INNOVATIONS

Introduction

JSW Group strives to make the most effective use of the depletable and non-renewable commodities that it procures. The Group emphasises innovations in the social domain, which will translate into workplace safety and a permanent reduction in the risk of accidents below the ground. This thinking is aligned with our vision of being an enterprise that sets the development directions for the entire industry and embraces the highest operational standards.

New challenges for the industry are mainly related to the European Commission's European Green Deal, which sets out ambitious targets for reaching climate neutrality in the EU by 2050. This target requires the Group to take strategic action, also in the field of research and development, in a way that incorporates these perspectives. This is a development opportunity in the areas of circular economy, energy efficiency, environmental impact reductions and optimal use of own energy resources.

Innovations in commodity mining and use as well as new solutions will contribute to greater efficiency and flexibility in using the commodity and to reducing emissions.

The research and innovation work conducted in 2020 made it possible to explore modern solutions in the area of mining, coking and environmental protection. The knowledge obtained this way shapes JSW Group's development and gives it further room to optimise production processes.

The effects of R+D+I work in 2020 will play a key role in modernising the mining and coking industries, ensuring occupational safety and expanding environmental protection efforts.

Strategic research areas:

  • exploitation of deposit,
  • modern management models,
  • heterogeneous telecommunications systems in workings,
  • ICT, mine ventilation and air conditionin,
  • occupational health and safety, environmental protection,
  • rehabilitation of post-mining areas,
  • use of carbon-related products and disruptive technologie.

Closer collaboration within the Group and shared research and development objectives make it possible to more precisely adapt the profile of R+D+I work to market trends and expectations.

In accordance with the financial plan included in the 2020-2030 strategy, JSW Group will provide annual funding for the R+D+I area's objectives, which will be allocated to projects that are deemed as key for implementing the strategy.

Results achieved in 2020:

  • the Group's total expenditures on research and development reached PLN 110 million, which is the equivalent of 0.86% of revenue from sales generated in 2020.
  • JSW Group filed six patents, trademarks and industrial designs with the Polish Patent Office.
  • the Group launched 14 new projects.

To maximise effects and increase scale in the innovation area, the Group is also using external financing from institutions such as: Coal and Steel Research Fund and the National Centre for Research and Development.

We feel obligated not only to incorporate in our decision-making processes the social and environmental effects of such decisions but also to search for and promote solutions that help in taking care of the interests of our surroundings.

Research, development and innovation activities at JSW Group are focused on improvements in efficiency, quality, workplace safety and environmental impact reductions, in terms of both JSW's core business, i.e. the production of coking coal, and the activities of other Group companies. Works being performed as part of the R+D+I policy also include closer internal collaboration within the Group and shared formulation and implementation of research and development objectives, which, through investments, is intended to stabilise product quality at JSW Group and diversify the production assortment. Implementing these R&D objectives is intended to employ innovations in developing and growing the value of JSW Group.

Project management is carried out in accordance with the Methodology for Managing R+D+I Projects. The methodology covers implementing R+D+I projects at JSW Group through decision gateways and appropriate reporting for each R+D+I project. The following units are involved in R+D+I project management: JSW's Management Board, JSW's Development Office and subsidiary JSW Innowacje.

R+D+I projects are implemented on the basis of methodology that consists of two basic elements making it possible to identify the essential tasks in such projects - process map along with a description of tasks and documentation at each stage of the process.

The project implementation path is as follows:

  • Gathering and submitting project ideas
  • Preliminary selection of ideas from outside JSW Group
  • Preliminary selection of ideas from within JSW Group
  • Recommendations on project launches issued by project evaluation teams formed at JSW Group companies
  • Formal commencement of projects and appointment of project bodies (Steering Committee, Steering Committee Chairperson, Project Leader)
  • Process for preparing financial plans related to R+D+I projects
  • Process for accessing funds for innovative and strategic projects
  • Conducting projects in line with rules and procedures set down in the R+D+I Methodology, taking into account JSW Group's Program and Project Management Methodology
  • Project progress reporting:
    • Within the project process - on-going reporting on project progress by the Project Leader
    • Collective reporting by JSW Innowacje - quarterly reporting on progress across JSW Innowacje's projects
  • Moving projects through decision gateways

Working with JSW Innowacje S.A. to implement the objectives formulated in the updated research agenda tailored to market needs is an important element of JSW Group's research and development efforts.

The Strategic Research Agenda is a document that defines the company’s needs in the field of research and development. The Strategic Research Agenda refers to the company's growth vision in many areas by defining the essential activities and initiatives to be undertaken in order to achieve the expected development objectives.

JSW's Strategic Research Agenda for 2020 was based on an analysis by JSW's Scientific Council of project initiatives from the Intelligent Mine Project Initiatives Book and projects from the Technical and Economic Plan of JSW Innowacje S.A. for 2020, which were aligned with the development directions indicated by the Council.

The agenda contains a range of projects intended to diversify JSW's core business and improve productivity in the core segment.

Despite the unfavourable market situation for developing cooperation, especially in an international dimension, related to restrictions caused by the SARS-CoV-2 pandemic, JSW Group was successfully implementing projects in collaboration with international firms such as: Datamine, Deswik, Palaris and Komatsu Mining Corp. These relationships include work on optimising coal mining activities at JSW's mines and the deployment of modern technologies solutions in this area.

Further, JSW Group worked with scientific and research institutions such as the Central Mining Institute, Institute for Chemical Processing of Coal, AGH University of Science and Technology and Silesian Technical University.