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Rizhao Iron and steel international strategic gallop quietly expand overseas markets

Rizhao Iron and steel international strategic gallop quietly expand overseas markets

China Construction machinery information

Rizhao Iron and steel regards 2015 as the key year of transformation and upgrading, with frequent actions

it was learned on February 9 that Rizhao Steel's request for instructions to apply for the establishment of Myanmar offices and Manila offices in Myanmar and the Philippines has been completed in the relevant departments of Shandong Provincial Department of Commerce. Little known is that Rizhao steel has quietly opened overseas offices in Myanmar, South Korea, Singapore, Vietnam, the Philippines, the Middle East and other regions. Under the influence of the above-mentioned positive factors, its determination to expand overseas markets and explore overseas business opportunities has become increasingly prominent

"the company's internationalization strategy is gradually reaching deep water." When participating in an activity in Rizhao a few days ago, an insider close to Rizhao Iron and steel revealed that in order to enter the world's strong steel enterprises as soon as possible, the company's senior executives visited advanced steel enterprises at home and abroad for many times, and finally chose Taiwan Sinosteel as the learning object. "According to the plan, from January 11 to February 13, the company's management personnel went to Sinosteel in five batches for field research. When they returned from their studies, Rizhao Iron and Steel Association officially entered the stage of management practice." The source revealed

"learning from" Taiwan Sinosteel

"learning from Taiwan Sinosteel is an opportunity, and Rizhao steel is setting off a reform tide." The person said

for Du Shuanghua, the head of Rizhao Iron and steel, whether implementing the port investment plan or getting involved in real estate projects, he still attaches great importance to the "old bank" steel industry. Rizhao Iron and steel has many classification methods for 2 material testing machines. In 2014, as the first year of enterprise reform, a series of drastic reform actions were staged in turn. It is reported that Du Shuanghua proposed to Rizhao Iron and steel the goal of "turning ideas in one year, putting on track in two years, trial operation in three years, achieving results in five years, and reaching the advanced management level of the world's iron and steel industry in ten years". In March 2014, it began to implement the reform of the large department system, integrate the original production units, and establish a production pattern in which six departments coexist. This is only the foreshadowing made by Rizhao Iron and steel before the formal reform

how to ensure that the ten-year development strategy is successfully achieved? After investigation, Rizhao Iron and steel decided to comprehensively learn and copy the "management consulting and informatization" project of Taiwan Sinosteel, and thus kicked off the reform of promoting enterprise management upgrading

"in fact, the profitability of Nippon Steel is still strong. Learning to investigate Taiwan Sinosteel is more about preparing for a rainy day." According to the above-mentioned person, the cold current in the domestic steel market is rampant, but Rizhao steel is still growing against the market. Although its business data in 2014 has not been released, in the profit data of private steel enterprises disclosed by the chamber of Commerce of small and medium-sized metallurgical enterprises of all China Federation (2014), Rizhao Steel's profit exceeded 1billion, ranking third among steel enterprises in the country

the author notes that in the 2015 Hurun global rich list released by Hurun Research Institute recently, Du Shuanghua of Rizhao Iron and steel has a wealth of 17.5 billion yuan, ranking third among the rich in Shandong

it is revealed that Rizhao Iron and steel has made a careful plan for "learning from" Taiwan Sinosteel. In January this year, after completing the first and second stages of theoretical learning from Sinosteel's cultural concepts to institutional processes, the six promotion teams of the company selected key members after review, and the company's senior executives led them to Taiwan Sinosteel in batches to carry out the third stage of internship exchange work

