WORLD BIZ THE BUSINESS OF LEADERSHIP
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JAMES D. TAICLET NEW LEADERSHIP AT LOCKHEED MARTIN
2020 CSR LEADER 100 & 2020 WORLD FDI AWARDS
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World Business Magazine September 2020 Editorial Mike Walters Editor in Chief Giles Anderson Deputy Editor Contributors Troy Richards Mark Davidson Anne Chu Victoria Abbott Mahmoud Ayub Matt Lee David Sanchez Donald Adu Mark Berkshire Marketing / Web John West Advertising Alice Carreras David James Interns Zayne Walters Zizou Mikel Director Yeliz Cilar www.worldbizmagazine.com email@example.com
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THE BUSINESS OF LEADERSHIP PAGE 005
FDI in the news - 008 The Product Boss - 010
Jim Taiclet of Lockheed Martin- 012 Sofia - a city prepared for the Future - 014 Will business ever be the Same - 024 COVID-19 and open offices - 027 Win with Alabama - 028 Business Continuity and COVID 19 - 030 Sustainable AI with HM Group - 034 Distance learning is the future - 036 Innovation and COVID 19 - CP Group - 38
Jim Taiclet Lockheed Martin The new President & CEO of Lockheed Martin Corporation is succeeding one of the greatest ever CEOs in history.
Cyient is empowering tomorrow - 041 Int - Maher Mikati of Areeba - 042 Sustainability is not a luxury - 048 Int - Andrew Yang of Authenticiti - 052 Porsche Design Timepieces - 056 TUMI builds on legacy of sustainability - 060
Digital luxury customer experience - 064
The CEO of Mogotel Hotel Group
Hotels planning for post-COVID - 068
is charting the route both for her
Int - Jelena Stirna of Mogotel - 070
company and also the entire
Bullying in the workplace - 076
hotel industry in Eastern Europe.
Int - Andreas Haller of Quantron - 080 Wallonia - Europe's heartland - 084 Baja California is unique - 090 Louis Dreyfus helping coffee farmers - 094 Int - John Mathew of Cavli Wireless - 096 Costa Rica food exports - 102 How will Oil & Gas define its future - 104 Int - Bob Murray of Fortinberry Murray - 110 Safe and productive working from home - 116 Dana Pharant on intuition - 124 IoT from SAS boosting global beehives - 127
Maher Mikati CEO of areeba, board member of M1 Group and Pepe Jeans
Kenya investment opportunities - 128
has a plan to transform
COVID-19 and Africa's food systems - 134
payment in the Middle East.
Microsoft to train 25 million people - 137 Universities must improve post-COVID - 138 WEF predicts China population decline - 140 Kentucky is a solid base for success - 142 CEO of Dada on Chinese E-Commerce - 144 Flying cars are becoming a reality - 147 INEOS Automotive presents new 4x4 - 148 AI in the restaurant industry - 150 Kuala Lumpur - The time is now - 152 TUV - Cyber risks for industry - 156 John Qreshi talks your personal brand - 158 Green Bee Botanicals and clean beauty - 161 Foreign investments in Uzbekistan - 162
Yordanka Fandakova The Mayor of Sofia shares with us her plans to make Bulgaria's capital city the innovation center of Europe.
2020 CSR Leader 100 - Award Winners - 164 2020 World FDI Award Winners - 170 Corporate Art Collecting - 204 PAGE 006
Kuala Lumpur - The time is now. From its excellent location to focus on innovation to the many investor success stories - Greater KL means business!
CP Group on Covid Suphachai Chearavanont is the CEO of CP Group, one of the best companies in Thailand. He has a strong vision for innovation.
TUMI Sustainability A byword for craftsmanship of the highest quality, TUMI is drawing on its long legacy of sustainable production.
Porsche Design A new collection of exquisitely designed timepieces that are highly-customizable for the discerning individual. FOUR ANNUAL AWARDS FOR EXCELLENT BUSINESS PERFORMANCE. PAGE 007
CHINA TO TRIAL FDI IN INTERBANK BOND MARKET China will allow foreign investors to directly invest in the country’s interbank bond market on a trial basis starting
FDI IN THE NEWS
September. - Reuters FOREIGN DIRECT INVESTMENT TO MEXICO NEARLY $18
INDIA TO INVEST $1.46 TRILLION TO LIFT ECONOMY
BILLION IN FIRST HALF OF 2020
India’s prime minister said his country has done well in
Foreign direct investment (FDI) to Mexico during the first
containing the coronavirus pandemic and announced $1.46
half of 2020 was $17.97 billion, according to preliminary
trillion in infrastructure projects to boost the sagging
figures published by the economy ministry. The figure
economy. The key lesson India learned from the pandemic is to
represented a 0.7% decrease compared with the same
become self-reliant in manufacturing and developing itself as a
period last year, the ministry said. - USA News
key supply chain destination for international companies, Prime Minister Narendra Modi said. - AP
CHINA JULY FDI +15.8 % Y/Y IN YUAN TERMS Foreign direct investment into China rose 0.5% in the first
UAE, ISRAEL TO SIGN BILATERAL DEALS ON AREAS
seven months of this year from a year earlier, to 535.65
INCLUDING TOURISM, DIRECT FLIGHTS
billion yuan ($77.16 billion). In July alone, FDI jumped
Delegations from the United Arab Emirates and Israel will meet
15.8% from a year earlier, to 63.47 billion yuan, Zong
during the coming weeks to sign bilateral agreements on areas
Changqing, director of the foreign investment department
including energy, tourism, direct flights, investment, security,
at the ministry told a news conference.
communication and technology. Israeli company TeraGroup
($1 = 6.9424 Chinese yuan renminbi).
has signed an agreement with Emirati company, APEX National
Investment, to conduct coronavirus research.- US News PAGE 008
VIETNAM COURTS EU INVESTMENT IN MEDICAL AND DRUG
ORACLE ENTERS RACE TO BUY TIKTOK’S U.S. OPERATIONS
Oracle has entered the race to acquire TikTok, the popular
Vietnam is seeking to build on its new free trade agreement
Chinese-owned short-video app that President Trump has
with the European Union to expand foreign investment in
vowed to shut down unless it is taken over by a U.S. company
by mid-November. The tech company has held preliminary
government positioning the country as an alternative
talks with TikTok’s Chinese owner, ByteDance, and is
production base to China. Vingroup, the country's largest
considering purchasing the app’s operations in the U.S.,
conglomerate has announced a partnership with Ireland-
Canada, Australia and New Zealand. Oracle is working with a
based medical device company Medtronic to produce
group of U.S. investors who already own a stake in ByteDance,
components in Vietnam. - Nikkei Asian Review
including General Atlantic and Sequoia Capital. - LA Times
AFTER ‘WORST RECESSION’ IN MALAYSIA’S HISTORY,
INDIA URGES AUTO COMPANIES TO CUT ROYALTIES TO
STRONG ECONOMIC RECOVERY EXPECTED IN 2021
Malaysia economic recovery in the second half of this year is
India's commerce minister has asked automakers to find ways
expected to be gradual before bouncing back on its feet next
to reduce royalty payments to foreign parent companies for
year, having experienced its “worst recession” recently, the
use of technology or brand names, two sources told Reuters, in
Fitch Group’s research unit said. Fitch Solutions Country Risk
an effort to boost local investment and reduce outflows. In
and Industry Research has decided to revise its forecast of real
India's competitive auto market, top-selling carmakers Maruti
GDP or economic growth for Malaysia at -4.5 per cent for 2020,
Suzuki and Hyundai Motor's local units pay millions of dollars
down from the previous figures of -2.8 per cent. It also revised
in royalties to parent companies in Japan and South Korean
its 2021 forecast for Malaysia’s real GDP from the previous 5.7
for using their technology and brand to build and sell cars..
per cent to a more positive 6.3 per cent. - Malay Mail
TAIWAN TO FURTHER FREE UP ECONOMY, AIMING TO
SAUDI FUND DITCHES BLUE-CHIP STOCKS, ADDS ETFS
BECOME ASIAN FINANCIAL HUB
Saudi Arabia’s $325 billion sovereign-wealth fund continued
Taiwan will further liberalise its economy and offer more
buying U.S. stocks as it hunted for opportunities in the COVID
financing products, aiming to become an Asian financial and
crisis, largely exited the blue-chip positions it bought in the
asset management hub, President Tsai Ing-wen said, pitching
first quarter. The Public Investment Fund, chaired by Crown
the island at a time of turmoil in next-door Hong Kong. Export-
Prince Mohammed bin Salman, disclosed stakes worth $10.1
dependent Taiwan, which already has a very open economy, is
billion at the end of the second quarter, according to a
trying to diversify away from its traditional reliance on trade
regulatory filing. This included holdings in exchange-traded
with China, its largest trading partner. - Thomson Reuters
funds tied to the utilities and materials sectors. It also boosted
its stake in Suncor Energy Inc. and Carnival Corp. - Bloomberg JAPAN’S ECONOMY SHRINKS AT RECORD RATE AS CORONAVIRUS HITS WORLD’S THIRD LARGEST ECONOMY
MAZDA-TOYOTA BOOSTS INVESTMENT IN ALABAMA PLANT
Japanese GDP has fallen at a record rate as the world’s third
largest economy suffered amid the coronavirus pandemic.The
Mazda Toyota Manufacturing, the new joint-venture between
Asian nation saw GDP fall 7.8% in the April to June quarter, or
the two auto companies, on Thursday announced an
27.8% on an annualised basis. Japan had already slumped into
additional $830 million investment in its new Alabama plant.
recession before the virus crisis. - Evening Standard
- KSL Salt Lake City PAGE 009
WOMEN BUSINESS OWNERS: FILLING THE GAP WITH THE RIGHT INFORMATION Jacqueline Snyder and Minna Khounlo-
The Product Boss’s area of expertise is an
Sithep saw a bigger, brighter future and
area that’s often overlooked. While many
went for it. Then they taught other women
businesses focus on service products, they
how to do the same thing. Entrepreneurs,
help people learn the ropes of product-
take note; they’re creating a trail of wealth
not only for themselves but for the women they teach and guide.
With a gap in the market, they knew they could help. Jacqueline Snyder and Minna
On their website, The Product Boss offers
Khounlo-Sithep were highly skilled and
elite courses, and a top-rated business
knowledgeable in this field. Sharing that
podcast. They work hard to uplift women,
information with women who sell physical
so they too can reach their dreams.
products became their mission.
The Product Boss is a New Jersey based, woman-owned company. They’re working to help strengthen women globally with resources that teach them productbased selling.
Jacqueline Snyder and Minna Khounlo-Sithep of The Product Boss are helping women build stronger businesses. PAGE 010
THE HIKE MAGAZINE
THE PRODUCT BOSS
In fact, they’re so good at what they do, they created a mastermind group. Success? Absolutely. Not only are they thriving, but the businesses in the mastermind groups are seeing huge gains in their own businesses. They speak on the importance of believing you can do something, and mention, many entrepreneurs have self-limiting beliefs about what they can accomplish. They put caps on what they think they can make financially. With masterminds and digital courses, they help business owners see beyond their self-imposed limitations. One suggestion when starting out is to get a preview of the course you’re considering jumping into. The Product Boss offers free advice on their popular business podcast, which allows you to get a feel of what their digital courses and masterminds offer. The podcast is accessible and offers a vast array of combined knowledge. The Product Boss Podcast is a winner and a top business podcast on Apple’s charts. It’s important for the founders to lift up other women globally. They are inclusive in their reach, wanting to help women across the world find the answers that work for them. When it comes to Jacqueline Snyder and Minna Khounlo-Sithep, they share a connection of not only being first-generation American’s but also being the first in their families to get a college degree. They not only saw what was possible but went after it, grabbing the brass ring. The drive they feel in lifting other women and growing their community helps feed their continual success. Success breeds success. For the entrepreneur thinking of starting a product-based business, it’s time to check out The Product Boss. They’re ready to help you thrive once you get your feet on the ground and your business growing. Their mastermind groups are for business owners who are already at the point of growth but need help taking the next step. These are six-figure and seven-figure businesses. Everybody has to start somewhere, but the key is learning to start. One final note, they don’t let change hold them back. Pivoting is crucial in today’s world. With COVID-19, in a time when many businesses are crumbling, they grew stronger. With quick thinking, they helped their community learn new creative ways to work around the everchanging issues. By having multiple streams of revenue, there is more stability. They strongly stress that relying on one stream of revenue is limiting, and can destroy your business if something massive changes. By having multiple streams of revenue and visibility, you’re able to adapt without losing your business. The Product Boss is a West Orange, NJ business that offers courses, information, podcasts, masterminds, and more to women-owned businesses worldwide. www.theproductboss.com PAGE 011
JIM TAICLET BECOMES NEW LOCKHEED MARTIN PRESIDENT AND CEO MARILLYN A. HEWSON BECOMES EXECUTIVE CHAIRMAN In a planned leadership transition, highly-experienced chief executive, Gulf War veteran and pilot James D. Taiclet, 60, has become President and CEO of Lockheed Martin Corporation. He succeeds Marillyn A. Hewson, 66, who has served as chairman, president and CEO since 2014 and president and CEO since 2013. Taiclet will continue to serve as a member of the corporation's board, which he joined in 2018. Hewson will become executive chairman of the board and provide ongoing support for the leadership transition. "As a former military pilot, I understand the mission of this great corporation to provide global security and innovative solutions for the brave men and women who protect our freedom," Taiclet said. "I come into this role at a time when our nation and its allies have been tested globally by new and emerging threats. Now more than ever, it's critical we continue to deliver the best systems and equipment in the world. I'm honored to succeed Marillyn, who is rightfully one of the most respected CEOs in America, and to lead a workforce that is inventing and advancing the technology and security of our future." "This disciplined leadership transition reflects deliberate and thorough succession planning and is being implemented strategically at a time when Lockheed Martin is financially strong and positioned well for the future," Hewson said. "I have every confidence Jim and his executive leadership team will continue driving sustained success through sound business strategy, strong customer relationships and deep mission focus." About Jim Taiclet Taiclet's tenure as CEO of American Tower Corporation started in 2003 and he became chairman, president and CEO in 2004. Since then, American Tower grew significantly and PAGE 012
increased its market capitalization from approximately $2
increased 280%. During her 37 years at Lockheed Martin,
billion to more than $100 billion. Taiclet guided the
Hewson has held increasingly responsible executive positions
company's transformation from a primarily U.S. business to a
with the corporation, including president and chief operating
global player in its industry and he is widely regarded as one
officer and executive vice president of Lockheed Martin's
of America's most successful CEOs.
Electronic Systems business area.
Prior to joining American Tower in 2001, Taiclet was president
In 2019, TIME magazine identified Hewson as one of the "100
of Honeywell Aerospace Services, a unit of Honeywell
Most Influential People in the World," and FORTUNE magazine
International, and prior to that was vice president, Engine
ranked her No. 1 on its list of "50 Most Powerful Women in
Services at Pratt & Whitney. He was also previously a
Business" for the second year in a row. In 2018, she was
named the "CEO of the Year" by Chief Executive magazine, a
telecommunications and aerospace strategy and operations.
Top 10 "Businessperson of the Year" by FORTUNE magazine,
Taiclet began his career as a U.S. Air Force officer and pilot
and one of the "World's 100 Most Powerful Women" by
and served a tour of duty in the Gulf War. He holds a master's
degree in public affairs from Princeton University, where he was awarded a fellowship at the Woodrow Wilson School, and
About Lockheed Martin
is a distinguished graduate of the United States Air Force
Headquartered in Bethesda, Maryland, Lockheed Martin is a
Academy with degrees in engineering and international
global security and aerospace company that employs
approximately 110,000 people worldwide and is principally engaged in the research, design, development, manufacture,
About Marillyn Hewson
integration and sustainment of advanced technology systems,
As president and CEO, Hewson led Lockheed Martin through a
products and services.
period of consistent financial performance and impressive growth during which the corporation's market capitalization
For additional information, visit: www.lockheedmartin.com PAGE 013
SOFIA - BULGARIA'S CAPITAL IS A CITY WELL POSITIONED FOR FUTURE ORIENTED BUSINESS Sofia is one of the oldest cities in Europe.
and commercial centre and the biggest
Its history dates back several millennia. In
city-economy in Bulgaria.
1879, after a close vote by the Parliament, Sofia became the capital of the newly
Sofia’s population exceeds 1.3 million, 1.6
million with the surrounding region, over an area of 492m2, making it the 15th
Today Sofia is Bulgaria’s capital, its
largest city in the European Union. The
largest city, the centre of the legislative,
city’s economy is growing at a rapid pace.
executive and judiciary power in the
Sofia accounts for 40% of the nation’s
country (National Assembly, Presidency,
GDP and 1/3 of the country’s export. 16%
Council of Ministers and all Ministries), the
percent of the city’s exports are produced
financial, educational, cultural, business
by the growing ICT sector in the city.
A SPECIAL FDI SPOTLIGHT ON SOFIA, BULGARIA FROM INVESTSOFIA AND INNOVATIVESOFIA.
Sofia accounts for 40% of the nation’s GDP and 1/3 of the country’s export. 16% percent of the city’s exports are produced by the growing ICT sector in the city. PAGE 014
Much of Bulgaria’s “brain business” is concentrated in Sofia. The city ranks 27th out of 278 European regions, included in the 2020 Brain Business Jobs Index, with 101 brain jobs per 1,000 working-age population and is performing very well in the tech and creative sectors.
Sofia has one of the most vibrant start-up and entrepreneurial
people between 2008 and 2018 and now accounts for more
ecosystems in Central and Eastern Europe. The capital
than 20% of the total employment in Sofia.
available to local startups has played an instrumental role in positioning Sofia on the entrepreneurial map of Europe.
KNOWLEDGE WORKERS Much of Bulgaria’s “brain business” is concentrated in Sofia.
Sofia acts as a magnet for talent. Twenty-three of Bulgaria’s 51
The city ranks 27th out of 278 European regions, included in the
universities are located in Sofia, with over 100,000 students.
2020 Brain Business Jobs Index, with 101 brain jobs per 1,000 working-age population and is performing very well in the tech
A developed transport infrastructure, with bus, tram and
and creative sectors. Design and IT are among Sofia’s specific
underground public transport, makes Sofia a well-connected
city. Sofia Airport, the largest international airport in the country, is just 20 min. from downtown Sofia.
WAGES AND SALARIES In 2018, the annual gross salary in Sofia was EUR 9,706,
showing an increase of 10% on an annual basis. Although the
Sofia is the largest city in Bulgaria in terms of population. It is
upward trend is expected to continue, Sofia still has one of the
also one of the few cities in the country experiencing
lowest labour costs among the EU capitals. IT and the sector of
population growth and benefiting from overall favourable
professional services, incl. business process outsourcing (BPO),
demographic trends. The population growth in Sofia is
offer the highest salaries in Sofia. The average salary in the IT
supported by the continuing influx of young people to the city,
sector was almost twice higher than the average for the city,
which provides diversity and easy access to workforce. The
while in the BPO sector it was 26% above the city average.
labour force in the city increased by 26% in the period from 2003 to 2018, or by a total of 149,600 people, and currently
amounts to 716,000 people. Sofia, together with the broader
Citizens of all EU and EEA countries, plus Switzerland have the
Sofia region (<60 km), has a total workforce of over one million
right to reside and work in Bulgaria indefinitely. All other
nationals need a work permit and a long-term visa in order to work or reside in Bulgaria. The issuance of a work permit is an
Sofia has the highest labour participation rate in Bulgaria, above the EU average, and the lowest unemployment rate in
EDUCATION IN SOFIA
the country. The data on employment by economic activity
Sofia is home to 23 of Bulgaria’s 51 universities. The majority of
shows the ongoing restructuring of Sofia’s economy due to the
the working-age population in the city, or 51.4%, hold a
rapid growth of the ICT and business service industries. The
university degree. This number has grown significantly since
number of employed in these sectors increased by over 60,000
2011, when it was around 40%. The growth trend is expected to PAGE 015
Sofia is the biggest city-economy in Bulgaria. It provides 40% of the nation’s GDP. Due to the strong export and final consumption in the last several years, Sofia’s economy has been growing at a rate faster than the EU average.
continue as Sofia is not only the city with the highest number
Far Eastern languages in Bulgaria is available mostly in Sofia.
of university students in the country, but also attracts
It is estimated that over 2,000 students in the city take classes
graduates from other cities in Bulgaria and abroad. Dual
in Japanese, Chinese or Korean. Over 1,000 students study
education and increased participation in STEM fields are the
Hebrew and additional 200 take Scandinavian languages such
current priorities of the Government. The Ministry of Labour
as Norwegian, Danish and Swedish, which are rapidly gaining
and Social Policy is offering full scholarships in Engineering,
popularity. Close to 1/3 of the population between 19 and 34
there is joint IT project training between the private sector
years self-report that they speak more than one foreign
and universities, also there are plans for the establishment of
language at an intermediary level, or higher. The most
a new automotive industry vocational academy for both high-
common language combinations are English and Russian,
school and university students. A significant number of
followed by English and German.
students, graduating from secondary schools in Bulgaria, continue their university education abroad. Germany, the UK,
ECONOMY OF SOFIA
Austria and the Netherlands have traditionally been the
Sofia is the biggest city-economy in Bulgaria. It provides 40%
preferred destinations. According to some estimates, the
of the nation’s GDP. Due to the strong export and final
number of Bulgarians studying abroad averages around
consumption in the last several years, Sofia’s economy has
30,000 every year.
been growing at a rate faster than the EU average. It is exportoriented and accounts for 1/3 of the national export,
SOFTWARE SCHOOLS ENTREPRENEURIAL SKILLS
amounting to BGN 28.4 billion.
Due to the rapid expansion of the ICT sector in Sofia, ICT companies are increasingly turning to the high schools and
FOREIGN DIRECT INVESTMENT (FDI)
universities in the city to develop joint courses. Over 30
At the end of 2018, the cumulative foreign direct investment in
private software academies offer short to mid-term
Sofia was EUR 12.4 billion (2000-2018), accounting for 51% of
educational programs (6 to 30 months). Courses range from
the overall cumulative FDI to Bulgaria.
management and sales. The courses are often developed in
collaboration with local IT companies, according to their
The Bulgarian Lev (BGN) is pegged to the EURO at 1.96 BGN
labour demands. The courses target people with little or no
per 1 EUR. Bulgaria has adopted a plan to join the precursor to
experience in the field, as well as developers with 3-5 years of
euro area membership, the ERM-2 exchange rate mechanism,
experience. The number of annual graduates exceeds several
and the Banking Union.
thousand. BANKING SYSTEM FOREIGN LANGUAGE PROFICIENCY IN SOFIA
The Bulgarian banking system remains stable with growing
Sofia is characterized by a high level of foreign language
assets and capital adequacy, and liquidity indicators that are
fluency. The most commonly spoken languages are English,
significantly above the regulatory requirements. Loans to
German and Russian. English is the most preferred foreign
households and non-financial corporations continued to
language choice in Bulgarian schools. Most of the students in
increase in 2019, reflecting the low interest rates and
secondary schools with intensive language curriculum in
optimistic economic expectations. The total banking system
Bulgaria in 2017 also studied English (64,074 students),
assets in Bulgaria exceeded EUR 55.51 billion and deposits
followed by German (13,283) and French (6,218). Education in
into the banking system reached EUR 46.93 billion.The share PAGE 016
Sofia has one of the highest Internet speeds in Europe with average connection rates of 24 MBPS for downloading and 21 MBPS for uploading. 96% of households in Bulgaria have fixed broadband coverage and 75% of them have ultrafast broadband coverage compared to 97% and 60% in the EU.
of gross non-performing loans and advances of the Bulgarian
Coast, the city and the port of Bourgas, as well as with the
banking system continued to decrease but remained above the
borders with Turkey, Greece and Serbia through the Northern
EU average. There are 25 licensed banks and foreign banks’
Speed Tangent road, Sofia Ring Road, Trakia Motorway (A1),
branches operating in Bulgaria, down by one from the previous
Hemus Motorway (A2) and Struma Motorway (A3).
year because of the ongoing trend of bank consolidation. The asset shares of the five largest banks account for approx. 60% of
the total bank assets in the country. The majority of the banks
Sofia has one of the highest Internet speeds in Europe with
operating in Bulgaria are members of international, almost
average connection rates of 24 MBPS for downloading and 21
entirely European, banking groups.
MBPS for uploading. 96% of households in Bulgaria have fixed broadband coverage and 75% of them have ultrafast
TRANSPORT AND CONNECTIVITY
broadband coverage compared to 97% and 60% in the EU.
Sofia Airport is the biggest international airport in Bulgaria. A new concessionaire of Sofia Airport for the next 35 years was
INDUSTRIAL AND OFFICE SPACES IN SOFIA
selected in September 2019, under the conditions of substantial
The continuous growth in the office market is driven by tenants
infrastructure investments, including the construction of a third
from the IT, BPO and SSC sectors. The industrial space market
terminal by 2030. In 2019, Sofia Airport welcomed the record
is dominated by owner-occupied and built-to-suit facilities.
high 7.1 million passengers, following several years of strong
However, more than half of the spaces currently under
passenger growth. Since 2015, the number of passengers
construction are speculative. Most tenants are logistics, e-
served at Sofia Airport has increased by 74%. In 2019 the Airport
commerce and retail companies.
handled 23,987 tons of cargo – a growth of 7.8% on 2018. In 2019, for a third year in a row, London was the most popular
SOFIA TECH PARK
origin/destination for passengers at Sofia Airport, followed by
The first science and technology park in Bulgaria opened in
two German cities - Frankfurt and Munich.
Sofia in 2015 with a focus on information technologies, life sciences and green energy. The Park includes a vast laboratory
Sofia is part of 3 Pan-European transport corridors. The city is
complex, an incubator for innovative companies, an innovation
very well connected with the rest of Bulgaria and the Black Sea
forum, several exhibition areas, the interactive children’s centre PAGE 017
SOFIA, BULGARIA THE HIKE MAGAZINE
“TechnoMagicLand” and a sports complex. The Park is home to over 30 companies and startups and hosts over 200 events annually. In 2020, the Park is going to introduce a new coworking space called GroWorking as well as a Club House – a meeting space intended for networking clubs in the area of technologies and innovation. INDUSTRIAL & LOGISTICS ZONES IN AND AROUND SOFIA Over 15 industrial and logistics parks are located in or around Sofia, including the biggest economic zone in the region – SofiaBozhurishte, and the brownfield land of the former steel mill “Kremikovtzi”. THE START-UP ECOSYSTEM IN SOFIA Sofia has one of the most vibrant startup and entrepreneurial ecosystems in Central and Eastern Europe, with a startup association, business angel association and angel investment clubs. In 2019, Sofia became a French Tech label city, joining 50 innovation and tech hubs across the globe. With 246 funding rounds, Sofia comes up third among CEE countries by number of VC rounds over the last 6 years, straight after Warsaw and Tallinn, according to Dealroom.co Bulgaria is developing as a diversified tech hub with startups innovating across multiple industries. Approximately 15% of Bulgarian start-ups are in the deep tech sector, including AI, aerospace, robotics and IoT. First-time entrepreneurs can resort to local incubators and pre-accelerator programs to get knowledge and guidance on starting a business. In addition, the VC community in Sofia supports scaling startups and companies in growth stages. DIGITAL SOFIA In 2015, Sofia adopted the Innovation Strategy for Smart Specialisation of Sofia, identifying the IT and Creative industries as priority sectors. In 2019, Sofia completed the Digital Transformation Strategy for the city Sofia (DTSS), created under the Digital Cities Challenge Project by the European Commission and with the participation of over 100 local stakeholders and international experts. The mission of the Strategy is to enhance the local tech ecosystem by turning the city into a market for the digital products created in Sofia. In January 2020 the city appointed its first deputy mayor for for Digitalisation, Innovation and Economic Development. A new Big Data and AI Centre of Excellence - GATE, was launched in 2019 as a joint initiative PAGE 018
About 90% of the Bulgarian technology companies and 86% of the IT professionals (85,146 people) work in Sofia. The Bulgarian software industry generated €2.8 bln revenue in 2019 and is expected to reach €5 billion in the next 5 years. ICT is one of the fastest growing sectors in Sofia, accounting for 19% of the city’s economy.
between Sofia University, the Swedish Chalmers University of
area for foreign investment, attracting 30% of all investment
Technology and Chalmers Industrial Technologies. The center
projects in 2018, with at least 16 valued at USD 240 million.
will focus on Future Cities, Intelligent Government, Smart Industry and Digital Health. Stakeholders will have access to a
collaborative environment for experimentation, test-bedding,
Bulgaria’s AI startup ecosystem is still at an early stage of its
research and innovation. The project will include a City Living
development but has gained significant momentum in the past
Lab, Visualisation Lab, Digital Twin Lab. One of GATE’s first
few years. In 2019, the new Big Data Centre of excellence GATE
flagship projects will focus on building a city information
was launched at the Sofia University Department of
model (CIM) of a district in Sofia under the concept of a digital
Mathematics with funding of EUR 15 million. In 2019, the VC
twin. One of the 8 new supercomputers of the European Union
fund Brightcap Ventures launched a program for companies,
will start operations in Sofia in 2020 and will be available to
specializing in AI, IoT, blockchain, advanced analytics,
the local ecosystem for scientific and industry activities.
autonomous technologies and quantum computing. The AI Cluster Bulgaria was founded in 2019.
PRIORITY INDUSTRIES FINTECH INFORMATION TECHNOLOGY (IT)
Sofia is one of the fastest growing Fintech destinations in SEE
The number of people employed in the ICT sector in Bulgaria
and the CEE region. Over 83% of the Fintech companies in
on 2018 approached 100,000, or 3% of all people employed in
Bulgaria are located in Sofia. The Fintech startups are
the country. About 90% of the Bulgarian technology
supported by a number of investment funds, business angels,
companies and 86% of the IT professionals (85,146 people)
private investors and local banks. Bulgaria is often used as a
work in Sofia. The Bulgarian software industry generated €2.8
test market, while the strategy of the companies is to work
bln revenue in 2019 and is expected to reach €5 billion in the
globally. There is a growing trend for fintech and traditional
next 5 years. ICT is one of the fastest growing sectors in Sofia,
financial institutions like banks to develop new solutions
accounting for 19% of the city’s economy. The sector is
jointly. The number of corporate acceleration programs is
predominantly export-oriented and over the last few years has
increasing. In 2019, Sofia outperformed 52 locations worldwide
moved up to high value-added projects and, increasingly, the
and ranked first in terms of Cost Effectiveness in the “Fintech
development of own products. ICT has become the primary
Locations of the Future 2019/20”. PAGE 019
The Manufacturing sector has been the second largest investor in tangible fixed assets, as well as the most stable FDI recipient in recent years. By the end of 2018, manufacturing in Sofia had attracted 15% of FDI.
overall growth of international visitors for 2009 – 2017, with an
There are over 13 proptech companies operating in Sofia. One
average increase of 9% per year. In 2018, Sofia was visited by
of the local Proptech startups completed an investment round
1,384,963 tourists, 67% of which were foreigners. The number
of EUR 2.7 million at the end of 2019. Some of the local
of tourists visiting Sofia has been growing since 2009, but was
companies already have 20+ years of experience in
particularly notable in the last 4 years, when the number of
implementing technologies such as Building Information
foreign tourists in Sofia increased by 44% - from 640,621 in
Modelling (BIM) in the real estate industry. Other technologies
2015 to 922,075 in 2018.
used by local proptech companies include virtual and augmented reality, artificial intelligence, machine learning,
MANUFACTURING (Including Automotive, Robotics & Aero)
big data, blockchain and others.
The manufacturing industry formed 10% of Sofia’s economy in 2018 and brought 17.5% of the export earnings in the city.
SHARED AND BUSINESS SERVICES DELIVERY CENTRES
Over 71,000 people, or 9.7% of all employed in the city, work
Bulgaria ranks in the Top 3 among global services locations in
in the sector. Its value added at factor cost and its share in the
CEE and preforms best in financial attractiveness and
local economy increased during the last 10 years, while the
business environment categories. Additionally, Bulgaria has a
number of employees decreased, reflecting an increase in
well-developed telecommunications infrastructure and one of
efficiency and decrease in the need for human capital due to
the fastest Internet connection speeds in SEE. Information
modernisation and capital investments, for example in new
security and privacy regulations are in accordance with the EU
technologies. The Manufacturing sector has been the second
legislation. The sourcing industry, which includes IT, BPO and
largest investor in tangible fixed assets (after the sector of
SSC, contributed to 5.2% of the national GDP with a turnover
Trade, Repairs and Transport), as well as the most stable FDI
of EUR 2.4 billion and a growth of 19.5% on an annual basis,
recipient in recent years. By the end of 2018, manufacturing in
employing 73,694 people, (data for 2018). The industry is
Sofia had attracted 15% of FDI.
expected to grow faster than the national economy. By 2022
Sofia hosts one of the largest aircraft maintenance, repair
turnover is expected to reach EUR 4.8 billion or 9.2% of GDP.
and overhaul facilities in Europe with 1,100 employees. Around 24 companies in Bulgaria develop products or
services and software in the field of robotics and
Sofia is the centre of cultural and creative industries in
automation with over BGN 950 million in revenue and
Bulgaria and has the potential to become one of the leading
more than 5,000 employees.
creative hubs in Europe. Sofia accounts for close to 80% of the
The Bulgarian Automotive industry achieved EUR 6 billion
revenue and 62% of the creative labour force in the country.
in revenue in 2019. There are 250 companies in Bulgaria.
There are over 60,000 artists, designers, game developers,
80% of sensors in all European cars are made in Bulgaria.
filmmakers, musicians, architects, writers, interactive digital media and software developers, and other representatives of the creative industries employed in over 7,700 creative
This presentation was delivered jointly by:
companies in Sofia. Employment in the sector is growing.
InnovativeSofia: The agency for the Digitalisation, Innovation and Economic
Development of Sofia Municipality. www.innovativesofia.bg
Sofia is second in Europe in growth of international visitors for
2017 and is among the TOP 5 cities in Europe with the highest
Sofia Investment Agency. www.investsofia.com PAGE 020
the country. A big share of the investment is directed towards high value-added sectors.
YORDANKA FANDAKOVA MAYOR OF SOFIA "Sofia aims to encourage projects in the fields of R&D, biotech, creative industries, high value-added manufacturing and tech for sustainable development."
Sofia aims to encourage projects in the fields of R&D, biotech, creative industries, high value-added manufacturing and tech for sustainable city development. The city is currently building 4 new industrial zones located in the northern territories, suitable for strategic investors. The technology sector is one of the main engines of the city economy and 90% of the IT companies are located in Sofia. In 2019, fDi Intelligence placed Sofia in the Fintech Locations of the Future ranking. Financial Times declared Sofia an important part of Southeast Europe’s Silicon Valley. Sofia absorbed nearly 1/3 of the total amount of funds, allocated under various Operational Programs. Funds paid out in both program periods on the territory of Sofia amount to BGN 4.151 billion. The average salary in Sofia exceeds the country’s average by 38%, approaching the EU average. Given the concentration of highly educated working-age population, Sofia has the highest employment rate in Bulgaria - 76% for 2018. Furthermore, the
In recent years, Sofia has become a very attractive place to invest. The pace of work we have set brought Sofia to leading positions in both national and international rankings in terms of employment, infrastructure security, quality of life, good education, successful business endeavors and tourist growth. Investors are attracted by Sofia’s location, good connectivity, but most of all, by the qualified and highly-educated population of the city. Sofia provides the highest standard of living in the country. For the past 10 years, Sofia has been one of the European cities with the highest GDP per capita growth. The GDP of the city makes up 40% of the total GDP for Bulgaria. Sofia’s GDP per capita is twice the national average and is gradually approaching the EU average. By the end of 2018, Sofia attracted half of the foreign investments in Bulgaria, totaling EUR 12.4 billion, or EUR 9,800 per resident - three times the average for
city has the lowest unemployment rate in country, 2.1%. The city’s financial stability was affirmed by the Standard and Poor’s international rating agency, which in 2019 once again increased Sofia’s investment rating to BBB, with positive outlook. Sofia
destination. Due to the many systematic investments in the city’s urban environment and cultural sites, Sofia is becoming an increasingly attractive tourist destination. PAGE 021
The key to this success is the unveiling of the cultural and
Availability of financial resources and the strong traditions in
historical heritage in recent years. Sofia was among the five
education are our main strengths that will help us to further
European cities with the highest growth of foreign tourists for
develop a favourable environment for technologies and
the period 2009 – 2017, with an average growth of 9% per
innovation. We owe the achievements in these areas to the
educated and enterprising people of Sofia – they are the city’s most valuable asset. The future of Sofia is to develop as a
Our efforts are focused on implementing innovative solutions
green and innovative city and to transform into a digital
in the city governance and urban development. Sofia is
capital of new markets.
changing and the most important thing is that more and more citizens are taking part in this change. The city develops with a
For more information about investment, doing business and
consistent focus on one strategic priority - the improvement
innovation in Sofia please follow up with these partners:
of the quality of life of its citizens. innovativeSofia In January 2020 we created a new municipal department for
SOFIA MUNICIPALITY DIGITALISATION, INNOVATION AND
Digitalization, Innovation and Economic Development that
ECONOMIC DEVELOPMENT DEPARTMENT.
will facilitate the digitalisation and adoption of new
The “Digitalisation, Innovation and Economic Development”
technologies by the Municipality, as well as the process
department of Sofia Municipality was established in 2020 to
of "opening" the city to the technology companies.
support Sofia’s development as a smart, digital, innovative, and technologically advanced city. The new Department will consolidate and guide all of the city’s digital and smart city
"The future of Sofia is to develop as a green and innovative city and to transform into a digital capital of new markets."
projects and will continue to support high-tech and R&D investors in Sofia. It will focus on increasing the number and quality of municipal e-services, open data and smart city projects implementation. www.innovativesofia.bg investSofia
"Sofia is changing and the most important thing is that more and more citizens are taking part in this change."
Invest Sofia is the investment promotion and business development agency of Sofia. Our mission is to support local and foreign businesses in building their success story in Sofia. Invest Sofia is part of Sofia Municipality. Our services are free of charge. www.investsofia.com PAGE 022
FAST TRACK YOUR IDEAS
ISRAEL A UNIQUE INNOVATION ECOSYSTEM Among the 5 best startup ecosystems worldwide The 2nd most innovative nation in the world The world’s 2nd highest R&D expenditure, over 4% GDP 350 global tech leaders launched innovation centers in Israel Developed over 150 programs for startups & over 90 VC funds Over 1,000 exits between 2006-15, with $60 billion in capital
THE SOLUTION IS OPEN INNOVATION THE DESTINATION IS INNOVATE ISRAEL WWW.INNOVATE-ISRAEL.COM
WILL INTERNATIONAL BUSINESS EVER BE THE SAME? WHAT ARE THE LIKELY OUTCOMES OF THE CURRENT CRISIS?
David Hallgren is the Deputy Head of Region Asia-Pacific and
The world has dealt with previous crises including the SARS and
Trade & Invest Commissioner to China for Business Sweden.
Ebola epidemics, the global financial crisis and wars. Nonetheless, the current pandemic is unique in terms of scale,
This second part of the series New Business Landscape
impact and response. Almost every country and industry have
explores recovery scenarios and how decision-makers can
been impacted and the simultaneous disruption of both supply
adapt their thinking.
and demand is unprecedented.
The pandemic will undoubtedly have long-lasting economic
Never before has close to one third of the human population
and social effects and change the direction of the international
experienced lockdowns and curfews nor have governments
business landscape. It is also clear that we are heading toward a
been forced to provide such large stimulus packages or tackle
unique refraction point: some global trends developing before
such rapidly rising levels of unemployment.
the crisis will accelerate, others will abate. THE REFRACTION POINT Although the world is still far away from shaking off the effects
Trends and transformations that were underway before the
of Covid-19, there is no question that ‘recovery’ will not mean
crisis will inevitably change. They will accelerate, slow down or
returning to the previous normality. Now is the time to face the
take a completely new direction. While demand may return to
realities of a pre-pandemic and post-pandemic world.
pre-pandemic levels when restrictions are lifted, or near at least, consumer behaviour is likely to undergo some form of
THE WORLD AS WE KNEW IT – AND WHY IT WILL NEVER BE
THE SAME: By the start of the 21st century the world had grown increasingly globalised and interconnected in terms of trade,
Digital solutions such as online shopping and web-based
movement of people, goods, and exchange of ideas. From 2009
education are two trends that have accelerated by several
to 2019 the world’s GDP had grown by more than 60 per cent.
years, in the space of just a few months. The long-term
But as globalisation created more wealth, it also caused
trajectory of other trends such as sustainability is less clear. Will
interdependencies, inherent systemic risks and vulnerability to
green stimulus packages issued in the wake of Covid-19 create
a milestone in the battle against climate change? Or will cashPAGE 024
Continued disruption is likely to bring new challenges that are difficult to predict and more complex than the world has faced before. A good way to navigate this uncertainty and mitigate risks is to adopt scenario planning tailored to every business need.
strapped companies with enough worries about their bottom-line abandon sustainability goals? Managing this uncertainty will be a critical challenge for Swedish companies. Continued disruption is likely to bring new challenges that are difficult to predict and more complex than the world has faced before. A good way to navigate this uncertainty and mitigate risks is to adopt scenario planning tailored to every business need. The scenario approach should also consider a few
Key considerations: How would a protracted crisis impact your
geopolitical questions including the shape of recovery,
key customers and suppliers? Do you have an overview of products
the direction of globalisation and how major regions will
and segments that are showing growth despite the downturn? Do
recover from the crisis. While this article explores the
you have a second phase of cost reduction measures planned
extreme ends of a polarised scale of potential scenarios,
the outcome may very well fall somewhere in between. Scenario: A fast and optimistic recovery WHAT IS THE SHAPE OF THE RECOVERY?
If the pandemic is brought under control during the second half of
Scenario: A long and protracted economic crisis
2020, widespread vaccination is rolled out successfully and if
If widespread vaccination is delayed and new virus
policy responses are effective, the global economy can potentially
outbreaks continue in a series of smaller waves over the
begin to recover before the end of 2020.
next year or two, a long and painful economic crisis is likely.
