- Establishment of a Smart Factory with the application of industrial Internet of Things (IoT) and Big Data
- Plans to extend its business in the energy optimization and air quality improvement projects in China

POSCO ICT (CEO: Choi Doowhan) has decided to apply the Smart Factory concept, which combines IoT and Big Data, to production sites and develop it as a future growth engine.

POSCO ICT announced on February 10 its plan to pursue new growth projects like Smart Factory, Energy, and Atmospheric Environment at an IR session held at the Korea Exchange in Yeouido, Seoul. Seeking to post 1 trillion won in sales and 65 billion won in operating profit, the Company will push through with the following: reinforcement of its global business capabilities by securing the world’s best reference and building its competitiveness and that of its affiliates through the application of cutting-edge ICT; Smart Factory; Energy optimization, and; project for the provision of solutions to the atmospheric environment of China.

First of all, the Company will push through with the establishment of Smart Factory, an industrial Internet sector that has been attracting attention recently. Smart Factory is an intelligent-type factory wherein the work process, which used to rely on workers’ experience, is operated automatically.  Information on whether all activities are carried out as planned and whether facilities are operated properly is transmitted to, and controlled by, employees in charge by means of sensors and relevant software. POSCO ICT will apply the Smart Factory concept to the domestic plants as well as POSCO.

Based on the success of the Smart Factory business, POSCO ICT hopes to lead the world markets for Industry 4.0, Industrial IoT, and Industrial Big Data, which are adopted for the more efficient management of manufacturing in general, through the convergence of IoT and Big Data with manufacturing.

The Company also aims to establish a global integrated system encompassing all sectors — including production, purchasing, sales, and finance — through the expanded application of POSPIA 3.0, POSCO’s global management system, to overseas corporations and production facilities and build production infrastructure in the overseas iron & steel works being constructed in Brazil and other countries.

POSCO ICT provides energy-related integrated services like provision of power transmission/distribution systems and diagnosis and consulting for the more efficient use of energy, provision of solutions, monitoring, and establishment of power generation infrastructure based on new and renewable energy sources. It also seeks to provide support for the use of cheap deep-night power during peak hours through the provision of the energy storage system (ESS) to industrial sites and large-sized buildings, at the same time supplying stable power to households by linking — with ESS — new/renewable energy generators whose output is unstable due to weather changes. Furthermore, the Company intends to push through with the energy management system business for factories and buildings proactively based on the momentum built in the course of supplying to Doosan Heavy Industries and POS-HiMETAL in 2014.

POSCO ICT will also penetrate the atmospheric environment market of China in the future. It has developed a Magnetic Pulse Compression for electrostatic precipitator and started exporting it to thermal power plants in China in 2014. The company will expand distribution channels and pursue proactive marketing among iron & steel works and power plants in China. POSCO ICT expects more than 1 trillion yuan worth of new investment to be made in the Chinese market in conjunction with the newly adopted strong regulation for the reduction of dust concentration level, particularly in large cities.

Commenting on the Company’s business plans, an official of POSCO ICT revealed that they plan to foster new growth engines by obtaining the world’s best reference and building their competitiveness as well as that of their affiliates, venturing into new seed business sectors like Smart Factory, Industry 4.0, Industrial IoT, energy optimization, environmental solution, etc. “We are also carrying out activities designed to create future business by launching an organization dedicated to the exploration of new business projects,” he added.