Issue No. 60 - 2014
Marketing Strategy:
In Shooting from the Hip
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Issue No. 60 - 2014
The Executive
Editor’s Letter
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when referring to hospitality as those industries which mostly “depend on the availability of leisure and disposable income”, we Executives have much to learn from our counterparts therein too. Organisations operating within such jurisdictions, or at least the more successful ones of them, work under tight operational conditions, with a heightened focus on customer experience. These two factors in turn lead to a provision of quality. And this above-average provision must be constant and sustainable. In those cases wherein a quality provision is made available from such sectors, one will note another constant - that of having a ‘soul’ within the said provision. We read that “(Phoenicia) has a style that makes you feel seduced, relaxed, charmed”; and that the Plaza Shopping Centre was, under Lionel Lapira’s leadership, the first brand which made shopping fun. Both these factors are greatly facilitated by an induction of the said soul. We learn in interviewing Plaza’s CEO that any founders’ original vision - the origins of the characteristics of any entity - should not be sacrificed at the altar of change; and via the Phoenicia Hotel’s GM Charles Azzopardi, that new owners of a market-leading entity, and the entity itself, can indeed adjust their visions to each others’ needs whilst simultaneously nurturing - as opposed to hindering - an entity’s much coveted lineage and style. Enjoy your read.
Jason Attard
editor@the-executive.biz
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Issue No. 60 - 2014
The Executive
CONTENTS
MARKETING
INTERVIEW 06.
18.
INTERVIEW 24.
38..
In Shooting from the Hip
Malcolm McDonald
Selling Shopping: an Interview with Plaza Centres’ CEO Lionel A. Lapira
a Hotel steeped in History: Interviewing Phoenicia Hotel’s GM Charles Azzopardi
COMPANY HIGHLIGHTS Palazzo Parisio
Ozone
HSBC
Information Systems Ltd
Reaching new heights beyond Malta’s shores
Transport and Logistics Awards
The perfect Backdrop for Corporate Events
pg. 17
pg. 15
pg. 13 Debono Commercials
IT Solutions that Suit your Business
Jean-Marc Bianchi Interior Designer
RS Gypsum BoardeX Exterior Sheathing
Francis J. Vassallo and Associates move to new premises
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Dynamism is Key
Commercial Vehicles and Warehouse Equipment pg. 35 www.the-executive.biz
pg. 37
pg. 43
pg. 45
pg. 47 The Executive 5
Issue No. 60 - 2014
The Executive
Marketing
Marketing Strategy in Shooting from the Hip Malcolm McDonald
In trying to restructure the organisation, and thus revive their companies’ fortunes, many directors resort to ‘Cowboy’ antics and shoot from the hip. This is definitely not the key to success, and is a syndrome which one might describe as ‘Anorexia Industrialosa’ – the excessive desire to be leaner and fitter. Like its human counterpart, it can lead to emaciation and eventually death. Malcolm McDonald, Emeritus Professor at Cranfield School of Management explains why boards must practice strategic thinking or face the consequences. 6 The Executive
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Issue No. 60 - 2014
The Executive
Marketing
I
t still hasn’t dawned on many directors that in the halcyon pre-recession days of the early years of the 21st century they were hardly managing at all – merely being dragged along by the momentum of growth and easy marketability. Or that habits developed then can be disastrous now. Take the directors of a construction group as an example. At a recent in-company workshop run by me, this company, in spite of its 65% growth in net profits, clearly hadn’t a clue how it had made its money. I asked one CEO, who had grown net profits by 185 per cent: • “Did your market grow? If so, by how much and how much of your profit growth came from this?” He didn’t know!
• “Did you grow your market share? If so, by how much and how much of your profit growth came from this?” He didn’t know ! • “Did you have any price increases last year? If so, how much of your profit growth came from this?” He didn’t know! • “Did you have any productivity improvements last year? If so, how much of your profit growth came from this?” He didn’t know! Do you get the picture? All people like this had to do over the past few years was to get out of bed in the morning to get rich. Looking at profit and loss accounts seems to be the principal re-occupation of many boards and few have any understanding of the causes of the financials. Indeed, in most boardrooms, www.the-executive.biz
the P and L Account has only ONE line for revenue, but scores of lines for costs. No prizes for guessing what these loonies spend their time on ! Take figures 1 and 2 (a real company, disguised for confidentiality). Even a cursory glance at figure 2 shows that Intertech are heading for disaster the moment there is a downturn. In the long run, any company can only make money by selling something to somebody and there has to be a reason why they would want to buy from them rather than from someone else offering something similar.
By asking a Board of Directors the two following simple questions which they cannot answer, one would immediately know what sort of a company they run:
“What are your key target markets in order of priority ?” (most can only list their PRODUCTS); and
“What are your company’s sources of differential advantage in each of these key target markets?”
