment for business. In this sense, it is essential to understand the current context in order to build strategies that guide the path to the future.

Espírito Santo is currently facing a scenario of great challenges and opportunities. More than ever, flexibility and adaptability are needed to make the state increasingly competitive.

The economy of Espírito Santo has a strong participation of the secondary sector, especially industrial activities related to extractivism and transformation. For comparison purposes, the secondary sector represents more than 38% of the state's GDP, but in Brazil this number does not exceed 28%. Companies such as ArcelorMittal, Vale, Fibria and Samarco are the main players desse mercado e estão concentradas na região metropolitana da Grande Vitória.

Another notable feature is the trade balance profile. Espírito Santo is an exporter of basic products and an importer of manufactured goods. Exports cost an average of US$218/ton, while imports reach US$938/ton. Among the main external customers, the European and Asian markets stand out, accounting for more than 60% of Espírito Santo's external transactions.

The state is home to the world's largest iron ore pellet production park, producing around 60 million tons per year. It is the third largest steel producer in the country, with a capacity of over 8 million tons per year. It is the second largest oil and gas producer in Brazil, producing around 400 thousand barrels per day, accounting for approximately 18% of national production.

Espírito Santo also has a diverse range of production chains that can be developed to increase its competitive position. Currently, there are companies from Espírito Santo that stand out for their specialized technical capacity, recognized by their customers, and that supply different regions of Brazil and several countries. The main production chains include: metalworking, furniture, civil construction, ornamental rocks, clothing, coffee growing, fruit growing, food and beverages, logistics, and oil and gas.

The investment scenario also reveals opportunities. R$120 billion in public and private initiatives were announced for the period 2014-2018. The figures point to a positive scenario for the competitive insertion of Espírito Santo, since 69% of this amount is earmarked for infrastructure, considering energy, port/airport terminals and transportation.

For this new moment in the economy of Espírito Santo, it is essential to focus on productivity and competitiveness. Productivity is the efficiency with which inputs are transformed into products and its increase is a fundamental condition for sustained growth.

Much effort is still needed in this area. Brazilian productivity is low. It takes two Brazilian workers to produce the same amount as one Argentine worker, and five Brazilians to produce the same amount as one American worker. Competitiveness, likewise, is a point that deserves attention. Espírito Santo is classified as low in the State Competitiveness Index – Factors (ICE-F), along with states in the Northeast region. Espírito Santo's result is the worst in the South and Southeast regions.

The analysis of the scenarios shows that structural changes are necessary for the state to develop with investments in: science, technology and innovation, social infrastructure (education, health and security) and industrial infrastructure (logistics, water, energy and communication).

The major investments planned for the state will be geared not only to offshore oil and gas exploration, but also to the naval industry, including shipyards, ports and port bases for companies supplying the supply chain. This requires knowledge and technology that local companies do not yet have, representing an excellent opportunity for diversifying our economy.

By following these guidelines, Espírito Santo will be able to reverse the tendency to concentrate industries only in certain micro-regions of the state and will reduce dependence on commodities na sua economia. É importante realizar o desenvolvimento de maneira equilibrada em todas as microrregiões, potencializando as vocações regionais e dinamizando o emprego industrial em todas elas.

In short, Espírito Santo is a state with a small population, occupying a small territory and with a low share of the national GDP, but it should take advantage of the ease of interaction with domestic and foreign trade through its strategic location. In addition, it is recognized as a state with excellent potential for providing services, and it is worth investing in knowledge.

The future of Espírito Santo is strongly linked to improving basic, primary and vocational education, enabling greater competitiveness in the production of high value-added goods and services. This depends on collective efforts, including public and private initiatives. This synergy of actions will be essential for the sustainable growth of the state's economy.

Within this context, it is important that the public sphere, state and municipalities, through their different sectors, implement and monitor the The Strategic Planning guiding the actions of the entities. To achieve the objectives, supervision and participation of senior management is essential.

The result achieved with the use of The Strategic Planning produces solid results and brings gains to society, contributing to the achievement of sustainable development in the state desired by all.

The state of Espírito Santo occupies 0.5% of the Brazilian territory, has 1.8% of the population and a share of the GDP of 2.2%. The investments announced for the state, between 2014-2018, exceed 113 billion reais in public and private sectors, distributed among the sectors of infrastructure, industry, commerce and leisure and other services.

Considering the total confirmed investments by sector (in the environmental licensing process), it can be seen that 82.5% (more than 60 billion reais) is destined for the oil and gas sector, both on-shore and off-shore, including shipyards, ports and port bases, representing a great opportunity for the future of the state.

The state of Espírito Santo has the second largest proven oil reserves in Brazil, with almost 9% of the total, second only to Rio de Janeiro, which accounts for more than 80% of proven reserves.

There is great expectation that the activities of exploration, extraction, transportation and processing of oil and gas can generate profound changes in the economy of Espírito Santo, not only due to the direct impact that the growth of the sector will have on the state's GDP, but also due to the possibility of irradiation to other chains.

The densification of the oil sector will enable the emergence of new sectors within the local economy, such as the petrochemical, fertilizer, naval and metalworking chains, with high added value investments, requiring technology and skilled labor. There is also a vast set of activities demanded by this industry, such as hotel, food, transport and logistics services, which will benefit from this activity.

The promotion of local companies for large industrial ventures has been growing annually. With the expansion of the activities of the PDF-ES (Supplier Development Program), local participation grew from 8.5% in the period 1995-1998 to more than 50% in the period 2010-2014.

However, investments in the oil and gas sector and improvements in the mining, steel, cellulose and energy sectors will require technologies not yet mastered by suppliers to the Espírito Santo base industry.

Given this scenario, it is necessary to seek actions aimed at improving the productive sectors, providing them with greater added value and increasing the participation of their products in local, national and international markets. All of this is essential to improving the state's competitiveness.

Exports from Espírito Santo are dominated by basic and semi-finished products, representing more than 85% of total exports. Imports are predominantly manufactured products, accounting for more than 80% of all imported goods.

The trade balance needs to change. Investments must be made in technology and innovation to increase the value of goods and products produced in the state. To achieve this, it is essential to focus on professional, higher and technical training, especially in engineering.

Currently, in the international market, Asia and Europe are the continents that make the most purchases from the state. However, in recent years, due to population growth, Africa has become the major global focus and potential market.

In the national scenario, the states in the southeast region have a purchase volume of over 70%, and this market tends to continue as they show continuous growth. However, expectations for sales to the states in the north, northeast and central west regions are beginning to increase, as they have shown, in the last 10 years, higher growth than other regions and Brazil as a whole. In addition, these regions have been receiving a large amount of investment, presenting an opportunity to expand business with Espírito Santo.

The state of Espírito Santo has a different range of production chains that must be worked on to increase competitive insertion and take advantage of opportunities.

These aspects show that, in order to be competitive, local industry needs to develop markets and products, and it is necessary to create conditions that guarantee an attractive economic environment that stimulates diversification, innovation and values ​​the creative industry.

Within this context, MECSHOW 2014, to be held in July 2014, in Carapina, Serra, will present several panels and technical courses, with international and national speakers of recognized competence in the topics of oil and gas, naval industry, alternative energy and innovation, aiming to collaborate with the development of companies and professionals from Espírito Santo.