JUNE 2006
looking for ways to cut expenses,
improve recruiting and use fewer
people—all while keeping the project
on schedule.
Those ideas included tapping additional suppliers who might offer better
prices, building some structures and
having some processes done offsite to
reduce onsite man-hours, and aggressively
recruiting laborers from around the
country and Puerto Rico.
The effort went far to solidify the
client and contractor partnership.
“Newmont saw we had a proactive
plan to mitigate risks and it provided
them with options,” Mr. Gerspacher
says. “Because we came to them with a
basis for what we were requesting and
because we were able to show them how
we would be able to keep the project on
schedule, they were receptive. That was
a crucial step in building trust.”
The talks also included DTE Energy,
the engineer and eventual plant operator
for Newmont—further enabling the
team to meet its goals and handle risks
as they arose, adds Mr. Hevelone.
Each week, a leadership team met
offsite for dinner. Gathering for a meal
away from the pressures of the job gave
project leaders from each company a
chance to share their concerns and offer
suggestions—without the need to soften
the blow.
“It was a time for honest, frank discussions, which is something I’ve never
25
The percentage
of Newmont’s
total operation
costs that went
to paying the
power bill before
the revamp
