www.businessreviewmiddleeast.com
March 2016
Investing in Qatar
Highlighting the opportunities in this growing economy
Cybersecurity Risk assessment in the Middle East Leaders The most influential business women in the region
EDITOR’S COMMENT
Investment opportunities WELCOME TO THE MARCH issue of Business
Review Middle East. Our cover story this month looks at the investment opportunities in Qatar, a region that is currently experiencing impressive growth in many sectors, despite the current oil price woes. And we have essential advice for companies in the Middle East on cybersecurity and strengthening their cyber risk governance programmes. We are also highlighting the successes of some of the region’s foremost business women, sharing their advice on making it to the top. Leading Middle Eastern companies we interviewed for this month’s magazine include SKA International Group, Hepworth and Al-Raha Group for Technical Services – three excellent examples of best practice in their sectors. Please send your feedback on the magazine to @BusinessRevME on Twitter.
Enjoy the issue!
Lucy Dixon Managing Editor EMEA lucy.dixon@bizclikmedia.com 3
CONTENTS
Features
LEADERSHIP
Investing in Qatar
TOP 6
6 20
TECHNOLOGY
14 4
Preventing cyber crime
March 2016
The six women shaking up the Middle East’s business world
Company Profiles
28 40
SKA International Group
Hepworth
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l-Raha Group for A Technical Services
56 El Swedy Electrometer
King Faisal Specialist Hospital & Research Centre
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LEADERSHIP
INVESTING IN
QATAR
Qatar is not immune to the struggles of the global economy and low oil prices, but it still offers an attractive option to investors, as Business Review Middle East reports Writ ten by: JESS SHANAHAN 7
LEADERSHIP WHILE OIL AND gas count for 37 percent of Qatar’s economy, its diversification and dedication to other industries means it’s growing rapidly and providing an attractive option to investors. The Qatar Investment Fund gives investors based in the UK access to the Qatar Stock Market. We spoke to the Chairman of the fund Nick Wilson; he says: “The portfolio is actively managed and currently we have all our assets, aside from cash, invested in Qatar. We have the power to invest up to 15 percent elsewhere but, given the value offered by the Qatar Stock Barwa Financial District, situated in the West Bay area in Doha, Qatar
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Market, everything is invested there.” While oil and gas account for a large portion of the Qatar economy, there aren’t any hydrocarbon companies publically listed on the stock market, this is because they are all wholly owned by the government. Wilson explains where the Qatar Investment Fund directs its money: “We chose the banking sector as the best proxy for the economy as a whole.” Low oil prices have affected Qatar and while the diversification into other industries keeps the country profitable, it’s not immune. Wilson says: “The oil price is going to be a bit of a cloud
I N S TA N T H E R I TA G E
over the markets in the region. It’s no secret that the oil price has fallen and the daily surplus of production over consumption has increased. With Iran coming into the market it’s probably going to increase further. “This is part of the hydrocarbon cycle. If you look at the forecasts of the oil administration in the USA, it looks like production and consumption are not going to come into balance until early 2017. “Any sustained recovery could only come around before that time if there was cooperation between OPEC (Organization of the Petroleum
“Forecasts predict 6 to 6.5 percent growth in 2016. There will be strong growth in non-hydrocarbon sector, in particular. Qatar has diversified so much that oil and gas now only account for 37 percent of the economy” - Nick Wilson, Chairman of Qatar Investment Fund
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LEADERSHIP Exporting Countries) and non-OPEC.” Qatar’s growth is strong across the board and it has the highest GDP in the region. Now is the time to invest in the country because stock prices are low despite the projected growth across the non-hydrocarbon industries in Qatar. Wilson says: “Forecasts predict 6 to 6.5 percent growth in 2016. There will be strong growth in nonhydrocarbon sector, in particular. Qatar has diversified so much that oil and gas now only account for 37 percent of the economy.” Many industries are showing strong signs of growth. For example, Qatar is home to one of the largest airlines in the region. Qatar Airways is a global competitor in the industry and the new Hamad International Airport will be able to handle 50 million passengers once phase two is complete in 2017. Tourism is also on the rise in Qatar, Qatar Airways’ Boeing 777 ER at Hamad International Airport in Doha, Qatar
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‘Over the past four years 49 new hotels have been built. That’s a lot of extra beds but occupancy rates have increased despite of this, which really showcases demand’ as Wilson explains: “There was an increase in number of visitors to the country last year and this is expected to continue. Over the past four years 49 new hotels have been built. That’s a lot of extra beds but occupancy rates have increased despite of this, which really showcases demand.” Qatar is also becoming a real competitor to Dubai in the financial services industry. There are special arrangements in place for financial services companies
I N V E S T I N G I N Q ATA R
ShangriLa Hotel in Doha, Qatar that wish to start up and the tax position is very attractive too. As for manufacturing, one of the largest aluminium plants in the world is situated in Qatar, and the country also produces a lot of fertiliser. Wilson says: “A lot of the nonhydrocarbon growth is off the back of huge infrastructure spend. There are a lot of big projects to be completed in the next five years, totalling around $200 billion. Qatar has the highest planned project spend in the region, in fact the country is
building an entire new city with a population equivalent to Edinburgh. “There’s a new port being built that’s employing lots of people, with a cost of $17 billion. There’s also a new metro system for Doha – which is just over half the size of the London Underground – and plenty of new rail links to other GCC countries.” It’s not just the economy that’s growing but Qatar’s population too. The population is increasing by around 10 percent per year, with lots of expats moving to the country to help with 11
LEADERSHIP infrastructure build. Unemployment is very low at around one percent. Qatar’s interests aren’t solely located in its own country. Wilson says: “In addition to its own strong economy, Qatar has the Sovereign Wealth Fund, which invests outside the country. Qatar owns the majority of The Shard, a number of hotels in London and a portion of Camden market. They get income from these investments, which helps with the budget.” The country is also putting a great emphasis on human capital too, something which is very evident from the
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university campuses that sit on the outskirts of Doha. Wilson said: “The Education City covers around 14 square kilometres and there are six major US universities with campuses there, University College London also has a presence. It’s something a lot of people don’t know about. “There have also been 39 new schools opened in Qatar in the last year and there are plans to open another 40.” The outlook for the next year is very good and Qatar is in a much better position than many other countries in the region. Wilson concludes: “Because of the
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‘There’s also a new metro system for Doha – which is just over half the size of the London Underground – and plenty of new rail links to other GCC countries’ VIDEO: Qatar Rail Doha Metro continued diversification by the government, the coming year looks good despite the low oil prices. “Population growth is giving Qatar a lot of benefit in a number of sectors. Financial services and banks are doing well off the population growth; consumer goods companies are
growing rapidly too. Because of the link in investors’ minds between the oil price and Gulf countries, the stock price has been pushed down to the stage where ratios are well below the 10-year average and the dividend yield on listed stock is over 6 percent. It’s at a very attractive level.”
