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威尼斯人官方平台- ChemChina Holds the 2020 Working Conference
Source: ChemChina Date: 2020-01-17

On January 15, China National Chemical Corporation Ltd. (ChemChina) held the 2020 Working Conference (hereinafter referred to as "the Conference") in Beijing. The Conference was designated to deeply implement the important statements of General Secretary Xi Jinping on reform and development of state-owned capital and companies and party building, fully uphold the spirits of the 19th National Congress and the Second, Third, and Fourth Plenary Sessions of the 19th Central Committee of the Communist Party of China, comprehensively conform to the spirit of the Central Economic Work Conference and the arrangement of the Seminar for Persons in Charge of Central Enterprises of the State-owned Assets Supervision and Administration Commission of the State Council (SASAC) under the guidance of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, summarize the work in 2019, exchange experience, analyze the situation, and arrange the key tasks for 2020.

Ning Gaoning, the Secretary of the CPC Committee and Chairman of ChemChina, delivered a speech at the Conference. He reviewed the work in 2019 and shared his experience and reflection from seven aspects, namely, strategies of the Group, internal supervision, professional management, institutional innovation, collaborative development, team management, and financial risks. And he elaborated the following four elements of the company, that is, development vision, strategic direction, mission and responsibility, and future development.

Ning Gaoning pointed out that the year of 2019 was challenging. Market changes brought about impacts at different phases, in different directions, and in varied forms. ChemChina passed the test, identified problems, demonstrated its ability to respond to market challenges, and laid a good foundation for the future.

He said that in 2019, ChemChina deeply and extensively conducted educational activities on the theme of "Remaining True to the Original Aspiration, Keeping Our Mission Firmly in Mind" to push, reflect on, and improve its work. ChemChina earnestly supported the inspections and environmental protection supervision by the SASAC and gained recognition from superior departments by inspecting and improving its work. In 2019, it conscientiously carried out the Health, Safety, and Environment (HSE) task and continued reflecting on accidents. And it did not have major or more severe safety accidents.

He shared his reflection on and summarized the work of ChemChina in 2019. First, he deemed that ChemChina and its professional companies should think deeply from the dimensions of functional positioning, strategic positioning, scale orientation, to industrialization, and to professionalization and take the corresponding action to address the issues of professional companies of unclear strategies, functions, and definition. He emphasized that the strategic positioning of ChemChina should be consistent with that of the country and ChemChinas mission. ChemChina should prevent weakness in the market and operating difficulties due to issues of strategic layout and positioning.

In terms of the great challenges derived from the changes in market and operating environments, requirements for safety and environmental protection, business models, industries, and policies in 2019, Ning Gaoning held that the integration, scale orientation, and industrial park orientation of the chemical industry have exerted a far-reaching impact on ChemChina. ChemChina should align with national strategies and shift its attention to the industries supported by the country. Besides, it should concentrate resources on turning personnel, products, and operations more professional and raising efficiency and competitiveness.

He stated that, "When the macro environment has a pressing need to us, we will develop extremely vigorously. The surrounding environment will support our development. Personally, it is a challenge to keep our company growing."

He stressed that scientific and technological R&D is vital to corporate development. A good enterprise must be driven by core technologies. Without innovation and differentiation, there will be no competitiveness.

He added that, "I insist on In Science We Trust. Science is a must. We must be aware that the future of the chemical industry depends on leading technologies and products and innovation. Enterprises will be distinguished from each other by technology and innovation, which is especially true to companies like ours."

He recognized the work of ChemChina and the collaborative development with Sinochem Group Co., Ltd. (Sinochem Group) in 2019. He assumed that upstream and downstream collaboration in the chemical industry and collaboration among relevant industries are key factors for enterprises to succeed in the future. ChemChina is future will be forged by collaboration. It should leverage collaboration to become a large, collaborative, and technology-driven company with upstream and downstream integration and an excellent team management team.

With respect to team management, he asserted that a good team can build a small business up, turn a poor business good, and boost a good business to become more competitive. Team incentives and assessment should be enhanced. The responsibility and competency assessment of managers should be consolidated.

He believed that, "Men are a factor with the greatest tension and flexibility. An enterprise will remain the same by changing its office building. No matter how beautifully the building is, it will not affect the enterprise. However, miraculous changes can occur by changing the team. Ideas will collide and sparkle. The new team will render extremely different culture and business model.

Ning Gaoning shared his ideas and outlook for the future development of ChemChina, after reviewing and reflecting on the work in 2019. He talked about what the company would look like, what a good company is, whether there are standards for a good company, and what our ideals are.

He thought that from the perspective of strategic positioning, a good company must be capable of executing major national strategic tasks, inventing significant technologies, filling up a big gap in technology, tackling tough issues, and solving "bottlenecks". The reason why a company is good does not lie in its finance and assets, but in its employee quality, culture, and sustainability. A good company is supposed to be strategic, revolutionary, sustainable, and technologically pioneering.

