MEC Magazine January 2024

LEADING-EDGE

Engi Jaber and Climatize’s sustainable philosophy

DESERT BOARD

Kamal Farah and a Green Construction solution

AUTHORITY

HKA’s Clare Lavin on the power of Forensic Accounting JANUARY 2024

109

FOR THE CONSTRUCTION SPECIALIST Licensed by Dubai Development Authority

Looking to the Future

Sarmad Fakhri on Kingspan Insulation’s future plans

Ÿ Threat & Risk Assessment Ÿ Gap Analysis Ÿ Security System Design Ÿ IT/AV Design Ÿ Master Planning & Development Ÿ Operational Requirements

Ÿ Testing & Commissioning Ÿ Control Room Design Ÿ System Integration Ÿ Policies & Procedures Ÿ Site Surveys & Audits Ÿ Crisis Management

Contents | 01

14

January 2024 Issue 109

Cover Story

Into the Future with Kingspan Insulation

Sarmad Fakhri, Managing Director of Kingspan Insulation Middle East Africa, spoke to Middle East Consultant about Kingspan’s involvement in the construction industry in the UAE & Saudi Arabia Close-up

“Client experience is the prime concern”

08

Clare Lavin, Partner, Forensic Accounting & Commercial Damages, HKA discusses litigation and dispute resolution in the GCC

On Site

18 meconstructionnews.com

Emerging Trends Shaping the KSA Supply Chain

JLL experts review some of the key supply chain issues, technologies and technical innovations now beginning to impact the Saudi market January 2024

02 | Contents

26

In Practice

Navigating Project Success: The Power of Critical Path Management Emrah Uluverdi, Associate Director, TBH, explains a proven and effective tool for helping deliver projects on-time and on-budget…

In Practice

Ahead of the Curve

C-Quest International is rapidly building a reputation for its sophisticated Cost Consultancy, with a commitment to Sustainability and the advanced client protocols it can necessitate. ME Consultant spoke to Executive Director, Paul Kelly…

22 Sustainability

“Exciting times on the horizon”

Engi Jaber speaks about Climatize Engineering Consultants’ relentless commitment to Sustainability best practice and the expert guidance that is an organic part of the firm’s client liaison…

32 Sustainability

From waste to Added-Value Product

Middle East Consultant spoke to Kamal Farah, Director, ECC, about his remarkable Desert Board product, which combines being affordable and adaptable with very high levels of Sustainability…

January 2024

36 meconstructionnews.com

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Editorial

Tenets for 2024 I’m delighted to say that this issue of Middle East Consultant has become something of an ‘interview special’, where we speak to some of the real heavyweights driving various aspects of construction consultancy forward.

This powerful role-call includes Climatize’s Engi Jaber; HKA’s Clare Lavin; TBH’s Emrah Uluverdi; Kamal Farah from ECC: and Paul Kelly from C-Quest. There is fittingly enough, given the impact of COP28 - an ongoing thread of Sustainability here, and what has surprised me is that some very solid consistencies emerge across the views of our experts. This coherence really boils down to three key trends that I think are very much set to be among the core tenets of 2024.

They are as follows • In terms of whether or not the majority of clients are actually committed to Sustainable goals, there is no doubt that yes, more and more of them really are and the discussion about compliance with agreed bandwidths of certification is now commonly taking place as an intrinsic part of early consultant/client briefings.

• What about the cost? We’ve all become much more honest about the fact that Sustainable materials and build will cost January 2024

more - but increasingly, clients accept this as part of the need to present a brand representing Best Practice values.

Consultancies are now so switched on in terms of what it takes to create sustainable environments that even when clients baulk at the cost, they can find ways of bringing in an affordable Green value-add.

• There is a stronger-than-ever relationship between Sustainability and other key verticals of Best Practice - ESG being perhaps the most pronounced, as it’s so often clearly mentioned in the annual reports of the bigger players. This is partly because these values are now being seen as intrinsically ‘good’ - for example, corporate ethics now dictate that a company should espouse good causes, and Sustainability and ESG are more and more likely to appear together.

These are clearly game-changers. While the cynical might say ‘yes, but this only applies to the blue-chips’, that is increasingly untrue, with more and more businesses wanting all their stakeholders to see their commitment to doing good and doing better.

Long may it continue.

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06 | On Topic

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On Topic | 07

FEATURED NEWS

MOST POPULAR INFRASTRUCTURE

US $90mn contract awarded for improvement of Umm Suqeim Street Project The project follows on from works completed by the RTA in 2013 and 2020

CONSTRUCTION

Abu Dhabi allocates US $17.7bn for new projects

SUSTAINABILITY

KAPP calls for bids for renewable energy project Once complete, the solar PV project will boast a net capacity of 1,100MW CONSTRUCTION

Consortium of Saudi Archirodon and DEME wins NEOM port contract CONSTRUCTION

US $336mn expansion of Sharjah International Airport gets underway The expansion will separate the arrivals from the departures and offer new systems and facilities CONSTRUCTION

Residential project announced for King Salman Energy Park INFRASTRUCTURE

Alstom to build world’s longest battery-operated tramway in AlUla 17-station network to be built by Alstom and connect region’s cultural hubs

CONSULTANT

CONSTRUCTION

Saudi Arabia to invest US $92bn into transforming Riyadh ahead of Expo 2030 Princess Haifa said plans are afoot to transform Riyadh into one of the most sustainable cities by 2030

ADNH and Marriott join forces for major hotel rebranding

CONSTRUCTION

23 JAN 2024 | THE RITZ CARLTON JBR / DUBAI / UAE

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VOTE NOW

Oman Cultural Complex to be developed at cost of US $383mn

January 2024

8 | On Topic

January 2024

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On Topic | 9

Emerging Trends Shaping the KSA Supply Chain Here, Laura Iskandar, Design Manager - Project & Development Services UAE, JLL, and Syed Hussain, Director - Project & Development Services, KSA, JLL, review some of the key supply chain issues, technologies and technical innovations now beginning to impact the Saudi market and its four much-publicised giga-projects…

f late, it’s well-known that factors such as global geopolitical unrest – not to mention the legacy of the Covidera - have resulted in disruptions to established logistics and supply chains.

In fact, the resulting shortages of everyday items on supermarket shelves worldwide brought a good deal of media and public attention to supply chains that is, how products are shipped from manufacturers to consumers.

In short, logistics has become trendier than ever, with increased levels of interest meconstructionnews.com

from both developers and investors, who anticipate it to be one of the strongestperforming sectors of the real estate market in the Middle East region over the next five years. Nowhere is this more apparent than in Saudi Arabia, where the logistics market has evolved rapidly over recent years and will likely continue as the Ministry of Transport has committed to significant changes in the industry to support its Vision 2030 - a comprehensive social and economic reform programme.

In addition, major global corporations are moving their logistics operations to bonded zones in the Kingdom of Saudi Arabia (KSA).

Supply chain logistics have come in to sharp focus in the post-Covid era and it is only recently that we have seen process innovations make inroads on the shortfalls.

January 2024

10 | On Topic

LOGISTICS GOES GREEN

Logistics operators around the globe are facing increased pressure to reduce their carbon footprint. According to the Environmental Protection Agency (EPA), the transport sector accounted for approximately 27% of all US greenhouse gas emissions in 2020.

To achieve net zero, logistics operators are making major investments in using alternative fuel sources for ships, trucks and aircraft, and also focusing more on reducing carbon emissions from their real estate in Saudi Arabia and elsewhere. This has led to greater adoption of energy modelling, green building guidelines and renewable sources such as solar power to operate warehouses or to sell it back to the national grid.

Another factor driving the push to reduce carbon emissions has been government regulations and incentives.

January 2024

Logistics and delivery management have become major arenas for discussion around Green practices, particularly in heavypollutant settings such as shipping.

Digital transformation is essential for the successful delivery of giga-projects within KSA, which will significantly transform the Saudi economy”

The IKTVA (In-Kingdom Total Value Add) programme is a key component of Saudi’s Vision. The programme aims to localise manufacturing, diversify the economy and reduce the supply chain of products produced within the Kingdom.

