Xiangtan Iron and Steel Group Co., Ltd. (hereinafter will be referred as XISC), located in Yuetang district, Xiangtan city, was founded in 1958. It is a large scale key iron and steel complex in china, and is also an important manufacturing base of domestic wire rods and wire products, which covers about 500 hectares and is very convenient geographically. The 6 million tons of comprehensive steel production volume per annum has come into being through more than 40 years development, especially since the reforming and open policy was put into practice. It is one of the 300 large-scale enterprises supported specially by the state council. MR. LIU JIE is President, and MR. ZHAO ZHENYING is the general secretary of communist party committee.

　　XISC has one whole set of production devices involved in coke making, sintering, iron making, steel making and rolling, of which the imported high speed wire rod rolling mill has reached the advanced international level. In the recent years, XISC has been carrying out one series of technical revamping in terms of the adjustment to the product structure, covering complete converter, complete continuous casting, products to be rolled with one heat, which some of the main technical equipments have kept up with the advanced level domestically, and 5 million tons main project and auxiliaries have completely been reached.

　　After adjustment and modification, the production and management have got onto the right track, and the products have fulfilled the upgrade. Four series have been developed in wire rod, which are high carbon, cold heading, weld and drawing wire rod. Bar mainly consists of pipeline, carbon structure steel and alloy structure steel, and plate includes normal and high carbon plate, low alloy plate, bridge plate, ship building plate, boiler pressurized vessel plate and so on. The proportion of grade products is more than 85%. Both the competence of products in the market and the profits have increased obviously.

　　Of all the products, 12 have won various prizes awarded by national, provincial government as well as the ministry of metallurgy. The high-speed wire rod and wire rope of mining are assessed as the famous brand products of Hunan province and been assessed quality certification by nation. The wire rod for power shovel have won national silver medal and practicality quality “golden cup prize”. They have not only dominated vast domestic market, but also exported to the United States, Japan, European and South Korea. In 2004, the exported quantities of wire rod ranked NO.1 all over the country. XISC is always keeping putting the project of “ customers satisfactory ” into practice. Through the quality policy of “manufacturing prime steel, to the customers satisfactory”, XISC is serving the customers with excellent and high quality in work and products. In 1999, ISO9002 quality system certification was passed, ISO9001: 2000 certificate revision was passed in 2002; shipping steel plate is successively approved by China and other countries classification society, and the boiler and pressurized vessel steel plate have obtained the China industrial products approval.

　　At the turning point of deepening reform of three systems, XISC has established and improved management systems with high efficiency. To regulate the investment management, the high efficient fund management system is established; On the other hand, in order to strengthen the management to the market development, the technical innovation system is set up. With the emphasis on ERP project, XISC has established management model of facing process and with high integration of information for the sake of collectivization and all round development.

　　XISC has been keeping excellent situation of production and running for many years, with the profits increased obviously. The developing experience of XISC is regarded as “the unique way of XIANGGANG” by some of the experts, and it is always drawing the national leaders’ attention. The communist party committee of XISC was evaluated as “ the advanced national basic level unit”.

　　With three innovations including management, technology and enterprise culture being the driving power of XISC, and at XISC spirit that “ be adapt at studying, continuously innovation and contend for the first class”, our group will always keep continuously carrying out the developing strategy of “making the products best in quality and competent greatly in the markets, and cost comes first”. At the same time, XISC will base itself upon the present foundation and conditions to make full use of the current assets, speed up the upgrade of technical facilities and process technologies, dig out production potential and lower costs for the reasonable scale. Additionally, XISC will reduce energy consumption and improve technical index to enhance the products quality at the lower cost, and establish our own famous brand and manufacture the plate products with high demand in the markets, which means XISC will change the comparatively simple situation of products structure, so as to drive the “second pioneering” of enterprise.

　　For the time being, XISC is setting its foot on the auxiliary construction of 6 million tons and making a new round adjustment for the business structure, aiming to put forward the change from ordinary steel to the prime steel and the change from the current products items composed of wire rods and bars to the various fields of plates. At the moment of putting the ERP project into practice, XISC will quicken reforming and build collectivization management style to take steps to the modernized enterprise system.