In today’s highly competitive global marketplace, where customer expectations are rising rapidly, operational efficiency is no longer optional—it’s essential for Shu Powders to operate in a landscape where performance, effectiveness and efficiency are not just desirable traits but critical to success.
From its inception, Shu Powders has been on a mission to continuously enhance product quality and operational efficiency. And we’re excited to share some of our most significant achievements—milestones that reflect our commitment to excellence and innovation.
Building a client-centric approach
Our customers across the world demand high-quality products, faster delivery, and greater flexibility—all at competitive prices. To meet these expectations, Shu Powders adopted a customer-centric approach, consistently realigning our operations to deliver maximum value.
For us, this means not just producing excellent cobalt powder products, but doing so in a way that is streamlined, responsive, and sustainable.
The foundations of a reliable cost trend
Over the past 12+ years, Shu Powders has demonstrated remarkable operational efficiency which can be seen in the figure below which illustrates our cost trend.
For us, this means not just producing excellent cobalt powder products, but doing so in a way that is streamlined, responsive, and sustainable.
Fig 1: Shu Powders Africa has been able to keep its processing cost per kg cobalt stable for more than 12 years, despite inflation and increases in utilities, consumables, labour, and other costs.
Our stable cost trend is a result of the below key factors within our organisation:
Strong Operational Control
Maintaining a stable cost trend stems from our tight control over our production processes. This is a reflection of a well-managed production environment, driven by our commitment to constantly reviewing and optimising our workflow.
Continuous Improvement Culture
The ability to offset rising costs (labour, utilities, consumables, etc.) comes from our commitment to ongoing innovation and process improvements—such as automation, digitalisation, and our support efforts toward green energy (solar).
Resilience Against Market Pressures
Our stable cost base over time demonstrates resilience in the face of external pressures like inflation, energy price spikes, or supply chain disruptions. This positions Shu Powders as a reliable and consistent supplier
Lean principles in action
Shu Powders has successfully leveraged Lean principles to drive significant quality improvements projects across its operations, allowing us to streamline production processes, reduce waste, and enhance product consistency, as outlined below:
Reduced Scrap and Rework Rates
Reducing scrap and rework rates is critically important for Shu Powders—especially given the cost-sensitive and quality-driven nature of industries like metal powders and cobalt processing. By reducing these rates, Shu Powders has been able to lower the overall cost per unit helping to protect profit margins, especially when input costs (like cobalt) are high or volatile.
Less scrap and less rework mean more usable product from the same raw material, improving yield and resource utilization. Through targeted process optimization and stricter quality controls, we have significantly lowered our scrap and recycle rates. This not only reduces waste but also ensures more consistent output, benefiting both our operations and our customers.
Fig 2 a,b: Cobalt rework is material that can be reprocessed internally. Cobalt scrap is material that must be reprocessed externally. The rates have dropped by 65% and 50%, respectively.
Reducing scrap and rework rates isn’t just a technical goal—it’s a strategic move that enhances cost control, product quality, environmental performance, and overall competitiveness. For Shu Powders, it’s another lever to stay resilient, efficient, and customer-focused in an increasingly demanding global market.
Lower Oxygen Content in Finished Product
Reducing oxygen content in our finished product is critically important for us because it directly affects product quality, performance, and customer satisfaction—especially in high-tech, high-spec industries. Here’s why it matters: High oxygen content can negatively affect the carbon balance in hard metals. By keeping oxygen content low, Shu Powders stays qualified and competitive in global markets.
Fig 3: The implementation of pneumatic powder transfer—phases 1 and 2 in 2023—has reduced the oxygen content in cobalt powder. The standard deviation was cut in half, showing a more stable process. We expect further improvements upon the completion of phase 3 in mid-2025.
For Shu Powders, reducing oxygen content isn’t just a technical tweak—it’s a strategic differentiator. It enables better product performance, which opens doors to high-value markets, and strengthens customer trust. In a world where precision and purity matter more than ever, controlling oxygen content is a critical part of staying globally competitive and quality-driven.
Decreased Ammonia Consumption
Ammonia is a significant chemical input. It is used to produce hydrogen for the reduction of cobalt powders in our production process. Ammonia prices fluctuate based on market conditions. By reducing consumption, Shu Powders has been able to cut operating costs, improving profit margins—especially important when other input costs (like cobalt) are already high.
Shu Powders reduced ammonia consumption by making targeted changes to its gas flow and reaction conditions. This included some minor equipment modifications, which resulted in improved furnace parameter control.
Fig 4: Thanks to improved reaction efficiency and better control systems, Shu Powders has significantly reduced its ammonia/hydrogen demand per kg cobalt powder.
Increased Throughput
At Shu Powders, production throughput refers to the production rate of cobalt powder—typically reported in kg per day.
Throughput is a core metric for tracking how efficiently Shu Powders is running its operations. It reflects how well the plant uses its equipment, labour, and materials. Higher throughput also means faster order fulfilment and more consistent supply. Thanks to upgraded equipment and smarter workflows, we’ve achieved higher throughput without compromising quality. This ensures we can meet growing demand while maintaining the highest production standards.
Fig 4: Thanks to improved reaction efficiency and better control systems, Shu Powders has significantly reduced its ammonia/hydrogen demand per kg cobalt powder.
The implementation of digitalization SCADA (Supervisory Control and Data Acquisition) systems also played a central role in optimizing production throughput at Shu Powders.
SCADA lets us see what is happening across the production line in real time—from raw material input to final product output.
Operators now quickly spot issues like equipment slowdowns, temperature deviations, or flow rate inconsistencies.
Immediate visibility = faster response times = less downtime = higher throughput.
Walking the road to superior solutions
These continuous improvements are a testament to the dedication of our team and our commitment to delivering superior powder solutions. We thank our partners and customers for their continued trust and support.
