Repeatable Brand Strategy: How successful brands are outmaneuvering the compe...
Supplier and Sourcing Strategy - Optimiza
1. 1
Commodity
Sourcing
Strategy
Field
Project:
Copper
By:
Chris
Messer,
Jenna
Palek,
Kevin
Patterson,
Clara
Penington,
and
Jake
Sims
2. 2
Table of Contents
Executive Summary
...............................................................................................................................................................
3
Part I
.......................................................................................................................................................................................
5
Company: Description of Optimiza, S.A.
..............................................................................................................................
5
Strategy
..............................................................................................................................................................................
5
Commodity: Copper
...........................................................................................................................................................
6
Part II
.....................................................................................................................................................................................
7
Commodity Analysis
..........................................................................................................................................................
7
Part III
....................................................................................................................................................................................
9
Key Potential Suppliers
......................................................................................................................................................
9
AngloAmerican
..............................................................................................................................................................
9
Freeport McMoRan
......................................................................................................................................................
11
CODELCO
...................................................................................................................................................................
12
Part IV
..................................................................................................................................................................................
14
Recommendations
............................................................................................................................................................
14
Alternative 1: Expedite/Improve Addition of Consulting Branch
................................................................................
14
Alternative 2: Phase Out CODELCO, Phase in Anglo American and other non-Chilean Suppliers
............................
14
Alternative 3: Create Recycling Incentive to Reuse Old Metals
..................................................................................
15
Recommended Alternative
...........................................................................................................................................
15
Exhibits
................................................................................................................................................................................
17
Exhibit 1.1
........................................................................................................................................................................
17
Exhibit 1.2
........................................................................................................................................................................
20
Bibliography
........................................................................................................................................................................
25
3. 3
Executive Summary
In this report, our team will cover the comprehensive research we did into the copper commodity on
behalf of the company Optimiza. We have structured our report in such a way that it can be interpreted and
used by anyone regardless of his or her prior knowledge of the commodity of copper or Optimiza. We begin
with an introduction to the company, followed by an evaluation of our commodity, then we evaluate two of
Optimiza’s existing suppliers as well as a third potential supplier, and finally we provide recommendations
based on our findings. We began our research by reviewing what exactly Optimiza does as a company and what
they hope to accomplish. By first obtaining an understanding of the company’s foundations and goals, we were
better able to direct and constrain our research to sourcing alternatives that would be most feasible for
Optimiza’s existing corporate and operational structure. Next, we took a look at the current commodity market
for copper. We took into account where the largest deposits of copper are located, how copper is mined, and the
common ore standards for copper, and the level of market competition in the copper industry. In addition to
exposing us to a number of potential suppliers, this research helped us to obtain a more holistic understanding
of our commodity, its relative volatility, and how market behavior will affect the future sourcing opportunities
for Copper.
In addition to the research on Optimiza and the copper commodity market, we researched three different
suppliers of copper, CODELCO—their current primary supplier, Anglo- American—one of their smaller
suppliers, and Freeport McMoRan—whom they are not currently buying from. In particular, we focused on
what unique qualities each company could offer Optimiza and how we anticipated the supplier being able to
accommodate Optimiza’s future growth. We paid special attention to the growth capabilities of these suppliers
and how efficiently we anticipated them being able to serve the quality requirements that Optimiza values most.
Optimiza is currently experiencing tremendous growth as a company; rather than focusing on ways to increase
short-term growth, we focused our recommendations on ways to make this growth sustainable and provide for
the maintenance of this growth well into the future.
4. 4
Our team had the unique opportunity to conduct an interview with Optimiza CEO, Roxana Vásquez.
Although Vásquez spoke limited English, we were able to conduct the interview via telephone in Spanish. This
gave us some direct insights not only into the founding of the company, but also the direction the company
wants to take in the future. At the conclusion of the interview, Optimiza’s CEO even expressed interest in
reviewing the conclusions of our sourcing research. It is our hope that the recommendations we have made will
be considered by Optimiza as we truly believe they can provide for sustainable and continued success for the
company.
Based on the data we have collected about Optimiza, their goals and requirements, the copper
commodity market, and different suppliers of copper, we were able to make some recommendations to
Optimiza. Our suggestions were developed with the intent of increasing Optimiza’s supply chain flexibility,
developing diverse and strong supplier relations, and creating a sustainable supply base in an increasingly
difficult commodity market, without significantly increasing costs. Although we believe all three of our final
recommendations will benefit Optimiza, in the interest of pursuing cost-saving measures while simultaneously
improving future operations we able to select one recommendation above the others that we believe would be
the best choice for Optimiza to make.
5. 5
Part I
Company: Description of Optimiza, S.A.
Headquartered in the heart of the metropolitan center of Santiago, Chile, Optimiza is an engineering and
development company led by CEO, Roxana Vásquez, and CFO, Hernán Vásquez. Optimiza’s corporate
organizational structure divides its labor force is divided into special “task forces” that include Piping,
Mechanics, Structures, Civil Works, Electricity, Instrumentation and Control, Architecture, Industrial, Security,
Risk and Environment, Project Scheduling, Project Evaluation. At any given time, Optimiza employs between
70 and 80 workers and generates annual sales of $5 million. Additionally, the company has boasted an average
annual growth rate of 35% for the past three years. .
Optimiza was founded in 2000 by three metallurgical civil engineers from the University of Concepción,
with the aim of developing a company able to offer project planning for international Chilean engineering and
mineral processing plants. Optimiza has had a global scope from its conception and has always retained a focus
on its international suppliers. The company's major clients are found in Chile (CODELCO and Minera Los
Pelambres), the United States (AngloAmerican), Australia (bhpBilliton), and Denmark (FLSmidth).
Strategy
While Optimiza’s proximity to the copper market provides competitive pricing against its international
competitors, it still must remain competitive with other engineering and project management companies in
Chile. The company maintains its competitive pricing through careful monitoring of foreign and domestic
copper markets. Optimiza holds itself to a high standard of quality. Its strategic policy is based on the concept
of continuous improvement built upon a strong commitment to quality customer service. Optimiza seeks to
deliver technically feasible and economically viable solutions that adequately meet customer requirements and
contribute to improving their competitive position, achieving relations of trust, and creating long-term
customers.
