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www.businessreviewaustralia.com

December 2015

YEAR IN REVIEW TO P STO R I ES O F 2015

FEATURED

COMPANY

HOLCIM VIETNAM


EDITOR’S COMMENT

With the end of 2015 coming upon us, it’s time to take a look back at the year that was. The great Chinese philosopher Confucius once said, “There are three methods to gaining wisdom. The first is reflection, which is the highest. The second is limitation, which is the easiest. The third is experience, which is the bitterest.” I love this quote because it highlights the importance of reflection. Without looking back at where you were, it’s impossible to truly understand where you are. It’s all about the journey! Before Malcolm Turnbull took over as Prime Minister in September, Australia was a nation known for its lack of technological knowledge and innovation. Since he took over just three short months ago, altering that sentiment has become his and the country’s top priority. Things can change that quickly! So in this final edition of Business Review Australia for 2015, we’ll take a look back at the success strategies from some of the region’s top companies, examine the best of the best from our top-10 lists throughout the past 12 months, and reflect on the top stories we featured from this marvelous year. So sit back, relax and enjoy this issue as you celebrate the New Year!

Cheers!

ERIC HARDING Editor eric.harding@businessreviewaustralia.com

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CONTENTS FEATURES

6

18

2015 YEAR IN REVIEW

LEADERSHIP

Leadership Trends from 2015

COMPANY PROFILES

34

48

Kuehne and Nagel

70

McKay Drilling

82

Hedweld Engineering

4

December 2015

Sante Fe Wridgways


24

TOP 10

The Best of the Best

SUPPLY CHAIN 34 Kuehne and Nagel 48 Santa Fe Wridgways

MINING 58 Holcim Vietnam

58 Holcim Vietnam

70 McKay Drilling 82 Hedweld Engineering

92

Applus Energy

ENERGY 92 ApplusEnergy

CONSTRUCTION 104 Caesarstone

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2015 YEAR IN REVIEW

Check out Business Review Australia’s top features stories plus our smartphone predictions Written by: Eric Harding


REPORT

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A

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s we move into 2016, let’s take a moment to look back at some of our top features from the year it has been.

Google creates Alphabet Google was initially founded as a company that specialized in Internet search. Over time, it has broadened into other areas from drones, pharmaceuticals and venture capital to advertising, hardware, and even artificial intelligence. Today, Alphabet Inc., formerly known as just plain old Google, has arms that reach far beyond just the worldwide web. Over the summer, the tech giant is separated its moneymaking search and advertising businesses from the other “moonshot” subsidiaries. Alphabet is now the parent entity, and houses several companies, with Google the biggest among them. Under Alphabet, subsidiaries such as Google (the search engine) will be run autonomously, with each being able to focus on its own particular business. It was a significant shift from the original setup, which had Google as the parent 8

December 2015

company in charge of a number of diverse verticals. Now, the various businesses operate independently and are folded into Alphabet, as is Google’s stock.

The evolving role of a CFO Australian citizens are among the happiest in the world, so it’s no surprise the country’s top business executives have followed suit. According to reports back in April, Australia’s financial leaders are currently happier than ever in their current roles. In fact, the Michael Page Global Insights CFO and Financial Leadership Barometer revealed CFOs in Australia are content to remain in their same position instead of being promoted to Chief Executive Officer (CEO). In the report, 77.8 per cent of Aussie financial leaders were generally happy with their current title. In addition, over half of those who responded to the survey (54.4 per cent) anticipate being in the same position they’re currently in within the next two years. The role of CFO is now looked


REPORT

upon as career destination, as it has become more business-oriented than ever before. CEOs are looking for their CFOs to be more of a business partner to the executive teams, so today’s CFO spends more time leading the business through strategic review and change, as well as finding new ways to generate revenue. They often combine traditional skill sets with new responsibilities, such as giving their expertise in IT, legal, HR and procurement. According to Deloitte’s Q1 2015 CFO Survey, 21 per cent of CFOs have a more positive attitude about the prospects of their companies compared to three months ago, and are better

“CFOs will have the opportunity to lead their companies to greater competitiveness and higher valuation than ever before.” – Keith Nealon, President and Chief Revenue Officer at Adaptive Insights

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C O M PA N Y N A M E

prepared to take financial risks. Most of this is due to a seven per cent drop in the Australian dollar since the beginning of 2015 to 76 U.S. cents, along with an interest rate cut in February. It’s now the time for CFOs to be bold in their decision making. “CFOs will have the opportunity to lead their companies to greater competitiveness and higher valuation than ever before,” said Keith Nealon, President and Chief 10

December 2015

Revenue Officer at Adaptive Insights. “Purley by the nature of their role and the control over information flow and relationships with business leaders across the orgainsation – modern CFOs have the ability today to shape strategy like no other executive in the C suite.” The “family tree” of some of the world’s top companies With the ever-changing corporate


SECTOR

landscape, it has become harder and harder over the years to keep track of who does what in the executive structure of a large company. Which style of corporate governance is most successful? Which method is most popular? Should analysts and observers be more interested in news surrounding a company’s CFO or vice president? With those questions in mind, here is a look at some of the world’s top

companies and how its top-level management is set up. Apple’s executive structure is basically a traditional hierarchy, but takes away some aspects of other organisational structures to meet both market and industry demands. The company’s set up gives the first openly gay CEO in the Fortune 500 Tim Cook and senior VPs the majority of control, while the lower levels of the system has little say in market demands and business 11


SPECIAL REPORT needs. Australia’s biggest and most successful global company, BHP Billiton’s top four executives under CEO Andrew Mackenzie include a chief financial officer, chief legal counsel, a president of petroleum and potash as well as a chief information officer. Dean Dalla Valle was named Chief Commercial Officer in June, and now is responsible for Potash after previously being president of health, safety, environment (HSE), as well as marketing and technology. This allows the president of petroleum Tim Cutt to focus solely on increasing the value of the company’s important petroleum business. A Chinese investment holding company whose subsidiaries provide media, entertainment, internet and mobile services as well as operate online advertising services, Tencent has a CIO, Daniel Xu, who oversees the strategic planning and development for the website properties, customer relations and public relations of the Company under co-founder and

CEO Pony Ma (MaHuateng), A look at the Malaysia Airlines PR disaster Malaysia Airlines (MAS) is in the process of rebranding itself with new ownership as the airline attempts to recover from two of the largest disasters in recent aviation history, which took place over a four-month stretch. The Malaysia Airlines brand actually benefitted from the media coverage of MH17, as most of the focus was on Russian separatists who allegedly shot it down. However, Malaysia Airlines faced one of the toughest tests imaginable following the MH370 crisis. Although people expected the worst when MH370 went off radar, the plane still hasn’t been proven to been found, leaving the public to look to Malaysia Air’s PR for answers — who didn’t have any. Experts quickly pointed out blunders made by the airline, especially how quickly all of the information regarding the disappearance was revealed to the public. The airline chose to confirm 13


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the plane’s disappearance and total passenger loss of life with family members via text message. “The most important stakeholder in an aviation crisis is the family,” said Carreen Winters, executive vice president of the U.S.-based public relations firm MWW. “Malaysia Airlines checked off the box, but didn’t figure out a way to communicate with families in a way that was human to tell them their loved ones were presumed dead.”

David Johnson, CEO of Strategic Vision, took it a step further: “[This was one] of the worst crisis communications efforts in recent history. It was a textbook case of what not to do that will be studied for years.” In the flurry of misinformation following the disappearance, both the Malaysian government and Malaysian Airlines provided incomplete and inconsistent accounts of what happened, which


REPORT angered relatives of the passengers and diminished confidence in future announcements. Authorities also seemed unprepared for questions from a demanding international media, giving credence to rumors, speculation and eventually conspiracy theories. In the year since the plane disappeared, Malaysia Airlines has struggled to recover its reputation. One strategy for this is to bring in a communications or PR agency from the outside to help with both its short and long-term rebranding process, which Malaysia airlines was reluctant to do in 2014. Selecting a spokesperson to address concerns of consumers and media, in addition to purchasing additional advertising in the airlines’ top markets to directly address the tragedy goes a long way in repairing company image.

systems such as lighting, heating and air conditioning like it’s a home entertainment system. In May, Honeywell announced its Command and Control Suite, which is believed to be the next generation of smart building technology. It basically turned complex facility data into recommendations and easily implemented changes that helped boost business outcomes – lowering costs, minimizing risk and reducing downtime. Using the combination of intelligent automation, advanced analytics and visualization with the simplified user experience of today’s mobile electronics, it links building automation with the enterprise. For example, it can provide a complete view of a connected building’s video feeds, access controls and fire alarms, while taking relevant information from its human resource Enter the Smart Building applications. Today’s buildings are complex Things have changed combinations of structures, systems considerably since the days when and technology. As time has passed, these same buildings’ sole purpose each of these components have was to provide a comfortable space been improved and developed, for the people inside. Today, it’s not allowing its owners to adjust enough to just have the systems that 15


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provide comfort, light and safety. The buildings of the present and future must connect these various parts in an integrated, dynamic and functional way, all while minimizing energy cost, supporting an electric grid and alleviating the environmental impact. The smart building is at the forefront of this vision, as it provides not only the ceiling overhead, but also the information infrastructure to make an intelligent world truly 16

