Business Challenge story

China Steel Corp. (CSC) saw the turn of generations as an opportunity to upgrade its IT environment, which was an integral part of its corporate transformation, and to find better ways to tap into its rich historical data. The reengineering was a huge task, involving the rewrite of nearly 200 applications. The job was particularly daunting because the COBOL-to-Java mapping could not interrupt any of the company’s day-to-day operations.


By deploying an open systems platform on the Linux operating system, CSC can now carry out real-time analytics. For example, using decades of production and transaction data to simulate steel prices, the solution can create a pricing model for production based on fuzzy analytics. By comparing current and historical conditions, CSC can optimize pricing, better manage supply chain and grow revenue.


CSC reduced software licensing costs and total cost of ownership (TCO) by 15 percent, now that applications are running on Linux in an open environment. Linux workloads do not increase IBM software licensing charges for traditional mainframe software. Though costs have dropped, performance has improved because data can now be processed in a shorter period of time. Operations that took as long as 10 minutes to process previously can now can be finished in 10 seconds, a 60-fold increase in system speed. Data size also increased because the system can process five million records per day, leading to an overall increase in hardware efficiency of 40 percent.

Solution Category

  • IBM Hybrid Cloud
  • Solution Components

    • z Systems: Integrated Facility for Linux (IFL)
    • z Systems: zEnterprise BC12 (zBC12)
    • z Systems : z Systems running z/OS
    • STG Lab Services: System z
    • Db2 Analytics Accelerator for z/OS