This audio was created using Microsoft Azure Speech Services
By Rachel K. Carson (MarCom for Process Industries)
Adapted from IDC Perspective: Mining Industry Transformation written by Emilie Ditton.
Change is hard. The truth is that many mining companies are still very hesitant about furthering their digital mining transformations in fear of cost, uncertainty, and mostly, fear of the unknown. However what mining companies need to know is that technology across the 3rd platform – cloud, Big Data and analytics, mobility, and social as well as innovation collaboraters (ex: IIoT, next-gen security, cognitive processing, and AR/VR) are critical to reshaping operations. These technologies will reengineer processes and activities within the mining industry. Maturity through the transformation does not have to be all immediate. Many companies are slowly integrating the digitization transformation in hierarchy processes.
Where are the majority of mining industry transformation investments made thus far?
To get a more realistic and clearer insight into the transformation matter, IDC Energy Insights asked mining companies about the areas of new technology that they have invested in thus far. The areas, listed below, are areas that companies have already invested in and have needs to accelerate transformation in the most.
68% > Automation investments
62% > Cloud investments
35% > Investments in remote operating and control center
33% > IIoT investments
27% > 3D Visualization
26% > Drive investments with drones
(study collected by WWDX in Mining Maturity Scope Benchmark Survey, May 2016)
The five stages of mining maturity, explained…
Companies are slowly realizing the impact of developing their mine’s digital entities. Curious to know where your mine’s digital transformation maturity stands within your competition? IDC Energy Insights’ industry transformation lays of the five stages of mining industry transformation maturity. See where your mine’s maturity status is below:
- AD HOC
- Management goals for digital transformation are sub-par and chaotic.
- Success results from an individual effort and value gained is not often shared across business players.
Business Outcome: Business and IT digital initiatives are disconnected and poorly aligned with enterprise strategy. They are not focused on customer experience.
- Basic capabilities are established.
- The necessary setup for DX is in place and earlier successes drive further initiatives.
- Business does fall short however of competitor success level.
Business Outcome: Business has identified a need to develop digitally enhanced customer business strategies, but execution is on an isolated project basis, and progress is neither predictable nor repeatable.
- Business-IT goals are aligned at enterprise level to near-term strategy.
- Digital customer product and experiences initiatives are in place however disruptive potential of digital initiatives are not on the forefront of push.
- Capabilities are documented, standardized and integrated at enterprise level.
Business Outcome: Digital transformation at the business level is a strategic business goal. The business maintains parity with its competitors and peers.
- Capabilities for DX are embedded in the enterprise and are tightly linked to an agile management vision.
Business Outcome: Integrated, synergistic business-IT management disciplines deliver digitally enabled product/service experiences on a continuous basis.
- Market is frequently and continuously affected by the use of new digital technologies and business models.
- Ecosystem awareness and feedback is a constant input to do business innovation.
Business Outcome: Continuous improvement is a core business management philosophy. Leadership embraces risk taking and experimentation to develop innovative, groundbreaking capabilities.
This list represents IDC Energy Insights’ view of how the maturity of the industry transformation of the mining sector will develop across the five stages of maturity. This assessment enables business and technology executives to assess their digital transformation capabilities, using a set of five key dimensions. Leadership DX, Omni-Experience DX, WorkSource DX, Operating Model DX, and Information DX.
Although the “Optimized” stage is where every mine aims to be in terms of achieved digital strategy, every mine has to take its journey through each stage to reach the final stage level. It is important to be aware of what stage of maturity your mine is at. Even if your mine has not yet reached stage five, there is time to take corrective action to aim and grow towards the next level of maturity. Mining industry transformation specialists and advisers can help you and your mine reach the ideal stage level that is goal.
Want to know more about Mining Industry Transformation and the five stages of mining maturity? Read the IDC Perspective…
Recently Emilie Ditton, IDC, outlined the importance of mining industry transformation and the five stages of mine maturity within the IDC Perspective: Mining Industry Transformation. She explains how a mature mine within a transformed mining operation can contribute towards increased value stakes due to better data collection for operational analysis and decision management. She also explains how each stage of maturity allows for greater depth and analysis of collected data from digital technology applications. Download now to learn more.