Delivery time and quality vary greatly based on client location and performance is much better for
Chilean and American clients than for Australian or European clients. In order to assess these existing supply
chain problems, Optimiza is presently investigating the addition of a consulting arm that would be responsible
for business and process improvement. Optimiza faces similar issues in concept-to-customer cycle time as it
does with delivery—with lengthier cycle times for foreign customers. In terms of corporate social
responsibility, Optimiza is committed to preserving the environment by not allowing or performing work or
actions that involve contamination or alteration of air, water or soil. To ensure this, the company has created an
Environmental Management Plan underpinned by the following principles:
o Include environmental analysis in your projects, in order to minimize the impact, consume fewer
resources (water and energy) and generate less waste.
o Establish office practices that lead to reducing the environmental impact caused by the activities
of each worker.
o Promote a responsible attitude towards caring for the environment and natural resources.
6. 6
“We are considering developing a sales force. Because in 15 years of existence we have dedicated more
to production than seeking opportunities to develop new customers. We are also considering pioneering
an area of consulting, aimed at improving business productivity.”
-Roxana Vásquez
(see exhibit 1.1 for complete interview)
Commodity: Copper
Copper is a key component in nearly every project engineered by Optimiza. Optimiza’s location in the
capital of the largest net exporter of copper in the world serves as a significant competitive advantage. Its
proximity to Chilean copper mines is its distinguishing factor for its customers. The copper purchased by
Optimiza for its engineering ventures is used primarily for piping and electrical purposes. Presently, the
company purchases its copper supplies at a rate of $3.15 per pound. All the copper procured and processed by
Optimiza is compliant with ASTM international copper standards (see exhibit 1.2). Delivery requirements and
scheduling information for the commodity are orchestrated by Optimiza, but dictated by the needs to the client.
Optimiza maintains a diverse transportation network to accommodate its international partners. The
abundance and consequent favorable pricing of copper in South America (especially Chile) reduces the
feasibility of sourcing a copper alternative. Aluminum has emerged as a potential future substitute (but is a 65%
less effective conductor than copper wire). Because a feasible copper alternative does not seem to be a reality,
there are no existing plans to move away from copper a primary sourcing commodity. Optimiza standardizes its
operations by sourcing its copper from exclusively Chilean mines. Because Optimiza does not own any of these
mines, its pricing control is somewhat limited. Volume requirements are entirely dependent on the number and
scale of the projects Optimiza is engineering at any given time. Volume can vary greatly although consumption
averages around 9 million metric tons per year. There are no projected or anticipated supply chain design
changes at this time.
“Chile is a mining country, therefore its economy depends mainly on copper, thus any global crisis,
affecting the mining market, and therefore providers of mining, acts as a kind of internal recession in the
country.”
-Roxana Vásquez
7. 7
Part II
Commodity Analysis
Copper is a metal that has been known around the world since ancient times, and it has been mined since
8,700 BC. According to the New York Mercantile Exchange, copper is the third most widely used metal in the
world today. It is a very versatile material - copper can conduct electricity, destroy germs, and is used to make
many different products. Copper is currently used to make important parts of printed circuit boards, lead free
solder, microwave ovens, wave guides, integrated circuits, electromagnets, wiring, and piping.
In order to produce copper, copper ore is mined from an open pit or from underground mines. The mine
ore is then transported to a crushing plant, where it is crushed to a smaller size and transported to the
concentrator. The crushed mine ore is ground in rod and ball mills and then sent to flotation machines, where
the copper mineral rises to the top in a froth. The material then goes to the smelter, where non copper elements
are burned off or melted. The result is 99% pure molten copper, also known as blister, which is then poured into
anode molds. It goes through electrolytic refinery, further purifying it to 99.9999% pure copper. This pure
copper can then be sent out to external customers.
The current price of copper as of November 28, 2014 was 2.96 USD/lb. This price has decreased
significantly over the past year, as the high was 3.37 USD/lb in late December of last year. The main cost
structure of a copper mine are the operating costs, financing costs, administration cost, royalties to the country
of that mine, and depreciation and amortization. Though copper has decreased in price, it is still being
substituted by cheaper products including aluminum, plastics, and fiber optics. These substitutes decreased
demand from 400,000 to 500,000 metric tons in 2012.
The copper mining industry is highly competitive between companies around the world. Mines have
limited lives, so copper mining companies seek to acquire other reserves in order to expand their business. The
mining industry has experienced significant consolidation recently. The top five companies in the mining
industry are CODELCO (Chile), Freeport-McMoRan Copper & Gold Inc (Phoenix, AZ), BHP Billiton, Grupo
México, Xstrata, and Antofagasta. Copper is highly available because it is traded on exchanges. Chile holds 10
of the largest copper mines in the world, the largest being Escondida, which contains over 32 million tons of
copper. In June 2013, output was about 1.1 million tons, or 5% of the world’s global copper production. Peru,
Indonesia, and Mexico also are major players in the copper mining industry. Only about 6.8% of the world’s
copper supply comes from the United States, and more than half of this copper is mined in Arizona.
While South America might be the largest producer of copper, most of the world’s copper ends up in
buildings and electronics in North America, Europe, and China. Those three geographic locations are all
significant producers of copper, but they don’t produce nearly enough to meet their own needs.
8. 8
Copper will
continue to be available
because of geographical
availability and industry
innovation. Copper
reserves amount to 690
million tons, and copper
resources are estimated to
exceed 3,500 million
tonnes in the future. Since
1950 there has always
been about 40 years of
copper reserves and over
200 years of resources
left. Copper recycling also
plays a role in copper availability, as about 35% of todays copper came from recycled sources. See the below
chart for historical information about the ratios of copper reserves to copper production.
9. 9
Part III
Key Potential Suppliers
AngloAmerican
One of the world’s largest mining companies, Anglo American has approximately 158,900 employees
and contractors. They mine iron, coal, copper, nickel, platinum, diamonds and more. There are a total of seven
copper mines they have interests in in South America. They fully own two mines and have large shares in four
other mines all located in Chile. They are listed on the London Stock Exchange and their operating profit in
2013 was 6.6 billion. The company is managed by a board of twelve directors headed by Sir John Parker.
Their copper production is one of their largest commodities comprising 1.7 Billion in operating profit.
They receive 29% on capital employed in their copper business and attribute 28% of their total underlying
operating profit to copper. Recent news has stated that Anglo American will be selling off some of its copper
assets in Chile valued at $1 Billion USD. This appears to partially be speculation but it should be taken into
consideration. They anticipate to produce approximately 720,000 tons of copper in 2014. This accounts for
approximately 4% of total world copper production.
