POSCO E&C has been implementing benefit-sharing system since 2008 as joint activities with its suppliers to improve product quality and to share the benefit with them, which has brought POSCO E&C reduced costs and enhanced quality and brought the suppliers improved management structure in business.
POSCO E&C, together with POSCO, has been financially supporting its subcontractors undergoing any financial difficulties by forming Support Fund. This system is funded from the fixed deposit of 520 million US$ purchased in Sep., 2005, and provide loan to small businesses through banks with interest rate 1 to 2% lower than the market interest rate.
This system is to provide small businesses with secured opportunity to supply its product for a certain period of time by designating POSCO E&C as future purchaser of the product, provided that such businesses localize any imported products or develop new products, which supports stable management of small businesses. While this system can ensure small businesses of its secured customer, or POSCO E&C, POSCO E&C can realize improvement in productivity through cost saving and quality improvement.
POSCO E&C has been operating education programs for employees of small businesses. The courses have been led by quality lecturers, facilities and systems at POSCO’s Education Center.This training system contributes to the growth of small businesses through comprehensive supports including technical supports, and to the competitiveness of Korea in the long run.
Win-Win growth supporters were put together in November 2010 to support SME partners. The supporters, consisted of the company
staffs, help the SME partners solve their issues through one-on-one customized consulting. The win-win growth performance will be reflected on their executive evaluation grade.