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bu sine s s reviewe urop e.e u

SPECIAL REPORT:

Enabling technology An exclusive interview with

BT’s Group CIO Clive Selley

MAERSK

An evolution in modern shipping Engineering the Emirates with KBR’S Jay Ibrahim

Nove mbe r 2015


EDITOR’S COMMENT

It’s not the end of oil O I L P R I C E P R E S S U R E I S more of a crisis

for some economies than for others. The OPEC meeting planned for November 21 highlighted high cost producers’ desire to ‘balance supply and demand’ (cut production). But what is a disaster for Venezuela and Nigeria is at worst an inconvenience for Middle East producers; at best a great opportunity for them to grow market share. Confidence in the continuity of upstream and downstream hydrocarbon investment is emphasised in KBR’s renewed focus on the Middle East and the role played by its regional leader Jay Ibrahim, profiled this month. CIOs continue to feature large, with those of BT and Qatar University taking centre stage in this issue, demonstrating clearly the elevation of IT from a service to a strategic role in differing sectors. In addition, Maersk shows how technology is a sine qua nihil in modern supply chain management. Finally, this is my final editorial though I’m looking forward to contributing going forward. From now on I am delighted to be passing the magazine into the capable hands of Lucy Dixon.

Enjoy the issue!

John O’Hanlon Managing Editor John@wdmgroup.com 3


Bosgraaf Group offers a total package

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CONTENTS

16

Features

PEOPLE & SKILLS Points For Creating A Positive And Productive Workforce

LEADERSHIP INTERVIEW Engineering the Emirates Jay Ibrahim, President of Engineering and Construction, Middle East and North Africa

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24 TECHNOLOGY Why tech investment is a smart move 5


CONTENTS

30

50

Oracle Saudi Arabia

BT

Company Profiles TECHNOLOGY 30 BT 50 Oracle Saudi Arabia 64 Qatar University 78 Balsharaf Group

CONSTRUCTION 88 KBR 120 Strukton

SUPPLY CHAIN 134 Maersk Line UK & Ireland 164 Allergan 178 Homebase

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186 Containerships

ENERGY 196 Coastal Municipalities Water Utility (CMWU) 208 ADC Energy Systems 218 Oman Electricity Transmission Company

78 xx Balsharaf Group Xxxxxxxxx

MINING 240 Ariana Resources plc

MINING 250 FEM 258 Affecto

134 Maersk Line UK & Ireland


64

Qatar University

88

120 Strukton Š 2014 -Gitte Spinder Construction Photography

240 Ariana

KBR

Resources plc

164 Allergan

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L E AD E R SH I P I NTER VIEW

ENGINEERING

KBR is ramping up in the Middle East. Joh tasked with leading the global engineeri

Written by: JO


THE EMIRATES

hn O’Hanlon talks to Jay Ibrahim, the man ing group’s regional presence and focus

O H N O ’ H A N LO N 9


LEA DERSHIP I NTER VI E W WITH THE CREATION of a new post of President of Engineering and Construction, Middle East and North Africa and the appointment of Jay Ibrahim to fill it, global engineering and construction firm KBR has acknowledged one of the new realities of the global oil and gas industry—that the GCC countries will consistently attract investment even when other markets falter. And Ibrahim is just the man to know how to capitalise on those investment opportunities. Ibrahim represents a new kind of executive—one who is a true citizen of the world. Born in Lebanon, he exemplifies that country’s contribution to entrepreneurship and its people’s outward-seeking drive. According to Ibrahim, Lebanese children are encouraged to have wide horizons from an early age. “When I was a child, we were advised (and steered!) to be either an engineer or a doctor. There were very few other options available and since I was always good at maths and science, engineering was really the natural choice for me,” he says. Like other Lebanese children, Ibrahim also grew up in an environment which merged an Arabic 10

November 2015


E N G I N E E R I N G T H E E M I R AT E S

“I have been blessed to have some very good teachers, coaches and managers over the years” – Jay Ibrahim, President of Engineering and Construction, Middle East and North Africa

foundation with European influences— an actual multicultural experience unheard of in the USA or even Europe. Most of his schooling was conducted in French and his peers were from many different backgrounds. Despite the threat of civil war that loomed over his early years in Lebanon, as a Muslim boy he recalls no sectarian conflict. “We were just friends. I went to churches as much as the mosque. There was no differentiation—most of my best friends didn’t share the same faith as me but we weren’t really aware of religious differences. We were just human beings. My entire schooling was done in Christian schools simply because they were perceived to be better regulated and provide a

superior learning environment.” Tolerance, balanced with acute awareness of what results in its absence, has been the basis of Ibrahim’s business ethics and relationships. “The way you behave with people is what matters. Your relationship with God is your own business,” Ibrahim says. At 19, with the war in Lebanon making life uncertain to say the least, Ibrahim’s parents encouraged him to pursue his studies abroad. He left for the United States where he obtained Bachelor’s and Master’s degrees in mechanical engineering from Wichita State University in Kansas and a diploma in advanced management from Harvard University Business School in Massachusetts. He also obtained dual U.S.-Lebanese citizenship. Working to support himself through his studies, he furthered his interests and honed his engineering skills, specialising in thermodynamics, fluid mechanics and heat transfer. In 1988, he recalls, he responded to an advertisement by the global engineering and construction firm Ralph M Parsons (later WorleyParsons) seeking young graduates. He joined 11


LEA DERSHIP I NTER VI E W

A KBR project at In Salah, Algeria

SEGAS LNG is a liquefied natural gas complex in Damietta, Egypt

Yemen LNG is the first natural gas liquefaction project in Yemen

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November 2015

the company in January 1989 and spent the next four years in Pasadena, California before taking an offer to transfer to Kuwait. “I stayed in Kuwait for about nine years or so, and during that time developed from being a process engineer to being an engineering manager. Later I became the Manager of Projects; then became senior vice-president and then regional director for that organisation.” Ibrahim joined KBR in May 2015 to oversee KBR’s ongoing expansion in the Middle East and North Africa Region, based in Abu Dhabi. KBR anticipates continued growth opportunities throughout the hydrocarbons value-chain—upstream, midstream and downstream—and is looking to Ibrahim’s leadership in the region to help build greater customer intimacy and make faster and better decisions to benefit customers. Living in Abu Dhabi with his family suits Ibrahim. Though travel takes him away from them more than he would like, his own global experience has given his four children, the youngest six, the eldest 19 and now studying in America, a broad cultural awareness and the kind of values he has always aspired to. “Attending


E N G I N E E R I N G T H E E M I R AT E S

The construction of the Doha Expressway international schools, they have been exposed to influences from all over the world so they’ve grown to be global citizens, understanding and respecting diverse cultures and customs.” Though grateful for the opportunities the United States has given him, he does not find such open mindedness in schools there. For Ibrahim, people and personal relationships are paramount. “I have been blessed to have some very good

teachers, coaches and managers over the years.” To these mentors he attributes his rapid rise in the industry as well as his fortunate ability to be able to relate to others both as an American and an Arab. He has no time for arrogance: “Keep an open door policy; let anyone come and see you. A handshake and the personal touch means the world to many people.” The days when contracts were negotiated verbally at majlis and 13


LEA DERSHIP I NTER VI E W sealed with a handshake may be over but according to Ibrahim, in the Middle East as well as anywhere in the world, trust must still be earned. Nowadays the majlis are more an occasion to network and discuss the opportunities, challenges or pitfalls of business without necessarily closing the deal. However, it remains essential to establish trust to form the basis of a deeper relationship. “Never make promises if you are not certain you can deliver. If you go back on a promise the client will never trust you again. But if you build a relationship on a basis of mutual trust it will open many doors for you.” Ibrahim clearly loves life in the UAE. “In the Emirates, there are opportunities regardless of your background. If people want to practice religion there are plenty of mosques, churches and temples, and there are also nightclubs, shopping malls and sports facilities to suit every pocket.” Asked about the conspicuous consumption that represents one image of the Gulf, he admits that certain individuals have become very rich, and that lavish lifestyle often attracts wealthy people from other countries. 14

November 2015

“If you build a relationship on a basis of mutual trust it will open many doors for you” – Jay Ibrahim

But for most, this wealth has come as a result of hard work. “The UAE has gone through a major business transformation by supporting and implementing the inspirational vision of the ruler. Twenty-five years ago people from the Arab states arriving in the United States took a look at the architecture and the infrastructure and said: “Wow, what a country!’ Now it’s the Americans who step off a plane in Dubai or Abu Dhabi who say: ‘Wow, what a country!’” says Ibrahim. The buzz of excitement and opportunity in the UAE is exemplified by Dubai, whose airport is situated in Al Garhoud with a population of few hundred thousand people but which sees 72 million passengers coming or going each year. Out of 60,000 hotel rooms there are sometimes not


E N G I N E E R I N G T H E E M I R AT E S

a single one available, Ibrahim points out. Tourism and business opportunity make this, surely, one of the most happening regions on the planet. The hydrocarbon and infrastructure outlook in UAE and throughout the region will fuel engineering and construction projects that will keep Ibrahim busy for the next 20 years, and

well into his children’s generation—with renewable energy the next big thing, he hints. Ibrahim’s wealth of experience in the industry along with his extensive understanding in developing customer relationships will serve KBR well as they look to take advantage of the continued opportunities the region provides.

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PEOPLE AND SKILLS

Points for creating a p and productive wo

Extensive research and our own experience reveals that the contribute to high levels of engagement and positive energy provided seven practical and straightforward tips to addre Written by: James Brook


positive orkforce

ere are five key factors that in the workplace. We have ess each of these factors.

Opportunity to express oneself fully Employees whose values, personal strengths, opinions and ideas can be fully expressed at work are more likely to go the extra mile when needed. There is also a greater chance that they will achieve in the upper range of their potential and remain with the organisation.

Actions employers can take: 1. Increase self-awareness and help employees identify and optimise their natural strengths and talents using a strengthsbased assessment. 2. Introduce strengths and values awareness exercises into the new starters induction process to clearly communicate that staff are encouraged to be themselves and play to their strengths. 3. Help staff to develop their skills, experience and knowledge in areas of natural strength, rather than sending them on training courses to address weaker areas. 4. Provide people with challenging “stretch assignments� to move them beyond their comfort zone and optimise their 17


PEOPLE AND SKILLS strengths and potential. 5. Accept and celebrate diversity and uniqueness, and encourage different ways of thinking and working — such as allowing staff to present training sessions in areas of specific interest and expertise for them. 6. Encourage flexible work practices (including flexible work patterns) that take account of individual needs. 7. Provide employees with a list of services and websites which can help make their lives easier e.g. local gyms, restaurants, dry cleaners etc. Appreciation Employees who are known and appreciated by their manager, co-workers and key stakeholders are more likely to feel engaged in their jobs and positive about their employers. Research suggests that a ratio of 3:1 for positive to critical feedback is necessary for any relationship to flourish, and for staff to perform at their best*.

Actions employers can take: 1. Encourage managers and leaders to create an appreciative, positive work environment by spending time with staff. Train them to become better at spotting strengths and successes as they occur rather than recognising effort and accomplishment after the event. 2. Provide fair, straightforward, and transparent performance-related financial rewards. If you can’t explain your reward system to someone in a couple of minutes, it’s probably too complicated. 3. Put in place powerful recognition schemes that are low or no cost to the organisation. Examples include: A hand-written thank you note; a day off on the employee’s birthday; a chance to go for lunch with the manager/senior management; a Monday or Friday off for exceptional performance; more freedom or autonomy; a service award presented at a staff meeting; a small memento or gift. 4. Ensure managers are telling people why their contribution is valued

*Zenger, J. and Folkman, J. (2013, March 15). The Ideal Praise-toCriticism Ratio. Downloaded from Harvard Business Review - WEBLINK 18

November 2015


C R E AT I N G A P O S I T I V E A N D P R O D U C T I V E W O R K F O R C E

and has helped the organisation, rather than simply telling them that they are doing a great job. A good way to do this is to preface feedback with something like: “You really made a difference by…”or “One of the things I value most about your contribution is…” 5. Invite the team to provide input on someone else’s achievement that really impressed them.

Provide the winning entry with an award or day off. 6. Encourage managers to send out a monthly team bulletin detailing key successes and who contributed to them. 7. Begin team meetings with a quick round-up of highlights and successes for the month. This starts the meeting on an energising and solutions-focused 19


PEOPLE AND SKILLS note, ensuring a more positive and productive meeting. Meaningful contribution Employees who can see that their work is making a meaningful contribution to the vision and goals of the organisation are more likely to be committed and engaged.

Actions employers can take: 1. Initiate a clear cascade of vision and goals to ensure clarity and understanding. 2. Align individual and team goals with broader organisational goals so employees can see how their contributions impact the company’s goals. 3. Invite employees to contribute to corporate social responsibility and community-based initiatives.

‘A ratio of 3:1 for positive to critical feedback is necessary for any relationship to flourish, and for staff to perform at their best’ 20

November 2015

This will boost team-building, new skills, and staff motivation. 4. Help employees remove unnecessary rules and “red tape”, and streamline processes to free them up to do their best work. 5. During performance reviews, encourage staff to discuss how they would like to contribute to the team’s goals in a way that most energises and challenges them. Remember the high levels of enthusiasm and performance at the London 2012 Olympic Games? This was largely due to the athletes identifying with the goals set and playing to their own strengths. 6. Challenge employees to undertake personal or team “stretch assignments” that enhance their strengths and contribute to the organisation’s goals and vision. Organise a voluntary Dragon’s Den style event to review projects and award winning entries. 7. Ensure senior managers provide regular feedback on performance and specific successes against goals. Create a team/company dashboard and a success visualiser to help communicate progress against


C R E AT I N G A P O S I T I V E A N D P R O D U C T I V E W O R K F O R C E

critical performance measures. Performance feedback Employees who receive constructive and regular feedback from valued co-workers and other stakeholders are more likely to feel engaged and committed to the organisation.

Actions employers can take: 1. Disregard the widely used “sandwich approach” to giving feedback. This is counterproductive when used with both poor and excellent performers. Poor performers pay selective attention to the positive messages and leave the meeting feeling that they’ve done better than they actually have, while excellent performers focus only on the negatives of the message and leave the meeting demotivated about areas in which they have fallen short. 2. Use the 80:20 rule for average and good performers and focus primarily on the person’s successes and strengths, rather than their weaknesses. 3. Introduce a simple 360/multi-rater feedback process (questionnaire or interview-based) to provide

About the author James Brook BA MSocSc MBA FCIPD is co-founder and Joint Managing Director of Strengths Partnership Ltd, an HR consulting firm providing strengths-based leadership development, coaching and talent management solutions. He has around 20 years’ international experience in leadership development, coaching, organisational change and talent management. For the past twelve years, James has focused on helping organisations identify and translate strengths into innovation, engagement and business success. Recent clients include Facebook, Novartis Pharmaceuticals, PhotoBox, Takeda Pharmaceuticals, Royal Bank of Scotland and Tesco. He is a regular speaker on strengths-focused human resources and has contributed a wide range of business and professional publications in the area.

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PEOPLE AND SKILLS employees with specific and regular feedback from co-workers. 4. Ensure managers are competent to undertake engaging performance feedback and coaching to help employees boost their strengths and minimise weaker areas. 5. Implement peer coaching circles to regularly share learning and provide feedback. These can be self-managed or supported by an internal or external facilitator. 6. Don’t ignore weaknesses. Try

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to focus on creative ways to reduce them and don’t expect the weaknesses to become areas of mastery if the person’s strengths lie in other areas. Creative ways to reduce the negative impact of weaker areas include helping the person to find partners with complementary strengths, mentoring and coaching, outsourcing parts of the work or finding technologybased solutions to lessen the impact of the weaker areas. 7. Provide managers and employees with a powerful set of four to six questions to guide their planning and performance dialogue. Keep the questions simple and strengths-based, for example: What has the person achieved during the last period? What went well and what strengths and skills underpinned these successes?


C R E AT I N G A P O S I T I V E A N D P R O D U C T I V E W O R K F O R C E

What new task and projects will enable the person to improve and stretch his/her strengths and skill? Sense of connection and social support Having a strong social support system at work is of vital importance, even to those who have a high level of independence and are more introverted. By nature, people are social and rely on strong workplace social support systems for psychological and practical support, growth and friendship.

Actions employers can take: 1. Ensure dedicated spaces at work for informal meet-ups, gatherings, relaxation and other social activity. 2. Encourage social networks and clubs to provide employees with opportunities to network and socialise outside working hours. 3. Promote peer coaching, networking and mentoring programmes, both formal and informal. 4. Use the latest collaboration and social network technologies like Yammer to promote online interaction. 5. Build time for fun, relaxation and

relationship building into the normal working day to ensure it’s not all about hard work. 6. Partner less experienced employees with more experienced ones to encourage learning, sharing and mutual support. The more experienced employees will learn a lot from the younger staff as well. 7. Arrange a “wellness at work� event involving all employees and different external practitioners (e.g. resilience trainers, mindfulness experts, yoga and meditation teachers etc.) to encourage learning, sharing and support around wellness and lifestyle topics. 23


Why tech investment is a smart move If companies want to become stronger, smarter and faster – and compete successfully in the marketplace – they need to continuously improve their efficiency: although technology provides the tools, people need to learn how to use them W R I T T E N B Y: M A R I A N O R D B O R G

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TECHNOLOGY

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TECHNOLOGY BUSINESS LEADERS, ON a global scale, understand the benefits technology can offer, especially when it comes to efficiency. Technology can unlock valuable time, streamline business operations and frees companies to grow and succeed. There is a clear link between efficiency and technological investment, and companies without techdriven productivity strategies are suffering the most, with detrimental effects occuring when it comes to customer satisfaction and employee retention. Therefore, it is important for companies to invest in technology so they can become stronger, smarter and faster. However, how do organisations ensure they are getting a true return on investment (ROI)? The consequences of wasted time According to our research, Powering Productivity, the biggest cause of wasted time is inefficient processes (44 percent), followed by too much paperwork (43 percent) and meetings (41 percent). Senior management is integral when it comes to getting new processes in place to drive productivity and efficiency. 26

November 2015

Companies need to streamline productivity and maximise efficiency because, in the workplace, time is money. Technology is the answer. This is supported by the fact that almost all business leaders (96 percent) believe technology helps drive organisational efficiency. Consequently, technology can be expected to play an increasingly significant role in company productivity initiatives. Business inefficiencies extend further and contribute more than just being a nuisance to management. Our research establishes that employees (57 percent) and customers (48 percent) are the areas of the business most likely to suffer because of inefficiencies. The implications caused by inefficient processes can extend and cause burdens to employees and customers and as a result may cause further problems in the long term. This can put company growth at risk and may have serious implications to a company’s bottom line. Continuously improve efficiency In order to compete successfully in the marketplace, businesses need to continuously improve their efficiency. Difficulties may arise


WHY TECH INVESTMENT IS A SMART MOVE

“Time saved can be harnessed to boost human productivity as well as business performance, demonstrating the value of efficiency”

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TECHNOLOGY

“Businesses should define what ROI and efficiency means to them as the desired productivity gains are likely to differ from one organisation to the next� within an organisation when trying to define efficiency, however one way of looking at this is in terms of time saved. Our research shows that extra time can have many positive effects. If business leaders were able to claim back 30 minutes each day 56 percent would use it to recharge outside of work, which can contribute to reduced stress levels and an increase in job satisfaction. As a result staff are kept happy in 28

November 2015

the long term meaning they will be a more productive company asset. Additionally, time regained and then reinvested in the workplace is likely to be used on staff development as opposed to typical business tasks. Our research highlights that over half (56 percent) would invest in their own personal development and just under half (44 percent) would coach other employees if they had the opportunity. Time saved can be harnessed


WHY TECH INVESTMENT IS A SMART MOVE

to boost human productivity as well as business performance, demonstrating the value of efficiency. Capitalise on efficiency The importance of high quality IT plays a significant role when it comes to getting a high ROI. Companies want to know that they are getting a good return on any financial outlay they place in productivity tools. However, the difficulty of this is that ROI of productivity technology can be hard to outline. Organisations looking to measure the potential ROI of productivity software tend to focus on three key parameters: time required to train end-users (54 percent); time and effort required for implementation (50 percent); and the impact on user productivity (50 percent). Companies measure ROI in terms of time saved and productivity gained, rather than in pure financial terms. The IT department has an important role to play when it comes to measuring ROI as they have the integral role of helping decisionmakers navigate the process. According to our research, companies that receive a high level of IT support when identifying ROI potential are

more likely to be confident in their final ROI judgement. However, only a third (32 percent) felt that they had high levels of IT support in terms of ROI, this highlights that the majority of businesses are leaving their productivity gains to chance. In order for the full business potential to be realised this trend has to change. Work smarter With businesses striving for less wasted time they must turn to technological investment in order to improve efficiency. By working smarter and putting the right tools in place, businesses can feel a lot more confident in achieving their productivity goals. Businesses should define what ROI and efficiency means to them as the desired productivity gains are likely to differ from one organisation to the next. Additionally, companies need to identify ways in which their IT infrastructure is best placed to contribute to efficiency. Furthermore, it is important to involve internal IT departments when it comes to considering ROI. By setting out what the IT department needs to track they will be able to gain the relevant insight into the organisation. 29


ENABLING TEC

In an exclusive interview with BT’s Group CI innovation flowing in its veins, competing in

Written by: John O’Hanlon Produced by: Kiron Chavda


CHNOLOGY

IO Clive Selley, we look at a company with an unconscionably fast-growing market 31


BT

Key Personnel

Clive Selley Group CIO Clive was a BT sponsored student at university and on graduation in 1986 joined BT Labs at Adastral Park. Clive has held many and varied positions across the company including, most recently, President, of BT Global’s Services Portfolio & Service Design - which meant he sat on the leadership teams of both BT Innovate & Design and BT Global Services.

