Management Innovation

Hanwha Total Petrochemical continues to promote management innovation activities in
order to become the world's No. 1 petrochemical company in terms of safety, cost and quality.

VISON

In order to become No. 1 petrochemical company with global competitiveness in terms of safety, cost and quality,
Hanwha Total Petrochemical is engaged in constant management innovation activities: Triple Zero,
a working party-centered field innovation activity; TOP activities, an engineer-centered cost reduction activity; a suggestion activity,
a communication activity where all employees participate; and a self-directed learning activity for strengthening technological capabilities.

Hanwha Total is ranked as the top No.1 in global competitiveness with Triple Zero (Safety No.1), Operational Excellence (Cost No.1), Product Leadership (No.1) and Triple Zero Activities On-site innovation activities), TOP activities (engineer-led cost reduction activities), and suggestions activities (What if? Why not?).

Triple Zero Activity

Hanwha Total Petrochemical has promoted the working party-centered field innovation activity since 1997, aiming at
'Zero accident and stable · safe Plant'. Hanwha Total Petrochemical carried out Part 1 focused on the ‘Self-reliance Preservation activity’,
Part 2 focused on the entire process and equipment examination and PE(Production engineering) training, and
Part 3 with the goal of achieving Accident Zero, Cost down 10 billion, and Plant Trouble Zero, and has proceeded with
Part 4 with the slogan of Triple Zero since 2012. Triple Zero, which started in 2012, is the ideal dream of all Plant which means Zero of shutdown,
trouble and accident. Hanwha Total Petrochemical will try to achieve the Dream plant by 2020.

PART1 (1997 ~ 2002) LIFT-21 Operator Consciousness Change: TPM introduction, basic equipment training, facility and process loss reduction activities, training of driver consciousness change -> PART2 (2003 ~ 2007) (2008 ~ 2011) ACT-100 Self-environmental safety step completion: Prevention of safety accidents due to TRA activities, cost improvement through individual improvement TPM education is opened and implemented (Elementary / Secondary / Advanced / Specialist course) -> PART4 (2012 ~ 2020) Triple Zero accident / failure / stop achievement: 5S VM activity , Theme improvement activities, training of new recruits (introduction of PE class 3, education implementation), improvement of facility reliability - establishment of daily inspection / plan preservation system, implementation

TOP Activity

An abbreviation of Total Operational Performance, TOP activity, developed by McKinsey in 1975 and applied to 2,500 companies around
the world, is management innovation program that maximizes profits through corporate-wide / overall operational efficiency activities.
Hanwha Total Petrochemical proceeds with TOP activities annually as operational innovation activities to achieve Global Chemical
& Energy Leader, thus improving corporate performance in the short term and building a High Performing Culture.

Applied Areas and Major Activities
Activities to improve cost competitiveness and maximize profits include production (productivity improvement, energy saving), purchasing (purchase cost reduction, purchase diversification), sales (product differentiation, profit maximization), research / support (process optimization, quality improvement) There is technology (only optimization).
Procedures
1.Target Setting: Baseline review and setting, Loss analysis by improvement area, Potential setting -> 2.Problem Solving: Establishment of improvement plan and establishment of execution plan - Establishment of verification method of execution result -> 3.Execution (execution and performance verification)
Current Status of Activity
WAVE1 (15.06 ~ 15.11) Target: Aromatic production, purchase of sub-materials, energy optimization, loss of raw materials -> Key achievements: Reduction of 70.9 billion won by 20 years, optimization of leaflet energy and deduction of unknown steam reduction / WAVE2 WAVE3 (June 16 ~ 16, 2011) Target: Planned by business division, energy sales, energy production, production of resin, energy optimization, loss of raw materials - Major achievements: Reduction of 64.5 billion won by 20 years, Aromatic production, logistics -> Key achievements: Reduction of 25.2 billion won by 18 years, establishment of risk management system for raw materials purchase, introduction of enterprise optimization function, establishment of aroma integration method / WAVE4 (17.01 ~ 17.06) , R & D Center -> Key achievements: Establish plan for strengthening business planning capacity, establish customer evaluation criteria and management plan, improve sales price management progag, improve management process by type of R & D task

What if? Why not!

Hanwha Total Petrochemical is operating a suggestion system called ‘What if? Why not!’.
‘What if?’ means the progress of coming up with the creative idea based on the logical and liberal mind;
‘Why not!’ means developing the idea from ‘What if ?’ to the applicable specific one.
Hanwha Total Petrochemical's suggestion activities are a means of communication where all employees participate,
contributing to innovating on the company, with approximately 120,000 cases submitted every year,
which the highest level of participation compared to other companies in the same field. Backbone of management innovation activity, the most basic activity of competitiveness enhancement, management participation method of all employees, role as communication channel

Suggestion Range
Task Activities
TOP task
Improvement task
Individual improvement of working party
Triple Zero Activities
Visual management
Improving site irrationality
Safe Environment
Potential near-miss
STOP activity
Suggestions by Year
Awarded Korean Idea Management Grand Prize for 5 consecutive years (2012 ~ 2016) Awarded Korean Idea Management Grand Prize for 5 consecutive years (2012 ~ 2016)

