Tag Archives: Ralf Hennecke

BME to become ‘first local manufacturer’ of electronic detonators in Western Australia

Having actively built its foundation in the Australian mining market over the past decade, global blasting and explosives specialist BME says it is ramping up its footprint and capability with facilities in the west of the country.

These expansions represent a key aspect of the company’s strategic direction, according to BME Managing Director, Ralf Hennecke. Australia is among the high-potential markets in which BME is further expanding its existing operations, he said, leveraging the country’s status as the fourth largest mining country globally after China, the US and Russia. Australia also boasts high mineral exploration rates, which bode well for the industry’s future.

“Our first decade in Australia has been focused on importing and marketing our premium AXXIS™ electronic initiation system,” he explained. “The next exciting steps, however, go well beyond that into local manufacturing of detonators and other products and equipment in our own certified, state-of-the-art automated facilities. We also have our mobile manufacturing units (MMUs) in the country to fully integrate with our other products.”

The licensing processes have been completed for a site that BME Australia has secured in the Kalgoorlie area of Western Australia, a region strategically positioned to best supply the miners of iron ore, gold, nickel, lithium and other strategic mineral resources. This will allow the company to become the first local manufacturer of electronic detonators in the state, providing significant supply chain security and logistical benefits to mining customers, it says. The plan is to begin production by May 2024.

“Manufacturing in-country removes considerable supply chain risk for the industry, which the COVID-19 pandemic highlighted for every sector,” Hennecke said.

A similar facility has already been established in Canada as part of BME’s globalisation drive. The Western Australia plant will be able to draw on equipment that has been tried and tested in the company’s South African operations, include a semi-automated line from BME’s Losberg plant.

BME has built on its strong relationships with global blue chip mining companies in the planning of its new plant, and has reported a high degree of interest from the sector’s leading players. The AXXIS detonator has been well accepted through its multiple upgrades – and has been successfully deployed across eastern Australia for over a decade. With BME’s expansion into Western Australia, trials have been conducted with AXXIS electronic detonators at various mines in the state, and the results were extremely positive.

Emphasising the market demand, Hennecke noted that there has been a significant shift away from shock tubes and towards electronic detonators in Australia’s mining sector – as mines look to safer, automated solutions to reduce the number of ‘boots on the bench’.

“This aligns importantly with the very strict safety policies and regulations that the country has in place,” he explained. “The technology contributes to industry’s risk mitigation efforts, but also holds performance benefits in terms of facilitating large, accurate and reliable blasts which support mines’ sustainability and productivity.”

He said that BME’s progress in Australia was an expression of the company’s global ambitions, which are now turning from plans to action in the country through its commitment of capital investments and infrastructure.

Omnia Holdings backs Hypex Bio non-nitrate explosive emulsions solution

Omnia Holdings has announced a strategic partnership with Sweden-based Hypex Bio Explosives Technology and the acquisition of a minority equity stake in the company.

Hypex is at the forefront of innovative and sustainable civil explosives solutions and has developed a ground-breaking emulsion using hydrogen peroxide (HP), offering substantially enhanced environmental benefits compared with conventional products, the company says.

This collaboration marks a significant milestone for both Omnia and Hypex as it will notably enhance the ongoing development and commercial rollout of Hypex’s HP emulsion technology in key markets. Additionally, it provides Omnia, the parent company of global blasting solutions provider BME, with access to state-of-the-art technology.

Omnia, in conjunction with BME, has established a reputation for its dedication to innovation and market-driven product solutions. Extending its services across Africa, Australasia, North America and Brazil, BME offers cutting-edge products and services at every stage in the mining explosives and blasting solutions supply chain, using technology to maximise safety and minimise environmental impact.

Seelan Gobalsamy, CEO of Omnia, said: “Hypex is a good strategic fit for BME and aligns with Omnia’s sustainability and high-growth objectives, including pollution and CO2 reduction. Hypex has developed the first non-nitrate explosive emulsions in the market and reduced the carbon content by 90% over traditional sources. This technology has the potential to completely change the explosives supply industry.”

Ralf Hennecke, Managing Director of BME, said: “As one of the largest explosives and blasting solutions suppliers on the African continent, BME is pursuing a globalisation strategy which is optimally aligned to the sustainable, nitrate-free emulsion technology offered by Hypex.”

