About
Subscribe

With De Beers, asset management is forever

By PRAGMA
Johannesburg, 25 Jul 2003

Global diamond mining giant De Beers has adopted a formal approach to managing its assets with the implementation of AMiP, the asset management improvement plan developed by asset performance management specialist PRAGMA.

De Beers, headquartered in Johannesburg, has 11 mines in southern Africa involved in open pit, underground, alluvial and undersea diamond mining operations.

In 2000 De Beers realised the need for a more defined approach to asset management. Most of the sites had their own array of asset management initiatives in place and as a result there was minimal standardisation across the sites. There was a need to assist the individual sites with a formal understanding of asset management and to provide a standard framework within which to work.

"The most important starting point was to determine the current level of asset management at each site," says Steve Blake, asset manager at De Beers central headquarters. "Once that could be established, we needed to know how to develop sustainable and standardised asset management improvement plans for the sites."

De Beers contracted PRAGMA to conduct an audit to establish an asset management baseline and develop the AMiP for six sites in the group - Namdeb (Namibia), Orapa and Lethlakane (Botswana), Premier (Cullinan), Jwaneng (Botswana), Kimberley and Finsch (Kimberley).

PRAGMA uses an asset management framework consisting of 13 key performance areas or pillars through which an organisation can be measured and improved. Best practices have been identified for each pillar which needs to be in place to ensure asset management sustainability. The audit process identifies which practices are in place, to what extent, and how the critical practices should be implemented to improve maturity of the pillar. PRAGMA`s audit process consists of six main activities:

* Asset management sensitisation workshop;
* On-site mapping of best practices in the 13 pillars;
* Interviews with personnel;
* Verification through plant walkdowns and photographs;
* Report and recommendation preparation; and
* Feedback and AMiP planning with site personnel.

The main benefits realised through the asset management initiative adopted by central headquarters and the individual sites have been a group-wide understanding and standardisation of asset management principles. Asset managers have been appointed at each site, and regular workshops are held to improve asset management practices using PRAGMA`s AMiP methodology and framework as the foundation for reference and improvement.

"The asset management audit at Orapa has played a crucial role in raising the awareness of the importance of proper asset management processes," says Elias Thotslo, asset manager at Debswana Orapa Mine.

"Now that the baseline has been established," says Blake, "we need to move further with group-wide, and in some cases, individual initiatives. The focus for the coming year will be on performance measures, strategy management, work planning and control, and maintenance tactics."

PRAGMA is the preferred asset management partner to a wide variety of large organisations, including Tiger Brands, Nampak Tissue, Barloworld PPC and Parmalat.

"We are very proud to be associated with a prestigious organisation such as De Beers. This strengthens our position as the leading asset management consultancy in southern Africa," says Alan Tait, business development director of PRAGMA Africa.

Share