Chip Mong Insee Cement Corporation

ENRICHING LIVES THROUGH PEOPLE, PRODUCTS AND BEST PRACTICES

CHIP MONG INSEE CEMENT CORPORATION

A Cambodian

CHAMPION

2 | Asia Outlook issue 43

CONSTRUCTION

CMIC brings a can-do attitude to Cambodian cement by assisting the country with quality products, community care and a local emphasis.

Nicolas George, CEO, explains the motive behind this mandate Writer: Jonathan Dyble | Project Manager: Josh Mann

F

our decades ago, any mention of Cambodia would be met with a solemn response.

1980 laid bare the aftermath of the horrific Khmer Rouge regime that had ruthlessly attempted to rewind the clock and turn the country into an agrarian society. In brief, it had been left in a state of disrepair, brutally claiming the lives of two million local people.

There is no question that scars from this period remain – the horror of those five years has been well documented as one of the greatest atrocities of the 20th century. Yet, gradually and admirably, the country has defied the odds rising from the ashes to become a laudable emblem of Southeast Asian prosperity.

In the past 40 years, Cambodia’s GDP skyrocketed from $716 million to $22 billion. And the Organisation for Economic Cooperation and Development (OECD) has forecast that this is just the beginning, predicting that similarly monumental strides will continue throughout the next decade and propel the country to upper middle-income status by 2030.

“Cambodia is thriving,” states Nicolas George, CEO of Chip Mong INSEE Cement Corporation (CMIC) – a company both capitalising on these economic tailwinds and epitomising the rapid national growth trajectory.

“The country is going through an unprecedented period of development that’s leading to a multitude of opportunities and attracting investors across various sectors. This creates a particularly dynamic environment with healthy competition, where any business looking to become a leader has to make a difference.”

CMIC itself has become a critical part of the construction ecosystem, viewed as being central to achieving these ambitious yet realistic aspirations.

Born from a joint venture between local company Chip Mong Group and Asia Outlook issue 43 | 3

CHIP MONG INSEE CEMENT CORPORATION Thai cement producer INSEE, the firm has leveraged the expertise of these two highly successful companies to become a market leader in Cambodia’s building materials industry.

“The current climate is ideal for our young company and team, providing them with plenty of opportunity to plant their footprint on Cambodia’s construction industry, challenge convention and let their imagination run wild,” George affirms.

PUTTING LOCAL PEOPLE FIRST As the CEO’s comments suggest, workforce empowerment forms a core part of CMIC’s culture.

The company recognises its role as not just an employer but equally an educator, its structure built specifically to provide development opportunities

across the board, benefitting everyone from its shop floor workers right through to the organisation’s leading executives.

“We strongly believe in giving our employees a sense of recognition and a purpose,” George states.

“Fundamentally, it is crucial for local industry sustainability.

“We know that a cement business cannot sustain without proper skills being available locally. It does not make sense to operate a large industrial facility that largely employs foreign workers. Therefore, we have always made the development of the local workforce a top priority and established the necessary structures and processes to support that vision.”

The company’s apprenticeship programme stands as a prime example of this ethos in practice.

CMIC – A BRIEF HISTORY

WASOL Group WASOL JSC is a leading engineering, procurement and construction (EPC) enterprise, delivering premium services and solutions for industrial and municipal water and wastewater treatment in Vietnam.

With three core brands – WASOL, Waschem and Rosol – comprising its ever-growing portfolio, the company is able to partake in a range of key market activities: • Design and build water and wastewater treatment plants Recommends appropriate technologies and optimal design for water treatment plants, and offers the right solutions using the best available technologies for wastewater treatment plants.

• Design and build cooling water system and flue gas treatment Leverages KleanSorb technology to handle most arising stringent sources, including coal-fired furnace, rice husk furnace and wood furnace.

On September 16, 2015, Chip Mong INSEE Cement Corporation was established by a joint venture to the value of $262 million.