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T

o call Clive Selley a BT veteran would be to understate the case. He has been with the company since 1981 – all his working life – and is the best example of commitment working both ways. Two years after joining BT he was picked out for the company’s higher education programme and went through an electrical and electronic engineering degree at Bristol University, graduating in 1986. “The only degrees they would sponsor were in engineering; that’s why I am an engineer today,” he says disarmingly. But he’s a born engineer really. After 30 years of deep involvement in the unprecedented changes in communications technology he has emerged as the man who combines two key functions of one of the world’s foremost telecommunications organisations. In 2010 he was appointed Group CIO and CEO of BT’s Innovate and Design (BTID) organisation. In 2013 he brought together BTID with BT’s global


TECHNOLOGY

operations business (BT Operate) to form BT Technology, Service & Operations; a single business unit which innovates, designs, builds and runs BT’s global networks and IT systems. Combining the traditionally separate roles of chief information officer and chief technology officer is the right way to run the company, nevertheless he says he feels privileged to be in that position. “These two domains are converging: and we are right at the heart of BT. The platforms we build are the revenue generating platforms of this business. People pay us to provide broadband services - or mobile, or conferencing, or TV services, and we design, build and deploy all of those.” His job thus brings together all the network responsibilities of what used to be called a telco – but is today more accurately a communications service provider (CSP) – with the software that creates the service. With the rate of innovation going from breathtaking to crazy, keeping up takes a lot of Selley’s time. Recently returned from a visit to Silicon Valley where he took in 20 companies in three days, checking out the labs of major partners as well as startups identified by BT’s team of ‘scanners’. The power of collaboration Later this year he will visit India, Sri Lanka, South Korea and Japan to touch the latest developments in those markets. Each has its own strength: South Korea has a track

“The platforms we build are the revenue generating platforms of this business. People pay us to provide broadband services - or mobile, or conferencing, or TV services, and we design, build and deploy all of those” – Clive Selley, CIO

w w w. b t . c o m

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BT record of adopting new mobile technology faster than where in the world, he says, while Japan leads gaming and entertainment. “You have to go where these technologies are traditionally being led from, and that is why we have our scouts in these markets.” Together with his team he also builds relations with the global technology majors like Microsoft, Cisco, Alcatel Lucent, Ericsson, Ciena, Juniper, Huawei and Nokia, all companies with wellfunded development laboratories of their own. “You have to touch the big and the small companies but you also have to watch what young people and the kids in the colleges are doing.” With two tech savvy children of his own, this is research much closer to home. BT has close working “Usage patterns vary, and my remit is to find relations with the global out how different technologies are being used technology majors like by different people in different places.” Microsoft, Cisco, Alcatel With as many as 17,000 people reporting to Lucent, Ciena, Juniper, him, including subcontractors and software Huawei and Nokia developers at Bangalore and Gurgaon in India, he has plenty of ears on the ground and a huge research resource too. This is centred at Adastral Park, on the site of the wartime Martlesham aerodrome, where 3,250 people work in both blue-skies and applied research, engineering and development. A testimony to the collaborative nature of BT’s relationship with its vendors and even some potential competitors, Adastral Park hosts co-labs with most of the companies already mentioned. 36

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TECHNOLOGY

BT is a partner in building UK’s first Quantum network

The collaborative model not unnaturally extends to pure research. “Apart from the hundreds of people we have doing scientific as opposed to product-based research, we work with renowned universities around the world including Cambridge in the UK, MIT in the USA and Tsinghua University in China.” BT also plays a leading role in the India-UK Advanced Technology Centre, a consortium of 22 Indian and UK industry and academic partners doing research into current and next generation fixed and wireless communications, he adds. Not surprisingly BT holds more than 4,000 patents to protect and manage all of the IP it develops at Adastral Park and globally. Selley spent time in India in the early 1990s. “Software development has been a part of what we do for a long time. But now, rather than use a lot of partner companies in India, we

17,000

The approximate number of staff working globally for BT

w w w. b t . c o m

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Broadband now reaches the most remote islands. Huawei is turning any chair into an inspired experience at your favorite game. To ďŹ nd out more, visit huawei.com/better-connected-world


.


BT

Quantum networking is being developed at York University in conjunction with BT, the National Physical Laboratory, and Toshiba Research Europe Ltd.

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Research Europe Ltd. It’s quite widely understood now that quantum computers may one day offer faster and more powerful data processing than is conceivable today. The York-based Quantum Communications Hub will build the UK’s first Quantum network. This will be based initially on the National Dark Fibre Infrastructure Service (NDFIS), which currently links a number of universities. This is exciting stuff, but Selley brings the discussion back to what BT has already delivered, for example the world record for the fastest information rate down a piece of fibre optic cable. In a trial conducted with technology vendor Huawei in January 2014, three terabits (3 million megabits) of data was transmitted over a single, not very new, glass


TECHNOLOGY

A single optic strand can carry ten gigabytes of data every second

hire our own people.” With 1,000 employees in Bangalore, a few hundred in Gurgaon near Delhi, 300 at a software development centre in Kuala Lumpur and a set of network designers in Hungary, to name but a few, this is a company that is used to creating a global model for delivery. “We run a global network so a presence in different timezones makes sense.” In at the beginning Another area of work that could never be advanced by a lone researcher is Quantum Key Distribution (QKD), or quantum networking - one of the first quantum information technologies with market potential. This is being developed at York University in conjunction with BT, the National Physical Laboratory, and Toshiba

“Usage patterns vary, and my remit is to find out how different technologies are being used by different people in different places” – Clive Selley, CIO

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BT

The demand for better demands a better network.

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www.juniper.net


TECHNOLOGY

fibre line from Martlesham to the BT Tower in London, a distance of over 100 miles, proving that a greater amount of information can be sent through existing broadband infrastructure. And earlier this year BT and Huawei proved that ‘G.fast’ ultra high speed broadband technology can deliver combined downstream and upstream speeds of up to one Gigabit per second (1000 Mbps) via a mix of fibre and copper. “Our physicists at Adastral Park have been defining changes to the international G.Fast standard that we think will allow us to deliver very high information rates to customers in an economic way,” he says. “Thought of like this, broadband is now as important an infrastructure as railways, roads or airports.” Clive Selley says that BT has innovation in its DNA, and he has been around to see much of it. Perhaps not long enough to have witnessed the invention of the world’s first programmable electronic computer. This was developed at the old Post Office research station at Dollis Hill, the predecessor to Adastral Park, by BT employee Tommy Flowers during World War II to decode German messages. Nevertheless he remembers the early days of blown fibre, the BT invention that allows fibre to be blown along ducts using compressed air. It’s a simple idea but something that enabled optical fibre to be deployed efficiently and cost effectively. Today a single optic strand can carry ten gigabytes of data every second or

Broadband is now as important an infrastructure as roads

w w w. b t . c o m

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BT

BT Sport studio

“We have built a TV delivery platform for this content which uses the broadband network in a rather clever way to broadcast the sports events from the studio to millions of homes” – Clive Selley, CIO

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over 3,000 telephone conversations. He sees his work on innovation as a continuation of the tradition, albeit within much shorter timeframes. The game plan Over the last two years among many significant changes in the consumer market one of the biggest has been BT’s entry into TV, with a particular focus on sport content. “We have invested heavily in sports rights; football, rugby, tennis, motorcycle Grand Prix – but the flagship is of course the football. And we have built a TV delivery platform for this content which uses the broadband network in a rather clever way to broadcast the sports events from the studio to millions of homes.” Clive Selley is animated by default, but he gets even more animated when talking about


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BT Sport. To have moved up from a new entrant to the TV market in 2012 and finding itself precisely a year and a month later the leader in functionality and regular broadcaster of sport in UHD (ultra high-definition) is a big thing to have happened on his watch. 200,000 people watched the first televised Manchester United match on our channel on an iPad or Android device, and he stresses that BT has built the world’s biggest TV studio in Stratford. The sports television channels in the UK and Ireland were launched in 2013 and are based at Here East, the former International Broadcast Centre at Queen Elizabeth Olympic Park. Following the London 2012 Olympic & Paralympic Games, BT refitted part of the building to house three TV studios, a control centre, 20 editing suites and an audience

BT Sport exclusivily broadcasts the European Champions League Cup

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BT

holding area. The studios now provide the production hub for all BT Sport content and some programmes are also hosted from the studios. “We’ve recently launched, exclusively, the European Champions League. To enhance the public’s enjoyment of that we will be offering selected games in UHD,” he says. Though UHD, or 4K, is now widespread it only came out in 2013, and BT’s leadership in that technology is again thanks to the scanning teams, he says. “Thanks to them we knew that standard was coming along before it actually existed. We hooked up with the people who were developing it and standardising it. As a consequence we have invested in 4K cameras, editing capacity and 4K outside broadcasting trucks.”

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“We’ve recently launched, exclusively, the European Champions League. To enhance the public’s enjoyment of that we will be offering selected games in UHD” – Clive Selley, CIO

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BT

“We believe that in the future customers won’t want to distinguish between fixed and mobile services. They want to access information, communication, entertainment all wherever they are and without worrying about which network it’s all coming over” – Clive Selley, CIO

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Work currently being done will further enhance the colour definition and sound deliver, he promises. This is a competitive field, demanding continuous investment to stay ahead, but it all drives demand on the network, and the next generation of equipment will doubtless be a lot cheaper. Connection on the go Looking at what customers ask for – his own kids no doubt among them – he sees the convergence of fixed and mobile services as the big movement today. In what we must still call the proposed £12.5 billion takeover of the mobile group EE, since it won’t be approved until later this year, Selley sees a huge opportunity. “We believe that in the future customers won’t want to distinguish between fixed and mobile services. They want to access information, communication, entertainment all wherever they are and without worrying about which network it’s all coming over.” We want to bring together the UK’s best fixed network, based on optical fibre (the Infinity product family), with the UK’s best mobile network – EE, which has the best 4G LTE network, providing high speed data for mobile devices.” The challenge is to do more with less, he emphasises. “It is natural for us to use technology as a mechanism for doing work more quickly.” A good example of that, Selley suggests, is BT’s long-standing


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collaborative relationship with Microsoft, which has resulted in the company deploying over 11,000 Windows phones to BT employees, and taking part in Microsoft’s First Wave programme for Windows 10, allowing BT to get a head start and begin using the new operating system almost 18 months ahead of the public launch. As the mobile has evolved into a powerful portable computer, it has taken over from awkward laptops and handheld terminals. He takes out his phone to tell me that at 14.54 a cable was damaged between Coventry and Stratford-uponAvon. It is being dealt with. Of course he does not need to know that, though his day starts at 7.00 with operational reviews of all aspects of the business: “I always know the state of the network, the IT and the service platforms, when we take stock at the start of the day.”

BT’s long-standing collaborative relationship with Microsoft has resulted in the company deploying over 11,000 Windows phones to BT employees, and taking part in Microsoft’s First Wave programme for Windows 10

SOCIAL MEDIA

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Image Credit: Wikipedia

Oracle Advances Its Strategic Position In The Saudi Arabian Market Written by: Nye Longman Produced by: Craig Daniels


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ORACLE SAUDI ARABIA

The global IT Company has had a long working relationship in the Kingdom and is now poised to take this to the next level

O

racle’s shrewd move to invest in the Saudi Arabian market over a decade ago has proven to be extremely profitable for both the company and its workers based in the Kingdom. By offering its substantial customer-base a huge level of choice backed up by a well-developed plan for the future, Oracle has secured an enviable position in the market to the extent that it now considers the country to be of significant strategic importance. As will be revealed, the country itself now regards the IT provider as instrumental to its own growth success story. We spoke to Thamer Al Harbi, Oracle’s Country Managing Director and Abdulrahman Al Thehaiban, the company’s Vice President for the Middle East, North and South Africa about how Oracle was cementing an already strong position in the country while pioneering a number of forward-thinking initiatives. Operations The sheer number of products, services and solutions that Oracle offers its customers in Saudi Arabia is staggering and, with this in mind, it is little wonder that the company has become so successful against stiff international competition, and in a relatively short space of time. The term ‘end-to-end’, while having impressive connotations cannot fully express how broad Oracle’s offering is to the Saudi Market. Alongside its cloud offering, which Al Harbi was keen to

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Oracle’s offering consists of a smorgasbord of business applications and databases, as well as a range of operating and management systems.

celebrate, the company offering consists of a smorgasbord of business applications and databases, as well as a range of operating and management systems. It offers, Applications, database, middleware, engineered systems, servers, storage systems and a host of services which enhance all of these and more. From a solutions perspective, Oracle’s offering broadly covers business, technology and industrial sectors. These provisions are so diverse and far-ranging that it the company has been able to grow from public sector support into the growing private sector in Saudi Arabia. Customers will find solutions covering anything from Big Data, IoT and Java, to Human Capital Management, Governance, Risk and Compliance. Most industries operating in the Kingdom are

132,365

Number of staff employed by Oracle worldwide

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ORACLE SAUDI ARABIA

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catered for, including but not limited to consumer goods, high technology, manufacturing and retail. Al Harbi explained how the structure of the company’s operations complemented its wide offering to the market, he said: “For years businesses have been considering the cloud as the strategic location for most organisations. This is why Oracle has been more innovative than other tech organisations when it comes to our cloud offering. Because everything we do on the on-premise side, we have exactly the same thing on the cloud.” “The end to end technology stack provided by Oracle is both on premise and also on the cloud. Our offering is huge and adoption depends from one organisation to another, some products become strategic, depending on the nature of the company. Some use the full spectrum of offerings from the company, which gives them the highest value; others use a variety of stacks.” With experience in delivering a truly vast offering to the Saudi market, the fact that Oracle has partnerships with most of the government ministries in the Kingdom comes as little surprise; having gained a solid reputation in this regard, the company became the top choice for key private sector players, notably its telco, banking and other financial sectors. Talent management Providing such a large section of the country’s IT capability comes with a significant level

Abdulrahman Al Thehaiban, VP for the Middle East, North and South Africa

“We encourage organisations to partner with Oracle because this will give them an opportunity to build a strategic relationship that covers most of their needs from a single company”

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ORACLE SAUDI ARABIA

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“Providing such a large section of the country’s IT capability comes with a significant level of responsibility, and making sure that every employee is well trained, motivated and rewarded is a key part of the company’s ongoing operational strategy” – Thamer Al Harbi, Country MD w w w. c o m p a n y u r l . c o m

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ORACLE SAUDI ARABIA

TECHNOLOGY

of responsibility and making sure that every employee is well trained, motivated and rewarded is a key part of the company’s ongoing operational strategy. It has ensured that having a properly managed talent pool is central to its structure by implementing a number of long and short term initiatives. Al Thehaiban said: “Our long term strategy is to ensure that as many graduates in the country as possible are familiar with Oracle systems. We work with many universities in the Kingdom through academic initiatives. “We have worked in particular with King Fahd University of Petroleum and Minerals and Prince Sultan University to ensure that this is the case for all of their computer science and software engineering graduates.” He explained that the company is a leading recruiter in the country, both in terms of complying with the government’s aim to reduce its expatriate workforce, as well as working to employ more women across its workforce. He said: “Our shorter term strategy has been to employ more Saudi nationals, including women, who represent a big part of our investment. “We were one of the first international companies in the country to hire females; we conducted a study and found that almost 60 percent of the computer science and ICT graduates were female. We want to change the perception of women; they are of such a good calibre in the market

Thamer Al Harbi, Oracle’s Country Managing Director

“The end to end technology stack provided Oracle is both on premise and also on the cloud. Our offering is huge and adoption depends from one organisation to another, some products become strategic, depending on the nature of the company.”

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Moving Forward with Cloud It is a new journey for Oracle Partners too

Nowadays, a growing number of enterprises plan to move key parts of their computing workloads to the cloud, to take advantage of lights-out automated software provisioning and management, rapid project implementation, elastic scalability, and subscription-based pricing models. Oracle’s Cloud business is growing faster and faster. We, as an Oracle partner, have already started to adopt the cloud offerings implementation, capitalizing on our domain expertise gained during the past, to deliver our services in a different way, faster and cheaper. Our functional and technical resources have started to realize the differences between implementing cloud versus on-premises projects. They understand the balance between fast, quality and flexibility. They recognize the benefits behind this new direction. By adopting Oracle enablement resources and technologies, we have started to extend most of our business opportunities towards the cloud. We were able to establish an implementation framework that helps in achieving deployment goals faster and more efficiently than ever before. Oracle’s comprehensive array of the new Cloud Partner programs gives us choices in how we grow our business in the cloud. Oracle has the right cloud program for us to create more business opportunities and deliver increased value for our clients. From day one, Oracle recognizes that moving forward with cloud, is not only a new journey for business clients, but it is for Oracle Partners too. Rani Abu-Shaar – AppsPro GM Tel: +966 -11- 4661441 Email: info@AppsPro-me.com Website: www.AppsPro-me.com

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ORACLE SAUDI ARABIA

TECHNOLOGY

Oracle is a leading recruiter in the Saudi Arabia, both in terms of complying with the government’s aim to reduce its expatriate workforce, as well as working to employ more women across its workforce

and have great technical expertise.” He went on to explain that Oracle is keen for young professionals to learn about the company’s operations in-house and provides a variety of opportunities for learners to gain important experience as interns. Competitive edge Becoming the top IT solutions provider in the Kingdom certainly didn’t happen overnight and is all the more impressive because Oracle originally entered as an outsider. Al Thehaiban said: “We came in very early; earlier than most of the competition. That enabled us to establish a

$38.23bn The amount of revenue in USD generated by Oracle Worldwide in 2015

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ORACLE SAUDI ARABIA

Key Personnel

Abdulrahman Al Thehiban Vice President Middle East, North and South Africa Since September 2010, Abdul Rahman Al Thehaiban is Oracle’s Vice-President for the Middle East and Africa. Prior to this post, Abdul Rahman has managed the Public Services in MEA. Abdul Rahman is well known for his creative solutions to business issues and has been a key player in driving number of capacity building initiatives within and outside Oracle.

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Oracle has good working relationships in public and priva

good working relationship with the government, banks, telcos and private sector operators. “When we set out we ensured that we built a strong base, ensuring that we invested early in developing a locally relevant skills set. We worked on knowledge transfer and developed strong in-country partners. That has helped us a lot and I believe that’s a key competitive edge.” “The reason why most of these organisations get into a partnership with Oracle is because of how we are structured and the offering we provide. If you look at the way companies are structured globally, they are focused on one side of the technology, or maybe a few applications at most; none focuses on the whole spectrum like we do. We have a very sophisticated


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Company Information INDUSTRY

Computer Technology HEADQUARTERS

Riyadh, SA FOUNDED

1977 EMPLOYEES

132,365 (Worldwide; 2015)

ate sectors

offering from a technology point of view.” “We encourage organisations to partner with Oracle because this will give them an opportunity to build a strategic relationship that covers most of their needs from a single company; this will bring a tremendous amount of value in terms of ease of use through an integrated environment.” Oracle entered the Saudi market and systematically built an unmatched reputation from scratch based on the efficacy of its business unit and breadth of its offering. By focusing on the country as a strategic market and having backed this up with consistent investment in improving its services and employees, the company is set to maintain its leading position.

REVENUE

$38.23 billion (Worldwide; 2015) PRODUCTS/ SERVICES

IT, Cloud Applications, Platform Services

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Qatar University’s digital leadership Written by John O’Hanlon Produced by Craig Daniels

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Q ATA R U N I V E R S I T Y

Qatar University (QU), at a time of unprecedented expansion and reform, has quickly established itself as a major educational resource in the Middle East: we talk to the university’s CIO Trevor Moore about its digital transformation

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atar University has grown at an astonishing rate over the last three years or so. When CIO Trevor Moore was appointed in 2012, 7,500 students were enrolled: today the number is 18,000 and it’s still rising. To facilitate growth at this rate, the university has had to place IT at the core of its strategic planning – not that this would not have happened anyway. As the oft quoted Gartner dictum has it; any organisation that does not have a digital roadmap won’t be around in five years’ time. Digital transformation has been taking place in large organisations round the world, starting with technology-driven areas like retail, telecoms or banking. A university is in many ways no different, but it is much, much more complex. While a financial business might be running ten or 15 functional applications, the science and engineering faculties of the university alone need access to hundreds of apps and platforms which all have to be sourced and maintained by the IT department the Qatar University Information Technology Services (QUITS). Prior to Moore’s appointment, IT was a service department that kept the admin systems going and responded to requests from the academics. It lacked any change management strategy, had deficient internal processes, as he recalls. Constituted that way it would have struggled to keep pace with the hike in student number that Qatar needs to prepare itself for a future diversified economy and meet its 2030 Vision goals. As its first CIO, his arrival underlined the structural


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role that IT would now play in the organisation. Though this is a process that’s never over, since education is ever changing and IT evolves at an accelerating pace, it has been punctuated by significant wins. On October 19 2015 Trevor Moore was named CIO of the year 2015 at the Computer News ICT awards. He is quick to insist that this award reflects every bit as much on his team as on himself. “My team do all the work! Without them I would be nothing!” Having worked in a variety of different sectors, and in every imaginable role from the bottom up, he claims that the job of CIO is the easiest, but only thanks to the excellence of team he has built. “I push them hard, but they are the ones doing the work.” Some niche skills had to be hired in from universities in other countries. But he much prefers to train and promote people internally, something he has done very successfully with young Qatari staff, particularly women. “We have done a lot of training to bring them up to the best

3,000 Number of staff employed by Qatar University

Qatar University has over 18,000 students

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WELCOME TO THE

Internet of Everything Every day, the Internet of Everything grows exponentially. Millions of devices and people are connecting, developing ideas and solutions that are the first of their kind. But these firsts are only truly interesting for the lasts they create. The last traffic jam. The last product recall. The last blackout. These are what motivate us, because we know big things are never achieved by thinking small. And those big things start here and now. www.cisco.com/me/ioe

Cisco Systems, Qatar Science and Technology Park (QSTP) IT TC 2, Podium Level, Nor th Wing, South and Centre Units, Doha, Ad Dawhah, Qatar. Tel: +974 4410 7700 Fax: +974 4410 7701


Š2015 Cisco and/or its affiliates. All rights reserved.


