Business Chief North American edition - Oct 2018

HHH NORTH

AMERICA EDITION OCTOBER 2018

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Rishi Ghuldu discusses supply chain transformation at the mining industry giant

NAVIGATING THE COMPLEX LANDSCAPE OF DATA CENTER SECURITY

Market leaders in the evolving energy market

BLAIR LOFTIS ON HOW THE COMPANY IS DEFINING THE FUTURE OF WIND POWER GENERATION

City Focus

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WELCOME

W

elcome to the October issue of our North America Edition of Business Chief.

Our cover star this month is Blair Loftis, Vice President and National Director, Power Generation & Transmission at Terracon, who discusses how the business works to provide cost effective solutions, particularly within the construction cycle of wind farms.

Elsewhere we speak to Mark McClain, Chief Executive Officer at identity governance company, SailPoint who discusses the importance of keeping tabs on data access and the company’s journey from US startup to a billiondollar multinational corporation.

Technology has also transformed the financial sector and Business Chief spoke to CEO of IDEX, Stan Swearingen, to find out how the business is poised to revolutionise the way we pay.

Similarly, with the rising number of data breaches and cybersecurity threats, the data center market has exploded at an exponential rate.

This month, CIO Advisory at PricewaterhouseCoopers (PwC), Don O’Neil notes how the company is working with businesses, in order to adapt and invest in the security of its networks.

Our City Focus this month is Victoria, Canada and we also list the top 10 Chief Operating Officers in North America. Finally, don’t miss our exclusive digital reports with Goldcorp, PBL Insurance and Align Construction.

Enjoy the issue!

Catherine Sturman catherine.sturman@bizclikmedia.com

w w w. b u s i n e s s c h i e f. c o m

03

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CONTENTS

08

38

TERRACON ENERGY

MARKET LEADERS IN THE EVOLVING ENERGY SPACE

26 KEEPING DATA SECURE AMID DIGITAL TRANSFORMATION

Transforming finance for a cashless future City Focus

VICTORIA

50 62 Top 10

Chief Operating Officers in North America

CONTENTS

70 Goldcorp Inc

98 PWC

84 PBL Insurance Ltd

112

128

Align

Jabil

MARKET LEADERS IN THE EVOLVING ENERGY SPACE WRIT TEN BY

DA LE BENTON PRODUCED BY

TOM VENTURO 08

ENERGY

09

TERRACON

10

PARTNERING WITH SOME OF THE BIGGEST INDUSTRY PLAYERS, TERRACON LOOKS SET TO DEFINE THE FUTURE OF WIND POWER GENERATION OCTOBER 2018

T

erracon has been delivering consulting engineering services to clients for more

than 50 years. The company, based in Olathe, Kansas, is an employee-owned engineering consulting firm that provides environmental, facilities, geotechnical and materials services across a number of strategic business sectors, including power generation, oil and gas, transportation and facilities.

ENERGY

11

It is this power generation market, particularly wind power generation, that is currently experiencing significant growth like never before.

For Blair Loftis, vice president and National Director, Power Generation & Transmission at Terracon, key to this growth has been the impending expiration of the production tax credit in 2019. This means that companies constructing wind facilities from 2019 onwards will receive a lower tax incentive than in previous years.

w w w.busi ne ssc hief. com

TERRACON

Vision, Innovation, Development

Wind Stone Constructions works as an ambitious company and with a great work spirit, we are specialists in civil works/engineering and P&H foundations for wind turbines.

Our commitment is to develop projects promoting the transformation of our environment and fostering the economic, social and environmental development.

LEARN MORE

HEADQUARTERS: Avenida Las Cumbres 171 Colonia Colinas del Vergel, 98085.

Zacatecas, Zacatecas Mexico.

MEXICO CITY: Avenida Paseo de la Reforma 296 Colonia Juarez, 06600.

Mexico City, Mexico.

www.wsc.mx/en | wsconstructionsmex@gmail.com |

OCTOBER 2018

ENERGY

“ That’s what we are doing at Terracon, we are working with these large companies and we are providing innovative solutions that help reduce those costs” — Blair Loftis, VP and National Director, Power Generation & Transmission, Terracon

“The existing production tax credit

Lowering the corrugated metal pipe into the foundation excavation

cycle of a wind farm goes into the

(PTC) expires in 2019 and this is forcing

turbines themselves, with the remain-

a number of companies to find ways to

ing 50% going into ‘balance of plant’

fill the incentive gap,” says Loftis. “In

(BOP): roadways, conductor systems

losing those tax incentives, more and

and other infrastructure elements and

more companies are now seeking out

half of the BOP cost is the foundations.

ways to reduce capital costs.

“That’s what we are doing at Terra-

The key then for Terracon is finding where it can add value into that con-

con, we are working with these large

struction cycle, and it has located it in

companies and we are providing

the wind turbine foundations.

innovative solutions that helps reduce those costs.”

As the wind energy market grows and the PTC expiration date draws

Loftis notes that 50%of the capital

near, these developers are looking for

expenditure within the construction

bigger returns on each wind turbine w w w.busi ne ssc hief. com

13

TERRACON

Williams Form Engineering Corporation has been providing threaded steel bars and accessories for in the construction industry for over 95 years.

Each wind tower supported by a Williams foundation anchor bolt can be relied upon to perform flawlessly throughout the life of the turbine. www.williamsform.com info@www.website.com LEARN MORE 8165 Graphic Dr. Belmont, MI 49306 Phone: (616) 866-0815 Fax: (616) 866-1890

“BUILDING STRONGER FOUNDATIONS” jbsenergysolutionsllc.com

P&H “Anchor Foundation”

P&H “Tensionless Pier Foundation”

JBS Energy Solutions is fast becoming the go to company to provide scalable design and build solutions specifically for the Patrick & Henderson wind turbine foundations and existing foundation upgrades.

We provide a complete foundation package, from initial engineering through final construction.

OCTOBER 2018

ENERGY

they construct. Technological advance-

have been constructed with a gravity

ments in wind turbine generators has

spread foundation design, but with the

afforded an opportunity for larger

additional mass at the top of the tower

machines. This equates to a signifi-

from these larger machines the industry

cant increase in the turbine size, tower

was ripe for a paradigm shift.

height and blade length. In turn, the

That shift was brought about by the

foundation system grows larger and

Patrick & Henderson (P&H) Tension-

more expensive.

less Pier Foundation: a design that

The market is moving towards larger

requires less than a third of the amount

turbines for land-based applications;

of concrete and steel and 25% less

from a typical size in the 2-megawatt

excavation and backfill when construct-

family to turbines rated at 3-3.5

ing the larger wind turbines. Accord-

megawatts. Traditionally, the turbines

ing to Loftis, an experienced crew can 15

1965

Year founded More than

4,000 Employees

More than

140 offices nationwide w w w.busi ne ssc hief. com

TERRACON

“ What we are doing with our foundation systems is making the typical gravity spread foot foundation functionally redundant in the marketplace” — Blair Loftis, VP and National Director, Power Generation & Transmission, Terracon

Blount Contracting is a full service civil construction company specializing in mass excavation, shoring, renewable energy – civil grading and P & H foundation installation.

blountco.com 1353 S Vista Rd Apache Junction AZ 85119 • 480-985-2112 • info@blountco.com

ENERGY

The inner corrugated metal pipe is ready for backfill 17 complete at least five foundations per

to conventional standards of modelling

week under favourable site conditions.

so we could get that in front of the

“We work with specialty foundation

independent engineering community.

contractors like JBS Energy Solutions,

Once we started doing that, we got

Blount Contracting, and Wind Stone

the industry and market comfortable

Construction who have honed their skills

with Terracon assuming this role as the

for installing our foundation design.

engineer of record.

Some engineer, procure, construction

“It has been a team effort. We have

(EPC) contractors, such as Blattner

a tight group including Allan Henderson,

Energy have resourced so that they can

the inventor of the foundation, two

construct our foundations on multiple

preferred materials suppliers (Contech

projects simultaneously,” says Loftis.

Engineering Solutions and Williams

“Terracon has spent the last few years bringing the P&H Foundation up

Form Engineering) and a quality assurance firm (Structural Observation

w w w.busi ne ssc hief. com

TERRACON

Services), and we all work together with a shared strategic platform.”

One of the key ways in which Terracon has and continues to establish itself as an industry expert in foundation design is through partnering with key industry players.

Through this, Terracon is able to work with and demonstrate first-hand the true value of the P&H Tensionless Pier Foundation which in turn highlights its value in terms of, at least in part, helping to fill in the tax incentive gap.

Terracon has partnered with NextEra Energy Resources, one of the largest independent 18

operators of power generating assets in North America. Terracon has been able to realise as much as 40% savings in construction capital costs of NextEra’s wind turbine foundations through the P&H Tensionless Pier Foundation.

“For NextEra it was an easy win,” says Loftis.

“NextEra, like many companies, is faced with increased capital pressures as it deals with the expiration of the PTC. If Terracon can save one of the largest industry players 40% on 25% of their capital it is sort of a no-brainer.”

Terracon’s foundation is deep and cylindrical, as opposed to the gravity foundation which is typically flat and octagonal. The standard P&H Tensionless Pier Foundation requires

OCTOBER 2018

ENERGY

only 110 cubic yards of concrete which translates to as much as 40% less concrete and 40% less steel as opposed to a gravity spread for the same size wind turbine.

“It’s a significant cost saving in the industry.

Especially when we’re looking down the barrel of an administration with a trigger finger on tariffs, which effects the cost of the steel and other construction materials used in the foundations. Since the pier requires substantially less steel than the spread we reduce the amplitude of this kind of market volatility,” says Loftis.

Through the success of working with NextEra, Terracon was introduced to a number of engineering, procurement and construction (EPC) firms including market leaders like Blattner Energy. NextEra solicited the largest tender of wind projects in North American wind history last year.

Blattner Energy won all of the projects and decided to build the majority of them using Terracon’s P&H Tensionless Pier Foundation.

Terracon was retained to design more than 550 foundations for that round of projects.

For Loftis, this is the clearest representation of the paradigm shift that the market was craving. “There has been a paradigm shift,

Securing the rebar hoops which maintain anchor bolt spacing

moving from the gravity spread foundation

w w w.busi ne ssc hief. com

19

TERRACON

20

to the tensionless pier foundation

the foundation is compatible with site

because it saves cost,” he says.

conditions. As Loftis notes, it’s in both

“Blattner Energy has invested heavily

parties’ interests to ensure that the

into the foundation and to me this is a

foundation is in fact suitable for each

message of industry disruption. What

specific project. “That is how we set up

we are doing with our foundation

each engagement, making sure at the

systems is making the typical gravity

earliest stages of project planning that

spread foot foundation functionally

our foundation is the optimal design

redundant in the marketplace.”

choice for project success,” he says.