Anglo American Mining Locations
10. 10
The six mines they have interests in are located in various points around Chile. They have majority
interest in three mines located around Santiago. These are Chagres, close to sea level, Los Broncos, also close
to sea level, and El Soldado, tucked higher into the mountains. In the northern part of Chile of Tarapaca resides
Collahuasi, high in the mountains, of which Anglo American owns 44%. The mines they own fully are located
much closer to sea level and also reside in the northern part of Chile. These are Mantos Blancos and
Mantoverde.
In the third quarter of 2014 ended September 30th
, Anglo produced 207,300 tons of copper. This amount
is a 15% increase since the previous quarter and with Anglo’s continued ventures into obtaining new mines this
amount is expected to increase. With regards to shipping Anglo’s mines are located incredibly close to our
company, Optimiza. Because the country is Chile, all parties are located within a few hundred miles of the
ocean allowing for ease of transport if Optimiza desired to expand their operations into foreign countries.
The risk level associated with trying to establish long term business relations is comparatively low to the
average company. To demonstrate this, a few financial ratios will provide supporting evidence.
· Current Ratio 1.934
· Debt Equity Ratio 1.067
· Gross Profit Margin 20.97%
For a large company, these ratios show that Anglo American is relatively liquid, has an acceptable amount of
debt levied against their equity, and brings in a healthy gross profit.
11. 11
Freeport McMoRan
Freeport McMoRan was chosen as a potential supplier because it is headquartered in the USA, where
Optimiza already has a strong presence. In addition to its convenient location, Freeport McMoRan is part of the
S&P 500 Stock Index and is ranked number 142 in Fortune 500 companies. Finally, it is a company in close
proximity to other current clients of Optimiza.
Freeport McMoRan is already a very prominent multinational company in the metals and mining sector.
The company was founded in 1912 as Freeport Sulphur Company in Freeport, Texas. Through constant growth
and strategic acquisitions, Freeport McMoRan has devel
oped and entered many more markets than just sulphur.
Now headquarted out of Pheonix, Arizona, Freeport McMoRan had a 2013 sales volume of about 4.09 billion
pounds of copper, which continued a growing trend, up from 3.65 billion pounds in 2012. Freeport McMoRan
employs around 36,000 people and operates 15 copper mines around the world. Seven of these mines are in the
United States, where it is headquartered, along with one in Africa, three in Indonesia, and, most importantly,
four in South America. Another major reason we chose Freeport was because it currently operates three copper
mines in Chile (El Abra, Candelaria, and Ojos del Salado). This allows easier access to mines that could directly
supply our company.
Freeport has many major customers as a result of the size and influence of the company. As a result of
its involvement in many sectors, Freeport McMoRan works with any company working with raw materials of
copper, molybdenum, gold, oil, and other commodities. As of 2013, Freeport McMoRan held an 8.8% market
share in copper production and ranked second only to CODELCO. Freeport McMoRan is a publicly traded
company, with a listed stock price of around $25. It is currently under some scrutiny with its stockholders as a
result of its recent purchase of two companies last year, but is approaching a settlement soon. The stockholders
believed that Freeport overpaid when purchasing two companies last year, and therefore, the board has worked
to supply them with a fair settlement.
Freeport McMoRan has a board of directors- led by the company’s CEO, Richard C. Adkerson- that is
comprised of 16 members who come from various backgrounds such as work in metals, oil, business, public
affairs, and others. Currently Freeport’s board is working to maintain high profits as the price of certain
commodities, including copper, are dropping worldwide. However, with its holdings, it expects its mines to
increase production in the upcoming years, which will help offset the reduction in price per pound. Optimiza
and Freeport McMoRan have not worked in the past, but it is our belief that a strategic partnership could benefit
both parties.
12. 12
CODELCO
CODELCO is the main copper producer in the world and controls 10% of the world’s copper reserves.
CODELCO came to fruition in 1976 after the Chilean state purchased most of the country’s copper reserves in
1971. CODELCO would seem to be the obvious choice since it’s the largest producer. Since it’s the biggest
producer, they are able to offer competitive prices
and reliable service. CODELCO is an autonomous
organization but state owned by the Chilean
government. In 2013, it had total sales revenue of
14.96 billion USD and employed about 19019
people. There are five principle mines in
CODELCO’s operations. The biggest of these is the
operation titled CODELCO Norte. The main mine is
Chuquicamata. Mining began in the late 19th
century. Currently, there is 182,000 tons of daily
capacity in the mine. Radomiro Tomic is located
five km from Chuquicamata and produced 379,600
tons in 2013. Also, there is the Ministro Alejandro Hales, which are mined minimally, as there are high levels of
arsenic in the ore. The second major operation is the mine in El Salvador, although production there has been
slow since the mine is not as profitable as it once was. The Andina mine is near Santiago and is planning to
raise mill capacity to 200,000 tons a day. El Teniente largest underground copper mine in the world and
contains 73 million tons of copper. The final mine is El Abra, where CODELCO is working towards 168,000
tons of capacity. CODELCO also has a part in many joint ventures and partnerships in mines around the world,
and sources some of their copper from these other companies.
In 2011, CODELCO produced 1,796,169 metric tons of fine copper. However, the company has been
facing a decline in overall production. Earlier this year, CODELCO had to cancel shipments to China this year
due to lack of production in certain mines. CODELCO is also a provider to other major markets such as
America, Europe, Korea and Taiwan. CODELCO is responsible for 32% of Chile’s copper output. CODELCO
is owned by the Chilean government, but functions autonomously. The Board of Directors is the ruling body in
CODELCO. It consists of nine members, three of which are appointed by the Chilean government, four from a
list selected by the Council of Senior Public Management, one from the Federation of Copper Workers, and one
from either the Federation of Copper Supervisors and the National Association of Copper Supervisors.
CODELCO has the backing of the Chilean government, as well as billions of dollars in investments,
assets, and mines. The company consists of mainly Chilean workers and is known for being on the forefront of
new technologies to efficiently mine copper and refine the harmful chemicals. Although they have a varied base
of mines in Chile, they cannot always react to changes in demand and production. Since copper production is
effected by many outside factors such as weather, their supply chain is not very flexible. The main methods of
transportation for CODELCO’s metals are through trains, ships, and automobiles, which are also very sensitive
to outside variables. CODELCO prides themselves on high safety standards, with only 1.39 hours per million
worked lost due to injury.
13. 13
Currently, many of the mines are not being used to their full capacities due to lacking technology and
increased difficulties with mining and ore quality. CODELCO produced 162 million tons last year, 1.5% drop,
five year low due to lower ore grades and trickier mining operations. The company has said that they expect to
increase capacity but in order to do that they will have to develop technology to help them meet that demand.
