GLOBAL SUPPLY CHAIN JULY AUGUST 2014

AGILITY’S DYNAMIC APPROACH

DHL MOVING DATA AND SHIPMENTS IT Costs

Sending IT to work

The X Factor

APL Logistics’ positioning

Online cargo insurance ENHANCING THE BUSINESS OF LOGISTICS

Dubai Trade’s Tradeshield

57 36 28

UAE - THE GLOBAL HUB

July/August 2014 Issue 06

ALL SYSTEMS

GO

An update on RFID and sensors

THE WORLD IS OUR BUSINESS LET US TAKE CARE OF YOURS

London to Abu Dhabi, daily When Paul Owen needed to get machine parts to Abu Dhabi, he called Etihad Cargo. With 35 passenger flights we offer a total weekly capacity of 642 tons from London to Abu Dhabi and beyond.

So whether it’s machine-parts or computers, visit www.etihadcargo.com for more information, or contact your local Etihad Cargo representative and we’ll take it from there.

Paul Owen, Freight Forwarder, London, UK

Can we see clearly ...

SIGNATURE MEDIA FZ LLE P. O. Box 49784, Dubai, UAE Tel: 04 3978847/3795678 Email: info@signaturemediame.com Exclusive Sales Agent Signature Media LLC P.O. Box 49784, Dubai, UAE Publisher: Jason Verhoven jason@signaturemediame.com Director: Deepak Chandiramani Deepak@signaturemediame.com Managing Editor: Munawar Shariff munawar@signaturemediame.com Art Director: Raveendran Production Manager: Roy Varghese Roy@signaturemediame.com

Printed by United Printing Press (UPP) – Abu Dhabi Distributed by Tawseel Distribution & Logistics – Dubai

Contributor’s opinions do not necessarily reflect those of the publisher or editor and while every precaution has been taken to ensure that the information contained in this handbook is accurate and timely, no liability is accepted by them for errors or omissions, however caused.

Articles and information contained in this publication are the copyright of Signature Media FZ LLE & SIGNATURE MEDIA LLC and cannot be reproduced in any form without written permission.

… Now that the Fog is replacing the Cloud. I mean, I knew about the Cloud. The buzz however goes like this, that ever since the Cloud, smart phones have become the major avenue of doing most day-to-day things since the smart devices have some of the data and processing power to receive and exchange information from companies that have them stored in the Cloud. And since wireless network connectivity is always not up to the mark, the bandwidth makes exchanging information with the Cloud more difficult than easy. Add to that, the fact that more and more ordinary things around us are getting ‘smart’ and are beginning to communicate (sense their environment, connect to the internet, receive commands remotely) with each other. So with the Fog, information storage and communication exchange is going to be moved from the Cloud to things like say a router as it is closer to the now communicating smart devices. Incidentally, we have an interesting article on this communication exchange, of how to really make sense and avoid all the unnecessary dialogue the Internet of Things (also known as the Industrial Internet) generates. Read it on Page 54.

Another interesting article this issue is the one on Page 51 about driverless podcars soon to be introduced in Dubai as alternate transport solutions all targeted at reducing the country’s environmental impact as well as reducing congestions on the road. Highly anticipated is how the government is figuring out seamless first and last mile connectivity for users.

So while technology adaptation is great, it comes with an enormous price tag as well. This is an investment that takes a long time to show results. And as Agility’s Mohammed Esa says in his interview on Page 16,“We all need to have an appetite for it.”

Technology is the future and the only road for all of us to stay relevant and in tune with the times.

Do let me know what you thought of this issue. Write to me on: munawar@signaturemediame.com Munawar Shariff Managing Editor munawar@signaturemediame.com

JULY/AUGUST 2014 3

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July/August 2014 Issue 06

ENHANCING THE BUSINESS OF LOGISTICS

22 04 News 10 UAE – Guts and glory

The UAE is by far the most successful country in the region

18 Relevant and agile

Agility is on top of its game in the region and beyond

22 All systems go

An update on RFID and sensors

28 IT cost transformation Getting the biggest business impact through IT

32 Moving data and shipments

An update on operational IT systems at DHL

36 The technology differentiator

How APL Logistics positions itself in a sophisticated market

42 Virtual engagement

How technology has encroached upon this recruitment interaction

44 Facilitating trade security Dubai Customs plays an imperative role in the country’s trade

51 The impact of driverless

36

podcars on Dubai’s roads

Personal Rapid Transport is the future

54 Perhaps the Internet of

Things should be a little less chatty?

Gearing up for a ‘smart’, connected future

57 Dubai Trade’s online

cargo insurance platform

Official launch of Tradeshield online cargo insurance

60 Unwind

An informal chat with Almajdouie’s S I Mustafa

42 JULY/AUGUST 2014 5

Antwerp becomes major hub for reefer cargo from Ecuador The European rotation of a Mediterranean Shipping Co. (MSC) container service between the West Coast of South America and northern Europe has been modified to bring reefer cargo from Ecuador to Antwerp in just 17 days, according to Port News. There is a clear trend in reefer shipping for more fruit to be carried in containers. Container carriers have seen their market share rise significantly in the past few years, at the expense of the traditional reefer fleet, a Belgian port’s press release said.

The Ecuadorian group Noboa has now also decided to send its Bonita brand of bananas from Guayaquil by container carrier instead of the traditional refrigerated ships. The fruit producer opted for MSC because this shipping company is able to guarantee rapid transit times between Ecuador and northern Europe. In fact MSC has changed its sailing schedule especially for this contract, so that Antwerp is now the first port of unlading. Antwerp is already the world’s largest banana port, as well as being an important hub for reefer cargo.

The first reefer containers with bananas were loaded on board the MSC Vaishnavi R in Guayaquil on May 18. This vessel is able to carry 4,112 TEU containers including no fewer than 1,300 reefer boxes. The first shipment arrived in Antwerp on June 25, and from now on an average of 260 40foot reefer containers will be sent weekly.

Immediately on arrival the containers with bananas are loaded directly from seagoing ship to barge at the MSC Home Terminal, for rapid transfer to the Belgian New Fruit Wharf refrigerated warehouse in the Leopold dock, which in this case is treated by the Customs Service as an extended gateway of the terminal. -Port News

6 JULY/AUGUST 2014

Etihad Airways Group Treasurer Ricky Thirion receives the Judge’s Choice award from TreasuryToday Managing Director Richard Parkinson at the Adam Smith Awards.

Etihad honoured Etihad Airways has been honoured at TreasuryToday Magazine’s Adam Smith Awards 2014 for successfully implementing an innovative sales and leaseback (SLB) transaction worth US$70 million with Jet Airways.

The awards take place each year to celebrate innovation and best practice, with winners for 2014 announced at a gala reception in London which was attended by more than 200 treasury and finance professionals.

Etihad Airways was named winner of the Judge’s Choice award for providing a unique asset-backed lending solution to Jet Airways last year, which unlocked liquidity from the Indian airline’s three pairs of take-off and landing slots at London Heathrow airport. Jet Airways

continues to utilise the slots on its passenger services between the UK capital and India.

Ricky Thirion, Etihad Airways Group Treasurer, said,“We are honoured to receive the Judge’s Choice award for last year’s sale and leaseback solution with Jet Airways, which was truly unique and innovative for both the aviation and treasury markets.

“Etihad Airways and Jet Airways are commercial partners and the agreement was beneficial to both, as no bank or third party debt was sourced and risks were mitigated due to our unique ability, as both airline partner and lender, to unlock the value of London Heathrow take-off and landing slots as security, which would not have been valuable to traditional lenders.”

Food trade amounts to Dh21.5 billion during Q1, with 17 per cent growth rate Dubai Customs (DC) supports measures taken by the government to ensure prices of foodstuff remain stable in the UAE during the holy month of Ramadan. To that end, DC will facilitate smooth and timely flow of food commodities to local markets, in quantities that meet the increasing demand during the holy month.

DC’s facilitation to food trade will reduce the time required for customs clearance, ensuring food consignments reach markets in the least possible time. Customs centres in Dubai enhanced their operations to make sure importers timely receive food materials to meet market demands and thus avoid price hikes. Most food consignments are immediately cleared.

DC ensures fast flow of foodstuff imports to meet the needs of consumers, particularly during the peak consumption season in Ramadan.

Dubai’s foodstuff foreign trade has recorded a clear rise in the first quarter of 2014, as per the most recent figures released by Dubai Customs, amounting to Dh21.5 billion compared to Dh18.3 billion in Q1 2013 with a growth rate of 17 oer

cent. Imports went up to Dh14 billion, exports to Dh3.4 billion and re-exports to Dh4.2 billion.

This growth reflects the capacity of the local market to accommodate high volume of foodstuff and the increase in demand due to the economic and population growth. Dubai plays a significant role in food trade regionally and internationally, taking advantage of its strategic location amidst major global markets.

Bahrain ranked first among Arab countries in the UN eGovernment Survey 2014 The Kingdom of Bahrain has achieved an advanced rank in the UN eGovernment Survey 2014 on the eGovernment readiness and quality of eServices, were it was rated at the forefront of five geographic regions achieving rank number 18 worldwide and 1st on the the Arab and Middle East countries with its eGovernment readiness.

The report is integral and comprehensive in measuring the readiness of eGovernment and is the only report globally that evaluates the readiness of 193 world countries and United

Nations Member States. It has indicated the advancement of Bahrain on the eParticipation Index – occupying the 14th rank after it had been the 19th within the last report in 2012.

Such an achievement moved Bahrain ahead. It was also classified, for the third consecutive time, as one of the top eight countries in the Global Web Index.

The Kingdom of Bahrain attains the confidence of the international community and as a result, it has been selected as the first Arab country

and the fourth world state to host the United Nations Public Service Forum in 2013 outside the United Nations’ headquarters in New York.

Bahrain was also selected, by the UN, as the 1st country in the world to be visited by large delegations representing various countries to benefit from its experience in the field of eGovernment and sign agreements - aiming at transferring its successful experiences and assist these countries to develop their own eGovernment strategies.

Cargotec transfers its India engineering operations to Citec Citec has entered into a long-term partnership with Cargotec, where Cargotec transfers its engineering centre in Pune, India, to Citec. The transaction includes the transfer of Cargotec’s current engineering business and its 110 employees from Cargotec to Citec.

Cargotec’s engineering centre in Pune is involved in engineering projects for the global cargo handling industry. For Citec, the transaction enables a fast growth in India, as well as strengthened engineering competence for the manufacturing industry. The agreement comes into effect as of June 13, 2014.

“Cargotec has sought after an engineering partner in India, and Citec’s solid experience and track-record in working globally from India made the decision straightforward. This partnership allows Cargotec better flexibility and efficiency, while simultaneously offering great career opportunities for our 110 engineers in Pune. Our strategic intent is to continue to grow and strengthen the market position of the Hiab, Kalmar and MacGregor businesses in India,” says Olli Isotalo, President, Kalmar at Cargotec.

Citec’s global units will provide Cargotec and its business Hiab, Kalmar and MacGregor engineering and project management services, as well as technical documentation services, for their projects worldwide.

“This is a significant step for our operations in India, and it also provides great business opportunities elsewhere.

We are ready to serve Cargotec proactively according to our strategic intent, with smart engineering solutions and a wide competence”, says Martin Strand, CEO, Citec.

JULY/AUGUST 2014 7

Qatar Public Works Authority ‘Ashghal’ Selects IBM for Smarter Infrastructure The Qatar Public Works Authority ‘Ashghal’ recently announced that it has chosen IBM to provide a smarter road and drainage infrastructure in Qatar. The new system will enhance the quality of services, safety and environmental sustainability for citizens in the country. In line with the Qatar National Vision 2030, Ashghal and IBM will deploy an Enterprise Asset Management Solution (EAMS) to effectively manage the operation and maintenance of the country’s roads and drainage networks and multiple effluent and water treatment plants.

The solution will enable Ashghal to rapidly evaluate and respond to defects or incidents reported by citizens and anticipate and prevent problems. Enabled through the use of mobile devices, Ashghal will be able to quickly plan work requirements, determine resource availability and ensure the right crew responds with the right materials and tools. The system will also gather and analyse millions of discrete pieces of information about the country’s road and drainage assets through a Geographic Information System (GIS) to allow the location of assets or work to be determined and tracked in real time.

During the project kick-off meeting Ashghal’s President, H.E. Eng. Nasser bin Ali Al Mawlawi said that the implementation of EAMS is a pivotal step towards enhancing and streamlining the services of Ashghal’s roads and drainage operations and maintenance departments.

“Designed with a focus on customer centricity, the solution will help Ashghal to advance its asset management services with the organisation’s overall business goals through a system that will guarantee lower asset failure frequency and ensure timely maintenance.

With this advanced software, Ashghal will gain real time visibility into the country’s asset usage and, better govern and manage the lifecycle of road and drainage networks to achieve higher returns on national investment,”he added.

The ability to draw from multiple sources across Qatar will also provide better insight into the condition of pipes buried deep

8 JULY/AUGUST 2014

underground in specific locations and the road network. This will help reduce the frequency of maintenance interventions, which in turn will help reduce traffic congestion and increase public safety. It will ensure the road and drainage systems are safer and environmentally sustainable.

With a total land area of approximately 11,500 square kilometers and a population of 2.2 million, the State of Qatar has experienced rapid economic growth over the last several years. This economic growth has resulted in increased demand for government entities in Qatar to provide a world-class infrastructure.

IBM opened an office in Qatar in April 2012 as part of the company’s expansion in the Middle East to meet the growing needs of customers in the region.

“Building a smarter infrastructure is the foundation to establishing a smarter economy.

Citizens are also placing increasing demands on their leaders to innovate and progress. The roll out of the Enterprise Asset Management Solution is a key demonstration of how Ashghal is already executing on Qatar’s journey to a smarter economy leveraging Smart City concepts and enhancing citizen services.”says Amr Refaat, General Manager, IBM Middle East and Pakistan.

Based on IBM’s Maximo Asset Management Software, the solution will transform the way road and drainage asset data, maintenance work, and ultimately customer services are managed within the Authority’s Asset Affairs operations.

For road operations and maintenance, the system will provide Ashghal the ability to manage a network of assets according to their features, attributes and relationship.

It will help optimise the lifecycle of these assets by promoting a proactive approach to maintenance based on actual conditions determined by surveys or integrated control systems associated with each asset. In addition, the system will provide a central source for all asset and maintenance records, to help Ashghal make better decisions on when to refurbish, renew, retire or replace assets.

Designed to integrate with Ashghal’s existing enterprise information systems such as Customer Relationship Management System (CRMS) and Enterprise Resource Planning (ERP), the aim of the new solution is to improve the organisation’s operational effectiveness by consolidating Ashghal’s asset operations and maintenance into a single integrated system.

RAK FTZ provides notary services on-site

Bahrain Airport Company to host first ever routes MENA event It was recently announced that in late November 2015 the first ever Routes MENA will take place in the Kingdom of Bahrain, hosted by Bahrain Airport Company. This inaugural event will see route development professionals from across the MENA region gather to discuss air service development to, from, and within the region.

Bahrain, which is located in the Arabian Gulf, has a history of aviation that dates back to the early 1920’s. Historically it has acted as a gateway between the East and West providing a natural transit destination for early trade routes and a strategic hub for the Northern Gulf. In addition to benefiting from a significant strategic location, the Kingdom is also rich in history and culture with some historical sites dating back more than 4,000 years.

“It is with great anticipation that we welcome the Routes MENA 2015 to the Kingdom of Bahrain,” said Mohamed Yousif Al Binfalah, Chief Executive Officer, Bahrain Airport Company.“Securing this prestigious inaugural event is the result of the collective efforts of our partners and stakeholders and we are confident that this world-class forum will reiterate Bahrain’s role as an aviation

hub in the MENA region and highlight our deep-seated aviation heritage.”

“The MENA region has become very important from an aviation perspective.

It represents nearly 11 per cent of global aviation - about double its share from a decade ago - driven by global hub strategies in the Gulf and liberal aviation access policies,” said Katie Bland, Director Routes for UBM Live continuing: “We’re delighted that Bahrain Airport Company is hosting our very first Routes MENA event dedicated to air service development to, from and within the MENA region and look forward to working with their team.”

