Assessing socio-economic benefits

Starting point

Maximising socio-economic benefits

In the early 2000s, Rio Tinto was acknowledged as an undisputed frontrunner in the emerging field of sustainable development. Yet evidence-based assessments today indicate that the company has lost its industry leadership in the field.

Rio Tinto engaged Ergo Strategy Group to help address this slippage by articulating a new framework for maximising long term socio-economic benefits across its many operating assets. Ergo was also tasked with mapping one of Rio Tinto operations against this new framework, with QIT Madagascar Minerals (QMM) selected for the exercise.

Our approach

Four-step process

The Ergo team carried the work out in four integrated steps:
(1) Consultations – interviews with Group leaders to capture insights on current and future approaches;
(2) Formulation – revisit corporate strategy and formulate new Framework;
(3) Mapping – illustrate the process by applying it to QMM; (4) Implementation – formulate a plan to roll out the framework across Business Units

The outcome

Framework for results

The establishment of a corporate framework for delivering socio-economic benefits. The framework outlined a path to deliver immediate results. It also provided guidance for practitioners at Business Unit level and laid the foundations for Group-wide rollout.

The framework built on existing thinking within the company, but also incorporated lessons and best practice from industry more broadly.