Earlier this year they had to cancel 10,000 orders to China, which shows that they cannot currently meet
demand to the extent that they have to cancel orders. The cost of CODELCO’s copper depends largely on what
copper is being traded for on the commodities market, currently at a 5 year low. The market price for copper
peaked around 2010. Currently, Optimiza uses CODELCO as one of their main suppliers and has for many
years, which is convenient due to the location of both companies. However, it is unclear if CODELCO will be
able to meet the increasing demands of Optimiza going forward.
14. 14
Part IV
Recommendations
Alternative 1: Expedite/Improve Addition of Consulting Branch
Currently the consulting branch of Optimiza is fresh and underutilized. Due to the relatively young age
of the company we find that adding resources into this branch of the company will likely lead to its continued
success and maintain its tremendous rate of growth. A current trend in global business—regardless of industry
or market—is the implementation of not only a strategic sourcing plan, but continued re-evaluation of strategic
sourcing. While we can provide recommendations as far as current sourcing plans go, we recommend most
strongly that infrastructure within the company be arranged so that Optimiza may continue to be a key player in
Chile as well as the rest of their global industry. Using strategic tools like supplier scorecards and comparative
financial ratios, Optimiza can work internally to continually improve its supply chain and work pursue cost
cutting measures.
The addition of an internal consulting branch will also play an important role from a sustainability
standpoint. Third-party consulting work not only places an enormous cost burden on the company, but it has
also been shown to be less effective than internal auditing processes. A team that is permanently dedicated to
improving Optimiza’s operations will be much more familiar with the company’s existing assets and corporate
structure than a third party consulting arm would be. Form our exclusive interview with CEO Roxana Vásquez,
we know that Optimiza has already been considering the idea of expansion to incorporate “an area of
consulting” aimed at “improving business productivity.” We would encourage this expansion and suggest that
this addition to the company be expedited and realized as soon as possible so that Optimiza can begin collecting
data from day-to-day activities and make meaningful, long-term improvements to its operations and supply
chain.
The only potential drawback to the addition of this consulting arm is the initial cost of creating the
department and hiring/training employees to perform these activities. However, with the cost-saving measures
the consulting branch would undoubtedly pay for themselves within a few years.
Alternative 2: Phase Out CODELCO, Phase in Anglo American and other non-Chilean
Suppliers
Currently, Optimiza sources much of its copper from its home country, Chile. However, Chilean mines
are beginning to become depleted and have been producing lower quality ore in recent years. Due to
CODELCO’s recent problems fulfilling orders, we would recommend phasing out sourcing with them.
However, the problems with Chilean copper production are not limited to to just CODELCO’s mines. Many
Chilean reserves are beginning to deplete or are consistently producing lower grade copper ores. Because of
15. 15
this, we would also recommend a slight decrease in sourcing from Anglo American, beginning to build sourcing
relationships with companies that have mines in many different countries, such as the supplier Freeport
McMoRan.
Headquartered in Phoenix, AZ, Freeport McMoRan has impressive facilities across the globe. Because
Freeport McMoRan is smaller in scope and size than CODELCO, Optimiza could exert more power over this
particular supplier, giving them the ability to negotiate better shipping terms and potentially even lower prices.
Freeport McMoRan could also strengthen Optimiza’s current corporate social responsibility practices. As
Freeport McMoRan is very outwardly and actively concerned with the health and safety of its employees,
minimizing adverse impacts on the environment, as well as forming long-term relationships with customer, we
feel that this supplier would be a very beneficial choice for Optimiza and would push them to become more
responsible to their employees, the environment, and their suppliers.
The biggest drawback we see to pursing a supplier relationship with Freeport McMoRan is increased
shipping costs and tariffs or taxes in order to get the commodity into Chile. But, with the large number of
copper mines that Freeport McMoRan has a stake in, we feel that Optimiza could weigh all of the potential
costs and benefits of their mining locations in order to chose one that is the most cost effective.
Alternative 3: Create Recycling Incentive to Reuse Old Metals
The global demand for copper is increasing each and every year with more companies developing and
requiring it. Developed countries also have shown no signs of stopping consumption of copper. For this reason,
we believe it is in Optimiza’s best interest to begin finding ways to recycle and/or reuse copper.
There are several initiatives and organizations designed around recycling on a large scale. A partnership
with the Institute of Scrap Recycling Industries based out of Washington DC would be advisable. This non-
profit organization is designed to equip companies with safety advice, networking opportunities, regulatory
information and standards, up to date market research and current publications for the purpose of enabling
companies such as Optimiza to figure out how they can best understand new techniques, trends and projects.
Some examples over copper recycling programs have been realized through projects like Toyota’s Wire
Harness Recycling Project. This project essentially takes copper out of the rubber wiring it is encased it. The
drawbacks to this project are the high costs associated with the methods used, however we believe that this is
still worth looking into because the price of copper will very soon exceed the cost of recycling it. Further
research and development is highly recommended into all manner of copper recycling programs.
Recommended Alternative
Given our existing recommendations, the best course of action for Optimiza is to follow our second
alternative. This recommendation permits Optimiza to become a more global company, while also benefiting
the quality of its products. This recommendation begins with Optimiza reducing its reliance on CODELCO as
its primary supplier. We recommend this because the ore coming from CODELCO mines is now rated as an
16. 16
inferior product. Furthermore, there has been speculation with regards to the existing copper supplies in Chile
that have resulted in a drop in consumer confidence and increasing prices for copper sourced from these mines.
Therefore, we feel that Optimiza should look into building and improving relationships with other suppliers
such as AngloAmerican and/or Freeport McMoRan. These suppliers allow access to mines all over the world,
allowing Optimiza to obtain the best quality copper they can find, and with more competitive pricing than
sourcing the majority of their product from only Chilean mines. Yet, these suppliers also still have Chilean
mines, which allow for quick access to copper if Optimiza needs it. This means Optimiza can continue to
provide quick and efficient project service to its existing Chilean and South American customers while also
taking advantage of competitive pricing abroad and improving its service and delivery times with its foreign
clients. Finally, by working with these new suppliers, which are true multinational corporations, Optimiza’s
influence will be enhanced throughout the globe.
Our existing research with AngloAmerican suggests that sourcing a larger percentage of Optimiza’s
copper from it should not pose significant risk to the company. AngloAmerican has a stable amount of equity
levied against its debt and its existing growth rates seem sustainable for the foreseeable future. Freeport
McMoRan offers proximity to Optimiza’s existing clients as well as access to substantial North American
copper reserves. The company is ranked second only to CODELCO, whose share of the market is projected to
fall in the coming decade. Increasing sourcing form both of these suppliers should not pose any significant
threat to Optimiza from a supplier risk standpoint.