As the sharp fall in demand is primarily linked to movement restrictions, large parts of the economy can recover quickly when
Continued uncertainty and restrictions would result in
these are permanently lifted. Households would regain confidence
loss of investments and domestic demand, business
and increase spending, and businesses would be more willing to
decline and unemployment – which in turn weakens
invest. This optimistic scenario depends on effective policy
consumer sentiment and creates a downward spiral.
Even with the pandemic under control, ineffective
decisions and actions could hamper economic growth and create highly indebted nations, with no ability to
Restrictions are currently being eased in many of Sweden’s main
make key public investments for the future.
export markets. If new infections remain low, Swedish exports could see some recovery in the autumn.
Given past crises, it may take more than five years before the world economy is back to pre-pandemic levels. Even
Key considerations: How would a fast and optimistic recovery
if Sweden is spared new outbreaks and manages to avoid
impact your business? What new opportunities could arise, and for
lockdowns, demand for Swedish export goods and
which prioritised products and segments? Is your company ready
services abroad could decrease further.
to scale up quickly and allocate resources where most needed? PAGE 025
How would new points of gravity affect your industry and business? What are the geopolitical questions and scenarios you need to understand and plan for in your markets? These scenarios and questions provide a starting point for adapting to the post-Covid-19 world. Last but not least, companies need to consider how their business would be impacted if several scenarios occur at the same time, as this could multiply the effects.
WHAT IS THE FATE OF GLOBALISATION?
emerging trade agreements, removal of trade tariffs and
Scenario: Protectionist influences lead the way
If supranational organisations fail to unite and borders remain closed, countries are likely to isolate themselves to ensure
HOW WILL MAJOR REGIONS EMERGE FROM THE CRISIS?
domestic growth and introduce more strict control over
The impact of the crisis will differ greatly across the world’s
foreign investments. This could lead to decoupling,
biggest economies and the final outcome is far from certain.
regionalisation and localisation as well as increased
The US is still combating new outbreaks which, if they
turbulence and trade wars slowing down the recovery.
continue over time, could result in further isolation as the country deals with its domestic recovery. This could result in
Inward-looking policies could be temporary at first but may
less engagement with other world powers. In the opposite
remain in place for years depending on recovery progress. In
scenario, the US will continue to play a large role in global
this scenario we’re likely to see Swedish companies move
affairs and trade and remain an important point of gravity.
manufacturing closer to delivery markets. As for the EU, further fragmentation and discontent among Key considerations: In which markets is your business most
member states due to Covid-19 challenges is a real risk. On
vulnerable against protectionist policies? What risk mitigation
the other hand, effective stimulus packages and a united crisis
measures could you take? Do you have processes in place to
response could spur a willingness to collaborate in order to
monitor and adapt to changing regulations?
speed up the recovery.
Scenario: Pandemic a catalyst for greater collaboration
When it comes to China, the country could get a head start out
If supranational bodies succeed to unite and solve global
of the crisis and gain an advantage in industries that will
challenges, Covid-19 could become a catalyst for more global
shape the future. However, the lack of external demand and
collaboration. Countries would most likely enact interim trade
dependency on foreign markets could delay the recovery and
agreements including removal of tariffs to accelerate trade
lead to an economic crisis.
and get economies back on track. Cross-regional and industrial collaboration will spur sustainable growth and
Key considerations: How would new points of gravity affect
innovation and digital technology will boost exchange of
your industry and business? What are the geopolitical
ideas. Science and research would be more effective, and
questions and scenarios you need to understand and plan for
countries would agree to evenly distribute vaccines. In this
in your markets? These scenarios and questions provide a
scenario, the world economy is expected to recover faster.
starting point for adapting to the post-Covid-19 world. Last but not least, companies need to consider how their business
Countries that rely on global trade flows would benefit from
would be impacted if several scenarios occur at the same
more robust trade agreements and cross-regional integration.
time, as this could multiply the effects.
Sweden would be able to increase exports and expand its role in the global economy.
Business Sweden is commissioned by the Government and the industry to help Swedish companies grow globally and
collaboration impact your business? Could you leverage any
international companies to invest and expand in Sweden. www.business-sweden.com PAGE 026
DOES COVID MARK THE END OF 'OPEN PLAN' OFFICE SPACES? COVID HAS COMPLETELY RESHAPED HOW WE INTERACT WITH OTHERS IN PUBLIC SPACES THROUGH SOCIAL DISTANCING. THESE CHANGES CAN EVEN BE SEEN IN THE ADJUSTMENTS IN DESIGN AND LAYOUT BY BUSINESSES THAT REMAINED OPEN THROUGHOUT THE PANDEMIC.
The open office design grew in popularity over the course of the 20th century, moving from the endless rows of cubicles and desks that characterizes a stereotypical office space. In this time, companies have made a great effort to create more inviting, comfortable workplaces. Modern furniture, warm colors, large open spaces, and plant installations offer a stark contrast to a cubicle farm. These spaces are designed to
center in South Korea. The 11th floor of the call center housed 216
boost worker morale, be ergonomically correct, and create an
employees; 94 of the 216 employees were found positive for
environment of collaboration among employees.
COVID-19 over 16 days. The majority of the infected employees were sitting in close proximity to one another.
As we all know, COVID has completely reshaped how we interact with others in public spaces through social
For companies looking to transform their open office space into a
distancing. And these changes can even be seen in the
more COVID-19 friendly design, Panel Built's modular wall
changes in design and layout for businesses that remained
systems offer a flexible, semi-permanent way to divide up your
open throughout the pandemic. Physical barriers between
exiting office space. With our panelized wall system, Panel Built
patrons and employees, such as manufactured by Panel Built,
can create a fully-custom, personal offices. By completely closing
are being used in grocery stores and fast-food restaurants. As
off the workspace with a Panel Built wall panel system, employees
a communicable disease, these barriers help stop COVID-19
can reduce the exposure to aerosolized COVID-19. These office
droplets from spreading.
systems have been implemented into commercial and educational facilities across the United States and are designed to be quickly
Generally, in an open office environment, employees will not
installed and fit into the office's existing aesthetic.
find themselves more than 6 feet away from one another. Like employees in grocery stores and restaurants, those in an
Unlike a thin, clear Plexiglas shield, Panel Built's wall systems
office environment could wear a face mask. However, with
actually provide all the same advantages that come along with a
employees working 8+ hours a day, many will likely elect to
personal office space. Rather than being stuck behind a plastic
do without it, for better or worse. If these social distancing
sheet that provides no advantages other than being a sneeze
guidelines are not followed, an open office environment
guard, employees can feel comfortable in their own space.
could be at a great risk environment to spread the virus throughout the company. Take for example the case of a call
For more information, please visit: www.panelbuilt.com PAGE 027
Alabama is an ideal hub for foreign-based and internationally focused businesses. Located on the Gulf of Mexico, Alabama is a gateway to the rapidly growing markets in Mexico, Central and South America.
ALABAMA - GLOBAL LEADERS DON’T JUST ARRIVE HERE. THEY THRIVE HERE.
Five Foreign Trade Zones (FTZs) and numerous sub zones currently operate in Alabama. Official U.S. Customs Portsof-Entry are located at Birmingham, Mobile and Huntsville
International Airports. Six Alabama banks provide
technologies by making investments in those who’ve
complete international banking services for companies
competitively demonstrated the promise of creating ideas and
located in Alabama and throughout the Southeast.
products with the potential to change the world. In events throughout the state each year, we seek to bolster the state’s
Alabama has an excellent business climate, with a diverse
industry base, a low tax burden, and a robust logistics
entrepreneurs, investors and companies together to make this
infrastructure, including a major seaport on the Gulf of
new generation of economic development a priority.
Mexico. It is recognized as having one of the country’s top training programs (AIDT), which helps contribute to its
Alabama Launchpad, a public-private partnership, is at the
world-class talent and skilled workforce. With our state’s
core of the state’s strategic economic development plan to
exceptional business environment, low cost of living, and
create jobs and revenue through innovation, entrepreneurship,
thriving communities, no wonder Alabama has become
research and development, and commercialization.
such an attractive home for businesses and individuals. From business, to the business of living, Alabama is a win.
Learn more by visiting: www.alabamalaunchpad.com PAGE 028
WIN WITH ALABAMA
THE HIKE MAGAZINE
"Airbus is proud to call Mobile, Alabama our industrial home in the U.S. We’re building great things together with the State of Alabama." Jeffrey Knittel Chairman/CEO, Airbus Americas
Thriving Business Climate Alabama is a state that appreciates the contribution of business and industry. Both public and private sectors are committed to helping them succeed. State and local officials work to create a supportive environment that fosters business success through workforce development. That commitment is exemplified by the many world-class companies that have chosen to Win with Alabama. Our numbers speak for us Over 2 million dedicated, reliable and skilled workers. Host to more than 425 foreign-based companies from over 30 nations. 160 metropolitan areas in a 600 mile radius. One of the Healthiest Cost Structures and Business Climates in America #1 Best Business Climate - Business Facilities (2018). #1 State for Manufacturing - Global Trade (2018). “Top State for Doing Business” - Area Development (2018). The Economic Development Partnership of Alabama The EDPA is a private non-profit organization funded by more than 60 Alabama companies, whose mission is to attract and retain world-class talent across a broad spectrum of interests and industries, support and inspire both industry and innovative/emerging companies whether home-grown or transplanted, expand existing businesses, and be the trusted source for data and insights for key economic drivers and stakeholders for Alabama economic development. To find out more about doing business in Alabama please visit the EDPA at: www.edpa.org PAGE 029
COVID-19 WILL CHANGE FOREVER HOW WE LOOK AT BUSINESS CONTINUITY AND CRISIS MANAGEMENT
The effects of COVID-19 on businesses are already
-seat; Mon-Fri could [and I think should] largely disappear if,
unprecedented. It's also going to get worse before it gets
and ONLY if, the lessons learned are taken on board. Every
better. While I am not very good at thinking in 'futuristic'
business is a series of functions, and it should not be of
terms, even I already know that the businesses that manage
primary importance where the person who performs those
to survive will have no choice but to fundamentally
functions is, or even who that person is.
change how they do what they do. Permanently! This is the mistake most organisations make, and while the and
impact of something like COVID-19 has never been part of
electronic communications are the primary keys to
any BCP I've ever seen, we could certainly have extrapolated
their business model that is. Face-to-face stuff (e.g. brick-
and prepared for events like it. Here in London for example, if
and-mortar retail) is a whole other ball game and way
the trains go on strike there is an enormous impact on the
beyond my ken.
daily commute; people take 3 to 4 weeks off in a row on
annual leave; long term power outages at critical locations From tele-working, to business travel / commuting, to
and so on. All of these things, and many more like them, have
the communication and collaboration technologies in use,
all pointed to what is now required but almost universally
the impact of this global phenomenon will be dissected and
absent. But while there are literally hundreds of articles
analysed for decades. The 'old ways' of working; 9-5; bum-on
on how to DO business continuity in the face of COVID-19, PAGE 030
It is my contention that it's the employers who should take the lead in these situations, because even Governments don't have the level of influence over people that employers do. Of course everyone should follow what the Government and reputable experts say in these scenarios (CDC for example), but it's the employers who have the most effective access to, and authority over, the lion's share of the population. They also have the best chance, by far, of heading off the rampant ignorance that leads to wearing a plastic bag over your head and other irretrievably stupid things that we have seen during the pandemic!
they are almost ALL too little too late. It's not the security
the employer's responsibility to keep their workforce both
informed and safe in the face of a pandemic? Tell me, who is
senior leadership team who saw the aspects of security
better placed to do that? The Government? The newspapers?
from incident response onwards as nothing more than a
paperwork exercise. Or worse, chose to remain ignorant of the It is my contention, and the real point of this article [finally],
right way forward.
that it's the employers who should take the lead in these At its heart, crisis management (and by extension,
situations, because even Governments don't have the level of
business continuity planning) is about four things:
influence over people that employers do. Of course everyone
1. An understanding of the business's individual functions.
should follow what the Government and reputable experts say
2. An understanding of how those functions are performed.
in these scenarios (CDC for example), but it's the employers
3. An understanding of who performs those functions.
who have the most effective access to, and authority over, the
4. Appropriate communication.
lion's share of the population. They also have the best chance, by far, of heading off the rampant ignorance that leads to
In other words, if what you do, and how you do it is known
wearing a plastic bag over your head and other irretrievably
and documented; AND is assigned to the appropriate and
stupid things that that we have seen during the pandemic!
accountable resources... then all you have to worry about is the ongoing communication. Yes, the implementation of
Not convinced? Think about it for a second. In the UK [for
appropriate technology(ies) is relevant, but that should really
example] there are ~66 million people, ~half of whom are
be a one-off exercise plus ongoing maintenance.
gainfully employed by ~2 million employers. If you exclude the public sector and the self-employed, you're left with ~1
Clearly this is not happening. Very few organisations have
million employers with multiple employees. I have long
maintained that our employers have taken over the role of the
their employees what COVID-19 is, what its impact could be,
communities of old (albeit very poorly): Your and your family's
and what to do about it. Almost everything that has happened
very livelihood (read Maslow's Hierarchy of Needs) is largely
to date has been reactive, ad hoc, and ineffective. You may
dependent on them. Even your sense of identity; You spend
think this is a little unfair? You may think that it should not be
more than a third of your working life either at work or getting
THE HIKE MAGAZINE
CORE CONCEPT SECURITY (CCS)
to and from it; A huge chunk of your interpersonal interactions are a result of your place of work (I married an ex-colleague for example (much to her regret)). Virtually everyone has a laptop/desktop, mobile phone, or both. And whether they are work-supplied or personally-owned makes no difference, your employer has direct and personalised access to you. They also have the 'power' to MAKE you listen/read/respond and ACT in accordance with their mandates. Now imagine if your employer implemented [or had access to] a service that provided not only the most up to date information from
detailed instructions on what each employee should be doing at any given time? Would these millions of people who are now armed against ignorance not significantly 'flatten the curve'? Imagine almost one HALF of the population influencing and protecting the other half, even if it's only against themselves. Bottom line; I believe organisations not only have a responsibility to keep their employees both informed and safe, they should be held accountable for it (up to and including regulation). It is, after all, in everyone’s best interests including the employers themselves. It just makes sense even if you’re mercenary enough to only see this from a financial perspective. Everyone, please stay safe, informed, and help out where you can, even if it's by staying in the house. David Froud David is Director at Core Concept Security. He is a Cybersecurity practitioner specialising in delivering collaborative data security solutions to high-end corporate clients. He is particular focused in Regulatory Compliance, Governance Framework Design, and Secure Payments and Innovation. He has significant international team management and sales support skills. He is an industry speaker, with a track record for simplifying security into terms that can be understood and implemented by anyone. Website: www.davidfroud.com Core Concept Security (CCS) Core Concept Security (CCS) is an independent cybersecurity and data protection consulting practice based in the UK with clients around the world. Website: www.coreconceptsecurity.com PAGE 032
LIFE SCIENCES AND HEALTH SCIENCES
TORONTO Annual r&d spend
$1 Billion USD
A CALL FOR ETHICAL AND SUSTAINABLE AI IN FASHION - H&M GROUP PAGE 034
No matter how smart machines get, we still need human
for transport and warehousing, which means less energy use.
beings to make the best possible decisions based on the information at hand. And in leading the shift towards a
“While creating an even more relevant offering for our
circular fashion business, H&M Group is committed to ethical
customers, we are reducing the environmental impact of our
and sustainable AI. At H&M Group, we work with AI and
operations,” says Zeighami. “It’s a win-win situation.” Looking
Advanced Analytics to secure an organisation based on
ahead, Zeighami recognises that amplified intelligence will
innovation and optimised business decisions (which in turn
play a significant role in the company’s journey towards a
enable sustainable choices).
circular business model. “I think AI is one of the most powerful tools we have in the transition towards such a fashion sys-
We combine AI and human intelligence into what we call
tem,” he says. “With AI we can make sharper and better
decisions that impact our world in a sustainable way.”
Essentially, Arti Zeighami, Head of Advanced Analytics and AI at H&M Group, says: “Amplified Intelligence is the
Leading the transition to a circular system while being a fair
collaboration between machines and humans — between
and equal company is the essence of H&M Group's vision, and
data and gut feeling. We are creating solutions that help our
AI is such a powerful tool, it can enable us to reach our
colleagues make more precise decisions, and enable them to
sustainability goals and realise that vision. But only provided
focus on the most relevant and creative parts of their work.”
that it is used in the right way. www.hmgroup.com
“Amplified Intelligence is the collaboration between machines and humans – between data and gut feeling. We are creating solutions that help our colleagues make more precise decisions, and enable them to focus on the most relevant and creative parts of their work.”
AI is used to amplify our designers’ creativity and our buyers’ decision-making, to boost our manufacturing efficiency, and to help us to align supply and demand. It also helps us to forecast trends accurately, to get the right products into the right stores and provides our customers with the most relevant and customised recommendations and offers. But we need to be careful. As the debate rages on the ethical and social implications of such techniques, H&M Group recognises the pressing need for sustainable and ethical AI. When it comes to decision-making at H&M Group, we are clear on our position. We need to make clever decisions that make a more sustainable impact on the world, driving the shift towards a circular fashion system. Circularity is ultimately about using resources sustainably, one central aspect of this is to produce only what we can sell. This, in turn, limits the need PAGE 035
LEARNING 7DISTANCE MEGA TRENDS HAS BECOME A THAT WILL SHAPE SIGNPOST TO THE OUR FUTURE FUTURE OF EDUCATION The most basic issue is whether distance learning is a reliable, worthy instructional mode of delivery in the first place. The answer is simple. When it is good it is very, very good, and when it is bad it is horrid.
Distance learning has exploded onto the world stage like a firestorm. One second it was the last thing on anyone's mind, and suddenly it was a vivid reality students, parents and educators had to face. The recent COVID-19 epidemic has thrown educational institutions at every level into a desperate and confusing state of affairs. No one was prepared. Schools are in a panic as to how to transition school sites for the coming fall semester. Colleges and universities are uncertain how to re-establish a coherent program that justifies high tuition costs. All of the current dilemmas evolve around the problems and issues of students being credited for course work, teachers finding completely different ways of offering effective instruction, and the leadership redesigning procedures that affect attendance, learning materials, health and food services and an endless list of critical issues. All of the above must be resolved in an environment that promises only one thing, they will be
It is true all teachers teach. However, they do not teach the same
underfunded starting now and well into the future.
levels or the same subjects. There are many modes of instructional delivery and teachers generally have a specific mode in which they
The most basic issue is whether distance learning is a
are experts. Being a wonderful fifth grade instructor or a terrific
reliable, worthy instructional mode of delivery in the first
high school science teacher is not the same as being able to deliver
place. The answer is simple. When it is good it is very,
instruction online. In fairness, this transition cannot happen
very good, and when it is bad it is horrid. Distance
overnight. Extensive training is required, not because one mode is
learning programs are being thrown together. There is a
better than the other, but because it is very, very different. One of
flawed attempt at creating a quasi-classroom program
the greatest problems with the national response has been that
teachers wanting to do the right thing did not have an opportunity to buy into the distance learning approach. Many, if not most,
The hardware is lacking, the software is missing, and the
teachers could certainly master the delivery of distance learning.
understanding of the elements critical to maintaining
Given the circumstances, in approximately 30 days America rallied
high standards is vague or even non-existent for those
and did remarkably well in reaching out to students and their
who have not spent time in preparation.
families. PAGE 036
The COVID-19 crisis will eventually pass and students, their parents, and the public at large will be left with different impressions of what took place during these frantic and painful months. Some institutions will have discovered that online learning offers a great deal as they struggle to cope with their volatile, ambiguous, and complex futures.
Altus Schools, in California, never missed a day. They moved from a blended learning environment to a distance learning delivery overnight. The Altus blended learning model utilizes technology but is focused on the meeting of Altus teachers and students in award winning futuristic facilities. Closing 40 classrooms was painful, but the Altus teachers were trained and certified online instructors. Nationally, school districts tried to achieve this level of performance with little or no preparation. Altus teachers have spent years developing curriculum that engages young people and utilizes technology as a tool to enhance instruction. Our nation's classroom teachers were thrust into this new style of online teaching with limited training and a lack of resources and instructional materials. Altus has spent 27 years mastering the art of online learning. The Charter School of San Diego, an Altus School, is
is that as its influence spreads everyone will be aware that this
the only k-12 school to ever receive the Presidential Malcolm
magical, exciting tool offers an opportunity for students from
Baldrige Award for quality and performance. There is a great
every socio-economic level, residing in all urban and rural
deal to be said about the role this type of instruction will have
communities. They will have a chance to reach out and
in the evolution of public instruction. Done well, distance
experience master teachers opening doors to maths mastery,
learning, supported by deeply committed teachers, can be a
scientific research, real-time language development, live
life changing opportunity for many. This is not a case of
historical settings, and plays and concert performance from
either/or. Learning options are undoubtedly a thing of the
the best. They will meet motivating and exciting speakers and
future. Students have different needs and different plans for
students just like themselves from all over the world.
their future. The greater the array of learning choices that students and their parents have, the better.
At this very moment, engaging students is a major concern to all. Distance learning done well can do that. Given time, and
The COVID-19 crisis will eventually pass and students, their
patience, it is likely that inadvertently this difficult period has
parents, and the public at large will be left with different
created radically new possibilities for educating learners of
impressions of what took place during these frantic and
painful months. Some institutions will have discovered that online learning offers a great deal as they struggle to cope
Mary Searcy Bixby, M.A., Founder of Altus Schools and widely
with their volatile, ambiguous, and complex futures.
recognized educational leader.
The economics of the times will have devastating effects on
Tom R. Davis, Ed.D., Executive Director of Altus Institute,
the secondary and post-secondary educational experience.
Educational Administrator and Executive Coach.
Smartly done, distance learning will inevitably play a significant role in the future learning of every child. The hope
Website: www.altus4u.com PAGE 037
There is huge potential for digitization and innovation to add value to society and to contribute to public health, the environment and biodiversity.
INNOVATION AND COVID - S. CHEARAVANONT. CEO, CP GROUP, THAILAND.
A successful digital transformation will involve empowering people to work in new ways,
In my view, these two goals are not mutually exclusive. In fact, I
including reskilling and upskilling.
think there is enormous potential for digitization and innovation to add value to society and to mitigate important
Cross-sector collaboration will play a pivotal role
issues, including public health, our environment and
in allowing us to 'build-back better' from the
current crisis. Reimagining different sectors For some time now, we have been in a new stage of
Technological advances and innovation can play a key role in
transformation where corporations and countries are
helping us reimagine how different sectors, ranging from
focused on equipping themselves with advanced
healthcare, telecommunications to agriculture, can leverage
technologies and new business models in order to stay
technology to make a positive impact in society. For healthcare
relevant and competitive in a fast-changing world. COVID-
providers and public health institutions, outbreaks will
19 has presented one of the most formidable challenges
continue to be a threat but it is possible to mitigate the impact
in recent history to governments, businesses, and society.
of outbreaks by harnessing big data and AI to predict and
Many consider it to be the ultimate tipping point for the
forecast epidemics, as well as to source medical supplies.
21st-century. The pandemic is a wake-up call for
There are promising examples where big data and the insights
companies to have a plan to deal with disruptions to
they provide have improved epidemic readiness and tracking.
ensure business continuity. It is also a watershed moment that will signal the fast-track acceleration process for
In Thailand, via the Digital Council of Thailand (DCT), C.P.
digitization throughout society.
Group and True Corporation is working alongside some other PAGE 038
"The digital transformation is as much about transforming business processes as it is about empowering people to work in new ways. A key priority for us at C.P. Group is thus to prepare our workforce for the future and enable them to adapt to the new realities of the world and the industries in which we operate."
Council members to launch digital platforms and applications
For example, we have seen how satellite systems can help
to help source medical supply donations as well as to track,
farmers better locate suitable arable land for farming, how the
trace and contain the spread of COVID-19. We have also been
Internet of Things (IoT) allows irrigation systems to better
working with HG Robotics to deploy robotic solutions at 41
manage water utilization, and how blockchain brings
hospitals around the country to enhance communications
transparency into supply chains by enabling buyers and sellers
between medical professionals and patients under quarantine.
to trace agricultural goods throughout the production process.
Each robot can help reduce actual physical contact by up to 70 cases per day.
Continuous R&D in satellite technology, biotechnology, nanotech and robotics has also shown that technology, when
A key element to business continuity and economic resilience
properly deployed, can have an enormous impact on helping
in this crisis is telecom and network providers maintaining
us to better understand animal diseases and the life cycle of
bandwidth for consumers and businesses. There is enormous
commodities to ensure that farms are more productive and
potential for tech to help connect people during lock-down
periods, and the shift to remote working and e-learning will likely extend beyond the COVID-19 pandemic. Collaboration
Upskilling, reskilling, and training the workforce
with governments, financial institutions, and regulatory bodies
The digital transformation is as much about transforming
will be necessary to build the right digital infrastructure to
business processes as it is about empowering people to work in
new ways. A key priority for us at C.P. Group is thus to prepare our workforce for the future and enable them to adapt to the
In the area of food supply chains and retail, integrating
new realities of the world and the industries in which we
breakthrough tech into agribusiness, farming and e-commerce
operate. This includes providing training and reskilling
will help bring more transparency and traceability into value
opportunities for our employees, and actively involving all
chains to serve customers and society in a more responsible
business units to ensure our company from top to bottom is
and sustainable way.
driven by innovation and digital upgrades. PAGE 039
THE HIKE MAGAZINE
This is particularly relevant for Southeast Asia, which is now in a golden era for tech start-up growth as people’s livelihoods improve. The internet economy in Southeast Asia will reach US$100 billion this year and triple to US$300 billion by 2025, according to a report jointly issued by Google, Temasek Holdings and Bain Capital. From 2015 to 2019, the online population in the region surged from 260 million to 360 million, of which about 90% use mobile internet. Providing a supportive ecosystem for start-ups is hence incredibly important to encourage more entrepreneurship and innovation in the region. This involves providing entrepreneurs with incubation programmes as well as support in terms of funding, skills development, and exposure to business networks. This was what motivated us to set up Southeast Asia’s largest start-up ecosystem, True Digital Park, focused on creating an environment that encourages connectivity and knowledge-sharing. Public-private partnerships Upgrading the infrastructure around digital and innovation is critical for business continuity and for our future society to thrive, but it cannot be achieved by the action of one company or country alone and it requires global public-private partnerships. As we tackle COVID-19 together, many technology companies are already taking action to directly support the healthcare industry, preserve jobs and safeguard their own workforces and communities, among many other notable efforts. While the private sector will need to plan how they can use technology to stay agile and resilient, companies also need to work closely with governments and international agencies like the World Economic Forum to develop a set of global norms and broad-based policy frameworks to support the transition to a 4.0 world. We will continue to raise the awareness of this through our current partnerships such as United Nations Global Compact and Global Compact Network Thailand to galvanize more publicprivate partnerships in this area. By harnessing the potential that exists in cross-sector stakeholders collaborating with each other, there is a real chance to radically rethink value chains to make sure a digitized, connected world will facilitate society as we “build back better” from the current crisis. Written by Suphachai Chearavanont, CEO, CP Group. www.cpgroupglobal.com PAGE 040
The Empowering Tomorrow Together initiative brings together all sustainability and CSR initiatives of the company under one umbrella and aims to build synergies, optimize resources, and maximize the impact of the Cyient Foundation outreach programs.
CYIENT LAUNCHES EMPOWERING TOMORROW TOGETHER
Cyient, a global engineering and technology solutions company, has announced the launch of its Empowering
Speaking on the announcement, Mr. BVR Mohan Reddy,
Tomorrow Together initiative. This move consolidates
Executive Chairman and Founder, Cyient, said, "At Cyient, we
Cyient's position as a purpose-driven brand and will
believe that the true measure of progress for an organization is
expand the impact of the Cyient Foundation's outreach
the positive impact it has on the society and community within
programs by leveraging synergies, optimizing resources,
which it exists. For the last 18 years, the Cyient Foundation has
and ensuring maximum impact across all sustainability
pursued long-term sustainable community development by
and CSR focus areas.
providing high-quality education and healthcare programs and driving environment-focused projects. By bringing all our
Aligned with Cyient's corporate brand promise of
initiatives under the 'Empowering Tomorrow Together' credo,
'Designing Tomorrow Together,' this program is rooted in
we hope to expand our potential to create impact and truly
the need to build lasting relationships and empowering
empower local communities by touching more lives in the days
and years to come."
Tomorrow Together will cover activities under four focus areas: education, digital literacy, social innovation, and
Cyient is a global engineering and technology solutions
company. For more information, visit: www.cyient.com PAGE 041
stop source” that provides payment solutions in accordance with the latest innovations and international security standards in the three lines of
MAHER MIKATI CEO - AREEBA, SAL. areeba is the leader in electronic payment in Lebanon. A financial technology company that takes businesses further, providing smarter, faster and seamless payment solutions for banks, merchants, governments and individuals.
business we cater for: Issuing: card management, mobile and contactless payment,
programs, and marketing consultancy services. Acquiring: in e-commerce, POS, tokenization, contactless and mobile payment. Loyalty Program Management:
mileage program, airtime program, cash back program. areeba partners with technology leaders like Visa, American Express, Gemalto, Zwipe, and Magic
spectrum from solutions for micro-merchants to fingerprint identification. How do you decide what innovations to add to your portfolio? Innovation and Customer Centricity are the main parts of our values, which involves supporting nontraditional payment solutions and optimizing the user experience by creating seamless payment solutions. This is mainly what drove us to launch the first biometric payment card (chip- and contactless-enabled) in the Middle East, in partnership with Gemalto and Zwipe, and which aims at using the fingerprint recognition as a more convenient and secure alternative to PIN or signature, to authenticate the cardholder during a transaction. Also, our partnership with MagicCube will enable us to launch the SoftPos application Maher Mikati is the CEO of areeba, the largest issuer and acquirer in
that will be providing a cost-efficient card and
Lebanon with an issuing presence in Egypt, Jordan and Iraq. We discuss
mobile payment acceptance solution for all micro
electronic payment in Lebanon, leadership and his predictions for the
merchants, enabling them to accept contactless
fully-digitised Middle East region.
payments directly via their Android smartphones and increase their sales by embracing digital
areeba has a suite of solutions that span acquiring, issuing and loyalty
for banks, merchants and governments. How does this joining-up of solution areas benefit your customers?
What are areeba’s competitive advantages?
At areeba, we invest in state-of-the-art payment technologies, which
Two main factors that make areeba a prominent
enables us to offer banks, merchants, governments, and individuals
competitor on the market:
smarter, faster, and seamless payment solutions, in order to facilitate
Technology and infrastructure: areeba provides
cashless payments in the MENA region. We like to position areeba as a "one-
a full suite of technology-enabled payments PAGE 042
(Technology and infrastructure contd) solutions through a well-invested, highly secure and scalable infrastructure that is designed for customers of varying levels of size and complexity and across multiple channels. Innovation: at areeba, we embrace the current fast-paced
"areeba’s vision is to empower a cashless world; and our mission and aim is to provide an efficient clearinghouse that processes secured transactions for financial institutions, governments, merchants and individuals, locally and regionally."
technological revolution and rapidly evolving trends, to ultimately offer our customers a unique range of
Quality: Providing high-value products and services and
innovative payment services. We are focused on helping
employing the best practices to ensure customer
our clients solve their business challenges by providing
them with the most innovative solutions to meet their
Expertise: Working with a comprehensive team of
seasoned professionals with a clear vision on future payment trends.
Share with us some of areeba’s values and its mission.
Integrity: Conducting business with the highest standards
areeba’s vision is to empower a cashless world; and our
of professionalism and ethics to build a solid foundation
mission and aim is to provide an efficient clearinghouse that
with our clients.
processes secured transactions for financial institutions,
Collaboration: Working with partners to introduce new
governments, merchants and individuals, locally and
regionally. We achieve both our vision and mission by leaning on our main cores values which are:
Tell us about your background and career highlights.
Innovation: Integrating solutions to support non-
I am the Chief Executive Officer of areeba SAL which I founded
traditional payment flows.
in March 2017, and turned into one of the leading financial and
Trust: Relentlessly enhancing the security of transactions.
payment technology companies in the region with the aim to PAGE 043
AREEBA, SAL THE HIKE MAGAZINE
Previously as an Executive Director at Investcom Holding, I managed and oversaw all new business ventures in the EMEA region. Later, as the Managing Director of areeba Cyprus Ltd. (Investcom’s telecom operator in Cyprus), I actively led the complete rollout of the first private mobile operator in the country. Currently, I am a member of M1 Group’s Investment Committee, in addition to being responsible for its investments in fashion, retail and aviation. I am a board member of Growthgate Capital and Pepe Jeans Group. I am also the director of the Mikati Foundation, and have been a member of the AUB Board of Trustees since 2014. I am currently Deputy CEO of M1 Group and CEO of M1 Fashion. Tell us about your approach to leadership; how do you ensure consistent delivery of excellence by your teams at areeba? areeba has implemented since 2018 the agile methodology within the company, as a better way for the teams to consistently deliver excellence in our products and services. Its goal is to develop, deliver, and sustain complex products through collaboration, accountability, and iterative progress. This methodology has significantly enhanced cross departmental collaboration and broken down team silos, and it has led to an efficient utilization of resources. It has allowed the teams to continuously improve their results with fast and effective time to market, all the while focusing on customers. A report by Boston Consulting Group (BCG) found that switching to digital payments can boost annual GDP by as much as 3%. What initiatives are in place in Lebanon to change payment habits across the country? A recent study we carried out showed that 90% of credit card usage was centered in Beirut, while people outside the capital did not use their cards much and a lot of businesses did not own POS machines. We took it upon ourselves to spread the e-payment culture across all Lebanese regions by launching in the last quarter of 2018 a unique regional initiative in Lebanon, aiming at educating both the merchants and the consumers in regions outside of the capital to shift from cash to paying with cards and PAGE 044
mobiles. The campaign instantly showed positive results, and
According to a 2019 GSMA report, 30% of the Middle East
merchants who installed an areeba POS quickly noticed an
region’s population are young people with a mobile
enhancement in their sales, better customer experience, and a
penetration rate of 64%. How is areeba serving them?
decrease in the operational cost resulting from less cash
We have definitely detected a prominent spending trend
among young Lebanese today who clearly prefer alternative methods of payment to cash, even for small daily purchases.
What role do you see advancements in blockchain and AI
We understand that the younger generation has grown up
contributing to your technology in the coming years?
with mobile technology at their fingertips and for many of
Today many industries around the globe from banks to
them cash is an outdated concept. Under this umbrella, we
fintech companies are experimenting with blockchain-based
will be launching soon a mobile payment app in order to cater
payment solutions, because it promises to facilitate fast,
for this demographic and provide them with a convenient
secure, low-cost international payment processing services
payment tool bundled with financial services and value added
and other transactions. I believe blockchain may become a
game-changer for payment-related services but despite its potential benefits this may take time to become widespread.
In some countries, the COVID-19 crisis has been a catalyst
Artificial intelligence is steadily making its way through the
for adopting and promoting cashless payment for contact-
payments and financial services world. The technology's
less experience. How has this played out in Lebanon?
effectiveness for fraud detection is clear, but there are other
Fears over virus transmission have pushed Lebanese
areas where AI is being implemented successfully, such as:
cardholders to rethink how they shop and pay, we have even
chatbot, consumer behavior scoring, dynamic 3D secure,
witnessed an increase in contactless transactions and a surge
predictive analysis, etc.
in online shopping as consumers starting turning to digital PAGE 045
AREEBA, SAL tools even to purchase the basic items such as groceries. areeba was the first payment provider in Lebanon to implement the limit increase for contactless payments through its POS network, in order to reduce cash handling and limit the risk of infection. Tell us about the financial relief measures by areeba to support merchants during the COVID-19 outbreak. The impact of COVID 19 on business owners in Lebanon was high as they already faced tremendous pressure on their business revenue. We wanted to offer support and help them in the ways we can, not just financially but morally as well. As a matter of fact, we have waived the monthly rental fee of its POS machines from 1 April 2020 until the end of 2020, and committed to also offer free installation with no monthly rental fee to all our current and new clients. This initiative includes more than 14,000 POS terminals across all our merchants in Lebanon, from different business lines: retail shops, coffee shops, restaurants and grocery shops. Do regional regulatory guidelines in the Middle East need improvement to keep up with innovation? We do believe that there is room for advancement and improvement when it comes to the regional regulatory guidelines in the Middle East. New regulations need to be put in place in order to push people into a cashless economy, which is essential for fraud prevention. Digital onboarding and digital wallet are for example two services that need to be implemented and regulated in that sense. Tell us about social responsibility at areeba. We launched the platform www.HelpLebanon.com as part of our corporate social responsibility strategy, with the aim to support our country during difficult times by providing a digitized space that enables donors to help the Lebanese NGOs and healthcare organizations of their choice. This platform allows NGOs and healthcare organizations to share their mission and be exposed without any fee, and in turn, donors can choose the cause they would like to support and donate to. areeba’s role will be to process all online donations using the latest online payment security features free of charge. Find out more about areeba by visiting www.areeba.com PAGE 046
BRAZIL LEADING ON INNOVATION
REINVENTING PROGRESS - SUSTAINABLE MANUFACTURING Of all the changes the COVID-19 pandemic has forced the world to make, reducing sustainability objectives should not be one. On the contrary, in order to truly fight the root causes of the pandemic, the world has to accelerate towards more sustainable goals. Solvay, fully aware that caring for people and planet is the only way out of the current and future crises, remains committed to its climate, resources and better life targets as recently
SUSTAINABILITY ISN’T A LUXURY, IT’S THE ANSWER - SOLVAY
outlined in its One Planet sustainability plan, a series of strong commitments to curb our negative impacts and enhance our positive ones. Striving for sustainability isn’t an effort that should only be made when everything is going well, when there is sufficient prosperity to support those efforts. Instead, making some fundamental changes to our economic, industrial, financial and commercial systems and behaviors now appears even more clearly as a crucial necessity; even when the economy is crumbling - and actually because it is crumbling. “I believe that a new world will emerge after the crisis,” says Solvay CEO Ilham Kadri. “A world that is more circular and sober, with more transparency, diversity, and inclusiveness - it will be a world that is more vigilant about its impact across supply chains and ecosystems as a whole. All this will demand a more socially responsible capitalism.” Committed to encouraging the advent of this new breed of capitalism, Solvay is engaged in a wide range of long-term actions that save resources, care for the environment, promote sustainable industrial practices and limit our climate impact, all while conducting business and even continuing to grow it. We don’t see sustainability as an obstacle to business, but as a business objective. THE PROTECTION OF BIODIVERSITY Solvay aims to lead the way in biodiversity protection, a seemingly simple concept, but in reality a highly complex thing to achieve. We have set quantified targets to reduce the pressures our activities apply on biodiversity, namely climate change, freshwater eutrophication, marine ecotoxicity and soil acidification. Our objective is to reduce these by 30% by 2030, which makes Solvay a pioneer in this field. PAGE 048
'Striving for sustainability isn’t an effort that should only be made when everything is going well, when there is sufficient prosperity to support those efforts. Instead, making some fundamental changes to our economic, industrial, financial and commercial systems and behaviors now appears even more clearly as a crucial necessity; even when the economy is crumbling - and actually because it is crumbling.'
RAMPING UP RENEWABLE FOR A MAJOR CUSTOMER
recycling it more, we will reduce our freshwater intake by 25%
A few years back, one of the world’s largest and most well-
by 2030 (compared to 2018).
known personal electronic device manufacturers requested its suppliers to power themselves with renewable energy.
Currently, Solvay’s total yearly emissions of greenhouse gases
Solvay is among these suppliers, and since this demand
are roughly 12 million tons of CO2 equivalent. Two-thirds of
aligned perfectly with our own sustainability objectives, it
those are due to energy (mostly burning fossil fuels to power
helped us accelerate our green electricity projects.
our plants), and one-third to processes (emissions of gas that occur when we manufacture products). This simple
WE ARE REDUCING ALL OUR SOURCE OF EMISSIONS
proportion alone is enough to understand that energy
An important part of our sustainability objectives is of course
transition projects are a key lever to pull in order to reach the
limiting our climate impact. Solvay will reduce its greenhouse
Group’s climate ambitions - in addition to the strong
gas emissions by 26% by 2030 (compared to 2018), as
improvements (already made and in progress) for significantly
announced in our Solvay One Planet plan. This means
reducing emissions from manufacturing processes.
accelerating the switch to renewable energy through numerous green power projects, but also tracking every possible action to reduce the process emissions generated by our manufacturing plants. CIRCULAR: A BUSINESS MODEL TO PRESERVE RESOURCES Solvay also aims to reduce its environmental footprint when it comes to natural resources. By developing circular business models (making products from recycled/re-used materials instead of extracting them from the environment) and bio-
"I believe that a new world will emerge after the crisis. A world that is more circular and sober, with more transparency, diversity, and inclusiveness." Solvay CEO Iham Kadri
based products (replacing fossil and mineral resources with vegetable, renewable ones), we are reducing our impact and
Solvay is a science company whose technologies bring
that of our customers in domains ranging from personal care
benefits to many aspects of daily life. Our purpose—we bond
to electronic devices, for the good of all.
people, ideas and elements to reinvent progress—is a call to go beyond, to reinvent future forms of progress and create
MANUFACTURING WITH LESS WATER
sustainable shared value for all through the power of
Water preservation is a crucial issue that is only going to
science. In a world facing an ever-growing population and
become increasingly important as hydric stress rises around
quest for resources, we aim to be the driving force triggering
the world. Solvay has started implementing programs that
the next breakthroughs to enable humanity to advance while
will lead to substantially reducing the quantity of water we
protecting the planet we all share.
consume. By being more efficient in the way we use water and
For more information, please visit: www.solvay.com PAGE 050
The City of Innovation and your Gateway to Latin America
ANDREW YANG CEO - AUTHENTICITI Authenticiti is a supply chain data platform for manufacturers, powered by blockchain. It overlays on existing systems of records to aggregate critical order-to-cash data into a single source of truth.
