In today’s fast-paced and changing modern world, businesses have begun to rethink their business strategies as a result of the energy shift. All enterprises require a platform that provides integrated, connected and intelligent solutions to address today’s challenges while also laying the groundwork for future innovation and growth. But have you ever wondered how these needs can be accomplished? If you’re curious to know about the answer, keep reading the blog until the end.
Many regions rely on the mining industry because it is a major supplier to the power industry and their industrial productions. They are also the growth engines in both domestic and international markets. The majority of miners are engaged in manual labour and traditional capital assets are monitored using reactive management models. However, these industries are transitioning to knowledge-based work in the future, with better planning and automation to discover new growth opportunities.
To begin this intelligent transformation, mining industries should first examine their entire business model and be prepared for whatever happens along the way. As a result, in order to transform their organisation into an intelligent enterprise, they are focusing on the four strategic priorities outlined below:
- Make the business more predictable, agile and productive through Automation
- Collaborate with customers, suppliers and workers
- Focus on customer needs
- Mine responsibly and sustainably
By vision 2025, all mining companies will responsibly deliver resources by automating production, achieving sustainable operations and collaborating with customers, suppliers, and large communities. They may also anticipate fully integrating production and trading operations to generate higher-end value and better price control. Thus, SAP S/4HANA aims to meet all of the above requirements seamlessly by leveraging intelligent technology.
Okay now, let’s begin with the challenges faced by the mining companies before undergoing digital transformation!
Challenges faced before the transformation?
Mining Industries face numerous challenges that limit their ability to fully realise the value of the Intelligent Enterprise. A few of the challenges faced by them are:
- Because of their extensive geographical presence, they are hampered by non-integrated and disparate business systems.
- Problems with process consolidation and lowering the company’s global shared service costs.
- It was not possible to optimise the system landscape and consolidate all applications on a single platform.
- Employees struggled to quickly share and retrieve current information.
- They also struggled to make timely decisions while cutting costs.
- Including mergers or acquisitions is a difficult process.
- There was an increase in commodity prices, inflationary costs, and skill shortages.
- Issues with resource nationalisation and in having secured financing.
If you’re still unsure about what to do next, “Digital Transformation” is the only way to transform your company into a smart and intelligent enterprise.
Now let’s look at how SAP S/4HANA, an intelligent ERP system, can be used to address the aforementioned challenges.
RISE with SAP for Mining Industry?
Every enterprise must create new business models to avoid disruption, gain efficiencies to fund innovation, and transform mission-critical systems without putting the company at risk. Generally, organizations start digital transformations for three main reasons: Changing End-Customer Behaviour, Automated Intelligent Supply Chain and Digitalization of Construction.
Thus, RISE with SAP supports your business and digital transformation ambitions to unlock two sources of value:
- Enable value creation with differentiating business capabilities — Industry best and next practises for improving employee engagement, generating new revenue streams and maximising existing ones, increasing asset efficiency, increasing productivity and ensuring long-term viability.
- Mitigate risk, reduce cost and accelerate time to value with cloud delivery capabilities — Capabilities that improve transformation readiness, simplified consumption, increase operational resilience and lower overall TCO helps business to move to next step.
You might be wondering how RISE with SAP will help you in your transformation journey? So, let’s have a look at the advantages gained as a result of after the digital transformation.
Benefits gained after Transformation
S/4HANA assists the Mining Industries in achieving a smooth transition with numerous benefits such as:
- Reduction in maintenance costs.
- Enhanced operational efficiency as a result of increased equipment availability.
- Improved production planning and control over cash flow.
- Improve operational risk management and compliance.
- Improved handling and information consistency from procurement to plant maintenance.
To summarise, SAP S/4HANA can improve your business values with hundreds of new features and seamless functionality. Many mining engineers have taken advantage of the benefits of process mining with key SAP processes such as order-to-cash, procure-to-pay, and record-to-report.
Own your tomorrow with a guided journey and outcome-driven practices of RISE with SAP. To know more about how SAP S/4HANA or about other solutions that can help enterprises in mining industries, do get in touch with us!