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Khula
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n 2012, Darren Pillay left a secure and lucrative job at Bidvest Bank to start his own fleet management firm. Having worked in various capacities at Viamax Fleet Solutions (most notably at an in-house fleet services provider to Transnet), McCarthy Fleet Solutions and then Bidvest Bank — Pillay got to experience the organisation from several different perspectives, and gain an intimate understanding of the company’s workings that would later prove invaluable. “All in all I worked in the fleet industry for sixteen years. By virtue of that, I built up very strong relationships, and more importantly, got to understand the world of Transnet,” he says.
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f o r wa r d After just three years in business, South African fleet management firm Khula Fleet Solutions is already proving its worth against more established competitors. spoke to managing director and founder, Darren Pillay, to find out how his initial gamble is paying off.
Automotive
From humble beginnings as a fleet clerk, Pillay climbed his way up the ranks in a relatively short space of time, and when the business was sold to Bidvest in 2007, he worked for a while as sales and marketing director before taking on the role of operations director. “When Transnet decided in 2012 they were going to market for the fleet tender, I saw an opportunity, but there was no guarantee of any business or any degree of success. I backed and believed in myself and stood by my convictions,” he adds.
When Transnet decided in 2012 they were going to market for the fleet tender, I saw an opportunity, but there was no guarantee of any business or any degree of success. I backed and believed in myself and stood by my convictions
“I had a very good career ahead of me that was very progressive and financially lucrative, so in that regard, there was no animosity or anything to say that I needed to change my environment. And I put all of that at risk, including my family. I put my entire life on the line.” Pillay took the decision to resign, and while he was held to his notice period, was given no restriction on trade. “I literally finished the Friday and started Khula Fleet Solutions on
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the Monday. Fortunately I have a very loving and supportive wife who stood by me, and that certainly made the weight on my shoulders lighter.” Khula Fleet Solutions ran for around six months before Pillay could afford to employ people. He used this time to build a solid foundation for the business, ensuring that all contracts, procedures and policies were in place before tapping a network of industry contacts and clients for business. “We spent time getting the governance and framework of the organisation sorted, so that if we were to be successful in our tender, we would at least not be starting that process at the last minute,” explains Pillay. “And then Transnet called us in and said ‘Okay, we want to engage with you now, can you do this deal?’ and that was really the springboard of Khula Fleet Solutions. It literally took us from 0 to 100kmh overnight.”
For a completely unknown entity to be awarded the Transnet tender is no small feat. “Everyone was wondering who we were and where we’d come from. It was a springboard for the business and a steppingstone towards the ultimate goal. And the ultimate goal for us is
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Everyone was wondering who we were and where we’d come from. It was a springboard for the business and a steppingstone towards the ultimate goal
NP200
NP300
NP300
Patrol Pickup
NAVARA
NV350
NV200
NISSAN
Innovation that excites Shift your business forward FOR MORE THAN SEVEN DECADES,
Nissan has provided an impressive range of light commercial vehicles (LCVs) for the South African market. Each vehicle exhibits Nissan’s legendary toughness and reliability, and upholds the brand philosophy to supply safe, innovative and reliable vehicles for commercial customers. This commitment makes Nissan commercial vehicles a great business partner and a sound investment for companies large and small. Today, Nissan offers the most comprehensive LCV range available. South Africa’s favourite half-ton bakkie Launched in 1971, when it was known as the Datsun 1200 pickup, the Nissan NP200 has become a legend. The Nissan NP200 addresses the needs of business users and private motorists looking for a practical vehicle with the niceties a passenger vehicle offers. National sales figures in 2014 show that it has the number one market share of the half-ton pickup market. A versatile workhorse The Nissan NP300 Hardbody, a proudly South African product, is testament to the strength and might of the Nissan badge and
its motto: ‘Proud Heritage. Proven Capability’. The vehicle is for consumers who require a tailored bakkie that can be customised and adapted to suit their exact needs. Always up to the challenge The Nissan Navara is a tough capable bakkie that has the looks and all the comfort and safety features you would expect from a top-of-the-range SUV. It has a large quick release handle on the tailgate and features Nissan’s unique utili-track cargo system that has five channels (three in the bed and two on the sides which accepts a variety of accessories, including racks, dividers and trays) allowing loads of various shapes or sizes to be loaded and transported securely. • Available in a 2.5 dCi King cab and Double cab in both 4x4 and 4x2 models, and the powerful 3.0 V9X dCi 4x4. Rugged pickup that’s a cut above The Nissan Patrol Pickup is tough, powerful, and heavy-duty. It offers the same bold and attractive cab styling of the Patrol SUV, and is loved by farmers and fleet owners who have found it to be a durable and reliable no-nonsense load-carrier and tow vehicle with excellent off-road capability.
