SEP TEMBER 2018
BOLLORÉ LOGISTICS
Sunshine Insurance
Sustainability on a global scale
DISRUPTING WITH AI AND BIG DATA
MARSH
KANSAI AIRPORTS
Technology Revolution
Pascal Pipon on how Kansai Airports is transforming the passenger experience through digitalisation
Supporting business growth in Indonesia
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HOTELS FOR BUSINESS EVENTS
City Focus
NEW DELHI
24 – 26 September 2018 Suntec Convention Centre, Singapore www.terrapinn.com/subnets
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Executive Chairman GlobeNet
Chief Executive Officer Huawei Marine Networks
Dave Crowley
Mohamed Nasr
Brett Lay
Chief Technical Advisor Microsoft
AVP – EMEA Cable Development PCCW Global
Chief Financial Officer RTI Connectivity
Chief Executive Officer Aqua Comms
Bruce Neilson-Watts
Global Optical Architect Facebook
Linette Lee Chairperson, SJC2 consortium & Director, Submarine Cable Investment Singtel
Larry Schwartz Chief Executive Officer Seaborn Networks
Nanang Hendarno Chief Technology Officer TELIN
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FOREWORD
elcome to the first ever Asia-Pacific edition of Business Chief. This month, our cover feature investigates the exciting transformation underway at Kansai/Vinci Airports. Pascal Pipon, General Manager of Kansai Airports, discusses how the company is leveraging technology to enhance the passenger experience amid a tourism boom. “We aim to make the passenger journey as peaceful, easy and stress free as possible. We will be leveraging digital solutions such as self-service, mobile services and biometry,” says Pipon. Also in our September edition, we have the latest news and insight from Australia’s GapGEO as well as global communications group LEWIS, which has signed up to PricewaterhouseCoopers’ Tech She Can charter to encourage more women into STEM roles. For our City Focus, we have zoomed in on the Indian capital of New Delhi and we’ve also brought you a list of the best hotels for business events and meetings in APAC. Don’t forget to check out our other company features on global insurer Marsh’s Indonesia operations, KPMG, University of Tasmania, Bollore Logistics, Chayora, Masan Resources, Sunshine Insurance Group, Surbana Jurong and Telekom Malaysia. We hope you enjoy reading the issue as much as we have enjoyed putting it together, and welcome any feedback over on Twitter: @Business_Chief.
W
livia Minnock O Editor olivia.minnock@bizclikmedia.com
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CONTENTS
How Kansai Airports is transforming passenger experiences in Japan
GAP GEO: VIABLE EXPLORATION DEPTHS ARE REALLY VIABLE MINING DEPTH
24
08 34
LEWIS DRIVING CHANGE THROUGH TECH SHE CAN
E
46 City Focus
NEW DELHI 58
CONTENTS
120 KPMG
70 Marsh 88 Chayora
132 Sunshine Insurance Group
106 University of Tasmania
160 Masan Resources
178
144
Surbana Jurong Private Limited
192 Telekom Malaysia
Bollore Logistics
How Kansai Airports is transforming passenger experiences in Japan
08
WRIT TEN BY
CATHERINE S TURM AN PRODUCED BY
MIK E SADR
SEPTEMBER 2018
TECHNOLOGY
09
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KANSAI / VINCI AIRPORTS
Kansai Airports is undergoing a significant transformation. Pascal Pipon,General Manager at Kansai Airports, tells us more…
J
apan is continuing to reap the rewards of a global tourism boom, where people from all over the world are keen to
explore its rich history and breathtaking landscapes. From January to June during this year alone, the estimated number of international travellers exceeded 11mn, with
10
an increase of 20% in overseas visits compared to previous years. Whilst many travelers would have normally utilised Kansai International Airport, the country’s Osaka Itami Airport and Kobe Airport also significantly serve those situated in the nearby cities of Osaka, Kobe and Kyoto. Altogether, the three airports provide services to over 47.6mn passengers annually. To ensure the airports remain fully equipped to service such increased traffic flow, shareholders at VINCI Airports and financial services group ORIX Corporation are directing significant investment towards the digital transformation of the airports, driving maximum value for tourists and residents, whilst unlocking its growing potential. SEPTEMBER 2018
TECHNOLOGY
FACTS
• From January to June during this year alone, the estimated number of international travelers exceeded 11mn, with an increase of 20% in overseas visits compared to previous years • Kansai International Airport, Osaka Itami Airport and Kobe Airport provide services to over 47.6mn passengers annually • VINCI Airports serve nearly 250 airlines worldwide • VINCI Airports catered to 156.6mn passengers in 2017, amassing €4 billion in consolidated revenue • Working with air transport IT specialist SITA, Kansai Airports has implemented an intelligent check-in kiosk named KATE, which will identify bottlenecks in passenger flow
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TECHNOLOGY
A key player within the international airport sector, VINCI Airports serves nearly 250 airlines worldwide. Spanning Europe, Asia and Latin America, the company served 156mn passengers in 2017 across all of its 36 airports. In Japan, Kansai Airports successfully took over Kobe Airport in April 2018, and all three airports have amassed a combined growth of 9.6% in the second quarter. With international growth continuing to rise, Kansai International Airport achieved over 12% growth, with Kobe following
FACTS
• Kansai International Airport, Osaka Itami Airport and Kobe Airport provide services to over 47.6mn passengers annually • Kansai Airports took over Kobe Airport in April 2018, where all three airports have amassed a combined growth of 7.8% in Q2 • VINCI Airports serve nearly250airlines worldwide • VINCI Airports catered to 156.6mn passengers in 2017 • In the second quarter of 2018, traffic across the 36 platforms managed by VINCI Airports saw 42.9mn passengers handled in the network during Q2 • Japan continues to see increased numbers of visitors from neighbouring countries China, South Korea, Hong Kong and Macau, as well as attracting tourists from areas such as Europe
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KANSAI / VINCI AIRPORTS
closely behind at 5% growth. The country continues to see increased numbers of visitors
deals from low cost carriers and new routes which have recently become established. By building on VINCI Airports’ world-
from neighbouring countries
renowned expertise alongside ORIX
China, South Korea, Hong
Corporation’s strong roots in the Kansai
Kong and Macau, as well as
region, the three Japanese facilities are
attracting tourists from areas
set to be fully transformed.
such as Europe, with attractive
“We’ve secured a comfortable budget to invest in tomorrow’s IT and digital solutions,” says Kansai Airports General Manager for IT, Pascal Pipon. “We aim to make the passenger journey as peaceful, easy and stress-free as possible. We
14
SEPTEMBER 2018
TECHNOLOGY
will be leveraging digital solutions, such as self-service, mobile services and biometry, in order to achieve seamless travel. We want to integrate all steps of the passenger journey within one complete digital experience.” In order to optimise the management of the existing airport infrastructures, Kansai Airports is transforming the organisation’s back-office applications. “Our task is to centralise and consolidate all flight data and resources from the airports, automate operational processes to facilitate decision making,” he adds. 15
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ABOVE. BEYOND. We were created to look beyond. To go further. And to transform air travel through technology. We’re already helping airports across the world to blaze a trail. Airports that have been built so intelligently that they’ll be just as smart, and just as well equipped for the future in 10,15, 20 years as they are today.
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TECHNOLOGY
“ We’ve secured a comfortable budget to invest in tomorrow’s IT and digital solutions” — Pascal Pipon, Kansai Airports General Manager for IT
17
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KANSAI / VINCI AIRPORTS
DIGITALLY ENABLED Working with air transport IT specialist SITA, Kansai Airports has tested an intelligent check-in kiosk, which will identify bottlenecks in passenger flow, eliminate congestion and contribute towards a fully connected passenger experience. Through a number of inbuilt technologies, such as collision avoidance, the kiosk will move swiftly to different areas of the airport when required. The facilities have also sought to introduce artificial intelligence devices, check-in robots, and self-propelled floor cleaning robots where Kansai Airports is turning 18
towards automation across its entire portfolio. Among initiatives to optimise the use of existing capacities, Kansai Airports has sought to minimise waiting times and boost passenger throughput using real-time queue monitoring tools. “To do this, we implement different tools. One tool is called Passenger Flow Management, which provides real-time information surrounding passenger flow. Operation staff react to queues building up. We also display congestion information to the passengers at the airports and on our websites. With this technology, we have drastically reduced waiting times from 45mins peaks to 15mins,” notes Pascal. “Automation helps increase the capacity of SEPTEMBER 2018
TECHNOLOGY
19
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TECHNOLOGY
the airport to serve more passen-
ground handlers, the air traffic
gers and better serve the airlines.”
service provider, etc., which also
Collaborating with various
provide essential services,” he says.
team to provide the best solutions,
“The collaboration between
Kansai Airports continues to look
all the actors is at the core of
at harnessing new digital tools
the optimisation of airport
surrounding departures, arrivals,
operations. Technology will be
the scheduling of flights and the
key for all to converge toward
handling of various aircrafts.
this common goal.”
“IT is helping with all of this, but
With a keen awareness that the
we also have a lot of different
most important aspect will be to
actors, such as the airlines,
ensure that all passengers leave
“ We want to make the passenger journey as peaceful, easy and stress-free as possible” — Pascal Pipon, Kansai Airports General Manager for IT
w w w. b u s i n e s s c h i e f. c o m
21
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TECHNOLOGY
“ We want to integrate all steps of the passenger journey within one complete digital experience” — Pascal Pipon, Kansai Airports General Manager for IT
and arrive on time, Kansai Airports must remain completely operation-centric, with an emphasis on promoting an exceptional passenger experience, in line with VINCI Airports’ commitment to quality of service and customer satisfaction. In the long-term, it will further introduce self-service facilities, and the passenger journey will become fully automated. “The sharing of information between all actors will be critical to maximise airport capacity and passenger satisfaction,” concludes Pascal. “Technology is essential to the future of Kansai Airports and the entire aviation industry.”
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23
LEADERSHIP
GAP GEO: VIABLE EXPLORATION DEPTHS ARE REALLY VIABLE MINING DEPTHS 24
SEPTEMBER 2018
It’s been 25 years in the making, but a labour of love from Gap Geophysics Australia CEO Dr Malcolm Cattach is defining the next frontier of mining exploration WRITTEN BY
NIKI WA LDEGR AVE
25
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LEADERSHIP
G
apGeo Group specialises in the development of leading edge geophysical technologies and provision of
services to the exploration and environmen-
tal industries globally. The group is comprised of three companies: Gap Geophysics Australia, which specialises in mineral exploration; Gap Explosive Ordnance Detection (GapEOD), which specialises in instrumentation and services for the detection of terrestrial and marine unexploded ordnance internationally; and Gap GeoPak, the research and development arm and technical support base. 26
Historically, electrical geophysical surveys have only been able to survey to fairly shallow depths but now, thanks to an idea borne in 1993 as part of his PhD, GapGeo CEO and chief geophysicist Dr Malcolm Cattach’s unique and award-winning Sub-Audio Magnetics (SAM) and HeliSAM technology provides a cost-effective solution for deep penetration electromagnetic (EM) surveys, enabling the mineral exploration and environmental geophysics industry to be able to explore to much greater depths than we ever have before. “Most geophysicists would agree they’ve got a bit of an innovation bent,” admits Dr Cattach. “We’re always trying to improve the way that we do things. My PhD demonstrated SEPTEMBER 2018
Main image: HeliSAM in flight and the data (Above picture) from the HeliSAM response at Forrestania
“The future of exploration is going to be exploring to much greater depths. Consequently, we will be much more dependent upon geophysics to provide high-quality drill targets at depth” — Malcolm Cattach, CEO, GapGeo
that SAM could actually work, but at
27
sacrificing quality or efficiency.
that stage, it was ahead of its time: it
Conventional EM surveys require
wasn’t until the early 2000s that the
grounded electrodes, levelled sensors
electronics, processing capabilities
and stationary measurements limiting
and storage devices became available
the terrain that can be covered in a day.
that makes it practical to do with
As a result, spatial resolution is often
electronics. “Then from about 2005
sacrificed for survey area coverage
onwards, since we formed Gap
rates – but the SAM technique
Geophysics, it’s been more of our
bypasses such issues, providing
commercialisation stage.”
particularly good value for money.
25 years since its ideation, SAM is a
“It’s always tricky to explain technical
patented technique that allows for the
stuff in simple terms,” he laughs. “But
simultaneous high definition map-
the future of exploration is going to be
ping of both the magnetic and electri-
exploring to much greater depths.
cal properties in the ground, without
Consequently, we will be much more w w w. b u s i n e s s c h i e f. c o m
LEADERSHIP
dependent upon geophysics to provide high-quality drill targets at depth. “We build very high-powered geophysical transmitters to actually get our signal down deep and to cover large areas. What we’ve been trying to achieve with SAM is to provide much better-quality geophysical information much more cost-effectively. SAM gives us the ability to acquire electrical property information of the earth at a very high spatial resolution, quickly.” SAM can be employed for a wide variety of survey types, mainly mineral exploration, explosive ordnance detection and geotech28
nical mapping as it is well suited to overcome the difficulties of highly conductive surface layers, such as with salt lakes. “Conventional electromagnetic surveys have only been looking down to about 200 or 300 metres,” he explains. “But generally, people believe that near-surface deposits have probably already been discovered because of their relative ease of detection. “If you assume that people historically surveyed down to 300 metres, then that means that that depth range between 300 metres and 1000 metres is the next frontier of the mining exploration.” HeliSAM is a hybrid technique which refers to helicopter-borne acquisition of SAM data. Coupled with Gap GeoPak’s SEPTEMBER 2018
“ My PhD demonstrated that SAM could actually work, but at that stage, it was a technology which was ahead of its time in terms of electronics” — Malcolm Cattach, CEO, GapGeo
high-powered, ground-based geophysical transmitter systems, HeliSAM can map large areas quickly and cost-effectively to depths not possible with conventional airborne survey techniques. The HeliSAM technology has already seen exceptional results internationally. Moreover, the low frequency (LF) HeliSAM technology has shown outstanding results at the Forrestania Test range in Western Australia’s wheatbelt region, showcasing to the Australian market what can now be achieved. “Helicopter-borne EM systems carry a transmitter loop under the helicopter” explains Dr Cattach. “The generate a transmitter signal from the helicopter and then have a receiver on the helicopter also, which measures the response”. “However, there’s a limit to the amount of power that a helicopter system can produce due to the weight and size of the loop and transmitter. That in turn, limits the depth penetration with a pure helicopter-borne system. “LF HeliSAM allows us to gather very high-quality data over large areas very cost effectively, compared to trying to do it at ground level only. We are able to generate enormous power from the ground-based system and combine it with the speed of w w w. b u s i n e s s c h i e f. c o m
29
LEADERSHIP
acquisition that you get from a
were awarded the peer-voted Laric
helicopter, so we’ve got the best of
Hawkins Award for geophysical
both worlds… In addition, we are able
innovation in recognition of the
to use very low transmitter frequen-
continued development of technology,
cies. There’s no other technique quite
of which SAM and HeliSAM is being
like this. This is a world first in getting
considered an industry ‘game
down to those transmit frequencies.”
changer’. It’s his sixth award, and Dr
Following a presentation Dr Cattach
Cattach says it’s an honour to be
recently delivered on his Sub-Audio
recognised for the work he started a
Magnetics (SAM) and HeliSAM
quarter of a century ago.
technology at the Australa-
“My career’s been involved with
sian Exploration Geosci-
thinking of the concept back
ence Conference in Sydney,
in the late 80s and early 90s, proving
both he and his co-authors
the feasibility of it and then putting
30
“ I’m grateful to a lot of our clients in the industry who’ve been prepared to think outside the box — it’s their willingness to try new things which has enabled us to continue development of SAM” — Dr Malcolm Cattach, CEO, GapGeo
SEPTEMBER 2018
the technique into practice. “Since we privatised the business we’ve gone to this more commercial mode. But we’ve never stopped doing
claims the industry needs to be in a good state to be able to continue to embrace new technologies. “It doesn’t matter how good
R&D. I’ve been very fortunate to have
technologies are if nobody’s got any
a group of very capable scientists and
money to spend on them!” he laughs.
engineers around me, who’ve been
“This technology has been coming into
able to continue to develop the
maturity over the last few years, when
various techniques.”
the industry’s been in pretty poor
The Australian mining and explora-
shape, but it’s only really now that you
tion industry is recovering after a
get this sort of confluence of the
difficult few years, and Dr Cattach
technology coming together in time
31
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LEADERSHIP
32
when the industry’s starting to get going again. Like everybody who
it doesn’t work, you’re in trouble. “Trying to battle that mentality has
works in the mining industry, we’ve
been a little bit awkward at times, but
had our struggles, but we certainly
I’m grateful to a lot of our clients in the
see the next few years as being very
industry who’ve been prepared to
positive for us.”
think outside the box – it’s their
Another obstacle is educating
willingness to try new things which
the industry while developing new
has enabled us to continue develop-
technologies, because trialling new
ment of SAM. They appreciate what
technology and equipment can be
we’re trying to do and have supported
daunting and expensive.
us in trying to get through the door in
“Some people are hesitant to try and take on something new and different that no-one’s done before, because if SEPTEMBER 2018
revolutionising exploration, which is what our main goal is.” GapGeo’s focus for the next few
33
“ With SAM and HeliSAM, I’m excited about commercialising something we’ve been working on for such a long period to the rest of the world, they’re Australian home-grown technologies, and I’m proud of that” — Dr Malcolm Cattach, CEO, GapGeo
years is commercialisation and the
about commercialising something
business has been looking at finding
we’ve been working on for such a
other partners who are working in
long period to the rest of the world,”
different parts of the world to start
he concludes. “They’re Australian
exporting the technology worldwide.
home-grown technologies, and I’m
“With SAM and HeliSAM, I’m excited
proud of that.” w w w. b u s i n e s s c h i e f. c o m
TECHNOLOGY
LEWIS DRIVING CHANGE 34
THROUGH TECH SHE CAN
Despite decades of progress, women remain significantly underrepresented in the technology workforce. With PwC’s Tech She Can charter looking at ways to break down barriers, LEWIS’ Managing Director Ruth Jones discusses how technology is reshaping career pathways WRITTEN BY
SEPTEMBER 2018
CATHERINE S TURM AN
35
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TECHNOLOGY
T
he fourth industrial revolution is significantly disrupting the way we live, work and interact.
