Seven deadly sins of mining

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Seven deadly sins of mining  

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Seven deadly sins
of production
targeted by Toyota
Overproduction
Waiting
Transportation
Inventory
Motion
Overprocessing
Defective units



Seven deadly sins
in mining
Taking the above production problems,
apply the same to mining ....
Over production While there is a case of ramping up production
to capitalise on resource price premiums,
the costs to ramp up, expend more energy
and the lack of additional staff
may cause capital expenditure in equipment
that cannot be used.

Long term, orderly development without short term overproduction
may be more sustainable and energy efficient.

Management needs to balance the long term goals
with short term demands from 'pushy' shareholders.


Waiting Time management of production, scheduled downtime,
and availability of qualified staff needs to be balanced
with the flexibility to deal with the unknown.

All options need to be considered
as part of time management planning.
The 'Plan B' factor.



Transportation With the price of oil nudging US$100 / barrel,
transport efficiency is becoming a premium.

There are many software packages that optimise
the terraces and transport roads in an opencut but
there could be soon a time when technologies
like trolley-bus-like power transfer to haulage trucks
could be more efficient than large diesel-powered gen-sets
that are truck mounted and have to be carried up and down
out of the 'hole' on every trip.

It may be actually more energy efficient to have any milling
and extraction processes located in the opencut itself
so there are not the energy losses lifting the ore body.

Inventory Having capital wrapped up in inventory that sits in the store
on the mine can sometimes be negotiated to be onsite
but held in a 'bond store' facility, so payment is only made
when the parts and/or consumables are used.

Suppliers usually seek long term contracts to allow this.


Motion The usual culprits of conveyor belt lenths, pipe runs and
bulk storage facility sizes all contribute to wastes in 'motion'.
Plant design and dimensioning of the connection systems
becomes important.

One of the practical Management Tools is
automating how the links in the motion flows come together.
Motion system safety is everyone's responsibility.


Overprocessing An example of overprocessing is demonstrated by not supplying the customer with what is wanted. If the product is wanted in
the material in bulker bags, then overprocessing would be packaging the material in small plastic boxes.

Deliver the product to the customer's speci's


Defective units Trying to deliver 'defective units'
is the opposite to 'overprocessing'.
In the above bulker bag situation,
to supply the end materials in bulk,
with no containment packaging,
so it is exposed to the prevailing weather conditions
would be a clear example of being 'defective' as a supplier.

Trying to put one over the buyer may meet an immediate deadline
but the consequences could be disasterous,
a loss of contracts, and in a worst case,
financial disaster for the whole organisation.



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