December 2015

possible. A look back at our predictions for smartphones in 2015...Were we right? Two thirds of Australians own a smartphone — two thirds! Mobile technology has proven itself a game changer again and again in personal communication, e-commerce, mobile marketing, and how we see the world in general. It created a culture hell bent on instant gratification and high performance expectations, so


REPORT the industry — which was worth between $200 and $250 billion in 2014 — is constantly churning out new and innovative technology to keep up with demand. This Year Smartphones and other mobile devices will allow us to “compute everywhere,” which is Forbes’ number one strategic technology trend for this year. “As smartphone technology advances, smartphones will be used in new contexts and environments,” said Forbes’ contributor Peter High. “Along with wearables, smartphones will offer connected screens in the workplace and in public. User experience will be key.” The Internet of Things is another pervasive trend in 2015. Smartphones are a major player in this move towards convenience, and will allow third-party designers and coders to produce apps allowing you to control the devices in your home (from your lighting to your dishwasher and air condition) with a touch of a button on your smartphone. Wearables — a completely

separate yet completely dependent technology — will also shape the smartphone market. Smartwatches will be the most talked about, especially with the launch of Apple’s Watch. Smartphones too have connected you to something else: your wallet. Apple Pay started off strong with its launch at the end of 2014, and is hoping to continue to attract big banks and big companies to allow customers to use the service. E-wallets will also connect to wearables, allowing people to pay for products and services with the touch of the wrist. Last on the long list of trends is a stronger phone. As screen size, internal computing and cameras on phones have gotten astronomically better, it seems like the screen hasn’t quite kept up. That’s about to change. Rumours have Apple’s 2015 iteration of the iPhone having “sapphire glass,” a widely awaited smartphone feature. Sound about right to you?

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LEADERSHIP

LEADERSH FROM

EXECUTIVE SUCCESS STRATEGIES F MOST PROSPERO

W R I T T E N B Y: E


IP TRENDS 2015

FROM SOME OF THE ASIA PACIFIC’S OUS COMPANIES

ERIC HARDING


LEADERSHIP As we look back at 2015, let’s examine the top leadership trends incorporated by some of the world’s most prosperous companies: Adani Mining CEO Jeyakumar Janakaraj reveals his successful leadership blueprint Jeyakumar “JJ” Janakaraj isn’t your ordinary executive. Since beginning his tenure as CEO of India-based Adani Mining, JJ has quickly become one of the most well-known names in the mining industry. A walking example of success, JJ has proven that hard work, dedication and the right attitude are key traits to help one thrive in his or her professional career. In addition,

20 December 2015

CEO Jeyakumar Janakaraj

strong leaders who provided priceless insights also played a large role—and he never forgets it. “I’ve worked through the ranks


and grown through the ranks,” JJ explained. “I’ve been given a lot of opportunities to do things because of the mentoring from my superiors, which really helped to catapult my career. “I generally believe 20 per cent of the leadership workforce will need a natural pathway to become leaders,” he continued. “However, that’s not enough. When you’re in rapid-growth mode in a company, you need to nurture talent with the right methodology so you develop and expose more people through training and workshops.” In addition to providing employees with the right tools to succeed, JJ is also actively involved in all aspects Hastings Deering CEO Dean Mehmet

of operations, taking a hand-on approach to leadership. “In projects, my style of management is not just engagement of the top, but to actually go to the sites and the places where manufacturing happens to get into details of what it takes to make something happen,” he said. “I don’t shy from travelling: I travel frequently so I can get a feel for the project. That’s been my style of operations. I don’t just listen to what I’m told in meetings. “When you set up a business, you have to set it up right for long-term production and gains. You must remain competitive in the global cost curve, no matter what.” Hastings Deering CEO Dean Mehmet reveals the secret to the partnership with Caterpillar Founded in 1932, the Hastings Deering Group has spent the last 80 years successfully navigating the mining and construction sectors by maintaining a similar sense of ambition and vision. Now with nearly 5,000 employees spread across four countries, Hastings Deering is the largest Caterpillar dealer network 21


TGOOD CEO Chris Ball in Australia, and one of the brand’s premier distributors across the globe. “Our organization is here for a reason, and that is to make our customers better at what they do,” explained CEO Dean Mehmet, who joined Hastings Deering in 2012 with an impressive background that includes senior roles at BlueScope Steel and Shell Australia. Mehmet’s intimate knowledge of the industry coupled with his passion for leading others has proven vital to his role as CEO of Hastings Deering, especially as he and the leadership team work to overcome the negative 22

December 2015

repercussions that have surfaced as a result of recent industry-based fluctuations. “I believe in value-based leadership,” said Mehmet. “Our values drive our behavior. They are what define us and how we make decisions and they drive people to take ownership and be accountable. “A good leader is someone who can live by their values and the values of the organization that they aspire to grow a culture in; someone whose behavior consistently matches those values. “This is something we aspire toward at Hastings Deering by being consistent in our approach to all matters, whether with a customer, an employee or even a shareholder: Our core values are always our foundation.” TGOOD CEO Chris Ball shares his strategies on becoming a successful executive In order to establish a presence in new markets such as Australia, the Middle East, Africa, Central Asia and South America, both TGOOD and CEO Chris Ball took a customer-centric approach.


LEADERSHIP TRENDS FROM 2015

In addition to his experience with strategic management and power distribution, Ball’s approach toward leadership and fundamental core values align well with TGOOD Australia’s leadership and fundamental corporate culture. One core value stands out among the rest — integrity. “Without integrity, all the other values are meaningless,” said Ball. “This is very much consistent with my own values — if you can contribute toward being good to your word with employees and customers, partnerships can flourish. “Generally, I can only inspire people if I am passionate about something. I think people can only be inspired if there is alignment of personal and professional values and beliefs.” As a manager of the No. 1 prefabricated electric power solutions corporation in the domestic Chinese market, Ball prides himself on his ability to adapt leadership styles based on an employee’s individual personality and needs — while being quick to give credit to those who came before him. “I have been fortunate enough to

have worked with some very talented people who have helped coach and mentor me, support me through tough times and work with me and others as a team to achieve some special results,” he said. When asked how his prior roles helped prepare him for this new venture, he was quick to give credit to his previous experience. “I have a lot of respect for the companies that I have worked for — they have their own unique strengths that they have offered and contributed to help me prepare for my current role at TGOOD,” Ball explained. “It is this experience that I continually try to give back to the people with whom I work.” Glencore Technology prospers through collaboration

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LEADERSHIP For Glencore Technology, innovation starts with collaboration. “Here in Australia, and all across the world, collaboration is a key ingredient to being innovative,” said Glencore Chief Technology Officer, Reinhardt Viljoen. “We have a very supportive and collaborative group here at Glencore Technology and everyone brings something to the table.” Collaboration helps Glencore Technology continue to find new ways of identifying and developing technologies to improve processing in the mining industry, as well maintaining a wide range of existing applications in the mining industry. Along with working internally with Glencore operations, Glencore Technology partners with other companies in building innovative technologies that improve processing. For example, Netsch GmbH, Glencore Technology’s partner in the development of the IsaMill Technology. “Once we identify a need, we run a very lean operation. We know what we’re good at and we stick with it,” said Viljoen. “We excel at commercializing technology and 24

December 2015

identifying needs. We work with the universities as well carrying out our own research and design to take those ideas to the next level in a very functional and commercial way.” “We take great pride in developing processes that are operationally proven and deliver value to our customers sustainably, such as our fine grinding processes that give mining operations the ability to liberate more of their valuable minerals.” Integrity is the key for G.J. Gardner Homes NZ While many business owners talk about building a company culture that feels like a family, most fall short in actually implementing that. For G.J Gardner, that wasn’t an option. “We want to be revered for being an organization of integrity, and one you can be proud to be part of,” said G.J. Gardner NZ co-owner Grant Porteous. “We want people to walk around with our brand on their chest and say to us, which they do, ‘Oh, you work for G.J. Gardner. What a fantastic business to work for.’ And that’s what we get all the time.” This is a common theme throughout, with many of the


LEADERSHIP TRENDS FROM 2015

company’s supply relationships were secured with only a handshake. Porteous prides the business on forming effective supply partnerships which reduce cost to serve and increase efficiencies. This attitude of professionalism and ethics is encouraged throughout the entire network, with joint success paramount. “Most things in our business are driven back to, ‘Does it add value for our franchisee?’ and ‘Does it add value for our customer?’ If not, why would we do it?” Porteous said. “When I get to do some work with other franchise groups in New Zealand, in the food industry or other sectors, they always tend to have a focus on themselves as a franchisor and their income. They seem like they look down on their team. “We’ve always looked at it the other way. Our franchisees’ success is ultimately our success and every one of them actually forms a brand.”

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TOP 10

THE BEST OF THE BEST: 2015


The winner from each of our top-10s throughout the year Written by: Eric Harding 27


TOP 10 With 2015 coming to a close, let’s take a look back at Business Review Australia’s top-10 lists from the year that was, and which companies came out on top:

Top gadget: Apple Watch Although the first generation of any tech usually has far more kinks to work out, the Apple iWatch has exceeded expectations this year. The lightweight, flexible option gives you several customizable options with look and performance, and in the opinion of many, is the best-looking smartwatch on the market.

