“Huaxin attaches great importance to the independent R & D and application of technology in the digital transformation, which has promoted the business development and achieved many results, leading the industry.”
On December 22, 2021, Professor Li Peigen, academician of the Chinese Academy of engineering and former president of Huazhong University of science and technology, and his delegation went to Huaxin Cement Co.Ltd(600801) for research and exchange. He greatly appreciated the digital transformation of Huaxin Cement Co.Ltd(600801) .
As the leader Huaxin Cement Co.Ltd(600801) in China’s building materials industry, the century old store produces new wine. The digital transformation does not play empty. From cognition to strategy to tactical action, all reflect the characteristics of professionalism and pragmatism.
The story has to start in 2019. Although Huaxin has always attached great importance to information construction, it is still faced with the confusion of how to transform under the wave of digital economy. President Li Yeqing has insight and decided to hire overseas IT elite Tang Jun as the “trader” of Huaxin Cement Co.Ltd(600801) digital transformation.
Tang Jun is an it veteran with more than 20 years of Chinese and international experience. He has been engaged in informatization, automation, digitization and intellectualization. His customers include many of the world’s top 500 companies. In May 2019, he joined Huaxin Cement Co.Ltd(600801) as CDO (chief digital officer) and digital director.
When joining a traditional manufacturing enterprise such as building materials, Tang Jun will inevitably have some hesitation and doubt. What role can the digitization of cement manufacturing play? How determined is the company to do digitization seriously?
After Huaxin Cement Co.Ltd(600801) 2 years in office, President Li Yeqing’s attention and support to digitization and the company’s understanding of digitization strategy exceeded Tang Jun’s expectations. Over the past two years, Huaxin’s remarkable achievements in digital transformation have also witnessed the digital spark of this returned it elite colliding with traditional industries.
cognition
digitization is a long-term strategy and competitiveness improvement project
The first question Tang Jun wants to solve is: what role can the digitization of cement manufacturing play?
This problem is not only a problem faced by Tang Jun, but also a problem that Huaxin Cement Co.Ltd(600801) all levels are thinking about.
As Huaxin Cement Co.Ltd(600801) assistant vice president and CDO & CIO, Tang Jun explained the familiar “citizen’s home”.
The government service centers set up in various places now are to open up the data island entrusted by departments and bureaus with the support of information technology, optimize the previous organizational structure and service mode, and work intensively, so as to achieve “one-time, immediate, online and nearby” public affairs, which greatly improves the service quality and work efficiency.
Have you found that scientific and technological progress promotes the adjustment of organizational structure, the change of post roles and the optimization of production relations, so as to improve productivity, which is also the process of digital transformation of market players for the purpose of reducing cost and increasing efficiency of production management?
“Traditional industry + digital innovation” is one of the four strategies that Huaxin Cement Co.Ltd(600801) has adhered to for a long time. From the group level, it has always taken digitization as the core direction of the future development of the enterprise.
In his speech at the “5g + industrial Internet” conference, Li Yeqing, President of Huaxin, pointed out: “digital transformation (of traditional enterprises) does not directly produce economic benefits, but it is the real goal of digital transformation to improve the efficiency of enterprise production and operation management, enhance competitiveness, respond quickly in a complex and changeable market environment, win the first opportunity, and finally realize the company’s long-term strategy.” Tang Jun said that because the return of digitization is long-term and human and material resources must be invested in the short term, the management must first form a unified understanding and implement it as a “top project”.
In addition, since last year, affected by multiple factors such as the spread of overseas epidemic and loose global liquidity, commodity prices have risen continuously, and the pressure on traditional manufacturing industry is obvious. In the context of carbon neutralization, high-energy consuming cement enterprises are facing more stringent energy-saving and environmental protection policies, including rising costs, overcapacity and vicious competition among industries. Enterprise transformation is imminent.
Therefore, the macro background also requires enterprises to make digital transformation.
strategy
how to build a digital “superstructure” in a century old store
So, the second question is, how determined is Huaxin to seriously do digitization?
Huaxin Cement Co.Ltd(600801) was founded in 1907. It is a real century old store.
Its main business covers cement, concrete, aggregate, environmental protection, equipment manufacturing and engineering, new building materials, etc. The company has more than 270 subsidiaries in 12 provinces and cities in China and overseas, and the annual cement production capacity has reached 110 million tons. It is one of China’s top 500 manufacturing and fortune 500 enterprises.
After Tang Jun joined Huaxin Cement Co.Ltd(600801) , he soon found that this century old store was good at innovation and began digital transformation very early. What Tang Jun needs to do is to vigorously promote the digital process with the support of the company’s leaders. For example, establish the first digital promotion department in the industry, that is, the digital innovation center, clarify that the digital strategy is the “top-level project” from top to bottom of the company, and promote relevant talent training plans.
Huaxin Cement Co.Ltd(600801) has been actively responding to the national call, promoting technological upgrading and advocating green and efficient production methods. In terms of digital transformation, it has also formed a unique development model and strategic positioning, that is, adhering to the tradition of independent research and development and independent innovation, and using digital technology to help enterprises realize intelligent transformation and upgrading, Enhance the competitiveness with operation efficiency and management efficiency as the connotation, and explore an innovative road of green, intelligent and high-quality development of cement industry.
Tang Jun put the construction of Huaxin Cement Co.Ltd(600801) digital “superstructure” on the agenda. The first is to innovate the digital organizational structure, boldly establish a digital innovation center, merge it, OT and digital teams, transform from the original functional departments to business departments, and serve digital innovation with professional talents, professional product development and operation and maintenance methods.
