Sandvik Mining and Rock Technology and IBM to develop new data driven productivity and predictive maintenance offerings to the mining and rock excavation industry
A collaboration that will bring Advanced Analytics to the mining and rock excavation Industry.
Sandvik Mining and Rock Technology today announced an agreement with IBM to jointly develop market leading offerings in Data Driven Productivity and Predictive Maintenance services for the mining and rock excavation industry. Under the agreement, Sandvik and IBM will develop advanced analytics solutions to improve safety, maintenance, productivity and operational services of mining and rock excavation equipment.
The growth in onboard instrumentation and data gathering capabilities in heavy equipment are presenting natural resource industries with opportunities to employ advanced analytics and models to identify and resolve productivity issues and improve process optimization and performance. Deployment of digital technologies are expected to create as much as $100bn value to resource producing companies by 20351.
As two global leaders – Sandvik and IBM will be working together to make a clear difference in productivity improvements in mining and rock excavation companies globally. A Memorandum of Understanding has been signed with the intent to create market leading offerings in data driven productivity and predictive maintenance solutions. The two companies are already working jointly with selected customers to pilot the concept and commercialize specific solutions. The first wave of work will be done on Loaders and Trucks, connecting up to 15 units and integrating live data from multiple on- and off board systems to run the analytic algorithms.
The IBM-Sandvik collaboration will involve the use of advanced analytics, remote monitoring and cognitive technologies to allow natural resource companies to combine equipment and application data from disparate resources and automatically analyze patterns in the data to improve performance and productivity.
This combination of information services, remote data collection and data analysis will enable increased effectiveness by increasing productivity, saving cost and reducing time wastage. It helps mining and rock excavation companies make well-informed decisions regarding production plans and maintenance schedules and provides the opportunity to monitor and improve upon the general utilization levels of their equipment. This will lead to higher yield at lower cost of ore per ton. Sandvik have already seen cost per ton decreases of 20-50% with some of the latest digital technologies and with this new analytical capability aim to push that even further.
"Sandvik has been working with mining customers on mine automation and remote monitoring of machines for more than 20 years. Our OptiMine® and AutoMine® solutions are also important systems for data collection and consolidation that provide us with a great platform to get a flying start with IBM analytics solutions. So it is a natural step for us to collaborate with a company like IBM – experts in advanced analytics cognitive computing and modeling – to create even more value to our customers," said Lars Engström, President, Sandvik Mining and Rock Technology. "This collaboration fits well with our service portfolio, which is based on traditional life-cycle, enhanced technical, and business services, all of which are aligned to improve safety, secure competences for mine operations and increase our customers' productivity."
"We look forward to taking our expertise in internet of things, advanced analytics and asset management and combining that with Sandvik's years of experience in developing mining processes and machine technology to build a collaboration around innovation and delivery of smarter digital services offerings for natural resource companies around the globe," said Anders Fredholm, VP Industrial Products Industry, IBM Europe.
1 Source: McKinsey Global Institute Report: How technology is reshaping supply and demand for natural resources
Stockholm, 3 March 2017
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Sandvik is a high-tech and global engineering group offering products and services that enhance customer productivity, profitability and safety. We hold world-leading positions in selected areas – tools and tooling systems for metal cutting; equipment and tools, service and technical solutions for the mining and construction industries; products in advanced stainless steels and special alloys as well as products for industrial heating. In 2016, the Group had approximately 43,000 employees and sales of 82 billion SEK in more than 150 countries within continuing operations.
Sandvik Mining and Rock Technology
Sandvik Mining and Rock Technology is a business area within the Sandvik Group and a global leading supplier of equipment and tools, service and technical solutions for the mining and construction industries. Application areas include rock drilling, rock cutting, crushing and screening, loading and hauling, tunneling, quarrying and breaking and demolition. In 2016, sales were approximately 31 billion SEK with about 14,000 employees in continuing operations.