"We should cherish a high ideal. Indeed, the industry enjoys favorable conditions in this era." He added that, "I hope that, besides making a living, we will create a new and leading chemical enterprise in China, change Chinas agriculture, address bottlenecks in material development, and catch up with advanced practices in high-end material development."

He underlined that everyone must set high ideals, while conscientiously performing basic tasks, address corporate loss in an earnest and down-to-earth manner, prevent debt risk, and live up to the era, the industry, and our responsibility and mission. We will build a good company where every employee is respected and needed.

In addition, he elaborated the association among four elements of corporate development, that is, society, customers, shareholders, and employees. He believed that the four elements are organically associated with each other. Along with the advance of society and the times, the ranking criteria for the four elements need to be upgraded and modified continuously.

Yang Xingqiang, Deputy Secretary of the CPC Committee and General Manager of ChemChina, made a work report. He summarized the work in 2019 from three aspects, namely, production and operations, the 10 major moves, and party building. ChemChina recorded significant year-on-year (YoY) growth in the total profit and net profit in 2019. The return on investment and budget increased from the same period last year.

Yang Xingqiang explained the completion status of the 10 major moves in 2019 in detail, including security operation, strategic positioning, In Science We Trust, adjustment and optimization of management and control models, improvement of human resources, overseas enterprise management integration, financial risk prevention, budget operation, comprehensive asset management, and on-site management. 

He proposed the overall work requirements and main work objectives of ChemChina for 2020. HSE objectives: Zero big and above safety production accident and zero death accident. The YoY increase in revenue is expected to be 5.1%, while that in total profit, 84.5%. The proportion of science and technology investment will be 3.2%.

1While carrying forward, deepening, and promoting the ten major moves in 2019, Yang Xingqiang put forward 10 new moves of ChemChina for 2020: First, ChemChina will continue to drive HSE from eight aspects and comprehensively enhance its HSE management. Second, it will focus on growth and closely center on "profitable growth". Third, it will uphold the innovation and development concept of In Science We Trust to guide scientific and technological innovation. Fourth, it will highlight key points, perform comprehensive benchmarking in a practical and effective manner, and conduct benchmarking assessment incentives. Fifth, it will effectively implement the market-oriented business strategy. Sixth, it will perfect the positive incentive system and reward middle and senior managers, core technical personnel, and key management personnel. Seventh, it will formulate and refine a sustainable plan to turn from deficits to profit under the guidance of the Groups strategies. Eighth, it will continue reinforcing financial risk management and control. Ninth, it will constantly strengthen overseas enterprise management integration and deepen the implementation of the nine sub-move plans. Tenth, it will conform to the work requirement of the SASAC of "the year of consolidating and deepening the party building of central enterprises" and comprehensively enhance party leadership and building.

Fan Xiaosen, Deputy General Manager of ChemChina, presided over the Award Ceremony of the 2019 ChemChina Science and Technology Awards.

Hu Xuteng, Deputy General Manager of ChemChina, delivered a report on HSE, summarized the HSE work in 2019, and arranged the HSE work for 2020.

In line with the arrangement by ChemChina of key tasks, eight enterprises, including ChemChina Petrochemical Co., Ltd., Nantong Factory of Syngenta, Liming Research & Design Institute of Chemical Industry Co., Ltd., Shandong Bluestar Dongda Co., Ltd., Nantong Xingchen Synthetic Material Co., Ltd., Dezhou Shihua Chemical Co., Ltd., Bluestar Adisseo Co., Ltd., and Heilongjiang Haohua Chemical Co., Ltd., were invited to share their experience. Relevant persons in charge of the eight enterprises introduced how they closely centered on key tasks and strategies, integrated advanced management concepts with the actual situation of their enterprises, and conclude effective management practices and experience with characteristics through long-term accumulation and innovation.

Ning Gaoning said that the inspiring and touching speeches of the eight enterprises displayed the enthusiasm and spirit of the front line of the market and the enterprises. This spirit is the most valuable asset and driving force of an enterprise.

He suggested that benchmarking management + best practices should be included in the 10 major moves of ChemChina in 2020 and promoted within the Group. Meanwhile, he further requested that the typical experience of advanced enterprises, including experience of the Groups Headquarters in operations and management, should be transformed into manuals and systems to serve as the best practices and guidelines of the Group. Each enterprise should align with the best practices and guidelines from the aspects of concepts, policies, and time. ChemChina should turn standards for a good company into the standards and practices of the Group, create benign comparison and competition within the Group, and effectively promote the best practices within the Group.

A delegation led by Qu Jiankun, the Department II of Enterprise Audit, the National Audit Office of the Peoples Republic of China, and external directors were invited to attend the Conference. A total of 424 people, including leaders of ChemChina, cadres above the position of Deputy Director Assistant of the Headquarters, leaders and main department heads of all professional companies and directly controlled organizations, main heads of directly affiliated enterprises, attended the Conference.

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