In the modern mining industry, efficiency, safety, and operational continuity are key priorities. As mining projects become more complex, ensuring that new operations transition smoothly from the development phase to full-scale production is critical. This is where Operational Readiness (OR) and its alignment with ISO 55001 standards for asset management come into play. Both concepts provide a structured framework for managing assets and ensuring operations are prepared to deliver exceptional results.
Overview of the Mining Industry in Australia
Mining is the backbone of Australia’s economy, representing the country’s largest sector and driving substantial economic growth. According to the Minerals Council of Australia, the mining industry has generated over AUD 2.4 trillion in export revenue over the last decade, contributing AUD 252 billion in wages and AUD 143 billion in company taxes. Additionally, the sector has paid AUD 112 billion in royalties, underscoring its role in fueling Australia’s economic expansion.
Looking forward, the global demand for minerals, particularly those critical to energy transition, is driving further growth. By 2030, the world will require 50 new lithium mines, 60 new nickel mines, and 17 new cobalt mines to meet the demand for electricity storage. With global investments in mining expected to rise by US$100 billion annually to support net-zero emissions goals, it is clear that the mining sector is poised for expansion. As such, the need for robust asset management and operational readiness has never been more important.
What is Operational Readiness?
Operational Readiness is a structured process designed to ensure that the operations team has the tools, skills, and documentation needed to operate and maintain a newly completed project effectively. It begins at the early stages of project development and continues through to the post-implementation phase, ensuring that a project transitions smoothly from construction to full-scale operations.
The Operational Readiness process, based on the Project Management Institute (PMI) framework, typically includes the following phases:
By focusing on OR, mining companies can mitigate the risks of project delays during commissioning and handover, ensuring that operations are ready for a seamless start-up.
ISO 55001: The Foundation of Asset Management
ISO 55001 is the international standard that sets the requirements for a management system focused on Asset Management. Its primary objective is to help organizations manage their assets throughout their full lifecycle, ensuring they meet both the needs of the organization and its stakeholders. For mining operations, this standard is crucial as it provides a framework for managing everything from equipment and machinery to spare parts and documentation.
The key components of ISO 55001 include:
Strategic Asset Management Plans (SAMP): Long-term plans to ensure that assets contribute to organizational objectives.
Asset Management Plans (AMP): Detailed plans for maintaining and optimizing individual assets.
Risk-Based Maintenance Strategies: Focusing on reliability-centered maintenance (RCM) and failure mode effects and criticality analysis (FMECA) to ensure that assets remain operational under all conditions.
Business Continuity Plans (BCP): Preparing for unexpected disruptions to maintain operations.
ISO 55001 encourages companies to adopt a holistic approach to asset management, ensuring that every stage of the asset lifecycle, from acquisition to decommissioning, is managed with the goal of maximizing performance and reducing operational risks.
Bringing Operational Readiness and ISO 55001 Together
While Operational Readiness focuses on ensuring that projects are operationally ready to go live, ISO 55001 provides the framework to manage assets effectively over the long term. When these two frameworks are combined, the result is a highly effective approach to ensuring both immediate operational success and long-term asset optimization.
Operational Readiness Deliverables aligned with ISO 55001 can include:
OEM Manuals and Design Drawings: Ensure that operations teams have detailed documentation.
Spares Stocking and Preservation Strategies: Make sure that critical spare parts are available and properly maintained.
Asset Management Plans (AMP) and Equipment Criticality Assessments: Align operational needs with long-term asset management strategies.
Maintenance Strategies: Implement RCM and FMECA-based tactics to ensure that assets are maintained in a state of readiness.
By aligning Operational Readiness with ISO 55001, mining companies can ensure that their projects not only get off the ground smoothly but also remain operational and efficient in the long term. This alignment addresses key challenges such as:
Project Delays and Cost Overruns: Operational readiness reduces delays by ensuring that all necessary resources, information, and training are available at the time of handover.
Operational Disruptions: ISO 55001 ensures that critical assets are maintained and ready to perform, preventing costly disruptions.
Risk Management: Both frameworks prioritize proactive risk management, reducing the likelihood of unexpected failures or operational setbacks.
Practical Examples of Operational Readiness and ISO 55001 in Action
Consider a mining operation that is transitioning a new copper mine into production. The Operational Readiness process would begin during the design phase, ensuring that operational requirements such as spare parts, staffing, and training are incorporated into the project plan. During the build and test phase, the project team would work closely with operations to ensure that equipment is tested and that staff are trained on its use.
Simultaneously, ISO 55001 would guide the development of asset management plans that outline how the copper mine’s assets will be maintained throughout their lifecycle. This includes strategies for preventive maintenance, equipment criticality assessments, and business continuity planning.
By integrating these two frameworks, the mining company can ensure that its copper mine is ready for operations on day one and that it remains productive and efficient over the long term.
Key Takeaways
Operational Readiness is essential for ensuring a smooth transition from project development to operations, reducing the risks of delays and operational disruptions.
ISO 55001 provides the framework for managing assets over their full lifecycle, ensuring that they are optimized for performance and risk mitigation.
Aligning OR with ISO 55001 offers a comprehensive approach to asset management, ensuring both immediate operational success and long-term sustainability.
The mining industry, particularly in Australia, is poised for significant growth, with increased demand for minerals driving the need for more efficient and reliable operations.
By adopting Operational Readiness and ISO 55001, mining companies can position themselves for success in a rapidly evolving industry, ensuring that their operations are both ready for the future and capable of meeting growing global demand.
This alignment is more than a theoretical exercise; it’s a practical solution proven in numerous projects across the mining sector, from small-scale operations to multi-billion-dollar developments. For any mining company looking to enhance their operational performance and asset management, integrating Operational Readiness with ISO 55001 is a strategic imperative that delivers measurable results.
For a more detailed insight into how Operational Readiness and alignment with ISO 55001 can positively impact asset management in the mining sector, we invite you to explore our full presentation, developed specifically for the Mine Maintenance, Asset Management & Reliability Strategies 2024 conference. In this presentation, we delve into industry data, practical examples, and tested tools that can help your organisation ensure a more efficient and sustainable operational transition.
See more in the presentation.