Further Information: Find out more about the Qatar Investment Fund and read the fourth quarter report for 2015 here
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TECHNOLOGY
Preventing cyber crime Cybersecurity needs to be considered as more than just an IT issue and something that is viewed as part of the overall enterprise risk management of a business W ri t t e n b y: B r a d O ’ B r i e n , CEO, Hatstand
CYBERSECURITY IS A key concern for senior political leaders, regulators and industry professionals and is one of the biggest security threats in the Middle East. Reports last year claimed several UAE banks were hit by a coordinated cyber attack, affecting e-banking operations and websites. The global concern In the US, the Financial Industry Regulatory Authority (FINRA) and the Securities and Exchange
Commission (SEC) have made cybersecurity a top priority for the 2016 examinations of their members’ books and records covering: • Governance • Identification and Assessment of Cybersecurity Related Risks • Protection of Networks and Information • Risks Associated with Remote Access • Vendor and Other Third Party Risks • Detection of Unauthorised Activity
The US Commodity Futures Trading Commission (CFTC) is also weighing in as indicated by the remarks made by their Chairman, Timothy Massad: “Cybersecurity is the most important single issue facing our markets today in terms of market integrity and financial stability.” Trend Micro predicts that criminals will use tried and tested methods, such as exploiting existing vulnerabilities in software used by victims, to hit their targets in 15
TECHNOLOGY the year ahead. More countries are taking the initiative to educate their ‘net’ citizens and are creating policies and guidelines for firms and individuals to create awareness of such crimes. In Europe the EU is putting together a Cybersecurity Directive that is supposed to apply to all business sectors. Although some of the EU regulations recently passed or currently under consultation have some cybersecurity elements, nothing has been specifically aimed at the financial services industry.
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Assessing the Impact Cybersecurity directly affects clients, data, networks, hardware, software and operations and protects them from theft, business disruption and destruction, which is why a proper risk framework covering identification, protection, detection, response and recovery is needed. Firms should also be identifying their possible risks, assessing the likelihood of the event occurring and preparing their response(s). Armed with this information, they can then determine their risk tolerance and prioritise their cybersecurity counter-measures.
PREVENTING CYBER CRIME
Impact assessments should cover: • Governance Policies • Business Environment • IT Security & Firewalls • IT & Operational Risk Management • Data (Client, Personnel, Devices, Hardware, Systems, Facilities) • Vendor Management • Physical Security / Clear Desk Policy • Employee Involvement Processes • External Trends and Cyber-attacks Industry Best Practice The National Institute of Standards and Technology (NIST) has created a voluntary risk-based framework, comprising industry standards and best practices, for firms to use as a guide when setting up their own programme to manage their cybersecurity risks. The core framework, as mentioned above, should cover identification, protection, detection, response and recovery, which comprise the lifecycle of risk
management of a cyber-breach. • Identification: Understand the risks posed to your business across systems, assets, data and business processes. These core cyberrisks form the basis of your risk policy and focus for your efforts. • Protection: Design and implement safeguards to protect the infrastructure of your firm and ensure continued delivery of critical services, allowing you to limit or contain the impact of a cyber-event. • Detection: Design and implement tools and processes to identify a cyber-event promptly. • Response: Outline your firm’s 17
TECHNOLOGY actions in response to a cyber-event. • Recovery: Incorporation of cyber-security responses into a firm’s business continuity and/ or disaster planning to ensure swift restoration of services that may have been impacted by the cyber-event. The proposed framework sets the foundation for a process to identify, assess and manage cyber- based risks and events. It should complement the processes currently in place and assist in the identification of gaps in achieving best practices, and facilitate the prioritisation of new processes and controls. One size doesn’t fit all A tailored approach allows each firm to fit the framework to their own risk appetite and budget on both a tactical and strategic basis, and they should leverage from their existing security plans, e.g. business continuity and disaster recovery plans, physical site security, ‘clear desk’ policies, IT 18
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security, and update them to include controls and responses to cyber-risks. A proactive approach Demonstrating cybersecurity readiness to regulators can be achieved through risk assessments, implementing the right tools and working with the right strategic partner who can help a business perform a risk assessment and deliver clarity, not only to the regulators, but
PREVENTING CYBER CRIME
also to the key stakeholders of its key assets, concerning current status, and gaps in its controls and processes. A baseline assessment can also then be used to evolve a working plan to mitigate the gaps and demonstrate to the regulators and stakeholders that the firm
is taking its cyber risk management responsibilities extremely seriously. Hatstand’s cybersecurity services in the US, Asia, Europe and Middle East are geared towards helping our clients’ meet the demands of their key stakeholders, including the regulators, to ensure their institution has sufficient controls and processes in place to identify, protect, detect, respond and recover from a cyber breach. Hatstand provides the value added products and services to help its clients shore up their cyber defences and governance. Its risk assessment model addresses a firm’s cyber risk management to incorporate industry best practice. Hatstand has a proven methodology of risk assessments in practice across multiple business processes. Its cybersecurity risk assessment provides a snapshot of a firms’ risk profile as well as maturity level. From this starting point firms can then identify where they need to spend time and effort in order to increase their controls and plan for the unexpected. 19
The six women
shaking up the Middle East’s business world Written by: Sophie Eastaugh, for CNN
LIST
The region’s most influential businesswomen share their tips on getting to the top. With 474 brands, 34,000 employees and over $87 billion in managed assets between them, these are women you’ll want to listen to 21
LIST
01 Dr Raja Easa Al Gurg Country: UAE Who?: M ANAGING DIRECTOR, EASA SALEH AL GURG GROUP
Brought into the family business by her father, Dr Raja Easa al Gurg has made her own name as vocal supporter of Arab female entrepreneurs. She is the President of the Dubai Business Women Council and the Chairwoman of Al Jalila Foundation, a not-for-profit focused on medical research. She is also the Managing Director of the Easa Saleh al Gurg group, a 55 year-old conglomerate of 26 companies that provides regional management for 370 international brands. She says:
“Obstacles are always a stepping stone to success. For me, surmounting an obstacle is a test of character. You will be surprised to realise how far you can go from the point you thought was the end.” “Those who want to be leaders of tomorrow must persevere. The higher you aim, the greater the risks. But the tactic is never to compromise on your goal - upgrade your ambitions instead.” 22
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THE WOMEN SH A KING UP THE MID D LE E AST’S BUSINES S WORLD
Shaikha Al-Bahar Country: KUWAIT Who?: DEPUTY GROUP CEO, NATIONAL BANK OF KUWAIT
Educated at the Kuwait University and Harvard Business School among others, Shaikha Al-Bahar has spent 30 years working her way to the top of Kuwait’s banking sector. She started at NBK as a trainee -- in 2010 she was appointed its national CEO. Last year she became Deputy Group CEO of the whole organisation, which manages assets of more than $74 billion and is the Gulf region’s oldest bank. She says:
“Dedication and professionalism, passion, hard working 24/7 and innovation are key in climbing the ladder to the top. “Define an objective and find a mentor, learn as much as you can. Women make excellent managers. They are natural leaders, great at people management, problem solving and decision making. “Adopt high standards, cultivate a professional mind set and don’t be afraid to be viewed as decisive.”