SUPPLIER PROFILE

Cisco (NASDAQ: CSCO) is the worldwide leader in IT that helps companies seize the opportunities of tomorrow by proving that amazing things can happen when you connect the previously unconnected. At Cisco customers come first and an integral part of our DNA is creating long-lasting customer partnerships and working with them to identify their needs and provide solutions that support their success. The concept of solutions being driven to address specific customer challenges has been with Cisco since its inception.  Cisco is shaping the future of the Internet by creating unprecedented value and opportunity for our customers, employees, investors and ecosystem partners. Information about Cisco can be found at www.cisco.com For on-going news, please go to www.newsroom.cisco.com


Q ATA R U N I V E R S I T Y professional standards: most of my network team hold the highest accreditations that you can get.” Having worked in leading private and public sector organisations such as the IUCN, Autodesk and Orange Switzerland, he believes the 110-strong QUITS team is today equipped to stand alongside any other comparable department in the world. “They are highly selfmotivated, and I am very proud of them indeed.” The spine of the new strategy was to build a virtual private cloud for education. “The students are my number one customers, and what they expect these days is access to resources at any time, in any place and on any device. That is what we aim to deliver.” The private cloud gives QUITS the flexibility it needs to manage these student resources and also the demands of research and teaching, while retaining control over data and security. “We developed our Learning Management System, where students can upload information like their coursework and all the information for a particular class and interact with their peers,” says Moore. “Or they can upload coursework and get it checked for plagiarism and other things that monitor educational quality, using any tablet or other device.” One of the innovations the team developed allowed students to access their coursework over the Learning Management System (LMS). It simplified the students’ access to their grades by the expedient of integrating the LMS with the university’s Banner ERP platform. “Previously

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Key Personnel Trevor Moore - CIO

Moore has over 15 years’ experience in IT, starting off technical and transitioning to leadership. He has worked in a number of industries from telecom, government, banking, education, software, transportation to not-forprofit. Over his career , he has worked and lived in the UK, Switzerland, UAE and Qatar. He has led teams from all over the world including the US, Europe, Asia and Australia. He is an awardwinning CIO, recently winning the 2015 Computer News Middle East CIO of the Year (pictured above). He has written numerous articles for industry publications on topics ranging from cloud, SDN to leadership.

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Your Applications, Optimized •

Q ATA R U N I V E R S I T Y

Operationalizing the Network with F5 and Cisco ACI Today’s businesses are under massive pressure to deliver applications faster and with greater frequency. Success is increasingly defined by service agility and scale, cost-efficiency and improved customer-centricity - all within existing IT structures and without compromising application security, availability, or performance. Cisco Application Centric Infrastructure (ACI) technology combined with the flexibility and programmability of the F5 Synthesis™ platform offers a new way forward. Cisco and F5 are partnering to deliver a data center architecture founded on an automated, policy- and fabric-based approach. Together, we are operationalizing the network and accelerating application deployment like never before. To learn more, visit f5.com/solutions/technology-alliances/cisco

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Q ATA R U N I V E R S I T Y when a lecturer marked an exam they would enter it on an Excel spreadsheet, then they’d have to double check it, then someone would have to enter it on the system, then the final grade would have to be approved by the head of department. Only then could the student see it. We took a lot of layers out of that process by having a single point and introducing automated approvals.” This had not been done before, and QU was able to make its mark on global academia by creating a service pack available to all tertiary level institutions in the world. Much more recently, in October this year, Qatar University launched its quietly revolutionary mobile app QU Mobile. This was just phase one of a threephase rollout, but it’s already making life easier for students by providing them with GPS to help

SUPPLIER PROFILE

TECHNOLOGY

“We have done a lot of training to bring them up to the best professional standards: most of my network team hold the highest accreditations that you can get” – Trevor Moore, CIO

F5 NETWORKS

F5 provides solutions for an application world. F5 helps organizations seamlessly scale cloud, data centre, and software defined networking (SDN) deployments to successfully deliver applications to anyone, anywhere, at any time. F5 solutions broaden the reach of IT through an open, extensible framework and a rich partner ecosystem of leading technology and data centre orchestration vendors. This approach lets customers pursue the infrastructure model that best fits their needs over time. The world’s largest businesses, service providers, government entities, and consumer brands rely on F5 to stay ahead of cloud, security, and mobility trends. For more information, go to f5.com.

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Q ATA R U N I V E R S I T Y

“The reason we chose Cisco ACI was because that was the most advanced in 2014 when we decided on it”

them navigate QU’s campus that sprawls over more than eight square kilometres. It also allows them to browse the library, log suggestions, or access Banner for HR or admin issues. Phase two, early next year, will add a number of proactive services to allow students to enrol, or opt out of courses, and manage their learning experience. The way QU Mobile has been configured, with Arabic alongside English functionality, has placed QU ahead of its regional rivals. There are more than 70 universities in the UAE alone and, despite tripling in size, QU punches well above its weight. The private cloud is still a work in process. It is being tweaked to provide even more functionality – for example the ability for teachers to specify

– Trevor Moore, CIO

It’s not just about technology, it’s about finding new ways to inspire more students.

Microsoft in Education At Microsoft, we are deeply committed to working with governments, communities, schools and educators to use the power of information technology to deliver technology, services and programs that provide anytime, anywhere learning for all. To inspire more, visit: www.microsoft.com/education

Word

PowerPoint

Excel

OneNote

Outlook

Skype

OneDrive


TECHNOLOGY

at the beginning of term the resources their course demands and the ability to source these automatically. “That may sound simple, but takes a lot of orchestration behind the scenes to get it to work!” says Moore. Currently, if an engineering professor wants his students to use a specific set of software, this will have to be configured within the IT lab, he explains. “I am trying to get all that into the cloud so the faculty will select the software and it is fed automatically to the students so they can use it on their tablets, iPads or any other device.” Software defined networking (SDN) is one way of automating the delivery and the security of applications, he adds. Cisco application centred infrastructure (ACI) software was chosen to

18,000 Number of students at Qatar University

Students use GPS to navigate QU’s campus

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Q ATA R U N I V E R S I T Y automate security, increase security and eliminate human error. “There are a few competitors in this market – the reason we chose Cisco ACI was because that was the most advanced in 2014 when we decided on it,” he explains. It allowed him to upgrade the on-campus fibre network from 10 GB to 40 GB at negligible cost. “With all the data going round the campus, that was a compelling case. And next year Cisco is bringing out a connector that will take it up to 100 GB!” There are many challenges around security, he continues. If there’s a threat or a system is compromised, it could normally be locked down across the organisation but you can’t do that in an educational establishment – it would disrupt education. It just calls for a smarter approach, he says. This kind of complexity is something he thrives on and something he has prepared QUITS to facilitate. “Education presents multiple

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TECHNOLOGY

challenges, and that is what makes it fun,” he says. “Take research. I support the computing power for the research teams, which is a complex area that most CIOs don’t get into. But being a CIO in a university brings all my background together into one role. It is always changing.” QUITS’ responsibility extends beyond QU, and indeed beyond the Middle East, as all universities today are joined in a global network. Each country has its own National Research and Education Network (NREN), a high speed ISP dedicated to research and education (in the UK it is known as Janet and in the USA as Internet2). The NREN is vital, since regular internet connections have neither the speed nor the capacity to carry research data. The Ministry of Information and Communications Technology commissioned Qatar University, as the largest Government owned university, to initiate the project and build the first major components for the Qatar NREN (QNREN). “It is now connected globally,” says Moore. “In the past if we wanted to bring an expert to lecture to our students we had to fly them over for a few days. That was costly, but now I can set up a video conference over QNREN.” In a short space of time, QUITS has revolutionised itself and the university, by transforming the entire IT infrastructure from the ground up. In the process, the department has become leaner and much more effective, at the centre of all decision making and the CIO himself has become a key leader in the organisation.

Company Information INDUSTRY

Education HEADQUARTERS

Doha, Qatar FOUNDED

1977 EMPLOYEES

3000 PRODUCTS/ SERVICES

Education

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Balsharaf Group

Implements SAP Software To Boost Its Bottom Line Written by Sheree Hanna Produced by Craig Daniels


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BALSHARAF GROUP

A leading KSA distribution, logistics, production and retail company operating in the FMCG market aids growth through deployment of innovative technology

T

he Balsharaf Group has gone through a technology revolution, investing SAR 20 million in overhauling its IT infrastructure in a bid to expand its business and become a leading manufacturer, distributor and retailer within the FMCG (Fast Moving Consumer Goods) sector in the MENA region. Based in the Kingdom of Saudi Arabia (KSA), the SAR 1900 million-turnover company operates in the four related and mutually supporting areas of retailing distribution, production and logistics and has harnessed the power of information technology to increase its effectiveness in the marketplace. However, as Chief Information Officer Sajid Riaz will attest, the IT transformation has provided a whole raft of benefits to the business

Distribution, production and logistics has harnessed the power of information technology to increase its effectiveness

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Over The Past Five Years Balsharaf Group has Implemented Significant Changes In The Way They Do Business

particularly with its implementation of SAP’s world leading Enterprise Resource Planning software and mobility solution for automating the distribution businesses of the group. He said: “We are aiming to create a cost effective, performance driven lean organisation and consequently over the past five years we have implemented significant changes in the way we do business, we moved to industry best practices, tried to leverage IT as a key enabler for business transformation. We injected new department heads, including myself, and hired new people within the group to bring in professionals who can act as a catalyst for business transformation. “We are bringing a new organisation on top of the old one and with a well-crafted strategy in place, we are aiming to achieve

1,800 Number Of Jobs Created By By Balsharaf Group

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BALSHARAF GROUP Balsharaf Group began its life as a small grocery store in Makkah Its management solution has enabled the company to better manage its most important asset its people.


TECHNOLOGY

continuous growth going forward. As an organisation we are very ambitious and there is also huge potential for us.” Balsharaf Head

From Small Acorns The Balsharaf Group began its life as a small grocery store in Makkah and now boasts a chain of stores in Riyadh, a distribution business serving 17,000 retail outlets across the country and manufacturing operations in Saudi Arabia, Egypt and India. It also has significant market shares as an agent for international brands, private labels and own brands. The IT investment has provided branch infrastructure, support and connectivity for 50 plus sites across the Kingdom for distribution, retail, logistics, export and manufacturing businesses which now run on world-class industry solutions not just from SAP but also Cisco, HP, Microsoft, Oracle and Intermec. Introducing SAP ERP Human Capital Management solution has enabled the company to better manage its most important asset - its people. Customers were also a top priority for making the

Office Building

“We are bringing a new organisation on top of the old one and with a well-crafted strategy in place, we are aiming to achieve continuous growth going forward. As an organisation we are very ambitious and there is also huge potential for us.” – Sajid Riaz, CIO w w w. b a l s h a r a f . c o m . s a

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BALSHARAF GROUP

omar.shishani@visionsolutions.com | Tel: +971 (5) 6 778 0906

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BALSHARAF GROUP

TECHNOLOGY

sweeping changes and the new ERP system has provided myriad advantages to help increase Balsharaf’s bottom line. Riaz joined the Balsharaf Group in 2010 bringing with him a wealth of experience having previously been responsible for multiple implementations of ERP systems while working for Dubai-based Dubai Holding. He has worked closely with Balsharaf Group’s forwardthinking Chief Executive Officer Mohammed Ali Balsharaf to bring about the changes. Riaz explained: “With the modern day, best of the breed IT infrastructure we have now we believe we can achieve increasing our 17,000 customers to 20,000 in the next two years. We have the reach and infrastructure with an extensive branch network and 40 plus warehouses located across the entire kingdom. “When I arrived here six years ago, the systems in place were quite primitive and the software in use was not able to handle the business requirements. I proposed we use SAP and at that time we faced the usual resistance and people thought we weren’t ready for this big change, but then we were able to implement the system in just seven months.” Positive Impact Areas where implementation has had a positive impact on Balsharaf Group’s various businesses include data integrity, improved cash flow, better credit and stock management, reducing

Key Personnel

Sajid Riaz Chief Information Officer Sajid is a seasoned IT professional with 17 years of extensive international experience in developing and implementing ROI sensitive IT solutions to improve efficiency of business operations. He has a track record of delivering IT solutions in multiple Middle Eastern and far Eastern countries where he helped in transforming business by harnessing the power of modern day IT solutions.

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BALSHARAF GROUP

Balsharaf Group - Dubai Exhibit 2015

Balsharaf Retail

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inventory holding costs by 40 percent, better customer service and excellent reporting. An example of an immediate financial gain the new ERP system has provided came with the software system’s data crunching abilities. It allowed the company to significantly close the gap between too little or too much stock it was holding in branches to meet customer demand. Riaz said: “When we started cataloguing customer’s requirements we realised we needed to change to better handling of stock between branches. “The gap between the customer order and delivery was at about 16 percent. By improving the movement of stock between branches to get the right quantity at the right


TECHNOLOGY

time we were able to reduce that gap by 8 percent. For a SAR 800-850 million business that means we are talking about an additional sale of SAR 80 million, so implementation costs paid back in less than eight months.”

Company Information INDUSTRY

Consumer Goods

Contingency Planning With such a vast operations and huge transaction base, dependency on technology is very high and any downtime of critical IT systems could mean substantial loss of revenue, thus the company has also invested in contingency planning by setting up a new DR site to ensure it can cope with problems such as connectivity failure, fire or blast, major power failure in the area, or even natural disasters. “We have worked with a UK-based firm to implement Double-Take software using which we replicate all the critical data to the disaster recovery data center in real time, this helps us in ensuring that if anything goes wrong with the primary data center we can resume back operations with minimal downtime (seven minutes) with close to zero data loss.” explained Riaz. “We test it every three months by simply switching off the power. The 500 or so users are automatically switched to the second data centre and don’t even know the change has occurred.” Balsharaf Group’s innovative and forwardthinking management are ensuring that the company is positioned well to achieve its growth targets and undoubtedly be a force to reckon with during coming years.

HEADQUARTERS

Riyadh, SA FOUNDED

1955 EMPLOYEES

1800 REVENUE

SAR 1.9 Billion PRODUCTS/ SERVICES

Consumer goods, Retail, Manufacturing, Logistics, Real Estate

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Making projects happ Written by John O’Hanlon Produced by Jordan Platten


pen in the Gulf and beyond 89


KBR

Yemen LNG is the first natural gas liquefaction project in Yemen

When it comes to delivering major project management for construction, industry and governments KBR is known across the world: right now though it has a particular focus in the Middle East Region (MENA) 90

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K

BR has a long and distinguished history as a contracting engineering and construction company. Its antecedent companies MW Kellogg and Brown & Root date back to the early 20th century, and though they did not merge until 1998 these are the names still indelibly etched in the consciousness of the worldwide contracting sector. Today’s KBR was formed in 2006 when it spun out from Halliburton and floated on the New York Stock Exchange. In mid-2014, KBR streamlined its operations to focus on core strengths as a technology, engineering, procurement and construction company serving the global hydrocarbons and government services industries. Its three distinct global businesses: Technology &


CONSTRUCTION

Consulting; Engineering & Construction; and Government Services, are all in evidence as KBR seeks to lead the field in contracting and consulting, however the Middle East is currently offering a key set of opportunities. Over the years KBR has been involved in many projects in the Middle East region, largely as a global operator working out of its Houston, Texas headquarters; and its London Operating Centre. Right now, that is all changing, and KBR is pursuing a strategy of getting a whole lot closer to each of the countries in the region. A key move was the appointment in March 2015 of Jay Ibrahim, a Lebanese-born American, to the post of President, Engineering & Europe, Middle East and North Africa (MENA). Ibrahim now leads KBR’s expansion in the region, in upstream, midstream and downstream projects. Prices and producers The current slump in hydrocarbon prices is a constraining factor on oil producers wherever they are, admits Graham Hill, KBR’s recently appointed Executive Vice President responsible for Global Business Development and Strategy. But that’s not the whole story. “People think the industry comes to a halt as a result. It does not!” he insists, and with 38 years of contracting experience in global hydrocarbons, his analysis is worth listening to. “As the oil price falls, priority is given to those areas of the world where operators

The Yemen LNG plant is located in Balhaf

25k Number of staff employed by KBR

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We Make It Happen For You

IMI is a leader in providing technical assistance. IMI offers our clients partners an array of services, ranging from the supply of engineers and work force on Industrial, oil and gas and construction work sites throu the world to training and maintenance. IMI is established in 22 countr


and d skilled ughout ries.

www.imi-eag.com


SUPPLIER PROFILE

INDUSTRIAL MAINTENANCE INTERNATIONAL IMI is a global technical resource company delivering unparalleled service and solutions to our clients. We accomplish this with a comprehensive and integrated response to the world class EPC and oil and gas industries resulting in minimized risk, streamlined mobilization and management and predictable execution. As the leading global provider of technical assistance and recruitment for the EPC and oil & gas industry for over 40 years, IMI is established in 22 countries. With an array of services ranging from the supply of skilled workforce on Industrial work sites around the world to training and global maintenance, we are dedicated to offering the superior global resources and comprehensive solutions to our clients and partners. As an integrated company, IMI strives to provide the most cost effective and schedule sensitive technical solution in the challenging oil & gas industry. We have a capacity of 15 million working hours for personnel providing Civil, Mechanical, Electrical, Pre-commissioning, Commissioning, O&M for the EPC and Oil and Gas industries. Our maintenance activities cover every aspect of the project from the plant to camp Address: INDUSTRIAL MAINTENANCE INTERNATIONAL 114 Avenue Du Lac Nord Les Berges Du Lac II Tunis 1053 Tunisia Tel: +216 71 976 800 Fax: +216 71 967 802 Email: karim.ayed@imi-eag.com


KBR

can still make money at the prevailing market rates. We must not forget that the cheapest oil in the world is produced from onshore oil production in the Middle East.� Their offshore oil is also relatively cheap because the waters are shallow and benign. The rest of the world is producing oil from deep and hostile waters, fields a long way from shore, using extensive subsea techniques and complex equipment like FPSOs, often in hostile conditions. “Beyond accessibility and proximity lies capacity. Look forward a century, and whatever progress renewables have made there will still be a demand for hydrocarbons. Where will these be found? Many oilfields will have come and gone but the one territory that will be still there

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SEGAS LNG is a liquefied natural gas complex in Damietta, Egypt

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KBR

SEGAS LNG is a liquefied natural gas complex in Damietta, Egypt

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in ‘the endgame’ will be the Middle East”. “There’s a lot of talk about shale,” he continues, pre-empting the inevitable question, “but shale is relatively expensive to produce, especially if you’re not in the USA. There they have the pipeline and road infrastructure to support it but in other places, the logistics both of production and delivery to the market are daunting, even if you can get past the environmental and social hurdles we all know about.” Jay Ibrahim does not think the oil price is a major issue for his clients. It’s more a matter of the ‘social burden’ that is placed on oil revenues, in countries that by and large lack other sources


CONSTRUCTION

of foreign exchange. That means anything from infrastructure to health and education. “Though the cost of production, and the social burden vary from country to country, with costs typically under $20 a barrel, most Middle East countries claim there is about $50 per barrel social burden. This means that, for most of the countries, $60-80 is their breakeven point.” So at the current prices, fluctuating between $40 and $50 per barrel, something has to give, as manifested in the June decision to shelve the 11 regional football stadia that Saudi Arabia is planning to build. “They are also sweating their facilities to get more out

“Though the cost of production, and the social burden vary from country to country, with costs typically under $20 a barrel, most Middle East countries claim there is about $50 per barrel social burden” – Jay Ibrahim, President, Engineering and Europe, Middle East and North Africa.

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INNOVATION INNOVA VATION VA ATION

You challenge. We listen.

Together we build a better solution. Understanding market demands and envisioning your future requirements drive Koch-Glitsch’s research for innovative equipment to enhance your operation. Koch-Glitsch has applied the extensive knowledge and experience of our R&D team to develop the most advanced line of mass transfer and mist elimination equipment. Our diverse product portfolio offers the flexibility to create the distinct benefits that make each solution suitable for your specific process. A well-designed tower from Koch-Glitsch can provide your operations with higher efficiency, increased capacity, improved plant performance and enhanced reliability.

YOU CAN RELY LY ON US.™ L

United States (316) 828-5110 | Canada (905) 852-3381 | Italy +39-039-6386010 | Singapore +65-6831-6500 For a complete list of our offices, visit our Web site.

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THE THESINGLE SINGLE SOURCE SOURCEFOR FOR EMISSIONS EMISSIONS CONTROL. CONTROL. We’ve We’ve been been honing honing ourour expertise expertise forfor more more than than 8080 years. years. Investing Investing in experts in experts andand assets. assets. Innovating Innovating through through research research andand development. development. And And earning earning unrivaled unrivaled combustion combustion andand vapor vapor control control experience experience at installations at installations worldwide. worldwide. LetLet us put us put ourour expertise expertise to work to work forfor you. you.

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SUPPLIER PROFILE

At Koch-Glitsch the culture of innovation has been going strong for more than 100 years. As a global leader in the design, manufacture, and supply of a complete line of mass transfer and separations technology equipment, Koch-Glitsch has extensive knowledge and experience in the refining, chemical, petrochemical, gas processing, pharmaceutical and other specialty industries. On a daily basis, Koch-Glitsch engineers assist plant operators in addressing concerns with energy efficiency, product purity, operation reliability and the environmental impact of processing operations. Koch-Glitsch’s continual development of cost-effective equipment and installation solutions yields significant capital and energy savings to its customers. www.koch-glitsch.com

John Zink Hamworthy Combustion is a global leader in emissionscontrol and clean-air combustion systems, delivering advanced technologies backed by 80+ years of proven experience and expertise. Our engineered-to-order products include process burners, thermal oxidizers, flares, gas recovery systems, boiler burners, duct burners, vapor control systems, biogas flare systems and specialized burner systems for the offshore and marine sectors. JZHC research and development facilities make up one of the largest and most advanced testing complexes in the industry, allowing us to push innovation, gain expertise and measure performance in a near fullscale industrial setting under real-world conditions. www.johnzinkhamworthy.com


KBR

of them. When the oil prices go down most operators, including those in the Middle East, think about how much juice they can get out of their existing facilities by doing revamping and debottlenecking projects as opposed to spending a lot of money on new capital projects.� At the end of the day, using Micawber economics the Middle East is a happy oil producer because it is among the few selling at more than the cost of production. It also has to keep the wells flowing, and the exploration drills turning because true diversification is some way from being realized. For now the diversification is itself oil based, as the Gulf states spend and spend on downstream derivatives and chemicals. This again represents an opportunity for KBR.

