Digital Transformation in the Steel Industry... Moving Forward Together with SME Partners

Steel Industry Accelerating Digital Transformation: Co-prosperity as the Future Norm

POSCO Supports Smart Factories for Over 1,000 SMEs

Hyundai Steel AI Workforce Training Academy

[Asia Economy Reporter Hwang Yoon-joo] The steel industry has decided to speed up its digital transformation (DT) efforts this year in line with the government's Digital New Deal initiative. In particular, it plans to enhance competitiveness by leading not only its own but also its partners' digital transformation.

According to the industry on the 11th, POSCO plans to invest 20 billion KRW by 2023 to support smart capability enhancement (QSS) and smart factory establishment for a total of over 1,000 small and medium-sized enterprises (SMEs). Previously, the company supported digital innovation for its partners using approximately 20 billion KRW from 2013 to 2018. The partner support program also includes follow-up management. Last year, POSCO collaborated with its IT affiliate POSCO ICT to survey the utilization status of smart factories among 110 SMEs that had established smart factories the year before last, and conducted additional activities such as system defect recovery, advanced consulting, data input function supplementation, and securing operational personnel for 12 companies that requested follow-up inspections.

A POSCO official said, "We plan to regularize smart factory post-diagnosis activities once a year to continuously improve SMEs' utilization of smart factories," adding, "We will provide opportunities for more SMEs to experience productivity improvement and innovation in work methods through smart factory establishment."

Hyundai Steel is also expanding its digital transformation efforts. Since his appointment in 2019, Andong-il, President of Hyundai Steel, established a dedicated smart factory organization at the Dangjin Steelworks. The goal is to enhance steelworks production efficiency by controlling everything from blast furnace temperature to production line systems with artificial intelligence (AI), and to build a data analysis platform covering all processes including sales and purchasing.

Not stopping there, Hyundai Steel also created the ‘Smart Factory Academy’ for AI specialized education. This reflects President Andong-il’s strong commitment to cultivating professional personnel alongside smart factory construction. Starting with 47 graduates from the first Smart Factory class in 2019, the company has been nurturing 50 to 100 AI personnel annually.

A Hyundai Steel official said, "We are conducting pilot projects for process improvement through AI workforce training," adding, "In addition, we continue programs for co-prosperity with partner SMEs possessing excellent technologies, such as ‘Technology Expos’ and ‘Eco Partnership.’"

This content was produced with the assistance of AI translation services.