• Trade and supply chemicals and equipment for water and other industries

60 percent of this was injected by Chip Mong Group – one of Cambodia’s largest corporations with over 30 years’ experience in the construction sector.

An authorised distributor for Hydrex Water Treatment Chemicals of Veolia Water.

The other 40 percent was provided by Thai Siam City Cement Corporation (INSEE) – an international organisation in Thailand with over 50 years’ experience, and cement factories spanning Thailand, Bangladesh, Sri Lanka and Vietnam.

“What makes us unique is that our local shareholder is the major one and that both shareholders have more than 30 years’ experience in building materials,” states George. “This shareholding provides excellent foundations to create a company with strong expertise which is also close to the local consumer.”

Today, CMIC produces advanced quality cements for both the retail and industrial market segments, all manufactured from well selected local raw materials and in line with world class quality control and assurance standards.

• Produce and supply residential water treatment systems With the most advanced water treatment and membrane technologies, different product configurations are developed to the serve various needs of valued clients – apartments, restaurants, villas and resorts, offices, schools, supermarkets, hospitals, laboratories, factories.

• Supply Purian DI Water Purian is pure water, also known as demineralised, deionised, DI water. It is manufactured with the most advanced technology today, and water quality is measured and controlled strictly according to WIM standards.

VISION: To be the most admired and trusted solution provider in the Cambodian cement industry, and beyond.

MISSION: To enrich the lives of customers and stakeholders through people, products and services by employing best practices at all times. www.wasol-vn.com

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WASOL Group is one of the top water and waste water one-stop solution providers with well-established reliability and strong client reference in South-East Asia. WASOL offers state-of-the-art technologies as an “Engineering, Procurement and Construction” (EPC) contractor for both industry and municipal turnkey projects in water and waste water treatment plants, cooling, chiller and boiler systems, and process reclaim applications. The company is also the manufacturer/distributor of ROSOL purified water drinking machines for household use, ultrapure water purifier for laboratories and the WASCHEM chemicals for various water and waste treatment demands.

The Group is operated by a group of MIB (Master of International Business) and engineers with comprehensive knowledge of water and waste water treatment and vast experience working in pan Asia Pacific markets including Japan, Malaysia, Philippines, Singapore, Thailand and Vietnam. With best in house technologies available, the challenge to achieve a green and smart choice between capital investment and operating cost can be reached. Typical technologies include: •

Water treatment: Advanced clarifier Compasedi, DMF/MMF/GAC, UF/pUF, NF/RO/sRO/HERO, CAT/AN/MB, EDR/EDI.

•

Waste water treatment: Advanced flotation OpFlo, Advanced clarifier Opsedi, Aerobic treatment ASR/MBBR, Anaerobic treatment UASB, Advanced Oxidization USO3, membrane technologies for waste water reclaim.

“WASOL is not only a place to work but also a second family for all of our employees to be proud of. It’s a place where we come together to share and enjoy the same beliefs about good things in life, to work dedicatedly and to make a better life for everyone.”

Mr. Quy Nguyen (Henry) CEO of WASOL Group

Cooling System

Differentiated values from WASOL Group: •

Expert engineering capability

•

Strong project execution and management system

•

Professional and zealous services

Waste Water Treatment Plant.

In long run pursuing off green solutions and sustainable development, WASOL Group is dedicated to bring high quality, advanced technologies and environment friendly products and services to valued clients all over the region.

WASOL Group Address: 1st Floor, Rubyland Tower, 04 Le Quat Street, Tan Thoi Hoa Ward, Tan Phu District, Ho Chi Minh City, Vietnam Phone: (+84) 28 396 108 84

Website: www.wasol-vn.com Email: info@wasol-vn.com

Ultrapure Water (UPW) Treatment Plant.

CHIP MONG INSEE CEMENT CORPORATION Here, CMIC selects 12 students from nearby communities every year, committing itself to train them as fully qualified technicians through a programme developed in partnership with the National Polytechnic institute of Cambodia.