Top organisation encouraging female professionals: Telstra Business Women’s Awards For 21 years the Telstra Business Women’s Awards has celebrated and recognised the determination and innovation of many thousands of Australia’s brilliant business women, whose leadership and

28 December 2015

inspirational stories have made a positive impact in business and the community.

Highest paid CEO: David Gyngell of Nine Entertainment

Gynell has long history with Nine Entertainment, and was appointed to CEO of the entire company in November of 2013 saw him appointed CEO of the whole company. The son of Australian television pioneer Bruce Gyngell, his $19.5 million salary surpasses those of all chief executives of the Big Four banks — which is a surprise since the financial industry generally dominates this list — as well as Wesfarmers’ and Rio Tinto’s top people.


T H E B E S T O F T H E B E S T: 2 0 1 5

Top company to work for: Vodafone Gynell has long history with Nine Entertainment, and was appointed to CEO of the entire company in November of 2013 saw him appointed CEO of the whole company. The son of Australian television pioneer Bruce Gyngell, his $19.5 million salary surpasses those of all chief executives of the Big Four banks — which is a surprise since the financial industry generally dominates this list — as well as Wesfarmers’ and Rio Tinto’s top people.

Top mining company based on revenue: Glencore An Anglo-Swiss multinational commodity trading and mining company, Glencore ranked 10th in the Fortune Global 500 list of the world’s largest companies in 2014. Among the largest globally diversified natural resource companies and a major producer and marketer of over 90 commodities, its operations make up over 150 mining and

metallurgical sites, as well as oil production and agricultural facilities. Glencore’s customers are mainly industrial consumers, including those in the automotive, steel, power generation, oil and food processing markets. In addition, it also provides financing, logistics and other services to both producers and consumers of commodities. Employing over 181,000 people, Glencore takes the cake as the wealthiest mining company in Australia.

Top business school: Melbourne Business School—The University of 29


TOP 10

Melbourne, Back in 1965, Melbourne Business School became the first institution to award an MBA in Australia. Fifty years later, it achieved the highest score of the new academic segment of this year’s MBA rankings. MBS has been ranked in the top 100 MBAs by Financial Times every year since 2005, including No. 3 in 2015, and was named top 40 in The Economist and placed second among the best business schools in the AsiaPacific. It was also named the No. 1 executive education provider in the Asia-Pacific by Financial Times in 2014, and was No. 1 in the Asia-Pacific by employers of MBA graduates in the 2012-13 QS Top Business Schools Report. In today’s uncertain world, MBS has graduate programs that meet the needs of business professionals at all stages of their career.

Most lucrative city to relocate a business: Singapore A dynamic, business-oriented city-state with a strong economy, 30 December 2015

Singapore is the major hub for multinational businesses that operate in Asia. Australia and Singapore have close relationships in the aerospace, oil and gas, healthcare, construction, technology as well as food and beverage industries. Known as one of the world’s wealth management centres, Singapore gives Aussie investors access to regional and global investment opportunities. Ranked as the best city to do business by both the Economist Intelligence Unit and the World Bank, Singapore also tops our list as the best foreign city for Australians to do business.


T H E B E S T O F T H E B E S T: 2 0 1 5

Top business mogul who became famous from their endeavor: Bill Gates Best known as the co-founder of Microsoft, the world’s largest PC software company, Bill Gates is also a business tycoon, philanthropist, investor and inventor. Gates first earned a place on Forbes’ World’s Wealthiest People list back in 1987, and then took the top spot each year from 1995-2014. Currently the richest man in the world, Gates’ wealth more than doubled between 2009 and 2014, as he has an estimated net worth of US$78.9 billion.

Most influential innovator: Mark Zuckerberg A household name thanks to the ongoing popularity of social media and the blockbuster film The Social Network, Zuckerberg is an American computer programmer and Internet entrepreneur. Due to Facebook’s success, he became a billionaire at the age of 23. Now 31, Zuckerberg remains CEO of arguably one of those most successful companies worldwide, proving that you don’t always need a college degree to flourish in the business world, just plenty of determination and a viable idea.

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TOP 10

Top “game-changing” company: Tesla Sustainability is a global trend, and finding ways to use the Earth’s resources in a more environmentally friendly way is

32 December 2015

growing in importance. Enter Tesla, a company with vocal Elon Musk at its helm. Worth about US$25.5 billion, the company designs, manufactures and sells fully electric cars as well as other electric systems. Its name is


T H E B E S T O F T H E B E S T: 2 0 1 5

immediately associated with the first electric car back in 2008, while its lithium-ion battery packs are spreading further than the automotive industry. Tesla is the first to offer this cutting-edge

technology, but the company’s success also comes from its forward-thinking viewpoint. The American manufacturer continues to sponsor programs to improve electric energy technology and beyond.

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December 2015

practical and grounded in real world logistics. The start of a strong journey with KN FreightNet In the business world, time is money. But speed is not the only factor involved in finding the right logistics partner: accuracy and dependability are also critically important. In 2014 Kuehne + Nagel launched KN FreightNet in select test cities


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S U P P LY C H A I N

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KUEHNE + NAGEL Nagel. “With growing numbers of suppliers, customers and partners, end-to-end visibility has never been more critical in order to achieve sustainable success and competitive advantage.” Kuehne + Nagel understands that the phrase “out of sight, out of mind” is never an option for a successful business. With the launch of supply chain management tool KN Login, Kuehne + Nagel grants clients full and individualized web access to important data allowing them to take full stock of their inventory and supply chain and to improve visibility within their supply chain from end

S U P P LY C H A I N

to end. “This is a comprehensive supply chain management platform developed to give customers a bird’s eye view of their entire inventory in motion, allowing them to optimise critical logistics, procurement and customer service processes,” states the company. By accessing their KN Login web account, users gain real time access to data ranging from order books and inventory to shipping documents and invoice numbers. Meanwhile an interactive delivery planner (IDP) enables clients to plan, book and even prioritize shipments. KN Login’s modular nature allows

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34 Pioneer Sector 2 Singapore 628389 | P: +65 6863 4527 | F: +65 6861 7539 | www.whs.com.sg


KUEHNE + NAGEL businesses to scale and tailor the program to each one’s individual needs across land, sea and air transport options, cutting out waste and speeding up the business’s ability to make quick decisions regarding inventory and budgets. Providing a clear overview of your actions and movements, KN Login gives clients the power to identify issues and tighten their supply chains. Kuehne + Nagel has also partnered with SAP to offer SAP BusinessObjects™ fully integrated within KN Login, providing organized statistics and reports that can help businesses better understand their data on hand and make more

S U P P LY C H A I N

informed decisions in their daily operations. Bringing ASEAN closer together with KN Overland While demand remains as strong as ever for sea freight and air freight solutions for clients throughout the Association of Southeast Asian Nations (ASEAN), a more interconnected world has created a growing demand for options in the field of road logistics. To meet these needs, Kuehne + Nagel is developing its KN Overland services in Singapore and beyond. KN Overland’s truck fleet transport offers several advantages to give

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KUEHNE + NAGEL clients more flexibility and choice in shipping, including competitive transit time, an extensive fleet network for full coverage, pointto-point monitoring to ensure the shipments reach the destination safely and on time—businesses shipping within Singapore can look forward to same-day delivery, whereas transport to Malaysia or Thailand can be achieved in as little as 1-3 days. For the more specialized needs of pharma and healthcare suppliers,

Kuehne + Nagel also offers KN PharmaChain as a specialized network offshoot of its Overland service. Taking the sensitive nature of pharmaceuticals and healthcare equipment into consideration, this dedicated fleet is GXP compliant across all continents and offers such features as: • 24 hour real-time tracking and tracing through integration with KN Login • Wireless sensors to monitor

Unequalled Service You Can Count On

Cargo Community Network (CCN) is a leader in providing solutions to the Logistics Industry.

Lo-Net Handling Pte Ltd is a six-year old logistics company specializing in inland transportation and air-freight clearance services.

Our CCNhub LINC is a complete suite of solutions for the Freight Forwarding & Logistics Industry, incorporating many other value-added applications to fully harness the data from source methodology. :: :: :: ::

Social Supply Chain Platform Complete Suite of Solutions eAWB and eFreight Enabled Cost-effective & Customizable

Tel: +65 6776 1200 | Fax: +65 6778 1875 Email: marketing@ccn.com.sg

www.ccnhub.com

LO-NET HANDLING PTE LTD

70 Alps Ave #01-03 Singapore 498801

Ph: +65 6542 7201 / +65 9069 9971

Email: lonet@singnet.com


S U P P LY C H A I N

temperatures while products are in transit from pickup to delivery • The ability for clients to access temperature data in real time • A dedicated CareTeam to ensure that shipments are cared for properly every step of the way. “Kuehne + Nagel Overland in South Asia Pacific is established to provide our customers an integrated transportation solution and give our customers an alternate option in term of supply chain lead time and transportation cost,” states Kuehne + Nagel. “Our excellent Overland expertise in transport implementation, execution, and management provide the customers with flexibility, timedefinite deliveries, and quick response to any business contingency.”

