EVENTS

CORPORATE CULTURE

ChemChina’s Sustainability Report 2013 wins Galaxy Awards

ChemChina becomes one of China’s 50 most international enterprises

Xinghuo Silicone Plant’s foreign expert

gets Lushan Friendship Prize

Southwest Design & Research

Institute helps All China Trade Union

Federation

In action on national Fire Protection

Day

Picking wild jujubes

My dreams of drama

Qenos experts visit Xinghuo Silicone

Gallery

ADAMA Australian distributors visit

ChemChina

Russian experts visit Hunan Xiangwei

for technical exchanges

Bluestar patents declared excellent

Rubber Corp pioneers online central

purchasing

Zhonghao Chenguang Institute

launches ERP program

CNCIC signs partnership agreement

with German company

Anbang Electrochemistry products get

famous industry brand designation

Tianhua Institute becomes technical

innovation model

Southwest Design & Research

Insititute prepares national coal-

natural gas standard

ISSUE 87

1

2

3

4

5

6

7

8

December 2014

ChemChina’s Sustainability Report 2013 wins Galaxy Awards

ChemChina becomes one of China’s 50 most international enterprises

Lately ChemChina's Sustainabil i ty

Report 2013 won the Honors Award in the Brand Campaign category of the 25th international Galaxy Awards.

ChemChina has published its Sustainability Report for four consecutive years in the theme of "Life Needs Chemicals". The Sustainability Report 2013 that participated in the Galaxy Awards competition this year presents to the readers the close relation between the chemical industry and people’s lives with both pictures and texts.

It also gives a truthful and accurate picture with , photos data and graphs of the CSR contributions made by ChemChina in 2013.accurate picture with photos, data and graphs of the CSR contributions made by ChemChina in 2013.It is learnt that the Galaxy Awards is set up by MerComm, Inc, the only independent awarding organization in the world with the aim to award annual report and other publicity materials that feature effective communication and information delivery with readers, outstanding design and great originality. The Galaxy Awards received over 2,000 applications from 28 countries this year, which are assessed by the judging panel comprising of a number of organizations from Britain, Canada, Germany, Switzerland, Republic of Korea and Hong Kong based on such criteria as the applicant's originality, creativity and validity of the materials. Enterprises that won this award before include Germany's Audi AG, Nestle Group, Hyundai Motor, PetroChina and Sinopec.

When the Center for China

and Globalization (CCG) and the Social Sciences Academic Press published their Chinese Enterprise Internationalization Report for 2014), with its list of China’s 50 most international enterprises and list of China’s 50 most in te rna t iona l new e n t e r p r i s e s , o n O c t 2 9 , ChemChina was one of the 50 most international ones. Those listed were selected for their size of and earnings from international operations and additional indicators, such as their global strategy, international markets, international talent pool, and social responsibility. This report is the work of CCG and the Commerce Ministry’s Association for International Economic Cooperation, with the help of domestic and foreign experts, scholars and enterprises with experience in international investment, and an extensive go-global case survey. ChemChina now has production a n d R & D c e n t e r s i n 1 4 0 countries and regions and a well-established marketing network, with seven overseas companies in France, Norway, Australia, Israel and Singapore.

1December 2014

EVENTS

ADAMA Australian distributors visit ChemChina

Qenos experts visit Xinghuo Silicone Gallery

Russian experts visit Hunan Xiangwei for technical exchanges

ADAMA had its key Australian distributors pay a visit to ChemChina, on

Nov 3, to get a clearer understanding of the China National Agrochemical Corp’s strengths in plant protection and the strategy of being China-based while embracing the world for loyalty’s sake. The group also visited the Chemical Industry Museum to learn more about ChemChina’s history and overall strengths.

A delegation from Russia’s European Chemicals Co visited Hunan

Xiangwei for technical exchanges on PVA, on Nov 10, where they discussed possible cooperation on PVA technology and ideas on possible cooperation in other areas. European Chemicals is one of Europe’s three largest chemical companies, and Russia’s largest fertilizer producer.

T hree safety exper ts f rom

Austral ia’s Qenos visi ted the Xinghuo Silicone Plant’s corporate gallery, on Oct 24, to see the tremendous changes the plant has seen in its 46 years, especially since Qenos joined Bluestar in 1996. They spoke approvingly of how the Silicone Plant had pulled back from the verge of bankruptcy to become one of the world’s s top three organic silicone plants and Asia’s largest, under the guidance of Bluestar corporate culture. The Qenos safety experts were at the Silicone Plant for a 2-week SHE review and employee training.

2

EVENTS

December 2014

Photo by Wang XiaodongPhoto by Du Yanqing, Yu Xin.