Bahrain Airport Company is currently in the design phase of a significant modernisation programme for Bahrain International Airport with construction due to commence in Q2 of 2015. Bahrain enjoys an open skies policy and offers unrestricted access to a catchment area of more than 5m that extends to the eastern province of Saudi Arabia.

Routes MENA will become part of the global Routes portfolio organised by UBM Live, which includes World Routes; Routes Asia; Routes Europe; Routes Americas; Routes CIS/Silk Road; Routes Africa and Routesonline.

The Ras Al Khaimah Free Trade Zone (RAK FTZ) announced recently that it has brought a notary public on site to help clients authenticate documents that they need to set up their companies.

“The addition of notary services, combined with the ability to pay for free zone services by credit card, as well as getting fast-tracked visas and applying for Emirates ID cards without ever leaving the building, demonstrates clearly that the free zone is constantly finding new ways to provide value-added services to its clients,” said Peter Fort, CEO of RAK FTZ. “Instead of going to court to get their business documents notarised, to the Emirates ID office to get their legally required identification cards, or to the immigration office to wait in line for visas, RAK FTZ clients can take care of everything they need to set up their companies in a one-stop shop at the free zone,” Mr Fort said. “This significant support system means that investors can spend less of their valuable time sifting through bureaucratic red tape, and more on establishing profitable businesses.”

Earlier this year, RAK FTZ signed a memorandum of understanding with RAK Courts to acquire the services of the notary public. The notary began working this month in the free zone’s Client Relations Department to better assist the more than 7,500 international companies which have set up shop in RAK FTZ. The notary and other new benefits complement RAK FTZ’s Mazeed Service Desk, which provides ongoing company set-up support, including designing corporate identity materials, insurance, advertising, event management, business cards, training, recruitment, and other assistance.

“This year, RAK FTZ plans to make it easier and more convenient than ever before for investors to do business in the free zone,” Mr Fort said.

JULY/AUGUST 2014 9

10 JULY/AUGUST 2014

COUNTRY REPORT

Trends and Challenges for Logistics in United Arab Emirates GDP and Federal Finances Real GDP of the United Arab Emirates (UAE) grew by 3.4% in 2012 (est.) and is expected to grow by 3.7% in 2013 due to higher oil prices and production Expenditure in the approved 2013 federal budget is projected to increase by around 7% compared to 2012’s budget FDI Confidence and Competitiveness UAE ranked 24th in the Global Competitiveness Report 2012-2013 published by the World Economic Forum (WEF) A.T. Kearney’s 2012 Foreign Direct Investment Confidence Index ranked the UAE 15th Development Outlook 51% of the budget is allocated to the “social development”, with 22% allocated to education sector The UAE is making a concerted effort to diversify its economy away from hydrocarbons. The government is spearheading numerous infrastructure projects, including housing, schools, roads and other infrastructure There are many infrastructure projects in the pipeline with an emphasis on rail and air logistics given the continued growth in air transport and the regional potential for rail Nearby regional political instability has the potential to adversely impact foreign investments, development potential and waterway access

Infrastructure Investment Outlook The UAE allocated~$1.4 billion, or approximately 12% of its 2013 budget, to infrastructure projects Future rail projects include a high-speed link, the purple line, which will connect Dubai International Airport and the new Al Maktoum Airport at Dubai World Central in the Jebel Ali area Dubai’s transport department declared that it will spend ~$1.7 billion in 2013 on transportation infrastructure projects Dubai’s ~$1.1 billion Al Sufouh tram line will link to the metro system and is expected to be completed by 2014 An estimated 340-kilometres of two-way tram tracks will service the Central Business District and the Capital District, parts of Khalifa City A, Yas Island and the airport in Abu Dhabi

JULY/AUGUST 2014 11

COUNTRY REPORT

Logistics Projects and Outlook SEA Overview The UAE is focused on diversifying its economy, the government’s desire is to accommodate all ship sizes, including additional dry bulk shipping capabilities to accommodate heavy industry Khalifa Port (Abu Dhabi) Khalifa Port is planned to grow to a capacity of 15 million TEUs and 35 million tons of general cargo through phased development through 2030 Phase 1 infrastructure was completed inSeptember 2012 with initial capacity of2.5 million TEUs container traffic. The port’s infrastructure has the potential to provide 5 million TEUs of capacity Khalifa Port has replacedthe container terminal of Mina Zayedport allowing inland port traffic to bypass the capacity constrained downtown Abu Dhabi city area Jebel Ali Port (Dubai) Jebel Ali faces increased trans-shipment competition from Salalah port in Oman The current capacity at Jebel Ali port is 15 million TEUs a year while the expansion of Terminal 2 will increase the capacity by about 1 million TEUs and is due to be completed in 2013 A joint venture of Japan’s TOA and France’s SoletancheBachy has formally signed an

agreement to build Terminal 3 at Jebel Ali port, which is expected to expand capacity at Jebel Ali by 4 million TEUs and will open in 2014. The total handling capacity will then be of 19 million TEUs Bids have been invited for the design and build of Terminal 4 at Dubai’s Jebel Ali port. Terminal 4 has the potential to add a further 10 million TEUs to the overall long-term port capacity These expansions are part of a larger program covering 15 different phases to be completed by 2030 and make it the largest port in the world with a handling capacity of 55 million TEU The estimated cost of the expansion of Terminal 2 is $1.5billion, while the construction of Terminal 3 is estimated to cost $850million The two expansion projects are expected to create more than 1,000 jobs Khor Fakkan (Sharjah) The need to expand is becoming imminent as the levels of throughput are rising. The throughput got to 3.3 million TEU in 2012, marking an increase of 28% on 2011 An evaluation study for the port expansion is expected to be released in 2013 Mina Saqr Port Expansion (Ras Al Khaimah) The capacity of the port is expected to increaseto 3 million TEUs by 2020

AIR Overview Air freight is expected to continue growing steadily in the medium term indicating the potential for additional airport expansion projects The Middle East aviation market is one of the key success stories for logisticsdevelopment especially due to hubs in Dubai, Doha and Abu Dhabi that enjoy both a well-positioned location and the ability to handletransit traffic while regional airlines are strongly backed by their respective local governments Al Maktoum International / Dubai World Central International Airport Phase 1 of the Dubai World Central Al Maktoum International Airport is completed and is fully operational. The international airport currently has the capacity to handle 600,000 tonnes per annum and5 million passengers per annum (expandable to 7 mppa) Phase 2 of the airport, which includes the construction of an additional two automated and one non-automated cargo terminals, is currently under way. This is expected to increase the

12 JULY/AUGUST 2014

total cargo capacity at Al Maktoum International Airport to 1.4 million tonnes per annum Once completed (2020s), the airport will be able to fit up to 120 million passengers a year Dubai International Airport The number of passengers at the Dubai International Airport is expected to increase with the Emirates-Qantas agreement The airport opened concourse A at the beginning of January, the first concourse in the world to cater exclusively to large A380 aircraft Dubai is set to start refurbishing Terminal 1 in 2013 Abu Dhabi Airport Abu Dhabi International hit around 13.4 million passengers in 2012, an increase of 12 per cent on 2011. To meet demand, the airport is investing in its mid-field terminal, due to be completed in 2016 and due to open in 2017. It will handle up to 20 million passengers annually The $2.9billion contract covers the construction of a 700,000-square-metre terminal.A second parallel runway is also planned

COUNTRY REPORT

RAIL Overview Rail is an important transportation method for the UAE. The country is looking to utilize rail as a cheaper, faster alternative means of transporting freight and offering convenient transportation for residents and tourists Dubai Metro and Al Sufouh Tram Three new Metro lines – Blue, Gold and Purple – and a Jumeirah tram route are planned to be operational by 2030, covering 421km with 197 stations The land has been procured for widening the existing network and new rail routes and infrastructure are expected to be completed in three phases Dubai is constructing the Al Sufouh Tram worth ~$1.1 billion with a 14.5-kilometre trackfrom Dubai Marina to Burj Al Arab expected to be completed by the end of 2014 Abu Dhabi Metro and Tram The original masterplan for the metro involved the construction of 131 kilometres of line, supported by tram and bus feeder services.

Earlier this year, plans were revised with the size of the network reduced to ~70 km As part of the Abu Dhabi Surface Master Plan the entire transport system will include a network of underground metro lines, trams and high-speed rail The system could be operational by 2017 National Rail Network An~$11 billion UAE national Rail Network is planned and isexpected to complete the construction of its first route in 2014/15. Plans are to extend it up to 1,200-kilometreby 2018 It will stretch from Ghweifat on the Saudi border, pass by the coast of Abu Dhabi then Dubai and extend up to Ras Al-Khaimah and Fujairah. One more line will stretch to Al-Ain and Oman. Finally, it will connect with the GCC-wide railway network The first phase is the270-kilometre Shah HabshanRuwais section In February 2013 the financingof around $1.3 billion was secured for the 166 km first stage of its railway project, comprising the route from Shah and Habshan to Ruwais

ROAD Overview Numerous road projects are underway connecting airports and free trade zones Construction In the medium-term, ongoing construction of road and transportation infrastructure results in a constantly changing road network and detours that must be factored into route planning for local shipments

New Projects There are plans for future road and transport projects in Dubai’s central business district, from the Sharjah border in the north, to Port Rashid in the south and inland as far as Ras Al-Khor Road contracts in the Northern Emirates worth an estimated total value of $118.4 million were approved, involving construction of the new Ras Al-Khaimah ring road and the first phase of the Khorfakkan western ring road

JULY/AUGUST 2014 15

COUNTRY REPORT

International Airports

City

Airport Name

Annual Cargo (kilo-tons per year)/ % change vs. prior year

Annual Passengers (thousand)/ % change vs. prior year

Year

Throughput

% change

Year

Throughput

% change

Dubai

Dubai International Airport

2012

2,207

3.1

2012

67,694

13.2

Abu Dhabi

Abu Dhabi International Airport

2012

568

17.9

2012

14,700

15.9

Sharjah

Sharjah International Airport

2012

419

-15

2012

7,517

13

Fujairah

Fujairah International Airport

2007

32

n/a

2011

13

n/a

Ras Al Khaimah

Ras Al Khaimah International Airport

2010

1,125

n/a

2012

407

24

Other Airports Abu Dhabi Bateen, Al Ain, Al Dhafrah, Arzanah, Buhasa, Das Island, Jebel Dhana, Qamayn, Zuku

Major seaports

Emirate

Port Name

Major Terminal Operators

Annual Containers (thousand TEU)/ % change vs. prior year Year

Throughput

% change

Dubai

Port of Jebel Ali

DP World

2012

13,300

12

Abu Dhabi

Mina Zayed

Abu Dhabi Terminal

2011

700

27

Fujairah

Port of Fujairah

DP World Fujairah

2011

35

17

Sharjah

Port of Khor Fakkan

Gulftainer Co Ltd

2011

2,618

1.8

Ras Al Khaimah

Mina Saqr

Kuwait Gulf Links Ports Intl

2007

2

-25

Other seaports Ajman Port, Das Island, Mina Jebel Al Dhanna, Umm Al Quiwan Port, Khalid Port (Sharrjah)

16 JULY/AUGUST 2014

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AGILITY

Relevant and agile You recently opened a warehouse in Kizad. Tell us about your Abu Dhabi operations.

The Abu Dhabi market in general is in need of good warehousing solutions and transport solutions and we have a very strong business in Abu Dhabi. It was directly in response to customer demand that we actually took the space from Kizad. That was a key part of our initiative to expand within other areas of Abu Dhabi from the perspective of a having a logistics footprint there. As the demand from the emirate is not being correctly addressed. There are no multinational players who own and operate any large warehouses based in Abu Dhabi.

Speaking generally, are logistics companies investing appropriately in their IT infrastructures?

Realistically there is probably not a lot of investment happening.

What is actually required is quite significant because visibility through the supply chain, connectivity of the various pieces in the supply chain is a very important part of our and any service provider’s business. At Agility it’s actually a global directive that we have and it’s a global initiative that’s managed internationally.

We’re currently in the middle of upgrading our systems. This is to not just to create better visibility, but to comprehensively improve our operations and improve our service to our clients, and to actually lower our transactional cost, become more

18 JULY/AUGUST 2014

Transport Intelligence and Agility’s recent Emerging Market Logistics Conference in Dubai provided a thorough look at all aspects of transport infrastructure in the region.

Global Supply Chain spoke to Agility’s Mohammed Esa, CEO and SVP, UAE, Oman and Bahrain on topics ranging from IT to regional trade facilitation efficient and effective. There is a huge demand for this from our clients.

Because information is everything and they do not physically see their products, they entrust them with a company like ours so they need whatever information we can provide them. We realise that the more integrated we can become by providing real-time information the better we make our supply chain.

Why is IT spend not up to what it should be?

I think it’s partly not easy because there are so many different cogs in the wheel. You have the airline, shipping lines, transport providers, the carrier, service providers…. So there is a need to link all of that and it’s not particularly easy because you have a multitude of different systems to get

that all of that on a common platform is an uphill challenge.

I think companies are attempting it. Not just us, others are also in the process of addressing some of these things. I think the complexity is what makes it harder.

Another aspect is the payback time.

You invest today and it takes several years to invest that too and to actually realise the efforts of the investment … we should have the appetite to see the end results and be willing to wait it out.

When operating in other countries not as advanced as the UAE, what challenges do you face?

I think you get bottlenecks, you deal

AGILITY

with inefficiencies in areas, more complex regulations in other areas, perhaps things take longer things.

Really when you look at the UAE and you compare it to any other regional country they are miles apart. The UAE has positioned itself as competing with the world. It’s on a different scale altogether.

How does Agility get around these informal barriers to trade in the GCC region?

Because we are a Middle Eastern company that went global, we have local teams on the ground in these different countries. Most other multi nationals don’t have a big teams on the ground. They don’t have local

people they work through a lot of joint venture partners making their investments minimal and hence there’s not a lot of skin in the game.

We, on the other hand, have fully owned legal entities, we have our people on the ground we have the systems we have processes which we have trained with people and so the connectivity that we can provide in these regions makes a big difference in navigating difficulties that you encounter whether it’s with customs or anything else. Having that knowledge base and being local helps.

How poised is the region to handle more business as Iran opens up, Africa gets more streamlined?

I think the UAE is very well poised.

They are already prepared, this has been well thought about, they’re addressing the longer term potential being a hub not just for the region but a global hub. I think that augurs very well for the future of the country. If we just look at Jebel Ali port today despite phenomenal current capacities they are still reinvesting to increase capacity and that tells us a lot about the foresight. The airport infrastructure is going to be enough to handle growths over the next 20 to 30 years. When you combine the capacity at Al Maktoum International and Dubai International it turns out to be more that Heathrow and Chicago put together and that’s a huge statement.