“These students spend half their time in the classroom and the other half working in the field alongside our employees,” George reveals. “Upon completion of the programme, they receive a legitimately recognised formal diploma that can allow them to continue their studies to the next level if they so desire.”

Similar programmes are also offered to junior engineers, the organisation having hired a number of graduates as permanent in employees in 2019. And for existing employees, opportunities are likewise aplenty, CMIC ensuring channels for dialogue that staff members can use to request customised training in specific areas of personal interest are maintained.

“These are all ways in which we’re

able to recognise and empower the great contributions of our team alongside our competitive salary offering and bonus scheme,” George adds.

STRIVING TOWARDS SUSTAINABILITY The abundance of such initiatives is not to say that the company struggles with talent retention, however.

CMIC is a revered brand in Cambodia. And for good reason – its industry leading, state-of-the-art Touk Meas Plant has helped to characterise the company’s innovative presence alongside the legacies of its founding firms.

“The Touk Meas plant was designed with the most efficient technology available on the market. It has allowed us to pioneer the local cement industry by introducing application-based products that are more suitable for end users,” the Chief Exec comments.

“As an example, we recently began offering Camel Strong – a cement product featuring a better finish

FLSmidth As the market-leading supplier of engineering, equipment, and service solutions to customers in the global cement industry, FLSmidth is proud to contribute to Cambodia’s sustainable development by partnering with Chip Mong Insee Cement Corporation.

The partnership comprises of FLSmidth’s premium Pfister® DRW Rotor Weighfeeder, Pfister® FRW/ SRW Rotor Weighfeeder, GIROMAT™ EVO V8 Rotary Packer, POLIMAT® EVO 25 Palletizer, and Type-E Electrostatic Precipitators.

FLSmidth supports clients through our local offices in nine different locations across Asia.

For more information, please contact us at cement_Asia@FLSmidth.com.

Nicolas George, CEO

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www.flsmidth.com

CONSTRUCTION

C06 Factory of Ministry of National Defence Cambodia

C06 Factory of Ministry of National Defence Cambodia is a legal civil engineering explosive manufacturer, which is approved by Prime Minister Husen, Council For The Development of Cambodia and Ministry Of National Defence Cambodia, It was established by China Largesized enterprise with the Ministry of National Defence of Cambodia. C06 is specialised in supplying all kinds

of explosives, (Porous Prilled Ammonium Nitrate, TAN Emulsion Explosive, Modifying AN-FO Explosive, Seismic Explosive), and accessories in domestic and overseas of Cambodia and can provide a full range of blasting services. The annual production capacity could reach 30,000 MTS and C06 will become the industrial leader in Cambodian explosive Market.

ADDRESS No.4, St.552, Khan Toul Kork, Phnom Penh, Cambodia. FACTORY SITE National Road No.4, Kilometer 62.5, Cambodia TEL (855) 023-885660 EMAIL wellprospercambodia@hotmail.com

TOWARDS A SUSTAINABLE TOMORROW in the cement industry

For more than 137 years, we have challenged conventions and explored opportunities. We share our customers’ ambition, help them see the world from different angles, and bring better, more sustainable solutions with lowest possible environmental impact to light.

For more information visit www.flsmidth.com

Asia Outlook issue 43 | 7

CHIP MONG INSEE CEMENT CORPORATION and improved workability that we developed six months ago following thorough market research to ensure our customers’ insights were properly considered and addressed.”

Located some 125 kilometres south west of Phnom Penh in the country’s Kampot Province, the facility spans 110 hectares and produces up to two million tonnes of cement per annum.

Yet it is not just its manufacturing might that is impressive. Likewise, the facility has been built and continues to be upgraded with a clear roadmap for improved environmental sustainability in mind, as is verified by its brandnew Ecocycle division launched in December 2019.

“Simply put, the objective of this new entity is to provide a fully integrated solution for the processing of industrial waste in Cambodia. It is also a key step in our overall CO2 reduction roadmap,” George reveals.