To date, the most visible manifestation of the IKTVA programme is probably the King Salman Energy Park or SPARK, the massive new industrial city being built outside of Dammam. Upon maturity, SPARK is expected to contribute more than $6 billion annually to the Kingdom’s GDP and create up to 100,000 direct and indirect jobs. The initial focus of SPARK has been to co-locate supplies to Saudi Aramco in one location, drastically shortening supply chains in the energy sector.

SPARK is a sign that companies are seeking to make things locally in Saudi, with global businesses such as California-based meconstructionnews.com

On Topic | 11

Lucid and Australia’s EV Metals Group Plc announcing plans to manufacture electric vehicles that in turn help reduce the carbon footprint in the Kingdom.

These plans have attracted major investments by global logistics businesses.

Meanwhile, the Global logistics giants themselves have plans to build an integrated logistics park in Port Jeddah, a strategic location that connects Africa, Asia and Europe. The project, developed on a site of 200,000 sq. m., is to set the innovation standard for digital and technologically advanced logistics infrastructure. It will cover warehousing and distribution, cold chain logistics and e-commerce, serving as a hub for petrochemical, transshipment, air freight and Less-than-Container Load (LCL) cargo. The entire facility is powered by solar energy.

increases productivity and reduces errors.

Advances in digital delivery have resulted in the acceleration of net zero trajectories in high-emission industries.

Artificial intelligence in design, additive manufacturing and digital twins are some of the powerful tools being implemented across the logistics sectors to increase sustainability while reducing greenhouse gas emissions.

Digital transformation is essential for the successful delivery of giga-projects within KSA, which will significantly transform the Saudi economy.

The digital transformation process involves integrating data analytics tools not

only in the construction sector but also in the logistics industry, in which tools such as Building Information Modelling (BIM) can optimise processes, making construction more efficient and carbon neutral. These tools have created significant value for construction firms, with a swift ROI and increase in productivity.

MODULAR CONSTRUCTION

Another area where new technologies have impacted the logistics real estate sector is the shift towards modular construction.

Manufacturing standardised components of a building structure in factories

E-COMMERCE GROWTH

The growth of e-commerce requires more warehouses to be built locally in Saudi. One of the major implications of the pandemic was that it accelerated the growth of already well-established e-commerce as a percentage of total retail sales.

Online sales currently account for between 14% and 20% of total retail sales in the US (depending on how sales are measured), but they are at a far lower base in Saudi. However, BCG (Boston Consulting Group) data suggests they could increase from 6% of total sales in 2020 to 13% by 2025.

This growth in online sales will inevitably increase the demand for more warehouses and logistics space across the Kingdom, reshaping the supply chain dynamics.

TECHNOLOGY ADVANCEMENTS

Rapid technological changes are also shaping supply chains across Saudi, with digitisation impacting design, automation and the size and location of logistics facilities. While advances in automation and robotics would allow for fully automated distribution centres, most operators choose to adopt semi-automation and retain a smaller onsite workforce. This strategy aligns advanced technology with human interactions, meconstructionnews.com

January 2024

12 | On Topic

elsewhere for final assembly on-site offers major speed and cost advantages, potentially reducing construction timelines by 50% for some projects.

Developers are currently using modular construction for some aspects of their facilities. Developing the entire facility off-site will represent the next stage in the evolution of modularisation of the logistics sector. This will increase demand for factories to manufacture various construction modules in different locations across the Kingdom. The strategy has already been adopted to deliver some of the Kingdom’s giga projects.

FUTURE TRENDS

The combination of technological advancements, the greening of the logistics sector and the Saudi Government’s drive to localise manufacturing are shaping supply chain dynamics across the Kingdom.

A few key trends for 2023 and beyond include: Pop-up or dark warehouses. Just as the demand for faster delivery has resulted in the growth of new brands such as 6th Street and the emergence of dark kitchens in the retail sector, the pressure for shorter

January 2024

Robotics and smart AI management have consistently been making strong inroads into warehouse operation and Access & Handling.

delivery times looks set to continue to drive the shape of the logistics sector in Saudi.

With customers now demanding delivery of their goods within minutes and hours rather than days or weeks, there will be increased demand for small urban warehouses in addition to large distribution centres on the periphery of cities.

Further application of technologies.

Investing in automation, artificial intelligence and robotics will remain the priority to improve supply chains in the future, with continued attention to the digitisation and digital delivery to address some of the recent disruptions to global supply chains. The increased use of Trukker - an Uber for trucks and an AI-driven cloud platform for logistics delivery - is an example of new technologies that will likely be adopted more widely in the Saudi and MENA market over the next few years.

Cold storage, a future hot spot. It has been one of the fastest-growing sectors of

the logistics market globally over the past five years. The maximum demand originates from food and beverage producers looking to store products before distribution for retail sale and from the pharmaceuticals industry. Saudi is relatively under-provided with cold storage facilities but is expected to change over the next five years, with major players such as Prologis, Brookfield and Goodmans looking to invest in this sector globally.

WAY FORWARD

With Tabadul creating secure digital solutions for the logistics sector, Saudi Arabia is shifting from its traditional model to a more modernised and fashionable state, set to compete with other countries due to its remarkable purchasing power (and of course, leading GDP values across the GCC).

The government is promoting several initiatives, such as improving infrastructure and using various digitisation techniques to raise efficiency and transparency to enhance operational performance. These efforts show that the Kingdom is on the right path for improving the logistics sector and diversifying its economy, aligned with its Vision 2030.

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14 | Close-up

Into the Future with Kingspan Insulation Sarmad Fakhri, Managing Director of Kingspan Insulation Middle East Africa, spoke to Middle East Consultant about Kingspan’s involvement in the construction industry in the UAE & Saudi Arabia. A leading manufacturer of HVAC & Insulation solutions, Kingspan is headquartered in Dubai, and also set to open a major manufacturing facility in KSA…

ow was 2023 for Kingspan Insulation?

“In 2023, I’m pleased to say that Kingspan Insulation experienced a prosperous and impactful year, marked by financial success and achieving significant milestones. The company not only met but exceeded its business objectives, showcasing its resilience and adaptability in a dynamic market. Throughout the year, we embraced innovation, introducing cutting-edge solutions that further helped solidify our position as an industry leader.

“The commitment to sustainability remained a cornerstone of the company's ethos, with strides taken towards January 2024

environmental responsibility within our manufacturing facility, whether in terms of using Solar Panels or the adoption of Electric Vehicles, to mention only a few.

As Kingspan Insulation reflects on the accomplishments of the past year, there is a profound sense of gratitude towards the dedicated team, valued partners, and clients who played pivotal roles in the journey. Looking ahead to the future, Kingspan is well-positioned for another year of growth, innovation, and an unwavering commitment contributing positively towards the built environment.

The groundwork laid in 2023 sets the stage for continued success and positive contributions to the evolving landscape of the construction industry.”

Sarmad Fakhri, Managing Director of Kingspan Insulation Middle East Africa.

meconstructionnews.com

Close-up | 15

meconstructionnews.com

January 2024

We understand that Kingspan Insulation is set to establish a manufacturing facility in Saudi Arabia. Can you elaborate on the significance of this upcoming facility

Much of the innovation and flexibility of Kingspan Insulation's systems derives from a dedicated manufacturing plant, providing a platform for leading-edge assembly.

and its role in supporting the local construction industry?

“The establishment of our manufacturing facility in Saudi Arabia is a strategic move to enhance our presence in the region.

This facility will not only bolster local manufacturing capabilities but also create employment opportunities and foster collaboration with the local construction industry.”

Could you share some insights into the significant projects in which Kingspan Insulation has been involved and the impact it has had on the construction landscape in the region?

“We've been privileged to contribute to several landmark projects, including SeaWorld in Abu Dhabi, Royal Art January 2024

Looking ahead to the future, Kingspan Insulation is well-positioned for another year of growth, innovation, and an unwavering commitment contributing positively towards the built environment”

Complex and Lucid Factory in Saudi Arabia, as examples. Our involvement spans diverse sectors, from commercial and residential developments to industrial and infrastructure projects. The positive impact is evident in improved energy efficiency, reduced environmental footprint, and overall enhanced building performance.

“These projects have set new benchmarks for insulation standards, influencing industry practices and demonstrating the effectiveness of our products. By being involved in diverse constructions, ranging from commercial to industrial, Kingspan Insulation has contributed to shaping a more robust and resilient construction landscape in the region. Our goal is to continue fostering these positive changes and supporting the growth of the construction industry within the Middle East and beyond.”