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A KBR project for Egypt Basic Industries Corporation

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KBR

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“When you have these cheap feedstocks you have a competitive advantage right up the value chain,” says Hill. Every part of the Middle East has a further advantage, its location. Though it is generally lightly populated, it has good links to fast developing markets elsewhere: “They can easily ship to the developed and developing worlds where these materials are in demand for transportation and advanced manufacturing.” Structuring to win To say that KBR has good standing as a reliable partner for the international oil companies (IOCs) would be a considerable understatement. It built the first platform out of sight of land, in the Gulf of Mexico, in 1947 and has been at the forefront of some of the major milestones

SUPPLIER PROFILE

$6.3bn The amount of revenue in USD generated by KBR in 2014

L&T HEAVY ENGINEERING

L&T Heavy Engineering is part of Larsen & Toubro - a USD 15 billion technology, engineering, construction, manufacturing and services conglomerate with global operations. L&T’s Heavy Engineering Process Plant Equipment group manufactures and supplies Engineered to Order (ETO) critical process equipment & systems for core industry sectors like Oil & Gas, Refinery, Fertilizer, Petrochemicals, Gasification & Power plants. We supply Reactors, Ammonia convertors, Reformed gas boilers, Urea equipment, Coal Gasifiers and High pressure - High temperature Heat Exchangers to over 50 countries including the US, UK, France, Russia, Saudi Arabia and China.

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A trusted partner for your global projects Reduce risks during all phases of your project management with Endress+Hauser’s skills and tooling landscape As a plant builder or EPC, your main challenges in international projects are finalizing your project on time and within budget. In the Chemical and Petrochemical industry, the project lead team and project execution team can be detached from each other by a long distance. As a main instrument vendor (MIV) with global presence, we have project management expertise locally and available to support you in meeting deadlines and managing costs.

• Meet your costs and time milestones in all critical elements of a project plan ranging from engineering, documentation to commissioning, startup and turnover • Lower your total project cost through precise and timely estimates • Reduce costs of project delivery by providing productivity tools and embedded resources during basic and detailed engineering

Best-fit project management based on global standards Our global execution centers enable you to: • Save time with accurate and responsive communication through a single point of contact

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The perfect formula for your process automation. Endress+Hauser is your supplier for state of the art process instrumentation: robust, safe and intelligent. Our devices have proven their reliability a thousand fold in safety relevant applications. Maintenance friendly solutions, added value services and a smart life cycle management concept considerably reduce your operational expenditures (OPEX). No matter what your specific requirements are, we have the perfect formula for your process automation needs. As an associate member of GPCA we are an advocate of Responsible Care. www.endress.com / chemicals Endress+Hauser Consult AG Sales Support Kägenstrasse 2 4153 Reinach Switzerland

Phone +41 715 77 00 Fax +41 61 715 28 88 info@consult.endress.com www.endress.com


KBR

KEY PERSONNEL

in the global hydrocarbons industry, claiming to have designed and constructed no less than a third of the world’s LNG production. Nevertheless, despite having a second-to-none presence in the Middle East, before this year KBR engaged with the region very much as a global partner rather than a local player. In the past KBR was executing specific projects in the ME as opposed to building sustainable continuous business in the various countries and primarily in engineering and construction (E&C) projects. From this year, this approach has changed, as reflected in Jay Ibrahim’s appointment and the establishment of a regional headquarters in Abu Dhabi. “We have been sub-scale in relation to the number of projects we deliver,” he admits, “but from here on in our operating model will be to work as a local business in each of the counties of interest. Our global operating model dovetails with this approach, so where we do

CONSTRUCTION

“From here on in our operating model will be to work as a local business in each of the counties of interest… where we do major projects we draw on our global resources, but keep the interface on a local scale working through our offices in each of these countries” – Jay Ibrahim

Jay Ibrahim President, Engineering & Europe (E&C) Middle East and North Africa (MENA). Jay Ibrahim is President, Engineering & Europe (E&C) Middle East and North Africa (MENA). Mr. Ibrahim has 21 years of experience in the Middle East Region, having served in a variety of engineering, project management, business development and business management roles for Parsons E&C/WorleyParsons. He will lead KBR’s continued expansion in the region, which is expected to provide growth opportunities throughout the Hydrocarbons value-chain (upstream, midstream and downstream).

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KBR

Shah Deniz gas field is the largest natural gas field in Azerbaijan

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major projects we draw on our global resources, but keep the interface on a local scale working through our offices in each of these countries. We want to have a strong local business that will facilitate the global implementation!” This is not just typical ‘think global act local’ rhetoric. It represents a deep structural change in the organization, Hill emphasizes: “For a start we intend to grow organically in the region, probably making some additional strategic investments and focusing on winning a portfolio of new projects. From there we will move forward in a synergistic way. “Abu Dhabi will be the hub - Jay has


CONSTRUCTION

been a resident there for many years. But, unusually for the industry, we do already have a global outsourcing office in Dubai.” The Dubai office, he explains, employs many people supporting back office functions and shared services – and coordinating operations well beyond the Middle East. Instead of looking to the Houston, Texas office/headquarters to provide the expertise and resources it needs, KBR is increasingly autonomous in the Middle East and Asia-Pacific regions. In particular, it has been investing heavily in India. “India is a vital part of the supply chain for projects in the Middle East,” says Graham Hill. “It

“We intend to grow organically in the region, probably making some additional strategic investments and focusing on winning a portfolio of new projects” – Graham Hill, Executive VP for Global Business Development and Strategy

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leap forward

LEAP™—A New Paradigm for Automation Project Lean Execution. LEAP™ challenges the traditional way projects have been implemented. It enhances our project services with our three most innovative, enabling technologies to revolutionize project execution—Universal Channel Technology, Virtualization, and Cloud Engineering. Lean execution already entails removing waste on projects—including redundant tasks and rework. LEAP takes a further step by removing the traditional dependencies that used to force project flows to be sequential in nature, drastically improving the overall project schedule—keeping automation systems off the critical path. LEAP separates physical from functional design, allows parallel workflows, uses standardized designs, and enables engineering to be done from anywhere in the world. Reach up to 30% CAPEX savings. Take one giant LEAP forward.

For more information visit www.honeywellprocess.com/LEAP

©2015 Honeywell International, Inc. All rights reserved.


KBR

is geographically close. A huge number of Indian and other Asian nationals work in the industry, from labor to supervisory and board level. The Middle East countries have small populations, and to supplement the indigenous population they naturally employ people from the subcontinent.� Though India still retains its low-cost advantage, there are many other compelling reasons why KBR has chosen to establish technology centers there. Among the requirements sourced from India are engineering and procurement services, construction labor, construction supervision, technology, licensing, chemical sales, equipment manufacturing, specialty items and many others. “We do all these things out of India because it is a very competitive country, a largely English-

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A project for the Saudi Kayan Petrochemical Company

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Lindinger Inspection Engineers, Inc Quality inspection expediting service since 1956

Lindinger Inspection Engineers, Inc is a global provider of value added vendor surveillance inspection and expediting services. Having been privately owned and operated since 1956, Lindinger has been able to provide the highest quality services to the Petroleum, Petrochemical, and Energy Industries without the burden of mergers or acquisitions that cause confusion and frustration rather than build stability. As a compliment to one of the industry’s most respected staff of Project Coordinators and back office staff, Lindinger’s Management has extensive and proven inspection experience which enables us to provide superior technical and support service to both Inspectors and its Clients. Tel 281-277-5800 | Fax 281-277-5883 www.lindinger-insp.com | PO box 2207 • Stafford • Texas


KBR speaking market, and has a legal system based on English law.” And in order to avoid any short term supply side constraints KBR has deliberately chosen diverse locations, at present Pune in the west, Chennai in the east and Delhi in the north.

KEY PERSONNEL

Sadara and beyond So what is the current state of KBR’s involvement in the region? By far its part in the Saudi Aramco/Dow Chemical Sadara project at Jubail in Saudi Arabia. Sadara has become the world’s largest chemical complex ever built in a single phase. With 26 integrated world-scale manufacturing plants, over three million metric tons of capacity per year, and a total investment of about US$20 billion, it is anticipated that Sadara will become a Fortune 500 company within the first year of full operation – 2016/17. KBR’s part in this massive project was to execute the project feasibility and pre-FEED (front-end engineering and design) for the entire complex, as well as the FEED scopes of several

CONSTRUCTION

“We do all these things out of India because it is a very competitive country, a largely English-speaking market, and has a legal system based on English law” – Graham Hill

Graham Hill Executive Vice President responsible for Global Business Development & Strategy Graham Hill is KBR’s new Executive Vice President responsible for Global Business Development & Strategy. He joined KBR in November 2014. He has 38 years of experience in the hydrocarbons industry in all aspects of contracting; commercial foundations for mutual success; negotiation and all technical aspects of the EPC business.

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Powering American gas exports Proven compression solutions for midsize LNG plants

Efficiency and reliability are crucial in the liquefaction process. With our full range of compressors, gas and steam turbines, that’s exactly what Siemens is helping the oil and gas industry achieve. We offer reliable compressor solutions for the mixed refrigerant process as well as for all supporting compression applications. Plus we supply the electrical equipment and the integrated automation systems required for an LNG plant.

Compressor trains powered by our SGT-750 boast longer service intervals than similar designs. This means less downtime and increased production over the lifetime of these projects. Add improved emissions over other designs, and local service capabilities worldwide and you can see how Siemens is the right choice for your LNG needs!

siemens.com/oilandgas


KBR

major assets. KBR is also the licensor of its Aniline technology for the project. KBR is currently the project management contractor (PMC) and has about 700 specialized personnel on site as the project goes into the commissioning phase. The company will continue to have significant numbers in Jubail as part of the integrated project management team assisting Dow and Aramco during the final stages of the project, says Ibrahim. “We have been engaged on that project for five or six years.� Sadara has scored a lot of superlatives, not least clocking up 80 million construction man-hours without a Lost Time Incident (LTI). That achievement had nothing to do with luck, he insists. The KBR onsite team performed hundreds of joint safety walkthroughs with the project management

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A KBR project at In Salah, Algeria

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Mitsubishi turbomachinery combines advanced technology, robust design, precision engineering and exceptional quality with proven reliable performance to enhance customers’ competitive edge in the global marketplace. Tel +81-82-291-2191 Email mco_inq@compressor.mhi.co.jp

Construction, Engineering And Procurement LEAD Contracting & Trading Ltd is a large-scale construction company operating in the Middle East and North Africa region, specializing in oil & gas and power plant contracting services.

T + 971 4 448 6672 / +971 4 448 6673 F + 971 4 374 1921 dubaioffice@lead-ae.com www.lead-ae.com Jebel Ali Free Zone - Dubai - UAE


KBR team and their construction contractors. The same culture is applied in the other major projects in the region, such as the Jazan refinery and terminal, again for Saudi Aramco. In 2012 KBR was awarded a contract for FEED and PMS services to develop the process design, layout, integration and optimization of the facility, develop equipment and material specifications, the preparation of EPC bid packages and the development of a construction estimate for the refinery. Other major projects include the Yanbu Aramco Sinopec Refining Co. (Yasref), a joint venture between Saudi Aramco and China Petrochemical Corporation (Sinopec). It’s a refinery with the capacity to process 400,000 barrels per day (bpd) of Arabian Heavy crude and produce 90,000 bpd of gasoline, 263,000 bpd of ultra-lowsulphur diesel, 6,300 metric tons per day (mtd) of coke and 1,200 mtd of sulphur. “We provided a team to supervise the EPC on that, and the refinery started producing in June this year.” The list goes on, including the latest LNG Expansion for Sonatrach in Algeria, illustrating the depth and breadth of KBR’s work for the Region and its flexibility in terms of partnership models. For example there’s a joint venture between KBR and a local Saudi company AYTB, which provides fully integrated technical, logistical services and industrial solutions for the Hydrocarbons sector. This is less a construction and more of a smart planning and maintenance operation, Ibrahim says,

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A KBR project at In Salah, Algeria

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BERTLING – CELEBRATING 150 SUCCESSFUL YEARS IN BUSINESS.

Bertling plans globally and performs locally. Freight forwarding projects are managed and executed to the highest technical standards. Bertling uses robust group-wide systems, experienced in-house personnel and puts together teams dedicated to your global business to offer the following transport services: Project Logistics Shipping & Chartering Transport Engineering IT Solutions QHSSE Management Your Freight Forwarding Specialist in Houston: Bertling Logistics, Inc. 19054 Kenswick Drive Humble, TX 77338 Phone: +1 2817742300 Web: www.bertling.com/usa For more than 150 years Bertling’s innovation has delivered operational excellence.

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We Are MORE Than Just PIPE SUPPORTS! Founded in 1978, Piping Technology & Products (PT&P), along with its subsidiaries, is the world’s leading manufacturer of high-quality engineered pipe supports, hangers, shoes, expansion joints and custom piping solutions. Our mission is to fabricate the finest engineered pipe products in the industry. Through our investments in R&D and customer service, PT&P and its subsidiaries continue to develop innovative products and solutions that add value to our customers worldwide.

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KBR

but it involves more than 300 KBR employees. In a further JV operation with a local company, AMCDE, KBR performs services for the GES (general engineering services) Contract – onshore O&G, as well as its offshore maintain potential (MPP) contract – Offshore O&G for Saudi Aramco.

CONSTRUCTION

A refinery project near Skikda in north eastern Algeria

Risk and reward All in all in, KBR has currently close to 2,000 people working on various projects and JVs in Saudi Arabia, its largest presence in the Middle East for now. However Jay Ibrahim is aggressively looking at potential partnerships in Oman and Kuwait. His long experience will be indispensable here. Kuwait Oil company (KOC) has a different tendering pattern from its neighbours, awarding a w w w. k b r. c o m

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KBR

Doha Expressway in Qatar

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single, five year, project management consultancy (PMC) deals worth in the region of $400 million. That’s great if you are the winner, he says, but if you are not, then you are in the cold till the next round. In the UAE, the tendency is to issue separate PMC deals for each project – more work, more opportunities. He is used to widely differing types of negotiation, and insists that the really important thing in the Middle East is to be able to win long term relationships. “I have been in the Middle East for 21 years and I have seen it all! One model can’t work


CONSTRUCTION

for all clients.” The Middle East is what he calls a lump sum turnkey (LSTK) market where the client seeks to pass on the majority of the risk to the EPC partner. There may be ‘better’ models when benchmarked against western economies, but western regulatory frameworks may not fit so well in the Middle East. It comes back to fundamentals. The Middle East continues to attract money, as evidenced by the interest of Chinese contractors like Sinopec and Indian players like Larsen and Toubro and Punj Lloyd, which are taking an increasing interest, following on the heels of the Korean contractors who picked up $15 billion of contracts seven years ago. This inward investment is good news for KBR, which is ready to provide Pre-FEED, FEED, Project Management, and even EPC, construction supervision and maintenance services. His game plan is to open offices in countries like Qatar, Oman, Bahrain and Kuwait – as well as Saudi and the UAE. One other tempting market remains; in Iraq KBR would like to grow the footprint it has alongside the IOCs at the large oilfields of Rumaila and Majnoon (where KBR is already building the camp for Shell). He also is keeping a close eye on Iran. Sanctions make direct engagement impossible right now, but he sees engagement with Iran as an important keystone of KBR’s ambition to be a major local player in the Middle East. With the rapid thaw in Iran’s relationship with the west, a KBR presence in Tehran might not be too distant a prospect.

Company Information INDUSTRY

Europe, hydrocarbons REGIONAL HQ

Abu Dhabi FOUNDED

2006 EMPLOYEES

25,000 REVENUE

$6.3 billion (2014) PRODUCTS/ SERVICES

KBR, Inc. is a technology, engineering, procurement and construction company serving the global hydrocarbons and government services industries

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In-house expertise helps Riyadh transform its city centre Interview by John O’Hanlon Produced by Jordan Platten


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STRUKTON

Strukton, as a member of the FAST consortium, has been awarded a contract by Arriyadh Development Authority (ADA) to construct three of the six lines of a fully automatic, driverless metro system to be launched by the city of Riyadh Tunnel break through

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© 2014 -Gitte Spinder Construction Photography

E

stablished in 1921, Strukton provides cross-border solutions in the fields of rail infrastructure, civil infrastructure and technique & buildings markets. As a leading player in the global market for railway projects and comprehensive infrastructure projects Strukton focuses on transport systems in densely populated areas, opening up ports, airports and mining areas, and generating and distributing (sustainable) energy. Through almost a century of construction involvement, maintenance expertise and technological development the company has successfully adopted, created and connected past, modern and future best practises. Privatised in 2010, today the company boasts expertise in the fields of operational asset


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Tunnel entrance at Riyadh Metro

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FREYSSINET SAUDI ARABIA CO. LTD. (FSA) was founded as a limited liability company in 1978 by H.E. the late Sheikh Kamal Adham. Since its inception, FSA has completed numerous turnkey projects in Saudi Arabia covering various fields and amounting to several Billions Saudi Riyals. The success of the company stems from a positive and dynamic approach, incorporating advanced technology and a natural aptitude for innovation and optimized solutions. This can be attributed to a highly qualified and dedicated team of technical and administrative staff, backed by extensive resources of proficient manpower and modern equipment. FSA is committed to providing its clients with the highest quality of services in the construction sector. It is our policy to develop and maintain client satisfaction. Today, FSA is considered as one of the leading general contracting and engineering companies in Saudi Arabia active in all aspects of the contracting business including value engineering, design optimization, project management and project execution.

Tel +966 12 6602365 Fax +966 12 6695503 E-Mail info@fsa.com.sa Web www.fsa.com.sa


STRUKTON

CONSTRUCTION

management, monitoring systems (POSS), rolling stock systems, signalling systems, energy solutions, training and certification, and highoutput equipment. “We aim to improve all aspects of mobility and accessibility on a permanent basis. Our extensive experience with the construction, project management and maintenance of high-quality infrastructure systems – covering railways, ports, roads and airports combined with our in-house technical specialisations helps us achieve this,” says Business Development Director, Chris Raijmakers. “We operate on an international basis and have long-term operations in the Netherlands Sweden, Denmark, Belgium, Italy and Australia. We are now expanding this network to the Middle East, the Far East and Latin America”. Riyadh Metro Project Strukton, as a member of the FAST Consortium of companies, was awarded a contract by Arriyadh Development Authority (ADA) to construct three of the six lines of a completely automated and driverless metro system to be launched by the city of Riyadh. The total contract value amounts to $8 billion and Strukton’s share represents almost $1.2 billion, which will generate a yearly turnover in excess of $200 million for the company. This new metro will transform Riyadh, reducing traffic congestion, strengthening and driving the Saudi economy and improving living standards for citizens. The city currently has a population

Key Personnel

Bert Hoekstra Managing Director Bert has over 35 years of experience in the international construction business. Graduated from Delft Technical University, Netherlands with a Master Degree in Civil Engineering he started at the Dutch Construction Company Ballast Nedam as a design Engineer and developed himself via the classical route of Field Engineer, Construction Manager and Project Manager into General Management functions. He joined HOCHTIEF in 2006 and moved to Strukton in 2014.

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RECO. PROVIDING THE CONSTRUCTION WORLD WITH BUILDING MATERIALS, TOOLS AND MACHINERY.

Throughout the years, RECO has developed into a successful, international enterprise with several branches. RECO thanks its customers for this growth. Customers who value and appreciate the wide product range, the reliability, the expertise and the experience of RECO. With a sophisticated range of rental equipment, RECO facilitates projects from A to Z! Whether your project requires the temporary use of accommodations and equipment or the construction of a temporary station concourse, RECO is the right partner and is more than happy to assist you!

RECO. The best start of any project!

MATERIAL SOLUTIONS

POWER, LIGHT & HEATING | CONSTRUCTION SITE EQUIPMENT | ACCOMMODATIONS SCAFFOLDING & SUPPORT | LIFTS & PLATFORMS | MACHINES & TOOLS FOR MORE INFORMATION VISIT: WWW.RECO.EU OR CALL +31(0)71 341 91 20

YOUR PARTNER IN EQUIPMENT


STRUKTON

CONSTRUCTION

© 2014 -Gitte Spinder Construction Photography

of 5.7 million, which is expected to increase to 8.3 million by 2030. The metro helps provide a solution to daily traffic problems: of 7.4 million daily commuters, only 2 percent currently use public transport. The FAST Consortium’s contract includes the design and construction of three lines, including 25 stations. The lines will host 62 kilometres of rail, of which 34 kilometres of track will be on viaducts, 20 kilometres will be underground, and 8.2 kilometres at ground level. In total, the six lines that make up the Riyadh Metro will span more than 176 kilometres, making it the largest metro project under development in the world at present. Completion of the project will be no mean

Cut & Cover Tunnel

€1.8bn Revenue generated by Strukton

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Al Bawani A general contractor in Saudi Arabia with over 27 years experience and backlog over US$ 1 billion diversified into Healthcare, Industrial, Residential, Education, Data Centers, Defense and Commercial buildings across the Kingdom.