Tell us about some of the problems and losses companies can overcome with your solutions. We are taking out the supply chain complexities by creating a real-time data platform powered by blockchain, that connects data siloes from legacy applications, supplier portals and/or documents such as PDF & emails, to a standard format for easy secure data sharing. What industries have the greatest need and potential for Authenticiti's solutions? Data sprawl has been the enemy of supply chain innovation across manufacturers worldwide, but specially in aerospace, automotive and industrial manufacturing. For decades there has been considerable efforts to better manage supply chains, and with applications deployed for specific needs, most supply chain infrastructures today are a labyrinth of data, tools and processes. This complex environment is riddled with manual steps sprawled across departments. Authenticiti is a blockchain-based supply chain integration platform that overlays on top of existing systems of records to aggregate critical supply chain data into a single user-friendly interface without replacing current systems. The solution provides real-time asset tracking visibility, secure exchange and validation of documents and reconciliation
manufacturers and its partners. Andrew Yang is the CEO of Authenticiti. Founded in 2016, Authenticiti
What are some of the unique advantages your
has helped companies across different industries such as aerospace,
solutions offer above other options?
manufacturing, mining and insurance, with operational advancements
The Authenticiti proposition is straight-forward and
and millions in savings annually. The company is headquartered in San
compelling. Our platform is an overlay that works
Francisco with an engineering office in Toronto, Canada.
infrastructures. The advantage of this approach is Please tell us about Authenticiti.
that users gain visibility and control, regardless of
We provide solutions to effectively connect and manage next-generation
their backend ERP, logistics or accounting system.
supply chains. Authenticiti is a technology provider that enables companies
The Authenticiti Advantage:
to innovate and gain real-time supply chain visibility in a complex,
Rapid Deployment: The entire platform is packaged
demanding, and highly competitive market. Authenticiti platform is the
in a lightweight Docker Container allowing quick
single-source-of-verifiable-truth for supply chain management, connecting
deployment to a public, on-premise or hybrid cloud
data from siloes systems in real-time.
in hours, not days or weeks. PAGE 052
Robotic Process Automation: Automate data extraction of
"I co-founded Authenticiti with the vision to build a platform that changes the way companies manage their supply chain."
related fields from siloed applications, documents and emails into a single user-friendly interface dashboard. Streamline complex task of mapping duplicate fields between siloed enterprise systems. Distributed Encryption: Key sharding encryption combined with blockchain infrastructure for highly secure, federated
improve the operations. I am also an international speaker on
blockchain innovation and have worked with clients around
Smart Contracts: No-code needed configurable smart
the world on their operational transformation.
contracts, that convert manual workflows to automated
transactions based on predetermined actions and triggers.
Authenticiti recently secured additional funding, tell us
Map user identity authorization to enable permissioned data-
what we can expect to see from you.
sharing across multiple parties.
The added investment will allow Authenticiti to expand its operations and continue innovating the platform, its products
Tell us a bit about your professional background?
and the technology.
I co-founded Authenticiti with the vision to build an overlay platform that changes the way companies manage their
Authenticiti has worked with companies like Lockheed
supply chain. I am a former entrepreneur-in-residence at GE
Martin, GE, Daher and Zebra. How have these experiences
Ventures, and the Alchemist Accelerator in San Francisco.
helped to shape your offering and strategy?
I wanted to focus on removing the inefficiencies that cause
We uncover common challenges amongst manufacturing
companies related to lack of visibility across their supply chain
technology such as blockchain and advanced analytics to help
operations. In most cases, critical supply chain data is heavily PAGE 053
AUTHENTICITI THE HIKE MAGAZINE
siloed among multiple ERP systems and track and trace applications causing a lack of visibility among production, manufacturing and logistics teams. Many use excel spreadsheets with reconciled data, email and limited EDI connectors to share information among key stakeholders within their company and with their external supply chain partners (suppliers/carriers/end-customers). We learned that this can cause problems such as extended DSO, overproduction of inventory, rejection of shipments because of missing parts, challenges with order & invoice reconciliation and much more. Authenticiti helps manufacturers integrate with their existing legacy applications and unite all critical supply chain data into a single source of truth and the ability to: - Track individual parts in real-time from production to delivery. - Create unique identifiers for parts and digitize quality assurance documents associated with them. - Leverage supply chain data to trigger real-time alerts for key stakeholders. - Create smart contracts that enable automatic and digital invoicing upon delivery of the shipments. - Eliminate the use of EDI connectors and spreadsheets to share information. - Create an end-to-end data audit trail stored on a blockchain database to resolve any disputes related to purchase order obligations or SLAs. Tell us about your plans to bring Authenticiti to international markets? Authenticiti has customers in the Americas and Europe but the plan is to scale capacity and accessibility to additional countries and regions as our journey to transform supply chains around the world continues. How do you develop and improve your leadership abilities while leading an exciting startup? As the company scales, having a culture that is inclusive and fosters growth is a big priority. Establishing a set of company’s values that help build the culture and future of Authenticiti: Ambition & humility / Accountability & ownership / Help others succeed / Plan, do, learn, improve. PAGE 054
How would you describe your particular approach to leadership? Inspired by leadership that balances relentless professional will with genuine personal humility, I am building a company that fosters innovation through proven methodology, discipline and cutting-edge technology. About Authenticiti Authenticiti is a supply chain data platform for manufacturers, powered by blockchain. It overlays on top of existing systems of records to aggregate critical order-to-cash data into a single source of truth without replacing your current systems. With Authenticiti you can eliminate data siloes, gain real-time visibility and streamline the supply chain processes, automate manual reconciliation, reduce lead-time, prevent SLA disputes and ultimately save millions in factoring costs.
"We uncover common challenges amongst manufacturing companies related to lack of visibility across their supply chain operations. In most cases, critical supply chain data is heavily siloed among multiple ERP systems and track and trace applications causing a lack of visibility among production, manufacturing and logistics teams... Our platform helps manufacturers integrate with their existing legacy applications and unite all critical supply chain data into a single source of truth."
For more information, please visit: www.authenticiti.io PAGE 055
PORSCHE DESIGN PRESENTS UNIQUE CUSTOM-BUILT TIMEPIECES PROGRAM
Porsche Design has presented a revolutionary custom-built
chronographs all originate from automotive production,"
Timepieces concept that allows Porsche and watch
says Jan Becker, CEO of Porsche Design Group. The custom-
enthusiasts to design their own chronograph perfectly
built timepieces can be configured online and ordered through
tailored to their liking for the first time.
participating Porsche dealerships.
It took nearly six years since the foundation of Porsche Design
THE CENTERPIECE: DIGITAL WATCH CONFIGURATOR
Timepieces AG in Solothurn, Switzerland, to bring this highly
The menu navigation and overall design of the new watch
multifaceted project to life. The web-based watch configurator,
configurator are based on the well-established Porsche car
which is based on the well-known Porsche car configurator,
configurator. Just like the Porsche 911 range, the watch is
digitally visualized down to the smallest detail to provide
configurations to create a one-of-a-kind timepiece.
customers with a realistic depiction of their dream timepiece. "The rendering model is based on CAD data from our designers
"No other car manufacturer or watch brand currently offers
at Studio F. A. Porsche in Zell am See and our engineers in
such a customizable and exclusive program of this kind. The
Solothurn," says Rolf Bergmann, Managing Director of Porsche
colors, types of leather and decorative fine-stitching on these
Design Timepieces AG. The features, including the pricing for PAGE 056
"No other car manufacturer or watch brand currently offers such a customizable and exclusive program of this kind. The colors, types of leather and decorative stitching on these chronographs all originate from automotive production," Jan Becker, CEO of Porsche Design Group.
each respective configuration, are displayed in real time. A basic custom-built Timepiece starts at $6,000 USD and, depending
to $12,500 and includes up to three additional leather straps. Orders are placed exclusively through Porsche dealers and delivery will take eight to 12 weeks. THE CASE - A FUTURE CLASSIC The first step in the virtual timepiece configurator is to select the 42mm case. The customer can choose between a glass bead-blasted natural titanium case and a black titanium case coated in titanium carbide via PVD. "Titanium and blackcoated titanium cases are what Porsche Design timepieces have become known for. This originated with the designer of the Porsche 911, Ferdinand Alexander Porsche and we will never change anything about it," Bergmann continues. The legendary design by F. A. Porsche has found its contemporary interpretation in the cases of the custom-built chronographs
Porsche car. Porsche Design is also offering the original
that are based on the Chronotimer Series 1.
Porsche color palette. The rotor on the new watches correspond to a 1:22 scaled-down version of the original rim,
THE MOVEMENT - NEW IN-HOUSE CHRONOGRAPH CALIBER
adapted to the geometry of the timepiece. They are crafted
With the launch of the Porsche Design custom-built
with a level of precision down to five thousandths of a
Timepieces program, the new in-house caliber WERK 01.100
millimeter. The Porsche Crest, which measures around 50mm
with 48 hours of power reserve enters series production for
on a vehicle rim, is a mere 3.3mm wide and 4.4mm high on the
the first time. The highlight of this COSC-certified movement is
winding rotor cover. Nevertheless, the Porsche Crest still
the customizable winding rotor, featuring the wheel designs
remains clearly visible to the naked eye.
of the latest-generation Porsche 911. For the first time ever, Porsche Design is offering a timepiece with a completely
WATCHBANDS - UP TO 300 DIFFERENT CONFIGURATIONS
customizable movement component. "We put an enormous
The enormous amount of work put into this program is most
amount of work into checking all of the variants in advance
apparent in the metal and leather watchbands, which are
but that is precisely the level of attention to detail that our
available in three sizes. Pop-up menus in the configurator
customers expect from us," Rolf Bergmann, Managing Director
make selections easy. The metal bracelets are made of skin-
Porsche Design Timepieces AG, explains. From the classic 911
friendly titanium and all versions feature individually
Carrera rim, including the two-tone Porsche Crest in the
screwed-down links. Like the case variants, they are available
center of the rotor, to the 911 Carrera Exclusive Design wheel
in glass bead-blasted natural titanium or black-coated
version with a gold badge at its center, there are six different
titanium carbide. Additionally, there are two different closing
rotor types to choose from. The color on the rotor edge can
mechanisms to choose from: a butterfly clasp with lateral
also be customized, just like the outer edges of the wheels of a
buttons or seven-step fine adjustment. PAGE 057
All leather straps are crafted from the same hides used for Porsche automobile interiors and come in the 14 official interior color options of the Porsche 911. The leather wristbands come with a butterfly clasp as well as side buttons for quick and easy release. For the stitching on the strap, 19 different colors of genuine Porsche yarn are available, meaning that there are up to 300 different possible configurations. Two additional bracelets can be designed and purchased per order and the configurator's full range of options remains available for this selection. The new quick-change side button system makes it easy to change them without the use of any tools. CUSTOM-BUILT DIAL AND BEZEL
“When the company was founded in Switzerland in 2014, it was already clear that we wanted to execute a custombuilt timepieces project, which was then known as the Porsche Design Club Watch Concept,” Gerhard J. Novak General Manager Porsche Design Timepieces.
The dial is personalized via inlaid colored rings, featuring minute markers in the style of the design-defining classic PAGE 058
PORSCHE DESIGN speedometer developed by F. A. Porsche. There are 27 Porsche 911 exterior and interior colors to choose from. Even the hands can be personalized, with the customer able to choose either classic Essence in black or sporty Performance hands in matte-white with red tips. The watch's bezel can also feature either traditional minute markers or a tachymeter for tracking speed or distance. CUSTOM LASER ENGRAVING - THE FINAL TOUCH Upon request, each Porsche Design custom-built Timepiece can be individualized with laser engraving on the back of the case, enhancing each timepiece with the ultimate in personal touches. This supplementary engraving can also be applied to the watch box, which is exclusive to the new watches. Additionally, the corresponding car visuals can be requested for the emblem on the timepieces' box. The fonts and lettering featured on the rear of the customer's car can be applied as well. Alternatively, the customer has the option to select a graphic logo, such as the current 911 Carrera flyline. PORSCHE DESIGN Porsche Design is the exclusive lifestyle brand that stands for a unique symbiosis of puristic design and exceptional function in the area of accessories, sportswear and fashion - the life companion for individualists. In 1963, Professor Ferdinand Alexander Porsche created one of the most iconic design objects in contemporary history: the Porsche 911. Following his vision to take the principles and myth of Porsche beyond the automotive world, he created the exclusive lifestyle brand Porsche Design in 1972. His philosophy and design language can still be seen in all Porsche Design products today. Every Porsche Design product stands for extraordinary precision and perfection, boasts a high level of technological innovation, and seamlessly combines intelligent functionality and puristic design. Created by Studio F. A. Porsche in Austria, our products are sold worldwide in over 130 Porsche Design stores, high-end department stores, exclusive specialist retailers, and the official online store: www.porsche-design.com PAGE 059
With a heritage of producing the highest quality products, TUMI, the leading international travel and lifestyle brand, takes the next step in its mission to protect what matters. TUMI is committed to minimizing its impact on the planet by designing for durability and introducing sustainable materials with the launch of Merge, the brand's first travel collection made with recycled materials, as well as select
TUMI BUILDS ON LEGACY OF INNOVATION THROUGH SUSTAINABILITY
styles within the Alpha Bravo and Devoe collections. These new products give consumers the option to make a positive choice for the planet without compromising style
TUMI is dedicated to building a more sustainable future and
has created a program that underscores the importance of sustainability throughout every aspect of its business. It
"When the time is right for travelers to embark on their
next journey, our promise is to protect not only their
Innovative Products, by designing products that are built
treasured personal items, but also the world they travel to
to last and adopting recycled materials, TUMI has diverted
see," says Victor Sanz, TUMI's Creative Director. "The TUMI
more than 980,000 plastic bottles from landfills.
brand is innovative by nature, but we are sustainable by
Carbon Action, working to reduce carbon intensity by 15%
choice. And as such, we are committed to designing
and transition to 100% renewable energy by 2025.
innovative products and manufacturing processes that
Thriving Supply Chain, requiring suppliers to meet TUMI's
take care of our planet, while ensuring that our people are
standards of fair and responsible business.
treated with respect and care."
People Focused, providing the global TUMI team with safe PAGE 060
THE HIKE MAGAZINE
working environments and offering the best opportunities, culture and support. Diversity & Inclusion is a key pillar of the brand's sustainability pledge. TUMI's journey is powered by people. Their passion and dedication make them the brand's greatest asset. As a peoplefocused business, TUMI provides meaningful opportunities for all employees by investing in their success and creating a supportive working environment. Making a positive impact on communities both near and far is a key part of TUMI's sustainability efforts. By working with exceptional charity partners, TUMI strives to make tough journeys lead to better places in order to create lasting and sustainable change globally. "We are continually on a journey, growing our business and ensuring we work with integrity every step of the way," says Jean DeCicco, General Manager TUMI North America. "Being with the company for more than ten years, I've seen firsthand the positive evolution we've gone through, and I'm thrilled to continue leading forward with targeted action. As a brand, we believe we have a responsibility to the world beyond the products we sell, most importantly to our people and our planet." TUMI's commitment to longevity has been a part of the brand's DNA since the very beginning. With a focus on the full lifespan of the product after it is sold, sustainability doesn't stop at utilizing recycled materials. Because value is more important than ever, TUMI purposefully engineers reparability into product design, creating bags that can be carried for even longer. Additionally, an extensive global repair network helps to ensure that TUMI bags stay on the road, further minimizing impact on landfills. "We design and test all our materials relentlessly for durability and remain committed to the highest quality," says Christine Riley Miller, Director of Sustainability. "As part of our sustainability program, TUMI will continue to make changes across our business to minimize our impact on climate change. The robust performance of recycled PET alone – meeting all of our 30 rigorous tests – enables us to use responsible materials with no compromise for our customers and uphold our commitment to protecting the planet we love to travel." PAGE 061
TUMI's Spring 2020 products made with recycled materials have alone diverted more than 395,000 plastic bottles from landfills. Since 1975, TUMI has been creating world-class business and travel essentials, designed to upgrade, uncomplicate, and beautify all aspects of life on the move.
Alpha Bravo Styles, made with recycled materials
TUMI's lightweight yet durable Merge collection, as well as
Body Fabric: post-industrial recycled nylon
select styles from rugged yet refined Alpha Bravo, and
Lining: post-consumer rPET
architecturally designed Devoe, feature materials that reflect
Bottles diverted on initial production: 172,800
the brand's ethos of longevity while giving unwanted plastics a second life. TUMI's Spring 2020 products made with recycled
Devoe Styles, made with recycled materials
materials have alone diverted more than 395,000 plastic
Body Fabric: post-industrial recycled nylon
bottles from landfills.
Lining: post-consumer rPET Bottles diverted on initial production: 8,600
Merge's recycled PET lining uses plastic bottles, preventing them from ending up in landfill. And its outer body fabric is
made from surplus nylon – also destined for landfills until it's
Since 1975, TUMI has been creating world-class business and
given new form as a hardworking textile ideally suited to
travel essentials, designed to upgrade, uncomplicate, and
modern travel. Similarly, styles within Alpha Bravo and Devoe
beautify all aspects of life on the move.
are made with body fabric comprised of post-industrial recycled nylon and lining made from post-consumer recycled
Blending flawless functionality with a spirit of ingenuity, we're
committed to empowering journeys as a lifelong partner to movers and makers in pursuit of their passions. The brand is
Merge Collection, TUMI's first sustainable luggage collection Body Fabric: post-industrial recycled nylon
sold globally in over 75 countries with upwards of 2,000 points of sale.
Lining: post-consumer rPET Bottles diverted on initial production: 214,000
For more about TUMI, visit www.TUMI.com PAGE 062
INVEST IN OMAN WWW.ITHRAA.OM
THE THREE SKILLS OF LUXURY CUSTOMER EXPERIENCE IN THE DIGITAL AGE
Most brands in the luxury goods and services industry were late to the last decade’s digital transformation party. Others are resting easy because they have a website, have adopted ecommerce, have finally caught up to conducting virtual curated client engagements, and are now using tech to communicate with, and deliver to, their clients from all channels. Those are all solid enhancements, but they are all now considered table stakes in the multi-trillion-dollar luxury goods and services industry. The biggest customer experience opportunity now, pandemic,
The biggest customer experience opportunity now, is to understand and embrace the skills that support the blending of digital and emotional intelligence.
or not, is to understand and embrace the skills that support the blending of digital and emotional intelligence. To optimize their digital strategy brands must embrace the fact that they will need to master three critical skills: personal data expertise, AI expertise, and emotional intelligence expertise. Everything else,
including product innovation, supply chain and even channel PAGE 064
To optimize their digital strategy brands must embrace the fact that they will need to master three critical skills: personal data expertise, AI expertise, and emotional intelligence expertise. Everything else, including product innovation, supply chain and channel management optimization, is dependent on that foundation.
management optimization, is dependent on that foundation.
is not so great in the land of AI. The truth is that most AI projects
The pandemic has nearly paralyzed many luxury goods brands,
fail. And the root cause is the lack of the right data, and the
as well as some luxury services brands. It has exposed the
dismal quality and structure of even the right data. Data
vulnerability of a primarily transactional, Industrial Age
scientists spend up to 80% of their precious and expensive time
business model. Although no brand is immune, having
doing “data wrangling” which is defined as the process of
cultivated deep client relationships pre-pandemic has provided
cleaning, structuring and enriching raw data into a desired
resilience for a few brands. As some top executives and
format to feed the AI prediction machines. According to top
business development associates have told the Luxury
data experts interviewed by Luxury Institute, “bad data” issues
Institute, “You know you have a deep, trusting client
are rampant, and lead to bad AI predictions, high error rates,
relationship when the client calls you first, to check how you are
bias, and many other failures that AI experts and vendors fail to
holding up during the pandemic, and then soon calls you back
communicate to clients in the midst of all the hype.
to tell you what they need to buy next.” Data is a complex topic, but let’s simplify the 7 critical In the 2020s, executing digital transformation by deploying
requirements. First, data must be legally and ethically obtained,
technology components without first planning and building the
without coercion, with written permission. Second, the data
client relationship framework described here, is the equivalent
must be protected with military grade cybersecurity and
of building a human body without the brain to synchronize the
privacy tools. Third, data must be from the original single
actions of the individual body parts. Performance is minimized
source such that it can be validated. Fourth, the data must be
or fails. For three years now, Luxury Institute has been
relevant and multi-dimensional such that data scientists can
mastering and assembling the deep expertise to guide and help
aggregate different elements to paint a full picture. For
clients manage what will become the competitive advantage in
example, to help a patient get well, and stay well, data from
luxury: earning privileged access to personal client data in order
their medical history, prescriptions, genetics, diet, exercise, and
make better, faster, cheaper AI predictions that lead to
several other dimensions should be aggregated. Fifth, the data
designing optimized and transformational experiences curated
needs to be available for the relevant time period, spanning
by emotionally intelligent trusted experts. Here are the
years, months, or real-time, depending on the prediction
essential details for each skill that will help brands execute their
objective. Sixth, the data must be totally accurate, not derived
digital business strategy successfully to build and deepen client
from inference or sourced from third party brokers. And finally,
the data must be structured into a format that makes it more ready to use for analytics and AI. The only way that all seven
1. Personal Data Expertise
criteria can be met is if the brand gains access to personal
Silicon Valley data scientists tell Luxury Institute that everything
data directly, by-consent, from each individual prospect, or PAGE 065
In the 2020s, Luxury Institute predicts that rich access to customer data, AI, and emotional intelligence will converge into a triad of high-performance client relationship building enablers. It will be fascinating to see which brands lead.
client. This process that enables the exchange of personal
It is the rich data, the powerful insights, the smart decisions,
data directly with clients and prospects exists technologically
and the human initiatives taken as a result that are the high
and is cost effective. It requires deep, verifiable trust. It aligns
value resources in the digital age. The AI is a commodity. Take
the best interests of the ethical brand and its valued
a real estate transaction. There may be 30 critical steps to
customers. Direct, ethical access to personal data is not
selling and buying a home. Algorithms can help the right
simply a moral or ethical imperative. It is about high efficiency
buyers and sellers find each other faster and cheaper, through
and effectiveness in the digital age.
a real estate advisor, by matching predictions. They can also execute many of the buying and selling process steps, such as
2. AI Expertise
verifying data, faster and more accurately than human beings.
Think of AI as simple, and super accurate, pattern recognition.
This frees up the human experts to use their judgment,
AI can predict whether a credit card transaction is fraudulent,
decisions and actions to get better results for the clients. In
whether a patient has a disease, and what a customer is likely
the luxury industry, most tasks in a process are still done by
to buy next, far better, faster and cheaper than a human
humans. And many, such as craftsmanship and planning, will
expert. Once the brand has created a direct client pipeline to
still be done by humans. But just as in the accounting, legal,
the most relevant, rich and real-time data, the analytics and AI
financial and medical professions, luxury algorithms are
process can thrive. First, it must be said that with access to the
destined to replace many of the rote, mechanical, repetitive
best, most-timely data, a brand may not always need as much
tasks. Algorithms can only predict what they are programmed
cutting-edge AI. Either the client will trust and desire the
to predict. But algorithms don’t have real world context or
brand so much that they will communicate the need in real
emotions. Therefore they miss the nuances, serendipities and
time such that no prediction is required, or the analytical
feelings that drive optimal decisions in the real world. Thus,
insights can be generated with simple calculations and
algorithms, at least for the foreseeable future, will exist to
queries due to the superb richness of the shared data. There is
support, not replace, human experts, especially during high
no question that the combination of the best data, domain
value, high risk, high investment and high emotion purchases
experts, and data scientists can create prediction engines that
and decisions. Senior executives in the luxury goods and
can outperform humans in accuracy and speed, and do it at
services industry need to step up now and build the
massive scale. Not only has AI become more predictive, but its
organizational expertise and frameworks to implement AI
cost has plummeted to near zero. AI is becoming so
while entrenched deep in the reality of what it takes to
commoditized that companies such as www.algorithmia.com
execute brilliantly. Failure to do so can be marginalizing, if not
are creating algorithm marketplaces to accelerate the rapid
lethal, for luxury goods and services brands going forward.
development and deployment of AI by enterprises. Perhaps the best part about AI is that in the near future, the brand will
3. Emotional Intelligence Expertise
never need to touch each client’s data. The data will reside
As has been noted previously, over the last ten years, Luxury
and remain in the client’s own device, protected and private.
Institute has tested and distilled the research of the world’s
The brand’s AI algorithm will, by-consent, be able to enter the
top neuroscientists and worked with psychologists to create a
client’s device, train and learn, generate its prediction, and
proprietary and effective client and peer relationship building
only the insight will travel securely to the brand’s cloud server
system, Luxcelerate. The Institute has conducted many
to generate recommendations that can drive innovative
quantitative and qualitative studies on the successful
experiences delivered by emotionally intelligent human
mindsets and behaviors of top luxury professionals. The most
recent study was conducted in Q4 2019 in the luxury travel PAGE 066
industry. Four pillars emerged as the critical drivers of a high-
customer data, AI, and emotional intelligence will converge
into a triad of high-performance client relationship building
trustworthiness and generosity. Focusing on improving these
enablers. It will be fascinating to see which brands lead and
emotional intelligence skills will help an executive or
which brands fail. This is not a “rising tide lifts all ships
associate learn to deliberately, and creatively, inject them
scenario.” In the emerging digital world it tends to be a “few
consistently, in a truly personal way, into every peer and client
winners take all scenario” within each category of luxury. On
interaction. Human relationships build exponentially. Luxury
which side of the digital landscape will your career and your
Institute client results over the past decade show that even
luxury brand be in 2025?
without all the best data and AI, human relationship building using emotional intelligence skills alone pays off in dramatic,
About Luxury Institute and the Global Luxury Expert
double-digit sales increases.
Network (GLEN) Luxury Institute is the world's most trusted research, training,
Now imagine that the brand team has mastered the three
and elite business solutions partner for luxury and premium
goods and services brands. With the largest global network of
extraordinary and transformative experiences that build
luxury executives and experts, Luxury Institute has the ability
associate and client relationships. They have continuous
to provide its clients with high-performance, leading-edge
access to rich, relevant, real-time client data, AI expertise that
solutions developed by the best, most successful minds in the
drives accurate predictions at massive scale, and are superbly
better at making emotionally intelligent judgments and decisions, to innovate and curate extraordinary experiences.
Over the last 17 years, Luxury Institute has served over 1,100
By humanizing while digitizing each brand achieves
luxury and premium goods and services brands. Luxury
economies of scale (lower costs per client across many more
Institute has conducted more quantitative and qualitative
clients) with economies of scope (higher share of client spend
research with affluent, wealthy and uber-wealthy consumers
or portfolio). This business model, based on being right more
than any other entity. This knowledge has led to the
often, while being more humanistic more often, drives
development of its scientifically proven high-performance,
exponential growth and profitability. It may sound too good
emotional intelligence-based education system, Luxcelerate,
to be true. So was the promise that the smartphone would
that dramatically improves brand culture and financial
become the center of an individual’s universe in less than a
decade. It was impossible to fathom that the iPhone would
To learn more about Luxury Institute, the Global Luxury Expert
become a digital extension of its owner, but it happened.
Network (GLEN), or to become an expert member, please
In the 2020s, Luxury Institute predicts that rich access to
visit www.luxuryinstitute.com PAGE 067
JLL: HOTELS PLAN FOR A COVID-19-INFORMED FUTURE The coronavirus pandemic has rocked the hospitality industry,
Marriott International launched its Global Cleanliness Council
closing more than 5,000 hotels in the U.S. alone in the first
in April and announced investment in sanitation technology.
quarter of 2020. By the start of June, nearly half were still
Hilton has aligned with RB, the maker of Lysol and Dettol
shuttered, according to STR, a hotel data provider. Now, after
products, and is consulting with the Mayo Clinic on cleaning
months of lockdowns and travel restrictions, some parts of the
practices in all its properties, branded as its CleanStay
world are slowly starting to reopen to international travelers.
In other areas, regional travel is beginning in earnest. But in a world still grappling with the pandemic, it’s far from business
In Europe, Wyndham Hotels and Resorts extended its Count on
as usual. Hotels are transforming their cleaning protocols and
Us initiative focused on enhancing safety procedures,
operating models based on the needs of an unprecedentedly
including the use of top-of-the-range disinfectants and
ongoing access to critical health essentials.
“For many people now, the ideal hotel stay involves far less
Industry associations are also weighing in. The American Hotel
human interaction — pristine and visibly clean,” says
& Lodging Association in May, officially announced its Safe
Geraldine Guichardo, Global Head of Research, Hotels &
Stay industry-wide cleaning guidelines — calling for
Hospitality Group, JLL. “That’s what people will be expecting.”
procedures such as the frequent cleaning of high-touch surfaces and sneeze- and cough-guards on buffets. The
Global hotel groups have announced sweeping safety
guidelines have been endorsed by hospitality groups across
measures including electrostatic sprayers to sanitize surfaces,
North America, such as Associated Luxury Hotels International
partnerships with disinfectant brands, and partnerships
and the Global Business Travel Association. These shifts show
with health care experts to design new guidelines and
that sanitation practices that were acceptable pre-pandemic
will no longer be good enough, and hotels will be required to PAGE 068
In the U.S. alone, COVID-19 cost the travel industry US$176 billion in cumulative losses from early March to May 16, according to the U.S. Travel Association. U.S. hotel occupancy levels shrank to less than 25% in April, down 64% from a year ago, in what STR called the “worst single month ever.”
shift their operating models to afford these new standards,
will start to grow, followed by group business travel. It will
says Andrea Grigg, Managing Director, Asset Management,
take longer for group leisure travel.”
Hotels & Hospitality Group, JLL, who leads asset management for the Americas.
With this extended timeline, the ongoing forecasting uncertainty and reinforced social distancing measures, some
“Cleanliness ratings are likely to become the new key
hotels may find themselves unable to justify the cost of re-
standard for hotels and will replace outdated brand
opening, says Wendy Chan, Senior Vice President, Hotels &
standards,” she says.
Hospitality Group, JLL, who leads advisory throughout Latin America. This conclusion has pushed hotel investors and
Indeed, many of these changes are not just in place for the
immediate re-opening stages. Rather, they represent longer-
opportunities to other real estate uses such as coworking
term shifts in operating models as owners and operators look
spaces, multifamily, senior living, and student housing, she
toward a future shaped by the coronavirus pandemic.
“Guests are likely to look for reassurance that health
For parts of the world that are especially reliant on tourism,
precautions are in place for the medium to long-term as the
recovery can’t come fast enough. Mexico typically reports an
psychological impacts of the pandemic outlast the virus,” says
average of 40 million tourists a year, making it the most
Jessica Jahns, Head of EMEA Hotels & Hospitality Research.
popular destination in Latin America. The country registered
“This may shift preferences to trusted brands over
close to 80% fewer international tourists in April than in the
independent properties or sharing economy accommodations
same month of 2019, according to the National Institute of
such as Airbnb, as consumers trust the brand standards.”
Statistics and Geography (INEGI). How quickly the country recovers is largely dependent on economic recovery in the
The road to recovery
U.S. and Canada, the two most prominent international
In the U.S. alone, COVID-19 cost the travel industry US$176
sources of visitors to Mexico.
billion in cumulative losses from early March to May 16, according to the U.S. Travel Association. U.S. hotel occupancy
“Everything depends on how quickly global markets recover,
levels shrank to less than 25% in April, down 64% from a year
when a vaccine is approved and distributed, and when people
ago, in what STR called the “worst single month ever.”
have the disposable income and confidence to travel,” Chan says. “In the meantime, the hotel industry is in the process of
How quickly hotels recover will depend largely on the travel
rethinking the business.”
industry itself — namely whether people are willing to fly, says Daniel Fenton, Director of Global Tourism and Destination
Development Services, Hotels & Hospitality Group, JLL.
We’re here to create rewarding opportunities and amazing spaces around the globe where people can achieve their
“The first round of leisure travelers will be inclined to drive
ambitions. In doing so, we are building a better tomorrow for
rather than fly,” he says. “After that, individual business travel
our clients, our people and our communities. www.jll.com PAGE 069
JELENA STIRNA CEO - MOGOTEL GROUP Mogotel is a leading hotel operator in the Baltic region with over 20 years of experience in growing profits and managing accommodation properties.
Second; Mogotel is a family-run company, where the son continues to develop the company started by his father. The company owner has a focus on hotel business development. Strong hotel revenue management developed by our company, based on 20 years of experience, and a high level of focus on hotel guest satisfaction drive higher profits and ROI for the owners. Mogotel offers a spectrum of management services for accommodation properties. Tell us about the key aspects of your business. For investors we offer: 1. Effective and innovative way of cooperation with hotel owners. 2. Flexibility on contract terms. 3. Open and honest relationships. 4. Best performance in the market. 5. Fast decision-making process. For employees we offer: 1. A stable and trustful employer. 2. A fast growing company that gives employees high career development possibilities. 3. A well known employer in the region. For guests we offer: 1. A focus on guest satisfaction levels. 2. Price/ quality relationship, when quality is performing. 3. A high range of hotels to offer in the region for any client and any need. For suppliers we offer:
Jelena Stirna is representative of the values and culture of Mogotel
1. A stable and trustful, highly- rated partner.
Hotel Group. She has over 10 years of experience in the hospitality
2. A fast growing company with growing demand
business since 2009. She is talented and enthusiastic personality, who knows every detail of the hotel business. Jelena is a responsible and
for goods and services. 3. Highest order volumes in the region.
convincing leader of a team of more than 550 employees. Tell us about Mogotel Investment and Consulting Mogotel operates 15 hotels. Tell us about this success story.
There are different reasons for this success. First of all is our experience;
Mogotel constantly searches for hotel project
Mogotel has a vast experience in developing, building, opening, managing
(existing or new developments) with high potential
and owning hotels. Mogotel started with very small limited-service hotels
ROI. This usually is reached by the acquisition of
and we have grown to 250+rooms full-service hotels. Mogotel provided
distressed hotels, hotels after poor management,
record results to various partners, especially financing institutions/ banks,
hotels with development potential. Sometimes we
investors and this led to trust and the development of Mogotel.
offer to Investors projects we have found, somePAGE 070
-times Investors come to us with Projects, we evaluate them and consult the owner, and figure out what type of accommodation property to develop. Tell us about Mogotel’s Sales and Marketing services.
"I went from a front office manager to hotel manager and to hotel operator CEO."
Sales services: Mogotel provides sales services for different types of cooperation. It can be exclusively sales and marketing
principle of the company and we definitely try to follow this
support or full management where sales is part of the services
principle every day.
provided from a total package. Under sales services there are a lot of different fields that we need to cover to create a
Marketing services: We manage almost all the processes in-
product for our clients and investors. The major part of sales is
house, sometimes we involve agencies for some one-off tasks.
revenue. Revenue is the most important field that requires the
We try to follow all the trends and quickly respond to
most precise concentration on the online market which
everything new that appears in the industry, always trying to
changes by the hour. The aim is to sell the right product at the
make decisions quickly. Having a strong team gives us the
right time to the right customer. This is a confirmed key to
opportunity to minimize the time from making a decision to
success. As well as revenue, corporate and group business is
launching a new project, connecting a new web tool, setting
very important in our strategy. This brings loyal customers
up a new digital channel etc.
who choose services constantly and there is a personal
There are two main directions: Offline and Online.
approach required for this part of sales.
1. Our main offline activities include: Marketing print materials
The explanation for Mogotel's success is based on the fact
development, Cooperation with hotels, Cooperation with
that we follow all changes in the market 24/7. Being first, to
partners and agents, Events, Video and Photo sessions, and
not miss an opportunity and reacting immediately is the main
Hotel audits. PAGE 071
"Nobody can lead 650 people. I lead about 8-10 people and they lead their Employees. The important values I ascribe to are professionalism, full focus on what you are doing, work with heart and soul. A leader has to be an example and open to constant learning."
2. Our online activities: Website development and content
Assistance for hotel equipment: FF&E; OS&E; EQS/Specialist
management, Digital marketing materials development, Web
Equipment; Technical assistance on IT equipment; and
Assistance for hotel openings.
connection, setup and management, Analytics and Reports. We pay special attention to our own websites, we consider
Tell us about your professional background and some
them an important channel for online sales. We have built a
highlights from Mogotel under your leadership.
complete e-commerce ecosystem around our websites that
I am currently the CEO of Mogotel, I am responsible for the
we constantly analyze, adapt and improve. Aspects include:
management of Ltd Mogotel - hotel operating company.
1. Pretargeting (Think) - Display Ads, Social Ads, Video Ads.
I am responsible for the following:
2. Targeting (Search) - Search Marketing, Metasearch
The transition from a single hotel business to a hotel
3. Retargeting (Compare) - Display ads, Social Ads, Video
Recruitment and management of sales and marketing
4. Booking (Book) – Email Marketing (Upsells).
The overall financial performance and new business development.
We use almost all popular online advertising platforms-
Previously I was the Hotel General Manager of the Hotel Old
Google Ads, Bing Ads, Yandex. Direct, Facebook and
Riga Palace - a 4 star hotel, overseeing all daily operations of
the 100 rooms, restaurant, and spa center. I was also the Hotel
TripAdvisor, Trivago, Kayak, Skyscanner, Hotels Combined).
General Manager of Mantess Boutique Hotel. Responsible for
We use some web applications that help increase conversions
all daily operations of the small boutique hotel which became
and sales, help make additional sales - Messages (Nudge
famous after President Bill Clinton stayed there while on his
message, Exit pop up, Notifications, Price comparison), Emails
visit to Latvia. In summary – I went from a front office
(Newsletters, Pre-arrival emails with upsells, Post-stay
manager to hotel manager and to hotel operator CEO.
emails), Online Gift Vouchers, and more.
As a leader of 650 people, what are the important values Tell us about Mogotel’s full hotel management services.
and approaches that contribute to your leadership style.
Mogotel provides a full spectrum of services related to Hotel
Nobody can lead 650 people. I lead about 8-10 people and
Management. We offers services ranging from existing hotels
they lead their Employees. The important values I ascribe to
to new development projects. We consult hotel owners during
are professionalism, full focus on what you are doing, work
hotel development, before opening and then we provide full
with heart and soul. A leader has to be an example and open
hotel management service (Operational Services, Reservation
to constant learning.
Services, Marketing, Sales and Revenue Services, Purchasing Services etc.)
Tell us about the potential for hotel/ hospitality investors interested in Latvia and the Baltics.
Tell us about Mogotel’s new project development services.
Our region is an undiscovered market for investors. It is a
We offer: Assistance on project contracting (design and
rapidly rising hospitality market which is mainly focused on
construction); Hotel technical assistance at the various stages
Estonia and Latvia. Distressed assets may appear in the next
of the design (Preliminary; Scheme design; Final design);
12 month in Lithuania mainly. PAGE 072
MOGOTEL HOTEL GROUP THE HIKE MAGAZINE
You spoke at the HOTCO Hotel Investment Conference and said that ‘now is the best time for balanced, strategic and well-considered management’ in the hotel industry. Please expand on this. First of all, this is in terms of cooperation between hotel owners and developers. That is the type of agreement and relationship I was addressing. There is huge competition between hotel operators right now in Europe and this will be won by the more creative, innovative, flexible and maximally-effective Operator companies. Customer behavior and booking trends are changing very fast, hotel owners want to get the upsides from the growth of the hotel industry. Hotel management has to be well structured, financially stable, professional, innovative and IT-innovation driven. If there was one thing that you would want the rest of the industry to copy from Mogotel, what would that be? This would be in regards to aggressive lease offers for new hotel development projects. Previous global economic crisis and now Covid -19 have revealed to the industry what results to expect from unsustainable lease agreements. These offers and terms from the hotel operators are driven by over-optimism in good times. I would like to suggest to hotel operators to bid with sustainable and balanced lease offers, it will probably result in slightly slower growth, but your business will survive in different circumstances. Tell us about some of your Corporate Social Responsibility initiatives. We at Mogotel for many years have been working to become greener and nature friendly through the different actions and activities implemented through our hotel chain. We have taken necessary steps covering the areas of waste recycling, efficient usage of water as well as reduction of electricity and heat consumption by replacing non-efficient energy equipment and introducing flexible heating/lighting patterns. We also practice innovative, healthy, handmade and 100% natural treats as welcome gifts. These are very tasteful products with exceptional natural values. We launched the campaign 'Skip Housekeeping Services' to reduce energy wastage. We provided a small eco-surprise to those guests, who decided to skip PAGE 073
cleaning their room. Our catering disposables are made from renewable, lower carbon, recycled or reclaimed materials. We use metallic containers to store our food and ingredients. All restaurant food is served in glass-material dishes. We sort waste in our offices, restaurants and hotels to protect our natural resources. In cooperation with local suppliers and animal protection organizations we plan to source only cage-
"We at Mogotel for many years have been working to become greener and nature friendly through the different actions and activities implemented through our hotel chain."
free eggs (shell, liquid and egg products) by 2025 for our entire portfolio. What is currently in the pipeline for Mogotel? In our pipeline besides local expansion (Baltics), Mogotel is currently under negotiations in Bratislava, Slovakia; Ljubljana, Slovenia; Vienna, Austria; Hamburg, Germany; Kiev, Ukraina. About Mogotel Hotel Group: The largest hotel operator in Latvia in terms of number of rooms and hotels. In total there are 15 hotels, directly operated by the company. Mogotel provides not only basic hotel services– accommodation, but is also a major figure in the SPA and the catering industries. For more information, please visit: www.mogotel.com PAGE 074
INVEST IN ARMENIA EUROPE'S LAND OF OPPORTUNITY
FIND OUT MORE WWW.INVESTINARMENIA.AM
BULLYING WHAT IS IT AND WHAT KINDS OF PEOPLE BECOME BULLIES? (PART 1)
What is “bullying?” There are six things about bullying that most people either don’t know or understand: > It is largely genetic—we are either wired to be bullies or not. > The desire for leadership and the propensity to be a bully are genetically similar—though of course not all leaders are bullies. > Bullying comes in three forms—Relational, Physical and Verbal—and they’re quite different. > In most cases sexual harassment is a form of bullying. > Over 27% of employees are bullied, and 25% of children. > Almost no one knows how to fix the problem.
