Dick DeStefano is the Executive Director of Sudbury Area Mining Supply and Service Association (SAMSSA). destefan@isys.ca This column was originally published in the November 2014 issue of Sudbury Mining Solutions Journal.
It is quite evident that the Northern Ontario Mining Cluster has developed as a “mature cluster” based on studies by major agencies and institutions who study this concept.
SAMSSA is 11 years old and is now one of the most sophisticated mining supply clusters globally because it continually meets all the established criteria. In many cases it goes beyond the standard definitions.
What is unique is that the model operating in Northern Ontario has four dynamic clusters working in partnership making it viable and distinct.
It all began in 1991 when Paul Krugman took Alfred Marshall’s work of 1890 and then Michael Porter’s of 1990 which popularized his manifesto called The Competitive Advantage of Nations. The concept of cluster development has a long history. SAMSSA took the best parts and implemented their own design.
The distinctiveness of SAMSSA is the four pillars that hold it together. The first pillar is the historical presence of mines that extract, mill and refine. The history of the Sudbury basin along with the gold fields in Timmins in this region have proven to be an asset.
The second cohesive part or pillar is the existence of over 500 mining supply and service companies within the boundaries of Northern Ontario. These companies provide an abundance of products and services focussed on increasing productivity and efficiencies while in proximity to the main extractive mining activity. The recent global exporting surge by member companies in SAMSSA is growing and provides a valuable experience as it expands.
The third cluster or pillar is the educational programming that reflects the need for future skill development. The existence of Cambrian College, Canadore College, College Boreal and Laurentian University with over 75 mining related programs adds value to the cluster.
The fourth pillar is the body of mining research institutions and agencies that are prevalent in the region. The Centre for Mining Excellence (CEMI) is developing deep mining studies that are globally recognized. Mirarco is well known for geomechanics, hazard assessment and risk mitigation, visualization and optimization, mining safety research, environment and sustainability and climate change adaptation. NORCAT has become a centre of mining training, innovation and incubation that encourages research and incubation opportunities.
The recent addition of the Goodman Schools of Mines at Laurentian University provides insights into innovative speakers and research that will impact the future of mining in the future.
Recent studies on Scandinavian countries conducted by Tendensor Cluster Brands entitled Cluster Branding & Marketing – A Handbook on Cluster Brand Management provides some major insights on major clusters.
One of the key messages is that most clusters fail to differentiate themselves clearly in the marketplace. SAMSSA has made every effort to establish its uniqueness with these four pillars of activity and its focus on underground mining.
The benefits of a mature cluster are the attraction to young entrepreneurial talent who want to be located in a centre where multiple opportunities exist.
A second benefit from the global perspective in the mining industry is finding a concentration of companies in one location that can solve problems as they occur. Northern Ontario has a special skill set available in underground mining that makes it attractive.
The third benefit is the ability of a company to export its products globally and understand the culture they will be working in. SAMSSA members have been building this capacity in the past few years very aggressively with a great deal of success.
SAMSSA is proud of its accomplishments and the companies it represents. This “Mining Cluster” is growing its level of expertise.
www.samssa.ca