JULY/AUGUST 2014 19

‫‪kuwait‬‬

‫كيف تخطت أجيليتي هذه احلواجز غير‬ ‫الرسمية أمام التجارة في دول مجلس التعاون‬ ‫اخلليجي؟‬ ‫ألننا شركة شرق أوسطية تعمل في األسواق‬ ‫العاملية‪ ،‬فلدينا فرق محلية على األرض تعمل في‬ ‫هذه البلدان املختلفة‪ .‬معظم الشركات متعددة‬ ‫اجلنسيات األخرى ليس لديها مثل هذه الفرق‬ ‫الكبيرة من العاملني على األرض‪ ،‬كما ال ميلكون‬ ‫طاقم عمل من السكان احملليني‪ ،‬بل يعملون من‬ ‫خالل شركاء ‪ /‬مقاولني في مشاريع مشتركة مما‬ ‫يجعل استثماراتهم عند احلد األدنى‪ ،‬لتقليل‬ ‫املخاطرة والتكلفة‪ .‬على اجلهة األخرى‪ ،‬نحن‬ ‫منلك كيانات قانونية بشكل كامل‪ ،‬ولدينا فريق‬ ‫عمل على األرض‪ ،‬ولدينا أنظمة عمليات خاصة‬

‫بنا‪ ،‬وقمنا بعمليات تدريب مع الناس وبالتالي‬ ‫فإن مستوى االتصال الذي ميكننا تقدميه في‬ ‫هذه املناطق يصنع فرقا كبيرا في الصعوبات التي‬ ‫تواجهك سواء كان ذلك مع اجلمارك أو أي شيء‬ ‫آخر‪ .‬وجود تلك القاعدة املعرفة وكوننا فريق‬ ‫من العاملني احملليني يساعد كثيرا لتخطي هذه‬ ‫العقبات‪.‬‬ ‫كيف تستعد املنطقة للتعامل مع املزيد من‬ ‫األعمال التجارية مع عودة إيران للتجارة‬ ‫الدولية‪ ،‬ومع انفتاح أفريقيا على األعمال؟‬ ‫أعتقد أن دولة اإلمارات العربية املتحدة تستعد‬ ‫بشكل جيد للغاية‪ .‬انهم مستعدون بالفعل‪ ،‬وهذا‬ ‫أمر سبق دراسته واالستعداد له منذ زمن‪ ،‬إنهم‬

‫يعاجلون أي مشاكل محتملة وعلى املدى الطويل‬ ‫ألنهم يريدون جعل اإلمارات مركزا جتاريا ليس‬ ‫فقط محليا أو إقليميا‪ ،‬ولكن عامليا‪ .‬أعتقد أن هذا‬ ‫يبشر باخلير بالنسبة ملستقبل البالد‪ .‬إذا نظرنا فقط‬ ‫إلى منطقة ميناء جبل علي اليوم‪ ،‬فعلى الرغم من‬ ‫القدرات الهائلة احلالية‪ ،‬ستجدهم ال زالوا يستثمرون‬ ‫أكثر لزيادة قدرة امليناء وهذا يخبرك الكثير عن الرؤية‬ ‫العامة السائدة‪ .‬البنية التحتية للمطار ستكون كافية‬ ‫للتعامل مع الزيادة املتوقعة في حجم التجارة واألعمال‬ ‫على مدى ‪ 20‬الى ‪ 30‬عاما قادمة‪ .‬عندما جتمع‬ ‫معا السعات في مطار آل مكتوم الدولي ومطار دبي‬ ‫الدولي‪ ،‬سيكون لديك سعة إجمالية أكبر من مطاري‬ ‫هيثرو وشيكاغو مجتمعني‪ ،‬وهذه سعة ضخمة جدا‬ ‫تخبر عن الكثير‪.‬‬ ‫‪20 July/August 2014‬‬

‫‪Agility‬‬

‫شريك موثوق ومرن‬

‫قدم مؤمتر لوجيستيات األسواق الناشئة – والذي نظمته شركة اجيليتي مؤخرا في دبي ‪ -‬نظرة شاملة على‬ ‫جميع جوانب البنية التحتية لصناعة النقل في املنطقة العربية‪ .‬حتدثت مجلة سلسلة التوريد العاملية مع‬ ‫محمد عيسى‪ ،‬الرئيس التنفيذي ونائب الرئيس لشركة أجيليتي في اإلمارات العربية املتحدة وسلطنة عمان‬ ‫والبحرين‪ ،‬حول عدة مواضيع تراوحت ما بني تكنولوجيا املعلومات إلى تيسير التجارة اإلقليمية‪.‬‬ ‫افتتحتم مؤخرا مستودعا في منطقة كيزاد‪،‬‬ ‫فهال أخبرتنا املزيد عن عملياتكم في العاصمة‬ ‫أبوظبي؟=‬ ‫بصفة عامة‪ ،‬سوق أبوظبي في حاجة ماسة إلى حلول‬ ‫التخزين والنقل عالية اجلودة‪ ،‬كما ومنلك عالقات‬ ‫عمل قوية جدا في أبوظبي‪ .‬قرار افتتاح مستودع لنا‬ ‫في كيزاد جاء كاستجابة منا لطلبات العمالء هناك‪.‬‬ ‫ذلك القرار كان أيضا جزءا رئيسيا من مبادرتنا‬ ‫لتوسيع نطاق أعمالنا في مناطق أخرى داخل إمارة‬ ‫أبوظبي ولزيادة رقعة اخلدمات اللوجستية التي نقدمها‬ ‫هناك‪ ،‬خاصة وأن الطلب في اإلمارة ال يجد التلبية‬ ‫الصحيحة له في الوقت احلالي‪ .‬أنت لن جتد العبني‬ ‫كبارا من الشركات متعددة اجلنسيات متلك وتدير‬ ‫ً‬ ‫أي مخازن كبيرة في أبوظبي‪.‬‬ ‫بشكل عام‪ ،‬هل تستثمر شركات اخلدمات‬ ‫اللوجستية بشكل مناسب في البنى التحتية‬ ‫لتكنولوجيا املعلومات اخلاصة بها؟‬ ‫واقعيا‪ ،‬ليس هناك الكثير من االستثمار في هذا‬ ‫االجتاه‪ ،‬رغم أنه أمر مهم جدا ألن وضوح الرؤية‬ ‫من خالل سلسلة التوريد‪ ،‬والربط مع املكونات‬ ‫املختلفة في سلسلة التوريد لهو جزء مهم جدا في‬ ‫أي صناعة ولدينا كذلك‪ .‬في شركة أجيليتي‪ ،‬لدينا‬ ‫توجه عاملي لتحقيق ذلك األمر‪ ،‬فنحن حاليا في‬ ‫منتصف مرحلة ترقية أنظمتنا‪ .‬هذه الترقية ليست‬ ‫فقط بغرض الوصول إلى رؤية أفضل‪ ،‬ولكن لتحقيق‬ ‫حتسني فعلي شامل لكامل عملياتنا ومن ثم لتحسني‬ ‫مستوى اخلدمة التي نقدمها لعمالئنا‪ ،‬وكذلك‬ ‫لتخفيض تكلفة املعامالت لدينا‪ ،‬حتى نصبح أكثر‬ ‫كفاءة وفعالية‪ ،‬وهو أمر مطلوب بشدة من الكثير من‬ ‫عمالئنا‪ .‬ألن املعلومات هي كل شيء‪ ،‬وألن العمالء‬ ‫ال يرون منتجاتهم بأعينهم‪ ،‬فهم يضعون كامل‬ ‫ثقتهم في شركة مثل شركتنا ولذلك هم بحاجة ألي‬ ‫معلومات ميكن أن نقدمها لهم‪ .‬نحن ندرك أنه كلما‬ ‫‪July/August 2014 21‬‬

‫كنا أكثر تكامال فأننا نصبح قادرين بشكل أكبر على‬ ‫توفير معلومات فورية وهذا يجعل سلسلة التوريد‬ ‫لدينا أفضل‪.‬‬ ‫ملاذا ال يرقى اإلنفاق على البني التحتية‬ ‫املعلوماتية إلى ما ينبغي أن يكون عليه؟‬ ‫اعتقد أنها جزئية صعبة‪ ،‬ألن هناك الكثير من اجلزئيات‬ ‫الصغيرة التي تشكل الشكل النهائي‪ .‬لديك شركات‬ ‫الطيران‪ ،‬وخطوط الشحن‪ ،‬ومقدمي خدمات النقل‪،‬‬ ‫الناقل الفعلي‪ ،‬ومقدمي اخلدمات‪ ...‬لذلك هناك‬ ‫حاجة لربط كل مكون‪ ،‬هو أمر ليس بالسهل ألن لديك‬ ‫العديد من األنظمة املختلفة ولكي جتمع هذه األنظمة‬ ‫معا على منصة مشتركة فهذا هو التحدي الصعب‪.‬‬ ‫أقول ذلك وأعتقد أن هناك شركات حتاول حتقيق ذلك‬ ‫التكامل والتوافق‪ .‬ليس نحن وحسب‪ ،‬فهناك جهات‬ ‫أخرى حتاول حتقيق بعض هذه التحديات‪ ،‬لكني أعتقد‬ ‫أن التعقيد هو ما يجعل األمر أكثر صعوبة‪ .‬هناك أيضا‬

‫جانب آخر وهو وقت السداد‪ .‬أنت تستثمر اليوم‪،‬‬ ‫وتنتظر عدة سنوات لتسترد استثمارك هذا ولترى‬ ‫نتائجه امللموسة‪ ...‬يجب أن يكون لدينا شهية لرؤية‬ ‫النتائجالنهائيةوأننكونمستعدينكذلكلالنتظار‬ ‫حتىتتحقق‪.‬‬ ‫عندما تعمل في بلدان أخرى ليست متقدمة‬ ‫مثل اإلمارات العربية املتحدة‪ ،‬فما هي‬ ‫التحديات التي تواجهك هناك؟‬ ‫االختناقات‪ ،‬حيث تتعامل وتتعايش مع أوجه قصور‬ ‫في مناطق عدة‪ ،‬وتواجه تشريعات تنظيمية أكثر‬ ‫تعقيدا في مجاالت أخرى‪ ،‬وتأخذ األمور فترة أطول‬ ‫لتتحقق‪ .‬عندما تنظر إلى دولة اإلمارات العربية‬ ‫املتحدة‪ ،‬وتقارنها بأي بلد إقليمي آخر‪ ،‬فستجد هناك‬ ‫مسافة طويلة بينهما‪ .‬لقد ثبتت دولة اإلمارات العربية‬ ‫املتحدة أقدامها كمنافس عاملي واعد‪ .‬اإلمارات لديها‬ ‫نطاق أفضل مختلف متاما‪.‬‬

All systems go

T

echnology is the present and the future. How we embrace it and make the best use of it propels our businesses forward. Communicating this to clients is of immense value as well. What keeps one business apart from the others may also be how well they use their technology and provide visibility all through the supply chain. Global Supply Chain asked two industry insiders to inform us about the latest trends, the regional market and the way forward. Here’s an insight from Martin Palmer, General Manager at SICK FZE followed by an interview with Soma Sekhar, CEO, Trackit Solutions FZ LLC.

Sensor solutions In logistics centres, warehouses, distribution hubs, airports and ports all over the world, sensors can be found performing critical functions that support smooth daily operations, whether detecting the presence of goods, dimensioning packages, positioning narrow aisle cranes, preventing collisions of moving

22 JULY/AUGUST 2014

Technology is giving us the ability to be on the go at all times.

Whether it is individual or for businesses. System access, supply chain visibility, continuous communication updates, data overload you name it. We’re in the midst of all that and more

equipment or protecting workers accessing dangerous areas. From inbound goods receipt, storage, cross-docking to outbound shipments, sensors often support integrated solutions based on reliable and reproducible reading, capture and communication of data and images, all which can be controlled centrally via warehouse, terminal operation or distribution control systems.

Demand for dynamic sensor solutions in supply chain and logistics is rapidly rising due to both the increase in individual

end user requirements (customisation of processes) as well as the growth of online trading. Speed and efficiency between the customer’s order and ultimate delivery of the goods improves customer satisfaction.

Intelligent logistical systems of today and even more so in the future, must adequately support this highly dynamic environment.

Agile systems for the automated processing of recurring in-house transportation, as well as highly dynamic and energy efficient storage and retrieval machines, state-of-the-art shuttle technology, and small autonomous transport units, all represent cutting-edge solutions.

Storage and retrieval systems act using dynamically calculated positional data and exploit broadband data transmission for live pictures from the aisles. Navigation permits modern shuttles to move freely within the area. Sensor technology, such as safety laser scanners and safe encoders, are becoming indispensable in further raising performance limits. Logistics clientele are increasingly

COVER STORY

sharply-focused pictures – are allowing increased speed, with commensurate quality improvements, of logistical detection and measurement processes. In addition, the sophistication of the overall solution is now being further enhanced by the integration of Vision capability – such as IP cameras and OCR (Optical Character Recognition) technology – with the result that the customer can not only have a high degree of track and trace functionality, but can also have an image database and optical routing information.

Track and trace in distribution logistics and returns management

looking to smarter sensor solutions which allow typical sensors (e.g. photoelectric retro-reflective sensors or distance sensors) to be very quickly adapted to new plant requirements centrally via a controller, thus also supporting requirements for flexible and highly dynamic material flows. Efficient and flexible logistics automation can thus be ensured through the simple networking of this new generation of sensors.

Picking technology imposes new demands for optimal dynamic processes The challenge: ever-increasing throughput with rising product variety and greater picking quality. An underlying requirement is the reliable and rapid reading of barcodes, as well as determination of the weight and dimensions of the goods. Here, code reading technology advances in the sensors industry – from simple object classification, through maximum-performance deformity detection, to 2D data matix code readers with consistent

The flow of materials and information not only plays a major role in distribution logistics, but also in returns management.

Those who always know exactly where which goods are located will increase their process transparency and thus have a clear advantage – this is true for both the logistician as well as for customers. RFID tags are well suited here: their data can be read out, modified and re-written. Efficient data capture and status updates in the supply chain processes between the supplier and customer without reliance on a paper trail can contribute to significant savings, not merely in saving paper, but also in valuable working time. The advantage and, simultaneously, the challenge, of RFID technology is that large numbers of containers can be read at the same time and nearby tags must not be allowed to interfere.

The development of radio frequency gate systems, with multiple reading capabilities, allows tag reading to take place on the product level within a multiple packaging system. Such advancement of RFID systems into integrated solutions is further increasing the flexibility of RFID technology for logistics applications.

Sensors make air freight areas safe and effectively prevent theft Safe handling of goods in transit is an aspect considered by all logisticians that send their shipments via air freight. Only a consistently protected supply chain offers maximum security against tampering during the transport of goods beyond national boundaries. The Customs-Trade Partnership Against Terrorism (C-TPAT) in the USA and the Authorised Economic Operator (AEO) in Europe both call for implementation of a range of organisational and technical measures. These principally affect

safety at work, conditions for the transport of hazardous goods, as well as security and access rights. Air freight forwarders in Germany with safe logistics centres are certified by the German Federal Aviation Authority as“known consignors”. This results in an increasing global requirement for security and access control, whereby logistics centers as well as in-situ warehouses, can be equipped with stand-alone systems that are simultaneously able to detect passing goods (and updating to the inventory software) via RFID technology whilst monitoring other variables such as the direction of traffic flow (using an integrated laser scanner); access authorisation of man or machine (RFID identification); as well as monitoring any immediate safety issues.

In summary: Sensors = Dynamism in logistical processes For today, and increasingly for tomorrow, end user demand for very efficient and fast supply chain and logistical processes is increasingly solved through the use of sensor technology, simply because the high quality and reproducibility of sensor outputs is superior to any other manual or alternative methods. More and more though, these sensor technologies are evolving into system solutions that incorporate several different measuring principles, such as RFID, laser scanning and proximity sensing, bundled into one application that can achieve the stringent detection, data collection, measurement, security and safety demands of the increasingly complex customer demands. Such dynamic changes require dynamic responses, and sensing technology is one such source of supply.

RFID Soma Sekhar, CEO, Trackit Solutions tells us more about the latest RFID trends.

What is the best thing about RFID? How has it changed lives? What is the future that we can expect to see with RFID in the logistics, supply chain, air cargo, road transportation, warehousing aspects of the business?

RFID is about doing a task accurately, without human error, much faster and automatically. What else is required when a specific task is to be automated? RFID is the best thing to happen to the technology world. It is a disruptive technology, it makes processes better.

JULY/AUGUST 2014 23

Identification and tracking of physical resources is at the centre of any enterprise and day to day lives of a common man.

Whether it is presenting a card for controlled access to office, paying the road toll tax, identifying a bag in the airport, paying at restaurant by pay pass or tap and go cards, or buying a ticket for the football match in the evening, RFID is playing a key role for identification and subsequently tracking. With the advent of near field communications (NFC), RFID will be in the hands of every individual in the world. We are not far away from the days where everything we touch and feel will have a unique identification tag. By the time a common man realises about RFID, he is already in the web woven by the RFID technology.

RFID enables people to do a task, more of it with less resources. We are in the days, where customers have no time to wait for delivery, the backend is always under pressure. RFID enables high throughput when the time is short and volume is high.

Logistics is the foremost industry that will have to adopt this technology to face the volumes of the future.

