KENGAS GROUP www.kengasgroup.com
Oil & Gas - Logistics
Kengas Group Quality, Flexible and Reliable Transport Solutions By: Nicholas Paul Griffin
engas Group Ltd started with Bulk Petroleum Products Supply and Delivery Services within the Great Lakes region, including Southern Sudan, and has over 25 years’ experience, operating in some of the world’s most demanding locations. Offering total logistics solutions in East and Central Africa, Kengas firmly believes in putting the needs of the customer at the forefront of its concerns, 2
Kengas Group · Kenya
promising to increase productivity for its clients with the efficient management of multiple services and delivery requirements. By bringing greater synergy to daily business, maximizing the efficiency of businesses and providing specialized services across countries, Kengas strives for continuous improvement, bringing positive change for its client base.
Oil & Gas - Logistics
Hassan Kassim, General Manager with Valerie Otieno, Sales & Marketing Manager of Kengas Group
Kengas Link transport service Since remote environments require specialized services, Kengas, along with its experienced partners, provide a plethora of services designed to meet its clientsâ€™ varying needs. Those offered include fuel logistics and supply, logistical support to move cargo, food procurement and catering services, camp design, construction and management, fleet management and much more. The company vision is to be the regionâ€™s leader in terms of offering these specialized
services, confident in its ability to do so based on sound success in the oil industry and its Social Development programs. With the aim of efficiently and reliably providing services which fuel the national economy and improve quality of life for its citizens, Kengas employs integrity, teamwork and great communication to achieve its goals On the business end, the company aims to create maximum value for shareholders and stakeholders, as well as empowering its employees by embracing its core values. Aspire Africa Âˇ July/Aug 2015
The strict adherence to safety guidelines is one of the company’s core values, and has proved essential in the business they undertake.” Hassan Kassim
Safety and Social Responsibility With a consistent increase in profits since its inception seven years ago, and a workforce increase of five times its original employee base, it is clear to see Kengas are a company on the up. The company now operates 360 trucks, with 160 company owned and the rest subcontracted out, shared between roughly 60 subcontractors. This growth is a significant increase from the company’s starting position in 2007. The business generated by the company means Kengas is the preferred transporter for many small-scale truck owners. This growth has continued with the opening of a chain of petrol stations in the last two years, helping to establish a retail chain under the name Kengas Energy, and a support services division to target the logistical needs of the oil and gas sector called Kengas Support Services (KSS). These new subsidiaries of the Kengas Group join the long-established Kengas Link, the group’s transport arm. Since the company predominantly operates in remote areas of Africa, which are often harsh and hostile, ever-present dangers such as banditry, accidents, loss of network coverage, climate, war, rampant corruption and many more very real concerns must always to be taken into consideration. In these areas a well-trained and prepared staff base has proved to be one of the company’s biggest strengths. It goes without saying that a certain type of employee is needed to excel in such hazardous environments, and Kengas prides itself on making sure it has a team equipped to handle these unique challenges. At any given time there are forty to fifty assets in dangerous 4
Kengas Group · Kenya
areas, with twice that number of ground personnel. In December 2013, when hostilities broke out in South Sudan, the company had 25 trucks in Juba and around 25 further north, either servicing clients or returning to base. Many returned with footage of the awful destruction, highlighting the risks the company’s employees were taking just by doing their job. The team of staff at the office and petrol station at Juba remained throughout, and are still stationed there today. Without their support and resolve, Kengas would not be the company it has worked so hard to become. Kengas’ health and safety record goes some way to highlighting the strength of its employment base in these areas, with the company registering high in the annual SHEQ reports, with less than four major and minor accidents per year since its registration in 2007. Which, considering the terrain the company operates in (South Sudan and the Democratic Republic of Congo primarily), represents an impressive record. All accidents are followed up with a root cause analysis and the issue of CARs. The company is committed to high-quality staff training, placing particular emphasis on preparing drivers, turn boys and workshop mechanics for these potentially difficult conditions. The strict adherence to safety guidelines is one of the company’s core values, and has proved essential in the business they undertake. The safety performance of the company is monitored, proactively and reactively, to ensure key safety goals continue to be achieved. Monitoring by audit forms a key element of this activity and includes both a quantitative and qualitative assessment.
