Cooperate Entrepreneur, Leadership and Sustainability
Group Assignment
Cooperate Entrepreneur, Leadership and Sustainability
Mining and Technology
Erwin Muliawan: 1492896
Ivy Beurtis : 1502899
Contents
TOC o "1-3" h z u Introduction: PAGEREF _Toc116843027 h 3Corporate entrepreneurship and innovation assessment PAGEREF _Toc116843028 h 3History PAGEREF _Toc116843029 h 3The changes that have occurred over time PAGEREF _Toc116843030 h 3Approaches to entrepreneurship, creativity, and Innovation PAGEREF _Toc116843031 h 4Insights, observations etc. into the reasons for these changes PAGEREF _Toc116843032 h 4level of Entrepreneurship in the company PAGEREF _Toc116843033 h 4Insights, observations, about how the company could enhance their level of entrepreneurship PAGEREF _Toc116843034 h 4Across the companies PAGEREF _Toc116843035 h 5Differences and similarities PAGEREF _Toc116843036 h 5Insights into the reasons for these differences, similarities PAGEREF _Toc116843037 h 5
Introduction:BHP globally produces Iron ore, copper, nickel, and metallurgical coal are among the key commodities. BHP has a straightforward, diversified portfolio of high-quality, tier-one assets with affordable choices for future growth, development potential, and value creation.
Rio Tinto Group Produces Aluminumfor lightweight automobiles. Copper makes things run more smoothly, from renewable energy sources to the electricity in your home. For the steel used in our electrical infrastructure, we need iron ore. Lithium is used in battery storage and electric cars.
Corporate entrepreneurship and innovation assessment
History
The illustrious history of Broken Hill Proprietary started in a silver, lead, and zinc mine in Broken Hill, Australia, in 1851. BHP was founded in 1885 and has since been involved in the exploration, development, production, and marketing of a variety of natural resources, including iron ore, copper, oil and gas, diamonds, silver, lead, and zinc. BHP also dominated the market for value-added flat steel goods. The beginnings of Billiton can be found in a tin mine on the little-known Billiton (Belitung) island in Indonesia in 1851.
The history of Rio Tinto group, A British-European investor group headed by Scottish businessman Hugh Matheson purchases the Rio Tinto mines in Spain in 1873, builds new processing facilities, and implements new techniques that, between 1877 and 1891, enable the new Rio Tinto Company to transform an operation that had once supplied the ancient Greeks and Romans into the top copper producer in the world (Tinto, 2015).
The changes that have occurred over time
At the past, BHP was merely a company that operated a mine in Broken Hill that produced silver, lead, and zinc. However, the business later increased its operations as it grew. Beginning in 1963, BHP began oil prospecting in partnership with Esso. Later in 1991, BHP made mining history in Canada by becoming the first Australian business to discover diamonds there (Perfetto, 2018). In 2000, BHP also changed its legal status to a limited company and became public on the ASX. 2004 saw the formation of a joint venture between BHP Billiton and China and Japan. This would be the company's first iron ore joint venture with a Japanese steelmaker. The first oil and natural gas to be produced from the Deepwater Shenzi venture in the Gulf of Mexico is announced by BHP Billiton in March 2009. A worldwide corporate headquarters was inaugurated in 2013, and as BHP grows its business, even more is to come.
As it pursues major growth opportunities and initiatives, RIO Tinto Group is aiming to bring resources to market, including copper, lithium, and iron ore. The Rio Tinto Group has a sizable project portfolio and is actively exploring for seven commodities in more than 18 countries. They focus on investing in high-quality organic growth and use data and technology to improve the targeting, which helps them to uncover opportunities in areas that have already been well explored by others. Depending on opportunities, RIO Tinto Group plans to increase its growth capital to $3 billion annually in 2023 or 2024 while continuing to offer shareholders compelling returns (Lubik, 2020).
Approaches to entrepreneurship, creativity, and InnovationThe goal of the BHP Innovation Center is to boost efficiency, safety, and culture by better integrating operations on simplified platforms that take advantage of real-time data. This is a component of a bigger effort to develop, test, and apply revolutionary technologies across our operations that improve productivity and increase safety. Thanks to recent technology like acoustic equipment monitoring, they now have access to real-time information to assist us in making better judgments. The use of technology to avoid pedestrians may reduce safety incidents.
RIO Tinto Group's mining operations produce enormous amounts of data, a sea of statistics, each with its own significance. Rio Tinto employs artificial intelligence to take advantage of actionable insights to boost productivity and safety in light of the abundance of data already available. AI is capable of a variety of activities, including creating orebody models, planning equipment dispatch, and anticipating maintenance requirements (Argus, 2021).
