Achieving Superior Delivery of Capital ProjectsAccenture global survey of the metals and mining industries

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Contents

Executive summary 4

Key survey findings 6

Leading performers’ attributes and advantages 10

Five recommendations for effective project delivery 14

Conclusion 22

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Mining and metals companies have seen unprecedented growth in capital projects investments due to rising commodity prices, with metals and mining expenditures peaking at more than $140 billion1 in 2012.2 Even with a recent downturn in commodity prices, investments will remain based on long-term demand for minerals and metals, which continues to be driven by economic growth and social development throughout the world. An estimated $1.5 trillion is projected to be spent globally on metals and mining projects through 2025.3

Projects are growing in scale and complexity, based on geological factors, the remoteness of project sites, limited available talent, construction labor constraints and increasing infrastructure requirements. Expectations of superior safety and a focus on environmental concerns will continue to grow regardless of location, but country risks will rise as companies carry out the search for minerals to higher-risk regions. Host-country expectations on local content and investor expectations are intensifying the sustainability focus. In addition, price volatility during project execution can abruptly change cash flows and market perceptions on the rate of return/value of a project.

This unprecedented scale, along with the innate complexity of capital projects in the mining and metals industries, leads to the question: How can capital projects delivery be improved? To answer this question, Accenture interviewed executives from these industries about key challenges and methods to improve outcomes.

An overwhelming majority of respondents, 78 percent, consider effective capital project delivery to be critical for high performance. Respondents indicate, however, their companies are not delivering consistently against their own targets. Less than a third adhere to approved budgets (within 25 percent) for all projects, with less than a fifth reporting completion within 10 percent of costs for all projects, signifying that going over budget is a persistent problem.

Accenture identified a group of leading performers, roughly a third of the sample size. Leading performers are defined as yielding predictable projects that meet the designed operating parameters safely, on budget and on time. Ninety percent of leading performers cite effective capital projects delivery as critical to meeting operating needs and financial expectations, compared to 71 percent of companies in the rest of the sample. Additional characteristics are shown in Figure 1.

Thirty percent of leading companies indicate having well established project delivery organizations, based on proven delivery processes, as compared to 10 percent of others. This finding, however, indicates that the majority of all respondents’ delivery processes are in need of a great deal of development.

Five recommendations for effective capital project delivery From analysis of the survey results, research and experience with clients, Accenture has identified five key areas to improve project delivery to meet cost and schedule demands, reduce risks and boost returns on investment (ROI):

1. Establish strong project governance and risk management tools.

2. Proactively manage external stakeholders’ increasing expectations for sustainability.

3. Optimize scarce talent through portfolio management, organizational flexibility and training.

4. Integrate information systems among capital projects players.

5. Accelerate operational readiness.

Executive summary

Figure 1. Ways in which leading performers stand out.

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This report is based on primary research conducted by a third-party firm on behalf of Accenture. Thirty-one interviews were conducted with executives in the metals and mining industries between February and May 2012. Survey interviewers conducted a phone survey with executives in North and South America, Europe, South Africa, India, Russia and China. All respondents were C-level executives and decision makers or influencers regarding decisions related to management of capital projects in their organizations.

Accenture defines a capital project as a long-term investment, usually exceeding $50 million, involving either greenfield or brownfield projects. For this survey, Accenture focused on delivery of major assets costing at least $1 billion to build and taking more than a year to deliver. Survey respondents cited a wide range of projects that fit the survey criteria (Figure 2).

To gain insights on leading practices, Accenture also looked at characteristics of companies that self-reported higher scores for capital project delivery.

About the research

Figure 2. Distribution of capital projects for mining and metals companies surveyed.

Respondents could mention more than one category.

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Portfolios and performance trends Capital project delivery is critical for superior performance… An overwhelming majority of survey respondents, 78 percent, consider effective capital project delivery to be critical, with an additional 19 percent deeming it important.

…but companies are not consistently delivering valueA majority of respondents concede they are not delivering consistently against their own targets (Figure 3). For all projects, only 17 percent deliver the expected business value of all new projects. However, more than two-thirds (69 percent) of respondents report obtaining the expected value for the majority of capital projects.

Delivery consistency is a major issue. Less than one-third adhere to approved budgets (within 25 percent) for all projects, with less than one-fifth of respondents report being within 10 percent of costs for all projects. Given the scale of capital investments projects, the implications are huge.

