Over 2,000 Companies Join 'Industrial Complex Digital Transformation' Initiative

'Industrial Complex Digital Transformation Challenge'
Expanding Consensus on the Need for Digital Transformation Including Smart Factory Adoption

This year, the Korea Industrial Complex Corporation's challenge to promote digital transformation in industrial complexes has surpassed 2,000 participating companies. This reflects the growing consensus among companies on the need for digital transformation, such as the introduction of smart factories, to improve productivity and quality in manufacturing sites within industrial complexes.

According to the Korea Industrial Complex Corporation on the 11th, as of this month, 2,008 companies have participated in the 'Industrial Complex Digital Transformation Challenge,' which started in June this year. The Industrial Complex Digital Transformation Challenge is a follow-up project to the 'Industrial Complex Digital Declaration Ceremony' held on May 30, aimed at encouraging tenant companies in industrial complexes to engage in digital transformation. Celebrating its 60th anniversary this year, the industrial complexes have played a central role in South Korea's economy but have also been regarded as outdated spaces that young people avoid due to aging infrastructure. While digital transformation is considered an essential strategy to break away from this and increase productivity, many tenant companies, mostly small and medium-sized enterprises, have been reluctant to make additional investments for this purpose.

Banwol National Industrial Complex designated as a Smart Green Industrial Complex. Provided by Korea Industrial Complex Corporation

The Industrial Complex Digital Transformation Challenge was initiated based on the judgment that business owners on-site must have a clear understanding of why digital transformation is necessary and which parts of the manufacturing process should be automated to succeed. Since digital transformation means innovation that goes beyond simple technology adoption to encompass the entire corporate culture and operational methods, spreading awareness is a priority. Participation in the challenge serves as a declarative commitment to promoting digital transformation, and the Korea Industrial Complex Corporation is simultaneously discovering various policies and supporting projects to assist tenant companies in their digital transformation efforts. Starting with the Changwon and Banwol-Sihwa industrial complexes in 2019, 18 Smart Green Industrial Complexes have been designated to disseminate digital transformation infrastructure, and according to the 'Industrial Complex Digital Transformation Roadmap' announced last November, the number of Smart Green Industrial Complexes will expand to 25 by 2027.

Recently, large corporations located in industrial complexes have also participated in the Digital Transformation Challenge to share best practices with their partner small and medium-sized enterprises. A representative example is SK Innovation, which participated last month in the Ulsan National Industrial Complex. SK Innovation, the first tenant company in the Ulsan and Mipo National Industrial Complexes, leads ESG (Environmental, Social, and Governance) management through global-level refining and chemical manufacturing capabilities, eco-friendly product development, and process innovation. SK Innovation presented plans to accelerate innovation through the implementation of smart factories by adopting digital transformation (DX) and artificial intelligence (AI) technologies, as well as achieving carbon neutrality through the digitalization of energy management systems.

A representative from the Korea Industrial Complex Corporation stated, "Through the Digital Transformation Challenge, we will spread successful cases of digital transformation in industrial complexes and actively drive digital innovation across industrial complexes by expanding customized support programs."