Abstract
Every year, the mining industry loses over US$100 billion due to unscheduled repair, maintenance of mobile equipment, fuel, tires & other consumables. In the US alone, the unsafe incidents cost the mining industry over $1.2 billion. The industry produces over 2 billion tons of CO2 every year. Over 25% of these expenditures could be eliminated through digitization, aimed to achieve visibility on the operational and behavioral inefficiencies.
The COVID crisis has brought an unprecedented sense of urgency for the mining companies to accelerate their digital transition efforts.
The proliferation of smart sensors, data, and advanced technologies such as AI has enabled the creation of numerous digital solutions for industrial companies and led to what can be called digital fatigue in navigating the wide selection often isolated from each other's digital tools and systems. . As a result, according to a BCG survey, more than 30% mining companies have failed in the implementation of Digital Transition projects. These operations deliver low production volumes, perform poorly on ESG metrics, incur high operating costs, and face lower asset performance than their Digitally advanced peers.
The remote environment that restricts data capture, extraction & transmission is partly responsible for the lack of success. However, there are other important factors that, if not taken care of, can derail even a well-intentioned initiative.
In this presentation, Ash Agarwal discusses the Five Principles mining companies should follow to ensure an effective and sustainable success on their Digital Transition roadmap. Ash will draw upon his experience in the the successful implementation of AI-driven Digital Transformation across several Mining and Metals companies to provide a rule-book for assured success.
Five principles include:
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Act Now:
The time to consider if or when a transition to Digital should be made is long gone. Digital Transformation is no longer an optional nice to have. Digital native teams are demonstrating significantly better performance on operational and behavioral metrics as compared to their traditional peers
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Stay Focused
There are and will always be shiny-looking pebbles as a team tries to execute on Digital transition strategy. Stay focused on what matters.
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Build a belief system
Real sustainable transformation happens when a top-down Digital strategy meets with a bottom-up need for a Digital solution. Digital leaders should intentionally build a belief system in Digital across all levels of the organization as if the life of the business depends on it. Because it does.
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Bias for action
The digital transition is no longer an experiment. However, the diverse variety of use-cases, unique applications, environments, and operating conditions do make every Digital strategy a little different. A strong bias for action paves the way for a Digital strategy that leads to sustainable impact.
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Do not manage, but Lead the change
Actions drive value. Data and Insights are meaningless unless they are converted into actions. People drive action. A solution that is built with users in mind has no such problems as change management. If we’re thinking about managing change - we’ve already lost it. Lead the change.