Photo by Zhai Zhaocai, Zhang Lepeng.

Bluestar patents declared excellent

Rubber Corp pioneers online central purchasing

When the State Intellectual Property Office

published its 16th Chinese patent award list, recently, four of Bluestar ’s patents were in the excellent category, a sign of another breakthrough in Bluestar’s technical innovation and patent management. Bluestar Chengrand Institute’s patent came in first out of 40 award-winners in the field of chemistry. The three other Bluestar award-winners were from the Lehigh Institute, Changsha Institute and Lanzhou Bluestar. Bluestar has worked hard on in-house technical innovation and patents to improve overall profitability,

core competitiveness, and intellectual property management. For the past few years, Bluestar has seen improvements in technical innovation and patent management, thanks to its own ChemChina Patent Awards. Now, with this award, Bluestar has lost no time in spreading its success in patent management and, in the future, will work hard on its patent management system, build a good patent management team, improve its market-oriented R&D, and get intellectual property to play a greater role in its business.

The China Rubber Corp held a workshop for its natural rubber suppliers with the theme “Innovative

breakthrough and winning results”, on Oct 21, in Qingdao, just as the company’s natural rubber purchasing initiative, which it started in August, was being fully implemented. This made the company the industry’s first to adopt central purchasing practices using an e-commerce platform. This will help it make best use of its synergism and resources, cut the purchasing cost of natural rubber, and reach the year’s goal of a central purchasing rate above 90 percent. It will also let the company better manage its natural rubber supply chain, build a new cooperative relationship with suppliers, and allow the natural rubber value chain to grow. Natural rubber is a strategically significant raw material that is heavily used and subject to violent price fluctuations, so, its supply has a direct effect on rubber company production. So, the company began a natural rubber central procurement initiative, online, to deal more effectively with market fluctuations and keep the value chain growing. This past August, it set up a 20-member task force and an e-commerce site, called Great Wall E-Commerce, to streamline its natural rubber procurement and improve supply chain management. The next step is to set up a conference for its natural rubber purchasing managers, in cooperation with its subsidiaries, to consolidate in-house resources and achieve online and offline interaction.

Pang Liheng

Xu Jingting

3

EVENTS

December 2014

Zhonghao Chenguang Institute launches ERP program

T h e Z h o n g h a o

Chenguang Institute held a recent meeting to get its ERP program started, with the focus on improved capab i l i t y i n f i nance , inventory, procurement, production, equipment and marketing, and with more e f f i c ien t management of compliance, business cooperat ion and cost , wh i le cons ider ing the business performance and operational needs of the company. This program will be implemented by ChemChina, Haohua, and Zhonghao Chenguang. With this ERP program, Zhonghao Chenguang w i l l w o r k t o i m p r o v e management’s efficiency, i ts vision, i ts business practices, workflow, IT and business integration, technical innovation and management to make i t more compet i t ive in the f l uo r ine chemica l industry. System design and implementation are expected to be completed in April 2015, with system commissioning and O&M support at the same time.

Zhenghe Petrochemical got end-to-end IT-based control for its

unloading, water content analysis, and weighing and impurity detection, recently, increasing its fuel unloading efficiency by 20 percent. The photo shows a fuel truck passing through the unloading platform.

The China National Chemical Information Center (CNCIC) signed a

strategic partnership agreement with Germany’s SAP, on Oct 22, to work together on solutions and services based on the SAP Business 1 Cloud on HANA for small to mid-sized (SME) Chinese chemical companies to help them streamline their processes. China’s small to mid-sized chemical companies are in urgent need of better management processes, shorter business cycles, reduced finance, personnel, and operational costs, and better market response through IT. In this SAP - CNCIC cooperation, they will focus on product consulting, planning, deployment, implementation, and O&M, with the B1 Cloud. This is an ERP tailored to SMEs to bring them centralized management, real-time data, quick decision making, and quick market demand response. At the same time, SAP’s powerful HANA computing database will help the company deal with data challenges encountered in business more easily for sustainable growth and expansion. CNCIC explained that it is China’s most-trusted chemical industry information provider, and that the ERP-B1 Cloud, with SAP, brings the best practices in the chemical industry. So, chemical companies get access to the world’s best products and services at minimal cost, accelerating their business process, cutting operating costs, and greater response to market dynamics, to stand out among the competition. Bluestar, Rubber Corp, and seven other mid-sized companies have begun using this platform as pilot organizations, with good results so far.

