The event was held in full-time and remote formats. Among the full-time participants of the conference are the top management of the company, heads of structural divisions, representatives of divisions that order digital developments. All employees of PJSC MMK Group, who are interested in the development of digital technologies in the company, could join the event in the zoom-conference mode. In addition, an online broadcast of the conference was available on the YouTube channel. About 700 employees of the MMK Group took part in the conference. All conference participants had the opportunity to ask questions of interest to the key speakers of the event.

As Pavel Shilyaev said, MMK's digitalization strategy is practical in nature and is formed on the basis of a comprehensive assessment of business needs and potential effects from its implementation. Currently, the corporate portfolio with a implementation horizon of about five years contains about two hundred digital initiatives with a total budget of 5 billion rubles. The average payback period for these initiatives is 3 years. About 80% of projects are profitable, profitable initiatives. Their implementation will bring the company 6.3 billion rubles of net present value in 5 years and add 4.3% to EBITDA. Another 10% of projects are in the supporting category, the remaining 10% are research projects.

Vadim Feoktistov, Chief Information Technology Officer of PJSC MMK, Director of LLC MMK-Informservice, reviewed MMK's Digitalization Strategy at the conference. According to him, the portfolio of projects and initiatives implemented under the Digitalization Strategy is in line with global technological trends and covers almost all business processes and functional areas. In particular, 48 projects address the development of data analytics, 22 - the use of digital twins, 51 - the industrial Internet of things, 44 - digitalization of the interaction of company employees. In addition, a number of projects are responding to such technological trends as the development of cloud services, the use of robots and unmanned tools, and an increase in technology mobility.

The implementation of the company's digitalization strategy is managed by a dedicated team of experts. Thus, the Committee for Digitalization has been created and is successfully operating, which includes the top management of MMK, as well as competence centers: a project office, centers for mathematical modeling, robotization, software development, the Internet of things, etc. Deloitte Consulting is MMK's key partner in developing approaches to digitalization management and implementing digital solutions.

The reports of the conference participants reflected the progress and implementation of new digital projects. These include personnel control in hazardous areas, the development of a corporate marketplace, the use of industrial Internet of things technology to diagnose the condition of the long section shop equipment, a digital warehouse passport in the sinter batch preparation shop, a product quality control system along technological routes. Artyom Petrov, Chief Specialist for Digital Transformation of PJSC MMK, spoke about the main areas of development for further digitalization throughout the company.

Summing up the results of the conference, the General Director of PJSC MMK Pavel Shilyaev noted: “In 2020, Despite all the difficulties associated with the pandemic, we continued to work towards digital development, did not stand still, developed infrastructure, developed tools and competencies, created the necessary elements of the organizational structure, and started implementing new projects. The further development of digitalization depends on all of us, our common involvement, interest in using digital tools to improve the efficiency of internal and external processes of the Magnitogorsk Iron and Steel Works ”.

* NPV (net present value). The indicator demonstrates the effectiveness of investments in an investment project in terms of the ratio of the amount of cash flow during the period of the project, reduced to the current value.

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[b] Information and Public Relations Department of PJSC MMK

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