Our Services • Preconstruction

• Program Management

• Consulting

• Construction Management

• Project Management

• Design-Build/Finance

• Design-Build General Construction

• Building Maintenance

• Multiple Building Program

Contact WWW.ALBAWANI.NET INFO@ALBAWANI.NET


STRUKTON

CONSTRUCTION

Construction Photography

feat and will require all of Strukton`s in-house experience and expertise to ensure it is executed successfully. The team Strukton selected for this major project has been involved in numerous tunnelling and civil works undertakings and has wide-ranging knowledge in the field of rail systems. They have been involved with the project from day one, working on the design and construction of all three lines. “We are very pleased to have been selected by the city of Riyadh to support this major project and to help make public transport an attractive and safe option,” says Strukton’s CEO Bert Hoekstra, who has taken upon himself the role of project manager for this strategic contract. “Having extensive expertise in both the rail and civil

Tunnel for station

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STRUKTON

Oosterschelde Tidal Bridge

construction world, Strukton is the ideal partner for such integrated projects”. ADA announced in July 2013 the winners of the three turnkey contracts for the construction of the six lines of the driverless metro network. The official start of the project was in October 2013 and design work began immediately, with earth being broken on the construction site in the first quarter of 2014. The project is scheduled for completion by the end of 2018. The total 85 stations will all be air-conditioned, and the trains will offer first class, family class and single class carriages. The city hopes it will transform the way people move around, reducing the sheer

ISO 9001: 2008 Certified

SPECIALIST GEOTECHNICAL CONTRACTORS (FOUNDATION ENGINEERING & MARINE WORKS)

We are specialist geotechnical contractor for foundation engineering and marine works with over 40 years experience in this field of civil engineering. We design and execute: PILING WORKS

 Bored piles

 Contiguous piles

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SHORING

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MARINE WORKS

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EARTHWORKS

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From design to turnkey construction – Züblin Ground Engineering is the internationally operating provider of construction services for geotechnically demanding projects. www.zueblin-groundengineering.com

Züblin Ground & Civil Engineering L.L.C., Gulf Towers, Oud Metha Road, P.O. Box: 111556, Dubai, U.A.E., Tel. +971 43344-324, mail@zueblin.ae

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SAUDI ARABIA: Palestine Street, P.O. Box 9530, Jeddah 21423 Tel.: (012) 6711141 Fax: (012) 6711156 E-mail: Jeddah@ammico.biz

QATAR: Bin Omran, P.O. Box 14330, Doha Tel.: +974 44886531 Fax: +974 44886507 E-mail: Qatar@ammico.biz

www.ammico.biz


CONSTRUCTION

volume of traffic on the roads and the ubiquitous congestion. Delivering transformation Riyadh today is one of the world’s fastest growing cities and our citizens deserve a world-class public transport system to enhance their quality of life, according to Ibrahim Bin Muhammad Al Sultan, President of ADA and Member of the High Commission for the Development of Arriyadh. “The Riyadh Public Transport Project will be a major driver of employment and economic development,” he says. “It will also help to reduce traffic congestion and improve air quality. This is the biggest infrastructure project to be

6700k

Number of staff employed by Strukton

Pre-cast beams

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STRUKTON

“Our experienced team has been involved in numerous tunnel projects, civil works and has broad knowledge in the field of rail systems. We are very pleased to have been selected by the city of Riyadh to support this major project to make public transport an attractive option” - Business Development Director, Chris Raijmakers

Riyadh Metro

© 2014 Gitte Spinder Construction Photography

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undertaken in the Kingdom of Saudi Arabia and is a cornerstone of the bold future we envision for our city.” Considering Strukton’s impressive resumé, inhouse expertise and ambitious growth strategy, it is an ideal partner of choice to deliver such a transformational project. “Our mission is to contribute to the quality and safety of rail transport, road infrastructure and technical systems and buildings. We do so by making use of our integrated know-how and experience


CONSTRUCTION

Company Information INDUSTRY

Construction HEADQUARTERS

Utrecht, The Netherlands FOUNDED

1921 EMPLOYEES

6,700 REVENUE

EUR 1.8 billion

in the field of technology, civil engineering and cross-border solutions for rail infrastructure, rolling stock, mobility and information systems,” says Raijmakers. “Our vision is an attractive, safe and reliable rail system. Our operational asset management approach helps to prove, demonstrate and realise the reliability of the rail system. This approach will help position the Riyadh Public Transport Project correctly for mass uptake, future growth, and city-wide transformation,” he concludes.

PRODUCTS/ SERVICES

Railway & Civil Construction

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Evolving to the modern c


o assist customer

Written by Sam Jermy Produced by James Pepper

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MAERSK LINE: UK & IRELAND

This business unit of the multinational conglomerate is using digital channels to offer a modern and convenient service to its customers

The UK is generally two and a half to one in terms of imports and exports

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M

aersk Line, one of the world’s leading container shipping companies, is ensuring it maintains its position as an enabler of trade by investing in its fleet and developing the ecommerce side of its business. Having only started operating out of Great Britain in the 1980s (everything being previously coordinated from headquarters in Denmark) the UK & Ireland unit is still relatively young. Its first direct service from the UK began sailing in 1988, and today roughly 2,000 containers a day pass through British and Irish ports thanks to Maersk Line services. Brian Godsafe, Managing Director of Maersk Line UK & Ireland, said: “With global trade the way it is, the main challenge is to fill the ships. The UK is generally two and a half to one in terms of imports and exports. If you’re a niche carrier you may be able to balance that out on one particular trade, but because we offer global coverage, that ratio applies to us, so we have to send back more empties than we receive when it comes to full containers. “Apart from the imbalance, with the pound being so strong it means the exports get more expensive and that has put more pressure on the exporter. If you’re trading as a shipping company into the UK, you will have to accept that there is going to be an imbalance if you offer global services, that’s just the nature of the trade. You have to build the round-trip into the cost, that’s what all the carriers do.


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thepeople’shaulier Hayward Transport is a long-established and respected, family-run haulage company with a dedication to excellence – proudly labelled “The People’s Haulier”. Working with blue chip shipping and logistics companies, we undertake work for the likes of TK Maxx, Sainsbury’s and Goodyear to name a few. Our flexible, tailored approach and commitment to customer satisfaction when transporting cargo, has earned us an enviable reputation in the haulage industry since the company’s inception in 1919. With a 50-strong fleet of trucks and an array of trailers at our disposal, we are able to respond quickly and efficiently to customers’ needs.

Recognition through accreditations from respected industry bodies underpins our commitment to quality across our organisation. Hayward’s is a committed member of The Freight Operator Recognition Scheme, the industry-led accreditation scheme encouraging sustainable best practice for road freight. We are also an ISO 9001 certified organisation, demonstrating quality management across our facilities, people, training and services. Our passion for excellence also extends to sharing our professional skills and vast knowledge accumulated within the sector, training other commercial drivers at our specialist driving school. We conduct CPC driving courses aimed at ensuring safety and helping to maintain the highest standards of driving on our roads.

WWW.JHAYWARD.CO.UK


OUR CLIENTS

Hayward Transport’s portfolio of operations includes: Container haulage General haulage Low loader/plant movement Tipper haulage Trailer hire CPC driving school

LOCATIONS Hayward Transport Portland Street

t

01922 621417

West Midlands

f

01922 642943

WS2 8AD

e

walsalltraffic@jhayward.co.uk

t

01405 861518

East Yorkshire

f

01405 861837

DN14 0DU

e

pollingtontraffic@jhayward.co.uk

Walsall

Hayward Transport Balk Lane Pollington

f Follow us on Facebook

thepeople’shaulier


SUPPLIER PROFILE

J HAYWARD & SONS OF WALSALL LTD

At Hayward Transport we have various operations within our portfolio, including: Container haulage,General haulage,Low loader/plant movement,Tipper haulage,Trailer hire and a CPC driver training school. Working with blue chip shipping and logistics companies, we undertake work for the likes of TK Maxx. Don’t hesitate to contact us if you’d like to know more or find out about how our services could benefit your business. Think of us as “The People’s Haulier” – we won’t let you down. Address: Portland Street, Walsall, WS2 8AD Tel: 01922 621417 Fax: 01922 642943 Email: walsalltraffic@jhayward.co.uk Visit our Website: www.jhayward.co.uk


S U P P LY C H A I N

(Credit Stephen Waller - Maersk Line

MAERSK LINE: UK & IRELAND

So hopefully you can build up a cost structure which covers both the full containers coming into the UK and part of the repositioning of getting the empty containers back out again.� Godsafe pointed out that in the shipping industry, it is not like airlines or hotels when you can drop the price and hope to create the demand because dropping the price in shipping does not create a demand.

Marchen Maersk, a Triple E, at Port of Flelixstowe. Maersk Line recently placed an order for additional 14,000 TEU vessels

Fleet and ecommerce The Maersk Group, of which Maersk Line is a part, famously owns an impressive range of Triple-Es; one of the largest shipping vessels in the world. These call into the Port of Felixstowe from the Far East. On top of this, Maersk Line recently placed an order for additional 14,000 TEU vessels. w w w. m a e r s k l i n e . c o m

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Paul Barker Commercial Director | Tel 0114 2444 836 Stephen Newell Operations Director | Tel 0114 2444 836


In 1974, Frank Newell and Paul Wright formed Newell & Wright Transport. We were a very small general haulage company, operating from rented premises. Over the following 40 years we have grown substantially in size and work for all major carriers. We operate 100+ vehicles working day and night from two sites. We have a 6.5 acre site in Sheffield which is used for our Workshop, Paint shop, Warehousing and vehicle parking. The second site is a 6 acre Rail Linked site ½ mile away in Rotherham offering container storage, repairs and rail services.

www.newellwright.co.uk traffic@nwtransport.com


SUPPLIER PROFILE

NEWELL & WRIGHT TRANSPORT

Newell & Wright Transport was formed in 1974, in over 40 years we have grown substantially in size and we are now a Specialist in Container Road Haulage. We operate a large fleet which consists of over 100 vehicles. Service and Reliability is a priority to us so we operate 24 hours, running day and night over two shifts significantly reduces the risk of delays. These vehicles operate from two sites, one of which is fully rail linked terminal. We have a large container storage site for loaded and empty containers and also offer all container repairs and maintenance. Address: : Templeborough Depot, Sheffield Road, Sheffield, S9 1RT Tel: 0114 244 4836 Fax: 0114 242 3362 Email: traffic@nwtransport.com Management: Frank Newell – Managing Director Stephen Newell – Operations Director Paul Barker – Commercial Director Website: www.newellwright.co.uk


MAERSK LINE: UK & IRELAND Godsafe said: “We can actually put them on other trades because the other bigger ships can only be put at this moment in time on the Asia trade route. Not all ports can handle the size of a Triple-E you see, so 14,000 TEU vessels can give us a bit more flexibility and we can move them around depending on demand. “So moving forward we will concentrate on buying the ships which are most economical. Usually, that means that the larger the size the more economical they are. However, often the bigger they are means they can also be less flexible. So I think our strategy going forward will be the same as we are now; we’ll get the most suitable ships, which means a mix of sizes to be honest.” While there have been investments in assets such as the fleet, another area Maersk Line is focusing on in the UK & Ireland is ecommerce. Thanks to my.maerskline.com, its online cargo

S U P P LY C H A I N

Maersk is looking to develop systems and processes to make life easier for customers

Key Personnel

Brian Godsafe Managing Director, UK and Ireland A shipping professional with over thirty years in the industry, Brian became managing director of Maersk Line in the UK and Ireland in 2011. Prior to that, he held senior leadership roles in customer service and trade for the business, and was managing director and commercial manager of Safmarine UK. As managing director, he is responsible for Maersk Line’s commercial activity in the UK and Ireland, covering both the Maersk Line and Safmarine brands, with over 200 employees based in offices in Liverpool, Birmingham, Dublin and Felixstowe.

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• Contract hi • Container t • A new fleet • ADR trained

Express Freight the most versati in customer serv turn has enabled standards of exc

T +44 (0) 137 F +44 (0) 137

Express Fre


SERVICES (UK) LIMITED

ire transport t under 3 years d and courteous drivers

• Fully managed and operated • Rates to suit all businesses • GPS tracked for added security with full access for you or your customers

Services (UK) Ltd has been established for over 40 years and has proved to be one of ile and flexible road transport operators in the industry. We have raised the bench mark vices by giving each customer a bespoke service tailored to individual needs, this in d our customers to maintain their own service targets and client base. We are driven to cellence throughout our organisation, which is reflected in the service we offer.

75 488730 75 488759

customerservices@efs-uk.com www.efs-uk.com

eight Services (UK) Ltd, Armada House, Tilbury Freeport,Tilbury, Essex RM18 7ET


SUPPLIER PROFILE

EXPRESS FREIGHT SERVICES (UK) LTD SERVICES (UK) LIMITED

At Express Freight Services (UK) Ltd we offer a service package tailored to your needs, whether it is one movement or a thousand the level of service you will receive we be to the same exacting standards. We have in place state of the art computer systems to process your orders and to allow you to access your POD’s and Interchanges as and when required. The ethos within the company is ‘can do’, which enables us to respond promptly to any problems you may encounter and we will advise you of the best way to resolve any issues. This attitude to our business has enabled us to build very strong relationships with our customer base. We operate a modern fleet in excess of 75 vehicles from all the major UK ports, covering 365 days a year day and night to all customers alike. The fleet which is fully maintained by main dealers and consists of all 44 ton tractor units with a variety of trailer combinations to suit all requirements. All of our own vehicles have GPS tracking fitted which is available to any customer.


MAERSK LINE: UK & IRELAND

S U P P LY C H A I N

booking platform, the company is aiming to make it as easy as possible for customers to book, track and manage their cargo with Maersk Line. Godsafe envisages a time where shipping can one day be as easy as booking a flight to go on holiday, and although he appreciates it is a more complex business, the transactional side should be just as easy to navigate. He said: “We don’t want to become faceless, but we want to spend our time in front of the customer on what they’re doing next, how they are developing and so on. What we’re really doing is facilitating business, we are the middleman transporting goods between buyer and seller. “We want to develop systems and processes that makes it easier for our customer to do business with us. If we can sit down and talk

Godsafe envisages a time where shipping can one day be as easy as booking a flight to go on holiday

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Faster Easier


From Ship

To Port

To Truck Or Train


SUPPLIER PROFILE

DP WORLD LONDON GATEWAY

Collecting containers from a port terminal has never been as quick, easy and simple as it is at DP World London Gateway Port. Cargo can be ready for collection quickly after being discharged from a vessel, providing it has all the necessary customs clearances. As soon as a container is moved by the terminal’s wind resistant cranes into the stack, hauliers can book one of hundreds of collection slots available every hour to fit their logistics needs. And to speed things up even further for the modern supply chain professional, we make sure containers are ready for the driver’s arrival if booked in advance. This means quick and efficient collection and no wasted haulage time in supply chains. This is how DP World London Gateway Port is able to consistently offer gate-to-gate truck turnaround times of under 35 minutes, giving supply chain professionals a faster and easier port experience than ever before. Address: No.1 London Gateway, Stanford-le-Hope, Essex, SS17 9DY Tel: 01375 648300 Email: enquiries@londongateway.com Visit our Website: www.londongateway.com


MAERSK LINE: UK & IRELAND

S U P P LY C H A I N

to people about their business it gives us a greater understanding where we need to invest but hopefully we can then innovate together and come up with new ideas to see how we can help push businesses on.” Customer charter Underpinning the investment in ecommerce is the idea that customers should have the most modern, agreeable service Maersk Line can offer, backed up by a friendly website and positive user experience. An innovative way that the company is self-evaluating itself is through the Customer Charter, where through customer feedback, users have given Maersk Line eight areas the group should be measuring. Over time this charter has been evolving through ongoing evaluation and feedback from stakeholders. The current eight measurements are: Invoicing, Booking confirmation, Accessibility, Documentation Accuracy and Amendments, Issue Resolution, Pre-Arrival Notification, Dispute Resolution and Customer Commitment. Godsafe said: “It’s taken us some time but we’re now at the point where we can actually produce the Customer Charter for individual customers and how these eight measurements will impact them specifically. “In the world we live in that’s quite some step forward. These are items they have said they want measured, which was something the wider industry didn’t measure.”

An innovative way that the company is self-evaluating itself is through the Customer Charter

“In the world we live in that’s quite some step forward. These are items they have said they want measured, which was something the wider industry didn’t measure.” – Brian Godsafe. Managing Director

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PORT OF FELIXSTOWE THE PORT OF BRITAIN

Tel +44 1394 604 500 Email enquiries@fdrc.co.uk

The Port


t of Felixstowe Tomline House   The Dock   Felixstowe   IP11 3SY   UK

VISIT PORTOFBRITAIN.CO.UK


SUPPLIER PROFILE

FELIXSTOWE THE PORT OF BRITAIN

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BEST BEST CONNECTED BEST IN OPERATIONAL EXCELLENCE BEST FOR THE ENVIRONMENT BEST FOR THE FUTURE BACKED BY THE BEST BEST LOCATED BEST CONNECTED BEST IN OPERATIONAL EXCELLENCE BEST FOR THE ENVIRONMENT BEST FOR THE FUTURE BACKED BY THE BEST BEST LOCATED BEST CONNECTED BEST IN OPERATIONAL EXCELLENCE BEST FOR THE ENVIRONMENT BEST FOR THE FUTURE BACKED BY THE BEST BEST LOCATED BEST CONNECTED BEST OPERATIONAL EXCELLENCE BEST FOR THE ENVIRONMENT BEST FOR THE FUTURE BACKED BY THE BEST BEST LOCATED BEST CONNECTED BEST IN OPERATIONAL EXCELLENCE BEST FOR THE ENVIRONMENT BEST FOR THE FUTURE BACKED BY THE BEST BEST LOCATED BEST CONNECTED BEST IN OPERATIONAL EXCELLENCE

THE PORT OF FELIXSTOWE

The Port of Felixstowe, known as the Port of Britain, is the UK’s busiest container port, handling approximately 4 million TEUs a year; over 40% of the UK’s containerised trade. VISIT Closest to the main shipping Lanes and the ports of Northern Europe, PORTOFBRITAIN.CO.UK Felixstowe is ideally placed for all major shipping services. Over 3km of quayside and 36 ship-to-shore cranes service the world’s largest container vessels with minimum deviation or delay. Development of Berths 8&9 made Felixstowe the first UK port capable of handling the next generation ultra-large container ships and it remains the clear port of choice for these giant vessels.

Felixstowe enjoys first-class road, rail and coastal feeder connections to all parts of the UK. It has the largest intermodal rail terminal in the country, with 62 daily arrivals or departures each day connecting the port with the UK’s industrial heartlands. Felixstowe also provides direct access to the strategic road network linking it with all major distribution centres. The Port of Felixstowe is part of the Hutchison Ports group, the world’s leading port investor, developer and operator. Address: The Port of Felixstowe, Tomline House, The Dock, Felixstowe, IP11 3SY Telephone: +44 1394 604 500 Email: enquiries@fdrc.co.uk Visit our website: Portofbritain.co.uk


MAERSK LINE: UK & IRELAND Sustainability Another example of helping customers to understand the impact of shipping on their business is Maersk Line’s efforts at being more sustainable. Container shipping, despite its significant impact on the environment, is also one of the more environmentally efficient methods of transportation, due to its economies of scale. One example can be the carbon footprint statistics in shipping. Aberdeen Angus beef sold in London can have a higher carbon footprint that that of Argentinian beef being shipped across. It’s a surprising fact, and many statistics like this are not displayed in the public forum. As such, these sustainability factors currently does not influence the customer’s purchasing decisions, but Godsafe believes it will do in the future.

S U P P LY C H A I N

32k Number of staff employed by Maersk UK and Ireland

The charter has been evolving through ongoing evaluation and feedback from stakeholders

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MAERSK LINE: UK & IRELAND

The UK’s leading intermodal rail freight operator

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Corporate social responsibility has always been important to Maersk Line, and that goes beyond purchasing the most economical vessels. It is also about what the firm can do to help the environment. Over the past decade, Maersk Line has pushed the envelope for energy efficiency and CO2 reductions. Today, it has reduced its relative emissions by 40 percent and is on average more than 10 percent ahead of the rest of the industry according to global benchmarks. It has also set a bold new target to reduce carbon emissions per container moved by 60 percent by 2020 compared to levels from 2007. As well as low impact shipping, the company also utilises rail freight up and down the length and breadth of the country. It is a vital

Container shipping, despite its significant impact on the environment, is also one of the more environmentally efficient methods of transportation

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MAERSK LINE: UK & IRELAND Our customers come first With an emphasis on forging strong and lasting partnerships, we support customers at every stage along the supply chain, reducing complexity while always adding value. From the management of inbound suppliers and container shipments through to transformational change, e-fulfilment and home delivery, we will find the potential within your supply chain to add value to your business and deliver award winning customer service.

Why not talk to Wincanton...?

Call 0844 3350502 or go to www.wincanton.co.uk

BUILDING ON OUR CONNECTIONS London Container Terminal with its unique combination of Deep Sea and European trades at the same facility is expanding its connections – with greater volume, more shipping lines and more shippers than ever before. We serve every area in the World: from South America and Africa through to Europe and Australasia. Our new major warehousing and chilled developments in and around the port means that our portcentric connections simply get stronger.

London Container Terminal (Tilbury) t: 0044 (0)1375 363 700 e: info@londoncontainerterminal.co.uk www.londoncontainerterminal.co.uk

“We have bespoke arrangements with many of the retailers around getting their cargo straight to the Distribution Centres. We deal with all the major retailers …you name them, we’ve dealt with them.” – Brian Godsafe. Managing Director

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MAERSK LINE: UK & IRELAND component to multimodal transport of the containers, and Maersk Line attempts to use rail as much as possible thanks to the favourable cost and environmental considerations. “We’re very involved in the movement in containers. We have bespoke arrangements with many of the retailers around getting their cargo straight to the Distribution Centres. We deal with all the major retailers …you name them, we’ve dealt with them.” said Godsafe. Looking into the future aspirations of the UK & Ireland business unit, Godsafe reiterated that growth and revenue generally comes from the imports and not the exports, and that Britain is not producing much as a country anymore. He said: “From what we ship out of this country, over 50 percent is scrap; waste paper and the

S U P P LY C H A I N

Growth and revenue generally comes from the imports and not the exports

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“Through ecommerce, a sustainable approach to business and knowing where trade is developing, Maersk Line is well positioned to remain a crucial element of the supply chain for businesses shipping to or from the UK and Ireland” – Brian Godsafe, Managing Director 162

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like. If you take cars away, only 30 percent of our exports are manufactured goods from within the UK. I can’t see the export situation changing. We have to follow where the trade is actually improving or increasing. We’ve been doing that in China in recent years with their double digit growth but of course that is now slowing down. “We want to be present in the developing areas. Just look in Asia where they’re losing some of the manufacturing business from mainland China to the likes of Vietnam, Cambodia and so on. If you look at an automotive company based in England like Nissan it’s an excellent example because it really has bucked the trend of a lot of manufacturers in the UK. It managed to internally keep the cost structure low and


S U P P LY C H A I N

Company Information INDUSTRY

Container Shipping HEADQUARTERS

Copenhagen, Denmark EMPLOYEES

32,000 REVENUE

$27bn USD

the productivity high. It is actually competing internally against Nissan companies in India and China and saying to its bosses we can produce different models of cars here in the UK. “It has actually been getting brand new contracts and being given the manufacturing for the new Nissan Leaf electric car. It’s a great example of a good British manufacturer. So any success story like that we are hopeful to carry on being involved.” So there you have it – through ecommerce, a sustainable approach to business and knowing where trade is developing, Maersk Line is well positioned to remain a crucial element of the supply chain for businesses shipping to or from the UK and Ireland.

