Prohoc Scope #3 (2/2015)

Prohoc Stakeholder Magazine 3TH Issue Fall 2015 www.prohoc.fi

The Power in You:

WELL-BEING AT WORK IS PRETTY MUCH A MENTAL GAME WELL-BEING IS AT THE CORE OF BUSINESS — 14

On the cover:

IN CONTROL OF THE ELEMENTS WHAT PROJECT MANAGEMENT REALLY MEANS? — 4

WORLD’S LARGEST PULP MILL PROJECT PROJECT 'OKI' — 12

Contents — #3 4

Project Management in Focus What is industrial project management today?

Understanding cultures, expectations, budgets and timeframes is an art.

7

News This years Energy Day in Vaasa brought us closer to the makers of tomorrow. We're also glad to announce EPCM cooperation with a new partner, Etteplan.

8

16

Wellbeing at work No pain, no gain – or is it so? How can we be healthier and happier, and still be productive?

The power is in you.

19

Holiday Season around the World Three spots, three different sets of customs. Still all share the same core value: family and friends.

20

Jakamo Smooth ramp-up of a supplier relationship – Jakamo app is building bridges over lack of knowledge.

Prohoc in Tampere We have set our foundation in the heart of Finnish industry. Tampere is home of great minds, innovators and pioneers.

Tastes of Indonesia We keep on roaming the dishes of the world. Read about the food culture of the “island nation".

11

Project OKI No human has ever built pulp mill this large.

Only the best of the best can pull it off.

Oil&Gas in Azerbaijan Short throwback story about the gold of the Caspian Sea – and how Prohoc is involved today.

10

12

22

Mining in Finland Let's take a deeper look at the mining industry in our homeland. Finland is a chest of many riches.

Prohoc Scope is a stakeholder magazine giving insight to the daily business and development of Prohoc Oy and its personnel. PUBLISHER: Prohoc Oy EDITOR-IN-CHIEF: Matti Manner ART DIRECTOR: Jonne-Pekka Stenroos/Staart COVER PHOTO BY: Mikko Lehtimäki PRINTED BY: Arkmedia, Vaasa, Finland. Papers and inks used are eco-friendly and produced responsibly.

2

Editorial from the Chief

CREDIBILITY — ESTABLISHED! Dear reader, thanks again for sparing a moment of your time for us.

In this issue, we tell you great things about what we have accomplished during the year of 2015 and more. You’ll be given an insight of how we ensure the best possible occupational wellbeing, something that has the highest priority for us at the moment. You’ll find our view of project management services, learn our augmented service offering for mining industry and some great projects we are participating.

Currently we are more than 120 project doers! 2015 was another year of steady growth and we’ve had the pleasure to hire many new Prohocians. We have grown to become a known player in the field of project services. I want to thank our customers for your trust and all of our team members for making this happen. It’s a proof of credibility.

Going into 2016, our customers will see us offering more value based services, such as project documentation and mid-scale EPCM services. We see that it is the right way to support our customers in their business by lowering their risk exposure and offering resource flexibility in this era of market and business turmoil.

During the last 12 months, we have filled some white spots in our competency map and invested in the wellbeing of our experts. It has been a great journey to start with and the feedback we get is highly positive. We keep investing in our doers and we know it will eventually be of great benefit for our customers. Becoming the greatest place to work is our primary goal.

Nearing the yearend, I want to wish all readers a great holiday season. Now, enjoy your read and please let us know what we can do better in any way!

Matti Manner

CEO

Sport enthusiast, yachtsman and all-around business engineer Matti is the chief executive officer of Prohoc. After traveling around the globe trying to find world class suppliers he is now navigating Prohoc to become one.

TWITTER: @MattiManner

3

A large number of Prohoc’s project professionals currently work around the globe when you read this. Here’s is Matias Träskbäck who focuses in Wärtsilä Service projects at the time.

PROJECT MANAGEMENT in FOCUS

4 Mikko Lehtimäki

The world is becoming increasingly project-driven. And as products, systems and solutions grow in complexity, a specific set of skills is needed to ensure that projects are successfully delivered on time. Communication, cooperation and information sharing are some of the key talents required in today’s networked world. This is the realm of the project management professional.

P

roject management is the ability to carefully plan, organize, and control resources in order to successfully meet specific goals and targets.

According to the Project Management Institute, a project is a temporary endeavor designed to produce a unique product, service or result with a defined beginning and end. It is usually a time-constrained undertaking, often restricted by funding or deliverables, which has been made in order to meet a unique set of goals and objectives, typically to bring about beneficial change or added value.

These definitions seem simple enough. There is an undertaking, for which there is a schedule, resources such as a workforce, capital and materials, and an expected outcome. All one has to do is to make sure that everyone follows the carefully laid plans to the letter and the end-result will be a success. Certainly in a perfect world this would work a charm! However, in the real world there is always the human factor to consider. In a single project there are dozens, if not hundreds or thousands of stakeholders on different levels. Each and every one of these project-team members has something to contribute or has some requirements that they demand from the project. Which is why every stakeholder poses a potential threat to the project success. Moreover, some stakeholders may not believe that the preset project objectives are right, or they may have interpreted them differently.

