In recent years, Vietnam has undergone rapid urbanization with subsequent advancements in housing, energy and infrastructure. As such, demand for structural steel is expected to reach 24 million tons by 2020. The figures represent 80 percent of Vietnam’s entire steel demand, making Vietnam a booming market for steel consumption in Southeast Asia.

As the Vietnamese construction industry is projected to see an annual growth rate of 7 percent for the next 10 years, POSCO plans to pursue preemptive solution marketing activities with local affiliates such as POSCO SS VINA and POSCO-VST.

POSCO SS VINA will supply Vietnam’s growing structural steel demand.

They also look to cooperate with local organizations to maximize benefits for their clients, by providing support for a wide range of technologies related to molding, binding, improved performance and structuralization.

Additionally, POSCO intends to promote packaged marketing services for large-scale projects to offer various products such as R.H. (ROLLED H-BEAM), BH (Built up H-Beam) and steel bars in one batch.

POSCO is organizing 3 separate departments – the Solution Planning Department, Solution Development Department and Technical Services Department – to successfully create, develop and implement a local, customized marketing strategy. A total of 25 experienced construction experts will serve as consultants.

In January, POSCO also established a “Solutions Marketing Center” under its base corporation in Vietnam and China to provide support for its increased production and sales worldwide.

This means that data from city dwellers’ devices and their interaction with the physical city will determine how the government allocates resources and even influence the private sector as well. Although major developing smart cities are inspired by technology, old-school construction resources like steel are still required.

Here’s a look at where the next wave of smart cities will emerge and what opportunities lie ahead.

Countries Ripe for Smart Development

The major developing cities to watch are located in India, China and Africa. These areas of the world are ripe for growth, and what they have in common is a vast amount of land. Before modern ICT and IoT were available, it was almost impossible to imagine a way to uniformly connect these large areas into a single city. However, thanks to technology, governments will be able to bring greater numbers of people together and better manage resources for all. And development is already well underway.

India

In India, the “world’s oldest city” is being developed into a smart city. The city is called Varanasi, and it’s a holy place for the Hindu religion. However, its outdated infrastructure has created a demand for rejuvenation, and Varanasi’s renovation plans involve a lot of steel. With plans to outpace Japan as the second largest producer of steel, Varanasi will be rapidly expanding its own production capacity and turning to the global steel industry for material and technological support. Planned improvements to Varanasi include creating more affordable housing, improving the public transportation system and upgrading the sanitation system. All three of these improvements are major undertakings, and all three have roots in steel. Creating new housing structures, rail systems and modern sanitation will boost steel consumption.

SEE ALSO: Revving Up for Growth: India’s Automotive Market is In Full Gear

A model of the planned smart city in Dholera, in southern Gujarat, India. (Source: Cities Digest)

Aside from Varanasi, there were nearly 100 cities considered for smart city development in India, and approximately 20 of those have been approved by the Indian government for funding. The smart cities on India’s shortlist come from a variety of regions. This redevelopment project is part of a larger goal by the Indian government to bring the large country together. By implementing smart city technology throughout the vast country, India will be able to create a better-organized society.

China

China is rapidly developing its smart cities. With plenty of funding and technology to spare, the Chinese government has earmarked 500 cities for smart city development. While the original goal was to complete the transformation for all 500 cities by the end of 2017, more than half of the listed cities are still undergoing development.

So far, Qingdao, Hangzhou and Xiamen cities are ranked at the top for smart city governance according to the National Development and Reform Commission and the China Center for Urban Development. These cities are already equipped with wifi internet service on buses, smart register and pay services and robots that interact with citizens on a daily basis. Hangzhou, in particular, has been a sort of test tube for Alibaba’s City Brain project where they gathered massive amounts of data for artificial intelligence (AI) to process and make decisions with. The technology has drastically improved the city’s efficiency by decreasing traffic and the time it takes to respond to emergencies. As a result, City Brain will be exported to and implemented in other Chinese cities. Although not everyone is sold on the idea because the technology may put citizens’ privacy at risk, it is still expected to speed up smart city implementation all over China.

Tianjin City is one of the cities in China developing into a smart city. (Source: Bosch)

These cities will require support from the steel industry to develop and engineer high-quality, high-traffic amenities with technology at the core. Similar to Varanasi, many Chinese city projects will initially focus on housing and transportation upgrades.

