The construction site of SK Energy Co.’s Vacuum Residue Desulfurization (VRDS) facility in Ulsan, South Korea. (image: SK Energy)
SEOUL, April 21 (Korea Bizwire) — SK Energy Co., South Korea’s leading oil refinery and gas station operator, is going to transform its business structure with a focus on digital services and eco-friendly management policies.
The move is aimed at overcoming the limitations of the petroleum refining industry, which is a major business but is vulnerable to external variables, through digital transformation.
SK Energy recently finalized and announced three major plans for digital transformation through a video conference of high-level executives presided by CEO Cho Kyung-mok.
The three major initiatives include Digital Operational Excellency, Digital Green, and Digital Platform.
First of all, SK Energy will use digital technology to enhance operational efficiency at Ulsan Complex (Ulsan CLX), a key production hub.
The company will expand its “smart plant” that combines artificial intelligence and big data technologies, which were introduced in some processes in 2017, to all processes at Ulsan CLX.
The company expects productivity and efficiency to be improved. It is also considering a “smart logistics project” to reduce costs by introducing big data technology into logistics.
Meanwhile, SK Energy also said it will push for “Digital Green” to transform itself into an eco-friendly company. It will incorporate artificial intelligence (AI) technology into the process of reprocessing factory waste water.
The company also plans to come up with a “bio aviation platform” to prepare for the aviation fuel market, which will be required to reduce pollutant emissions from 2027.
Furthermore, the company will expand its “Digital Platform” strategy to provide various living conveniences to customers by utilizing the resources as the company’s disposal.
It plans to be reborn as an “all-in-one automobile care platform” that integrates auto-related services.
It will apply digital technology to 3,000 SK gas stations across the country to improve services such as gas, logistics, car washing and parking.
In addition, the company will make gas stations a platform for convenience in customers’ lives by allowing them to trade used cars and charge electric vehicles.
M. H. Lee (mhlee@koreabizwire.com)