PROJECTS ARE DESTINED TO FAIL The new Fennovoima nuclear power plant (NPP) at Pyhäjoki, Finland, is currently Europe’s largest construction site. As construction is a project-driven industry, one would assume that they have a good project management model in place. After all, the project contains a unique product, it has a defined beginning and end, there are funding-constraints, and there is added value in the form of strengthening the domestic power industry. On the other hand, there are some critics who argue (illustrating their point with the infamous Olkiluoto 3 NPP) that there is no defined end to the project since the final disposal of radioactive waste remains unresolved, and that funding-constraints don’t apply; once started the construction work has to be finished at any cost. Furthermore, it won’t bring about any beneficial change as it destroys the nature and increases the country’s dependency on foreign non-renewable fuel sources.

Planning, motivating and controlling the resources in a project have become increasingly difficult tasks today. This is due to the fact that projects are often segmented into dozens or hundreds of smaller areas, most of which are awarded to the lowest bidder (sometimes regardless of their ability to cope with the task at hand). As a result, the chain of command and big picture become increasingly blurred, particularly when the sub-contractors begin outsourcing parts of their own work. Continues on next page ≥

5

6

NEWS

People from different ethnic, cultural and ed- tural and ethnic awareness on top of technical, ucational backgrounds fill the project site to analytical and business skills. do their own part of the project without fully understanding how it affects other project PROJECT SUPPLIER – TO BE OR NOT TO BE participants or what the interface between Today, corporations are increasingly positionthem actually is. ing themselves either as project suppliers or The third requirement of efficient project product manufacturers. Undoubtedly, a project management, i.e. meeting specific success supplier’s role is clearly the more difficult of criteria, becomes virtually impossible unless the two. Their survival lies in their ability to every single project participant has a crystal solve customer challenges by combining their clear picture of their role and the acceptance own expertise with that of their supply chain. criteria of their deliverables. If we were to focus Success is measured project-by-project and a on the Olkiluoto 3 NPP debacle mentioned ear- single failure can topple them. On the other lier, it appears that problems may have arisen hand, their willingness to absorb customer risk when the French main contractor allegedly is rewarded by higher returns. failed in telling the Product compaGerman automation nies, in turn, concenBESIDES STANDARD supplier that the actrate on the developceptance criteria for COMMUNICATION, LARGE ment and efficient the automation sysmanufacturing/ PROJECTS TODAY REQUIRE tem actually came importing and marfrom the Finnish nu- A LOT OF CULTURAL AND keting of goods and clear authorities and ETHNIC AWARENESS ON TOP commodities. Connot from them. This sumer products are oversite has resulted OF TECHNICAL, ANALYTICAL sold directly, while in severe delays and investment goods AND BUSINESS SKILLS. a multi-billion euro are delivered to syslaw suit. tem integrators, who incorporate them into their supply chain or COMMUNICATION IS THE KEY to the end-users with the help of a project The discrepancies mentioned above all boil management company, such as Prohoc. down to three factors; communication, comProhoc provides project management (PM), munication and communication. Firstly, com- engineering, procurement, and construction munication with external stakeholders during management (EPCM) as well as other projthe initial planning stages of a project is need- ect management services to both large-scale ed, at least to win over local public opinion, industrial investment projects and mid-size and preferably a larger audience when it comes EPC projects. PM Service is about managing a to environmental or risk management issues. project on the customer's behalf. While Prohoc Secondly, communication is needed when it provides a project team and full coordination, comes to sharing the project information be- the customer can focus on their core business. tween the participants in an efficient manner, EPCM is a contract arrangement, where the thus ensuring that everyone fully understands customer defines the scope, budget, quality their roles and responsibilities. Thirdly, com- demand and project duration and Prohoc demunication is needed to link the actions of livers the project, while the customer procures every single employee and sub-contractor the required systems, solutions and materials to the common goal, i.e. the success of the directly. In EPC projects Prohoc assumes full project. While the first point falls squarely on responsibility. the shoulders of the company leadership, the Prohoc draws from more than 20 years second and third points are the nuts and bolts of experience (over 3000 man-years) in inof project management work. ternational projects to ensure that projects When considering communication, it is are delivered on time and within budget. worth remembering the old saying ‘when com- Our cooperation and communication skills munication fails, the blame should be placed are enhanced by the use of modern project on the speaker’. Besides standard communica- management tools, such as the Jakamo online tion, large projects today require a lot of cul- collaboration platform.

Energy Day 2015

New Partnership

PITCHING FOR TOMORROW The Energy Day is an event arranged annually by Vaasa Energy Institute (VEI). This event functions as a meeting place for university & polytechnic students and companies working within the energy industry.

The event aims at highlighting all the latest options offered by the energy industry on a local, national and international level.

During the event, students can familiarize themselves with the participating companies and other organizations at their stands during short company presentations as well as on the pages of the Energy Day magazine, which will be published shortly before the event. The Energy Day is the most significant recruitment event targeted at local academic students.