Bob Murray, MBA, PhD (Clinical Psychology), is an internationally recognised expert in strategy, leadership, influencing, human motivation and behavioural change.
By most people’s reckoning, Donald Trump is a bully. But so are many
MANAGEMENT / LEADERSHIP
35% between 2016 and 2018. Part of this is due to more awareness of
corporate leaders, school principals and kids in kindergarten. Bullying and harassment are increasingly seen in workplaces, in schools and in society. In both the workplace and in schools, bullying increased by
“Bullying is a set of behaviors done by one person or group of people to another person or group that a society believes should not be tolerated but which generally fall short of criminal conduct.”
the subject and increased reporting, but there’s also a
which real perps can easily slip through—as well as creating a
genuine upsurge due to higher levels of stress and a declining
fine net in which innocent people can get caught and unfairly
sense of satisfaction with life.
As a result, there’s been considerable research recently into
As a scientist I hate loose talk. I want people to define the
the prevalence, causes and results of bullying. As there has
terms they use (scientists can be very annoying like that).
been of sexual harassment. And yet throughout the world,
Otherwise we get into endless quasi-theological debate. Look
bullying is still primarily legal. Although sexual harassment
at the simple phrase “Thou shalt not kill!” Seems obvious,
and bullying are treated as separate things, I believe that
doesn’t it? Yet for millennia we’ve argued about what it
bullying and most forms of harassment are the same problem
means, allowing the killing to go on. So, it is with “you must
in different disguises. A sexual harasser is a bully and the
not bully your fellow employees (siblings, spouse, classmates
genetic, contextual and psychiatric problems behind them are
etc.).” Though there are many definitions of bullying, they
mostly go something like this: “seek to harm, intimidate, or coerce (someone perceived as vulnerable).” This is okay as far
In some professions, such as law and medicine, bullying and
as it goes, but it still leaves three generalities to play with, so
harassment are rife and have been for decades. When my co-
doesn’t get you very far. You still don’t know what actions,
CEO and I began working together, our first major clients were
inactions or generalized behaviors constitute bullying and
the large US medical centers (teaching hospitals). Since we
knowing these, as I’ll explain in part two, is the key to cure.
were seen as experts in the field of relationships, we were most often called in to help with problems between doctors
However you define the term, there are three distinct forms of
and nurses, and between doctors and patients (we were part
of the patient-centered care movement). Very soon we found
> Relational bullying (also called “social bullying”). This
that the main problem was a pervasive culture of bullying in
involves exclusion (playing to a human being’s greatest fear),
most of those institutions. And that culture is still there. Later,
malicious gossip, failing to share information, mean emails or
as we broadened our practice to work with financial services
social media posts, silent treatment, eye rolling, withdrawing
organizations, multinational corporations and consultancies,
a friendship, or threatening to end it, threatening with
we found the same problems being played out.
dismissal or demotion. Non-physical sexual harassment fits partly in this category.
Researching for our best-selling book “Raising an Optimistic
> Physical bullying. This includes hitting or otherwise hurting
Child”, we talked to teachers and school principals and heard
someone, shoving or intimidating another person, or
horror stories of what went on in the playground and even in
damaging or stealing their belongings (the latter being
the classroom and the common room. We learned of children
commonplace in the workplace setting) or sexual harassment
bullying classmates, children bullying teachers, principals
which involves physical contact.
bullying teachers. In societies around the world, bullying of
> Verbal bullying. This includes name calling or insulting
one race or group by another race or group has become more
someone about physical characteristics such as their weight
virulent and more violent. The question—as it always is—is
or height, or other attributes including race, sexuality, culture,
“why?” I want to try and answer that, but first let’s have a look
at what bullying actually is. Recent research has shown that women and girls tend to use “Bullying”, like “sexual harassment”, is a sloppy word. Sloppy
relational bullying more than males do. Men and boys are
words are those we use to signal disdain for a person or action
more prone to use physical violence in their bullying and
without having to go through the bother of saying what we
verbal bullying is employed almost equally. In discussing
mean by them. And that’s a problem. It creates a gaping hole
bullying or harassment, even within the framework of the PAGE 077
three categories, there are a wide range of cultural issues
Who are bullies?
involved. Behavior that’s classed as bullying in Tibet may not
What’s common to all bullies and harassers is their desire to
be in Lithuania. And it’s not just between countries where
disempower and denigrate their victims. Many, if not most,
there are differences. In organizations or communities of any
bullies have been victims of bullying themselves or feel
size, there may be competing cultures and subdivisions within
disempowered for some other reason. The reasons for this lie
cultures. Each may see “bullying” or “harassing” behaviors
in both environmental factors and the genetic make-up of
both victims and bullies.
In order to be clear what we are talking about, let me propose
In a study published late last year in the journal Behavior
a new definition of bullying: “Bullying is a set of behaviors
Genetics, the researchers found that around 70% of the
done by one person or group of people to another person or
propensity to be either a bully or a victim (or both) was
group that a society believes should not be tolerated but
genetic. It’s not that they can’t help being either, it’s just that
which generally fall short of criminal conduct.”
they have to try harder not to be. The genetic drive to bully runs in families—witness Fred Trump Snr, son Donald and
Communal bullying—where one person or group tries to
grandson Donald Jnr. It’s quite literally bred into them.
impose their standards has been much in the news. I asked Dr Miranda Murray, a philosopher, to give me her take on what
The researchers found that relational bullying was far more
this kind of behavior is all about. Why does one race, or people
due to contextual and environmental influences than genes.
of a religious or political persuasion, seek to bully other
However, as far as the other kinds of bullying are concerned,
members of the community to which they jointly belong. She
both males and females were equally genetically predisposed.
put it this way: “Bullying (in this sense) is an attempt to impose on another person (or group) the bully's version of his
Both bully/victims and victims tend to suffer from depression,
victim's social role (like “blacks should be subservient,” or
though bullies who are not victims as well, do not. All three
“women should know their place”). In doing this, the bully is,
tend initially to lack social support and there is a considerable
in effect, trying to impose on others his/her own social reality,
body of research indicating that bullies get encouragement
or a version of social relations the bully identifies as
through their behavior. Adults and children tend to see bullies
normative. In instances where the bully's way of seeing the
as powerful and this draws support. People like to be around
world is more or less authorized, we have social bullying.
power; it gives them a sense of reflected self-esteem and
Where the bully's version of social reality is not authorized,
empowerment. This is why you have so many people loyal to
the bully's behavior is described as pathological.”
DT despite his egregious behavior. PAGE 078
"Despite the genetics and the upbringing, and the ethical depletion, bullying and harassment are not inevitable. What’s more, the behavior that bullies indulge in can be rectified. Attitudes can be changed, both in the bully and in his or her victims."
Other recent research has shown that bullying is ubiquitous in
It seems that humans are only capable of being ethical for a
all cultures and may be an evolutionary adaption, particularly
limited period of time.
among males. Male bullies tend to attract more females— more mates. In other words, bullying and harassment may be
When glutamate depletion happens, we are more likely to
built-in features of our species (and of many non-human
bully members of our team, or our family or our classmates—
animals). Male school, and even kindergarten, bullies are
or engage in harassment. Often these bullies are very
practicing for their adolescent and adult dominant roles.
successful people—their success coming from the effort they have expended being nice and accommodating to clients,
There seems little argument that bullies have many of the
customers or other stakeholders and therefore the glutamate
same genes that drive people to want to become leaders,
they have is used. Like rainmaking partners in law firms,
whether it’s in politics, industry, religion or the military. What
they’re often protected and rewarded by management.
is known is that bully-leaders tend to make decisions that are
Glutamate deprived bullying is usually physical or verbal,
in their own best interests rather than in the interests of the
rarely relational. It can happen with either men or women.
organizations they lead. Frequently, their behavior leads to immeasurable harm to those businesses, governments, and
But the point to end on, I think, is that despite the genetics
organizations and people in them.
and the upbringing, and the ethical depletion, bullying and harassment are not inevitable. What’s more, the behavior that
Can you become a bully if you don’t have the genetics for
bullies indulge in can be rectified. Attitudes can be changed,
it? Probably, though not certainly.
both in the bully and in his or her victims. It’s the how-to of this that I want to explore in the next article. I will show you
Several studies have shown that the main non-genetic driver
what the latest research shows works, and what doesn’t, in
of bully creation (male and female) is parent/child conflict. An
bullying and harassment prevention and how you stop kids
angry, abusive, demanding or critical parent is more likely to
from becoming bullies in the first place. Stay tuned.
produce both a bully and a victim (or if there are siblings, probably one or more of each). Another way in which people
Fortinberry Murray: For over 30 years, Global 500 and major
become bullies is through the action of the glutamate system.
regional organisations have relied on Fortinberry Murray’s
Recent research has shown that people become more prone
guidance to build and maintain competitive advantage in a
to unethical and bullying behavior if they have been forced to
rapidly changing environment. Recognized thought leaders in
be “ethical” and “well behaved” when they are under stress.
behavioral science and business management, Bob Murray
Largely this is the result of depletion of the amount of
and Alicia Fortinberry have devoted their professional careers
glutamate in the neurochemical system.
over three decades to combatting myths about what human beings are all about. They are committed to arming people
Glutamate is a reward neurochemical that we need to
and businesses with the knowledge and practical skills to
function well. We get it when we eat, and it bolsters our
mental energy and makes us more relaxed, open to
relationships that are compatible with our “design specs” and
persuasion and also more tolerant of other people. After a
enable people to be healthy and fulfilled.
time, this becomes depleted and when this happens, our ethical and behavioral standards get depleted as well.
For more information, visit: www.fortinberrymurray.com PAGE 079
ANDREAS HALLER CEO - QUANTRON AG Quantron AG is spearheading e-mobility solutions in passenger and freight transport. Quantron was born from Haller GmbH & Co. KG, a family-owned company that has been in existence since 1882.
internationally agreed climate targets. Conversely, this means that sales of classic services and spare parts will fall. Only those who think outside the box today will have a chance in the long term. This is why I founded the Quantron AG. We are the specialist for the electrification of commercial vehicles from 3.49 to 44 tons and buses. We supply new e-vehicles on request, but our focus is clearly on the conversion of used and existing vehicles. Thus we use already existing resources and give them a second, environmentally friendly life. We also have hydrogen-powered commercial vehicles in our product range. Furthermore we are the sales and service partner of Karsan in Germany, Austria and Switzerland. So we sell the new e-busses Jest Electric and Atak Electric. As a sales and service partner of CATL in Europe, we offer standard batteries and individual battery solutions with standard components. Quantron is a company that has emerged from Haller AG - a company with nearly 140 years in the field of commercial vehicles. How does that background influence your offering? This background is extremely important and distinguishes us from all start-ups and competitors in the market. With the family business we look back on almost 140 years of experience and knowhow in the commercial vehicle business. We didn't have to do extensive market studies in advance, because we know exactly the markets, the
Andreas Haller is the founder and CEO of Quantron AG and managing
customers and also the requirements for the
partner of Haller GmbH & Co. KG. Quantron AG was founded in 2019
vehicles. We also know what is important for the
with the vision of paving the way for e-mobility in inner-city and
maintenance and service of these vehicles. So we
regional passenger and freight transport. The basis for this is the
were able to create many synergy effects and use
commercial vehicle experience of Haller GmbH & Co. KG. The family-
them positively, especially at the beginning. Both
owned company from Gersthofen is in its fifth generation and, with its
companies will continue to benefit from each other
own workshop network, specializes in the service, maintenance and
in the future.
repair of vans, trucks and buses. What advantages do your solutions offer above Tell us about Quantron, your mission and technology.
other options in the marketplace?
The importance of diesel drives in commercial vehicles will steadily decline,
We are the only supplier who electrifies vehicles
because only if the proportion of low-emission and zero-emission
from 3.49 to 44 tons and also buses of all brands.
commercial vehicles increases, will we be able to achieve the future,
In addition, we offer all of our customers a fully PAGE 080
comprehensive service: - First we analyse the status quo at the customer: which vehicles exist, which routes are used, which goods are transported... - We support our customers with the infrastructure and the
"Within Quantron AG, our customers have one contact partner for everything. We call this Q-as a service."
purchase of sustainable electricity. - We also offer our customers financing and leasing options.
Despite being a young company, Quantron has already
Thanks to the short and long-term rental solutions, a quick
participated in several Awards. Tell us about these.
and uncomplicated entry into e-mobility is possible to
Although the Quantron AG has only been in existence for one
generate new customer potentials. Furthermore we support
year now, we have already achieved a number of successes.
our customers in the application for subsidies.
This shows that we are on the right track, our work is
- Finally, we train the drivers to ensure the efficient use of the
important and it is recognised by politicians and industry
experts. At the end of 2019, for example, we were among the
- After the vehicle handover, we naturally take over the
top 3 at the Handelsblatt Energy Awards and at two other
service, repairs and maintenance work on the vehicles. For
awards (Smarter E Award and e4 Testival Award) we were
this purpose we have a Europe-wide service network of 700
among the top finalists. Two major awards are still to come.
workshops at our disposal. Added to this is our after-sales-
Here we are in the finals as well.
management for optimum customer care. Within Quantron AG, our customers have one contact partner
Tell us about your global presence for manufacturing and
for everything. We call this Q-as a service. In the future, we will
sales, what advantages made you select those locations?
also offer the option of having the driver from us and pay only
Through the family business we are strongly rooted in our
for the kilowatt hours used.
home country. We also want to support the local economy. PAGE 081
QUANTRON AG THE HIKE MAGAZINE
Therefore we are building our new office building including production in Augsburg in the Koblenzer Straße 2 (near Munich). Over the next few years, we plan to increase the number of employees up to 200. Our range of vehicles will also continue to grow and our production capacities will be successively expanded, so that we will soon be able to produce around 1,000 vehicles per year in Germany. We are currently setting up a further location with our partner in Turkey. This will bring us to a combined capacity of up to 5,000 vehicles per year. We will also expand our European and international sales offices. So far we are also represented in Norway, Italy, Spain, Israel, Brazil and Nigeria. After all, in these countries the need and demand for e-mobility is constantly increasing and is also necessary in order to achieve the worldwide climate targets. What are the obstacles to the e-revolution in passenger and freight transport that Quantron is spearheading, and how can your industry overcome them? At the moment, there is a lot of educational work to be done, because the issue of e-mobility is complex. But we feel that the market is changing and companies are open to new concepts and opportunities. Of course, the charging infrastructure and also the generation of sustainable electricity must be further expanded. This is also important for the production of hydrogen. The network of hydrogen filling stations must be expanded significantly too. But we are very positive about the developments and are convinced that we are on the right track. From your perspective, what is the best way for Governments to support this much needed transition from diesel power to sustainable transport? Politics must implement decisions and changes faster. Farreaching financial support programmes must be created to make the switch to e-mobility with batteries or fuel cells more attractive. At the same time, bureaucracy must be simplified and thus implementation accelerated. What are the most important ingredients of team leadership for you? Open and fast communication with quick decisions. We already have practical and working e-drive technology PAGE 082
today. For example, our e-Econic waste collection vehicle is
approach of Q-Remanufacturing, the electrification of used
already on the road. Our pioneer of the e-truck has been doing
and existing vehicles. This makes our customer potential even
its job reliably every day since 2013. Quick decisions and short
bigger. The customer does not have to purchase a new e-
distances are therefore extremely important to maintain and
vehicle. We re-equip their own vehicle. This is an important
expand our level of innovation. We also do not see ourselves
argument when it comes to financial resources, especially
as competitor to the big manufacturers, but rather as problem
with regard to vehicles with special equipment and / or
Tell us about some of the most important industries that
Why is Bavaria specifically and Germany in general such an
you are focusing on and why?
exciting hub for innovation and investment?
The market and customer potential on an European and
Germany is one of the best industrial locations in the world
international level is huge, in Germany alone it is enormous.
and has very good conditions for companies. It is not for
Anyone who is or will be confronted with driving bans on the
nothing that we have often been export world champion.
"last mile" and higher charges in inner-city and regional
Bavaria is particularly strong in the automotive industry,
passenger and freight traffic, or who wants to switch to
internet supply and high-performance logistics systems. Due
sustainable propulsion systems from their own, is our
to the large number of industrial companies in Bavaria, there
potential customer. This includes, for example, craft
is also a large number of well-trained specialists and
businesses, transport and logistics companies, municipal
companies such as road maintenance companies, but also waste disposal companies, airports and also bus companies.
To find out more about how Quantron AG is transforming
We not only sell new e-vehicles, our focus is on the sustainable
e-mobility, please visit: www.quantron.net PAGE 083
IN WALLONIA, 500 MILLION CONSUMERS ARE WITHIN ONE SINGLE DAY BY ROAD Wallonia is a successful and welcoming region which has
and international network allow companies wishing to
taken its future firmly in hand and opens its arms wide to
be effective and environmentally-friendly to opt for rail or for
you. It offers many assets and benefits that have convinced
combined rail/road transport.
many foreign investors to locate their companies there. WALLONIA, INSIDE PORT OF EUROPE AN ACCESSIBLE REGION
Connected to the major ports of northern Europe, the
Lying at the heart of Europe, Wallonia (the French-speaking
Wallonia river network establishes the junction with France,
region of Belgium) is able to access a market of up to 500
Flanders, the Netherlands, Germany and beyond with the
million consumers within one day.
main transatlantic and transoceanic lines.
Regularly cited among the top most attractive regions,
The Autonomous Port of Liège, first Belgian inland port and
Wallonia offers a favourable environment for business,
third inland port in Europe (21 million tonnes and 44,000
especially thanks to a well-established culture of partnership
containers per year) has easy access to major European ports.
development of a company in Wallonia is facilitated by easy
NEAR BRUSSELS, CAPITAL OF EUROPE
access to capital, which makes it possible to find appropriate
Wallonia is near Brussels, the headquarters for major
funding, and by a particularly varied real estate offering.
international institutions, the head office for many multinationals and home to more than 300 international law
TOP RANKING INFRASTRUCTURE
firms or consultants. Also, the Belgian capital offers no fewer
According to the IMD World Competitiveness Yearbook 2019,
than 21 international schools and, along with Washington, it
the Walloon motorway network and rail network are among
is one of the largest journalism centres in the world. More
the most dense in Europe. By lorry, it is possible to reach a
than 100 foreign banks have set up branches there.
population of almost 60 million inhabitants in 4 hours and an area comprising about 20 major cities in 8 hours. In terms of
> 8th largest cargo airport in Europe
rail, the main private industrial connections to the national
> 1st densest road network in the world PAGE 084
THE WALLONIA CLUSTERS
Based on the determined criteria, an investment bonus may
The Competitiveness Clusters' policy is part of Wallonia's wish
be granted to companies investing in Wallonia. Foreign
to confirm its status as a competitive industrial space on a
companies that invest in Wallonia can receive investment
global level by focusing major resources in promising
aid based on criteria Including:
economic areas in terms of growth and employment.
Therefore, the Walloon Region has selected six successful
priority areas corresponding to a booming activity in the
world in which Wallonia has successful companies and
Company type (SME or large organisation)
research centres: life sciences, agri-food, engineering and new
The number of jobs created
materials, transport and logistics, aeronautics and space and environmental technologies.
Investment aid takes the form of a capital grant which is a percentage of the total investment calculated on the
With a turnover of more than €8 billion and 21,395 jobs, the
food industry is one of the pillars of employment in the
Walloon industrial sector. Furthermore, it has great growth
New machines and equipment
potential in promising sectors and is a global leader in some
Intangible assets (patents and licences) with a maximum
of them: ingredients, healthy food, processed meals, specific
of 25% of the total of the investment programme
products and an area of recognised quality, etc. WagrAlim, Walloon competitiveness cluster for the agri-food
The concept of enterprise networks (clustering) has imposed
manufacturers, universities, research centres and training
itself around the world as a productive method of functioning
centres, with the common goal of creating value, improving
and a source of innovation. In order to reinforce regional
performance and positioning itself on international markets
competitiveness in sectors in which it already has potential,
on the basis of innovation. The Cluster has defined four
Wallonia decided to develop an enterprise network policy
strategic areas: Nutrition-health, Industrial efficiency, Bio-
from 2005 via competitiveness clusters.
packaging, and Sustainable sectors.
The aeronautics and space sector occupies a key position in the Walloon economy and constitutes one of its major assets for the future. The sector's development is based on the existence of a metal-working industry and, in particular, on a network of specialist sub-contractors (precision mechanics or armament for example).
The Agrifood cluster in figures:
The aim of the MecaTech Cluster is to be a driving force for the
+200 members & regional partners
entire Walloon mechanical engineering sector by developing
36 certified Cluster projects
business and employment through the preparation and
142 products and services developed
implementation of innovative international projects and
18 patent applications
relying on networks that bring together large businesses,
+8,700 people trained
SMEs, universities, research centres and skills centres.
KEYFOOD: a technological support platform 4th Country in the world in terms of food production
The MecaTech Cluster comprises four strategic lines around
4 Renowned Belgian universities
which it structures its projects: Materials and surfaces of the
4 days needed to start a business
future, Global forming technologies, Microtechnologies and mechatronics, and Maintenance and reliability.
Cluster Website: www.wagralim.be The Engineering and New Materials cluster in figures: Engineering and New Materials
Constantly at the cutting-edge of technology throughout the
102 certified projects
entire history of the industrial revolution, Walloon industry
Total budget: €300 million
was built around glass and steel in the 19th and 20th centuries
3 innovation platforms
and has embraced new technologies and new processes in the 21st century. Spin-offs, SMEs, large businesses, the region
Cluster Website: www.polemecatech.be
comprises complete ecosystems that allow companies to develop and innovate in order to become global leaders in
Aeronautics and Space
The aeronautics and space sector occupies a key position in the Walloon economy and constitutes one of its major assets
The field of mechanical engineering is vast because it includes
for the future. The sector's development is based on the
all the competences that require mechanical work: space
existence of a metal-working industry and, in particular, on a
sector, automobile industry, mechanised industrial processes,
network of specialist sub-contractors (precision mechanics or
assembly lines for drugs, household appliances, chemical
armament for example).
industry, and more. Robotics and automation are closely
Wallonia is the region in Belgium with the largest number of
linked to mechanical engineering and constitute sectors in
companies working in the aeronautics industry (more than
which Wallonia excels. Indeed, Wallonia's qualities for
twice the number of companies located in Flanders). Based
essentially around four major enterprises (Safran Aero
engineering have led the region's engineers to make it a
Boosters, SABCA, Sonaca and Thales), the industrial network
sector of excellence.
of the aeronautics and space sector mainly comprises SMEs.
Wallonia positions itself among the leaders of the transport and logistics sector, in particular thanks to its excellent accessibility to major consumer markets, its inclusion in the major European freight corridors, the high density of its road and rail networks, as well as the integration of its interior waterways into the European network. Promises concerning transit times from an EDC located in Wallonia are respected like nowhere else.
Walloon aerospace know-how is particularly apparent in the
Transport and Logistics
province of Luxembourg, which has a business park centred on
Wallonia positions itself among the leaders of the transport and
the space sector (Galaxia) and an ESA (European Space Agency)
logistics sector, in particular thanks to its excellent accessibility
station recognised as a centre of excellence in the fields of
to major consumer markets, its inclusion in the major European
security and defence. In 2016, the European Commission
freight corridors, the high density of its road and rail networks,
selected the Galaxia site for the installation of the terrestrial
as well as the integration of its interior waterways into the
maintenance platform for the Galileo constellation, a European
European network. Promises concerning transit times from an
satellite navigation system.
EDC located in Wallonia are respected like nowhere else. These assets have led major names in the logistics sector to locate to
Created in the frame of the Marshall Plan in 2006, SKYWIN has
Wallonia: TNT, Skechers, Baxter, Dow Corning, Alpargatas.
more than 150 members, bringing together companies, research centres, universities and training centres working in
9th most attractive country for e-commerce.
the space sector in Wallonia. This partnership process is aimed
1st Belgium cargo airport - Liege Airport.
at revealing synergies around common innovative projects with
8th Largest cargo airport in Europe - Liege Airport.
a view to creating but also maintaining jobs in the sector. According to a study by PwC, Wallonia is the third most The Aeronautics and Space cluster in figures:
attractive region in Europe for installing an e-commerce
distribution centre. This result confirms the strong progress of
Turnover of more than 1.6 billion (90% export)
Belgium in other studies concerning e-commerce, in particular
7,000 direct jobs
that of AT Kearney, in which it progressed from 24th to 7th place
72 certified projects since 2006
in one year. Logistics in Wallonia is the Competitiveness Cluster
Total budget: €225 million
devoted to the Transport, Logistics and Mobility sector.
Cluster Website: www.skywin.be
Cluster Website: www.logisticsinwallonia.be PAGE 087
THE HIKE MAGAZINE
WALLONIA - EUROPE'S HEARTLAND Environmental Technologies Aware of the challenges concerning global warming, the green economy is a priority in Wallonia as much from an economic as an environmental point of view. Thus, the public authorities grant different types of aids to companies that invest in favour of the environment. Also, Wallonia has companies, know-how and resources that allow it to seize the opportunity to make greentech a vehicle for growth. Belgium and Wallonia provide incentives for investments that favour the environment and are focused on research and development. For investment projects
conduct a research project, carry out a development project,
located specifically in geographic areas eligible for European
create a spin-out from technologies mastered by the company
structural funds, additional European incentives may be added
but not exploited, protect innovation or even prepare a
to the purely regional incentives.
European intervention application or acquire the Eureka label.
The GREENWIN cluster brings together more than 200
BioWin unites the Walloon stakeholders (businesses, research
companies involved in the development of the green economy.
centres and universities) who are invested in research,
Its aim is to support innovation, favour the development of
development and production of innovative products and
collaborative innovation projects with a view to the growth of
services. The BioWin cluster has defined 4 essential strategic
the Walloon industrial fabric and the creation of jobs in
development axes that seek to support academic and industrial
booming markets. The cluster's strategy is based around three
excellence in Wallonia in the domain of health but also to take
strategic fields of activity: Chemistry and biochemistry,
on the challenges posed by a fast-growing sector, through:
Construction, and Environmental technologies.
Calls for R&D projects that bring businesses, universities and research centres together.
The Environmental Technologies cluster In figures:
Actions to create visibility and international networking (in
More than 20,000 jobs in Wallonia and Brussels
partnership with AWEX - the Wallonia Export-Investment
Exports represent about 40% of the economy's total
31 certified projects (27 in R&D and 4 in training)
Custom training programs tailored toward the specific
87% Recycling - Belgium is the European champion
needs of the bio-industry.
10 - Belgium among the top ten investors in renewables
Support for the creation of common infrastructures and
14th bio-fuel producing country
Total budget of more than €80 million Life sciences cluster In figures: Cluster Website: www.greenwin.be
164 businesses (of which 7 are world-leaders in the sector: Baxter, Eurogentec-Kaneka, GSK, IBA, IRE, UCB and Zoetis).
36 R&D projects
Wallonia counts a number of well-known names such as GSK,
17 training projects
UCB, IBA and Baxter. Also, smaller innovative companies whose
Specific training followed by 15,000 people
success is multiplying (Bone Therapeutics, Celyad, Univercells,
MaSTherCell SA, Belgian Volition) have also demonstrated
104 patents generated
expertise that has rendered the region unmissable for the life
Total financing: 114.08 million Euros
sciences sector. Wallonia offers a series of aids for R&D which
Support in the creation of 3 technological platforms
aim to help companies reinforce their innovation potential, acquire external knowledge for a project's implementation,
Cluster Website: www.biowin.org PAGE 088
A GOOD QUALITY OF LIFE
Adopted in 2015, the Digital Wallonia plan marks the Walloon
Whether because of its varied real estate offering, its healthcare
Government's wish to do its utmost to make Wallonia a
system which is one of the best in Europe, or the many
connected and intelligent territory where technological
opportunities it offers for leisure activities, Wallonia is a region
companies are leaders recognised on a global level and a
where life is good. Its exceptional quality of life attracts
driving force for successful industrial mutation and where
investors, foreign students and the large numbers of tourists
digital innovation is at the service of the quality of education,
who visit each year.
the openness of public services and the well-being of citizens. The Wallonia Export-Investment Agency (AWEX), is a Public Key Figures:
Interest Organisation in Wallonia created in 1998. It constitutes
2nd Best connected EU country
a one-stop shop for all foreign companies interested in locating
6th Most digital country
to Wallonia or expanding their existing activities and is the
6 Wallonia Nobel Prizes
complete partner for all Walloon companies wishing to develop
3rd Most innovative country - Fraunhorfer Institute
overseas. To find out about opportunities in Wallonia please
7th strong innovator in the world
contact AWEX through: www.investinwallonia.be PAGE 089
BAJA CALIFORNIA IS THE IDEAL REGION FOR BUSINESS Closest Mexican State To Asia.
Border To North American Markets.
Mexicali is the State Capital of Baja California. It borders at the
A Globally And Unique Mega Region (California, Arizona,
north with California and Arizona and has been ranked as one of
Nevada And Baja California).
the best cities in Mexico to live, work and establish businesses.
Infrastructure And Communication Development.
The best planned Mexican community along the border and the
Skilled Labor Force.
3rd largest Mexican border city, Mexicali has it all. Its
Top Industrial Competitiveness.
agricultural, industrial, trade and touristic vocation has led this
Pro-business Environment And Cluster Development
thriving city to outstand for its entrepreneurial spirit and its
contribution to the State ́s economic development. With
Home To Many Global Companies.
1,052,656 inhabitants, Mexicali has one of the most diversified economies in Mexico, with +170 industrial companies with +80,000 employees and +90 U.S. Companies. All of this provide
in Mexicali a dynamic and thriving Mexican private sector with a
The largest city in the state of Baja California and on the Baja
continuous growth and a highly educated population the State
California peninsula. It is part of the San Diego-Tijuana
capital continues to progress, managing to offer an excellent
international trans-border agglomeration. It is one of the
quality of life to residents and business people.
fastest growing cities in Mexico. It borders at the North with the State of California, which has led the border between Tijuana
and San Ysidro to become the largest and most transited
Ensenada is Baja California's cargo cruise port city, located just
crossing point in the world. Tijuana is considered as a
60 miles south of the California border. It is also home to some
cosmopolitan city for being a commercial and cultural center,
of the important research centers in the norther part of Mexico.
in addition to having significant production and manufacturing
This city is also known for its diverse economy, not just a port
activities in the northeast of Mexico. Tijuana is home to more
city or an industrial center, as it is also a very important
than 75 million square feet of industrial real estate with more
agricultural area, it is Mexico’s wine capital, an important
than 3.2 million square feet of available space in both new and
touristic destination, a UNESCO Creative City, a global fishing
pre-owned buildings in 51 industrial parks within the city.
and mariculture epicenter, a developing mining territory, a PAGE 090
"Mexicali was elected as the ideal city for its operation, due to its strategic location for future projects, for having qualified workforce, as well as a stable and competitive working environment. Baja California stands out for having the largest concentration of medical companies in Latin America." - Raul Carreras (Senior VP Operations MEDLINE)
burgeoning IT development hub and a logistical paradise for
the American and Asian markets. AEROSPACE PLAYAS DE ROSARITOS
+94 companies established in the region, representing 21% of
Rosarito is characterised for being a beach destination located
Mexico's Aerospace industry.
in the Tijuana-Ensenada tourist corridor, 27 km from the
More than 51 years of aeronautical experience.
borderline. Located next to the Pacific Ocean, in addition to its
Largest concentration of aerospace companies in México.
beautiful beaches, make this place a very attractive one to live
Workforce of more than 35,000 (operators, technicians and
in and to recreate on spare time, highlighting the quality of life
and the particular environment of a beach destination. Playas
Design, assembly, manufacture & MRO.
de Rosarito houses the facilities of Baja Studios, which is an
9th place in FDI Performance of the Aerospace Sector. FDI
autonomous production facility, a location for the filming
Intelligence Aerospace cities of the future 2018/19.
studios with the largest water tanks for filming in the world.
Companies like Honeywell, Safran, Triumph Group, Gulfstream, United Technologies, Rockwell Collins + more.
TECATE The municipality of Tecate has been recognized as Mexico's
'magical town', favoring the tourism industry, especially in
More than 50 years of experience in the Automotive industry.
relation with health services (centred on relaxing techniques
+140 supply companies that represents 55,000 jobs.
and body treatments). This city is also known for its diverse
Tier 1, Tier 2 and Tier 3 companies.
economy, not just a port city or an industrial center, as it is
Growing off-road business with more than 25 companies.
also a very important agricultural area, it is Mexico’s wine
Companies like Hyundai, Toyota, Eaton, Bose, Delphi, etc.
capital, an important touristic destination, a UNESCO Creative City, a global fishing and mariculture epicenter, a developing
mining territory, a burgeoning IT development hub and a
More than 70 companies with processes of design, assembly,
logistical paradise for the American and Asian markets. Home
manufacturing, sterilization, among others.
to the world famous Tecate Beer, and major companies like
Baja California leads the medical device industry in Mexico
Rockwell, Ingersoll-Rand, Milwaukee Electronics, and more.
and Latin America. PAGE 091
"Baja California and Honeywell have forged a strong relationship with benefits for both, which has allowed the growth of our presence in the state. In addition, we have found that Baja California offers a wide range of advantages for a company like ours, including access to a motivated and skilled workforce, and a strong educational infrastructure that includes several universities highly qualified. These were the factors that convinced us to expand operations here." - Luis Sánchez (President Honeywell Mexico)
Over 61,000 jobs.
Baja California represents 50% of total national exports
The craft beer, wine and cuisine of the region attract more than
8 million people annually to Baja California.
A yearly growth rate of 7.8%.
Baja California produces more than 80% of Mexican wine.
Internal market of $2.3 billion dollars.
The industry produces 30% of the wine consumed in the
Companies like Flex, Meddtronic, Medline, Zeiss, Nypro.
country. There are about 180 wine houses that produce more than
500 wine labels.
Baja California has the largest concentration of electronic
It has an international recognition of quality (More than 600
manufacturers in America.
international awards and recognitions, according to the
More than 180 electronic companies established.
Mexican Wine Council, 2016).
Over 120,726 jobs.
Companies include Vena Cava, L.A. Cetto, Roganto, Santo
The only manufacturing sector with presence in the 5
Tomas, Adobe Guadalupe, Monte Xanic, and more.
municipalities of the State. Some of our capabilities: Automated surface mount and
STATE INCENTIVES AND SUPPORT
assembly, testing and validation, OEM/ODM/ EMS and
Exemption on the payroll tax based on the project and
Contract manufacturing options, among others.
obtained score. For newly generated jobs: 1 to 2 years – up
Companies like Bose, Hisense, Foxconn, Sanyo, Aptiv,
to 100% / 3 years – 75% / 4 years – 50% / Up to 5 years –
Panasonic, Kyocera, Technicolor, Creation Technologies.
25%. For existing jobs prior to the project: 50% during the 1st, 2nd, 3rd and 4th years / 25% during the 5th year.
Comprehensive advisory and guidance during the landing
Baja California has an active developer community of more
of your project on Baja California.
than 5,000 high skilled software engineer user groups.
Assistance in recruiting personnel though the State
There are +300 companies that are integrated into Baja´s
Secretariat of Labor.
Full support in creating linkage programs with local, state,
Great integration with mature manufacturing processes
and national universities, technical and vocational schools.
(Aeronautical, Automotive, Electronics, Medical devices,
Working together with the industry within Baja California,
in order to adapt the curricula to your industry needs.
2 PhD research centers focused on robotics, IoT and
Incentive package for foreign and local suppliers.
Availability of talented workforce and guaranteed stable
Our major export markets are United States, Asia, Latin
America and Europe.
Two annual events for supplier chain development
Companies include Gameloft, SRAX, RSI, Grupo Red, etc.
programs. PAGE 092
BAJA CALIFORNIA THE HIKE MAGAZINE
SUCCESS STORIES "Mexicali was elected as the ideal city for its operation, due to its strategic location for future projects, for having qualified workforce, as well as a stable and competitive working environment. Baja California stands out for having the largest concentration of medical companies in Latin America." - MEDLINE "Baja California and Honeywell have forged a strong relationship with benefit for both, which has allowed the growth of our presence in the state. In addition, we have found that Baja California offers a wide range of advantages for a company like ours, including access to a motivated and skillful workforce, and a strong educational infrastructure that includes several universities highly qualified. These were the factors that convinced us to expand operations here." - HONEYWELL "Our President chose Mexicali because of its proximity to the commercial ports, its friendly and warm organization and its hardworking citizens." - MARTECH MEDICAL "For Hyundai, Baja California has been an excellent place of investment and therefore its growth has been consolidated in recent years.” - HYUNDAI “Our trajectory, strength and position in the market,as well as our future growth and interest to be the best would not be possible without the workers of the company.»We are also very grateful for the support received from the region and its authorities, we will continue to contribute together to continue this effort and fulfill our commitments.” - FURUKAWA AUTOMOTIVE “The talent that exists in the region represents strong advantages when starting work in Mexicali for our company, it is important to train the new personnel of welders.” - ASCENT AEROSPACE For more information about doing business in Baja California please contact the Economic Development Agency of Baja California: www.nvestinbaja.gob.mx PAGE 093
With about 2,000 beneficiaries and 195,000 trees planted, our agroforestry project in Ethiopia with the Louis Dreyfus Foundation and PUR Projet has the wind in its sails. Since 2014, regenerating coffee ecosystems in Sidama zone through integrated activities including agroforestry has been the shared mission of Louis Dreyfus Company, the Louis Dreyfus Foundation and PUR Projet, a social business working with companies and communities to
LOUIS DREYFUS IS HELPING COFFEE FARMERS IN AFRICA
regenerate ecosystems they depend upon. Making coffee production sustainable is key in this region where coffee accounts for 90 to 100% of household incomes. Thus, the project aims to increase coffee farmers’ resilience to climate change through the regeneration of ecosystems, the adoption of good agricultural practices and the empowerment of coffee communities. It was designed in collaboration with the communities and includes an integrated set of activities to meet this objective: agroforestry, training sessions on good agricultural practices for coffee and the implementation of improved cookstoves. Agroforestry consists of planting trees for shade within and around coffee plots to protect crops from the sun, diversify farmers’ revenues and provide many other positives for the ecosystem, such as adaptation to and mitigation of climate change and droughts, reducing erosion, retaining water and preserving soils. Assisted by technical experts, farmers rapidly took ownership of the program: they chose and planted native and fruit trees and cared for them to maintain them alive. Training sessions on good agricultural practices, including training on agroforestry, contribute to regenerating coffee ecosystems and to maintaining coffee yields and quality. Finally, the use of improved cookstoves helps fight against deforestation in the region, saving around 50% of the fuelwood used for daily cooking and thereby reducing emissions. It also reduces women’s workload related to cooking, allowing them to take advantage of other project activities. Building on this success in Ethiopia, the project was extended to Uganda in 2018. Located in the Rwenzori region, the project also includes agroforestry, training sessions on good agricultural practices as well as improved cookstoves. In addition to this, in 2020, interactive theatre plays will be performed within the communities to raise awareness of best practices, support the scaling up of activities and help empower the communities. Founded in 1851, Louis Dreyfus Company is a leading merchant and processor of agricultural goods. Our activities across a diversified range of business lines span the entire value chain, from origination to distribution, helping to feed and clothe up to 500 million people every year. Our strong values, rich heritage, and clear vision for a safe and sustainable future guide us in our work to contribute to the global effort of providing sustenance for a growing population. Follow Sustainability at LDC: www.ldc.com PAGE 094
“Programs like this one multiply positive outcomes relating to soil, water, biodiversity, farmer revenue and coffee quality. The social capital gained enables households to avoid food insecurity during more difficult seasons, which keeps the community healthy. We expect the project to benefit more than 10,000 people, and to have 529,000 trees planted by 2021, in both countries combined.” Rozenn Kerviel, Global Sustainability Manager for Coffee at LDC.
connectivity cloud platform. We work with telecom operators around the world to provision local IoT
JOHN MATHEW CEO - CAVLI WIRELESS In the next five years, Cavli foresees that Internet of Things will have a transformative impact on every single industry across a multitude of use cases and billions of connected objects. Cavli plans to be a driving force in this transformation.
data in LTE/ Low Power Wide Area network technologies like NB IoT, LTE-M on our eSIM technology, so that IoT product makers don't have the hassle of navigating this complex fragmented ecosystem. As our core focus is secure & seamless IoT connectivity enablement, we are positioned to enable pretty-much the entire spectrum of use cases from Logistics to Smart utility metering to Asset tracking to applications in Healthcare IoT, thus making our solution industry agnostic. Cavli Wireless is among the first players in the industry to launch connectivity modules integrated with eSIM that are preloaded with global IoT data, which can be managed by our own platform - Cavli Hubble. Cavli Hubble gives remote backdoor access to smart modules & eSIMs, thereby giving businesses the confidence to scale seamlessly. There is a layer of intelligence and analytics for connectivity management for IoT solutions that are currently not on offer in the global cellular IoT deployment market. Why has Hubble 99 taken the industry by storm? Hubble99 is the most ambitious IoT adoption plan that has ever hit the IoT industry globally. For an irresistible package price of $0.99/month/device, IoT solution players get the eSIM integrated connectivity
technology, pre-loaded IoT data pack, and the Cavli believes that connecting every object in the physical world to the
robust Connectivity-Device management cloud
internet will most seamlessly and efficiently solve the majority of our
platform, all together as one single package. All
problems, and massively improve the quality of life and productivity.
Cavli smart modules offered as part of Hubble99,
This is the true power of the ‘Internet of Things’. Cavli aims to be one of
come with a lifetime warranty, thereby taking away
the top 5 players in the globe to deliver this power.
any apprehensions regarding how a net-zero priced module will take care of your connectivity needs.
Tell us about Cavli Wireless and your solutions. Cavli Wireless is every IoT product maker's gateway to hassle free
With Hubble99 IoT product/solution makers can:
deployments. With our suite of solutions, we enable product makers to get
- Enjoy lifetime warranty of IoT modules as long as
their IoT solutions ‘Smart Connected’ in the most seamless, secure and
the data plan is active.
scalable way possible. At Cavli Wireless we are simplifying the IoT
- Get access to local IoT networks in over 180+
connectivity infrastructure landscape with our end-to-end suite of Smart
countries. PAGE 096
- Get 24/7 dedicated Customer support & Application support.
