Transforming and redefining mining in South Africa

DIGITAL TRANSFORMATION

Transforming and redefining miningin South Africa

Amr Kamel, enterprise director at Microsoft South Africa, presented the keynote address at a media roundtable discussing digital transformation and innovation in the mining sector. The following transcribed excerpt provided context for the discussion.

Last year, the mining industry contributed more than R360 billion to the South African economy. It employs more than half a million people. There is no doubt that the mining sector forms a significant part of the economy. However, the sector has faced challenges in recent years. These included declining output, weakening global costs, competitiveness based on the volatility of commodity prices, regulatory uncertainty, and unreliable energy supply. Amr Kamel believes modernisation of the industry is critical Combined with the impact of the Covid-19 pandemic, it becomes clear that the sector needs for South Africa’s solutions that can shift and boost it to regain its mining sector competitiveness and become a key contributor and driver of economic recovery in the wake of the pandemic. This is where the role of technology becomes very important because, for every organisation right now, these are unprecedent times. Businesses of all sizes and entire industries will need to adjust to the structural change. The coming months will be pivotal. Much has changed and many things may never be the same. But one constant is the power of technology to help people and organisations to adapt, reinvent and transform.

Allied with technology

Technology will be a key ally in rebooting enterprises. Earlier this month, we launched our mining core – our AI Centre of Excellence for Mining facility – which showcases our extensive partner ecosystem and brings emerging technologies to our customers. The launch of this Mining Core in South Africa is a testament not only to the relevance of the industry to the economy, but also to the potential to innovate and transform the sector – while also making a fundamental difference to societies within which mines operate.

Together with our partner ecosystem, we work with our customers to navigate three phases: response, recover and reimagine to help maintain continuity, remain open and create new business models in the most difficult circumstances. The reimagine phase is the mindset, one that comes from a deep understanding of challenges and opportunities people and organisations experience. Together, we need to develop an acute sense of what should be rebuilt, what should be reimagined and what should be left behind.

Mining companies are investing in advanced technology that helps them optimise operations, reduce expenditure and support sustainability measures. The Minerals Council South Africa refers to this as modernisation. It’s about improving the mine of today, while simultaneously developing the mine of tomorrow. I agree with the Council that the modernisation of the industry is critical if South Africa’s mining sector is to survive and thrive this decade.

Driving digital transformation

As only a handful of firms will hyperscale cloud infrastructure, Microsoft is in a unique position to help mining businesses to leverage digital transformation and invest in technologies that will create more operational efficiency and better engagement with customers, suppliers and partners in order to transform their business.

We are enabling digital transformation in South Africa through key investments in infrastructure, innovation and skills development to benefit all South Africans. We hope to explore and highlight the role that AI and cloud technologies can play in sustainable recovery and digital transformation in the mining sector, reimagining operations and transforming mining communities.