• Available in 3,0 litre diesel engine. Spacious and smart Compact, economical and stylish, and developed around function and driver, the Nissan NV200 panel van means business. Its appearance belies the extraordinary space of the cargo area, the largest in its category, and it can accommodate two standard pallets with ease. • Available in 1,5 dCi and 1,6 petrol engines. Compact and easy to move The Nissan NV200 Combi is compact and easy to manoeuvre out of tight spots. Stylish and comfortable, its interior is spacious and can seat up to seven people. Its low cost of ownership and impressively economical engines make it suitable for business and pleasure. • Available in 1,5 dCi and 1,6 petrol engines. Generously spaced and fuel efficient With an exceptionally generous cargo area, the Nissan NV350 panel van is built to carry your business to the next level. It has a wide body, high roof that can carry cargo up to 3,25m long, with an interior width of 1,73m
and a height of 1,64m. The NV350 offers class leading fuel efficiency. • Available in 2,5 petrol and 2.5 dCi engines.
ABOUT NISSAN Founded in 1933, Japanese multinational automobile manufacturer Nissan has the most attractive, drivable, reliable vehicles that technology and attention to detail can provide. It’s that level of quality, combined with exceptional service, which results in a totally satisfying customer experience. CONTACT 0800 NISSAN (647726) EMAIL infodesk@nissan.co.za VISIT www.nissan.co.za
to have a long-term relationship with Transnet,” says Pillay. This goal was achieved just last year, when Khula Fleet Solutions secured a five-year contract to serve as Transnet in two regions, supplying around 3000 units over that period. “It’s given us longevity and sustainability. We started capacitating the business to the extent that we were able to attract people because we’ve got a contract, business is growing, and if people are driving they
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of Khula Fleet staff were previously unemployed, and 63% are young people can of course create a career in the business by developing themselves. And that’s’ something that is very important to me — creating opportunities, and hiring people who were previously disadvantaged.” 59% of Khula Fleet staff were previously unemployed, and 63% are young people, 92% of staff are people of HDI background.
“I think it’s important to bring an element of young black talent into the industry. And at least 61% of the staff are female, of which 86% are black. It was one of my personal goals and objectives to achieve that,” he tells us. Differentiating themselves from the rest of the market is another business goal for Khula Fleet Solutions. This innovative thinking and use of technology is what helped land Khula a 400 million Rand funding facility just this month.
Automotive
“For a company that’s been around for three years, and is a standalone business, it’s certainly something that’s a milestone and not just in the fleet industry. We’re going to buy vehicles with that money. We’ll lease them out and make a return on that — it’s what we do best.”
U-Rent ...Car, Van and Truck Rental is a vehicle hire company committed to continually improving all facets of our business. With a strong presence in Gauteng and the Eastern Cape we service national rental requirements through our strategic network. Business is conducted with a view to forging long-term, sustainable and mutually beneficial relationships capable of enduring beyond a single transaction. We commit to dealing transparently further strengthening our reputation for excellence and integrity.
On a final note, Pillay stresses that it would be “remiss of me to mention the hard work and efforts of each individual” that has contributed to the company’s success since its inception. Instead, he says that “the journey to success has been a collaborated effort by all”.
We’ve grown steadily since our launch in 2010 and believe the key to our success lies in delivering Customers a sleeker, more efficient, cost effective and expanded range of services. Simply put YOU RENT, YOUR WAY.
Big enough to service YOUR corporate fleet needs. Committed enough to care about YOU!
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B-BBEE LEVEL 2 CONTRIBUTOR
Vans and Buses
Cars
Tel: 087 135 1350 | Email: reservations@urentsa.co.za | www.urentsa.co.za 7
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53 Brunton Circle Founders View South Modderfontein Johannesburg 1619 Tel: +27 (011) 460 0764 Fax: +27 (086) 762 0775 E-mail: info@khulafleet.co.za
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www.essentialbusinessmag.com ŠEssential Business Magazine 2015