Wang Yude

Wang Peng

4

EVENTS

CNCIC signs partnership agreement with German company

December 2014

Anbang Electrochemistry products get famous industry brand designation

Tianhua Institute becomes technical innovation model

Southwest Design & Research Insititute prepares national coal-natural gas standard

When the China Petroleum

a n d C h e m i c a l I n d u s t r y Federa t i on pub l i shed i t s list of name brand products o f t h e p e t r o l e u m a n d chemical industries for 2014, recent ly, the ethphon and pyme t roz ine p roduc ts o f Anbang E lec t rochemis t ry c lea r l y s tood ou t . I t was also named a branding role mode l f o r t he pe t ro l eum and chemical industries. Its pymetrozine products have a national patent as a new high-performance, low-toxic i ty, low-residue insecticide that h a s b e e n w e l l r e c e i v e d . The product was the first of its kind in China to receive agrochemical certification and got an agrochemical permit from the Chinese government, as part of the Science and Technology Ministry-backed national torch program. Its ethphon is the world’s most heavily and widely used plant growth regulator and Anbang is the largest producer in China and the second largest in the world, putting it in a domestic l eade rsh ip pos i t i on . The product earned Anbang a gold prize at the 1st China Green Agrochemicals Exposition.

W h e n t h e I n d u s t r y a n d

Information Technology Ministry and Finance Ministry published the i r l i s t o f mode l techn ica l innovation enterprises for 2014 in China, on Nov 2, the Tianhua Institute was a real stand-out. The two ministries first announced this technical innovation model designation, in 2011, to back up the count ry ’s innovat ion-driven development strategy and encourage companies to innovation technologically. And, as a major innovator in China’s chemical and petrochemical equipment industry, the Institute has long

sought business development through technological innovation and has created a good innovation env i ronment and prov ided a solid foundation for a wealth of innovations. These past years, the company has set a good industry example by invest ing heavi ly in technology and encouraging innovation, contributing a great deal to R&D and import substitution for large equipment in China’s pe t rochemica l and chemica l industr ies and has played an important part in China’s chemical and petrochemical equipment development.

When the China Coal Chemical

S t a n d a r d i z a t i o n Te c h n i c a l Committee, which has a chapter p e r m a n e n t l y l o c a t e d a t t h e Chemical Industry Southwest Design & Research Institute, held a meeting there, on Oct 28, to review a draft of a national standard for coal-based synthetic natural gas, the draft immediately got the go-ahead. This national standard is an important part of the national standardization program of 2013, which has China Standardization

Administration approval, so the Southwest Institute chapter held a meeting in Chengdu, on June 17, 2014, to set up a team responsible for drafting this national standard, along with a work schedule, to allocate various responsibilities for the project. By September of the year, the Institute and the Xinjiang Institute of Inspection and Testing had completed validation of the national standard then came up with the draft.

Lu Zengbo, Zhang Jianjiang

Cai Jie, Yu Tao

Xie Zhaoping

5

EVENTS

December 2014

Xinghuo Silicone Plant’s foreign expert gets Lushan Friendship Prize

Southwest Design & Research Institute helps All China Trade Union Federation

T h e J i a n g x i p r o v i n c i a l

government held a ceremony, in Nanchang, on Oct 29, to recogn ize the ou ts tand ing con t r i bu t i on o f 18 f o re i gn experts to social and economic development in Jiangxi with the Lushan Friendship Prize. One BSI expert and quality advisor at the Xinghuo Silicone Plant got the honor, making him the plant’s third foreign expert after one BSI expert, in 2012, and

an American safety director, in 2013. This award is the highest form of recognit ion that the provincial government can give to its foreign experts. This BSI expert, as quality director and advisor to Xinghuo Silicone, b rough t i n te rna t iona l bes t quality management practices and played an important role in raising employee awareness of the need for quality and making the company’s silicone products more competitive.

The ion membrane electrolytic tank is one of Beijing Chemical

Machinery’s lead products and, a part of its efforts to improve product quality could be seen when its marketing and technical departments put on an inspiring and comedic show, with technicians acting as chemical molecules to show how the ion membrane caustic soda plant works. In this way, the employee audience got a better understanding of the product’s rationale and of the importance of quality.

T he Chemica l I ndus t r y

Southwest Design & Research I n s t i t u t e w a s r e c e n t l y designated a pi lot s i te for e m p l o y e e e d u c a t i o n a n d training for 2014 by the All China Federat ion of Trade Unions, because of its respect for knowledge and talent as top priorities, and its effort to build a competent team under the principle of putting people f i rs t . In th is way, i t a l igns employee development and growth with business growth, re f lec t ing i t s commi tment t o s o c i a l r e s p o n s i b i l i t y and common va lues . The c o m p a n y w i d e e m p l o y e e education and training produce more professional, capable, and competent employees and increase employee loyalty and cohesion, thereby playing an important role in talent development at the institute.