PRODUCTS/ SERVICES

Container Shipping

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ALLERGAN

implements control tower solution to aid its rapid business growth, a full 180째 transformation in three years Written by: Sheree Hanna Produced by: Richard Durrant

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ALLERGAN

One of the world’s leading pharmaceutical companies has undergone a major logistics’ transformation as it has grown exponentially through acquisition

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llergan PLC, one of the largest pharmaceutical companies in the world, has undergone a metamorphosis of behemoth proportions in the past three years which has necessitated a major overhaul of its logistics operation. In March this year, Allergan was acquired by NYSE-listed Actavis creating a $23 billion diversified global pharmaceutical company and a leader in the new industry model, Growth Pharma. The deal brought together businesses now extending across 100 countries boasting more than 40 manufacturing plants. Allergan has a brand portfolio featuring seven blockbuster franchises in key therapeutic categories including: Dermatology and Aesthetics, Eye Care and Women’s Health and Urology, while it’s Generics portfolio comprises more than 1,000 generics, branded generics, established brands and OTC products and is the third largest generic manufacturer in the US. Just three months after conclusion of the Allergan deal, the emerging butterfly is shedding it skin with the announcement that Israeli company Teva Pharmaceuticals Industries Ltd has agreed to purchase Allergan’s Generics portfolio in a transaction valued at $40.5 billion. Val Pétursson, Allergan’s Managing Director of International Logistics, said: “Teva’s offer was simply too good to refuse and the company made the strategic decision to focus on branded products.”


S U P P LY C H A I N

Part of the company is focused on developing new medicines

GLOBAL STRATEGY Historically, the business has been strongly focused on the production of generic drugs but more recently has been building its branded portfolio with and growing its business through seven branded therapeutic areas of focus. New Allergan is focused on developing new medicines that address unmet medical needs in critical therapeutic areas as well as increasing access to high-quality affordable medicines. This year the company has invested significantly in Research & Development focusing on developing innovative and durable valueenhancing products within brands, generics, biologics and OTC (Over the Counter) portfolios. The massive growth of the company through its acquisitive nature meant that while it was

32k Number of staff employed by Allergan

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very good at integrating new businesses, it also needed to focus on developing and implementing a globally-organised logistics’ strategy. Hence, Pétursson’s appoint in December, 2012. He said: “When I arrived, the company had gone through tremendous change, and there was a critical need for a strong, globally coordinated logistics approach. There was limited visibility on how supply chains were operating. In short logistics was an opportunity for us to improve the way we would do business with our customers going forward.” “The strategic focus was set on a fast deployable global solution that could be easily scaled in the upcoming years. With the company growing from around $5 billion annual revenue to $23 billion revenue within 3 years the term

SUPPLIER PROFILE

Logistics offered a way to make big improvements operated

AGILITY MANAGEMENT LTD

From its roots in emerging markets, Agility brings efficiency to supply chains in some of the globe’s most challenging environments, offering unmatched personal service, a global footprint and customized capabilities in developed countries and emerging economies alike. A publicly traded company, Agility is one of the world’s leading providers of integrated logistics with over $4.8 billion in annual revenue and 20,000 employees in over 500 offices across 100 countries. Agility’s solutions meet the unique requirements of the pharmaceutical industry by providing a range of services, including; cold-chain solutions, storage in multiple temperature zones, advanced tracking and tracing technologies, and reverse logistics which ensure total supply chain visibility and reporting on merchandise flows across all modes of transport.

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Key Personnel

Val Petursson Managing Director of International Logistics Val is a Supply Chain executive, with 16 years background role within different stages of supply chain processes, thereof nine years in Supply Chain roles for medium and large multi-national organizations within the Pharma and the Medical sector. He is a strong people manager and a keen people reader with a true balance of hard and soft skills. He graduated in 1996 with BA in Languages and 2003 with an MBA from Reykjavik University.

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scalability was stretched to the limit, but we always managed to integrate the new companies in to the solution at the pace needed.” It soon became apparent to Pétursson there were three options for establishing coherent and viable logistics’ solutions. The first was for Allergan (then Actavis) to establish its own control tower with in house IT development, the second was to outsource full logistical control to specialized Logistic Solution Provides (4PL solution) and the third was the hybrid solution he opted for. “In retrospect I believe the hybrid was truly the only right solution for us as both other options would have been either too cumbersome to deploy or not scalable enough.” Allergan’s international headquarters is in Switzerland, while its Global headquarters are in Dublin. Administrative headquarters are in Parsippany NJ. CONTROL TOWER He said: “We are not a logistics company we are a pharmaceutical company, and we needed to leverage our strengths and work with others who could provide us the services and support we needed. That’s why we decided to work with an IT solutions partner to tailor a program to meet our needs to better deliver for our customers.” Pétursson shopped around for a control tower solution provider and subsequently teamed up with the global forwarding company. Agility which operates the control tower from its Bristol branch


S U P P LY C H A I N

Allergan has 40 sites and 200 third-party manufacturers

using a single, strategic platform and a unified data set. In the last three years the relationship has developed to a true win-win partnership, resulting in a world class pharma-logistic solution. With Allergan’s 2,300 shipping lanes operating globally, the single platform control tower solution enables the business to have visibility on every single shipment and provide excellent top down business intelligence for strategic and tactical improvements over the entire network It provides Pétursson and his -strong global logistic teams all around the world exact information on myriad of things including expenditure thus enabling a more cost-effective and efficient system

“We are able to send push alerts to all of our markets” – Val Petursson, Managing Director

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Temperature And Location Monitoring The Controlant Supply Chain Monitoring solutions monitor and alarm excursions in temperature as well as location, shipping routes and delivery times. All information is automatically gathered on the centralized data cloud for on demand or automated reporting. In addition to fulfilling the strictest quality requirements for temperature monitoring, data analysis can help optimize the logistic side of your business and contribute to reducing lead time. Reports are automatically sent via email once a shipment arrives at destination. The web based user interface can be accessed at any time, any device and any location.

Benefits • Shipment history overview • Full control of goods • Regulatory fulfillment Features • Wireless real time alerts • Automated reports • Web based overview

Tel + 354 517 0630 Fax +354 517 0637 Email sales@controlant.com Web www.controlant.com


S U P P LY C H A I N

bringing direct benefits to customers. The control tower facilitates an on-line portal through which all freight movements are booked and monitored irrespective of where they are in the world, enabling a much better control and proactive alert management. “We have around 40 sites and 200 third-party manufacturers and all of their shipments get booked in the same way. On top of the cost visibility, we now have high level and low level visibility on service performances of all our carriers, in to all markets, as well as container and truck utilization. We are able to send push alerts to all of our markets in case of delays or other problems. It furthermore enables us to bring better strategic solutions to the table for our customers in terms of service or cost improvements said PĂŠtursson.

Allergan is one of the largest pharmaceutical companies in the world

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“We are a very demanding customer when it comes to temperature controlled solutions” – Val Petursson, Managing Director

GOOD PRACTICES Another extremely important facet of the logistics transformation has been its strict adherence to the Good Distribution Practice and ensuring product quality for its customers. The ever more rigid growing GDP guidelines require that medicines obtained from the licensed manufacturer are consistently stored, transported and handled under suitable conditions as required by the MA (Medical Association). According to Pétursson, Allergan has played a leading role when pushing for and piloting new solutions to ensure better and safer transport of pharmaceutical goods, he said: “We are a

PHARMACEUTICAL TEMPERATURE CONTROL PACKAGING SYSTEMS Softbox is proud to maintain the Cold Chain for more than half the world's top 50 Pharma companies When you need cost effective temperature control packaging to mitigate the risk of temperature excursion, our extensive range of engineered packaging systems has been designed and qualified to ensure you can ship your cold chain products with confidence.

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Softbox Systems Ltd. • Units 1-2 Ridgeway • Drakes Drive • Long Crendon • Buckinghamshire • HP18 9BF


S U P P LY C H A I N

very demanding customer when it comes to temperature controlled solutions and other aspects of the supply chain that are critical in providing, safe, reliable transport of our medicines to our customers and their patients around the world. We have collaborated with leading manufacturers for some time now and in some cases pushed them towards better and smarter solutions.” “For a year we have been piloting new technology on temperature monitoring devices, currently a very promising real time data logger solution now using GPRS technology. Our aspiration is to be the first major pharmaceutical company able to deploy this technology on all our vital and/or sensitive shipments globally.” “The real time data loggers can tell at any given time the cargo’s condition, so for example, it can transmit data relating to the rise and fall of temperature critical for some medicines and allows my team and my customer within the 60 markets we serve to know precisely where cargo is from stock to customer and proactively act on incoming risks.” “Being able to mitigate temperature excursion will add massive cost advantage to our supply chain in the upcoming years as it drives out a lot of operational waste for our quality and supply chain teams, while it adds greatly to product safety. It is also extremely effective in diversion and theft control.” “Allergan has been working with Icelandic industry leading specialist on temperature monitoring devices,

Allergan is piloting new technology

$28bn Revenue generated by Allergan in 2015

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Allergan is collaborating with a specialist packaging company

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a company called, Controlant. There are many good solutions out there but Controlant has been extremely good in bringing in and deploying new technologies, first the RFID (Wireless) tracing technology, and now real time technology, to help us monitor a product’s transit through the supply chain – from manufacturer to customer and then to patient.” “Allergan is one of the first companies in the pharma sector to use this technology on this scale, which until recently was very expensive. Now it is becoming affordable and bringing us extremely good results. I do believe that the industry will move more and more in to real time monitoring solutions in general.” “Another critical aspect of the secure pharma supply chain is the right investment when it comes to temperature packaging. We have


S U P P LY C H A I N

for years spent significant amounts on secure packaging, are proactively collaborating with the specialist packaging company Softbox Solutions to develop the very best packaging for our products irrespective of its nature and sensivity”

Company Information INDUSTRY

Pharmaceutical

QUALITY DELIVERIES Allergan’s development and growth of its more complex generics and branded products has spearheaded the drive towards adopting temperature controlled packaging systems. The most frequently used products from Softbox is a unit which can keep Allergan’s products at the right temperature for five days, during Air transit “Our products often have to travel vast distances through many different climate zones and it’s crucial that they are kept at the right temperature while in transit,” explained Petursson. “We are very happy to have partners such as Controlant and Softbox as it is a win-win situation for us all.” The Teva’s acquisition of Allergan’s generics business will mean that the two logistic systems now in place will be merged in one. Pétursson said: “It is a very dynamic world and since I arrived here things have changed so fast, merging the systems will be an exciting and enormous task. Prior to the announcement there was some sharing of good practices between the two companies and it will continue now on a much more detailed level where we will undoubtedly merge the better of the two worlds in what is to become perhaps the largest pharma logistic network in the world.”

HEADQUARTERS

Irvine, California, United States FOUNDED

1990 (As Watson Pharmaceuticals) EMPLOYEES

32,000 REVENUE

$ 28bn USD (2015) PRODUCTS/ SERVICES

Production of branded and generic medicines

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Implementing strategic shift in face of changing retail landscape Written by: Sam Jermy Produced by: Richard Durrant


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HOMEBASE

The changing retail landscape and growth of online sales has led Homebase to transform its supply chain strategy in order to thrive as a multichannel retailer.

Horsham store home area

H Chris Warn, Head of Supply Chain at Homebase

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omebase is implementing a more attentive supply chain strategy and in particular a rigorous stock transformation programme, in order to thrive as a multichannel retailer. The company, which is part of the wider Home Retail Group alongside other famous British brands such as Argos and Habitat, has admittedly reduced the number of its physical stores. But the company stressed this is not due to poor performance. In fact, Homebase has seen the percentage of online sales grow and they are building an infrastructure to support a sizeable increase in its total participation. This has necessitated a change in the current


operation and as a result customers can order a product online which then gets directly delivered from the distribution centre without the need for a retail store involvement at any point in the journey. Chris Warn, Head of Supply Chain at Homebase, said: “It’s a rapidly changing retail landscape in terms of customers’ behaviours and expectations. I think they’re very much in a space of wanting to buy what they want, when they want it, from wherever they want it, expecting to have it delivered to wherever they want it. This is obviously changing significantly from the traditional bricks and mortar type model that stood unchanged for so long in the past.

“Stores are still very important to us, but they’re increasingly becoming a place to create inspiration and desire for our customers” –C  hris Warn, Head of Supply Chain at Homebase

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HOMEBASE

17k Number of staff employed by Homebase

“Stores are still very important to us, but they’re increasingly becoming a place to create inspiration and desire for our customers.” The convenience factor of browsing and ordering anywhere at any time means the desire from customers to shop online is greater than ever and is only going to grow. Strategic management Aside from its online ambitions, the company is also asking itself what else it can do in its remaining stores to remain attractive to the modern day customer. So far, there are 80 Argos and 50 Habitat concessions

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S U P P LY C H A I N

Homebase’s stores are central to its customers’ retail experience

inserted into existing Homebase stores. Warn said: “It’s all about making the space more appealing for the customer. There’s even been an introduction of coffee shops inside Homebase as well, so the overall customer experience is changing all the time. “The stores still play a massive part. People like to come in to sample and test paint, get some doors cut, find the right nails, bolts and screws for a DIY job and so on. But people’s habits are changing all the time; it’s a much different landscape than it was a decade ago.” Stock transformation Benefits of the new supply chain initiative and subsequent stock transformation program includes the fact it allows reinvestment, as

Bedford store display

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In Store inspiration area

£1.5 bn The amount of revenue generated by Homebase

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better inventory planning means increased optimisation of stock. This then frees up capital as opposed to having a push methodology which can mean stock lying on shelves. Warn said: “Here at Homebase our supply chain operations are a critical function to improve the overall business performance and customer satisfaction, not just a question of how many lorries you have! It’s allowing us to do things very differently – such as a ‘little and often’ mentality on store replenishment. “The majority of our stock transformation program is driven from the store closures, but the rest is coming from being leaner,


S U P P LY C H A I N

“We want to increase the range available instore for customers. We have a vision of having 40,000 SKUs available to customers”

Company Information INDUSTRY

Retail and Home Improvement

– Chris Warn, Head of Supply Chain at Homebase HEADQUARTERS

more agile in our supply chain and adopting alternative ways or working, such as being even more focused on efficient stock management whilst increasing the availability for the customer in all channels of fulfilment. “We’ll also be selling more from the DC as opposed to from the store so there’ll be more direct deliveries and more click-and-collect in store.”

Milton Keynes, UK FOUNDED

1979 EMPLOYEES

17,000 REVENUE

£1.5billion

Digital future Alongside the focus on increasing online participation, in the next three years the company wants customers to be highly satisfied with stock availability across all channels. A new Homebase app has also been launched for tablets and mobile devices, and this has been downloaded by millions of customers already. Warn concluded: “Essentially it’s about how we can leverage our existing infrastructure better to develop new strategies and be more reactive and driven as we go into an ever-changing digital landscape.”

PRODUCTS/ SERVICES

Homebase is a leading home and garden enhancement retailer selling around 38,000 products.

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Containerships:

Investing â‚Ź300M To Upgrade Operations Written by: Sam Jermy Produced by: Richard Durrant


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The familyowned container shipping business from Finland has decided to replace its old vessels and trucks in response to new energy consumption regulations

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ontainerships is embarking on a â‚Ź300 million journey in order to replace its land and sea vehicles over the next two years, meaning the business will achieve pleasing energy-saving results at the same time as increasing container capacity by 70 percent. Headquartered in Helsinki, Finland, since 1966, the company has gone from strength to strength in recent years and now has a presence in 21 countries, with 20 of its own offices which house its 550 employees. It caters to service customers needing to ensure safe and rapid door-to-door container shipping between Russia and the Baltic, Europe, the UK, Ireland and the North Sea, as well as between North Africa and the Mediterranean. With approximately 13 vessels in operation, its own truck fleet in Finland, Russia and the UK as well as 15,000 containers, Containerships offers customers a wide range of choice for all standard and special container sorts and complete coverage using sea, road, rail and river container transportation. Antti Laukkanen, Group Land Operations Director, said: “We’re logistics specialists in Europe and parts of North Africa, we calculate how goods can best be routed in the most environmentally friendly manner. With this in mind and in the face of new regulations in the Baltic, we are in the process of a multi-million euro project to replace the entire fleet of our sea vessels. We purchased these from China, the first of which


S U P P LY C H A I N

Rapid container shipping

is set to arrive in early 2016 and they will all be powered by LNG (liquefied natural gas) fuel. “Three or four years ago logistics companies had a big challenge in Northern Europe surrounding legislation around energy consumption in the Baltic and North Seas where a sulphur emission control area (SECA) was put into force. The environmental regulations are set by the International Maritime Organisation and came into force on 1 January 2015. We did a strategic analysis of all available data, assessed all options and it was subsequently decided we would go for LNG fuel for our fleet.�

550

Number of staff employed by Containerships

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On track to environmental compliance

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Operations Considering that Containerships’ annual turnover is €220 million, the €300 million investment to possess more environmentally friendly vehicles is a substantial one to say the least. But as Baltic and North Sea vessel operators must find an energy source that contains no more than 0.1 percent sulphur against the previous target of one percent, Laukkanen sees it as one that was necessary. He said: “This investment project improves our vessel efficiency not only by


S U P P LY C H A I N

exceeding all known future environmental regulations but it has simultaneously increased the capacity meaning we maintain competitiveness in the shipping industry. “Within that investment, we’ll also be converting the road trucks to run on LNG and purchasing additional containers in anticipation of more cargo and therefore more customers on board. One by one we are letting go of these older conventional vessels. But at the same time this is a long-term investment that has also seen us reduce our carbon footprint by 25 percent, which we’re really pleased about. “So now we have the capacity, we have the energy efficiency, and we have the agility. Because we are still a fairly manageable size, we are able to offer one night deliveries which is obviously hugely beneficial to the customer.” Some major customers and partners include consumer goods companies such as Proctor & Gamble and Unilever, as well as famous Scotch whisky brands from Diageo. Containerships also transports a considerable amount of IKEA products within Northern European regions. Most of these products are being exported from Western Europe into Russia, and the company is able to handle everything from customs clearance of import and export cargo and the paperwork for reimport procedures for arrival and/or departure by sea or truck. Another added benefit is the fact there are no third parties involved for any of these companies.

“This investment project improves our vessel efficiency not only by exceeding all known future environmental regulations but it has simultaneously increased the capacity meaning we maintain competitiveness in the shipping industry” – Antti Laukkanen, Group Land Operations Director

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51 years serving industry

Established 1964

PROUD PARTNER ON THE IRISH SEA FOR CONTAINERSHIPS.

Kilgrange Ltd T/A

M

hon cMa

Transport & Wareh

ous

ing

MARKET LEADER IN DOOR TO DOOR AND FEEDER CONTAINER SHIPPING BETWEEN IRELAND AND THE CONTINENT.

Big Enough To Cope Small Enough To Care

From Ireland to Benelux, Germany, France, Switzerland, Austria, Italy, Eastern Europe and back. • DUBLIN Tel: 01 607 5555 Fax: 01 855 2280

• ROTTERDAM Tel: 010 428 3700 Fax: 010 429 0607

• BELFAST Tel: 048 905 33200 Fax: 048 905 33222

• ANTWERP Tel: 03 221 2110 Fax: 03 231 1030

• CORK Tel: 021 450 4000 Fax: 021 450 4217

At Mc Mahon Transport and Warehousing we are a family run business. We are very proud to be Irelands designated haulage partner for containerships over the last 10 years. Tel 00 353 (1) 836 4344 Fax 00 353 (1) 836 4230 michael.mcmahon71@gmail.com mark@mcmahontransport.ie Unit 205 B • Castleforbes Business Park • Dublin 1

Irish Exporters Association Short Sea Shipping Line of the Year Award 2013

www.eucon.ie

www.clearpack.com uaesales@clearpack.com

The Clear Choice for Packaging Primary Packaging Secondary Packaging Case Packing and Shrink Wrapping

Shipping Is A Matter Of Trust

Palletizers Conveyors and Turnkey Packaging

Tel +49 40 377 07 91-60 Fax +49 40 377 07 91-89 info@nordic-hamburg.de www.nordic-hamburg.de

Palletizer

Singapore (HQ)

The Nordic Hamburg Group´s objective is to accomplish long-term successful shipping projects from the initial project development phase, through rigid project management, financing and excellence in ship management.

China | India | Indonesia | Malaysia | Philippines | Italy Saudi Arabia | Switzerland | Thailand | UAE | Vietnam

Nordic Hamburg | Shipmanagement GmbH & Co. KG Cremon 32 | 20457 Hamburg, Germany


C O N TA I N E R S H I P S

S U P P LY C H A I N

The group is preparing for increased volumes

Strategy From a technology point of view, Containerships is investing in the vessels and the trucks, which is an imbedded investment of LNG and technology. The technology aspect of the investment includes brand new tanks on the ships, as well as cooling systems which will make a very positive impact. From the IT and operating systems point of view the group is developing these components all the time in such a way that allows the firm to cope in this new age of increased volumes. But this relentless push forward is not without its challenges, and although Laukkanen acknowledges this and remains vigilant to adversity, he remains confident this will not overtly affect the business. He said: “Russia is and will continue to be an important market for us and we all know there is an ongoing crisis at the moment. But we think in terms of

“So now we have the capacity, we have the energy efficiency, and we have the agility” – Antti Laukkanen

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Containerships is a multimodal operator

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transporting consumer goods, automotive parts and alcohol from other European countries such as the UK, France and Germany; there is still a big future growth opportunity there. “Of course the sanctions have affected us to an extent, but the direct impact hasn’t been that huge. The bigger impact has been the Russian economy slowing down and decreased spending habits. The normal levels of customer consumption are down - that is having the larger impact on us. “Our company and owners have been working in Russia since 1990 though and we have faced crises before, with recessions and so on. It’s not a new thing for us and so essentially so


S U P P LY C H A I N

we have not run into Russia only to step out during the bad times, we have already been present in here for many years so we are not going to back away now. It’s a long-term focus and investment, and we’re confident it will continue to be fruitful in years to come.” Looking forward, Laukkanen is planning on providing a much more tailored service to the individual customer, as there seems to be a demand for this approach. With facilities and containers in every major European port, and container depots and warehouses in the UK and Germany, Containerships is well positioned to offer a more customer-centric service. He concluded: “We have certain core ports like Helsinki, St Petersburg, Teesport, Rotterdam, Lübeck where we call to often and depending on the situation market and customer location, we are adding some new ports to our portfolio to increase our scope of presence. “There are a certain amount of containers in each port so when there is transportation demand from the customer we are able to answer on a fairly quick basis. “It’s always difficult to predict the future but I think the customer-base is growing and they are wanting more reliable deliveries and pinpoint services. Instead of sending one container and saying it will be there in Russia sometime next month, you need to say the container will be in the Moscow warehouse next Tuesday by 6pm; that is the direction we are going.”