Company Information INDUSTRY

Supply Chain HEADQUARTERS

The Capricorn Science Park II Science Park Road 1 Singapore FOUNDED

1970 PRODUCTS/ SERVICES

Integrated Logistics

Working smarter in a complex world While communication and technology has made the world seem smaller, supply chains have grown increasingly complex. Effectively managing so many moving parts can be overwhelming—but a dedicated partner can make all the difference in keeping that supply chain clear and simple to understand. With these latest developments in supply chain technology, Kuehne + Nagel can look forward to continuing to grow and develop alongside Singapore for decades to come.

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Making the world a smaller place To lead the relocation industry, Santa Fe Relocation Services, supported by the Santa Fe Wridgways brand, emphasises customer service and technology Written by: Eric Harding Produced by: Phil Duran


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Santa Fe Wridgways makes every move a great move for all Australian domestic customers

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ompanies often say they want to put the customer first, but rarely do they back up this promise with action. Santa Fe Wridgways is committed to delivering on this promise for each and every one of its customers, while Santa Fe Relocation Services supports this same promise for its 50

December 2015

clients in the corporate sector. As one of the world’s leading removals, immigration and relocation providers, the company prides itself on the passion it puts into providing people with the highest quality customer service in the industry, in line with its company motto of “making it easy�.


S U P P LY C H A I N

With over 123 years of history in providing excellence in customer service and as part of the Santa Fe Group, the company’s ambition is to use its logistics skills to make the world a smaller place. “We make it easier for people and companies to live and work freely and flexibly around the world,” said Andrew Simpson, CEO of Santa Fe Australia. “We service both corporations who are moving their employees, as well as consumers. “Whatever reason a person chooses to relocate, whether it’s within Australia, outside of Australia, or into Australia, they are equally as important a customer to us as anybody that works for a large corporation.” A company on the rise Santa Fe has grown immensely over the last five years, with three large businesses merging together on a global scale. Wridgways has long been seen as the premium moving services provider in Australia and throughout the world, and was acquired by the Santa Fe Group in 2010. Santa Fe’s 35 years as the market leader in global mobility throughout the Asian market saw them well positioned to further strengthen their mobility resources by merging with Interdean Relocations, the global moving services leader for Europe. The result of these acquisitions was the formation of a professional relocation behemoth spanning 56 countries across six continents.

“We make it easier for people and companies to live and work freely and flexibly around the world. We service both corporations who are moving their employees, but also consumers” – Santa Fe Wridgways CEO Andrew Simpson

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Sales and rental of big Hyster pneumatic tyred forklifts for handling heavy project cargo and shipping containers. Supporting leading companies in the mining, energy, intermodal transport and logistics industries throughout Australia and the SE Pacific region.

Heavy Cargo & Container Handling Equipment Specialists

Phone: 1800 688 788 / +61 2 9897-5111 Email: sales@FLT.com.au www.FLT.com.au

Forklift Traders Pty Ltd 45 Parramatta Road Sydney NSW 2142

WWW.ASEAN.COM.AU ASEAN Cargo Pty Ltd is an Australian owned company founded more than 25 years ago, with offices in all major Australian and New Zealand gateways, as well as an international reach providing a truly seamless operation with uniform and consistent standards worldwide.

SYDNEY, NSW Head Office L2-202, Bayview Tower 1753 Botany Rd. Banksmeadow, NSW 2019 Ph: +61 2 8221 6666

BRISBANE, QLD Branch Office Unit 9B, 10 Depot St. Banyo, QLD 4014 Ph: +61 7 3621 0866

MELBOURNE, VIC Branch Office 7 Tarmac Dr. Tullamarine, VIC 3043 Ph: +61 3 8346 0166

We have a global network of trusted partners who work collaboratively to ensure that our clients freight is managed and delivered in a professional and timely manner.

PERTH, WA Branch Office Unit 10, 2 Ambitious Link Bibra Lake, WA 6160 Ph: +61 8 6214 2675

AUCKLAND, NZ Branch Office 160 Montgomerie Rd. Mangere, Auckland 2022 Ph: +64 9 275 3325


S A N TA F E H O L D I N G S P T Y LT D With over 3,000 employees globally and close to 500 in Australia, the Santa Fe Group now has offices throughout the United States, South Africa, Kenya, and the Middle East as well as an emerging market in Mongolia. The company’s revenue is €400 million per annum, according to CEO Andrew Simpson. Santa Fe’s wide range of services begins with managing visas and immigration for people moving anywhere around the world. The company also remains closely aligned with its original business model and excels in moving household goods, finding customers a place to live, finding schools for their children, and offering any cultural training they may need such as learning a new language. “We’re looking to use both technology and also our people in order to make some efficiency gains in order to give our customer the best service at the lowest possible price,” said Simpson.

S U P P LY C H A I N

Fe’s core values and this is evident not only in the company’s dealings with its customers, but also in the way they treat their employees. Santa Fe’s goal is to be customerdriven, and the culture across

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S A N TA F E H O L D I N G S P T Y LT D the organisation globally is one of absolute passion. As a result, Santa Fe’s top-level managers and executives have the pleasure of working with employees who are happy to do the right thing for the company and for its customers. This commitment to service and promoting a positive work culture is embedded in each employee and becomes an automatic way of thinking for all who join the company. “That’s a wonderful thing,” said Simpson. “It was instilled long

                                     

•    •    •   •    •  

FEEL AT HOME AT QUEST SOUTH PERTH       

before my time, and we’ve been fortunate enough to inherit that. “Our challenge, of course, is to make sure that attitude is maintained and that we progress to be a company that is a winner across all of its requirements.” Committed to new technology, not just people As an industry leader in technologies designed to enhance customer experience, one of Santa Fe’s primary focal points is creating an


S U P P LY C H A I N

interface and bringing collective data from all of its databases back to consumers from its legacy platforms. The company’s new Santa Fe app allows customers to have immediate access to any information or updates they might need from the convenience of their mobile device. The app was launched in early 2015, and even those who aren’t Santa Fe customers can download it to use for its destination services. “It’s all about having real-time, accurate information available to the customer,” said Simpson. “It includes anything you need at your new home, like the nearest café or a translator tool. Above that, it has personal details such as when you can expect household goods shipments to arrive, your personal flight times and any accommodation requirements you might have as well. “Think about all the different apps you use when you travel, and the Santa Fe app has all of those in one place.” “It’s simply an education process, as we’re taking customers on the journey of understanding that they can trust the information on the device,” said Simpson. “We’re dealing with the challenge of having a whole bunch of disparate legacy platforms around the world. We’ve been very successful in being able to pull them together so the customer experiences one common location of information, and that is certainly a unique proposition for us.

With a team of highly trained moving professionals, Santa Fe makes it easy for each and every customer

“We’re looking to use both technology and also our people in order to make some efficiency gains in order to give our customer the best service at the lowest possible price.” – Santa Fe Wridgways CEO Andrew Simpson

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C O M PA N Y N A M E

Santa Fe staff puts the customer first, and genuinely cares about what they do 56

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S U P P LY C H A I N

I highly recommend the app for anyone traveling around the world for the holidays.” Five-year plan The Santa Fe Group has what Simpson calls a “2020 strategy,” which is the five-year plan the company recently implemented. For 2015-2016, the company’s focus is reorganising its core moving services business, while strengthening its group skills technology and processes. Essentially, these two years will be used to build a platform for stronger growth. For 2017-2018, the goal is to accelerate the company’s growth and increase its market share, resulting in true global market leadership by 2019-2020. In the long term, Santa Fe wants to be able to explore consolidation opportunities across what is presently a very fragmented mobility industry. “We’re moving from being very much a logistics provider to something that is far more about how we can make it easy for a person to settle into their new home, particularly when they work for a large corporation,” said Simpson. “We ask ourselves what we can do to help that corporation ensure that their new employee is fully effective at doing what the corporation wants them to do, and not have to worry about anything else.”

Company Information INDUSTRY

Supply Chain Digital HEADQUARTERS

450, Santa Fe Australia 3000, Worldwide FOUNDED

1892 Wridgways; 1980 Santa Fe; 2011 Santa Fe acquires Wridgways. EMPLOYEES

450, Santa Fe Australia 3000, Worldwide REVENUE

Santa Fe Group - €400 million per annum

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Leading the industry through sustainable solutions Rising to the top of the cement and readymix sector, Holcim prioritizes social, environmental and economic goals Written by: Eric Harding Produced by: Nguyen Cong Minh Bao


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H O L C I M V I E T N A M LT D

Holcim Quarry

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he leading supplier of cement and readymix in southern Vietnam, LafargeHolcim has a presence in 90 countries and is a world-wide leader in the building materials industry. But the company’s top priority isn’t only profit. Holcim Vietnam (HVL) is striving to balance its triple bottom line with economic growth, environmental performance and 60

December 2015

social responsibility. With initiatives such as “Together for Environment” and “Together for Communities,” HVL intends to increase environmental awareness and improve the society we live in. “With a commitment of driving sustainable solutions for better building and infrastructure, as well as contributing to a higher quality of life, Holcim is positioned to