It certainly makes you wonder what these so-called Directors spend their time discussing at Board meetings. Also, returning to the topic of the cost-cutting brigade, there is a massive body of evidence ( PIMS, IPA etc ) to show that cutting promotional expenditure during a downturn is disastrous. The IPA database is replete with examples of companies that took years to get back to pre-cut sales levels. Indeed, recently Chris Moore, Chief executive of Domino-s Pizza said “Eighteen years have passed since the last generation of managers have come up who have never been through a downturn and inevitably, they make mistakes. They stop advertising, reduce quality and service. They behave out of fear and their management is reactive. They try to cheat to get out of a tight spot - and usually that means the end of the road”. A new breed of chief executive, however, has begun to appreciate the need for strategic planning and
a pro-active vision that stretches beyond the end of the current financial year. Companies led by such managers are showing results palpably better than the old ‘reactive’ companies managed on a short-term philosophy. Such executives realise the need for a properly articulated vision of where their companies should be going, and for business plans to identify and develop their distinctive competence in the marketplace. Where this fails to happen, plans tend to be developed from a purely financial base, extrapolating from current situations: they are about as skilled a method of navigation as a sailor steering by the wake in choppy waters. Since most operational managers prefer selling the products they find easiest to sell to customers who offer the least line of resistance, this approach is tantamount to extrapolating the firm’s own inefficiencies. The Executive 7
Issue No. 60 - 2014
The Executive
Marketing Strategy - in Shooting from the Hip
Figure 1. Inter-Tech’s Five Year Performance
Performance (£million)
Base Year
1
2
3
4
5
Sales Revenue - Cost of goods sold
£254 135
£293 152
£318 167
£387 201
£431 224
£454 236
Gross Contribution - Manufacturing overhead - Marketing & Sales - Research & Development
£119 48 18 22
£141 58 23 23
£151 63 24 23
£186 82 26 25
£207 90 27 24
£218 95 28 24
Net Profit
£16
£22
£26
£37
£50
£55
Return on Sales (%)
6.3%
7.5%
8.2%
9.6%
Assets Assets (% of sales)
£141 56%
£162 55%
£167 53%
£194 50%
Return on Assets (%)
11.3%
11.6% 12.1% £205 48%
£206 45%
“
Even a cursory glance at figure 2 shows that Intertech are heading for disaster the moment there is a downturn.
”
13.5% 15.6% 19.1% 24.4% 26.7%
Figure 2. Inter-Tech’s 5 Year Market-Based Performance
Performance (£million)
Base Year
1
2
3
4
5
Market Growth
18.3%
23.4% 17.6% 34.4% 24.0% 17.9%
InterTech Sales Growth (%) Market Share(%)
12.8% 20.3%
17.4% 11.2% 27.1% 16.5% 10.9% 19.1% 18.4% 17.1% 16.3% 14.9%
Customer Retention (%) New Customers (%) % Dissatisfied Customers
88.2% 11.7% 13.6%
87.1% 85.0% 82.2% 80.9% 80.0% 12.9% 14.9% 24.1% 22.5% 29.2% 14.3% 16.1% 17.3% 18.9% 19.6%
Relative Product Quality Relative Service Quality Relative New Product Sales
+10% +0% +8%
It is easy to understand why companies can prefer this soft option. Many strategic planning departments, bulging with highly paid management scientists, brainstormed out their brilliant plans at a comfortable distance from the ‘coal face’ and the real world of operational managers. Recession exposes this kind of planning as the farce it always had been. The reaction in many boards is to fall back on tried and tested ‘Action man’ methods: strategic planning is out and the hobnailboot brigade are back, at least for a time. www.the-executive.biz
+8% +0% +8%
+5% -20% +7%
The new, emerging culture places much greater emphasis on close scanning of the external market environment, the early identification of forces emanating from it, and on developing appropriate responses. The difference this time round is that all levels of management are involved. It is not difficult to spot those companies which have failed to adopt the new strategic orientation; They are the ones which reorganise with monotonous regularity because they don’t know what else to do.
+3% -3% +5%
+1% -5% +1%
0% -8% -4%
This preoccupation with organisational structure is likely to be fatal in many cases. This is so because there isn’t the same slack in the system as there was in recent years. Strategy before structure Only when a company has developed a strategy towards its market place should its organisational structure even by considered – and then it should be designed so as to reflect its strategic thrust into the external market. So, strategy before structure should be the basic orientation. The Executive 9
Issue No. 60 - 2014
The Executive There are three distinct yet interdependent stages involved in developing a strategic capability in an organisation. These are:• Establish a disciplined framework (or logic) for undertaking the planning process; • Underpin this framework with a meaningful marketing intelligence function; • Undertake the necessary steps inside the organisation to convert the paper plans into propositions capable of action. When this behaviour is being achieved on a consistent basis, then a new culture has been established. To summarise, the main themes emerging from the better companies are:
Marketing Strategy - in Shooting from the Hip
The latter ones, still enjoying growth, must beware. It was only a few months ago that the then breed of “whizz kids “ were milking dry the fruits of the brilliant endeavours of past generations of entrepreneurs. Rationality to them meant only short term results and profits on a product-byproduct basis and if this meant raising the price or deleting the product, who cared as long as the end of year profit came out right ? Regard for competitive position, market share, promotion, customer franchise, R&D and the like all seemed irrelevant in times of high growth. It is this approach more than any other in the name of rationality and prudent management which has led to economic decline. There are three distinct yet interdependent stages in developing a strategic capability in an organisation which, when overlooked, are bound to cause strategic failure.