The Energy Day is a great opportunity for students to familiarize themselves with the companies operating within the energy industry and to meet the experts personally. Because the organizer wants to encourage students to consider the energy industry from the point of view of it being a platform to launch a career or research, there are several organizations present at the event offering excellent opportunities for future vacancies and research opportunities.

In 2015, Prohoc participated for the second time and the results are great. “It is nice to notice that so many students and professionals are interested in our company. We are proud to be part of the event!” Iiro Wesslin says.

Prohoc’s Tanja Lapinjoki and Alma Kangas are enlighting University students about the company.

PROHOC AND ETTEPLAN ESTABLISHED A JOINT OFFERING FOR EPC AND EPCM PROJECT DELIVERIES! Prohoc and Etteplan offer EPCM services for the customers’ investment projects. “We can take full responsibility of basic and detailed engineering and design, tenders, sourcing, contract negotiations, implementation and supervision. Commissioning and training can also be included in the delivery.” CEO Matti Manner says.

Both companies will focus on what they know best: Etteplan in design engineering and Prohoc in project and site management and commissioning.

Contracting, sourcing and final documentation are done in close cooperation. In this way the EPCM value chain remains intact as tasks are attended from a cross-functional angle, rather than just from design or project management viewpoint.

The newly formed EPCM service model ensures clearly defined responsibility areas, better control over the total project life cycle and flexibility in resourcing. The benefit for the customer is less burden due timely and cost-efficient project delivery.

7

Oil&Gas in Azerbaijan

GOLD of The CASPIAN SEA Prohoc has a wealth of experience in different industries and projects across the globe. Oil industry is no exception.

Upgrading a 30-yearold oil rig is yet another example of Prohoc’s multi-disciplinary expertise. Our CEO, Matti Manner sums up the story so far.

8 Mikko Lehtimäki

IN THE HEARTH OF OIL DRILLING HISTORY Although the first traces of oil date all the way back to ancient Mesopotamian cultures, Azerbaijan and Baku are considered the birthplace of modern oil industry. Its history with industrial petroleum production dates all the way back to the middle of the 19th century. In 1846 the first industrial oil well started production in Baku.

There are some well know stories about important companies and businessmen taking their first steps in Baku. The famous humanitarians and respected businessmen, the Nobel brothers, were the ones who played a crucial role in the dawn of oil industry, covering more than 50% of the world’s oil production by their Baku-centered Branobel Oil Company. Sir Marcus Samuel, a British aristocrat, founded Shell on the same shores in 1897.

Besides great companies, many of the technology innovations in oil industry originate from Baku. Among others, the Nobel brothers were very keen on developing drilling and transportation technologies. They built the first oil tanker in 1877, introduced railway tanks in 1883 and later contributed to the first oil pipeline in order to boost oil exports to Europe.

DAWN OF THE 20TH CENTURY There was a steady rise in production volumes until World War I. In the early 1920s oil industry was nationalized and all oil exported to Russia. There was remarkable growth and technological development in oil drilling during the decades preceding World War II. During the war, Baku was strategically very important, supplying petroleum to the forces fighting against Nazi Germany.

After WWII, oil volumes from onshore wells were shrinking due to heavy utilization rates and under-investments during the war time. This led to offshore exploration and the first offshore well finally began production 1949 in ‘Oily Rocks’ some 100km from the shore of Baku. The 1960s and 70s were booming time for offshore exploration with multiple new oil and gas fields found and new offshore oil rigs constructed.

INDEPENDENT AZERBAIJAN ENTERS THE MARKET After the collapse of Soviet Union in 1991 and Azerbaijan finally gaining independence in 1993, oil industry had ground to an almost complete halt, before the country entered into “The Contract of the Century” with foreign investors. It included 20 PSA (production sharing agreement) contracts and over 50 billion euros in total investments from foreign companies in the UK, USA, Norway, Russia and Scotland.

At one time covering 90% of the world’s oil production, Azerbaijan is today only a minor supplier of petroleum products. Still, it is currently a remarkable center of investment activities. Major retrofit and replacements investments are required to modernize the offshore oil rig fleet built predominantly in the 1960s and 70s. ‘Dada Gorgud’ semi-submersible drilling rig is the first project for Prohoc in the Caspian Sea and could be the start of a long journey for the company in this region.

Meet ‘Dada Gorgud’. Age roughly 35 years. Occupation a semi-submersible drilling rig.

She was built partly in Finland. Having its major blocks manufactured at Rauma Repola shipyard in Rauma at the end of the 1970's. The rig was assembled in Askhastran under the Soviet oil and gas program at the beginning of the 80s. Measuring 66 by 62 meters in size and operating at drilling depths of 475 meters, it began drilling operations in 1984.

Prohoc has participated in a major modernization project carried out during 2015, including doubling the power generation output and installing new automation systems to control the drilling and ballast water systems. Prohoc has done more than 50,000 hours of site management and site engineering hours to complete the job. ‘Dada Gorgud’ finally sailed from the shipyard on 31 October. With major investments to extend the life cycle of the Caspian Sea offshore oil rigs pending, Prohoc is now in a strong position to offer similar services to all the major companies carrying out demanding modernization projects in the region.