CONSTRUCTION

meet the challenges of increasing urbanization,” said Holcim Vietnam sustainable development director Nguyen Cong Minh Bao. History A member of LafargeHolcim Group, Holcim Vietnam employs about 1,300 people at its six main sites — including the head office at the Continental Tower (Ho Chi Minh city) and five plants at Hon Chong, Cat Lai, Thi Vai, Hiep Phuoc and Nhon Trach. The group has 115,000 employees worldwide, acting as the industry benchmark in R&D for the biggest and most complex projects. It maintains the widest range of valueadding products, innovative services and comprehensive building solutions, with core values revolving around health and safety. Following its core values: CRISP (Customer, Results, Integrity, Sustainability, Performance), with health and safety overarching all, HVL’s approach to creating value is based not only on economic performance, but on the environmental and social aspects of its operation. In short, the company’s “triple

bottom line” of economic, environmental and social is critical in helping the company reach its business goals and maintain its licenses to operate. Sustainability Since the manufacturing of cement involves extensive exploitation of non-renewable resources such as limestone and clay, environmental performance is a significant part of Holcim’s business strategy. Holcim implemented its “Together for Environment” program in 2009 to cover all activities aimed at reducing the company’s environmental footprint. The program also includes green manufacturing and environmental performance monitoring, as well as raising awareness of environmental protection for employees and the community. The Geocycle Vietnam business unit has played a big role in achieving such great sustainable development. The waste management solution not only benefits the environment, but also helps enhance companies’ reputations and its ability to achieve

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Mitec

MINH TIEN MINING CORPORATION

LEADER IN MINING, PRODUCING AND SUPPLYING POZZOLAN AND CONSTRUCTION MATERIALS THROUGHOUT VIETNAM

Mitec Corp has been a friendly most reliable source to supply Pozzolan & construction materials for over 20 years to: • Cement manufacturers • Dam & riverbank construction projects • Major infrastructure projects • Concrete supplying hubs • Tile & stone manufacturers

MITEC CORPORATION 54/31 – 33 Bach Dang 2, Ward 2, Tan Binh District Ho Chi Minh City, Vietnam Phone: +84 8 3991 9770 – 771, Fax: +84 8 3848 8748 For all inquiries, please contact Ms Vo Thi Quyen Quyen Mobile: +84 9 1884 0887, Email: miteccorp@vnn.vn

D.N.T. CONSTRUCTION TRADING SERVICE COMPANY

Innovative, Competitive, Efficient Construction Works to Hand over Every Project on Schedule We specialize in infrastructures, port construction, PC sheet pile production and installation, pilling work (RC piles and PHC spun piles), factory construction, steel structurals.

CONSULTANT

DESIGN

CONSTRUCTION

SUPERVISE

OUR TRUST AND QUALITY TODAY BRING TOMORROW'S VALUES Tu Phuong AD*STAR Bag factory, branch of Plaschem is one of the leading block bottom bag suppliers in Vietnam. Established in 2013, the licensed capital investment amounted to 15 million USD. Our factory acquires high-tech production lines from Starlinger - Austria with the capacity of 132 millions bags per year. Having 23 years of experience in the plastic industry, we commit to provide our customers with the best quality.

No.6, Loi Binh Nhon Industrial Cluster Loi Binh Nhon Commune Tan An City, Long An Province, Vietnam P: + 84 72 3 550 011 (Ext 168) F: + 84 72 3 821 799 E: buitodinh_adstarbag@plaschem.vn

www.tuphuongadstar.vn Ph: +84.8.3936.2222 Fax: +84.8.3936.2999

Email: contact@dnt.com.vn Website: www.dnt.com.vn


H O L C I M V I E T N A M LT D

CONSTRUCTION

sustainability goals. Additionally, Geocycle complies with all Vietnamese laws and regulations on such matters as well as Holcim’s own relevant standards. “The initiative is based on the fortuitous circumstance that, along with producing clinker, a cement kiln is a very environmentally friendly place in which to dispose of waste,” said Nguyen Cong Dong, Geocycle Director. With the cement industry developing technology to use waste products as substitutes for traditional fuels such as coal or

natural gas, Geocycle is a highly efficient process that helps reduce carbon emissions of cement plants and leaves no residue. “The continuing successful partnerships between Geocycle and its customers will not only result in cleaner production, but also contribute to improving the overall quality of life for society, as it moves ever-closer to a zero-waste environment”. Social responsibility As part of the Holcim’s “Together for Communities” initiative, a

Geocycle co-processing technology

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C O M PA N Y N A M E

Building bridge for the local community during Green Summer

wide range of activities have been used to meet objectives. Most of these actions are administered specifically to improve the quality of life of Holcim’s employees and their families, as well as the communities surrounding its operations. The initiative shows Holcim’s commitment to becoming a trusted partner of the community, and also creates a platform and vehicle for voluntary participation by different stakeholders and employees in social activities to develop a sustainable development mindset. According to Nguyen, Holcim 64

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believes these investments help improve the quality of life and sustainability of the communities where it has a presence. The company focuses on community development, infrastructure development and education promotion. In order to truly create prospering communities, Holcim is dedicated to working together with schools, nonprofit organisations, stakeholder groups and its own employees. Innovation Holcim has earned its reputation by


CONSTRUCTION

delivering commercially superior solutions to their customers while installing state-of-the-art equipment and processes to ensure the most efficient manufacturing, with significant attention being paid to environmental protection. In its mission toward sustainability, Holcim focuses on limiting the environmental footprint of its production, specifically in regards to energy and water usage for producing each ton of cement. With a commitment to make major investments in the latest technologies, Holcim intends to develop an energy-efficient culture within its staff by embedding energy efficient habits of consumption into their daily work. This will be accomplished by upgrading current equipment to reduce the volume of electrical and thermal energy used, substituting fossil fuels with alternative fuels to generate fewer CO2 emissions and using mineral components in all products to preserve the quality expected by its customers. One of Holcim’s largest investments is the company’s

Waste Heat Recover (WHR) Power plant, which has been operating since 2012. The steam-cycle plant is among the first in Vietnam to use heat from the production process to generate electrical energy. The plant uses two waste heat sources: a kiln preheater exhaust and a clinker cooler exhaust. Since the WHR plant meets 25 per cent of the plant’s electricity requirements, it takes pressure off the national grid supply and significantly reduces CO2 emissions by an estimated 25,000 tonnes per year. This provides massive benefits to the environment, economy and society as a whole. Some of the company’s other investments include using a Vertical Roller Mill (VRM) to reduce energy consumption in cement production, installing bag filters to reduce dust emissions and perfecting co-processing technology in Hon Chong cement plant. Using co-processing in cement kiln technology, Holcim developed its operation using considerable investments in new technology for its co-processing actions at the Hon Chong cement plant.

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Hon Chong cement plant


H O L C I M V I E T N A M LT D

CONSTRUCTION

These innovations didn’t happen overnight, but instead came about through small, incremental changes initiated by Holcim’s goal of continuous improvement. This has led to Holcim receiving several national and international certificates, including ISO 9001, ISO 14001 and OHSAS 18001. “At Holcim Vietnam, continuous improvement is not only the task of constantly seeking out ways to improve processes, products or services, but also is considered a business strategy,” said Nguyen. “In over 20 years of operation, we have achieved a lot of important national and international certificates and have used them as crucial measurement criteria to streamline and improve our daily operations while maintaining consistency and quality.”

Talent management Holcim instills a commitment to health and safety in everything it does. The company’s “Zero Harm” plan has a goal of conducting business without having any injuries, while creating a safe and healthy environment for employees, contractors, visitors and communities. “This is how we intend to make a difference in the way we work, in our business and communities,” said Nguyen. In order to achieve this, Holcim maintains a global health and safety management system designed to continuously improve performance and manage risk. It also establishes a culture of safe execution through targeting operational discipline and communicating with all stakeholders on relevant issues.

“The Geocycle Vietnam initiative is based on the fortuitous circumstance that, along with producing clinker, a cement kiln is a very environmentally friendly place in which to dispose of waste” —

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H O L C I M V I E T N A M LT D

Bag house at Hon Chong cement plant

With a strong belief that employee development is a key aspect of a company’s success, Holcim has created several programs to help its workers at every level perform to their best ability. Holcim’s three key programs of Enterprise Vocational Education (EVE), Junior Engineer Trainees (JET) and Graduate Development Program (GDP) have supplied a strong knowledge base for first-level management employees. Along with other training programs such as Leadership and Supervisory Development, as well as the company’s Coach the Coach 68

December 2015

(CTC) program, Holcim’s soft skill training methods have been created to help employees improve their problem-solving skills and ability to handle difficult customers. “We are making every effort to continue our investment in developing and retaining our people,” said Nguyen. “We therefore believe in building a committed workforce that has each and every employee contributing their best to the organisation.” Ahead of the rest Constant change in the world and in the industry brings new


CONSTRUCTION

challenges for the construction and building materials sectors, such as demographic growth, increasing urban development, climate change and environmental preservation. Holcim addresses these trends through providing spaces to live and learn, places to rest and work, infrastructure that facilitates mobility, along with innovations that maintain energy supplies. “These are the main missions of building materials, particularly those of cement, aggregates, and concrete solutions,” said Nguyen. “In providing what really matters, we will set the standard for the industry as a whole.” Holcim’s sustainability approach capitalizes on LafargeHolcim’s global presence of providing solutions towards meeting social, environmental and stakeholder challenges, with a goal of creating shared value with society. “Holcim Vietnam not only provides innovative cement, aggregates, ready-mix concrete products as well as associated services and solutions, but also develops sectorial offerings tailored to their specific needs,” said Nguyen. “Thus, we use our operational excellence to supply our customers efficiently, sustainably, and safely. “With our professional teams, assets, technologies, and strong manufacturing processes, our clients can trust the quality and the consistency of our products and solutions. We are setting the standard for the building materials industry.”

