Are miners making super-slow progress towards digital transformation despite this being 'critical' for them to survive?
What are global decision-makers saying is critical for the mining industry?
The data from Axora’s 2022/23 Innovation Forecast, has highlighted that many of mining’s most active digital transformation initiatives could be linked by the idea of improving ‘control’ - or, at worst, ‘management’ – whether of costs, safety, productivity, efficiency, or of any other appropriate metric. After all, when so much is out of your control, it’s natural to try to win greater control of those elements that you can influence directly.
Mining is an industry in which ‘control’ is something of which it often has precious little
It certainly makes sense, given the respondents’ overwhelming agreement that the success of their digital transformation efforts is critical to the survival of their business. And yet, despite that imperative – we are talking about the success or failure of some of the world’s largest organizations, after all – the responses of the respondents suggest that miners have to work hard to overcome a variety of obstacles, including some that one might have thought would be eliminated by now.
The price of its products is out of its control – set by the market. Energy and labour prices are also out of the industry’s control – again set by the market. The markets give with one hand and take away with the other.
What innovation barriers prevent you from gaining more control?
From the 160 global senior decision makers that were surveyed, results showed the extent of the numerous obstacles hindering the adoption of digital transformation technologies, including:
- cybersecurity concerns (referenced by 44% of respondents)
- lack of vision into the potential for digital solutions (41% of respondents, up from 31% in 2021)
- lack of market knowledge in new solutions (also 41% of respondents, up from 33% in 2021)
- slow decision-making by senior management (cited by 31% of respondents)
- Also, an average of just 60% of the budgets allocated to digital/technology transformation ends up being spent on it.
Download the full report and read on for a detailed look at some of our key findings.
Source - AXORA
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