Portfolios are expected to increase in size and complexityAs stated earlier, complexities on projects are due to the remoteness of the sites and added infrastructure components, which in many cases include significant earth works, roads, ports and power plants.

More than two-thirds of respondents indicate projects will grow larger, and 81 percent say complexity will increase.

Costs and complexity tend to be high in developed regions, partly due to heightened concerns of environmental issues. But complexity cannot be avoided in less-developed regions due to social, regulatory and political risks.

Figure 3. The majority of respondents are not consistently delivering against their own targets.

Key survey findings

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Respondents’ top priorities When asked about their organizational priorities in the next three years, the top four for optimizing capital project management concern (Figure 4):

• Availability of the right leaders and talent for project delivery.

• Front-end loading and scheduling.

• Start-up readiness.

• Effective stakeholder engagement.

Top priority: availability of the right leaders and talent for project deliverySeventy-two percent of executives interviewed identified talent shortages as a major concern in the next three years. In a related survey question, 90 percent view talent as a major concern in the next five years.

Attracting and retaining talent has become a major issue. In developed regions, the workforce is aging, and the metals and mining industries have had difficulty competing with the high-tech industry and high-growth sectors for top college graduates.

With projects in remote areas, the capability to attract and retain key talent, like project directors, has been difficult. Burnout and time away from home have created havoc in retention of needed personnel, which undermines project management skills. High rates of turnover also undermine the ability to deliver projects up to expectations.

Figure 4. Top priorities in the next three years.

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Respondents plan to address talent shortages through a variety of measures, including turnkey contracts for engineering, procurement, construction (EPC) companies, tactical sourcing through staff augmentation partners, and development of internal resources (Figure 5).

In response to another talent-related question, slightly less than half of respondents (48 percent) indicated they have considered using information technology (IT) to offshore or outsource engineering services. Roughly one-third have considered outsourcing back-office administrative tasks (35 percent) and project management (32 percent).

Second priority: front-end loading and schedulingImproving planning and scheduling is the second-highest priority identified by respondents. To provide clarity on what encompasses front-end loading, also known as front-end loaded planning, a high-level diagram illustrates the key phases (Figure 9, shown on page 17).

The importance of front-end loading is reinforced by responses to another survey question, asking about what typically causes delays. Insufficient detail during the planning stage ranked third, followed by original assumptions proven incorrect or incomplete; unforeseen contractor and supplier constraints; and asset scoping/specification design changes driven by new requirements. All of these relate to front-end loading, which can take years for complex projects.

Third priority: start-up readinessImproved readiness for start-up is the third-highest priority. Making a more effective transition to operations typically calls for involving operations people in design and delivery, including operator training and additional elements to accelerate start-up and commissioning.

While technology enables successful project delivery and transition into operations, only 10 percent of respondents say their IT capabilities provide excellent levels of support. More than half of executives interviewed put IT capabilities in an average range, and 35 percent indicate the contribution of IT is in the poor range.

IT systems allow for management of data throughout the project life cycle, from planning through handover to an EPC or EPCM firm and back to the owner/operator. In terms of engineering capabilities, IT systems enable better up-front design and 3D visualization. IT also can help improve the accuracy of transferring materials quantities and specifications, and operations and maintenance (O&M) manuals, thereby enhancing control, procurement programs and overall project execution. A proper set up of IT and project management systems allows for better analytics to enhance project execution and monitoring.

Fourth priority: effective stakeholder engagementEnsuring stakeholder engagement is the fourth-highest priority for the next three years. In a related question (see Figure 6), respondents indicate they are taking steps to manage stakeholder expectations. For example, 87 percent say the project management team manages most of the internal and external stakeholders. Slightly more than two-thirds have a separate group within the project team that manages key stakeholders. Due to increasingly complex requirements, including those relating to sustainability, managing these requirements also requires greater attention so as to avoid delays.

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Figure 5. How respondents plan to cope with talent shortages.

Figure 6. Respondents indicate governance is in place to manage complex stakeholder requirements.

Leading performers’ attributes and advantages

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Accenture analysis of the survey data shows multiple attributes and capabilities set leading performers apart from other organizations. A group of leading companies outperforms the rest in meeting their own project targets on safety, environment, sustainability, cost, schedule, quality and delivery of reliable production capacity.

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AttributesHigher priority on effective deliveryNot surprisingly, companies that achieve a higher proportion of on-time, on-budget delivery for their projects assign a higher priority to project delivery capabilities and focus. Ninety percent of leading companies cite effective project delivery (in regards to established project goals of safety, environment, cost, schedule and meeting throughput design) as critical compared to 71 percent of companies in the rest of sample.