Hypex’s experience in rapid yet safe development cycles, combined with the company’s proven track record in commercialisation activities, will use the proceeds from this transaction to further strengthen the organisation and invest in accelerated growth.

Thomas Gustavsson, CEO of Hypex, said: “We are thrilled to announce the partnership with Omnia, and I am very happy to have not only an ideal investor on board but also a company whose culture is well aligned with ours. I foresee significant synergies and accelerated accomplishments as a direct result. The team and I are grateful for the hard work done by both sides to accomplish this deal.”

This partnership agreement aligns seamlessly with Omnia’s capital allocation framework of adding new revenue streams in future high-growth international markets while maintaining a diversified and cash-generative business, improving the group’s competitive advantage and resilience given anticipated market changes, and aligning with its sustainability journey, it says.

Gobalsamy concluded: “As a responsible industry leader, we are committed to sustainable innovation and the responsible use of chemicals for the health, safety and well-being of our planet and its people. Our partnership with Hypex strengthens our ability to develop and distribute eco-friendly products and technologies and is testament to our purpose of creating a greener and safer future for all.”

Blasting and explosives leader BME hits safety milestone with zero RCR

After five years of steadily implementing its Safety for Life brand, Omnia Group company BME says it has successfully achieved one of its key safety targets – a zero recordable case rate (RCR) – for the year ending January 2023.

“We consider our zero RCR over the preceding 12 months as a proud landmark to have reached, based on the positive safety culture that our Safety for Life initiative has fostered within the business,” Ramesh Dhoorgapersadh, General Manager for Safety, Health, Environment, Risk and Quality at BME, said.

The RCR is based on the number of safety incidents which resulted in treatment beyond first aid.

Dhoorgapersadh highlighted that BME’s achievement has its foundation not only in sound policies and systems, but in the committed and practical application of these principles every day.

“Companies’ systems and processes often look very good at face value, but these need to be effectively translated into action,” he said. “A RCR of zero does not happen overnight and requires constant reinforcement from the highest level before it forms part of the prevailing culture in the workplace.”

He explained that BME’s safety protocols were driven by a range of safety interventions. These included working on visual felt leadership, process safety, near-miss reporting, driver awareness programs and fatigue management.

BME Managing Director, Ralf Hennecke, re-emphasised the importance of ‘leading from the front’.

“Visual felt leadership has been vital in helping to embed the culture of safety in BME,” he said. “This means a daily commitment by senior executives to focus on how safety plans are being applied on site.”

He noted the corporate alignment of BME’s efforts with the Omnia Group’s vision of zero harm and positive impact through responsible business practices. These frameworks also aligned with the stringent standards of mining customers, many of whom are major global players.

Dhoorgapersadh said the zero RCR was not an end point in the safety journey. The challenge of safety, he explained, was to continue finding ways to improve – thereby steadily reducing any risk of incidents.

“In recent years, for instance, BME has placed growing focus on the medical wellness of our employees,” he said. “They often work under very stressful conditions – frequently out in the open or on the road. Our medical surveillance programme has become more intense, to ensure that their physical condition is optimal at all times.”

This intervention also included subcontractors, especially in the transport sector, to ensure that similar attention was paid to the health of all drivers. He said BME’s focus on safety extended beyond people to the natural environment as well. The effectiveness of safety protocols had also contributed to the occurrence of no chemical spillages that could have an environmental impact.

“We are very aware that, to sustain our enviable safety record, we need to be revisiting all aspects of our progress to look for ways to refresh our approach,” he said. “An important aspect of safety management is about doing the simple things better and better. In every task, you need to be identifying where the risks are – and find ways of preventing those risks from becoming reality.”

BME set to showcase innovations and North America presence at ISEE explosives and blasting event

BME is gearing up for the International Society of Explosives Engineers (ISEE) Annual Conference on Explosives and Blasting Technique in Texas, USA, with the company saying its “solid presence” is a signal of the exciting growth phase it is going through in North America and other global markets.

An official supporter of the ISEE Annual Conference, running from February 3-8, BME says it will highlight its innovative offerings – with senior leadership and technical experts on hand to engage with the market.

Aaron Austin, BME General Manager Americas, says the ISEE event comes at a time when the company has distinguished itself from competitors by growing its investment in the region.