Offsite

construction

has

gained

significant traction in recent years. meconstructionnews.com

Close-up | 17

Could you share insights into how Kingspan

Insulation

is

actively

contributing to the offsite construction trend? Specifically, what innovative solutions or technologies does Kingspan Insulation offer to enhance the offsite construction process, and how do these solutions align with the evolving needs of the construction industry?

“Offsite construction has become a cornerstone of modern building practices, emphasising efficiency and precision.

Kingspan Insulation's Pre-insulated ducting stands at the forefront of contributing to this promising trend. One of the key advantages lies in the pre-fabricated nature of Kingspan's Pre-insulated ducting. The ductwork is precision-engineered offsite, ensuring consistency and accuracy in manufacturing. This not only reduces onsite labour requirements and minimises disruptions, but significantly reduces the overall construction process. The modular design facilitates easy transportation and installation, further streamlining the onsite assembly.

“Our Pre-insulated fabricated ducting range including PalDuct, KDuct and KoolDuct play a key role in streamlining the installation process, ensuring both efficiency and precision. This aligns perfectly with the growing trend for offsite construction, where speed, accuracy, and minimal onsite disturbances are paramount. One such example is the resort located in Shaybara Island, 45-minutes away from the mainland in Red Sea Coastline, Saudi Arabia. The villas were manufactured by Grankraft factory and built off-site at Grankraft’s facility in Sharjah Free Zone, where we had supplied our PalDuct technology.”

Saudi Arabian market. Specifically, we focus on a comparative analysis between our Thermataper TT47 roof system and a conventional flat roof system, dissecting the nuances through three distinct case studies with different U-values.

“The whitepaper dives into crucial aspects such as cost, weight, and speed, providing an accurate assessment of the advantages offered by the Thermataper solution. We understand the importance of these factors in decision-making for industry professionals and stakeholders.

By presenting a detailed analysis based on real-world case studies, we aim to equip decision-makers with actionable insights that go beyond theoretical considerations.”

In closing, could you share any other exciting developments or innovations that Kingspan Insulation has in the

pipeline for the near future?

“We have a very dynamic roadmap ahead for Kingspan Insulation. One significant highlight is the establishment of our manufacturing facility in Saudi Arabia. This strategic move not only underscores our commitment to the local market but also positions us to meet the growing demand with increased efficiency.

“In addition to our expansion in Saudi Arabia, we are dedicated to continuous improvement. Within our Dubai facility, for instance, we’re currently working on a upgrade to our phenolic manufacturing line. This enhancement aims to further elevate the performance and quality of our products. By investing in advanced technologies and processes, we are ensuring that our insulation solutions continue to set industry benchmarks and meet the evolving needs of our clients.”

I understand Kingspan Insulation is set to release a whitepaper soon. Could you provide a ‘sneak peek’ into the topics covered and the insights that industry professionals and stakeholders can expect?

“Yes, certainly. Our upcoming whitepaper is an in-depth analysis of the application of our Thermataper insulation in the meconstructionnews.com

January 2024

18 | In Practice

January 2024

meconstructionnews.com

In Practice | 19

“Client experience is the prime concern” Middle East Consultant has often looked at the various contexts for litigation and dispute resolution in the GCC, and now we take a deeper dive, speaking to Clare Lavin, Partner, Forensic Accounting & Commercial Damages, HKA…

re there significant differences between the disputes you work on here in the GCC compared to those in other markets?

There are several notable differences.

A fundamental one is how the parties to disputes in the Middle East are more inclined to go to arbitration or litigation.

In other jurisdictions there is greater use of alternative dispute resolution (ADR) options, such as adjudication in the UK. In this region it is sometimes possible to get the parties talking and explore mediation. Where some ‘middle ground’ can be found, it can lead to swifter settlement.

But this tends not to be the preferred option as parties are more litigious. So, having worked for more than 12 years in the Gulf, I’d say I have been on the stand far more meconstructionnews.com

often than I would have been if practising in Europe.

Another difference is the diversity of the parties. Large-scale projects - from construction to product research and development (R&D) - almost invariably involve international partners and joint venture agreements. The GCC market attracts major players from around the globe. These partnerships combine essential local and international knowhow, but if the project runs into difficulties, the differences in language and culture tend to fuel the fire of the dispute.

Arbitration centres in the region are developing to meet the needs of international parties. In addition, the separate system of local courts is also undergoing a radical transformation.

Traditionally, all proceedings were conducted in Arabic, expert witnesses are court-appointed, and other experts only in an advisory role. We have seen an evolving role of international experts in local courts recently.

Our team includes Arabic speakers to reflect the diversity of our clients and workload. Given the increasing complexity

of projects and disputes, local judicial reforms - such as allowing the use of foreign experts and English– can enhance clients’ confidence, and they are to be welcomed.

The changes being rolled out seem positive from our experience so far in the UAE. I’ve also been involved in commercial litigation work through the DIFC (Dubai International Finance Centre) courts.

Again, my experience of its system of specialist courts and judges for different business sectors has been extremely positive, such as the flexible ways of conducting hearings, including the continuation of remote hearings.

What does your Early Case Assessment work involve? And can Forensic Accounting be applied proactively to manage risk, rather than just retrospectively when problems come to light?

An early assessment of disputed accounting treatments or damages - including lost profits or loss of opportunity, or indeed the interpretation of a contract - often paves the way to a negotiated settlement or mediation.

It’s true that much of our forensic work is reactive, responding to clients’ concerns when, say, a whistle-blower or internal auditor sounds the alarm, or irregularities are discovered in financial transactions or their reporting. In the construction sector, these investigations often focus on the procurement process, whether it’s transactions that were not conducted at arm’s length, overpricing or various forms of bribery and corruption.

Businesses may have different priorities, such as establishing a robust case for action against an employee, or correcting misrepresentations in company statements so the accounts show the true financial position.

Clare Lavin, Partner, Forensic Accounting & Commercial Damages, HKA.

January 2024

20 | In Practice

Companies and other organisations do also - and should regularly - take a deep, hard look at their internal controls. We carry out fraud risk assessments. Many aspects of a business may need to be reviewed, but the finance function and procurement processes are usually critical.

What checks and controls are in place for tendering? Is there third-party verification of supplier lists? Having identified gaps and weaknesses, we design and recommend a framework of measures to mitigate the fraud risks. The reality is these cannot be eliminated entirely, hence the need for regular reviews.

IPOs (initial public offerings) are also driving a more proactive approach in the region, where most companies have previously been reactionary. International investors also want to see best practice in internal controls and accounting practice before investing.

As well as early case assessment, we’re also being brought in earlier in some cases to provide expert determination (whether contractual or not or binding on the parties or not) that can pre-empt a long-running dispute so that the parties focus jointly on a successful completion or enable an ongoing relationship. The risks and costs involved in arbitration or litigation are another incentive to do this.

Is there a typical issue you encounter in the Construction sector as opposed

Clare Lavin's philosophy is that successful forensic accounting depends on combining complete fluency with accounting conventions with key valuation methodologies.

to other sectors?

While many of my colleagues specialise in construction, HKA experts and consultants also have sector-specific knowledge across a spectrum of industries. Our Financial Accounting & Commercial Damages team works across all sectors - but we also bring industry experience and insights to bear.

Valuation of damages requires a robust assessment of the loss of profits or opportunity, for example. In construction this often arises from delays in completing an asset - recent cases have involved a shopping mall and a major oil and gas facility. We also help determine losses associated with contract breaches and terminations.

January 2024

Having worked for more than 12 years in the Gulf, I’d say I have been on the stand far more often than I would have been if practising in Europe”

What we’ve found in construction disputes is that loss of profit is often not identified as a head of claim. The income lost - because, say, a hotel or residential development opens a year late - should be a separate head of claim so the assessment captures the full quantum of damages for the client.

Hence, the added value of combining commercial and construction expertise in the same team.

Would better, tighter contracts make for an easier life in the Construction universe?

What

would

be

your

recommendations for change and reform?