9

Greetings from the site

DELICACIES FROM THOUSANDS OF ISLANDS I

ndonesia is the world’s biggest island nation. The country has more than 300 different ethnic groups scattered across 17 500 islands. Unsurprisingly, Indonesian cuisine varies a lot depending on the region, the religion, the season, the climate and the social class. The majority of the inhabitants of Indonesia are Muslim (86%), halal groceries are popular and pork is consumed less. In many regions, rice is the main ingredient, as well as coconut milk, fish, chicken and beef. A typical feature of Indonesian cuisine is the harmony of opposing tastes.

Spices are frequently used. The Maluku Islands are known throughout the world as the Spice Islands, since nutmeg, mace and cloves originally only grew there.

But not all Indonesian dishes are hot and spicy. Travel from island to island and you’ll find a vast selection of wonderful tastes!

One of the most well-known national Indonesian dishes is satay, a meat, fish, seafood or tofu skewer in a traditional sauce made of peanuts.

Another very popular traditional dish is nasi goreng, fried rice with chicken or shrimps.

And another, called rendang – a beef stew in a coconut sauce, cheered up with lime and spices such as cardamom – was chosen as the best dish in the world in a vote held by the American news network CNN. And here’s how you can cook it easily:

Rendang 1 tbsp

for 4

oil

400 g

beef or chicken, diced 65 g (half a jar) ready-to-use rendang curry paste 1 dl water Sear the meat in oil on a hot pan. Add rendang paste and water. Let the mix boil, stirring it occasionally, until the liquid has evaporated. Serve with rice or noodles. Selamat makan!

10

"Jakamo cloud service is designed for supply chain collaboration.

Jakamo is already used in 27 countries by companies, such as, ABB, Prohoc, Prima Power and Wärtsilä." Explore more at jakamo.net

Timo Rossi

HEAD OF SERVICE DESIGN, PARTNER JAKAMO LIMITED

SMOOTH RAMP-UP OF A SUPPLIER RELATIONSHIP Management of your company’s established business relationships can often be challenging. However, things can become even more difficult with a new business partner. This is because there is no knowledge about each other’s people, culture, processes, systems, technologies or ways of working.

A

Central European business unit of a global technology company uses Jakamo to ramp-up their supplier relationships, mostly in India and China. Let’s call them the Customer in this example. The ramp-up process is based on strong continuous collaboration, two-way information sharing between the parties, and mutual learning. The process consists of the following five steps: evaluation, training and instructions, prototypes & samples, quality inspection, and growth strategy & development.

The Supplier ramp-up starts with a careful evaluation of the Supplier, including offer requests, evaluation questionnaires, process audits and site visits. Secondly, the Customer’s specialisation of different disciplines includes training the Supplier’s people regarding quality, environment, health & safety, manufacturing, technologies, ways of working, and code of conduct to align the common practices according to the requirements.

Thirdly, the Supplier delivers some samples or prototypes that the Customer inspects and provides feedback

on at the fourth phase. Inspection involves often also third party inspectors. Finally, if everything goes well and the Supplier fulfils the Customer’s requirements, it is time for a growth strategy and development of the relationship. This step typically includes contracting, agreeing operational practices, forecasting and a continuous development plan.

As you can imagine, a lot of continuous collaboration and information sharing is required in order for this type of ramp-up process to succeed. The information needing to be shared is found in areas such as project plans, tasks, drawings, instructions, memos, and agreements between the companies and their people from different functions.

The reason that supplier ramp-up projects are managed with Jakamo applications (Projects, Requests, Orders, Audits and Library apps) is to ensure that a continuous channel exists for interaction as well as to keep all the required information in a manageable form at the same location, which is available for both parties whenever and wherever. Jakamo makes the supplier ramp-up smooth.

11

Key figures of OKI TOTAL COST

2.5 BILLION EUROS

1000 000 Amount of hectares of plantation land area for growing acacia wood

Big players

IN CO-OPERATION WITH PROHOC

12

2.5

M tonnes

ANNUAL

PRODUCTION CAPACITY OF PULP AND PAPER

Monster of a project

Project

’OKI’ Prohoc is active in Indonesia, one of the most significant projects in the country at the moment is OKI: world’s largest pulp mill project.

OKI requires tons of capital, thousands of square kilometers of land area and a huge workforce. A selection of world-class technology suppliers is essential to its success. As is project management support from Finland’s leading service supplier. Continues on next page ≥

13

STARTING FROM SCRATCH The sheer magnitude of the project is overwhelming; total cost 2.5 billion euros, annual production capacity 2.5 million tons of pulp and paper, 10,000 new direct and indirect jobs and close to a million hectares of plantation land area for growing fiber wood, in this case acacia. And above all, a building site in the middle of dense South Sumatran rain forest with no road, railway or waterway access. All this was made possible with the Indonesian governmental plan to develop the rural South Sumatran Island, APP’s willingness to invest and a 1.7 billion euro loan from China Development Bank. Work on this 2,800 hectare lot started in late 2014 by clearing the forested area, building a port for the incoming flood of construction material and laying the foundations for the mill itself as well as for the auxiliary buildings. The mill is expected to start production in late 2016 or early 2017.