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Maha al Ghunaim
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Country: KUWAIT Who?: VICE CHAIR & GROUP CEO, GLOBAL INVESTMENT HOUSE
Maha al Ghunaim studied Mathematics at San Francisco State University before climbing the ladder at the government-owned Kuwait Investment Company. In 1998 she co-founded her own company, Global Investment House, which became the first Kuwaiti company to list on the London Stock Exchange. After a significant hit during the 2008 crash, Al Ghunaim successfully restructured the company, which now manages assets of over $4 billion. She says:
“A lot of women feel the subject of money is heavy and they’re not passionate about it, same with maths and science. We need to remove that phobia about women getting involved with numbers, which comes from education. “Women who think they can’t get into business are either not seeing the truth about their own capabilities, or they’re approaching the subject from the wrong angle. You need to make sure you’re always ahead of the game. “You work harder, you give your opinion, you prove your point and you continue to perform. You can’t expect positions to be handed over in any environment.” 24
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THE WOMEN SH A KING UP THE MID D LE E AST’S BUSINES S WORLD
Mona Almoayyed Country: BAHRAIN Who?: MANAGING DIRECTOR, Y K ALMOAYYED & SONS
Mona Almoayyed was born into one of Bahrain’s most successful family businesses -- in the 1940s her father founded Y K Almoayyed & Sons Group, a conglomerate with interests from cars to construction. Working to prove herself, Almoayyed became the first Bahraini woman elected to the board of a public company, Maritime and Mercantile International, and in 2001 was chosen ahead of her brothers as MD of the family firm. She oversees 1000 national staff and over 100 international brands. She says:
“When I joined my family business, I was given clerical work -- unlike my brothers. I had to work harder than them to make my father recognize my work. “When you are a woman, nothing comes easy in business. Women have bigger responsibilities at home yet they have to compete with men at work. At times women have to work double as hard to reach where men reach easily. “My advice to women is to not give up and to continue working hard until their boss recognizes them. We have to fight for equal rights to men. We will not be given our rights on a silver plate.”
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05 Henadi al Saleh Country: KUWAIT Who?: CHAIR, AGILITY
Graduating from Tufts University in Economics, Henadi al Saleh was Head of Debt and Equity markets at NBK Capital before joining the logistics giant Agility as Head of Investor Relations in 2007. Last year she became Chair of the company’s board, overseeing an annual revenue of $4.8 billion from distribution, warehousing and transport for the pharma, retail and energy industries. She says:
“The journey for me was a winding road with lots of bumps and obstacles. You need to stay focused and be humble when you are successful and learn from your failures. “The most important thing I learned is to make sure you surround yourself with the right people. You don’t get to where you are by yourself -- it’s always a result of the team around you in both your personal and professional life. “There are no limits but the limits you set for yourself. Take the step and don’t shy away.” 26
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THE WOMEN SH A KING UP THE MID D LE E AST’S BUSINES S WORLD
Ghada Gebara Country: LEBANON Who?: CEO, OPTIMUM TELECOM ALGERIA (DJEZZY)
A model for self-made success, Ghada Gebara grew up in a village to the north of Beirut during the Lebanese civil war. At 18 she borrowed $1000 from her mother to travel to France, where she talked herself into a technician’s course at the University du Havre. A place at France Telecom’s engineering school began a stellar career rolling out mobile networks in emerging markets -- first Lebanon, then Iraq, Haiti, the French West Indies and Honduras. In June 2015, she became CEO of Djezzy, Algeria’s largest mobile operator. She says:
“In Arab countries, I think people misread the culture - there’s perhaps an over respect of girls. I was able to push my technicians in a way that no man could, because he’d have been beaten down. “Without education, man or woman, you can’t get anywhere. Everything else can go away: money, wealth - even your country. When you have an education, you can take it wherever you go and use it to build yourself up again. “Stop thinking you’re a man or woman. Be yourself, know what you want from life and go get it.”
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Fuelling
success Written by Nell Walker Produced by Dennis Morales
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S K A I N T E R N AT I O N A L G R O U P
Logistics company SKA International Group is ahead of its game, providing many essential services to war-torn countries. CEO Mike Douglas discusses the impact and responsibilities of his business
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ny company which requires external acquisition and transportation of products or parts knows the difficulty of logistics organisation; this is why many businesses choose to outsource responsibility of their operations to a logistical solutions company. Mike Douglas is the CEO and owner of Dubaibased SKA International Group, which specialises in logistics solutions – primarily for fuel supply – and works predominantly in difficult areas. Founded in 2003, most of SKA’s work currently occurs in Iraq, where Douglas has been based for the past 11 years. “In earlier days it was primarily the responsibility of the US government and military to undertake reconstruction projects here,” Douglas says. “Recently we’re more geared towards the oil and gas business
S U P P LY C H A I N
that’s been developing in Iraq. We’ve also operated in Afghanistan, and in Somalia we’ve spent the last six years investing money and effort developing infrastructure and logistics. We’re currently involved in Uganda too, and here in the UAE at the Ras Al Khaimah airport.” International relations What Douglas describes as ‘difficult areas’ often means post-conflict zones, and he understands the importance of employing the right people when becoming involved with such countries: “Not everyone wants to work in the kind of countries we work in,” he explains. “We tend to get quite a few ex-military types who function well in these
800 Number of jobs supported by SKA International Group
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S K A I N T E R N AT I O N A L G R O U P
S U P P LY C H A I N
environments, but we have a big mixture of people from different backgrounds.” At one point, staffing at SKA spanned 27 different nationalities, and Douglas has a policy of developing a management and employee team in every country that the company operates in. “We invest a lot of effort into training and employing local nationals, with a mixture of expatriate expertise within management. That’s where the emphasis lies. We attract people through advertising, recruitment firms, and most successfully via recommendations from other companies. It’s a challenge sourcing good people, but our cross-culture operation ensures we find them.” SKA’s procedures are unique, allowing its employees to gain huge amounts of valuable experience within a niche market. Since it specialises in potentially dangerous environments, there is a huge emphasis on health
‘It’s a challenge sourcing good people, but our cross-culture operation ensures we find them’
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S K A I N T E R N AT I O N A L G R O U P
“We highly value the security of our people, and we have a very good track record in keeping them safe, we take risks, but not unnecessary risks because safety and security is paramount. It’s risky work, but in a controlled environment” – Mike Douglas, CEO
and safety: “We highly value the security of our people, and we have a very good track record in keeping them safe,” Douglas explains. “We take risks, but not unnecessary risks because safety and security is paramount. It’s risky work, but in a controlled environment.” Health and safety SKA believes in the concept that all accidents are preventable. The company works hard to identify HSE risks that arise from its activities and lower them as much as possible. This is a policy that the business observes closely throughout all aspects of its work, and alongside that it takes a serious interest in environmental protection and corporate responsibility. SKA recognises that it has an obligation towards the protection of the communities it operates within, as well as to the people involved, and maintains a high standard of ethics. This protects the reputation of the company and encourages public confidence. Technological advancements Managing logistics on a large scale requires advanced, state-of-the-art technology, particularly for a company which utilises many forms of transport in its operations. “We’ve invested a lot of money in technology,” says Douglas. “SKA has the first ever privately-owned fuel storage terminal in Iraq, and two years ago we signed a joint venture with BP to build an additional facility which has a 30,000 cubic feet
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capacity. That requires a huge amount of money and the latest fuel management technology. Then there’s tracking the truck fleets with satellite technology, asset tracking, and accountancy software. We have a very good IT system throughout every aspect of the company.” As well as having a firm presence in Iraq, SKA is established in Uganda, where the company is working on a project to potentially build another vast fuel terminal. “It’s still at negotiation stage; this is a very ambitious project, but we see Uganda as a huge opportunity. We’ve bought land in Somalia and we’re building a terminal there as well.” Aid work However, SKA’s work extends beyond its various logistical and fuel supply projects; passenger services, aviation, safety and security, accommodation, and life support also fall under the company’s umbrella. The business holds various contracts with the United Nations in Somalia and Yemen to supply food and life support to civilians: “We have huge camps in these countries. We also cover logistics support for the British Embassy and the European Union in Somalia, including use of a fleet of trucks to assist with UN missions.” SKA continues to expand its repertoire of services, and is working to develop its relationship in Africa and the UAE. In Iraq, SKA had already built a terminal in the major industrial port of Khor
