20180225-德勤-Tracking_the_trends_2018_The_top_10_issues_shaping_mining_in_the_year_ahead_74页_1mb

2018 Mining Trends Summary

Core Content

The 2018 edition of Tracking the Trends highlights the ongoing transformation of the mining industry, emphasizing the need for innovation, digitalization, and stakeholder collaboration to navigate a volatile market. It marks the tenth anniversary of the report, reflecting a decade of significant change in the sector.

Main Themes and Key Points

1. Digital Transformation

• Shift in Value Proposition: The mining industry is moving from a focus on resource extraction to leveraging data and digital insights to optimize operations, reduce costs, and improve safety.
• Digital Nerve Center: Companies are developing integrated data platforms to unify information across the mining value chain, enabling better planning, control, and decision-making.
• Examples of Digital Adoption:
  • A major Australian miner moved short-term operations to a remote center, using real-time data visualization.
  • A global miner used AI to analyze over two million scenarios and identify the most value-adding changes.
• Emerging Technologies: Autonomous vehicles, drones, 3D printing, and wearable tech are being deployed, supported by IoT and real-time data collection.
• IT and OT Convergence: This enables more efficient automation and supports a diverse workforce.
• Cloud and Outsourcing: Some companies are moving to cloud-based systems and outsourcing data analysis, which could eventually lead to operating without traditional back offices.

2. Innovation Barriers

• Lack of Strategic Focus: The sector lacks systemic consistency and strategic direction in innovation.
• Organizational Challenges:
  • Risk Aversion: Companies are hesitant to invest in long-term innovation due to concerns about cash flow and operational continuity.
  • Short-Term Orientation: A preference for short-term cash generation often undermines long-term value creation.
  • Limited Vision: Without a clear long-term vision (e.g., automation, sustainability), innovation efforts are scattered.
  • Isolation: Mining companies tend to operate independently, which hinders collaboration with juniors and service providers.
• Innovation Maturity: The mining industry is still in the early stages of innovation maturity and needs to adopt a more systematic and collaborative approach.

3. Strategies for Innovation

• Systematized Innovation Approach: Companies must define an innovation strategy and align it with key thematic areas (e.g., automation, carbon footprint reduction).
• Organizational Support:
  • Innovation should be a leadership priority.
  • Governance systems must be in place to empower decision-making.
  • Failing fast is encouraged to learn and iterate quickly.
• Resource Allocation:
  • Adequate funding and the right resources are essential for innovation.
  • Talent from the technology sector is being sought to drive innovation.
• Metrics and Incentives:
  • Innovation performance should be measured from concept to commercialization.
  • Incentives must align with innovation goals and reward employees for their contributions.

4. The Future of Work

• Automation Impact: Automation is expected to significantly change the workforce, with Deloitte estimating that 35% of UK mining jobs may be automated by 2035.
• RPA and AI: These technologies are being used to automate repetitive tasks and support knowledge workers, reducing labor intensity and improving safety.
• Remote and Flexible Work: Digital systems and connected networks allow for more flexible and remote operations, supporting a diverse and inclusive workforce.
• Cybersecurity: As the industry becomes more digitized, robust cybersecurity measures are crucial to protect against emerging threats.

5. Exploration and Sustainability

• Need for New Exploration Strategies: With declining ore body grades and limited tier-one assets, innovative exploration methods are necessary.
• Deep Sea Mining: Potential for polymetallic nodules is significant, but environmental and technical challenges remain.
• Environmental Benefits: Innovations like DeepGreen's zero-tailings process represent a step change in sustainable mining practices.

Conclusion

The mining industry is at a pivotal moment, driven by digital transformation and a renewed focus on innovation. While the sector has historically been resistant to change, the current environment demands a shift towards more agile, data-driven, and collaborative practices. Companies that embrace these changes stand to gain not only in productivity and efficiency but also in building stronger relationships with stakeholders and enhancing long-term sustainability.