How did external factors impact operations at Yokogawa in Chile during 2023?

For Yokogawa, it was a relatively normal year in terms of operations; we achieved planned objectives and performance was steady. A mix of internal and external factors influenced this. In Chile, the year was marked by political uncertainty, including debates over constitutional reform, which led to political polarization impacting the mining sector, urging us to adopt a more cautious approach. Several projects were delayed for months and remain in limbo. We also faced inflation that began stabilizing in 2023 after a challenging start at 12%. Amid these conditions, though, Yokogawa managed to maintain its market position in sales and revenue with key clients. How important is the Chilean mining sector for Yokogawa’s global operations?

Chile proudly hosts the competency center that provides technical support and assistance to other Yokogawa subsidiaries worldwide. Our team includes executives and engineers familiar with mining processes. This makes Chile an ideal center for knowledge expansion. From Chile, we are acquiring knowledge of mining processes, which enables our headquarters to gain deeper insights and secure resources for ongoing development. What is the philosophy underlying Yokogawa’s operations?

The vision of our company is to enhance the quality of human life. This vision is grounded in the understanding that improving communal, national, and individual well-being is inherently linked to environmental stewardship. Achieving this requires precise knowledge of our environmental impact—identifying, quantifying and understanding pollution sources. Yokogawa's extensive range of field instrumentation is designed to facilitate this understanding, enabling the accurate measurement of pollutants.

With this data, actions become clear. This is where Yokogawa's control systems come into play, allowing us to leverage the gathered information to optimize plant operations in a remote and automated way. This information can inform the process of management and execution to better administer resources. This approach enables not only preventive maintenance but also predictive maintenance, which is even more forward-looking. Yokogawa provides the tools necessary for implementing concrete actions that contribute to social well-being.

In today's world, where humanity is seeking solutions to environmental challenges, technology and companies like Yokogawa offer the answers. We are at the forefront of integrating artificial intelligence into our automatic control developments. Can you provide an example where Yokogawa optimized operations?

We started working in the concentrator plant of a large mining company in Chile. We installed a distributed control system to supervise and control many processes. Within this, we focused on the sag mill, which is the largest energy consumer. We developed an advanced control algorithm that predicts mill behavior, considering various inputs like the type of mineral, the amount of water added, and the amount of grinding media used. By adjusting these parameters, our automatic control system can regulate the mill's speed efficiently. Operating at optimal speeds reduces the consumption of water, grinding media, and, most importantly, energy. The algorithm must control dozens of variables and how they correlate in seconds. This task is impossible for a human being. What environmental initiatives does Yokogawa have?

Yokogawa has an initiative called AG2023, a three-year initiative aimed at accelerating innovative practices to reduce our carbon footprint. We are actively transitioning to sustainable practices, such as adopting electric vehicle transport and replacing traditional lighting with LED bulbs. We are now focusing on reducing our carbon footprint and enhancing our social responsibility by extending these sustainable practices to the broader community in each region where we operate.

Our actions are not just about saving the Earth; they are about preserving human existence. The planet will recover from our abuses over centuries, but without significant change, humanity may not. What are Yokogawa’s goals for the next 2 years?

Our two-year goal, which is a short time frame for a company like Yokogawa, is to move from automation to autonomy. This means that our algorithms should be able to run industrial plants without human intervention. We have already completed a yearlong trial of this in a petrochemical plant in Japan. After autonomy, we aim to have remotely operated plants. This requires high-performing algorithms with AI, deep learning, and reinforced learning. Yokogawa aims to achieve a greater presence in the mining industry, to attract new talent, and to train and develop existing talent within the company.