We realized that IoT product makers so far do not have access
- Gain immediate remote access for firmware and application
to a technology enabler that not only takes away a lot of
management with Cavli Hubble.
hassles at once, but also brings them great cost benefits
- Save capital investments on IoT projects by 50% in year one
helping them to deploy those savings either to enhance their
and 30% in three years time.
research or improve their marketing initiatives. This led us to
- Get to a ‘ready to deploy’ scalable version of their IoT
defining Hubble99 with a singular vision to enable as many IoT
product in 3 months time.
product makers as we can, on the planet.
Hubble 99 is the first of its kind subscription model. What
You provide the hardware, the connectivity solutions and
did you spot in the marketplace that convinced you that
the platform. What advantages does that give you and your
this approach is needed?
We believe that connecting every object in the physical world
Cavli's suite of solutions is tied to a combination of three
to the internet will most seamlessly and efficiently solve the
majority of problems. To fast-track that vision, we realized the
1. The IoT connectivity and Edge compute modules, i.e, the C-
industry requires a disruptive solution; one that can enable
series and P-Series line of products,
established solutions makers as well as the new entrants to
2. Hubble SIM/eSIM solutions that powers global IoT
BUILD, CONNECT and SCALE their ‘Smart-Connected’
3. Connectivity & Modem Management Platform, the Cavli
- First and foremost, without making any compromise on the
quality of the service. - Secondly, at a fraction of the cost of what the current
- Our smart compute modules, P-Series, are designed for
technology providers service the market.
durable use, minimal ﬁeld support requirement, lower total PAGE 097
cost of ownership (TCO) & is ideal for manufacturers who are
- Energy and Utilities: Cavli’s IoT solutions provide a definite
looking to quickly design and launch their IoT devices in
edge by allowing customers to seamlessly connect & manage
multiple segments and geographies worldwide.
all their energy assets. Our smart energy solutions are
- Our SIM solutions are available in both traditional Nano-SIM
straightforward, adaptable and secure thanks to our cloud-
and eSIM form factors. Cavli Hubble's remote provisioning
based device monitoring and diagnostics solution – Cavli
system facilitates local IoT connectivity with over 60+ direct
Hubble. A few applications are smart grids, smart meters,
telecom operator partnerships.
smart bins, and smart buildings.
- One of the key objectives of Cavli Hubble is to give control
- Transportation and Logistics: We design solutions that can
over millions of connected devices with ease. Our cloud
manage the intricacies of the transit and transport systems in
platform also enables over-the-air ﬁrmware updates that
an intelligent, smart and secure manner. Cavli enables
quickly sends new features to remote devices with a click of a
automotive manufacturers and stakeholders worldwide to
gain a competitive advantage in their deployments. A few
- We directly work with telecom operators around the world to
applications are fleet management, asset tracking, dynamic
facilitate local data connectivity, thereby ensuring that any
traffic management, On-board Diagnostics, and autonomous
IoT product maker or enterprise in any industry, be it logistics,
smart agriculture, industrial IoT, smart city applications, can
- Industry 4.0: With Cavli’s Industry 4.0 solutions, factories and
easily build, connect and scale their IoT solutions to any
warehouses can achieve horizontal and vertical integrations
geography in the world in the most seamless manner possible.
of systems, processes, and equipment to achieve real-time decision making and enhanced efficiency. A few applications
What this means for the IoT product maker is that they have
are connected machinery and equipment, smart wireless
the entire suite of solutions required to enable cellular IoT
manufacturing, and asset management.
from one single technology partner - Cavli Wireless, thereby
- Agriculture: Smart Farms of today are enabled with multiple
considerably shrinking the value chain and time required to
sensory application and control systems to manage
go to market. Cavli Hubble is the epicenter of our solution
everything from pumps to heavy machinery and irrigation
which gives the power to scale seamlessly to the IoT product
channels to indoor climate control systems for storage
maker. We envision a future where Cavli will support millions
facilities. IoT enabled livestock management provides farmers
of product makers to go from product design to MVP to mass
with real-time information about their livestock – blood
deployment in three months anywhere on planet earth with
pressure, heart rate, and other vitals. A few applications are
our end-to-end IoT enabler product suite.
weather monitoring, smart irrigation, precision farming, cattle tracking/monitoring.
What industries have the greatest need and potential for
- Healthcare: Healthcare in IoT ensures a connected
ecosystem that helps practitioners to harness the benefits of
Cavli’s IoT enabling solutions span across verticals and global
real-time data transfer. IoT enables medical providers to make
markets to address the most pressing challenges of today’s
quick, smart and potentially life-saving decisions, helping
businesses. We offer integrated IoT solutions that can cater to
prevent emergencies and possible hospital readmissions.
the broadest range of applications and use cases.
Cavli’s suite of cellular IoT enabling solutions ensures that it is PAGE 098
CAVLI WIRELESS effortless to achieve wireless/remote monitoring & management of medical equipment and wearable devices. A few applications are real-time patient monitoring, enhanced biomarker systems, and controlled & intelligent drug delivery. Tell us about the key internal drivers of Cavli's success. With the global adoption of Low Power Wide Area Networks like NB-IoT and CAT-M1 and the emergence of 5G technology, it is certain that the world will experience an explosive growth in the number of connected IoT devices in the next few years. Foreseeing this transition, Cavli is on a mission to ensure our solutions are relevant to the needs of the cellular IoT industry. We are making this possible with the combination of several internal drivers such as an experienced/multi-faceted team, an agile R&D process that adopts the latest technologies evolving in hardware to enable Connectivity as a Service, and a secure supply chain. Our product suite is the result of the amalgamation of three different verticals - Telecom technology, Embedded Electronics, and Software Technology. Over the years we've worked with industry majors across the globe at upstream and downstream ends to ensure our IoT CaaS solution always remains a few steps ahead of the game. Tell us a bit about your professional background. I was raised and educated in India, I hold a bachelors’ degree in Electronics and Telecommunications, which set the route for my future entrepreneurial endeavors. Entrepreneurship, Communications technology and the sport of Cricket in that order gets me excited and going. My passion for engineering and a decade of experience in Communication technology has helped me spot problems and gaps in the telecoms/ IoT sector, which we carefully package around solid business models. Co-founding and leading Group companies - Divox International Inc and Transdata Global Ltd to great success as telecom voice & data services companies, bears testimony to how we built tech stacks to capitalize on the advent of Voice over Internet Protocol (VOIP). Building a system that facilitated voice traffic across geographies by working alongside major telecom operators finally led our foray into the world of Cellular IoT. PAGE 099
To emerge as the top 5 global solution providers for cellular IoT implementation, Cavli is building an aggressive global sales operation that will make strong inroads into newer markets. In 2017, I embarked on my journey as the Chief Executive
IoT segment in and outside India, to prepare their products
Officer at Cavli Wireless. I am good at building and executing
and prototypes to be ready for the latest technologies. This
strategic partnerships by bringing to the table ‘win-win’
test network will be available with 5G SA and NSA modes
propositions that have resulted in big corporations being on-
(supporting sub-6Ghz bands), alongside LTE NB-IoT and CAT-
boarded for pivotal partnerships. My 10+ years of experience
M for the LPWAN side of the IoT. Access to this test network
in developing products and managing cross-functional teams
will be totally free of cost and availing this here in the Indian
all the while with a ‘get your hands dirty’ approach has
ecosystem is going to fast-track different use cases over it and
ensured that I am always up for any twist or turns in the fast-
companies can take their products globally anywhere
paced communications industry.
completely pre-tested and compliant. As 5G will bring many
My colleagues have mentioned my ‘no-nonsense walk the
new test requirements and challenges by the use of SDN/NFV
talk’ work ethic as the essential virtue in my leadership
and cloud services, the technology can also be used for
approach. In my capacity as the CEO & Chief Technology
creating new test solutions.
Architect of Cavli Wireless, I oversee the overall direction for the organization, all the while being deeply engaged in driving
Tell us about your team and your approach to leadership.
technology, defining the new product roadmap, and putting
An agile and proactive team of entrepreneurs, marketing &
important upstream & downstream partnerships in place to
business enthusiasts have been the sole drivers of Cavli’s
aid the vision of Cavli Wireless.
success and growth ever since its inception in 2017. Our core team involves the collaborative efforts of:
Cavli Wireless has a stated goal of becoming one of the Top
- Ajit Thomas, Co-founder & Chief Marketing Officer
5 providers in its space globally; what are the key elements
- Tarun Thomas, Co-founder & Chief Operating Officer
you need in order to achieve this target?
- Akhil A Zeeb, Co-founder & Director of Business Development
To emerge as the top 5 global solution providers for cellular
- Surendar Kannan, VP of Sales, APAC (Ex Nokia, 25 years
IoT implementation, Cavli is building an aggressive global
experience in ICT)
sales operation that will make strong inroads into newer
- Siva Ramamoorthy, Advisor - Telco Operations (Ex Intel and
markets. With a passionate team that believes in the vision
GENBAND Kellogg, USA Alumnus)
and an agile Research & Development process that addresses how we considerably shrink the value chain of IoT
Tell us about Cavli's global presence and availability.
deployments, will always ensure that we are three steps
Cavli’s internal value chain is spread across continents with
ahead of the game amongst our competitors in the cellular
niche technology partners traversing Embedded electronics,
IoT industry space.
Telecom technology, and Software cloud optimization services from the United States, France, UK, Brazil, S.Korea,
Cavli Wireless recently launched India's first 5G test
China, Taiwan, HongKong, and Germany. Cavli directly
network. What does that mean for IoT innovation in the
partners with over 60+ telecom companies and powers
cellular connectivity requirements for 150+ countries across
We were set to launch the test network in Q3 2020, but due to
the globe. Cavli has business operations across four
the COVID-19 scenario, we have slightly delayed the
continents - North America, Europe, Middle East and Asia
investment to mid of 2021 to ensure that we get to attract the
Pacific with sales offices in the United States, Spain, Turkey,
best startups in the country innovating in the ‘Smart
Oman, with the Innovation center set up in India.
solutions’ space when the business machinery in the country becomes fully operational again. When realized, the 5G test
For more information about collaborating with Cavli please
network platform will enable startups and companies in the
connect at www.cavliwireless.com PAGE 100
A LAND FOR BREAKING PRODUCTION RECORDS
PARANA STATE BRAZIL
WHAT'S ON THE MENU OF FOOD EXPORT? THE ANSWER IS COSTA RICA.
From the world's best coffee to hearty liquors, premium chocolates, fruit preserves, and gourmet nuts and snacks, Costa Rica's got your cravings covered. Costa Rica's not just about rainforests and beautiful beaches. The prosperous Central American nation is a competitive world leader in agricultural exports. Over 100 years of experience in the food industry, coupled with innovative growing processes, superior soil quality, and a year-round growing season, have resulted in a cornucopia of high-demand crops sought worldwide.
COSTA RICA, A SMALL COUNTRY WITH A GREAT VISION. LIKE AN ESSENCE, WE ARE A CONCENTRATED COUNTRY WITH A GREAT AND UNIQUE VALUE THAT DISTINGUISH OUR PEOPLE.
The country's vibrant coffee industry is known across the globe
leading exporter of carbon-neutral NAMA coffee.
for setting standards of consistency and caliber and as well as breaking the 2018 Coffee Association's Cup of Excellence price record for high-quality beans. Costa Rica is also the world's
THE HIKE MAGAZINE
COSTA RICA AGRICULTURE
Let's talk about chocolate – Costa Rican cacao boasts the Cocoa of Excellence award, the Central American Chocolate Award, and Silver and Bronze medals from the International Chocolate Awards 2017 Americas competition. "Applied international standards for sustainability, supply chain integrity, and social progress initiatives set us apart as a country and directly impact the food we produce," says Costa Rica's Export Promotion Agency (PROCOMER) CEO, Pedro Beirute. "More than 300 products leave our borders every day to reach over 100 international destinations." In fact, 9 of the top 40 global food processing companies have operations in Costa Rica. What's on the menu of export delicacies? In addition to coffee and chocolate, there's pineapple, hearts of palm, exotic fruit and vegetable preserves, aromatic and spicy sauces, gourmet nuts (macadamias, cashews, and peanuts), and of course world-class rum, craft beer, and other spirits. Recent developments to meet market demand include the introduction of superfoods. Chia, aloe vera, virgin coconut oil, algae, and other high-nutrient crops are requested with increasing frequency. Certifications, including USDA Organic, Fair Trade, FSSC 222000, among others, are all testimony of Costa Rica's dedication to offering exceptional produce. "Costa Rica has high-quality products and a promising future in the development of new crops. We want our relationship to be lasting, and we can grow together for years to come." Says import specialist, Miguel A. Romero of E. Sanchez S.L., Spain. The Essential COSTA RICA Brand PROCOMER is the government agency responsible for promoting the export of Costa Rican goods and services to the world. Qualified agricultural producers are required to live up to the country's brand standard of excellence, known as Essential Costa Rica. These companies are recognized as industry leaders for meeting the brand's strict criteria of Excellence, Sustainability, Innovation, and Social Progress in their operations, products, and services. For more information on how PROCOMER can satisfy your business's needs, visit Procomer.com."Costa Rica is paramount in the success of our supply chain." Said CEO of EXP Group, USA, Anthony Serafino. www.procomer.com | www.esencialcostarica.com/foodindustry PAGE 103
THREE PLUMMETS FOR OIL PRICE IN 12 YEARS: HOW SHOULD OIL AND GAS DEFINE ITS FUTURE? A focus on developing advanced technologies that increase
These oil price plummets have brought impacts to the oil and
efficiency and reduce production costs is the only way to
gas industry, each of which was more intense than its
protect the future of oil and gas.
predecessor. In 2008, the oil price plummet went on for nearly
With the industry unprepared, global oil prices collapsed again
one year; in 2014, it lasted for nearly three years; in the week
in 2020, and this time, it dropped promptly to a historic low.
of May 22, 2020, the number of active oil and gas drilling rigs in
Since the middle of March 2020, the international crude oil
the United States fell to 318, this level was last seen during the
price has mostly been below 30 USD/barrel, during which time
Second World War.
the oil price even dropped to a negative value. The last time the oil price dropped below 30 USD/barrel was in 2016.
How much will the oil and gas industry lose in 2020? According to a report released by the International Energy
A Giant Black Swan Arises
Agency (IEA), global demand for crude oil is likely to decrease
In recent years, the international oil price has become
by 9% in 2020, returning to 2012 levels. Meanwhile, demand
increasingly volatile. In the past 12 years, there have been
for natural gas is expected to decrease by 2%. The decrease of
three drastic plunges.
both energy demand and price will lead to the sharp decrease
In 2008, the oil price fell from 147 USD/barrel to a
of enterprise income. According to a research by Rystad
minimum of 40 USD/barrel caused by the financial crisis.
Energy, an energy consulting company, global oil and gas
In 2014, the oil price fell from 100 USD/barrel to a
exploration and production revenues will drop by about one
minimum of about 30 USD/barrel due to the development
trillion USD in 2020, a 40% year-on-year drop. This means that
of shale oil in the United States.
the income of many oil producers is likely to halve this year.
In 2020, the Covid-19 pandemic augmented the pressure
Looking ahead, it remains unclear when oil prices will recover.
of the global economic downturn, and the oil price
In the short term, it is very difficult to restore oil and gas
dropped from 60 USD/barrel to -37 USD/barrel.
demand before the global pandemic has subsided. Some of PAGE 104
Although oil and gas production is in a critical period of stable production and production increases, at the same time, evergrowing cost is a challenge. In recent years, hard-to-develop resources such as shale gas, tight oil and other resources have accounted for a large share of newly-proved oil and gas resources in China.
the research institutions predict that, the global oil and gas
and gas production costs are relatively high. Many oil and gas
exploration expenditure may continue to decline even in 2021.
developers in China have tried to take a shortcut, hoping to
Taken together, the market is full of uncertainties, and the oil
replicate experiences from North America to realize low-cost
and gas industry will find it hard to fully rely on the possible
development of shale gas in China. The fact is that the
bounce-back of future oil prices.
conditions of China's shale oil and gas reserves are quite different from those of North America's shale oil and gas, in
A Grey Rhino Gets in the Way
terms of geological and geomorphic characteristics, and this
For many oil and gas producers, the downturn in oil prices is
poses unique challenges.
not the only challenge in front of them. In order to ensure national energy security, China's oil and gas industry
China's main shale gas reservoirs are buried more than 3000
launched a round of "oil and gas battles" in 2018. Although oil
meters deep, whereas many shale gas reservoirs in the United
and gas production is in a critical period of stable production
States lay only 1000 meters deep. And most of the shale oil
and production increases, at the same time, ever-growing cost
and gas fields in the United States are located in plain areas,
is a challenge. In recent years, hard-to-develop resources such
while in China, most shale oil and gas fields are located in
as shale gas, tight oil and other resources have accounted for
mountainous areas, which makes it difficult to transport and
a large share of newly-proved oil and gas resources in China.
place the equipment, bringing a higher operational cost. Finally, the current output of shale gas in China is far below
According to data released by China Mineral Resources 2019,
the original target. Even if oil and gas prices could rise in the
in 2018, the proven resource reserves of shale gas in China
future, it is likely that many oil producers will not be able to
increased by 8.9% year-on-year, compared with 4.9% year-on-
bypass this Grey Rhino named "high cost".
year increase of conventional natural gas and 0.9% year-onyear increase of oil. In 2019, Qingcheng oilfield, the only one-
Hard-Core Equipment is Born
billion-ton oilfield newly confirmed by China, is also a shale oil
Under the double pressure from Black Swan and Grey Rhino,
field with a high difficulty of effective exploitation. Shale oil
the oil and gas industry is quietly shifting to a new direction. PAGE 105
The cost of Frac operation is often higher in China, as China's shale oil and gas fields are mostly located in mountainous areas, with narrow mountain roads and limited operational space. It is extremely inconvenient to transport and install Frac equipment there, and there is the added cost due to a need for higher stability of the equipment because of the location and climatic conditions.
More attention is being paid to efficiency and cost control,
hard-core innovations with regards to two core devices of Frac
instead of blindly expanding production. This is especially
equipment: first, the plunger pump is upgraded to cater to
evident when it comes to the development of oil and gas
continuous operational conditions instead of previous
technology. New technologies that improve efficiency are
intermittent operational conditions; second, in terms of
being popularly adopted across the globe.
power, Jereh replaced the traditional diesel drive with electric drive.
For example, the Electric Frac solution, which is highly praised in the industry, has emerged to overcome a major obstacle.
A Hardcore Plunger Pump
In the process of shale gas development, there is a key phase -
The plunger pump developed by Jereh Group has been used
Hydraulic Fracturing; during which large quantities of high-
for many years in shale gas Frac operation in China, this has
pressure base fluid is injected into the rock strata thousands
now been improved for continuous operation conditions, its
of meters beneath the surface. This complicated operation
service life and stability are also optimized so as to adapt to
come at an extremely high cost. Research has pointed out that
more demanding Frac operations.
the cost of hydraulic fracturing in North America accounts for about 15% - 40% of the total cost of a shale well. If the
Electric Replaces Diesel
efficiency of hydraulic fracturing can be improved, the
Traditional hydraulic fracturing equipment requires more
production cost of shale will be significantly reduced.
than ten diesel engines to drive at the same time, which leads to limitations in mountainous area because of the large
However, the cost of Frac operation is often higher in China, as
amounts of space the diesel engines occupy. Therefore, Jereh
China's shale oil and gas fields are mostly located in
Group developed the Electric Frac equipment with the design
mountainous areas, with narrow mountain roads and limited
concept of high power density. Its power is more than twice
operational space. It is extremely inconvenient to transport
that of the conventional diesel drive Frac equipment with a
and install Frac equipment there, and there is the added cost
power density of up to 134kW/t, the largest in the world. This
due to a need for higher stability of the equipment because of
means that it only takes 9 Electric Frac units now to
the location and climatic conditions. Even global energy
accomplish the same amount of work that required 18 sets of
giants with strong financial and technology resources have
diesel-driven fracturing equipment to operate simultaneously.
been unable to provide the required equipment and
Thus, the operation needs not only less space for operation,
experience that meet the unique needs of China's shale gas
but also less purchasing and maintenance costs for the
equipment. It is worth mentioning that there are many residential areas near the shale gas fields in Sichuan. The loud
To solve this problem, in 2019, Yantai Jereh Oilfield Services
noise from traditional Frac equipment severely affected local
Group Co., Ltd. (Jereh Group) launched the world's first self-
residents’ daily lives, making it difficult to operate at night and
developed complete set of Electric Frac spread for shale gas
lowering the operational efficiency. For this reason, Jereh
development, which brought new possibilities for the cost to
Group adopted the technologies of mute fans and frequency
be further squeezed down. In view of the special difficulties in
conversion control to keep noise under 85 dB, so as to meet
exploiting shale gas in mountain areas, Jereh Group has made
the requirements of operation during nighttime. PAGE 106
THE HIKE MAGAZINE
THE FUTURE OF OIL AND GAS?
In addition, the electric equipment is equipped with an intelligent integrated control system. The system can transmit the on-site data to the base data cloud platform in real time through 4G, 5G and satellites, cooperate with built-in intelligent analysis and diagnosis, and provide technical guidance and early warning analysis for well site operation. In order to minimize the cost of Frac operation, Jereh Group made special designs for the fracturing manifold, sand blender and sand conveying equipment. For example, the working performance of the sand blender is 15% - 20% higher than that of diesel drive equipment of the same specification; the sand conveying equipment has transformed the traditional mode of crane hoisting and bag breaking, making the supply of Frac sand safer and more efficient. The introduction of Jereh Group electric Frac solution has greatly improved the capacity of domestic shale gas production in China. Last year, in the Frac operation of Sichuan Wei 202H40 platform, Jereh Group's electric frac solution broke the record for shale gas Frac efficiency in Sichuan and Chongqing area. In the end, 5 shale gas wells achieved a production leap of 5 million m3 /d. Since then, Jereh Group's complete set of electric frac equipment "family" have been delivered to major oil and gas fields across the country, providing new support for safe, green, efficient and intelligent exploitation of domestic oil and gas fields. Cost reduction is a protracted war Thanks to technology innovators like Jereh Group, China's shale industry has been steadily advancing despite all the difficulties. In 2019, China's production of tight gas and shale gas hit a record high, reaching 40 billion cubic meters and 15 billion cubic meters respectively, where shale gas production increased by 38.9%. In addition to Sichuan Basin, many oil and gas producing areas in China, including Changqing Oilfield, Xinjiang Oilfield, Daqing Oilfield, Dagang Oilfield, etc., began shale oil and gas development. In 2020, Jereh Group 10,000hp electric Frac trailor and 5000hp electric Frac skid participated in key shale oil projects across China, helping to create the "China Speed" of maximum fracking 11 sections a day in Bohai Bay. The shale oil field of Dagang Oilfield is planned to achieve an annual output of 500,000 tons of shale oil by 2025, becoming another important battlefield for China's shale oil and gas revolution. Looking ahead, the oil and gas industry obviously needs more innovators and innovations just like Jereh Group and its electric frac solution. In the long run, the Game between large oil and gas producing countries, geopolitical disputes, and the uncertainty of the world economic outlook all may lead to another sharp rise or fall of oil PAGE 107
JEREH GROUP prices. In 2019, China's oil and gas imports reached a new high, with oil dependence reaching 70.8% and natural gas dependence at 43%. The high volume of oil and gas imports highlight the domestic energy security issues. Whether in the past, at present or in the future, challenges, risks and market fluctuations have never been far from the oil and gas industry. In recent years, the frequent rise and fall of oil prices have brought greater pressures to the domestic oil and gas industry: the development of the industry cannot be entirely dependent on oil price. The best long-term path is to move forward by responding to constant changes through continuous technological innovation. Jereh Group’s electric Frac solution adheres to this ideology. Through continuous and in-depth investment in the technical field, it has unlocked the gate for domestic shale gas development to embark on the path of independence. Although it is difficult to predict the future of oil prices, it is clear that technological progress will lower production costs. Even if the research and development processes involved in bringing new industry-transforming technologies to the fore may seem slow at time, it will eventually take us further. About Jereh Group Jereh is a global group specializing in oil & gas, power and environmental management. By leveraging the resources and capabilities of equipment manufacturing, technology services, turn-key engineering as well as investment and operation, we offer integrated solutions in a flexible, efficient way to help customers resolve the issues and challenges that they face. We operate in more than 70 countries and regions across the globe. More than 5,000 outstanding employees worldwide, upholding the core value of "focus on customer
continuously improving to be the best", are working closely with our customers and partners to build a better world. For more information: www.jereh.com PAGE 108
INVEST IN MOROCCO
SHARING SUCCESS Qualified Labor Force Ambitious Sectorial Plans World Class Infrastructure Favorable Investment Climate Free Trade Access to One Billion Consumers Kingdom of Morocco - Moroccan Investment Development Agency www.invest.gov.ma
DR BOB MURRAY MBA, PHD - FORTINBERRY MURRAY Dr. Bob Murray is an internationally recognized expert in strategy, leadership, influencing, human motivation and behavioral change.
Tell us about the work of Fortinberry Murray. My partner, Dr Alicia Fortinberry and I began Fortinberry Murray in 1985 in New York. FM now has clients throughout the world. Our overall mission is to make organizations of all kinds work for the benefit of human beings by aligning their strategies and their ways of operating more closely with what we call our “design specs.” In that way, they can be not just more productive, but also have a happier and more engaged and motivated workforce. It’s hard to precisely classify our firm, as we and our colleagues work in a wide range of fields and industries. Essentially FM is a consultancy which, historically has specialized in the areas of leadership development, team creation and performance,
communication. Our work is based on the latest research in a broad range of disciplines based on what we call “Human Science”. These
psychiatry, management science, marketing and social science. However, we are also futurists who study and draw practical lessons from what research is telling us are the major factors which will
Increasingly, our clients are asking us to help them redirect their business, personnel, marketing and communications strategy to take into account what we have discovered are the major emerging Bob helps organizations use the latest research in human science to
trends. On a more personal level, we are executive
better market their services, lead their people, improve their
coaches to a wide range of business and
productivity and increase their firm-wide resilience. His insights are
based on his wide experience in business as well as his deep knowledge
Our emphasis is on the practical application of
of management, psychology, genetics and neurobiology.
new discoveries—what do they indicate that individuals
He has led behavioural change programs for major law firms in
differently. So many of the influencing, marketing,
Australia, the US, the UK and Asia as well as for Global 500 and major
sales, personnel management techniques—most
national corporations and the Big Four consultancies. Bob is a NY Times
of which are still taught in major business schools
best-selling author. His most recent book (with Dr Alicia Fortinberry),
—are outdated and based on false assumptions.
The Human Science Strategy: what works and what doesn’t (ARK
They don’t reflect how humans actually make
Group, London) shows the potential impact of human science on
decisions, work most effectively, or are influenced
and motivated. PAGE 110
Tell us about the pathways through which you assist your clients to achieve desired improvements. We aim to get our ideas, our information, and our research out to as many people as possible. Sometimes this will be through
"Our knowledge of human science and our practical tips apply throughout any organization."
one-on-one executive coaching with business or government leaders. More often it will be through workshops or keynotes at conferences or retreats. Recently we have done much of our
we’re in high demand as speakers and, we’ve discovered
work online using a wide range of platforms. We have found
recently, we are experts in delivering entertaining and
the transition surprisingly seamless. We will use whatever
informative webinars and podcasts.
delivery method best suits our clients, their structure, and their budget. Unlike many major consultancies, we do not
What departments within organizations are best suited to
have a one-size-fits-all approach to the problems that are
brought to us. We tend to have long, deep and collaborative
We work at all levels of organizations and in all departments.
relationships with clients, who call on us to solve problems
Offhand, I can’t think of a department of any of our long-
and work with them to tailor solutions that best fit their
standing clients that we haven’t worked with. Our knowledge
people, structure and budget.
of human science and our practical tips apply throughout any
Clients tell us they come to us for three main distinguishing
organization. Overall, the impact of our contributions to those
we work with has been broad. We have increased individual
psychologists and scientists—so we know our stuff. We’re
and group productivity, we have empowered people, we have
practical and our advice can be put to immediate use. Finally
reduced bullying, we have greatly increased the effectiveness
we’re empathetic—we seek to understand and help them as
of teams. We have improved interpersonal relationships
well as help solve their business problems. For these reasons
throughout teams, departments and organizations. We have
"Fortinberry Murray started with a simple question: how do human beings actually function? We wanted to know what makes us arrive at the decisions we make, buy the things we do, lead people in particular ways. What really makes us happy in the short and long term, like or hate each other, collaborate or not, trust other people, or not." one of the most moving pieces of feedback, which reflects a
concrete steps do they need to take to get where they want to
common sentiment of those we touch is: “I learned more than
go? However, the first step we take is to find out about them—
I ever have about leadership and building high performing
to form supportive relationships with our clients. We want to
teams. But honestly what I most value is how to talk to my
find out their real needs, personally and in terms of their
son. I used to think success was all about being successful at
organization and industry. Often what they really need turns
work. Now I know it’s about the relationships I make with
out to be quite different from what they thought.
everyone I value in my life and how to do that well. Thanks to
You can’t help anyone until you know about them and the
your presentations I am getting to really know my 13-year-old
context they’re in. This process also deepens their own
son. And I want to guide him to not make the mistakes I did,
understanding and curiosity. Then you look at what they do.
but to focus on and be skilled in relationships.”
We observe and explore underling aspects of what they want to achieve such as their decision-making, delivery of
There is a distinct focus on using the latest science-based
performance reviews, influencing techniques, delivery (or not)
knowledge in your work. What are the advantages to be
of hard messages, quality of dialogue and what techniques
derived from this approach?
they use to motivate their people. Once we have gathered this
In the past most consultants relied on models with little or no
information, we can suggest ways we can help them to change
scientific basis, and their own assumptions. So much research
what could be done more effectively. We don’t set out to
has shown that this doesn’t work to engender lasting change
change mindsets. Mindsets are formed through the
and is why over 80% of change initiatives fail. Fortinberry
experience of doing and reacting to how other people react to
Murray started with a simple question: how do human beings
us. If you consistently do things differently you get different
actually function? We wanted to know what makes us arrive at
results and, when the new actions work, the reward system of
the decisions we make, buy the things we do, lead people in
the brain will create a new mindset. This is why we
particular ways. What really makes us happy in the short and
concentrate on practical behaviors that people can first
long term, like or hate each other, collaborate or not, trust
experiment with and then adopt.
other people, or not. The search for the answers (for there are many) to that fundamental question has driven our research
From your point of view, what are the top 5 challenges
and our business. As a result is our guidance and advice is
that businesses face today?
based not just on our own experience (which by now is broad
The challenges for business reflect the five existential
indeed) but also on proven research findings, on hard science.
problems facing humanity —I call them the five horsemen of
We carefully examine our own assumptions an d biases and
the modern apocalypse: climate change, unrestricted human
teach clients how to do the same. We know what we suggest
overpopulation, and rising inequality. Businesses face
particular challenges within the context of those five You provide practical step-by-step actions to help your
horsemen. For example, rising inequality is leading to a
clients overcome their challenges. Why is this beneficial?
shortening of the average American lifespan and a decrease in
Our clients tell us that we take complex scientific principles
most people’s disposable income.
and make them understandable. Real results come from
Unless you’re in the business of supplying opiates or running
learning new behaviors and actions. What does an individual,
funeral parlors this is not good news. In terms of where we are
a group or an organization need to do differently? ... What
now, the five most pressing challenges that all businesses face PAGE 112
FORTINBERRY MURRAY THE HIKE MAGAZINE
are (in no particular order): Loss of trust. Trust is slipping within organizations (70% of employees don’t trust their leaders and 60% of leaders don’t trust the promises their followers make to them). There is a loss of trust by the community in business generally and in particular a loss of trust in most goods and services. The challenge is going to be how to regain this trust. How to get people committed to you as a leader, to your organization and to your products. Otherwise survival is dubious at best. Lack of meaningful innovation. Almost all innovation for the last 100 years has been technological. This has been our great failure in terms of our ability to meet the challenges that lie ahead. We need innovation in the way we relate to each other in businesses, the way we lead a largely home-based workforce, the way we construct and manage teams, the way we sell our services when we may never meet our clients, how we sell and market in a rapidly-approaching postcapitalist (as we now know it) economy and so on. Loss of engagement. Businesses and all organizations must learn how to engage a largely part-time or gig workforce. Most employees are painfully aware that they are either expendable or might soon become so. Loyalty and engagement are attributes they can’t emotionally afford and therefore are unwilling to give. Internal inequality. Employees, and customers, will no longer tolerate overpaid CEOs and executives. In the 1950s the wage differential between the lowest and highest paid person in a business was 5:1. Now it stretches to several thousand to one. This saps morale and customer loyalty. The demise of globalization. Businesses will have to think national, regional and even local as fissures increasingly lead to a more divided world and even sharply divided nations. Supply chains will no longer be international but will be “brought home.” Human nature and especially human genetics make this trend almost inevitable. There are other challenges ahead, but these seem to me to be the top five. Another one which is becoming a crisis is the level of work stress and mental illness within businesses. PAGE 113
Why is it important for organizations and leaders to
safety in neutrality during WW2 “Each one hopes the tiger will
approach Management and Relationships holistically?
eat him last.” Businesses today are the same. But one thing is
All industry, even professional services, have been based on
for sure: if we keep going with our headlong rush into
models created over 100 years ago. These took little account
technology and maintain our blind drive for increased cost-
of human science—probably because so little was actually
saving, all our businesses are on the tiger’s menu.
known about our design specs. In times of rapid change, the
If business isn’t there to sustain humanity (which includes
old models don’t work—there’s a good argument to be made
adding to individual human beings’ sense of subjective
that they never did.
wellbeing) and the planet we live on, why on earth is it there?
What we in Fortinberry Murray are trying to do is encourage
Business leaders will have to come up with answers to these
organizations not just to think outside the box. But to forget
questions in order to survive.
about the box. We have to ask, for example: What is the point of my business from a social point of view? Is productivity
How much of a problem is bullying in the workplace and
really important? Why do people come to work for me? If my
what is your recommended approach to dealing with this?
organization were a not-for-profit what would be my
Workplace bullying has risen by some 50% over the last
message? What kind of “tribe” am I attempting to build with
decade. This is due to increasing stress (up 200% since 2010),
my employees, my customers, my clients? If I and other
increasing demands on employees and fear of job loss. With
employers get rid of our workforce and replace it with robots
the rising pressures and the shift to off-site working, the
and AI, who will have the wherewithal to buy my products or
bullying will get worse—but it will morph in two directions,
neither of them nice. We will get far more Zoom-and-cyber
Winston Churchill famously said of countries that sought
bullying of colleagues and followers on the one hand and PAGE 114
THE HIKE MAGAZINE
domestic bullying and violence on the other (according to the WHO this is up by 60% in Europe since the beginning of COVID-19 and child abuse has risen by 100% in some parts of the US according to a recent PBS report). Make it safe for people to speak up when they witness bullying of any sort. Have a zero-tolerance policy for bullying or harassment no matter who does it. Be absolutely clear what actions, inactions or behaviors constitute bullying. Make leaders at every level aware of how certain actions or directives of theirs may cause undue stress and thus bullying. Reduce the stress burden in organizations. Make sure that the culture of the organization does not encourage bullying or harassment. You have written and co-authored a number of books. Share with us the best starting point to explore your books? The best place to start for a leader is with our latest book “The Human Science of Strategy: What works and what doesn’t,” (Ark Group, 2020) It’s short, simple and full of practical tips as well as a wealth of the latest in human science. Fortinberry Murray was appointed by President Obama to head the US Dept. of Health and Human Services Workstress Initiative. You have also won the US Science Achievement Award. What do these prestigious recognitions mean to you? Both Alicia and I are extremely honored. I try not to get too caught up in it. We have so much we still want to contribute. It’s nice to be acknowledged by people and bodies we admire, but our past is the least interesting thing about us. The interesting part of my life is now—it always has been. All we really have is the present. We can waste our nows by angsting about the past, or glorying in it or worrying about the future, or looking forward to it. All of these are literally a waste of time—this time that we have now. Fortinberry Murray - Using HumanScience™ to bring your best future forward. For over 30 years, Global 500 and major regional organisations have relied on Fortinberry Murray’s guidance to build and maintain competitive advantage in a rapidly changing environment. For more information: www.fortinberrymurray.com PAGE 115
MAKING AND KEEPING WORK-AT-HOME OPERATIONS SAFE AND PRODUCTIVE
Shutdown orders driven by the coronavirus pandemic resulted in an immediate need for most businesses to support full-time work-at-home employees and in some cases, customers. SANS had to move from 70% in-person training to 100% online training in a matter of weeks for all instructors and thousands of students. The goal of this paper is to pass on the lessons learned by SANS on how to reach “safe enough while productive enough” levels of remote work, and then determine how to move forward as the “new normal” for both work and protection from emerging
SANS INSTITUTE WHITEPAPER Sponsored by: BlackBerry, Infoblox, Menlo Security, Pulse Secure. JOHN PESCATORE
threats. We emphasize the importance of an honest and detailed assessment of your starting point, focusing first on a basic security hygiene foundation and a people focused awareness campaign. From there, using the supplied guidelines, we discuss the importance of maintaining performance and collaboration while reducing risk. PAGE 116
With every transition there is always an opportunity to take
at the Organization in the same period last year.” The U.S.
advantage of change and raise the security bar. Use this crisis
Department of Homeland Security (DHS), Cybersecurity and
as an opportunity to increase the strength of user
Infrastructure Security Agency (CISA), and the United
authentication, the rigor of privilege management, the focus
Kingdom’s National Cyber Security Centre (NCSC) issued a
on application security, and the frequency of software
joint alert: “Both CISA and NCSC are seeing a growing use of
updates and critical backups. Security teams that have the
COVID-19-related themes by malicious cyber actors. At the
skills and the focus to move up the “secure work-at-home
same time, the surge in teleworking has increased the use of
maturity model” levels can do this without requiring a large
potentially vulnerable services, such as virtual private
(or often any) increase in budget.
networks (VPNs), amplifying the threat to individuals and organizations.”
Where Are You on the Safe and Productive Remote Work Journey?
Based on SANS interactions with enterprises and users, many
While it is no surprise that the stay-at-home orders issued to
organizations were prepared or were able to react quickly, to
combat the COVID-19 pandemic caused an immediate
take preventive measures, and enable safe and secure work-
increase in employees working from home, the numbers from
at-home operations. They did this by having a solid
a recent survey conducted by Iometrics and Global Workplace
foundation of basic security hygiene supported by a mixture
Analytics are staggering. According to the survey, prior to
of skilled staff, thorough and repeatable processes, and
COVID-19, 31% of employees reported working from home at
effective security controls. SANS has observed some common
least one day per week and only 9% were working from home
patterns of maturity in supporting safe and secure work-at-
full time, compared with 77% doing so after the stay-at-home
orders. In addition, only 27% of companies had formal fulltime work-at-home programs in 2019, while 42% had part-
Some of the key technical elements of success include:
time work-at-home programs. The bottom line is that more
• Educate the users on the new risks in terms that will cause
than half of the companies that had employees currently
them to change their behavior.
working from home were not formally prepared for this
• Confirm that VPNs and other remote access methods have
the capacity to meet the increased demand and can enable security visibility as well as rapid detection and response to
However, the bad guys are always ready to attack, with
phishing attacks that are easily tailored for the latest crisis or
• Enhance web, email and DNS protections and make use of
other headline-worthy event. The World Health Organization
these services for threat intelligence. Attackers move rapidly
(WHO) reported a significant increase in attacks directed at
to modify phishing and ransomware campaigns to take
WHO employees: “Scammers impersonating WHO in emails
advantage of confusion and crises.
have also increasingly targeted the general public in order to
• Improve mobile device management of personally owned
channel donations to a fictitious fund and not the authentic
devices and isolation/ segmentation of those devices to
COVID-19 Solidarity Response Fund. The number of
reduce exposure—this is key to enabling business while
cyberattacks is now more than five times the number directed
reducing risk. PAGE 117
• Leverage increased management attention to the security issues that are getting daily press coverage. Use it to get support for stronger authentication and privilege management, faster patching and backups, and more use of persistent data encryption. SANS Director of Emerging Security Trends John Pescatore, SANS Director of Security Awareness Lance Spitzner, and Virginia Tech CISO and SANS Senior Instructor Randy Marchany presented their views of the most important elements of a secure, effective and efficient remote work and collaboration program during a SANS webcast, titled “Making and Keeping Work at Home Operations Safe and Productive.” The remainder of this paper details those findings. Speaking the Right Language to Increase Awareness and Drive Change – Lance Spitzner Lance Spitzner pointed out that the COVID-19 pandemic created an overwhelming sense of urgency and uncertainty for customers, employees, and business staff and management— exactly the two conditions that attackers are continually looking to take advantage of. For many organizations, the problem was then exacerbated not only by a shortage of skilled cybersecurity staff, or lack of other resources, but also by an inability to effectively communicate the key security issues to the user base in a way that would both inform them and induce them to change their behavior. IT security teams are often focused on the technical aspects of threats and security controls and often use language that mirrors the complexity of attack and defense mechanisms. To users and business managers, this is akin to the directions on a medicine bottle explaining biochemistry and epidemiology versus simply stating, “To reduce the pain, take two tablets every four hours.” Spitzner pointed to a large body of research that supports the avoidance of cognitive and choice overload. Rather, explaining issues using intuitive versus analytical approaches has proven to be key in connecting with people in a way that reduces obstacles to behavior changes. The key is to prioritize a small number of the most important actions from a risk reduction viewpoint and communicate them clearly and precisely. That sounds simple, but many security people are perfectionists and believe everyone should do everything the right way to reach 100% security. PAGE 118
When developing your awareness materials, always start with this in mind: “Why should they care?"
