Korea Railroad to Improve Finances by 300 Billion Won This Year... "Strengthening Absolute Safety System"

2022 Executive Workshop Held "Overcoming Crisis, A New Leap Forward"

Korea Railroad Corporation held the '2022 Executive Workshop' at its Daejeon headquarters on the 14th to discuss measures to overcome the management crisis.

Korea Railroad Corporation (KORAIL) has set strengthening the absolute safety system and improving finances by about 300 billion KRW as its management goals for this year.

According to KORAIL on the 15th, the corporation held the '2022 Executive Workshop' on the 14th at its Daejeon headquarters, attended by about 20 executives including President Na Hee-seung and heads of departments, offices, and divisions.

This workshop was held to overcome the current management crisis, such as measures to address the recent KTX-Sancheon derailment accident and the decrease in passenger demand due to COVID-19.

The meeting proceeded by having each business department present their core tasks, followed by free discussions to generate various ideas for improvements and strengthening execution.

At this workshop, KORAIL set a goal to improve finances by about 300 billion KRW this year through increased revenue and cost reduction based on an absolute safety system including safety enhancement, technological innovation, and management improvement.

Prior to the meeting, on the 5th, the causes of the KTX-Sancheon accident and measures to prevent recurrence were discussed. To proactively ensure safety, KORAIL formed a special task force before the Lunar New Year transportation period to stabilize vehicle operations by replacing all wheels of similar vehicles.

In the safety sector, comprehensive preparations were reviewed to protect employees and citizens ahead of the enforcement of the Serious Accident Punishment Act. Various systems and work methods will be improved, and safety equipment will be reinforced to prevent industrial and public accidents.

Safety items such as wearable airbags will be expanded in high-risk workplaces like train formation and overhead wire work, and the work environment will be improved by securing track blocking time. Additionally, unmanned station safety facilities will be reinforced, and customer convenience facilities, including aging elevators and screen doors, will be upgraded, focusing on preventive safety management.

Alongside this, discussions were held on securing future railway technologies for productivity improvement and work efficiency, including maintenance based on digital technologies such as artificial intelligence (AI) and the Internet of Things (IoT), and the introduction of advanced safety technologies in vehicle, facility, and electrical fields.

Regarding management improvement, financial status and management improvement goals were shared, and measures to increase revenue and reduce costs were intensively discussed. The strategy is to secure financial soundness with a management improvement target of 300 billion KRW this year.

Especially, despite expected operating losses due to COVID-19 this year, efforts will be made to expand new businesses including transportation services such as expanding KTX beneficiary areas and improving train operation systems, comprehensive logistics, station area development, and overseas expansion. Furthermore, cost reduction plans will be prepared through continuous efficiency improvements in organizations and business sectors.

Lee Chun-gu, Director of KORAIL’s Strategic Planning Office, said, “The opinions raised at the meeting will be reflected in business plans to promptly promote more concrete and effective measures.”

President Na Hee-seung of KORAIL emphasized, “Let us create an absolute safety system with the mission that employees must be safe for the public to be safe,” and added, “By concentrating company-wide capabilities on safety, technological innovation, and financial improvement, we will wisely overcome the current crisis and make this year a step forward toward the future.”

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