Hoa Phat Hai Duong Steel JSC: 288 innovation initiatives with an estimated total benefit value of VND 615 billion

Hai Duong Hoa Phat Steel Integrated Complex uses the latest closed blast furnace technology to produce steel and iron. During the operation, the Company constantly encourages the employees to bring up innovative initiatives that save costs and improve productivity and quality. Starting in 2014, the company has begun to synthesize innovative topics for approval and annual accommodations.

According to the statistics, 288 improvement initiatives have been implemented in the last 8 years. In particular, the total profit of improvement initiatives from 2018 – 2022 is estimated to exceed VND 615 billion.

288 improvement initiatives have been implemented in the last 8 years

The majority and the most effective initiatives must count toward the technical improvements. The “Design and Installation of coal selection system” by Mr. Le Quang Vuong and Nguyen Van Duong – Steel Refinery Factory helps select qualified coal for production and remove bran coal. The system capacity was designed to

reach 50-70 tons/hour, ensuring the quality of coal supplied to the converter, contributing to reducing consumption and limiting coal dust alloying after the furnace, at the same time it also provides bran coal for sintering. With this initiative, the company saves VND 89 billion/per year.

The converter of Hoa Phat Hai Duong Steel Integrated Complex

The initiative “Carbon and end-point converter #1 temperature prediction system” proposed by Mr. Dong Xuan Van – Electrical Equipment Department and Mr. Pham Tien Chien, Technology Department is designed to save materials, reduce converting time, and increase the smelting capacity for convert furnace number 1. This initiative helps the company saving VND 39 billion per year.

Another successful innovation in terms of technology must count to the “Mixing new material in the dry mortar production line for the sintering process” by Mr. Dang Viet Thanh, Head of the Technology Department. Significantly, the Company uses new sources of raw materials with lower prices while still ensuring the required quality. The mixing in sintering also reduces the corresponding ore elevation, reducing coal consumption. The benefit value of the project is more than 34 billion VND.

Furthermore, this initiative has broad application prospects in the use of new ores with similar properties. Through successful testing, the company imported more ore of this ores for use, and at the same time notified the Group's Materials Department to apply to the subsidiary companies with the same model as Hoa Phat Dung Quat Steel JSC.

Steel wire rod production line with Danieli Technology (Italy)

Some initiatives don’t have high applicants but take an important part in the production process. They contribute to stable machine operation, reduce material consumption, expedient health, protect the environment, and ensure labor protection for operators. There are significant initiatives to create new products for the company, such as "Improve and complete the technical processes for the production of steel grade SWRY11 to replace 05Kπ as raw material for welding bar steel production" of the Engineering Department. Thanks to this initiative, the company was able to supply wire rod Ø6 and Ø5.5  to welding wire manufacturers in the market.

In the first 6 months of 2022, 11 initiatives were proposed by the Company’s collectives and individuals with a value of over VND5 billion.

Hoa Phat Hai Duong Steel is one of the leading subsidiaries of the Group  in terms of the quantity and value of innovation initiatives. Every six months, the company synthesizes initiatives, organizes reviews, and rewards individuals and groups with the best initiatives. As a result, the in-house innovation initiatives are becoming more and more exciting, bringing a high level of efficiency to production.