• acceptance of the need for a strategic orientation among key executives • a growing understanding of how to embed the new orientation into the corporate culture We discern three company types:
Professor Malcolm McDonald MA(Oxon) MSc PhD DLitt DSc Emeritus Professor, Cranfield University School of Management, was recently cited as
1. The more enlightened companies which are adopting these approaches and which are getting better faster and faster;
one of the top marketing gurus in the world, along with Philip Kotler and
2. Those which have not made the shift and are losing ground, a trend which will grow as the environment becomes even more hostile;
Director. Formerly Marketing Director of Canada Dry, he is Chairman of six
3. Those few which appear to be still healthy and which eschew strategic approaches as unnecessary and undesirable. www.the-executive.biz
Michael Porter and, has been named as one of the top ten consultants in the UK. He is now Emeritus Professor at Cranfield University School of Management where, until recently, he was Professor of Marketing and Deputy
companies and works with many of the operating boards of the world’s biggest multinationals on every continent. He is the author of over 40 books, many of which have been translated into several foreign languages and has published hundreds of articles and papers. Malcolm continues to research and teach at Cranfield and other universities around the world, in addition to speaking engagements, visiting lectures, and consultancy work. The Chartered Institute of Marketing’s Malta branch (CIM Malta), who has bridged the illustrious professor with the journal, has hosted Malcolm McDonald for a second time in Malta earlier in the year with two successful events. Malcolm may be contacted through CIM Malta at cimmalta@cim.co.uk The Executive 11
Issue No. 60 - 2014
The Executive
Company Highlight: Palazzo Parisio
Palazzo Parisio:
the Perfect Backdrop for Corporate Events Located in the heart of picturesque Naxxar, this stately home is a place of wonder that begs to be explored. On your visit you will discover the intricate nuances of Malta’s historic nobility and their enchanting way of life. Touring this stately home offers great insight and sparks the imagination – whether you find yourself seeking inspiration from the grand Ballroom, the detailed Family Chapel or the fabulous walled Gardens and Orangery, you’ll find it.
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in a dynamic location which can be meticulously adapted to their specific needs.
This 18th century palace, located in the heart of Naxxar, was built by the Portuguese grandmaster Manoel de Vilhena, who aspired to replicate the opulence and grandeur of European palaces like Versailles. His vision was fulfilled by the Marquis Giuseppe Scicluna, who converted the palace into a magnificent winter residence for his family. Nowadays, Baroness Scicluna and her daughter have opened the doors of Palazzo Parisio to corporations seeking to organise their events
Whatever your corporate event needs, every individual on the Palazzo Parisio team is committed to make your organisation’s vision a reality and ensuring that you and your guests enjoy a memorable experience.
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Palazzo Parisio is available for any type of event thanks to its professional Banqueting & Events operation and its own inhouse catering facility that has been involved in a number of successful corporate functions.
For further information about Palazzo Parisio kindly contact us: Palazzo Parisio, Victory Square, Naxxar, Malta Tel: 00356 21412461 | Email: info@palazzoparisio.com The Executive 13
Issue No. 60 - 2014
Company Highlight: Ozone Ltd
The Executive
reaches new heights beyond Malta’s shores Ozone has developed into one of the foremost and fastest growing communication and ICT providers in Malta. Only recently the company has announced its expansion overseas, namely in Italy, Austria, Holland and Asia, launching its very own developed application and platforms.
T
he Company has managed to penetrate many business organisations, standing by the company’s philosophy of offering customers a simple solution for their networking, IT and telephony needs, thus ensuring that each customer receives the best possible solution for their respective business.
by the end of the year. The completed first phase consisting of 10 cabinets, has enhanced Ozone’s data platform which now offers Co-location services, backups and cloud services. The company will also soon be introducing its Ozone Total IT Solution consisting of Ozone’s VDI for SME’s.
Over the past years, Ozone has invested heavily in its proprietary broadband wireless network that reaches 95% of coverage in Malta, Gozo and Comino. In addition, it has partnered up with local operators of fiber network, through which Ozone is able to provide IP communication services such as voice and data. Furthermore, in support of Ozone’s voice platforms, come the Cloud based and hosted PBX solutions with over 10,000 extensions installed in only 3 years.