Asia Pulp and Paper (APP), the owner of OKI, is one of the world’s largest pulp and paper companies. Started in 1972 with Tjiwi Kimia producing caustic soda, they now run operations across Indonesia and China with an annual combined pulp, paper, packaging product and converting capacity of over 19 million tons. Today, APP markets its products in more than 120 countries across six continents.

Continuing APP’s commitment to clean technology, OKI will use the most advanced environmental technologies and standards available in the world today.

Clean and self-sufficient energy generation from the pulp production process and wood bark gasification will power the mill. The new facility will also comply with the European Union’s standards for Integrated Pollution and Prevention Control (IPCC). OKI will only use plantation wood for its raw materials, and is committed to zero deforestation in its supply chain.

WORLD-CLASS PLAYERS A project of this size clearly cannot be supplied by one company, but rather it will be a collection of best-in-class technologies. World’s leading pulp, paper and energy technology companies, such as Mitsubishi Hitachi Power Systems, Andritz, ABB and Valmet have been chosen as

14

suppliers in this project. Incidentally, the latter three are also Prohoc’s customers from a long time.

Mitsubishi Hitachi Power Systems (MHPS) will deliver an order for four sets of 125 megawatt (MW) class steam turbines and generators. The steam turbines on order, in addition to serving as non-utility power generators to support the new paper mill's operations, will also provide steam that will be partially used in the pulp and paper production processes.

Andritz will supply the world’s largest recovery boiler. The total capacity of the High Energy Recovery Boiler (HERB) is about 50% higher than any other recovery boiler in operation today worldwide, reaching a black liquor firing capacity of 11,600 tons of dry solids per day. The maximum daily green electricity production of the boiler is equivalent to the average daily electricity power need of a European city of one million inhabitants. The order value amounts to approximately 120 million euros. The main components for the boiler are delivered from Warkaus Works and the project is also managed by Andritz’s business unit in Varkaus, Finland.

Valmet has recently signed a contract for the supply of key technology for the OKI project. Valmet's delivery includes two biomass gasifiers, two biomass boilers, an evaporation system, two lime kilns and two pulp dryers.

The evaporation system and pulp dryers to be supplied will be the largest in the world. The value of the order is approximately EUR 340 million. The project will be managed by the Valmet team, in Tampere, Finland.

ABB, the leading power and automation technology group, has received an order for the delivery of process electrification at a new OKI pulp mill. ABB will deliver medium and low voltage switchgears, distribution transformers, motors, drives and project services. The drives

TODAY, APP MARKETS ITS PRODUCTS IN MORE THAN 120 COUNTRIES ACROSS SIX CONTINENTS.

The Next-Generation Bioproduct Mill are produced in the world's largest drive factory located in Helsinki with the project being managed by ABB's unit in Vaasa, Finland.

PROHOC ON-SITE In the past, Prohoc has provided ABB, Andritz and Valmet site supervision services, documentation services and project management support in dozens of different projects all across the globe. No matter how remote the site or challenging the task, Prohoc’s experienced and multi-disciplined experts have risen to the challenge to deliver high-quality services enabling ontime and in-budget deliveries for our customers.

Continuing this successful cooperation, Prohoc has been, once again, chosen to support the key suppliers in the OKI project.

For example: A civil works supervisor will ensure that there is a solid foundation for the Andritz equipment to build on. An automation and instrumentation supervisor will make sure that the Valmet boilers and gasifiers operate without a hitch and documentation specialists at Tampere make sure that the project documentation is in order.

And an electrical supervisor for ABB oversees that all the plans, as well as international, national and company standards are followed meticulously. Together our experts play a key role in coordinating our customer’s deliveries, installation and commissioning activities on-site.

Planning Ahead Metsä Fibre is currently building the largest pulp mill in the northern hemisphere in Äänekoski, Finland. This next generation bio product mill has an annual capacity of 1.3 million tons of pulp, as well as tall oil and turpentine, among other bio products. All side streams from the bio product mill are planned to be utilized in the ecosystem that will be formed by various companies around the mill. The mill will create close to 6,000 direct and indirect jobs and this 1.2 billion euro investment is expected to begin production by the end of 2017. Prohoc's long-standing customers Valmet and Andritz have been chosen as the main technology partners.

ÄÄNEKOSKI

Prohoc will participate, together with its customers, in the erection of this biggest ever investment in Finnish forest industry. We will also continue to travel the globe supporting our customers’ operations, where ever they may take us.

Work force Total cost aprox.

Annual production

+ 2 500 EUR 1.2 billion 1.3 million tonnes

Major suppliers

Valmet, Andritz

Project services

Prohoc

Read more

www.bioproductmill.com

15

Mikko Lehtim채ki

"HUMANE APPROACH IS ONE OF OUR TOP VALUES IN EVERYDAY WORK." Tanja Lapinjoki HR ASSISTANT

Alma Kangas HR MANAGER

16

THE POWER in YOU Job satisfaction is often best maintained by finding meaningful things to do beside the work itself.

