Build this first: Internal Capability Foundation for Servitisation in Mining

Before you start the servitisation journey, these capabilities must be at Level 3 maturity! This article covers why organisational silos kill servitisation efforts and what to build instead. Find out why organisational silos kill servitisation (and what to build instead).

Why Organisational Silos Kill Servitisation

Most mining companies organise by function: Operations runs production, Maintenance fixes equipment, Procurement buys services, IT manages systems, Finance controls budget. Each optimises their silo.

Servitisation requires cross-functional integration. When these functions operate as separate kingdoms, every service initiative dies in the gaps between them.

Capability Maturity Requirements

Level 1

Initial

Ad-hoc, reactive, functionally siloed

Level 2

Developing

Some processes defined, coordination beginning

Level 3

Integrated

Cross-functional collaboration, systematic approach

Minimum for servitisation

Level 4

Optimising

Continuous improvement, strategic advantage

Data & Integration Infrastructure

Level 3: Integrated

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Cross-Functional Governance Model

Level 3: Collaborative

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Performance Management System

Level 3: Outcome-focused

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Workforce Capability Development

Level 3: Strategic

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Supplier Relationship Management

Level 3: Collaborative

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Change Management Engine

Level 3: Embedded

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Realistic Development Timeline

Months 0-6: Foundation Building

Assess current maturity, identify gaps, secure executive sponsorship, establish governance structure, begin workforce assessment

Months 6-12: Capability Development

Deploy data infrastructure, implement performance frameworks, launch training programmes, establish supplier engagement processes

Months 12-18: Integration & Testing

Test cross-functional decision making, validate data flows, assess workforce readiness, pilot supplier collaboration on small contracts

Month 18+: Ready for Servitisation Stage 1

Now you can start exploring service contracts with confidence that your internal capabilities can actually execute them

Most mining companies skip this foundation building

They jump straight to signing service contracts and wonder why they fail. Build the foundation first, then start the journey.