In the face of market impact, iron and steel enterprises benefit pressure, capital occupation pressure, cash flow pressure, operating pressure increased. Shougang Group actively practices the management principle of “three decisions and three no’s” proposed by China Iron and Steel Association, responds quickly, firmly seeks change, and follows the working attitude of “be nervous, respond proactively, make a difference and strengthen resilience”. Implementation of the “eight notice” (pay attention to the steady rise of profitability, pay attention to capital efficiency, pay attention to improve the asset quality, pay attention to a very low cost management, pay attention to efficient resource allocation, pay attention to the headquarters of standard management, pay attention to entrust the management responsibility, pay attention to health) the management policy and the “three three” (3 days to do a business decision, 3 months linkage capital operation arrangement, do a good job in the future 3 months markets continued to deteriorate) strategy, the further study of the market trend, in-depth to carry out the security environmental protection, agriculture product advantage, deep cut authors synergies, unswervingly promote party construction and enterprise management production work depth fusion, the internal work perfectly, efforts to resolve management risk, win a new battle to survive.
Shougang Co., Ltd. adheres to the concept of “all costs can be reduced”, and carries out lean cost management with all factors, the whole process and all aspects. Them by comparing the analysis of raw material purchase prices in recent years, analysis and evaluation the logistics cost composition and so on, into the standard cost will be low cost strategy, with extremely low standard cost production organization pattern design, lean cost control to the smallest unit, task breakdown to each worker, under the above rate, full participation, everyone, Truly from procurement to transportation, from inventory to consumption, from manufacturing costs to operating costs, the whole process, full efficiency cost management, to ensure that each cost is controllable.
The company anchors the procurement cost reduction target, strengthens the sense of crisis, implements extremely low cost operation, strengthens the channel construction, improves the market operation ability, and ensures the supply chain security.
In terms of coal procurement, the company reasonably adjusted the proportion of coal purchased from the long association and the market, cooperated closely with the production base, implemented variety substitution flexibly, strengthened resource scheduling and logistics organization, realized balanced delivery, and ensured low inventory operation.
In terms of scrap procurement, the company strengthens the management of 43 scrap processing bases of four types of “exclusive, directional recycling, strategic cooperation and general cooperation”, strengthens quality control and supply capacity, increases the substitution of scrap economic material types, and carries out resource recovery work for enterprises in downstream industries such as automobiles and household appliances.
In terms of alloy and auxiliary material procurement, the company gives full play to the role of technical supply, combines with the production line, realizes alternative cost reduction, deeply promotes the base alloy “zero inventory” work, expands the resource radius, and reduces the dependence on resources in a single area.
The company also locked down the production organization to optimize for efficiency. They take the maximization of company benefits as the fundamental starting point, break the process interface restrictions, and form a benign mechanism of collaborative control of the whole process. By cooperating with iron and steel, they can improve the turnover rate of torpedo tanks, reduce the temperature drop of molten iron process by special line, and reduce the temperature drop of molten iron process by 38 degrees Celsius compared with 2020, effectively reducing the cost of metal materials; Through the cooperation of steel rolling and the improvement of slab turnover rate, the hot charging and heat delivery rate of the billet was 12.7% higher than that of 2020, which greatly saved energy and reduced consumption. The hot rolling operation department continues to shorten the time in the furnace and optimize the heating process to reduce the oxidation burn loss. The OEE (Equipment Comprehensive efficiency) management was implemented in Zhixin acid rolling mill to improve the ultimate efficiency of single machine, and the operation rate was increased by 6.5%. In addition, the company also gives full play to the function of each innovation studio and technology center, introducing international and domestic new technology, independent innovation and research and development of new technology, improve efficiency, boost cost reduction.
Shougang said that in the next few months of this year, there will be great uncertainty about the epidemic, and the economic environment will be more complex and severe. In this difficult period, maintaining focus and strengthening self-confidence is the inevitable choice to overcome the challenges. Shougang shares will be under the party lead the firm navigation, insist on green manufacturing, intelligent manufacturing, products manufacturing, lean manufacturing, accurate service high quality development, to create products, quality, cost, service, technology, the five competitive advantages, carry forward the fine tradition shougang and good attitude, indomitable, the charge repeatedly, constantly forging enterprise competitive power, With outstanding results to meet the Party’s 20th victory convened.
Post time: Sep-17-2022