Facing the complex international situation and the severe impact of the Covid-19, Elkem Xinghuo Silicones has won its battle against the epidemic and ensured production and operation. By strengthening and optimizing production management, promoting marketing innovation and maintaining a stable supply chain, the company not only outperformed its 2020 target but also broke a double record in production and sales. The annual prime operating revenue increased by 4.4% year on year, while the sales of siloxane products by 15%. Elkem Xinghuo Silicones completed 108% of its annual output plan for crude monomer and hydrolysate, up 15% year-on-year. The yield of dimethyl continued to rise while stabilizing at a high level.
Building a total-factor system for production and management. Along with all scenarios of 5G plus smart chemical industry, the digital factory has significantly improved safety management and product quality, cutting manufacturing costs. By optimizing the catalytic system of synthesis units, Elkem Xinghuo Silicones has adjusted the ratio of silicon blocks of manufacturers, achieving a qualitative leap in product yield and dimethyl content. The enterprise has formulated a risk matrix for units, aligned the hazard and operability analysis methods of in-service plants, and re-examined 39 sets of units to reduce their operation risks. It has continuously implemented key process management of units and established 5 sets of sample facilities to ensure their stable operation. In addition, it has also continued to conduct interlock alarm management for plants and analyze the root cause, with the whole safety instrumentation system interlocked to ensure the operation safety of facilities.
Developing an all-round marketing system. Impacted the pandemic on upstream and downstream markets, the marketing team has focused more efforts on industry segments, making the company more specialized and refined. For one thing, the team has expanded its domestic customer base to accelerate the substitution of imported products; for another, it has laid more emphasis on new opportunities in new markets and commercialized high-value ones. Based on “voices of customers” collected every week, the production, sales and research teams have strengthened the development of upstream and downstream high-value-added products to comprehensively improve the sales value of products. They have given top priority to the new high-growth market space of new infrastructure, enhanced the innovation ability and competitive edge of special products, and increased their sales share in power and construction industries. By leveraging overseas sales platforms, the teams have supplied goods to the European and American regions to ease the pressure of market fluctuations. With a precise production and marketing plan, the Asia-Pacific supply chain has been designed to optimize the raw material supply and product export in China and beyond, build a coordinated resource-sharing mechanism, maximize capacity utilization, and rationalize inventory so as to ensure that the annual production tasks are overperformed.