Mike Douglas CEO Mike Douglas is the founder and owner of the SKA Group of companies and during the past 12 years Mike has developed a diverse portfolio of business interests focused primarily in logistics, oil and gas, and fuel supply chain as well as aviation support services working mainly throughout the Middle East and African region. The SKA Group currently operates in 6 different high-risk countries, employing over 800 staff with extensive experience working in Iraq since 2003. SKA Energy is currently involved in a JV project with BP, investing in a fuel storage terminal project in the South of Iraq
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‘We still see huge opportunities for SKA, especially in these developing markets’
Al Zubair, and is continuing to develop its venture with BP there. The aim is to facilitate the import of refined gasoline and gas oil products: “This is a big infrastructure project,” Douglas says, “and will benefit Iraq in terms of the ability to import refined products efficiently. There’s nothing else like this; Iraq will be a net importer of refined products for the next 10 or 15 years.” Such is SKA’s faith in its systems that its own logistics model is applied in the same way it runs supply chains for client companies. For example, it develops storage facilities in Somalia for fuel, brings the fuel in from elsewhere, and takes take the fuel to Mogadishu airport to fill aircrafts using the logistical format its customers are offered. The future for SKA As of now, SKA’s strategy is to improve its following by continuing and expanding on its quality of work: “We’re improving our certification all the
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time. We adhere to ISO 9000, and we’ve invested a lot of time and effort into training employees and upping our standards. With the kind of people we work with – like BP – and others in the oil and gas world, if you don’t comply with certain criteria, you can’t really be in the business. A big focus for us is improving our ISO certification.” While the business will certainly grow further, Douglas’s goal is for SKA to continue to develop within the territories in which it’s already wellknown: “We’re continuing to focus on those areas, and see opportunity for growth in all of them. The amount of investment that’s going on for infrastructure, oil, and gas projects has been cut significantly in the last six-12 months. However, we still see huge opportunities for SKA, especially in these developing markets. We’re very confident that where we are, we’ve already made significant investments and will see the returns on that over the next few years.”
2003 The year SKA International Group was founded
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Leading
Written by Lucy Dixon Pro
g the way
oduced by Dennis Morales
Geosynthetics
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HEPWORTH
Hepworth keeps a competitive edge thanks to its investment in developing new manufacturing facilities with state-of-the-art technology
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hmad Wassin Al Gendy is Corporate Supply Chain Director for Hepworth in the UAE, an organisation that produces integrated piping systems for the construction and civil engineering industries. It is part of Corys Building Materials, a holding company based in Dubai, which manages two other leading regional construction and building materials businesses: Corys Build Centre and Corys Geosynthetics. Al Gendy is responsible for the end-to-end supply chain operations and deals with a global network of suppliers, as he explains: “We source our raw materials from within the region as well as importing from Europe, India and the US. If we don’t have a secure raw material supply source with good supplier relationship management in place we are risking our business.” To avoid this risk, Al Gendy says, Hepworth works with a
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diverse list of suppliers. He adds: “We have primary, secondary and tertiary suppliers and usually we are working with the three supplier lists, each with a percentage based on the supplier control management. So we are always minimising the risk of supply issues from our raw material suppliers.” The company currently has one factory in Qatar and one in Dubai, and is in the process of expanding its manufacturing facilities. Al Gendy says: “We will have two factories in Qatar, one in Abu Dhabi and we already have the land for a new factory in Oman.” This increase in production capacity reflects the buoyant construction industry in the Middle East region, which needs Hepworth’s products
Hepworth is headquartered in Dubai, UAE
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HEPWORTH
‘We have a lot of great management around the people and we offer the best technical training on a regular basis’
to build luxury hotels, hospitals and essential infrastructure, including the work going on in preparation for the 2022 World Cup in Qatar. “We have our brands targeting the top tier of projects as the demand is very high in this part of the world. Because of the infrastructure projects and expansion by the government and big projects taking place, we are building our new factory in Abu Dhabi and we are investing in new lines to meet the ambitious focus in the region,” he says. This high demand is in spite of the low oil prices, says Al Gendy: “Projects are not blocked. Maybe the process might be a little bit delayed, but because we are market leaders
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we are not stopping our investment plans.” To make sure it stays competitive, Hepworth is making the most of what technology can offer in its existing and new factories. “We are investing in new machines that improve our efficiencies and output with new technology. We have a new extruder that is the first machine of its type in the GCC, which we will commission it in a couple of weeks. We are the market leader for this technology.” Hepworth is also a market leader in fittings technology and its socketed pipes have a special design that gives another competitive edge. It covers all market sectors with its product range, focusing on the top tier segment of the market. But, Al Gendy explains, new product developments mean it is increasingly working on second tier projects. He says: “It is the same high quality but we had some value engineering in the product to reduce the cost so we can be competitive in the second tier segment. We are trying to work some value engineering projects to reduce our costs that makes us competitive against the lower market players. Not everyone has seven-star hotels, so we need to have good market influence in other tiers.” Specialised products and innovation are clearly important to Hepworth and, says Al Gendy, it offers a service that simply isn’t replicated by any similar company in the region. “We have the edge of technology. We have the edge of know how. And because we don’t just sell pipes or fittings, we sell these systems plus service. You don’t w w w. h e p w o r t h . a e
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HEPWORTH
‘Because of the infrastructure projects and expansion by the government and big projects taking place, we are building our new factory in Abu Dhabi and we are investing in new lines to meet the ambitious focus in the region’ 46
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find this complementary approach in any other GCC companies.” He is particularly proud of the company’s key partnerships with European and American organisations such as Georg Fischer, Wavin and Filmac, which help it stay up-to-date with industry innovations from across the globe. The added service Al Gendy talks about means that the company works very closely with its clients. He says: “We work with the consultants at the design stage of the project to give them a better understanding of our products and systems, we go the extra mile. It’s an education service. As an example, I’ll give you one of the great successes we have had recently – we have a partnership with the number one oil and gas company in GCC and we are the only approved supplier to install seven kilometres of pipes under water for gas supply in Abu Dhabi.” Hepworth was the only company in the region with the expertise needed to produce this underwater system. “It’s very difficult technically, it might sound easy but it took nine to ten months to make the design and we were the only approved company to take
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the project because we were part of the design process, so we understood all the ups and downs that can happen. We understood the risks and how to mitigate these risks.” Al Gendy says that developing the technical capabilities of Hepworth’s people has been critical to its success. “It’s a great place to work, the culture is very good. We have a lot of great management around the people and we offer the best technical training on a regular basis. So every newcomer who joins the company will have technical training every month. We also have companies coming from Europe giving us new technologies and we are funding our people to develop further skills. Our staff turnover is low.” w w w. h e p w o r t h . a e
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AL-RAHA GROUP FOR TECHNICAL SERVICES
Tareq Harb, from Al-Raha Group for Technical Services’s power systems division, tells us how his team’s sector has grown into a trusted supplier to Saudi Arabia’s foremost electricity company
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he Al-Raha Group for Technical Services – or RGTS – has enjoyed great success and quality of expansion since its establishment in 1986. Today, the company specialises in supply chain management services, repair and refurbishment of aerospace ground support equipment, special purpose vehicles, and power. Based in Saudi Arabia, it aims to become a hugely trusted supplier of parts, support services, personnel, and equipment to suit the requirements of its clients. The company prides itself on its integrity and focus on customer requirements, applying advanced technology, innovation, and solid business management to its professional relationships. It chooses to recognise its suppliers and clients as partners, ensuring respect from all sides, and cementing RGTS’s reputation as one of high-quality standards.