More consistent use of relevant analyticsOne-hundred percent of leaders use portfolio indicators for all projects, compared to 43 percent of the rest of the sample (Figure 7). Portfolio KPIs typically are used for managing a group of projects to take advantage of commonality of design, grouping of procurement and ensuring availability of the best execution team. KPIs for portfolio management typically drive savings and other performance improvements in these areas.

Well-developed culture Leading companies are more confident of their culture of project delivery excellence (Figure 8), and a 42 percentage-point spread separates leaders (80 percent) from others (38 percent). A well-developed culture does not rely on having a large owner’s team, but rather an effective and experienced team of project collaborators. A well-developed culture needs to be infused with capabilities in risk management, superior project management, stage-gating and peer-review processes. A strong program management office needs to integrate activities with EPCs, EPCMs and construction companies.

More mature processes Thirty percent of leaders indicate mature project management processes, as compared to 10 percent of others. While seeing their processes as relatively more mature than the overall survey group, more than two-thirds of leaders still recognize they have considerable room to develop.

AdvantagesPartly as a result of some of the attributes described earlier, survey analysis finds that the leading group experiences:

Fewer revisions in approved scheduleThe performance spread between leading companies and the rest of the sample is 31 percentage points.

Significantly fewer changes introduced during constructionA comparative analysis shows a performance spread between leading companies and the rest of the sample is also at 31 percent.

Figure 7. More systematic use of KPIs to measure project delivery.

Base: All respondents (Leading companies = 10 Rest of the sample = 21)

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Among the criteria used to identify leading performers were having abilities to deliver to cost and schedule (both within 25 percent), and having reliable production capabilities as well as quality requirements. The sample size (n=31) for considering

leading performers included nine metals and 22 mining companies. Accenture identified 10 companies as leading in capital project delivery.

Methodology for identifying leading performers

Figure 8. The project delivery culture gap.

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Five recommendations for effective project delivery

With each megaproject, billions of dollars are at stake. Accenture has identified five interrelated areas to increase the effectiveness of capital projects delivery:

1. Establish strong project governance and risk management tools.

2. Proactively manage external stakeholders’ increasing expectations for sustainability.

3. Optimize scarce talent through portfolio management, organizational flexibility and training.

4. Integrate information systems among capital project players.

5. Accelerate operational readiness.

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Multiyear capital projects have so many variables and long time spans that coming up with the perfect plan from the start is, of course, unfeasible. Strong governance is needed, along with the ability to manage risks. Project management must unify a diverse team capable of responding effectively to changes that arise.

Follow a field-tested planning tool for the validation of front-end loading activitiesFront-end loading should occur through a well-established, stage-gate phasing (Figure 9). Team members need to meet guidelines for each stage, identify gaps and address them in a peer-review process before moving to the next phase. A highly disciplined approach clarifies engineering needs, and leads to more accurate cost and schedule estimates.

Multiple methodologies for validation of the quality of the stage-gate process exist, including the Project Definition Rating Index (PDRI) for industrial projects. Independent Project Analysis (IPA), Inc., is also well known for its methodology. The choice of tool is not as important as solid commitment to follow a tested methodology.

For megaprojects, field-tested frameworks can help save hundreds of billions of dollars. A study analyzing more than 100 organizations that followed PDRI methodology, for example, showed leading companies were able to keep costs four percent below budget, compared to the rest of the sample, which went six percent over budget.

Project teams should seek an objective review of project delivery that uncovers areas where innovation could result in a better plan. The review should be done by a third-party firm with cross-industry experience and cross-capability insights.

The companies that develop the best project plans combine front-end loading with an effective risk management plan, along with more realistic productivity data and bulks/materials cost data. By taking these elements into account, a more precise project execution plan with associated contingency is created. This eliminates the typical fat that companies tend to use to address unknowns. Adherence to an established methodology will increase the likelihood of staying on budget and on schedule.

Once the proper methodology is established, an integrated project management system will allow for better tracking and monitoring of the project execution plan.

Implement a rigorous approach to risk management Assembling a cross-functional group helps to identify a wide range of risks, and the ways in which risks interact and magnify the adverse consequences. A diagnostic can help assess if an organization’s capabilities meet the level of complexity of the project.

Proactively managing risks, such as those listed in Figure 10, helps reduce the number of problems, claims and scope changes. Conferring regularly with contractors and suppliers also can help project owners manage a wide range of risks.

