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2024

Huaxia Jianlong’s Quality and Cost Performance Initiative

In order to study and understand the guidelines established by the Jianlong Group's 2025 Budget Review Meeting and implement Chairman Zhang Zhixiang's directives on strengthening self-operation, cost reduction and efficiency enhancement, Huaxia Jianlong convened a meeting to deploy and promote the "Year of Quality and Cost Performance" on the morning of December 17. The meeting was attended by Yuan Zhanyong, Vice President of Jianlong Group and Chairman of Huaxia Jianlong, Li Jinqian, Vice President of Jianlong Group and General Manager of Huaxia Jianlong, Gao Shixian, Vice Chairman of Huaxia Jianlong, as well as middle and senior management personnel from the Beijing headquarters and members of the subsidiary companies' leadership teams.

At the meeting, Chairman Yuan Zhanyong delivered an important speech titled "Take Collective Action to Surpass Ourselves and Seek Internal Strength and Innovation". He expounded on the three core themes of quality, cost, and performance from four aspects: repositioning by understanding ourselves and our competitors; seeking internal strength and surpassing ourselves; reevaluating quality and cost; working hard in pursuit of perfection. He also put forward specific work requirements.
First, repositioning by understanding ourselves and our competitors. Chairman Yuan required that the entire company, especially the middle and senior management, should be clearly aware of the gap with top companies in the industry, carry forward the glorious tradition and excellent qualities of Huaxia Jianlong's growth against the odds, reposition our cost targets, and enhance our competitiveness.
Second, seeking internal strength and surpassing ourselves. Chairman Yuan quoted Wang Yangming's philosophy that "Our nature is inherently sufficient, seeking no external help" to encourage everyone to learn from model workers actively. He emphasized the importance of focusing on both objective and subjective factors. He encouraged everyone to unleash their potential and make a concentrated effort to embrace a successful career.
Third, reevaluating quality and cost. Chairman Yuan emphasized that quality stems from cost and responsibility. Company leaders must take the lead to understand "What is quality?", "What is cost?", and "The relationship between cost and value". They should share their learning experiences and insights with colleagues and inspire those around them to make progress together. Chairman Yuan pointed out that value is a reflection of mental effort and quoted Coase's Law: "A valuable resource, regardless of its initial ownership, will ultimately flow to those who can best utilize it and maximize its value." He encouraged everyone to discover and create value, improving resource utilization rates.
Fourth, working hard in pursuit of excellence. Chairman Yuan called on everyone to continuously learn and apply the first principles in their work, breaking away from established practices, habits and perceptions. He also deployed 13 key tasks, including strengthening self-operation, improving the "three rates", and strengthening procurement management, providing a clear direction for the next stage of work.
Finally, Chairman Yuan concluded his speech by emphasizing the "entrepreneurial and enterprising spirit, responsibility, focus, gratitude, forgiveness, fairness, and calmness", encouraging everyone to maintain confidence and momentum. He emphasized that "nothing is impossible to a willing heart". By striving to make breakthroughs in our work, our enterprise will become even better.

The meeting also announced the Notice on "Strengthening Self-Operation, Reducing Costs and Increasing Efficiency" and reported on the company's cost benchmarking status.

In his summary speech, General Manager Li Jinqian called on the entire company to carefully study and understand the spirit of Chairman Yuan Zhanyong's speech and implement it in their daily work while fulfilling their respective responsibilities. Mr. Li emphasized that Chairman Yuan's speech provided both values and methodologies, clarifying the focus of future work. The entire company should deeply understand the significance of the "Quality and Cost Performance" Initiative and ensure unity of thought; bear in mind the complexity of self-operation and ensure a smooth transition; take the "Quality and Cost Performance" Initiative as an opportunity to fully improve management with a focus on strengthening self-operation; recognize that strengthening self-operation is a touchstone for testing the cadre team and a whetstone for cultivating outstanding talents. We should make scientific planning and take firm steps in order to attain our goals.

Xiao Bangguo, the Party Secretary and President of the Metallurgical Industry Planning and Research Institute, and his delegation visited Huaxia Jianlong

Zhang Zhixiang, Chairman of Jianlong Group, Conducts In-depth Research at Huaxia Jianlong's Inner Mongolia Regional Subsidiaries