Ozone also operates a successful metropolitan WIFI network with thousands of access points installed to-date. The concept was originally designed for the tourism market making it possible to purchase WIFI within touristic areas and use it all over the islands. In the coming months Ozone will be upgrading this network with the latest technologies in Wi-Fi Spectrum as well as launching a new brand which will consist of a local consumer platform offering data, mobility, information, gaming and eventually also TV. The SMS marketing solution offered by Ozone was also a great success in the past few years. With its ever growing client base, Ozone is proud to have become a leader in this field.
Another service in the Ozone range is Ozone Voice - a premium voice service that allows users to maximise the capability of their IP phone system investment. Not only does this enable users to benefit from the increased functionality and seamless integration of their existing equipment, but they will also benefit from a highly scalable and cost effective solution. Ozone’s SIP trunking replaces legacy ISDN and analogue lines and starts users on the converged services journey that enables access to ‘cloud-based’ collaboration, communication and social media services that older technologies are unable to deliver. 2014 is set to be another successful year for Ozone announcing the development of a new data centre which is set to be finalised www.the-executive.biz
Ozone has recently also partnered up with Samsung as the frontend suppliers for their business products in the hospitality sector. The Company is currently offering the full range of products which range from interactive hospitality LED’s, Lynk Sinc and Lynk Reach Management software. In the first quarter of 2014 alone, Ozone installed over 2000 rooms. Ozone’s competitiveness lies within the technology they use because through it, the company is able to provide multiple voice circuits, anywhere in the world, at very low prices. The Executive 15
Issue No. 60 - 2014
Company Highlight: HSBC
The Executive
Malta to hold Transport & Logistics Awards with HSBC Malta’s support HSBC Malta is the main sponsor of the TransLog 2014 Awards. Seen here are HSBC Malta’s Michel Cordina and Director of SSM Group Alex Borg, the Award organisers
A
pplications are open for the first Transport & Logistics Awards, organised with HSBC Bank Malta’s support, to recognise outstanding achievements of transport and logistics companies and individuals operating in these sectors in Malta.
“For the first time in Malta, the TransLog Awards will be recognising excellence in the transport, logistics and supply chain industries, all crucial sectors for Malta’s economic growth and providing employment for well over 25,000 persons,” said SSM Group Director Alex Borg, the organisers of the awards. “These Awards will further raise Malta’s profile as a centre for transport and logistics, while being an excellent networking opportunity, not to be missed by active industry members,” Mr Borg said. The Award categories are based on international benchmarks and values to recognise industry excellence in 12 key areas. Interested companies are invited to write to: info@ssmgroup.org. Participation in the Awards is free of charge. HSBC Malta’s Head of Commercial Banking Michel Cordina said: “These awards have our full support as they provide a deserved recognition to a vital sector in Malta where we can see growth potential in the future. This prestigious event helps create awareness and stimulate this important industry in Malta and the Mediterranean region. As such, the TransLog Awards complewww.the-executive.biz
ment our own initiatives to support growth in Malta’s potential to become a logistics hub This initiative forms part of the Malta Trade for Growth Fund where we dedicated €50 million towards stimulating international trade.” “Going global is increasingly critical for Maltese companies if they are to remain competitive. With its global connections and expertise, HSBC is uniquely positioned to help companies in Malta achieve success on the global level,” said Mr Cordina. A supply chain is the journey of a product or raw material from its source to the consumer or end-user. Every item on the market comes to the consumer via a supply chain. Logistics is that part of the supply chain process that plans, implements, and controls the efficient, effective flow and storage of goods, services, and related information from the point of origin to the point of consumption in order to meet customers’ requirements. A good transport system in logistics activities could provide better logistics efficiency, reduce operational costs, and promote service quality. A well-operated logistics system could increase the competitiveness of both government and enterprises, an important factor that is even more essential in the case of an island economy. The awards will be held during a presentation ceremony on Friday 10th October 2014. More information about the TransLog Awards is available at www.translogawards.com or on 2123 1015. The Executive 17
Issue No. 60 - 2014
Q&A: Interview with an Executive - Lionel Lapira
The Executive
Selling Shopping: an Interview with Plaza Centres’ CEO Lionel A. Lapira Sitting down with Lionel A. Lapira, CEO of Plaza Centres plc for the past nine years, reveals a man who is respectful of the rich history of the Plaza. This knowledge provides him with the roots from which he can think ahead and anticipate future solutions for future challenges that Plaza and the retail industry in Malta will face, without losing touch with the founding principles of the company. He begins the interview by explaining that Plaza was already a landmark in the Maltese economy long before he joined the company in 1994. In fact, Plaza began life as a popular cinema in the area, however it wasn’t spared from closing its doors due the rapid decline of cinemagoers following the boom of television sets and the introduction of video on the islands. Always forward-looking, the directors of Plaza didn’t let this setback faze them and they envisioned exactly where the opportunities of the future lay in terms of their core business. The premises were developed into a shopping centre that aimed to bring ‘the best names under one roof’. Fast-forward 20 years after Mr Lapira joined the company, and that promise seems to have been more than fulfilled. However, like the cinema industry before it, the retail business is facing growing competition from an easier and more convenient way for consumers to make purchases: online shopping.