Supply chain is always happening in silos.

One of the main causes of bottlenecks is data collection and data exchange. Automation technologies like RFID will give a boost in automating data collection in a specific

24 JULY/AUGUST 2014

format and can easily be exchanged. SCM will get a boost with RFID technology adoption. Any industry related to these two, like air cargo, road transportation, warehousing will all be positively impacted

by RFID technology.

How is the Middle East region using this technology as compared to its use internationally? Are we ahead of the world, behind or on par?

Middle East has always been in the forefront of technology adoption. Salik is a good example of it and its success is a testimony of the ability of the region to adopt RFID as a technology. I shall say the Middle East is a tad below the adoption rate across the western world but is clearly ahead of many asian countries. The willingness to experiment with technology to automate a problematic process is far below par compared to the western world. Perhaps the 2008 financial stress may be blamed to an extent. The Middle East can be at par with any other continent in the world, not only in RFID but other technologies, once the customer is willing to experiment with the technology and not shy away from it.

The region has everything to gain from technology adoption and that is the only way forward, if the Middle East has to either lead or play a role in the world of innovation.

You have a number of diverse clients using your solutions across industries. Can you give us detailed descriptions of your solutions currently in use for the following clients: Al Adiyat Stables, Coca Cola, Americana, DP World, DHL Express, Meydan, Nestle, Qatar Airways, Sharjah Airport, Sharjah Transport, TASC, Unicef, Beeah, King Absul Aziz Intl Airport, Doha Intl Airport, Dubai Silicon Oasis Authority. (This is just to get an idea of the many industries related to our publication where your solutions are in use.)

TrackIT always tries to simplify the technology solution. Because unless it is simple, users will find it difficult to adopt.

We have verticalised the horizontal solutions and also functional needs are packaged in a solution. Therefore, irrespective of the auto ID technology - like all the flavours of barcode, RFID etc., the client focuses on the functional needs and our software system supports them appropriately.

We have our EnTrackAsset, to track fixed assets; EnTrackInventory to track inventory items; EnTrackFile to track files in a office environment; EnTrackWarranty to track warranty details of tools, equipment; EnTrackPeople to track people in office, construction area, colleges etc.; EnTrackVehicle to track vehicles using GPS and/or RFID; EnTrackService enabling field staff to collect/inspect data.

COVER STORY

not an easy task. Software middlewares play a crucial role in filtering data volumes and sensible/singular data. TrackIT has invested in a homegrown EnTrack middleware, which adopts a strong rulebase. Irrespective of whether the data comes from RFID or sensors or GPS or any other data capturing device, we make sense out of it, before posting to the database. We also contextualise it, personalise it so that the alerting and data digestion can be appropriate.

How big is the market for RFID tracking in the UAE and region? How much of that have you captured? What are strategies to capture even more of the market?

Aviation is a foundation stone for the growth of Middle East. TrackIT offers a bouquet of solutions for this industry such as EnTrackBag to track suspect bags in airports; MRO; flight catering; linen and life jackets tracking; duty free items tracking and security and air cargo tracking solutions.

As you can see, we’ve covered all aspects, an enterprise can track all the physical resources of their enterprise in an integrated way. All our systems can be integrated with the back end ERP systems in real time enabling them to operate seamlessly.

Industries such as banks, aviation, education, government, transport and logisitics, fmcg, retail, corporate enterprises are our customers. We attempt to simplify their technology adoption. Our customers are from across the industries. We could only achieve that with our approach of simplifying the technology adoption.

Being a part of this industry for a while now, what are uses that are currently not being explored in your opinion? How can that be changed?

The industry in Middle East is dynamic.

They are on the go. The challenges the industry will face in the coming years will be transformational because of the pace at which the change will be warranted.

I believe the internal IT teams and their

skillsets are a big challenge. Today, in my opinion, technology training and orientation to face the transformation is a big challenge.

Companies have to invest more and the IT professional should be hungry to upskill himself. I personally see a serious gap here.

Secondly, willingness to experiment with technology, irrespective of the industry. RFID as an automatic identifications and tracking technology can make a serious, positive change to a process in any industry. Unless someone on the ground knows about what RFID can do, they will not even think about it. therefore, the internal IT teams play a role here in educating the operating users to be more aware about technology choices and then drive the change.

In particular the SCM/Logistics industry and its interfacing government or allied industries will face challenges with the increase in volumes we forecast, in the coming years leading to 2020. we need to be geared up for it.

How much of the need for visibility for clients is this a complete solution for?

What about all the extra information it communicates via its sensors to say a company’s Cloud? Is there a solution to reduce all that extra data?

We are in the days of generating lots of data but, weeding out what is not necessary is

There are no market studies on size of the autoID market in the Middle Eeast. It is always extrapolated from the IT market size. I shall say that TrackIT is a clear leader in technology delivery to a variety of industry segments in the region. We are working towards increasing our foot print in the region. We believe a solution providing company should be closest to its customer. Once we are closer to a customer, we will be able to assist them in broadening the technology adoption and increase their process efficiencies and thus customer profitability.

What are plans for the next few years till 2020? How are you expecting the market to expand and how is TrackIt poised to match it?

We shall expand our client base geographically. We will also be increasing our office locations, so as to support our customers from close quarters. We will continue to be a technology specialist and increase our portfolio to address more verticals with the same RFID technology. We believe in being the preferred solution partner to every existing and prospective customer of RFID technology.

We will also be increasing our resource bandwidth. We will continue to have a fantastic pool of technologists in our team and supporting our customers. What is required now-a-days is impeccable solution delivery capabilities, that is what TrackIT possesses and will further strengthen it as we go forward. By the year 2020, TrackIT would be a cornerstone solution partner for the entire logistics and supply chain industry serving the Expo 2020 and at large.

JULY/AUGUST 2014 25

‫الراديو (ار اف آي دي) دورا كبيرا جدا‪ ،‬فالبيانات اخلاصة‬ ‫بها ميكن قرائتها أو تعديلها وإعادة كتابتها‪ .‬قراءة البيانات‬ ‫وحتديثها بكفاءة في عمليات سالسل التوريد بني املورد‬ ‫والعميل دون االعتماد على مستندات ورقية ميكن لها أن‬ ‫تسهم في حتقيق وفورات كبيرة‪ ،‬ليس فقط في الورق‪ ،‬ولكن‬ ‫أيضا في وقت العمل‪ .‬امليزة – وفي الوقت ذاته التحدي الكبير‬ ‫في تكنولوجيا حتديد الهوية مبوجات الراديو (‪ )RFID‬هو‬ ‫أن أعدادا كبيرة من احلاويات ميكن قراءتها في نفس الوقت‬ ‫لكن دون السماح بحدوث تداخل مع معرفات أخرى قريبة‪.‬‬ ‫تطوير نظم تعمل مبثابة البوابة للترددات الراديوية‪ ،‬لديها‬ ‫القدرة على قراءة أكثر من محدد في الوقت ذاته‪ ،‬يسمح‬ ‫بقراءة املعرفات على مستوى املنتج داخل نظام تعبئة وتغليف‬ ‫متعدد‪ .‬حاليا تتزايد وتيرة استخدام مثل هذه التطورات في‬ ‫أنظمة حتديد الهوية مبوجات الراديو املستخدمة في احللول‬ ‫املتكاملة‪ ،‬وكذلك تزيد من مرونة تكنولوجيا حتديد الهوية‬ ‫مبوجات الراديو في تطبيقات اخلدمات اللوجستية‪.‬‬

‫أجهزة االستشعار جتعل مناطق الشحن‬ ‫اجلوي آمنة ومتنع السرقات بشكل فعال‬

‫املناولة اآلمنة للبضائع العابرة هي هدف تسعى إليه جميع‬ ‫اللوجيستيات التي ترسل شحناتها عن طريق الشحن اجلوي‪.‬‬ ‫سلسلة التوريد احملمية باستمرار هي التي توفر أقصى قدر من‬ ‫األمن ضد العبث أثناء نقل البضائع خارج احلدود‪ .‬الشراكة‬ ‫اجلمركية التجارية ضد اإلرهاب أو(‪ )C-TPAT‬في‬ ‫الواليات املتحدة األمريكية‪ ،‬واملشغل االقتصادي املعتمد‬ ‫(‪ )AEO‬في أوروبا يدعوان معا لتطبيق مجموعة من التدابير‬ ‫التنظيمية والتقنية‪ .‬هذه التدابير تؤثر أساسا على السالمة في‬ ‫العمل‪ ،‬وعلى شروط نقل البضائع اخلطرة‪ ،‬وكذلك على األمن‬ ‫وحقوق الوصول للشحنات‪ .‬وكالء الشحن اجلوي في أملانيا‬ ‫الذين ميلكون مراكز لوجستية آمنة‪ ،‬يتم اعتمادهم من قبل هيئة‬ ‫الطيران االحتادية األملانية ويعرفون بأنهم من «جهات الشحن‬ ‫املعروفة»‪ .‬هذا األمر يؤدي إلى زيادة االحتياجات العاملية لألمن‬ ‫والتحكم في الوصول‪ ،‬حيث ميكن تزويد مراكز اخلدمات‬ ‫اللوجستية واملستودعات بأنظمة قائمة بذاتها قادرة على التعرف‬ ‫على البضائع املارة (ومن ثم تقوم بتحديث برامج إدارة املخازن)‬ ‫عن طريق تقنية حتديد الهوية مبوجات الراديو مع مراقبة ورصد‬ ‫املتغيرات األخرى مثل اجتاه تدفق حركة املرور (باستخدام ماسح‬ ‫ليزر متكامل)‪ ،‬منح اإلذن بالدخول لعامل أو آللة‪ ،‬فضال عن‬ ‫رصد أي مشاكل متعلقة بالسالمة على الفور‪.‬‬

‫باختصار‪ :‬املجسات تؤدي إلى عمليات‬ ‫لوجستية ديناميكية‬

‫حتى يومنا هذا‪ ،‬وعلى نحو متزايد في الغد أيضا‪ ،‬سيتم تلبية‬

‫طلب املستخدمني على سالسل إمداد فعالة جدا وسريعة‬ ‫وعلى عمليات لوجستية عن طريق استخدام تكنولوجيا‬ ‫االستشعار‪ ،‬ذلك ألنها ببساطة توفر جودة عالية يسهل‬ ‫تكرارها‪ ،‬متفوقة بذلك على أي طرق بديلة أخرى‪ ،‬سواء‬ ‫آلية أو يدوية‪ .‬تقنيات االستشعار تتطور بشكل مستمر‬ ‫ال ينقطع‪ ،‬حتى بدأت تتضمن عدة مبادئ قياس مختلفة‪،‬‬ ‫مثل تكنولوجيا حتديد الهوية مبوجات الراديو واملسح بالليزر‬ ‫واالستشعار عن قرب‪ ،‬مع دمجها مجتمعة في تطبيق واحد‬ ‫ميكن له حتقيق صرامة الكشف‪ ،‬جمع البيانات‪ ،‬القياس‪،‬‬ ‫األمن والسالمة‪ ،‬وجميع متطلبات العمالء متزايدة التعقيد‪.‬‬ ‫مثل هذه التغيرات الديناميكية تتطلب استجابات ديناميكية‬ ‫بدورها‪ ،‬وتكنولوجيا االستشعار عن بعد هي من التقنيات‬ ‫التي حتقق هذا الهدف والغرض‪.‬‬

‫حتديد الهوية مبوجات الراديو‬

‫سوما سيخار‪ ،‬الرئيس التنفيذي حللول ‪ Trackit‬يخبرنا املزيد‬ ‫عن أحدث اجتاهات ‪RFID‬‬

‫ما هو أفضل شيء في أنظمة حتديد الهوية‬ ‫مبوجات الراديو؟ كيف ميكنها تغيير‬ ‫حياتنا لألفضل؟ ما هو املستقبل الذي‬ ‫ميكننا أن نتوقعه لها في مجال اخلدمات‬ ‫اللوجستية‪ ،‬وسلسلة التوريد‪ ،‬والشحن‬ ‫اجلوي‪ ،‬والنقل البري‪ ،‬وجوانب التخزين‬ ‫من األعمال؟‬ ‫تقوم تقنية حتديد الهوية مبوجات الراديو على تنفيذ املهمة‬ ‫املطلوبة بدقة عالية‪ ،‬دون خطأ بشري‪ ،‬بشكل أسرع وأكثر آلية‪.‬‬ ‫ماذا تريد أكثر من ذلك عند تنفيذ مهمة محددة بشكل آلي؟‬ ‫حتديد الهوية مبوجات الراديو هو أفضل شيء أن يحدث لعالم‬ ‫التكنولوجيا‪.‬‬ ‫حتديد وتتبع املوارد املادية هو من صميم عمل أي مؤسسة‬ ‫وكذلك من صميم احلياة اليومية للرجل العادي‪ .‬سواء كان‬ ‫األمر عبارة عن إظهار بطاقة تعريف للوصول إلى مكان العمل‪،‬‬ ‫دفع ضريبة املرور على الطرقات‪ ،‬حتديد حقيبة ما في املطار‪ ،‬دفع‬ ‫الفاتورة في مطعم ما عن طريق مترير بطاقة ما‪ ،‬أو شراء تذكرة‬ ‫ملباراة كرة القدم في املساء‪ ،‬تلعب تقنية حتديد الهوية مبوجات‬ ‫الراديو دورا رئيسيا في التعرف واملراقبة واملتابعة‪ .‬مع تعاظم دور‬ ‫تقنية االتصاالت امليدانية القريبة (‪ ،)NFC‬األمر الذي سينتج‬ ‫عنه توفير تقنية حتديد الهوية مبوجات الراديو لكل فرد في‬ ‫العالم‪ .‬نحن لسنا بعيدين عن زمن يكون كل شيء نلمسه على‬ ‫اتصال ويكون له هوية فريدة‪ .‬حني يأتي الوقت الذي يعرف فيه‬ ‫رجل الشارع العادي عن تقنية حتديد الهوية مبوجات الراديو‪،‬‬

‫سيكون بالفعل عضوا في شبكة منسوجة من تكنولوجيا حتديد‬ ‫الهوية مبوجات الراديو‪.‬‬ ‫حتديد الهوية مبوجات الراديو ميّكن الناس من القيام مبهمة‬ ‫ما مبوارد أقل‪ .‬نحن نعيش في وقت ليس لدى الزبائن وقتا‬ ‫النتظار تسلم مشترياتهم‪ ،‬األمر الذي يزيد الضغط على آليات‬ ‫العمل والتنفيذ‪ .‬حتديد الهوية مبوجات الراديو تسمح بتحقيق‬ ‫إنتاجية عالية عندما يكون الوقت قصيرا واحلجم كبيرا‪.‬‬ ‫اخلدمات اللوجستية هي صناعة قبل كل شيء والتي‬ ‫من شأنها أن تعتمد هذه التكنولوجيا ملواجهة الكميات‬ ‫الضخمة في املستقبل‪.‬‬ ‫سلسلة التوريد حتدث دائما داخل الصوامع‪ ،‬ولذا فإن‬ ‫أحد أهم األسباب الرئيسية لالختناقات هو عمليات جمع‬ ‫وتبادل البيانات‪ .‬تقنيات األمتتة ‪ -‬مثل حتديد الهوية مبوجات‬ ‫الراديو ‪ -‬تعطي دفعة قوية ألمتتة جمع البيانات في تنسيق محدد‬ ‫بحيث ميكن تبادلها بسهولة‪ .‬بذلك حتصل إدارة سلسلة اإلمداد‬ ‫(‪ )SCM‬على دفعة قوية حني تعتمد تكنولوجيا حتديد الهوية‬ ‫مبوجات الراديو‪ .‬أي صناعة ذات عالقة بهذين االثنني‪ ،‬مثل‬ ‫الشحن اجلوي والنقل البري والتخزين‪ ،‬ستتأثر بشكل إيجابي‬ ‫بتكنولوجيا حتديد الهوية مبوجات الراديو‪.‬‬