If Optimiza complies with this recommendation, it will not only ensure that the company is not affected
by potentially dwindling supplies of copper in Chile, but it will help Optimiza to diversify its suppliers, lower
procurement costs, and provide superior performance to its increasing number of foreign clients. If the company
wishes to continue its tremendous growth and not be stagnated by the copper market or rising commodity
prices, improving relations with more geographically diverse suppliers like AngloAmerican and contracting
new suppliers like Freeport McMoRan is the best course of action for the immediate and long-term benefit of
the enterprise.
17. 17
Exhibits
Exhibit 1.1
Entrevista con Roxana Vásquez
¿Podría
darnos
una
breve
descripción
de
cuál
es
el
propósito
de
su
empresa
y
cuál
es
el
producto
o
servicio
que
esta
ofrece?
R:El
propósito
es
ser
la
mejor
empresa
de
ingeniería
Chilena
para
la
minería.
El
producto
es
desarrollar
proyectos
de
Ingeniería
multidisiciplinarios
para
Plantas
de
Procesamientos
de
Minerales
¿Qué
le
hizo
decidir
empezar
una
nueva
empresa,
su
propio
emprendimiento?
¿Cuáles
fueron
sus
principales
razones?
R:La
principal
razón
fue
haber
quedado
sin
trabajo
a
inicios
del
año
1999
debido
a
la
crisis
asiática,
con
casi
10
años
de
permanencia
en
una
empresa
de
ingeniería.
¿Qué
características
de
su
empresa
considera
únicas?
¿Existe
algún
valor
agregado
que
usted
considere
que
pertenece
sólo
a
su
compañía?
R:El
clima
laboral
que
hemos
forjado
en
base
a
una
filosofía
de
trabajo
feliz.
La
calidez
y
empatía
con
que
se
trata
a
todos
los
clientes.
¿Cuáles
fueron
las
percepciones
de
mercado
iniciales
que
le
hicieron
querer
ingresar
a
la
industria
en
que
actualmente
desarrolla
su
negocio?
¿Fueron
estas
percepciones
completamente
determinantes
en
su
decisión?
R:No
hubo
percepciones,
es
lo
que
yo
sabía
hacer.
No
hubo
análisis
de
ningún
tipo,
solo
la
convicción
de
hacerlo.
¿Qué
pasos
debió
tomar
correctamente
para
desarrollar
su
negocio
de
manera
exitosa?
R:Los
pasos
fundamentales
fueron:
realizar
el
trabajo
con
estándares
de
clase
mundial
desde
el
primer
día,
dedicación
al
100%,
sin
horario,
ni
fines
de
semana,
ni
vacaciones
durante
los
primeros
años,
identificar
profesionales
con
alto
conocimiento
técnico.
Amor
por
el
trabajo
y
no
tener
permitido
el
fracaso.
¿A
qué
tipo
de
sociedad
pertenece
su
empresa?
¿Quiénes
son
los
socios
fundadores,
miembros
o
empleados
claves
de
su
negocio?
R:
Sociedad
Anónima
cerrada.
Yo
soy
la
socia
fundadora,
y
mi
marido
que
además
es
mi
socio,
ha
sido
un
elemento
clave
en
la
gestión
financiera
del
negocio.
18. 18
Al
inicio
de
sus
actividades,
¿requirió
usted
de
alguna
ayuda
financiera
externa?
¿De
ser
así
las
podría
describir?
Si
no,
¿cómo
se
autofinanció?
R:
Si
se
requirió,
y
conseguimos
un
crédito
del
Banco
de
Chile,
por
5
millones
de
pesos,
como
capital
de
trabajo,
donde
en
realidad
recibimos
4
millones,
ya
que
el
millón
restante
quedaba
como
seguro
del
crédito.
¿Por
qué
cree
usted
que
sus
usuarios
o
clientes
consideran
sus
productos
o
servicios?
R:
Calidad,
compromiso
y
capacidad
de
respuesta
es
nuestro
sello,
y
nos
esforzamos
por
hacer
de
este
sello
una
realidad,
creo
que
por
eso
los
clientes
nos
consideran.
¿Qué
características
está
considerando
agregar
a
su
negocio
en
el
futuro
próximo
o
lejano?
De
ser
posible,
nombre
2
o
3.
R:
Estamos
considerando
desarrollar:
-‐ Una
fuerza
de
venta,
ya
que
en
15
años
de
existencia
nos
hemos
dedicado
más
a
producir
que
a
la
búsqueda
de
oportunidades
o
desarrollo
de
clientes
nuevos.
-‐ Un
área
de
consultoría,
orientada
a
mejorar
la
productividad
de
las
empresas
¿Cuál
ha
sido
el
momento
más
difícil
por
el
cual
su
empresa
ha
tenido
que
atravesar?
¿Cómo
logró
sobrellevar
esa
situación?
R:
Hemos
tenido
varios
momentos
difíciles,
durante
el
3er
año
para
lograr
financiamiento
vendimos
nuestra
casa,
el
7°
año
fue
muy
difícil
también,
pero
ya
teníamos
una
historia
por
lo
que
el
banco
nos
prestó
financiamiento,
y
este
año
que
también
ha
sido
complicado,
la
baja
demanda
ha
hecho
caer
los
precios
de
ventas,
y
los
clientes
han
aumentado
los
periodos
de
pagos
casi
al
doble,
lo
que
sin
duda
altera
los
flujos
de
caja.
Según
su
percepción,
¿Cuáles
son
los
mayores
riesgos
de
su
negocio?
R:
Chile
es
un
país
minero,
por
ende
su
economía
depende
fundamentalmente
del
cobre,
por
ende
cualquier
crisis
mundial,
afecta
el
mercado
minero,
y
por
ende
a
los
proveedores
de
la
minería,
de
igual
manera
si
hay
algún
tipo
de
recesión
interna
en
el
país.
¿Cuáles
son
los
factores
que
limitan
la
velocidad
de
crecimiento
del
negocio?
¿Cuáles
son
sus
planes
de
crecimiento
para
el
futuro
en
el
corto,
mediano
y
largo
plazo?
R:
La
velocidad
de
crecimiento
se
ve
limitada
por
la
incertidumbre
del
mercado.
Los
planes
de
crecimiento,
obedecen
a
las
oportunidades
de
proyectos
que
puedan
venir,
hoy
día
en
Chile
se
ve
un
notorio
estancamiento,
por
lo
que
muchas
empresas
han
debido
disminuir
su
dotación,
en
nuestro
caso,
estamos
empeñados
en
mantenernos.
