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Debswana Engages UK Firm To Cut Costs

Staff Writer
Debswana has roped in Alexander Proudfoot, a world-leading operational improvement firm, to streamline and cut costs throughout its operations as part of the diamond giant's Operations Review.

Alexander Proudfoot, with 64 years of global experience, specialises in helping firms improve their operational, and consequently, financial performance. The Chicago-born and London-headquartered firm has conducted similar consultancies for De Beers, BHP Billiton, Anglo Coal, Lonmin and Anglo Vaal, among others.

Officials from Debswana's Cost and Operational Efficiencies Project Team said Alexander Proudfoot teams are already on site in Jwaneng, Orapa, Supply Chain Management and Head Office.

"Each of the mining teams is handling two types of tasks: one looking at how we manage our processes at our operations and another dealing with the training and communication for executives, managers and supervisors," said a Debswana official.

"The teams are also looking at how we are currently doing what we do, the aim being to improve our tonnages whilst at the same time conserving costs.

"On the process side, the teams are looking

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at the work we do from beginning to end and analysing what we can do better and what impedes us from doing a better job."

Once the analysis is complete, Alexander Proudfoot and Debswana officials will put in place new processes and new ways of managing the processes. Under the Operations Review, Debswana will shave 607 jobs by year-end, with another 671 earmarked for possible outsourcing.

The diamond giant also plans to cut its energy usage by between 20 and 30 percent in the next 10 years, saving millions of Pula in the annual cost of electricity, fuel and other energy sources at its Orapa, Letlhakane and Jwaneng Mines.

Through enhanced operational efficiency, Debswana hopes to maximise value from the declining levels of diamond production across its mines, thus optimising revenues to shareholders and contribution to the economy.



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