Align teams from the startOne important topic for discussion is getting operations and maintenance representation early on. In addition, systems need to be designed that record the correct information at the start, and enable sharing of data easily among teams, including those who will operate the asset.

Agreeing on data needs and relevant performance indicators lays a solid foundation for capital projects analytics. Analytics provide dashboards for integrated project planning, schedule control, risk management and reporting. Agreeing on data needs can also avert the time-consuming challenge of data migration from project to operations.

1. Establish strong governance and risk management tools

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Figure 10. Risk management checklist for capital projects.

Sources: IPA and Accenture experience.

Figure 9. Typical capital project phases, with the first three parts of front-end loading (FEL).

Source: Accenture

Accenture has identified the following as key areas for metals and mining companies to focus attention on in managing capital project risks.

Cost estimating and project scheduling • Poorly defined scope• Lack of effective front-end loading • Limited resources for project controls

Project economic forecast• Misalignment in expectations between

technical and commercial functions• Infrastructure access issues not considered

in forecasts

Procurement, contracting and project material logistics• Delays in procurement activities impacting

project schedule• Ineffective contracts • Supplier inability to deliver equipment

in line with project schedule and quality requirements

• Disruption in supply source

Financial and commercial management• Currency and hedging volatility not

considered • Input costs for major material cost increases

(e.g., steel) not considered

Access to strategic infrastructure• Poor planning to move products to market

via infrastructure• Lack of planning for tie-ins to existing and

future infrastructure

Scope growth and claims management• Poor definition of scope changes• Changes not well coordinated

Human capital• Shortage of engineering, management,

construction and operations people• Aging workforce • Poor planning for start-up and operations

Management of contractors• Limited resources for effective oversight

of EPC firms and contractors, who also are experiencing human capital shortages

• Difficulty of managing non-mining components, such as building infrastructure in remote areas

Production ramp-up• Failure to consider production issues to

bring products to market at early stages of the project design

• Risk mitigation of major production problems not done early enough

• Delay in setting up the IT infrastructure and applications

Global program delivery performance• Processes not in place to oversee and

manage complex projects• Treating projects separately rather than

managing them across a region or portfolio • Lack of accounting for possible claims

Legal and regulatory compliance• Unclear responsibility for obtaining licenses

and permits• Lack of attention to corruption and anti-

bribery laws • Poor follow-up on immigration and work-

permit requirements• Problematic immigration regulations to

bring in skilled labor

Health, safety, environment and community (HSEC) management• Ensure proper alignment of safety culture

and practices• Lack of proactive engagement with

stakeholders• Too little marketing of project benefits and

programs for environmental mitigation • Lack of training, which limits the

potential of creating a positive legacy for communities

• Poorly understood interface between the business enterprise and project/operational teams

• Projects not aligned with business objectives and properly controlled

• Lack of planning for extreme weather • Inadequate measures to protect

environment

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Health and safety have for many years been important concerns, but now the breadth of environmental concerns is growing. A major barrier to moving forward with capital projects is concern for sustainability.

Anticipate a broad range of environmental issues, including biodiversityLeading companies will adopt Global Reporting Initiative™ processes, which encourage disclosure of environmental and social factors. “The material aspects of sustainability give a big competitive advantage to corporations that have long practiced and built up competencies,” notes Georg Kell, UN Global Compact executive director.4

For the Ambatovy Nickel Project in Madagascar, an experienced group of more than 50 local specialists conducted a baseline survey of soil, water, flora and fauna. The project team reviewed potential impacts on people and the environment, including the nearby Torotorofotsy wetlands, a Ramsar site, denoting its significance as an important wetlands region.5

Understand local cultures and their training needsAnother part of the Ambatovy project included employment, with identification of the need to train people and optimize employment for the Malagasy population. The company in charge, Sherritt International Corporation, partnered with government, non-governmental organizations and community groups to address urbanization effects.

Publicize good works and leave a positive legacyCapital projects provide companies with prime opportunities to leave a legacy of positive change. For example, when undertaking projects in remote regions, construction of roads, ports and power systems can be attributed to mining. Rates of employment will likely be higher for decades. Executives need to do a better job of promoting positive contributions—an important part of stakeholder management and community relations. Leading companies have made gains in recent years, for example, in more efficient use of energy and water, and transferring skills to local workers.

2. Proactively manage external stakeholders’ increasing expectations of sustainability

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Since talent in a wide range of areas will be in high demand for many years, optimal management of existing resources is vital.