Company Information INDUSTRY

Construction HEADQUARTERS

81-84 Ham Nghi St., Dist.1 Ho Chi Minh City FOUNDED

1994 EMPLOYEES

1,300

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Innovating the future of drilling General Manager Brenton Wallace discusses growth, new technology, and high standards at Western Australia’s McKay Drilling Written by: Sasha Orman

Produced by: Jeffrey Bailey


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M C K AY D R I L L I N G

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n 1990, Mark McKay formed McKay Drilling to provide highend specialized drilling services to Western Australia’s exploration and mining industries. Today, with state-of-the-art drilling rigs established from Brazil to the Pilbara region, McKay Drilling continues its dedication to bringing innovation and new technology to the mining sector. The McKay difference What makes McKay Drilling a supplier of choice for Australia’s major mining houses? The company’s willingness and ability to invest in new ideas and technology,

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with the goals of improving both productivity and workplace safety. This is a desirable trait in any supplier, especially one in a section of the industry where change tends to come slowly. “There’s quite a lot of innovation going on throughout the whole business, from small changes to the master changes in the drill rigs,” says McKay Drilling General Manager Brenton Wallace. Its latest fleet includes high-tech, hands-free drill rigs from Schramm Inc. and Boart Longyear that act as the ultimate in workplace safety. “The Boart LF350 drill totally


MINING

changes the actual way of handling drill pipe,” explains “Mark McKay has Wallace. “It removes the operator, as well as the drill continually strived assistants, away from any interaction with pulling to look at different and running drill pipe in and out of the hole, from technology that commencement of the hole to finish of the hole. The sets McKay operator and the assistants don’t need to touch a drill pipe. It reduces potential for hand injuries, back strains, Drilling apart and any crushing or caught-between accidents that from other drilling can take place on drill rigs.” companies and McKay backs up the capabilities of its rig fleet changes to the with a battery of ISO certifications including ISO-9001, ISO-14001, and ISO-18001, proving way that we that its equipment is up to the highest Australian operate in the standards. With the impending acquisition of ISOfield” 55001 certification, McKay Drilling will be among the first Australian companies to achieve fleet – Brenton Wallace, and maintenance certifications to operate both in General Manager Australia and overseas.

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With Tatra, you don’t need to follow a path...

Offroad Trucks Australia are the Australian importer and dealer with branches in WA and QLD, and over 25 service outlets throughout the country.

Established more than 15 years ago, the company stock 100% spare parts and offer 24/7 service for the Tatra trucks and associated modules.

– Extreme toughness of frame extends superstructure durability – Operates in the hardest terrains & extreme climate conditions

Head Office 25 Garnet Way Maddington WA 6109 t: +61 8 9459 8911

Queensland 26 Heidi Street Paget QLD 4740 t: +61 7 4944 0988

e: tatra@offroadtrucks.com.au www.offroadtrucks.com.au


you create your own.


SUPPLIER PROFILE

OFFROAD TRUCKS AUSTRALIA “Offroad Trucks Australia partners with major mining, construction and emergency services operations throughout Australia. The company distributes specialist Tatra trucks that have been designed, engineered and manufactured in the Czech Republic for over 80 years. Based in Western Australia, OTA  has branches in the Queensland town of Mackay, as well as over 25 other service outlets providing parts, service and technical support to customers close to their base of operations. Spare parts for engine, driveline, suspension, and bodywork for all Tatra trucks sold in Australia are all on-site at local Tatra warehouses, ensuring maximum uptime for customers in time-critical industries. Technical support is always current - Tatra service personnel are rotated to the factory annually for training by design and development engineers, all highly experienced in off-road operations in the most hostile environments in the world. Tatra’s military and exploration reach crosses all borders, largely due to the unique Tatra driveline. The all-wheel drive systems are based on independent swing-axles that distribute traction evenly across all surfaces. Full articulation is available to each wheel, independent of its opposite number, maximising tyre tread contact with the ground. Electronic axle and inter-axle diff locks are driver controlled, and all axles are supported on Tatra’s unique tubular backbone chassis, which is built in modules, allowing drive and steer axle extensions as the application demands. As a result, Tatra trucks have the unique reputation of taking high gross weights across terrain that brings other all-wheel drive trucks to a halt. The air-cooled V8 diesel engine is renowned globally for durability, and the absence of cooling fluids and plumbing systems is a major advantage in locations where ambient temperatures are extreme, and support is hours or even days away. The recent availability of Allison automatic transmissions and a ROPS/ FOPS integrated cab extends the useability of the Tatra range.” Website: www.offroadtrucks.com.au


M C K AY D R I L L I N G

MINING

The agility to innovate Innovation has been a core value at the heart of McKay Drilling since its inception. With a lifetime of drilling industry experience, founder and managing director Mark McKay is able to guide the business with a true insider’s perspective. Focusing on this value over the years has enabled McKay Drilling to increase safety and make a true difference within its niche. “McKay was one of the first companies 20 years ago to put hands-free operations and rod loaders on their drill rigs,” says Wallace. “Mark McKay has continually strived to look at different technology that sets McKay Drilling apart from other drilling companies and changes to the way that we operate in the field.” Keeping McKay Drilling privately owned and operated has allowed the company to stay agile and keep innovation a top priority. “In corporate structures or multifaceted businesses, the ability to change direction or change the way that you operate is a bit slower,” Wallace explains. “We can be nimble and change direction very quickly as the market deems,

Mark McKay Founder, Managing Director

Brenton Wallace General Manager

“The Boart LF350 drill totally changes the actual way of handling drill pipe. It reduces potential for hand injuries, back strains, and any crushing or caught-between accidents that can take place on drill rigs” – Brenton Wallace, General Manager w w w. m c k a y d r i l l i n g . c o m . a u

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M C K AY D R I L L I N G

MINING

whether there’s a boom or a recession, and if there is a requirement for new technology we can interact with it very quickly.” Growing against the current While the industry has faced a downturn, McKay Drilling has continued to find success through diversification of the services it offers clients. McKay has historically focused on reverse circulation drilling, but now the company has expanded to include diamond drilling and hydro drilling in its portfolio. “We have invested $23 million in capital expansion in the last 12 months. We’ve taken the opportunity to expand in the downturn and be ready for any upswing in the market that may come in the next 12-18 months,” says Wallace,

Aaron Earl Operations Manager

McKay Drilling’s reverse circulation rig w w w. m c k a y d r i l l i n g . c o m . a u

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Maintenance and Drill Team for LF350

noting that the company has made both large investments into new drill rigs and smaller investments into safety and capability enhancements for existing drills. The results of these investments 80

December 2015

are substantial: over the past year McKay Drilling has increased its staff from 45 to 142, and is on target to increase its number of drills from 14 to 22 by the first quarter of 2016, priming the company for whatever


MINING

opportunities may lie ahead. “It’s opened up the door for us to work for some blue chip clients, who are giving us an opportunity because of the reputation the business has for being focused on delivering,” says Wallace. “We’re branching into other areas systematically and at a steady pace, where we can control our expansion, but also bring new technology to the table as well.” Looking forward What does the future look like for McKay Drilling? Regardless of the state of the industry at large, the focus for McKay will be on growth, developing further relationships with junior and blue chip mining operations alike in Australia and Brazil. “The business is moving forward, with expansion and consolidating our business with a mixture of blue chip and exploration clients. We’re focusing on diversification so we don’t have all our eggs in one basket,” says Wallace. “Within the next 18 months we hope to grow to a 25 drill operation.” But the company is not focused on growth alone—the key is controlled and steady growth while continuing to improve every stop of the way. “In the process of expanding, we are bringing the rest of our equipment up to the latest standards that are out there, to offer it to our clients,” he adds. “The aim is to reduce our exposure to injuries with the help of innovation and training our people.”