"a total of 40 trainee exchange personnel have been determined, and they are divided into five groups of trainee teams, led by general manager Li Shicai, deputy general manager Liu Yuqing, assistant general manager Zhao Yongqin, assistant general manager Wu Jiahua and chief engineer Wang Fuliang. They go to Sinosteel in batches to carry out the internship work for a period of 4 to 5 days. In addition, in addition to the five groups of trainee teams that have been determined, the project team has also reserved 10 trainee places." According to the above-mentioned insiders, at present, three groups of NISCO teams have successfully completed the internship work, and the learning contents include the organizational structure setting, job description, management system, process, power and responsibility division table, performance and so on

urgent expansion of overseas sites

in mid November last year, the list of "2014 China's top 500 foreign trade enterprises" jointly released by the China Institute of foreign economic and trade statistics and other units showed that Rizhao Iron and steel ranked third in the steel sector in the country. In 2014, Rizhao steel exported about 3.08 million tons of steel, far exceeding the sales volume of 2.25 million tons in 2013, an increase of nearly 64% over the same period in 2013. In addition, by adjusting the product structure and regional investment, the gross profit per ton of steel in foreign trade is about 90 yuan/ton higher than that in domestic trade, and the foreign trade sales have achieved a "simultaneous increase in volume and profit". Under the increasing pressure of domestic steel sales, the improvement of foreign trade has provided important support for Rizhao steel to increase its income

Xia Chao, an observer of the steel industry, said that since 2014, the domestic steel market has remained volatile and depressed. With the slowdown of economic growth, investment in manufacturing and real estate continued to decline, and the domestic steel market demand was weak. In terms of production capacity, although the industry's efforts to protect the environment and resolve excess capacity have slowed down the growth of domestic steel production capacity, based on the huge steel production capacity base, the relationship between supply and demand is still severe. The shrinking market and huge production capacity continue to compress steel profits. Even if the domestic trade profits have rebounded due to the sharp decline in iron ore prices, the domestic trade prospect is still not optimistic

"there are more than 200 of the more than 500 iron and steel enterprises in China with excess capacity. It still takes time to digest this part of capacity." Analysts said that the downstream end demand of the steel market is still sluggish, which may continue to restrict the recovery of the domestic steel market

compared with the severe domestic trade situation, the foreign railway system passenger car speed increase, spring standard modification trade market gradually shows a recovery trend. According to the customs data, in 2014, China exported 73.89 million tons of steel, a substantial increase of 42.2% year-on-year. Under the recovery of the foreign trade market, Rizhao Iron and steel made efforts to sell foreign trade, set a sales target equivalent to the sales volume of domestic trade in foreign trade, and put forward a sales requirement of 10000 tons a day in the foreign trade market, trying to divert the pressure of domestic trade and reduce the inventory of enterprises through foreign trade sales, so as to finally achieve the purpose of increasing product profits and expanding enterprise benefits. From a regional perspective, the verification results of Rizhao steel in Southeast Asia, South Korea and Japan, and the Middle East show that exports have maintained high-speed growth, while exports from oceangoing regions such as Africa, the Americas, and Europe have surged

"as early as last year, the foreign trade marketing center of Nippon Steel began to investigate the necessity and feasibility of establishing overseas offices." The above-mentioned insiders said that in the early stage, South Korea and Myanmar were selected as the leading areas for research. By arranging personnel to travel and looking for intermediaries, the procedures and general expenses for the establishment of offices were preliminarily determined in the first quarter of 2014; In the second quarter, the sales staff in Myanmar and South Korea basically determined the location, establishment process and total cost of the office through business trips. At the beginning of August last year, the personnel stationed abroad in Myanmar, South Korea and Singapore offices of Japan Steel Foreign Trade Marketing Center settled in. Offices in the Philippines, Vietnam and the Middle East, Europe, Africa and other regions have also stationed personnel or are in the process of intensifying planning

"undoubtedly, the establishment of overseas offices plays a positive role in new market development and customer maintenance services, which can ensure Rizhao Iron and steel to gain a firm foothold in the foreign trade sales area." In Xia Dynasty's view, the establishment of overseas offices is of great significance for foreign trade export enterprises to go global, face the local market and customers directly, improve customer service, develop new customers and realize terminal

according to Rizhao Iron and steel, in 2015, the company will continue to expand overseas sales markets, improve the construction of offices in Southeast Asia, South Korea, the Middle East and other regions, and make more than 50% of local business personnel

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