Digital transformation and business improvement
Defining the mine of the future
North America
|
2019
$80 million in potential annual benefits identified.
25% reduction in company all-in sustaining cost (AISC).
470 unique improvement ideas generated.
60% of projects slated to start in 2020 are in digital and automation.
Challenges
- Operations at two facilities were suspended due to market weaknesses in uranium.
- The facilities have remained in care and maintenance since 2017.
- As part of the evaluation of options to reopen production, the client considered how the projected cash operating costs, specifically measured as AISC, for the two facilities could be reduced through a combination of digital technologies, optimizing process improvement and other targeted capital expenditure.
Solutions
- Hatch approached the challenges by tackling them on two fronts: (1) idea generation and prioritization to identify cost reduction and process improvements; and (2) development of a digital transformation strategy to ensure the organization is ready for technical and organizational changes.
- Generated 470 improvement ideas, 60 of which were targeting to commence in 2020 and bring the two facilities back to operation.
- Developed the building blocks of a successful digital transformation by defining the "mine of the future" strategy.
Highlights
- Generated 470 unique improvement ideas.
- Identified $80 million in potential benefits.
- Reduced company AISC by 25%.
- Engaged 16 Hatch subject matter experts (SMEs) on the project.
- 60% of projects slated to start in 2020 are in digital and automation.
- Developed an initiatives road map for 2020 to 2022, as well as a vision and strategy for mine of the future and the necessary steps to get there.
Project numbers
470 unique improvement ideas were generated$80 million in potential benefits were identified
25% reduction in company AISC
16 Hatch SMEs engaged on the project