"It is never to late to be what you might have been."
The mining and mineral industry is highly fragmented, composed of many small firms serving local geographical markets. The majority of the demand for the industry is driven by spending from the construction and agricultural industries. Mines and quarries often open and close in relation to submission and completion of construction and highway projects. It is not uncommon for companies to abandon mines and quarries. However, many places have environmental regulations in place to control the condition the mines and surrounding areas are left in.
Larger companies generally have greater production volumes and support larger projects such as highways. They often experience some economies of scale, mostly in purchasing and administrative systems. Smaller companies typically own a single mine and compete only in a local market focusing on superior customer service. It is also not uncommon to see higher transportation costs than market value of the products being carried in the mining industry, subsidy often accomodates this.
Key issues affecting the mining and mineral industry include:
- Need for network optimisation
- Ineffective distribution methods
- Excessive waste
- Need for operational re-engineering
At Global Supply Chain Group our top-tier staff of operational engineers and supply chain experts will solve these and any other issues you might be experiencing in the mining and mineral industry.