It’s notable that our latest CRUX Insight analysis of major construction and engineering projects shows that ‘contract interpretation issues’ was the third-highest ranking factor in claims and disputes across meconstructionnews.com

In Practice | 21

We act anywhere clients and their contracts require, and have provided expert witness testimony for all the major arbitration centres. Personally, I’ve been appointed as expert in arbitration matters involving DIAC, DIFC-LCIA that was, and ICC, among other centres.

Our six-strong Financial Accounting & Commercial Damages team based in Dubai is growing, but we also operate as part of a cross-border group with 10 Partners - most with Middle East experience - and some 30 consultants.

We’re familiar with how the different seats of arbitration operate, but the prime concern is the client experience. Our regional centres are becoming more userfriendly as they adopt best international practice and vie for clients’ confidence.

It seems to be working in as much as SCCA (Saudi Center for Commercial Arbitration), for example, reports an increase in its caseload.

work also requires a clear understanding of different valuation methodologies and when they should be used.

It’s essential, too, to have the confidence and capability to communicate often complex accounting principles in a way that’s easily grasped by nonaccountants, be they clients, lawyers or judges/arbitrators. It helps that our team reflects the diversity of corporate sectors and stakeholders we serve, speaking their language and factoring in the pitfalls and challenges in their markets and industries.

Being commercially minded can mean, especially when we are dealing with imperfect information, having to stand back and look at the bigger picture - and taking a different approach (to achieve a robust valuation, for instance) rather than the bottom-up, detail-based ways of working often expected of accountants.

How do you see the future of Forensic Accounting in the GCC?

What are the factors that are most prized in an accounting expert witness?

the Middle East. More than 28% of projects were affected, compared with around 17% in the rest of the world.

In my experience, most commercial disputes also tend to arise from the misinterpretation or breach of contracts.

We do encounter the misuse of technical accounting language. The terms are either wrong in themselves or in the context of the contract, causing issues over their interpretation. As forensic accountants, we have to unravel the wording to arrive at the true meaning and intention, and then advise on the appropriate treatment and/or impact of these to the client, from a contractual point of view or indeed the financial reporting implications.

Tell us something about your experience with arbitration centres such as LCIA, DIAC and ICC? meconstructionnews.com

Previously, lawyers needed to look outside of the region for accounting experts, and in some cases still do, but there are many more experienced experts within the Middle East now that have been in the region some time. Also, some disputes do have a regional nuance that requires an understanding of the dynamics in Gulf states.

Having been long-established in the region (our firm having more than 15 years’ experience on the ground in Saudi Arabia, for instance), HKA has built longterm relationships as trusted advisors.

That position is underpinned by our ability to offer a comprehensive range of services, draw on a global network of expertise, and provide tailored support in whatever jurisdiction our clients sit.

Forensic accountants need to be technically strong. That means not only having the appropriate qualifications, but also mastery of the basics, from ledger entries to tracing transactions, as well as accounting conventions. Our commercial

As with construction projects, there is a general trend toward ever-larger and more complex disputes in other sectors too. This is a challenge that demands the involvement of multiple experts to address the different facets of a claim. There are advantages when these services are joined up to provide a more coherent and integrated solution to clients.

Forensic accountants must also be equipped to tackle cross-border, international disputes as foreign investment and involvement grow in the Gulf ’s expanding economies. Many investigations are commissioned into regional branches of global businesses, which we find are not following international best practice.

Economic diversification and business innovation will also give rise to disputes in new and emerging sectors.

We believe that HKA’s global experience, solid foundations in the Gulf, and multi-service offering puts us a strong position to serve these changing needs of our clients in the Middle East.

January 2024

22 | In Practice

NAVIGATING PROJECT SUCCESS: THE POWER OF CRITICAL PATH MANAGEMENT Part of our remit in 2024 will be to look in more detail at the key procedures and protocols underlying important project management essentials - and here, Middle East Consultant speaks to Emrah Uluverdi, Associate Director, TBH, about a proven and effective tool for helping deliver projects on-time and on-budget…

ensuring the achievement of all goals.

Let's get right to the point: How can project managers monitor and act on critical delays?

Critical path management helps project teams identify potential risks and delays before they become real problems. By monitoring the critical path, managers can quickly identify and address any issues before they become too costly or too difficult to manage. This helps to ensure that all projects are completed on time and within budget.

In this article, we investigate why smart critical path management results in successful project outcomes.

WHAT IS CRITICAL PATH MANAGEMENT?

The core concept of CPM revolves around the critical path, which represents the sequence of activities that determine overall project duration. Critical path activities have no ‘float’, meaning any delay in their completion will inevitably delay the entire project timeline.

Implementing the CPM methodology can improve the efficiency and timeliness of project delivery. As a result, a team can prioritise tasks, allocate resources, anticipate any unforeseen circumstances, and keep track of progress to ensure that the project is completed on time.

THE BASELINE PROGRAMME AND

arold Kerzner, a renowned expert in project management, famously stated: "Critical path Management (CPM) is not about working faster, it's about working smarter."

January 2024

In construction, where time is money, it always pays to work smarter.

Delivering a project efficiently - on time and within budget - is a challenging prospect. It requires careful planning and management throughout the entire development process to control the complex inter-relationships between owners, end users, designers, authorities, suppliers and contractors.

Through a comprehensive understanding and application of CPM, teams can gain a decisive edge in terms of efficiency, budget adherence, and overall project success.

Furthermore, they can enhance their ability to monitor and control project risks,

AS-BUILT RECORDS

Establishing a robust baseline programme is the first step. It acts as the project's roadmap, detailing scheduled activities and strategic intentions. It serves as a shared reference guiding each department throughout the project, with critical paths outlined.

At a minimum, the baseline should capture solid logic, incorporate accurate resource requirements, and be comprehensible to stakeholders.

A specialist consultant can be helpful in finalising your baseline programme, especially in complex projects. The expertise they bring to the project ensures meconstructionnews.com

In Practice | 23

precision, on-time delivery, and effective critical path management.

Complementing this programme are asbuilt records, which document the actual progress of activities. Progress updates including the as-built records serve as a visual narrative to keep stakeholders informed and engaged. As-built records act as historical documentation and validate the project’s progress against the initial plan; they are a key tool for effective critical path management.

IDENTIFICATION OF CRITICAL PATHS

A Practice to be Improved

Planners often record the as-built dates in the programme and submit it as the 'updated programme' - a common

meconstructionnews.com

Critical Path Management at its core involves creating and plotting the narrative sequence of key deliverables.

Through a comprehensive understanding and application of CPM, teams can gain a decisive edge in terms of efficiency, budget adherence, and overall project success”

malpractice in the region. This is just a step; progress monitoring and reporting journey extends beyond. An updated programme should not only record the as-built dates and progress, but it should also reflect the updated strategies, change instructions, and other relevant modifications.

A Suggested Procedure

While a baseline programme establishes intended timelines, regular updates are required to track actual progress. It's important to make sure changes are reflected when they happen. Negative variances should be thoroughly investigated to identify critical paths, and the planning team should oversee this process.

January 2024

Procedures that can be followed are as follows: The planning team: a) Actively collects and integrates as-built records into the programme. b) Integrates revised or additional scope instructed into the programme using the available information. c) Conducts a thorough float analysis, identifies negative variances and the critical paths (if there is no delay, focus on the zero float activities). d) Identifies and categorizes the causes of delay. e) Categorizes the causes of delay in a report, "Critical Path Analysis Report," classifying them into: i. Engineering ii. Procurement iii. Construction iv. Testing & Commissioning v. Handover Each department then: a) Verifies these findings by: i. Identifying any missing updates not reflected in the programme, if any. ii. Verifying the logic causing critical delays, examining potential changes in January 2024

Critical Path Management Meeting In contrast to traditional meetings, which often involve an exchange of subjective views, the Critical Path Management meeting deals strictly with salient issues of decision-making on strategic deliverables.

the baseline programme logic, if any. iii. Determining causes of delays if the above is not the case. iv. Identifying mitigation measures to remove these delays from the critical path and provide suggestions for a remedy action plan to recover identified delays. v. Providing feedback to the planning team so that the programme update reflects the revised strategies. b) The planning team clearly communicates alterations in the baseline logic, providing concise reasoning for each modification.

