In mining, a good dispatch system is

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1 28 DISPATCHING AND SCHEDULING Loading and hauling at Anglo American and Xstrata s Collahuasi copper mine in Chile Photo: Adriana Potts Dispatching algorithms make decisions based on the big picture rather than an isolated incident in one part of the mine All machines that sit on the Leica Jigsaw platform integrate seamlessly with the Leica Jmineops dispatch reporting software The buyers guide to dispatching Ailbhe Goodbody presents the information you need to know when considering dispatching software and implementation for mining operations In mining, a good dispatch system is critical for several reasons. Mining can be a high-risk industry, so knowing where personnel and assets are at all times is key to running a safe operation. Dispatch systems are becoming increasingly relied on by mine sites to help optimise productivity; they can quickly account for unplanned availability of equipment to make use of the opportunity for maintenance, thus decreasing unnecessary downtime and improving asset utilisation. Dispatch provides an overview of a whole mining operation. An effective dispatch system enables a site to monitor the numerous elements that can influence the operation in real-time using software and computer processing. Without this central co-ordination, each individual supervisor would have to attempt to integrate their piece of the puzzle into the big picture on the basis of limited information. Dispatch systems replace human decision-making with a deterministic algorithm that once configured can ensure production targets are maintained. They optimise the use of resources at numerous mining locations (eg digs and dumps) and the allocation of common facilities (such as service vehicles, crib rooms and maintenance). They provide up-to-the-minute performance measures and ensures that grade blends are being attained. Dispatching algorithms make decisions based on the big picture rather than an isolated incident in one part of the mine, explains Mike Layng, operations manager at MICROMINE. This is invaluable as the number of factors influencing operational decisions is constantly increasing. The calculations and complexities associated with those factors The role of dispatching In the past few years, the development and role of software for the mining industry has grown very fast, and mining software has gradually gained greater industry acceptance. Before computer-assisted systems became the norm, dispatchers relied on the visual assessment of mine activities and conditions, made decisions based on these observations, and communicated their instructions to operators via two-way radio. Using simple spreadsheets and manual processes, field workers were not always able to capture all the necessary information related to work executed in the field. Workers would come back after the event, or at the conclusion of their shift, and try to remember what they had done or dictate the information to someone else. This process was inherently inaccurate and left operators without the ability to analyse information and respond quickly to events and unplanned outages. One of the first uses of the rationale underlying dispatching was by the Allies in World War II to support the D-Day invasion of Europe, says Stefana Vella, global marketing manager at Leica Geosystems Mining. Imagine the challenge of getting fuel supplies up to the tank squadrons! This rationale was can become overwhelming without a dedicated system in place. For example, a decision taken to improve the performance of a single loading unit may have a detrimental effect on the mine s production as a whole. A good dispatch system not only optimises the loading and haulage cycle, but also enables mines to maximise productivity across their entire operation. By knowing the real-time status of everything going on at a mine, the computer can make calculated decisions developed into algorithms that have been continually refined and improved in line with developments in communications and computer processing power. Early computer-based systems brought vast improvements to the truck/shovel routing process, but their text-based interfaces tended to be complex and difficult to learn. However, as computer technology advanced, so did computerised dispatching systems. Software, especially dispatching and scheduling software, has replaced time-consuming and inefficient manual processes with automated, step-by-step workflows that are easy to follow and integrated with asset-management systems enhancing planning around maintenance strategies and improving productivity, efficiency and safety. As software solutions are able to collect more accurate and timely data than ever before, decisions based on the solution s output are more accurate. Dispatch operators can see the mining operations in real-time, and software has generally become more user-friendly. If the technology is easier to use, it allows more workers to utilise it correctly and input information more accurately. Easier-to-use software not only decreases the training time required, but also offers miners a January / February

2 DISPATCHING AND SCHEDULING 29 shorter work cycle by inputting their information as they go, instead of after their shift. This increased efficiency has also led to more widespread adoption of automation in the mining industry. People today grow up using computer technology from an early age, so more people in a mine are technically qualified. The result is that companies today have access to more accurate production data, allowing them to control safety better and reduce the production cost per tonne. Software applications for mining are not mass market products, remarks Marks of BV International. They are more complex and expensive solutions that are usually customised for each mine, and do not change as fast as commercial software for general purpose use. Ten years ago, mines installed different local systems that were not integrated but designed to optimise different functions separately. Today, companies want an integrated system that can manage the whole process from blasting to final product shipment. Dispatching