Company Information INDUSTRY

Container shipping HEADQUARTERS

Helsinki FOUNDED

1966 EMPLOYEES

550 REVENUE

€220 million PRODUCTS/ SERVICES

Provides services to ensure safe and rapid container shipping between Russia and the Baltic, Europe, UK, Ireland and the North Sea, as well as between North Africa and the Mediterranean.

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Coastal Municipalities Water Utility (CMWU) Delivering World Class Water Services Written by: Nye Longman Produced by: Richard Thomas


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C O A S TA L M U N I C I PA L I T I E S WAT E R U T I L I T Y ( C M W U )

Amid trying circumstances, Gaza’s Coastal Municipalities Water Utility is attracting international support for its timely and much needed projects

Improving water services

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he Costal Municipalities Water Utility (CMWU) is responsible for providing the people of Gaza with its full complement of water and waste water services. The utility is going ahead with its projects (which total roughly $1.6 billion) in an effort to restore optimal water services in Gaza and is doing so against the backdrop of Israel’s ongoing conflict with Hamas. Operations The CMWU’s remit is to deliver integrated, environmentally safe water and sanitation services to the Gaza strip, making use of the area’s natural aquifer, as well as using innovative solutions to diversify water supply and secure effective waste water solutions across the region. The utility uses a combination of desalination and treatment plants in order to secure the


ENERGY

CMWU Headquarters

best possible offering for its customers. CEO Monther Issa Shoblaq outlined how the formation of the utility in 2005 had filled a vital gap with its full service package. He said: “You cannot depend on 25 fragmented departments to manage everything, from water works and new wells, to tanks, collections, treatment and disposal, so we mobilised significant investment in order to improve the water service through becoming a strong operator.� While it uses the most modern and upto-date technology across its facilities, the utility has faced the challenge of maintaining operations while the war between Israel and Hamas raged all around. From an operational point of view, the fighting saw the destruction of water networks and facilities to the tune

850 Number of staff employed by Coastal Municipalities Water Utility w w w. c m w u . p s

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Masoud and Ali Contracting Company, known in short as MACC, one of the diversified, leading, most experienced and oldest existing contracting companies operating in gaza strip and west bank, was established in 1984 in response to the urgently growing demand for specialized companies in a rapidly developing environment. It has since grown to sustain itself over the years as an innovative leader in the field based on mutual trust with clients to improve efficiency, provide rapid execution while ensuring high quality performance and considering all safety precautions. This premise is based on extensive portfolio of projects in which macc has had major determinate role.


SUPPLIER PROFILE

MASOUD AND ALI CONTRACTING COMPANY

Masoud and Ali Contracting Company, known in short as MACC, one of the diversified, leading, most experienced and oldest existing contracting companies operating in Gaza strip and West Bank, was established in 1984 in response to the urgently growing demand for a specialized companies in a rapidly developing environment. It has since grown to sustain itself over the years as an innovative leader in the field based on mutual trust with clients to improve efficiency, provide rapid execution while ensuring high quality performance. This premise is based on extensive portfolio of projects in which MACC has had major determinate role. As a leading general contractor, MACC will continue employing and investing in the very best technology, manpower, and equipment and maintain higher attention towards their clients and continually improve the company’s technical and managerial capabilities.


ENERGY

“The CMWU’s remit is to deliver integrated, environmentally safe water and sanitation services to the Gaza strip, as well as using innovative solutions to diversify water supply and secure effective waste water solutions across the region” of some $34 million and resulted in the loss of up to 30 percent of its power supply. The only power plant in the Gaza Strip was destroyed in 2006 and, since then, the community has only been able to satisfy 50 percent of its electricity needs. The utility has been able to mitigate this problem, at least to some extent, by deploying backup generators across its facilities. Continuing to operate in these conditions has required innovative thinking; alongside fitting backup generators, the CMWU has even used old sections of an Israeli wall for the construction of a new sewage lagoon. Shoblaq was proud of what the CMWU had achieved despite this, he said: “Our capacity to provide services, in terms of infrastructure, is advanced. We provide 98 percent of the population of Gaza with water which you just don’t see in any other countries.” International support The CMWU has managed to attract high profile donors who are keen to assist in rebuilding

Palestine’s children deserve the best water infrastructure

Delivering a community service

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Support from various goevernments helps roll out improvements

Gaza, which include the World Bank (WB) as well as the Islamic Development Bank (IDB). Alongside other prominent donors such as UNICEF, the European Union, ICRC, KFW, AFD and various international government donors, CMWU have secured upwards of $1.6 billion intended to secure clean drinking water and consistent waste disposal for the whole of Gaza. Securing the support of donor governments and organisations has enabled the utility to prevent the water service from deteriorating despite all that has happened and has enabled it to continue to roll out improvements to its networks as any other water company would do. Improving water services

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ENERGY

Shoblaq explained: “On the waste water side, only 70 percent was covered by the sewage networks; we expanded this sewage network to avoid waste water pollution because these uncovered areas were served by septic tanks. “In accordance with the Palestinian water sector plan in the late 90s, the need to build up non-conventional water sources using brackish and sea water desalination plants was recognised and relevent measures adopted. We now have 20 brackish water plants, which vary in output from 50 cubic metres per day, to 50 cubic metres per hour. “We have a small sea water desalination plant financed by the Austrian government which produces around 600 cubic metres per day; we expanded this with funding from the IDB and World Bank to produce 2,600 cubic metres per day.” By 2023, the CMWU wants to reach an output of 100 million cubic metres per year through its desalination operations and will achieve this through the construction of two dedicated plants at a cost of roughly $500 million sourced from the European Union and IDB. In addition, CMWU in cooperation with Palestinian Water Authority (Water Sector Regulator) has launched the construction of two central waste water treatment plants; one in the Middle Governorate and the other in the Southern Governorate with a total amount of around $130 million. The two plants are financed by KfW, the Japanese Government and the IDB.

Monther Issa Shoblaq, CEO of CMWU

“By 2023, the CMWU wants to reach an output of 100 million cubic metres per year through its desalination operations and will achieve this through the construction of two dedicated plants at a cost of roughly $500 million” w w w. c m w u . p s

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Desalination has the potential to meet Gaza’s needs by 2023

Settlement tanks in the Gaza Strip

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Talent Management Before 2006, conditions were less tense in the region, andShoblaq was keen to emphasise that there had been a transfer of knowledge and skills between his 850 staff and their Israeli and other regional and international counterparts; he was adamant that dissemination of knowledge was essential to providing the most efficient and world-class service. He said: “We train our teams regionally whenever we have the opportunity; especially when we have the chance to send along our senior managers.� Furthermore, Shoblaq highlighted how the spirit of completion could be used even during trying circumstances and had further contributed to a sense of solidarity across


ENERGY

Company Information INDUSTRY

Water and Sanitation Utility HEADQUARTERS

Palestine FOUNDED

2005 EMPLOYEES

850

employees of every level. He added: “In terms of incentivising our staff, we have an award for the best worker in a particular field and a system of evaluating their performance through a yearly award: this can be certification, recognition or financial incentives.� The determination of the CMWU to deliver its crucial water and sanitation services to the people of the Gaza Strip cannot be over emphasised. It is expanding, rebuilding and driving excellence across the spectrum of its operations and, through working with its local and international partners and donors, the utility is making massive progress towards providing the best possible water and waste water services to the people of the Gaza strip.

PRODUCTS/ SERVICES

Sanitation and waste water management; water extraction and services

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ADC Energy Systems is switched on for development Written by: Sheree Hanna Produced by: Richard Thomas


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ADC ENERGY SYSTEMS

As a leading Engineering, Construction and Procurement contractor the company is exploring growth opportunities across the GCC and beyond

A

DC Energy Systems, based in Dubai, is building on its expertise gained over a successful 10 years in business by seeking to grow not only its capabilities, but also its geographical reach. The company, which has reached AED 1.7 billion turnover since its inception in 2005, is a turnkey contractor for Cooling Plants, Energy Services, Grain Handling and Infrastructure. The EPC (Engineering, Construction and Procurement) contractor has been awarded over 20 district cooling plants during that period and is currently working on bringing to completion six plants by the end of 2015 and into the first half of 2016 within the GCC region. ADC built its first district cooling plant for Dubai’s iconic development The Palm Jumeirah, the palm-tree shaped, manmade island, which is home to a number of luxurious hotels and holiday accommodations including the five-star Atlantis Hotel. CEO Ibrahim Sleiman said: “This was the first major project we won through our partnership approach and since then there have been almost 20 projects scattered between Dubai and Abu Dhabi in the United Arab Emirates, and other GCC countries such as Qatar and Saudi Arabia. District data Collectively to date, the District Cooling Plants – DCP generate a total cooling capacity nearing 600,000 Tons of Refrigeration; The electric power

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ENERGY

District Cooling Plant

required for feeding the DCPs amount to no less than 450 MW of power stations, and it’s cooling. . The DCPs have a total combined footprint of about 26,000 square metres and serve seven leading utility developers and operators, as well as master developers within the GCC region. With some 200 professionals on board, along with a 350-core construction team, Sleiman explained that ADC is keen to further explore its capabilities throughout its energy services division, and new sectors like Renewable Energy. The forward-thinking company is also looking at how it can further utilise the

62.5m The amount of Revenue in USD generated by ADC Energy Systems in 2014

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Everything is nothing without water. We keep it safe.

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For more information please visit us at www.vag-group.com


ENERGY

renewables sector in a bid to bring greater efficiencies and benefits for not just its customers, but also for the environment. Exciting times are ahead in the GCC region with events such as the World Expo 2020 to be hosted in Dubai and the 2022 FIFA World Cup in Qatar. All of these are opportunities that ADC is keen to exploit and is already involved in, or pitching for the business they are creating. The company is in the finishing stages of completing a new district cooling plant in Qatar’s $45 billion, ambitious and ground-breaking new town development of Lusail, which is being purpose-built to cope with the demands the World Cup is expected to generate. Powering on First and foremost, ADC, building on its wealth of experience in Engineering, Procurement and Construction and as a natural growth from the District Cooling sector, through its Energy Services arm which is currently looking at how it can develop Combined Cooling Heating & Power (CCHP) schemes. For this purpose, ADC is targeting l industrial and institutional clients whose connectivity to the main grid or need for back-up power in addition to their requirements for comfort or process cooling and heating qualify them as attractive prospects for CCHP schemes. Sleiman said: “District cooling systems are very efficient, but they are intensive power

Mr. Ibrahim Sleiman - CEO

Mr. Khalil Issa - MD

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“The forwardthinking company is also looking at how it can further utilise the renewables sector in a bid to bring greater efficiencies and benefits for not just its customers, but also for the environment.” 214

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users of the national grid with an average 4050 megawatts per plant. Through the power generation, transmission and distribution cycle, there is a lot of energy wastage with nearly -60 percent of the original energy source lost. “So that is not very efficient and what we want to do with CCHP is to produce the energy where you need it by combining your power generation with your cooling/heating requirements in one plant and optimise the


ENERGY

production of the power side by capturing the waste heat wherever you produce power. “By so doing, we can almost increase the effectiveness of the energy source from 35-40 percent up to 75 percent or maybe even higher.” Sleiman was keen to point out that ADC is not pursuing pure power production, but targeting the sector of distributed energy plants which deliver energy at the point of use.

Qatar’s $45 billion new district cooling plant

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ADC ENERGY SYSTEMS

ADC Energy Systems is looking at further opportunities in Jordan, Kuwait and Saudi Arabia to produce the larger 100 megawatt plants

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Exploring renewables Another strategic focus for the company is the use of renewable energy sources such as solar panels and the company is currently investigating the use of Concentrated Solar Panels. “The reason we still use fossil fuel for our plants is the fact that with solar energy plants you need a lot of space which is hard to find in urban areas,” said Sleiman. “So for now we are concentrating on smallerscale solar plants. We are looking to participate in an Egyptian set of tenders which will come out shortly, which will range between 20 and 30 megawatts of power production. “We also anticipate to a smaller extent that there


ENERGY

will be further opportunities from Jordan and Kuwait, and with Saudi Arabia much larger 100 megawatt plants which we will target in due time. “As a leading and specialized EPC contractor, we are able to team up with international EPC contractors and technology providers to work hand-in-hand on the implementation of such projects.”

Company Information INDUSTRY

District Energy / Construction HEADQUARTERS

New frontiers Geographically speaking, ADC has already qualified and participated in tenders as far afield as Algeria to the West and eastwards as far as India and Bangladesh for its grain handling business. Huge infrastructure growth in Saudi Arabia means ADC has its hand firmly on that tiller. Sleiman said: “There is huge opportunity in Saudi at the moment and when you add up all the other GCC countries, Saudi can equalise if not exceed the developments of the other countries in the GCC region put together pending more regional stability in terms of security and oil prices. “There are essentially two prongs to our growth, one is expansion in different sectors by pushing our CCHP strategy which is a natural outgrowth of our district cooling plants to second generation cooling/thermal energy plants into renewables. “The second is territory wise, expanding beyond our core markets to tackle projects in the wider GCC as well as in North Africa and potentially central African countries, where we are bidding for a few projects right now.”

Dubai FOUNDED

2005 REVENUE

USD 62.5 million(2014) PRODUCTS/ SERVICES

A leading provider of industrial-grade plants & systems in the Thermal Energy sector.

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Oman Electricity Transm

Turning Potential Challenges In Written by: Sam Jermy Produced by: Richard Thomas


mission Company:

nto Opportunities

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OETC has invested OMR120 million in infrastructure works to evacuate the power fro

The firm is investing in its network infrastructure so that it can grow at a similar rate to the country’s economy over the coming years 220

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he Oman Electricity Transmission Company (OETC) has planned an investment program worth an estimated 750 million Omani Rials (OMR) over the next 15 years, to support its 2030 vision that aims to expand infrastructure to meet increasing customer demand. As part of the new long-term national planning, the company will complete turnkey engineering, procurement and construction projects as part of the multi-million Rial investment, following on from the OMR100


ENERGY

Key Personnel

Eng. Ali Said Al-Hadabi CEO

om the power plants in Ibri and Sohar

million invested to enhance operations last year. Dr Adil Al-Busaidi, Asset Management and Planning Manager at OETC, said: “As a company we faced an average of 9 percent growth annually over the last decade and that is a lot of effort in terms of planning. Currently we have a load demand of around 5GW and we expect that to be in the range of 16GW in 2030 so investment is essential if we are to provide over three times the existing demand. “Each year we work to increase our capability

Engineer Ali Al Hadabi has assumed the leadership of Oman Electricity Transmission Company S.A.O.C. since September 2008. During his time, OETC has embarked on a significant capital investment program in the Main Interconnected System, which is the vital lifeline of the Sultanate’s power infrastructure. He is responsible for power transmission business across the north of Oman and the south of Oman.

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T 00968 24441204 F 00968 24446371 •

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Energising The Future

p Energy SAOG, a public ny incorporated in the Sultanate an with shares are listed on the Stock Exchange. It currently es a large range of power and ution transformers, medium and tage switchgear and package tions through its 4 manufacturing cated in Rusayl and Sohar, Oman. mp manufactures wide range lled Transformers from 50 kVA ds and up to 500 MVA, 220 kV Distribution Transformers range s up to 3000 kVA 33 kV. Voltamp zes in multi-tap and phase ansformers for the Oil & Gas Also available are Hermetically Transformers, corrugated type

transformers and earthing transformers. The Engineering Service Division undertakes repairs and refurbishment of complete range of Transformers, supply of spares and installation & commissioning services. Voltamp’s Switch gear Division manufactures low voltage Switch gear panels of all types including the sophisticated Intelligent MCCs, under franchisee agreement with Schneider Electric. Voltamp Trading Division deals in DBs, Bus Ducts, C&R panels, capacitor banks and Dry type Transformers. Voltamp is keen to associate with reputed Companies for exploring business in MENA Region.

ubsidiary Companies: Voltamp Transformers SAOC & Voltamp Power LLC

rgy S.A.O.G • P.O.Box 75, Postal Code 124 • Rusayl Industrial Estate • Sultanate of Oman


SUPPLIER PROFILE

VOLTAMP

Tel: 00968 24441204 Fax: 00968 24446371 sales@voltampoman.com VOLTAMP Energy S.A.O.G P.O.Box 75, Postal Code 124 Rusayl Industrial Estate Sultanate of Oman


ENERGY

so we can help deliver more projects, such as the OMR120 million infrastructure works to evacuate the power from the power plants in Ibri and Sohar. Increasing our project delivery capability is essential in order to turn the high demand growth risk into investment opportunities. Basically, we need to engage more contractors, consultants and manufacturers in order to achieve that as well as enhancing our own investment management capabilities. “We used to operate high voltages of 132kV and 220kV but now we’re embarking on the construction of 400kV transmission system assets as it allows us to have more output capacity. As part of our vision we will be busy to complete the 400KV backbone for the whole of Oman. We have a vision to have one 400KV linking the North and South and the

350 Number of staff employed by Oman Electricity Transmission Company

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ENERGY

interior parts. We will have one strong grid and solid infrastructure appearing over the next few years. We want to support overall growth within the country as best we can.” OETC was established on 1 May 2005 and it is responsible for the building and operating of the transmission network in Oman, and is the licensees under the authority of Government of Oman. It is also in charge of despatching and controlling the overall generation and output of electricity in the country. Operations In January 2014 OETC took control of the

“We will have one strong grid and solid infrastructure appearing over the next few years. We want to support overall growth within the country as best we can.” – Eng Ali Al-Hadabi, CEO of Oman Electricity Transmission Company.

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www.Larsentoubro.com

Lighting up Oman!

Larsen & Toubro (Oman) (LTO) LLC, a leading engineering, infrastructure and construction player in Oman, through its Power Transmission & Distribution business vertical has been playing a leading role in lighting up the Sultanate of Oman for several decades. With a strong, customer-focused approach and a continuous quest for world-class quality, the company offers complete turnkey solutions for power transmission and distribution, including integration services for electrical and instrumentation packages across industries. LTO is also proud to have the Oman Electricity Transmission Company as one of its key customers and looks forward to a long and mutually beneficial association going forward.

Larsen & Toubro (Oman) LLC Post Box: 598, P.C. 112, Ruwi, Muscat, Sultanate of Oman Phone: 24762200 Fax: 24797024 E-mail: lntom01@omantel.net.om


ENERGY

transmission network in the south of Oman, which had previously been operated by a different system operator. As a result the firm had full control of the country’s electricity transmission and a significant platform to build on. Eng Ali Al-Hadabi, CEO of Oman Electricity Transmission Company, said: “We are also responsible for the international connection to a number of GCC countries and its authorities, this is done through Abu Dhabi in the UAE. Meanwhile we have a number of high-profile corporate customers in Oman connected to the high voltage network; the major Omani airports, industrial customers such as steel and aluminium factories, and the Oman Petroleum Company to name a few.” “Because we are experiencing a lot

SUPPLIER PROFILE

Eng Ali Al-Hadabi, CEO of Oman Electricity Transmission Company.

LARSEN & TOUBRO - OMAN LLC

Larsen & Toubro (Oman) L.L.C. (LTO), a Joint Venture Company between Larsen & Toubro Limited, India and The Zubair Corporation, a reputed business conglomerate in the Sultanate of Oman. LTO has proven capacity of executing projects of large magnitude on turnkey basis and provides comprehensive construction services especially in Industries such as Township developments, Commercial and Institutional Buildings, Airports, Cement Plants, Hotels, Water Supply and Sewage Treatment Plants, Interchanges and Bridges, Power Plant, Transmission lines, Ferrous and Non-Ferrous Plants, Material Handling systems, Infrastructure projects, EHV and HV Substations and Cabling works.

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of growth in OETC and the country as a whole, we need to maintain the same sort of growth in the network to handle the load increase and ensure we all flourish.� OETC has also made sure all IT systems have been upgraded to help drive continuous improvement and support the national controlling and communication link to the national network. Asset management Al-Hadabi and Al-Busaidi both stressed the need for new ways to strategically deliver projects, because despite the heavy investment throughout the group, if the assets are not managed correctly then it will not have the desired impact on operations. Al-Hadabi said: “In the last two or three years

SUPPLIER PROFILE

Project delivery capability is essential in order to turn the high demand growth risk into investment opportunities

BAHWAN ENGINEERING GROUP

Founded in 1977, Bahwan Engineering Group has emerged as one of the largest engineering construction & trading groups in Oman. Nearly four decades, the Engineering Group has been associated with nation-building projects in Oman and UAE. BEC, executes integrated multi-disciplinary construction projects involving Civil, Mechanical, Electrical, Instrumentation, Elevators and Escalators, Diesel Power Generation. It is also involved in trading in Electrical , Mechanical , Chemical products and Facilities Management Services.

