Transformation requires reliable data management systems

Managing Transformation Solutions chief executive officer Sue Brandt says what is required are data management systems able to capture accurate information which companies, the government and empowerment groups and other interested parties can use. She says currently many mining companies had transformation strategies that were not informed by the reality of facts on the ground.

"There are some companies who do not know the origin of their workers, where they live, level of skills, how many workers are being mentored; information which is vital in informing social and labour plans (SLPs), for example," says Brandt.

"Whether data is held in large scale data warehouses or Excel spreadsheets, the completeness, requisite detail, relevance and accuracy of the data is vital to the quality and reliability of reports, so mining companies need to capture accurate information on the state of transformation in their companies if any progress is to be made in achieving mining charter targets."

Accessing reliable data

Moreover, without accurate, complete and up-to-date data on all aspects of transformation at their operations, management is unable to make critical decisions from an informed platform pertaining to the effective use of their resources to deliver tangible and sustainable change. At best in such scenarios, investment in any area of transformation is inefficient and does not make sound business sense and at worst, targets and expectations from all quarters continue to not be met and the socio-economic environment for mining remains unstable.

Faced with the plethora of regulations in respect of transformation, the mining sector - like other industries - continues to battle with the intricacies of planning, management and reporting. A central reason behind this challenge is accessing accurate data which is reliable and comparable for both
mining companies and government or industry agencies.

The Department of Mineral Resources has set high standards for transformation in the industry, and recent months have seen a clear shift towards an implementation focus by the authorities. At present there is no consensus on figures regarding the progress in transformation between the Chamber or Mines nor government because of a lack of uniformity in reporting and accuracy of figures from mining companies.

Transformation on executive level

Companies are not only struggling with external reporting and multiple reporting formats to differing task masters, but also with internal management processes with the correct capabilities to deliver results as well as generating the right, accurate information in the right formats. 'Correct' formats are not simply those acceptable to the Regulator but must also be of value to the management of transformation delivery at operational and executive levels.

Fundamental objectives of transformation in the mining sector are the broad empowerment of previously disadvantaged groups through skills development, procurement opportunities, and the creation of sustainable livelihoods for host communities.