NEW YORK, Dec. 3, 2013 /PRNewswire/ -- Mining companies will continue to face challenging market conditions in 2014 including rising costs, falling commodity prices, supply/demand imbalances, and decreased productivity levels. However, companies that embrace new forms of innovation can lay the foundation for long-term business growth and be best positioned for future success, according to Deloitte Touche Tohmatsu Limited's (DTTL) Tracking the Trends 2014 report released today.
The report outlines that in order to mitigate risks of a volatile industry, companies must adopt more innovative strategies as related to financial, safety and talent management programs, as well as with their stakeholders including relationships with communities, governments, shareholders, and regulators.
"The high cost of doing business has topped our list of mining trends for the past three years, and it continues to dominate thinking in the industry though efforts are turning now to increasing productivity as well as reducing costs. To assist in this, we are also seeing an increased need for business innovation — something that links how mining companies are starting to interact with the local communities and stakeholders — as the use of social media increasingly becomes more prevalent," said Phil Hopwood, Global Mining Leader, DTTL. "While mining companies cannot change global economic trends, they can change the way they operate. Rather than waiting out the market swing, companies should take this opportunity to evolve their business by adopting the processes, technologies, and mindsets necessary to strengthen their long-term operations."
According to Hopwood, mining companies have to build innovation into the DNA of their businesses. "To drive performance improvement, mining companies need to adopt technologies that allow them to operate their mines remotely, automate core mining processes, and use techniques like remote sensing to localize ore deposits," he added. "How companies use their data on a daily basis to analyze their businesses and report needs to become core to their way of thinking."
Now in its sixth year of publication, Tracking the Trends examines the top ten issues affecting mining companies around the world. The report highlights key industry indicators and provides a range of solutions companies can adopt to manage the impacts of shifting industry dynamics.
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SOURCE Deloitte Touche Tohmatsu Limited
