Great Honor for Steel Industry

POSCO Chairman Lee named head of IISI: Korean steel giant to build steel plant in Japan
POSCO Chairman Lee Ku-taek was named the 31st chairman of the International Iron & Steel Institute (IISI) on Oct. 7 at a meeting of the board of directors of the IISI and the general conference held in Berlin. He was named vice chairman of the IISI in 2005 and served as a member of the steering committee from 2004. He will serve for a year as the chairman.
The selection is seen as recognition of the POSCO CEO's outstanding leadership and his vision for the steel industry as shown in his management of POSCO, the fourth largest steel maker in the world.
Following his appointment as leader of IISI, Lee said that he felt an enormous responsibility as the steel industry faces a lot of hard work ahead such as the measures that the world steel industry must devise to cope with climate change, and the creation of greater demand for steel around the world.
POSCO's position in the world is likely to be elevated with its chairman's promotion as head of the powerful world steel association as the Korean steel giant already leads the way in management innovation and steel making technology.
Japan's Nissan Motor Co. and POSCO plan to open a steel sheet processing centre in Kawasaki, near Tokyo, through an existing joint venture in May 2008, the Nikkei business daily reported recently.
Amid rising steel prices, Nissan is aiming to bolster its bargaining power with Japanese steel makers by strengthening its business ties with POSCO, the daily said. The planned processing facility, the construction of which is scheduled to begin this year, will have an annual capacity of 120,000 metric tons.
The plant will handle automotive and stainless steel sheet as well as general sheet products for Nissan and other customers, the daily said.
The facility will operate under the existing joint venture, which is about 70 per cent owned by POSCO and the rest by Nissan. POSCO, the world's fourth largest steelmaker, has two processing facilities in Japan, and the new one will be the first joint processing center with an automaker, the Nikkei said.
The recent corporate environment is changing in a way that creates competitiveness in the enterprise ecosystem, including among partner suppliers, beyond just competitiveness between corporations. In this regard, large corporations with core technologies nurture and support small and medium sized enterprises (SMEs), increasing the importance of coexistent cooperation between large corporations and SMEs for building up a sustainable development foundation.
Nurturing as a partner for sustainable development
POSCO has pursued various cooperative activities with SMEs in such areas as technology cooperation, education training, purchasing and sales cooperation and financial support. The department in charge of support for SMEs was established in 2005, accelerating these positive activities for coexistent cooperation.
POSCO set up Techno Partnership, a technology advisory council, in September 2006 in cooperation with POSTEC, the Research Institute of Industrial Science and Technology, and the Pohang-Jeonnam Technopark to provide SMEs with various technology supports through customized technology grant activity. As of June this year, 765 research personnel from 57 SMEs applied for 424 technology grants and 123 test analysis support grants.
The new product development project and joint research system with SMEs are typical coexistent cooperation programs designed to help SMEs facilitate technology development and secure the market. Additionally, POSCO is actively involved in technology cooperation programs to transfer its patented technology to SMEs such as the patent counseling center.
Job Training Consortium for Small and Medium Sized Businesses` is a representative program for coexistent cooperation in the education training sector. It ultimately supports the competitiveness of SMEs through POSCO`s superior instructors and educational facilities by helping train and nurture new and existing employees to enhance their capabilities. As of now, 263 SMEs have joined the consortium, and over 13,000 people have completed the training course since 2005. nw

POSCO officials and officials of SMEs pose for a photo during the Benefit Sharing Meeting at POSCO steel complex in Pohang.

POSCO Chairman & CEO Lee Ku-taek.