Relationships are only as strong as

To this end, Terracon does things

the effort put into them and Terracon

a little differently. They look at success

recognises this, conducting rigorous

from project conception through project

compatibility reviews to ensure that

completion. “We meet with project

OCTOBER 2018

ENERGY

Securing the anchor bolts to the upper template ring

21

“ There has been a paradigm shift, moving from the gravity spread foundation to the tensionless pier foundation because it saves cost” — Blair Loftis, VP and National Director, Power Generation & Transmission, Terracon

managers, superintendents, foremen, and team leaders to conduct constructability reviews and spend a day or two discussing what portions of our design give the construction folk troubles in the field,” says Loftis. “I want to know every complaint that every craftsman, supervisor, project manager and foreman has about these foundations.”

“We then take that back and see if we can implement a design solution to enhance constructability efficiency. If we can revise the design to make the w w w.busi ne ssc hief. com

TERRACON

construction process easier, while still preserving the integrity of the design, then we can provide even more value to the industry.

“This level of constructability design review with NextEra, Blattner and Terracon involved is something that is rarely ever done across the industry.”

Over the last two years, the company has experienced significant growth in one particular sector – power generation and transmission – recording a growth rate of 20% year-on-year. With the growth of the market and Terracon’s role in defining that 22

future market, Loftis has begun work on a strategic growth plan for the next 24 months. He believes that, given Terracon’s market position, it provides him with a key understanding of where the market is heading and enables him to ensure the company is “fully equipped” for it.

Looking beyond the next two years, Terracon aspires to be the industry leader in wind turbine foundation design in the United States. The company has already begun to attract attention from around the world but Loftis will ensure that whatever direction the company grows in, it will be direction of growth that benefits the wind industry.

“There really is an opportunity for our

OCTOBER 2018

ENERGY

CLICK TO WATCH : ‘TERRACON – GREAT PEOPLE’ 23 foundation to support the economics of wind growth globally,” he says. “We’re going to focus on North America. We’re optimistic looking at the Latin America market, especially in Mexico, with the energy reform that’s taking place. But I would say our goal is to capture the market, get the majority of the market share in the United States and Canada, and then move into foreign markets.”

Completed foundation ready for tower construction w w w.busi ne ssc hief. com

LEADERSHIP SHOWCASE

26

KEEPING DATA SECURE AMID DIGITAL TRANSFORMATION Mark McClain, CEO of identity governance company SailPoint, discusses the importance of keeping tabs on data access and the company’s journey from US startup to billion-dollar multinational corporation WRITTEN BY

OCTOBER 2018

OLIVIA MINNOCK

27

w w w. b u s i n e s s c h i e f. c o m

LEADERSHIP SHOWCASE

W

ho has access to what, who should have access to what, and how is that access being used?

These three key questions are critical (and

often headache-inducing) for any company when it comes to managing its data – and they are precisely the questions identity governance platform SailPoint looks to answer.

In an increasingly cloud-based world where end-users as well as staff and companies are rightly becoming increasingly concerned with what happens to their data, SailPoint aims to help companies manage digital 28

identities so that access can be clearly defined and securely managed.

Having grown into a $2.2bn NYSE-listed company, Austin-based software developer SailPoint dates back over a decade but went public in November 2017, achieving a value of over $1bn on its first day of trading, with an IPO that raised $240mn.

CEO Mark McClain recalls the client server era of the early 1990s. “You had tonnes of Unix servers and Windows servers all over the place.” In 2000, McClain founded identity management company Waveset Technologies, growing the business 250% year on year for the first three years before it was acquired by the then-giant Sun Microsystems.

The main issue McClain was dealing with in his Waveset days is known as joiner/mover/leaver: the granting of

OCTOBER 2018

“ The same things we worry about with people and their access now also apply to non-humans” — Mark McClain, CEO, SailPoint

29

Mark McClain, CEO, SailPoint w w w. b u s i n e s s c h i e f. c o m

LEADERSHIP SHOWCASE

access to data when a stakeholder joins an organization or moves departments, and the rescinding of this when it’s no longer needed.

“People now, not just employees but contractors and business partners who can look a lot like employees, they’re certainly insiders who can

“ If you don’t know exactly who has access to what, and that they are using it correctly, bad things can happen”

access your systems and data.

“Today, the interesting challenge is around non-human identities,” he

— Mark McClain, CEO, SailPoint

adds. “These are software bots or robotic processes where software is 30

effectively imitating the behavior of

the early 2000s, data access became

people, in AI and other applications.

an increasing concern – and today we

Today, it’s not uncommon for a loan

are familiar with the same issues due

to be processed initially by software

to the EU’s GDPR. “People got nervous

bots that categorize and evaluate,

that the wrong people had access to

and then go to humans for the next

data and could tamper with it – so

step… The same things

the beginnings or governance and

we worry about with people and their

compliance in the industry were

access now also apply to non-humans.”

around making sure the right people

In 2004, when SailPoint was being conceived, joiner/mover/leaver and

had access to the right information.”

In McClain’s view, the industry

the associated issues were top of

evolved the wrong way around,

mind: namely, process management

automating before looking at security

and identity. “That was the emerging

elements. SailPoint, however, decided

challenge of compliance and govern-

to remedy this by looking at how well

ance,” says McClain.

a client’s current state matches its

Following the Sarbanes-Oxley act of OCTOBER 2018

desired state in terms of cybersecurity.

CLICK TO WATCH : ‘SAILPOINT DELIVERS THE POWER OF IDENTITY’ 31 “That’s the analysis of what the current

even harder to ensure data remains

access privileges are of the organiza-

‘safe inside’ a company – “but the

tion – once I get that right, then I want

processes we use assume it still is,

to run that into an automated system,”

and that’s what customers are really

McClain points out.

wrestling with. The days of being

A common issue, says McClain, is atrophy: when an organization grants access temporarily or to an employee

sloppy about access management are quickly ending.”

What identity governance software,

who has moved, but then does not

and particularly SailPoint’s offering,

take the access away after it ceases

can be boiled down to are three key

to be necessary. McClain likens this

benefit areas: compliance, security

to having a bunch of keys that can open

and operational expense. In terms of

doors you don’t need – or shouldn’t

security, McClain says simply: “If you

have – access to.

don’t know exactly who has access

With shifts to cloud and mobile, it’s

to what, and that they are using it w w w. b u s i n e s s c h i e f. c o m

LEADERSHIP SHOWCASE

correctly, bad things can happen.”

SailPoint aims to solve the problem of ensuring only the right people have access.

In terms of compliance, SailPoint works not only to manage the ongoing maintenance of identity but also audit compliance validation of identity. GDPR is an example of where businesses, not just in the EU, need to remain compliant. “If a customer says ‘I want you to 32

forget me’, a core tenet of GDPR is that you have to know where that data is and who has access to it so you can turn it off… somewhat broader than security, GDPR is a board-level discussion and yet it’s really about identity,” he adds.

Automating security and governance through SailPoint can also bring about significant cost savings. “It’s not uncommon for a 50,000-person enterprise to have hundreds of people working on nothing but joiner/mover/ leaver,” says McClain, adding that through automation this repetitive and costly process is cut down.

Having started with larger organizaOCTOBER 2018

tions, around 2012 SailPoint began to target medium-sized enterprises, developing a software-as-a-service (SaaS) offering called SaaS. “Mid-size organizations today almost never buy software and install it – wherever they can, they want to buy SaaS,” says McClain, who puts this down to the fact that mid-sized organizations want a less sophisticated solution, and often don’t have the time to customize and configure.

The next issue SailPoint is tackling is data being removed from its original location, often to a less secure home.

“Every day, people export and download data onto spreadsheets, PowerPoints, and other documents to be stored in things like SharePoint and Dropbox.”

SailPoint is therefore looking at what McClain calls ‘unstructured data’ and how AI could be utilized to protect it.

“For an organization with 50,000 people and 10,000 applications, it’s hard to figure out where you might have exposure to risk,” he explains.

“In most organizations, there’s no single system of records – who an employee is, what they do, and what access they have across mainframe, client server, w w w. b u s i n e s s c h i e f. c o m

33

LEADERSHIP SHOWCASE

34

‘ SailPoint dates back over a decade but went public in November 2017, achieving a value of over $1bn on its first day of trading’

cloud, SaaS… finding anomalies of access privileges is very painful.”

An ongoing commitment to solving these pieces of the identity puzzle, as well as adapting solutions for businesses of various size and scale, has contributed to SailPoint’s solid growth into a mature public company. Having begun in North America, the business soon moved into the European market via London due to its volume of clients in the finance sector, and is now growing in the APAC market.

Instead of opting to work with smaller

OCTOBER 2018

35

companies and branching out as the

market has certainly emerged as a

likes of Salesforce did, McClain puts

very important submarket within IT.”

SailPoint’s growth down to just the

As a final word of advice for any

opposite. “We wanted to tackle

business, McClain says that a period

some of the largest, most complex

of automation or migration to the

organizations in the world because

cloud is the ideal time to examine

we had a belief that if we could get

security. “Digital transformation is an

those folks hooked and bought into

opportunity and a reason to evaluate

our products, we could leverage that

your current state of identity controls

down the market,” he explains,

and governance and shore up your

adding that over time investors have

policies and processes to prepare

certainly ‘voted with their wallets’.

for the future. If you just take those

“They’ve come into the stock and

poor policies to the cloud, it’s going

pushed the value up – the security

to explode and get worse.” w w w. b u s i n e s s c h i e f. c o m

Covering every angle in the digital age The Business Chief platforms offer insight on the trends influencing C and V-level executives, telling the stories that matter Click to read

w w w.bu si nessch ief.com

TECHNOLOGY

38

Transforming finance for a cashless future As society becomes cashless and emerging markets demand financial access, IDEX is poised to transform the way we pay. Business Chief spoke to CEO Stan Swearingen to find out how WRITTEN BY

OCTOBER 2018

OLIVIA MINNOCK

39

w w w.busi ne ssc hief. com

TECHNOLOGY

H

aving made his career at the fore of some of the most pervasive technology innov-

ations of this century, Stan Swearingen is

no stranger to working with market makers.

From Bluetooth to WiFi to touchscreen technol-

ogy, Swearingen has witnessed the earliest stages of current technology mainstays. That’s why he decided to come out of retirement and put his weight behind one more innovation: biometric technology that facilitates payment verification with just a fingerprint.