Company Information INDUSTRY

Drilling equipment and services HEADQUARTERS

42 Prestige Parade Wangara Western Australia Australia 6065 FOUNDED

1990 EMPLOYEES

142 REVENUE

$50 million

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The next chapter in Australian manufacturing Using farmer’s ingenuity, Hedweld Engineering has grown to become a world leader in the design, manufacture and export of mining equipment. The launch of their new manufacturing facility will take the Australian to the next level. Written by: Robert Spence Produced by: Jeffrey Bailey 83


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Trilift TH15000 Workshop Tyre Handler removing wheel assemblies from a Cat 789C

T

he next piece in Australian innovation is quietly being assembled in the heart of the Hunter Valley coal mining region in New South Wales. Along with launching a slew of new products aimed at enhancing safety aspects of the mining industry, Hedweld Group of Companies is preparing to open a world-class, 84

December 2015

$8 million manufacturing facility in Hunter Valley that will become home to the most advanced robotic metal processing technology and equipment in the world. From the beginning Founded in 1980 by Ian Hedley, a fourth-generation farmer, the company originally began serving


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the local mining industry of Hunter Valley mainly through small repairs and fabrication. Using farmer’s ingenuity, the small family business has grown to become a world leader in the design, manufacture and export of mining equipment. Today, Hedweld Engineering provides innovative products specifically designed and built

to improve safety, efficiency and productivity in the mining and earthmoving industries, offering two proprietary products: Trilift® and Safe-Away®. The Trilift series of products are specifically designed to assist with the removal, installation and handling of components on mining and heavy earthmoving vehicles. w w w. h e d w e l d . c o m . a u

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HEDWELD ENGINEERING

Hedweld’s advanced manufacturing includes CNC machinery

“The majority of our products are safety related that provide efficiencies in maintenance,” said Mark Gream, Global Products Manager. “Trilift improves maintenance handling by using the latest design techniques and technology to do things smarter. It provides a safer working environment for maintenance staff, which can lead to achieving zero harm, and it can also reduce the number personnel required to perform maintenance tasks freeing up labor for other duties.” Safe-Away is another trademark product from Hedweld. It provides 86

December 2015

technologically advanced access options for most makes and models of truck, dozer, loader, grader, scraper, shovel, excavator and drill rig. According to Gream, the majority of Hedweld’s products come as requests from customers, equipment manufacturers and end users. “They’ll tell us they have got a problem with a specific task. We’ll go out and do some engineering and design work, and then develop it into a mainstream product,” Gream explained. In addition, Hedweld is currently trialing a range of brand new,


MINING GLOBAL

Hedweld staff at Information Day Dec 2014

benchmark-shattering products. Expected to be launched in early 2016, the company is gearing up to release the following products: Universal Wheel Nut Tool; Universal Body Pin Handler; WAC30 – 30T Wheel Assembly Carrier; CR20000 Component Rotator; Cat 795 Generator Hoist; and Variable Height Sliding Stair. In keeping with its savvy farmer’s mindset, Hedweld is looking to diversify into new industries in order to sustain its business from the recent mining downturn. One such product is Milbrotec, with the first product line being innovative

fencing system designed to improve conventional fencing installation methods. “We’re taking what we’ve learned over the years and bringing it to the agriculture industry,” said Gream. The unique design of Milbrotec fencing system allows users to easily erect, remove and replace fence posts, while minimizing the labor intensive, timely and heavy installation process. “The creation of Milbrotec is a testament to Hedweld and its ability to leverage its existing people, skills and assets, particularly its advanced robotics and technology and w w w. h e d w e l d . c o m . a u

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HEDWELD ENGINEERING expertise in research and development.” Milbrotec has also designed a floating fencing system that allows users to elevate their posts and wires when rivers or creeks rise, ensuring debris doesn’t collect at the fence and livestock are safely preserved.

Ian Hedley Managing Director

Focus on innovation, focus on education Hedweld has been working with TAFE – Australia’s leading vocation education and training provider – to create a pilot on-site training program for first year boiler makers and welders. The program aims to ensure Hedweld’s apprentices are at the forefront of cutting-edge

®


MINING GLOBAL

technology like machining and robotics, which the company believes will revolutionize the way they process steel components. “With the new facility and world firsts in machinery, we will continue to develop our own training programs and have people upskilled to utilize the equipment and technology we have,” Gream said. “We worked with TAFE to develop our own course material because we felt like it could be improved. Training is something we pride ourselves in, and it’s something we’re investing heavily in.” Furthermore, the company actively collaborates with industry experts on a various levels, including partnering with a number of organizations to push the envelope of innovation. “We’re collaborating with a range of companies and organisations that specialize in things like automation, hydraulics, and even vision technology,” said Gream. Monumental advancement for Australia manufacturing Opening in February 2016, the expansion of Hedweld Engineer’s new Mount Thorley facility will propel the company into the future of manufacturing. Hedweld is investing $8 million into the advanced manufacturing facility, including $2 million from the Commonwealth’s Manufacturing Transition Program, which seeks to encourage

Mark Gream Global Products Manager

“With the new facility and world firsts in machinery, we will continue to develop our own training programs and have people upskilled to utilize the equipment and technology we have” – Gream said

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Safe-Away EL-RTV Electric Ladder on a Komatsu Dump Truck 10

December 2015


MINING GLOBAL

Australian manufacturers to invest in more sophisticated and knowledge-intensive manufacturing. The new Mount Thorley manufacturing facility will incorporate state-of-the-art CNC machinery and robotics. “Some of the technology we’re investing in is not only a first in Australia, but also a first in the world,” said Gream. “It’s going to allow us to be fully automated and push us to the next level of manufacturing.” The innovative new machinery includes: Mazak FabriGear 400 Beamline Laser Tube cutter; Mazak Super Turbo-X 3Kw sheet laser cutter; Kinetic K5000 Plasma & Oxy Machine Plateline Cutter; and Okuma U4000. According to the company, the new equipment means that Hedweld will be able to offer its advanced manufacturing services to, and collaborate with, other Australian manufacturers - producing their high volume products locally, to help keep them globally competitive. The Mount Thorley facility in New South Wales is expected to usher in a new era of manufacturing in Australia, and will become the driving force for keeping Hedweld competitive with product development and advanced manufacturing techniques. “We want to become the manufacturing benchmark for the future and help other Australian organisations and manufacturers to learn from us,” said Gream.

Company Information INDUSTRY

Mining & manufacturing HEADQUARTERS

13 Russell Road, Mt Thorley Singleton New South Wales Australia, 2330 FOUNDED

1980 EMPLOYEES

85 REVENUE

Confidential

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Reshaping the NDT industry from within In-house innovation and technology separates this energy equipment company from the rest Written by: Eric Harding

Produced by: Vince Kielty 93


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o fancy slogans or big marketing strategies are necessary here: The difference between Applus RTD and its competition is the company’s innovation and technical excellence. With a platform based on radiography, ultrasonic and imaging technology, Applus RTD has in-house state-of-the-art capabilities to develop and build/ produce its own equipment. Because of this, Applus RTD, the global leader in Non-Destructive Testing (NDT) and inspection services, can tailor its equipment to high-end niche markets in both the 94

December 2015

pipeline and LNG tank construction industries. “We develop the technology, and we build the mechanics around it,” said Herman Quakkelsteijn, Asia-Pacific Manager of Major Construction Projects. “That’s what differentiates us. It’s our own product. “Most of our competitors buy off-the-shelf AUT equipment or RT equipment. They’re supplied by the likes of the known industry giants and offer services with their backup support. At Applus RTD, we have our own technical experts and R&D people. If we need a quick


ENERGY

adaptation for a new project, we do it in-house. We can be quite flexible in adapting to what the client requires.” Ahead of the competition Rather than using static methods that only allow for single still images or “X-rays” taken of the inside of LNG tanks, Applus RTD has a dynamic methodology which takes images as it moves along the weld. This real-time digital radiography — known as Rayscan — allows Applus RTD to work up to 30 times faster than its competitors.

“Rayscan is a technology we’ve developed in-house,” said Quakkelsteijn. “We developed a technology where rather than using a film and holding it steady, we can scan it in one inspection.” Applus RTD initially launched this technology last year for an LNG tank construction project in the Asia-Pacific nation of Brunei. Now, Applus RTD brings the technology to Australia for the first time in the country’s history by winning a contract from on the Ichthys LNG Project’s onshore facilities. The inside of an average LNG tank

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is up to 90-100 metres in diameter. On average, companies have to inspect about 340 metres to do one horizontal weld, according to Quakkelsteijn. With each radiographic film being only 40 centimetres, it would take 1200-1300 shots on one weld to fully inspect it Using Rayscan, Applus RTD can complete this inspection in a 96

December 2015

couple of days. Using conventional radiography, this same task would normally take 2-4 weeks. “Rayscan is a dynamic methodology of applying radiography,” said Quakkelsteijn. “It’s unique and it’s patented. No one else has that technology.” Meanwhile, Applus RTD’s latest innovation hasn’t been accepted by


SECTOR

“We develop the technology and we build the mechanics around it. That’s what differentiates us. It’s our own product” — Herman Quakkelsteijn, Asia-Pacific Manager of Major Construction Projects

the industry—yet. IWEX is a new imaging-based technology that provides a 3D image of the weld to see the defects in the rod’s orientation or sizing. Quakkelsteijn said that while Applus RTD has already used the technology to do some parallel testing on some pipe line projects, it is in the process of being introduced commercially to the industry. According to Quakkelseijn, it is only a matter of time before the technology is adopted as a w w w. A p p l u s R T D . c o m

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APPLUS RTD

ENERGY

standard. “IWEX is going to be the next AUT state-of the-art system that the industry will adapt to,” said Quakkelsteijn. People come first Applus RTD will handle most of the construction NDT for the Ichthys LNG Project, which has an expected 40-year life cycle, with a combination of 50 new and existing staff members working during the project peak . The radioactive source used for conventional radiography raises several safety concerns, and has safety boundaries up to 45

metres. But Applus RTD’ Rayscan technology only requires a safety radius of a mere five metres, which allows multiple workforces in the tank at the same time. “That’s a massive safety improvement, and also has a massive operational benefit to the client,” said Quakkelsteijn. “We can work during the day shift, where traditionally, they would close an entire tank for the night shift to allow exclusive access for NDT companies to do their work. We don’t need that. We can do it during the day.” With all the new technology

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APPLUS RTD and innovation generated by Applus RTD, having competent, reliable employees is critical to the company’s success. Because of this, Applus RTD has its own inhouse training department, where employees learn not only the technique and applications, but also the theory behind the system and its associated procedures. “Everything stands or falls with the competence and experience of the people who execute the inspections,” said Quakkelsteijn. “If you don’t inspect in accordance with the specifications and the codes, you fail in the eyes of the client, regardless of how good the equipment is.” Benefits of innovation Applus RTD works directly with the

ENERGY

contractors instead to working for the asset owners, which puts it under a different spotlight within the industry. “We still have very strong relationships with the technical experts within the asset owner groups, .,” said Quakkelsteijn. “We target them with information because they ultimately will drive the new technology and specifications. That allows us to put pressure on to accept those new technologies as well.” Applus RTD promotes its technologies to pipeline contractors and LNG tank construction companies, before going through a qualification process to prove the reliability and accuracy of the system. A good example is the work Applus RTD has done in Brunei as well as in Darwin, which allows a

“At Applus RTD, we have our own technical expert and our own R&D people. If we need a quick adaptation for a new project requirement, we do that in-house. So we can be quite flexible in adapting to what the client requires” —Herman Quakkelsteijn, Asia-Pacific Manager of Major Construction Projects w w w. A p p l u s R T D . c o m

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APPLUS RTD

construction company to build an LNG tank in less time.