Traditional industries and ways of working are
being fully transformed through digitisation, yet
it is imperative that a diverse, global workforce can adapt to such change. However, despite such a monumental shift, women continue to be underrepresented within the global technology workforce. A recent report by PwC entitled Women in Tech: Time to close the gender gap, highlights that women, on this occasion in the UK, remain discouraged from working in technology, with 83% of female students unable to name a famous female role model in technology 36
and only three per cent stating a career in technology to be their first choice. “As our personal and working lives become increasingly shaped by technology – technology products and services are being developed and delivered based on the perspectives of only one half of the population, and not designed with the needs of everyone in mind,” the report states, adding: “If half the population is being overlooked as a source of technology talent, then the UK is effectively trying to compete internationally with one hand tied behind its back.” Global professional services network PwC has found that gender bias starts in schools and carries on through each stage of a child’s education. 61% of females indicated that they have been dissuaded from a career in technology due to the limited SEPTEMBER 2018
“ WE’RE FINDING A SHIFT IN THE INDUSTRY, WHERE IF WE PUT CREATIVITY, CONTENT AND CONTEXT AT THE HEART OF EVERYTHING WE DO, WE’RE ABLE TO OFFER CLIENTS A SINGLE VIEW BUT ARTICULATE IT ACROSS TECH-BASED PLATFORMS” — Ruth Jones, Managing Director, LEWIS
37
advice given. “Although heavily involved in STEM subjects at a younger age, I was discouraged by the sexism that surrounded me when I took part in competitions and conventions,” a female pre-university student noted. “There is a stereotype that empirical studies are male subjects only, and the institution to which I currently belong perpetuates this belief obliquely. I felt discouraged from taking the sciences,” another female pre-university student added. This must change. w w w. b u s i n e s s c h i e f. c o m
TECHNOLOGY
“ THE INDUSTRY AS A WHOLE IS NOW LOOKING AT HOW TO SHAPE LEARNING FOR THE FUTURE, AND THIS SNEAKS INTO ADULT LEARNING, AS WELL AS THE FUTURE CAREER PATH” 38
— Ruth Jones, Managing Director, LEWIS
TECH SHE CAN CHARTER In order to take a closer look at the root causes of women’s reluctance at a societal level, PwC has launched its Tech She Can charter. Joining over 30 organisations across the UK, global integrated communications business, LEWIS, has made commitments to promote careers in technology for both genders, looking to enable workers to reach their potential and to share best practices. Established by former Financial Times SEPTEMBER 2018
39
journalist Chris Lewis in 1989, LEWIS has
held by women, where flexible
evolved from a news-driven agency into
working schemes have enabled
a company that defines a central market-
working mothers to return to
ing strategy stemming from brand develop-
work, alongside the enhanced
ment and PR, to sales enablement and
maternity packages and shared
digital execution.
leave on offer to staff.
As part of the charter, LEWIS will work
“When women think of a career
to show how women can enjoy the technol-
inside technology, it doesn’t
ogy sector but also develop great careers.
necessarily need to be working
In the company’s UK workforce, 55% of
directly with data, digital or ICT.
senior positions (Director and above) are
It can be a career in the creative w w w. b u s i n e s s c h i e f. c o m
TECHNOLOGY
Click to watch: ‘LEWIS Global Communications, Does gender or age matter in creativity?’ 40
industries that supports companies in
tions, there is wide recognition that
technology and applies technology to,
customer journeys need to become
for example, marketing services,”
one, common conversation. We’ve
explains Ruth Jones, Managing Director.
seen that in the industry.”
“We’re finding a shift in the industry, where if we put creativity, content and
PROMOTING EDUCATION
context at the heart of everything we do,
At present, only 15% of people working
we’re able to offer clients a single view but
in STEM roles in the UK are female,
articulate it across tech-based platforms
indicating that the country’s future
and channels – from infographics
technology talent will remain heavily
through to 3D experiences, as well as
male-orientated. In addition, recruiters
the traditional written word.
have expressed their concerns
“Through a collision of marketing, digital, technology and communicaSEPTEMBER 2018
surrounding the difficulty of recruiting knowledgeable, skilled individuals
FACTS
within STEM. A Global CEO survey has revealed that two thirds of UK CEOs say recruiting people with digital skills is difficult, compared with only 43% of CEOs in the US and 24% in China. With this in mind, providing in-house training, as well as funded apprenticeship pro-
PwC’s Tech She Can Charter The Tech She Can Charter was launched by PriceWaterhouseCoopers in February 2018, joined initially by over 12 firms including giants such as Tesco and JP Morgan, with many more having since been added. The main commitments organisations have made as part of the charter are:
grammes, LEWIS remains keen to offer permanent positions, with the aim to be part of the personal and professional development of its employees. By partnering with schools, providing female role models and ensuring inclusive access to the sector, UK organisations will then gain the ability to build a robust upskilled and adaptive workforce, introducing technology modules which can be delivered in schools by teachers or through virtual reality to develop the UK’s technology talent. “We also go to universities
• Working with schools to inspire pupils and teachers about careers in tech • Supporting social mobility by targeting schools in the UK Government’s defined social mobility ‘coldspots’ • Promoting and celebrating successful female role models at all levels • Ensuring inclusive access to technology training and technology roles within their own organisation • Supporting formal work experience and internship programmes to encourage more females to consider a career in tech • Sharing best practice with all other organisations across the charte
and spend a lot of time giving talks around careers at various different universities, here at LEWIS. We also have a partnerw w w. b u s i n e s s c h i e f. c o m
41
TECHNOLOGY
“THROUGH A COLLISION OF MARKETING, DIGITAL, TECHNOLOGY AND COMMUNICATIONS, THERE IS WIDE RECOGNITION THAT CUSTOMER JOURNEYS NEED TO BECOME ONE, COMMON CONVERSATION” — Ruth Jones, Managing Director, LEWIS
42
ship with Chelsea College of Art,
continues to evolve the way in
so connecting through educa-
which individuals can develop
tion is something that embodies
a technology career, with a num-
us,” explains Jones.
ber of roles available.
“We’re looking to invest more.
“Technology is central to every
The industry as a whole is now
part of our lives. Children and
looking at how to shape learning
young adults are coming into the
for the future, and this sneaks
workforce digitally enabled.
into adult learning, as well as
Everyone’s going to have a nat-
the future career path. Ultimate-
ural affinity for technology and
ly, we’re entering a world where
they’re going to see a much
continuous learning is an abs-
clearer path to why technology
olute necessity.”
plays a central part in our every-
While only 5% of leadership positions in the technology
day lives,” notes Jones. “The single most important
industry are presently held by
thing for me is attracting more
women, where girls are less
people into technology so that
likely to study STEM subjects at
we can support the economy
school or university, technology
going forward.”
SEPTEMBER 2018
43
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NEW D City Focus
46
As India’s population continues to expand and a growing middle class leads to a strain on transport infrastructure, how will the nation’s capital rise to the challenge? WRITTEN BY
OLIVIA MINNOCK
SEPTEMBER 2018
DELHI w w w. b u s i n e s s c h i e f. c o m
47
CITY FOCUS | NEW DELHI
I
ndia’s capital city of New Delhi is best known for its dense and rapidly growing population, as
well as being the centre of government for the second most populous country in the world.
Vast and still growing The largest city in India by area, New Delhi, with its metro zone known as the National Capital Territory (NCT) is the fifth most densely populated city in the world. 2016 figures stand at an estimated 18.6mn. 48
The NCT and its sprawling surroundings, including the neighbouring cities of Baghpat, Alwar, Sonepat, Guragon, Ghaziabad, Faridabad, Greater Noida and Noida, are known as the National Capital Region (NCR) which in total has a population of over 24mn. The city of New Delhi is also one of the fastest growing in the world, having increased from a population of just 400,000 in 2001. Both birth rates and migration are playing a part in this continual increase, which is bound to put a strain on the infrastructure of the capital and its surroundings.
SEPTEMBER 2018
Getting around Delhi
transport vehicles, the Delhi metro,
Despite recession and global ups and
buses, taxis and trains.
downs, infrastructure and in particular
The ‘Delhi Master Plan 2021’, which
transport has continued to develop
focusses on responsible urbanisa-
in the city, with much of this growth
tion, will involve major changes in the
put down to foreign investment.
city’s infrastructure, with the aim of
New Delhi has a well-developed
making Delhi ‘a global metropolis
transportation network, with more than
and a world-class city’. It aims to
half of its citizens relying on local trans-
promote the right atmosphere and
port for business and pleasure. These include rural
infrastructure for citizens to be more productive and enjoy a better quality of life in a sustainable environment. 49
w w w. b u s i n e s s c h i e f. c o m
CITY FOCUS | NEW DELHI
‘ Delhi Master Plan 2021’, which focusses on responsible urbanisation, will involve major changes in the city’s infrastructure, with the aim of making Delhi ‘a global metropolis and a world-class city’
50
SEPTEMBER 2018
Click to watch: Ola – Mission: Electric 51
Uber or Ola?
past year. In 2017, Uber reached the
Another way to get around in Delhi
milestone of 1mn rides per day in India,
is by taking advantage of the hotly
with Uber India’s President Amit Jain
competitive ride-hailing market.
noting: “We were focused on moving
India’s main ride-hailing platform is
from a startup to a sustainable business
Ola, which was founded in Mumbai
in India. As a result, we recorded dou-
but has recently expanded as far afield
ble-digit growth and continue to clock
as Australia and the UK.
over a million trips a day.”
Ola currently has a network of
One customer from New Delhi was
approximately 600,000 vehicles across
the most frequent Uber rider ever,
110 cities, of which Delhi was one of the
clocking up five daily journeys, while
earliest adopters. It’s not the only
New Delhi is also home to India’s
option, however, with Uber (the largest
longest standing Uber driver partner,
such business in the world) having dou-
who has been with the firm for almost
bled down on the Indian capital over the
five years. w w w. b u s i n e s s c h i e f. c o m
CITY FOCUS | NEW DELHI
Currency
Rupee 52
1911
Established
18.6mn
Metro Area Population Nearest airport
16km
Indira Gandhi International Airport (DEL)
New Delhi Airport The Indira Gandhi International Airport is one of the busiest in India in terms of both passengers and cargo. Located just 16km from the city centre and 15km from New Delhi Railway Station, the airport is the 21st busiest in the world with over 63.5mn annual passengers. Terminal T3, which was opened in 2010, is one of the world’s largest airport
SEPTEMBER 2018
53
terminals, boasting an annual capacity
route is reported to be the third most-
of 34mn passengers.
travelled passenger route in the world.
Top destinations from the airport
Run by a consortium led by the GMR
include Mumbai, Bangalore, Kolkata,
Group, the airport is currently working
Pune, Hyderabad and Chennai, while
towards a goal of carbon neutrality. It
the most popular international loca-
has implemented various initiatives to
tions are Dubai, London, Bangkok,
reduce emissions and improve air qual-
Kathmundu, Singapore and Abu Dhabi.
ity, including extensive planting of air
Indeed, the Delhi-Mumbai passenger
purifying trees, and regularly having air w w w. b u s i n e s s c h i e f. c o m
CITY FOCUS | NEW DELHI
54
SEPTEMBER 2018
quality monitored by different authorities. GMR Group has a significant CSR arm, the GMR Varalakshmi Foundation, which works on community projects spanning health, education and community development.
A soaring aviation market Already running at a high capacity, it will also be necessary for the Indira Ghandi airport to keep up with the pace at which the aviation market is currently expanding in India, thanks to a growing middle class with more disposable income. According to IATA (International Air Transport Association), India has been the world’s fastest-growing domestic aviation market for three years (2015-17). By 2025, the Indian air travel market is set to be the third largest after the US and China, and is expected to cater to 487mn passengers by 2036. For example, Mumbai airport recently
‘ By 2025, the Indian air travel market is set to be the third largest after the US and China, and is expected to cater to 487mn passengers by 2036’
broke the world record for the most flights handled by a single operating runway, with 969 flights passing through in 24 hours. 2018 has also seen Indian airline Jet Airways placing orders for 150 Boeing 737 MAX Aircraft and announcing the addition of 144 new weekly domestic flights, with New Delhi being one of its major hubs. Currently, penetration for the market is low, with around 97% of India’s 1.3bn population having never been on a plane. w w w. b u s i n e s s c h i e f. c o m
55
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T O P 10
TOP 10
HOTELS BUSINESS EVENTS FOR
58
From Sydney to Singapore, APAC boasts commerce hubs where business travellers flock for important meetings and events. Cvent has rated the best hotels for the job — but which came top? WRITTEN BY
SEPTEMBER 2018
OLIVIA MINNOCK
59
w w w. b u s i n e s s c h i e f. c o m
T O P 10
Pan Pacific Singapore The Pan Pacific Hotel Group owns both the Pan Pacific and PARKROYAL brands as well as other eateries and spas. Headquartered in Singapore, the group has 40 hotels under man-
10 InterContinential Sydney 60
agement totaling over 12,000 rooms across Asia Pacific, North America and Europe. The Pan Pacific Singapore is ideal for meetings and events as it includes 24 venues totalling
InterContinental Hotels Group has
2,482 sq m of space, all equipped
5,431 hotels with 809,889 rooms span-
with high-speed internet access and
ning 100 countries across the globe. Its
audio-visual equipment. A 20-minute
brands include Crowne Plaza, Holiday
drive from Changi Airport, the hotel
Inn and Regent among others, with its
is also ideal for international events
flagship luxury InterContinental brand
with 790 rooms for overnight guests.
boasting 196 hotels around the world.
Click here for more info
For business travellers, the Sydney location offers 15 event rooms which cater for between eight and 250 people. These mix classic design with the latest tech and take up a total of 19,615 sq ft. The hotel also has 15 sales and meeting professionals on site, all of which and more prompts Cvent to place it as #10 for hotels to do business in.
Click here for more info SEPTEMBER 2018
Hilton Singapore Hilton Hotels and Resorts has over 570 locations around the world, having first opened its doors in 1919. The company now owns a total of 14 brands including Waldorf Astoria and Conrad. Hilton offers several benefits for business events, including a
Shangri-La Hotel Bangkok
Meetings Simplified bookings system,
Shangri-La Hotels and Resorts is a
sound systems and collapsible walls.
deluxe hotel group founded in 1971,
The Hilton Singapore’s location lends
which owns or manages over 100
itself to local and international events
hotels spanning across Asia Pacific
alike, just 20 minutes away from Singa-
as well as North America, Europe and
pore Changi International Airport and
the Middle East. The group has been
at the heart of Singapore’s main shop-
awarded several global recognitions
ping and entertainment centre,
of excellence including Best Business
Orchard Road.