Notably, in addition to serving at mobile device management developer Amtel and semiconductor 40

revolutionary Rohinni, Swearingen was previously CTO at Synaptics, the company behind the touch technology which Apple brought into the mainstream with its MP3 players, mobile phones and tablets. Now Swearingen is back for what he describes as “one more career-defining role to create a new market”.

“Part of that experience is seeing the point where you’re pushing something, an idea, and you meet resistance… even when we were developing WiFi people were saying ‘No, I don’t get it’ or ‘here are all the reasons why it won’t happen’,” Swearingen reminisces. “At the front end of an emerging market the supply chain forecast is very conservative, but once that inflexion point happens, it explodes and the volume goes through the roof.”

OCTOBER 2018

“ At the front end of an emerging market the supply chain forecast is very conservative, but once that inflexion point happens, it explodes and the volume goes through the roof” — Stan Swearingen, CEO, IDEX

41

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TECHNOLOGY

42

This is what Swearingen strongly

global user base. For Swearingen,

believes is set to happen with biomet-

it’s not a question of when or if, but

ric technology in 2019. Soon, he argues,

how, biometrics will explode in the

PIN verification (and its now compara-

market. “What’s important is how you

tively archaic predecessor, swipe and

prepare yourself for that transition

sign) is set to become a thing of the

as a company,” he says.

past in favour of a fingerprint connect-

As with Synaptics and Apple, it takes

ed to payment cards, allowing the user

a technology developer coupled with

to verify payments at the point of sale

a market maker to bring about the

with just one touch.

Next Big Thing, and IDEX has found

He’s not alone: IDEX has partnered

a symbiotic partner in Mastercard.

with financial services giant Master-

“Mastercard is the market maker,” says

card, which is excited to roll out the

Swearingen. “We’ve been working with

new fingerprint technology across its

them on the total experience, not just

OCTOBER 2018

“ As society moves to a more cashless approach, reinventing the credit card with biometrics is a critical part of making that transition a reality” — Stan Swearingen, CEO, IDEX 43

technology – we are a solutions provider

print is unique to you and it’s not

partnered with a market maker.” When

something somebody’s going to guess

the CEO joined the company in 2016,

or look at over your shoulder. I think

IDEX had the perfect combination of

customers in general are even more

market maker, value proposition and

savvy regarding the dark web and

knowledge of systems and biometrics.

identity theft, and people just want to

With a plethora of fast and easy pay-

make sure their hard-earned money

ment options on the market, what is so

isn’t spirited away by somebody doing

special about the biometric element –

fraudulent acts.”

aside from the theatrical appeal of

In addition, IDEX has ensured

paying with a fingerprint? Security, of

biometric ID technology can be quickly

course, takes centre stage. “You get

deployed, with remote enrolment

a physical, unique connection with your

available for card users. “You get a card,

card,” Swearingen explains. “A finger-

you take your fingerprint and it creates w w w.busi ne ssc hief. com

TECHNOLOGY

44

OCTOBER 2018

a template which is stored in

users feel versus other methods,”

secure memory inside the card,”

he adds.

he explains. “There are multiple

While the end user is always

ways to do that. The first instance

top of mind, merchants will need

would be going into your branch

convincing that this new POS

and putting your finger into an

technology is necessary – but

optical reader, but IDEX and

Swearingen doesn’t think this

Mastercard saw that as an inhibitor

will be a problem. “Mastercard

to mass deployment, so we came

and the like are interested in

up with remote enrol, involving

frictionless transactions: easy

a simple plastic sleeve that is sent

and intuitive so the customer

in the post along with the card.”

isn’t worried about security or

When it comes to payment

anything that might cause them

methods, security goes hand-in-

to think ‘I was going to buy this

hand with convenience. “If you

item but maybe I won’t’ – obvi-

look at how someone grabs

ously the retailers want this to be

a credit card, ergonomically

frictionless as well. It’s a unified

it’s a natural movement,” says

goal. As society moves to a more

Swearingen. “They don’t have

cashless approach, reinventing

to learn something different. It’s

the credit card with biometrics is

so intuitive.” This more secure

a critical part of making that tran-

option is also set to reduce the

sition a reality.”

necessity for things like payment limits for contactless cards.

“With fingerprint, this will go away.

You don’t need a limit or to re-enter your PIN. We’ve done many pilots with Mastercard and the feedback has been overwhelmingly

— Stan Swearingen, CEO, IDEX

positive about how easy it is to use and how much more secure w w w.busi ne ssc hief. com

45

TECHNOLOGY

In addition, IDEX’s work will help to promote financial inclusion for those in underbanked areas. “There’s a lot of people who can’t bank today because they don’t have government ID or the things necessary to get an account – biometrics will help solve that problem as financial institutions will know the person they’re issuing the card to is a real person.”

Looking to the future, Swearingen anticipates that rolling out the new technology will be similar to marketing previous concepts that seemed radical.

46

Developers like IDEX often take on more of a systems role. “You have to engineer the total solution, so we did a reference design. We did all the hard work: the hardware, software, everything so that card manufacturers could quickly come up to speed and sample products.”

Already, IDEX has partnered with Taiwanese smart card solution provider JINCO and Chinese contactless card developer Feitian. “You’ll see more announcements imminently of different Tier-1 partnerships not just in China, but throughout the Asian supply chain.

JINCO and Feitian have brought technical, manufacturing and channel OCTOBER 2018

“ A fingerprint is unique to you and it’s not something somebody’s going to guess or look at over your shoulder” — Stan Swearingen, CEO, IDEX

sales abilities,” says Swearingen, adding that JINCO’s access and insurance cards business and Feitian’s tokens business will help IDEX to develop across different verticals.

IDEX has already made strides, especially in emerging markets where e-payment systems are leapfrogging the likes of the US, and to Swearingen this is evidence of the same take-off point he saw with the likes of Bluetooth.

“We’re preparing for what we believe is this inflexion point where the demand is just going to skyrocket. We have to be prepared to support many customers and make sure we have all the tools, documentation and talent necessary,” says the CEO, who expects millions of biometric units to have been deployed by the end of 2019.

Indeed, recent studies supported by IDEX outlined that 90% of customers would switch card issuer to one offering biometric technology if their incumbent did not. “The likes of Mastercard, Visa, American Express… biometrics is a vehicle for them all to take share from one another,” Swearingen concludes.

“For IDEX, this coming year is all about scale and making sure our supply chain has all the technical support needed.” w w w.busi ne ssc hief. com

47

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CITY FOCUS

VICTO City Focus

50

The oldest city in the Pacific Northwest and the capital of British Columbia, Victoria has placed significant investment in its infrastructure without compromising on what it values most WRITTEN BY

OCTOBER 2018

CATHERINE STURMAN

ORIA 51

w w w. b u s i n e s s c h i e f. c o m

CITY FOCUS | VICTORIA

C

onsistently ranked as one of

diverse city has placed significant investment

the world’s top 10 friendliest

in its infrastructure to cater towards its growing

cities by Condé Nast, Victoria,

numbers, without compromising on its stun-

Canada, remains a top destination of choice for corporate and leisure travelers.

Housing world-renowned educational establishments such as the University of Victoria as

Following the Gold Rush and

well as a flourishing business focus, the city

subsequent industrialization of the

has gained one of the lowest unemployment

19th century, Victoria’s rich history

rates in Canada and has been ranked as

combined with a unique modern

Canada’s Best City to Live in (for Women).

twist has created a fusion of cul-

Additionally, it was recently voted amongst

tures and traditions, attracting over

the top 10 rising star locations for meetings

1.9mn tourists in 2017.

and conferences in Smart Meetings Magazine.

However, with a population 52

ning landscapes.

of 85,792 citizens, the thriving,

Positioned close to Vancouver and Seattle, Victoria is home to a large western naval base,

“ The city has gained one of the lowest unemployment rate in Canada and has been ranked as Canada’s Best City to Live in (for Women)” OCTOBER 2018

an established fishing fleet and a booming IT sector, offering a high quality of life for those situated in nearby cities.

Enticing businesses, investors and developers in areas ranging from commercial and retail to real estate, the city’s business hub provides a vital base for budding entrepreneurs wishing to establish a new business or invest in the city.

Additionally, the Downtown Victoria Business Association (DVBA) also supports over 1500+ members, and provides a number of grant programs, such as a Clean, Safe and Sustainable Grant and Marketing and Events Grants, as well as offering essential contacts, agents or com-

367,000 Population, Greater Victoria Area

3.4bn Number of ‘blooms’ in Victoria, 2018

1.9mn Tourists who visited Victoria in 2017

panies to enable new businesses to prosper.

53

PICTURE BY CNICBC

w w w. b u s i n e s s c h i e f. c o m

CITY FOCUS | VICTORIA

A growing infrastructure As the city continues to grow in popularity, numbers utilizing Victoria International Airport have surpassed 1.9mn per annum.

With this in mind, Victoria Airport Authority has announced plans to invest $24.9mn (CAN$19.4mn) in doubling the size of its lower passenger department lounge, incorporating the construction of new aircraft procedures, increased security and new food and beverage facilities for travelers 54

to enjoy.

OCTOBER 2018

Providing direct flights to nearby Vancouver, Toronto, Calgary and Montreal, the airport also offers links to Edmonton and Kelowna. Additionally, services to San Francisco and Seattle also remain popular with residents and tourists alike.

For those who want more of a sightseeing experience upon leaving the airport, the city has embraced the use of float planes and ferries, providing spectacular views of the city and its local wildlife, in particular Canada’s iconic whales and seals, before entering Victoria’s iconic Inner Harbor.

Those exploring the city on foot will not be disappointed either: Victoria is home to one of the best pedestrian-centered infrastructures in Canada, with many transport options on offer.

w w w. b u s i n e s s c h i e f. c o m

55

CITY FOCUS | VICTORIA

City of Gardens Underpinned by the city’s Regional Transit System, commuters are provided essential connection links to all transportation routes, as well as access to the Greater Victoria Area, home to over 367,000 citizens.

Nicknamed the ‘City of Gardens’, featuring a total of over 3.4bn blooms in 2018, Victoria has been recognized as one of the top 10 smallest cities in the world, but one which is vibrant and beautiful. With a number of outdoor activities on offer, its pedestrian-friendly pathways have filtered into its Pedestrian 56

Master Plan to maintain and enhance the quality of life of residents and visitors, increase the number of trips made and guarantee safety every time.

With 48 regional, provincial and federal parks to explore, totaling close to 8,000 hectares, Beacon Hill Park, downtown Victoria, is popular for those who wish to escape the hustle and bustle of the city. Close to a number of transport links and hotels, the park is renowned for housing the world’s largest free-standing totem pole, in homage to its aboriginal history.