Oil & Gas - Logistics
Eldoret Petrol Station, Kenya The results of all safety performance monitoring are documented and used as feedback to improve the system by identifying systemic weaknesses and accident precursors, and either eliminating or mitigating them. In line with these values, Kengas is developing an Operations Excellence Program, whose primary objectives will be to improve asset and workforce productivity as well as providing disciplined definitions and service standards. Kengas group also employs a Community Social Responsibility program, responding to the social needs of the residents of regions within which it works, ensuring that the company operates as a privilege in the community where it will serve, and not as a right. In addition, the scheme serves to promote and participate in a wide variety of social
development programs to improve the quality of life in the area, promoting the spirit of volunteerism and encouraging employees to take active roles in communities. In the DRC and South Sudan, which are prime markets, the company donates books, clothes, stationary, building materials and more, to boost the well being of the community.
Looking to the Future The discovery of oil in East Africa is a positive step towards self-reliance for the region in regards its energy needs. With the opening of new refineries, the cost of fuel will drop, reducing the logistical cost of essential commodities. In this respect, Kengasâ€™ business will likely grow further, as transport of fuel will still be required to remote areas. Aspire Africa Âˇ July/Aug 2015
Kengas fleet navigating rough terrian It may also lead to the establishment of more petrochemical-based manufacturing and other associated industries, which will result in an increase in transport requirements for local and international distribution. Since the pipeline from South Sudan will originate in Juba, towards the port of Lamu, transport of crude oil from the drilling sites will be required, meaning the future for a company like Kengas looks bright. The company has already begun to work towards this next chapter in several key ways, starting with the achievement of an ISO 9001:2008 certification, a major milestone for the company which happened in the space of a single year, beginning in August 2012, with gap analysis conducted in Sept 2012. The intention is to achieve an ISO 14001 by the end of next year. Further improvement in the company’s SHEQ processes is also in the works, for which a new team has been assembled. 6
Kengas Group · Kenya
Oil & Gas - Logistics The recently opened office in Mombasa will see a significant increase in dry cargo, oversize cargo and humanitarian cargo distribution, and the registration of the Dar es Salaam office in Tanzania will reach both the dry cargo and fuel logistics market, catering for Zambia, Rwanda and South DRC. Many other plans for expansion are already in motion, including the redesigning of the truck yard in Eldoret to meet international standards, the installation of an ERP system for better coordination, upgrade of IT infrastructure, installation of tracking devices on the entire company fleet, and partnerships with established international companies to look for support services business. By becoming members of PIEA (Petroleum Institute of East Africa), which is the focal body when it comes to all up stream, mid-stream and downstream activities in that part of the world, Kengas has made sure it is ready to be involved in the coming developments in the region. In addition, the company has become a member of KCM (Kenya Chamber of Mines), another important body when it comes to the extractives industry, a market making huge progress in East and Central Africa. Kengas will continue to expand, with Kengas Link, the transport arm of the company to start operating in Tanzania shortly, and Kengas Energy to open another four petrol stations by the end of 2015. Kengas Support Services is still under development, with one client in South Sudan. The company is looking at major contracts in 2016, when drilling will begin in Kenya. All this points to a bright future for the Kengas Group and the region, and the group’s professional values put them in the perfect position to continue moving forward in the industry. ASPIRE
Juba Petrol Station, South Sudan
Kengas Mission To efficiently and effectively provide logistics solutions for our clients using customer tailored solutions.
Corporate Values Integrity Teamwork Communication Customer Focus Compassion and Understanding Continuous Improvement
Memberships Kengas Group has endeavored to remain the market leader. Kengas Group memberships include: KTA (Kenya Transporters Association) KCM (Kenya Chamber of Mines) PIEA (Petroleum Institute of East Africa)
Aspire Africa · July/Aug 2015
www.kengasgroup.com Shop 4, 5th Floor, Standard Building, Standard St., P.O Box 3133 - 00506 Nairobi, Kenya, Tel: (+254) 20 2225445 firstname.lastname@example.org