The Optimax? Program ? The Optimal Relationship For Owner/Clients To Procure Industrial Services

Mineral processing plants typically procure a range of industrial services from contractors. Their satisfaction and value received is directly affected by how the services are procured, rationalized and delivered. Conventional purchasing strategies often focus on price rather than on optimizing the service relationship between supplier and customer. The nature of this relationship may have the greatest potential to reduce costs and enhance production. It has been documented that a service involves simultaneous production and consumption. A high degree of customer involvement is often necessary for a successful outcome and the expectations and attitudes of the customer can positively or negatively affect delivery of the service. This indicates that the customer can enhance or diminish their own satisfaction and value received and the supplier cannot act alone for best results. The Optimax? Program for industrial services is a service delivery framework whereby a customer and supplier work together to raise the efficiency of the service exchange. The Optimax? Program is intended to help the customer optimize costs and maximize production by connecting the customer and supplier through shared information and objectives. This paper will review the basic nature of services, provide a couple of examples of conventional procurement strategies for services and outline the features of the Optimax? Program. A Case Study showing recent results from implementing the Optimax? Program will be included.