Within downtown Victoria, the oldest surviving Chinatown in the world, Fan Tan Alley, is renowned for its unique shops and restaurants. Once a popular gambling district, it has gained the title of the narrowest commercial street in North America at 0.9 meters wide (at its narrowest).

Additionally, Victoria’s 19th century shipping and fur trading businesses can be visited in Old Town, where visitors can stumble upon historic landmarks, become part of the city’s bustling restaurant scene and gain stunning views of the city’s harbour.

57

“ With 48 regional, provincial and federal parks to explore, totaling close to 8,000 hectares, Beacon Hill Park, downtown Victoria, is popular for those who wish to escape the hustle and bustle of the city” w w w. b u s i n e s s c h i e f. c o m

CITY FOCUS | VICTORIA

58

Sustainable living As the population of the city of Victoria is predicted to rise to unprecedented levels in the next decade, the city has invested heavily in its transportation links to bolster sustainability, reduce emissions and guarantee exceptional quality of living for its residents.

With a number of regional trail networks, Victoria is passionate about fully promoting healthy living; it has embedded more cycle routes than any other Canadian city. Such investment has led sports enthusiasts, leisure seekers and corporate travelers to take full advanOCTOBER 2018

which has established targets to increase the amount of trips by residents commuting to work to be undertaken via walking, cycling and/or public trantage of the city’s rugged coastlines.

sit by 70% by 2041.

Consequently, a recent study by the

Victoria’s historic charm, boutique

Capital Regional District (CRD) and

shops and stunning scenery will all

Statistics Canada has found that sig-

be significant factors which will drive

nificant numbers are now choosing to

ongoing tourist figures. However, with

walk, cycle and utilize public transport

a strong emphasis and commitment

in the city, with the number of drivers

to foster business growth, whilst devel-

down by 34%.

oping a sustainable future and robust

Victoria’s long term aim to build a

infrastructure, the city is set to unlock

robust cycling infrastructure network

further economic development and

to encourage increased numbers to

provide tremendous opportunities for

engage in sustainable living is also

anyone wishing to take full advantage

reflected in its Official Community Plan,

of all the city has to offer. w w w. b u s i n e s s c h i e f. c o m

59

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T O P 10

Top 10

62

Chief Operating Officers in North America In this month’s Business Chief North America, we take a look at the top 10 companies based on published annual revenues — but which COOs are driving their success?

WRITTEN BY

OCTOBER 2018

CATHERINE STURMAN

63

w w w. b u s i n e s s c h i e f. c o m

T O P 10

09

Belinda Johnson, Airbnb With bookings growing by up to 150% in 2017, vacation rental company Airbnb has gained significant ground, gaining $2.6bn in revenue last year.

In a bid to further support its growing customer base, particularly the corporate traveler market, as well as launch

10 64

team building and meeting services, Chief Operating Officer, Belinda John-

Amy Bohutinsky, Zillow Group

son has sought to bring various teams

Having worked in a number of senior

and deliver essential guidance within

level roles at real estate company, Zillow

payment platforms.

Group, Amy Bohutinsky was appointed

www.airbnb.com

Chief Operating Officer in 2015, becoming an established pioneer within the industry. Reporting $1.1bn revenue in 2017, Zillow is gaining significant traction, leading Bohutinsky to further develop the business’ core brand strategy across its diverse portfolio. www.zillowgroup.com

OCTOBER 2018

together, enhance the safety of users, transform the customer experience

07

Sheryl Sandberg, Facebook Accumulating a reported net worth of over $1bn, Facebook’s COO Sheryl Sandberg is one of the most influential women in technology, and helped the business achieve $40bn in revenue in 2017. Part of Facebook’s leadership

08

Todd White, Goldcorp With two decades of experience managing large-scale projects, Todd White

team since 2008, she has written international bestsellers, such as Lean In and Option B, and led successful discussions on Ted Talk, empowering women to enter the sector and to grab opportunities within the corporate world. www.facebook.com

was appointed as Goldcorp’s Executive Vice President and Chief Operating Officer in 2017. Accumulating $3bn in 2017, White has driven continuous improvement across the Canadian mining business, implementing new technologies and data analytics to drive all corporate and environmental goals.

The company has recently achieved its target of $250mn of sustainable efficiencies across its operations. www.goldcorp.com

w w w. b u s i n e s s c h i e f. c o m

65

T O P 10

05

John J. Mulligan, Target Corporation Recently announcing its best quarter results this year, popular US retailer, Target, has seen sale figures rise significantly, with an annual revenue of $72bn announced this year. Driving the busi-

06

Albert Bourla, Pfizer 66

ness’ store capabilities, as well as its global supply chain, merchandising operations, properties and flight services, Executive Vice President and Chief Operating Officer, John J. Mulligan

Known as a key innovator across the

has worked to streamline the company’s

healthcare industry, COO at Pfizer,

various divisions since 2015.

Albert Bourla, led the business to amass

www.target.com

a cool $54bn in 2017. Renowned for developing the company’s Patient and Health Impact group, Bourla’s worldwide experience has seen the business increase patient access, develop scalable solutions and drive further success.

A Doctor of Veterinary Medicine, Bourla also gained a PhD in the Biotechnology of Reproduction from the Veterinary School of Aristotle University in Greece. www.pfizer.com

OCTOBER 2018

03

Jonathan C. Roberts, CVS Health Having worked at pharmaceutical giant CVS Health for over 25 years, Jonathan C. Roberts was appointed Executive Vice President and Chief Operating Officer in 2017. Serving

04

over a million patients per annum, the company’s integrated healthcare

Catherine P Bessant, Bank of America

model has sought to improve patient

Since 2010, Bank of America’s Chief

organization, achieving $185bn in

Operating Officer, Catherine Bessant,

revenue in 2017.

has sought to enhance the organiza-

www.cvshealth.com

outcomes, lower ongoing healthcare costs and deliver results across the

tion’s digital capabilities, providing essential end-to-end solutions for customers in over 30 countries. Achieving $87bn in company revenue in 2017, Bessant is frequently recognized as one of the most powerful women in banking. Leading a team of 100,000 employees, she is passionate about embracing new technologies, such as artificial intelligence and cyber security. www.bankofamerica.com

w w w. b u s i n e s s c h i e f. c o m

67

T O P 10

68

02

Brian Tyler, McKesson Recently appointed as President and COO, Brian Tyler has sought to bolster the ongoing success of Fortune 500 giant McKesson Corporation. A global leader in healthcare supply chain management solutions, retail pharmacy, community oncology and specialty care, as well as health IT, Tyler will be a key figure in the business’ global expansion, enhancing its supply chain capabilities and improving patient care, gaining $198bn in revenue in 2017. www.mckesson.com

OCTOBER 2018

01

69

Jeff Williams, Apple Gaining worldwide fame within the consumer technology space, from the development of the iPhone to the iconic Apple Watch, technology giant Apple has become an inspiration for start-ups and large corporations alike. Part of the business for over 20 years, Jeff Williams was appointed COO in 2015, and continues to work closely alongside Chief Executive Officer, Tim Cook. This strong partnership has enabled the business to gain a staggering $229bn in 2017, with a long-term aim to tap into further markets, such as healthcare. The launch of its own health clinics for employees, as well as the development of a Health Records API (application programming interface) for developers and researchers, shows that no industry is too tough for the company to crack. www.apple.com

w w w. b u s i n e s s c h i e f. c o m

70

MINING

Driving a Supply Chain revolution at Goldcorp

WRIT TEN BY

JA MES HENDERSON PRODUCED BY

GLEN WHITE

71

GOLDCORP

Rishi Ghuldu has spearheaded a Supply Chain transformation over the last 18 months at Goldcorp, backed by the company’s senior management

G 72

oldcorp set an ambitious target as part of its 20-20-20 strategy; which meant to increase production by 20%, reduce

cost by 20% and increase its reserve base by 20%. To support this important goal for the Company, Rishi Ghuldu, Goldcorp’s Vice President of Supply Chain & Asset Management, sat down with the company’s Chief Operating Officer, Todd White, to discuss how the company’s Supply Chain was performing and at what pace it was maturing. There was a realisation that while progress was being made, the trajectory of change was not where it needed to be. Ghuldu and White decided that Goldcorp needed to demonstrate real change in a matter of months, rather than years or even decades.

The decision was made to push the accelerator and challenge the Supply Chain and Procurement function to quickly prove its value to the business, allowing it to emerge from a back-office OCTOBER 2018

The Goldcorp team

MINING

73

function to a team with a voice at the company’s top table. In Ghuldu’s own words: “We really wanted to catapult ourselves forward.” A deep dive into the company’s Supply Chain function was undertaken, as well as a close study of successful Supply Chain transformations both within mining and other sectors.

“We mapped out where mining is

From left, Goldcorp’s Ivan Mullany (SVP Technical Services) Rishi Ghuldu and Todd White, (EVP & COO)

relative to other industries in terms of Supply Chain maturity, and we felt it was lagging. Each of our mine sites were doing their own thing, which was often w w w.busi ne ssc hief. com

GOLDCORP

CLICK TO WATCH : ‘GOLDCORP TEAM TESTIMONIALS — SUPPLY CHAIN DIGITAL TRANSFORMATION 74 correct, but we were certainly miss-

every day. Getting the change approved

ing out on a number of opportunities.

involved conversations with Goldcorp’s

We took the decision to centralise our

investment committee, Mine Manag-

Supply Chain enabling us to leverage

ers and the Executive team. It was so

our portfolio strength – this was really

important to get our team to under-

vital to our transformation.”

stand the thinking behind the move. We

Goldcorp is a company that is pre-

pinpointed to some early wins and were

dominantly decentralised so a great

able to build momentum and support

deal of work went into building the

for the transformation.” Ghuldu and his

business case to centralise the Supply

team studied how other companies had

Chain function.

turned their Supply Chain and Procure-

“Technically, the decision to migrate

ment functions from a largely lethargic

the function is not too difficult,” he says.

function to one that added tangible

“But the company’s Supply Chain

value. The key was found to be a fun-

touches thousands of our employees

damental change in attitude.