Spitzner recommends an initial focus in work-at-home
newsletters under 700 words in length. When developing your
security awareness on three priority actions:
awareness materials, always start with this in mind: “Why
• Social engineering— Make sure people understand they will
should they care?” Spitzner recommends the book Start with
be the target, not the company’s technology. No one in
Why by Simon Sinek, as well as his Golden Circle video
management, a government agency or in the medical
presentation as a starting point. Spitzner used this approach
community will ever send them an urgent email requiring an
in creating the SANS Video Conferencing Tips for Attendees.
immediate response or asking for their password or other sensitive information. Fear, crises, curiosity and urgency are
As organizations and individuals rush to work from home,
the attacker’s greatest weapons. The more urgent the
video conferencing has become a key part of staying
message is, or the more it’s pressuring a person to ignore or
connected and working together.
bypass company policies, the more likely it is an attack. • Passwords— Reusable passwords will always be the
Here are key tips to making certain you are securely
Achilles’ heel of security, but because of the resources
attending a video conference.
required to do so successfully, organizations are unlikely to be able to make the move to two-factor authentication during
Update software: Make sure you are always using the latest
this crisis. Don’t force people to use long strings of computer-
version of the software. The more recent and updated your
generated digits that are impossible to remember, and don’t
software, the more secure you will be. Enable automatic
force them to change passwords regularly. These are costly,
updating, and always quit your program when you are done as
painful behaviors that ultimately increase risk. Use of
some programs update when you restart.
passphrases and password managers has proven to be an
Configure audio/video settings: Set your preferences to
effective way to simplify security for the workforce while also
mute your microphone and turn off your video when joining a
improving security for the organization.
meeting and enable them only when you want. You may want
• Updating— IT operations still control work laptop operating
to consider placing a webcam cover or tape over your
system updates for most organizations, but it’s important to
also tell employees to turn on auto-updates on their home
Double-check your background: If you want to enable your
PCs, work computer browsers, phones and tablets. Using the
webcam, be aware of what is behind you. Ensure you do not
latest version of apps or browser extensions, such as Zoom,
have any personal information or family members walking
will not only ensure the latest security features are available,
behind you during the call. Some video conferencing software
but also invariably raise the bar against attackers.
lets you set up your own virtual background or blur your background, so people can’t see what is behind you.
While those are three relatively simple concepts, it’s
Don’t share invites: The invite link to a call is the ticket to
important to speak the language of users so that it sinks in.
enter the meeting; others can join if you share. Even if a
Spitzner recommends partnering with your marketing,
trusted coworker needs the link, it’s much better to tell the
communications and graphic design teams to create visual
conference organizer who can give the individual access to
materials to get those key points across clearly and intuitively.
ensure changes to the conference are automatically shared
Maximize the use of well-designed graphics and always keep
with everyone. PAGE 119
Chief Information Security Officer Viewpoint: Moving
In addition to his CISO duties, Marchany had been teaching a
Rapidly and Managing Security with a Scattered Security
class with 93 students and had to move to online teaching
himself. His class materials were already available online, but
Randy Marchany, the Chief Information Security Officer (CISO)
he had to add a video component to replace in-person
at Virginia Tech, the largest research university in Virginia with
teaching. He estimates that overall, only 10% of the
over 33,000 students, and a SANS instructor since 1992,
university’s courses were already online—moving to all online
walked through the timeline of Virginia Tech’s rapid reaction
teaching was an enormous effort for its staff.
to the pandemic shutdown orders: • The last day of spring break was extended from March 11 to
Marchany’s security staff consists of seven full-time
employees that run all cyber defense operations for the main
• The security office went remote the week of March 15.
campus in Blacksburg, Virginia, and the northern Virginia
Virginia Tech went into reduced operations mode.
campuses in Alexandria, Falls Church and Arlington. Two of
• Approximately 4,500 classes converted to a 100% online
his staff were already full-time teleworkers, so the team
format by March 22.
• The state of Virginia went Stay-at-Home on March 30. Virginia
communicating online. The university uses Zoom, so security
Tech went into essential operations mode.
staff one-on-one meetings were already happening on Zoom.
• Virginia Tech ended up with about 33,000 students taking
Once everyone went full time to remote work, the team
classes online and about 8,000 faculty and staff working from
established a weekly Zoom security staff happy hour as a way
to share the events of the day, maintain camaraderie and
reduce the overall stress level.
Another point to consider is that very few homes have as fast or as reliable an Internet connection as a business or campus network. Many employees live in areas with marginal connections or have their entire family accessing their internet connection at the same time, thus saturating it.
Operationally, all of the sensors and security operations center (SOC) back-end systems were already accessible securely and remotely; there was no change in visibility or access. The movement to work at home was the major issue with a potentially significant loss in visibility into endpoints due to the increase in usage of personally owned PCs on home networks. Virginia Tech had a split tunneling VPN solution (full IPSec VPN, SSL VPN support) in place before the pandemic hit. PAGE 120
Mickey Mouse popped out of my mind onto a drawing pad 20 years ago on a train ride from Manhattan to Hollywood at a time when business fortunes of my brother Roy and myself were at lowest ebb, and disaster seemed right around the corner. - Walt Disney
Faculty and staff accessed VPN services using their university
keep browser histories and new file storage separate and
credentials. The university doubled its VPN capacity to
provide some limited mitigation of a ransomware attack,
support the work and teaching business processes for a fully
because home files are not easily accessible from the work
online mode. The university could run vulnerability scans
login and vice versa. The final major area Marchany addressed
against endpoints over the end-to-end VPN connection, but
was teleconferencing security. The rapid growth in Zoom use
when other connection methods were used, local ISPs would
attracted attackers and headlines about Zoom security issues,
sometimes interfere with the scanning, because it looked
but in reality, attackers were active against every major
malicious to them. Home machines that were “dual-homed”
videoconferencing application—which all had vulnerabilities.
could also be doing direct internet connections without going through the university network, meaning that abuse or
The university published detailed security guidelines and best
dangerous connections/activity might be detected by the
practices for secure use of Zoom and other services. (Zoom
local ISP rather than Virginia Tech. Similarly, NetFlow data
has published a good set of recommendations as well.)
could still be collected from endpoints that entered the campus network from VPNs but not from other connection
Marchany highlighted his top recommendations:
• Update software—Security enhancements are being rapidly pushed out; users should always use the latest version of the
Another point to consider is that very few homes have as fast
application or web agent.
or as reliable an Internet connection as a business or campus
• Audio/video settings—Turn on storage and screen sharing
network. Many employees live in areas with marginal
services only if needed for business purposes and inform
connections or have their entire family accessing their
everyone if a recording is being made. Organizers have many
internet connection at the same time, thus saturating it. Some
controls to help prevent disruption or abuse by attendees.
employees have no wired internet connections at home and
Educate users to NOT leave sensitive information on their
rely on cellular data services with limited bandwidth. Virginia
work surface that will be in the camera’s view.
Tech provided easy-to-understand tech tips for optimizing
• Background—Where possible, take advantage of Zoom’s
connectivity from slow-speed home connections. To meet
ability to project a virtual background behind the user. Not all
their employees’ need for higher bandwidth connectivity,
PCs can support this, but it prevents inadvertent disclosure of
Virginia Tech set up Wi-Fi parking lots. Employees could drive
sensitive information that might be visible behind the user.
up with their laptops in their vehicles and use their university
• Don’t share invitations—If you are invited to a meeting,
credentials to connect and get their work done.
don’t share your personal invitation with anyone. Users should contact the organizer for an individual invitation to
For employees that did not have a university-issued laptop,
ensure individual accountability. If you are organizing a
the university had existing minimum-security standards for all
meeting, don’t share your own Personal Meeting Identifier.
endpoints and required employees to change the settings on
• Screenshots—Be aware that on all teleconferences, even
their home computers as required. Marchany recommends
when end-to-end encryption is used, participants have a
that users set up a separate work ID/account on all personally
variety of ways to take screenshots of any sensitive
owned PCs being used for work connectivity. This will at least
information exposed. PAGE 121
Transitions and hard times often enable, if not force, change. In cybersecurity, we largely know the important basic security controls required to enable business while limiting risk, but we’ve been unable to convince management and other organizations to support the necessary changes. The COVID-19 pandemic has dramatically illustrated to CEOs and boards of directors how important reliable and safe IT systems and access are to limit the impact of crises and the inevitable wave of attacks that follow. Many organizations have been forced to quickly invest in support for increased remote access capacity, increased use of online teleconferencing and high levels of use of employee-owned devices. Some have been able to build enhanced security through stronger VPNs, and better mobile device management and visibility. Now is the time to institutionalize those gains and take advantage of increased management attention; increase the strength of security controls for email, internet access and downloading executables; utilize threat information to better prepare for attacks; and move to a more advanced and aggressive form of endpoint security. About the Author: John Pescatore joined SANS as director of emerging security trends in January 2013 after more than 13 years as lead security analyst for Gartner, running consulting groups at Trusted Information Systems and Entrust, 11 years with GTE, and service with both the National Security Agency, where he designed secure voice systems, and the U.S. Secret Service, where he developed secure communications and surveillance systems and “the occasional ballistic armor installation.” John has testified before Congress about cybersecurity, was named one of the 15 most-influential people in security in 2008 and is an NSA-certified cryptologic engineer. The SANS Institute was established in 1989 as a cooperative research and education organization. Its programs now reach more than 165,000 security professionals around the world. At the heart of SANS are the many security practitioners in varied global organizations from corporations to universities working together to help the entire information security community. SANS is the most trusted and by far the largest source for information security training and security certification in the world. www.sans.org PAGE 122
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AWARD WINNING SPEAKER AND LEADERSHIP COACH, DANA PHARANT LAUNCHES NEW COURSE - INTUITION MASTERY FOR INTELLIGENT, DRIVEN PROFESSIONALS INTUITION MASTERY WAS BUILT TO ALLOW EACH STUDENT TO LEARN AT THEIR OWN SPEED WITH INSTRUCTIONS AND EXERCISES DESIGNED FOR THOSE WHO WANT TO GET THINGS DONE, YET GET ON WITH THEIR LIFE.
Dana Pharant, an award-winning speaker, life, and leadership coach, is launching a new course called Intuition Mastery that will teach people, by using simplified tools, how to build the muscle of self-trust. The creation of Intuition Mastery Course came from Dana working one on one with clients, as she knows that the core for the majority of people is the inability to trust themselves and their decisions. This leads to feeling self-conscious or second-guessing, both of which eat up valuable time and energy. Dana explains that learning to trust yourself is a critical skill for those in business, "As there are sales pitches and socalled experts at every turn looking to sell you on their goods. When you trust yourself, you will make choices based on what you need, not because of the hype or scarcity. This course will help you gradually come to a place where you can stand firm in your decision - even if those around you think it is crazy because as Steve Jobs says “the ones who are crazy enough to think that they can change the world, are the ones who do". The course teaches people how to differentiate their actual helpful, intuitive knowing from the subconscious brain (who has the job to keep things the same) from reacting to anything new with an anxiety response. PAGE 124
Dana has been helping people for over 25 years to re-discover
and partly because they are willing to also utilize their intuitive
the gift that comes from fully trusting themselves. To feel
knowing in the decision-making process.
confident in their own decisions, to not waiver in the face of others disagreeing, and to free up time and energy by making
The more we use, follow, and trust ourselves, the less time we
spend doubting our choice. This frees us up to do more in our business as decision doubt can cause one to go into a spin of
Having struggled with very low self-esteem until her 30’s, Dana
negative self-talk that eats up precious time. The time that is
understands first hand the costs that come from not being
needed to grow the business effectively.
willing to trust her own instincts. She found herself in a relationship with a narcissist because she ignored her intuitive
Who can benefit from this course?
knowing, a relationship that nearly cost her her life.
Intuition Mastery is ideal for: Busy professionals who are looking for the ultimate
Indecision costs us in time and money. The average CEO will
make decisions in nine minutes once they have all of the
Business owners who are seeking a competitive advantage
information, partly because they are willing to make a decision
People who often second guess their choices PAGE 125
"You’ve worked hard to create a successful business and… You are totally ready to ramp up your business. You are super talented, successful AND you are itching for more. You don’t have to push harder, faster or give away your profits! When you resist failing you don’t play full out, you don’t dive in and take the opportunities and risks that will propel your business forward. But when you surrender and let go, you lose that heavy, serious energy. Then laughter and playful energy shakes things up and you get back into who you are; you tap into your creative juices and that is the sweet spot for your business. If you’re creative and you’re lit up-boom! You’re gonna rock it! Are you ready to step into your bold, sexy, fun-filled life as a business owner, and reach entirely new levels of success? Then contact me to find out what’s really stopping you from rocking your business like a badass!" - Dana Pharant Dana Pharant grew up in southern Ontario, Canada. Having grown up in a cult and managing to escape its hold at the age of 18, Dana set out on a mission to free herself from the mental and emotional programming of her past. Through many types of therapy and training in psychotherapy and neuroscience modalities along with her ability to see things from a very different perspective, Dana has refined these tools into the simplest forms so that she can create quick, lasting results for her clients without all the drama customarily associated with therapy. She started her first company at the age of 21, built and sold her second business, a million-dollar company, in 2016 she began focusing all her efforts on helping successful, driven CEO and business owners as a trusted adviser to the key people in the company. She combines all of her skills, including intuitive marketing and business strategy, emotional clearing, mindset, leadership, and negotiation skills. When she is not working, she is often found drinking wine with friends over deep conversations, hanging out with her biggest fan - her husband, or chasing after her two adorable Bengal cats Mazey and Bella. Follow Dana - LinkedIn @DanaPharant, Facebook @DanaPharant Website: www.danapharant.com Intuition Mastery Course: www.Rebrand.ly/IntuitionMastery PAGE 126
HOW IOT BEEHIVES ARE HELPING SECURE THE WORLD'S FOOD SUPPLY Streaming analytics software from SAS checks vital statistics on the fly to maintain hive health.
COVID-19 has shone a spotlight on the food supply chain that helps nourish people in all corners of the world. But an even older "pandemic" – the plight of honeybees – also threatens the world's food supply. In both cases, SAS analytics makes it easier to understand data signals as they're happening so effective interventions can take place. In this instance, SAS technologies are at work to save honeybees, the world's No. 1 food crop pollinator. "SAS' passion for innovation and sustainability helped us find technology solutions to better understand the health of beehives," said Sarah Myers, AgTech Marketing Manager at SAS. "I'm an avid beekeeper, and it's exciting to work with a group of data scientists who want find new ways to support this critical global effort." Four ways data science tracks hive healthSAS Internet of Things (IoT)-enabled beehives use streaming analytics to interpret hive data flowing from embedded sensors to help beekeepers better understand which units need help. Hive data is sent to the cloud to allow for the continuous measurement of three indicators. Weight: A connected scale sensor tells beekeepers if the hive is producing honey and gaining weight – a sign of a healthy bee activity. If the scale indicates weight loss in one hive compared to its neighbor, beekeepers can intervene. Temperature and Humidity: An ideal climate inside the hive creates baby bees and keeps the queen warm enough to survive the winter. Honeybees regulate hive temperature and humidity by moving, flapping and clustering. Internal sensors collect temperature and humidity data then analyze it to alert beekeepers about concerning fluctuations.
About SAS Through innovative software and services, SAS empowers and inspires customers around the world to transform data into intelligence. SAS gives you THE POWER TO KNOW®. Website: www.sas.com PAGE 127
INVEST IN KENYA: EAST AFRICA'S ECONOMIC POWERHOUSE
Kenya is the largest and most advanced economy in East and Central Africa. Its GDP accounts for more than 50 per cent of the region’s total. In 2019, economic growth averaged 5.7%, placing Kenya as one of the fastest growing economies in Sub-Saharan Africa. The recent economic expansion has been boosted by a stable
confidence and a resilient services sector. Liberalized and strong economy The country’s strong growth prospects are supported by an emerging, urban middle class and an increasing appetite for
Kenya is strategically located as a gateway to East and Central African region. With a border to the Indian Ocean, Kenya is well suited as a production and distribution base to service Africa.
high-value goods and services. Kenya has the second largest population within the EAC at 43 million and is growing at a rate of 2.7 per cent per annum. There is a rising trend towards urbanization, which is contributing to an increase in consumer demand for high value goods. This trend is forecasted to
continue, with 50 per cent of the population expected to live in PAGE 128
Kenya is the largest and the most advanced economy in East and Central Africa; with strong growth prospects supported by an emerging, urban middle class and an increasing appetite for high-value goods and services. Kenya has the second largest population within the EAC at 43 million and is growing at a rate of 2.7 per cent per annum. There is a rising trend towards urbanization, which is contributing to an increase in consumer demand for high value goods.
urban areas by 2050. The size of Kenya’s middle class is growing
gateway to the huge East African Community (EAC) market with
as evidenced by the growth in its gross national income per
over 135 million people and the Common Market for Eastern
capita, which has increased at a CAGR of 2 per cent over the
and Southern Africa (COMESA) market with over 450 million
past 10 years.
people. Kenya is a beneficiary of several trade preferential arrangements which includes The African Growth and
Low Risk Investment Environment
Opportunities Act (AGOA) which allows for quota free and duty
Kenya’s investment climate is the strongest in the EAC, with FDI
free access to the USA market for over 6,000 items produced in
flowing in from emerging and developed markets and a high
Kenya and The new Africa Caribbean and Pacific-European
volume of multinational companies with regional and
Union (ACP-EU) Economic Partnership Agreement (EPA) which
continent-wide headquarters in the country. FDI has been on
gives duty free access to the EU among others.
the rise and is stronger than investment in other EAC countries. Given its position as the economic, commercial and logistical
Political and Macro Economic Stability
hub of East Africa, private equity capital is now flowing into
Kenya enjoys a very stable macroeconomic environment. The
government operates sound policies that promote growth by providing a secure environment for private sector investment
“Kenya is developing as the favored business hub, not only for
decisions. Kenya provides political stability and a supportive
oil and gas exploration in the sub region but also for industrial
legal environment. Kenya is a multi-party Democracy with a
production and transport. The country is set to develop
further as a regional hub for energy, services and
administered by the Executive arm of the Government. The
manufacturing over the next decade.” – UNCTAD
Kenyan Constitution protects private property and provides
safeguards against expropriation of such property without Strategic Location
compensation. Kenya is also a signatory to the Multilateral
Kenya is strategically located as a gateway to East and Central
Investment Guarantee Agency (MIGA), an agency of the World
African region. With a border to the Indian Ocean, Kenya is well
Bank and a Member of the International Council of Settlement
suited as a production and distribution base to service Africa,
of Investment Disputes (ICSID). In case of Commercial disputes,
Europe, the Middle East, South Asia and other Indian Ocean
Kenya has a Commercial Court under the Kenyan Judiciary.
Islands. Jomo Kenyatta International Airport functions as an effective Air hub between Africa, Europe and Asia. Kenya also
serves as the Communication Hub of the region.
Kenya has relatively well developed physical infrastructural facilities including, four international airports, an extensive
road and railway network, a modern deep sea port at Mombasa
Kenya’s membership to regional economic blocs coupled with
capable of handling bulk and other containerized cargo, an
her strategic geographic position makes the country the best
expanding liberalized energy sector and comprehensive digital PAGE 129
INVEST IN KENYA THE HIKE MAGAZINE
telecommunication networks. As a result, Kenya continues to develop as a financial, services and transport hub for the East and Central African region. INFRASTRUCTURE STRATEGY USD 14.5 billion Konza Technology City “Silicon City” IT hub to be built on 5000 acres of land in Machakos. USD 5.5 billion Lamu Port Southern Sudan – Ethiopia Transport Corridor Construction of Lamu Port headquarters is in progress. USD 3.6 billion Standard Gauge Railway links Kenya’s Indian Ocean port city of Mombasa to the capital Nairobi. USD 654 million Jomo Kenyatta International Airport expansion comprises of a 178,000m2 facility due completion soon and complemented by the Nairobi Commuter Rail Service linking the city centre to the airport. USD 366 million Port of Mombasa harbour channel was deepened by 15 metres and widened to 500 metres to accommodate larger vessels. USD 360 million construction of the eight-lane controlled-access 50km Nairobi– Thika superhighway was recently completed. Reducing energy cost and improving energy availability Kenya is ideally positioned to unleash Africa’s power generation capacity through its focus on green energy and cost-effective sources of energy, set to contribute to a 5000MW increase in the national power grid. POWER & ENERGY STRATEGY Increasing share of power generated from green and more cost effective sources, with a target to increase electricity generation capacity by 5,000MW from the current 1,644MW to 6,700 MW in 40 months. WIND POWER PROJECT 300 MW Lake Turkana Wind Power Project valued at USD 823 million. WATER DISCOVERY Two new water sources at Turkana Basin and Lotikipi Basin PAGE 130
Kenya was the first country in the world to launch mobile money, “M-PESA;” an innovation which allows users to transfer cash using mobile phones. Based upon its success in Kenya, M-PESA is currently under replication in a number of countries across the globe.
holding 250 billion m3 of water, sufficient to supply Kenya for
in the world to launch mobile money, “M-PESA;” an
innovation which allows users to transfer cash using mobile phones. Based upon its success in Kenya, M-PESA is currently
under replication in a number of countries across the globe.
Discovery of reserves by Tullow oil are estimated to extract as much as one billion barrels.
Diversified Tourist Destination Tourism is one of Kenya’s most important industries, and has
GEOTHERMAL POWER PROJECT
strong linkages with transport, food production, retail and
43,000 MW Geothermal Power Project in Baringo valued at
entertainment. As one of the world’s most popular business
USD 135 million.
and leisure tourism destinations, investors have the opportunity to leverage several Government-led programmes
COAL POWER PLANT
to attract investment into the industry. These include the
5900 -1,000MW Coal Power Plant in Lamu.
establishment of resort cities, branding of premium parks, development of high value niche products and MICE tourism
NATURAL GAS PLANT
facilities, and the construction of new internationally branded
6700-800 MW Natural Gas Fired Plant near Mombasa.
hotels, among others. Kenya is endowed with a unique combination of tourist attractions such as beautiful coastal
Well Established Private Sector
beaches, coral reefs, caves and river deltas, abundant wildlife
Kenya’s private sector is substantial and includes a number of
including the ‘big five’ in their natural habitats, national parks
foreign investors. Key players in voicing private sector
and game reserves, good climate, beautiful geographical
concerns include: The Kenya Private Sector Alliance (KEPSA),
landscapes, Savannah grasslands, forests, salt and fresh water
Federation of Kenya Employers (FKE) and The Kenya
Association of Manufacturers (KAM). "Investors will find living and working in Kenya a pleasant Skilled and Educated Talent Pool
experience. The country has in abundance excellent
Kenya has a huge pool of labor. The labor force is one of the
accommodation, shopping, education, healthcare and
best educated in the world, English-speaking and extremely
recreational facilities which will provide a high quality of life
adaptable. Highly qualified professional staff can be hired at
for both the investor and his family."
reasonable pay-scales, in all occupations and at all levels of
expertise. "Kenya has made significant political, structural and Entrepreneurial and Innovative Environment
economic reforms that have driven sustained economic
Kenya pursues a mixed economy and her dynamic and
growth, social development and political gains over the past
diversified private sector comprises numerous small scale
decade. Kenya has the potential to be one of Africa’s success
local enterprises, medium sized businesses and multi-national
stories; from its growing youthful population, a dynamic
companies. They provide an array of manufactured goods,
business services and agricultural products for local
infrastructure, and its pivotal role in East Africa."
consumption and also for export. Kenya was the first country
- World Bank
INVEST IN KENYA KEY INVESTMENT SECTORS Energy Kenya’s Energy sector is among the most active in Africa. Kenya is projected to be the third fastest growing economy globally (Bloomberg) and thus energy demand is expected to support this growth trajectory. Financial Services Kenya is an innovation leader in Fintech and Financial inclusion. Kenya’s financial sector is the third-largest in sub-Saharan
contribution to economic growth and job creation. Through Vision 2030, the Government aims to create a vibrant and globally competitive financial sector. Information Communication Technology Kenya is an innovation leader in emerging markets. Kenya has become the global technology hub of choice when it comes to attracting the strategic business activities of ICT companies in emerging markets. Kenya is the regional leader in ICT in East and Central Africa and considered as one of thee top innovation hubs in subSaharan Africa. Agriculture Kenya is the regional leader in Agro-Processing. Kenya has one of the highest agricultural productivity levels in the EAC region. 70% of the country’s exports have an agricultural focus and the sector employs 85% of the rural workforce. The sector has continued to grow at almost 5% annually and has huge potential for further growth. Kenya invites investors to explore business opportunities across the Agri-business value chain from primary production to value addition and processing of food produce. Agri-business already attract 20% of total FDI to the region which shows its huge investment potential. Kenya is the largest exporter of horticulture in East Africa and the third largest Tea exporter globally. Infrastructure Kenya envisages a massive upgrading and extension of the country’s infrastructure.The Kenyan government is actively seeking bids to improve and expand the nation's PAGE 132
Kenya envisages a massive upgrading and extension of the country’s infrastructure. The Kenyan government is actively seeking bids to improve and expand the nation's infrastructure networks, domestically and across East Africa to improve trade flows in the region.
infrastructure networks, domestically and across East Africa to improve trade flows in the region. The Infrastructure development projects are expected to open up significant trade opportunities within East and Central Africa. The Lamu Port and South Sudan Ethiopia Transport (LAPSSET) projects will open up a new corridor for increased trade opportunities with Kenya’s northern neighbors of South Sudan and Ethiopia. Manufacturing Kenya is a regional manufacturing hub. Manufacturing is a key sector in Kenya’s economic development in terms of both its contribution to national output and exports, and for job
Film Industry: Kenya presents highly diversified and very scenic
creation. Key targets and specific goals have been set to steer
sites for the film industry. Several world renowned movies were
industrial growth. These include the development of Special
set in Kenya.
Economic Zones, industrial parks and clusters, and niche
Investment in Conference Facilities: Kenya is increasingly
products. There are a wide range of direct and joint-
becoming a major attraction for conference tourism. Major
investment opportunities in this sector, including agro-
National and International Events are held in Kenya.
Investment in Entertainment Facilities: Amusement Parks,
components and electronics, plastics, paper, chemicals,
Clubs, Casinos, Theaters and Specialty Restaurants.
pharmaceuticals, metals and engineering products for
Construction of Golf Cities: Kenya's fine weather provides
domestic and export markets.
perfect opportunities for premium golf facilities.
Real Estate and Construction
LIVING THE GOOD LIFE
Kenya has a well-developed building and construction
Kenya offers many advantages that make it a great choice for
industry with quality engineering, building and architectural
settlement and investment. There is the spectacular and
design services. With a fast growing population, and
diverse nature with landscapes ranging from mountains to
increasing demand for affordable housing, opportunities exist
beautiful beaches. The country has many wild and spectacular
in the construction of residential, commercial and industrial
animals and birds. Nature scenes like the Maasai Mara that was
buildings. Investors can also manufacture and supply
recently branded as the 8th wonder of the world and Tsavo
construction materials and components for the sector.
national parks which draw thousands of visitors every year. Kenya also offers a rich cultural experience and many forms of
entertainment where residents and visitors alike can gain
Development of Resort Cities: The government invested in a
insight into the many diverse and fascinating cultures found in
new transport corridor (LAPSSET). The program has targeted
the country. Well-stocked shopping malls open 24 Hours a day,
the development of new resort cities as part of the project.
a wide range of quality restaurants, world-class private primary
Other opportunities are available within new tourist circuits.
and secondary schools, and high quality health care are widely
Construction of Hotel Chains: Major international hotel
available. Quality housing is also available in all the key towns.
Brands have set up in Kenya to tap into the growing business tourism market. The sector presents further opportunities.
To find out more, please contact KenInvest: www.invest.go.ke PAGE 133
COVID-19 & HUNGER: THE TIME TO TRANSFORM AFRICA'S FOOD SYSTEMS IS RIGHT NOW The crises in food security and economic livelihoods
These linchpin firms are now struggling with COVID-19 related
brought about by COVID-19 can potentially do more to
challenges that imperil their continued operation, according
disrupt social order and long-term development in
to a coalition of international practitioners who support these
Africa than the public health crisis.
businesses with capital and technical assistance comprising Bain & Company, TechnoServe, Partners in Food Solutions,
Governments, funders, NGOs, and corporations must
Land O'Lakes Venture37, Acumen and Root Capital.
take immediate action to protect the intermediaries which anchor African food systems, according to a
A TechnoServe survey of over 100 food processors spanning
coalition of international practitioners.
sub-Saharan Africa, shows that over 60% of these enterprises do not feel adequately prepared, including having limited
Governments across Africa have put in place policies to stop
liquidity, for meeting the challenges presented by COVID-19:
the spread of COVID-19 with the first lockdowns resulting in
For those that have been deemed essential services and
significant restrictions on the movement of people and
can continue to operate, normal levels of production is
goods. But the disruption of intermediary businesses in
hindered by COVID-19 related challenges for labour to get
agricultural value chains could have the most consequential
to work and operate safely.
impact on food security and livelihoods.
There are broad disruptions to demand, with shifting buying habits from stockpiling and reduced consumer
This includes reduced supplies of caloric staples and other
incomes, while markets are closed and school feeding
nutritious foods to consumers (many of whom already spend
up to 50% of their income on food), loss of jobs in food
Logistics across the value chain have been affected as
processing, and – for those who are farmer-allied – lower
curfews and lockdowns are restricting movement of
incomes and support to smallholder farmers who contribute
people and goods.
to more than 80 percent of agricultural production in Africa. Intermediary businesses can include producer cooperatives,
As a result, some food processing businesses are shutting
aggregators, processors and vertically integrated brands
down and, according to TechnoServe, only 31% of companies PAGE 134
Intermediary businesses can include producer cooperatives, aggregators, processors and vertically integrated brands. These linchpin firms are now struggling with COVID-19 related challenges that imperil their continued operation, according to a coalition of partners who support these businesses with capital and technical assistance comprising Bain & Company, TechnoServe, Partners in Food Solutions, Land O'Lakes Venture37, Acumen and Root Capital.
are retaining their full workforce, with the majority putting
First, African governments need to ensure their COVID-19
workers on leave and 17% already making layoffs or planning
response supports food supply chains. This includes
to do so.
declaring agriculture, food processing, logistics, and food retailing
"Some companies are trying to pivot," says Jeff Dykstra, CEO
availability and distribution of personal protective
of Partners in Food Solutions, "but the expected slowdown in
equipment (PPE) and even soap and hand sanitiser to all
business is limiting investment at a time when innovating for
workers across the food system.
this new operating environment is critical. Also, without
Second, the full range of capital from public funds, grants
sufficient liquidity and working capital, these businesses will
from the donor community, debt to equity from investors
not be able to continue making payments to suppliers and
is required to ensure intermediary businesses such as
investing in farmers by maintaining extension services or
food processing have the liquidity to continue operating
providing farmers with credit."
and invest in necessary innovations, such as digital platforms that more efficiently match farmers to markets
and support farmer productivity. Capital provision must
development by providing nourishment, jobs and incomes
be coupled with advisory support and technical
in Africa, while building more resilient local food systems.
assistance for business continuity planning. Investment
They help smallholder farmers withstand global fluctuations
across a range of commodities, including staples such as
in the markets and, where appropriate, reduce reliance on
cereals, legumes, roots and tubers, fresh fruits and
vegetables, dairy and even export oriented cash crops such as tea, coffee and nuts, are all critical for farmer
"Supporting these firms and smallholder farmers – which our
livelihoods, to feed local populations and generate
research shows many of whom are in the 'missing middle'
foreign exchange reserves.
where affordable commercial financing is not readily available
Third, NGO implementers and the private sector can
and have already struggled with a capital gap pre-COVID-19 –
provide critical beyond-capital assistance. For example,
is also necessary to strengthen the longer term ability
TechnoServe and Partners in Food Solutions along with
of Africa to feed itself, build more resilient food systems and
private sector partners are providing remote technical
harness the economic potential of African agriculture and
assistance to hundreds of food processors in Africa and
food. All of which are critical to Africa's economic
have published guides on safe operations for workers and
development," says Christopher Mitchell, a partner at Bain &
food production. Business advice for these processors, on
Company and leader of the firm's work in African Food
renegotiation and product adaptation, is also critical to
survival. In Malawi, Land O'Lakes Venture37 is providing The international donor community and African governments
face masks, hand sanitiser and hand washing stations to
have an opportunity to act now to mitigate against a food
dairy cooperatives to ensure that Ministry of Health
security crisis arising from the pandemic and to set a path
protocols around COVID-19 prevention can be properly
toward food system transformation that would yield greater
followed and fresh milk continues to be delivered
nutritional, economic, societal and environmental benefits for
daily. The private sector, particularly large brewers and
decades to come:
soft drink companies, have large supply and distribution PAGE 135
networks that can be leveraged for upstream and downstream logistics to help facilitate a stable, safe food supply. Bain & Company is a global consultancy that helps the world's most ambitious change makers define the future. Across 58 offices in 37 countries, we work alongside our clients as one team with a shared ambition to achieve extraordinary results, outperform the competition and redefine industries. We complement our tailored, integrated expertise with a vibrant ecosystem of digital innovators to deliver better, faster and more enduring outcomes. In 2015 we committed to invest $1B in pro bono services over 10 years to leading organisations working to solve the most difficult problems in
Food processing businesses advance socio-economic development by providing nourishment, jobs and incomes in Africa, while building more resilient local food systems. They help smallholder farmers withstand global fluctuations in the markets and, where appropriate, reduce reliance on imports.
education, economic development and the environment. Learn more at www.bain.com PAGE 136
MICROSOFT TO HELP 25 MILLION PEOPLE ACQUIRE NEW DIGITAL SKILLS FOR POST-COVID ECONOMY Microsoft Corporation has announced a new global skills
Certifications and LinkedIn job seeking tools. These resources
initiative aimed at bringing more digital skills to 25 million
can all be accessed at a central location, opportunity.
people worldwide by the end of the year. The announcement
linkedin.com, and will be broadly available online in four
comes in response to the global economic crisis caused by
languages: English, French, German and Spanish.
the COVID-19 pandemic. Expanded access to digital skills is an important step in accelerating economic recovery,
In addition, Microsoft is backing the effort with $20 million in
especially for the people hardest hit by job losses.
cash grants to help nonprofit organizations worldwide assist the people who need it most. One-quarter of this total, or $5
This initiative, detailed by Microsoft, includes immediate
million, will be provided in cash grants to community-based
steps to help those looking to reskill and pursue an in-
nonprofit organizations that are led by and serve
demand job and brings together every part of the company,
communities of color in the United States. The company is
combining existing and new resources from LinkedIn, GitHub
also pledging to make stronger data and analytics —
and Microsoft. This includes:
including data from the LinkedIn Economic Graph — available
The use of data to identify in-demand jobs and the skills
to governments around the world so they can better assess
needed to fill them.
local economic needs.
Free access to learning paths and content to help people develop the skills these positions require.
Microsoft also announced it is creating a new learning app in
Low-cost certifications and free job-seeking tools to help
Microsoft Teams designed to help employers skill and upskill
people who develop these skills pursue new jobs.
new and current employees as people return to work and as the economy adds jobs."COVID-19 has created both a public
This is a comprehensive technology initiative that will build
health and an economic crisis, and as the world recovers, we
on data and digital technology. It starts with data on jobs and
need to ensure no one is left behind," said Microsoft
skills from the LinkedIn Economic Graph. It provides free
CEO Satya Nadella.
access to content in LinkedIn Learning, Microsoft Learn and the GitHub Learning Lab, and couples those with Microsoft
Website: www.microsoft.com/skills PAGE 137
UNIVERSITIES MUST STEP UP TO SURVIVE AFTER COVID-19, GLOBAL EXPERTS URGE Students will have the power to bankrupt universities that do
the student's role is that of the determinant partner –
not meet their expectations in a post-COVID-19 world, a US
determining what universities should be doing and which
educator has warned at the launch of a major new research
ones should have the right to serve them going forward.
report into the future of higher education, commissioned by
When societies and students are interfacing with institutions
the Qatar Foundation (QF).
and not getting what they are paying for, there is going to be a reckoning."
'New schools of thought: Innovative models for delivering higher education', produced by the Economist Intelligence
Dr. Mary Schmidt Campbell, President of Spelman College,
Unit (EIU), has outlined how higher education institutions
told the panel discussion that academic partnerships are:
must adapt to survive as they face dwindling public funding,
"extremely important in days like this", adding: "Institutions
questions over their value, and the challenges that
have to stop being so precious and siloed and sequestered. "
technology and automation pose. "Everyone benefits from collaboration, but it takes a very As the report was launched today, a EIU panel discussion
different mindset to what we have now. If we fall back into
sponsored by QF saw education experts from three
marketing and competition mode, we are not going to get
continents explore its findings and share their views on the
future of higher education, with Ben Nelson, Founder, Chairman and CEO of Minerva Schools at Keck Graduate
And Francisco Marmolejo, QF's Education Advisor, said higher
Institute, saying: "Students have a most extraordinary
education institutions must "challenge their assumptions",
responsibility this year because, for the first time in living
saying: "Unless we do that, disrupt, and are willing to take
memory, they have the ability to bring institutions down to
risks, as soon as conditions return to some sort of normal, we
bankruptcy. They can vote with their feet in a way they have
may try to become the same as we were before. This crisis is
never been able to do before – opting to slip out of college for
telling us we no longer have the luxury of assuming things will
a year can literally shut down an institution. For the first time
be as they used to be." PAGE 138
Qatar Foundation – Unlocking Human Potential
offers lifelong learning opportunities to community members
Qatar Foundation for Education, Science and Community
as young as six months through to doctoral level, enabling
graduates to thrive in a global environment and contribute to
supports Qatar on its journey to becoming a diversified and
the nation's development.
sustainable economy. QF is also creating a multidisciplinary innovation hub in Qatar, QF strives to serve the people of Qatar and beyond by providing
where homegrown researchers are working to address local
specialized programs across its innovation-focused ecosystem
and global challenges.
of education, research and development, and community development.
By promoting a culture of lifelong learning and fostering social engagement through programs that embody Qatari culture, QF
QF was founded in 1995 by His Highness Sheikh Hamad bin
is committed to empowering the local community and
Khalifa Al Thani, the Father Amir, and Her Highness Sheikha
contributing to a better world for all.
Moza bint Nasser, who shared the vision to provide Qatar with
For a complete list of QF's initiatives and projects, please
quality education. Today, QF's world-class education system
visit: www.qf.org.qa PAGE 139
WORLD ECONOMIC FORUM PREDICTS A LARGE POPULATION DECLINE IN CHINA AND INDIA
Research by the University of Washington suggests that population declines in India and China could be more rapid than previously thought. Growing access to education and contraception for women could catapult Indian and Chinese fertility below replacement levels quickly. The researchers did not see the same factors at play in most African nations, where population growth will continue to 2100 and beyond.
IN COLLABORATION WITH STATISTA. THE VIEWS EXPRESSED IN THIS ARTICLE ARE THOSE OF THE AUTHOR AND NOT THE WORLD ECONOMIC FORUM.
The U.S. will remain the fourth-largest nation in 2100, despite below-replacement levels of fertility. While experts have long agreed that the world has already set
KATHARINA BUCHHOLZ - DATA JOURNALIST,
the course for a future population decline, there has been some PAGE 140
WORLD ECONOMIC FORUM
disagreement about just how fast and where exactly the number of people on this Earth will shrink. Medical journal The Lancet recently published research by the University of Washington suggesting that population decline could be more rapid than previously thought, especially in the world’s most populous nations China and India. The researchers assume that world population will peak already just after the middle of the century, earlier than projected by the U.N. Population Division. They pointed out that models of populations growth have proven to be very stable while those dealing with population decline were much less reliable. In their base scenario, researchers assumed growing access to education and contraception for women would catapult Indian and Chinese fertility below replacement levels quickly, leading to population levels of just 1.1 billion and 731 million people in India and China in 2100, respectively. The researchers did not see the same factors at play in most African nations, where population growth would continue to 2100 and beyond, according to the model. This would make Nigeria the second-largest nation on Earth ahead of China by 2094. The U.S. would remain the fourth-largest nation in 2100, despite below-replacement levels of fertility. Here – similar to the situation in Canada and Australia – positive net migration would keep population levels semi-stable. Also by 2100, current growth nations Indonesia and Pakistan would have entered a slight population decline per the model, with the Democratic Republic of the Congo and Ethiopia overtaking them in size around the turn of the new century. The World Economic Forum The International Organization for Public-Private Cooperation.The Forum engages the foremost political, business, cultural and other leaders of society to shape global, regional and industry agendas. www.weforum.org Statista Within just a few years, Statista managed to establish itself as a leading provider of market and consumer data. Over 700 visionaries, experts and doers continuously reinvent Statista, thereby constantly developing successful new products and business models. www.statista.com PAGE 141
KENTUCKY - WHY ARE MANY OF THE WORLD’S MOST SUCCESSFUL COMPANIES HERE? Many of the world’s most successful companies have
cargo shipments. That is because Kentucky business is served
discovered that the Commonwealth of Kentucky is the right
by not one but two international airports plus three global
place to build their business. Whether your company is
shipping hubs, giving companies a leg up on getting products,
looking to relocate from another state, or you have an
papers and packages into the global stream of commerce.
overseas operation that is considering a new home in the
Kentucky is home to the UPS World Port, DHL Americas hub in
USA, Kentucky has a variety of strengths that make it an
Northern Kentucky, the Amazon Air global port in Northern
Kentucky and several large FedEx ground hubs throughout the state. Due to this strong presence by the world’s most
The major industries are: Aerospace, AgriTech, Automotive,
prestigious logistics companies, products manufactured in
Chemicals, Food and Beverage, Healthcare, Logistics / Cargo,
Kentucky can get anywhere in the world virtually overnight.
Manufacturing, Plastics and Rubber, and Primary Metals. #3 - Effective networking. #1 - We’re in the middle of everything.