“Our presence at the ISEE conference will give us the chance to share not only our latest technology solutions, but our important developments and plans,” Austin says. “Our presence at the conference will demonstrate our latest generation AXXIS Titanium™ electronic initiation system, alongside our range of solutions that give us full-service capability.”

South Africa-based BME, a member of the JSE-listed Omnia Group, has built its presence in North America through BME Mining Canada Inc – a partnership with local player Consbec.

Austin notes that leadership attending the ISEE event will include BME Managing Director, Ralf Hennecke, Omnia Group Chief Executive Officer, Seelan Gobalsamy, and BME Mining Canada Inc Vice-President, Richard Walker. Key global BME representatives from Indonesia and Australia will also join the conference.

“The group has demonstrated its intent in the Americas over the years, and most recently through the establishment of our production and service facilities in Nairn Centre, Ontario,” Austin says. “To be launched later this year, this facility gives us the infrastructural base to rachet up our growth plans.”

Delegates at the ISEE event will be able to engage directly with BME’s AXXIS Support Manager, Hennie du Preez, who will also showcase AXXIS Titanium on the ISEE Demo Bench.

D. Scott Scovira, BME’s Global Blasting Science Head, will once again present a conference paper at the event.

The level of blasting technology and expertise in BME has already been recognised by ISEE expert panels, noted Austin.

“This will be the second year in a row that we have had a conference paper voted in the top three by an independent panel,” he says. “This is a clear measure of the value of BME’s technical contribution at the ISEE conference and in the sector generally.”

BME Mining Canada Inc has already established itself as a local player through a recent five-year full-service contract with a Canadian open-pitt gold producer.

“In addition to our organic growth in North America, we will also be talking to delegates about our blasting solutions that contribute to customers ESG drives,” Austin added.

BME supports industry skills development with new graduate program

A two-year graduate program has been launched by Omnia-group company BME to, it says, address youth unemployment and skills shortages in an evolving mining industry.

The program targets various disciplines in engineering and science – including mining, chemistry and microbiology, as well as skills in the fields of safety, health, environment and quality assurance. This is part of the commitment by BME’s leadership to support skills development and the growth of young people within the mining industry. The initiative is also instrumental in attracting and retaining talent for the company, it said.

Announcing the initiative, BME Managing Director, Ralf Hennecke, said that many businesses in industry require work experience, and graduates are often overlooked as they do not have the necessary skills or the understanding of the work environment to fill the role.

“Coupled to this, some graduates consider the work environment to be daunting,” Hennecke said. “We, therefore, believe our role will be to ensure that each graduate on our program is provided with the opportunity to grow and develop and reach their full potential. It is vital that we invest in skills development of the next generation of people who will drive the mining industry in the future.”

BME has recruited 19 graduates and placed them at various underground and surface mining sites where the company is currently active. Some graduates have also been placed at BME’s Losberg emulsion plant and its AXXIS™ initiation system plant.

BME Human Resources Manager, Tebogo Seakamela, said: “In a country like South Africa, it is crucial to train graduates without prior work experience, and this is what BME aims to do. Skills development and bringing new entrants into the sector is critical in growing our economy and the mining sector, which is still one of the largest contributors to the country’s gross domestic product.”

She noted that BME prioritises the nurturing and development of young talent, highlighting that these graduates gain immeasurable knowledge and understanding of the real world of work while on the program, ultimately preparing them for the workplace.

“Due to their resilience, agility and bold characters, our graduates have remained committed to the program,” she said.

As a trend in the market, most locally trained graduates are also recruited into other countries after having completed a graduate program – including those around Africa. “This is commendable and a testament to the calibre of our South African mining graduates,” she said.

She highlighted that while the graduates were from various universities across the country, the majority were from Wits Mining Institute at the University of the Witwatersrand in Johannesburg.

The industry is also evolving in terms of minerals extraction, she said, noting that with the introduction of automated and artificial intelligence-based mining, the graduates will get first-hand experience of these technologies being used in the workplace.

“We are building the skills for the future, as well as ensuring that we cultivate a learning culture that encourages and enables critical thinking and innovation,” she noted. “At the same time, these graduates are offered diverse career path options.”

Mampe Mogale, a Mining Engineering Graduate currently based at a mining operation in the Northern Cape, noted that BME held a two-day induction for all its interns across various disciplines at the beginning of October.