‫كيف تستخدم منطقة الشرق األوسط‬ ‫هذه التكنولوجيا باملقارنة مع بقية‬ ‫العالم؟ هل تسبق العالم أم تسير خلفه‬ ‫أم على قدم املساواة؟‬ ‫لطاملا كانت منطقة الشرق األوسط في طليعة مستخدمي‬ ‫أحدث التقنيات‪ .‬نظام سالك في دبي هو مثال جيد على‬ ‫ذلك‪ ،‬وجناحه هو شهادة على قدرة املنطقة على اعتماد‬ ‫واستخدام تقنيات حتديد الهوية مبوجات الراديو‪ .‬ميكنني‬ ‫القول بأن الشرق األوسط متأخر بفارق صغير جدا عن العالم‬ ‫الغربي في معدل اعتماد واستخدام التقنيات اجلديدة‪،‬‬ ‫لكنه يسبق العديد من البلدان اآلسيوية بفارق كبير‪ .‬الرغبة‬ ‫واالستعداد لتجربة التكنولوجيا في مجال أمتتة عملية‬ ‫تسبب مشاكل كثيرة لهي أقل بكثير من مثيلتها في العالم‬ ‫الغربي‪ .‬رمبا كان مرد ذلك اآلثار املالية لألزمة العاملية في عام‬ ‫‪ .2008‬ميكن للشرق األوسط أن يكون على قدم املساواة‬ ‫مع أي قارة أخرى في العالم‪ ،‬ليس فقط في مجال حتديد‬ ‫الهوية مبوجات الراديو لكن أيضا في التقنيات األخرى‪،‬‬ ‫مبجرد أن يكون العمالء على أهبة االستعداد لتجربة‬ ‫تكنولوجيا جديدة وليس االبتعاد عنها‪ .‬املنطقة لديها أشياء‬ ‫كثيرة لتكسبها جراء االعتماد على التكنولوجيا وهذا هو‬ ‫السبيل الوحيد للمضي قدما إذا كان الشرق األوسط يريد‬ ‫أن يقود أو يلعب دورا في عالم االبتكار‪.‬‬ ‫‪26 July/August 2014‬‬

‫‪Cover story‬‬

‫انطلق بأقصى قوة‬

‫ل‬

‫ا شك أن التقنية احلديثة تعطينا القدرة على أن نكون‬ ‫متنقلني ومتصلني في كل األوقات‪ ،‬سواء كنا فردا‬ ‫أو شركة كبيرة‪ ،‬كما توفر التقنيات احلديثة سهولة‬ ‫الوصول إلى نظام الكمبيوتر اخلاص بك‪ ،‬وتزيد‬ ‫وضوح الرؤية في سلسلة التوريد‪ ،‬وتقدم حتديثات ال‬ ‫تنتهي وحتقق لك االتصال املستمر‪ .‬نعم‪ ،‬هي حالة من البيانات‬ ‫املفرطة أو سمها ما شئت‪ .‬نحن في خضم كل ذلك وأكثر‪.‬‬ ‫التكنولوجيا هي نبض احلاضر ورؤية املستقبل‪ .‬كيفية‬ ‫تقبلنا لها واستفادتنا املثلى منها هي ما يطور أعمالنا إلى األمام‪.‬‬ ‫توصيل هذه احلقيقة للعمالء أمر له قيمة هائلة كذلك‪ .‬ما مييز‬ ‫شركة عن أخرى قد يكون مدى جناحها في تطويع التكنولوجيا‬ ‫لصاحلها‪ ،‬وتوفير رؤية واضحة في كل مراحل سلسلة التوريد‪.‬‬ ‫قمنا في املجلة بسؤال اثنني من العاملني في صناعة سالسل‬ ‫التوريد لكي يطلعونا على أحدث االجتاهات في السوق‬ ‫اإلقليمية وكيف تتطور وتتقدم إلى األمام‪ .‬فيما يلي نعرض‬ ‫لكم ردودهما‪ ،‬بداية مع مارتن باملر‪ ،‬املدير العام لشركة ‪SICK‬‬ ‫ثم نتبعها مبقابلة مع سوما سيخار‪ ،‬الرئيس التنفيذي لشركة‬ ‫‪.Trackit Solutions‬‬

‫حلول االستشعار‬

‫تعمل أجهزة االستشعار في مراكز اخلدمات اللوجستية‬ ‫واملستودعات ومراكز التوزيع‪ ،‬واملطارات واملوانئ حول العالم‪،‬‬

‫‪July/August 2014 27‬‬

‫حلوال متطورة للغاية‪ .‬تعمل نظم التخزين واالسترجاع بناء‬ ‫على بيانات موضعية عالية الدقة محسوبة بشكل ديناميكي‬ ‫متحرك‪ ،‬مع االعتماد على احلزمة العريضة في االتصال لنقل‬ ‫صور حية مباشرة ملمرات التخزين‪ .‬تسمح أنظمة املالحة في‬ ‫املكوكات احلديثة بالتحرك بحرية داخل منطقة التخزين‪.‬‬ ‫أصبحت تكنولوجيا االستشعار املعتمدة على املاسحات‬ ‫الضوئية بالليزر وأجهزة التشفير اآلمنة ال غنى عنها لرفع حدود‬ ‫األداء‪ .‬يبحث عمالء اخلدمات اللوجستية بشكل مستمر عن‬ ‫حلول استشعار ذكية تسمح ألجهزة االستشعار التقليدية‬ ‫(مثل أجهزة االستشعار الكهروضوئية عاكسة الضوء أو أجهزة‬ ‫االستشعار عن بعد) بأن تتكيف بسرعة جدا مع متطلبات‬ ‫املصنع اجلديد بشكل مركزي عبر وحدة حتكم عن بعد‪،‬‬ ‫وبالتالي تدعم أيضا متطلبات التدفقات املرنة والديناميكية‬ ‫للمواد املخزنة‪ .‬هكذا‪ ،‬ميكن ضمان كفاءة ومرونة التشغيل‬ ‫اآللي للخدمات اللوجستية من خالل التشبيك البسيط لهذا‬ ‫اجليل اجلديد من أجهزة االستشعار‪.‬‬

‫تكنولوجيا االلتقاط تفرض مطالب‬ ‫جديدة للعمليات احليوية املثلى‬

‫حيث تؤدي وظائف حيوية تدعم انسياب العمليات اليومية‬ ‫على نحو سلس‪ ،‬سواء عبر الكشف عن وجود البضائع‪ ،‬قياس‬ ‫أبعاد احلزم‪ ،‬حتديد مواقع الرافعات في املمرات الضيقة‪ ،‬منع‬ ‫اصطدام معدات النقل ببعضها وحماية العمال عند دخولهم إلى‬ ‫مناطق خطرة‪ .‬ستجد أجهزة االستشعار تقدم الدعم واملساندة‬ ‫حللول متكاملة تقوم على قراءة موثوقة وقابلة للتكرار‪ ،‬وتقوم‬ ‫كذلك بالتقاط الصور نقل البيانات والصور‪ ،‬سواء كان ذلك‬ ‫عند استالم البضائع الواردة وتخزينها على الرفوف‪ ،‬أو عند‬ ‫إخراج الشحنات الصادرة‪ .‬كل هذه الوظائف ميكن التحكم‬ ‫فيها مركزيا عبر أنظمة حتكم موزعة أو في املستودع ذاته‪.‬‬ ‫الطلب على حلول االستشعار احليوية في سلسلة التوريد‬ ‫واخلدمات اللوجستية يتزايد بسرعة نتيجة للزيادة في كل من‬ ‫متطلبات املستخدم النهائي (تخصيص العمليات) وأيضا‬ ‫بسبب منو التجارة اإللكترونية عبر اإلنترنت‪ .‬السرعة والكفاءة ما‬ ‫بني طلب العميل والتسليم النهائي للسلع يحسن من مستوى‬ ‫رضا العمالء‪ .‬يجب على النظم اللوجستية الذكية اليوم – بل‬ ‫وحتى نظم املستقبل‪ ،‬يجب عليها أن تدعم بشكل كاف هذه‬ ‫البيئةالديناميكية‪.‬‬ ‫متثل األنظمة «الرشيقة» التي تنظم االنتقاالت الداخلية‬ ‫عبر وسائل النقل‪ ،‬وكذلك أنظمة التخزين واالسترجاع‬ ‫اآللي الديناميكي املوفر في استخدام الطاقة‪ ،‬تقنية املكوك‬ ‫النقال‪ ،‬وحدات النقل املتكرر الصغيرة واملستقلة‪ ،‬كلها متثل‬

‫التحدي احلقيقي هو زيادة اإلنتاجية بشكل مستمر مع تنوع‬ ‫املواد املخزنة وزيادة دقة التقاطها‪ .‬املطلب األساسي هنا هو‬ ‫ضمان قراءة موثوقة وسريعة ألكواد الباركود‪ ،‬فضال عن حتديد‬ ‫وزن وأبعاد السلع املخزنة بدقة‪ .‬هنا تسمح التقنية املتقدمة‬ ‫في صناعة أجهزة االستشعار لقراءة األكواد – مثل اكتشاف‬ ‫أي عدم انتظام واستخدام مصفوفات من أجهزة قراءة األكواد‬ ‫مع التقاط صور عالية الدقة – كل هذه التقنيات تسمح‬ ‫بزيادة السرعة وإدخال حتسينات نوعية على عمليات الكشف‬ ‫اللوجستية والقياس‪ .‬فوق كل ذلك‪ ،‬يجري حاليا حتسني درجة‬ ‫تعقيد احلل الكامل من خالل تعزيز القدرة على الرؤية – من‬ ‫خالل كاميرات انترنت والتعرف الضوئي على احلروف‪ ،‬وهي‬ ‫كلها تقنيات تعمل لضمان حصول املستخدم النهائي ليس فقط‬ ‫على درجة عالية من القدرة على تتبع مسار شحنته‪ ،‬بل أيضا‬ ‫على قاعدة بيانات من الصور ومعلومات بصرية عن املسار‪.‬‬

‫تتبع املسار في اخلدمات اللوجستية‬ ‫للتوزيع وإدارة العوائد‬

‫ال يلعب تدفق املواد واملعلومات دورا رئيسيا في مجال‬ ‫اخلدمات اللوجستية والتوزيع وحسب‪ ،‬ولكن أيضا في‬ ‫إدارة العوائد‪ .‬أولئك الذين يعرفون دائما بالضبط أين تقع‬ ‫أي بضائع في أي مكان‪ ،‬تزيد عندهم درجة الشفافية‪،‬‬ ‫وبالتالي يكون لديهم ميزة إضافية‪ ،‬وهذا ينطبق على الدعم‬ ‫اللوجيستي وكذلك على العمالء‪.‬‬ ‫هنا تلعب معرفات (‪ )Tags‬حتديد الهوية مبوجات‬

IT cost transformation Getting the biggest business impact from your IT organisation is crucial to the bottomline. A.T. Kearney outlines the route to take to minimise IT cost as well as experience business growth

F

or many IT departments, costs have been climbing steadily as demand and complexity grow. The rise in complexity has also led to longer development times, making it difficult for IT departments to satisfy business expectations in a timely and cost-effective manner. Traditional approaches to IT cost management tend to opt for baby steps, such as deferring spending or killing discretionary projects.

While relying on such tactical measures may contain IT expenditures in the short term, it does little to reduce the major costs that stem from inefficient work practices. Out-of-control IT costs call for a more radical approach. This report takes a look at reducing IT spending while improving effectiveness and business support. This approach considers the big picture - including governance and demand and supply management - to determine what can be streamlined and improved to drive the most substantial and sustainable cost savings (see figure 1).

28 JULY/AUGUST 2014

FIGURE 1

Forces in managing IT cost transformation

Source: A.T. Kearney analysis

IT COST

Supply management t &YQMPSFT DIBOHFT UP UIF *5 TPVSDJOH NPEFM revisits make-versus-buy decisions to convert fixed cost into variable cost, and renegotiates IT contracts to ensure they align with business needs t "TTFTTFT XPSLGPSDF QSPEVDUJWJUZ BOE IPX responsibilities are distributed across teams Architecture t -FWFSBHFT UIF BQQMJDBUJPOT QPSUGPMJP BDSPTT business units, countries, and functions t &YQMPJUT JOGSBTUSVDUVSF SBUJPOBMJTBUJPO opportunities - for example, standardises and consolidates hardware assets such as servers, storage, and desktop devices and increases their utilisation.

Getting rid of the cost escalation trap Where are the biggest cost savings opportunities? Usually savings can be found in application management on the demand side and in external providers on the supply side.

Application management. On the demand side, the challenge is to find the right balance between leveraging existing standards and achieving business impact. When IT is charged with delivering everything that every customer wants, the result is more applications and interfaces, a higher degree of customisation, and more dedicated servers (more convenient in terms of maintenance).

Complexity increases, it takes longer to go to market, and flexibility in developing new products diminishes.

The first step to effective application management is to work on the "O *5 DPTU USBOTGPSNBUJPO BEESFTTFT four main areas: Strategy t "MJHOT *5 HPWFSOBODF UP FOTVSF UIBU decision making serves local and overall needs t 4USFBNMJOFT UIF *5 PSHBOJTBUJPO structure by benchmarking span of control against peers Demand management t 0QUJNJTFT EFNBOE NBOBHFNFOU and includes the business in budget allocation decisions t #VJMET BO JOWFTUNFOU SPBE NBQ UIBU aligns spending with business priorities

deproliferation of the application portfolio: Use the functionality of existing applications to make others redundant. If standard software is available, the old application landscape can be replaced with new software.

This can be done step by step, application for application, or in a real greenfield approach: Press the reset button and implement a completely new application landscape from scratch. This is a clear trend in some industries such as telecommunications and banking. Centralising services (shared services) or even outsourcing are other ways offered by a simplified, standardised application landscape.

Figure 2 on the following page shows a typical shared services pathway in which systems are first consolidated (standardised) and then centralised following initial cross business unit planning for system integration projects - centralisation without prior standardisation makes little sense as it is difficult to capture synergies. The last step is selective outsourcing of operations and development following an evaluation of risks and competitive advantage. &YUFSOBM QSPWJEFST 0O UIF TVQQMZ TJEF the high cost of staffing can be reduced by using an optimal mix of staff from onshore and offshore locations for development and NBJOUFOBODF QSPKFDUT -FTT WBMVF BEEJOH tasks, such as infrastructure management, are good candidates for outsourcing to IT service providers that can provide the service on a higher quality level and at lower cost due to economies of scale. Moreover, this frees up IT departments to shift their attention to activities that better support the business.

FIGURE 2

Out-ofcontrol IT costs call for a more radical approach, one that considers the big picture

Step-by-step consolidation

Note: ERP is enterprise resource planning; BI is business intelligence; DWH is data warehousing; CRM is customer relationship management.

Source: A.T. Kearney analysis

JULY/AUGUST 2014 29

IT COST

The right skill mix is particularly important in development and maintenance projects, as is the right ratio of offshore and onshore skills.

In terms of the skill mix, in large companies with historically homegrown IT departments, seniority of the development staff is typically much higher than required. This results in more senior staffing which drives up IT realisation costs. In regard to the ratio of offshore and onshore skills, figure 3 illustrates an IT workforce benchmarking analysis, which identifies a higher onsite share across roles and ranks as the most important root cause for higher development costs.

application landscape – turning more than 60 legacy systems into one core operations platform with only a few modular additions – and standardising the software. The new software, with its agile, web-based architecture, meets current requirements and addresses future business needs with minimal development and configuration.

4JNQMJm DBUJPO BOE TUBOEBSEJTBUJPO IBE another benefit: Outsourcing was now possible, allowing the IT group to concentrate on delivering value to the business units through more efficient processing and innovative advertising solutions. The ongoing

FIGURE 3

Benchmarking total workforce management

Sources: Project results; A.T. Kearney analysis

Case examples " 5 ,FBSOFZ IBT XPSLFE XJUI OVNFSPVT companies on their IT cost transformation initiatives. In each of the following examples the companies realised significant and sustainable cost improvements without sacrificing IT innovation or impairing service quality.