HTC Master

Hanwha Total Petrochemical operates the HTC Master System, which is an in-house functional certification system, in order to treat technical
personnel considerately, and enhance the work performance of individual employees through employee self-development, thus leading to safe
operation of the plant. Since acquisition of the first master craftsman in 1999, Hanwha Total Petrochemical has had 468 master craftsmen,
107 HTC masters, and 29 HTC junior masters, who are playing roles of top professionals in the company to improve the competence of junior
employees and ensure the safe operation of our plants. On the master street of the Daesan plant, you can see the faces and
names of proud masters engraved on the copper plate along with the beautiful nettle trees. Functional qualifications: 9 years experience in the field, 5 years industrialist acquaintance, 7 years technician acquisition. 391 from the year 99 ~ 16 years / HTC Master 79 from 07 ~ 16 years / Junior Master 15 ~ 16 years with 12 employees, 38%
* Master Craftsman: Candidates should have 9 years of experience in the related field, industrial engineer license for 5 years, and technician's license for 7 years.
* HTC Master: Professionals of the related job who hold 2 mandatory master craftsmen and another master craftsman selected by taking into characteristics of the job or industrial engineer license
* HTC junior Master: Next generation professionals with more than three licenses higher than the Industrial Engineer license level which help the work, among employees engaged in the company for 10 years or less
* 43.9% of technical staffs who are eligible for a master craftsman have the license / As of : December, 2018

One Word from HTC Master
이전 다음
  • 정동운 기장
    No. 1 HTC Master, Jung Dong-woon I remember the days when I read books at Seosan Library
    every day after work. I was honored to be the first master of
    our company thanks to the mindset of developing myself
    without stopping it
  • 허오정 기장
    The most master craftsmen holder and HTC Master, Heo Oh-jung When I joined Hanhwa Total Petrochemical in 2003,
    I was shocked to see the culture of self-directed learning of employees.
    After that I immersed myself in studying for master craftsmen and
    industrial engineer licences, and I achieved the results as now.
  • 박은현 주임
    No. 1 Junior Master, Park Eun-hyun I was honored to be the No. 1 junior master of our company
    and acquire master craftsman because of my efforts to
    study continuously and my colleagues who helped me
    and studied together.
Pride of Hanwha Total Petrochemical
이전 다음
  • H.C Distillation Tower Built with Conviction
    Optimized heat exchanging network of Aromatics No. 1 plant and
    improved energy efficiency through application of new technology (2002)
    1. Completed Aromatics plant No. 1 in 1997
    2. Over 120 heat exchangers repeated heating / cooling
    3. Promoted BTX Project for heat exchange network optimization in 2002
    4. Optimized heat network in the entire Aromatics No. 1 plant
    5. Modified Configuration by adding one unit of Column (New Column H.C distillation tower)
    6. Promoted with its own technology for the first time in the same industry
    7. Renamed the new Column as H.C. distillation tower after the initials of Kim Hyun-cheol, Executive Director (the then deputy director)
    8. Reduced energy consumption by 11%, and improved energy efficiency by 20% (energy consumption, energy efficiency)
    9. Became the industry's best energy saving plant
  • Extraordinary Ideas Rebuilt the Plant
    Utilized idle refining tower of LLDPE plant and produced N-Hexane with its own technology (2003)
    1. Completed the LLDPE plant in 1994 (owned catalyst production process)
    2. Used N-heaxane, but stopped the process due to improvement of the process
    3. Promoted Project to produce N-heaxane on its own: inverse concept of converting use of existing facilities without technical lines was rejected
    4. Realized the Project after the technical planning team and the employees of the LLDPE plant worked hard to maximize the profitability of the plant
    5. Built new plants with 30% of the normal investment using idle facilities and ethylene refineries
    6. Transformed Production facilities with 3,000 tons per year into manufacturing plant with 50,000 tons per year product with its own technology (3,000 tons / year, 50,000 tons / year)
  • Win-win Cooperation among Competitors for the entire Daesan Complex Synergy
    Korea's largest OCU construction project of Daesan plant (2008)
    1. At the time when the construction of OCU plant with 100,000 tons was promoted, Lotte Chemical had a similar idea (100,000 tons of OCU plant)
    2. Advised Lotte Chemical to establish the OCU plant
    3. Forecasted cost savings of 25 billion won for plant construction and efficient operation (25 billion won)
    4. LG Chem joins the two companies' co-prosperity to build the largest OCU plant in Korea (annual production of 200,000 tons of Propylene) (200,000 tons per year)
    5. Allotted to Hanwha Total Petrochemical, 100,000 tons; Lotte Chemical, 80,000 tons; LG Chem, 20,000 tons (100,000 tons, 80,000 tons, 20,000 tons)
    6. An example that maximized investment efficiency by avoiding overlapping investment among competitors, and facilitating procurement of raw materials and supply and demand of products (co-prosperity, cooperation)
  • Engineers and operators' perseverance makes a zero-defect plant in 20 years
    Developed EO / EG plant's own license (2012)
    1. EO / EG plant that has been operated for 20 years without expansion after completion in 1991: limits to cost reduction and safety stable operation maintenance (since 1991)
    2. Planned to expand the plant, but refused from existing technical line and other large technical lines
    3. Promoted expansion project in its own way without technical lines
    4. Maximization of high value added EO production: changed the ratio of EO: EG = 6: 4 to 95: 5 in a way of adding water and retrieve water in the process
    5. Based on the ideas and perseverance of engineers and professionals, succeeded in expansion project with its technology
    6. The name, License, which is the symbol of the technology of the petrochemical plant, changed to Hanwha Total Petrochemical