Strategic objective: comprehensive efficiency improvement programme
The programme includes a package of interrelated initiatives covering the entire production chain
Target outcomes of the programme in the short term
Strict cost controls
Keeping cash costs below the inflation rate (cash costs do not include Bystrinsky GOK and Nkomati)
Increase in labour productivity (2020 vs 2017)
Transformation of the corporate culture
Production upgrade, introduction of new production standards and processes
Introduction of practices and tools for continuous improvement
Digital transformation of industrial and management communications
Integration of efficiency improvement KPIs into the employee incentive system
Production reconfiguration, implementation of innovative management approaches
Implementation of a cutting-edge chlorine leaching and nickel electrowinning technology with a 20% increase in the nickel refining capacity at Tank-House 2 and higher recovery rates
Production
Mining- Initiatives to improve labour productivity and equipment performance
- Planning of mining operations using simulation modelling systems
- Full-scale roll-out of control systems
- Ensuring cost optimisation and higher recovery rates by fine-tuning the reagent mixes and modes of equipment operation
- Ore conversion ratio improvements through enhanced enrichment of pyrrhotite tailings at Talnakh Concentrator
- Debottlenecking across the production chain
- Accelerated processing of additional secondary resources at Copper Plant
Digitisation
- Introduction of artificial intelligence technologies, robotisation systems, and digital twins of industrial facilities
- Putting in place a digital storage layer for all of the Company's data
- Cost optimisation and debottlenecking across the value chain
New IT platform opens up opportunities for digitising core operations
IT platform
Infrastructure- 956 km long fibre optic communication line to Norilsk
- New data centres and data transfer network
- Production control
- Metal balance
- Detectors/sensors
- SAP ERP available at all sites since 1 January 2019
- 3D-modelling of mines
- SAP-based data analysis to improve reporting
- Repairs planning and control
The Digital Economy national project is becoming one of Nornickel's priorities.
We already have over one hundred big data initiatives in place. But we are not going to stop at that. Our ambition is to create a digital platform to disrupt the entire industry.
Vladimir POTANIN President of Nornickel