Implement BSS We helped a telecom operator select and implement a new business support system #44 TUBDL XJUI B QMBO UP NJHSBUF JUT customer base - ranging from consumers to large enterprises for development and maintenance projects - to a modern offthe-shelf solution. In determining business requirements and differentiating factors, the most important decision criteria were standardisation, implementation and migration speed, and configuring existing

30 JULY/AUGUST 2014

Savings can usually be found in application management on the demand side and in external providers on the supply side

functionality (rather than developing new functionality).

The new solution offered a wide range of marketing options for communicating with clients and innovative ways to bundle products with a few mouse clicks. Ultimately, the company unlocked cost and businessperformance efficiencies throughout the organisation, not just within IT. Simplify and standardise "O BEWFSUJTJOH TBMFT DPNQBOZ XBT struggling with excessive IT costs caused by a complex set of customised applications to meet specific client needs. The inhouse IT function, which was organised as a cost centre and managed separately from the market-facing business units, performed most development, delivery, and maintenance.

We began by drastically simplifying the

IT transformation programme is expected to reduce IT costs by more than 50 per cent over the course of three years.

Move to SAP’s LifeScience " QIBSNBDFVUJDBM DPNQBOZ XBT TBEEMFE XJUI BO PVUEBUFE &31 TZTUFN UIBU XBT not designed to support its growth. Major challenges included too few end-to-end business processes support applications, a dearth of automated controls, and poor analytical functionality. The company decided UP SFQMBDF UIF TZTUFN XJUI 4"1 T -JGF4DJFODF solution and to outsource the related infrastructure and support.

We worked with the IT team to define a global template that retained 90 per cent of UIF DPNQBOZ T TUBOEBSE GVODUJPOBMJUZ XIJMF providing new functionality to support the core business. The new system reduced time-to-market for customised functionality; it handles changing regulations and business requirements.

Answering the cost-versus-value question IT leaders are charged with helping the business understand the value of implementing less complex, more streamlined and standardised IT, both to reduce time-to-market and lower overall cost. Four principles will help guide the costversus-value discussion: Optimise the IT architecture. Invest in shared functionality; if possible, aggressively drive a greenfield approach and decommission old applications.

-JNJU DVTUPNJTBUJPO 1VTI TPGUXBSF standardisation as far as possible and challenge all customisation requests, including long-term customisation projects (for example, complex software upgrades). #VJME BO BHJMF BOE DPTU FGm DJFOU *5 EFMJWFSZ system. Centralise and outsource non-core activities while keeping value-driving skills in-house. *OWFTU JO JOOPWBUJPO 3FJOWFTU DPTU TBWJOHT in innovation and automation to make IT delivery even more efficient.

"DIJFWJOH B NVUVBM VOEFSTUBOEJOH XJUI the business about ways to control IT costs will ultimately yield an IT function that not only runs efficiently but also adds business value year after year.

PERFECT CHAOS ONLY WORKS WITH PERFECT SYSTEMS.

When movement becomes order, it is thanks to sensors and sensor solutions from SICK all over the world.

Planes arrive at precisely the right gate. Air freight containers in the right hall. Passenger luggage in the right hands. In baking heat, freezing cold, hail, snow, and even the legendary fog in London. It is no mere coincidence when logistics work perfectly. It is intelligent logistics automation from SICK. Around the globe, our solutions reliably control even the most disordered chaos. From sorting letters to ensuring personal safety at work and from securing buildings to facilitating ship container handling. When it comes to perfect systems, the whole world lands at the door of SICK engineers. We think that’s intelligent. www.sick.com

DHL

Moving data and shipments DHL has robust technology to back up its future strategies. Praveen Sashi, Head of IT, DHL speaks to us about current focus, technology trends, global programmes and value creation within its customers’ and clients’ supply chains Currently what is the technology scenario at DHL MENA? How well are all the different processes connected? What enhancements are being worked upon? How will new changes be incorporated in the coming years?

Our present focus is on the convergence of our applications and IT platforms. Historically, we have had a large number of applications to support our operations and various business units. In recent years, we have managed to significantly reduce and consolidate these applications in a more effective way and are now hosted out of our global data centres.

This has provided us with several benefits, for example, easier and faster implementation of new technologies to support our business and customers.

What processes are in place to identify value-adding technology trends that should be a part of the

32 JULY/AUGUST 2014

DHL supply chain solution for clients?

This process is managed mainly top down driven by our global programmes and functions (including technology architects, suppliers and business function heads) as well as bottom up, which is, driven by the customer requirements and how we customise solutions.

How has technology enhanced the supply chain solution in the last few years?

Technology is an enabler of improved productivity and is a value creation within the supply chain process. First, it makes operations more efficient by avoiding or reducing manual efforts involved in the process. Second, it improves visibility of the end to end process as well as on a transaction level which makes it possible to manage the operations proactively.

Third, technology reduces the cost of a supply chain operation which

is critical to making the logistics services and offerings attractive to our customers.

Visibility is integral to a successful end-to-end solution. How is DHL addressing this for its supply chain customers?

Just as we move physical shipments, we move shipment data around the world in real time. This is what provides end to end visibility of the process, for example it provides valuable information to our internal

DHL

service departments to understand all the details of the shipment, as well as the Customs authorities and customers alike. So for example, we are able to customs clear shipments even before they arrive at destinations that in turn reduces the delivery time and helps us deliver on our customer promise.

How relevant are the following trends today and say within the next five years from a logistics provider perspective? a) Big Data

b) Cloud computing c) Autonomous Logistics d) 3D Printing e) Robotics and automation.

New technologies are constantly opening up new possibilities and horizons in the future, for example, Big Data helps logistics companies mine massive volumes of data and helps increase our operational efficiency for the huge flow of shipments. It also helps predict exceptions, which allows for an enhanced service quality and customer experience.

This is necessary as it builds loyal customers.

Technologies also have a big impact on the logistics sector technologies help reduce customer effort - in booking, tracking etc and enhances the customer experience, such as the e-commerce tools and the mobility solutions. Conversely, process automation tools also improve employee productivity, simplify and eliminates waste (overheads and costs) in the process.

For example, we have implemented

JULY/AUGUST 2014 33

DHL

cloud computing and so forth.

Basically, investments are being prioritised in technologies that add value to the core process or to simplify our business process as well as enhance our customer experience, which is very crucial to us.

What kinds of investments are required for say a small to medium logistics business to remain in the game? Is technology really what keeps a logistics services provider relevant?

one of the largest private clouds in our new offices in Meydan – which allows flexibility and free connectivity for all our employees across the entire building – no need to be tied to where someone sits.

In the MENA region in general, what are challenges when it comes to technology in your business?

One of the main challenges is telecoms (Voice and data) being an expensive commodity in MENA, for example, network connectivity both within the country and on an international level is a challenge mainly driven by high costs and the lack of clear SLAs (service level agreement) with service providers.

How is the logistics industry in the region adapting to new technology?

We are embracing or at the forefront on new and evolving technologies, for example mobility solutions, big data

34 JULY/AUGUST 2014

Technology on its own cannot deliver a competitive advantage, it’s the use of the right technology and its correct corresponding application that makes a real difference. At DHL, our IT network mirrors the overall business network and supports it. IT connects our airlines, facilities, employees and our customers altogether. Hence, technology simplifies our customer interface and internal processes.

Moving forward, what changes do you see in the industry that will be brought about solely by logistics technology?

I think there will be more front end transactions (for example typically handled by call centres) moving to a web based self-service, which would allow more convenience for customers, as well as better levels of system integration between various parties in the supply chain thus improving overall service, exception handling, proactive actions and measures such as predicting exceptions, customer future requirements, mobility solutions and enhanced real time data visibility.t.

The technology

differentiator With as many logistics services providers as there are needs, what is that one thing that sets a company apart. Today it is technology. APL’s General Manager, Azfar Khan, elaborates his company’s strategies to provide the X factor to its clients

36 JULY/AUGUST 2014

APL

T

Azfar Khan

he Middle East region is an increasingly competitive market. As per the 2014 LPI (Logistics Performance Index) it ranks 27th globally with a score of 3.54. As everyone knows, the numerous large scale investments, political stability and open economic policies enables the region to continue to drive efficiencies in the logistics sector.

Add to this the structural stability of the market as well as a promising future. Since the logistics sector is extremely fragmented, this creates huge opportunities for consolidation and market dominance. And for contract logistics providers and integrated logistics service providers this should be ‘the’ area of focus. It doesn’t end there, the geographical location, continuous infrastructure upgrades are all market potential indicators.

There’s growing interest from shippers in air-sea transportation options on the India/ Southeast Asia/Europe trade lane as well as Africa/Europe and or Asia tradelanes. For supporting this, the region especially the UAE has invested heavily in infrastructure - new, expanded airports, distribution centre facilities, port enhancements. We all know the majority of cargo transits through Dubai, Dubai Airports have announced expansion, renovation plans as well as a new transshipment facility for freight transferred between Dubai International Airport and Dubai World Central.

“All above are indicators of a firm recovery, there is a lot of work out there.

APL is committed to giving the best possible to its clients,”says Azfar Khan, General Manager, APL.

JULY/AUGUST 2014 37

Technology “To be a leader in logistics today you need a best of breed technology platform to enable real time and end-to-end visibility, manage significant order volumes effectively and leverage data to drive continuous improvements in the supply chain,�Khan continues.

APL Logistics, in order to optimise supply chain services, offers the Visual Technology suite of services, a web-based, openarchitecture, supply chain management system capable of integrating data from any supply chain partner and backed by a global operations infrastructure.

Competitive advantages are waiting to be discovered along every point of a logistics network. The trick is, knowing how and where to find them. The challenge is finding a way to see into a supply chain with such detail that risks can be reduced and new revenue opportunities siezed.

This is where APL Logistics’Visual Technology Suite comes in. By combining three layers of technology, it delivers a valuable look inside business processes.

FIGURE 1 Only this system, holistically and dynamically, connects disparate sets of data from every part of an enterprise and industry to provide fresh, accurate and actionable intelligence. The Visual Technology Suite is a singular innovative solution because it simultaneously helps optimise the present, learn from the past and predict the future with precision.

The first level of the suite is Visual Ops. This is the combination of leading technology solutions that are used to support the daily operations throughout the global network. Visibility as broad as the supply chain can reach, and as deep as the product information needs to be.

This is followed by Visual Analytics. This provides a snapshot of the current activity; dynamic pre-built visualisations that capture best practice metrics in the logistics industry gaining tactical advantages over the supply chain and is able to drive action based on what is seen.

Rather than a series of numerous reports or requests to manipulate the current report, Visual Analytics provides an array

38 JULY/AUGUST 2014

APL

of measurements that can be dynamically manipulated to answer general supply chain questions.

Visual Intelligence is the final part of the Visual Technology spectrum. Visual Intelligence is a very extensive deep dive to connect business objectives to the supply chain. One of the key components to all of this is a robust platform with features to allow the supply chain data to tell a story.

Technology leveraging can translate business objectives into quantitative indicators aimed to provide insight into a customer’s business and to help a customer achieve their business objectives through the use of data visualisations.

Transport Routine shipments come with complex challenges, APL has a robust, flexible suite of technologies that can simplify, streamline and strategically improve the approach.

Offering international and domestic freight management solutions, customers can more efficiently coordinate, evaluate and integrate day-to-day transportation activities from different modes of carriage, jobs and locations. Services include: mode, route and load optimisation, carrier service and price compliance, equipment and consolidation planning, tracking, reporting and event management, tariff management, trade documentation and asset management.

The customer gets more than just a scalable, turnkey set of advanced technologies ready to deploy whenever and wherever the need arises.

Advantages include:

Seamless data exchange and integration with trading partners.

Technology today has simplified systems and work processes with key features that enable collaboration, managing exceptions, viewing and tracking orders/shipments as well as managing dashboards and reviewing analytics. Khan adds,“We’ve developed an intuitive, easy to use, visually collaborative platform that supports personalisation.”

Trends and transparency “From what we have gauged by our customers’ feedback are these top five priorities we plan on addressing with our Future Technology Solutions,”says Khan.

Reducing overall freight cost Improving data quality and efficiency Improving overall supply chain optimisation Support real-time collaboration between customers, shippers and logistics service providers Compliance of trade regulations “We have a system called MyPortal through which we provide customers with detailed, accurate and timely visibility of the

status of Purchase Orders (PO’s) from the time of their creation to delivery of products at the final destination. This system provides end-to-end visibility, event tracking and exception and alert management. It’s a web enabled application suite that consolidates data from a variety of supply chain sources across all modes of transport. The system then provides a single coherent view of shipment and order status information to all process participants. Of course this is a customisable system which can be configured to meet specific customer requirements.”

Data Integration and Data Management are key to visibility. With MyPortal data can be integrated from ocean carriers, air carriers, truck carriers, customs brokers and freight forwarders to give businesses comprehensive visibility to their shipments. Events can be transmitted via EDI or updated via the Event Webform by the nominated supply chain partners (e.g. freight forwarders, truckers, etc.).

The benefits of this are also many: Better management of supply chain operations In depth view of the supply chain Ability to address critical supply chain questions Improved efficiency with exception management

Visibility anywhere, anytime The unparalleled ability of technology to help select the best modes, routes and equipment – and create the most costeffective loads – leading to lower freightrelated expenses on a variety of levels.

Greater data integrity and quality by eliminating manual intervention, improving productivity, and maximising quality and efficiency.

JULY/AUGUST 2014 39

APL

Complex relationship management including connecting with trading partners worldwide View time-critical data The company, APL Logistics, has a reputation in the industry for delivering an overall level of service that meets specifications and requirements. This reputation is certainly no accident and is the result of a clear strategy to lead by being a major differentiator. APL Logistics takes considerable pride in being a recognised organisation delivering market leading levels of customer focus and service. Below are a few specific points which allow the company to maintain this advantage: The size of APL Logistics’ global infrastructure: while it is large enough to influence and maintain strategic relationships with logistics partners, it remains small enough to offer a more personalised level of customer focus.

Industry leading IT solutions which are fully integrated worldwide eliminating duplication of data entry into multiple systems, enabling best in class data integrity performance

40 JULY/AUGUST 2014

and also allowing near real time information updates across its global network.

Customer specific dedicated operations teams for each client consequently resulting in a very close working relationship.

An in house regional and international service quality team acting on behalf of each client, identifying process improvements where beneficial and often catching and resolving potential problems before they occur.

Commitment and strict global adherence to customer specific procedure documents – these are an integral part of all client relationships. A considerable amount of time is invested at the outset to ensure all customer requirements are clearly documented, understood and rolled out within the organisation.

“Technology has always been at the heart of our solutions. We know that today’s world calls for newer and more flexible solutions – solutions which are continuously refined and improved to sustain as well as to enhance customer experience. “We have a multi-million dollar investment programme to advance our technology today and over time to build a seamless end-to-end Logistics SuperSuite (LSS). This platform is built on the industryleading Oracle Transportation Management software – we invest in this technology so customers don’t have to. LSS supports changing business and customer expectations around where, when and how information is accessed. With a single system that supports real time interaction between our customers, shippers and other trading partners, and a single rate repository accessible by multiple parties, customers are able to see the same information we can,�adds Khan.

Seamless integration of business processes and technology caters to customers’ business needs and objectives more effectively enabling engagement in more strategic collaborations to succeed.

LSS includes dynamic trip plan functionality and new inventory visibility from origin to destination, enabling greater end-to-end tracking and traceability. Together with advanced landed cost capabilities, this platform provides full transparency throughout the supply chain.

Whilst much of this is already available, LSS is about building the next generation platform which means more integration, increased automation through work queues, events and alerts and easier access to the right information at the right time. LSS enables customers and us to manage a supply chain in a control tower. Through LSS there is a single portal that enables t $POUSPM 5PXFS DPNNBOE PG UIF supply chain t *ODSFBTFE DPMMBCPSBUJPO CFUXFFO trading partners t &OIBODFE FOE UP FOE TVQQMZ DIBJO WJTJCJMJUZ t %FDJTJPO GBDJMJUBUJPO UISPVHI BMFSUT dashboards and workqueue in a pro-active manner t #FUUFS VTFS FYQFSJFODF WJB QFSTPOBMJTBUJPO and ease of navigation.

