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 Business objectives:

Quality first; Reputation has top priority; Standing firm in the domestic market and part of the global steel business.


Quality first: Quality is the lifeblood of a corporation and must be ensured; Quality decides profitability; Quality requires continuous improvement and an earnest eye for every detail;

Reputation has top priority: credibility counts; to be true to our words; to be consistent in word and in deeds;

Standing firm in the domestic market: to set a high standard; to be strict with tolerance; to learn from our betters; to take the lead position in China;

To be part of the global steel business: to learn about the world’s state of the art technology and management approaches; to develop new products using technology; to be an active player in the international market.

Back ground:

This business objective was developed from the mid-1980s to the end of the century. At that time Shagang’s main products were small-size rebar, rounds and angles with high variety and low productivity. In April 1984, Mr. Shen Wenrong, the then-director of the plant, found that, “To make a fist is better than opening up five fingers”, and decided to make window frames as our main product. At the time these were disliked and avoided by the large steel mills and could not be produced by smaller factories. The target was set of being No. 1 in China, in terms of variety, quality and sales, through mass production centered on specializing in window frame products.

Thus the business objective, “Quality first, reputation has top priority; standing firm in the domestic market; and to be part of the global steel business”, was formed so that all Shagang employees were aware of their mission and targets. On August 6th, 1986, Mr. Qi Wuanqing, former minister of the Metallurgical Industry, visited Shagang and praised it, writing the following dedication: “Be technical in managing, flexible in operating, serious in quality and brave in exploring”.

In the early 1990s our window frame products won the national silver medal, were sold all over China and exported to Southeast Asian countries. The objective to be active and firm in China and be part of the world was achieved. Media such as Xinhua News Daily and China Metallurgical News excitedly reported how Shagang managed to produce high quality products and explore the domestic and international markets. This objective has been maintained and was part of the journey to becoming a Fortune 500 corporation.