Una
vez
que
se
normalice
podremos
analizar
si
podremos
continuar
con
el
ritmo
de
crecimiento
promedio
anual
de
35%,
como
ha
sido
nuestra
historia.
¿Cuáles
son
las
proyecciones
de
la
empresa
en
los
próximos
3
años
y
cuáles
son
los
supuestos
claves
detrás
de
estas
predicciones?
19. 19
R:
El
supuesto
clave
es
que
el
segundo
semestre
del
2016
se
recupera
la
economía
en
Chile,
y
por
ende
comienza
un
nuevo
ciclo
en
la
minería
chilena.
Otro
supuesto
clave,
es
que
los
2
contratos
de
servicios
que
Optimiza
tiene
por
2
años,
van
a
demandar
el
trabajo
declarado
por
el
cliente.
Dada
las
condiciones
actuales
en
Chile,
las
proyecciones
crecer
un
20%
en
el
2015,
aumentando
a
un
30%
en
el
2016
y
ojala
recuperar
el
histórico
35%
en
el
2017.
Después
de
convertirse
en
emprendedor,
¿cómo
logra
balancear
las
responsabilidades
profesionales,
familiares
y
de
desarrollo
personal?
R:
Durante
15
años
me
he
dedicado
al
desarrollo
de
Optimiza
y
de
mis
hijos,
recién
ahora
estoy
pudiendo
ocuparme
un
poco
de
mi
misma
y
de
mi
marido.
Es
difícil
y
desgastador,
pero
con
la
ayuda
y
entendimiento
de
mi
familia
los
logros
han
sido
más
que
satisfactorios,
pero
ha
implicado
un
gran
esfuerzo
y
mucho
trabajo,
pero
me
gusta
hacer
lo
que
hago,
creo
que
eso
es
lo
más
importante,
y
no
lo
podría
haber
logrado
sin
la
ayuda
de
muchas
personas
que
creyeron
en
mí.
¿Podría
otorgarles
algunas
recomendaciones
a
quienes
estén
por
iniciar
su
propio
emprendimiento
o
a
quienes
no
les
resultó
exitoso?
R:
No
creo
que
haya
una
receta,
ya
que
cada
caso
en
único.
Pero
creo
que
lo
fundamental
es
que
ames
lo
que
haces,
trabajar
sin
límites,
ser
ordenado
en
todos
los
ámbitos,
ocuparse
de
la
calidad
y
de
la
imagen
del
producto,
saber
que
siempre
puede
ser
mejor.
Ser
autoexigente,
y
exigente
con
los
que
trabajan
contigo,
pero
a
su
vez
respetuoso
y
afable,
es
decir
se
debe
“Liderar
y
Trabajar
con
Amor”.
20. 20
Exhibit 1.2
Pipe and Tube
Designation Title
B42 - 10 Standard Specification for Seamless Copper Pipe, Standard Sizes
B43 - 14 Standard Specification for Seamless Red Brass Pipe, Standard Sizes
B68 / B68M - 11 Standard Specification for Seamless Copper Tube, Bright Annealed
B75 / B75M - 11 Standard Specification for Seamless Copper Tube
B88M - 13 Standard Specification for Seamless Copper Water Tube [Metric]
B88 - 14 Standard Specification for Seamless Copper Water Tube
B111 / B111M -
11
Standard Specification for Copper and Copper-Alloy Seamless Condenser Tubes and Ferrule Stock
B135 - 10 Standard Specification for Seamless Brass Tube
B135M - 10 Standard Specification for Seamless Brass Tube [Metric]
B188 - 10 Standard Specification for Seamless Copper Bus Pipe and Tube
B251 - 10 Standard Specification for General Requirements for Wrought Seamless Copper and Copper-Alloy Tube
B251M - 10 Standard Specification for General Requirements for Wrought Seamless Copper and Copper-Alloy Tube
[Metric]
B280 - 13 Standard Specification for Seamless Copper Tube for Air Conditioning and Refrigeration Field Service
B302 - 12 Standard Specification for Threadless Copper Pipe, Standard Sizes
B306 - 13 Standard Specification for Copper Drainage Tube (DWV)
B315 - 12 Standard Specification for Seamless Copper Alloy Pipe and Tube
B359 / B359M -
12e1
Standard Specification for Copper and Copper-Alloy Seamless Condenser and Heat Exchanger Tubes With
Integral Fins
B360 - 09 Standard Specification for Hard-Drawn Copper Capillary Tube for Restrictor Applications
B372 - 12a Standard Specification for Seamless Copper and Copper-Alloy Rectangular Waveguide Tube
B395 / B395M -
13
Standard Specification for U-Bend Seamless Copper and Copper Alloy Heat Exchanger and Condenser Tubes
B447 - 12a Standard Specification for Welded Copper Tube
B466 / B466M -
14
Standard Specification for Seamless Copper-Nickel Pipe and Tube
B467 - 14 Standard Specification for Welded Copper-Nickel Pipe
B543 / B543M -
12
Standard Specification for Welded Copper and Copper-Alloy Heat Exchanger Tube
B552 - 12 Standard Specification for Seamless and Welded Copper–Nickel Tubes for Water Desalting Plants
B587 - 12 Standard Specification for Welded Brass Tube
B608 - 11 Standard Specification for Welded Copper-Alloy Pipe
B640 - 12a Standard Specification for Welded Copper Tube for Air Conditioning and Refrigeration Service
B643 - 12 Standard Specification for Copper-Beryllium Alloy Seamless Tube
21. 21
B687 - 99(2011) Standard Specification for Brass, Copper, and Chromium-Plated Pipe Nipples
B698 - 10 Standard Classification for Seamless Copper and Copper Alloy Plumbing Pipe and Tube
B706 - 00(2011) Standard Specification for Seamless Copper Alloy (UNS No. C69100) Pipe and Tube
B743 - 12 Standard Specification for Seamless Copper Tube in Coils
B813 - 10 Standard Specification for Liquid and Paste Fluxes for Soldering of Copper and Copper Alloy Tube
B819 - 00(2011) Standard Specification for Seamless Copper Tube for Medical Gas Systems
B828 - 02(2010) Standard Practice for Making Capillary Joints by Soldering of Copper and Copper Alloy Tube and Fittings
B837 - 10 Standard Specification for Seamless Copper Tube for Natural Gas and Liquefied Petroleum (LP) Gas Fuel
Distribution Systems
