In 2019, the economic impact of rationalization proposals implemented at Magnitogorsk Iron and Steel Works (MMK) amounted to 585.4 million rubles, up by 29% YoY.
The importance of innovation in today’s global industry determines the need for companies to pay special attention to the development of rationalization and invention. In this regard, rationalization activities are included in the list of priority areas in MMK’s development strategy.
MMK has developed a system for submitting and implementing proposals that has proved effective. There has been an increase in the number and quality of proposals and a reduction in the time taken for their implementation.
In 2019, MMK innovators submitted 6,207 ideas for consideration by expert commissions (5,792 in 2018), of which 4,256 ideas were approved for implementation (3,872 ideas a year earlier).
The economic impact of the implemented rationalization proposals in 2019 amounted to 585.4 million rubles, up by 29% YoY. A total of 22.2 million rubles were paid in remuneration to the creators of the rationalization proposals.
In additional to material incentives, competitions, seminars, exhibitions and other events are organized by MMK management in order to develop employee’s creative potential, showcase their initiative and also to motivate employees in the sphere of self-development.
Quarterly competitions are held within departments for the ‘best idea for tackling problem areas’ with the assignment of 1st, 2nd and 3rd places and financial rewards for the innovators.
Annual competitions are held to find “MMK’s best young rationalizer and innovator” with 15 awards for the best innovators in the under 30 age group; and to find “MMK’s best rationalization proposal”, where 1st, 2nd and 3rd places are awarded to determine the best innovations in the following categories: “MTR Economy”, “Labor Protection, Industrial Safety & Ecology” and “Energy”. In 2019, a new category was introduced in this competition for innovative proposals “related to the reduction of consumption coefficients in production”.
To improve the efficiency of innovation and rationalization activities, MMK conducts training in this area. In April 2019, the training program “Innovation Factory: from a one-off idea to an innovative flow” was held at Personnel, MMK Group’s corporate training center. In December 2019, the training program titled “Improving the efficiency of rationalization activity through the use of TRIZ-developments (Theory of Inventive Problem Solving) in the spheres of engineering and production” took place.
Another traditional and effective tool to inspire technical creativity in employees is the “Fresh Idea” promotional campaign, dedicated to the Day of Inventors and Innovators. The campaign is aimed at promoting technical creativity in general and promoting “Evolution”, a specially developed mobile app for collecting ideas. The app, developed for both Android and iOS, allows users to submit ideas in a few simple steps, either on their phone or personal computer. The app also allows the user to track the progress of their idea, for example, they can follow the decision made by the expert commission.
The results of the approach to rationalization that MMK has developed and implemented indicate an increase in performance indicators and clearly demonstrate the company’s commitment to the development of technical creativity among employees. (MMK/Ukrainian metal)