Hotel Brand in Asia-Pacific by Busi-
Click here for more info
with the Singapore hotel offering a 500-guest Grand Ballroom, light and
ness Traveller. The Bangkok branch offers business travellers the option of a 1000-guest Grand Ballroom as well as 19 fully-equipped smaller function rooms. Extras such as eco coffee breaks with sustainable produce, or energising activities from massages to yoga, tip this hotel to #8 on Cvent’s ranking.
Click here for more info w w w. b u s i n e s s c h i e f. c o m
61
T O P 10
Shangri-La Hotel Singapore Another offering from the Shangri-La Hotels & Resorts Group to make the list, the Singapore location does exactly what it says on the tin by offering visitors a mini-escape in the middle of the fast-paced city. The hotel is located within no fewer than 15 acres of green-
Hilton Tokyo 62
ery and guests not only have the option of suites but also serviced apartments
Another Hilton offering to make the
and villas. For conferences and smaller
list, the Hilton Tokyo is located in the
events, the hotel offers free wi-fi access
midst of Tokyo’s business district,
and a modern business centre includ-
Shinjuku. The modern location is also
ing courier services, workstations,
the most visited area in Tokyo as it is a
laptops, meeting rooms, secretarial
shopping and entertainment hub, and
services and printing.
home to the busiest railway station in
Click here for more info
the world, which handles more than 2mn passengers each day. Offering 821 suites away from the hustle and bustle, the Hilton Tokyo includes 20 flexible meeting rooms as well as a business centre with internet, AV equipment and office space to rent. For relaxing after a day of meetings, the hotel includes two rooftop tennis courts, an indoor pool and sauna.
Click here for more info SEPTEMBER 2018
Sydney Harbour Marriott Hotel at Circular Quay Third on Cvent’s list is the Marriott Hotel at Sydney Harbour, Australia. Marriott, along with its subsidiaries including Starwood and Sheraton, owns over 6,500 properties in 127
04 Hilton Kuala Lumpur
countries and territories around the world, and boasted a 2017 revenue of just under $23bn. The company’s flagship brand prides itself on efficient
The Hilton Kuala Lumpur carries on
tools for planning business events
the brand’s legacy of helping busi-
including an app and partner website,
nesses to run seamless events and
Meetings Imagined, offering bespoke
fruitful meetings, this time at the heart
design from start to finish. The Sydney
of the Malaysian capital. Close to
Harbour offering includes 14 event
Kuala Lumpur’s Sentral Station – to
rooms hosting up to 250 people each,
which the hotel provides an air-condi-
with a total 1,544 sq m of meeting space.
tioned linkway – the hotel is just half an
Click here for more info
hour from Kuala Lumpur’s two international airports via high-speed train. Event venues offered at the Hilton Kuala Lumpur range in capacity from 10-1500. Alongside the fourth spot on Cvent’s list, the hotel has also won Malaysia’s Leading Business Hotel in the World Travel Awards 2017.
Click here for more info w w w. b u s i n e s s c h i e f. c o m
63
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T O P 10
66
Shangri-La Hotel Sydney Yet again, this iconic brand and prime business hub appear on Cvent’s Top 10. The Shangri-La brand prides itself on grandeur mixed with modern practicality and a helpful team to oversee events of all shapes and sizes. The Shangri-La Sydney features a Grand Ballroom to accommodate up to 850 guests, with a design influenced by the Sydney Opera House and Harbour Bridge, including essential facilities such as HD projectors, LED spotlights and a complete lighting, visual and sound system. A further 18 function rooms and boardrooms can cater for between 10-400 guests.
Click here for more info SEPTEMBER 2018
67
01 Hyatt Regency Sydney Of the three Australian hotels making Cvent’s top 10, the Hyatt Regency’s location at the heart of Sydney’s CBD and adjacent to Darling Harbour makes it a perfect candidate for premium business events in Asia Pacific. Hotel giant Hyatt’s luxurious brand, Hyatt Regency, has been in operation since 1967 and now has over 170 locations, forming a significant portion of the Hyatt Groups $4.68bn revenue. The Sydney offering includes 892 guestrooms and 3,700 sq m of flexible meeting space which includes two ballrooms and 21 additional meeting and breakout rooms, many offering the harbour as an impressive backdrop.
Click here for more info w w w. b u s i n e s s c h i e f. c o m
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70
Supporting Indonesian business growth through
digitisation WRIT TEN BY
OLIVIA MINNOCK PRODUCED BY
A LE X PAGE
SEPTEMBER 2018
TECHNOLOGY
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MARSH
Marsh Indonesia’s CEO, Alistair Fraser-Hawkins, and Operations & Technology Leader, Andreas Tanadi, on how the business uses brains and technology to support clients undergoing growth 72
SEPTEMBER 2018
TECHNOLOGY
G
lobal insurance leader Marsh has a rich history dating back to 1871, with more than 30,000 colleagues in over 130 countries. On a worldwide scale, Marsh works on behalf of clients spanning industries and companies of all sizes, with a distinct focus on the commercial, corporate and risk management segments. Marsh’s Indonesian business has been in operation for 35 years. “We’re a very established player here,” says Alistair FraserHawkins, CEO of Marsh Indonesia. “We’re the biggest broker in Indonesia, and our growth rate has been steady, but in the last two years we’ve seen a significant increase driven by a more segmented strategy, targeting particular sectors and helping clients identify and manage their risks.” Importantly for such a global business, Marsh is keen to establish and maintain its brand identity while emphasising its commitment to both employees and clients in Indonesia. The global brand revolves, as Fraser-Hawkins describes, around Marsh as a ‘brains business’. “Through our consulting, risk management and broking businesses, it’s about maintaining the core ethos of the brand as well as using technology where we can to either enhance the colleague experience of working with us, or deliver a higher quality of advice or service w w w. b u s i n e s s c h i e f. c o m
73
MARSH
“ We h b
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to our client base.” Fraser-Hawkins describes the period of VUCA (vulnerability, uncertainty, complexity and ambiguity) Marsh is committed to helping its clients overcome by guiding them through their risk management needs and process. “In essence, our brand stands for quality advice in times of change. The world changes on a constant basis – in fact, the only constant is change – so we are always adjusting how we approach clients to help them with the risk their businesses face.” SEPTEMBER 2018
Localised service The rapid pace of change is the same the world over. “Our goal is to ensure that wherever a client touches us, they get a consistent level of service. We operate under a number of global guidelines, which we call our ‘Client First Principles’ – a global set of professional standards that all colleagues who engage with clients adhere to. “On top of that, we have our multinational ‘Rules of the Road’ – set guidelines of service that must be delivered to a client wherever they are in the world. The only changes to this are driven by local regulation. Indonesia is no different – we are
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ave an almost entirely Indonesian colleague base and that’s the way we will grow, through developing Indonesian talent in Indonesia” — Alistair Fraser-Hawkins, CEO, Marsh Indonesia
75
conscious of the consistency of brand, service delivery and structure.” All this is put in place to ensure clients receive the same level of service in any country, with a key USP for Marsh being that it can help businesses through a smooth transition from country to country. “This is something Marsh holds very dearly, particularly around our ‘Client First Principles’ to ensure the client is ultimately get the best of Marsh,” says Fraser-Hawkins. “One of our selling points when competing with local brokers, for example, is our global network and global expertise. We have a very strong collaboration culture as we handle a lot of different multinational organisations,” he adds.
Committed to Indonesian talent With the Indonesia business part of a global firm spanning 130 countries, how does the MNC demonstrate that it’s here to stay in a smaller market? The key to this for any business is putting its money where its mouth is by investing in the local economy and local people – over 150 of them, to be exact. “When you look at our client profile, the majority are Indonesian domiciled and owned businesses as opposed to multiw w w. b u s i n e s s c h i e f. c o m
#OnlineInAja - Insurance Goes Digital
Take control for a better life
AXA GI Indonesia recently launched AXA MyPage – a secure digital platform, giving you the freedom in choosing and obtaining personalized protection to your needs. Smart Traveler, dedicated for international and domestic traveler, Smart Drive for your car protection, Smart Home for your home, and Smart Care Executive for your health assurance, are among the most desirable products available in the platform. Not just for customers, the solution also serves as one stop digital solution for AXA GI Indonesia’s
business partner. This platform enables our partners to digitally engage their existing and potential clients, to complete an end-to-end sales process. In addition, they are also equipped with the facility to do personal branding and to monitor their business performance and keep track of their incentives on real time basis. AXA MyPage marks another milestone in AXA GI Indonesia digital transformation journey. This year we pick #OnlineInAja as our theme, resonating the easiness,
transparency, and speed to both our customers and partners in doing business with us. Aligned with our vision to empower people to live a better life, AXA GI Indonesia is committed to always put you, our customers and partners, at the center of our digital transformation, providing you with ease and convenience in living a better life with us.
AXA MyPage – www.mypage.axa.co.id
TECHNOLOGY
national businesses in Indonesia. Moreover, as far as I’m concerned as CEO, I hold responsibility for the income of the 150 families of the colleagues that work for Marsh. “We have an almost entirely Indonesian colleague base and that’s the way we will grow, through developing Indonesian talent in Indonesia. Annually, we do a training needs analysis of the colleague base, and we will develop an annual training plan either utilising some of our regional and global resources internally, or engaging Indonesian third parties to train colleagues from both a technical and soft skills
perspective,” says Fraser-Hawkins. In addition, Marsh Indonesia is committed to working with local Indonesian businesses, forming partnerships and relationships with Indonesian insurers as well as the Indonesian arms of global insurance businesses.
Two-way investment As well as helping global clients make a splash in an emerging market, Fraser-Hawkins emphasises that outward growth is being seen from Indonesia in equal measure. “We are dealing with companies which are headquartered all over the world, w w w. b u s i n e s s c h i e f. c o m
77
“SWEATING IT OUT IN THE GYM,
WHY WOULD I DO THAT?”
Hard work now means I can take it easy later. That’s my why.
AIA is registered and supervised by Otoritas Jasa Keuangan (OJK).
AIA Indonesia aia-financial.co.id
TECHNOLOGY
including Indonesian headquartered companies as they expand overseas.” More widely, Fraser-Hawkins is confident about growth across the continent, not least in the Southeastern nation. “As the world changes and Asia becomes an increasing powerhouse, how can we help organisations in Indonesia which want to expand globally? That’s where our benefit comes in. Increasingly businesses in Asia are becoming larger contributors to the overall growth of the organisation… we’re investing in Indonesia just as much as we are in the rest of Asia.” In particular, Fraser-Hawkins points to cybersecurity as a growing business segment for Marsh Indonesia, and an example of growth in a fast-emerging economy. “As our customers become more sophisticated around risk and insurance, we’re seeing a demand for more sophisticated insurance products such as cyber insurance – clients are facing more exposure to risk through digitisation including hacking and data extraction. That’s a significant area
BIO
Alistair Fraser-Hawkins is the Chief Executive Officer & President Director of Marsh Indonesia with over 20+ years of experience in the Insurance industry. He began his career in in the mid-1990s in the London market and joined Marsh over 10 years ago where he has held a number of leadership roles at both national and regional levels. Fraser-Hawkins moved to Asia in 2012 to be based in Singapore before moving to Jakarta to become President Director & Chief Executive Officer for Marsh in Indonesia. In addition to his CEO role with Marsh, he undertakes the voluntary role as Chairman of the Board of Governors at the British School Jakarta. Alistair holds a Bachelor of Arts degree and a Certificate in Insurance from the Chartered Insurance Institute of the United Kingdom.
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of growth over the next three to five years that I see both in Indonesia and across Asia.”
Leveraging tech for colleagues and clients As Operations and Technology Leader, Andreas Tanadi explains, digitisation is vital to all aspects of the business whether internal or external, and Marsh is utilising technology across three strands to grow its operations in Indonesia: with clients, with partners and internally among Marsh colleagues. “In our Employee Benefits business, we have developed a Marsh Portal for clients as an easy-to-access site where a customer can access applications and account information as well as look at industry-leading thought leadership,” says Tanadi. “For clients, having this portal here means they are able to access their data and see basic analysis of their claims,” he explains. “A few years ago, we also started to move towards secure electronic filing so that as
BIO
Andreas Tanadi is the Operations & Technology Leader of Marsh Indonesia with over 10+ years of experience managing operations and information and technology in the Insurance industry. He began his career in 2006 at a manufacturing company, and then shifted to the insurance industry by joining various multinational insurance companies in Indonesia. Tanadi joined Marsh Indonesia as Operations and Technology Leader in February 2016. Tanadi also has experience as a part-time Lecturer in Knowledge Management and Information System at Bina Nusantara University from 2008 to 2017. He holds a Master’s Degree in Business Administration and Bachelor of Computer Science degree from Bina Nusantara University in Jakarta, Indonesia. He recently received the prestigious performance award from Marsh Asia for his significant contribution. For relaxing, he enjoys coffee and listening to jazz.
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www.myprotection.id
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we transform digitally colleagues can access client information anywhere they want. This access can also be restricted to those colleagues only involved with a client, thus increasing our data privacy capabilities.” “Additionally, for our insurance partners, we are working towards having full Electronic Data Interchange (EDI) that will allow both parties to work on the same data simultaneously,” Tanadi adds. “The basis for this EDI is the investment in a brand new internal platform which integrates data from the insurer as well as from the clients.” Internal use of software has a particu-
larly important place in growing the business through local talent. “In the next six to nine months we will be transitioning to a fully smart office,” says Fraser-Hawkins. “All colleagues will be equipped with the necessary tech equipment to work flexibly.” This is specifically important in Indonesia, where traffic congestion can be a major bugbear for working people. “Sometimes, a journey that would take you 20 minutes elsewhere might take two hours in Jakarta,” FraserHawkins explains. “In order that we’re able to deliver to clients 24/7, we’re investing in a smart office environment where colleagues can
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MARSH
collaborate across teams, engage with clients both physically and virtually, and work flexibly from wherever there’s Wi-Fi.”
A solid future
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This transformation through utilising the latest and greatest tech at Marsh’s fingertips doesn’t just end with an office renovation, but is something Marsh is fully committed to for the future. “Marsh globally is invested in digital transformation, and from an Asian perspective we mirror that,” Fraser-Hawkins explains. “From an Indonesian point of view, we will certainly continue to look to invest in technology that gives our colleagues more time to spend in front of clients. “Equally, building our client facing technology that enables us to engage in a more informed and detailed fashion will be a priority,” he adds. “This will enable us to open up new channels of distribution and also utilise data and analytics capabilities to help clients make more informed SEPTEMBER 2018
“From conti l
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m an Indonesian perspective, we will certainly inue to invest in technology that gives our colleagues more time to spend in front of clients� — Alistair Fraser-Hawkins, CEO, Marsh Indonesia
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MARSH
PLEASE VISIT US ON WWW.MAG.CO.ID CONTACT US FOR MORE INFORMATION AT magline@mag.co.id
Indonesia’s leading General Insurer delivering World Class Experience Fair & Friendly Insurer
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decisions around their risk profile.” Indonesia is a populous but geographically fragmented country, made up of over 17,500 islands housing more than 250mn people. Marsh’s use of digitisation, as well as something a little less tangible - those ‘brains’ offering expert advice - promises to help bring risk management services together for global clients wishing to make their mark on Indonesia, and equally those Indonesian businesses ready to continue
their growth journey in Indonesia or take to the world stage. “Our biggest challenge is how to distribute our advice and broking service across the country as a whole,” Fraser-Hawkins emphasises. “We can use technology partnerships and strategic initiatives in line with technology to distribute our service and advice to a wider audience. We’re very focused on ensuring our development over the next few years centres on a combination of brains and technology.”