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Power systems division One segment of RGTS’s expansive business is the power systems division, led by Business Unit Manager Tareq Harb, who explains the role of his sector within the RGTS umbrella: “Our main task is the supply, rental and maintenance of diesel generators,” he says. “We have both medium speed and fast speed engines; we supply from 50 up to 5,000 kVa generators, and on a rental basis, we offer from 50 to 2,500 kVa per single unit and up to 100MW for a complete power plant. This is what we have been doing since 2009.” Harb has worked with RGTS for a decade, and is now in control of the power systems division’s technical department: “Here we have around 40 employees; 35 of them are technicians and engineers, and the other five are an operations manager, a service manager, a sales manager, and two sales representatives.”
1200 Number of jobs to be supported by Al-Raha Group for Technical
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AL-RAHA GROUP FOR TECHNICAL SERVICES
“It requires some time to be a strong competitor, but with the aid of our future projects, we will achieve our goals” – Tareq Harb, Business Unit Manager
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The company finds most of its employees through the manufacturers from which it buys. Most of the power division’s generators come from Cummins Power Generation, and to a lesser extent, Volvo, and Kohler: “Employees we find via these companies are already trained; in the case of Cummins, at its headquarters in Dubai. Most of it is basic training, not deep technical training – that happens on the job.” Powerful partnerships RGTS’s power division’s main function is as a supplier for the Saudi Electric Company, Saudi Arabia’s foremost electric utility business. It maintains 19 power plants across the kingdom, and has a monopoly on the services it provides. It currently holds two contracts with RGTS, and is working towards another three: “The total value of the contracts is around 100 million Saudi riyal,” Harb explains. “The duration for these contracts is three years per contract, and is focussed on power generation for remote areas, specifically villages. For the past five years, we’ve worked almost exclusively with the Saudi Electricity Company.” However,
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Harb’s division sees a future beyond its major partner: “Starting last year we’ve been working on other divisions. We are partnering up with the government and will receive some contracts for the supply and installation of generators for a few government ministries, as well as in the private sector. We already have a few small projects in the private sector. We’re not necessarily close to becoming international, but we’d like to be regional and start working in neighbouring countries.” Most of the team’s projects are based in the Northern Borders Province of Saudi Arabia, specifically the capital city, Arar. “We have a chief maintenance centre there, and this maintenance system controls all of the technicians and engineers in that area,” says Harb. “Plus we have our main offices here in Riyadh, our main workshop, and beyond.
AAGS Electrical simulator station
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AL-RAHA GROUP FOR TECHNICAL SERVICES
“We have plans to extend into different parts of the private sector”
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The complex work is undertaken in Riyadh while the minor jobs are done on-site.” Looking to the future What sets RGTS’s power systems divisions apart from around seven other competitors sharing the market is its determination to grow. “We have plans to extend into different parts of the private sector,” Harb explains, “such as the construction industry. We also plan to start installing generators and standby generators in hospitals and medical centres, but we’re more interested in construction and petrochemicals. We’ll be putting in a big order for new generators, starting with 100 units for now, and expect to receive the order in the next couple of months. Then, once the units arrive, we’ll have new sales employees in place alongside our existing technical staff.” With regards to future improvement, the
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company is offering specific training courses for its technicians and engineers, and is hiring between five and 10 employees in new positions every year. It also allows partners like the Saudi Electricity Company the chance to visit its facilities, which strengthens the relationship. Harb concludes: “Within the Saudi Electricity Company, we are a strong competitor; outside of this, we are progressing more slowly. It requires some time to be a strong competitor, but with the aid of our future projects, we will achieve our goals.�
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The grow Written by: Nye Longman
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H E W L E T T PA C K A R D E N T E R P R I S E
Having recently split from Hewlett Packard, HPE is combining its world-beating solutions with extensive local knowledge to strengthen its position as both a regional and global innovation leader
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hile Hewlett Packard Enterprise (HPE) only split into a separate business company at the end of 2015, the business is already proving that the massive decision was not only forward-thinking but was also financially and operationally sound. While retaining its already strong commitment to the quality of its staff and technology, not to mention its competitive operational strategy, HPE is looking to build on its position in the enterprise space to become a true global leader. We speak to Khaled Alsaleh, HPE’s Regional Director for the Middle East and Africa about how he is leveraging his knowledge of the local markets to aim the company in the completion of this goal regionally. Operations HPE’s innovative technology solutions and services can be found in some form or other in most if not all of the Fortune 100 companies across the globe, which is why such a wide variety of African
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and Middle Eastern industry leaders trust the company with handling their enterprise solutions. In the Middle East specifically, the company works with government, defence, telecommunications, oil and gas, hospitality, healthcare, finance, manufacturing and retail companies. With the capabilities to service a diverse range of industries, it is little wonder that HPE is being tipped to bring in $53 billion in revenues this year. To summarise its offering to businesses must by necessity be an exercise in brevity – suffice to say that HPE covers everything from data protection, optimisation and analytics, to support, education and financing. Alongside an expansive range of software products, HPE also provides networks, servers, storage and integrated systems. Alsaleh explains the rationale behind the separation: “By separating into two industryleading companies, Hewlett Packard Enterprise and HP Inc. will focus on the markets they serve while also being more agile, nimble and responsive to current and prospective customers. Both companies will build on HP’s 75-plus year legacy of adapting and innovating cutting-edge www8.hp.com/emea_middle_east
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250k Number of jobs to be supported by HPE
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technologies to support the customers they serve and deliver maximum value to our shareholders.� Being more agile as an independent company, HPE has even more room to adapt to the everchanging technology landscape and even has this embedded into its customer-facing strategy, as Alsaleh explains: “It is imperative that we adapt to the changing environment. As a business, our focus now is on helping companies make the most of technology to benefit their customers
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and employees by successfully navigating through what we see as the Idea Economy. “In essence, the ability to turn an idea into a new product, business or industry has never been easier or more accessible and companies need to be well placed to take advantage of this. To help businesses achieve this, our strategy is focused on areas that we believe companies need to utilise in order to compete. These areas of the market represent an estimated total addressable market of more than $1 trillion, so there’s a lot of opportunity for us to grow and improve our business. The right skills for the job In order to fully realise both the regional and global visions for the development of the new company, Alsaleh and his management teams are working hard to ensure that HPE is made up of
“In order to fully realise both the regional and global visions for the development of the new company, Alsaleh and his management teams are working hard to ensure that HPE is made up of a satisfied, well-educated and well rewarded workforce” – Khaled Alsaleh, HPE’s Regional Director for the Middle East and Africa
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H E W L E T T PA C K A R D E N T E R P R I S E
Khaled Alsaleh Regional Director, Middle East & Africa Hewlett Packard Enterprise Khaled Alsaleh serves as the Regional Director of Hewlett Packard Enterprise in the Middle East and Africa region. He is leading the HPE software portfolio of solutions and services, managing ICT businesses transformation, creating visions for the new style of business and building strategies with effective GTM approaches for sustainable revenue growth. He enjoys more than 17 years track record of successful execution working closely with public and private sectors across industries/countries in the region, and mapping the worldwide corporate values/goals to geography-based markets and industry-specific trends. He joined HP in 2013 as the Country Manager of HP Software in Saudi Arabia, and was promoted late 2014 to his current role. He has held leadership positions at multi-national companies such as Oracle, Computer Associates and others. Khaled holds a Bachelor Degree of Information Systems from King Saud University, and he is an MBA candidate in Warwick Business School in the UK. He is a Member of the Chartered Management Institute (CMI), Saudi Telecoms Society (STS), Global Telecoms Mini MBA Alumni, and he is a Fellow of the UK Institute of Sales and Marketing Management (ISMM).
