Strategies and Implementation of Web 2.0    Communication Tools to Enhance Stakeholder Engagement in the Mining           ...
Overview of Presentation• Setting the Context: The Network  Society and the Mining Industry• Web 2.0 - Interactive Interne...
Two Men and a Website•Objective: to pressure Royal Dutch Shell executives to actaccording to their Business Principles of ...
“Technology is neither good nor bad, but nor                is it neutral.”                              - Melvin Kranzberg
The Information and        Networked Society• Globalization: Collapse of Time and  Space• Network flows - between people i...
Impact of Economic Crisis on Trust• Trust in corporations has decreased • Need for continuous conversation - People must s...
Corporate - Community     Challenges in the Mining             Industry• Access to land and land title• Debates over Free,...
Societal Pressures and        Access to Information• Voluntary mechanisms - CSR and E3• Strategy based on size, visibility...
Access to Information and the      Mining Industry• ICMM Principle 10: Implement effective and  transparent engagement, co...
Overview of ResearchResearch Question:What is the impact of Web 2.0 communication technologies on the interactions between...
Objectives of the Research• To identify opportunities to increase  communication channels between mining  companies and th...
Web 2.0 - Social MediaDefinition: new generation of dynamic Internet technologies  and web designs that facilitate informa...
Characteristics of Communication                  Technologies       Web 1.0                                           Web...
Examples of Web 2.0 Tools• Wikis - collaborative software to create and edit web  pages on a common browser• Blogs (web lo...
Net Effect of Web 2.0•   More voices to be heard and listened to•   Equalization between amateurs and professional•   Incr...
Applications of Web 2.0 -                 Blogs•   I Think Mining - news and opinions on mining issues by Jack    Caldwell...
Civil Society Applications of           Web 2.0 - Blogs•   The Alliance for Appalacia - regional group providing informati...
Applications of Web 2.0 -                 Wikis•   The Responsible Miner - Wiki that has been developed to build    consen...
Applications of Web 2.0 -              Podcasts• LaFarge Cement Company - podcasts update interested parties with  stories...
Applications of Web 2.0 -           Social Network Services•   Facebook     – The Society for Mining, Metallurgy and Explo...
SME Facebook
Applications of Web 2.0 -           Videocasts• Alcoa   – Videocasting to create dialogue and build bridges     between em...
Web 2.0 and Shareholder           Engagement• Securities Exchange Act of 1934 amended to  facilitate the use of electronic...
Policy and New Media Tools•   Develop policy statements to guide employees    around how to use new media tools.Example:  ...
Benefits of Web 2.0 Tools• Awareness   – Raises awareness   – Increases transparency and authenticity   – On-going and rea...
Benefits of Web 2.0 Tools• International   – Engages broad and international communities   – Links the company to issues a...
Drawbacks of Web 2.0 Tools• Work load/Additional stakeholder engagement  activity   – Web 2.0 dialogue does not replace fa...
Drawbacks of Web 2.0 Tools• Technological learning  – Tools are still evolving (emergence of Web 3.0)  – Tools not usually...
Information Society and the        Mining Industry“Innovation in processing of energy and matter require   innovation of i...
Conclusions• On-line communication should not replace  face-to-face interactions, but Web 2.0 tools  may support corporate...
