This is Part 2 in a series on Mining Execution Excellence by Mark Bese, Natural Resources Senior Industry Marketing Manager. Part 1 provided insight on the importance of operations stability to achieve mining execution excellence.
Establishing predictability in operations is the first step towards transforming mining businesses in a meaningful way. Without control over operations, attempts at becoming agile may not deliver the desired value. If mining businesses do not understand how healthy their operating processes are (including their inputs, plans, equipment, labor, and supporting activities), and how well they are functioning in the now, they will continue to waste resources (capital, equipment, labor, and even the mineral assets).
Decades ago, manufacturing established process and systems to support Operational Stability, setting a foundation for agile decision-making and dramatic transformations. Today, companies from a wide variety of industries can design, simulate, and manage their businesses by leveraging seamless collaborative environments, connecting their operations, employees, suppliers, and even their customers. This technology exists today for mining companies, if they choose to embrace it.
A former Toyota Chief Engineer identified 7 wastes of manufacturing, all of which apply to mining:Toyota provides one of the best examples of a business that became agile by establishing a foundation of Operational Stability. Today, it is recognized as being one of the most efficient companies in the world. It is also one of the most studied since it pioneered key methods of reducing variation, with stability being the first and most critical step, because it underpins everything else that follows. Stability includes the general predictability and consistent availability in terms of manpower, machines, materials, and methods. Under each of these basic building blocks of manufacturing, Toyota tries to establish consistency and predictability.
- Overproduction
- Transportation
- Unnecessary Inventory
- Inappropriate Processing
- Waiting
- Excess Motion
- Defects
To learn more about Operational Stability and how it applies in the mining industry, read the free white paper The Path to Mining Execution Excellence.
Be sure to check back next month for Part 3 in the series.