F

or most of us, working life today is hectic. This is good physical shape. Others have hobbies like cooking certainly true when it comes to Prohocs’s employ- or socialising with the locals to help them relax. The ees: most of them work with tight schedules on project key seems to be all about having the right attitude and sites around the world. Nevertheless, Prohoc’s staff has finding the right balance between work and spare time a remarkably low average level of sick leave compared and finding meaningful things to do beside the work to other companies, and the manpower turnover is low. itself”, Alma Kangas concludes.

One reason for this is successful long-term and downto-earth HR work.

WELL-BEING IS AT THE CORE OF BUSINESS “We continually ask our employees how they are do- The work done by Prohoc’s employees, the Prohocians, ing. Every two months they fill in a questionnaire where is in some cases very different from the average ofthey evaluate their level of stress and fice job. Many of them work abroad well-being. If the result is below a AT PROHOC, SICK LEAVE at challenging project environments. certain point, we contact the person LEVELS ARE STILL LOW The schedules are often tight and the and do all we can to solve the problem ALTHOUGH THE AMOUNT workdays long. immediately”, says Alma Kangas, HR “This means that it is crucial to find OF EMPLOYEES HAS Manager of Prohoc. the right balance between work, sleep, INCREASED MORE THAN exercise and other pursuits. For us at There are quite many of Prohoc’s employees who constantly feel that 40 PERCENT IN A YEAR. HR, the challenge is to provide our their working ability is on top, accordemployees with the sense that we are ing to the questionnaires. close to them and that we support them, although we are “We wanted to know what they are doing differently sometimes separated by long geographical distances”, and if there was something to be learnt from those who says Alma Kangas. almost never feel stressed. We asked them how the good Like many other modern companies, Prohoc has reworking condition is achieved and maintained and then alised that occupational well-being is profitable for the shared the advice for everybody.” company. If the employees are healthy and in good spirProhoc HR was grateful for the interesting answers its, it influences their work positively and people work it received. A common feature for these individuals is more efficiently. Based on this fact Prohoc has recently that they are able to get their mind off work. invested heavily in the occupational well-being area, by “Many of them exercise a lot and are therefore in Continues on next page ≥

17

strengthening HR resources to ensure a more close-knit back office support highlighting competence management.

“In recent years, occupational well-being has increasingly become part of our strategic leadership, which means that it is at the core of the business and that it is carried out in a systematic way”, says Alma Kangas.

The work has also started to bear fruit: sick leave levels are still low although the amount of employees has increased more than 40 percent in a year. Moreover, the employees also take a more active part in the self-evaluation than before. They are also more interested in their own health, perhaps influenced by the global wellness trend.

40 075 KILOMETRES In November 2015, Prohoc launched a new well-being campaign to inspire employees to take care of themselves. All employees are given the chance to participate in the campaign, where everybody’s daily activities are counted and summarized in the HeiaHeia app. The first goal is to “walk around the globe” together.

“We will do our best to inspire people to participate. I believe it is a good goal to walk around the globe

18

together, as it means that everybody would walk three kilometres a day.

That’s not too much, right? The idea is to encourage people to participate by telling them the situation of our joint efforts at the moment. Telling them that hey, we’re already in Siberia, so keep on walking!”

The company management will participate in the campaign by doing something very challenging if the goal is reached. In this way they want to show their strong commitment to occupational well-being. The idea of the campaign is to create a sense of unity and promote exercise, as it is evident that physical and mental well-being go hand in hand.

“The purpose of all our work is to create a laid-back open atmosphere, which supports occupational well-being”, Alma Kangas states.

And how does Kangas know when she has succeeded?

“It always makes me happy when an employee gets an aha moment and starts to live a healthier life. It doesn’t have to be anything big, it can just be that someone starts to take the stairs instead of the elevator, or starts to drink two litres of water a day instead of ten cups of coffee. If someone feels that we have made the transition easier, it shows that we are doing things right.”

"IN RECENT YEARS, OCCUPATIONAL WELL-BEING HAS INCREASINGLY BECOME PART OF OUR STRATEGIC LEADERSHIP, which means that it is at the core of the business and that it is carried out in a systematic way" Alma Kangas HR MANAGER

Henri Rautanen

Teuvo Palokangas

Jarmo Tuohimaa

CIVIL WORK SUPERVISOR, MEXICO

AUTOMATION SUPERVISOR, POLAND

ELECTRICAL SUPERIOR, FINLAND

“When I get home from work, I try not to switch on the TV or computer. Instead I prefer to go running, swimming or going to the gym. For me well-being is all about finding the right balance between work, spare-time and keeping in touch with friends and family."

“If I feel stressed, it helps a lot to take a little break and go for a walk or do something else to get your mind off things. After that it’s easier to see things from the funny side. Humour is very important to me and it is a great way to keep up a good spirit at work.”

“In 2013 when I worked in Jordan, I started to go to the gym regularly four times a week.

Training at the gym has helped both my physical and my mental well-being. It’s also great socially, since it’s easy to get to know local people at the gym."

There are more than six billion of us in the world. In most places the end of the year and Christmas time brings something to celebrate. Read more about local customs in some of the countries Prohoc has had activities in lately.

Ho-ho-ho!