This collaborative interaction provides the planning team with essential feedback, allowing for swift adjustments to the programme. These updates help identify the final critical paths, a key component for the upcoming Critical Path Management Meeting.

In contrast to routine progress meetings, which often focus on constructioncentric issues and technical discussions, the 'Critical Path Management Meeting' involves managing critical paths strategically.

It is important that all department heads participate in this meeting, ensuring a holistic representation of all project aspects. The planning team presents a comprehensive overview of the critical paths leading to the project's completion in order to facilitate collaborative discussion that fosters collective insight and decisionmaking.

Below are some key deliverables: a) Internal Delays (Driven by Contractors): Action plans addressing internal delays should be meticulously documented. Efforts should be taken to realign the project timeline by identifying immediate recovery strategies. b) External Delays: Delays attributed to external factors should instead be addressed by issuing timely delay notices. Instead of focusing only on meconstructionnews.com

In Practice | 25

claims, this communication should underscore the shared commitment to complete the project on time.

It is important to accurately record and closely monitor all discussions and decisions during the meeting.

Frequency of the Critical Path Management Meetings

Depending on the size and complexity of the project, weekly reviews are ideal, ensuring that the pulse of the project is consistently monitored, and focus is always on the critical path activities.

By implementing a weekly review cycle, issues are caught and addressed in a timely manner, minimising the chance of diverging critical paths. In this way, all stakeholders can act swiftly, focusing specifically on critical path management and mitigating delays.

UPDATED PROGRAMME REVIEW

Emrah Uluverdi, Associate Director, TBH.

programme, there needs to be an in-depth review process conducted. Any critical delays attributable to the Contractor must be reported to the relevant departments for monitoring. Should the Contractor fail to provide an action plan for addressing the critical delays, a prompt notification must be issued, accompanied by a slow rate notice, ensuring scrutiny of the delays.

Addressing critical delays caused by the Engineer/Employer is equally crucial.

Pending decisions must be expedited, and any required information should be promptly provided to the Contractor.

This proactive approach ensures a swift resolution of the issues, aligning all parties toward the overarching goal of timely project completion.

BY THE ENGINEER/EMPLOYER: CONTRACTOR’S RIGHT TO MODIFY

SUMMING UP

THE UPDATED PROGRAMMES

Effective critical path management is essential to ensure the successful and

Engineering/Employers often resist modifications to the updated programmes in some projects. It is not effective for project management to use this approach.

A dynamic construction project demands an updated programme that accurately reflects the latest status. In most cases, the Contractor bears the 'time risk' and, consequently, owns the programme.

As such, the Contractor retains the right to change it. By restricting programme changes, a programme may end up serving no purpose as a management tool but as an irrelevant document attached to reports.

Transparency and accountability, however, are equally important.

Accordingly, changes made to the programme should be meticulously documented in a change log, accompanied by comprehensive explanations for the alterations.

timely completion of construction projects. Starting with a robust baseline programme and then implementing an effective critical path management approach, critical path management is essential not only for monitoring progress but also for promoting proactive engagement and enabling timely decisionmaking.

By involving department heads, conducting regular critical path management meetings, and addressing delays promptly, a collaborative environment can be created to ensure everyone is on the same page. This journey requires more than just a reflection of as-built records; it demands a dynamic approach that adapts to ever-evolving particulars.

Ultimately, project management in construction demands coordination of various tasks and the active involvement of stakeholders to achieve a common objective. Adopting a meticulous and adaptable approach to critical path management empowers teams to effectively navigate these complexities.

REVIEW PROCESS BY THE ENGINEER/EMPLOYER

Once the Contractor provides the updated meconstructionnews.com

January 2024

26 | In Practice

Paul Kelly, Executive Director, C-Quest International.

“C-Quest believe that such sustainability considerations are likely to significantly shape our industry over the coming years.

It is essential to stay ahead of the curve with respect to the impact of environmental issues. To that end, we work with a leading measurement software provider who combines measurement software with carbon-counting emissions libraries. This then provides a greater degree of accuracy with respect to carbon emissions calculations, and the raft of other sustainability initiatives across the wider team.”

Do you feel that there’s a financial cost when an international consultancy such as yourselves - strives to be an ‘ecological leader’ and sets world-class

rom a Cost Consulting perspective,

benchmarks?

Paul, how do you feel that the

“Like all businesses, you have to decide what you want to be and what you represent.

Doing things the right way is not a switch that can be flicked, it’s a process and the financial cost of change should be factored in when planning, so that informed decisions can be made. We have a moral duty as a society to leave the earth as a better place and reduce our impact on our surroundings, it not only makes business sense to make this a priority, but it also makes social sense. It gives us a sense of purpose and makes us feel a part of something greater than just another construction project. When you can incorporate that thinking into the way you do business, it impacts everything around you and removes the barriers to progression.

“Of course, this will cost more, and the short-term impact can be financial - but in the long term the rewards will come, and your business will be in a better place because of it. Being an ecological leader gets you a seat at the table, sets you apart from others and enables you to have an impact - be it big or small - on the future.”

conclusions of COP28 impact your business? What doors of opportunity (or indeed constraints) do they now open?

“The first idea that comes to mind is CHANGE - and we saw this through the discussions of COP28, it’s not an opportunity for self-praise, it’s a time for meaningful discussion on how the world can change how we do things for the better.

There was a real sense of urgency in the discussions this year and a sense that the status quo was no longer acceptable, the pace of change needed speeding-up, with governments and big industry players all needing to wake-up to this.

“As a Cost Consultant, we need to support this change by providing Cost Advice on what it will look like.

“When attempting to limit and prepare for future climate change, more emphasis will need to be applied with respect to sustainability services, and associated CAPEX/OPEX costs connected with the implementation of enhanced sustainability standards, such as LEED Gold / Platinum.

“C-Quest engage frequently with KEO’s market-leading Sustainability Division on a wide range of commissions, which has opened a number of doors with respect to future business opportunities for cost management services.

January 2024

Ahead of the Curve A growing division of KEO International Consultants, C-Quest International is rapidly building a reputation for its sophisticated Cost Consultancy, with a commitment to Sustainability and the advanced client protocols it can necessitate. Middle East Consultant spoke to Executive Director, Paul Kelly…

What hallmark practices do you bring to each and every project? What’s in your DNA?

“We are clear on point of contact; the client must be both comfortable with and clear on who is managing the project for C-Quest, meconstructionnews.com

In Practice | 27

meconstructionnews.com

January 2024

28 | In Practice

and that person’s role is to develop a working relationship with the client from day 1. We encourage honest conversations with clients that are constructive and work towards finding solutions to their objectives, aiming to work as a team to reach a successful outcome.

“We recognise that the one-size-fits-all approach needs addressing, and indeed, we pride ourselves on our adaptability to meet clients' requirements.

“C-Quest Management need to be available and be seen on our projects, we cannot alienate ourselves from the day-today. A hands-on approach where we provide the necessary support and guidance - but where, at the same time, we allow them to manage the project and grow as they learn in the role.”

In this day and age, is it now the case that from a procurement standpoint, sustainable materials and choices needn’t be more costly than the traditional alternatives?

A key element of C-Quest project work is to fully understand and appreciate the client's primary vision and unique objectives for the project, bringing maximum value and aesthetic ambition.

“By and large, sustainable materials have come down in cost, however this has happened over time and has been driven by a blend of Government Legislation, ‘green’ certification and companies’ preference to do the right thing. Whilst the gap is narrowing, there is a clear premium to be paid when you observe the difference in costs between, for example, LEED Silver, Gold and Platinum developments.

“Due to labour costs in the Middle East and associated manufacturing infrastructure, it is cheaper in the main to build using concrete and block and mortar where in other regions, due to the higher cost of labour, more sustainable construction methods can compete with the traditional building methods.

Moving forward - and in order to instigate

change - we need continued support from Governments to force the world into greener construction. Businesses are driven in the end by profits and whether you are a small developer or listed on the stock exchange you must make money to survive. The best way of doing this is to level the playing field so everyone needs to meet the same targets - COP 28 has been instrumental in driving the change agenda and forcing the difficult conversations, and behind this drive was people who want to improve how we do things for the better.

“We must recognise that change is not something we should resist: the world is constantly evolving and those that don’t will be left behind wondering what happened.”

