Conference, Notes and Press Conference

Providing 75% of the Total Number of Hormozgan Steel Orders from Inside the Country

Providing 75% of the Total Number of Hormozgan Steel Orders from Inside the Country
Mining News Pro - In the difficult and exhausting conditions of unilateral and cowardly sanctions, more than any other sector, it is production and economy that must have resilience and resistance, which will not be possible except by continuing to move in the direction of resistance economy and increasing use of domestic scientific and specialized capacities.
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According to Mining News Pro -Hormozgan Steel Company, as one of the largest producers of raw steel in the country, since the beginning of its operation, and especially in recent years, with effective and targeted investments and intelligent support from manufacturers and domestic knowledge-based companies, has taken great strides in this difficult but bright path and has been achieved valuable successes. 

“The management of the supply chain of goods and services is a dynamic flow that has constant constant components such as the circulation of information, goods, services and financial resources between purchasing units and suppliers including manufacturers, distributors and retailers, and its efficiency is achieved through profitability or the value of the supply chain resulting from the difference in value.” Mosayeb Froughi, Purchasing Deputy of Hormozgan Steel Company told Madan News. 

“Hormozgan Steel Co., Ltd., with the aim of sustainable, economical, timely and high-quality supply, has various management departments in its organizational structure, such as the purchase of raw materials and consumables, purchase of electrical and mechanical equipment and spare parts, contract affairs, planning management and purchase support, and It is material control that in 1401 started the economic purchase of strategic goods by launching an online reporting system and finding process complications and removing obstacles and eliminating bottlenecks in order to improve the value of the supply chain by reducing the cost of basic goods. It should be noted that due to the market stagnation conditions, Hormozgan Steel Company's purchasing department has taken policies and measures to reduce the cost of supply costs in order to increase profitability in 1401, the main of which are: entering into long-term contracts; making optimal changes in some contracts already concluded for strategic goods; In order to reduce the average cost; Developing and deepening long-term relationships with suppliers of strategic goods in order to use discounts; Strengthening the database of suppliers in order to increase bargaining power in price.” He added. 

“The practical meaning of localization in Iran is to reform the supply chain by changing the strategy of buying parts and consumables with the main goal of creating stable supply conditions in the supply chain and the secondary goal of helping domestic parts and raw material producing industries (supporting domestic production and knowledge-based industries under the economy resistance). Since the provision of goods and services has a multi-purpose model, its role will be in achieving profitability and success of the multi-faceted organization; Therefore, today, providing goods and services is the most important and complex process in the organization; So that more than 90 percent of an organization's expenses occur in this process, and the smallest mistake in it can have destructive and irreparable effects on profits and stock value, etc.” He continued. 

“In addition to being able to strengthen its upstream industries and small manufacturing, distribution and supplier units with effective purchases, the internal purchasing process; It can also lead to the growth of the national and local economy. Hormozgan Steel Company, following the example of Mobarakeh Steel Company, in the conditions of embargo, by developing and deepening the knowledge of localization and operationalizing it through the creation of a localization unit and holding continuous meetings with provincial and national producers, has been able to reach a mutual understanding of the needs with domestic manufacturers, which In recent years, this has led to the localization of many important and sensitive equipment, which has drawn a clear horizon for the localization industry in the country and the independence and stability of production.” Froughi mentioned. 

“Localization is not limited to sanctions. The experience of the growth of emerging industrial countries shows that the industrial development strategy is either entirely based on localization or a part of it is developed in combination with other tools. The approach of identification, evaluation, feasibility and selection of these goods and their manufacturers is one of the most important measures that are discussed in the weekly localization meetings of Hormozgan Steel Company. Also, holding negotiation meetings and obtaining advice from Mobarakeh Steel Company regarding localized goods is another influencing approach that has become valuable knowledge packages.” He continued. 

“Creating access to ordering organizations in order to separate and specify localization purchases is one of the other approaches that has facilitated the process of information circulation between operating and purchasing units. Also, the process of purchasing spare parts, machinery and equipment in this company is such that all requests are sent to the purchasing unit for the purpose of commercial action after the localization unit reviews and feasibility of domestic manufacturing, which leads to the identification of successful localization manufacturers in the country. has been Hormozgan Steel Company has made a 60% advance payment in order to support localization and domestic manufacturers, and has also put the facilitation of receiving guarantees for localization purchases on its agenda.” Forughi added.
Referring to the use of the capacity of knowledge-based companies, universities, manufacturers and domestic suppliers, Forughi said: “Hormozgan Steel Company, through the research and development unit in the technology deputy complex, held various meetings with the operation unit, which identified the needs through holding regular meetings. Announce with provincial and national science and technology parks and define these technological needs in the form of idea seeds so that companies, institutions, science and technology parks and knowledge bases have a more targeted approach in creating ideas and commercializing them.”

“Creating a technology center in Science and Technology Park of Hormozgan province; Establishing a conservatory next to Foulad to attract and introduce elite provincial students to the industry; Postgraduate students promotion plan; Launching the research and technology fund of Hormozgan province with the goals of expanding the market of knowledge-oriented and knowledge-based products; commercialization of research achievements by creating the context of private sector participation and investment; Quantitative and qualitative support for domestic manufacturers and knowledge-based companies; Signing contracts with more than 20 prestigious universities and research institutes in the form of research and executive contracts. He points out that Hormozgan Steel Company has been able to facilitate and smooth the flow of information and executive activities between the university and the industry through support and development plans.” He said. 

He also continued: “According to the mentioned activities, there are 1894 domestic companies, including Science and Technology Park, Daneshbanyan, etc., equivalent to 30% of the total vendor list of Hormozgan Steel Company in the company's supplier relationship management system. Also, the support processes, by including the knowledge-based score in the entry evaluations, can play an important role in welcoming such companies to enter the vendor. Since the beginning of Hormozgan Steel Company's production, until now, the cost share and the number of production and supply from within has been increasing, and this trend in terms of the number of orders in 1401 was about 75% of the total number of orders and 52% of supply costs were related to supply orders from within.” 
Referring to the company's rial and foreign currency savings, Foroughi said: “The currency savings in the localization sector in 1401 and according to the report announced to the Trade and Mining Industry Organization was about 418 thousand dollars, which is the amount of savings related to 26 rows of goods that were made by 19 internal workshops and a university unit has been completed.”

He added: In the direction of integration, coordination and alignment with the activities of Mobarakeh Steel Group, the basis of the supply and construction processes of Hormozgan Steel Company was formed based on the processes and structures of Mobarakeh Steel Company, and most of the resulting improvements and changes are parallel to the change management of Mobarakeh Steel Company. It will be updated.
The purchasing vice president of Hormozgan Steel further said: Considering the mission of Hormozgan Steel Company and the announced policies of Mobarakeh Steel Group in the direction of the economic development and growth of the country and the region through the development of production capacity or completion of the value chain, it is necessary for the purchasing vice president to Optimizing and realizing organizational goals should take steps in accordance with the management of global and national changes, and in different horizons, through short-term, medium-term and long-term forecasts, create the ability to use opportunities and eliminate the effect of threats, and this requires being equipped with modern knowledge, communication It is more effective with domestic suppliers as well as the development of communication with Mobarake Steel Group and other capacities. This path definitely needs the unwavering support of the senior management group of Mobarake Steel Group and Hormozgan Steel Company.


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