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a satisfied, well-educated and well rewarded workforce, he says: “Certain roles in our business require very specialized skills and we’re competing for a limited pool of talent in certain markets. This makes retention absolutely critical. “At HPE, career growth is an important retention tool. We follow a well-defined Career Development Model where the employee is the main driver in exploring and deciding what’s next, the manager supports and HPE enables the career growth within a very dynamic and changing business environment.” Recognising the transformative power of technology, the company has created its own online learning resource known as Accelerating U, which is an all-in-one portal containing virtual colleges and a host of materials covering both hard and soft skills. HPE also has a network of physical training centres across the Middle East and Africa, so that a variety of learning styles can be seamlessly addressed. Alsaleh’s own appointment was done in light of the positive difference he could make to the skillset and ethos of the company. His role as Regional Director covers managing everything from the entire portfolio of solutions and services, managing ICT businesses transformation, creating visions for the new style of business and building strategies with effective GTM approaches for sustainable revenue growth. It was therefore essential that the right appointment had the experience and educational www8.hp.com/emea_middle_east
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H E W L E T T PA C K A R D E N T E R P R I S E
“Over the next five years our aim is to generate growth and longterm value for our shareholders and customers. And we’re already making good progress with this having successfully delivered a second consecutive quarter of constant currency revenue growth in Q4 2015” – Khaled Alsaleh, HPE’s Regional Director for the Middle East and Africa
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background honed over many years of execution in a variety of roles. Alsaleh has a proven track record of over 17 years working closely with public and private sectors across a variety of industries and territories. He joined HP in 2013 as the Country Manager of HP Software in Saudi Arabia, and was promoted late 2014 to his current role. He has held leadership positions at multinational companies such as Oracle, Computer Associates and others. Responsible growth strategy HPE occupies the unique position of having a long history of operations while simultaneously coming to the market as a new company. While a seemingly ambiguous position, the company has its eyes set firmly on the future as Alsaleh explains: “Over the next five years our aim is to generate growth and long-term value for our shareholders and customers. And we’re already making good progress with this having successfully delivered a second consecutive quarter of constant currency revenue growth in Q4 2015. “We also hold the number one of two position in many of our key markets which demonstrates the strength of our business. We’re uniquely positioned to be the most
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trusted partner and deliver this for them and by doing that we can make sure we deliver value for our customers and create a better business.� Underwriting the company’s long term commitment to its employees, customers and shareholders is its dedication to operating in an environmentally sustainable way – an operational commitment that companies the world over are discovering not only saves emissions, but often time, money and materials. The company takes a serious look at its water, greenhouse gas emissions and waste and continually strives to minimise
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its impact across its supply chain, as well across the entirety of its product portfolio. HPE’s operations in the Middle East and Africa combine the best aspects of a globally leading IT technology company with years of experience in innovation with local knowledge and market-relevant expertise required to compete regionally. Having simultaneously an illustrious history and a clean slate for the future, HPE is positioned to become a regional powerhouse and will surely set the pace of innovation in these markets for many years to come.
Hewlett Packard Enterprise International Saudi BV King Fahad Rd, Al Faisaliah Office Tower, 5th floor, PO Box 67280, Riyadh 11596, Saudi Arabia T: +966-12-827-429 E: raymund.alindayu@hpe.com
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Healthy decisions Written by Nye Longman Produced by Craig Daniels 69
KING FAISAL SPECIALIST HOSPITAL & RESEARCH CENTRE
The King Faisal Specialist Hospital and Research Centre is transforming the patient experience in Saudi Arabia using a variety of technological strategies
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he King Faisal Specialist Hospital and Research Centre (KFSH&RC) in the Kingdom of Saudi Arabia (KSA) is exploiting cutting-edge technology in order to usher in an unprecedented change in both staff and patient behaviour, while simultaneously bolstering its capacity as a business unit. Various strategic initiatives have not only brought about in-house improvements, but have also seen the institution receive both local and international recognition. Operations At the heart of the KFSH&RC’s operations are five core values which consist of teamwork, compassion, integrity, and quality, as well as an
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unshaking commitment to the needs of its patients. While patient-centred medicine is not a particularly new topic, its intersection with tech trends such as big data, smart technology and IT systems is certainly off the beaten track. CIO Osama Alswailem, MD MA explains: “We are trying to help patients and staff adapt to information technology by redesigning and re-engineering workflows with the goal of providing better patient care.” KFSH&RC’s first Hospital was established in the Kingdom’s capital Riyadh in 1975 with two further facilities later established in Jeddah. Across its operations, KFSH&RC employs 14,200 staff, including 1,226 physicians and 3,875 nurses, serving 1,308 beds. The facilities provide the highest quality care across 18 departments, a range of specialisms which includes everything from oncology and cardiology, to ophthalmology and clinical nutrition. Knowledge-sharing and teaching are key experiences for clinical staff at the Hospital, where there is an emphasis on educating the public to be more health conscious and to take as much responsibility for their treatment as possible. Its internal training and development department supports life-long skill development and learning, as well as a specialised 18-month long ‘future leaders’ training programme.
Key Personnel
Osama Alswailem Chief Information Officer
Osama AlSwailem holds the position of CIO and is an accomplished medical and IT professional with extensive experience in medical informatics and information technology. In addition to this role Alswailem is Assisstant Professor of Medical Informatics at AlFaisal University in Riyadh where he shares his knowledge and experience with some of the brightest young minds in the medical field.