“The aim was to familiarise us with the company structure, various disciplines and the people responsible for certain roles within the organisation,” Mogale said.

Clement Marilela, a Mechanical Engineering Graduate, explained that BME made his transition into the company as smooth as possible, informing the graduates about the organisation, while helping them realise the “incredible opportunity” they have been offered.

“It was great to be given the chance to interact with and learn from some of the organisations’ leaders as they shared their expertise and passion for the business,” Marilela said.

Hennecke concluded: “BME is proud to play its part in cultivating the future workforce, preparing them for the field of work. South African graduates are talented and, with on-site experience, can be gainfully employed.”

Blasting’s role in making mining more sustainable

Blasting technology – alongside advanced low carbon emission emulsion explosives – is helping pave the way on mining’s sustainability journey, according to BME.

“The digital age has given us the opportunity to leverage the quality of our people, products and service – to optimise blast technology,” BME Managing Director, Ralf Hennecke, says. “Building on the flexibility and accuracy of electronic detonation, our digital tools can make mining more efficient and less carbon intensive.”

By collaborating with customers and technology partners, BME says it has developed solutions that can enhance output and are easily integrated – both between BME’s digital products and externally.

Hennecke emphasised that software platform integration was key to ensuring innovative digital tools could operate seamlessly with a mine’s existing systems.

An innovation that has received global attention is BME’s electronic detonation system, AXXIS. Developed by an in-house team of specialists, AXXIS improves the quality of blasts and mine productivity.

Tinus Brits, Global Product Manager for AXXIS, says: “The entire system was designed in South Africa and built by our own engineering department. All the support and maintenance on the system is conducted by our dedicated in-house technicians.”

Applied in conjunction with BME’s Blastmap blast planning software, AXXIS demonstrates the value of product integration, BME says. Complex blast designs can be easily and quickly transferred from the Blastmap planning platform to the AXXIS initiation platform. Brits noted that Blastmap can also export to third-party initiation systems that a mining customer might already be using.

Among the capabilities that BME has brought to the mining sector are longer blasting windows to allow for larger and more productive blasts.

“The increased firing window of AXXIS Titanium – the latest generation of the AXXIS system – gives mines the opportunity to conduct larger blasts,” Brits said.

The company can also design more complex blasts.

The quality of these blasts ensures better fragmentation, so that less energy is consumed in downstream stages like loading, hauling, crushing and milling. Less energy converts directly to lower carbon emissions when coal- or diesel-fired electricity is used. Larger blasts also mean fewer mine stoppages, facilitating a more streamlined mining process.

“Safety remains a key focus in mining, and a safe mine is a productive mine,” Brits said. “Our digital initiation systems innovate constantly to raise the level of safety in blasting – such as the dual basis of safety in our latest AXXIS Titanium system.”

These safety improvements build on the high-level safety of emulsions when compared with Class 1 explosives. Emulsions are inert until sensitised in the blast hole, so can be more safely transported and stored.

BME’s emulsions also contribute to environmental protection through their inclusion of used oil as a fuel agent. The company has developed a large collection network for used oil, which responsibly transports waste oil from users for its production process. After being incorporated into the emulsion, the used oil is safely disposed of when the emulsion explodes.

So extensive is this network that BME today collects around 20% of South Africa’s used oil, it says.

Sachin Govender, BME’s Used Oil Manager, said: “By using this waste oil in our emulsions, we are eliminating the use of diesel, which is a high carbon source. This plays a positive role in helping our mining customers achieve their ESG goals.”

Where customers have their used oil collected by BME, the initiative delivers a double benefit, according to Govender. On the one hand, it deals responsibly with a waste product that presents an environmental risk; on the other, it reduces the need for diesel as a fuel agent.

“There is also a positive social impact from our used oil initiative,” he said. “We engage small enterprises to collect the oil, which has an economic ripple effect in local communities.”

BME now has about a dozen approved suppliers across South Africa, according to Govender, which have created around 300 job opportunities.

“As we empower small businesses to create an income from this waste, we are conserving the environment while also promoting social upliftment,” he said.

Ralf Hennecke promoted to Managing Director at BME

Ralf Hennecke has been appointed as the Managing Director of BME, a division of the Omnia Group, with effect from December 1, 2021.