Deploy resources in the most strategic wayCompanies benefit by conferring regularly with contractors to find the best ways to leverage scarce talent across projects. For improved portfolio management, some companies award multiple contracts to the same EPC/EPCM company.

Not having too many projects running at the same time is essential. In addition, planning and scheduling solutions help project managers know where and when specialized talent—such as welders or electrical contractors—need to be positioned during the build.

Train the next generation of leaders It is certainly not news that the industry is losing experienced managers rapidly through retirement. The same holds true for key personnel who manage megaprojects. Hence, it is important that mining and metals companies and EPC/EPCM firms actively identify young talent who can take on these roles.

Experienced managers in the industry need to invest time in training younger candidates. This should be a mandatory requirement that mining companies should insist on when awarding contracts to EPC/EPCM companies.

Accenture recommends developing a strategic talent plan to identify and develop resources for capital projects delivery. Along with key performance indicators for retention (e.g., average time at company, employee turnover and reasons for attrition), companies can track

KPIs for attracting talent (e.g., time to fill internal positions, number of candidates with skills to match) and engaging talent (e.g., scores from employee surveys, uptake of internal training courses).

Employ smart organizational designOne of the reasons cost overruns occur is that highly paid, highly technical people perform a large amount of transactional work that could be outsourced.

Companies may choose to outsource procurement, for example, and obtain a volume discount of up to 10 percent by grouping purchases for multiple projects. Another provider might be contracted to manage order issues, bar coding and tracking, along with links for maintenance tracking, and for payments and credits.

Also consider roles that can be done remotely (e.g., from a centralized project office versus those required at a site). Tasks that must be done at the site, however, may need fly-in, fly-out (FIFO) talent—a growing trend.

Consider innovative business modelsGiven chronic cost overruns, project owners need to consider creating new models for project delivery. One Canadian mining executive, for example, questions the validity of the EPCM model. He foresees a model that brings together a few highly competent firms with distinct specialties: engineering, construction and management consulting. The model calls for seamless integration of information and communication among these key players, as well as taking advantage of the best skills of each stakeholder to meet the project goals.

The following are typical problems with the current EPCM model:

1. Shadowing of key positions between the owner, the EPCM company and the construction contractor. This leads to less than expected accountability.

2. Slow progress reporting, since data has to be consolidated between multiple parties.

3. Lack of respect for budgets, since the EPCM companies are usually working on a reimbursable times and materials budget.

4. Silos exist between the EPCM’s construction execution team and the owner’s start up and commissioning team.

5. Risks typically are tilted toward owners.

Improve productivity and safety with training Many new hires come from work in agriculture or hail from urban areas where jobs are scarce. New hires may know little about mining and construction. Consequently, behavior and culturally-based safety training needs to be produced in ways that better communicate with these individuals, taking into account their cultural, language and delivery needs.

The future lies in training simulations that familiarize staff with technical equipment prior to opening new mines and processing plants. Simulation-based operator training, as part of the project execution phase, helps to accelerate operational readiness.

3. Optimize scarce talent through portfolio management, organizational flexibility and training

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4. Integrate information systems among capital projects players

Ideally, data standards are set early on and promote integration through the project. Virtually everyone in the project life cycle needs convenient access to reliable and updated information—the most recent and accurate version of the truth.

Project progress cannot be effectively monitored if proper standards are not established and systems are poorly integrated. Rules of credit need to be established early to measure engineering, procurement and construction progress, which will then lead to more accurate progress reporting. Procurement functions, which sometimes are split between the owner, EPCs/EPCMs and construction contractors, need to be consolidated to provide better accounting and management of procured equipment and materials for projects.

Above all, the construction management functions and progress data need to be integrated with startup and commissioning tasks, so that production start dates are met.

Improve integration for speed and effectivenessIntegrated data helps project teams improve effectiveness, and a number of automated tools can help build collaboration and boost productivity.

Virtual toolsVirtual tools, including next-generation portals, help to bring project teams together, enabling collaboration, knowledge management and learning.

Knowledge managementDue to high turnover, knowledge management systems are essential. Formal processes need to be implemented and documented rather than continuing to rely on internal knowledge of people who are nearing retirement.

Performance managementIntegrated information systems and KPIs give project managers a stronger handle on the cost of mine development from region to region, and among product groupings. This data can result in leading practices, supplier rationalization and cost reduction.

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Leading performers are marginally better at making the transition from projects to operational readiness, but nearly every survey respondent has room for improvement.