B903 - 10 Standard Specification for Seamless Copper Heat Exchanger Tubes With Internal Enhancement
B919 - 12 Standard Specification for Welded Copper Heat Exchanger Tubes With Internal Enhancement
B937 - 04(2010) Standard Specification for Copper-Beryllium Seamless Tube (UNS Nos. C17500 and C17510)
B944 - 11 Standard Specification for Copper-Beryllium Welded Heat Exchanger and Condenser Tube (UNS No. C17510)
B956 / B956M -
10e1
Standard Specification for Welded Copper and Copper-Alloy Condenser and Heat Exchanger Tubes with
Integral Fins
Plate, Sheet, and Strip
Designation Title
B19 - 10 Standard Specification for Cartridge Brass Sheet, Strip, Plate, Bar, and Disks
B36 / B36M -
13
Standard Specification for Brass Plate, Sheet, Strip, And Rolled Bar
B96 / B96M -
11
Standard Specification for Copper-Silicon Alloy Plate, Sheet, Strip, and Rolled Bar for General Purposes and
Pressure Vessels
B100 - 13 Standard Specification for Wrought Copper-Alloy Bearing and Expansion Plates and Sheets for Bridge and Other
Structural Use
B101 - 12 Standard Specification for Lead-Coated Copper Sheet and Strip for Building Construction
B103 /
B103M - 10
Standard Specification for Phosphor Bronze Plate, Sheet, Strip, and Rolled Bar
B121 /
B121M - 11
Standard Specification for Leaded Brass Plate, Sheet, Strip, and Rolled Bar
B122 /
B122M - 11
Standard Specification for Copper-Nickel-Tin Alloy, Copper-Nickel-Zinc Alloy (Nickel Silver), and Copper-Nickel
Alloy Plate, Sheet, Strip, and Rolled Bar
B129 - 12 Standard Specification for Cartridge Brass Cartridge Case Cups
B130 - 13 Standard Specification for Commercial Bronze Strip for Bullet Jackets
B131 - 12 Standard Specification for Copper Alloy Bullet Jacket Cups
B152 /
B152M - 13
Standard Specification for Copper Sheet, Strip, Plate, and Rolled Bar
B169 /
B169M - 10
Standard Specification for Aluminum Bronze Sheet, Strip, and Rolled Bar
B171 /
B171M - 12
Standard Specification for Copper-Alloy Plate and Sheet for Pressure Vessels, Condensers, and Heat Exchangers
B194 - 08 Standard Specification for Copper-Beryllium Alloy Plate, Sheet, Strip, and Rolled Bar
22. 22
B248 - 12 Standard Specification for General Requirements for Wrought Copper and Copper-Alloy Plate, Sheet, Strip, and
Rolled Bar
B248M - 12 Standard Specification for General Requirements for Wrought Copper and Copper-Alloy Plate, Sheet, Strip, and
Rolled Bar (Metric)
B370 - 12 Standard Specification for Copper Sheet and Strip for Building Construction
B422 /
B422M -
10e1
Standard Specification for Copper-Aluminum-Silicon-Cobalt Alloy, Copper-Nickel-Silicon-Magnesium Alloy, Copper-
Nickel-Silicon Alloy, Copper-Nickel-Aluminum-Magnesium Alloy, and Copper-Nickel-Tin Alloy Sheet and Strip
B432 - 14 Standard Specification for Copper and Copper Alloy Clad Steel Plate
B465 - 11 Standard Specification for Copper-Iron Alloy Plate, Sheet, Strip, and Rolled Bar
B506 - 09 Specification for Copper-Clad Stainless Steel Sheet and Strip for Building Construction
B508 - 08 Standard Specification for Copper Alloy Strip for Flexible Metal Hose
B534 - 14 Standard Specification for Copper-Cobalt-Beryllium Alloy and Copper-Nickel-Beryllium Alloy Plate, Sheet, Strip, and
Rolled Bar
B569 - 14 Standard Specification for Brass Strip in Narrow Widths and Light Gage for Heat-Exchanger Tubing
B591 - 09 Standard Specification for Copper-Zinc-Tin and Copper-Zinc-Tin-Iron-Nickel Alloys Plate, Sheet, Strip, and Rolled
Bar
B592 - 11 Standard Specification for Copper-Zinc-Aluminum-Cobalt Alloy, Copper-Zinc-Tin-Iron Alloy Plate, Sheet, Strip, and
Rolled Bar
B694 - 13 Standard Specification for Copper, Copper-Alloy, Copper-Clad Bronze (CCB), Copper-Clad Stainless Steel (CCS),
and Copper-Clad Alloy Steel (CAS) Sheet and Strip for Electrical Cable Shielding
B740 - 09 Standard Specification for Copper-Nickel-Tin Spinodal Alloy Strip
B747 - 11 Standard Specification for Copper-Zirconium Alloy Sheet and Strip
B768 - 11 Standard Specification for Copper-Cobalt-Beryllium Alloy and Copper-Nickel-Beryllium Alloy Strip and Sheet
B882 - 10 Specification for Pre-Patinated Copper for Architectural Applications
B888 /
B888M - 13
Standard Specification for Copper Alloy Strip for Use in Manufacture of Electrical Connectors or Spring Contacts
B936 - 13 Standard Specification for Copper-Chromium-Iron-Titanium Alloy Plate, Sheet, Strip and Rolled Bar
Rod, Bar, Wire, Shapes and Forgings
Designation Title
B16 / B16M -
10
Standard Specification for Free-Cutting Brass Rod, Bar and Shapes for Use in Screw Machines
B21 / B21M -
14
Standard Specification for Naval Brass Rod, Bar, and Shapes
B98 / B98M -
13
Standard Specification for Copper-Silicon Alloy Rod, Bar and Shapes
B99 / B99M -
11
Standard Specification for Copper-Silicon Alloy Wire for General Applications
B124 / B124M -
14a
Standard Specification for Copper and Copper Alloy Forging Rod, Bar, and Shapes
B134 / B134M -
08
Standard Specification for Brass Wire
23. 23
B138 / B138M -
11
Standard Specification for Manganese Bronze Rod, Bar, and Shapes
B139 / B139M -
12
Standard Specification for Phosphor Bronze Rod, Bar, and Shapes
B140 / B140M -
12
Standard Specification for Copper-Zinc-Lead (Red Brass or Hardware Bronze) Rod, Bar, and Shapes