Hennecke started his career in 1987 at Rand Mines Limited and was employed at Johannesburg Consolidated Investments, following which he joined Omnia BME in 1995.

He has deep operational, marketing, sales, commercial and technical expertise, having been part of BME’s executive team for over 20 years and played a key role in BME’s recent global corporate development and strategy. In July 2021, Hennecke was promoted to the position of Managing Director for BME SADC.

BME, a leading manufacturer and supplier of explosives products, technology and blasting services to the mining sector, says it has a balanced presence in sectors that are essential to the sustainable use of the world’s finite resources and focuses on developing intellectual property to add value to the global mining sector.

Hennecke said: “It is an honour to accept this role, and with the support of my team, we are deeply committed to executing on BME’s growth plans across our global markets. We will achieve this through consistent product, technology and services delivery, close customer and stakeholder relationships and partnerships, whilst playing our part as a responsible and sustainable corporate citizen in the mining sector.”

The recent launch of AXXIS Titanium™, an advanced electronic blast detonation systems, will play a key role in driving growth, while the “Blast Alliance” approach will further entrench the division’s reputation as a collaborative partner, the company said.

Seelan Gobalsamy, CEO of the Omnia Group, said: “In line with Omnia’s growth strategy, it is vital to ensure that we have the leadership bench strength required to achieve our ambitions. It, thus, gives me great pleasure to welcome Ralf in his new role. Ralf’s wealth of experience and understanding of our group allows us to continue to execute on our growth strategy.”

BME keeps supply up amid lockdown as it prepares for COVID-19-related business changes

COVID-19 lockdown restrictions around Southern Africa have thrown the spotlight on mines’ supply security, with key inputs like explosives and blasting services among these.

According to Albie Visser, General Manager at blasting specialist BME, mines have relied heavily on the flexibility and ingenuity of service providers to keep the supply chain functioning.

“The first weeks of the lockdown were challenging, especially regarding the logistics of moving our emulsion product across national borders from South Africa into other southern African countries,” Visser said. “Different countries – and even different border posts – applied different rules, making it difficult to know what the exact compliance requirements were.”

Albie Visser, General Manager at BME

He noted the pandemic had caught most authorities unaware, leading to regulations being hurriedly developed and enforced.

“In some cases, the regulatory requirements were not practical,” he said. “At one border, for instance, drivers were required to have a COVID-19 test not older than three days – but in South Africa it took nine days to get results from a test through normal channels.”

This meant that innovative thinking was called for, and BME worked closely with its own suppliers and the mines themselves. While some deliveries were initially delayed by border issues, the company’s responsiveness and agility kept up its deliveries to site, it said.

National lockdowns in the region affected the mining sectors differently from country to country.

“South Africa’s lockdown saw demand for emulsion drop sharply at first, but this has almost returned to normal as mines ramped up to full production where possible,” he said. “While mining in Botswana has slowed, Namibia’s mining industry has been more resilient and our supplies to Zambia are almost unaffected.”

Site precautions

In South Africa, BME is working on many mine sites, with an average of three teams per site. By conducting risk assessments and adapting its existing safety systems, BME quickly developed its own COVID-19 protocols in line with national safety regulations – even before some of the mines finalised their own systems.

Among the measures BME has applied is to divide staff into small groups to keep closer control of movements and restrict infections. For example, each group will stay together for transport purposes, and will use only one specified bus.

“Each bus, which has a thermometer for daily testing, will collect staff from their homes,” Visser said. “We know exactly who they live with, for purposes of future contact tracing.”

It does mean more buses arriving at the work site, but any infection picked up can then be controlled and traced within that group. There is also another screening test at the mine site when staff arrive, and the necessary social distancing is observed.

“To date our measures have been very effective, with no COVID-19 infections at any of our operations,” he said.

Overcoming barriers

Outside of South Africa, there have been some notable achievements in the face of COVID-19 related lockdowns.

Joe Keenan, Managing Director of BME, relayed a few of these.

Joe Keenan, Managing Director of BME

“Among the logistical achievements, for instance, was the timeous shipping of resources to customers in Australia and West Africa – which was done in anticipation of the lockdown,” he said.

BME was also able to continue satisfying the requirements of one of Zambia’s largest copper producers, despite the difficulties of negotiating border regulations.

At the same time as this, the company is continuing to roll out large projects for major customers, while keeping most of its staff working remotely. This includes the recruitment of about 170 people for one key project, and the continuation of on-site testing.