SEE ALSO: Ask an Expert: 3 Managers Explain POSCO China’s Success in Challenging Chinese Market

Africa

In Africa, over 300 cities will transition into smart cities, but many development projects are facing delays getting off the ground. Much of Africa is in need of establishing standard city amenities like city government offices, schools and an open market for privately-owned businesses. Nevertheless, the region presents a tremendous opportunity for growth, and Africa’s smart cities may become some of the most efficient locations around the world.

The Modderfontein Smart City is being developed in Johannesburg by Chinese firm Zendai. (Source: Future Cape Town)

Because there is a lack of complex infrastructure, these smart cities will be built almost from scratch, allowing the people of the city to benefit from a more customized smart-city technology. Instead of working around a historical route or building, African smart cities have the flexibility to transition into smart cities optimized for the exact needs of their developing governments, education systems and business communities.

The construction of African smart cities will start from scratch. (Source: SOFREP)

This is a city planner’s dream come true. And it’s ripe for steel consumption. The steel industry can provide high-quality materials and technologies, ensuring the best construction methods and materials from the onset. Without having to re-engineer structures, African smart cities are expected to be state of the art.

While opportunities are vast in this new arena of development, many of the top steel companies have already signed contracts with developing countries to assist with smart city production. But that doesn’t mean all of the work has been assigned. With thousands of cities slated to go smart within the next five years, the steel industry will have many opportunities and play a large role in the redevelopment of these communities. Steel companies that have an eye for technology and the highest quality products will be highly sought after in the years to come.

Cover photo courtesy of IoT India Magazine.

POSCO hosted the 2017 Global EV Materials Forum at the Songdo Global R&D Center in Incheon.

POSCO welcomed more than 380 local and overseas customers to the forum where they announced the current status of POSCO Group’s EV projects and strategies. The company also showcased its core EV technologies for high-value-added products such as motors, batteries and lightweight chassis/bodies.

During the forum, POSCO highlighted customer needs, market trends and development statuses in three areas: lightweight materials, traction motor cores and batteries. POSCO researchers also gave presentations on POSCO’s high-value-added products and solutions to share market insights and technological developments with the participants.

Participants listen to presentations at the 2017 Global EV Materials Forum.

In his keynote speech, In-hwan Oh, president of POSCO, said, “POSCO is in full preparation for the future of an electric vehicle ecosystem, to become a reliable partner to our customers.”

There were also external speakers at the forum, including Stephen Zoepf, Executive Director of the Center for Automotive Research at Stanford University, who spoke about “Electric Vehicles: Adapting to a Changing Marketplace.” Another external speaker was Martin Woehrle, senior director of BMW Korea, who gave a presentation on the trends in EV development.

In addition, POSCO held a separate exhibition at the venue consisting of four key product zones: motors, batteries, light-weight chassis/bodies and charging infrastructure. There was also an EV model on display in the Highlight Zone for a better understanding of the structure of EVs.

Visitors examine the electric Nissan Leaf

On display In the lightweight chassis/bodies exhibition zone was POSCO GIGA STEEL for lightweight chassis/bodies, which is lighter but much stronger than existing automotive steel sheets. Also on display was POSCO’s lithium materials for EV batteries; POSCO is the first company in Korea to commercially produce lithium for EV batteries.

In the motor zone was POSCO Daewoo’s a high-efficiency traction motor core for EVs made with POSCO’s Hyper NO, its highest-grade, non-oriented electrical steel. POSCO is already supplying it to major automakers.

The charging infrastructure zone showed POSCO ESM and POSCO Chemtech’s core materials of EV batteries, such as cathode and anode materials. In addition, POSCO ICT is the only company in Korea to provide a total-service electric vehicle charging infrastructure, including supply, installation and operation to membership management and supplementary services.

To close, POSCO pledged to become a “Total Solution Provider” for its partners in the auto industry bracing for the age of electric vehicles with its innovative technology, premium products and customized services.

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According to research by McKinsey, approximately 51 percent of all job-related activities in the U.S. can be replaced by robots. Another recent research conducted by PwC shows that 40 percent of jobs in the U.S., 31 percent in the UK, 35 percent in Germany and 21 percent of the jobs in Tokyo are vulnerable to replacement by robotics or other artificial intelligence (AI).

An imagined image of an all-robot workforce (Source: Digital News Asia)

The figures are daunting, but in practice, companies have yet to realize a fully-automated system that matches human labor. The truth is, humans need robots to take over mundane and physically demanding tasks, while people take on creative and innovative roles in the workplace. What is more likely is a shift in workplace dynamics, not a decrease in the overall number of jobs available. Today, most companies have automated their systems to varying degrees, and robots are continually being upgraded.