InsightsThe global economy and business environment evolved throughout time, which had an impact on how BHP conducted business. As part of its growth-oriented strategy, BHP worked carefully and devotedly to put these improvements into place. Due to these adjustments, BHP also expanded its product range to include new services like the extraction of oil and diamonds, which increased revenue for the company.
The RIO Tinto group has consistently sought to expand its market share and has worked hard to offer the greatest grade of copper, iron ore, and battery materials. Working on this was done in order to establish a presence in the Australian market and offer shareholders enticing returns. countries migrating to electric and other minerals as their economies change in an effort to conserve oil (Lubik, 2016).
Level of Entrepreneurship In marketplaces where there is competition, some companies develop while others do not, or expand more slowly. Growth is a process that pushes a person, a firm, and its acting entrepreneurs to the limit in terms of their resources and capabilities. Similar to that situation, BHP and Rio Tinto Group were both engaged in the mining and exploration of minerals, making them equal competitors and forcing them to introduce new ideas and entrepreneurial developments that led to a struggle for market capture (Bellis, 2016).
Insights to enhance their level of entrepreneurshipThe insightand strategies of BHP's stance and pledges on climate change provide the strategy a clear direction. BHP's long-term and ongoing commitment to sustainability is outlined in their Charter and is realized through the requirements in the Requirements. Because they are dedicated to changing the world, sustainability is a core part of who we are and what we do at BHP (Shrivastava, 2020).
Modern technology is used by the Rio Tinto Group to enhance the efficiency, security, and environmental friendliness of its operations. By fusing this data with sophisticated analytics, artificial intelligence, machine learning, and automation, we are raising the safety and productivity of our company. Rio Tinto Group currently uses AI to assist our controllers in making decisions thousands of kilometers away from the operations.
Across the companies
Differences and similarities
Rio Tinto has become more technologically advanced than BHP, and the Rio Tinto group has started to employ AI to manage machines to mine out the resources, reducing the chance of labour being impacted. This is the main difference between the operations and basis of the two firms. While BHP group is somewhat lacking in this technology, it is far ahead of Rio Tinto group in securing billion dollar contracts for mining and extraction of oils and diamonds both abroad and in the home country. The Rio Tinto Group is also better at upholding safety measures as workers operate the machines by uploading software to artificial intelligence-equipped machinery.
Strong profitability, compressed value, and outstanding profitability growth in the new commodity cycle are all attractive features offered by BHP and Rio Tinto Group. Leading commodity companies like Rio Tinto and BHP Group can offer an even greater inflation hedge. Both Rio Tinto and BHP are engaged in the mining of natural resources, and they are both advancing their technologies in order to lower the cost and improve the efficiency of mined resources. Both businesses are diligently tracking their use of environmentally friendly materials and working to prevent any abuse.
Insights into the reasons for these differences, similarities
The disparities result from the fact that both BHP and RIO group concentrate on different issues and have different ideas about how services need to be delivered. RIO Group is focused on posing risks to employee health and safety, in contrast to BHP, which provides environmental safety and operates mines without harming the environment.
The similarities between the two businesses are due to their shared industry and pursuit of financial success through the mining of natural minerals.
References
Perfetto, M.C. and Vargas-Snchez, A., 2018. Towards a Smart Tourism Business Ecosystem based on Industrial Heritage: research perspectives from the mining region of Rio Tinto, Spain.Journal of Heritage Tourism,13(6), pp.528-549.
Tinto, R., 2015. Rio Tinto.MarketLine Company Profile, pp.1-36.
Shrivastava, P. and Vidhi, R., 2020. Pathway to sustainability in the mining industry: A case study of Alcoa and Rio Tinto.Resources,9(6), p.70.
Bellis, J.F., 2016. The iron ore production joint venture between Rio Tinto and BHP Billiton: The European angle of a multinational antitrust review. InEmerging Issues in Sustainable Development(pp. 221-243). Springer, Tokyo.
Argus, D. and Samson, D., 2021. BHP (G): Global Strategy and the Foreign Investment Review Board (FIRB). InStrategic Leadership for Business Value Creation(pp. 409-422). Palgrave Macmillan, Singapore.
Lubik, S. and Garnsey, E., 2016. Early business model evolution in science-based ventures: the case of advanced materials.Long Range Planning,49(3), pp.393-408.
Dunbar, W.S., Fraser, J., Reynolds, A. and Kunz, N.C., 2020. Mining needs new business models.The Extractive Industries and Society,7(2), pp.263-266.