Tell us about C-Quest? What is the ‘culture’ and vision behind this as an enterprise?

“At C-Quest we aim to foster a culture of honesty and trust. I am of the firm belief that if you come down too hard on an individual for making a mistake, the next time they make a mistake they will try to hide it and that creates a bigger problem. We shouldn’t hide from mistakes, it is not possible to be perfect, nobody is - in any industry or position. We want an environment where we can ask questions, where we can raise a hand and admit when we need support. This in turn promotes trust and collaboration, a happier workforce and a nicer place to be.

“Fostering this culture, we aim to develop both the technical and soft skills of our valued employees, permitting us to reward those who push boundaries by promoting from within, thus reinforcing our core values.

“I often say, don’t forget we all need to go home to our families at the end of the day: keep that in mind when dealing with people, they are real people, they deserve respect and to be heard. We may not agree with them but we can be respectful.”

For the most part, do your clients have the will and the budget to really ‘do things properly’ - or do they wish to be perceived in this way by the market?

January 2024

meconstructionnews.com

In Practice | 29

“Certainly, from the outset of the project, the desire is there. We are witnessing that more and more in the industry, from a wide range of clients - from government to the private sector. However, the challenge as always comes down to cost.

We are being asked questions on the cost impact now at a much earlier stage, and whereas before, the conversations were coming later in the design process, now we are having these discussions right from the kick-off of the project.

“With the wish to do things properly, I believe developers should be rewarded more favourably for sustainable initiatives in their developments. They should also be challenged to reduce their impact and requirements on the cities’ infrastructure: be that for example through sustainable generation of power, grey water recycling, or overall energy impact per head of population.

“Having a handle on the cost impact as early as possible enables the client to make decisions in a timely way, and can guide the designers on what is feasible and what is not, steering the project in the right directions sustainably so the client can achieve the goals they had set.”

“At C-Quest we believe that the role of an architectural designer involves translating the Client's requirements and vision into visual representations; however, it is important to note that such a representation needs to be aligned with the Client’s business case with respect to time

and cost constraints. We consider that the greatest designs have a responsibility of meeting the Client’s express and unique needs and objectives.

“C-Quest have been engaged in various developments over the past 18 months whereby design drivers vary significantly from gateway structure (where the key emphasis is geared towards architectural content as opposed to financial returns) to dwellings which have been extensively value engineered, modulated, and standardised to deliver optimum value with respect to construction cost verses sales price.

“We consider that it is the Cost Consultant’s role to fully understand and appreciate Clients’ express and unique needs and objectives, which vary from

There is a saying that ‘A great design is responsible’. Can you tell us something around the Cost Consulting and planning process that supports that ambition?

“The term “a great design is responsible” can be open to interpretation. The meaning of such a statement could vary with respect to the design's responsibility to enhance its existing adjacent environment or with respect to environmental considerations. meconstructionnews.com

January 2024

30 | In Practice

project to project, to ensure that maximum value is obtained in meeting such a vision through enhanced interaction with project stakeholders, designers, and suppliers, in order to value manage/engineer design solutions and to thereby obtain optimum value for our clients.”

What do you see as some of the key trends in regional construction: to what extent are these aligned with your remit and convictions?

“The biggest markets right now are the UAE and KSA and both are entirely different in their requirements. The KSA market is growing at a significant pace, being driven in part by the Giga Projects, however at its core there is a requirement to upgrade the infrastructure and social network of the country to support this. Roads, utilities, housing and airports are all high on the agenda as the country drives towards its future. The UAE is at the other end of the scale, as the market is driven by external investment and immigration, and for that reason the major projects right now are hotels and residential developments to meet the increased demand.

“What both countries have in common is an ambitious vision for the future which is exactly why C-Quest have an aggressive growth target in 2024 and beyond.”

What are your plans for C-Quest as an organisation in 2024?

“At C-Quest, we are still very much in our growth phase and looking at aggressive growth for the year. In 2023 headcount wise, we grew by over 50% and we are targeting further expansion in 2024. We have a number of key clients who we are targeting to increase our portfolio of workload with and seeking to add new names to our key client list as well. We value our relationships with our existing key clients and understand that it is far easier to maintain an existing client relationship than it is to make one.

“We have just employed a new business analyst in our team to support that next stage development with a cost database.

Data is key and holding, managing and January 2024

We must recognise that change is not something we should resist: the world is constantly evolving and those that don’t will be left behind wondering what happened” analysing data has never been so important.

With the advancement of AI, a key target for us is to take our database to the next stage.

What that looks like and how that will work is an evolving process, an infinite process we must not evolve with the times but stay ahead of the times and be on the front foot.

We cannot get caught napping because time stands still for no-one.

“I am often challenged by my COO, Greg Karpinski, with the question “What will your industry look like in 10 years’ time?”, one thing is for sure, we won’t be doing things the way we do them now, but what will change and by how much? That is both the question and the challenge - annual goals are great place markers to check your progress along the way, but we are thinking long-term, where do we want to be in 10 years and what will that look like?

“Integrating local GCC nationals into our team is extremely important to C-Quest: what we found when we investigated the market for Nationals with either a QS degree or experience in Quantity Surveying, was that it was almost non-existent. We have therefore changed tactic, in that we are now employing Engineering Graduates and integrating them into our team as Assistant Quantity Surveyors so they get live on the job experience together with funding a Post Graduate Conversion Course from a college in the UK. We see this very much as a long-term project. Whatever will this

look like in 10 years or 15 years, what we do today can help develop the next Senior QSs, Commercial Managers or Directors in the industry, filling a gap that exists today. We are proud of the first steps we have taken and in 2024 we want to grow this cohort.”

Tell us something about yourself and your journey here, Paul?

“I arrived in Sharjah in August 2005 from Ireland, and like many expats before me, I arrived with an initial plan of staying 12 - 24 months. I had previously worked in Los Angeles in the US and felt that I would ultimately end up going back there after my stint in the Middle East. Obviously, that hasn’t transpired for many reasons: firstly I met my wife here shortly after arriving and we have both lived here since.

Secondly, the work opportunities and the chance to work on some of the world's biggest and most inspiring projects is second to none in the Middle East.

“I have always loved construction and seeing projects transform from the ground up, and this is something you can see every day as you travel around the cities in the region. The transformation in the region over the past 18 years is phenomenal and awe-inspiring and I have been lucky to work on or witness these changes.

“Having spent the first part of my career with other Tier A Cost Consultants, which provided a great foundation and were places of learning for me, I carry with me today the lessons from some great managers and leaders that I had the pleasure of working with during this time.

“In May 2022 I got the opportunity to work with C-Quest, a growing division of KEO International Consultants. The leadership in KEO were clear of the mandate - grow C-Quest into a progressive, reputable, stand-alone Cost Consultancy practice that competes against the best in the market. I have been fortunate to be guided and supported by our President and CEO, Donna Sultan and our COO, Greg Karpinski, who have both given me the freedom to lead C-Quest in my role as Executive Director of the division.” meconstructionnews.com

C

M

Y

CM

MY

CY

CMY

K

since 1956

CELEBRATE

66

YEARS

ARCHITECTURAL innovation ASTOUNDING success GLOBAL recognition IN OVER 2500+ PROJECTS

D ES IGN RE-I MAGIN ED

32 | Sustainability

January 2024

meconstructionnews.com

Sustainability | 33

FROM WASTE TO ADDEDVALUE PRODUCT Middle East Consultant spoke to Kamal Farah, Director, ECC, about his remarkable Desert Board product, which combines being affordable and adaptable with very high levels of Sustainability…

Where did the idea of the Desert Board product originate?

hat is really special about the Desert Board product, Kamal?

“The first thing I should say is that our Board is formaldehyde-free. Formaldehyde is a carcinogenic, but in the past, lots of boards and plywood were made using it, as a component in the glue. But our Board has zero formaldehyde - so it meets all the highest specifications for wellness and wellbeing in terms of in door air quality.

“Desert Board also has a strong loadbearing capacity; for example, we have put 250kg loads on a 6m-long beam, which it sustained - so it’s extremely strong.