At present, the digital innovation center not only has various information talents such as artificial intelligence, big data analysis and advanced software development, but also recruits researchers related to advanced automation control and process optimization in the cement industry, and has established a complete cloud ecological software development, artificial intelligence R & D and industrial automation technology R & D system. All digital technology solutions developed by it are based on solving various problems encountered in the process of production and operation to meet various needs of business development.
Secondly, in terms of corporate culture, it is clear that this strategy is a “top-level project”. We should implement the culture of “managing business with data” from top to bottom, and transition from experience management to digital management.
Finally, implement the “pillar plan” to cultivate “business + digital” compound talents, and the threshold is relatively high. For example, more than 20 people signed up for the program last year, but only 6 people were selected according to their age, major and position. In order to train overall thinking and systematic thinking, the test questions are relatively open. One topic is the analysis of “turkey stock disaster”.
It is worth noting that Huaxin Cement Co.Ltd(600801) digital transformation started in the 1990s, starting from ERP system and customer relationship management system, gradually increasing to supplier management and office automation system, and finally developing to the whole industrial interconnection system in the collision between this traditional enterprise and returnees.
tactics
independent research and development, independent control and cultivation of core competitiveness
At the annual work meeting at the end of Huaxin Cement Co.Ltd(600801) last month, 9 Group executives and 35 Park general managers did not gather in a large conference room, nor did they communicate with PPT or text materials. They reported various work contents to various figures on the central screen of the headquarters by means of video connection.
The Beijing Vastdata Technology Co.Ltd(603138) updated in real time on the central screen has complete coverage, accuracy and unity, and can reflect the status of all sub projects and all links of production management of Huaxin Cement Co.Ltd(600801) in real time.
This kind of meeting method of “looking at numbers and speaking” has been adhered to by Huaxin Cement Co.Ltd(600801) for nearly a year. The business data of seven sectors of the group are summarized here at the daily meeting every day to provide monitoring and early warning, command and dispatching and decision support.
Relying on a clear strategic blueprint and under the guidance of the line of “independent research and development, independent control and cultivating core competitiveness”, Huaxin Cement Co.Ltd(600801) has created an effective way of digital transformation different from other cement enterprises, ensuring the sustainability of Huaxin’s “smart + cement” strategic transformation and enabling enterprises to innovate and develop.
This is one of the achievements of the company’s digital transformation.
It is understood that Huaxin Cement Co.Ltd(600801) has built a digital system with industrial intelligence, business intelligence and management intelligence as the core. Relying on independent digital R & D capability, it has continuously built and improved 27 industrial and commercial application systems, used the formed data assets, driven by marketing plan, promoted the implementation of production level through intelligent management and operation, and realized monitoring and early warning Command and dispatch to form the synergy of horizontal value network, so as to achieve production and marketing balance, rapid decision-making, cost reduction and efficiency increase.
In practice, according to the strategy of overall planning and step-by-step implementation, last June, Huaxin Cement Co.Ltd(600801) the first fully digital intelligent factory Luquan intelligent factory has been delivered.
The factory has realized the most difficult “it + OT” integration in the industry, covering marketing, procurement, logistics, production, integration, human resources, digital control, etc., and realized the visualization, networking and digitization of the whole process of cement mining, raw material procurement, production manufacturing and channel circulation, so as to improve the quality and efficiency of production and operation and reduce the labor intensity of employees, Improve the working environment.
Then is the construction of digital intelligent factory. The Huaxin Cement Co.Ltd(600801) xinyangxin base under construction, with 11 factories such as cement, aggregate and machine-made sand, 6 wharfs and 21 berths, constitutes the world’s largest building materials base, with an annual output of 12 million tons of cement and 200 million tons of aggregate, which brings world-class operational challenges. The digital base construction scheme of cement intelligent chemical plant + intelligent mine + Intelligent wharf dispatching + command and dispatching center is applied here and is expected to be completed in 2022.
The 14th five year plan goal of Huaxin Cement Co.Ltd(600801) is to realize the digitization of the whole group by 2025 and set a benchmark for the global building materials industry.
cooperation
the interaction between “cloud” and “cement” burst out of efficiency increasing kinetic energy
Huaxin has a good helper in the process of rapidly and deeply promoting digital transformation, which is Huawei cloud.
Huaxin Cement Co.Ltd(600801) took the lead in the industry and was selected as a typical enterprise cloud case of the Ministry of industry and information technology in 2020. As a Huawei cloud with the same manufacturing background, it has a deeper understanding of the digital transformation needs of manufacturing enterprises.
In the cooperation, Huawei cloud first helped Huaxin Cement Co.Ltd(600801) realize business cloud, and then built a unified data center, which became the nerve and skeleton of the group’s data asset management and operation, and then further unified definitions, data standards and rules, and determined the only data source.
Through continuous digital construction, Huaxin Cement Co.Ltd(600801) has realized the drilling, display, analysis and early warning of various data, opened up the information channel from the management level, production execution level to the production site, and optimized the enterprise business process; The real-time upload of production data provides strong support for reasonable scheduling and balanced production, and greatly improves the production efficiency of enterprises.
It is reported that in the future, the digital “cloud” and the “mud” of traditional industries will continue to interact.
Traditional manufacturing giants hope to “build steadily on Huawei cloud” in intelligent production, digital office, scientific management and other aspects, so as to accelerate the process of digital transformation and intelligent upgrading of their enterprises. Huawei cloud will also continue to deepen cooperation with industry leaders such as Huaxin Cement Co.Ltd(600801) , drive enterprise innovation with data, and provide reliable, stable and efficient solutions for enterprise digital transformation.
“Huaxin attaches great importance to the independent R & D and application of technology in the digital transformation, which has promoted the business development and achieved many results, leading the industry.”