OCTOBER 2018

MINING

“To be successful, we had to be candid about our capability of doing

to be an industry leader – we’re not gunning for second place.”

this ourselves, so we took our ego out

“We took the decision to go ‘all-in’,

of the equation. We realised that there

so each of our sites is in the process

were companies around the world we

of being converted to the new model.

could build partnerships with that are

It’s a lot of change in a short amount

very skilled at what they do – we under-

of time but it’s been communicated in

stand that we can’t do it all ourselves.

a clear and consistent fashion and we

We believe that by forming this part-

completely believe there is value in do-

nership, we have been able to achieve

ing it this way rather than over a longer,

in 18 months what companies going at it

phased period of time.”

alone might take seven or eight years

Ghuldu is keen to stress that under

to achieve. That’s enabled us to over-

the new model, it is the planning of the

take some of our competition. We want

Supply Chain that is centralised, with

E X E C U T I V E P R OF IL E

Rishi Ghuldu Rishi Ghuldu is currently Vice President, Supply Chain & Asset Management at Goldcorp Inc. Rishi’s expertise includes formulation and implementation of enterprise Business Improvement strategy, global supply chain management, asset management, change management, and merger integrations. Prior to joining Goldcorp, Rishi led Barrick’s Business Improvement function and worked with the Supply Chain group to launch Barrick’s Supplier Development Program.

Rishi started his career in the automotive industry and holds a Manufacturing Engineering degree from McMaster University and an Executive MBA jointly offered by Kellogg-Schulich (Northwestern/York University) School of Business. w w w.busi ne ssc hief. com

75

Empowering those who move mountains.

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© 2018 ExxonMobil. All trademarks used herein are trademarks or registered trademarks of Exxon Mobil Corporation or one of its subsidiaries. Imperial Oil, licensee.

MINING

“ We have been team meets regularly with senior manable to achieve agement, corporate and finance to in 18 months talk about the potential spend over the next 12-24-month period, and define what companies sourcing opportunities. From there, a going at it alone decision is made about whether an opportunity exists for a single site, a might take seven regional opportunity – taking in three or eight years to four mines or a global opportunity.

“We then report back to the operato achieve” the individual sites overseeing the ex-

ecution. Specifically, the Supply Chain

tions, because that’s where most of

our purchasing takes place. To a large extent, we’re able to provide what each site is going to target in terms of spend,

— Rishi Ghuldu, Vice President of Supply Chain & Asset Management

and what their respective savings

picture and of the supplier base, which

targets are going to be for the follow-

greatly impacts how the negotiation

ing year and the year after. Sites know

takes place and how we are able to

their goals and what opportunities they

drive results.”

can leverage,” Ghuldu comments.

The transformation has also been

“As we were designing our future state, we wanted to avoid creating the

built on access to market intelligence,

best Supply Chain in the world but rather

with professionals communicating

the best Supply Chain for Golddcorp;

regularly with Goldcorp about global

thus not aiming for functional excel-

trends, commodity performance and

lence but for business excellence.”

how foreign exchange rates might impact a project or an initiative.

The transformation has truly increased the spotlight on the company’s Supply

“When we are sitting across from

Chain planning and execution, in turn

our suppliers, we are now equipped

making the function an integral part of

with more knowledge of the broader

Goldcorp’s wider goals. w w w.busi ne ssc hief. com

77

GOLDCORP

“ We want to be an industry leader — we’re not gunning for second place” — Rishi Ghuldu, Vice President of Supply Chain & Asset Management

78

board, the auditors and the market, we have to deliver on our plans. The transformation is really helping our business become more competitive and sustainable, while lowering costs.”

A case in point is a 40% improvement in the time it takes for a purchase requisition to be converted into an issued purchase order. According to Ghuldu, that has been achieved by standardising processes and rolling out success-

“Prior to this transformation, we had

ful initiatives from one site across all of

some targets within the Supply Chain

its mines. It is a more consistent, higher

function that were generally fairly

level of service, leading to improved

low; without a lot of questioning around the targets or ac-

confidence from clients, he says.

Working through cross func-

countability for realisation of

tional teams on the sourcing

those targets. Supply Chain

front, Goldcorp has been able

was not an integral part of the

to achieve significant savings

overall planning process.

through competitive bids

Because of this trans-

that have resulted in

formation, our per-

locked-in savings that

formance numbers

are in the tens of

are now significant

millions of dollars.

enough that Supply

The company

Chain is an impor-

has also been able

tant part of the

to provide growth

operations budget.”

Because of this critical focus from the OCTOBER 2018

— Fernando Carrascal, Director, Global Procurement

opportunities for its professionals, says Ghuldu: “We are

MINING

CLICK TO WATCH : ‘RISHI GHULDU VICE PRESIDENT — SUPPLY CHAIN & ASSET MANAGEMENT AT GOLDCORP 79 starting to operate as a more cohesive

successful collaboration between;

global team, and provided expanded

Operations, Asset Management, IT, Fi-

roles for our Supply Chain staff, wheth-

nance and HR teams within Goldcorp.”

er that’s the site leaders who are now

Despite such a successful transition,

managing offshore teams or global

Ghuldu is still looking to the future, still

category managers taking on addition-

looking for opportunities to improve.

al categories. We have more resources

Part of that effort is integrating cut-

at our discretion than we have had be-

ting-edge technology into the Supply

fore, which means more opportunities

Chain function.

that we can realize.”

Ghuldu recognises that Supply Chain

“We’ve been able to put foundational processes in place and started to gener-

is but one spoke of a larger wheel at

ate results, so we can look forward. The

Goldcorp and is keen to highlight the

thing I believe is going to be the next,

whole value chain of its Supply Chain

call it, Supply Chain disruption in our

maturity. “It is a reflection of the hugely

business is how we do demand planning. w w w.busi ne ssc hief. com

GOLDCORP

80

£3.42bn Approximate revenue

1994

Year founded

14,094

Number of employees (2017)

OCTOBER 2018

MINING

“The transformation is really helping the business become more competitive and sustainable, while lowering costs” — Rishi Ghuldu, Vice President of Supply Chain & Asset Management

w w w.busi ne ssc hief. com

81

GOLDCORP

“ We could not have done this without the overarching support from our senior leaders” — Rishi Ghuldu, Vice President of Supply Chain & Asset Management

82 So, it’s about integrating the planning of Operations, Asset Management and Supply Chain, and doing so in a real-time manner,” Ghuldu comments.

“We can utilize technologies such as condition monitoring and end-to-end

becomes more of a check, rather than to generate a demand plan.”

visibility of our Supply Chain, which

“There have been critical lessons

helps us understand what parts you

along the way,” he says. “Acknowledg-

need, what parts are sourced, lead

ing our gaps and taking accountability

times for delivery of parts . Before

for areas where things should have

even realising that a part is needed,

been done better is the only way we

the system has identified the pattern

can improve going forward. Humility

because we have an algorithm in place

goes a long way.”

to be able to detect certain conditions that are lining up. Human intervention OCTOBER 2018

Ghuldu couldn’t have achieved what he has without one core component,

MINING

83

From left, Fernando Carrascal, Amy Hu and Rishi Ghuldu his team. “To undertake such a chal-

The exciting question for the business

lenging task, we could not have done

– if not its competition – is if so much

this without the overarching support

can be accomplished in 18 months,

from our senior leaders and as well

what could be achieved over the coming

as standout performances from the

five years?

Supply Chain team members. This transformation has provided a great platform for our Supply Chain team to rise to the occasion and demonstrate not only functional expertise but also leadership.” w w w.busi ne ssc hief. com

TM

INSURANCE LIMITED

84

TECHNOLOGY

Rewriting the rule book for Canada’s insurance brokers WRIT TEN BY

L AUR A MULL AN PRODUCED BY

GLEN WHITE

85

PBL INSURANCE LIMITED

Delivering one-to-one insurance services with cutting-edge technologies, PBL Insurance is reshaping the way Canadian insurance brokers do business

D

igitization is shaking up industries across the globe and it seems the insurance sector is no exception.

For PBL Insurance, which has provided risk and insurance services to Canadians for almost a century, there was no doubt that digitization would be a central pillar of 86

its strategic plan. The firm’s Director of Technology, Joey Faraone, says that by undertaking a root-and-branch digital transformation and overhauling its legacy systems, PBL Insurance is “re-writing the way insurance companies do business in Canada”.

“I would say that technology is playing a very big role in driving PBL’s transformation,” he explains. “We went from having some very old technology pieces running our network to understanding that now is the time to invest and prepare the company for the next 20 years of the technology curve.”

Previously, Faraone says that PBL Insurance didn’t have a focused internal OCTOBER 2018

TECHNOLOGY

87

w w w.busi ne ssc hief. com

PBL INSURANCE LIMITED

88

OCTOBER 2018

TECHNOLOGY

technology direction and so the Canadian firm decided to bring its digital strategy in-house. “The company wanted to get a better grasp on today’s technology and look at where technology will take the insurance industry in the future,” he says. “I was brought in to lead the development and management of new technologies and ensure that they align with the company’s business strategy.”

Becoming a digital broker is no easy feat, but this transformation was firmly at the top of PBL’s agenda. Starting from the ground

89

up, the Ontario-based company set up brand new back-end infrastructure, including new fiber circuits, routers and E X E C U T I V E P R OF IL E

Joey Faraone is a dedicated, dynamic and enthusiastic certified IT professional who specializes in project managing innovative data solutions to improve system stability, functionality and efficiency.

Faraone is quick to familiarize himself with the latest technologies and industry developments while demonstrating a logical and analytical approach to solving complex problems and issues.

Faraone is the Director of Technology at PBL Insurance where he possesses excellent interpersonal and communication skills and the ability to develop and maintain positive internal and external relationships.

w w w.busi ne ssc hief. com

PBL INSURANCE LIMITED

90

switches. “We’re wiping the slate clean

software. In using a cloud-based,

and redesigning everything. We’re rolling

analytics-driven system, Faraone says

out new technologies to help us minimize

it’s reducing administrative burdens

the equipment footprint but not sacrifice

while simultaneously enhancing the

the service to our clients,” says Faraone.

visibility of its operations.

One of the company’s most cogent

“We are the first Canadian company

uses of technological innovation has

to move to the TechCanary platform,”

been how it has selected a new cutting-

notes Faraone. “You could say there’s

edge broker management system. By

a lot of eyes on us to see how the

adopting TechCanary, a solution based

solution is being rolled out in the

on Salesforce’s platform, PBL Insurance

Canadian market.” With such a wide

is breaking away from the confines

range of clientele and data, Faraone

of traditional insurance technology

believes that the platform will help

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TECHNOLOGY

“ We have a one-on-one direct relationship with our clients. Our brokers, our Account Executives and our staff treat our clients and customers as one of their own” — Joey Faraone, Director of Technology

91

the company meet its customers’ needs

data optimization and analytics while

and see what else it can do for them as

leveraging a breakthrough in routing

an organization. “It means that we don’t

efficiencies, enhancing performance

have a one-way path for our clients, we

and reliability with the flexibility and

can have a four-lane highway,” he notes.

affordability of a cloud service.