Russia

Brazil

The Caribbean

Christmas is celebrated on January 7 and it is mainly a religious event in Russia. Long services are held in Orthodox churches. Afterwards, families gather together for a traditional twelve-dish holy supper. Each dish honours one of the Twelve Apostles.

Christmas is a national holiday in Russia.

It is a part of a ten-day holiday including a non-religious celebration of New Year. On New Year’s Eve, Grandfather Frost – who is said to be an old friend of Santa Claus’, and his granddaughter, The Snow Maiden, come to bring children gifts and fulfil people’s secret wishes. The New Year is also celebrated with glasses of champagne – a toast is raised once an hour, starting when the New Year begins in the Russian Far East.

Being a part of the Southern Hemisphere, Brazil celebrates Christmas in the summer.

A Brazilian Christmas has many similarities with the European and North American Christmas, such as having a Christmas tree, gifts and Christmas cards. Houses are decorated and despite the tropical weather, the decorations often include themes of snow and winter. The main day is Christmas Eve with its family dinners, gift openings and going to church.

On Christmas Eve, parents decorate the Christmas tree and lock the children in a room until the tree is decorated. The children can then enter the room to see the tree for the first time. Setting up a Nativity scene is also common, and children are also allowed to help with it.

Food and rum play a big role at Christmas celebrations in the Caribbean. For example, in Puerto Rico, a spit-roasted pig is the star of the feast along with Puerto Rican eggnog.

In Jamaica, pork is also on the menu: a slowcooked ham seasoned with rum. Yum! During the holidays, the people of the Caribbean go well beyond their usual hospitality. Food, cakes and other goodies are prepared and served not only for the family but for other people too. For example: if a handyman has a job in a house in Christmas time, the family might insist that he sit and be served with food and drink.

19

At the heart of FINNISH INDUSTRY F

or a few years already, an increasing portion of Prohoc’s turnover has been coming from Tampere-based companies. In May 2015, Prohoc opened a customer service / sales office in the city centre in order to further enhance our ability to serve customers in this region effectively. Interestingly, although Tampere has traditionally been a major part of Finnish industry, especially in the area of industrial machinery, it is now turning more into a knowledge economy.

HISTORY Tampere was founded as a market place on the banks of the Tammerkoski rapids in 1775 by Gustav III of Sweden.

Four years later, 1 October 1779, Tampere was granted full city rights. At this time, it was a rather small town, consisting of only a few square kilometres of land.

The Scotsman James Finlayson can be considered the real industrialist of Tampere. He had visited the town in 1819 and recognized its potential for initiating industrial activities. Finlayson’s plan included a foundry for manufacturing different types of machinery for the handling of cotton, wool and linen, a manufacturing workshop, a refinery for processing hemp, linen, wool and cotton, as well as “other useful factories and manufacturing plants”.

In 1842, Tampere shifted into the mechanical industry, when Finland’s first paper machine was ordered from England for the (rag) paper mill in Tampere in 1856. WW2 reparations to the Soviet Union were heavily dependent on Tampere’s industry. In fact, Tampella pro-

20

Laura Tammisto/Studio Torkkeli

duced 14% of all reparations, Lokomo was also heavily involved. Later Metso and Valmet (among others) formed from these two influential companies.

PARTNERSHIP Prohoc has been a partner with large industrial project builders since 1996, starting out with somewhat Vaasa-based companies like Wärtsilä, ABB and Uponor. At the end of the last decade (2000’s), Prohoc started to capitalize on the know-how and vast experience gained from global projects by expanding into collaboration with other companies like Valmet, Metso, Outotec, Cargotec, Andritz and Konecranes. Our strong project knowledge and experienced workforce were well received by our newer customers. Nowadays, Prohoc’s customer portfolio consists of large companies working in mining, oil & gas, energy, cargo-handling and the process businesses, many of whom are based in Tampere.

"Tampere is a pretty good spot for a coffee-person like myself, lots of opportunities where and how to enjoy your cup."

Iiro Wesslin BUSINESS DEVELOPMENT DIRECTOR MAIN CONTACT IN TAMPERE

Facts about

TAMPERE Population

364,000 Second largest economic region in Finland

Area

4,977 km2 Part of the largest lake district in Europe

Education

Every 5th person in Tampere is a student. Totally over 40,000 university students and more than 34,000 other degrees

Prohoc’s customers Metso, Valmet, Andritz, Cargotec, Ahlstöm, Konecranes

ACTIVITIES Prohoc’s presence in Tampere has grown rapidly in recent years. At the moment around 20 project and documentation engineers work directly for Tampere-based companies and many more are involved with on-site project assignments around the globe. “Tampere is the place we are increasingly emphasizing in our current and future customer activities. Having an office next to our customers will enable us to act rapidly and be genuinely present 24/7 to support them.” Iiro Wesslin, Business Development Director of Prohoc states.

“We have been glad to notice that global companies trust us with major project activities. Our objective is to serve them with a value proposition that supports their strategic initiatives and gives them a more competitive edge. This will enable us to gain long-term strategic partnerships with these customers.“ Wesslin says.

Prohoc’s objective is to maintain the strong growth within the technical documentation business and to expand the sales of project management, consulting and on-site services. “At this early stage, our activities in Tampere look promising, with a lot of room for improvement of course.” Wesslin says.