The Human-Robot Collaboration

Last year, the International Organization for Standardization (ISO) published ISO/TS 15066, the safety standards for collaborative robots, or cobots that work in the same workplace as humans simultaneously. Before, it was common to find robots restrained in cages, or shut off while human workers loaded equipment onto the robots. Now, with enhanced sensors and diverse power settings, the safety risks of working with cobots are low. To add, many industries are embracing cobots over traditional industrial robots that work alone, because cobots are less expensive and require much less energy to operate.     

A welder gets help from a cobot

Not only are they a sustainable solution for companies, they increase workers’ productivity. According to Business World, Julie Shah and her team at the Massachusetts Institute of Technology conducted a study looking at human-robot collaborations at a BMW plant. She found higher levels of productivity, efficiency and performance when humans and robots collaborate in comparison to all-human or all-robot systems. Collaboration also reduced human idle time by 85 percent. Many argue that this increase in productivity will lead to more business and eventually create more jobs that revolve around working with cobots.

The International Federation of Robotics (IFR) found that robot-driven productivity accounted for 10 percent of total GDP growth in OECD countries from 1993 to 2016, and that number will continue to grow in the coming years. The IFR predicts worldwide usage of industrial robots to reach 2.6 million by 2019. That’s one million more robots than in 2015.

Cobots are already making their way into factories and warehouses, and human workers are learning to work with their new counterparts.

Auto Industry

The automotive industry is one of the most common places to find cobots as major automakers were early movers in incorporating robotics into the workforce. That’s why it’s the perfect place to observe the changing dynamics of the workplace with cobots. At Ford’s new production facility, cobots work shoulder to shoulder with the production team in what they call a blended solution. Mostly, cobots have taken over repetitive tasks, physically demanding or dangerous tasks and freed up workers to focus on new innovations and creative projects. The facility runs 21 hours a day, 6 days a week thanks to around 550 cobots and robots.

Take a look at the new working dynamics at Ford below:

Food Industry

The food industry is another sector ripe for human-cobot collaboration, especially in the packaging sector. However, pizza restaurant Zume is changing the delivery pizza experience with automated technology. Cobots have taken over tasks such as spreading the sauce and lifting the pies into the oven. They will be implementing more robot technology to free up kitchen staff to work in their offices for business expansion. Another addition to come is a delivery truck equipped with 50 ovens that will start cooking the pizzas based on exactly calculated arrival times.

Watch the video below to find out more about what Zume is working on:

E-Commerce Industry   

Amazon is another early mover that introduced 15,000 cobots named Kiva to their warehouses in 2014. Two years prior in 2012, they bought Kiva Systems, a robotics company, for USD 775 million. Since then, the number of cobot employees has tripled.

Here’s how it works. Human employees scan items and place them into the shelf-like pods. Instantly, the scanned item is available to purchase online. Kiva’s software keeps track of where each item is so that it can easily be found at the picking station, where a human employee retrieves the product for shipping. Amazon managed to rapidly increase efficiency and speed up delivery times with Kiva. They continue to incorporate AI into their services, including their drone delivery system.

Take a look at Kiva in action in the video below:

Healthcare Industry

In the healthcare industry, cobots are being incorporated to assist doctors in surgery and lighten the burden of caregivers by taking over mundane tasks. Pairing cobots and their software technology with doctors has several benefits including minimized invasiveness, exactness and reduced mistakes in surgical procedures. To date, AI and cobots have allowed doctors to access new parts of the human body for surgery, and achieve breakthrough feats the way they examine, monitor and operate on patients.

Take a look at the most innovative cobots to date in the healthcare industry:

Steel Industry

POSCO is a leader in applying AI to the steel production systems. In 2015, they developed an exoskeleton cobot designed to enable workers strength beyond their own. The cobot is made of carbon fiber, aluminum and steel, and was first tested with Daewoo Shipbuilding and Marine Engineering, at their facility in Okpo-dong. The cobot enabled shipyard workers to easily lift heavy pieces of metal weighing around 70 pounds, and researchers are working to allow workers to lift up to 200 pounds effortlessly.

Watch the video to find out more:

Aside from cobots, POSCO also incorporates AI and IoT into their smart factory, the first smart steel factory in the world, and continues to research and develop smart solutions to optimize the production processes.

