Imagine an offer where you, a mining company, are promised 5% cost savings on drilling consumables. If your supplier does not meet the promise, you only pay 20% of the going rate on said consumables. Would you be interested?
That is the core idea of the new RobitSave site audit program. Sales Director Kimmo Kangas explains the concept in more detail.
“Once we have identified and contacted a potential customer, our drillmaster visits their job site, surveys the relevant drilling tools they use, and documents their performance.
“The drillmaster does not make or recommend any changes in the setup; they merely observe and numerically records the performance: penetration rate in meters/minute, the lifetime of the tools, et cetera. Once they have collected enough data – in our pilot project, this took a week – they write a report. That concludes stage 1.
“In stage 2, we supply the customer with Robit tools for the same tasks. Up front, we charge 20% of the going rate of our products while promising 5% cost savings compared to their current supplier. And here’s the beautiful part for the customer: if we don’t reach those 5% savings – we will not charge a cent more”, Kimmo explains.
The RobitSave program was first piloted at the Kemi chromium mine – the only one of its kind in the European Union – run by Outokumpu Chrome. Kemi quarries some 3 million tons of rock yearly (two-thirds ore, one-third waste rock), and the expected remaining lifetime of the mine is 30–50 years.
The RobitSave test at Kemi covered cable bolting and production drilling consumables. As per the RobitSave contract, Robit charged 20% of the price of the goods upfront. In total, the tests at the Kemi mine took some two months.
“It went extremely well. We had all the results in black and white; our calculation chart showed undeniably that the cost-per-meter savings were way above the 5% we had promised. Our customer was positively surprised, and we could charge the remaining 80%”, Kimmo says.
The coming months and years will see the RobitSave site audit program gradually deployed across all of Robit’s markets.
Stay tuned for more news.