Shifting away from costly, hardware-

“With our new network being rolled

defined private networking solutions,

out, we’ve also put a lot of new con-

PBL Insurance has also implanted

tracts in place and we’ve implemented

a new software-defined wide-area

a new managed service provider (MSP),”

network (SD-WAN). This gives PBL

Faraone says. “This is helping us roll

the ability to leverage efficiencies and

out our network and enhance our user

create a more reliable network. It also

experience internally. The experience

gives the broker the option to use

that our internal staff has been used to w w w.busi ne ssc hief. com

PBL INSURANCE LIMITED

versus where they are today has been

know where all of our data is and that

a complete 180-degree turnaround.”

it’s accessible to us at a drop of a hat.

Cloud technology has been a major

“It’s promoting efficiency and produc-

trend in the insurance industry. Aside

tivity, but it will also change the customer

from its ability to lower costs and boost

experience,” he continues. “By using

productivity through mobile working,

cloud technologies like TechCanary,

it also offers a business continuity plan

our customer will be able to get faster

and security. Not one to stay in the

quotes and faster service while we tie

shadows, PBL Insurance is embrac-

everything together.”

ing cloud technology through its new

92

With cutting-edge technologies being

broker management system and

rolled out every day, technology partner-

colocation site.

ships have become critical to any digital

“We are moving towards the cloud

transformation. Faraone believes that

more and more every day,” Faraone

the company’s alliance with technology

says. “There’s no downtime and there’s

innovators like MicroAge is helping to

no lag, so efficiency is huge with this roll out. It’s ensuring that slow technology isn’t being used as a scapegoat.

Our new broker management system also uses cloud technology which means our Account Executives can log into our system from anywhere and do business right on the spot.

“We also have a very good system where we back up everything on our network nightly and then we move it to a colocation site which has its own back-up there. Then we move it to the cloud,” he continues. “It may sound like there’s a back-up of a back-up, but it’s very important to make sure that we OCTOBER 2018

TECHNOLOGY

93

“ We are the first Canadian company to move to a TechCanary platform.

You could say there’s a lot of eyes on us to see how TechCanary is being rolled out in the Canadian market” — Joey Faraone, Director of Technology

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PBL INSURANCE LIMITED

drive new ways of thinking. “MicroAge is a global company which provides insights with network engineers,” Faraone explains. “We collaborate to work on developing and understanding the latest technologies to see how we can implement them here at PBL Insurance. We have continuous improvement sessions on how we can cut a little here, add a little there. This ensures that we run in a very lean but efficient way.”

Behind any successful transformation is the right team and a culture that fosters innovation. With this in mind, 94

PBL Insurance strives to engage staff by asking for opinions on the direction they’d like to see the company go.

“When we decided to change broker management systems there were a lot of discussions, not just at the top but among all users about who is going be impacted by it. It’s changing the complete way our staff do work on a day-to-day basis,” comments Faraone. “The system was received very well. I think the fact that we are evolving our technology and our way of doing business is helping to attract top talent to the company because they want to be part of this journey.”

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TECHNOLOGY

CLICK TO WATCH : ‘TECHCANARY OVERVIEW’ 95 With over 200 employees and 10 offices spread throughout the province, PBL prides itself on being uniquely Ontario based. Driving efficiency and productivity with its new digital tools, Faraone says that this transformation is not just reducing costs and administrative burden, it’s also freeing up more time so that it can give its clients the personable and responsive service they expect.

“We have a one-on-one direct relationship with our clients,” notes Faraone. “I think that’s where we differ from other brokers. With 10 strategic w w w.busi ne ssc hief. com

PBL INSURANCE LIMITED

96

“ We’re wiping the slate clean and redesigning everything.We’re rolling out new technologies to enable us to minimize the equipment but not sacrifice the service to our clients” — Joey Faraone, Director of Technology

OCTOBER 2018

TECHNOLOGY

office locations throughout the province, we have the ability to service our clients locally, and we take pride in servicing communities big and small in Ontario. Our brokers, our Account Executives and our staff treat our clients and customers as if they are one of their own.”

Technology and customer service go hand in hand at PBL Insurance, and as the industry shifts under the influence of the technological revolution it seems the company is ready for any dynamic changes that may come its way.

“In five or 10 years, I expect PBL Insurance will be the top broker in Ontario, building partnerships yearly with other brokerages in the industry,” predicts Faraone. “I believe we will be a leader in innovation and that we will be an example to other brokerages on how they can leverage the latest technology to their advantage. It’s not always about spending the most money and getting the latest and greatest, it’s about understanding and fine-tuning technology to your company’s needs.”

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97

NAVIGATING THE COMPLEXITY OF DATA CENTER SECURITY WRIT TEN BY

DA LE BENTON PRODUCED BY

TOM VENTURO

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99

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PWC

100

PWC WORKS WITH CORPORATIONS ALL OVER THE WORLD TO UNDERSTAND AND NAVIGATE THE CHALLENGE OF DATA CENTER SECURITY

O

ver the last decade, the data

“The technology of today is present-

center market has exploded

ing companies with the ability to very

at an exponential rate.

closely monitor,control and segment

Technology, namely infrastructure and

the network across their entire

network capabilities, has completely

enterprises. However, that doesn’t

defined and redefined the way in which

necessarily make the task at hand

businesses all over the world operate.

any less challenging”

“Technology has really come a long

O’Neil has worked in the technol-

way from very flat, uncontrolled

ogy space for more than 30 years

networks that defined the 90s,” says

and in that time, he has witnessed

Don O’Neil, Director, CIO Advisory at

first-hand this shifting landscape.

PricewaterhouseCoopers (PwC).

Having been active during the early

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101

days of the ‘technology boom’, O’Neil

not kept up with the times in the past

points to the first real attempts of

20 years and that’s because of the

major corporations trying to go digital

significant cost involved.”

and what he has begun to notice is

As the data center space continues

that despite an initial investment and

shift towards the modernisation and

overall enthusiasm, some industry

infrastructure changes are driven

players have fallen behind.

through regulatory and security

“I remember seeing how much they

concerns, segmentation and micro-

spent and how much time and effort

segmentation are tools with which

that they dedicated in order to do the

businesses are looking to control

initial implementations,” he says. “But

access to their resources. The inability

some of these very same players have

or reluctance to adapt and invest, for w w w.busi ne ssc hief. com

Rethinking Segm WannaCry. NotPetya. SamSam. It’s not a question of if your network will be breached, but when. Of course you take all the usual protective measures: antivirus, intrusion prevention, firewalls, etc. But the best thing you can do to mitigate the risk is to segment your network.

With segmentation, you logically separate your network into secure zones, each of which is compartmentalized and isolated from all others. For example, the server on which your allimportant intellectual property (IP) is stored can be placed in one segment, and the part of the network your security cameras are attached to can be another segment. There’s a wall between the two.

The benefit of this? If—or rather, when—a device like a security camera is hacked, what goes on in that segment stays in that segment. Containing the malware or cybercriminal to just one localized portion of the network minimizes potential damage. Your IP stays safe.

Not incidentally, segmentation also guards against insider threats because sensitive data and systems can be isolated from “curious” employees attempting to venture where they don’t belong.

Everyone Talks Visibility.

We Actually Do It. It Starts With 100% Device Visibility.

www.ForeScout.com

mentation Win the compliance game Segmentation also helps you more efficiently comply with regulations that otherwise can be burdensome—and costly if you fail the audits. Take the PCI Data Security Standard (PCI-DSS). Adhering to PCI-DSS means protecting the entire cardholder data lifecycle as it flows to and from payment devices, applications, infrastructure and customers.

This is so difficult that only 52.5 percent of businesses surveyed in 2017 were fully compliant with their annual PCIDSS audit, according to the Verizon 2018 Payment Security Report.

Segmentation can reduce the areas of your network that come under audit and thereby increases your odds of being compliant.

Why segmentation hasn’t caught on—yet Segmentation isn’t new. Traditional methods for segmenting networks such as virtual local area networks (VLANs) and access control lists have been around for decades.

But most segmentation projects never get off the ground. They’re too complex and labor intensive given the heterogeneous nature of most enterprise network environments, and have traditionally required learning multiple tools from different vendors. The fact that most of these environments are now distributed across data centers, campuses and the cloud doesn’t help.

Then there’s the potential to disrupt your business. How do you write business policies so precisely that each of your employees has access to the exact network resources they need to do their jobs—but no more? You don’t want to prevent a senior engineer from meeting a critical deadline because the data she needs is on the other side of a segment wall. Neither do you want her wandering freely through sensitive HR data.

The biggest challenge in segmentation is that you don’t really know your network.

You don’t have sufficient context to build intelligent policies.

But the bottom line is, if you can’t answer simple questions about what’s connected to your network, you can’t hope to protect your business.

Segmentation—do it right with ForeScout ForeScout is focused on making segmentation an attainable reality for businesses.

Deploy the ForeScout platform, and you immediately know what’s connected to your network.

Everything. PCs. Servers. Printers.

Internet of Things (IoT) devices like medical equipment and lighting systems.

Operational technology like manufacturing equipment. The instant something— anything—attaches to your network, you know about it. No manual scans or software agents required.

Because we’re vendor agnostic, we work across heterogeneous environments and legacy networks and with other technologies such as next-generation firewalls (NGFWs.) Then, we work hand-in-hand with your current solutions to automate your defenses.

ForeScout: Transforming security through visibility™ Visiblity is foundational to segmentation. It’s non-negotiable. You can’t protect what you can’t see.

ForeScout addresses the barriers to effective segmentation: complexity, high cost, vendor lock-in, and, most importantly, lack of device transparency. With ForeScout, segmentation is a security strategy that is now achievable.

Pedro Abreu Chief Strategy Officer ForeScout Technologies, Inc.

PWC

E X E C U T I V E P R OF IL E

Don O’Neil 104

Don O’Neil is a Director in PwC’s Cloud Computing and Networking practice with a focus on network and infrastructure security. PwC’s CCN solution capabilities span IT Strategy, Shared Services & Outsourcing Advisory, Business Systems Integration, Enterprise Architecture, Technology Infrastructure Solutions, and Business Continuity. Don’s areas of expertise include infrastructure security (Zero Trust, VPN, wired, wireless & service provider), data center consolidation and builds, high availability infrastructure builds, networking, mobility, and enterprise architecture. Don has extensive indepth operational, management and infrastructure technical knowledge across the entire network, storage and compute stack. Industries targeted include media and production, energy, oil & gas, health care, education, government, gaming, finance, banking, retail, telecommunications, technology, travel, security and enterprise solutions. Don is a former CTO of a Infrastructure as a Service (IaaS) start-up in Silicon Valley.