New Heights in

OPERATE & INTEGRATE WORLD

RECORD

5,000 TONS

HEAVIEST ITEM BY ROAD

LARGEST FLEET

1, 800 TRUCKS 2,200 TRAILERS

2 MILLION

FREIGHT

TONS PROJECTS CARGO

EXECUTED ANNUALLY

2 MILLION

SQM TERMINAL WAREHOUSING

FACILITIES

The journey that started with a single truck seems a distant memory. Since 1965 our fleet grew over 1,800 trucks and 2,200 various types of trailers such as flatbed, low bed, extendable and semi-hydraulic. In addition to other types of trailers such as conventional hydraulic, SPTs and SPMTs. Our terminal and storage capacity is over 2 million SQM with more than 6.9 million MT of exports a year.

Our formula of success is to keep everything 'in-house' starting with employing the right calibers, owning state of the art equipment and utilising the latest technology. Then, we are left with the daily task to integrate all of our resources to offer our clients a holistic logistics & SCM solution.

Heavy Lift Transportation Freight Forwarding Terminal & Warehousing

Please visit www.almajdouie.com to find out more about our integrated services. Tel: +966 13 8198111

GUEST COLUMN

Virtual engagement Innovation, adaptability, and flexibility are arguably three of the key contributing factors to running a successful business in today’s volatile market place. Brian Cartwright, Managing Director, Logistics Executive, gives valuable insights on the technology encroachment in the industry

W

hen demand changes overnight and competition is everywhere, a company’s ability to innovate, adapt and be flexible is ultimately led by its people whose efforts are further supported by technology, processes and procedures.

One of the biggest dangers we face in today’s society with regard to technology is that we have become so reliant on it that we are losing the human aspect of our interactions with one another, this is becoming more prevalent in our personal lives as well as at work. At the core of any business is its people and the way recruitment is handled is a particular area which has undergone a dramatic yet not necessarily positive change over the years due to our over reliance on technology.

A surge of online jobs boards (led by The Monster Board in 1994) continue to increase in numbers, and what began as simple “E-recruitment” systems quickly developed into systems including complex applicant tracking and customer relationship systems. The contemporary social and commercial environment is typified by social networks with the vast majority of people so focused on developing “one click” virtual relationships, burying their heads into their smartphones and tablets rather than developing real life relationships and interacting with the people standing next to them.

When it comes to recruitment the technology we use certainly enables us to work more efficiently in the early stages of the process with the attraction, identification and tracking of potential candidates as well as

42 JULY/AUGUST 2014

managing applications, screening and even initial interviews via video conference.

This evolution in communication has also led to a culture of hiring organizations and individuals hiding behind emails, reducing the amount of genuine real life contact with potential employees.

The ability to reach many more potential applicants via the internet also brings with it a much higher numbers of applications, usually with around 95 per cent having to be rejected, with hundreds, often thousands of applicants clicking “apply”to a job even when their experience is completely irrelevant to the role they are applying for. Hence whilst technology can help us to streamline The value of human the recruitment process interaction cannot be it has also created additional workload for overstated in terms recruiters and employers at the front end of the of quality of the process. recruitment process, We increasingly live and work in a especially at the socially (or virtually) final stages of the networked world and recruitment process the acceptance of this fact by organisations when it comes to hiring, is proving advantageous to those early adopter organizations that have leveraged social networking as part of their recruitment strategy.

Increasingly organisations have been able to build a talent community

where potential candidates are engaged and informed as to what’s happening in the organisation that they may one day wish to join. This is a more advanced strategy compared to purely creating a CV database which is quickly outdated, so building and maintaining an enlightened talent community is a key factor in winning the battle for talent.

Ensuring you have a ready pool of candidates to meet possible recruitment requirements is no easy task and just as managing a supply chain is about managing uncertainty and variability, the same applies to your future hiring needs. Current economic dynamics typified by significant fluctuations in customer and business service requirements often determines that it is often difficult knowing what talent requirements will be in the short and medium term and what types and levels of skills are needed.

Whilst all organisations need to embrace modern technology, increasing numbers are realising that technology can’t and should not replace human interaction and valuable relationships. More and more companies are realising that creating vast databases of CVs is an inferior option to building a community of targeted prospective future employees through the use of technology and keeping them informed and engaged online. This methodology supports tracking and managing the recruitment processes and enabling the relevant information to then take the relationship offline and into the real world as early as possible when commencing the recruitment process for a specific role.

ILLUSTRATION: RAVI

For many forward thinking HR Directors and Managers it is the candidate experience that is first and foremost in their recruiting strategy and to create this experience is not possible with the “one click/ apply” routine that we see from the majority of job boards and ATS. This is old school practice which is losing its place in the hiring processes used by many organizations today.

The Internet is of course a great place for purchasing products or services. Job boards, and applicant tracking systems can certainly help recruiters to work more effectively but the recruiting process can never be completely automated, technology will never replace recruiters (internal or external) as people are not, and never will be a commodity. The value of human interaction cannot be overstated in terms of quality of the recruitment process, especially at the final stages of the recruitment process.

The art of recruiting goes much further than simple CV screening and matchmaking, the most successful recruiters tend to have a deep appreciation and understanding of what it means to be human, the ability to see the true person behind the resume. We all have our aspirations, our needs, our individual skills and indeed our flaws and a good recruiter will have an almost sixth sense in order to be able recognise and uncover those factors linking the dots to find the right

person for the job, and then because of the competition amongst organisations to employ only the best talent in the market once you have found a highly talented individual who you want to employ it becomes as much about a seduction as it does a simple job offer in order to get them onboard.

Everything in the hiring process leads to this point, a candidate’s technical experience is paramount, in-depth screening to find a potentially suitable match based on these hard skills and relevant experience to the role is essential.

Just as vital is the identification of increasingly important people/ soft skills and the importance of understanding the needs of a candidate and how these needs can fit with the requirements of the hiring organisation – a process that must take place face to face.

The amazing advantages of ever developing technology are undeniable, just as true is the need for expertise applied by specialist practitioners to achieve the best outcomes, whether in the case of talent attraction and acquisition or any business objective.

Brian Cartwright is the Managing Director Middle East and Africa for the Logistics Executive Group. He has lived and worked in the Middle East since 2008 where he has built a strong reputation within the Logistics and Supply Chain community across the MEA region as the leading headhunter for the sector. Cartwright regularly contributes thought leadership to industry media and is highly regarded for his honest and straightforward approach to business relationships as well as his ongoing contribution towards raising the profile of Logistics and Supply Chain as an attractive career path with immense growth potential for ambitious and talented individuals.

JULY/AUGUST 2014 43

Dubai Customs seeks to be a world leader in customs administration supporting legitimate trade and compliance, Ahmed Mahboob Musabih, Director of Dubai Customs, speaks about the organisation’s antismuggling efforts

44 JULY/AUGUST 2014

Facilitating trade security

TRADE SECURITY

I

n 2013, Dubai Customs (DC) successfully captured 4,500 seizures of prohibited and restricted items.

Ahmed Mahboob Musabih, Director of Dubai Customs, says the organisation is also playing a vital role in the global trade supply chain facilitation According to Musabih, DC has an agenda to be a world leader in customs

administration, and to realise that vision, it implements a comprehensive strategy whereby an efficient corporate governance-centred business operating model is developed. This has led Dubai to be ranked fifth globally in the ease of customs operations and the emirate is looking forward to improving its ranking on the index, up to number one.

JULY/AUGUST 2014 45

What is on the agenda for the Dubai Customs department to achieve in 2014?

Our agenda for 2014 is determined based on our strategic goals which are: To sustain customs revenue growth; Facilitate trade and passengers’ movement; Encourage compliance and combat illegitimate trade; Secure and protect customs posts and supply chain; Develop organisational capabilities and competitive advantage.

How is Dubai Customs’ role as trade facilitator for the country been achieved till date and how do you plan on playing a bigger part in enhancing trade in the country and the region?

Dubai Customs has managed to play a major role in trade facilitation and compliance locally and regionally, through constant improvement of its proactive services and facilitations aimed at reducing the

46 JULY/AUGUST 2014

time, effort and cost needed to complete customs transactions. Hence, 84 per cent of unsuspicious (non-risky) consignments are now assessed and cleared electronically in less than two minutes, without any human intervention, due to the advanced automated systems implemented in DC. The risk engine is one of these technological developments introduced by DC and which contributed to achieving such remarkable results. The system is fed with consignment data from various channels. Our Customs Investigation Department collects, links and analyses this

information to find out which risks are to be entered into the system, enabling the tool to efficiently turn down any risky transactions and allow the automatic clearance and release of safe shipments.

DC’s trade facilitation efforts have been enhanced by the launch of smart services in response to the m-Government initiative of His Highness Sheikh Mohammed Bin Rashid Al Maktoum, UAE Vice-President, Prime Minister and Ruler of Dubai. Our round-theclock services are now fully delivered through smartphones.

TRADE SECURITY

narcotics and ways of trafficking, drugrelated cases field inspection, counterfeit and forgery detection techniques, body language, intuition and security sense development and the handling of dangerous substances and explosives.

The customs inspectors are also trained in ways to inspect people and goods, besides attending other specialised courses on effective communication, negotiation, dialogue, persuasion and detection of forgery and counterfeit techniques.

What has been your most successful / challenging accomplishment in terms of enhancing the country’s security?

The Department, in cooperation with local and federal government stakeholders, spares no efforts to remove all possible obstacles and turn Dubai and the UAE into a distinguished business hub worldwide. Dubai Customs is seeking to attract more trade to the emirate, in line with Dubai’s two mega projects which are the transformation into the smartest city in the world within the next three years and the ongoing preparations to host World Expo 2020. Dubai Customs will develop all its systems and procedures up to the best international benchmarks to meet the visitors’ and exhibitors’ needs over the six-month event.

What in-house measures and standards are in place in making Dubai Customs a world class organisation?

DC implements a comprehensive strategy to achieve its vision to be the world’s leading customs administration, by developing an efficient business operating model centred

on corporate governance. This advanced model delivers highest levels of transparency in adopted customs rules and procedures as per the best global customs standards and practices.

Over the past few years, Dubai Customs has been successful in turning the ideas of its employees into real achievements. The Department was named the best Innovative Idea of the year during the 17th edition of Dubai Government Excellence Programme Awards for ‘Al Kashif’ project – a customised mini golf cart equipped with high-tech inspection and scanning devices, and which is deployed at Dubai airports to detect any prohibited items within travellers’ baggage.

Can you tell us in detail about the training employees at customs go through for them to be able to identify suspicious individuals at all country entry and exit points?

Our inspectors are intensively trained and they attend regular workshops on all types of

Dubai Customs’ anti-smuggling efforts have paid off with around 4,500 seizures in 2013 across different land, sea and air customs points. These interceptions included, in addition to narcotics, attempts at trafficking counterfeit, prohibited and restricted goods; fake passports and travel documents, forged currency and bank cards, as well as evasion of customs duty, infringement of intellectual property rights, smuggling of endangered species and a number of other violations.

This achievement was certainly challenging but contributed significantly towards enhancing the safety and security of our country.

How have smuggling practices changed over the years and how has Dubai Customs evolved to keep ahead of the challenges?

While incessantly bidding to go through customs unnoticed, smugglers are increasingly using devious ways of trafficking, such as intestinal drug trafficking, hiding drugs in clothes, underwear, secret pockets at the bottom of large bags, handbags, packed boxes, cigarette boxes, mobiles, shoes among others. Still, all of their attempts have been a complete failure due to the vigilance of the customs inspectors.

Such alertness on the part of our inspection staff is the result of continuous training which enables them to detect and disrupt even the most ingenious smuggling methods.

JULY/AUGUST 2014 47

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TRADE SECURITY

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Contact Person: Jagdish Hadimani, Mobile: +971 50 429 6658 MFC Cargo Container Concept LLC, PO Box 5727, Interchange No 7 DUTCO Compound, Jebel Ali Industrial Area, Dubai, UAE Tel: +971 4 880 2070, Fax: +971 4 880 1844

CONTAINER CONVERSIONS FLAT PACK

OFFSHORE DNV UNITS MODULAR FABRICATION

Contact Person: Mr Robert Taylor, Mobile: +971 50 645 7356 Modern Freight Company LLC, PO Box 17580, Jebel Ali Free Zone, Dubai, UAE Tel: +971 4 8819600, Fax: +971 4 881 7231 Modern Freight Company LLC, PO Box 22062, Airport Road, Doha, Qatar Tel: +974 44 678023, Fax: +974 44 677270

PROJECTS FREIGHT FORWARDING LOGISTICS www.mfc.ae

CUSTOM CLEARANCE RELOCATION SERVICES

- www.mfcmove.com

DRIVERLESS CARS

The impact of driverless podcars on Dubai’s roads

So what is the future of public transport?

With Dubai recently announcing personal rapid transportation systems being considered, podcars may be soon arriving here. Sarwant Singh, Senior Partner and Head of Visionary Innovation, Frost & Sullivan sheds more light if there is a still better option out there

T

he advent of mobility was built on the foundation of transportation. While traditional surface transportation means can be primarily segmented across rail and road, the mobility modes are usually based on spin-offs of the same such as car-sharing, car-pooling, ride-sharing, Personal Rapid Transit (PRT), tramways, Group Rapid Transit (GRT), etc. Present-day extensions of mobility modes could also include

magnetic levitation (maglev) trains with more sophisticated technology enabling it. The biggest benefit is to ease congestion, of the three main goals of all transport authorities across the world. Considering the ability of these vehicles to operate in greener and safer modes, it achieves all three key goals of transport legislators.

Podcars on Dubai roads are certainly a good first step towards easing congestion. However, the

JULY/AUGUST 2014 51

DRIVERLESS CARS

bane of shared mobility has always been the lack of seamless first-and last-mile connectivity. The Masdar city in Abu Dhabi, the Heathrow shuttle and similar deployments in the US have one thing in common - the rails or similar guideways. The implications are obvious: not all parts of the city can be covered. It is an extension of public transport, only much smaller and smarter! As long as the Dubai transport authorities have planned this as part of

52 JULY/AUGUST 2014

a piecemeal approach and have a more holistic vision, opportunities are virtually unlimited.

The quest of self-driving vehicles A piecemeal approach is not limited to modern mobility solutions alone.

The automotive industry as a whole is no exception to this syndrome.

Fully automated vehicles, popularly synonymous with self-driving or

driverless or autonomous cars, have been thus far built on traditional vehicle architectures by major automakers and suppliers. While every automaker has invested in the research and development of completely driverless car concepts, the market deployment from traditional automakers is a piecemeal approach. Research has proved fruitful with tangible results, as premium automakers BMW and Mercedes-

DRIVERLESS CARS

State of the PRT

Benz have already launched the most basic form of automated vehicles, which can manoeuvre through tight parking spaces and frustrating traffic jams without any driver-involvement.

These are typically in low-speed, short-duration and short-distance tasks. The next step would be launch “above the line solutions”such as highway pilot / chauffeur, emergency drive assist etc. which act on behalf of the driver for longer spans of time

and distance; some of these functions can act better than the average driver. Audi intends launching such a system by 2017 or so.

The first launch of a fully-automated mode of transport on a road that most resembles a car is likely to be launched by the most interesting entrant in this space. As an innovator beyond the German Big-3, Google has not only conceptualised but has started mass-producing driverless vehicles, outsourcing the manufacturing contract to a Detroit-based production unit. The vehicle is fitted with a roof-mounted LiDAR, reportedly costing tens of thousands of dollars. The volumes of production that Google has in mind cannot drive down the cost of the systems considerably. Clearly, the vehicle is not meant for sale to consumers and could be operated by a third-party. Think of third-party logistics … for people!

This is Personal Rapid Transit, but unlike the Dubai pod-cars, these vehicles should be able to go to every street and lane (wherever deemed street-legal and safe). Google’s biggest challenge would be to find channel partners who would operate these vehicle fleets, besides driving down the cost. Occupant capacity is about two adults and may be a pet, which too has to be upgraded. Yet, this mobility mode threatens the podcars that Dubai and other transport hubs are interested in, primarily in its ability to cover more surface area.