A new breed of CIO Alswailem’s role as CIO itself is indicative of a sea change in the industry and, while not a total w w w. k f s h r c . e d u . s a
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WELCOME TO THE
Internet of Everything Every day, the Internet of Everything grows exponentially. Millions of devices and people are connecting, developing ideas and solutions that are the first of their kind. But these firsts are only truly interesting for the lasts they create. The last traffic jam. The last product recall. The last blackout. These are what motivate us, because we know big things are never achieved by thinking small. And those big things start here and now. www.cisco.com/c/en/us/solutions/industries/healthcare.html
Cisco Systems, Qatar Science and Technology Park (QSTP) IT TC 2, Podium Level, Nor th Wing, South and Centre Units, Doha, Ad Dawhah, Qatar. Tel: +974 4410 7700 Fax: +974 4410 7701
SUPPLIER PROFILE
Cisco (NASDAQ: CSCO) is the worldwide leader in IT that helps companies seize the opportunities of tomorrow by proving that amazing things can happen when you connect the previously unconnected. At Cisco customers come first and an integral part of our DNA is creating long-lasting customer partnerships and working with them to identify their needs and provide solutions that support their success. The concept of solutions being driven to address specific customer challenges has been with Cisco since its inception. Cisco is shaping the future of the Internet by creating unprecedented value and opportunity for our customers, employees, investors and ecosystem partners. Information about Cisco can be found at www.cisco.com For on-going news, please go to www.newsroom.cisco.com
TECHNOLOGY Data Center in the HITA Building at KFSH&RC Riyadh
break from the past, represents a happy meeting between old and new. As a qualified MD by profession, he is one of very few physicians to move from treating patients to overseeing the technological wellbeing of an entire institution. He says: “In 2014 the Healthcare Information Technology Affairs (HITA) department was formed through unifying the Informatics and Technology divisions. It has been a very challenging and rewarding journey from a Physician to a CIO. “I believe healthcare CIOs play a more vital role compared to other corporate sector counterparts. It almost goes without saying that an unplanned outage or mishap can have greater consequences - thus the CIO has to always ensure each node is treated as though it is a lifeline, directly or indirectly. CIOs in healthcare aren’t just technically competent but require greater foresight and vision as to the impact each decision has on patient health and also continuum of care.”
“I believe healthcare CIOs play a more vital role compared to other corporate sector counterparts. It almost goes without saying that an unplanned outage or mishap can have greater consequences thus the CIO has to always ensure each node is treated as though it is a lifeline” – Osama Alswailem, CIO
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Build A Cost-Effective, Optimised IT Solutions By Choosing The Right Technology Partner Total Technical Triangle (3T) has managed to rapidly grow a significant portfolio of loyal customers and is proud of being a major IT provider to KFSH RC. Total Technical Triangle (3T) views its customers as partners and works together intelligently to insure their needs.
www.3tsa.com/new
The nature of our various partnerships illustrates the depth of our commitments.
SUPPLIER PROFILE
TOTAL TECHNICAL TRIANGLE Total Technical Triangle, known as 3T, is one of the leading IT infrastructure company in Saudi Arabia. 3T was established in 2005 as part of Midis Group, ever since it is constantly increasing technical and project implementation capabilities, in order to deliver groundbreaking technologies and services with the best of IT Vendors to its customers. Through a wide range of highly specialized services, encompassing tailor-made IT infrastructure, security, and automation systems, 3T guarantee you a more agile, efficient, and profit-making company, while ensuring you optimal visibility, security and control of information. “Developing reliable, leading IT services that will add value at each and every stage of the business development cycle and that will have a direct and a long-term impact on customers’ bottom line” 3T ensures you a full service that covers all aspects of IT infrastructure, and offer solutions, such as: • Data center preparation for medium to large enterprises • Virtualization and cloud computing solutions • Business continuity and disaster recovery solutions • IT operational and administration solutions • Network and communication solutions • Office facility management systems • Edge and endpoint security solutions Tel: +966 11 4734005 Email: info@3tsa.com Website: www.3tsa.com/new
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Technological edge Alswailem explained that the function of technology within the Hospital (and his role as CIO) was shifting from a set of processes quietly humming away in the background to becoming an irreplaceable tool for both patients and medical professionals alike. He says: “Historically, the focus with IT was mainly just to keep the lights on and provide simple support functions. What this has evolved into we call ‘Health IT’ whose success we are now publishing in a number of medical journals.” “Technology has become integrated in our lives and the impact cannot be ignored. It has become the driver for what healthcare facilities are trying to achieve, whether through medical equipment, efficiency, quality, or improving patients’ experience and care.” “The hardest part has been having to balance that with the physician-patient experience. The human interaction and touch is still much needed and desired in healthcare; having to build technology around that has been one of the biggest challenges. You never want to keep the physician busy entering and gathering data where the patient feels ignored or feels secondary to healthcare systems.” Taking patient engagement seriously, the Hospital has integrated a range of wearable devices with patient electronic medical records (EMR) so professionals are able to track and monitor an individual’s glucose, blood pressure and weight remotely. This has given physicians more data to work with, and has enabled them
‘Alongside integrating this focus operationally, the hospital is currently commercialising its expertise, and already runs the IT systems of a nearby private hospital, with a goal to become a national innovation leader in the next few years’
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KING FAISAL SPECIALIST HOSPITAL & RESEARCH CENTRE
Microsoft is the leading platform and productivity company for the mobile-first, cloud-first world, and its mission is to empower every person and every organization on the planet to achieve more. For more information, please visit www.microsoft.com/en-sa
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to meet pre and post-surgery requirements. This has reduced the number of trips that patients need to make to the hospital, saving them and physicians precious time. Following the success of implementing wearable technology in this way, Alswailem and his team are looking at a more sophisticated, hospital-wide rollout. He said: “Patient experience is becoming an increasingly important subject these days. Everybody’s talking about the need to engage and empower patients to become engaged with the healthcare process. Most of the healthcare activity is happening outside the four walls of the Hospital and active patient engagement has to be insured; the patient has to have the tools and the collaboration to have this capability. The diabetic biro gives an example – patients now only need to see their physicians once every six months.”
14.2k Number of jobs to be supported by King Faisal Specialist Hospital and Research Centre
A view of the Server Room in the Data Centre (HITA Building)
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KING FAISAL SPECIALIST HOSPITAL & RESEARCH CENTRE
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KFSH&RC received its Healthcare Information and Management Systems Society (HIMSS) Stage 7 accreditation last year based on its adoption of the Electrical Medical Record Adoption Model (EMRAM). Not only is the Hospital at the highest stage of integration, its ambulatory service is the only outfit outside of North America to have reached this level. Ever since the institution first realised the vital difference that adopting cuttingedge technology could make; becoming a leader in this aspect has been a top priority for KFSH&RC. Alongside integrating this focus operationally, the Hospital is currently commercialising its expertise, and already runs the IT systems of a nearby private hospital, with a goal to become a national innovation leader in the
King Faisal Specialist Hospital & Research Centre
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KING FAISAL SPECIALIST HOSPITAL & RESEARCH CENTRE
‘Taking patient engagement seriously, the hospital has integrated a range of wearable devices with patient electronic medical records (EMR) so professionals are able to track and monitor an individual’s glucose, blood pressure and weight remotely’
Connecting health and care in the Middle East for nearly three decades Congratulations to King Faisal Specialist Hospital & Research Centre for achieving the first HIMSS 7 Ambulatory outside North America.
cerner-me.com © 2016 Cerner Corporation
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next few years. This is supported by a number of universities in the KSA, as well as strategic partnerships with global technology leaders such as Microsoft, Intel, Cisco, Cerner, Avaya and Oracle, as well as regional partners such as T3. Under Alswailem’s supervision, KFSH&RC has proven that technology can impact positively on patient care beyond the boundaries of its facilities, whether used by the patients themselves or its teams of highly trained healthcare professionals. Having developed expertise never before seen in the region, the Hospital has been able to use its knowledge and influence towards the advancement of patient care.
Opposite: HITA Building at KFSH&RC Riyadh - In addition, HITA has 2 other office locations in Riyadh at the Disaster Recovery Building and MSSB. HITA offices are also located in Jeddah.
