Business Environment 2010

The global recession of the 1980s drove commodity prices down and intensified cost competition. The 1990s saw a restructuring of the mining industry with the survivors adopting new technology, significantly increasing workplace productivity and reducing capital and operating costs. Major changes in mining industry business strategies evolved in the late-1980s including the development of miner - supplier - manufacturer - partnerships, cultural changes in work practices and common goals between the partners to reduce the cost of production. These industry trends are putting new demands on mining machine manufacturers and dealers both on the `hard' side of the machine business, such as research and product development programs, and on the `soft' side in terms of business processes, use of human resources and communication. The paper describes several mining industry trends as identified by a large supplier to the industry, and discusses the impact they are having, and will have, on mining machine development and the provision of product support services to the industry.