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Chayora: INTERNATIONAL SCALE IN CHINA’S DATA CENTRE SPACE WRIT TEN BY
DA LE BENTON PRODUCED BY
MIK E SADR
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C H AY O R A
CHAYORA DELIVERS HYPERSCALE INFRASTRUCTURE IN CHINA, CONNECTING INTERNATIONAL LEADERS TO THE MOST EXCITING MARKET IN THE WORLD ith just under 20% of the world’s online community existing within the country, and with annual user numbers growing faster than anywhere else, China is one of the most exciting online technology markets in the world. In 2017, the State Council also set out a vision to establish China as the number one artificial intelligence hub globally, identifying AI as a key driving force of the country’s economic growth over the next decade. Last year alone there were 772 million people online in China, representing 56% of the country’s 1.4 billion population. With a huge customer base and with China looking to surpass the United States as the world leader in
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GDP terms, it is no surprise that many major international organisations and businesses are increasingly turning towards the country. There are however, many hurdles to clear as access to the technology sector in particular is still subject to tight regulation. “Those figures alone show that it truly is an amazing market,” says Oliver Jones, Chief Executive of Chayora. “But in order to be able to have access to this massive and valuable population, you cannot operate effectively from overseas. You have to have your servers inside mainland China, in a properly licenced data centre and that’s what starts to present challenges to aspirant new entrants.” “It is also where we come in. Chayora
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has invested a significant amount of time and money to operate entirely in line with China’s regulations, laws and ambitions as set out in the Five-Year Plan, in order to enable international companies to access China.” Chayora is an infrastructure developer focused on the building and operation of data centre platforms, with a series of hyperscale, fully licensed data centre campuses in key locations across China. Founded together by Jones and his business partners Jonathan Berney who now acts as Chief Operating Officer at the company and Steven Cao, Chayora has a simple vision: to build a trusted international service provider that enables international companies to access this market potential. “We are aiming to combine the best of China and the best of the international
“ We are aiming to combine the best of China and the best of the international environment, for the benefit of our customers” — Jonathan Berney, Chief Operating Officer, Chayora
SEPTEMBER 2018
environment, for the benefit of our customers,” says Berney. “And we feel very strongly that being able to contribute to the economic, political and social environment that we operate in is critical.” 2018 will represent a milestone year for the company as it will complete its initial facility, the TJ1 Data Centre, on its hyperscale data centre campus in Beichen, northern Tianjin. Located
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Chayora; the Tianjin Data Centre Campus covers Beijing
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between Beijing and Tianjin at the heart of 150m people in the tri-province, TJ1, which is targeting an operating date for early 2019, will be the first data centre of the company’s wider Tianjin hyperscale 300MW, 32-hectare (80-acre) campus which will ultimately comprise nine major data centre facilities. For Jones, this facility is a shining example as to what Chayora can become on the global data centre stage. “What we want to be is a trusted, hyperscale campus provider and
operator so that when people think China, they think Chayora,” he says. “It’s an incredibly exciting time for the business as we can enable some of the biggest companies in the world to fulfil their potential in China.” A crucial element in achieving that vision, something that is arguably more important than the facility itself, is establishing a reputation as an organisation that these international companies can place a great deal of trust in. w w w. b u s i n e s s c h i e f. c o m
C H AY O R A
The population of China at 1.4 billion people accounts for one fifth of the world’s population More than the US (298m), the EU (503m) and the former USSR (293m) combined. China has the world’s second largest GDP today at $11 trillion 60% of that of the US and predictions suggest that China could overtake the US in 10 years: and be 2x by 2050. THE EMERGENCE OF CHINA AS THE WORLD’S LARGEST MARKET IS UNQUESTIONABLE 94
China already has the greatest number of Internet users 772 million as of Dec 2017 – 19% of world users. Internet user saturation in China is just 56% This is compared to USA Internet user rates which are c.93% of the population. Adoption is extraordinarily rapid with an increase of 36 million in the last 6 months More than the whole population of the UK every year; at least half a billion people in China will be new online users in the next five years.
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C H AY O R A
Establishing this level of trust starts with Jones and Berney. Both men come from very similar career backgrounds, having worked in a number of consulting, services, engineering and technology focused roles all over the world and specifically across Asia. The two met when they found themselves working together as partners and were tasked with exploring the potential of a large international bank wanting to build and operate a data centre in China. It is their deep and diverse service 96
View of Tianjin facility under construction
SEPTEMBER 2018
sector experience that Berney feels enables both himself and Jones to have a certain level of confidence and a keen understanding of how to work with large customers on an international scale. “I think it’s valuable that both Oliver and I have worked in a global environment and also in local environments in Asia and Europe and can recognise and bridge between perspectives” says Berney. “As entrepreneurs in the fast moving
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and exciting Data Centre market in China, we have the opportunity of recognising and leveraging the very best of what China has to offer, which in Tianjin means new, resilient and very high-quality power infrastructure and highly supportive local government, but also to be able to bounce back from and learn from experiences where we don’t get it right. This means we need to see the “big picture” but not be tripped up by the detail. Ultimately our roles are to create a passionate
belief, communicate our vision and get all our stakeholders to come on the journey with us.” Chayora’s ambition includes giving global customers a consistent level of international hyperscale data centre facilities like they would expect anywhere else in the world. We want to be a trusted partner and seen as an enabler of our customers’ success in China. “Trust takes time,” says Jones. “You have to earn it in any sector, but in 97
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“ We feel very strongly that being able to contribute to the economic, political and social environments that we are operate in is critical.” — Jonathan Berney, Chief Operating Officer, Chayora 98
Click to watch: Jonathan Berney talk to Data Economy ‘China demystified. From data centre leaders to foreign investment opportunities’
SEPTEMBER 2018
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order to earn trust in the data centre market in China it’s not only about building a worldclass facility, it is then about going on to operate it consistently to standards that will satisfy international customer demands.” Listening to and understanding the customer is essential to delivering these standards, but both Jones and Berney recognise that the company cannot simply rest on the notion that it delivers ‘just enough’ – it has to exceed expectations. As Berney notes, there are a number of companies that can provide data centre 99
The Chayora Tianjin campus: 9 major Data Centres with 300MW+
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The stunning Tianjin railway station
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facilities in China to international businesses but Chayora’s ambition is to be known as the company which delivers what it promises, all of the time, every time and that what it promises is to achieve international standards of performance, scale and consistent quality that meet the requirements of international customers and are the best available in China. “To put it simply, we need to deliver value,” says Berney. “We need to deliver value to our customers and stakeholders in order to be trusted by them. That’s critical for us, but what’s ultimately even more important is having a drive for excellence as well. Near enough is never good enough for Chayora.” SEPTEMBER 2018
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“ We are absolutely crystal clear on the strategy for Chayora; providing the fundamental infrastructure to enable major international companies to access and succeed in China and ultimately deliver prosperity to China.” — Oliver Jones, Chief Executive Officer, Chayora
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Click to watch: Disruptive’s interview with Oliver Jones, at Cloud Expo Asia, Hong Kong, 2018
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“ What we want to be is a trusted, hyperscale campus provider and operator so that when people think China, they think Chayora.” — Oliver Jones, Chief Executive Officer, Chayora
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That’s what the Tianjin hyperscale campus represents for the company and its customers: a physical manifestation of Chayora’s ambition and drive for excellence. It shows customers that Chayora is not only incredibly ambitious in its vision but can deliver on it both now and in the future as the company continues its growth journey and adds further campuses to its portfolio. “We are at a massively exciting moment for our business because it’s a very significant inflection point for Chayora,” says Jones. “The hyperscale market is growing rapidly and it’s growing at an incredible rate. We are absolutely crystal clear on the strategy for Chayora, providing the fundamental infrastructure to enable major international companies to access and succeed in China and ultimately be part of the new and burgeoning prosperity of the country.” Over the next five years, Chayora will look to add a further four hyperscale campuses across China as it looks to cement its position as the go-to partner for international customers targeting online business in the country. The future of Chayora will of course be dictated by the evolving marketplace, but ultimately it will be defined by the very same thing it has always been defined by: the customer. “I can genuinely see us as a business going into new places and a whole series of new directions with our customers,” says Berney. “That comes down to the trust we have developed with them. As they embark on their growth journeys here in China, they want a trusted data centre partner that can deliver and exceed and that is Chayora.”
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Champions of change
The University of Tasmania is one of Australia’s oldest universities, but its Chief Information Officer Jeff Murray explains how it’s a stalwart for the digital age WRITTEN BY
NIKI WA LDEGR AVE
PRODUCED BY
GLEN WHITE
U N I V E R S I T Y O F TA S M A N I A
J
eff Murray, Chief Information Officer (CIO) at the University of
fantastic their contribution has been
Tasmania (UTAS), remembers
recognised in this way,” he says. “At
reading Martha Heller’s book, The CIO
any one time we’re working on up to
Paradox: Battling the Contradictions of IT
40 capital-funded projects. The
Leadership, a few years ago, in which she
current team is 109-strong and
says the CIO’s role is to create a team of
we’re a third more productive than
many CIOs.
ever before, producing a greater
It’s something that’s stuck with Murray, who has built – and continues to build – a
number of outputs per person. “We’ve refined our people,
solid, award-winning IT team at the
becoming more efficient and we’ve
university, which is ranked in the top 10
done that through programme
Australian research universities and the
delivery and better governance.”
top 2% of universities globally. 108
“The team are outstanding and it’s
In the last year alone, the team has won
UTAS is one of Australia’s most geographically-splayed universi-
numerous national and state awards,
ties, with courses across 65
including:
locations and four main campuses at Sydney, Burnie, Launceston and Hobart. It’s home to more than 50
• AIIA iAward Winners Tasmania (2017)
world-class research centres and
- Winners of Government and Public
institutes across science, engineer-
Sector for the eResearch Ecosystem
ing and technology, health and
- Merit Infrastructure and Platform
medicine, marine Antarctic and
Innovation of the year
maritime, business, arts, law and
• Australian Institute of Project
education, and together they
Management (AIPM) Project Management
generate a rich and diverse
Achievement Awards (2017)
research culture, underpinned by
- Winners of Tasmanian Project of the Year
vibrant multi-disciplinary collabora-
for Skype for Business project
tions, world-class facilities and a
- Winners of Small Project of the Year for
global reputation for research
Skype for Business project
excellence.
• 11th ranking in the CIO Australia Top 50
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“OUR PROGRAMME OF SYSTEMS ENHANCEMENT HAS DELIVERED $10MN IN ANNUAL COST SAVINGS.” — Jeff Murray, Chief Information Officer
BIO
Jeff Murray, Chief Information Officer (CIO), as head of the Information Technology Services (ITS) section, is responsible for ensuring the alignment of ICT strategy and services to the business goals of the organisation. This encompasses the strategic development, agile delivery and support of a broad range of Information, Communication and Technology (ICT) based services for the University campuses in Tasmania, interstate and internationally. The role is a key executive leadership position within the Division of the Chief Operating Officer, reporting to the Chief Operating Officer. Murray leads the executive management team of ITS and provide high level expert advice to the Chief Operating Officer. He is responsible for strategic management and direction of IT projects/programmes, services and policies at the institutional level and will be expected to work collaboratively with other heads of administrative section to deliver seamless services and support arrangements across the institution.
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The University of Tasmania partnered with Huawei on the provision of eResearch infrastructure in the area of high performance compute (HPC) infrastructure. The University’s portfolio additionally offers cloud-compute and research data storage to the Tasmania research community and their collaborators. HPC Solution • 256 CH121 v3 blade nodes (more than 7,000 Central Processing Unit (CPU) cores) • 100Gbps EDR non-blocking infinity band network • Implemented a now Open Source HPC cluster software
The HPC cluster provided a massive increase in capability and performance which was quickly adopted by the research community. Our mission is to deliver the best possible solution to enable researchers to solve the big problems of not just today, but tomorrow. Jeff Murry, Chief Information Officer
Huawei worked well with myself and the eResearch Infrastructure team to have the HPC ordered, delivered, racked and ready for acceptance within a matter of three weeks. There are few other organisations that could have achieved this as effectively. Adrian Dillon, Deputy Chief Information Officer
About Huawei Enterprise With continuous technologic innovation, Huawei is committed to fully leveraging the power of cloud computing. Software-Defined Networking (SDN), Big Data, and the Internet of Things (IoT) to build an open, flexible, resilient, and secure platform. Huawei Enterprise is committed to carrying out joint innovations with customers and partners, and helping customers across industries, including government and public sectors, financial services, energy, transportation, and manufacturing to achieve the goal of digital upgrade with “agility and intelligence” at the core. Currently, a total of 197 of Fortune Global 500, including 45 of the top 100, have chosen Huawei as their partner in digital transformation. Follow us on
Website – e.huawei.com/au Email – Mitar Marescuk (mitar.marescuk@huawei.com)
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MSP external, coutesy of John Gollings 111 Murray is responsible for ensuring the
“We know that our programme of
alignment of ICT-based strategy and services,
systems enhancement has
encompassing strategic development, agile
delivered $10M in annual cost
delivery and support for the campuses in
savings, and in that time the
Tasmania, interstate and internationally.
university’s revenue increased
Tech transformation is crucial to the future of
$160M a year, which was a 40%
the UTAS business strategy, and Murray has
gain in annual revenue. So we know
heavily invested in IT, spending $120M on
the university is vastly more
systems and technology since he started in 2013.
productive as a result of this.
“The importance is to position us for that new
UTAS runs more sites than any
digital era,” he says. “But the flavour we want to
other university in Australia and
bring to the new digital era is that it’s human-rich.
uses technology to help deploy a
People still like to see a person and a face and
richer choice, making it accessible
know there’s a name associated with the service
and connected to its students,
provision.
academic staff and researchers. w w w. b u s i n e s s c h i e f. c o m
U N I V E R S I T Y O F TA S M A N I A
Murray says its aim is to drive the island economy and economic development through a much more integrated, industry-connected, student-connected education system. “We are definitely working to deliver that education across the whole state of Tasmania, not just in the capital cities,” he says. “Tasmania is the least urbanised state in Australia, so technology helps us do that.” UTAS is the second university in 112
the country to introduce augmented reality into its teaching – its architecture students can now
“OUR ERESEARCH ECOSYSTEM (EREC) CAN STORE DATA OF ANY SCALE, WITH 7,100 PROCESSORS SERVING 3.7 PETABYTES OF STORAGE – AND CAPACITY CAN BE INCREASED AT ANY TIME TO MEET NEEDS.” — Jeff Murray, Chief Information Officer
learn 3D spatial principals and design using AR – and it produces the most online content in the country from its lecture systems, producing thousands of hours of video per term and delivering live teaching across the four main sites. With big data, Murray’s team delivered not just the supercomputer but also the software that won the AIIA iAward for the eResearch Ecosystem (eREc), which enables automation and collaboration of the researchers’ data archiving process. SEPTEMBER 2018
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“eREc can store data of any scale, with 7,100 processors serving 3.7 petabytes of storage – and capacity can be increased at any time to meet needs,” he says. “We called it ‘Facebook for Researchers’ as we can automatically enable where researchers share their open data, and then gain more collaborative viewpoints and analytical viewpoints on it. “The university’s researchers can move 30GB of data overnight from the International Marine Observatory System (IMOS) between the campus and the mainland. They transport the fifth highest volume of Australian cloud super computations.” Murray, who is also the chair of the Advisory Committee for Australia’s Academic and Research Network (AARNet), reveals eREc’s biggest users come from the main Australian states, explaining: “Our system in an automated way interprets the metadata, the tags on that data, just like your tag on Twitter, and shares it – so when people are looking for datasets in the marine observatory system, those tags queue their search in and bring them right down to the right place in our information set. “We’ve seamlessly provided huge datasets to the world in a collaborative way that enable our researchers to pick rich partnerships with other researchers working in that space. Then they can move towards solving vexing global problems together.” w w w. b u s i n e s s c h i e f. c o m
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U N I V E R S I T Y O F TA S M A N I A
Of course, when it comes to such infrastructure, understanding IT vendor management strategies is key, and UTAS has climacteric partnerships with the likes of Huawei, Dell EMC, HPE, Aruba, Microsoft, VMware, Technology One, ServiceNOW, Presence of IT, Echo360, D2L, InSync, Panasonic, Data#3, Parallo and Park Lane IT. “Huawei gave us that opportunity to build the second biggest supercomputer in the sector,” Murray explains. “They have provided us with best in class technology. “Parallo helped us in our virtual infrastructure area and Park Lane IT has allowed us to automate our database infrastructure. The software we put in place through Oracle and the technical support service we get from Park Lane IT has helped us to position that data layer in a more automated fashion so that it’s more agile and responsive to the business.” 114
Dell is also critical to the education centre, providing all Windows based desktop and laptop infrastructure and enterprise service and integrating its catalogue Amazon-style into all UTAS’ procurement. It is also a platinum sponsor of UTAS’ key innovation event, UHack. Aruba has partnered to improve the wi-fi, which Murray jokes “has come from woeful to no one talking about it anymore, which means it’s excellent.” Data#3 is also on-board and has enabled UTAS to provide
SEPTEMBER 2018
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FACT
MURRAY IS RESPONSIBLE FOR: • 109 employees • $35m annual budget. • $110m systems investment • $10m annualised benefits returned from this investment
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U N I V E R S I T Y O F TA S M A N I A
catalogue-style purchasing of Apple computers across the organisation, meaning people get that diversity of choice between a Windows machine or an Apple device. UTAS has embraced the Microsoft cloud provision as a very rapid adopter and has Office365 across the entire organisation for students and staff. “Cloud in the future is going to be a balanced platform of systems that are seamlessly operating the 116
internet,” he adds. “We’ve got a much richer collaborative environment around Microsoft Tools and where it’s improving our internal communications. “Only our supercomputer is on campus and I predict that’s short-lived. We’re constantly
Apply now to study at the University of Tasmania
reviewing whether we can run that
“OUR ERESEARCH ECOSYSTEM (EREC) CAN STORE DATA OF ANY SCALE, WITH 7,100 PROCESSORS SERVING 3.7 PETABYTES OF STORAGE – AND CAPACITY CAN BE INCREASED AT ANY TIME TO MEET NEEDS.” — Jeff Murray, Chief Information Officer SEPTEMBER 2018
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Uhack 2018 117 in the cloud. Cloud removes the old steps
eventually be replaced by that one
and jumps that might happen in scaling big
computer that can do everything, but
computing and makes it a lot more of a
Murray says that’s not the desired
smooth and fluid uplift in performance and
outcome, insisting artificial intelligence will
uplift in responsiveness.
