Matt Duxbury

Manager Infrastructure Services

01-900-PM-TEM-0013Revision 0 / 28 November 2011

Strategic, Big Picture ThinkingBut….

It’s Just Common Sense really!

YOKOGAWA USER MEETING 13-14 March 2013Holiday Inn, PERTH WA

Who are we?

• 100% Chinese owned, 60% CCMD an SOE, 40% private

• $3b CAPEX, 10Mtpa magnetite,• 25Mtpa ore feed to process• Resource of up to 8b tonnes, high grade• Utilising 280km slurry and return water

pipelines to & from export port of Geraldton,• Have all primary approvals• Owner’s committed to development, has to be

committed this year.

Located 260km from Geraldton Port

The Opportunity

• Our on/off again development has given us time to think! A luxury!

• We are interested in, – Condition based preventative maintenance– Organisational culture, how does IT systems affect people?– Common experience is a disconnect between operational

data and corporate data availability, quality & reliability, big use of private spread sheets, manual management reports etc…

• We have no corporate systems and a green field project.• Opportunity is a clean slate

• Challenge - it impacts on every part of the business and project

Executive Leadership

Employees’ experience with a business's IT&C systems, is a significant contributor to the executive team’s credibility with employees.

Solutions – Principles

Solutions – Principles

Planning – DSS Project Scope

MES SystemsBusiness

Intelligence Systems

Consistent Enterprise

Architecture and

Processes

One way to design and manage all IT

systems

Telecoms and Security

Industrial ITIntegrated IT Management

Systems

CIO accountable for ensuring compliance to a defined Enterprise Architecture and Strategy.

The Traditional Model

Industrial IT Data InputsHuman Data Entry

Business Activity

Execs and Management

Decision MakingReporting

Activity Plans

The lead-time in data mining /reporting, decision making and then activity planning is inefficient, plans are made on out-dated information.

HR

DCSERP

MES

Real Time Business / User Level Reporting with staff informed and enabled to make decisions

Real Time Business / User Level Reporting

The AIA DSS Model

Industrial IT Data InputsHuman Data Entry

BusinessActivity

Execs and Management

Planning and Guiding

Reporting

Capture data and validate at the source, input into real time customised reports for all staff to take action on according to a predefined plan.

Integrated Systems

HR PORTAL DCS ERPMES

Integrated Business Plans

Planning The Greenfield Opportunity

Traditional engineering houses don’t get it!

Specialist IT organisations are needed that cross

over ERP and the MES levels

Planning Early allows us to drive it further down into the field

devices

Selected COSOL / Empired overall

project architecture design, integration and management

Selected Yokogawa – MES, DCS and field

devices

Yokogawa Selected because of understanding of strategy and aligned to approach. Want to

be part of success.

Planning up front for an Integrated System is a business advantage for a Greenfields Project. We have the ability to do IT right the first time!

Issues to come - Contracting

• AIA’s approach to construction will be principally through the ECI approach

• Cooperative, open book, best for project in the planning design phase, leading to a risk adjusted, fixed lump sum EPC Contract

• Expect 10 to 20 EPCs over the project• Cosol and Yokogawa will be “smeared” over the

traditional D&C’s• Only a positive, cooperative approach by all

contractors will facilitate realisation of the opportunity

Conclusions

• When I tell people of our approach the response is– “Brilliant, but it is common sense!”– “Brown fields are so much more difficult”

• The difficultly will be in the breadth of impact in project development.

• Few Boards & CEO’s recognise the full strategic impact of IT and Communications to their business

• These facts make it mandatory that business IT & Communications is led from the top.