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Strategies and implementation of web 2.0 in the mining industry

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Overview of strategies and opportunities to implement social media in the mining industry. Presented at the Summit of Mining Communities in 2009 (Butte, Montana)

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Strategies and implementation of web 2.0 in the mining industry

  1. 1. Strategies and Implementation of Web 2.0 Communication Tools to Enhance Stakeholder Engagement in the Mining Industry National Summit of Mining Communities October 14th, 2009 Zoë Mullard Dr. Dirk van Zyl
  2. 2. Overview of Presentation• Setting the Context: The Network Society and the Mining Industry• Web 2.0 - Interactive Internet Tools• Research Focus• Applications of Web 2.0 in the Mining Industry• Conclusions
  3. 3. Two Men and a Website•Objective: to pressure Royal Dutch Shell executives to actaccording to their Business Principles of honesty, integrity,openness and respect• A “gripe site” of Anti-Shell former employees andexecutives• Emotive, topical, relentless, negative commentary www.royaldutchshellplc.com/
  4. 4. “Technology is neither good nor bad, but nor is it neutral.” - Melvin Kranzberg
  5. 5. The Information and Networked Society• Globalization: Collapse of Time and Space• Network flows - between people in system, and between technological tools• Control and power demonstrated by access to information
  6. 6. Impact of Economic Crisis on Trust• Trust in corporations has decreased • Need for continuous conversation - People must see something 3-5 times before they trust it. • It is harder to gain trust because people pay partial attention •Source: www.edelman.com/ “Transparency is the new Objectivity” David Wineber
  7. 7. Corporate - Community Challenges in the Mining Industry• Access to land and land title• Debates over Free, Prior, Informed Consent (FPIC)• Obtaining and maintaining a Social License to Operate• Shareholder questions regarding performance and reputation• Conflict
  8. 8. Societal Pressures and Access to Information• Voluntary mechanisms - CSR and E3• Strategy based on size, visibility, public exposure, and controversy• Public opinion addressed in permitting process• Societal pressures do not create policy but can influence action and decisions “No one is more concerned with corporate activities than corporations themselves” (Vallentin, 2009)
  9. 9. Access to Information and the Mining Industry• ICMM Principle 10: Implement effective and transparent engagement, communication and independently verified reporting arrangements with stakeholders • Report on economic, social and environmental performance • Provide information that is timely, accurate and relevant. • Engage with and respond to stakeholders through open consultation processes.
  10. 10. Overview of ResearchResearch Question:What is the impact of Web 2.0 communication technologies on the interactions between mining companies and their stakeholders?Can Web 2.0 tools help mining companies build stakeholder relationships and increase transparency?
  11. 11. Objectives of the Research• To identify opportunities to increase communication channels between mining companies and their stakeholders• To identify impacts of Web 2.0 tools on mining industry• To develop strategies for employing Web 2.0 tools in the mining industry
  12. 12. Web 2.0 - Social MediaDefinition: new generation of dynamic Internet technologies and web designs that facilitate information sharing. • Software that allows users to generate content • Philosophy of democracy and collaboration
  13. 13. Characteristics of Communication Technologies Web 1.0 Web 2.0– static, uni-directional, – collaborative and informational interactive– information/content – aggregation of management system content– view that public was an – systems that allow amalgam of people for networking (linking, tagging) – Internet as a participatory community “Web 1.0 was commerce. Web 2.0 is people” - Ross Mayfield, CEO SocialText
  14. 14. Examples of Web 2.0 Tools• Wikis - collaborative software to create and edit web pages on a common browser• Blogs (web logs) - website providing commentary, graphics or video, usually maintained by one person• Videocasts - online delivery and sharing of video• Podcast - digital audio file downloaded through web syndication.• Social Network Services - Online communities of people who share interests and/or activities• Interactive Maps - software that allow users to integrate data points and information on maps
  15. 15. Net Effect of Web 2.0• More voices to be heard and listened to• Equalization between amateurs and professional• Increased expectations for access to information• Individuals and companies have less power to control their messages (or how they are portrayed)
  16. 16. Applications of Web 2.0 - Blogs• I Think Mining - news and opinions on mining issues by Jack Caldwell, civil and geotechnical engineer http://ithinkmining.com• Arizona Geology - news and policy reporting on geology and mining in Arizona, by Lee Allison, State Geologist and Director of the Arizona Geological Survey http://arizonageology.blogspot.com/• Sustainability Working Group - Student run blog about mining and sustainable development, linking industry and academia http://blogs.ubc.ca/miningsustainability
  17. 17. Civil Society Applications of Web 2.0 - Blogs• The Alliance for Appalacia - regional group providing information about mountaintop coal mining with goal of ending this form of mining. http://www.theallianceforappalachia.org/• Protest Barrick - website providing information on mining issues, particularly involving Barrick Gold. Reports on international campaigns and mobilization against the company. www.protestbarrick.net
  18. 18. Applications of Web 2.0 - Wikis• The Responsible Miner - Wiki that has been developed to build consensus on best practices in sustainable development and social responsibility in the mining industry www.responsibleminer.com• BASESwiki - “A Dispute Resolution Community” – Initiative by UN Secretary-Generals Special Representative on Business and Human Rights, with the Corporate Social Responsibility Initiative at Harvard Kennedy School www.baseswiki.org
  19. 19. Applications of Web 2.0 - Podcasts• LaFarge Cement Company - podcasts update interested parties with stories and news clips http://www.lafarge.com/wps/portal/8_3-Podcast• Global Metals and Mining Conferences 2008 & 2009 - provides keynote speeches and presentations, downloaded via iTunes
  20. 20. Applications of Web 2.0 - Social Network Services• Facebook – The Society for Mining, Metallurgy and Exploration (SME) - engage members, build connections, event information – Alcoa - engage graduates and interns, provide news from operations around the world, random polling• Twitter – Argentina Mining - information about mining in Argentina. – Currently has over 570 “followers” and is “following” about 519 other mining related people or organizations.