“I’d also add that the product is very adaptable: for example, the chair I’m sitting in right now is made from Desert Board! It’s fair to say that you can use it in a vast number of decorative and structural applications.” meconstructionnews.com

“The idea was born in 1997, when our Chairman (who is also my father!), decided to find a use for all the date palm fronds he saw being discarded. In the past, in fact, they were used to build houses, but he saw that they were being burnt, buried or put into fertiliser. Wasn’t there another, better and less wasteful, use for them?

“He came up with the idea to turn them into a wooden board. He felt that, as a company, this would reduce our imports of plywood. Importing plywood in this volume had meant that our carbon footprint risked being quite high - so he wanted to find a solution.

“In the terms of the product he decided to create, he was told by production experts that he needed to make Oriented Strand Board (OSB). Typically, this comes in four different grades, from 1 to 4 - with four being the highest. Ours comes in at a strong OSB 3 rating, but we do meet some of the parameters in terms of strength for OSB4.

“To kickstart production, we built the factory in 2016, and then we created the first Desert Board in 2021.”

Tell us about the many applications of your product?

“Well, apart from the most common applications in buildings, it can also be used for making furniture, as I mentioned, and we can laminate it, veneer it, paint it, etc. Additionally, it can be used to make extremely durable wooden flooring; we team it with what’s called a ‘noble wood’ top layer, and this can be any high-quality hardwood of your choosing. It can also be stained in special colours, and we can give it an ‘AC rating’ that describes the level of scratch-resistance.”

What about the Sustainability angles of Desert Board?

“We actually have our own EPD, an Environmental Product Declaration.

We’ve done an LCA (Life Cycle Analysis) courtesy of an Italian accreditation specialist, and it shows that for every meter cubed of board used we are capturing 410kg of carbon. So, Desert Board can quite accurately be described as a carbon sink.

“I feel that this fits in very well with initiatives to decarbonise the construction industry and the raft of imperatives declared by COP28. What’s more, one of the key factors which is so necessary for decarbonising the industry is the availability of data – and through our EPD we can quantify that Data.

“Remember, too, that our product is essentially an annually-regenerated biobased waste: the palm frond. You have to cut 7-14 palm fronds from the tree every year, in order to allow the tree to grow.

We’re not cutting down the tree, we’re enabling it to grow - and that in itself means the tree can continue to absorb the carbon from the atmosphere. We’re letting the tree do what it does best,

Desert Board is the pioneer in the Green Construction Material sector.

It is the sustainable decarbonised solution to wooden boards.

January 2024

34 | Sustainability

and the tree is nature’s carbon-capture factory.”

What is your production capacity?

“We have the capacity to produce 340 cubic m. a day. If you convert that into 18mm boards, which are 1.22m x 2.44m, that equates to 6,200 boards a day - which could actually cover 2.5 football pitches! I hope that puts things in perspective in terms of our ability to supply PSB at an industrial scale, and to really make an impact in the market.”

As

an

Emirati

business,

how

connected with local culture are you?

“We are working with something that is intrinsically part of the local culture.

The palm tree is mentioned in all the holy books in all the religions, and while those records go back centuries, it’s very interesting that we’re now using palms trees in a very modern capacity, in the quest for Sustainability.”

Do you see yourselves becoming an Kamal demonstrates the extreme adaptability of the Desert Board product and how it can be molded into diverse shapes and functions.

PSB by Desert Board is a pioneer in the Green Construction Material sector. It is the sustainable, decarbonised solution to wooden boards”

international business?

“In many ways, we already are. We are supplying internationally, and we have been approached by Germany and Finland, to name only a couple of the new markets. Currently, we are supplying to Egypt, Saudi Arabia and India. India, in particular, has really taken off for us a primary market - along with the UAE, of course.

“As you can see, there is huge potential to supply Desert Board internationally.

We’ve even had interest from the USA. Fortunately, when we get these enquiries, we have the data that confirms its carbon-capturing benefits, and this is a factor that we really see driving the interest.”

How affordable is Desert Board?

“The board is highly affordable. It’s in exactly the same price bracket as a good quality plywood. In fact, while it behaves like a high-grade plywood, it’s less expensive - both in terms of cost and health-wise, too.

Desert Board has many USPs, and one of them is health. As I’ve said, there is zero formaldehyde. In fact, it’s officially graded ‘NAF’ - no added formaldehyde.

It’s bio-based waste that we’re turning into a true value-added product.”

Are your offices and production all here in the UAE?

“Everything we do is made here in the UAE. The factory itself is in KEZAD, in Abu Dhabi, and then there’s our joinery factory, which is Dubai Investment Park.

So, everything is locally manufactured.”

How would you describe your product in one sentence?

“It’s incredible! Because everything is sustainable. Remember, at the end of the day, this starts off as bio-based waste, which we are then turning into a full-on, value-added product. And also, incredible because it aligns with the traditions and cultural values of this region.”

January 2024

meconstructionnews.com

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36 | Sustainability

ow do you feel that the conclusions of COP28 impact your business?

What doors of opportunity (or indeed constraints) do they now open?

“COP28 underscored the pressing need for collective responsibility in addressing climate change. We at Climatize, as a company dedicated to sustainable and

environmental leadership, perceive this as a chance to further align our strategies with global sustainability goals.

“In our role as green building engineering consultants and sustainability strategists, the repercussions of COP28 present both opportunities and challenges. The worldwide commitment to combat climate change harmonises seamlessly with our expertise, positioning us at the forefront of a growing market seeking sustainable solutions. The emphasis on reducing carbon footprint, promoting renewable energy, and embracing circular economy principles creates avenues for us to showcase our capabilities and guide clients through evolving sustainability landscapes. Despite heightened expectations and scrutiny, we view these challenges as opportunities to deepen our commitment

“EXCITING TIMES ON THE HORIZON” One of the region’s most highly-regarded sustainability specialists, Climatize Engineering Consultants were winners of the highly-coveted ‘Sustainable Consultancy of the Year” award at the 2023 Middle East Consultant Awards. Here, Engi Jaber speaks about her organisation’s relentless commitment to Sustainability best practice and the expert guidance that is an organic part of the firm’s client liaison…

January 2024

to advancing sustainability goals. While budget considerations persist, we see them as a platform for strategic discussions, underlining the enduring benefits of sustainable practices. In essence, COP28 reaffirms our mission, propelling us into an era where sustainability is not merely a choice but an imperative, and we stand ready to play a pivotal role in shaping a more environmentally conscious future.”

As the ‘ecological leader’ what hallmark practices do you bring to each and every project? What’s in your DNA?

“Our unwavering commitment to ecological leadership is deeply rooted in the founding vision of Climatize, driven by an enduring passion for sustainability. Since our inception, we have steadfastly embraced the role of environmental stewards, with sustainability intricately woven into every decision and action we take. Going beyond mere compliance, our commitment entails a comprehensive approach, integrating eco-conscious principles such as rigorous life cycle assessments, resource efficiency, and the seamless integration of green technologies. This dedication is not merely a symbolic label but an intrinsic aspect of our identity, forming the core of our projects. Our cohesive team, united by a shared passion for sustainability, collaborates seamlessly to ensure that each project mirrors our commitment to creating a positive and lasting impact on the environment, including robust efforts towards carbon reduction and net-zero commitments. Our recognition as the 'ecological leader' underscores our roots, grounded in a vision to genuinely steward the environment and set the gold standard for sustainable practices in every project we undertake.”

Do you begin every client project by proactively advising on relevant sustainability goals and the raft of regulations around them?

“Certainly. Sustainability is not an afterthought but an integral part of any of our work and thought process. We take a proactive approach by advising our clients on meconstructionnews.com

pertinent sustainability goals, aligning them meticulously with industry regulations and best practices. Rather than merely meeting compliance codes, we delve into collaborative investigations with our clients and partners to explore diverse options that optimise value for sustainability. Our team conducts thorough feasibility studies and surveys, meticulously assessing environmental and social impacts.

We go beyond conventional boundaries, studying the client's ESG (Environmental, Social, and Governance) goals. This involves setting up a comprehensive framework and strategy to ensure the end results align seamlessly with the overall corporate goals and visions. By embedding sustainability into the design process from the outset, we not only guarantee compliance but also elevate our clients as responsible stewards, thereby enhancing their long-term reputation meconstructionnews.com

Engi Jaber's approach involves sustainable values being core elements of the Climatize DNA.

and value. This approach propels us toward achieving zero and positive impact, pushing the boundaries of what's conventionally expected.”