Kentucky is well served by 20 interstates and major highways,
Within a day’s drive of two-thirds of the U.S. population,
major rail networks, barge traffic on the Ohio and Mississippi
Kentucky is located at the center of a 34-state distribution
rivers, five commercial airports and dozens of regional
area in the eastern United States, Kentucky’s location
airports. Our ideal transportation network can move products
advantage facilitates the distribution of goods and materials
easily and efficiently by air, rail, road and water to all points
to a massive industrial and consumer market. Kentucky’s
of the globe.
borders are within 600 miles of over 65 percent of the nation’s population, personal income and manufacturing
#4 - Cost of Doing Business.
business establishments. That helps when you have to move
Kentucky ranks 1st in the nation for cost of doing business
product, meet with a customer or close a sale.
according to CNBC. Kentucky’s innovative and progressive tax incentive programs also provide the flexible financial
#2 - Unmmatched logistics.
assistance businesses need when locating, expanding or
The state of Kentucky ranks 2nd in the nation in total air
reinvesting in the state. PAGE 142
The Bluegrass Means Business: #1 in vehicle production per capita #1 in FDI jobs by percentage #1 in Whiskey exports #1 in low cost of doing business
"For 50 years, Dow has been an employer, neighbor and corporate partner in the region." Howard Ungerleider - CFO Dow DuPont "Everytime we've invested here, the community and state have reaffirmed this is the right location for future growth." Luke Durudogan - Meggit Aircraft Braking Systems
#5 - Electrifying power rates. Among the more significant location factors having a direct influence on bottom line costs is the annual capital that must be committed to utility consumption. Kentucky has the lowest cost of electricity in the industrial sector among states east of the Mississippi River and one of the lowest in the U.S., coming in nearly 20 percent lower than the national average. #6 - We’re training the workforce of the future. Kentucky offers workforce recruiting and training assistance for new and existing employees at no charge. We also offer a personalized approach to your workforce needs – you tell us what you need, and we custom-design a solution, saving you
America’s thoroughbred industry. Our bluegrass music, crafts
time and money. Last year alone, we trained more than 95,000
and fine arts are known around the world, and our state parks
people and supported more than 5,000 companies.
are among the finest in the nation.
#7 - Business-minded educational approach.
#10 - Business-friendly attitude.
Kentucky colleges and universities are true partners in the
Businesses want fast, efficient and personalized service, and
development of the workforce of the future. They understand
Kentucky provides it. We listen to you, help identify your needs
the needs of business. In fact, from innovative K-12 schools
and then we work with you one-on-one to devise solutions that
and apprentice-style training to cutting edge research
will maximize your success while lowering your cost of doing
universities and continuing education programs, education is
business in Kentucky. Whether you are across the street or
a way of life in Kentucky.
across the globe our team is eager to assist your business.
#8 - Strong support for innovation and entrepreneurship.
Kentucky’s drive to encourage business innovation and small
Kentucky's pro-business climate provides a number of specific
business startups is evident by the array of unique and
incentives for local businesses. The Kentucky Economic
effective programs offered for both entrepreneurs and
Development Finance Authority (KEDFA), established within
investors. Our KY Innovation office offers startup and
the Cabinet for Economic Development to encourage economic
capitalization assistance as well as mentoring to help small
development, business expansion, and job creation, provides
businesses turn big ideas into reality.
financial support through an array of financial assistance and tax credit programs. Helping businesses in this way furthers the
#9 - Unsurpassed quality of life.
Commonwealth's goals of achieving long-term economic
With one of the lowest cost of living rates in the U.S., your
growth and employment opportunities for its citizens.
dollars go further in Kentucky! The cost of living is more than 10 percent lower in Kentucky than the U.S. average, and
The Kentucky Cabinet for Economic Development.
housing costs alone are up to 30 percent lower. Plus, life
The primary state agency in Kentucky responsible for
outside the office just couldn’t be better than it is in Kentucky.
encouraging job creation and retention, and new investment in
Our breathtaking countryside is home to the heart and soul of
the state. For more information, please visit: www.ced.ky.gov PAGE 143
PHILIP KUAI OF DADA GROUP DISCUSSES THE FUTURE OF CHINESE E-COMMERCE
Dada Group, China's leading local on-demand delivery and retail platform, announced that Philip Kuai, Dada's Founder, Chairman and Chief Executive Officer, attended and delivered remarks at China Chain Store & Franchise Association's - China International Retail Innovation Summit in Shanghai in August. In his address, Mr. Kuai discussed the importance of digitization of local retail and Dada's role in creating a new era of local ondemand retail in China. With
EXPLAINS HOW DADA IS DELIVERING VALUE TO RETAILERS, BRANDS, AND CONSUMERS BY CREATING A NEW ERA OF LOCAL ON-DEMAND RETAIL IN CHINA.
is China's national representative for the retail and franchise industry. Its functions include participating in policymaking discussions, safeguarding the interests of the industry, providing professional training and information for members, and establishing platforms for exchange and cooperation. The
annual Retail Innovation Summit gathers industry leaders to PAGE 144
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discuss the future of the sector, and this year's theme was "Retail Innovation: From Digital to Intelligent." Mr. Kuai spoke on the "Face to Face with CEOs" panel, where he shared insights into Dada's complementary platforms (JDDJ and Dada Now), as well as the Company's unique value proposition focused on offering customers increased efficiency and role in expanding innovation in the on-demand retail sector. "Most retailing activities in China still happen offline rather than online, with online sales accounting for only approximately 20%," said Mr. Kuai. "At Dada, we view the digitization of local retail as the most significant opportunity in Chinese e-commerce over the next decade. Our goal is to empower the retailers and brands that we partner with by helping them digitalize their brick-and-mortar stores while constantly developing and enhancing our on-demand delivery services for the benefit of our customers." Mr. Kuai added, "In addition to our commitment to improving our platforms and expanding our reach, we care deeply about making a positive social impact in the communities we serve and are incredibly proud of the role we have played during the COVID-19 outbreak in China. Not only has Dada offered a safe and efficient way for consumers to order essential goods, such as groceries and medicine, from the comfort of their home, we have also added new riders to the Dada Now family that may have lost other jobs as a result of the pandemic. We're grateful for all of our dedicated riders, who are truly the backbone of our mission to Bring People Everything on Demand." Philip Kuai A serial entrepreneur with extensive experience in the logistics and internet sectors, Mr. Kuai has served as Chairman and Chief Executive Officer of Dada Group since he founded the Company in 2014. Prior to founding Dada, he served as a Vice President of Anjuke.com, an online property platform in China, and a Vice President of AdChina. Earlier in his career, he worked at Oracle Corporation, McKinsey & Company, and Accenture. He received a Master's degree in logistics engineering from Massachusetts Institute of Technology. Mr. Kuai was named to Fortune's "2019 40 under 40 in China" list, an annual selection of the most influential young people in business. Fortune noted that since Dada's establishment in 2014 and the merger between Dada Now and JDDJ in 2016, the Company has become a leader in the grocery and delivery industry. PAGE 145
Dada continues to play an important role in providing essential products to customers and aiding in the recovery of the Chinese economy by encouraging consumption. The Company has achieved several sales milestones in recent months,
demand for digital retail solutions. JDDJ launched its Cool Season Shopping Festival in July alongside major supermarket chains and brand owners including Walmart, CR Vanguard and Unilever. Additionally, of the CCFA's list of the Top 100 Chinese Supermarket Chains in 2019, nearly 60 supermarkets have cooperated with JDDJ, including top players such as Walmart, Yonghui and CR Vanguard. More than 60% of those that have partnered with JDDJ ranked within the top 50. Dada Group completed its public listing in the U.S. in June 2020 and began trading on the Nasdaq Stock Exchange under the ticker "DADA." About Dada Group Dada Group is a leading platform of local ondemand retail and delivery in China. It operates JDDJ, one of China's largest local on-demand retail platforms for retailers and brand owners, and Dada Now, a leading local on-demand delivery
individual senders across various industries and product categories. The Company's two platforms are inter-connected and mutually beneficial. The Dada Now platform enables improved delivery experience for participants on the JDDJ platform through its readily accessible fulfillment solutions and strong on-demand delivery infrastructure. Meanwhile, the vast volume of on-demand delivery orders from the JDDJ platform increases order volume and density for the Dada Now platform. Website: www.imdada.cn PAGE 146
Flying cars could be a possibility in the near future,
working in the field.
THE VISION OF VIABLE FLYING-CARS IS BECOMING A REALITY IN JAPAN
Japanese company SkyDive are hoping to sell 100
The company is hoping to complete its first flight test this
vehicles by 2028 at the cost of an 'expensive car'.
summer, according to the Japan Times. “We’re considering
as Japan plans to commercialize as soon as 2023. Companies such as Airbus, Boeing and Uber are all
launching an air taxi service in big cities, either Osaka or Tokyo, The Japanese government is pouring money into the
with initial flights over the sea as it would be too risky to fly
development of flying cars with aims of commercializing
over many people all of a sudden,” SkyDrive CEO Tomohiro
the futuristic mode of transportation as soon as 2023,
Fukuzawa, a former engineer at Toyota, told the newspaper.
the Japan Times reports. Taking off vertically A number of flying car concepts are being developed
He also noted that development has been “accelerating rapidly
throughout the globe, with technology companies likes
with the rise in the number of personnel in the venture.” The
Airbus, Boeing and Uber leading the charge.
startup is planning to start with round trips around various resorts, including Universal Studios Japan. “The initial model
The dream of covering smaller distances in vehicles
will fly basically on auto pilot, but it’s not 100 percent
capable of vertical take off and landing (VTOL) is very
autonomous because a pilot would need to maneuver it in
much alive — and that’s especially true in Japan.
case of an emergency, for example,” Fukuzawa said. The goal of the startup is to sell at least 100 vehicles by 2028, each for
Japan’s SkyDrive, one of the country’s newest flying car
the cost of an “expensive car,” according to the CEO.
startups, recently revealed the SD-XX, a sleek two-person eVTOL aircraft, about the size of a car, with a range of
Courtesy of The World Economic Forum in collaboration with
several tens of kilometers at 100 kmh (62 mph).
Futurism: www.futurism.com PAGE 147
INEOS AUTOMOTIVE REVEALS THE DESIGN OF ITS UPCOMING 4X4, THE GRENADIER
INEOS Automotive has revealed the exterior design of the Grenadier, its forthcoming, no-nonsense 4x4 vehicle for the world, another step on the road towards start of production. Built from the ground up on an all-new platform, the INEOS Grenadier has been designed on purpose: namely to meet the demands of its future owners for a rugged, capable and comfortable go-anywhere working vehicle. "The brief was simple. We set out to design a modern, functional and highly capable 4x4 vehicle with utility at its core," said Toby Ecuyer, Head of Design. "A design that is 'easy-
- "Form follows function" in an engineering-led design process focused on delivering a vehicle to do a job. - Development programme moving forward, with prototype testing now on the march towards accumulating 1.8 million kilometres on and off-road over the coming year. - Created to fulfil the vision of adventurer and INEOS Group Chairman, Sir Jim Ratcliffe, the Grenadier will be a capable, durable and reliable 4x4 designed and built to handle the world's harshest environments. - #GrenadierUnwrapped.
to-read,' with no ambiguity about the Grenadier's role in life. There to do everything you need, and nothing you don't. PAGE 148
"The Grenadier project started by identifying a gap in the market, abandoned by a number of manufacturers, for a utilitarian off-road vehicle. This gave us our engineering blueprint for a capable, durable and reliable 4x4 built to handle the world's harshest environments. But it had to look the part as well." Sir Jim Ratcliffe, Chairman of INEOS Group
Nothing is for show. Modern engineering and production techniques ensure the Grenadier is highly capable, but we have been able to stay true to the essence of creating a utilitarian vehicle that will stand the test of time." Dirk Heilmann, INEOS Automotive's CEO, said: "We are delighted to be able to share the design of the Grenadier so early in the process. Most manufacturers would hold back, but we are a new business, building a new brand, and we want to take people with us on this exciting journey. "Showing the design now allows us to focus on the critical next phase of the vehicle's development, testing its capability and durability. We have a very challenging programme ahead, as we put prototypes through their paces in all conditions, on the way to accumulating some 1.8 million test kilometres over the coming year. From today the covers are off. Testing 'in
from the ground up. Engineered to overcome all conditions, it
plain sight' without the need for camouflage wrapping, foam
will provide best-in-class off-road capability, durability and
blocks or fake panels is an added benefit."
reliability to those who depend on a vehicle as a working tool, wherever they are in the world.
Sir Jim Ratcliffe, Chairman of INEOS, said: "The Grenadier project started by identifying a gap in the market, abandoned
On the engineering front, we are now in the series
by a number of manufacturers, for a utilitarian off-road
vehicle. This gave us our engineering blueprint for a capable,
partner Magna Steyr, with prototype testing under way. The
durable and reliable 4x4 built to handle the world's harshest
INEOS Grenadier will go into production in late 2021.
environments. But it had to look the part as well. As you will see today, Toby and his team have done a great job in
INEOS Automotive is a subsidiary of INEOS Group
delivering a design that is both distinctive and purposeful."
www.ineos.com, a leading manufacturer of petrochemicals, speciality chemicals and oil products. It employs 23,000
About INEOS Grenadier
people across 34 businesses, with a production network
In 2017, INEOS Chairman, Sir Jim Ratcliffe, a car enthusiast
spanning 183 manufacturing facilities in 26 countries. From
and experienced adventurer, identified a gap in the market for
paints to plastics, textiles to technology, medicines to mobile
a stripped back, utilitarian, hard-working 4x4 engineered for
phones, materials manufactured by INEOS enhance almost
modern day compliance and reliability. INEOS Automotive
every aspect of modern life. In 2019, INEOS had sales of
Limited was formed and a senior team of automotive
professionals assembled to bring the vision to reality. Combining rugged British spirit with German engineering
To find out more about the Ineos Grenadier, please visit:
rigour, the Grenadier will be a truly uncompromising 4x4 built
www.ineosgrenadier.com PAGE 149
JLL: HOW AI IS TRIMMING THE FAT IN FOODSERVICE Artificial intelligence may be in its infancy in the
– something which is more important than ever in the current
foodservice industry but it’s got huge potential
From reducing food waste to predicting what customers will
“AI goes beyond automated technologies to learn about
order, artificial intelligence is already streamlining the
customers in order to optimise operations and increase profit
restaurant business – and this is just the start.
margins,” says Richard Moulds, Director, Foodservice Consulting at JLL. “Though not yet prevalent throughout
Though the thought of AI in a restaurant may bring to
foodservice, in the next three to five years, a few AI processes
mind Pepper the robot taking orders at Asian branches of
will emerge as successful and integral to restaurant
Pizza Hut, it’s more about software that helps personalise
customer service and re-order stock more accurately. Fast food first to AI: Quick-service and fast-casual chains At American chain BurgerFi, self-ordering kiosks use AI-
have been the earliest adopters, trialling AI systems that link
powered facial recognition to suggest menu items to
returning customers. In the UK, the Tenzo AI platform helps
restaurant’s sales patterns and make precise predictions. At
brands such as Caravan and Pizza Pilgrims to forecast footfall
Starbucks and McDonald’s drive-throughs, AI analyses the
and sales in order to better manage staffing and stock levels
time of day, weather and individual store transactions to even
digital menus. Fast-casual chains such as by CHLOE and
HSBC and the Sofitel Bangkok, for example, use smart bins to
Buffalo Wild Wings streamline their online experience with AI
track which foods are routinely chucked out, helping
that manages website reservations and pre-orders for those
streamline menus and purchasing. Down the line, AI-enabled
lunching on the clock. “AI is especially helpful for restaurant
cameras could analyse the parts of meals that diners leave
brands where speed is a critical factor in customer
behind, while smart refrigerators might detect food nearing
experience,” says Moulds.
expiry and remind chefs to use those items. “Reducing food waste improves sustainability throughout the supply chain,
Implementing appropriate technologies can, however, be a
from shrinking the carbon footprint of delivery trucks to
challenge, especially when many represent a sizeable
making each served meal eco-friendlier,” says Moulds. And for
investment for the brand at a time when cost is forefront of
restaurants aiming to go greener by growing their own
mind. Consumer concerns around privacy are another key
ingredients, AI, which can improve agricultural harvests, could
consideration. Some AI analysis that relies on sensitive
help monitor gardens and optimise yields.
customer data – such as facial recognition – could discourage some people from returning – or even visiting in the first
Future smart service: As AI becomes embedded in the
place. “Personalisation is a major benefit of AI, but it’s critical
restaurant business, the customers of the future stand to gain
that brands make clear their data collection policies, with
from increasingly personalised service that enhances the
options to opt out,” says Moulds.
experience of eating out. Digital menus might automatically order celebration cakes on diners’ special days, or display
Humans working with tech: Restaurants will also need to
customised perks to regulars, while food-scanning apps for
invest in upskilling staff to ensure they understand the
restaurant buyers could allow managers to provide assurance
technology and can use it successfully to get the key insights
on the origin of ingredients. “Customer expectations have
gone through the ceiling,” says Moulds. “AI will segment the
understanding the most effective data types to collect is key
foodservice industry further, enabling fast, automated service
for accurate predictions that optimise stock ordering and
at one end, while allowing other restaurants to offer the
avoid limiting customer options,” Moulds says. Yet with food
tailored experience people are seeking out.” Foodies need not
waste an industry-wide issue, spending on AI to reduce the
worry. As Moulds concludes: “There will always be a place for
amount thrown away could slash the budget: research from
traditional restaurants with great customer service and chefs
resource efficiency charity WRAP found that on average, for
on show, cooking good food. AI will simply make operations
every $1 restaurants invested in reducing waste, they saved $7
more efficient, freeing waitstaff for more personal attention.”
on operating costs. Indeed, some AI tools not only forecast demand, they also monitor individual kitchens’ practices.
For more information please visit: www.jll.com PAGE 151
7INVEST MEGAIN TRENDS GREATER KL: THAT WILL SHAPE THE TIME IS NOW OUR FUTURE As the country's capital, the Greater Kuala Lumpur region serves as the commercial pulse of Malaysia's economic activity and houses some of the world's largest multinational companies.
Greater KL is poised to transform into one of the world’s top cities. In addition to creating a haven for bustling economic activity, Malaysia’s transformation will cement the region’s liveability, reinforced by efforts including the revitalisation of its rivers, environmental conservation and improvement of the pedestrian network. As it develops into a true cosmopolitan hub, Greater KL can only continue to offer exciting prospects for businesses seeking a foothold in the flourishing Asian region. With the region attaining further progress in tandem with Malaysia’s transformation, the time is ripe for investors to ride on growth opportunities. Greater Kuala Lumpur, The Regional Headquarters Location For Multinational Companies In Asia: Many of the world's biggest companies are located in Kuala Lumpur, including: BMW, Shell, Glaxo SmithKline, Royal Smith Morris, Prudential, British American Tobacco, Citibank, HSBC, Tesco, Schlumberger, Nestle,
Kuala Lumpur within a couple of hours.
Paypal, Ikea, Exonn Mobil, Nokia, and many more. Benefit from Malaysia's Strong Ties and Trade Links: Malaysia 10 reasons why you should invest in Greater KL:
counts South Korea, China, ASEAN, the EU and the UAE as some of its largest trading partners. Malaysia participates in global and
01. STRATEGIC LOCATION
regional trade agreements including Free Trade Agreements,
Central Location with Global Connectivity: Located at the
Double Taxation Agreements and Regional Comprehensive
heart of ASEAN, Greater Kuala Lumpur’s strategic
location delivers immense connectivity with emerging markets in Asia, making it the perfect regional location to
02. BUSINESS FRIENDLY
grow business strategically within the region.
Malaysia’s business friendly policies and attractive fiscal packages initiated by the government have made Malaysia as one of the
6 - 8 Hour Flight Radius to Asia’s Key Business Centres:
easiest place to commence business globally. In the 'Ease of Doing
Major business centres in Asia such as Tokyo, Hong Kong,
Business' In World Bank’s Doing Business Report 2019, Malaysia
Beijing, Shanghai and Seoul are reachable from Greater
ranked 2nd in ASEAN and ranked 15th out of 190 countries. PAGE 152
INVEST IN GREATER KL 03. POLITICAL STABILITY Malaysia has celebrated over 60 years of independence and continues to enjoy a politically stable environment led by a democratic government. Through political stability, Malaysia's government policies such as liberal equity policy, employment of expatriate and tax incentives
environment. 05. INCENTIVES Broad-based Measures: Organisations coming to Greater KL can take advantage of incentives provided by the Malaysian government to encourage private sector and foreign investors' participation in the economy. These range from grants, funds, tax incentives to expatriate employment incentives. Existing tax incentives such as Principal Hub allows multinationals (MNCs) to enjoy fiscal and non-fiscal benefits. There are also available tax incentives including but not limited to: Agriculture, Biotechnology, Financial Services, Halal Business, Information Technology, Manufacturing, Services. 06. INFRASTRUCTURE The transportation infrastructure includes: extensive rail network such as Kuala Lumpur-Singapore High Speed Rail (targeted completion by 2031), Mass Rapid Transit/Light Transit, MRL East Coast Rail Link (targeted completion by 2028), world class airport (KLIA) and world's 12th busiest sea port (Port Klang) provide great connectivity with the rest of the region and the world. The telecommunications infrastructure means that Greater KL and Malaysia are both completely equipped with highly advanced telecommunications infrastructure including mobile, Wi-Fi, and high-speed broadband services where Malaysia has recorded an average connection speed of 8.9 megabits per second (Akamai Report 2017). 07. AVAILABILITY OF TALENT Malaysia produces an average of 200,000 fresh graduates annually and 33% of these young talent would move to Greater Kuala Lumpur upon graduation for better career opportunities. In EF English Proficiency Index 2018, Malaysia ranked 3rd in most English proficient country in PAGE 153
"Honeywell chose Kuala Lumpur as our ASEAN regional hub because of its location in the centre of Southeast Asia, having a English-speaking population and a multi-cultural environment. The Malaysian government is also easy to work with and very focused on becoming a high-income nation. The Government, together with entities like InvestKL and MIDA, is very supportive of attracting large multinationals wanting to set up regional operations in Kuala Lumpur via the Principle Hub initiative. Our relationship with the Malaysian government is very positive and we are confident of our future here.” - Briand Greer. President Southeast Asia, Honeywell.
ASEAN. Moreover, as Malaysians hail from multicultural
backgrounds and ethnicity, the talent are fluent not only in
Greater KL’s lush and tropical setting makes it an inspiring
English and Malay (the national language), but other
place to live, work, and play. The scenic surrounds are
languages such as Mandarin, Tamil, and various dialects.
complemented by an abundance of choice for housing and
In the Global Competitiveness Report 2019 by World
world-class facilities such as expatriates residential areas,
Economic Forum, Malaysia ranked 6th out of 141 countries in
terms of its pay-to-productivity ratio.
shopping destination. Integrated public transport network
such as Light Rail Transit (58km, Kelana Jaya-Sri Petaling08. COMPETITIVE BUSINESS COSTS
Putra Heights), Klang Valley Mass Rapid Transit Line 1 and
Lower Rental: According to Knight Frank Research 2017, the
Line 2 (Sg Buloh-Kajang/-Putrajaya,103 km), KTM Intercity
average monthly rental for office space in the Kuala Lumpur
(1,677 km, electrified and double-track rail) and ERL Line
city centre was only US$13.6 per square metre (US$/sqm) in
(57km, KL to KLIA at 160 km/h). Kuala Lumpur is one of the
the last quarter of 2017, compared with US$64.1/sqm in
world’s least expensive cities to live in. In the Mercer’s 2019
Singapore, US$35.9/sqm in Melbourne, US$209.8/sqm in Hong
Cost of Living Survey, Kuala Lumpur ranked 141th out of 209
Kong, and US$44.6/sqm in Shanghai.
cities. (Ranked from most expensive city to least expensive).
Competitive Salaries: Average annual salaries of employees in the country remain competitive than that of its neighbours:
Petroleum engineers at the manager level earning an average
In a rapidly changing global economic landscape, innovative
of around RM300,000 (US$71,412) a year compared to
ideas and business models will be essential to underpin future
SG$250,000 (US$184,993) in Singapore and CNY400,000
growth and competitiveness. Greater Kuala Lumpur’s
(US$60,710) in China, while finance directors earn an average
potential for the investment and cultivation of innovation-
annual salary of RM420,000 (US$99,977), against up to HK$3
related activities can be divided into the three key focus areas:
million (US$384,371) in Hong Kong and up to CNY2.5 million
Create: Greater Kuala Lumpur is an exciting and dynamic
(US$379,437) in China.
hub for discovering new and better ways of doing
Comparative Tax Rate: In 2017, total corporate tax in Malaysia
business with its diverse and skilled population, coupled
amounted to 24% compared to 30% in Australia, 30% in India,
with dozens of universities, innovation agencies and
23.4% in Japan, 30% in the Philippines, and 15% to 39% in the
knowledge centres. Public and private funding are
available at all levels for projects in areas including the creative
09. ROBUST LEGAL FRAMEWORK
biotechnology) as well as the automotive and aerospace
Established Judicial System: Malaysia benefits from an
engineering sectors, among others.
established judicial system that provides robust legal
Manage: Innovations and ideas are protected in Malaysia,
protection for companies. Greater Kuala Lumpur is also home
one of the top destinations for trademark applications in
to the Kuala Lumpur Regional Centre for Arbitration which
2011. RegisterMalaysia’s Intellectual Property Corporation
provides settlement for trade, commerce, and investment
(MyIPO), a one-stop government agency, handles the
disputes within the region.
registration of ideas from trademarks to patents,
Investor Protection: In World Bank’s Doing Business Report
strengthens existing laws, promotes public awareness of
2019, Malaysia ranked 2nd in protecting minority investors.
Intellectual Property Rights (IPR) and provides advisory PAGE 154
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INVEST IN GREATER KL
services. Registration costs are among the most competitive in the region. Monetise: The real value of innovation is truly captured and realised in Greater Kuala Lumpur. Malaysia’s largest bank, Maybank, and Bank Rakyat accept IPR as collateral for financing business expansion, making idea generation a viable and profitable venture. Funding innovation has never been easier. With competitive funding from agencies like Malaysia Debt Ventures’ IP fund and Credit Guarantee Corporation which offers participation guarantees, entrepreneurs have the invaluable support they need to make their vision a reality. To support the increasing numbers of IP collaterals, MyIPO is building up the numbers of IP valuers in Malaysia. MyIPO has kickstarted this by setting up an academy to train IP valuers. In addition to an investor-friendly business environment, Greater Kuala Lumpur offers seamless, end-to-end support for innovation investors: from research and development to the commercialisation of innovative products and services. Some feedback from investors in Greater Kuala Lumpur: The Linde Group "The aim of the ROC is to bring together the control and operations of our industrial gas plants, not only in Malaysia, but across the Southeast Asia region." Wong Siew YapCluster - Head of Malaysia and Pakistan Zurich Insurance "In assessing options to site some of our regional functions a few years ago, we looked at a number of factors. Chief among these were access to a well-educated and committed labour force, ease of doing business and connectivity to the rest of our Asia Pacific operations. Greater KL scored well in our assessment and we have been very pleased with our choice; the set-up has been well supported by government agencies, our ability to recruit and retain the people we are looking for has been strong and logistics and transportation were good and are improving each year." Philip Smith - Chief Executive Officer, Zurich Insurance Malaysia InvestKL is a government Investment Promotion Agency mandated to attract Fortune 500 and Forbes 2000 type multinational companies to establish their regional hubs and undertake regional activities in Greater Kuala Lumpur. www.investkl.gov.my PAGE 155
TUV RHEINLAND: CYBER RISKS FOR INDUSTRIAL PLANTS UNDERESTIMATED TUV Rheinland and Ponemon Institute publish worldwide
successful cyberattacks on OT systems often cause
study on the Cybersecurity of industrial plants.
particularly high levels of damage to the companies
All information at www.tuv.com
affected", explains Petr Láhner, Executive Vice President of the Business Stream Industrial Service & Cybersecurity at TUV
Cyberattacks can threaten the industrial facilities of
Rheinland. "We have therefore placed the Cybersecurity of
companies even more than their IT systems. However, a
Operational Technology at the center of our study, following
holistic view of the security of industrial plants is often
on from the findings of the first study on this subject in 2019".
lacking. This is a key finding of a recent study on security in industrial companies by TUV Rheinland and the Ponemon
Measures for IT and OT systems not coordinated
For the "2020 Study on the State of Industrial Security", the independent market research company Ponemon Institute
Operational Technology in the sights of the hackers
surveyed more than 2,200 cybersecurity experts worldwide
Operational Technology (OT) is the main target for
from the automotive, health and pharmaceutical, logistics
cyberattacks on industrial plants. These are devices and
and transport, mechanical engineering, oil and gas and utility
systems that control or monitor industrial processes - such as
sectors. The Ponemon Institute, based in Traverse City,
motors, pumps or valves. "OT systems differ in function and
Michigan, is dedicated to independent research on
technology from classic corporate IT. At the very same time,
information and privacy management in companies. PAGE 156
TUV RHEINLAND THE HIKE MAGAZINE
The following results show how much cyberattacks endanger OT systems: - More than half of the respondents (57 percent) say that their companies firmly expect attacks on OT systems. - Almost half (48 percent) are convinced that cyber threats pose a greater risk to OT systems than to the IT environment. - Almost two thirds (63 percent) of those surveyed stated that security measures for IT and OT systems are not coordinated in their companies. - For almost half of the respondents (47 percent), cyber threats to OT systems have increased over the past year. These include attacks such as phishing, social engineering and extortion software ("ransomware"). "From our point of view, it is crucial that companies tailor their cybersecurity
Operational Technology. For example, some control systems may have limited cybersecurity controls in place and could subsequently be vulnerable to cyber threats. To do this, companies have to assess their OT cyber risk and invest time and money for best effect. It is alarming that in the view of the experts surveyed, there are too few financial or professional resources available for OT security. In addition, a holistic view of the security of industrial plants is often still lacking. In an increasingly networked world, industrial plants are only really secure if both their IT and OT cybersecurity is addressed", Láhner says. About TUV Rheinland TUV Rheinland stands for safety and quality in almost all areas of business and life. Founded almost 150 years ago, the company is one of the world's leading testing service providers with more than 21,400 employees and annual revenues of 2.1 billion euros. TUV Rheinland's highly qualified experts test technical systems and products around the world, support innovations in technology and business, train people in numerous professions and certify management systems according to international standards. In doing so, the independent experts generate trust in products as well as processes across global value-adding chains and the flow of commodities. Since 2006, TUV Rheinland has been a member of the United Nations Global Compact to promote sustainability and combat corruption. Website: www.tuv.com PAGE 157
JOHN QRESHI EXPLAINS WHY MASTERING CONSUMER BEHAVIOR & YOUR PERSONAL BRAND IS THE KEY TO WINNING DURING THE ECONOMIC CRISIS John Qreshi believes that people are more inclined to do business with someone they know and trust.
John Qreshi (Certified Master Trainer of NLP, Creator of Quantum Master Coach™, Quantum Spiritual School™, Quantum Breakthrough Technique®, Quantum Time Line Techniques®, and Executive Member of the American Board of NLP & Hypnotherapy) has researched consumer behavior while helping thousands of leaders to maximize their potential. He explains that if you master consumer behavior and your personal brand then nothing in the entrepreneurial world can stop you. Qreshi further explained that for anyone doing business
In business today, John Qreshi believes that people are more
in 2020, building a personal brand has never been a more
inclined to do business with someone they know and trust. If you
valuable asset to your business. Whether you are an
can leave a lasting impression in the minds of your audience, they
entrepreneur, freelancer, or working your way up the
will continue to want to do business with you. Also, with the rise of
corporate ladder, the competition has never been fiercer.
the internet and social media, there are a lot of distractions out
The key to differentiating yourself from others is to build
there. One way to cut through all the noise is to build a strong and
a personal brand that is recognizable. Your personal
solid reputation. By creating a personal brand based on
brand distinguishes you from competitors and helps
transparency, honesty, and showing who you truly are, you can
build trust with your followers that turns into long-lasting
quickly and easily build trust. This is something that not many
people take the time to craft.
Why Master Consumer Behavior & Personal Brand?
Knowing Consumer Behavior & Personal Brand Is Important?
Once you master consumer behavior and their
Qreshi Further Explained that when you know consumer behavior
psychology, you can create a product or service which is
you understand their emotional level pain, surface level pain and
based on their needs not on what you want to
personal level pain that allows you to give them solutions that they
sell. People buy identity, transformation and a better
truly need or are looking for rather than create something of your
version of themselves, People buy emotions and justify it
own without knowing if people are going to like it or not. Just as
Mark Cuban has said "Create a product or service that make other PAGE 158
people’s lives easier." Besides, at the same time your personal brand connects with people and represents your company’s brand and you can leverage it to increase exposure and attract more customers to your company but, in the end, your personal brand is your own. John Qreshi ask several business owners, What if you work for multiple companies or leave one industry for another? No problem, your personal brand follows you like a seal of approval if you utilize it right. When you have a great personal brand, your business may change or even die but your personal brand will not. Your personal brand will transition with you to any business. The truth is, people do not buy into you because of the product or service you are selling, they buy in because of who you are. Personal branding is a safety net. It is a recession-proof formula for your career. How Mastering Consumer Behavior & Personal Brand Makes You Money Money follows attention and when you have a great personal brand, you can gain attention from a massive audience, especially on social media. This is because an effective personal media brand tells a story that connects people to you and, as they say, “facts tell, stories sell”. Your story is such an important part of your personal brand. It gives you leverage to hook people with your story and offer. With this, you can scale your business and start making 7, 8, or even 9 figures! People have come to me for help who have 10 or even 12 million followers but are completely broke. This is because they have nothing to sell. It’s not followers that bring you money, it’s how you position yourself with your personal media brand. With a great personal media brand, you don’t need 10 million followers. You only need 100 or so diehard, rabid fans. When you have this, they will do your marketing for you. And, there is no better type of marketing than word of mouth. This is what comes with your personal media brand. True Masters of Consumer Behavior & Personal Branding John Qreshi give an example of Amazon founder Jeff Bezos & Mark Zuckerberg founder of Facebook as true masters of consumer behavior who understand their audiences and their psychology better than anyone else. John Qreshi believes Kylie Jenner and Kim Kardashian are great examples of being masters of personal branding. They have built a massive following for their PAGE 159
"Without a personal brand, you just become a commodity that acts as a price-taker."
personal brands over the last decade. They have both leveraged their audiences to launch products and sell millions of units. One of these products, Kylie Cosmetics, has made Kylie Jenner the youngest Billionaire in the world. Do these entrepreneurs have the best products? Maybe not, but, people buy them because of the brand. This is an added benefit of having a strong personal brand. You can justify charging a premium price for your product and services. Without a personal brand, you just become a commodity that acts as a price-taker. How to Learn Consumer Behavior & Grow Your Personal Brand The first thing you have to do is to start consuming people’s comments and stop consuming contents, to learn about your audience and what are their pain points; their surface level pain, their emotional or technical level pain and their personal level pain. As far as Personal Branding goes, you already have a personal brand even if you’ve never thought about building one. Don’t believe me? Google yourself! See what the results show. Now, it’s just a matter of leading your brand in the direction you want it to go. You need to define what you want your brand to represent and your audience. After that, all you need to do is start building real relationships with real people and build your brand every day like a habit. Qreshi explained that mastering the psychology of your consumers will allow you to win & create long term scalable
"You already have a personal brand even if you’ve never thought about building one. Don’t believe me? Google yourself! See what the results show. Now, it’s just a matter of leading your brand in the direction you want it to go."
businesses. As long as you know the pain levels of your consumer then you can sell and scale. At its core, your brand is your reputation. It is essential for your business, your career, and your success. Those who can understand how to harness the power of your networks and brand will achieve significantly more than the average person. John Qreshi has created several companies and helped many entrepreneurs. The greatest lesson he has learned is that it takes years and lots of effort to build your personal brand to where you want it to be but it can take only one slip-up to tarnish it. For more information visit his website. www.johnqreshi.com www.quantumastercoach.com/purpose PAGE 160
GREEN BEE BOTANICALS: THE UNEXPECTED NEW LEADERS OF THE CLEAN BEAUTY MOVEMENT Move over Goop and Saint Jane; there's a new breed of
"People are more aware of toxins in products," adds Bridget
brands taking the clean beauty movement to the next level,
May, founder and CEO. A former analytical chemist, May
and the reason may surprise you. The secret is the most
formulates all of Green Bee's products. "People want non-
controversial plant in America: cannabis—as in marijuana,
toxic products that actually work. This requires meticulous
not hemp—which is legal in some form in most states but still
formulation and research. Best intentions aren't good
illegal at the federal level.
enough; if you don't test for over a hundred impurities like we do, your products may be contaminated, whether they're
Cannabis is held to stricter standards of 'clean' than organic
organic or not. What goes into the product unintentionally
food in most states, particularly California. Not to be
matters just as much as the ingredient list."
confused with CBD hemp products, THC-containing cannabis products—even those that won't get you high, including
According to NPD Group, clean skincare is a rapidly growing
topical skincare—must pass multiple rigorous tests per
segment—up 39% in 2019—within the $19 billion "prestige
batch. Hemp products have no such oversight, nor do
beauty" market in the US. During the pandemic, sales of
cosmetics in general. While the testing lab costs are widely
skincare products surpassed makeup sales for the first time
considered a burden, some see it as an opportunity. San
ever, NPD reports. With the US cannabis market also growing
Francisco-based Green Bee Botanicals, which touts cannabis
—to $17 billion in 2020, according to New Frontier Data—
as a super-ingredient for skin, is one of only a handful of
Green Bee Botanicals is uniquely positioned to attract
clean beauty brands in the US that publicly shares its test
trendsetting clean beauty aficionados.
results, called certificates of analysis (COAs), for every batch. Green Bee Botanicals makes clean, organic eye cream, face "We surveyed consumers on what's most important to them
serums and body oil infused with full-spectrum cannabis.
and the number-one answer across all ages, genders and
backgrounds was that it's tested and proven clean of lead,
dispensaries and delivery services, Green Bee is launching
pesticides and other harmful ingredients," says Green Bee
hemp CBD skincare that will be tested as rigorously as its
Botanicals co-founder and COO Kim Howard.
cannabis skincare. www.greenbeebotanicals.com
FOREIGN INVESTORS TARGET RENEWABLE ENERGY IN UZBEKISTAN
Uzbekistan has a growing role in the regional and global
EBRD assistance to Government of Uzbekistan to develop
1,000 MW of wind energy projects. Tender for a project in Karakalpakstan to be announced soon.
The country aims to generate a quarter of all electricity
Programme between Government of Uzbekistan and ADB
from renewable sources, by 2030. The Ministry of Energy is
to create 1 GW of solar energy. 54 companies submitted
mandated to oversee the achievement of this vision.
applications for the tender, including international companies tendering for the first time.
In recent years the country has followed an ambitious
First stage of international tender for construction of a
national strategy for energy efficiency and sustainability.
100 MW solar power plant in the Navoiy region, completed and attended by global array of companies.
To expedite investments, the Ministry of Energy has taken
Second phase of tenders for scaling solar II project-
active measures to implement large-scale projects in
Construction of solar power plants on a PPP basis, led by
the Ministry of Energy with assistance of the International Finance Corporation.
The last twelve months has seen a variety of committed
Second tender announced for the construction of two 200
MW solar power plants in the Samarkand and Jizzakh
collaborations with global partners.
"The material contribution of renewable energy to our country's overall energy mix, and its efficiency, is a crucial part of our strategy. We are collaborating with blue-chip international institutions and welcoming an array of international companies who are excited to be investing in Uzbekistan."
Highlights include: Ten-year programme to build 5,000 MW of solar power
Mr. Alisher Sultanov, Minister of Energy of Uzbekistan, commented:
and 3,000 MW of wind power. FDI investors currently being selected by Ministry of
"Our significant energy ambitions and strategic plan to 2030
Energy to implement these projects.
are being matched by our current activities. The material
Assistance being provided by international institutions:
contribution of renewable energy to our country's overall
World Bank, Asian Development Bank (ADB) and the
energy mix, and its efficiency, is a crucial part of our strategy.
European Bank for Reconstruction and Development
We are collaborating with blue-chip international institutions
and welcoming an array of international companies who are excited to be investing in Uzbekistan. We are working
Agreements signed with:
tirelessly for our country's energy security and will keep
ACWA Power (Saudi Arabia) – three agreements worth
audiences regularly updated on all our activities and
over US$2 billion to construct power plants.
Masdar (UAE) – construction of a 500 MW wind power plant in the Navoiy Region.
For more information about investing in the Uzbekistan
TOTAL Eren (France) – construction of a 100 MW solar
renewable energy field please vist the website of the Ministry
power station in the Samarkand region.
of Energy of Uzbekistan: www.minenergy.uz/en PAGE 163
CSR LEADER 100 CSRLEADER.COM & WORLD BIZ
www.CSRleader.com and World Biz Magazine present the 2020 CSR Leader 100 Awards. The Covid-19 pandemic has triggered a global economic crisis. At the same time we have experienced large-scale social unrest in the USA and Hong Kong. We have also had to contend with environmental disasters and the ever-pressing challenges waiting for solutions such as global warming, poverty and diversity. Companies around the globe have stepped up to show that they care about the communities in which they operate and the larger world. Here are 100 exceptional companies selected as winners of the 2020 CSR Leader Awards.
100: Spry Therapeutics (USA) - Donated 10,000 of its virus-
90: Vauxhall (UK) - Assembled ventilators and components
blocking medical pillows to hospitals across the US.
using 3-D printers at its plant in England.
99: Tito's Vodka (USA) - Reacted to COVID by producing hand
89: Born Primitive (USA) - Supported struggling gyms during
sanitizer and supplied to cities throughout Texas for free.
the pandemic by pledging $1.5 Million in gift cards.
98: Loom (USA) - Video recording and sharing service made
88: Serta Simmons (USA) - Donated 10,000 mattresses to New
Loom Pro free for teachers and students across the USA.
York City hospitals fighting the COVID-19 pandemic.
97: Shine Distillery (USA) - Manufactured and gave away hand
87: BrewDog (UK) - The Scottish brewery redirected its plants
sanitizer local hospitals during an an acute local shortage.
to produce hand sanitizer for front-line healthcare workers.