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“Look at it like this. You always lock your front door in your house. But once somebody’s in your house, you really should be locking all the rooms’ doors so that you can control access to all the individual rooms.”

With the immaturity of tools at their disposal, thanks to a lack in investment, dangerous situations can arise for organizations. This is especially the case as O’Neil believes it is only within the past three years that the marketplace has started to catch up to the notion that network access control, and the security surrounding it, is one of the most important components of any edge network companies brings a key challenge

control, network segmentation or

around the security of networks.

micro-segmentation.

“It’s left the door open for hackers

Navigating this changing market-

and bad actors to get into these

place, and supporting these organiza-

networks and cause serious prob-

tions through it, forms what O’Neil

lems,” says O’Neil. The problem then

strives to achieve with PwC. For him it

it seems is that as market players

becomes a task of enabling a shift in

move infrastructure towards cloud

thought process, from a development,

data centers they do so with the

deployment and management and

wrong mentality. As O’Neil notes,

operations point of view, as well as from

most organizations focus on the

a tool set perspective.

security and segmentation of their

The problem he feels is that the

data centers with a ‘front door’ or

demands of the data center customer

perimeter mentality.

have driven companies to invest w w w.busi ne ssc hief. com

105

PWC

massively in physical and cloud

says. “Then they just keep throwing

infrastructure as a means of stem-

additional resources in to that bucket

ming the capital costs associated

rather than going through and slicing

with expanding their infrastructure

that bucket up into smaller areas and

internally.

providing adequate control in and out

This is only intensified by the changing regulations surrounding

Nevertheless, regulations surround-

data and network infrastructure,

ing data control has and will continue

such as GDPR and data sovereignty

to drive technological development

across Europe. Companies are now

and implementation and this requires

required to know about every part

the CIOs and CTOs of the world to

of their data centers and be able to

stay ahead of the game in order for

control the flow of that data.

their organisations to not fall behind.

“Many organisations treat their data 106

of those smaller areas.”

centers like one giant bucket,” he

The tools and the traditional way of approaching things, O’Neil explains,

“ Look at it like this. You always lock your front door in your house. But once somebody’s in your house, you really should be locking all the rooms’ doors so that you can control access to all the individual rooms” — Don O’Neil, Director, Technology Consulting OCTOBER 2018

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are simply inadequate to meet the

tries are responding and more impor-

changing regulatory requirements.

tantly how that can translate into

“It means that applications may have

the value they can bring to their own

to be re-architected, new infrastruc-

customers.

ture deployed and it means additional

“We share our experiences with

tools will need to be brought in,” he

other clients in the same industry, or

says. “It’s a complicated process and

similar industries in similar situations.

a costly one.”

We learn how other clients have solved

This is where PwC works with some

a problem and share the information

of the biggest corporations and

that we get on a regular basis from our

businesses from all over the world

vendors,” he says. “What this does is

across a number of sectors. This

allow us to find different approaches,

provides O’Neil and his team with

different product solutions, and enable

a real global perspective of how the

greater value.”

market is changing, how the indus-

This approach extends to the

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107

PWC

company’s relationship with its

stand the technology trends that are

customer base. O’Neil seeks to

both enabling and restricting growth

understand what the customers have

across the industry. As companies

tried, where they’ve been successful

move towards segmented data

and where they’ve experienced

centers their operating models are

challenges and failure. For him,

shifting also, becoming far more

understanding this is the secret

software defined than ever before.

to enabling future success.

This is due to the flexibility it provides

“Being successful or not being

them, but as O’Neil warns, there is

successful is really irrelevant,” he

a growing danger that comes with

says about deploying specific

moving some of the control of

technologies. “But taking key lessons

network and data away from people

and applying those to the next

in-house.

project, and sharing those amongst 108

“If you have fifty people in an IT

the team and across the entire

organisation trying to solve a problem,

business is very, very important. It’s

but then you have millions of people

about how we share that with our

out there exploring and poking and

clients, and how the clients share

prodding, looking for problems, it’s

it with us.”

just a pure numbers game,” he says.

In collaborating and communicat-

“The people looking for the problems

ing with its customer, vendor and

are going to win, not the people trying

client base, PwC can better under-

to protect against the problems.”

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“ One day I think it will become everything as a service. That means network as a service, servers, web services, storage, applications, and software as a service.

As a result, we’re going to move from a more traditional ‘I own the infrastructure’ model to a ‘I consume the service’ model”

109

— Don O’Neil, Director, Technology Consulting

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PWC

CLICK TO WATCH : ‘PWC AT DAVOS 2018: LAUNCH OF THE 21ST ANNUAL GLOBAL CEO SURVEY’ 110

The issue of cyber security is unlikely to go away any time soon, if at all, but O’Neil can already see the

end-to-end control from the user to the data center.

“That really is the ultimate approach

industry responding and fighting back

that we preach through identity-

to better protect its networks and

based control,” says O’Neil. “Under-

infrastructure. Technology solutions

stand who’s connecting to the

providers are investing in and

networks, what they are connecting

developing software-defined control

to and be able to control the entire

systems in order to better identify and

path along the way via those software

understand more information around

controls.”

what devices are connecting to data networks.

It’s not just internally as more and

Over the past twenty years the network and infrastructure market has transformed far beyond the

more vendors are looking at the other

historic flat, uncontrolled networks.

side of the equation, providing

As technology continues to evolve,

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1998

Year founded

223,468

Approximate number of employees

111

PwC has to be prepared to evolve

“That means network as a service,

with it and be ready for the next

servers, web services, storage,

market evolution. O’Neil believes that

applications, and software as a service.

the next paradigm shift will be very

As a result, we’re going to move from

much a continuation of the current

a more traditional ‘I own the infra-

market trend, with customers and

structure’ model to a ‘I consume the

clients seeking out the flexibility of

service’ model.”

software-defined networks and infrastructure.

“One day I think it will become everything as a service,” he says. w w w.busi ne ssc hief. com

AHEAD OF THE CURVE IN THE EVOLVING TECHNOLOGY SPACE After 30 years of operating, Align continues to define the digital landscape of the data center world

WRIT TEN BY

DA LE BENTON PRODUCED BY

TOM VENTURO

A L I G N C O M M U N I C AT I O N S

F

or over 30 years, Align has provided next-generation solutions designed to manage client technology needs, optimize

their business operations and secure their IT infrastructure. It does this through three key areas – Professional Services, Managed IT Services and Cybersecurity Risk Management.

However, it goes without saying that what worked 30 years ago – or even five years ago – no longer guarantees it will meet the technology needs of today, and of tomorrow.

As such, technology solutions providers have had to evolve and innovate faster than the market in 114

order to not only serve this changing client base but stay ahead of the curve.

“As a company we’ve been extremely fortunate to evolve with the way that technology has changed and to stay on the cusp of what’s happening with the future landscape of technology,” says Art Dooling, Managing Director, of Align.

“Let’s be honest, technology has evolved so much over the last 30 years that we’ve had to. What we were doing 30 years ago is completely different to what we are doing today.”

Align was formed in 1986 in a pre-internet age.

In fact, Align was formed merely five years after IBM launched the very first, commercially available, personal computer.

Dooling, along with Tom Weber as Align’s Director of Data Center and Design, both share a unique OCTOBER 2018

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A L I G N C O M M U N I C AT I O N S

perspective of the emergence of new technologies — matched with increasing client demands and expectations — and as such they both understand the importance for Align to continuously redefine what it can do for its clients.

“Companies around the world are developing something new on an almost daily basis,” says Weber. “The fact of the matter is that as a firm you simply cannot put your focus into every new solution or product. You have to select the right ones and develop 116

solutions that allow our customers to maximize the efficiencies that these new technologies afford.”

This understanding is written into the company’s very DNA with both Dooling and Weber pointing to a saying that defines the strategic direction of Align: if our firm was doing the same thing it was doing five years ago we would be out of business.

One particular market that is undergoing substantial growth and momentum is the data center space. Over the past decade, data center investments have soared as more and more companies are moving legacy infrastructure into cloud solutions and leasing OCTOBER 2018

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“ Developers and companies around the world are coming out with something new on an almost daily basis” — Tom Weber, Director of Data Center and Design

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117

A L I G N C O M M U N I C AT I O N S

“ They come in with an intelligent group of technologists of their own that support their business and Align has been able to take advantage of this knowledge exchange and take that forward to other clients” 118

— Art Dooling, Managing Director

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Power busway system for a leading cloud computing customer w w w. b u s i n e s s c h i e f. c o m

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120

Build in progress: 2-tier cable conveyance system and cabinet floor grommets for a colocation services customer purpose-built data center whitespace.

Align has designed power, cabling and

competition increasing daily,” says Weber. “But Align is defined by being

pathways for over 250MW of production-

ahead of the curve. So, what do we do

ready data center space as it looks to

to push our solutions offering further?

provide “a solution for everyone.”

We strive to provide more cost effec-

This is Weber and Dooling’s domain

tive data center designs, workplace

as Weber takes charge of the design

technology solutions, audio visual

and build of the whitespace and

technology, Wi-Fi and big data. These

Dooling oversees the physical imple-

are hot topics right now, but it’s impor-

mentation of data center technologies

tant to understand what is ahead and

— the migration of the data and moving of applications and workloads.

“It’s an amazingly hot market with OCTOBER 2018

think about a year, or two or three years’ time. You’ve got to continually refresh and upgrade the skillsets on

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$75mn+ Approximate revenue

Align with a unique insight into what clients are asking for and how well Align is adapting and exceeding those expectations.

1986

Year founded

“Our greatest advantage is the diversity of clients that we have, and what they’re trying to do in various industries, whether it’s health, whether it’s financial, whether it’s pharmaceutical, retail, media, you name it,” says

165

Approximate number of employees

Dooling. “Our customers have worldclass engineers and technologists of their own to support their business.

Align strives to partner with these teams, understand their business model, its pain points and to use this knowledge to introduce new technologies and

your team. But our differentiator is to

smart solutions that improve efficiency

provide top customer service. The

and eliminate their IT challenges.”

customer needs to feel like they are

Integral to this knowledge exchange

your biggest and only priority. That is

is people — and Weber firmly believes

what Align offers.”

that Align employs some of the smartest

Key for Align is understanding

and most innovative people in the

exactly how and where the market is

industry today, when a number of

shifting and this is achieved by its close

companies in the data center industry

collaboration with clients and partners

look to third parties for the skillsets and

across the globe. Align works with

talented and knowledgeable workforce

major customers across all market

completely in-house. This is crucial in

sectors and Dooling believes that each

delivering the best possible service to

client and each relationship provides

the most important component of w w w. b u s i n e s s c h i e f. c o m

121

A L I G N C O M M U N I C AT I O N S

122

Align’s proven framework includes the governance, process and tools to collect, store and analyze application and infrastructure technology to support future state transformations

Align’s entire value chain, the client.

