OREANDA-NEWS. September 07, 2011. According to the Group Corporation's spirits and requirements for promoting the objective responsibility system during the leaders' term of office, with a view to further deepen the reform of cadre's personnel system, strengthen the execution of Baosteel Co., Ltd.'s strategic planning and implementation of managerial responsibility, advocate the guideline of "emphasizing the performance and encouraging the solid work" for personnel selection and foster the entrepreneur spirit, Baosteel Co., Ltd. has actively explored the design and pilot preparation of the Objective Responsibility System during the Leaders' Term of Office since March 2011. Baosteel Co., Ltd. organized its 3 affiliates, i.e. Hot Rolling Plant, Equipment Department and Huangshi Company as the pilot units to formally sign the "Book of Objective Responsibility during the Term of Office", which officially kicked off the pilot work of Objective Responsibility System during the Leaders' Term of Office in Baosteel Co., Ltd., reported the press-centre of Baosteel.

In the signing ceremony, chairman Xu Lejiang of the Group Corporation put forward the wishes and requirements for the pilot work of Objective Responsibility System during the Leaders' Term of Office in Baosteel Co., Ltd. President Ma Guoqiang of Baosteel Co., Ltd. and the representatives of the management teams of pilot units signed "Book of Objective Responsibility during the Term of Office". The signing ceremony was chaired by deputy Party secretary Zhu Junsheng of Baosteel Co., Ltd.

The Objective Responsibility System during the Term of Office specifies certain term of office for each level of leaders; upon the expiry of the term of office, the leader's post is naturally dismissed according to the procedure, and the renewal, promotion or adjustment of the post are determined according to the need of work and the completion of the objective during the term of office.

The Objective Responsibility System during the Term of Office tried out by Baosteel Co., Ltd. has the basic characteristics of "has the term, has the objective, has the appraisal, has the incentive and has the restriction", among which "the term of office" is synchronized with the company's rolling period of planning; "the objective during the term" focuses on the tractive indices of the development of each unit and is determined through the consultation between the upper and lower levels; "appraisal of the term" is made according to the actual result of the completion of the objective during the term and the appointed method of appraisal, striving to be clear and transparent; "incentive of the term" emphasizes value creation and is fulfilled on the basis of the operation during the term and the prior appointment of managerial responsibility and according to the completion of the objectives; "restriction of the term" embodies the leaders' professional contract spirit and professional metal integrity, and strengthens the consciousness and responsibility of professional manager.

This time, according to the principle of "one plant, one department and one company", clear business interface and explicit future development objective, complete management team and rational structure, and from the perspective of "pilot promotion, experience accumulation and system perfecting" of the Objective Responsibility System during the Term of Office, Baosteel Co., Ltd. selected Hot Rolling Plant, Equipment Department and Huangshi Company as the first batch of pilot units for Objective Responsibility System during the Term of Office. Meanwhile, the company set up the professional committee consisting of Human Resources Department, Operation Improvement Department, Finance Department and Strategic Management Department to consult with the pilot units for many rounds and form the operation objective of Huangshi Company and the management objective of Hot Rolling Plant and Equipment Department during the term of office after the approval by the company's general managers' routine business meeting.

General manager Xu Weimin of Huangshi Company made a speech as the representative of the pilot units. He said, as the first batch of pilot units to sign "Book of Objective Responsibility during the Term of Office", there is pressure, but driver as well. Huangshi Company will make practice and exploration actively, challenge itself, and be brave in undertaking. With innovation and value oriented, Huangshi Company will "base itself upon the realization of the objective of the term and set eyes on long-term scientific development", earnestly fulfill its duties in strict accordance with the relevant laws and regulations and various managerial rules of Baosteel Co., Ltd., strengthen the consciousness of pioneer and the entrepreneur spirit, drive the staff to work in a concerted way, find the gap through benchmarking, overcome the difficulties and be aggressive in making progress, striving to accomplish the performance objective within the term comprehensively and making due contributions to the pilot work of of Objective Responsibility System during theTerm of Office in Baosteel Co., Ltd. and realization of the planning target.

Xu Lejiang is quite looking forward to the pilot work of of Objective Responsibility System during theTerm of Office in Baosteel Co., Ltd. He pointed out that Baosteel's trial implementation of leaders' term of office system is a substantial measure to profoundly promote the state-owned enterprises' "3 systems". We must lay stress on and seriously treat the pilot work.

With the attitude of "actively greeting" in response to the international financial crisis, we shall face the problems existing in ourselves straight, really form the scientific system of "cadres can be promoted and demoted, employees can be recruited and dismissed, and income can rise and fall". It is a trial for various management team and a challenge of management reform in Baosteel. He wished that Baosteel Co., Ltd. can seize the opportunity, lead the pilot work and carry it through to the end seriously.  Upon the expiry of the term, the effect of the implementation of the Objective Responsibility System during the Term of Office shall be summarized carefully. He believed that, Baosteel Co., Ltd. will accumulate experiences for the Group Corporation's implementation of the work through continuous exploration and practice.