To avoid rework and delays, organizations need to assess, approve and communicate changes to relevant parties before proceeding. Margin loss of up to 30 percent can be avoided by supporting high production levels from initial operations.

Conduct operator training in parallel with constructionOperator training ideally should be conducted ahead of the early stages of start-up and commissioning functions during the intermediate-to-final stages of construction. As noted in the Recommendation section on managing scarce talent, simulations use advanced technology to give operators a realistic look at what they will be doing on day one.

IT capabilities used in up-front planning ideally support more efficient commissioning. When people from operations are brought in to give input to design and delivery during planning, they take greater ownership in the new assets under development.

Eliminate manual processes whenever feasibleChecking equipment for the purposes of commissioning provides an example of how manual procedures slow down the process, adding to costly delays. Technicians tend to manually enter data onto sheets that is manually re-entered into a system at the site office, and then manually checked against drawings. By segregating technical from transactional activities, project teams can implement more remote services to make better use of scarce talent at the site.

5. Accelerate operational readiness

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Throughout the project life cycle, keep the end objective in mind Comprehensive approaches are required to manage the increasing scale and complexity of capital projects. The traditional project management focus needs to be broadened well beyond aspects of engineering and procurement. Today’s projects call for increased focus on governance, human capital strategy, and integrating information systems with business partners and operations. Given the severe talent squeeze, finding the best resources to execute a company’s capital projects is critical, and coordination among all partners is essential given the cost and complexity of multibillion-dollar projects.

Mining and metals companies need robust solutions. It helps to look at vast projects with the end in sight, and then methodically break them into sub-projects that can be managed in pieces to address the risks at each stage. At a high level, some of the ways to do this include improving front-end loading, addressing project gaps and monitoring the project after objective peer reviews. A strong project management organization is essential for megaprojects with multiyear horizons.

Addressing cost and time objectives of capital projects is a prime opportunity to achieve competitive advantage. Ideally, capital projects should be run as high-stakes businesses with targeted objectives, clear delivery strategies and careful monitoring to track progress toward high performance.

Conclusion

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Reference1 Figures in $US unless otherwise noted.

2 Accenture Research, © 2012 Capital IQ.

3 Industrial Info Resources, Oxford Economics.

4 “Global Operating Models for Mining Companies,” Accenture, November 2010, www.accenture.com.

5 Sherritt. Environmental Assessment Ambatovy Project Summary,- January 2006, page 31. www.sherritt.com

About the authors

José J. Suárez is the managing director for Accenture’s North American Mining industry group. He has more than 25 years of experience in engineering, procurement and construction (EPC); engineering, procurement and construction management (EPCM), and start-up and operations of major industrial plants for the mining, the power (coal-fired, combined cycle, and gas-fired), the pulp and paper, the oil and gas and the cement industries, and business/corporate management. In the mining sector, Mr. Suárez has worked on copper, nickel, alumina, iron ore, steel, gold, potash, and titanium projects/operations. His experience spans program management, business process management and capital projects around the world.

j.suarez@accenture.com

Amy M. Callahan is the managing director of Accenture Capital Projects Services. Based in Denver, Ms. Callahan has more than 14 years of experience as an industry and functional executive and consultant to the Resources industries across capital projects and operations.

amy.m.callahan@accenture.com

John E. Lichtenstein is the managing director of the Accenture Metals industry group and also leads the Accenture Natural Resources group (metals, mining, forest products and building materials) for the Asia Pacific region. Based in Beijing, Mr. Lichtenstein has more than 25 years of experience as an industry executive and consultant to the global metals and mining industries.

john.e.lichtenstein@accenture.com

Special thanks to other contributors

James Arnott

Rachael Bartels

Paul Bjacek

Michael Grady

Matthew Govier

Khayyam Jahangir

Segran Pillay

Charlotte Raut

Carmen Uys

About Accenture

Accenture is a global management consulting, technology services and outsourcing company, with 257,000 people serving clients in more than 120 countries. Combining unparalleled experience, comprehensive capabilities across all industries and business functions, and extensive research on the world’s most successful companies, Accenture collaborates with clients to help them become high-performance businesses and governments. The company generated net revenues of US$27.9 billion for the fiscal year ended Aug. 31, 2012. Its home page is www.accenture.com.

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This document is produced by consultants at Accenture as general guidance. It is not intended to provide specific advice on your circumstances. If you require advice or further details on any matters referred to, please contact your Accenture representative.

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