  21. 21. SME Facebook
  22. 22. Applications of Web 2.0 - Videocasts• Alcoa – Videocasting to create dialogue and build bridges between employees and management – Developed into the “Leader Dialogue Online”• Ramirez versus TSX – Embedded video displaying conflict between community and military/security intervention over mining in Ecuador (Junin Valley)
  23. 23. Web 2.0 and Shareholder Engagement• Securities Exchange Act of 1934 amended to facilitate the use of electronic shareholder forums – Real-time communications among shareholders and the companies. – Opportunities to gauge attitudes of shareholders – Builds transparency and accountability around financial management
  24. 24. Policy and New Media Tools• Develop policy statements to guide employees around how to use new media tools.Example: 1. The views expressed in the blog are made by individuals and do not necessarily represent the views of the company. 2. Respect confidentiality and proprietary information. 3. Ask a manager if you have any questions about what is appropriate to include. 4. Be respectful to the company, employees, customers, partners, and competitors. 5. Ensure that your blogging activity does not interfere with your work commitments. – Source: blogs.forrester.com
  25. 25. Benefits of Web 2.0 Tools• Awareness – Raises awareness – Increases transparency and authenticity – On-going and real time access to information and analysis of political/social issues• Dialogue – Allows you to “go to the conversation” – Builds common language – Meets public expectations for participation and allows for dialogue that can be maintained real-time – Access to new audiences/marginalized groups (youth)• Cost Effective
  26. 26. Benefits of Web 2.0 Tools• International – Engages broad and international communities – Links the company to issues and organizations internationally• Feedback Loops – Ability to gauge responsiveness of public to corporate actions• Strategic – Risk assessment of activists – Tools can be used to “measure” audience – Measure “hits”, intensity of language, follow how people navigate sites/learn about issues
  27. 27. Drawbacks of Web 2.0 Tools• Work load/Additional stakeholder engagement activity – Web 2.0 dialogue does not replace face-to-face interactions – Omnipresence of communities on the ground and in virtual spaces• Increases vulnerability – Potential loss of control over message or corporate reputation – Hard to determine authenticity and reliability of information sources
  28. 28. Drawbacks of Web 2.0 Tools• Technological learning – Tools are still evolving (emergence of Web 3.0) – Tools not usually developed for corporate use• Complicated – Requires information management systems and strategies (including exit strategy)• Geographic and cultural limitations – Limited to areas where there is high internet penetration, acculturation and literacy
  29. 29. Information Society and the Mining Industry“Innovation in processing of energy and matter require innovation of information processing and management.” James Beniger“The network economy is founded on technology, but it can only be built on relationships. It starts with chips and ends with trust.” Kevin Kelly - Wired Magazine
  30. 30. Conclusions• On-line communication should not replace face-to-face interactions, but Web 2.0 tools may support corporate-community dialogue• Share best practices around implementation of Web 2.0 tools (in North America and internationally)• Information and dialogue need to be considered resources that require proper stewardship
  31. 31. Thank you

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