Automation, remote optionality

From the manufacturing perspective, BME’s facilities are also well positioned to keep feeding the supply chain even under lockdown conditions, according to Ralf Hennecke, BME’s General Manager: Technology and Marketing.

“Most of our production plant processes are highly automated, so we can readily apply the necessary social distancing and minimise staff without affecting production,” Hennecke said. “This applies to our explosives facilities as well as our factories for non-electric and electronic detonators.”

Ralf Hennecke BME General Manager: Technology and Marketing

BME has put in considerable investment in the automation of its manufacturing plant at Delmas in Mpumalanga, South Africa, for instance. While the driver for this process was primarily the quality of its emulsion product, the effect has been to enhance security of supply while applying strict social distancing protocols, it said.

Keenan said: “At our facility in Losberg, Gauteng, where we manufacture our AXXIS™ equipment and non-electric detonation systems, there is also a high level of automation. We can therefore accommodate the COVID-19 regulations without affecting the value chain.”

Even the company’s remote bulk emulsion plants – often located on customer’s mine sites – can be operated with minimal staff.

Hennecke highlighted that BME’s technology, including planning and reporting platforms like BLASTMAP™ and XPLOLOG™, also assist mines to reduce opportunities for COVID-19 transmission.

“Our technological innovations allow data to be digitally captured, stored and transferred to the mine’s operational and administrative systems,” he said. “This can be done safely with only a few human touchpoints, and also in real time for greater efficiency.”

The future

While the current efforts are to keep mining operations running normally, the future will see considerable changes in how suppliers like BME support customers, according to Keenan.

“The leveraging of technological innovation to keep mine sites safe and efficient becomes an even more vital imperative for technology providers,” he said.

Operationally, there will be ongoing focus on social distancing and digital processes to reduce proximity between employees.

With strict requirements limiting face to face interaction, more communication with customers will also have to be conducted digitally.

These communication systems will also have to be adapted to streamline the sales process and keep contracts flowing, according to BME.

“Creative solutions will need to be found for how to manage tenders, for example, especially where site visits are required,” Kennan said. “There are still various practical issues to be resolved so that normal procurement can continue.”

In terms of further expediting the shift to non-contact interaction with customers, BME’s new enterprise resource planning system enhances its shared services capacity, allowing less paperwork and more electronic documentation and processing.

BME builds blasting connections in North America

BME says continued lethargy in the global economy – aggravated by the outbreak of the COVID-19 virus – did not dampen the enthusiasm of the South Africa-based blasting leader’s review of the recent Prospectors and Developers Association Conference (PDAC) in Toronto, Canada.

BME was at the show, which took place on March 1-4, showcasing its brand and global presence, including in North America.

BME General Manager Technology and Marketing, Ralf Hennecke, said: “This year was particularly exciting for us to be exhibiting, following the launch of BME Mining Canada Inc last year – our joint venture with Consbec, the largest civils drill and blast contractor in Canada.

“There was considerable excitement among the decision makers and businesses we met about the entry of another experienced player into the region’s explosives and blasting market.”

Hennecke said the mood at the Toronto gathering was buoyed by a gradual uptick in exploration projects and several mine expansions – even though the outlook for most base metals was conservative.

“It was pleasing to see that Canada was in the top three exploration performers globally, which bodes well for the country’s mining future,” he said.

He noted many of the mining companies represented at the event also had operations in BME strongholds like West Africa, even operating in other BME territories such as Southeast Asia. The company’s globalisation strategy was also paving the way for greater future involvement in global mining tenders, he said.

“Events like PDAC allow us to steadily build links in new territories like North America, leveraging the relationships we already have with majors and juniors in that market,” Hennecke said. “In addition to prospective mining customers, we also regularly meet a range of important service providers and contractors with whom we might work in future.”

Emphasising BME’s commitment to collaboration in the market – especially in the digital and technological space – he said these links were increasingly important to facilitate the integration of technologies in the interest of more productive mining.

“Mines are looking to synergise their supply chains to ensure they benefit optimally from the various services and product developments,” he said. “This means that technology providers must have the capacity to continuously integrate their offerings into customers’ systems – even collaborating with other technology providers to do so. This integration is vital to allow mines to harness the power of new innovations.”