L
ionel Lapira is acutely aware that the retail business has to keep pace with the changes of modern world; bricks-and-mortar outlets have to respond effectively to the changes in consumer behaviour. As CEO of one of Malta’s most recognisable offline retail brands, Lionel acknowledges that the increase in popularity of e-shopping has definitely impacted on the way Plaza is trying to attract customers.
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He doesn’t mince his words about the effects of internet shopping and most of his efforts in recent years were addressed towards improving Plaza’s offering to its customers. In many ways, Lionel and his colleagues at the head of Plaza have been at the forefront of the changing face of physical retail here in Malta. In fact, Plaza was the first brand that sought to provide its customers with more than just the promise of many outlets where to shop from; it made shopping fun. The Executive 19
Issue No. 60 - 2014
The Executive This transition, from product-marketing to experience-marketing, is at the cornerstone of offline retailers efforts to step up their game and compete more effectively against the digital marketplace. It has become increasingly obvious that busy customers won’t leave the comfort of their homes to buy a product they can easily purchase online. Given the choice, customers – barring those extremely loyal towards a particular brand – will always adopt the easiest course of action when it comes to spending their money. Under Mr Lapira’s leadership, Plaza’s management did not try to fight this inevitable, some would say natural, change in customers’ habits. Instead, Plaza underwent several phases of expansion that saw it evolve and position itself differently in the market, turning its focus on the entertainment aspect of shopping. Lionel admits that getting his partners on board with his vision took some convincing. The expansion programme actually took off four years after Lionel first fielded the idea, but the move set the ball rolling and introduced 21st century retail methods in Plaza, and in Malta. Lionel is quick to point out that expanding Plaza’s offering didn’t come at the expense of its original vision. In explaining the changes Plaza made to adapt to the dynamic marketplace it is doing business in, Lionel emphasises a sense of continuity in the company’s operations. Changing tactics without trading principles The changes he and his partners brought about were firmly based on the principles of their founding forefathers, who envisaged Plaza as a place which offers wide choice and convenience to customers from a variety of high-quality retailers. The ‘best names under one roof ’ promise was the original inspiration that launched Plaza in the local retail scene, and this promise continues to guide the decisions made by the company’s management to this day. Rather than changing track completely, Plaza’s expansion saw it elaborating further its core concept, complementing it with a fun-filled and relaxing experience which cannot be replicated online. Plaza’s positioning of its brand now combines retail with entertainment, but in a way that doesn’t dilute or subvert the foundational premises of high-quality retail choices, excellent customer service and good prices. www.the-executive.biz
Interview with an Executive: Lionel Lapira
The expansion programme yielded positive results to the brand, which saw strong growth in revenues during the whole process. Notwithstanding the presence of several key competitors in the Sliema and St Julian’s area, not to mention the shopping scene in Valletta, Plaza has retained a positive outlook towards its position in the industry. Lionel doesn’t omit to mention the fact that soon after Plaza started providing customers’ a more engaging shopping experience, with prizes, incentives and children activities, competitors followed suit. Understandably, Lionel is proud of the fact that Plaza has been a trend-setter in the retail arena, a position it has enjoyed since it opened its doors back in December 1993. The company has grown a lot over the years and added more retail space to offer customers a wider choice of shopping outlets. However, a business the size of Plaza does find challenges in trying to reinvent itself for modern times. As a large company, complexity and bureaucracy tends to get into the way of progress and Plaza had to contend with its fair share of difficulties along the way. Soon after he joined the business as CEO, Lionel noticed that the company required a lot of streamlining in order to make it more efficient and cost-effective to run. He didn’t shirk from what some would describe as the unpleasant aspects of management, and promptly set in motion the process to optimise the company’s complement of staff and reducing costs substantially. Although nowadays Plaza employs more people than it did back in the day, Lionel’s decision helped the company gain more traction in its ability to keep up with the dynamic forces of the market and respond more effectively to the changing tides of the retail industry. Leveraging the fun-factor in shopping Plaza’s financial performance throughout the years have ensured that it remained a key player in the industry, despite competing with at least 20 other shopping centres which share its same format. Lionel believes that what sets Plaza apart is its willingness to provide customers with added value on their shopping experience. By choosing to leverage another aspect of consumer behaviour: their desire for memorable experiences with a feelgood factor, rather than competing against internet retailers on price or choice (both impossible for an offline enterprise), Plaza found a way to mitigate the rapid encroachment of the internet on physical retail businesses. The Executive 21
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Issue No. 60 - 2014
The Executive Competing against online shopping by offering customers a fun-filled atmosphere and a unique shopping experience, as well as personal attention, was a sensible strategy that has served Plaza well. Lionel acknowledges that Plaza didn’t emerge unscathed from the rise of online shopping, the company did register a decreased footfall in the premises over the years, however he is convinced that the strategy they adopted has done much to lessen the full impact of the adverse effects of online shopping on physical retail, and helped Plaza maintain healthy profits throughout the years. One particular point of pride for Mr Lapira is the fact that Plaza doesn’t only lead the retail industry in terms of innovation and responsiveness to market changes, it also sets an example in terms of customer care. Lionel explains that customer care extends well beyond helpful and courteous service at the point of sale. He views customer care from a holistic viewpoint that also embraces health and safety on the premises. He goes into great detail in explaining the reasons that make Plaza one of the leading retail brands where it comes to health and safety regulation compliance, stating that all the employees of the company, from the management downwards, have to qualified first aiders.
