Mines stand to reap major benefits from operational, financial software integration

Lorge Press Office

For mining operations, with their unique long-term budgeting, maintenance, asset tracking and spares inventory requirements as well as variances in exchange rates and commodity pricing, the control and effective management of large volumes of operational and financial information is a major challenge.

Computerisation is easing the burden with the electronic transmission of operational and financial information. Now significant progress is being made with software that enables the full integration and management of this information and its conversion into meaningful tactical mine management intelligence.

Jaco Havenga, services manager at Lorge, the national and international ACCPAC financial software reseller and solutions provider, says the accounting software package provides a solid base for the mine management process.

“However, the integration requires middleware that can be tailored to cater for the different operational systems and methodology of individual mines or mining organisations. The ability to tailor-make the solution is essential if meaningful integration of operational data into the accounting system is to be achieved.”

Havenga adds that ACCPAC offerings such as Integration Manager, Insight (a business intelligence module), Customer Relationship Management and Asset Management enable the complete integration of operational information into the ACCPAC back-office accounting system on any platform for a totally open solution.

With Integration Manager, a software tool developed by Lorge`s development arm, ACCtivity, critical management information can be presented in the format required by the individual mine or group of mines. Typically, such information, once integrated, can produce detailed comparisons of costs against revenue generated for each mine, each section or each shaft. Other key information such as total tonnages mined, total minerals extracted and mineral processing rates and costs can also be integrated and presented to mine management in formats that allow daily, weekly, monthly and annual comparisons.

“The integration and analysis of all the mine cost components, from mine administration to input costs such as labour, power, equipment and maintenance, empowers management to very quickly obtain critical information on which sound decisions can be made. This information, sourced from every operation within the mine or mining group, can be made available to management at all levels across the organisation every day or even every five minutes if circumstances demand.”

There are many benefits to such an integrated system. It caters for centralised purchasing and supplier payments, generating time, administration and cost savings. It provides rapid access to integrated operational and financial information in a central location. Powerful drilldown features allow head office to view total tonnages mined, minerals extracted and values at current prices and exchange rates against cost breakdowns for each shaft, section, mine or group of mines.

In-depth financial analysis and reporting includes the daily updating of key financial and management information as well as regional, group or individual mine performance breakdowns.

“The overall system encourages mine management and employees to be performance orientated and more productive and focused,” says Havenga. “At the same time administration costs are lowered, forecasts and projections can be made on the basis of accurate current data, inventory levels can be tightly controlled and suppliers evaluated in terms of price and performance, turnaround times improved and service levels elevated.”

Lorge operates nationally and works with some leading mining operations, including the Samancor and Delta SA owned Manganese Metal Company (MMC), based in Nelspruit and the world`s largest single producer of high-purity electrolytic manganese.

Issued by: Copywise


Established in 1986, Lorge has become the undisputed leader in ACCPAC accounting software and business solutions in Africa. Lorge`s independence and consistent expertise in the implementation, development, servicing and support of ACCPAC systems as well as the design and application of innovative solutions that provide strategic and competitive advantage, has earned it an enviable reputation in both the public and private sectors.

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