be specific automations to the menial
“It gives us balanced high-performance big data seamless to the user.” UTAS now has a dashboard of every single process and every single request –
tasks, enabling humans to get on with the richer, more interesting, more intellectually stimulating roles. “We know that human empathy is
not just for IT – but a service delivery
extremely difficult to program into a
across all of the university processes,
computer – and anyway, will humans ever
which is bringing everything into one
trust a computer if it is expressing
space, in preparation for that automated,
empathy?” He questions. “I expect not.
robotic, artificially intelligent digital era that it’s moving into. People perceive that their job will
“Will people enjoy a flawless ballet performance by a robot? I suspect not either. So we see that artificial intelligence w w w. b u s i n e s s c h i e f. c o m
U N I V E R S I T Y O F TA S M A N I A
is not the panacea that’s going to take over everything while we sit on the couch. We see AI as an opportunity to enrich services and roles and jobs, taking away the menial, making us more productive and making our roles more enjoyable.” Of course, with such huge changes across the systems, Murray says the change management is the most critical part of any project, and ensures every project has its own change manager. “Change has become the one 118
constant, and we have critical stakeholders across the organisation who know their local services and local teams, and make sure we don’t overburden them too much,” he says. “They’re called the Champions of Change and become strong advocates and stalwarts for this new future that this digital era is bringing, and my best achievement is that the team is recognised as a very strong, responsive and agile team. “I’m 100% sure that I’ve created a team of many CIOs that are connected to the university’s vision and direction.”
SEPTEMBER 2018
TECHNOLOGY
Deputy Vice-Chancellor of Research Prof Brigid Heywood, Signing New Surface Hub
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HELPING BUSINESSES N AV I G AT E
A D I G I TA L F U T U R E Whilst undertaking an exceptional digital transformation of its own, KPMG New Zealand is giving businesses the helping hand they need to reinvent their digital strategies
WRIT TEN BY
L AUR A MULL AN PRODUCED BY
ANDY TURNER
KPMG
D
igital transforma-
ers,” reflects Chief Information Officer Cowan
tion is not a new
Pettigrew.
concept: since the advent of
“It’s important to understand that isolated
the internet, companies have
digital tools don’t lead to the transformational
diligently adopted new digital
results that business owners seek,” he continues.
tools – from blockchain to
“Businesses need to identify what problem
edge computing — to
they’re trying to solve before they search for
transform the way they
technologies. Digital tools are only a plank or
collaborate and do business.
toolset that supports the wider goals of an
What has changed is the sheer volume of technology
122
organisation.” A digitally-driven firm, KPMG NZ has em-
options that are now flooding
barked on its own root-and-branch transforma-
the market. The proliferation
tion, which is helping to bring its strategic vision to
of technology choices can be
life. Yet, before any company, including KPMG
daunting for business
NZ, can embark on such a mammoth change,
owners and this is where
Pettigrew believes IT leaders need to look
KPMG New Zealand (NZ)
inwardly first.
intends to offer a helping
“I feel the realisation that Chief Information
hand. Renowned for its
Officers (CIOs) need to transform themselves
auditing, tax and advisory
has been the biggest strength I have brought to
services, the firm is now
KPMG NZ,” comments Pettigrew. “Being a CIO is
helping companies navigate
no longer a position for purely technical people
the swathes of digital tools in
who drive value through infrastructure alone.
the market so they can
Whilst a technical understanding is important, the
achieve their strategic goals.
new multi-hat CIOs are those who have evolved
“Digital transformation isn’t
beyond the technical and provide passionate
a static point in time, it’s a
leadership with business-led, customer-facing
repeating life cycle of
strategies that enable the business to realise its
continuous improvement and
vision and goals.”
service delivery to customSEPTEMBER 2018
M A N U FA C T U R I N G
BIO
THE ‘FANG’ EFFECT
The role of the CIO now is one of transfor-
Coming into the firm in December
mation. It’s aligned with business
2016, Pettigrew notes that one of his
objectives that Cowan assists in defining,
biggest challenges as CIO was to
implementing and continually transform-
transform the company’s discon-
ing so the business stays dynamic and
nected systems. In doing so, KPMG
relevant to its customers.
NZ is evolving to fulfil its growing
Transformation isn’t a point in time, it’s not
need for mobility, collaboration,
a moment - it’s a continuous evolving pro-
integration and, perhaps most
cess that breaks from the old ways, with
importantly, to meet its growing and
constant learnings and pivots in direction
ever-evolving user experience (UX)
along the way.
expectations. Indeed, Pettigrew
What Cowan’s role in this? With over 25
underlines how the so-called
years in the I.T. industry, he says he pro-
‘FANG effect’ is elevating consum-
vides practical strategic leadership with
ers’ expectations. This has
business led, customer facing strategies
encouraged KPMG NZ to raise the
that enables the business to realise its
bar to meet their demands.
vision and goals.
“ON-GOING DIGITAL TRANSFORMATION ISN’T ALWAYS EASY. IT REQUIRES A CLEAR VISION AND COMMITMENT”
As a multi hat wearing CIO, Cowan lives and breathes these values, seeking to create customers for life by building supported, sustainable platforms that deliver forward facing customer solutions.
— Cowan Pettigrew, Chief information Officer
w w w. b u s i n e s s c h i e f. c o m
123
KPMG
“The FANG effect has lifted the UX expectation across the board,” he observes. “If the applications don’t collaborate like Facebook, enable procurement like Amazon, look as cool as Apple, allow users to consume media like Netflix and search like Google, you’re missing an engagement opportunity with your clients and staff alike. These giants have set the bar for user experience and it’s driving customer expectations. Smart businesses who respond to this will be a step ahead of the competition.”
SUPPORTING FOCUSED STRATEGIES Pettigrew is keen to deliver technologies that add value. Yet before he talks about digital tools he believes it’s imperative that companies truly grasp their business strategy, 124
otherwise they may get side-tracked or
SEPTEMBER 2018
M A N U FA C T U R I N G
125
w w w. b u s i n e s s c h i e f. c o m
KPMG
126
distracted by new digital trends.
vision and commitment. In my opinion, I think the
“’Digital’ by itself is not a strategy,
ultimate outcome of any digital strategy is that it
it’s a tool,” he asserts. “It’s critical to
delivers back time; time that can be delivered to
understand that isolated digital
the end user and which can add value elsewhere.
strategies generally don’t lead to
At KPMG NZ, our strategy started with strength-
the transformational result that
ening and stabilising our foundations before mov-
business owners are after. You’ve
ing to unlock and transform based on people,
got to reverse the equation and ask
process and technology. This has helped to
‘what are the business goals? what
deliver a platform based on data-centricity, that is
is the problem you’re trying to solve?
relevant to our people and business needs, and
and what’s the role of digital in that?’
which is setting us up for a tech-savvy future.
“Ongoing digital transformation isn’t always easy. It requires a clear SEPTEMBER 2018
“KPMG NZ is on a journey towards becoming a sector-led, client-focused technology and data
M A N U FA C T U R I N G
KPMG
in New Zealand has over 1,000 professionals across 7 cities
geographic region in which it operates. “At KPMG NZ everything we do ties back to our purpose of fuelling New Zealand’s prosperity,” Pettigrew says. “It’s our benchmark
Parent group KPMG was founded in
1987
501-1,200 Approximate number of employees
for the work we do, the clients we work with and the community projects we get involved in. We also have access to KPMG’s global network, drawing on our member firms in 155 countries worldwide. This gives us the freedom to develop IT services that suit our own environment, as well as working on bigger picture pieces that are for the entire network.” With its feet firmly in both New
insights company for our clients,” he adds.
Zealand and global markets, KPMG
“Information technology systems (ITS) is one
NZ has a wealth of expertise to draw
of the primary drivers of value and efficiencies
upon. The firm provides services to
at the firm.”
a wide range of industry sectors including agribusiness, insurance,
CUSTOMER-CENTRICITY
healthcare and more. In doing so,
Having undertaken its own transformation and
Pettigrew says the firm has become
been in its clients’ shoes, KPMG NZ understands
a ‘beacon of insight’ into the New
first-hand the steps businesses need to take to
Zealand business landscape. On
deliver exceptional change. Additionally, as the
top of this, Pettigrew highlights how
only one of the ‘big four’ auditors that is 100%
the firm keeps an ear to the ground
New-Zealand owned, KPMG NZ has an
to truly understand its clients’
unparalleled understanding of the unique
challenges. w w w. b u s i n e s s c h i e f. c o m
127
KPMG
“Any transformation we undertake has the
DIGITAL PIONEERS
client at its heart,” says Pettigrew. “We have
KPMG NZ has zeroed in on some of
worked to improve the way we do business so we
the most disruptive technologies in
can provide our clients with sharper, smarter
the sector to achieve this, particu-
services and insights that help them succeed.
larly looking at tools like: artificially
We’re constantly listening to our clients to
intelligent computing and robotic
understand what they need and expect from us,
process automation as a service,
undertaking client surveys and market research
blockchain, intelligent customer
to understand our current position versus where
relationship agents, insight
we want to be. Ultimately, we want to exceed our
platforms, data management
client’s expectations – so it truly is the client that’s
applications, security automation
driving us to ensure we have the best tools, the
and more.
best technology, and the best people to bring these to life.”
Amalgamated with new valuedriven operating models like
128
Click to watch: ‘Do you need Corporate Governance? KPMG New Zealand’
SEPTEMBER 2018
M A N U FA C T U R I N G
“ DIGITAL TRANSFORMATION ISN’T A STATIC POINT IN TIME, IT’S A REPEATING LIFE CYCLE THAT IS A KEY ELEMENT OF CONTINUOUS IMPROVEMENT AND SERVICE DELIVERY TO CUSTOMERS”
129
— Cowan Pettigrew, Chief information Officer
w w w. b u s i n e s s c h i e f. c o m
Make Digital Transformation and the Modern Workplace a practical reality. Talk to Lexel’s award winning and innovative team today.
NZ: +64 9 414 1777 AU: +61 2 9435 0384 info@lexelsystems.com
lexelsystems.com
M A N U FA C T U R I N G
“At KPMG NZ everything we do ties back to our purpose of fuelling New Zealand’s prosperity” — Cowan Pettigrew, Chief information Officer technology for business management (TBM) to keep pace with disruption, the
Imanage Work 10 with the RAVN AI engine and the Microsoft Office 365 suite, KPMG NZ is well placed in our strategy to stay ahead of the curve. “Meanwhile, Lexel systems provide critical support for our IT operations including our all-important network, unified communications and sysops management. They are deeply embedded within the business providing thought leadership on ways to improve the business in line with our ITS strategies.” Looking forward, Pettigrew is
company has collaborated closely with
optimistic about the future for KPMG.
pioneers in the technology sector.
Driven by technological innovation,
“Having these key partners alongside
Pettigrew believes KPMG NZ has
us and deeply embedded within the
cemented itself as a top choice for any
business provides me with both the
business seeking advisory or sector-
advice, thought leadership and sound
led help. “In the next five to ten years, I
boarding I need on a daily basis,”
see KPMG NZ as a clear choice for
reflects Pettigrew. “Leveraging the best
businesses, establishing itself as a
from Lenovo for mobility, and combined
beacon of information that businesses
with the power of platforms like
can count on.”
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132
SEPTEMBER 2018
TECHNOLOGY
A pioneer of AI-powered insurance WRIT TEN BY
L AUR A MULL AN PRODUCED BY
A LE X PAGE
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133
SUNSHINE INSURANCE GROUP
134
With its pioneering use of artificial intelligence and big data, Sunshine Insurance Group is disrupting the insurance sector in China
A
rtificial intelligence (AI) may be in its infancy but it’s set to radically transform the way we do business. As the cutting-edge technology gains
more traction, it could be argued that no industry is more ripe for disruption than the data-rich insurance
sector where everything from customer service to claims processing has the potential to be enhanced. A recent study from Tata Consultancy Services reported that the insurance sector has invested $124mn in AI compared to an average of $70mn invested by other industries. In China, Sunshine Insurance Group has emerged as a gleaming example of how insurance firms should ready themselves for this seismic shift. SEPTEMBER 2018
TECHNOLOGY
BIO
Zhenbin Xu is a seasoned technology leader with world class experiences building highly secure, reliable software and internet-scale services powered by big data, AI and machine learning, for over a billion users. Starting his career with a successful tele-communication startup company in China for one year, Xu joined a software startup on the US East Coast for one year, then moved to the West Coast to join Microsoft in 1998. He worked there for 19 years, with a few years in between working for Microsoft’s Search Technology Centre Asia in China, before joining Sunshine Insurance Group in Beijing in early 2018 to oversee its Big Data and AI strategy and implementation. Reporting to Sunshine Group’s CEO, he also spearheads the group’s longterm technology transformation strategy. Zhenbin has a unique combination of business acumen with technology breadth and depth, a deep understanding of both US and Chinese industry as well as culture, and a startup mentality. He has deep expertise in browser development and web technology, having been a key technical leader for Microsoft’s IE core team and formation of HTML 5 Standard. He worked with Microsoft’s prestigious new Operating System (code name Midori) team for three years incubating future general OS and technologies. In the last few years Xu has held Engineering Leadership roles on Bing Search Engine, Bing Ads and Microsoft Cortana. Key achievements include the founding of Microsoft Internet Security Center Asia and the creation of a security product with 265M installation, 60M DAU within 6 months of release; invention of technology/strategy that generated hundreds of millions of revenue for Bing; delivery of a brand new ad platform/product within one year with committed revenue of $1bn+; incubation of Microsoft Mobile Edge browsers; and development of Cortana Smart Speaker Invoke.
135
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SUNSHINE INSURANCE GROUP
One person at the helm of Sunshine
paradigm shift, Sunshine
Group’s AI strategy is Zhenbin Xu,
Insurance Group has delved
President’s Office and Chief AI
deep into what AI could offer
Scientist at Sunshine Insurance
the industry.
