A Finger On The Pulse

What is the function of Rio Tinto's Economics Department?
Basically we assess the economic context in which our business is operating. If we can better understand the background, the influences, the drivers of change, it helps senior management make the best possible strategic decisions.

We focus on the long term, studying trends and trying to see the range of possibilities around the corner. Then as a Group we can better evaluate risks and opportunities.

How is the department organized?
We have a number of specialist economists who concentrate on groups of commodities. These specialists know their areas inside out and keep data that helps them forecast price trends. We also work closely with experts within the business units.

One of our economists is full time on sustainable development issues; he has undertaken a number of studies of Rio Tinto operations to help us understand the economic contribution our mines make to local, regional and national economies [see Nicolas Di Boscio's article Chain of prosperity in Review No 74, June 2005]. Another noteworthy aspect of our work relates to China, which is also very important to our future. We have an economist based in Beijing who does the job of monitoring and assessing trends in that part of the world.