B150 / B150M -
12
Standard Specification for Aluminum Bronze Rod, Bar, and Shapes
B151 / B151M -
13
Standard Specification for Copper-Nickel-Zinc Alloy (Nickel Silver) and Copper-Nickel Rod and Bar
B159 / B159M -
11
Standard Specification for Phosphor Bronze Wire
B187 / B187M -
11
Standard Specification for Copper, Bus Bar, Rod, and Shapes and General Purpose Rod, Bar, and Shapes
B196 / B196M -
07(2013)
Standard Specification for Copper-Beryllium Alloy Rod and Bar
B197 / B197M -
07(2013)
Standard Specification for Copper-Beryllium Alloy Wire
B206 / B206M -
12
Standard Specification for Copper-Nickel-Zinc (Nickel Silver) Wire and Copper-Nickel Alloy Wire
B249 / B249M -
14
Standard Specification for General Requirements for Wrought Copper and Copper-Alloy Rod, Bar, Shapes and
Forgings
B250 / B250M -
13
Standard Specification for General Requirements for Wrought Copper Alloy Wire
B272 - 12 Standard Specification for Copper Flat Products with Finished (Rolled or Drawn) Edges (Flat Wire and Strip)
B283 / B283M -
14a
Standard Specification for Copper and Copper-Alloy Die Forgings (Hot-Pressed)
B301 / B301M -
13
Standard Specification for Free-Cutting Copper Rod, Bar, Wire, and Shapes
B371 / B371M -
08(2013)
Standard Specification for Copper-Zinc-Silicon Alloy Rod
B411 / B411M -
14
Standard Specification for Copper-Nickel-Silicon Alloy Rod and Bar
B441 -
04(2010)
Standard Specification for Copper-Cobalt-Beryllium, Copper-Nickel-Beryllium, and Copper-Nickel-Lead-Beryllium
Rod and Bar (UNS Nos. C17500, C17510, and C17465)
B453 / B453M -
11e1
Standard Specification for Copper-Zinc-Lead Alloy (Leaded-Brass) Rod, Bar, and Shapes
B455 - 10 Standard Specification for Copper-Zinc-Lead Alloy (Leaded-Brass) Extruded Shapes
B570 -
06(2010)
Standard Specification for Copper-Beryllium Alloy (UNS Nos. C17000 and C17200) Forgings and Extrusions
B870 -
08(2014)
Standard Specification for Copper-Beryllium Alloy Forgings and Extrusions Alloys (UNS Nos. C17500 and
C17510)
B927 / B927M -
13
Standard Specification for Brass Rod, Bar, and Shapes
B929 -
05(2011)e1
Standard Specification for Copper-Nickel-Tin Spinodal Alloy Rod and Bar
24. 24
B967 / B967M -
12a
Standard Specification for Copper-Zinc-Tin-Bismuth Alloy Rod, Bar and Wire
B974 / B974M -
12a
Standard Specification for Free-Cutting Bismuth Brass Rod, Bar and Wire
B981 / B981M -
12
Standard Specification for Low Leaded Brass Rod, Bar and Shapes
F68 - 10 Standard Specification for Oxygen-Free Copper in Wrought Forms for Electron Devices
25. 25
Bibliography
"Annual Report 2013." (n.d.): n. pag. Angloamerican.com. Anglo American Plc, Spring 2014. Web. 6 Dec.
2014.
ASTM. (n.d.). Copper Standards. Retrieved December 2, 2014, from http://www.astm.org/Standards/copper-
standards.html Web. 06 Dec. 2014.
Basov, Vladamir. "Top 10 Copper Companies in 2012." Mining.com. N.p., n.d. Web. 06 Dec. 2014.
"CODELCO - Corporación Nacional Del Cobre , Chile - Inicio." CODELCO - Corporación Nacional Del
Cobre , Chile - Inicio. CODELCO, n.d. Web. 06 Dec. 2014.
"Copper." – Anglo American. N.p., Dec. 2014. Web. 06 Dec. 2014.
<http://www.angloamerican.com/products/copper.aspx>.
"Copper Supply & Consumption — 1993–2013." EpscoHost. Copper Development Association, Inc., 1 Jan.
2014. Web. 06 Dec. 2014.
“Comodity Information” Optimiza, S.A. Ltd., n.d. Web. 06 Dec. 2014.
Crane, Tom. "Member Services & Benefits." Member Services. N.p., n.d. Web. 06 Dec. 2014.
<http://www.isri.org/about-isri/membership/member-services-benefits#.VIPczjHF-So>.
DraKoln, Noble. "Commodities: Copper." Investopedia. Investopedia, LLC., n.d. Web. 06 Dec, 2014.
"FCX_Freeport-McMoRan Inc. - Our Company, Who We Are." FCX_Freeport-McMoRan Inc.Web. 1 Dec.
2014. <http://www.fcx.com/company/who.htm>.
"History." – Anglo American. N.p., Dec. 2014. Web. 06 Dec. 2014. http://www.angloamerican.com/about-
us/history
Hoffman, Liz. "Freeport-McMoRan Nears Settlement Over McMoRan, Plains Deals." The Wall Street Journal.
Dow Jones & Company, 1 Jan. 2014. Web. 1 Dec. 2014. <http://online.wsj.com/articles/freeport-
mcmoran-nears-settlement-over-mcmoran-plains-deals-1417379391>.
"How Do They Do That? How Copper Is Made." Copper Development Association, Inc. BHP Copper, n.d.
Web. 06 Dec. 2014.
"Long-Term Availability of Copper." Copper Alliance. International Copper Association, Ltd., n.d. Web. 06
Dec. 2014.
"Market Share of Major Copper Producing Companies 2013." Statista. 1 Jan. 2014. Web. 1 Dec. 2014.
<http://www.statista.com/statistics/274260/market-share-of-major-copper-producing-companies/>.
26. 26
"Revenue and Profit of Copper Manufacturer CODELCO 2013 | Statistic." Statista. N.p., n.d. Web. 06 Dec.
2014.
"Reviving CODELCO." The Economist. The Economist Newspaper, 23 Oct. 2010. Web. 06 Dec. 2014.
Sprovieri, John. "Wire Harness Recycling." Assemblymag.com. Assembly, 1 July 2014. Web. 6 Dec. 2014.
<http%3A%2F%2Fwww.assemblymag.com%2Farticles%2F92263-wire-harness-recycling>.
Troszkiewicz, Agnieszka. "Copper Substitution Seen by KME Accelerating on Slow Growth." Bloomberg.com.
Bloomberg, 5 Mar. 2013. Web. 06 Dec. 2014.
Vásquez, Roxana. "About Optimiza." Telephone interview. 6 Nov. 2014.