One of the most prominent deployments of a PRT on a large global scale is the Navia from Induct, a French company that has a clear vision and strategy to alleviate the mobility hiccups. The Navia has been widely adopted in hotels, university campuses, hospitals and other restricted environments, replacing shuttles. This 100 per cent electric vehicle too uses a LiDAR; but unlike the Google car, there are multiple LiDAR units fitted within the vehicle periphery. Navia is likely to replace tramways in most global locations in the due course of time and can also help buffer the queues at bus stops, in the future. The occupant capacity of the Navia is up to eight people, which was arrived at through mathematical modelling and queuing theory. The main drawback of the Navia is probably its limited speed range as of now, but so is the case with the Google car. However, one can expect future versions of the Navia to be capable of higher speed ranges and even in a closed car-like design.

The future of mobility will take on board a wide range of purpose-built self-driving vehicles – some from boutique houses like Induct, Google or several other potential new entrants and some from traditional automakers. The quick-and-instant availability of such vehicles on-demand is the key to the success of PRT projects.

Even to this day, most of us choose personal mobility options over public transport due to the latter’s drawbacks such as lower frequency, the lack of privacy and personalisation, the challenge of first- and last-mile connectivity among other things. This is despite the various benefits such as lower cost of commuting, little or no liability risks and freedom from searching for parking. Commuters will choose PRT over personal mobility only if it addresses the drawbacks of traditional public transport, especially in the Middle East where fossil-fuels are cheaper and car ownership is easier. This is possible only if legislators adopt an aggressive strategy to promote autonomous PRT mobility schemes.

That leaves us with only key question: are the governments listening?

JULY/AUGUST 2014 53

Perhaps the Internet of Things should be a little less chatty?

T

he Internet of Things (IoT) seems to be becoming a reality.

Earlier this year, for example, the analysts at Gartner predicted that there would be some 26 billion things connected to the Internet by 2020.

What kind of things? Pallets of inventory, machines on factory floors, automobiles, you name it, many certainly with supply chain implications. Gartner, in fact, believes operations staff and the IT team need to start conversations right now to begin planning for the IoT future that will soon be here, looking at what information might be available, and how it might be leveraged.

A key point relative to the Internet of Things is that to date, nearly all of the information on the Internet has been put there by human beings, whether it’s a blog post, the results of some scientific study, or a government report. While the level of information available today continues to explode, to an extent this human factor has limited the amount of information that does get posted. Just consider the number of companies and organisations that have trouble keeping their websites up to date.

While at least for now human beings will still have to develop applications to take in and display the information, with the IoT, once the “things” start sending their data, the Internet as we know it may be overwhelmed, unshackled from the dependence on humans to get data to the web, there will be billions of inanimate objects sending streams of data 24 x 7 to the Cloud.

Bandwidth, it seems, especially in the US (which is well behind Internet speeds versus

54 JULY/AUGUST 2014

Do we really want all that data pushed into the cloud? Cisco pushes a fog alternative. How often should pallets really communicate?

Supply Chain Digest looks into the Internet of Things for all of our very near futures

many countries in Europe and Asia) could become a real IoT bottleneck given this huge increase in traffic. So while the idea that all the connected things will be sending data to the“Cloud,”readily accessible by all the relevant parties, that may just not be practical or even make sense in many applications.

Consider, for example, a truckload full of pallets in a temperature controlled trailer. Each pallet has an RFID chip to uniquely identify it, connected to a sensor that monitors temperature and perhaps other environmental conditions, such as humidity. As that trailer is moving down the highway, how much of this real-time data do companies really want communicated - and how much data traffic can the communications systems really handle?

Will companies really want updates from the sensors every few minutes? Or will“event management”thinking need to be added to the IoT, so that, for example, data from our moving pallets only is sent to the Cloud if temperature or other conditions change, or start to approach tolerances?

The answer to that last question will often be Yes, meaning operations managers and IT will have yet another set of variables to consider when designing IoT applications.

Or consider that new aircraft engines from GE have sensors and Internet communications for nearly every part the engine contains, and can generate as much as half a terabyte of data for a single flight.

And this jet engine provides a great example of how tricky all this will be. Certainly, there would be some cases where data shows the engine needs some kind of maintenance when it lands, and just that information

RFID

needs to be sent when it reaches certain tolerance levels.

But in other cases, does a maintenance engineer need to see all the data, because to understand the big picture, readings from several areas or parts need to be viewed together? And this then begs this question: if only a fraction of the data generated by the IoT is actually communicated upwards, is all the rest just to be discarded, or is stored locally?

Some of the IT industry’s biggest names, in fact, are pushing the idea of doing much of the data storage locally, with rules about

what portions of it get sent to the Cloud mothership.

Networking systems giant Cisco, if fact, is pitching a concept it calls the“Fog”as a complement to the Cloud. In Cisco’s vision, a new generation of routers - Cisco’s bread and butter offering - would get even smarter, have big storage capacity, and make decisions about what data goes where.

It’s called the Fog because much information would stay“close to the ground” of where it is being generated, not all pushed into the Cloud. As part of this vision, these routers would not send information to the

Cloud unless it needs to, based on defined business rules. IBM is pushing a similar concept. So we might be entering an age of what could be called “information logistics,” with complex questions about what data needs to be captured, how and when and how much of it needs to be moved, how much stored, and how anyone is going to make sense of it.

The Internet of Things is likely to have a profound effect on many supply chains, but we are in the very early innings of figuring out how to optimally harness its power.

-www.scdigest.com

JULY/AUGUST 2014 55

Y A D O T E IB

R C S SUB

UAE - THE GLOBAL HUB

AGILITY’S DYNAMIC APPROACH

DHL MOVING DATA AND SHIPMENTS IT Costs

Sending IT to work

The X Factor

APL Logistics’ positioning

Online cargo insurance ENHANCING THE BUSINESS OF LOGISTICS

Dubai Trade’s Tradeshield

57 36 28

UNWIND

July/August 2014 Issue 06

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An update on RFID and sensors

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2/7/14 23:49:05

DUBAI TRADE

Dubai Trade’s online cargo insurance platform Dubai Trade and Abu Dhabi National Insurance Company (ADNIC) recently organised a forum to announce the official launch of Tradeshield for online cargo insurance.

E

ntitled The Importance of Cargo Insurance in Trade and Logistics, the half-day forum saw industry professionals come together to discuss the key issues and developments in the cargo insurance sector, including recent advances in e-commerce in the region.

Industry expert, David Phillips, President of the National Association of Freight and Logistics, was also a key host and speaker at the forum.

On announcing the launch of Tradeshield, Dubai Trade CEO, Eng. Mahmood Al Bastaki, said,“We are committed to realising the vision of His Highness Sheikh Mohammed Bin Rashid Al Maktoum for a smart government and ‘Smart Dubai’.

Tradeshield is a platform that fits the strategic direction, meeting the needs of the trade and logistics community with an easy to complete and efficient way of insuring their shipments.”

“We have seen a growing demand for cargo insurance services over the past years” added Al Bastaki.“Initiating Tradeshield service came after observing the importance of protecting and securing the interests of the companies and traders while shipping

the cargo, which guarantees its customers’ loyalty and ensures the success of the business transactions.”

ADNIC has a long standing expertise in providing cargo insurance solutions for clients across the UAE and the Middle East, and was the first insurance company to join the “Tradeshield” platform.

Tradeshield is an easy to use platform offering direct integration to marine and cargo insurance. Quotations can be obtained within minutes on the website www.tradeshield.ae where customers can compare policies, rates and terms before choosing the desired policy. They complete the end-to-end process of purchasing insurance online including payments using “Rosoom”. Users can benefit from single shipment cargo insurance as it provides cover against loss or damage to all goods related to a single shipment. Dubai Trade will also soon offer open cover cargo

insurance providing blanket cover against loss or damage to all goods moved by a specific carrier or shipper during a certain period of time.

Andrew Woodward, Group Chief Underwriting Officer, ADNIC, was also participating at the event. Commenting on the forum and the key discussions that took place, Woodward said: “Today’s event has highlighted the need for insurance companies to constantly innovate and meet the evolving needs of clients and customers. Those operating in the cargo and logistics sectors face a number of risks that need to be managed and require insurance solutions that are easily accessible and tailored to suit their business needs. In this increasingly digital age, it is important that these solutions be available online and ADNIC’s E-Cargo Solution, available through Tradeshield, has been launched to meet that need.”

JULY/AUGUST 2014 57

Empowering the industry’s women

T

he Chartered Institute of Logistics and Transport officially launched a global Women in Logistics and Transport chapter in 2013. The main Patron is Her Majesty the Queen of England.

Many countries have their own individual organisations, the Middle East set up of this not-for-profit organisation was in October 2012.

Other countries that have similar organisations are: Hong Kong, Pakistan, Malaysia, Middle East, Nigeria and Sri Lanka.

Recently Women In Logistics Middle East, (WILAT ME) organised a networking event at the Dubai Customs in order to reconnect with members and to inform them about the recent WILAT convention in Malaysia as well as plan for events and meetings after the summer.

The organisation aims to positively empower women in this field, it also creates a pool of opportunities for women in the logistics and transport industry. In addition it is a great door opener for the women which enables them to get a mentor, network and enhance and retain their professional careers within the industry through various events and workshops conducted specially by this association. It focuses on promoting

58 JULY/AUGUST 2014

Women in Logistics and Transport Middle East is a unique organisation that was formed to support, empower and connect with the many women working in the industry. It aims to nurture a strong community of women professionals

women to highest levels of corporations and organisations via education and hands on training.

WILAT ME is gaining fast momentum, with more than 200 members from the industry; there are now many members and the number of new members is going up every day. The speed with which the group has grown is quite phenomenal. Quite a few of our members are men who support women working in the industry, and we actively encourage more women to consider joining us as associate members. WILAT-ME feels men are experts in the field of logistics and shipping and are

Nadia Abdul Aziz, Chairperson, WILAT ME

WILATME Board Members (from left): Lynn Ditucalan, ATMS International FZCO; Sebnem Sen DMCC Tradeflow (Government of Dubai); Nicola McCart, McGregor Boyall Associates; Nayana Nandkumar, Dubai Shipping Agents Association and Nadia Abdul Aziz (Chairperson of WILATME) from UNASCO, as well as NAFL-Sec General and Board Member Dubai Land Transport Group

considered very good role models for our female members to gain in depth knowledge and learn from.

Every year the women from WILAT, meet in a new country and hold a global network and conference in line with CILT global conference. Last

WIL

Organisers and attendees

year it was held in Colombo. This year the WILAT-ME Chairperson - Nadia Abdul Aziz and one of the board members – Nayana Nandkumar of Dubai Shipping Agents Association travelled to join this global gathering.

Visiting delegates were shown a presentation on the Middle East region as well as were briefed on the logistics, transport and supply chain industry in the UAE. This piqued the interests of many of the delegates who now wish to have the next global forum in Dubai soon.

The board members of WILATME are from various high profile industries, shipping, logistics, logistics and supply chain education sector, logistics recruitment and consultancy, courier companies, freight and logistics etc. All the board members work voluntarily to support and engage the women in the industry.

WILAT ME is associated with various non profit organisations such as Al Noor Centre for children with Special needs, Aspire and Pink Caravan. Aspire organises funds to help underprivileged persons to get an education in Supply Chain and Transport and the Pink Caravan is a support group for UAE-based women with cancer.

WILAT ME is actively involved in awarding women and female students unable to afford higher education with scholarships. Applications need to be sent to WILAT ME for this purpose. The organisation also researches the market to identify underprivileged women who deserve the scholarship who are then awarded the same after a background check.

This takes place at the CILT centre in the UAE as well as in other centres in the Middle East. The well-connected members of the board contact many organisations who willingly contribute to this noble cause. Any organisation that wishes to contribute to the scholarship programme can email on info@wil-me.com and cc: chairperson@wil-me.com. The website is www.wil-me.com.

JULY/AUGUST 2014 59

UNWIND

An honest approach High standards lead to great achievements. S I Mustafa is a veteran in his field. CEO of Saudi’s most successful company, Almajdouie, he shares his life’s philosophies and personal mantra for success Which school and university did you go to?

I began studying at home from the age of five. Two years later, a school tested me and admitted me into Grade 2. Since I was only seven, the authorities put me in Grade 1. My uncle didn’t like this so he admitted me to another school.

One year on, I topped the class with 95 per cent marks. The school decided to double promote me to Grade 4 instead of Grade 3. However, my father wanted me to be promoted to Grade 5. He then admitted me to yet another school in Grade 5. This was not good decision, because my classmates were much older than me and I had a hard time. I completed high school from here.

After high school, I completed my inter-commerce (Grade 11 and 12) as a private student in just three months.

I came in second unfortunately, just 11 marks short of first division. I then graduated from Islamia College in Karachi as an evening student and completed by B.Comm. from University of Karachi and later did my Masters in Economics as a private student from the same university.

entrepreneurial skills. Now-a-days, schools don’t even teach manners or social skills.

What was your first job?

My first job was as a salesman at a furniture store. It was a strenuous 14-hour work day and my salary was only Rs. 40. My father got me to leave that. Then I apprenticed at a Battery Manufacturing place before joining a Freight Forwarding company.

What do you think is most important for being an effective manager?

Fair treatment and knowledge of the work.

What do they not teach you in school?

School does not teach you to think outside the box, nor leadership or

60 JULY/AUGUST 2014

Who is your role model? Why? My role model is my mother. She taught me manners, to live life honestly and to work hard.

What is your leadership style?

I believe in conveying my message clearly and ensuring people understand my thoughts. At the same time, I give everyone a chance to share their opinion.

My approach is friendly, yet strict when it comes to achieving targets and goals. I support my team by coaching them, sharing my experiences with them and guiding them to achieve. I treat my team as equals. I support motivated, hard working people. Not otherwise.

How well do you handle stress?

What is your fool proof method of de-stressing?

Despite circumstances, I remain calm. This gives me a chance to think peacefully. In the last 37 years, I’ve been stressed only three or four times.

In stressful situations, if I’m at work, I write down the facts and figure out the correct way to respond.

Writing reduces pressure. If I’m home, I prostrate to God or pray till I’m fine again.

What do you find encouraging?

Life itself is encouraging. I get encouraged when there is a problem and I have to find a solution. I get encouraged if I achieve something I intend to do. My grandchildren are an inspiration for me. They make me feel young. I get encouraged when I help someone in need. Sometimes, when I can’t help someone, I listen to their problems and suggest solutions.

Usually just talking with someone troubled and comforting him is a temporary relief from the problem.

How do you spend your free time?

Learning about different religions, learning about Islamic values, geography and history, playing with my grandchildren, spending time with my wife and children.

What is at the top of your agenda right now?

My main agenda is to identify, train and nurture someone to take my position in the company whenever I decide to leave to ensure a smooth transition. I have to find at least three such people!

Also I want my children to develop their own businesses successfully.

On a personal level, I want to get involved in social activities, where I can help people with my own hands besides providing financial support.

I wish to establish a school where I can offer students the most advanced education hand in hand with complete Islamic religious knowledge.

So he/she graduates as an Engineer/ Doctor and a religious Shaikh; a student with religious and worldly knowledge and tolerance of all parallel beliefs, in other words, an excellent human being.

Fully Automated multi-temperature and multi-user 3PL logistics solution

of high bay storage facility of fully automated frozen (0 to -30 degrees) pallet positions with state of the art crane & conveyor system

pallet positions of standard racking controlled at +25 degrees for general cargo of mezzanine storage or added value area within the facility metric tons of Bulk Stack

of rentable office area to customers that use the facility INL is a Third Party Logistics Provider (3pl) focusing on food service solutions to the end customer, it has a freight department and custom broker to assist in clearing and delivering shipments to the market. Located at Dubai World Central (DWC) with easy access to road, sea and air ports.

Plots W5, W6, W7 Dubai Logistics City, DWC P.O. Box 3139, Dubai, U.A.E.

Telephone: +971 4 Fax: +971 4 8879195

8160600, +971 4 8160601 info@inl.ae

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