Group. “The way I look at it, we are at
Xu’s objective is a far-reach-
a transition in time in terms of
ing one: he has worked diligently
technology,” Xu explains. “If we
to transform the company into
define an era by its technology then I
a technology-driven one –
would say we have been through the
enhancing the firm’s culture,
PC internet time, then we went
management and business
through the mobile internet time.
model – and he has also helped
Now we are entering what I call the AI
to drive the insurance group’s AI
or ubiquitous computer era, whereby
and data strategy. Blending both
more and more smart devices are
a people-oriented and technolo-
entering people’s lives, and AI could
gy-driven approach, Xu believes
be applied to them.” Recognising this
that Sunshine Insurance Group
Click to watch: ‘Sunshine Insurance Group - Company overview’
SEPTEMBER 2018
TECHNOLOGY
is leaving its mark on the sector. “One of the unique aspects of Sunshine Insurance Group is its strong work culture and vision,” says Xu. “We want to create a financial group that fulfills customers’ multiple needs around financial security and protection. That’s one of the reasons why today Sunshine Insurance Group is extending outside of the core business – insurance is our core business but we also have an internet finance and healthcare function.” “We are also a very technology-driven company. Sunshine Insurance
“ If we define an era by its technology then I would say we have been through the PC internet time, then we went through the mobile internet time. Now we are entering what I call the AI or ubiquitous computer era” — Zhenbin Xu, President’s Office and Chief AI Scientist at Sunshine Insurance Group
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137
SUNSHINE INSURANCE GROUP
Group is one of the top insurance
Group is frequently cited as a China
companies in China and compared to our
Top 500 Enterprise and a China Top
peers we are very technology focused
100 Service Company by China Enter-
and agile. Today there are more smart
prise Directors Association (CEDA).
devices and entry points for people to
Three years after the establishment of
interact, it is still unclear how insurance
its property and casualty company,
companies should adapt to this transition
Sunshine Property and Casualty
– this has presented an opportunity for
Insurance Co. Ltd, it has also surpassed
Sunshine whereby we can invest in AI
71 competitors to become one of the top
with a distinct strategy and product to
eight insurance companies in the region.
best serve customers. We see it as
Delving into the growing field of AI, Xu
a chance to become a market leader.”
is excited for what the future holds.
It seems that this distinctive approach is
Today Sunshine Insurance Group is
paying off: today, Sunshine Insurance
exploring the use of virtual agents,
138
WE FOCUS ON AI Zhongke Guoli Intelligent Technology Co., Ltd. is the industrialization main body of the intelligent information research results of the Institute of Computing Technology of the Chinese Academy of Sciences. It is an artificial intelligence high-tech company that provides intelligent operation solutions, and promotes the Chinese Academy of Sciences’ intelligent semantics, knowledge management, intelligent search, and natural language leadership. The application of technology scenes is grounded.
WWW.KNOWLOGY.CN 1805, Twin tower-A, Jing twelve road, Ding Mao, Zhenjiang, Jiansu Province
TECHNOLOGY
“ In the future, our goal is to become the best adapter of the AI technology” — Zhenbin Xu, President’s Office and Chief AI Scientist at Sunshine Insurance Group
139
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SUNSHINE INSURANCE GROUP
voice technologies, image technologies, video technologies, smart devices and natural language processing (NLP) – and this is just the start. “There are a lot of touch points within our operation where we interact with customers,” Xu adds. “For all the cross points, if you can leverage AI technology, through voice and emotion recognition, face recognition, liveness detection, micro expression analysis, optical character recognition, natural 140
Click to watch: ‘Sunshine Insurance Group Campus’
language understanding, knowledge graph and image-based damage assessment, then we can
the workforce and promoting more
improve the customer experience
data-driven projects.
and speed up the entire process.
“We think big data will also allow
Customers today expect faster
us to provide more differentiated
services, more reliable services and
products to our customers,”
more natural ways to interact with
comments Xu. “For example, in terms
our services. Nowadays we can use
of product pricing, big data definitely
AI technology to achieve that.”
helps us give a more accurate
Leveraging the vast amount of data
service and, in a lot of cases, a much
at its fingertips, Sunshine Insur-
better price to our customers.”
ance Group has also embarked
Xu points out that AI and big data
on a pioneering ‘Data Sunshine’
could also help to fight against one of
strategy to aid the company’s
the costliest elements of the insur-
transition to a more data-driven
ance industry: fraud. By preventing
enterprise. This involved educating
and detecting fraud this will help to
SEPTEMBER 2018
TECHNOLOGY
141 reduce the premium for the compa-
Situated in Weifang City in east
ny’s customers, as overhead costs
China’s Shandong province,
will be reduced. On top of this, the
Sunshine Union Hospital stands as
firm is also tapping into other
the country’s first hospital founded
emerging technologies like block-
by an insurance group. Additionally,
chain and usage-based insurance
in its short history, it has also
(UBI) to stay ahead of the curve.
passed the highest standard of
Sunshine Insurance Group has
international medical services and
already proven itself to be a pioneer
management (the Joint Commission
of new technology although interest-
International Accreditation Stand-
ingly, the firm is also exploring new
ards for Hospitals, 6th edition).
sectors and avenues for disruption.
“With our hospital, I believe we
Take for example its latest foray into
tried to achieve two things: firstly,
the healthcare sector with the
we tried to figure out how to combine
company’s own hospital.
insurance with medical treatment. w w w. b u s i n e s s c h i e f. c o m
SUNSHINE INSURANCE GROUP
For example, if you do a health exam at
talent in the sector, recognising that
the hospital you can have the data
these people not only need to be well
available to the insurance part of the
versed in insurance operations, they
business electronically to speed up
also need to be technology-savvy
underwriting and reduce premium.
individuals so that Sunshine Insurance
“Secondly, we also aimed to build
Group can grow its own technology
a first-class hospital using smart AI technologies. It is a technology-rich
“Today many firms rely on outside
facility: we are exploring the latest
companies to provide a technology
AI-enabled digital services and tools to
product for them; the past model
improve the efficiency and the customer
doesn’t work well in this new AI era,”
friendliness of all hospital operations.”
Xu says. “We have to start to consider
With such a far-reaching remit, Xu 142
capabilities internally.
how we can develop our own big data
notes that the firm has worked
and AI capabilities. We need data
diligently to attract and retain the best
scientists. We need AI scientists. We
SEPTEMBER 2018
TECHNOLOGY
need the ability to even produce our
our customer experience and
own AI product. That is quite a change:
become a market leader. We’re not
it requires a special company culture,”
just thinking about how we can have
he adds. “Culture is very important
better profits – what my team brings
because without the right culture you
to the company is ‘value innovation’.
cannot hire the right technology talent.”
We’re not thinking about what our
Sunshine Insurance Group has
peers are doing in the Chinese
come leaps and bounds since it was
insurance industry. We’re thinking
first founded over a decade ago. Now,
about where society is moving to,
Xu believes the firm is upending the
how our consumers are changing
insurance sector by becoming an
and how we can serve our customers
early adopter of AI.
with best value and quality of service,
“In the future, our goal is to become
and basing our strategy on that.”
the best adapter of AI technology,” he says. “It is truly helping us to improve
143
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SEPTEMBER 2018
TECHNOLOGY
BLENDING SUSTAINABLE DESIGN AND TECHNOLOGICAL INNOVATION IN NORTH ASIA WRIT TEN BY
L AUR A MULL AN PRODUCED BY
A LE X PAGE
w w w. b u s i n e s s c h i e f. c o m
145
S U R B A N A J U R O N G P R I VAT E LT D .
Surbana Jurong’s motto ‘Building Cities,Shaping Lives’is a meaningful one for North Asia CEO Michael Ng. He reveals how the firm is combining sustainable design,technological innovation and partnerships to make this happen.
S
urbana Jurong has established itself as a powerhouse in the architecture and engineering and masterplannning sectors.
As cities seek more environmentally-conscious and hi-tech designs, the Singapore-based firm has risen to the challenge and today stands as one of 146
the largest Asia-based urban and infrastructure consultancy firms in the world. Combining sustainability-focused design with cutting-edge technology, CEO of Surbana Jurong North Asia, Michael Ng, says that the company’s unique approach makes it a standout force in the market.
Health City Novena Sigapore
SEPTEMBER 2018
One North, Industry park in Singapore
TECHNOLOGY
147
Tianjin Ecocity, Aerial perspective of the government administrative centre “Surbana Jurong’s motto ‘Building Cities, Shaping Lives’ reflects its belief that development is more than just steel and concrete,” observes Ng, “Surbana Jurong creates spaces and designs infrastructure where people live, work and play, shaping cities into homes with sustainable jobs where communities and businesses can flourish. “The company has a track record of close to 70 years and has built more than a million homes in Singapore, crafted master plans for more than 30 countries, and developed over 100 industrial parks globally,” he adds. w w w. b u s i n e s s c h i e f. c o m
华建数创
SMART CITY, DIGITAL
BUILDING
Dedicated to the excellence in architectural design, ARCPLUS has been ranking among the top three in China. The past 60 years has witnessed its profession, persistence and progress. Today, ARCPLUS has accomplished thousands of consultancy and design projects, and designed vast of landmarks across the globe. It was honored by Engineering News-Record (ENR) as one of the “Top 150 Global Design Firms”. Arctron Data & Innovation Technology Co. Ltd is a wholly-owned subsidiary of ARCPLUS which devotes to the digital transformation of ARCPLUS. Now,Arctron has became one of the finest integrated services providers of full life cycle digital engineering and digital transformation for engineering & construction companies. Convergence of following technologies: • Internet • Cloud Computing • Internet of Things • Big Data
Integrated Industry technical solutions: • BIM (Building Information Model) • FM (Facility Management) • GIS (Geographic Information System) • Artificial Intelligence
www.arctron.cn
www.surbanajurong.com
TECHNOLOGY
BIO
Mr Michael Ng heads up the North Asia division of Surbana Jurong Consultants Pte Ltd, Asia’s leading engineering, construction and infrastructure multi-disciplinary consultancy. He is responsible for the overall delivery, leadership and development of the division across Mainland China, Hong Kong, Macau, Taiwan and other parts of North Asia including Korea, Mongolia and Russia. He sits on the boards of five of Surbana Jurong’s subsidiaries and associated companies, including SMEC Asia Ltd, SinoSun Architects & Engineers and Arcplus SJ Digital Ltd. Before Surbana Jurong, Ng had spent the initial 20 years of his career in the Information and Communications Technology (ICT) industry with portfolios ranging from telecommunications, Managed Services, Smart City solutions to emerging technologies such as Machine to Machine (M2M) and the Internet of Things (IoT).
Michael had held several senior appointments in SingTel Group and StarHub Ltd, heading up business units for Managed Services, Global Enterprise Sales, Solution Sales, Enterprise Mobility, Partnership & Alliances, Product, Delivery and Operations. He has accumulated vast experience in managing global teams of diverse background and competencies in more than 20 countries. Ng holds a Bachelor of Science (BSc)(Hons) from the National University of Singapore. He also holds several technical design certifications in Network and Unified Communications from Avaya, Nortel and Cisco. Ng enjoys jogging and soccer. He is married with three children.
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149
S U R B A N A J U R O N G P R I VAT E LT D .
Ng speaks passionately about the company’s rapid growth and rich heritage, but the numbers also speak for themselves: boasting a global workforce of over 14,000 employees, Surbana Jurong Group is now present in over 40 countries across Asia, Australia, the UK, the Middle East, Africa and the Americas, generating an annual turnover of around $1.09bn (S$1.5bn). In North Asia alone, Surbana Jurong has successfully completed over 2,000 projects and three government-to-government projects in China — Suzhou Industrial Park, Tianjin Eco-city and Chongqing Liangjiang New Park. 150
In its North Asia operations, Surbana Jurong is a gleaming example of a technologically-driven firm. To remain at the forefront of the industry, the business sees technology as an enabler and embarked on its digitisation journey years ago, leveraging technology to enhance performance within the company and to provide better solutions for its clients. It is also a pioneer in designing and implementing precast technology in Singapore’s public housing programme, as well as one of the first multidisciplinary consultancies to harness the Building Information Modelling (BIM) system in planning and design. Additionally, Ng highlights how Surbana Jurong is leveraging emerging technologies like artificial intelligence (AI) and data analysis in SEPTEMBER 2018
VR centre
TECHNOLOGY
smart city solutions. This has allowed the company to provide predictive solutions for clients, leading to better cost and schedule estimation. “In the building industry, technology helps to take the guesswork out of design, brings more efficiencies into work
Raffles Hospital Shanhai China
processes, improves productivity, brings about long-term cost savings and alleviates manpower crunch,” Ng notes. “Going forward, we will continue to integrate technology into our processes and as part of our solution offerings,” he adds. “Technology will play a key role in our growth as we continue to adopt new technologies such as BIM, Virtual Design and Construction (VDC) and Virtual Reality/ Augmented Reality (VR/ AR) to add value to our clients and improve productivity. We are also working with research and technology partners to ensure we stay at the forefront of the industry.” One such partnership helped to set up the SJ-NTU Corporate Laboratory with Singapore’s w w w. b u s i n e s s c h i e f. c o m
151
S U R B A N A J U R O N G P R I VAT E LT D .
Architectural ResidentialBaoshan Yunan province China
152
National Research Foundation and
efforts, Surbana Jurong has played an
Nanyang Technological University, which
instrumental role in the development
develops next-generation sustainable
of Singapore’s urban, industrial and
solutions to tackle industrial and complex
infrastructure landscape for more than
urban challenges. The lab’s key
five decades, which explains its unique
objectives are to translate research
in-house capabilities from master
outcomes into practical and viable
planning to township, coastal reclama-
solutions based on three core themes
tion and industrial parks. By keeping
— digitisation; green and sustainable
environmental issues and citizens at
urban solutions; and future of industry
the forefront of its vision, Ng highlights
and productivity.
how the company has earned a
Tracing its roots to government agencies synonymous with Singapore’s early township and industrialisation SEPTEMBER 2018
reputation for sustainable design. “Surbana Jurong infuses sustainability into all our projects and into our
TECHNOLOGY
153
corporate DNA,” he says. “A dedicated
Smart city solutions, sustainable
team of specialised professionals is
design, and technologies like AR and
tasked with driving a global group effort
VR are the keys to our vertical
to ensure urban solutions that are
competencies. As one of the largest
economical, socially and environmen-
Asia-based urban and infrastructure
tally sustainable are always delivered.
consultancies, we believe in the
We take a holistic approach, analysing
development of attractive, liveable
all physical, social, economic and regula-
and sustainable environments for
tory aspects, to ensure a piece of land is
future generations.”
properly developed to its full potential,
Surbana Jurong has grown from
remains relevant and rejuvenates itself
strength to strength to become
for generations to come.
Singapore’s largest engineering firm
“Sustainability isn’t part of our work – it’s a guiding influence for all our work.
and one of the largest Asia-based global urban and infrastructure w w w. b u s i n e s s c h i e f. c o m
S U R B A N A J U R O N G P R I VAT E LT D .
“ In the building industry, technology helps to take the guesswork out of design, brings more efficiencies into work processes,improves productivity, brings about long-term cost savings and alleviates manpower crunch” 154
— Michael Ng, CEO of Surbana Jurong North Asia
SEPTEMBER 2018
TECHNOLOGY
155
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S U R B A N A J U R O N G P R I VAT E LT D .
consulting firms offering best-inclass solutions. As a group (comprising member companies AETOS, KTP, Robert Bird Group, Sino-Sun and SMEC), it can now offer end-to-end services, and tap into niche, higher-end markets. Zeroing in on the growing China market, Ng highlights that local cooperation has been pivotal to the company’s expansion. “We believe that by working with local partners, we are better able to apply our expertise and 156
experience in the local market. Partnerships augment each other’s capabilities and allow us to grow together,” he notes. “There have been numerous collaborations so far. For instance, in 2015 we formed a strategic
highway and infrastructure-related projects globally as well as to undertake projects under China’s Belt and Road initiative.” “Our collaboration with Vanke to jointly
partnership with China’s CITICC
develop Industrial New Town projects in
(Africa) Holding which will see us
China’s Midwest regions aims to create
potentially developing 30,000
sustainable cities for the residents to live
affordable homes in Africa in the
and work in, focusing on developing the city
next five years; while last year, we
while supporting industries and the govern-
formed a joint venture with China
ment,” Ng adds. “Not forgetting the memo-
Highway to provide design and
randum of understanding (MOU) with
consultancy services for highway
Zhejiang Communication Investment Real
and municipal projects. This joint
Estate Group Co. Ltd, to develop a new
venture allows us to pursue
township as well as commercial and residential
SEPTEMBER 2018
TECHNOLOGY
157
Sydney Metro Northwest
“ We understand that through our design, we are not simply designing and building a city, but with some of these technologies such as smart city solutions and sustainable design technologies, shaping the lives of those who dwell within the city” — Michael Ng, CEO of Surbana Jurong North Asia
properties in China. We will explore the development of the masterplan for the township and development management services for the project.” Surbana Jurong also embarked on a joint venture with ADIT to provide cutting-edge facilities management digital solutions using BIM technology. “This collaboration will put us ahead of the digital curve which aligns with Surbana Jurong’s digital transformation to introduce w w w. b u s i n e s s c h i e f. c o m
S U R B A N A J U R O N G P R I VAT E LT D .
digital tools across our services to raise productivity and performance
sustainable cities and buildings
of manpower-intensive businesses
have seen demand for our solutions
such as FM for our customers,”
increase, and we expect that we will
comments Ng. “Our sterling track
continue to contribute our expertise
record in managing operationally-
in this area,” Ng says. “China’s
ready facilities testifies to our
growth will increasingly be tied to
capability and experience.”
consumer-led economies, such as in
Surbana Jurong has established
158
“In recent years, China’s focus on
healthcare, retail, tourism, education
itself as a world player in the
and so on. Stable consumer-led
industry – with the firm securing
growth is an important anchor for
25th place in ENR’s ranking of Top
China’s economic transformation.