Interview with an Executive: Lionel Lapira
Lionel is very mindful of the importance of the image that a brand projects to its customers. In his case, he emphasises that Plaza is committed towards delivering not only choice and convenience to its customers, but also an enjoyable experience while on the premises. This is why he believes that it is critical for a business to carefully analyse and understand the particular needs of its clients, and use that information to make customer-centric choices. Modern retail operators have to move on from traditional methods of marketing which simply involved placing an advert on a magazine, and instead start focusing on creating an ongoing conversation with customers to find out better ways to serve them a shopping experience tailored to their expectations. The threat of online shopping In the past, before the advent of the internet and social media, retail in Malta took a more conservative approach towards marketing: preferring to emphasise products over experience. A shop was as good as the variety of products it stocks, and the prices it offered. This retail environment dictated that the best approach to win customers was by going large. Supermarkets gobbled up corner shops, and premises like Plaza offered the same kind of one-
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The Executive 23
Issue No. 60 - 2014
The Executive
Interview with an Executive: Lionel Lapira
stop-shop opportunity for customers looking to shop for clothing, accessories and books under one roof. The rise of online shopping brought about a second shake-up to the retail industry. No longer could physical retailers depend on variety of choice and price as their only selling proposition to their customers. The internet took care to bring all that directly into their customers’ homes. The market had changed considerably and for physical retailers to keep up they had to adapt to a new way of doing business. Online shopping has given rise to a globalised marketplace that has intensely localised effects. It opened the floodgates to countless other competitors that retailers in Malta, even large ones like Plaza, had to contend with, and that were snatching customers away at a fast rate. Even in a conservative marketplace like Malta, where consumers are more wary of shifting their spending habits, started finding many of the added convenience that online shopping offered. According to Mr Lapira, for retailers to compete successfully they had to re-think their pricing, positioning and branding, in a way that adapts to this situation. Lionel says that Plaza anticipated this shift and took the steps necessary to address it head on. As already mentioned, the company began competing on a point which the internet simply cannot match: human interaction. By emphasising customer care and enjoyment during the shopping experience, Plaza managed to maintain its relevance in a digital world and continue attracting customers. Moving with the times Lionel reminisces about a meeting he had in the United States, when e-shopping was still at its beginnings. He vividly recalls the participants at that meeting, people representing the retail industry, complaining loudly about the unfair advantage that online stores had and how easily online outlets were undercutting physical stores’ marketing efforts now that the customer had the comfort of purchasing online at home with no strings attached. Lionel shares that to him that episode was very telling of the likely transformation of the retail industry and it set in motion the plans to refurbish Plaza’s image in order to be better prepared to face the challenges of customers migrating to digital. Although he was intent on building a successful future for Plaza, Lionel wouldn’t betray the principles on which the company was founded; instead he sought to upgrade them in accordance with the times. This launched the sequence of three expansion phases which saw Plaza grow bigger and stronger, thanks in no small part to adopting an innovative marketing approach for its offering. The main challenge to the retail industry in the very early years was to successfully persuade the customers www.the-executive.biz
of the importance of brick-and mortar-shopping. This could be achieved by emphasising the feel-good factor which is inherent in venturing outside of one’s home and in an environment which provides comfort and enjoyment. This factor determined the change in marketing techniques; forgoing traditional advertising messages which were product-centric, to actually marketing a shopping experience which couldn’t be replicated on a computer. Lionel explains that this new shopping experience had to involve entertainment: an emphasis of what he calls ‘the feel-good factor’, linking shopping every more strongly to relaxation rather than a chore and offering additional incentives to customers like prizes and play areas for children.
By emphasising on customer care and on enjoyment during the shopping experience, Plaza began competing on a point which the internet simply cannot match: human interaction.