Prohoc sees Tampere as one of the most important places to establish a presence in Finland. Geographically and business-wise, it is the heart of tomorrow’s industrial-Finland.

21

F

inland has a five-hundred-year history in mining. The industry has been part of Finland’s development from an agricultural periphery to one of the technologically most advanced nations in the world. Despite this legacy, mining industry is now under pressure from environmental and civic activist pressure groups.

HISTORY Iron production in Finland dates back to 500 A.D., when so called bog iron ore was collected from sand bottom lakes, smelted and forged to mainly agricultural household items. It would take another 1000 years before market demand and technological advances would see the beginning of a Finnish mining industry.

The first industrial scale mining operation was founded in Lohja in 1542. This Ojamo mine supplier a nearby Suitia ironworks with high quality iron ore, which was then processed into bar iron for easy transportation and re-processing. Iron bar manufacturing expanded fast and by year 1800 there were already over 30 ironworks in operation, mainly in Southern Finland.

Early 20th century saw the beginning of the second phase in Finnish mining. A vast copper ore body was discovered in Outokumpu in Eastern Finland. This kicked off a national mineral prospecting program, which has thus far resulted in over 270 mines being opened. Their total output has been over 250 million tons of ore. Mining has provided the raw material base for the country's metal industry, with significant processing and refining of copper and nickel concentrates at Harjavalta, zinc at Kokkola, chromium at Kemi, and of iron at Raahe.

Mining legislation reform in the mid-90s was the starting point the next phase in Finnish mining. Opening the market for foreign companies and new environmental legislation have attracted new investments with lower environmental impact, which has led to higher public acceptability.

PRESENT DAY Today there are still over 40 mines in operation. Mining industry employs directly close to 4,000 people and indirectly some 20,000 people. The total annually excavated volume is around 80 million tons, which translates to 2 billion euros in mining turnover.

Thanks to its geological know-how, high metal and industrial ore potential, well-developed infrastructure and stable political environment, Finland is a preferred environment for mining investments. There are currently around ten mining sites going through the initial evaluation phases. They represent a combined investment of some three billion euros.

FUTURE OF MINING Finland is currently positioning itself as a pioneer in Sustainable Acceptable Mining (SAM). The mining industry has faced public criticism regarding its water management and the release of effluents into the environment.

The Finnish Government and the industry itself have taken action to introduce a new greener approach to mining that would better address the public concerns.

The aim to increase the imperceptibility of mining in order to achieve socially, economically and environmentally sound and acceptable mining environment.

Finland also continues consistently to rank in the top ten for mining investments. Finland offers the mining sector security of tenure, highly skilled and well-educated workforce and easy access to mineral deposit map data, which lowers the threshold for exploration companies. Furthermore, overall government attitude is positive and pro-mining.

Mining activity is currently concentrated in gold, platinum group metals, base metals, diamonds and industrial minerals, but opportunities in many commodity products are still very much under-explored. Once the world economy recovers from its current slump, invest-

MINING in 22

The Main Metallogenic Zones of Finland

ments begin to flow, which in turn drives the commodity prices up. This positive spiral will induce further investments, also into mining.

But this time around, all the investments are made in economically, socially and environmentally sustainable manner.

One excellent example this sustainable operation is the new Mustavaara Mine. Their mission is to re-establish vanadium production in Finland by extracting vanadium from by-products of the Finnish and Swedish steel industry. This so called slag is the waste surplus material of steel production. By re-processing the slag, Mustavaara is extracting all the useful materials, e.g. vanadium, titanium and iron from the slag, while reducing the unusable waste quantity to a fraction.

by Geological Survey of Finland BASE METALS:

Co, Cu, Pb, Zn BASE METALS:

Ni

FERROUS METALS:

Fe

PRECIOUS METALS:

Ag, Au, Pd, Pt, Rh ENERGY METALS:

U, Th

SPECIAL METALS:

Be, Li, Mo, Nb, REE, Sc, Sn, Ta, W, Zr Dig deeper online: http://gtkdata.gtk.fi/MDaE/

VAASA

HELSINKI

PROHOC IS PART OF THE MINING SCENE Prohoc has worked on several mining sites in the past years. We have helped mine copper in Mongolia, gold in Senegal, ilmenite in Saudi-Arabia and Nickel in the Finnish Lapland, just to mention a few. Our multi-disciplined team of professionals has worked on several different fields from power generation to site electrification and from mechanical to chemical ore processing.

Prohoc continues to offer project management, consulting, resourcing and documentation services to mine owners and mining technology suppliers. In cooperation with Etteplan, we are now also able to offer EPCM services for the entire mining life cycle, as well as small and mid-scale EPC projects.

n Finland 23

PROJECT'S DONE THE RIGHT WAY PROMANAGEMENT PROCONSULTING PRORESOURCING PRODOCUMENTATION

Prohoc Oy Virtaviiva 8 F, FI-65320 Vaasa, Finland tel. +358 6 315 7700 Aleksanterinkatu 22 C, FI-33100 Tampere, Finland www.prohoc.fi FOLLOW US: @ProhocOy