For the most part, do your clients have the will and the budget to really ‘do things properly’ in terms of Sustainability - or do they wish to be perceived in this way by the market?

“We've observed a positive shift in client In essence, where sustainability is no COP28 reaffirms our perspectives, longer just about perception but a genuine commitment. Increasingly, clients are mission, propelling the long-term benefits and us into an era where recognising positive impact tied to sustainable practices. sustainability is not Although budgets may present challenges, there's a growing awareness that investing merely a choice but in sustainability pays dividends over time. an imperative” Clients are now actively seeking in-depth life January 2024

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cycle assessments and life cycle cost analyses, indicating a desire for a comprehensive understanding of the environmental and financial implications of their choices.

“Despite this positive trend, some clients, influenced by separate departments managing capital and operational expenditures (CAPEX vs OPEX), occasionally hesitate to fully embrace sustainability, creating resistance. The absence of an integrated budgeting team often results in a fragmented approach hindering the seamless incorporation of sustainability measures. Nevertheless, we remain collaborative and adaptive, offering scalable solutions aligned with both aspirations and financial considerations. This ensures the integration of sustainable measures is not merely a perception but a tangible, enduring investment. This transformative shift signifies a shared commitment to a sustainable and responsible approach,

January 2024

COP28 reached conclusions which have profound ramifications for all construction and engineering consultancies.

ushering in a new era in project conception and execution.”

If ‘A great design is responsible’, can you tell us something around the planning and research process that supports that ambition?

2024 stands as a pivotal year for Climatize, where growth, global expansion, and a heightened focus on purpose-driven sustainability advisory will propel us to new heights”

“Our design philosophy centres on integrating creativity and enviro-social responsibility.

We commence our design journey with various disciplines by thoroughly studying and optimising both passive and active design measures in addition to life cycle assessments, building physics studies, and life cycle costing analysis. This process aims to identify optimal solutions that reduce environmental footprints and yield cost savings. For instance, in construction components, we explore sustainable practices such as comparing various forms and orientations, lighting and ventilation systems, material options, insulation options,

meconstructionnews.com

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and construction methods. Our goal is to guide the design process toward optimised carbon reductions and resource efficiency, considering end-of-life aspects for circularity.

“Small decisions at early stages have a lasting impact, and it is our responsibility to guide the team and clients towards environmental leadership. This commitment extends beyond individual projects; it aligns with global commitments and a shared responsibility towards the environment.

By championing sustainability, we ensure designs that not only meet but exceed global standards, contributing to a responsible and forward-thinking approach in our industry.”

How do you see the current state of the market: is there a growing appetite for ecological awareness and the commitment to sustainable structures?

“Generally, it’s positively transforming with clients, investors, and the general public increasingly prioritising environmentally responsible practices. This shift goes beyond being a mere trend; it represents a fundamental transformation in the industry's ethos, responding to heightened awareness among the public demanding more sustainable, healthier, and connected developments. meconstructionnews.com

Engi Jaber, CEO/Managing Director, Climatize Engineering Consultants.

“Key trends in regional construction encompass a growing focus on integrating renewable energy, applying circular economy principles, utilising sustainable materials with low carbon alternatives, adopting modular construction, embracing 3D printing, and extensively employing Artificial Intelligence in construction management and metaverse design. Notably, there is a discernible trend of linking design and construction reporting to corporate sustainability and Environmental, Social, and Governance (ESG) reports, underscoring the industry's responsibility to comprehensively understand and report on all eco-socio-environmental aspects.

These trends align seamlessly with our longstanding advocacy, reflecting our commitment to remaining at the forefront of industry developments. In the midst of dynamic construction trends, our consultancy remains unwavering in steering projects toward sustainability, ensuring that each initiative reflects our dedication to environmental responsibility amid ongoing industry advancements.”

Tell us about your aesthetic commitment (we always hear about your sustainability

“Global conferences, initiatives, and government efforts in raising awareness have had a positive impact on the surge of organisations committing to sustainable goals, carbon reductions, zero-emission developments, and green financing, among other initiatives. The historic agreement at COP28, where nations committed to transitioning away from fossil fuels, is expected to further challenge the industry.

This, hopefully, will lead to a re-evaluation of construction materials, the phasing out of fuel-powered machinery in favour of alternative eco-construction methods, a greater emphasis on circularity, and the promotion of more innovative solutions, ultimately driving the creation of more environmentally sustainable assets.”

What do you see as some of the key trends in regional construction: to what extent are these aligned with your remit and convictions?

credentials!)?

“Sustainability credentials play a pivotal role in establishing the credibility of both Climatize as a company and its professionals, instilling trust in the consultancy we provide to our clients and partners. Unlike mere "aesthetics," our credentials are underpinned by substantial experience at both the organisational and individual levels. For example, achieving recognition as a carbon-neutral company not only showcases our technical expertise in the carbon reduction and accounting area but also underscores our genuine commitment to the cause. While having our professionals accredited from reputed certification bodies such as GBCI, IWBI, GRI, etc. (LEED, WELL, BREEAM, Mostadam, Estidama, etc), gives the reassurance on their certification management capabilities.

“Our advice to industry professionals is to prioritise the growth of technical expertise through practical application before pursuing January 2024

40 | Sustainability

credentials. Although there is increasing interest in sustainability careers, opting for credentials without solid experience can result in credibility issues. It is crucial to establish expertise first, as relying solely on academic qualifications may compromise the quality of deliverables, negatively impacting both the individual and the company's reputation. Moreover, this approach aligns with genuine sustainability goals, ensuring that advocates for sustainability possess the necessary toolkit to effectively champion the cause and construct a robust case when needed. Therefore, acquiring credentials should come only after establishing a robust technical foundation, and it should be attained only once you have the right level of knowledge and expertise, not simply to serve as an aesthetical badge.”

What are your plans for Climatize as an organisation in 2024?

“Exciting times are on the horizon for Climatize this year, with plans for transformative change and substantial growth. We aim to further solidify our position as a leader in sustainable consulting, expanding our influence beyond the green building and construction industry into various sectors.

“Our primary focus is on achieving significant growth, targeting a minimum of 40% expansion in our operations.

January 2024

Climatize Engineering Consultants showed their pre-eminence in the sector by claiming the highly-sought-after Sustainable Consultancy of the Year award.

This growth represents more than just numerical advancement; it underscores our commitment to making a substantial impact in the sustainability advisory space.

“A key element of our strategy is global expansion, intending to extend our reach beyond current borders. Venturing into new markets allows us to share our expertise on a broader scale and contribute to the global sustainability dialogue.

“Furthermore, we are refining our specialisation in the sustainability advisory realm with purpose. Our goal is to provide strategic and impactful advice that surpasses standard practices, ensuring clients not only meet regulatory requirements but also align with a genuine commitment to local and global environmental and social responsibility.

“In essence, 2024 stands as a pivotal year for Climatize, where growth, global expansion, and a heightened focus on purpose-driven sustainability advisory will propel us to new heights, reinforcing our dedication to shaping a more sustainable and resilient future.”

If stakeholders truly want to create a

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world-class structure that is also highly

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eco-compliant, what are the three ‘first principles’ that they should observe?

“First and foremost is fostering open communication and integrative collaboration among all stakeholders, including developers/ owners, architects, engineers, contractors, communities, and policymakers. This involves considering eco-socio-environmental aspects and asking fundamental questions about the purpose of the structure and its intended impact on society.

“Secondly, the integration of a ‘life cycle’ approach - by considering the environmental impact from the initial concept to demolition and beyond. This ensures that all phases of the structure's life cycle are environmentally optimised.

Stakeholders should be encouraged to think outside of the box, seeking and comparing alternatives to traditional practices.

“Lastly, stakeholders need to implement regenerative design by focusing on principles that contribute positively to the environment, such as incorporating green and restorative spaces, renewable energy sources, and water conservation measures. The goal is to create structures that actively enhance the surrounding environment and contribute to overall ecological well-being while achieving sustainability objectives.” meconstructionnews.com

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COMPANY OF THE YEAR 2021 COST CONSULTING COMPANY OF THE YEAR

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