Practice hard martial arts well and accumulate the strength of "strength"—— Interpretation of the Spirit of the Third Quarter Work Conference of Rizhao Iron and Steel Group

2023-10-27


since this year on

Outstanding imbalance between supply and demand in the steel industry

The overall business situation of the entire industry is more severe than last year

Market "Cold Winter"

It is the touchstone for testing the quality of enterprises

It is also a battlefield for the survival of the fittest

only

Strengthen "winter training" as soon as possible to adapt to the "cold winter"

To win the right to survival and the opportunity for development

Accumulate strength for being 'strong'

The Kung Fu of 'Winter Practice'

Where exactly is it going down

What???

At the third quarter work meeting of Rizhao Iron and Steel Group, Hou Jun pointed out: "Find a good 'road and bridge', and enhance the 'winter' ability in improving quality and efficiency. Practically promote 'one person, one table', comprehensively improve the operation and management ability and level, further deepen the practical 'accounting' operation, earnestly make the accounts detailed, complete, clear, and thorough, adjust the posture and correct the template in the run, and ensure the efficiency and quality of completing all tasks and objectives throughout the year."

The third quarter work meeting of Rizhao Iron and Steel Group pointed out that the main focus of the steel industry is to ensure that the net profit attributable to the parent company is positive, to achieve the "three major goals" of cash flow indicators and annual tonnage steel profit percentile indicators, with a focus on fully utilizing production indicators, policy dividends, and market opportunities.

In the first three quarters, Rizhao Iron and Steel Co., Ltd. achieved certain results in terms of comparable cost reduction rate, proportion of key products, domestic ton material prices, imported ore and domestic ore procurement prices, but there is still a certain gap in benchmarking with advanced enterprises. To narrow the gap, the first step is to fully utilize production indicators, combine limited production indicators with optimizing production organization and operation, tap into potential from aspects such as increased production, structural optimization, cost reduction, and energy consumption reduction, further reduce the cost of per ton of steel, continue to do structural optimization, improve order fulfillment rate, and achieve maximum overall benefits.

Effectively transform the "policy gift package" provided by the state into the "real gold and silver" of enterprises. In the first three quarters, Rizhao Iron and Steel Group enjoyed considerable policy dividends. Based on this, we need to continue to increase policy research and application work, carefully sort out each item, and effectively implement the policies that enterprises can enjoy.

We cannot directly change the market, but we can fight on the spot and win in the market. To fully utilize market opportunities, we need to deepen the "Five in One" collaborative mechanism and steadfastly promote the integration of production, sales, and research into physical transformation. The procurement and marketing department actively evaluates the market, fully leverages the collaborative value between bases, and strives to achieve efficient order acquisition, product structure optimization, sales price increase, and order receiving rhythm. They seize business opportunities and strive to ensure that the group's efficiency level is above the industry's average "lifeline".

Diversified industries strive to play an important role in filling gaps and supporting, strengthen synergy and efficiency enhancement with the main steel industry, prioritize objective achievement of annual challenge goals, identify positioning, actively expand the market and business, and comprehensively improve service quality and efficiency under the premise of controllable operational risks.

The development of Rizhao Iron and Steel benefits from reforms, and enhancing its ability to survive the winter will also rely on continuous deepening of reforms. Only by adapting to changes, focusing on weaknesses, hitting pain points, and striving to improve ultimate efficiency, can we truly strengthen our muscles and bones during winter training.

Practice has proven that step by step reform is a winning weapon for enterprises to seize the opportunity for survival and development in the "cold winter" and achieve the first breakthrough.

It is understood that the "Action Plan for Deepening and Enhancing the Reform of State Owned Enterprises (2023-2025)" jointly issued by the State Office of the Communist Party of China focuses on improving the core competitiveness of enterprises and enhancing their core functions. Rizhao Iron and Steel Group optimizes its layout structure and deepens the construction of modern enterprise systems. Focusing on deepening reform and improving ultimate efficiency, we will achieve new breakthroughs in reducing procurement costs, improving asset efficiency, and improving personnel efficiency. Comprehensively improve the efficiency of each production line, and build an employee performance culture centered on value creation and value sharing. The platform sector focuses on reducing losses and stopping losses, focusing on cost control, strictly controlling ineffective expenses, and continuously reducing financing costs. Focus on the governance of loss-making enterprises, and develop practical and feasible governance plans based on the principle of one household, one policy.

Faced with the "cold winter", we need to have a sense of urgency when we focus on reform, which we cannot afford or slow down. We cannot afford to wander around and look around. History has and will further prove that the pursuit of extreme thinking, the commitment to work and entrepreneurship, and the courage to reform affect the survival and development of enterprises. All levels of the group must liberate their minds, share their mission, work together, combine with reality, and boldly practice.

The market changes are unpredictable, and it is difficult to quickly respond to market changes if one follows others' footsteps. Only by continuously enhancing innovation capabilities, breaking a new path in management, technology, and products, and adding more magic weapons to win the market, can one quickly break through the difficulties.

According to relevant data, in the first three quarters, the proportion of invention patent applications by Rizhao Iron and Steel Group was 73.43%, enjoying a science and technology policy of 325 million yuan, and 16 major scientific research projects, including 3 national and provincial level major scientific and technological special projects. 9Ni steel has passed the certification of the Special Inspection Institute and multiple national classification societies. The research and development of special shaped steel has overcome multiple "bottleneck" technologies, and intelligent manufacturing is accelerating. The continuous improvement of the technological innovation level of Rizhao Steel Group has played an increasingly important role in the development of the enterprise.

Looking forward to the future, technological innovation will play a more important role in enhancing the ability to pass the winter. We must accelerate the reform of the scientific and technological system, further stimulate innovation vitality, focus on high-end, carry out steel material upgrading and basic product technology innovation, form high-level comprehensive material solution capabilities, deeply carry out technical research, increase the development of "one green, one yellow, one blue" steel varieties, create a batch of industry-leading flagship products, and effectively transform scientific and technological investment into competitive advantages; Promote the construction of "Digital Intelligence Rizhao Steel" and make "Digital Intelligence" a key support for cost reduction and efficiency improvement. Continuously launching green products and solutions with "reduction, longevity, and efficiency" around green and low-carbon development

'Winter Training' to strengthen the body and strengthen the foundation

Practical work and physical fitness cultivation

Third Quarter Work Conference of Rizhao Iron and Steel Group

Deploy again for 'winter training'

Pointed out the direction of efforts

As long as we

Make up your mind and act quickly

Effectively implementing the spirit of the conference

Actively taking on responsibilities, practicing internal skills, improving quality, and strengthening the foundation

I will definitely be able to

Build a strong physique that is fearless of winter

Calm response to market changes