Continued automation and the incorporation of cobots in the workplace is inevitable, and governments and institutions will have to provide resources for people to fill jobs tailored to working with cobots or those that cannot be replaced in any way by robots and AI. What’s ahead is figuring out how to think of cobots as coworkers that will only enhance one’s work. Also, companies have to figure out how to fully realize the potential for increased economic productivity through this type of cobot co-work that will lead to the development of more innovations, technology and ultimately, new business ventures.

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What is the Food Donation Drive?

As part of the company’s efforts to promote volunteer work among employees, POSCO-INDIA (President Mr. Gee-Woong Sung) started the “Food Donation Drive” program in December 2015, in collaboration with Delhi-NCR Foodbank. The second food drive was successfully held between January 18-23 of this year with overwhelming employee participation. The goal of this program is to provide free food to those in need to help eliminate hunger and food insecurity in Delhi-NCR (National Capital Region). It is a small effort towards ending the fight against hunger and malnutrition in India.

Under this program, food collection boxes are placed at the main entrance lobby of POSCO-INDIA and POSCO-IDPC office premises for one week. Employees donate unlimited quantities of non-perishable food items such as rice, wheat flour, sugar and cooking oil. At the end of the week, representatives of Delhi-NCR Foodbank collect the donations. These food items are then used as part of the hot meals that are provided daily to approximately a quarter million vulnerable and homeless residents in Delhi and nearby regions.

A True Internal “Volunteer” Activity

Delhi-NCR Foodbank was first implemented in 2012 and is operated by the Responsenet Development Services (RDS), India. They collect food donations from individuals and corporate organizations, and redistribute them in the form of cooked meals at 30 feeding centers that provide services to the poor, homeless, charitable hospitals and orphanages.

It should be noted that the food drive contributions at POSCO-INDIA are made voluntarily by employees. The volunteering efforts come from inside the company, out of a desire to make a change and create value in the community, as well as nurture a sense of empathy. The importance of eradicating hunger and providing nutrition in India has been reiterated as one of the provisions for CSR (Corporate Social Responsibility) in Schedule VII of Section 135 of the Indian Companies Act 2013. Also, according to Indian law, it is mandatory for companies to set aside 2 percent of their net profits for CSR activities, which is why several Indian companies chose efforts like these as a part of their CSR programs.

Interview with POSCO Employees

We interviewed employees who took part in this program. See what they had to say.

Q. How does it feel to participate in the “Food Donation Drive” program?

 Mr. Pabitra Mohan Swain, Administration Department: “I felt really happy and pleased to be part of a program that helps to fulfill one of the most important basic needs of a human being. The most memorable part for me was the way everyone came forward to help voluntarily.”

Mr. Shreenibasha Mishra, Finance Department: “I was able to share my food with someone who really needs it, which made me feel more motivated about going to work. I love that my company thinks highly enough of its employees and the things we care about to give us time and money to give back to causes we care about.”

Ms. Trupti Ray: “I do feel as if I have something special to offer to a very special cause to help others, to make a small difference in children’s lives. I remembered the gradual filling of the food basket on each day and feel happier thanks to POSCO India’s employees. It’s such a great feeling to be around other people who support the same cause that you feel strongly about.”

Q. As an employee, how do you feel about POSCO-INDIA participating in CSR activities?

Mr. Pabitra Mohan Swain: “As an employee I am proud to be a part of POSCO-India—an organization that always promotes voluntary donations, as per the vision of our Honorable CMD to ‘Donate Voluntarily’ and silently to serve the community. Since joining last year I have seen various CSR activities carried out by POSCO India and POSCO Family companies, which really inspires me as an individual.”

Mr. Shreenibasha Mishra: “Today, being in business for the sake of making profit is not enough. Customers and consumers will continue to expect good quality products and services. To a larger extent than before, people choose to work with or buy from companies that positively impact their community. Therefore, it is important to include CSR in a business’ strategic plans. It is a win-win for all involved—the company, the customers, the community and society.”

Ms. Trupti Ray: “I feel inspired, connected and hopeful working in a company like POSCO India, where employees spend their time and effort doing something good for society, and to make the world a better place.”

Apart from sharing with the underprivileged, POSCO-INDIA employees also nurture an appreciation culture within the organization by adding messages to the “Appreciation Tree” to show appreciation of other employees’ actions and behaviors. This creates a sense of oneness and fun within the workplace.

Since its establishment, POSCO has identified its corporate mission as contributing to the nation’s development, and has carried out various social responsibility activities to do so. Keeping the same spirit, POSCO-INDIA aims “for a better world” together through its small efforts in contributing to India’s society.

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