Mr Lapira oversaw the expansion of Plaza through three phases which formed part of his long-term business plan. The first expansion programme was carried out in 2009 and this was followed by two more programmes which ensured that the Plaza maintained a fresh and relevant brand image, as well as fine-tuning its business practices to adapt better to the changing market and compete more effectively. Continuous progress in a dynamic marketplace Even though Lionel Lapira is obviously very satisfied with the great strides forward done by Plaza, he says that the company management team refuses to sit on its laurels and let itself be swept away by the next big revolution in retail. He and his partners keep a very close eye on what is happening overseas and locally, and this careful analysis of the situation ensures that the company always stays on the ball and constantly adjusts its business operations as required. Lionel says that the long history of Plaza gives the group an undisputed advantage in being able to analyse business patterns and consumer movements which they are able to capitalise upon. He adds that this information has enabled the company to: develop its core competences, invest in The Executive 25
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Issue No. 60 - 2014
The Executive
Interview with an Executive: Lionel Lapira
proceedings for the authorities and the company’s advisors to consult.
equipping its employees with the skills they need, upgrade the location, fine-tune the strategies, and even develop customised IT systems which support speedy delivery of service whilst ensuring quality. These factors have given an edge to Plaza which, despite its strong financial position, is actually the smallest shopping centre in the area where it is located. This situation means that the company has to always be on its toes in order to face its main competitors in the Sliema/St Julian’s area, even though it is located in one of Malta’s prime commercial areas. And one of the ways by which Plaza has held up to the competition was by embarking on an aggressive costcutting strategy, whilst also outsourcing some of its operations to external contractors.
Value-added shopping Mr Lapira doesn’t believe that the retail industry can ever decline. Throughout the history of retail there have always been shopping centres; traders have always been there to provide their goods and there have always been customers. In the past, it was open air markets; the first enclosed shopping area was in Turkey and it still exists to this day. The first major shopping malls as we know them today were built in the 1950s, in the United States, where retail-outlet malls became the main place where consumers congregated to make all their purchases under one roof.
This has had a substantial impact on the bottom line. However, Lionel realised that, at a certain point, growing the business had to become an inside job, so he started recruiting people to fill posts in each department and ensure that their training reflects exactly the direction to which Plaza was heading. Nowadays, the company manages everything inhouse, meaning that management calls the shots on every aspect of its operations. Lionel confides that they document every scenario, which allows greater transparency and accountability of the company’s
The internet has changed the face of retailing irrevocably and business owners had to learn how to adapt their industry in order to co-exist with it. Lionel says that one of the most important lessons was realising the importance of getting in touch with the potential customer and listen to their needs. He insists that business owners bear in mind the importance of the customer, because without them there is no business. Lionel summarises this nicely when he says that survival in the modern retail environment depends on the ability of each individual
www.the-executive.biz
The Executive 27
There may be many grand places, but there is only one true Palazzo… Visit Palazzo Parisio in Naxxar. A Unique 19th Century Maltese Aristocrat’s Private Residence & Gardens with a delightful Garden Restaurant, Luna.
House & Garden Visits: Daily from 9am until 5pm
Luna The Restaurant - Tea Room - Boutique Gifts - Audio Guided Tours 2 9 , V I C T O R Y S Q U A R E , N A X X A R - M A L T A • W W W . PA L A Z Z O PA R I S I O . C O M
Issue No. 60 - 2014
The Executive
Interview with an Executive: Lionel Lapira
Insights derived from Lionel’s experiences:
•
•
Customers – barring those extremely loyal towards a particular brand – will always adopt the easiest course of action when it comes to spending their money. It is the market which must adapt to the customer, and not the customer to the market. Exceptions to this could be those enjoying monopolistic relations with their buyers.
•
It is typical for the partners, or shareholders’ representatives, to resist change. A convinced Executive needs to strategise and work on getting them to embrace it.
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Change should not come at the expense of the original vision. And in explaining the changes one should emphasise a sense of continuity in the company’s operations.
•
Change can nonetheless remain based upon the principles of the founders. Changing tactics without trading principles is thus urged.
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Being truly concerned about customer care perforce necessitates the embracing of solid health and safety principles on the premises.
•
It is critical for a business to carefully analyse and understand the particular needs of its clients, and use that information to make customer-centric choices.
outlet is at meeting its customer’s individual needs and expectations. One way Plaza adds value to individual customers is by providing its tenants the opportunity of forming part of a reputable organisation with 20 years’ experience in the retail industry that has changed and adapted according to the market. By collaborating closely with their tenants, shopping centres like the Plaza can offer an unparalleled www.the-executive.biz
•
The new shopping experience has to involve entertainment: an emphasis of ‘the feel-good factor’,
•
Organisations must always be on the ball and constantly adjust its business operations as required.
•
The analysis of business patterns and consumer movements should always be effected and capitalised upon.
•
Organisations must develop their core competences, invest in equipping employees with the skills they need, upgrade their location, fine-tune their strategies, and even develop customised IT systems which support speedy delivery of service whilst ensuring quality.
•
Outsourcing non-core operations to external contractors who share the contractor’s work methodologies can indeed have a beneficial and substantial impact on the bottom line.
•
Staff training must reflect exactly the direction towards which the organisation is heading.
•
By documenting every scenario, greater transparency and accountability of the company’s proceedings for the authorities and the company’s advisors happens.
