Digital Resurrection for the Steel Behemoth

Facing mounting pressure from cheaper imports, rising trade frictions & stringent environmental norms, Posco has embraced an ambitious digital transformation strategy. At the heart of this paradigm shift is Chairman Chang In-hwa’s mission to “reconstruct steel competitiveness.” With this vision, Posco aims to redefine conventional metallurgy through intelligent automation and data-driven processes.

The Intelligent Factory: More than just Automation

Unlike basic smart factories, Posco’s Intelligent Factory is a sophisticated ecosystem that captures & processes vast volumes of operational data. From smelting to refining, sensors and IoT modules collect real-time metrics, which are analysed by machine learning algorithms. This allows the system to not only monitor but autonomously decide the optimal next steps in production, ensuring efficiency, precision & consistency across all units.

Gwangyang’s One-Touch Converter Milestone

A striking example of Posco’s tech-forward leap is found at its Gwangyang Works. Here, the previously intricate 25-step converter refining process, handling 300 metric tons of molten steel at over 1,600 °C (2,912 °F), has been reduced to a single touch. This feat is the result of a 7-year R&D collaboration between Posco’s Steelmaking Department & R&D Institute, beginning in 2018.

Using AI heat balance models, the system analyses inputs such as molten iron temperature, chemical composition, and converter pressure to determine the most effective refining path. The result is a drastic drop in defect rates, improved yield accuracy & significantly enhanced worker safety.

Remote Safety through Smart Fool Proof Systems

Posco has also introduced Smart Fool Proof systems, where Lidar sensors and AI-enabled CCTV work together to minimise workplace hazards. If human presence is detected in crane zones, sensors trigger immediate shutdowns. Meanwhile, AI-trained cameras, fed with thousands of image datasets, distinguish between workers, machines, and vehicles. This has been crucial in eliminating operator misidentification and accidental injuries.

Predictive Maintenance Extends Equipment Life

In parallel, Posco has deployed predictive maintenance models to safeguard vital infrastructure such as Sub Lance systems. These systems measure essential molten steel parameters including temperature, carbon & O₂ content. The new cooling water abnormality model can forecast potential malfunctions as early as 14 hours in advance. Such foresight minimises costly breakdowns and unexpected downtimes, enhancing long-term operational sustainability.

Blending Man & Machine for Better Metallurgy

While AI and automation lead the charge, Posco is committed to harmonising human expertise with machine intelligence. Skilled technicians now guide & oversee the automated systems, leveraging insights generated by AI rather than being replaced. This collaborative model preserves the human touch while optimising performance and safety standards.

Reinventing Steel for a Digital Epoch

Chairman Chang views this digital transition not merely as an upgrade but a necessity to remain globally competitive. By embracing Industry 4.0 tools, Posco intends to create a new identity for steel manufacturing, where sustainability, precision, and speed coexist. With global steel demand becoming increasingly volatile, such forward-looking strategies could set a precedent for the entire sector.

Key Takeaways:

• Posco reduced its complex 25-step molten steel refining process to a one-touch operation using AI and IoT.

• The company’s Smart Fool Proof system employs Lidar and AI CCTV to boost worker safety by detecting human presence in dangerous zones.

• Predictive maintenance systems can forecast equipment failures up to 14 hours in advance, reducing downtime & enhancing efficiency.