software is continuing to evolve. Lewis of Modular Mining Systems says: Systems are even becoming prevalent in smaller sites, since you cannot manage what you cannot measure. that optimise production. Real-time, in-cab feedback allows for operator self-correction and greater adherence to operational best practices. Diagnostics data allows mining companies to make measurable improvements on driving behaviour, which can result in a reduction in fuel usage, improved safety and less wear and tear on the equipment. Of course, the mine does not have to make such investments and can operate manually with mine engineers using hand-held radio communications and Excel spreadsheets, says Brian Marks, president of BV International, an authorised distributor of VIST Group products. However, experience has proven that it is more cost-effective to make continual operational investments and improvements to the mine. In the case of a dispatch system, only a computerised system can see all the processes of the mine and make the billions of calculations per second to keep the managed processes on track and optimise overall productivity. That is why a good dispatch system is a real tool to increase productivity and the mine should use the system correctly. New features such as speed tracking, proximity detection and fatigue management enable mines to create a safer working environment, comments Michael Lewis, VP for sales and marketing at Modular Mining Systems. Fleet management systems [FMSs] also provide an invaluable source of data for use in generating production reports, tracking key performance indicators [KPIs] and identifying areas that are in need of process improvement. Additionally, it is critical that field workers have the necessary skill set before being designated to a particular mine project. With a good dispatch system, operators can assign and manage field workers with the appropriate skills and qualifications in order to complete jobs in a safe and efficient manner. The workforce on a mining project is often distributed across vast distances, or in remote and dangerous locations. Highly complex and distributed equipment such as mobile mining fleet and processing facilities require a strategic approach to asset management to yield results predictably. John Benders, VP for product management with Ventyx, an ABB company, says: Ensuring that the right workers are assigned to the right jobs, at the right time, with the right resources and Dispatch systems have become increasingly user-friendly, feature-rich and technologically innovative. An example of this is Komatsu s Autonomous Haulage System [AHS]. With AHS, fleets of driverless, software-controlled trucks operate 24/7. AHS represents a new generation of mine technology, haulage optimisation and personnel safety. Over the past few years in particular, there has been a rapidly growing recognition by the mining industry of the value of FMSs. Leach of Wenco explains: Virtually all new mining developments of a reasonable size are automatically incorporating the costs/benefits of FMSs right at the project feasibility stage. The application of modern FMS has extended far beyond the historical role of dispatching or assigning empty trucks to shovels to increase productivity. A FMS has connectivity and involvement in the mining value chain from mine planning functions to mine operations (including safety), to equipment maintenance or asset management. Mine simulation software is becoming an integral component of FMSs to assist mine operators in optimising each component of the value chain, but more importantly the efficiency and effectiveness of the overall value chain. information, is not just a productivity issue; it s a safety issue as well. Additionally, an effective dispatch system can assist an operation with material blending. MICROMINE Pitram s dispatch functionality can dispatch trucks to sources and destinations based on the material properties and volumes required at a target destination, such as a finger stockpile. Future-proofing operations with a robust and proven fleet management system means that companies have the ability to adapt to and capitalise on the technological advancements that are occurring in the industry, explains Julia Leach, manager of training services at Wenco. The systems you employ today have a significant impact on your operation remaining competitive tomorrow. EFFECTIVE PRACTICES Best-practice procedures are important for any mining operation but other factors may come into play, depending on whether the project is short-term or long-term. For short-term projects, it is critical that operators obtain as much information as they can before the project begins. Benders of Ventyx says: Short-term projects will almost surely encounter new problems and unplanned workloads, but much of this frustration can be quelled with proper planning. This includes corrective work and brake-fix activities that are harder to plan for in a shorter window. Longerterm work may include equipment inspections ranging from three- to 12-month cycles, which can be factored into long-term plans and scheduling. The key function of the dispatch system is not to plan for the long term, explains Marks of BV International. The goal is to optimise production in the short term, for example per shift. The dispatch manager gets a production plan before the shift starts, and the goal is to achieve 100% of production or more by the end of the shift using the dispatch system and any optional tools available. To ensure effective dispatch practices, the system must be properly installed within the operation and customised to the Sequence locations generated with Gemcom MineSched s graphical sequencer Today, companies want an integrated system that can manage the whole process from blasting to final product shipment January / February 2013