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Energy management all the way www.siemens.om Siemens has a proven track record in project delivery in Oman. The company’s commitment to building a local framework through the region with branch offices and operational units helps to improve the competitiveness of the country and creates value for local businesses. Backed by its global technology network, Siemens in Oman provides all necessary skills and expertise to fully manage even the most complex projects. Siemens has proven its reliability as a trusted partner that delivers only the highest quality over many decades. From extra-high to low-voltage, the Siemens portfolio for efficient power transmission and distribution includes everything it takes to support the country’s energy infrastructure in keeping pace with the rapidly growing demand for electricity.

www.siemens.om


ENERGY

we have established a strong asset management structure. We do depend on outsourcing a small amount for things like consultants who supervise our work and make sure we carry on looking after the projects that are coming our way. “This new strategy will really help us to see the requirements of all departments and see the lifecycle of our assets. This relates back to our investment program where we are ensuring that there is a sufficient support network in place. “We would also like to emphasise the value we place on our excellent staff and engineers. We take them through rigorous and high-quality training which allows them to look after what we are targeting. We encourage all our engineers to go for extra qualifications and support them; a fulfilled worker is much better equipped to

SUPPLIER PROFILE

OETC connects a number of high profile corporate customers

SIEMENS

Siemens is a global technology powerhouse that has stood for engineering excellence, innovation, quality, reliability and internationality for more than 165 years. The company is active in more than 200 countries, focusing on the areas of electrification, automation and digitalization. One of the world’s largest producers of energy-efficient, resource-saving technologies, Siemens is No. 1 in offshore wind turbine construction, a leading supplier of gas and steam turbines for power generation, a major provider of power transmission solutions and a pioneer in infrastructure solutions as well as automation, drive and software solutions for industry.

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OETC has full control of Oman’s electricity transmission

help us achieve our business objectives.” More than 92 percent of the company’s employees are Omani nationals and most are trained in multiple disciplines. “We want this trend to continue because we believe in the young talent in this country, and hope they will want to work for an employer like OETC. We also want to limit the amount of outsource activity to certain niche tasks that physically cannot be done in-house; everything else should be done in-house going forward. With this in mind, staff numbers are expected to increase in the coming years.” added Al-Hadabi. OETC has made a successful habit out of building fruitful partner relationships with

“Currently we have a load demand of around 5,000 MW and we expect that to be in the range of 16,000 in 2030 so investment is essential if we are to provide over three times the existing demand” – Dr Adil Al-Busaidi, Asset Management and Planning Manager at OETC.

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Hamed Engineering Services LLC Hamed Engineering Services LLC has a leading presence in Oman dating back to 1983. We pride ourselves of being 100% Omani Consultant Company recognized by many clients for delivering high quality engineering solutions and services for both the Power/Infrastructure sector as well as the Oil and Gas sector. We cover a variety of engineering services including: • Technical studies • Conceptual, Front End & Detailed Design • Owners Engineering services and site supervision We believe that our success and growth can be maintained only through establishing and maintaining long-term relationships with our clients, and delivering innovative solutions that serves their needs.

Tel +968 22086800 / Fax +968 2208 6951 W www.hesoman.com / W www.vecoman.com E hes.energy@hesoman.com P.O. Box: 86, Al Qurum, P.C.: 102, Sultanate of Oman

Designing, Tower testing & Manufacturing of Galvanized Lattice type steel structures for Overhead transmission Lines and Telecommunications Towers. EPC construction of Overhead Transmission, Distribution, Substation & underground power cabling works. T +971 4814 9555. F +971 4885 7819. contact@gulfjyoti.com www.gulfjyoti.com

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local service providers and contractors too, and this has further helped maintenance and delivery. The company management team sees the main challenge going forward as the ongoing efforts to improve the national grid infrastructure. Building a transmission network with high voltages of 400KV is a sizeable job, in terms of implementing new overhead lines, underground cables and evacuating the power from the new generation stations. While this is being carried out all network corridors need to remain available at all times as it is important OETC maintains a reliable service to the customer with no deviation in quality or availability. Al-Hadabi concluded: “We need to

92m OMR The amount of revenue generated by Oman Electricity Transmission Company in 2014

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O M A N E L E C T R I C I T Y T R A N S M I S S I O N C O M PA N Y

“We are always benchmarking ourselves against the best transmission companies across the world and we try to be constantly challenging ourselves to be the best utilities firm we can be” – Eng Ali Al-Hadabi, CEO of Oman Electricity Transmission Company.

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Building a transmission network with high voltages of 400

execute all these new lines and substations with minimum to the end users, our valued customers, and this is something we are taking very seriously with the governmental authorities and that is the main challenge I can see, we need to tackle that to get the right corridors and build a service fit for the future. “We are always benchmarking ourselves against the best transmission companies across the world and we try to be constantly challenging ourselves to be the best utilities firm we can be. When we do reports based on our


ENERGY

Company Information INDUSTRY

Energy HEADQUARTERS

Sultanate of Oman FOUNDED

2005 EMPLOYEES

350 REVENUE

92 milliom OMR (2014)

0KV is a sizeable job

three pillars of reliability, availability and quality we always find the results to be acceptable. But we must not be complacent and stand still. “We have high standards and have put a big level of expectation of ourselves, and we challenge our employees to make sure we deliver on that expectation.” With such commitment to its staff, coupled with significant investment plans, the Oman Electricity Transmission Company looks set to bring about further prosperity for itself and facilitate growth for the country’s economy.

PRODUCTS/ SERVICES

Owner and operator of Oman’s main electricity transmission network

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Company logo goes here

Ariana Res Forges Ah plans for T Gold Mine

Written by Sheree Hanna Produced


sources head with Turkish e

d by James Pepper

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ARIANA RESOURCES

A British-based mineral exploration and development company has reached maturity with two major projects ripe for production.

A

riana Resources PLC has invested $8 million within its joint venture to establish a new open-pit gold mine in western Turkey and just recently formally announced that construction works have started in the Kiziltepe sector. Kiziltepe is part of Ariana’s Red Rabbit Gold Project, which contains a JORC compliant resource of 475,000oz Au equivalent (ounces of gold and the gold equivalent of silver) within the Kiziltepe and Tavsan Sectors located 75 kilometers apart with its joint venture partner Proccea Construction Company. Commencement of works on the site marks five years since the formation of the joint venture culminating in a series of works already undertaken including the feasibility study, environmental impact assessment, other technical studies and the securing of various permits. Dr Kerim Sener, Ariana’s Managing Director,

Kepaz - A Current Soil Sampling Area

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MINING

Workers Unloading The Site Perimeter Fence

explained that work had begun on securing the site with the erection of a perimeter fence, and that the forestry department had started clearing trees within areas in which permits had been sought. He said: “We are initiating a drilling program in the foundation area of the designated mine site so we can calculate the volumes of concrete for the foundations and so on. “Land acquisitions are essentially complete although there are a couple of other smaller parcels of land we are still working on, but not absolutely required for the operation to proceed, so there is quite a bit of activity on the ground at the moment. “In terms of overall timeline, we hope to complete the first gold pour certainly by this time next year.” Gold Finger Ariana Resources PLC was founded in 2002

“Ariana Resources PLC has invested $8 million within its joint venture to establish a new open-pit gold mine in western Turkey and just recently formally announced that construction works have started in the Kiziltepe sector.”

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ARIANA RESOURCES

Ore Stockpile in Kiziltepe

10 Number of Employees at Ariana Resources

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and picked up its first licenses in Turkey in early 2004 before becoming an AIM-listed company on the London Stock Exchange in 2005. Its longterm strategic plan is to develop its exploration portfolio through grassroots exploration, license acquisition and resource development. In the past 10 years the company has dramatically evolved to become one that has successfully defined a total resource of 1.5 million ounces of gold in Turkey, Europe’s largest gold producer with eight operating gold mines. Turkey lies within the globally significant Tethyan metallogenic belt hosting some of the world’s largest gold, silver and copper deposits. Today, Ariana Resources PLC has two major projects in Turkey: the Red Rabbit Gold Project, and another joint venture with Eldorado Gold in the Artvin Province in northeastern Turkey.


MINING

Economically Sound The Red Rabbit project requires Proccea to contribute $8 million during the three phases of development culminating in the establishment of the mine at Kiziltepe. In return Proccea will receive a 50 percent equity stake in the project. The project has $33 million in debt financing raised through the Turkish bank, Turkiye Finans Katilim Bankasi A.S. Sener, who is also a director of Australia-based private mineral exploration consultancy, Matrix Exploration Pty. Ltd, is confident the project is economically viable, particularly with the current fall in oil prices. At the time of the project’s feasibility study, oil prices were in excess of $100 per barrel, but since those prices have crashed the knock-on effect has been to reduce the mining contractor’s costs. He said: “There has been a balancing out between the current market price for gold and the lower costs of oil. The current gold price of around $1,110 an ounce and with an oil price at $45 means the project remains economic. “Gold prices are expected to rise steadily over the next eight years which is the current life of the Kiziltepe mine. “Another factor which will affect the overall economics is that we expect to identify further resources we can optimise and ultimately feed through the process plant at the tail end of mine life as well as developing the surrounding project areas.”

Turkey lies within the globally significant Tethyan metallogenic belt hosting some of the world’s largest gold, silver and copper deposits.

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ARIANA RESOURCES

complex world | CLEAR SOLUTIONS

Global Mining Consultants

Tetra Tech is one of the World’s leading mining consultants providing a full service to our clients’ projects from early stage exploration to full EPCM and operational support to refine and optimise production and productivity.

With fifty years mining and minerals experience and over 2,000 technical mining professionals we are proud to offer both existing and new clients high quality engineering solutions.

T 01793 512 305 T 07881 940104 tetratech.com info@tetratech.com Unit 224•6Apple • eKembrey N oWalk vemb r 2 0 1 5 Park • Swindon • SN2 8BL


ARIANA RESOURCES

MINING

Live long and prosper The target is to keep the Kiziltepe plant running in excess of 10 years through further discoveries and for this reason the Tailings Storage Facility (TSF) has been designed with a capacity of 15 years. As an Adjunct Research Fellow at the Centre for Exploration Targeting at the University of Western Australia, Sener is also involved in a number of research projects including investigating the potential for magmatic mineral systems on Mars to determine the prospectivity of the Martian crust. Back on earth, Sener also believes there is potential for underground mining on the Red Rabbit Project although much of the current drilling is focused on the top 100 metre of the deposits. “There are indications that those deposits do continue at depth and one of our exploration targets will be to start testing deeper levels in the years ahead, because the grade and width of the veins suggest there is potential for underground operations in places,” he said. In the longer term, it is planned to develop a second mine at Tavsan and ultimately produce from both simultaneously at a rate of 50,000 oz Au per annum. Sener said: “We believe there is potential to do that, but it will take a few more years to get through resource development stage and feasibility of Tavsan. We would rather finance through cash flow than to go back to the

“Ariana’s second project in Turkey is its joint venture with Eldorado Gold. It is located in Artvin Province in the northeast of Turkey where Ariana Resources has defined more than a million ounces of gold”

Examining minerals

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ARIANA RESOURCES Kerim Sener Managing Director Kerim graduated from the University of Southampton with a first-class BSc (Hons) degree in Geology in 1997 and from the Royal School of Mines, Imperial College, with an MSc in Mineral Exploration in 1998. After working for Independence Gold Mining Pvt. Ltd. (Lonmin Zimbabwe) he completed a PhD at the University of Western Australia. During his PhD, in 2000-2003, he worked with ASX-listed Northern GoldXxxxxxxxxx NL in the Northern Territory and on a variety of exploration consultancy projects in Western Australia. In 2009, he completed his military service in Turkey. He is a Fellow of The Geological Society of London, Member of The Institute of Materials, Minerals and Mining, Member of the Chamber of Geological Engineers in Turkey and a member of the Society of Economic Geologists. Kerim is a director of Matrix Exploration Pty. Ltd., a private mineral exploration consultancy based in Perth, and is also an Adjunct Research Fellow at the Centre for Exploration Targeting, University of Western Australia.

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market to raise new development funds.” Looking to sell Ariana’s second project in Turkey is its joint venture with Eldorado Gold. It is located in Artvin Province in the north-east of Turkey where Ariana Resources has defined more than a million ounces of gold. At present the joint venture companies are exploring the possibility of vending the project to another company or selling it out right. “We have had a number of expressions of interest from Turkish conglomerates seeking to get into the gold space,” explained Sener. “We have signed confidentiality agreements with 10 of them now and they are reviewing data.”


MINING

Company Information INDUSTRY

Mining And Mineral Exploration HEADQUARTERS

London, UK FOUNDED

2002 EMPLOYEES

10

Due to the somewhat less certain political situation in Turkey, which has an interim government in place until the elections are held this November, no hard and fast decisions are expected just yet. “We are keeping that on care and maintenance at this stage and doing a little bit of exploration and continuing discussions with these groups so that when the time is right we will hopefully be in a position to sell that project in due course.� In keeping with its strategy of exploration and development Ariana Resources has also established a subsidiary company called Asgard Metals Pty Ltd to focus specifically on non-gold resources mainly in Turkey but also looking at critical and specialty metals in other areas.

REVENUE

Not Disclosed PRODUCTS/ SERVICES

Gold Exploration And Development Company

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FEM

European Materials Handling Federation Written by FEM

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FEM

I

n 1953, the Fédération Européenne de la Manutention (now European Materials Handling Federation) was created with the aim of fostering exchange and technical cooperation among European manufacturers of materials handling, lifting and storage equipment. More than 60 years later, this technical work is still the backbone of FEM activity. Several dozens of technical guidance documents on materials handling equipment are in use all over the world and certainly contribute to the recognition of FEM worldwide. However, FEM has widened the range of its activities that now include legislative monitoring, international cooperation, statistics, communication, cooperation with trade exhibitions… FEM now counts 15 members representing some 1,000 companies employing 160,000 people directly and generating €45bn annual turnover (2013). It is one of the largest sectors within the European mechanical engineering industry, with many companies as world leaders, and it contributes significantly to EU wealth, notably thanks to a €18bn positive trade balance. Role and objectives Last year coincided with the start of a new EU cycle with the election of a new European Parliament and the nomination of a new team of European Commissioners. FEM took that opportunity to present its midterm Vision and Strategy. The objective was twofold: 1-

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checking that FEM goals and work still match our companies’ needs and realities, and 2- presenting our sector’s vision to EU decision-makers. During our internal discussions, it rapidly became clear that the key word was “competitiveness”. Many of our companies are world leaders. In the past 10 years, important market developments have taken place. Extra-EU exports now represent close to 50% of our production value, more than twice the level of 2005. Meanwhile, domestic demand for materials handling equipment is still 25% less than in 2005. On international markets where we compete with many global players, our competitiveness is vital to our success. Our competitiveness is not built on low wages, low

‘Extra-EU exports now represent close to 50% of our production value, more than twice the level of 2005.’

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FEM

‘We identify 7 pillars to our competitiveness: safety, technology, intellectual property, global market access, people, energy, and environment & resources. FEM activities revolve around these themes.’ 254

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production costs or cheap materials. One of our great strengths is our ability to constantly design, develop and provide advanced solutions for our customers. We can only remain competitive if we preserve our reliability, flexibility, knowhow and innovation in order to maintain our leadership position, and ultimately preserve the wealth and jobs we provide for Europe. In our Vision & Strategy, we identify 7 pillars to our competitiveness: safety, technology, intellectual property, global market access, people, energy, and environment & resources. FEM activities revolve around these themes.

Key Personnel

Olivier Janin Secretary General

Current legislation Since the mid-nineties and the implementation of the EU Internal Market, FEM has been increasingly involved in technical harmonisation legislation. With nearly 20 European Directives and Regulations directly applying to materials handling equipment, monitoring EU regulatory developments has become a major activity of FEM. One issue is of particular importance at the moment. Directive 97/68 on exhaust emissions from engines used in non-road mobile machinery is under revision. It directly affects 4 families of materials handling equipment: industrial trucks, telehandlers, mobile elevating work platforms and mobile cranes. Our sector has one specificity: none of our OEMs manufactures its own engines, which makes us completely dependent on engine manufacturers to start the redesigning w w w . f e m - e u r. c o m

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FEM

‘We can only remain competitive if we preserve our reliability, flexibility, know-how and innovation in order to maintain our leadership position, and ultimately preserve the wealth and jobs we provide for Europe. ‘

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process of our machines to adapt them to new engines. Without going into details on the various issues associated with this revision, our general objective is to achieve a balanced legislation that addresses environmental aspects without disproportionately hindering our industry’s competitiveness. Other important regulatory topics include market surveillance, outdoor noise, standardisation… A revision of the Machinery Directive will start by the end of the year and this is likely to keep FEM very busy for the next few years. Benefits of membership Members’ benefits are many and varied but we can underline three. FEM members and their companies have priority access to information on upcoming regulatory developments and a direct influence on the defence and promotion of our industry’s interests at European level. In view of the impact of European technical legislation on their business, being directly involved certainly gives them an edge. They can also shape FEM technical guidance documents, which are used all over the world. Finally, they benefit from the FEM network to exchange with fellow manufacturers.


M A N U FA C T U R I N G

Social Media

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AFFECTO: makin Written by: Nye Longman Produced by: Alex Neagu


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AFFECTO

The IT company is providing real value for money for its globally based customers. We explore how it has achieved this while remaining competitive

H

aving started around 30 years ago as an IT company based in Finland, Affecto has grown into a regional player with a massively extended offering of products and services, and has extended across multiple industries and territories. Having undergone many evolutionary changes over the years, the company has gained support from an impressive roster of clients and is now the most significant company in its field in Northern Europe. Affecto employs just over 1,000 people across its operations in multiple markets and last year posted a turnover of $142 million; we talk to Henri Engström, the company’s Head of Industrial Operations about this success and what Affecto’s focus areas for the future, especially regarding its industrial customers. Operations Affecto focuses very intensely on its customers. The company’s promise is to create unmatched customer experience and customer value through the use of analytics, design and technology. Engström said: “To achieve this, we work with the customer’s entire value network to test and create new business models for extended markets, improve operational efficiency and the way we serve our existing customers.” The company is structured to focus on its customer’s industries. This drives the ambition of all Affecto employees to become the best industry specialists in their respective fields of expertise.

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Affecto is now the most significant company in its field in Northern Europe

For any business operation the blur of digital and physical domains, consumerisation, revolutionary business models and the market transformations driven by these forces should be extremely high priorities. Many companies are still assessing their options while more determined competitors are already reaping the benefits of being forerunners in this rapidly evolving environment. EngstrĂśm said: “Velocity in essential. Being in business as long as Affecto has, we have been able to develop deep and long-lasting customer relationships and have accumulated knowledge across many industries. “Combined with our thought leadership and knowledge of adopting emerging digital paradigms such as Internet of Things, omnichannel user experience, and applied advanced analytics we provide our customers a unique set of services

1200 Number of staff employed by Affecto

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AFFECTO

It offers an effective business advisory unit

to prototype, refine and rapidly scale their new concepts from new ideas to the market.” From a services perspective, Affecto is able to exploit its decades of experience in order to provide an effective business advisory unit backed up by its business intelligence and enterprise information management capabilities. Furthermore, it offers bespoke planning, design, collaboration and management tools, oriented to suit the needs of a particular customer or customer base. Engström said: “Together with our wideranging network of highly knowledgeable partners we provide a trustworthy partnership

Designing and building first class platform lift devices and SST marine equipment since 1997

www.tenderlift.com Tel: +49 (0) 251 70 39 79 07 Fax: +49 (0) 251 70 39 79 06

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E-mail: info@h-btechnics.com


M A N U FA C T U R I N G

for transforming the customer’s business or sometimes just simply run the business better. Effectiveness is our keyword.” Its experience with its products, services and sector clients also enables it to offer full outsourcing services ranging from application support to functional outsourcing, alongside a help desk and a comprehensive consultation service which helps to prevent problems before they can occur. Engström said: “Commitment to success from all stakeholders is essential. When seizing the new business opportunities and benefits co-creation and even joint ventures can often be a desirable business model for all parties.” Competitive advantage Engström noted that Affecto had been able to leverage its business model to develop both its territorial and sectoral reach in order to become a strong regional player, he said: “Having started over 30 years ago in Finland, we had a lot of growth there starting in the late 1990’s. Then around 2005 we started decisively expanding; we went to Latvia, Lithuania and Estonia and soon after to Sweden, Norway, Denmark, Poland and South Africa.” He also explained how the company’s dedication to customers provided a strong framework for future partnerships. Affecto has built a reputation for offering a comprehensive package of solutions and services that scale from business and technology advisory to implementations

“Commitment to success from all stakeholders is essential. When seizing the new business opportunities and benefits cocreation and even joint ventures can often be a desirable business model for all parties” –H  enri Engström, Head of Industrial Operations

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AFFECTO

The Affecto

and business process outsourcing services.

management team

Strategic technology Having such a deep knowledge of its customer’s business accompanied by a wide range of technology at its disposal, the company has been able to gain the attention of some high profile clients which has proven to be a fruitful experience for all involved and has enabled clients to gain significant business benefits. EngstrĂśm explained: “We worked with many companies that build and provide equipment and technology. They had a hard time reaching all of their customers that they have sold throughout 264

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the time of the business. Their channels are numerous and the aftermarket is often very lively.” “Our modern solutions mean they will be able to exactly locate the equipment and gain data on how it’s being used, what spare parts have been used, who has been doing the maintenance. If they then go into the service of their own equipment and fleet in the future, they would know what they are up to.” He added that, by using Affecto’s partnership model, some of these companies were able to develop bespoke prototyping in their specific field, he said: “We went to an industrial customer to start prototyping and designed some new sensors to better gain insight to the real process itself. We were then able to guide the engineers who are using that facility and help them to make better use of their resources.” Focusing on the needs of the customer has, quite simply, enabled Affecto to grow its business beyond the borders of Finland to a position where it can now offer a selection of world-beating solutions to a global client base. Engström said: “I would like to encourage influencers within their companies to start exploring. Start prototyping. Take the first few uncertain steps and you’ll be a lot smarter after that. It might feel like a tough place to start but companies like us can help and really just start the journey together. There’s a lot of companies talking about digital strategies, but actually committing and implementing them is going to make all the difference.”

Company Information INDUSTRY

IT Systems, Solutions and Services HEADQUARTERS

Helsinki, Finland

EM PLOY EES

1,200 REVENUE

$143 million, 2014 PRODUCTS/ SERVICES

A leading solutions provider for information management and business analytics assist organisations looking to improve productivity and competitiveness

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Profile for Business Chief Europe

Business Review Europe and Middle East - November 2015  

Business Review Europe and Middle East - November 2015  

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