96: OneDine (USA) - Provided a free Tap & Pay Touchless
86: Sasol (South Africa) - Ramped up production of hand
Payment system to restaurants during the COVID-19 crisis.
sanitizers for hospitals across South Africa.
95: Pronovias Group (Spain) - Donated wedding dresses (of up
85: JBL (USA) - Through the nonprofit Little Kids Rock, JBL
$5,000 value each) to hospital-employed brides-to-be.
donated headphones to schools to support virtual classes.
94: Acciona (Spain) - Manufactured masks and over 1 million
84: Corporación Dinant (Honduras) - Donated disinfectants,
hairnets for healthcare workers across Spain.
food, and soaps to 152,000 vulnerable people in Honduras.
93: U-Haul (USA) - Povided 30 days of free self-storage to all
83: Crocs (USA) - Donated 10,000 pairs of shoes each day to
college students impacted by schedule changes.
92: Zappos (USA) - Online shoe retailer launched an innovative
82: Decathlon (France) - Worked with researchers to adapt its
support line to support people emotionally affected by COVID.
snorkelling masks to be safely adapted as ventilators.
91: Logitech (USA) - Launched a program for k-12 teachers to
81: Gantri (USA) - A 3D-printed lamp company, has been
receive free webcams and headsets for virtual teaching.
producing 3D-printed visor frames for health workers. PAGE 165
2020 CSR LEADER 100 80: Chewy (USA) - Along with its partners Chewy donated $1.7
65: Dyson (UK) - Partnered with The Technology Partnership to
million in pet food to animal welfare organizations.
produce a ventilator called CoVent for donation to hospitals.
79: Solvay (Belgium) - One Planet program has raised the bar
64: Little Caesars (USA) - Responded to COVID-19 by donating
in response to climate change and resource scarcity.
1 million pizzas to hospitals, police and other key workers.
78: Yandex (Russia) - Covered the costs of the first 10,000 tests
63: Keen (USA) - Donated 100,000 shoes to people who have
for people at risk, as part of its $3.4 million COVID fund.
been directly affected by COVID-19.
77: Carhartt (USA) - The maker of cozy hats and durable
62: Kering (France) - Owner of brands like Gucci and Bottega
clothes redirected its factories to make gowns and masks.
Veneta, donated 2 million euros to help the fight against COVID.
76: Coursera (USA) - Launched Workforce Recovery Initiative,
61: Vistaprint (USA) - Donated $1 million to the U.S. Chamber
providing free courses to newly unemployed workers at no cost.
of Commerce Foundation’s Save Small Business Fund.
75: Giorgio Armani (Italy) - Donated $1.43 million to major
60: LVMH (France) - Parent company of Christian Dior, Guerlain
hospitals in Rome and Milan, and to the Civil Protection Agency.
and Givenchy, manufactured hand sanitizer for hospitals.
74: Fast Retailing (USA) - Owner of both Uniqlo and Theory
59: Spanx (USA) - CEO Sara Blakely donated $5 million to fund
brands, donated 10 million masks worldwide.
1,000 businesses owned by women.
73: Kendra Scott (USA) - The brand donated 500,000 meals
58: Bacardi (USA) - Led the way in its industry on responding to
to Feeding America's COVID-19 Response Fund.
COVID-19 through $3 million donation and producing sanitisers.
72: Pharmavite (USA) - Makers of Nature Made donated $1
57: Kiehl's (USA) - Donated 500,000 meals to Feeding America's
million to support food relief programs.
COVID-19 Response Fund.
71: Apostrophe (USA) - Producing hand sanitizer and donating
56: Allbirds (USA) - Donated 500,000 shoes to health workers
100% of hand sanitizer sales to the WHO COVID-19 Fund.
across the USA through its "Better Together" program.
70: Tom Bihn (USA) - Bag manufacturer; turned its US-based
55: SSAB (Sweden) - Supporting local communities across
plant to face masks and donated to 100 essential businesses.
Scandinavia during the COVID-19 crisis.
69: Razer (USA) - The company that makes laptops and mice,
54: Fiat Chrysler (USA) - Pitched in to support production of
started making surgical masks and donated 1 million masks.
respiratory care products and face masks.
68: The Honest Company (USA) - Donated 3 million diapers,
53: Uber (USA) - Free meals and discounted rides for health
30,000 packs of wipes, and 20,000 personal care products.
care workers in the U.S. and similar initiatives globally.
67: Pernod-Ricard (France) - Leading alcoholic beverages
52: Anglo American (South Africa) - Supplied water tanks and
producer converted its distilleries for production of sanitiser.
food to communities in Africa, Australia and the Americas.
66: Hugo Boss (Germany) - Luxury-clothing maker produced
51: Procter & Gamble (USA) - Responded by producing 45,000
face masks and donated 20% of all U.S sales to the Red Cross.
litres of sanitiser per week for hospitals and relief agencies. PAGE 166
THANK YOU 50: LEGO (Denmark) - Launched initiatives and donated US $50
35: Subaru (Japan) - Partnered with Feeding America to help
million to support children around the world during COVID-19.
provide 50 million meals nationwide, and global initiatives.
49: Ford Motor Company (USA) - Provided manufacturing and
34: MAC Cosmetics (Canada) - Donated $10 million towards
engineering expertise to build respirators and ventilators.
250 organizations all over the world that are fighting COVID-19.
48: Koç Holding (Turkey) - Parent company, of Arçelik, mass
33: Airbnb (USA) - Hosts provided housing for 100,000 health
produced life-saving mechanical ventilators for hospitals.
care workers, first responders, and relief workers globally.
47: GM (USA) - Provided support
32: Airbus (Netherlands) - Employed its fleet of aircraft to
for the production of
respiratory care products and face masks.
support governments fighting the COVID-19 pandemic.
46: Reliance Industries (India) - Set up one of the first COVID-
31: Ineos (UK) - Built 2 sanitiser factories in 10 days to produce
19 health centers in India amongst many other initiatives.
1 million bottles per-month for free supply to hospitals.
45: KFC (USA) - Through its "Back-to-School Buckets" initiative
30: BlackRock (USA) - The global investment management firm
KFC delivered one million pieces of chicken to teachers.
committed $50 million of funding to worldwide relief efforts.
44: Mahindra (India) - Manufactured free ventilators, created
29: Hilton (USA) - CEO donated 2020 salary, other leaders
temporary care facilities, and launched COVID-19 fund.
donated 50% to front-line employees, and other global actions.
43: Agility (Kuwait) – Leading logistics company designed
28: Intel (USA) - Donated $40 million as part of pandemic
interactive maps to assist global critical supply chains.
response. Also allocated $10 million for an innovation fund.
42: Carlsberg (Denmark) - Donated £11m to scientific research
27: Inditex (Spain) - The parent company of Zara, produced
and shipped surgical masks to hospitals in Spain and globally.
41: Citizens Bank (USA) - Dedicating $5 million to aid small
26: Ralph Lauren (USA) - Donated $10 million to charitable
businesses and communities affected by COVID 19.
organizations, including the World Health Organization.
40: Stanley Black & Decker (USA) - Donated 3 million face
25: Marriott (USA) - Provided $10 million worth of hotel stays
masks and $4 million to support nonprofit organizations.
for healthcare professionals, amongst other initiatives.
39: MGA Entertainment (USA) - Launched Operation Pac-
24: Lowe’s (USA) - Donated $25 million to support local
Man to raise money and committing $5 million.
communities, including $10 million to medical professionals.
38: UGG (USA) - Launched the Better Together initiative to
23: Under Armour (USA) - Donated $2 million and 500,000
donate funds and products equalling $1 million to relief efforts.
masks, thousands of gowns and 1,000 face shields.
37: L’Oréal (France) - Donated surgical and N95 respirator
22: AB InBev (Belgium/ Brazil) - Donated 1 million bottles of
masks to hospitals across the globe.
hand sanitizer and disinfectant to hospitals and health workers.
36: Clif Bar (USA) - Donated three million Cliff bars to health
21: Hewlett Packard (USA) - Donated $50-million worth of
care workers across the USA.
secure connectivity kits to healthcare facilities worldwide. PAGE 167
20: AstraZeneca (UK/ Sweden) - Donated 9 million face masks
10: Salesforce Cloud (USA) - Software giant provided small
to healthcare facilities across the globe.
business grants of $10,000 per company to U.S. businesses.
19: State Farm (USA) - The USA’s largest auto insurer returned
9: American Express (USA) - Matched all donations by their
over $2 billion in COVID-credits to policy holders.
U.S. Card Members to Feeding America, and other innitiatives.
18: JD (China) - Donated supplies to countries including the
8: Apple (USA) - Donated over 10 million masks in the United
UK, Uzbekistan and Chile, Mongolia, Switzerland and China.
States, and millions more globally amongst other initiatives.
17: Johnson & Johnson (USA) - A commitment of $250 million
7: Tata Group (India) - Donated more than US $200 million to
to healthcare workers and an additional $50 million donation.
protect and empower affected communities globally.
16: Volkswagen (Germany) - Donated €40 million of medical
6: Alibaba (China) - Donated 1.1 million testing kits, 6 million
equipment, and €1 million for refugees threatened by COVID 19.
masks, and 60,000 protective suits and face shields to hospitals.
15: Unilever (UK/Netherlands) - Donated free sanitizer, soap,
5: Facebook (USA) - Launched a $100 million grant program for
bleach and food worth €100 million to most affected by COVID.
30,000 small businesses in 30 countries around the world.
14: PepsiCo (USA) - Directing a $45 million COVID-19 response
4: Wells Fargo (USA) - Donated $175 million to support public
initiative to communities hardest hit by the pandemic.
health aid efforts, housing security and food shortages.
13: Standard Chartered (UK) - Launched a $50 million global
3: Cisco (USA) - Committed $225 million in cash and in-kind to
fund to help people affected by the COVID-19 pandemic.
support both the global and local response to COVID-19.
12: Goldman Sachs (USA) - Created a $25 million COVID-19
2: Bank of America (USA) - Donated $100 million to relief
relief fund and $275 million set aside to help small businesses.
efforts and $250 million in capital to community development.
11: Wipro (India) - Leading IT company has donated $147.4
1: Google (USA) - Pledged a total of $800 million to support
million to local organisations fighting the COVID-19 crisis.
small-and medium-sized businesses across the globe. PAGE 168
CSR LEADER 100
WORLD BIZ MAGAZINE
WORLD FDI AWARDS 2020
THE WORLD'S BEST INVESTMENT DESTINATIONS - BY INDUSTRY www.worldfdi.com | www.worldbizmagazine.com
World Biz Magazine
THE WORLD'S BEST INVESTMENT DESTINATIONS - BY INDUSTRY
2020 AWARDS WORLD FDI World Biz Magazine in partnership with WorldFDI.com is
Country / Number of Awards
honored to present the winners of the 2020 World FDI
Latin America & Carib
Awards to our esteemed audience of CEOs and C-Suite
Brazil - 9
USA - 23
decision makers in 80 countries.
Colombia - 5
Candada - 7
Chile - 4 Decisions on investments into new territories involve
Peru - 4
Asia - Pacific
important questions that site selectors must answer. The
Costa Rica - 2
Australia - 6
Word FDI Awards encourages business leaders to take
Mexico - 2
India - 6
the first step to success in new markets by providing our
Trinidad & Tobago - 2
China - 4
holistically researched view of the countries and regions
Dominica - 1
Singapore - 4
that present the absolute best opportunities in specific
Uruguay - 1
Kazakhstan - 2 Korea - 2
industries in the coming year. As part of our evaluations, our team interviewed CEOs, institutional investors,
Sri Lanka - 2
Investment Promotion Agencies, Advisories, and other
UAE - 9
Malaysia - 1
FDI stake holders. Our 360 approach also included the
Israel - 6
Mongolia - 1
research of FDI flows, and direct feedback from local
Saudi Arabia - 5
New Zealand - 1
businesses and media partners on the ground in the
Egypt - 3
Vietnam - 1
Jordan - 2 Qatar - 2
The World FDI 2020 Award Winners have proven their
Kuwait - 1
United Kingdom - 5
commitment to guaranteeing open, dynamic and
Oman - 1
Germany - 4
forward-thinking commerce by achieving the highest
Bahrain - 1
Russia - 3 France - 2
combined scores for the following points of research: - Quality of the investment invitations.
Belgium - 2
- Level of support offered, Incentives and FTZs.
Nigeria - 9
Norway - 2
- Infrastructure, Talent, Connectivity, Business climate.
South Africa - 6
Cyprus - 2
- Stability, Anti-Corruption and Transparency.
Morocco - 4
Spain - 2
- Ease of Access to the Market and Business Finance.
Ghana - 3
Turkey - 2
- Success Stories.
Kenya - 2
Austria - 1
- Professionalism of local support agencies.
Ethiopia - 2
Czech Republic - 1
- Communication and Marketing.
Angola - 1
Denmark - 1
- Preparedness for the 4th Industrial Revolution.
Rwanda - 1
Finland - 1
Côte d'voire - 1
Sweden - 1
Tanzania - 1
Switzerland - 1
Mike Walters - Editor in Chief at World Biz Magazine
AEROSPACE Latin America and Caribbean Winner: ProMéxico www.promexico.mx Highlight: Baja California www.investinbaja.gob.mx North America Winner: SelectUSA www.selectusa.gov Highlight: Texas www.businessintexas.com Asia - Pacific Winner: EDB Singapore www.edb.gov.sg Highlight: Singapore www.edb.gov.sg Europe Winner: Dept for International Trade, UK www.invest.great.gov.uk Highlight: England www.invest.great.gov.uk Middle East Winner: Invest in Israel www.investinisrael.gov.il Highlight: Tel Aviv www.investinisrael.gov.il Africa Winner: InvestSA, South Africa www.investsa.gov.za Highlight: Tshwane www.teda.org.za
AGRICULTURE Latin America and Caribbean Winner: Apex-Brasil www.apexbrasil.com.br Highlight: Parana www.apdbrasil.org.br North America Winner: SelectUSA www.selectusa.gov Highlight: California www.businessportal.ca.gov Asia - Pacific Winner: Austrade, Australia www.austrade.gov.au Highlight: New South Wales www.invest.nsw.gov.au Europe Winner: Business Belgium www.business.belgium.be Highlight: Wallonia www.wallonia.be/en/invest Middle East Winner: GAFI, Egypt www.investinegypt.gov.eg Highlight: Monufia www.investinegypt.gov.eg Africa Winner: KenInvest, Kenya www.invest.go.ke Highlight: Eastern Kenya www.invest.go.ke
AUTOMATION Latin America and Caribbean Winner: ProMéxico www.promexico.mx Highlight: Nuevo Leon www.businessnuevoleon.com North America Winner: SelectUSA www.selectusa.gov Highlight: Texas www.businessintexas.com Asia - Pacific Winner: Invest in China www.fdi.gov.cn Highlight: Shenzen www.fdi.gov.cn Europe Winner: Germany Trade & Invest www.gtai.de Highlight: Lower Saxony www.invest-in-niedersachsen.com Middle East Winner: Invest in Israel www.investinisrael.gov.il Highlight: Tel Aviv www.investinisrael.gov.il Africa Winner: Invest in Morocco www.invest.gov.ma Highlight: Tangier www.invest.gov.ma
AUTOMOTIVE Latin America and Caribbean Winner: Apex-Brasil www.apexbrasil.com.br Highlight: Parana www.apdbrasil.org.br North America Winner: SelectUSA www.selectusa.gov Highlight: California www.businessportal.ca.gov Asia - Pacific Winner: Invest in China www.fdi.gov.cn Highlight: Shanghai www.fdi.gov.cn Europe Winner: Germany Trade & Invest www.gtai.de Highlight: Bavaria www.invest-in-bavaria.com Middle East Winner: Invest Saudi, Saudi Arabia www.investsaudi.sa Highlight: Jubail www.jubailcity.com Africa Winner: InvestSA, South Africa www.investsa.gov.za Highlight: Tshwane www.teda.org.za
CHEMICAL Latin America and Caribbean Winner: Apex-Brasil www.apexbrasil.com.br Highlight: Sao Paolo www.investe.sp.gov.br North America Winner: SelectUSA www.selectusa.gov Highlight: North Carolina www.edpnc.com Asia - Pacific Winner: KOTRA, Korea www.kotra.or.kr Highlight: Gyeonggi www.gg.go.kr Europe Winner: Business Belgium www.business.belgium.be Highlight: Flanders www.flandersinvestmentandtrade.com Middle East Winner: Invest Saudi, Saudi Arabia www.investsaudi.sa Highlight: Dammam www.eamana.gov.sa Africa Winner: AIPEX, Angola www.aipex.gov.ao Highlight: Lunda Sul www.aipex.gov.ao
CLEAN ENERGY Latin America and Caribbean Winner: Invest Chile www.investchile.gob.cl Highlight: Santiago www.investchile.gob.cl North America Winner: Invest in Canada www.investcanada.ca Highlight: British Columbia www.britishcolumbia.ca Asia - Pacific Winner: Austrade, Australia www.austrade.gov.au Highlight: Western Australia www.jtsi.wa.gov.au/invest-in-wa Europe Winner: Invest in Denmark www.investindk.com Highlight: Greater Copenhagen www.copcap.com Middle East Winner: Dubai FDI, UAE www.eia.gov.ae Highlight: Dubai www.dubaifdi.gov.ae Africa Winner: Invest in Morocco www.invest.gov.ma Highlight: Ouarzazate www.invest.gov.ma
E-COMMERCE Latin America and Caribbean Winner: ProInversión, Peru www.proinversion.gob.pe Highlight: Lima www.proinversion.gob.pe North America Winner: SelectUSA www.selectusa.gov Highlight: New York www.esd.ny.gov Asia - Pacific Winner: Invest in China www.fdi.gov.cn Highlight: Shenzen www.fdi.gov.cn Europe Winner: Business France www.businessfrance.fr Highlight: Paris www.chooseparisregion.org Middle East Winner: Dubai FDI, UAE www.eia.gov.ae Highlight: Dubai www.dubaifdi.gov.ae Africa Winner: NIPC, Nigeria www.nipc.gov.ng Highlight: Lagos www.nipc.gov.ng
CREATIVE Latin America and Caribbean Winner: Apex-Brasil www.apexbrasil.com.br Highlight: Sao Paolo www.investe.sp.gov.br North America Winner: SelectUSA www.selectusa.gov Highlight: Florida www.enterpriseflorida.com Asia - Pacific Winner: Austrade, Australia www.austrade.gov.au Highlight: Western Australia www.jtsi.wa.gov.au/invest-in-wa Europe Winner: Invest in Turkey www.invest.gov.tr Highlight: Ankara www.invest.gov.tr Middle East Winner: Invest Saudi, Saudi Arabia www.investsaudi.sa Highlight: Riyadh www.investsaudi.sa Africa Winner: NIPC, Nigeria www.nipc.gov.ng Highlight: Lagos www.nipc.gov.ng
CYBERSECURITY Latin America and Caribbean Winner: ProColombia www.procolombia.co Highlight: Bogota www.investinbogota.org North America Winner: SelectUSA www.selectusa.gov Highlight: California www.businessportal.ca.gov Asia - Pacific Winner: EDB Singapore www.edb.gov.sg Highlight: Singapore www.edb.gov.sg Europe Winner: Germany Trade & Invest www.gtai.de Highlight: Berlin www.berlin.de Middle East Winner: Invest in Israel www.investinisrael.gov.il Highlight: Tel Aviv www.investinisrael.gov.il Africa Winner: NIPC, Nigeria www.nipc.gov.ng Highlight: Lagos www.nipc.gov.ng
DEFENSE Latin America and Caribbean Winner: Invest Chile www.investchile.gob.cl Highlight: Santiago de Chile www.investchile.gob.cl North America Winner: SelectUSA www.selectusa.gov Highlight: Texas www.businessintexas.com Asia - Pacific Winner: Invest India www.investindia.gov.in Highlight: Maharashtra www.midcindia.org Europe Winner: Germany Trade & Invest www.gtai.de Highlight: Bavaria www.invest-in-bavaria.com Middle East Winner: Invest in Israel www.investinisrael.gov.il Highlight: Tel Aviv www.investinisrael.gov.il Africa Winner: InvestSA, South Africa www.investsa.gov.za Highlight: Gauteng www.ggda.co.za
EDUCATION Latin America and Caribbean Winner: ProColombia www.procolombia.co Highlight: Bogota www.investinbogota.org North America Winner: Invest in Canada www.investcanada.ca Highlight: Ontario www.investinontario.com Asia - Pacific Winner: EDB Singapore www.edb.gov.sg Highlight: Singapore www.edb.gov.sg Europe Winner: Business Sweden www.business-sweden.se Highlight: Göteborg www.businessregiongoteborg.com Middle East Winner: Invest Saudi, Saudi Arabia www.investsaudi.sa Highlight: Riyadh www.investsaudi.sa Africa Winner: GIPC, Ghana www.gipcghana.com Highlight: Accra www.gipcghana.com
ELECTRONICS Latin America and Caribbean Winner: Apex-Brasil www.apexbrasil.com.br Highlight: Sao Paolo www.investe.sp.gov.br North America Winner: SelectUSA www.selectusa.gov Highlight: California www.businessportal.ca.gov Asia - Pacific Winner: KOTRA, Korea www.kotra.or.kr Highlight: Gyeonggi www.gg.go.kr Europe Winner: Business France www.businessfrance.fr Highlight: Lyon www.aderly.com Middle East Winner: Dubai FDI, UAE www.eia.gov.ae Highlight: Dubai www.dubaifdi.gov.ae Africa Winner: Invest in Morocco www.invest.gov.ma Highlight: Tangier www.invest.gov.ma
ENVIRONMENT Latin America and Caribbean Winner: Invest Chile www.investchile.gob.cl Highlight: Santiago de Chile www.investchile.gob.cl North America Winner: Invest in Canada www.investcanada.ca Highlight: Ontario www.investinontario.com Asia - Pacific Winner: Austrade, Australia www.austrade.gov.au Highlight: New South Wales www.invest.nsw.gov.au Europe Winner: Business Finland www.businessfinland.fi Highlight: Tampere www.businesstampere.com Middle East Winner: Abu Dhabi Investment Office www.eia.gov.ae Highlight: Abu Dhabi www.investinabudhabi.ae Africa Winner: InvestSA, South Africa www.investsa.gov.za Highlight: Cape Town www.investcapetown.com
FINANCE Latin America and Caribbean Winner: Apex-Brasil www.apexbrasil.com.br Highlight: Sao Paolo www.investe.sp.gov.br North America Winner: SelectUSA www.selectusa.gov Highlight: New York www.esd.ny.gov Asia - Pacific Winner: Invest in China www.fdi.gov.cn Highlight: Beijing www.fdi.gov.cn Europe Winner: Dept for International Trade, UK www.invest.great.gov.uk Highlight: London www.invest.great.gov.uk Middle East Winner: Abu Dhabi Investment Office www.investinabudhabi.ae Highlight: Abu Dhabi www.investinabudhabi.ae Africa Winner: NIPC, Nigeria www.nipc.gov.ng Highlight: Lagos www.nipc.gov.ng
FOOD Latin America and Caribbean Winner: CINDE, Costa Rica www.cinde.org Highlight: San Jose www.cinde.org North America Winner: SelectUSA www.selectusa.gov Highlight: Montana www.business.mt.gov Asia - Pacific Winner: Austrade, Australia www.austrade.gov.au Highlight: New South Wales www.invest.nsw.gov.au Europe Winner: Invest in Russia www.investinrussia.com Highlight: Moscow www.investinrussia.com Middle East Winner: JIC, Jordan www.jic.gov.jo Highlight: Aqaba www.aqabazone.com Africa Winner: KenInvest, Kenya www.invest.go.ke Highlight: Nairobi www.invest.go.ke
HOSPITALITY Latin America and Caribbean Winner: InvesTT, Trinidad and Tobago www.investt.co.tt Highlight: Tobago www.investt.co.tt North America Winner: SelectUSA www.selectusa.gov Highlight: New York www.esd.ny.gov Asia - Pacific Winner: BOI, Sri Lanka www.investsrilanka.com Highlight: Colombo www.investsrilanka.com Europe Winner: Invest Cyprus www.investcyprus.org.cy Highlight: Nicosia www.investcyprus.org.cy Middle East Winner: Ithraa, Oman www.ithraa.om Highlight: Muscat www.ithraa.om Africa Winner: Invest in Morocco www.invest.gov.ma Highlight: Casablanca www.smit.gov.ma
ICT & AI Latin America and Caribbean Winner: ProColombia www.procolombia.co Highlight: Bogota www.investinbogota.org North America Winner: SelectUSA www.selectusa.gov Highlight: California www.businessportal.ca.gov Asia - Pacific Winner: Invest India www.investindia.gov.in Highlight: Hyderabad www.apedb.gov.in Europe Winner: ICEX, Spain www.investinspain.org Highlight: Madrid www.investinspain.org Middle East Winner: Invest in Israel www.investinisrael.gov.il Highlight: Tel Aviv www.investinisrael.gov.il Africa Winner: NIPC, Nigeria www.nipc.gov.ng Highlight: Lagos www.nipc.gov.ng
INFRASTRUCTURE Latin America and Caribbean Winner: ProInversión, Peru www.proinversion.gob.pe Highlight: Lima www.proinversion.gob.pe North America Winner: Invest in Canada www.investcanada.ca Highlight: British Columbia www.britishcolumbia.ca Asia - Pacific Winner: MIDA, Malaysia www.mida.gov.my Highlight: Selangor www.investselangor.my Europe Winner: Innovation Norway www.innovasjonnorge.no Highlight: Oslo www.oslobusinessregion.no Middle East Winner: GAFI, Egypt www.investinegypt.gov.eg Highlight: Cairo www.investinegypt.gov.eg Africa Winner: GIPC, Ghana www.gipcghana.com Highlight: Accra www.gipcghana.com
INNOVATION Latin America and Caribbean Winner: ProColombia www.procolombia.co Highlight: Bogota www.investinbogota.org North America Winner: SelectUSA www.selectusa.gov Highlight: California www.businessportal.ca.gov Asia - Pacific Winner: Invest India www.investindia.gov.in Highlight: Hyderabad www.apedb.gov.in Europe Winner: Dept for International Trade, UK www.invest.great.gov.uk Highlight: London www.invest.great.gov.uk Middle East Winner: Invest in Israel www.investinisrael.gov.il Highlight: Tel Aviv www.investinisrael.gov.il Africa Winner: GIPC, Ghana www.gipcghana.com Highlight: Accra www.gipcghana.com
LIFE SCIENCES Latin America and Caribbean Winner: ProColombia www.procolombia.co Highlight: Bogota www.investinbogota.org North America Winner: SelectUSA www.selectusa.gov Highlight: Michigan www.michiganbusiness.org Asia - Pacific Winner: Invest India www.investindia.gov.in Highlight: Hyderabad www.apedb.gov.in Europe Winner: SGE, Switzerland www.s-ge.com Highlight: Basel www.s-ge.com Middle East Winner: Dubai FDI, UAE www.eia.gov.ae Highlight: Dubai www.dubaifdi.gov.ae Africa Winner: InvestSA, South Africa www.investsa.gov.za Highlight: Cape Town www.investcapetown.com
MANUFACTURING Latin America and Caribbean Winner: ProInversión, Peru www.proinversion.gob.pe Highlight: Lima www.proinversion.gob.pe North America Winner: SelectUSA www.selectusa.gov Highlight: New Jersey www.njeda.com Asia - Pacific Winner: Vietnam Trade Promo Agency www.vietrade.gov.vn Highlight: Hanoi www.vietrade.gov.vn Europe Winner: Invest in Turkey www.invest.gov.tr Highlight: Istanbul www.invest.gov.tr Middle East Winner: JIC, Jordan www.jic.gov.jo Highlight: Aqaba www.aqabazone.com Africa Winner: InvestSA, South Africa www.investsa.gov.za Highlight: Durban www.durban.gov.za
MARITIME Latin America and Caribbean Winner: Invest Chile www.investchile.gob.cl Highlight: Antofagasta www.investchile.gob.cl North America Winner: Invest in Canada www.investcanada.ca Highlight: British Columbia www.britishcolumbia.ca Asia - Pacific Winner: New Zealand www.newzealandnow.govt.nz Highlight: Tauranga www.newzealandnow.govt.nz Europe Winner: Innovation Norway www.innovasjonnorge.no Highlight: Oslo www.innovasjonnorge.no Middle East Winner: Ministry of Commerce, Qatar www.moci.gov.qa Highlight: Doha www.moci.gov.qa Africa Winner: TIC, Tanzania www.tic.go.tz Highlight: Dar es Salaam www.tic.go.tz
MINING Latin America and Caribbean Winner: ProInversión, Peru www.proinversion.gob.pe Highlight: Junín www.proinversion.gob.pe North America Winner: Invest in Canada www.investcanada.ca Highlight: Quebec www.investquebec.com Asia - Pacific Winner: Austrade, Australia www.austrade.gov.au Highlight: Western Australia www.jtsi.wa.gov.au/invest-in-wa Europe Winner: Invest in Russia www.investinrussia.com Highlight: Sverdlovsk www.investinrussia.com Middle East Winner: Invest Saudi, Saudi Arabia www.investsaudi.sa Highlight: Wa’ad Al-Shamal www.investsaudi.sa Africa Winner: EIC, Ethiopia www.investethiopia.gov.et Highlight: Addis Ababa www.investethiopia.gov.et
OIL AND GAS Latin America and Caribbean Winner: InvesTT, Trinidad and Tobago www.investt.co.tt Highlight: Tobago www.investt.co.tt North America Winner: SelectUSA www.selectusa.gov Highlight: Texas www.businessintexas.com Asia - Pacific Winner: Kazakh Invest, Kazakhstan www.oldinvest.zed.kz Highlight: Astana www.oldinvest.zed.kz Europe Winner: Dept for International Trade, UK www.invest.great.gov.uk Highlight: Scotland www.sdi.co.uk Middle East Winner: Ministry of Commerce, Qatar www.moci.gov.qa Highlight: Doha www.moci.gov.qa Africa Winner: NIPC, Nigeria www.nipc.gov.ng Highlight: Lagos www.nipc.gov.ng
REAL ESTATE Latin America and Caribbean Winner: Apex-Brasil www.apexbrasil.com.br Highlight: Sao Paolo www.investe.sp.gov.br North America Winner: SelectUSA www.selectusa.gov Highlight: California www.businessportal.ca.gov Asia - Pacific Winner: Kazakh Invest, Kazakhstan www.oldinvest.zed.kz Highlight: Astana www.oldinvest.zed.kz Europe Winner: Invest Cyprus www.investcyprus.org.cy Highlight: Nicosia www.investcyprus.org.cy Middle East Winner: GAFI, Egypt www.investinegypt.gov.eg Highlight: New Capital Region www.investinegypt.gov.eg Africa Winner: Rwanda Development Board www.rdb.rw Highlight: Kigali www.rdb.rw
RETAIL Latin America and Caribbean Winner: Apex-Brasil www.apexbrasil.com.br Highlight: Rio de Janeiro www.apexbrasil.com.br North America Winner: SelectUSA www.selectusa.gov Highlight: Washington www.choosewashingtonstate.com Asia - Pacific Winner: Invest in Mongolia www.investmongolia.gov.mn Highlight: Ulaanbaatar www.investmongolia.gov.mn Europe Winner: Invest in Russia www.investinrussia.com Highlight: Moscow www.investinrussia.com Middle East Winner: Dubai FDI, UAE www.eia.gov.ae Highlight: Dubai www.dubaifdi.gov.ae Africa Winner: CEPICI, Côte d'voire www.cepici.gouv.ci Highlight: Abidjan www.cepici.gouv.ci
SERVICES Latin America and Caribbean Winner: CINDE, Costa Rica www.cinde.org Highlight: San Jose www.cinde.org North America Winner: SelectUSA www.selectusa.gov Highlight: New York www.esd.ny.gov Asia - Pacific Winner: EDB Singapore www.edb.gov.sg Highlight: Singapore www.edb.gov.sg Europe Winner: Dept for International Trade, UK www.invest.great.gov.uk Highlight: London www.invest.great.gov.uk Middle East Winner: Bahrain EDB www.bahrainedb.com Highlight: Manama www.bahrainedb.com Africa Winner: NIPC, Nigeria www.nipc.gov.ng Highlight: Lagos www.nipc.gov.ng
TELECOMS Latin America and Caribbean Winner: Uruguay XXI www.investinuruguay.uy Highlight: Montevideo www.investinuruguay.uy North America Winner: Invest in Canada www.investcanada.ca Highlight: British Columbia www.britishcolumbia.ca Asia - Pacific Winner: Invest India www.investindia.gov.in Highlight: Mumbai www.investindia.gov.in Europe Winner: ICEX, Spain www.investinspain.org Highlight: Madrid www.investinspain.org Middle East Winner: Dubai FDI, UAE www.eia.gov.ae Highlight: Dubai www.dubaifdi.gov.ae Africa Winner: EIC, Ethiopia www.investethiopia.gov.et Highlight: Addis Ababa www.investethiopia.gov.et
TRANSPORT Latin America and Caribbean Winner: Apex-Brasil www.apexbrasil.com.br Highlight: Parana www.apdbrasil.org.br North America Winner: SelectUSA www.selectusa.gov Highlight: Michigan www.michiganbusiness.org Asia - Pacific Winner: Invest India www.investindia.gov.in Highlight: Mumbai www.investindia.gov.in Europe Winner: Czech Invest www.czechinvest.org Highlight: Prague www.czechinvest.org Middle East Winner: Dubai FDI, UAE www.eia.gov.ae Highlight: Dubai www.dubaifdi.gov.ae Africa Winner: NIPC, Nigeria www.nipc.gov.ng Highlight: Lagos www.nipc.gov.ng
WATER Latin America and Caribbean Winner: Invest Dominica Authority www.investdominica.com Highlight: Dominica www.investdominica.com North America Winner: SelectUSA www.selectusa.gov Highlight: California www.businessportal.ca.gov Asia - Pacific Winner: BOI, Sri Lanka www.investsrilanka.com Highlight: Colombo www.investsrilanka.com Europe Winner: ABA – Invest in Austria www.investinaustria.at Highlight: Vienna www.investinaustria.at Middle East Winner: KDIPA, Kuwait www.kdipa.gov.kw Highlight: Kuwait www.kdipa.gov.kw Africa Winner: NIPC, Nigeria www.nipc.gov.ng Highlight: Lagos www.nipc.gov.ng
CEO OF THE YEAR AWARDS
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CORPORATE ART COLLECTING What role does art have in your company? Does it form a part of your give-back strategy? Is art collecting only for the blue-chip enterprises or can small and mid-sized companies also get involved? Do you need a consultant or can you deal directly with the artists?
Art and Commerce have always had a close relationship. The art
of millions to simply hundreds of dollars. This magazine serves
industry is a multi-billion dollar market that is buoyant at all
tens of thousands of companies , the average turnover of these
ends of the price spectrum. Artists have always been supported
companies is in excess of 10 million dollars. If we go with 30%
by entrepreneurs and in recent decades the trend has been
profitability that means that there is an average of $3 million
corporations building their own collections. It used to be the
dollars per year in profits - what if every one of the companies
giant financial institutions wanting to get their hands on a
that we serve invested 1% of their profits in art? That's a lot of
Michelangelo or Basquiat, but in recent years we have seen a
$30,000 supporting artists in what may qualify as tax-free CSR
shift towards real involvement by corporations - identifying
spend. You may choose to spend it on one single work of art or
emerging talent and supporting them by collecting their works,
you may want to purchase 30 different works of art at $1,000
the price appreciation being just a welcome consequence. All of
each. Suddenly you have the beginnings of your very own art
the above is besides the point which is that art is a healing force
gallery in that unused space that every company has in their
that radiates positive energy in any environment.
offices. Sure, there are additional costs such as security and insurance but that should be just a marginal addition to your
Art collecting is not yet recognised as a CSR activity. Perhaps
existing expenditure - I am guessing that you already pay for
because there is an exchange of money for the artwork, as
security systems and insurance, right?
opposed to typical giving back which doesn't involve getting something in return for business donations. Speak to any artist,
You don't need an art consultant. Sure, they are a prudent
while they are very happy to receive the financial boost, they
choice once you start spending the big bucks but if you are just
are just as thrilled to know that their artwork is collected by a
starting out then the only art consultant you need is your heart.
reputable company. Selling art validates the artist and justifies
Choose artworks that grab you and speak to you. If you have to
their sacrifices in more ways than just the receiving payment.
convince yourself that a work of art is great every time you see
Purchasing art from very talented artists that are on the cusp of
it then it really is not for you. There is art for everyone, gather a
something great could provide them with just the needed boost
collection and there will be something that resonates with each
to break through to prominence in their field.
and every one of your employees and visitors.
Why should art collecting only be for the large companies?
As a CSR action, collecting art serves 3 purposes:
More than anything, this self-limiting approach denies many
It helps to sustain the artist and supports their career.
artists the benefits of having access to the corporate market.
Your art collection is an appreciative asset.
There are artists with works at all price points - from hundreds
Artworks enhance your office for employees and guests. PAGE 204
How can you ensure your art collection wont lose money?
Purchasing art for your corporate collection is a safe bet when
All investments come with the risk of losses. Art as a long-term
doing it for the long term and applying those simple guidelines.
investment has performed strongly when compared with other
As long as you have acquired works from talented artists that
investment classes. Regardless of the price point, artworks tend
are on track to have solid careers then you should see strong
to retain their original value at the very least and in most
appreciation in value of their early works. If you factor in
instances they appreciate in value.
Pareto's principle, then just as most business leaders sign up to the understanding that 80% of sales come from 20% of clients
The key factors to look for when considering artworks for your
or sales people, then it should be a reasonable hope that 20% of
collection through an investment prism, are:
your corporate art collection will positively skyrocket in value.
- The quality of the artist's current and previous artworks. - The artist's CV/ Resume.
However as mentioned earlier in this article, the biggest benefit
- How passionate is the artist about art, will they stick with it?
of collecting art is the rejuvenative energy it will bring to your
- Consistency - does the artist produce great works regularly?
employees and those business visitors that come over for
- Media coverage, buzz and social media following.
meetings. More than ever, the healing power of art is needed in
- Who else has collected the artist?
our shared spaces in a post-COVID-19 world. PAGE 205
YOUR CORPORATE ART COLLECTION MICHELE KOUTRIS
ANDRZEJ M KARWACKI
Digital Artist who unleashes the full potential of digital painting.
Living in the SF Bay Area, he has a broad creative practice; his
Michele's works have gathered a large international following.
works are exhibited throughout The United States and Europe.
DARCY J. SEARS
A San Francisco Bay Area sculptor who has been working with
San Francisco-based abstract artist and astrologer who finds
clay and bronze for over 20 years.
inspiration in the symbolic language of astrology.
Based in Bregenz, Austria, Patrick is a master glass artist
Stephen has been telling stories through realistic fine art for
sculpting with this unique material for 23 years.
over 25 years. Galleried and highly respected in his field.
Based in Hamilton, Montana. A mixed-media artist. Her works
Based in Anacortes, USA. An architect and artist whose acrylic
are in the permanent collections of several museums.
works are inspired by the beauty of the natural environment.
Shoreham, UK based artist Louise V Durham has worked with
Contemporary painter at the intersection of modern painting,
glass for 15 years. Her work is inspired by her love of gardening.
mysticism, and traditional Chinese iconography.
An abstract realist painter known for using color as structure for
Colorado based colored pencil artist, who uses a combination
her high-key colored landscapes and prints.
of color and detail to create realistic drawings.
Painter based in Louisville, Kentucky, USA. His artwork can be
ÁINE is an installation artist, painter and designer based in
found in many private and public collections in the region.
Northern California. Working in thread, oils, and other media.
Oil Painter in Frisco, Texas. Winner of the Best of show at the
Based in Portland, USA. One of the top kiln-glass educators of
20th American Impressionist Society's Juried Exhibition 2019.
the day, his artworks can be found in collections worldwide.
Figurative sculpture artist in Texas. Her work has appeared in
Respected painter and sculptor based in San Francisco. Pamela
many prestigious shows throughout the United States.
has worked as an artist since 1967.
www.pamelaaxelson.com PAGE 206
SOME ARTISTS TO CHECK OUT CYNTHIA FAW
Seattle based watercolor artist who paints memories of
A committed creator, born in Uruguay. His creativity is applied
voyages through both natural and imaginary worlds.
to various techniques, creating his own personal style.
Based in the upper Midwest of the USA She creates distinctive
Abstract paintings of memories, moods and landscapes create a
sculptures from blown glass, kiln-formed glass, and metal.
dynamic experience for the viewer.
Texas based artist who combines abstract imagery, cartoon
Israel based photographer. He uses long exposure photography
drawing, and geometric patterns with a touch of cubism.
to show nature beyond what the naked eye can see.
CYNTHIA ROSE TOM
NANCY STAUB LAUGHLIN
Florida based self-taught contemporary abstract artist. Her art
An accomplished highly imaginative artist. She is represented in
is influenced by her travel to over 30 different countries.
numerous, collections, museums and galleries in the USA.
A self-taught artist currently working in alcohol ink and fluid
A surrealist who lives in Los Angeles. She views herself as a
acrylics. She has also explored watercolors and oil paintings.
celestial storyteller, rather than an artist.
Los Angeles based digital Painter. He manipulates photographs
A New York and Miami based contemporary artist whose mixed
into vibrant, arresting splashes of color.
media works can be found in several corporate collections.
BRENDA J WATSON
A self-taught mixed media artist. She has received several
An oil painter based in Colorado. She feels all artwork is unique
awards for her work.
in telling another story or another version of the same story.
Resin artist who creates colorful abstract paintings. Her artwork
A Spanish artist living and painting in Albuquerque, New
is displayed in public and private collections worldwide.
Mexico. His artwork employs a range of materials and styles.
THE FREQUENT ARTIST
A photographer living in Pennsylvania. Her work spans several
A visual artist from LA that specializes in incorporating color
genres including abstract, nature and travel photography.
with movement so the content presented has its individuality.
www.thefrequentartist.com PAGE 207
EXPLORE ART www.DESTIG.com