225 International Design Firms –
Infrastructure construction is also
and this can doubtless be credited
expected to play a key role in
to how it addresses the need for
stabilising growth for China, with
sustainable design with a blend of
the rising emphasis on environmental
innovative technology and partner-
regulations and sustainability. To
ships. Nowhere can this be seen
that end, Surbana Jurong has deep
better than at the company’s opera-
domain knowledge, experience and
tions in China, where the firm has
expertise which we have both
celebrated steady growth.
brought with us to China but also
SEPTEMBER 2018
TECHNOLOGY
learned and built over the past two decades in this region, providing our sustainable design and engineering solutions, from master planning to design and engineering and facilities management, especially in the public housing, healthcare, high tech industrial parks and transit-oriented development.” Whilst Surbana Jurong has held its own on the world stage, it hasn’t forgotten its roots. Ng notes that the firm’s meteoric rise has stayed in keeping with the firm’s motto: ‘building cities, shaping lives’. “We understand that through our design, we are not simply designing and building a city, but with some of these technologies such as smart city solutions and sustainable design technologies, shaping the lives of those who dwell within the city.”
w w w. b u s i n e s s c h i e f. c o m
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160
SEPTEMBER 2018
MINING
MASAN RESOURCES THE FUTURE POTENTIAL OF TUNGSTEN IN VIETNAM WRIT TEN BY
DA LE BENTON PRODUCED BY
A LE X PAGE
w w w. b u s i n e s s c h i e f. c o m
161
MASAN RESOURCES
MASAN RESOURCES HAS SUCCESSFULLY DEVELOPED THE LARGEST TUNGSTEN MINE IN THE WORLD, SHINING THE SPOTLIGHT ON VIETNAM’S EMERGING MINING SPACE
L
ooking across the
leadership and a network of
global mining map,
international partners to collabo-
Canada, Australia and
rate as part of a platform to drive
Africa dominate the conversation with regards to resource rich
162
this market. This is exactly what Masan
geographies and untapped
Resources strives to achieve.
potential. The mining industry is
Through the acquisition of a
cyclical and that in turn forces
controlling interest in Nui Phao
companies to look for new
Mining, Masan Resources has
resources and new opportuni-
worked to significantly develop
ties in new and emerging
the Nui Phao Project – the
markets. One such emerging
world’s largest tungsten mine.
market, is Vietnam. Vietnam is a mining jurisdiction
Overseeing this development is Craig Bradshaw, CEO of Masan
that is the very definition of
Resources and General Director
untapped potential. With more
at Nui Phao. Having worked on the
than 5,000 deposits of more
project over the last seven years,
than 60 different types of metals,
under the previous CEO and
including 7% of the world’s
succeeding him in 2015, Brad-
reserves of bauxite, Vietnam
shaw has witnessed first-hand
could very well be a major
just how much potential both
mining market of the future.
Vietnam and the mine itself has to
In order to turn this possibility into reality, not only will it require investment but smart investment, SEPTEMBER 2018
dictate the global mining market. “We’re the world’s largest tungsten mine, up there as one
MINING
Craig Bradshaw, CEO of Masan Resources & General Director at Nui Phao
163
w w w. b u s i n e s s c h i e f. c o m
MINING
165 of the leading fluorspar mines in the
and small amounts of copper and
world as well as being the largest bis-
gold. Bradshaw notes that the
muth mine in the world too,” he says.
challenge then becomes one of
“But Vietnam has so much untapped
processing those different minerals,
potential in terms of people too with
both effectively and efficiently.
quality of life, education and infrastructure all improving. “When you combine the resource
“It really is a challenge in being able to process those minerals and extract them at different stages of
potential with the human workforce
the process,” says Bradshaw. “I’d
potential, you really begin to recognise
argue it’s probably more
how close Vietnam is to changing the
challenging here than at
mining conversation in the world.”
any other mine in
The project produces around 3.5
the world, given
to 3.8mn tonnes of ore per year,
the nature of
including tungsten, bismuth, fluorspar
the minerals.” w w w. b u s i n e s s c h i e f. c o m
MASAN RESOURCES
166 Alas, Bradshaw points to considerable success that he has overseen at the project in recent years. In 2017, Masan Resources reported a record year for production across all of its commodities, with a 5.7% increase
Click to watch: ‘MASAN with THAI TUAN’
year on year with tungsten, copper and acid grade fluorspar production increasing 13.3%, 8.5% and 7.6% respectively. But what does Bradshaw attribute this success to? For him it is simple: it is the people and the team that he has amassed over time. “The difference between good companies and bad companies are the people that they have and the skills that they are allowed to bring into problem solving,” he says. “When
SEPTEMBER 2018
SURFACE PROTECTION Trepax has extensive track record in the mining and other industries in South East Asia. We have also undertaken projects in Africa as well as providing solutions through partners to mine sites in Australia and other surrounding countries. Our services include a portfolio of solutions for surface protection of essential assets from static equipment such as process vessels to mechanical equipment such as mills, pumps etc. The solutions provided include protection against wear from erosion or protection against chemical or environmental corrosion. Trepax turn key services encompass design, supply and installation for new build projects, upgrades as well as repair and maintenance programs. We have a reputation in the region of providing innovative solutions to solve plant problems using the combined expertise of Trepax Engineering teams and our materials supply partners all back by solid warranties. Our vast field of knowledge, product variety and application skills has helped key clients like Nui Phao achieve long term surface protection of key assets. We are pleased to be part of Nui Phao’s ongoing success and growth, in providing them with real world solutions to their most challenging corrosion, wear and abrasion issues.
www.trepax.co.th info@trepax.co.th
MASAN RESOURCES
“We’re the world’s largest tungsten mine, up there as one of the leading fluorspar mines in the world as well as being the largest bismuth mine in the world too” — Craig Bradshaw, CEO of Masan Resources & General Director at Nui Phao
168
SEPTEMBER 2018
you look at the challenge we face, it’s a challenge made up of different techniques, different sciences and processes. It’s a good challenge, but how do you solve it?” Masan Resources solves this problem through a truly collaborative approach. Bradshaw believes that no one in the mining industry will come into a business and
MINING
solve a problem with the “perfect
ently and this creates real collabora-
background” rather he looks at attract-
tive effect.”
ing and pooling people together that
This collaborative approach starts
can bring different approaches and
at the recruitment level. The mining
different viewpoints to a problem.
industry, through its labour intensive
“Collectively then, it is just about
nature, is often one that is plagued by
looking at a problem or a challenge
skills shortages or a general lack of
through different angles,” he says.
workers out there looking to embark
“They bring different core competen-
on a career in mining.
cies, different backgrounds and experiences, they approach it differ-
This is where other companies turn towards recruitment agencies or
169
w w w. b u s i n e s s c h i e f. c o m
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MINING
mining service providers, but Brad-
challenge each other. That’s a work
shaw approaches this a little differently.
ethic we strive for and is what ultimately
“When we are trying to build a company and recruit people, we don’t
leads us to success.” As the world’s largest tungsten mine,
just go and seek out specific agencies
the Nui Phao will both influence and
for each specific area of work in mining,”
be influenced by the market demand.
he says. “Sure, we got people who had
With its uses in cutting tool technolo-
experience across different metals and
gies used in the aerospace, defence
different processes but for me what’s
and automotive industries, tungsten is a
key is their mindset.”
key mineral now more than ever before.
“They can have the best knowledge
Bradshaw recognises this responsi-
of tungsten or fluorspar, but they need
bility to be able to supply the market
the right mindset and work ethic. That’s
and understands the key role that
what makes us unique, we have a group
Masan Resources can play in building
of people with all their different experi-
the capabilities of Vietnam’s mining
ences but they come to work and they
industry to answer to the demand.
w w w. b u s i n e s s c h i e f. c o m
171
MASAN RESOURCES
172
“We’ve been successful in developing the mine and so the future for us is to be the number one producers of tungsten in the world, or within the top three. There’s no reason we can’t be based on how successful we’ve been with our current portfolio.” — Craig Bradshaw, CEO of Masan Resources & General Director at Nui Phao
SEPTEMBER 2018
MINING
173
w w w. b u s i n e s s c h i e f. c o m
A PARTNERSHIP OF YEARS GROWING ONLY STRONGER
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MINING
This is where Masan Resources’ strategy of acquiring assets
with Nui Phao, not just in tungsten but in other resources.
across Vietnam will prove key.
“We’ve been successful in
Bradshaw believes that as the
developing the mine and so the
company looks to the future, it will
future for us is to be the number
look to benchmark the industry
one producers of tungsten in the
through the Nui Phao mine.
world, or within the top three.
Nui Phao is the first mine in
There’s no reason we can’t be
Vietnam to operate to interna-
based on how successful we’ve
tional standards. That in itself is
been with our current portfolio.”
no small feat and it is a feat that
The mining industry is cyclical
Bradshaw feels will continue to
and one of the biggest challeng-
define the future growth of
es in the world, be it gold, copper
Masan Resources.
or tungsten, is that supply may
“There is real opportunity
one day meet the current demand
across Vietnam,” he says. “We
but it will inevitably fall into
are looking to acquire new assets
a deficit. Bradshaw is all too aware
and replicate what we’ve done
of this and points to the Vietnam
w w w. b u s i n e s s c h i e f. c o m
175
MASAN RESOURCES
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MINING
177 accounting for approximately
producer and supplier of tungsten
40% of the world’s supply of
chemicals globally.”
tungsten presenting an opportu-
“I hope Vietnam can be proud
nity for the company to play a key
of Masan Resources’ ambition
role in the future of this market.
and ability to be a dominant player
“We’re independent from other
in a global industrial sector. We
producers,” he says. “The rest of
embody the “Vietnam can do” spirit,
the world is in a deficit as the likes
and we are strongly positioned
of China rely on tungsten for its
not only to significantly increase
industrial sector.
shareholder value, but more
“Masan Resources is the number
importantly, to enhance social
one primary TC producer Ex-Chi-
economic value as a representative
na, with 36% of the non-China
of Vietnam globally.”
market, and we have clear operational plans to become the largest
w w w. b u s i n e s s c h i e f. c o m
178
SEPTEMBER 2018
ENERGY
179
Powering
Sustainable Logistics WRIT TEN BY
DA LE BENTON PRODUCED BY
A LE X PAGE
w w w. b u s i n e s s c h i e f. c o m
BOLLORÉ LOGISTICS
Mathilde Dumoulin, Sustainability Development Manager, gives her insight on Bolloré Logistics’ new sustainable agenda
A
s one of the world’s leading transport and logistics operators providing services across 106 countries on five continents,
Bolloré Logistics is all too aware of its responsibility to ensure that those operations are sustainable. Falling under the wider global organisation, Bolloré Transport & Logistics, Bolloré Logistics is one of four business units that consists of more than 20,200 180
staff and employees. The company has a clear vision – to be the leading provider of transport and logistics in each and every one of its geographical locations. One particular area in which Bolloré Logistics has a major distribution network is Asia Pacific. It has a presence in 20 countries, including Singapore, where its main contract logistics hubs are situated. For Sustainability Development Manager, Mathilde Dumoulin, Singapore is a key market for freight and logistics. “Besides its strategic location, Singapore is a great innovation hub,” she says. “The growth in Asia is also an opportunity for Bolloré Logistics to improve and to think more innovatively as we develop in this region.” Particularly from a sustainability perspective, Singapore represents a fantastic pioneer
SEPTEMBER 2018
ENERGY
location. The company engaged its sustainability strategy from 2010, by investing in the “Green Hub” – the first energy-efficient logistics facility in Singapore to receive the Green Mark Platinum and LEED Gold certifications. Again pioneering low-emitting transport solutions in Singapore, Bolloré Logistics also introduced its first hybrid shuttle in March 2015. Powered by highly efficient diesel and electric motors, the truck serves iconic retail stores from the Green Hub. The hybrid technology reduces fuel consumption and harmful atmospheric emissions such as CO2 and suspended particles by up to 30%. 181
"THE GROWTH IN ASIA IS ALSO AN OPPORTUNITY FOR BOLLORÉ LOGISTICS TO IMPROVE AND TO THINK MORE INNOVATIVELY AS WE DEVELOP IN THIS REGION” — Mathilde Dumoulin, Sustainability Development Manager
w w w. b u s i n e s s c h i e f. c o m
Real Construction, Real Solutions Nam Aik Builders (P) Ltd was formerly known as Nam Aik Contractor (P) Ltd and was incorporated on 26/10/1993 in Singapore. It was changed to it’s current name on 11/01/1994. This company was founded by Mr Chew Kian Nam as a General Contractor in Building Construction including Major Upgrading works.
UNIQUE ADVANTAGE Because the company with its management team’s comprehensive knowledge and experience in this industry together with experienced workers from all trades, it is able to undertake ‘turn-keys’ projects, from building construction to M&E to interior design and finishing in both industrial and commercial sector.
MISSION Our mission is to be a premier service provider in building and construction and stay emphasis on customer section in delivery of design , engineering and construction services.
HISTORY The organization is primarly involved as a main contractor in the construction and additional/upgrading work industry. Apart from this, the company also undertakes interior renovation and furniture work. The list of projects that were awarded certificates of successful completion or completed is mentioned below. In the case of Bollore Logistics S’pore Pte Ltd formely known as SDV Logistic (one of the top 10 Global Logistics/warehousing company from France), we are their in-house resident contractor responsible for all upgrading works and new setup facility.
namaik.com namaik@signet.com.sg +65 6 862-7553 +65 6 862-974 6
ENERGY
183
BIO
Those two key milestones reinforced BollorÊ Logistics’ position as key actor for sustainable logistics in Singapore, combining economic growth with environmental protection. With such a major logistical network, BollorÊ Logistics invests a great deal into monitoring, improving and ultimately reducing its carbon footprint. This commitment was first structured at a global level in 2000 with the creation of the Group Code of Ethics.
Mathilde Dumoulin, Sustainability Development Manager Mathilde Dumoulin graduated from Audencia Business School in 2014, majoring in entrepreneurship. She started working in China for a large French company, distributor of electrical supplies to professional users. Passionate about sustainability, she decided to make it her career path and moved to Bollore Logistics in Singapore.
w w w. b u s i n e s s c h i e f. c o m
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ENERGY
For more than 18 years, Bolloré Logistics has had a sustainability and corporate social responsibility (CSR) agenda that has been implemented throughout every aspect of the business. In 2011, the company launched the “Save Program” – an eco-solutions program dedicated to its customers. “Traditionally, CSR and sustainability have been viewed perhaps as a ‘nice to have’ activity,” says Dumoulin. “Bolloré Logistics has recognised it as a ‘musthave’, fully integrated into the entire operation. It has to be a core pillar of everything we are trying to achieve.” This year, Bolloré Logistics is launching
185
the “Powering Sustainable Logistics” programme. The Group has been structuring this new programme in collaboration with its internal and external stakeholders based on the ISO26000 approach. As part of a responsible supply chain, the group’s ambition is to integrate environmental, social and societal solutions across each link in their day-to-day
w w w. b u s i n e s s c h i e f. c o m
BOLLORÉ LOGISTICS
VARIETY OF QUALITY Our Company, incorporated in Singapore in July 2005, provides sourcing services and supplies of warehousing and factory logistics support products to companies in various industries. In general, Glorreich Singapore Pte Ltd supply cost-efficient ,as well as cost-effective products, and backed with a high level of service standard backed by speedy response, prompt delivery and continuous after-sales service to meet the customer’s specific requirements.
www.glorreich.com.sg | sales@glorreich.com.sg Tel: +65 6896 6793 | Fax: +65 6896 6937
ENERGY
“TRADITIONALLY, CSR AND SUSTAINABILITY HAVE BEEN VIEWED PERHAPS AS A ‘NICE TO HAVE’ ACTIVITY. BOLLORÉ LOGISTICS, HAS RECOGNISED IT AS A ‘MUST-HAVE’, FULLY INTEGRATED INTO THE ENTIRE OPERATION” — Mathilde Dumoulin, Sustainability Development Manager
187 operations, while contributing to the UN Sustainable Development Goals. The programme sets targets for
These pillars are inspired by Bolloré Group’s global CSR strategy and applied to the specific case of
2025, with first steps to be achieved by
logistics and its stakes, which Dumoulin
2020. It is built around an ambitious
feels enables a greater consistency
roadmap that will guide the Group
between the big picture and the reality
around four pillars: ensuring ethical and
of the logistics business.
responsible business practices within
“The baseline of this strategy is that
the logistics value chain; acting as a
sustainable consumption is not only
committed employer for the teams;
the responsibility of manufacturers,”
providing customers with sustainable
she says. “Logistics companies also
supply chain solutions; strengthening
have a part to play through integrating
relations with stakeholders wherever
CSR solutions in our freight and
they operate. The programme is
warehouse operations.”
materialised through key performance indicators and related action plans.