Liu Yingliang

Photo by Kang Jian

Yang Hong

6December 2014

EVENTS

ChemChina companies held some events on the eve of national

Fire Protection Day, on Nov 9, to get out the fire protection message and make all employees more aware of the need for fire safety and better able to fight fires and prevent and minimize fire risks. On Nov 7, Qingdao Anbang held a firefighting contest involving its frontline workers and the local fire brigade with the idea of increasing interaction and cooperation between the company and the fire brigade. At the same time, Cangzhou Dahua conducted a publicity campaign to spread the word about fire protection laws and regulations, fire protection, and rescue operations. And, Haohua Yuhang took steps to increase employees’ knowledge of fire protection. Over at Lishan Motors, they asked a fire brigade officer from the Xian Public Security Bureau to talk to employees about the Fire Safety Law and how to protect fires and what to do in case of a fire. Meanwhile, Bluestar Dongda gave its employees lessons in fire protection via a bulletin board, LED and slogans, on how to identify and eliminate fire hazards and ensure operational safety. Over at Qingping Phosphorus Ore, there was a fire drill involving the local fire brigade to help employees be prepared to deal with emergencies and correctly use fire extinguishers and escape routes. And, Changyi Petrochemical’s fire safety officers explained how to both prevent and deal with fires. This made the employees a lot more aware of safety.

Bluestar Dongda employees e x a m i n i n g t h e s e r i o u s consequences of fires.

F i r e d r i l l a t Q i n g p i n g Phosphorus Ore.

Changyi Petrochemical safety offers showing how to put out a fire.

Photo by Ma Yue, Ma Xiaoyan, Liu Zhanming, Fu Haiping, Xia Weina, Zhang Aitign, Zhang Xiaoli, Zhang Hongxun, Liu Xingang.

Firefighting contest with local fire brigade, at Qingdao Anbang.

Cangzhou Dahua handing out fire safety leaflets to employees.

Haohua Yuhang fire safety officers examine safety inspection records.

Fire safety training session at Lishan Motors.

7

CORPORATE CULTURE

In action on national Fire Protection Day

December 2014

My dreams of drama

8

One sunny winter Sunday, after finishing my homework, my dad took me to Hero Mountain, where, on a rocky path, I found some fruit trees here and there, and asked, “What’s this, dad?” He picked one and gave it a closer look and said, “They’re wild jujubes that can be eaten after washing.” That one word “eaten” excited me and, as I headed on up the path, wow, there were jujube trees everywhere, so many that I couldn’t help saying, “I don’t want to climb the mountain, just pick wild jujubes. Can I, Dad, huh?” “OK,” was the reply. So, I picked up as many wild jujubes as I could from the ground and put them in my pockets, excitedly. But this wasn’t efficient, so I came up with a good idea -- pile up several big rocks and stand on top of them. I got so busy picking jujubes that I didn’t notice the thorns on the branches until I got a good lesson. Just as I was grabbing a branch, I screamed out of pain. There were thorns all over my hands and I had to pull them out one by one, in excruciating pain. After all the thorns were removed, I decided to just stick to the path, no matter what. This way, I had my pockets full of wild jujubes and went home happily with my dad. The moment I got home, I lost no time having a taste of the strange wild fruit. But, no sooner had I bitten into it than I spit it out. It was too sour to eat. But, after a Baidu search, I found that the wild jujube is rich in vitamin C, is a good digestive, and helps sleeplessness. And, although this experience gave me a cheap, blood-stained lesson, I felt so pleased because I had learned a lot from it. Zhang Taiqi, child of an employee at Jinan Yuxing.

I love dramas, especially 5-tone opera. The spring of 2012, I began studying opera with a teacher, Liu Aiqin, of the Flower Bud Opera Troupe in the city of Zibo. Teacher Liu is energetic and always smiling while teaching, as if she had just too many interesting stories to share. She said an audience can be moved only when the performer sings songs from the heart. So, whenever I was singing something, I put on a big smile just like Teacher Liu. And, later, I really felt so happy singing opera. At the same time, training was one of my weaknesses, but Liu always encouraged me kindly and praised me whenever I made even a minor improvement. And I began to shape up gradually. Several days ago, I took part in the CCTV Rising Star English Contest, where I was the only contestant to sing opera in English. While introducing myself, I said, I love drama and have a dream of singing traditional Chinese opera in English for the rest of the world to teach them about Chinese culture. Isn’t that a great dream? Gong Guoge, child of an employee at Bluestar Dongda.

Small light-hearted hedgehog, by Liang Yichen, child of a Zhuzhou Institute employee.

Fragrant lotus, by Zhu Yunpeng, child of a Huaxing Chemical employee.

December 2014

CORPORATE CULTURE

Picking wild jujubes