“The response from the market has been amazing. We already have many

partners from which we collect waste, and we want to grow this activity rapidly, namely with a diversification in terms of the waste we can process as well as increasing our scope of service.

“Combined with the installation of a solar farm on the roof of our building and our water reservoir, we can proudly say that around 33 percent of our power is generated internally from renewable sources, solar and waste heat.”

RECOGNISING A WIDER RESPONSIBILITY CMIC’s responsible attitudes do not end here, however.

Aside from its emphasis on employee empowerment and environmental sustainability, the company partakes in a wider range of CSR initiatives overseen by a dedicated team that manages all stakeholder engagement activities.

“We have so many drives that it would take too long to go through them all,” the CEO muses.

LOCAL PARTNERSHIPS APLENTY How important are partner and supplier relationships to the success of your business?

Nicolas George: “On average we have more than 10,000 tonnes of material going in and out of our plant every day. In addition to that, we have a large volume of internal material movements, including a significant quantity of consumables, spare parts... I could go on.

“This represents a significant number of trucks, wagons, as well as suppliers that need to be coordinated. In the Cambodian context, where a few years back the cement industry was still very small, supply chains had to be developed from scratch. And CMIC spent a considerable amount of time working with this local supply base whenever possible, providing an opportunity to work with us and develop their businesses.

“As of today, except for very technical and specific items, most of our supply chain is handled with local partners. We would not have been able to ramp up our activities so quickly without the great support of our partners, and our objective for the coming years is to continue the journey towards a lower reliance on imports, developing local alternatives whenever it is feasible.”

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“However, I can share some highlights: we run regular road safety campaigns in partnership with local authorities and NGOs, support local schools through the construction of latrines, finance science clubs, and have our apprenticeship programmes for select students.

“We also work to improve the livelihood of local communities with infrastructure development, irrigation systems, health campaigns, new income generation programmes, mason certification programmes, and finally activities to increase environmental protection awareness and cleaning events that go hand in hand with our new waste management activity.”

Two years in the making, this extensive philanthropic remit has become a reflection of CMIC’s ethos that the firm can be proud of.

Indeed, its commitments have been duly recognised, most recently having received the 2019 CSR Award of EuroCham in Cambodia.

CONSTRUCTION

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CMIC in attendance at Cemtech, a leading industry event

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CHIP MONG INSEE CEMENT CORPORATION

CONSTRUCTION

One of CMIC’s key goals for 2020 is to increase its involvement in community activities

“Chip Mong is not only well respected because of the quality of its various services and products,” George comments. “It is also known for the positive impact that it has on the lives of local people, and we’re proud to carry that same spirit as we bear this same name, culture and values.”

Indeed, these attitudes will not waver moving forward.

In the eyes of the CEO, 2020 will see a large reduction in the number of imports from neighbouring countries across Cambodia, with local capacity

having reached new heights during 2019, now able to fulfil local demand.

This will make CMIC’s local emphasis easier to maintain as it moves through the coming year. Yet such is not the only ambition of the company, George reiterating the firm’s aims in his coherent conclusion.

“We like to be simple and clear as we believe this is the best way to engage everyone across the company,” he begins.

“Therefore, our ambitions and priorities are very straight forward: we want to reinforce our leadership

“Chip Mong is not only well respected because of the quality of its various services and products.

It is also known for the positive impact that it has on the lives of local people” position in the cement business, we want to accelerate the development of our Ecocycle division to further reduce our environmental footprint, and we want to become the reference in term of people development.”

CHIP MONG INSEE CEMENT CORPORATION Tel: + 855 (0) 23 216 380 info@chipmonginsee.com www.chipmonginsee.com

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CHIP MONG INSEE CEMENT CORPORATION No. 240 A Building, 2nd Floor, St. 271, Sangkat Beoung Tompun, Khan Mean Chey, Phnom Penh.

Tel: + 855 (0) 23 216 380 info@chipmonginsee.com www. chipmonginsee.com PRODUCED BY ASIA OUTLOOK MAGAZINE