3 30 DISPATCHING AND SCHEDULING MICROMINE load-and-haul dispatch screen The role and personnel selected for dispatching should be highly valued and receive on-going training and coaching site s needs. Layng of MICROMINE says: When management is satisfied the solution is operating effectively, the complexity of the solution can be increased. It is important that sites take a walk before you run approach to managing the system s implementation. For proper dispatching, maintenance projects should be completed in the order that they become due not according to preference. From a planning point of view, it s important to establish work programmes first and specifically schedule work around planned outages. Effective dispatching should identify actual shifts/ crews/workers closer to execution before automatically dispatching and executing. I believe the key to effective dispatching practice is the availability of accurate and holistic information in real-time, suggests Vella of Leica Geosystems. This, in turn, depends on a complex marriage of various on-board technologies, communication infrastructure, correct operator usage, computer servers and software and the skills of the dispatchers and support technicians. If system components are broken, the interface is poorly used by operators, or if communication is unreliable, then the dispatchers have an impossible job to do. Initially, dispatch is underpinned by a good installation, and by effecting the cultural change in the workforce to enable its effective use. After that, timely and effective repairs and consistent operational discipline are needed to ensure on-going availability and usage of the system. Mines need to be able to help themselves and not rely solely on vendor support. Effective dispatching also requires up-front change management to promote acceptance of the new processes among the workforce. Over time, regular training allows the full benefits of the system to be realised. Leach of Wenco says: The role and personnel selected for dispatching should be highly valued throughout the organisation, and receive on-going training and coaching. Careful attention should be paid to the selection criteria when hiring for a dispatch position. Wenco provides recommended selection criteria to clients if they are hiring personnel for that role. Once the right personnel are in the role, the next step is to map out, in as much detail as possible, the exact processes and procedures expected of the dispatcher throughout the shift. This way job tasks and decision-making tasks are universally understood. Leach adds: If all dispatchers at a mine perform their jobs the same way, all the time, a valid benchmark can be established. Once a benchmark is in place for dispatch performance, you can evaluate if particular decisions or actions are having a positive or negative impact on measurable outcomes. There are some good dispatching software solutions in the market today from a variety of manufacturers, each of which has its advantages. However, technology alone cannot solve a mine s operational problems it takes a combination of management and employee commitment, technology, processes and supervision. Lewis of Modular Mining Systems says: Mines that embrace this holistic approach to implementing solutions will reduce project risk and ultimately achieve the projected benefits faster. Marks states: A fleet management tool is not a panacea; mine engineers must still work with the tool. It is bad practice to install a fleet management system and think that it works by itself. Mining companies that are interested in implementing a dispatching system can

4 DISPATCHING AND SCHEDULING 31 Mining Magazine - WENCO-3rdPage-Jan10-13.ai 1 1/10/2013 Haul trucks queue on a ramp at Freeport McMoRan s Sierrita mine in Arizona, US look out for a number of things that signal good dispatching practice. One of the most important key indicators is that the processes, procedures, decision-making paths and standards, for both the dispatcher and equipment operator roles, are documented and universally understood. Leach of Wenco explains: The dispatcher and equipment operator role are two sides of the same coin; each task Common mistakes One mistake many companies make when implementing a dispatching system is to try to use only part of the system, or try to combine an old-fashioned way of working with an automated system. Marks of BV International says: Management need to understand that when they install a fleet dispatch system it creates a real culture change at the mine. The mine has to get all system users to buy into the new way of working. Users need to understand that the mine has to modernise and adapt or risk getting left behind. Cantin of Gemcom adds: Even today, the mining industry invests very lightly in technology relative to other industries. So when there is capital budget available, it is usually an either/ or proposition: either the mine invests in a dispatching system, or they invest in planning. Another common mistake is disregarding the need for change management during implementation this is vital to ensuring that the system is effectively utilised and operating to its maximum capacity. Because of the large range of features within Modular s IntelliMine system, many of our brownfield customers deploy the functionality in phases, says Lewis of Modular Mining Systems. For example, for many customers, phase one will consist of implementation of the base DISPATCH and ProVision Machine Guidance systems. Addition of the MineCare Maintenance Management system occurs in phase two. Finally, in phase three after the system is adopted, customers may consider adding safety modules, light-vehicle tracking, material inventory optimisation, or other options. Each phase is a project; therefore change management should be a part of each step. Greenfield sites require less change management as the processes are just being established. Another mistake that some companies make is dispatching and scheduling with little or no visibility into the work being conducted. or function for one is reflected in the other. Keeping communication clear and succinct makes it more likely you will reach your performance targets safely. Vella of Leica Geosystems says: Understanding the cost structure and doing the job properly are important to derive the business value. If you operate a mixed fleet or want some flexibility in the forward-planning, ensure you engage a Operators may have no idea how programmes are progressing. Benders of Ventyx says: It s all very well to