With the construction boom beginning to come to an end, several Australian companies are Changing the industry looking toward Asia and attempting Applus RTD’ technology can reduce to expand into maintenance the 5-6 month construction period services. Applus RTD is no different, for the LNG tank’s inner tank wall by as it’s currently doing feasibility several weeks. studies on its Rayscan technology “That’s a significant saving,” said to inspect heavy wall plates in the Quakkelsteijn. “For those weeks, a Asian market. lot of the workforce assigned to that “Because there are no tank is not required. That’s where we earthquakes in Australia, a typical see the advantages of continuing to LNG tank in Australia requires the develop new technology, because strength of a wall thickness of 30 it keeps us in a very comfortable millimetres. In some Asian countries, position.” that wall thickness goes up to 102

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ENERGY

Company Information INDUSTRY

Energy HEADQUARTERS

94 Discovery Drive Bibra Lake Western Australia Australia, 6163 FOUNDED

1981

50 millimetres because they’re on earthquake zones. That is an extreme wall thickness to do radiography,” said Quakkelsteijn. Once again, Applus RTD has the edge on the competition. “Our Rayscan technology can actually penetrate that wall thickness,” said Quakkelsteijn. “If you take a vertical weld of one LNG plate, each plate is about 12x4 metres. A vertical weld of four metres would take roughly 16 hours to inspect with conventional radiography. We can inspect that in one and half hours. That’s the kind of significant improvement on operational performance. It’s an example of what our technology can offer.”

EMPLOYEES

10,000 REVENUE

Euro 450 million

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One of a kind

The leader in manufacturing premium quartz surfaces, Caesarstone is synonymous with success Written by: Eric Harding Produced by: Bryan Giles


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CAESARSTONE

Caesarstone has been able to build and maintain the best brand recognition in Australia through years of evolving marketing strategies

Q

uality like Caesarstone’s can’t be duplicated. Construction-giant Caesarstone specialises in manufacturing high-quality, premium quartz surfaces in both residential and commercial interiors such as kitchen bench tops, bathroom vanities, wall paneling 106

December 2015

and others. Through the company’s commitment to high quality standards, R&D and innovation, the Caesarstone name has become synonymous with success across the industry. But there is one drawback to having such excellent brand


CONSTRUCTION

recognition — rival companies often attempt to duplicate that style. They say imitation is the highest form of flattery, and Caesarstone spends a large portion of its resources to create unique designs in order to stay above its admiring competitors. One of a kind Caesarstone has been able to build and maintain the best brand recognition in Australia through years of evolving marketing strategies, combined with a focus on business-to-business relationship building. But above all, Caesarstone preserves the best product quality and innovation design solutions. As a brand name that is often viewed as the ultimate brand of the quartz-surface industry, this type of recognition has both positive and negative effects. “It’s good because everybody knows the brand Caesarstone, so that’s what consumers want,” said CFO of Caesarstone Australia and South East Asia Moshe Wolfson. In an attempt to differentiate its product from those of the

competition, Caesarstone makes unique designs a focal point of its operations. In Australia, Caesarstone has about 50 different colours of quartz countertop designs, with a slightly higher number in the U.S. While the actual process and technology used at Caesarstone is confidential, the company is a close partner with Breton technology, which manufactures the machinery. Forecasting the future Caesarstone has a very simple supply chain operation in Australia, where 99 per cent of its customers pick up the product directly from the company’s warehouses. With a warehouse in each Australian capital city, Caesarstone’s primary focus is making sure it has enough product in stock, while also not having an overabundance that would create dead stock. With the help of Hawthorn-based Taars consulting, Caesarstone uses forecasting to predict the demand and the required purchases. Forecasting is a vital component of Caesarstone’s logistics success,

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At Orion we partner with our clients to solve business problems. Our solutions help organisations increase productivity, streamline business process and offer ease of reporting.  

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CAESARSTONE

CONSTRUCTION

making sure it has enough stock — but not too much. “This is really one of the key success factors to getting the right mix and the right inventory levels,” said Wolfson. “Because Caesarstone globally has been expanding so rapidly, supply has historically been an issue. It’s a big focus for us, so we keep close contact with Taars. With increased capacity and improved forecasting systems, our supply efficiency and reliability is now market leading.” Meanwhile, in order to receive their shipments in a timely fashion from the factory, Caesarstone also works with freight-forwarder EPL International, which Wolfson says has been a great partnership. “Lead time is key for us,” he said. CRM is another key to Caesarstone’s prosperity from a sales

SUPPLIER PROFILE

Caesarstone Australia Managing Director David Cullen at the 2013 Caesarstone New Colour Launch

ORION

Orion specialises in bespoke business software solutions built on Microsoft Dynamics CRM, SharePoint, Office 365 and Microsoft Dynamics GP Financials. As a mid-market solution provider we have the enterprise mindset without the overhead of large organizations, allowing us to think big, act agile and deliver cost effective services to our client. Our partnership with Caesarstone Australia is now in its 7th year. During that time we have been on a journey of partnership, enabling technology to meet the day to day business challenges that Caesarstone has faced. Leveraging Caesarstone’s investment in Dynamics CRM, we have created solutions for Construction Project Tracking and Forecasting including automation with online Construction data service providers, Merchandising, Enquiry Management, Sample Requests, Loyalty Program, Warranties and Service Calls, Referral Tracking, Consumer Marketing, Online Order Processing, Web Analytics and Business Reporting. We have leveraged the latest in Mobile technology to put information in the hands of staff where and when they need it most.   Website: www.orionopen.com.au w w w. c a e s a r s t o n e . c o m . a u

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CAESARSTONE and marketing perspective, which is supported by Orion Enterprise Business Solutions. Better safe than sorry Safety is one of Caesarstone’s top priorities when it comes to daily operations and core values. It starts with the induction and training of warehouse staff that unloads the heavy slabs from incoming containers as well as loading customer trucks. Caesarstone also regularly checks its machinery such as cranes and forklifts to guarantee diligent maintenance. In addition,

CONSTRUCTION

customers such as stonemasons are given a thorough induction to the warehouse before making pickups to ensure everyone is aware of the safety procedures. The company also has a dedicated employee to Occupational Health and Safety (OHS) who performs periodical audits of its branches and makes sure all procedures are followed. “We make sure our staff is properly-inducted to the business in whatever area they’re working in,” said Wolfson. “This is especially important in the warehouse, where it could be dangerous working with these very heavy slabs. It is vital to

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CAESARSTONE

Caesarstone Australia Moorebank Head Office Employees at work

our operation, and we take it very seriously if there are any issues.� An eye for the environment A company that understands it shares the planet with its consumers, Caesarstone is committed to a cleaner, safer environment by limiting the 112

December 2015

ecological impact of its operations. From a sustainability point of view, Caesarstone focuses on efficient production to decrease the waste of raw materials and energy. Quartz is a very abundant mineral on earth and readily accessible as a raw material. Quartz has incredible properties such as hardness


CONSTRUCTION

and resistance to heat and other factors. “As Caesarstone is produced from quartz, it has a long lifecycle minimizing environment impact over time,” said Wolfson. Caesarstone puts an emphasis on efficient production in order to minimise waste of raw materials and energy. Some of its production processes to protect the environment include recycling and disposal of hazardous materials. Branching out A key to Caesarstone’s success is innovation to keep its brand thriving. Several years of consistent marketing strategies, as well as building businessto-business relationships, have boosted Caesarstone’s brand recognition to the highest levels in Australia. The company is also working closely with its partners to develop the brand in New Zealand, Singapore, Japan, China, India as well as other countries, targeting high GDP per capita regions. In addition, it has recently expanded its production to the United States market as well. Caesarstone has made a substantial US$130 million investment in two production lines in Richmond Hill, Ga. The first line is already operational, while the second line is just about to start up. “It’s obviously a statement of our willingness to put that sort of investment to develop the U.S. market,” said Wolfson.

Company Information INDUSTRY

Construction HEADQUARTERS

Unit 3/1 Secombe Place Moorebank NSW, Australia, 2170 FOUNDED

1987 PRODUCTS/ SERVICES

Construction

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Business Review Australia December 2015  
Business Review Australia December 2015