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A revolution in metering Written by Nell Walker Produced by Daniel Pritchard
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EL SEWEDY ELECTROMETER
How El Sewedy Electrometer Group stays ahead in the competitive metering industry
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ith 19 million meters running in 46 countries, and as one of the top 10 metering companies in the world, El Sewedy Electrometer Group (EMG) has come a long way from its well-established roots. The company has been established since 1998, and for decades it has slowly but surely built its brand, thriving where similar businesses fell behind. Its rise to prominence has occurred steadily throughout its timeline, as follows: • 1938 – Zaki El Sewedy Holding (ZSG) was founded as a supplier of electrical materials in Egypt • 1962 – ZSG was appointed by the Egyptian government as the main supplier of all electrical materials for the largest hydro power plant in Egypt, the Aswan High Dam • 1980 – ZSG started investing in industry,
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starting with the manufacture of power cables, electricity distribution boards, electricity and gas meters, lighting fixtures, and energy-saving lamps in addition to its turn-key electrification projects • 1998 – ZSG established El Sewedy Electrometer (EMG), the first private sector company specialising in the design and manufacture of electricity meters in the Middle East • 2004 – EMG founded Ghana Electrometer Ltd, the first metering factory in West Africa, followed by the successful implementation of the e-Cash pre-payment system • 2007 – EMG ventured with EEPCO in Ethiopia Electrometer to produce prepaid meters in Ethiopia, as well as with ZESCO in Zambia Electrometer • 2008 – EMG partnered with BMG bank in Electrometer do Brazil, in addition to Electrometer de Las Americas in Mexico with CICASA • 2009 – EMG established El Sewedy Electrometer India to supply Asia as well as the rest of the group with quality meters and modules • 2010 – EMG acquired an established meter manufacturer in the Czech Republic to supply Europe and the rest of the world with smart grid solutions EMG is fully-focused on production of meters, network management services, large electrification
El Sewedy Electrometer has 19 million meters running in 46 countries
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EL SEWEDY ELECTROMETER projects, and product aftercare. The business expanded facilities in Africa to cover Ghana, Ethiopia, and Zambia respectively. As its success spread, EMG began to globalise, extending facilities to India, Brazil, and Mexico, before penetrating the European market by acquiring ZPA Smart Energies in the Czech Republic. EMG has attained ISO 9001, ISO 14001, and OHSAS 18001 certification during its lifetime, and has become a sought-after partner for many other large businesses. Some of its major recent projects include the North Lebanon Project and the Ghana Ashanti BOT Project, both involving the design, manufacture, supply
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and installation of various metering systems. “We have a complete portfolio of products that cover residential, commercial, and industrial market needs,” says Mohammed Shoaib, Head of PMO and Strategic Sourcing at El Sewedy Electrometer. “Our portfolio includes basic meters, advanced meters that provide prepayment features, and smart meters that come with a flexible design to communicate via GPRS, RF or PLC. These smart meters enable utility companies to remotely collect metering data as well as configure meters, which enhances the accuracy and swiftness with which data is transferred between the utility and consumers.” Productivity is optimised by utilising the latest techniques in lean manufacturing and Six Sigma. Calibration and testing systems are automated, allowing simultaneous manufacture of multiple products without sacrificing accuracy, and the ability to respond to customer delivery demands without risk of human error. The supply chain is strictly operated and Shoaib demands perfection at every step of the way: “We have a solid supplier-management mechanism where we evaluate our suppliers based on their financial performance, the quality of the product, lead times, and cost. We try to have multiple suppliers for every item to minimise risk and lessen competition. We like to maintain an open relationship with all of them by sharing our production plans and our needs, which keeps them engaged. We have a list of authorised
Mahmoud Shawky Operations Director Mohamed is the director of operations and is a member of the management committee. He is responsible for overseeing Elsewedy Electrometer’s daily operational activities including manufacturing, quality, supply chain, and performance reporting. He plays effective role in the top management committee regarding the firm’s performance, dayto-day operations and overall strategic planning.
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Delivering smart metering and lighting control solutions in Africa through local partnerships. Cyan’s integrated solutions, enabled by its communication technology, allow the measurement and control of energy consumption as well as the management of lighting and sensor devices.
sales@cyantechnology.com | www.cyantechnology.com Cyan Technology Ltd, Buckingway Business Park, Swavesey, Cambridge, CB24 4UQ, UK
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723/725 1-phase 120/100 A
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suppliers, and another for preferred suppliers that we always return to. Also we are implementing a very solid tracking mechanism and an ERP system that connects the dots and ensures every point in the business runs smoothly.” All of EMG’s products are heavily tested by world-renowned labs, including OFGEM in the UK, MET Lab in the US, INMETRO in Brazil, LAPEM in Mexico, ERDA in India, and many more to ensure all products are of the highest quality. “We have prestigious R&D houses in Egypt, India, the Czech Republic, and many other countries. Five percent of our annual revenue is invested in R&D; El Sewedy is one of the top five platforms for R&D in the metering industry. We don’t buy ready-made designs and just put our logo on them; we develop every concept ourselves.”
EMG’s smart meters come with a flexible design to communicate via GPRS, RF or PLC
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EL SEWEDY ELECTROMETER
Mohammed Shoaib Head of PMO and Strategic Sourcing Mohammed heads PMO and Strategic Sourcing at ElSewedy Electrometer. He oversees project execution from customer order all the way through to delivery. He also oversees supplier relationships and evaluation plus BOM costing, lead times, and quality. Prior to that, he worked at Intel managing its R&D outsourcing. He is the recipient of Intel’s prestigious Division Recognition Award. Mohammed holds a recent MBA and is PMP certified
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Such a large, rapidly-expanding company has a lot to offer an employee, Shoaib says. “We always offer opportunities for growth; it’s a global company and doesn’t have one single focus, so as an employee you would have the luxury of being exposed to the product development every step of the way; employees can grow within one department or expand to the next. We also offer training programs, depending on the position being applied for.” Shoaib says that the economic climate hasn’t affected El Sewedy, as the business is always there. “We are operating in a B2B market. There’s a lot of demand for our products from the utilities and from privately-held companies. Developing countries are connecting more people through metering solutions, and the demand is growing. That’s connected to the economic status and
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growth of the country. Besides, the technology itself is evolving from the mechanical meter to the electricity meter, from post-paid to pre-paid meters, and recently to the smart meters. The demand is finding its way in both developed and developing countries.” El Sewedy Electrometer’s slogan is ‘Manage Utilities Better’, which reflects its belief that its responsibilities lie beyond meters themselves and the aftercare thereof. EMG wants to enable its customers to manage their own utilities without difficulty, and offers comprehensive services to tackle that: “EMG is a total solution provider with deep focus on quality and customer service. Our solutions and services include engineering, installation, operation, maintenance, meter management, and billing activities.” Shoaib says. What truly sets El Sewedy apart from other companies in the industry is experience, according to Shoaib: “The leaders of the company have a lot of experience in this industry and have been doing it for many years. EMG now has 10 factories present across five continents, which gives us global market leadership and significant production capacity of more than 5 million meters per annum. We cater to all segments of the meter market, not only focusing on one. We have the power to decide where to produce depending on capacity and market needs.”
Mahmoud Adel Purchasing Manager Mahmoud Adel is the Purchasing Manager at Elsewedy Electrometer. He is responsible for buying the best quality equipment, goods and services for the organisation at the most competitive prices. Mahmoud has 10 years of experience in purchasing and supplier management. Mahmoud is Certified Supply Chain Professional (CSCP) from the American University in Cairo and Certified International Purchasing Manager (CIPM) from IPSCMI.
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