have a maintenance schedule and dispatch work, but without visibility into how projects are progressing through the day, it s not possible to plan effectively for the rest of the day. The value in mining is all about production. Therefore, if you re taking equipment out, even if it s a planned outage, the key is to minimise the effect of this by conducting as many other related maintenance tasks as possible while that equipment is down. Another potential mistake is to undervalue the transparency provided by the system. Cantin of Gemcom explains: Failing to recognise that the computer makes a more reliable decision leaves a mine at the mercy of possible human error when making decisions. A lack of ownership is a problem that can reduce the effectiveness of the solution. It is essential that control-room operators are given the authority to make decisions on the operation and software, so companies should choose a vendor whose system allows human factors to affect the optimisation process, but that is also as automatic as possible to eliminate human error as much as possible. In terms of dispatching, many mines want to remove the human element in production and approach dispatching with an all or nothing mentality, says Cantin. There is huge value in implementing just a position-tracking system and reviewing production patterns on a second-by-second basis. Often mining companies try to dispatch too early. This is a bottom-up approach to production management; a top-down approach would be to ignore the details and implement a system such as InSite Shift Management with manual data capture. Once the value of short-interval control or shift management with short-term planning is achieved, the business case can be made for production data recording practices. C M Y CM MY CY CMY K January / February 2013

5 32 DISPATCHING AND SCHEDULING llustration from Modular Mining Systems showing trucks queuing on a haul road Good dispatching practice is letting the system make the decisions it can make, but realising where there are limitations supplier that can cater to these needs without forcing your hand. Marks advises: Look for a good provider that can work hands-on with the mine to advise how to use the system to its best advantage to increase productivity, and that can provide custom solutions and tools to solve problems on-site. System providers should be able to develop, install and maintain the entire solution themselves in-house. Choose a provider that doesn t need to sub-contract for any system components, such as wireless network, on-board equipment, fuel systems or safety systems. It is also good practice to choose a provider that will give long-term support, because without full support the mine will not get the full benefits of the system. Good dispatching practice is letting the system make the decisions it can make, but realising where there are limitations and putting measures in place to compensate, advises Stephane Cantin, product line manager at Gemcom. Most FMS providers have systems that can manage auxiliary equipment in some way. These are highly under-utilised; it is estimated that only 20% of operating mines have a dispatch system installed, and fewer than 5% of mines are trying to dispatch more than trucks and shovels. Layng of MICROMINE adds: Dispatching systems are best suited to operations with large fleets and greater dispatching complexities. In a smaller operation, a good control-room operator is generally capable of managing the dispatching. IMPLEMENTING A SYSTEM Most dispatch systems have been implemented at existing mines, and retrofitting such a system into an existing mine allows it to be rolled out gradually. The keys to implementing a dispatch system are essentially the same for greenfield and brownfield sites, with the exception of the degree of change management that is needed, explains Lewis of Modular Mining Systems. Greenfield mines have the luxury of developing and implementing processes from day one that are optimised for use Change management and the introduction of new business practices can be problematic at some sites, although this can be addressed through strong leadership and effective communication with FMS. Brownfield operations have the additional challenge of modifying engrained processes. Cantin of Gemcom comments: Most mines understand that implementing a dispatch system after the mine has started operating attracts a stronger change-management component than a greenfield site with a system in place from day one. Like any change initiative, the value proposition of dispatch technology needs to be coupled with consistent and continuous communications to all workers. Many equipment operators view the installation of on-board systems as an invasion of privacy, and with the installation of any on-board system at a mine that has already been running for many years, the mine can expect resistance from equipment operators. The integration and institutionalisation of any on-board technology into a mine s operating culture is important in such circumstances. Cantin explains: When the safety benefits of a particular technology are tabled first, operator resistance is less. This comes back to the often-overlooked value of position-tracking systems, as they deliver these safety benefits without invoking the idea of big brother. It is also important to note that position-tracking systems are less expensive than full fleet-management/dispatch systems; many dispatch systems get turned off a few years after implementation because of the cost of maintaining them. The typical implementation process includes: business process re-engineering, project management, system validation and testing, communication network modelling, system installation, change management and training. Most companies agree that change management is the key to solving the challenge of adoption of new technology and processes. Layng of MICROMINE says: Change management and the introduction of new business practices can be problematic at some sites, although this can be addressed through strong leadership and effective communication. The first step for a mine in selecting a dispatching system is to know its requirements and what it wants the system January / February