On a daily basis, Bolloré Logistics calls upon a vast portfolio of suppliers w w w. b u s i n e s s c h i e f. c o m
BOLLORÉ LOGISTICS
and partners that both assist and support in the delivery of the company’s market leading services to its customers. These suppliers and the relationships that Bolloré Logistics fosters with them are also intrinsically linked to the sustainability agenda. “There are several ways of selecting and partnering with suppliers,” she says. “You can choose the best suppliers from the start, but you still need to ensure that they are complying with our CSR criteria.” “We ask them about their CSR practices from the very beginning, to ensure that we will work with people who are aware and have a 188
solid process. We also spend time innovating and constantly improving partnerships. This is ideal for both parties because we can move forward together, communicating in a shared language.” Sustainability is no doubt a global issue, where more and more countries are looking at improving their own processes; and there are of course some countries that are more mature than others. Thus, in the process of seeking out suppliers who can align to its sustainability agenda, Bolloré Logistics drives a second approach. SEPTEMBER 2018
Click to watch: ‘Bolloré Logistics — Global Supply Chain’
ENERGY
“AS A LARGE GROUP WE HAVE A RESPONSIBILITY TO PUSH AND DRIVE THEM (SUPPLIERS) TO ACT AND ENABLE INNOVATION. THAT’S ONE OF THE KEY TO INNOVATE. WE SHARE INFORMATION AND KNOWLEDGE SO THAT WE CAN DEVELOP THEIR SUSTAINABILITY CAPABILITIES AND GET THEM TO COME ALONG WITH US ON OUR JOURNEY” — Mathilde Dumoulin, Sustainability Development Manager
“If a supplier isn’t at the top of the sustainability generation, in addition to our mandatory CSR criteria, we go to them with the information and open up a dialogue,” says Dumoulin. “As a large group we have a responsibility to push and drive them to act and enable innovation. That’s one of the key to innovate. We share information and knowledge so that we can develop their sustainability capabilities and get them to come along with us on our journey.” A cornerstone of Dumoulin and Bolloré Logistics’ vision for CSR is that it has to be entrenched within every aspect of the business. This has seen the company develop and foster an internal culture towards CSR, one that sees that each and every employee recognises the importance of viewing the sustainability agenda as a shared responsibility. “There has to be a buy in from everyone, and it starts at the top,” says Dumoulin. “It’s about communication – from the w w w. b u s i n e s s c h i e f. c o m
189
BOLLORÉ LOGISTICS
management team, right down to our
190
“It is going to get to a point where
operation warehouse teams, making eve-
sustainability is just part of the company’s
ryone aware of our company ambition.”
day-to-day operation,” she says. “People
Creating this on-going dialogue is
sometimes approach sustainability
crucial for Dumoulin, as she feels the
because they have been asked to,
secret to the success in delivering
whereas Bolloré Logistics is reaching
this vision is being able to pick any
a stage where it’s not an additional
member of staff at random and ask,
responsibility, it’s just part of what we do.”
“what is a sustainable practice in their day-to-day job?” If that employee has been ingrained
As a company that has been operating, rather successfully, for a number of years, Dumoulin stresses
within this culture of sustainability, then
the importance of understanding that
they can point to a number of examples
any change is a journey that will take
of not only what they are doing, but also
time. Managing expectations and
on what the impact is, and what the
embracing change one step at a time
benefits are to the organisation. This,
will prove key in defining the compa-
she feels, creates a level of confidence
ny’s future, both from a sustainability
throughout Bolloré Logistics that the
perspective and with regards to
company is executing it successfully.
expansion and growth.
SEPTEMBER 2018
ENERGY
But over the last few years Bolloré Logistics can already point to significant changes that represent proof that the company’s agenda is being implemented and changing the company for the better.
191
“To my knowledge, the implementation of the hybrid truck represents the only hybrid truck here in Singapore,” she says. “Bolloré Logistics takes pride as a leader in green innovation and solutions. We are at the forefront of investing in green solution even when other companies are not quite on-board the idea, because we truly believe in the value of having a good CSR. Furthermore, it is also important that we stay in line with market demands and trends, because this is a journey that will continue to evolve and we must evolve with it.”
w w w. b u s i n e s s c h i e f. c o m
T 192
SEPTEMBER 2018
TECHNOLOGY
TELEKOM MALAYSIA redefining procurement for supply chain success WRIT TEN BY
DA LE BENTON PRODUCED BY
CHARLOT TE CL ARK E
w w w. b u s i n e s s c h i e f. c o m
193
T E L E K O M M A L AY S I A
Through a full-scale transformation journey, Telekom Malaysia redefines its procurement function
H 194
istorically, procurement has
Mohamad Mohamad Zain, Chief
always been perceived as
Procurement Officer, TM.
a support function. Over the
With a career spanning over 20
last decade however, there has been
years, working in a number of roles
a considerable shift as more and more
within TM from insurance management
businesses around the world are
to enterprise risk management,
investing heavily to create greater
Mohamad has seen first-hand the
alignment between procurement and
changing role of procurement and feels
the strategic direction of the company.
his experience finely positions him to
For Telekom Malaysia Berhad (TM), Malaysia’s Convergence Champion,
lead TM’s transformation journey. Procurement was identified as one of
procurement has evolved far beyond
the key pillars to the company’s
its traditional function and is now
Performance Improvement Plan (PIP)
pivotal in the success and future
3.0, which focuses on delivering value
growth of the business.
via total cost ownership savings,
“Procurement has indeed played
increased speed of procurement
a pivotal role in ensuring speed to
process to support speed to market
market, improving customer stickiness
and be more responsive to the
via quality products and services while
dynamic business needs across the
also assuring supply sustainability to
wider TM Group.
support all year-round dynamic
“The Group Procurement’s vision is
business needs and strengthening
to optimise productivity,” says Moham-
supplier relationships to deliver shared
ad, “while also building an organisation
value to the organisation,” says
that has a sustainable competitive
SEPTEMBER 2018
TECHNOLOGY
“The Group Procurement vision is to optimise productivity,” says Mohamad, “while also building an organisation that has a sustainable competitive advantage towards “Procurement Made Easier” with stable, effective and efficient sources of supply” — Mohamad Zain, Chief Procurement Officer, TM
195
advantage towards “Procurement Made Easier” with stable, effective and efficient sources of supply.” Through his role, Mohamad is part of the senior management committee, something he feels enables him to change the perspective of procurement. One of the key changes that he has implemented, in order to measure the success of this strategic transformation, is the w w w. b u s i n e s s c h i e f. c o m
Building a Better Connected Malaysia Huawei is a leading global provider of information and communications technology (ICT) infrastructure and smart devices. With integrated solutions across four key domains – telecom networks, IT, smart devices, and cloud services – we are committed to bringing digital to every person, home and organisation for a fully connected, intelligent world. Huawei’s presence in over 170 countries, serving 45 of the world’s 50 largest communication operators and is at Forbes Top #79 company. Huawei achievement are through trusted partnership and collaboration. Where
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Huawei creates value, drives growth and improves customer operation, create lasting dynamic to the ecosystem and co-existence with our customer. At Huawei, we fulfil our customer needs of experience centric services and strategic focus and our customer sustainable growth that inspire global and local innovation in their organisation. Emphasising in innovation focuses Huawei invest heavily in advance research, concentrating on technological breakthroughs that drive the world forward. Founded in 1987, Huawei is a private company fully owned by its employees.
T E L E K O M M A L AY S I A
“ We are expecting the Industrial Revolution 4.0, and so the future of procurement will largely dependent on technology, robotic and Internet of Things (IoT). Through our journey, we are laying the foundations in order to be ready for this future� 198
— Mohamad Zain, Chief Procurement Officer, TM
SEPTEMBER 2018
BIO
Mohamad Zain Chief Procurement Officer, TM Mohamad, 54, gained vast experience in insurance services while serving a UKbased insurance company for six years, including as Officer in charge for agency and direct client underwriting, claim management and re-insurance, designing insurance for credit card company and bank assurance, serving both domestic and Multinational Corporation clients. He joined TM in 1993 as an Assistant Manager and has been tasked with managing the corporate insurance programme and implementing the Enterprise Risk Management programme for TM in 2001. In 2007, he was appointed GM entrusted with an expanded portfolio of Group Business Assurance covering Enterprise Management, Revenue Assurance, Fraud Management, Insurance Management, Credit Management Policy & Monitoring, Corporate Compliance, Business Continuity Management and Enterprise Business Management. He was promoted to VP, Group Business Assurance, a position he held from 2011 until his appointment as Chief Procurement Officer on 1 September 2014.
TECHNOLOGY
addition of optimising the supply chain and procurement management as the Group’s key performance indicators. What this does is present a challenge that Mohamad must continue to overcome; continue to demonstrate to stakeholders the true value of the new procurement model in contributing positively to the Group’s profitability. “I need to continue to show how procurement can assist our marketing team on speed to market with competitive product and
199
services,” he says. “This can then
dynamics and speed in procurement process
ensure that our suppliers can fully
and execution.
apprise on the overall objective of our new procurement model.” TM’s transformation journey began in 2013, overseen by Mohamad’s predecessor. Mohamad took over in 2015 and immedi-
The pillars will enable TM to implement a best-in-class procurement model, but any transformation journey is not without challenge. For Mohamad, he views challenge as an opportunity to continue pushing forward. “I look across our transformation to date, the
ately worked across the Group on
results that we can point to, and it gives me the
understanding the already
additional adrenalin I need to keep on pushing for
identified gaps in the Company’s
better results,” he says. “Whilst we have success-
basic procurement function.
fully established a cross functional category
These gaps allowed TM to
management team, improved governance to
anchor its transformation with three
allow speed of procurement approval, and
key pillars; value creation and
strengthened supplier relationship management,
expansion, responsive to business
there is still room for improvement, including w w w. b u s i n e s s c h i e f. c o m
C O M PA N Y N A M E I N C O R P O R AT E C O L O U R
FIBERHOME GROUP FiberHome Technologies Group is a leading equipment vendor and global solution provider the field of information technology and telecommunications. This high-tech enterprise is directly affiliated to the State-owned Assets Supervision and Administration Commission of the State Council. It is also the largest enterprise located in the Optics Valley, Wuhan, China.
200
FiberHome Group Add:No.6, Gaoxinsilu, East Lake High-Tech Development Zone, Wuhan, Hubei, P.R.China 430205 Tel:+86-27-81618829 | Fax:+86-27-81618977 Email: marketing@fiberhome.com Wuhan FiberHome International ( Malaysia) Sdn. Bhd. Add:Level 43 South Wing, Menara TM, Jalan Pantai Baharu, 59100 Kuala Lumpur Tel: +603 2241 5780/4818/4808 | Fax:+603 2241 4770
MONTH 2018
Sales Directot: Aslan Zhou Email: zhoujun@fiberhome.com
www.fiberhomegroup.com/en
TECHNOLOGY
embracing technology.” The transformation by its very
While Mohamad looks to the future of technology, that’s not to suggest that
nature is defined by improving
technology hasn’t played a defining role in this
performance. Mohamad’s
transformational journey.
sentiment of continuous learning is
“To support the procurement transformation,
shared across the Group. Four
technology has and will be fundamental in the
years into this journey and TM can
delivery of speed and efficiency in our processes,”
already point to RM1.0 billion
he says. “As such, we have embarked on PINTAR
(USD250 million) TCO savings
project, designed to provide data analytics on
through the expansion of value
spend analysis for our category managers.”
creation, as well as expanding its
PINTAR, or the Procurement Institutionalisa-
strategic vendor portfolio and
tion of Technology Applications and
improving overall governance and
Resources, specifically enables greater
control in order to achieve faster
efficiencies across spend analysis, online tender
procurement process.
and quotation, supplier performance manage-
But Mohamad is a firm believer in
ment and contract management and repository,
not standing still and is already
amongst other key areas.
looking at the next step in order to
With technology redefining industries all around
continue to improve, with technol-
the world this brings upon a challenge that is not
ogy and embracing digital
unique. The global technology conversation is
procurement a clear goal.
defined by Artificial Intelligence, Automation, Big w w w. b u s i n e s s c h i e f. c o m
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T E L E K O M M A L AY S I A
Data, but are these terms simply turning
also benchmark with peers across the
into buzzwords? What work does
globe and in some instances securing
Mohamad and TM do to ensure that the
advice from our key suppliers who have
Company is implementing the right
implemented robust supply chain
technologies for the right reasons and not
management system.”
just following trends?
As a supply chain and procurement
“As a technology company, technol-
function, having a strong supplier network
ogy and digitalisation have been part of
is crucial. In the journey of implementing
our business DNA from the very start,”
a new procurement model, that supplier
says Mohamad.
network proves more vital than ever.
“TM has its own R&D team, Network &
Mohamad admits that a transformation
IT Technical Committee and Chief Digital
of this scope is not one that can be
Officer that continue to provide advisory
completed alone, with the strengthening of
across the Group on new technology and
supplier relationships in itself a core pillar
digitalisation plan. At the same time, we
of the journey. TM has redefined how it
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“ Whilst we have successfully established a cross functional category management team, improved governance to allow speed of procurement approval, and strengthened supplier relationship management, there is still room for improvement, including embracing technology.” — Mohamad Zain, Chief Procurement Officer, TM
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approaches supplier and vendor management, with expanded collaboration with mega suppliers (foreign and domestic) and those local vendors nurtured via its Bumiputera-Vendor Development Programme (BVDP). To date, we have over 9,200 vendors registered with us with close to 4,400 Bumiputera vendors. At TM, we have a robust and transparent procurement process; and we adhere to industry’s best practices. We are committed to maintaining the highest degree of integrity, transparency and accountability in the conduct of our business and operations. At least 42% of our projects are based on tenders and we also 204
award projects that require economies of scale to our long term and strategic partners. The BVDP is designed to stimulate the activity and involvement of local suppliers across Malaysia in tenders and other procurement activities. These activities can be stand-alone or through collaborating with foreign partners, with the goal of sharing technology and knowledge to the local suppliers in order to develop the capabilities of the local supplier network. “This programme will not only support the capability building of local vendors who will then be able to compete for regional business needs through tenders,” says Mohamad. “For TM, based on our BVDP framework, the entry level would be the Entrepreneur Development (ED) and Blue Lane (ED programme specific for SEPTEMBER 2018
TECHNOLOGY
ICT-based or start-up technology company companies) levels. Once the vendors show improvement in their processes and capabilities, they will then be upgraded to Strategic Partners, and then elevated to become a Corporate Champion and finally to a National Champion. This journey may take three to five years.” TM has already amassed a strong portfolio of both foreign and local strategic suppliers such as Huawei, Fiberhome, Nokia as well as Opcom, Dura Mine and Lite Cable. As the title implies, this procurement journey is one of continuous improvement. Procurement as a function will continue to change and evolve and TM must continue to evolve with it in order to continue to deliver success. “The future will see TM begin to better embrace new technology, organisational and process redesign, and continue to push for cultural change in supporting this changing space,” says Mohamad. “We are expecting the Industrial Revolution 4.0, and so the future of procurement will largely dependent on technology, robotic and Internet of Things (IoT). Through our journey, we are laying the foundations in order to be ready for this future.”
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