“As a firm we are technology agnos-

whether it’s a networking architecture question or a simple cable plant item.

tic and we present ideas and recom-

My SME colleague can give me the

mendations based on client needs,”

right insight or multiple options to solve

says Weber. “So what we have done is

our customer’s challenge. That’s real

we have ensured that in every area of

value for our customers.”

our business we have people who know

Naturally, as a technology company

their specialty and are true leaders in

that has been in business for over

that field.”

three decades, Align has established

“Our professionals are so knowl-

and fostered key strategic partners to

edgeable, in all the leading solutions,

help the company to continue to grow

that I can lean back and ask a question

and remain a leader in the field. But

or ask for an opinion from any one of

what is it that makes a key partner?

our Subject Matter Experts (SME),

How does Align not only select the

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123

“right” partner but continue to work with that partner both today and in the future? For Align, it’s a combination of working with leaders in the field, but also leaders who are willing to grow with Align.

“We try to look first at the leaders in the field, but also ask: who is innovating?

Who is sticking with their product and selling it year in, year out? And who is actually seeing issues out in the field and making manufacturing changes to solve these issues?” says Weber.

Weber recognises that it’s not a one-

“ We really take every project personally and if we’re taking on a project for you… it’s going to get done better than anyone else could do it” — Art Dooling, Managing Director w w w. b u s i n e s s c h i e f. c o m

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way relationship and that Align must allow itself to be held to the same standards that it expects of its partner network.

“I think they look at it the same way. There are leaders in the field, and then there are innovators. If you can get both in one company, that’s tremendous. We are committed to finding partners who employ the leading innovators and the strongest leaders in the field.”

Dooling feels that this is best represented in the company’s approach to Managed IT Services. For him it is imperative that

“ There are leaders in the field, and then there are innovators.

If you can get both in one company, that’s tremendous” — Tom Weber, Director of Data Center and Design

the company understands what “Day-Two”

125

looks like, not only for the partners, but also for the client.

“Sure, it’s great we sold a solution and are working together, but then what?” asks Dooling. “What happens in 12 months or five years’ time and they’re looking to expand or grow? Where will this technology take them?

I think that’s what we’re smart about, asking those questions to understand where these technologies are going and how we can grow together.”

Having been with Align from the very beginning, Weber has seen first-hand just how much the company strives to be the very best. For him this isn’t just talking the talk, as he says Align truly “walks it” and he can point

Patching from switch port replication panels w w w. b u s i n e s s c h i e f. c o m

A L I G N C O M M U N I C AT I O N S

Leveraging data captured during the current state, Align will work with your team to determine the future state(s) and costs for each app based on business requirements and technical standards

126

to a number of successful engagements

premier firm for our clients, and we are

as proof. But it’s not just about the size

delivering on that. In my time here I can

of a client or the profit margins that

honestly say we have never lost a client

Align has amassed and achieved over

due to not meeting expectations. We

the years, Weber believes the success

have always met and exceeded them

can be measured by one simple metric.

because of our people, our process

“We have been incredibly successful

and our tools.” And a measure of that is

over the years and for me it’s down to

that over 90% of Align’s customers are

our communication and our honesty,”

repeat clients.

says Weber. “We aren’t the cheapest firm out there, but we strive to be the OCTOBER 2018

As the company looks to the future — with Dooling readily admitting that he

CONSTRUCTION

127

and the business has to have an eye

a project for you, it’s going to get done

well and truly on tomorrow — it is those

and it’s going to get done better than

three elements that he identifies as the

anyone else could do it.”

key to the longevity of Align both now and in the future.

“For me our value comes from the processes that we have in place, the expertise that we have, and the tools that we use,” he says.

“We really take every project personally, and if we’re taking on w w w. b u s i n e s s c h i e f. c o m

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S U P P LY C H A I N

Jabil pushing forward digital transformations

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JABIL

$19bn

Approximate revenue (2017)

1966

Year founded

180,000 130

Approximate number of employees

MANUFACTURING SERVICES LEADER JABIL IS ENABLING DIGITAL TRANSFORMATIONS, BOTH WITHIN ITS OWN ORGANISATION AND FOR ITS CUSTOMERS WORLDWIDE WRIT TEN BY

JA MES HENDERSON PRODUCED BY

CHARLOT TE CL ARK E

O

rganisations around the

world are embarking on company-wide transfor-

mations, embracing a future de-

fined by technology. But Jabil – a manufacturing services leader employing approximately 180,000 people – finds itself in the unique position of driving both its internal digital transformation, as well as leading transformative efforts on behalf of some of the biggest

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and best-known brands in the world.

Jabil categorises the role it plays in

sively complex supply chains. We partner with these companies to streamline

its customers’ digital transformations

supply chain orchestration while helping

into three sections, says John Caltabi-

them reduce cost and risk.

ano, VP of Supply Chain Management.

“The second category of customers

“We’re a manufacturing services provider

are those going through a transforma-

so we support diverse customers across

tion due to market disruptions. They

a variety of markets with different digital

may be going through divestitures or

transformation needs. You can group

acquisitions. They also may be facing

these customers into three general

major changes in their industry sector,

categories. In one category are large

which requires them to reshape how

multinational organizations with mas-

they operate. These organizations look w w w. b u s i n e s s c h i e f. c o m

JABIL

to us for thought leadership, market benchmarking and product proof of concept support. It’s a very collaborative approach.

“Then you have a third kind: customers that are really up-and-coming and don’t have to rectify historical issues. They can concentrate on what they’re good at and say to Jabil, ‘I want you to run my supply chain’.

Their perception is that they’re not going to invest in those capabilities, when we can do it for them.”

At the same time, Jabil is transforming how it runs its own supply chains, and is 132

implementing a digital initiative around the platforms it utilises to deliver its services, signalling a move towards cloud-based infrastructure. The size of the business – over 100 factories in 29 counties, hundreds of customers and a supply chain of 17,000 companies – means the transformation is one of real scale.

New technologies have already transformed how Jabil operates from a procurement perspective, says Caltabiano. “The size of our company means we have hundreds of contract negotiations going on at any one time. It’s critically important for us to expedite report generation, quickly produce analytics, drive rapid negotiations and produce results that help our customOCTOBER 2018

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JABIL

“ I F YOU’RE BUILDING PRODUCTS DESIGNED 15YEARS AGO WITH A SUPPLY CHAIN THAT WAS IMPLEMENTED 15 YEARS AGO, IT’S HARD TO TRANSFORM YOURSEL” — John Caltabiano, VP of supply chain management

ers achieve better business outcomes.

“With our digital platforms and tools, we now utilise, data and analytics are available in real time, so we can start negotiations at any time. We can deploy pricing as soon as negotiations are completed, which changes the whole dynamic of time-fenced events. We now can change the conversation with suppliers very quickly based on our analytics and actionable insights.”

Engaged in Tiel-1 Cables Wire harness and cable assembly manufacturer and supplier; specialized in custom product for small and large OEM manufacturers in various industries and applications. t: +852 27999456 f: +852 27587355 e: sales@datafield-hk.com www.datafield-hk.com/df

S U P P LY C H A I N

CLICK TO WATCH : ‘JABIL COMPANY OVERVIEW’ 135

Working with so many companies in

After all, if you’re building a product

locations across the globe gives Jabil a

designed 15 years ago with a supply

better perspective than most when

chain that was implemented 15 years

speaking about industry sectors keen

ago, it’s hard to transform how you

to embrace disruption and digitisation.

operate because of long-term invest-

It is Caltabiano’s belief that companies

ments and legacy operations.

in the markets that are being most

“To an extent, how prepared compa-

significantly disrupted – notably by IoT

nies are to embrace the change is partly

– are ‘moving the fastest’.

dictated by the dynamics of the industry

“I think the regulated businesses are the slowest,” he observes. “Regulated

they work in.”

When it comes to Jabil’s own digital

products tend to have lengthy life

transformation, the company is on a fast

cycles, which makes it difficult to change

track, analysing how new technology

the way you run their supply chains.

can speed the myriad transactions that w w w. b u s i n e s s c h i e f. c o m

JABIL

“ WITH THE DIGITAL PLATFORMS AND THE DIGITAL TOOLS WE NOW UTILISE, DATA AND ANALYTICS ARE AVAILABLE REALTIME, SO WE CAN DO NEGOTIATIONS ANYTIME WE WANT” 136

— John Caltabiano, VP of supply chain management

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JABIL

“ W E HAVE TO THINK DIFFERENTLY BECAUSE IT IS A NEW GENERATION OF PEOPLE WE’RE HIRING. YOU HAVE TO THINK ABOUT WHAT’S INTERESTING TO THEM” — John Caltabiano, VP of supply chain management

take place every day. “We have, in my division, 1,500 buyers, so I’m buying over 350,000 parts on a quarterly basis,” says Caltabiano.

“That’s very transactional and repetitive and there is certainly the opportunity for part of that decision-making process to be accelerated and streamlined through digitisation, automation and analytics.”

Jabil believes that by automating some of the more transactional responsibilities, the prospect of a career in manufacturing and supply chain operations will become even more attractive to emerging young talent.

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EXECUTIVE PROFILE

John Caltabiano is Vice President , Global Supply Chain at Jabil and is responsible for all Materials and Customer Supply Chain Solutions for the company’s Engineered Solution Group Division. He is responsible for driving supply chain strategies for all of ESG’s Businesses. Prior to this role, John was Vice President of Global Sourcing where he was responsible for World Wide Commodity Management, Sourcing, Centralized Procurement and Supplier Development covering a spend of over $12 Billion. With more than 30 years of supply chain experience, John recently returned to St. Petersburg, Fla., following a three-year assignment in Singapore.

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JABIL

“People who come into the workforce don’t want to sit at a desk and place orders.

A machine could do that. We have to think differently because it is a new generation of people we’re hiring. You have to think about what’s interesting to them.

“We recruit new college grads out of supply chain curriculums, from some of the top schools, and they can bring a lot of talent to the manufacturing sector. What we can do is attract them with our digital tools.

They want to dive into it and they’re exactly the kind of people we want because to take 140

this forward, you have to have practitioners.

“We can’t go back to the old way, because they will come in and only think about the new way. A benefit of the transformation has to be bringing in the talent that knows how to use these tools and think differently about their work.”

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