Download Today's Aggregate and Mining Solutions - Vol 3 ... - KPI-JCI

Australian Resources Super Profit Tax(RSPT); c) while the industry in generalsupports sustainable development, thegrowing sensitivity towards the miningoperation’s environmental impact haslengthened the process of bringingproperties on line and leftentire regions off limits;d) the varying regulationschallenging miningcompanies who operate ona global basis.• Shortage of skilledworkers. Miningcompanies have largeworkforces with diverseskills and operations,often in numerouslocations across the world.Relocating employees(and their families), oftento developing countries where bothliving and working conditions arechallenging, adds a further dimensionand complexity to recruiting andretaining a workforce with therequisite skills and experience.The aging workforce, downturn instudents from mining fields such asmining engineering and geology, andsocio-political challenges all add to ashortfall of quality workers.• Declining ore grades and increasingstrip ratios or depths of mining leadsto higher capital investments per tonof product leading to an intense focuson cost reduction through productivity,energy savings, machine availability,etc by our customers. Most of thequality ore bodies in what areconsidered politically safe areas toinvest have already been developed.Mining companies are now forced todevelop properties that are of a lowergrade and/or at depths that requirelarger investments per ton of product.It is this higher investment per ton ofproduct that has mining companiesfocused on cost reduction throughproductivity, energy savings, machineavailability, etc.Although the issues are daunting, theycan be overcome and companies canfind ways to meet these challenges andmove forward. By taking an active role topromote safety, align with environmentalsafeguards, sponsor students in miningcareers, and find ways to decrease costswith the right equipment coupled withsuperior customer service, the obstaclesbecome opportunities to advance miningoperations on all fronts, securing theindustry for generations to follow.LOOKING FORWARDWith respect to mining companies CAPEX(capital expenditures), Olsen expects(based on industry magazine reports andmining companies’ data) that the miningindustry is returning to the investmentlevels of 2007 and 2008, which werepeak years.“I expect to see CAPEX return to theselevels going forward,” says Olsen. “Andglobal urbanization, industrialization,and infrastructure building will continueand drive annual growth rates of 7 to 9percent in the mining industry.”“When looking at China, the consumptionof energy and metal is an example ofglobal urbanization. People are movingfrom the rural areas to the cities andbecoming consumers of tangible goods.During my first trip to China about 20years ago, it was normal to see peoplewalking or riding bicycles, and nowthere is a large demand for vehicles.These differences are now also seenin the building taking placeversus years ago. Peoplein developing countries arebecoming more consumeroriented.As a nation’s peoplebecome more consumer-based,there needs to be an expansionof roads, ports, and rail tomove the material to reach theconsumers. This has led to theincrease in the mining industrythat has been seen in the last10 years and will continue todrive the industry for years tocome.”APPLYING A LIFE LESSONThroughout Olsen’s career, the lessonslearned across his various positionshave been with customer service anddistribution.“It’s one thing to sell a piece ofequipment—the sales person sells thefirst piece of equipment and then yourcustomer service sells every piece ofequipment to that customer after that. Ifyou don’t service that customer well withthat first sale, then it’s expontentiallyharder to sell any additional equipment tothat customer.”That’s the biggest lesson Olsen haslearned and it hasn’t changed over theyears: Great customer service takeseffort and planning, plus quality in theequipment and parts to support theendeavor along with a company culturethat supports it.“I believe that my experience will allowgrowth in the international markets thatthe Astec Aggregate and Mining Grouphas established and I will continue tostrengthen our approach the to miningmarket.” ■Wantmore?For more information on the mining division of Astec Industries, e-mail jolsen@astecindustries.comor visit www.astecindustries.com.6 volume 3, number 1 | Today’s aggregate & mining solutions