Caterpillar Inc Heavy Equipment CSR by GineersNow Engineering GineersNow Engineering Magazine November 2016 | Page 42

10 ISSUES AND TRENDS THAT
AFFECT THE MINING INDUSTRY
by Dion Greg Reyes
Photo by Decanter
The mining industry has
been in a complicated
position in recent years.
Several mining companies
have been affected by
many trends that have been
inconsistent, causing fears
that the business might
collapse anytime. Some
days, there is hope for them;
but mostly they fall to the
downward spiral.
That is the reality in mining
right now. Down cycles in the
industry have been endless,
with commodity prices
getting weak, declining
grades, and demand falling
off. This causes companies
to come short in capital and
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NOVEMBER 2016
Mining Engineering and Its Importance
slow down in exploration
spending. On top of that
are the regulations, tax
burdens and stakeholder
expectations which are
nowhere near the end.
Yet amid all that weight
on the shoulders of these
mining companies, they
continue to operate. They
look at opportunities of
growth, and track the trends
to change the way things
are.
Deloitte, a company that
provides business insights,
listed the top 10 issues
mining companies had
and still to face with the
rest of this year. It tackles
trends that cover all aspects
affecting
the
mining
industry.
Operational excellence
If mining companies want
to survive, they have to
maintain the good parts in
their industry. They need
to push strategies including
energy efficiency programs,
adoption of lean practices,
investment in innovation,
and data integration.
Efforts should also be done
in supply chain optimization,
back office outsourcing,
operating model review,
improved capital allocation,
working capital efficiency,