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AMT Case Study
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` Case Study: Yanacocha Mine Newmont Yanacocha Mine Customer Profile Newmont’s Minera Yanacocha (Yanacocha Mine), is one of the largest gold mines in South America delivering 49% of Peru’s annual gold production. It is also one of the highest at 4,100 meters above sea level. The mine is located in Peruvian Andes, some 48 kilometers north of the city of Cajamarca. It consists of five open pit mines, four leach pads and three gold recovery plants with a forth plant coming on line in 2008. The mine produces around 1.6 million ounces annually. To continually improve equipment productivity and drive down the cost of maintenance, Newmont needed a smarter approach to equipment management. Why AMT? While Yanacocha utilised an ERP (Enterprise Resource Planning) system to handle work order transactions, inventory management and basic maintenance planning, there was no easy way to produce and analyse a first principles maintenance budget. The previous method of trawling through reams of transactional data in spreadsheets was cumbersome and prone to error. To combat rising costs and quickly understand changes to budget conditions, a new approach was required. To plug the systems gap, Yanacocha management chose to implement iSolutions AMT Equipment Management Tool. AMT is integrated with Yanacocha’s ERP work order and daily planning system to create a seamless equipment management solution. Leveraging the information already held in the ERP, AMT is used to create life cycle maintenance projections for each asset. These projections are continually updated with the latest infor mation from work orders to produce a forecast of the asset’s life cycle cost. In addition, the availability and required labour, components and other resources required are included in the forecast. Graeme Elgie, Managing Director of iSolutions talks about AMT’s life cycle methodology. “This methodology forms the basis of the maintenance budget. By collecting maintenance information against each maintenance task instead of buried in work orders, you gain a much greater understanding of the performance of individual systems and components. This understanding helps maintenance managers optimise the budget, understand cost drivers and reduce the life cycle cost of the asset.” Phone +61 2 9966 9096 Email [email protected] Web www.isipl.com
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caso de estudio de implemetancion AMT
Transcript of AMT Case Study
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Case Study: Yanacocha Mine
Newmont Yanacocha Mine
Customer Profile
Newmont’s Minera Yanacocha (Yanacocha Mine), is
one of the largest gold mines in South America
delivering 49% of Peru’s annual gold production. It is
also one of the highest at 4,100 meters above sea
level. The mine is located in Peruvian Andes, some 48
kilometers north of the city of Cajamarca. It consists
of five open pit mines, four leach pads and three gold
recovery plants with a forth plant coming on line in
2008. The mine produces around 1.6 million ounces
annually.
To continually improve equipment productivity and
drive down the cost of maintenance, Newmont
needed a smarter approach to equipment
management.
Why AMT?
While Yanacocha utilised an ERP (Enterprise Resource
Planning) system to handle work order transactions,
inventory management and basic maintenance
planning, there was no easy way to produce and
analyse a first principles maintenance budget. The
previous method of trawling through reams of
transactional data in spreadsheets was cumbersome
and prone to error. To combat rising costs and
quickly understand changes to budget conditions, a
new approach was required.
To plug the systems gap, Yanacocha management
chose to implement iSolutions AMT Equipment
Management Tool. AMT is integrated with
Yanacocha’s ERP work order and daily planning
system to create a seamless equipment management
solution. Leveraging the information already held in
the ERP, AMT is used to create life cycle maintenance
projections for each asset. These projections are
continually updated with the latest infor mation from
work orders to produce a forecast of the asset’s life
cycle cost. In addition, the availability and required
labour, components and other resources required are
included in the forecast.
Graeme Elgie, Managing Director of iSolutions talks
about AMT’s life cycle methodology.
“This methodology forms the basis of the
maintenance budget. By collecting maintenance
information against each maintenance task instead of
buried in work orders, you gain a much greater
understanding of the performance of individual
systems and components. This understanding helps
maintenance managers optimise the budget,
understand cost drivers and reduce the life cycle cost
of the asset.”
Phone +61 2 9966 9096
Email [email protected]
Web www.isipl.com
`
Case Study: Yanacocha Mine
Once the base projections are built, a maintenance
budget can be quickly and easily produced with
greater accuracy than before. A process that may
have taken up to a week to complete can be done in
an hour with the ability to audit and validate of the
results.
“By performing their jobs, completing work orders
and updating the maintenance plan, the mechanics
and planners are helping complete the budget
process and improve maintenance performance.
Without a tool like AMT it would be very difficult to
produce a maintenance budget as quickly or as
accurately.” - Graeme Robinson, Mobile
Maintenance Superintendent
Once the budget is complete, there are a suite of
tools to analyse and improve maintenance
performance. One such tool is the compliance to plan
method. The compliance to plan method not only
looks at the maintenance expenditure, but also looks
at where the money was spent on a component by
component basis.
Of course the budgeting module of AMT is only one
part of a well-rounded suite of maintenance
management tools. The very task of setting up
detailed life cycle projections for assets allows users
to dynamically review the equipment strategy, review
the long term resource plans, assess the impact of
changes to the maintenance strategy as well as
determine the optimal life for assets.
These tools are built in to AMT and provide a
structured way to optimise maintenance expenditure
and improve productivity.
On the back of the success of AMT at Yanacocha,
Newmont have since deployed AMT in both the USA,
Australia and Indonesia.
Key Points Improved maintenance budget
development cycle from weeks to days
Reduce life cycle cost of equipment by
identifying cost saving opportunities
Tight integration with ERP system to
provide seamless solution
Contact iSolutions Telephone +61 2 9966 9096
Email [email protected]
Web www.isipl.com
About iSolutions
iSolutions is a leading provider of asset management
solutions to mining and construction companies.
Our flagship software package, AMT, utilises the
Framework® methodology and is recognised as a market
leader in maintenance management, life cycle costing,
budgeting and maintenance strategy optimisation.
Established in 1997, we specialise in providing mining
companies, OEMs, dealers and contractors with the know-
how, processes, systems and training to achieve Asset
Management Excellence.
Our solutions are used across mining and construction
assets to improve equipment uptime and long term
productivity, and to reduce life cycle costs.
With offices in Australia and South Africa, we have a
proven track record managing large, global projects.
Our blue chip customers include; Caterpillar Dealers,
Newmont Mining, Downer EDI Mining, Newcrest Mining,
Komatsu, Wesfarmers, Glencore and BHP Billiton.
