Contracts & Contractor Management

The mining industry is subject to numerous regulations and compliance requirements, which vary by location. Managing contracts and contractors in compliance with these regulations can be challenging and requires constant monitoring and adaptation. Supply chain disruptions, geological uncertainties and market fluctuations can all be highly disruptive in engagements with contractors and bring inherent risks.

With increasing regulations for mining companies to operate in accordance with environmental and safety standards, provisions for responsible sourcing, emissions reduction, community engagement and safe working environments need to be specified with contractors.

To simplify contracts and contractor management, which can be a complex process, many mining companies are now leveraging data analytics and machine learning to analyze historical contract and contractor performance data to make better decisions.

Key Client Challenges:

1. How can we streamline our contract management processes to reduce administrative burdens and minimize the risk of errors or oversights?
2. What digital and data & analytics tools or software solutions can help us manage contracts more effectively and provide real-time visibility into contract performance?
3. What measures can we take to enhance the security and transparency of our contracts, especially in terms of blockchain technology and smart contracts?
4. What strategies can we employ to incentivize contractors to adopt sustainable practices and align with our environmental, social, and governance (ESG) goals?
5. What best practices can we adopt to improve communication, collaboration, and information sharing with contractors, particularly in remote or diverse project locations?
6. How can we strengthen our supplier relationship management (SRM) practices to build stronger partnerships and ensure contractors are accountable for their performance?
7. What comprehensive risk mitigation strategies should we have in place to identify, assess, and mitigate potential risks associated with contracts and contractors?

Effective communication and collaboration with contractors are essential for project success. By aligning goals and expectations in contracts and engagements, especially in large and complex projects, mine operators can mitigate risks and hedge against unforeseen disruptions.

Advanced contract management software can now streamline the entire contract lifecycle, from creation and negotiation to monitoring and compliance – automating tasks, providing real-time visibility into contract performance, and reducing administrative overhead.

Our Unison Mining subject matter experts can work with your teams to streamline contractor and contract management and workflows, ensuring that inherent risks are mitigated with comprehensive contingency planning and clear lines of communication.