Presidential Address: Beyond effortdriven operations: Building peoplecentric operating models for mining’s future

My opportunity to serve as President of the prestigious Southern African Institute of Mining and Metallurgy (SAIMM) was made possible by an Anglo American scholarship 39 years ago—a pivotal moment that set me on a career path spanning various roles and start-up ventures in the mining industry. Over the past decade, I have been privileged to broaden my experience by consulting across diverse industries globally. This exposure revealed something profound: what I had previously considered mining-specific challenges are, in fact, universal across many sectors. At its core, a mining operation is a complex system of interconnected activities—from exploration through mining operations like drill and blast, load and haul, to beneficiation, and outbound logistics. My cross-industry work has clearly shown that diverse sectors, such as chocolate manufacturing, tissue paper production, toilet paper converting facilities, labgrown diamonds, or high-tech equipment lifecycle management, all rely on value streams of interconnected activities to transform products. The objective is to maximise throughput while effectively managing performance variability. The primary difference lies solely in the specific technical expertise required for each industry, such as chemical, mining, processing, or metallurgical engineering. Across all these industries, I have observed a consistent pattern, that is, performance is primarily driven by individual efforts, where people react and work diligently as situations unfold in real-time. General managers and their teams often operate tactically, focusing on explaining yesterday’s poor performance rather than proactively setting up operations for success. This often resembles an ‘‘under-7s soccer match’’, with everyone chasing the ball. The common response to issues is to add more ad hoc meetings. This effort-driven organisational behaviour persists regardless of whether operations are greenfield digital manufacturing facilities, advanced digital mines with advanced process control, or operations run on paper and Excel spreadsheets for data acquisition. Paradoxically, more real-time data can lead to increased data noise, greater indecision, and sometimes, lower performance. Despite value streams often operating significantly below capacity, organisations continue to invest heavily in additional equipment or in ‘‘glossy brochure promises’’ of Industry 4.0 digital technology and real-time data solutions, which frequently fail to deliver value. This leads to a critical question: Have we underinvested in our most valuable resource— people? Even Tesla faced this challenge with their underperforming fully automated Model X facility. We must shift our focus to designing the ecosystem, or operating model, of our organisations. This extends beyond the traditional triad of people, process, and technology, and moves beyond simplistic views of change management. Artificial Intelligence (AI) has the potential to add significant value, but it also introduces another layer of complexity into designing the organisation of the future. My full presidential address below at the SAIMM AGM discussed the symptoms of an effort-driven organisation and covered the fundamental building blocks and requirements of an operating model, including recommendations on implementing a people-centric approach.