6 DISPATCHING AND SCHEDULING 35 to achieve. Jason Clarke, director of business development & technical services at Wenco, recommends: Each mine will have a different set of benefits that it is striving for or able to gain from a system. Having a clear goal in sight, and making that goal known to all parties involved, is part of the acceptance process. The work that must be conducted should be assessed and prioritised accordingly to ensure a smooth flow with scheduling and planning. A thorough, detailed technical project should be planned in advance; when this is completed, all staff will understand what they need to do, what their responsibility is and how to prepare for the installation of the new system. Mining companies should then find a Installations software vendor that is able to meet their requirements with the best technical solution, as well as provide on-going training and software support. The companies should then work in conjunction with the selected vendor to implement, maintain and continue development. It is also a good idea to invest in user training to ensure the system is used correctly and is operating at its maximum capacity. Layng of MICROMINE explains: There is nothing more rewarding for the crew in the control room than to see that they are positively impacting their shift s productivity. It can be a challenge to change the way that people think and work when they are used to using an older system; companies need to teach staff a new way to think and to use the new system. However, once management and users buy in to the new system, the real benefits to the mine start to accumulate. Part of gaining acceptance is the understanding of just how important dispatchers are, and how important it is to empower dispatchers to make decisions while incentivising them to produce results. Dedicated dispatchers can drive a dispatch system like an Indy race car, squeezing every ounce of performance from it, explains Clarke of Wenco. That race car is a powerful tool and, like most tools, when used skilfully, greatness can be achieved. There s no substitute for proper training and for time in the seat to give dispatchers the experience needed to develop their skills to a high level. VIST GROUP In the past two years, VIST Group has installed 10 dispatch systems in Russia, and the company has over 50 full systems deployed in Eastern Europe and Central Asia. The company cites the development of long-term relations with its customers as the key to its success; many of its customers operate multiple open-pit mines and have taken several systems and upgraded them or added features over time. VIST Group has installed five systems at mines for Siberian coal producer SUEK, and will install three new systems for it in In 2011, VIST completed two installations for Severstal, another major coal and iron-ore producer in Russia, and added new features in VIST Group is developing in house its autonomous Intelligent Mine Project. This consists of an unmanned truck, remote-control excavators, bulldozers and software to control the equipment and optimise the process. VIST Group says the Intelligent Mine system greatly increases safety and productivity. GEMCOM Gemcom s InSite implementation at Dundee Precious Metals Chelopech mine in Bulgaria is significant as it is underground, where FMSs are more difficult to implement and achieve economies of scale. Chelopech, an open stoping operation, is not using driverless equipment, but is still seeking to manage all task-based assignments within a system. These assignments are made against the backdrop of the mine s planning system, Gemcom GEMS. The integration with GEMS short-term planning tools makes this site unique. Gemcom recently added Rio Tinto s Ekati mine in Canada to its list of MineSched customers. Ekati is an underground diamond mine that uses a non-gemcom general mining package. This customer selected MineSched to replace its existing software because of its ease of use. LEICA GEOSYSTEMS Leica has Jigsaw systems on sites all over the world. The past year has seen the company secure contracts with many of the world s largest miners, particularly in the Asia-Pacific region. The Leica Jigsaw Positioning System (Jps) was deployed at Newmont s Boddington gold mine in Western Australia for use with its Jigsaw-enabled drills. Jps works with existing OEM systems linked in the dispatch network, ensuring that the data stream is not interrupted by signal loss. It also works with any existing GPS network in a mine, providing a seamless link to the Locata signals that maintain real-time kinematic accuracy, even in GPS black-spots. All machines that sit on the Leica Jigsaw platform integrate seamlessly with the dispatch reporting software, Leica Jmineops. MODULAR MINING SYSTEMS In the past year, more than a dozen new sites worldwide have implemented Modular s FMS. Modular s presence also increased at nearly 100 different mines, either because of expansion of the mine site, or the implementation of major new functionality to an existing system. VENTYX Several miners use the Ventyx Work Planner for day-to-day planning of work, scheduling and dispatch. New customers include Karara Mining, while established users include Compania Minera Antamina, Cliffs Natural Resources and Arch Coal. WENCO An oil-sands mine in Alberta, Canada, uses Wenco s FMS to monitor and control its production fleet with the goal of increasing operator productivity and safety, and raising dispatcher awareness and control. This mine has a specific need to calculate the blend of ore at the truck level, then dispatch trucks to meet ore quality requirements at the blend points. It is critical to maintain delivery of a predetermined blend of ore to the plant to optimise extraction of bitumen from the sands. Wenco s BenchManager, a precision GPS-based system that monitors shovel and bucket orientation, is used to track and calculate the ore blend on the trucks. Material types and qualities of each load are used in the truck assignment decisions to meet the mine s ore quality requirements. Ventyx Work Planner can be used day-to-day planning of work, scheduling and dispatch January / February 2013