•
The internet has changed the face of retailing irrevocably and business owners had to learn how to adapt their industry in order to co-exist with it. But the retail industry cannot ever decline.
shopping experience to their customers by providing them with an enjoyable experience that benefits all the stakeholders in the business. Mr Lapira readily admits that the Plaza has learnt a lot during its 20 years’ experience, especially from mistakes committed in the past. Learning from these mistakes was a crucial part of Plaza’s growth and he is certain that in the final analysis the advantages from the progress made are there to be seen, and benefitted, by all involved. The Executive 29
All new RAV4, the fun starts at €32,095 Standard Features include: 17” alloys; AC; Radio CD USB/AUX/MP3 system; Bluetooth connectivity; Front fog lights; 7 Airbags; Vehicle Stability Control; ABS; Electronic Brake-force Distribution; Follow Me Home Headlamps; Rear Privacy Glass; And much more
For more information contact: Michael Debono Limited Mdina Road, Żebbuġ Tel: 2269 4000 sales@toyota.com.mt www.toyota.com.mt
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Issue No. 60 - 2014
Company Highlight: Information Systems Ltd
The Executive Operating since 1994, Information Systems Limited has developed into one of Malta’s leading software houses and has established a strong international presence in countries across Europe, Middle East and North Africa. Serving clients in diverse industries, ISL’s portfolio of products include ERP solutions, Automotive dealer management systems, elearning, and bespoke software solutions. ISL is a provider of comprehensive, cost-effective and innovative business software solutions that meet every business need and which are backed up by a unique commitment to customer satisfaction.
IT Solutions that Suit your Business ISL has developed professional bespoke business solutions for a variety of satisfied customers in diverse industries, some of them industry leaders in their own right. This has enabled ISL to broaden their knowledge and to gain a wealth of experience & expertise. The Company’s strength lies in the ability to understand customer requirements and to tailor its products to the customer’s specific business needs without compromising quality. www.the-executive.biz
The Executive 31
Entrusted with various projects for the past 18 years, with around 174,000 sq mtrs of waterproofing and 190,000 sq mtrs of flooring projects
completed in Malta & Gozo
liquid waterproofing Acrylflex RRC
AlasTomeriK® EMB
Factory roof Bulebel Ind Estate
Tamseal 10F
Private pool deck Mellieha
Factory roof Mriehel
Clear Liquid Membrane
Fast Curing Membrane
Private terrace Qawra
Mater Dei Hospital
Sirrender Wall Coating
Private wall Mellieha
Seamless Flooring Hammerflow
Hammerflow Mark2
Hangar Luqa
Foodstuffs warehouse Mosta
Peran STB
Industrial Kitchen Golden Sands
• Attractive • Durable • Flexible
Peran Self Levelling
Electronics factory Buelebel Ind Estate
Flowchem SP3 Dust proofer
Foodstuffs warehouse Lija
Flowfresh MF
Brewery Mriehel
• Easy Clean • Hygienic • Chemical Resistant
www.flockimage.com Find us on Facebook
593, Mosta Road, St Paul’s Bay Tel: 21572759/21573424/99572759 Fax: 21573424 email: info@flockimage.com
Issue No. 60 - 2014
The Executive
Information Systems Ltd
Products One of the most powerful, most comprehensive ERP packages on the market, Eyesel Business Suite (EBS) offers a host of features to suit the core requirements of any organisation. EBS is highly modular, scalable and customizable, allowing it to develop in synch with customers’ needs. Some of the sectors in which EBS has been implemented include : Import/Export, Wholesale/Retail, Insurance, Distribution, Financial services (Auditors, Accountants), Legal, Gaming, Transportation, Engineering, Electrical, Construction, Manufacturing, Hospitality, Pharmaceuticals and Food & Beverage. Both locally and overseas, ISL is very strong in the automotive sector with their DMS product called Autoline Dealer Management System. Autoline is a fully integrated dealer management system for the retail and commercial automotive industries, which brings dealers, manufacturers and importers together with its various modules that cover not only Vehicles and Finance, but also Parts, Warranties and Service. The system helps to streamline customer service operations with a noticeable improvement in speed and efficiency for both single and multi-franchise dealers with multiple locations and warehouses. ISL brings you the ISL Skillport Learning Management System from Skillsoft, global leaders in web-based Training. This elearning platform targets key competencies in the areas of IT skills, Desktop skills and Soft Business skills and provides today’s multi-generational workforce access to learning 24x7. The vast repertoire of assets includes videos, slideshows, simulations, TestPreps, eBooks, and 24x7 Mentoring with global experts, in addition to Knowledge Centres that include Practice Labs as well as live events such as webinars. Hosted on the cloud, this web-based platform needs no local installations on your PC’s, bringing with it efficiency, speed of skills-transfer as well as a reduction in costs of training. K8 is a fully integrated trading, distribution and financial management system with built-in flexibility, www.the-executive.biz
combining the benefits of a business-specific tailored solution and a standard packaged product. The K8 system provides a complete ERP solution for the distributive trades in the timber, building, electronic parts & goods and ceramics & tiles industries. It offers a comprehensive business management solution to help companies increase profit potential, improve efficiency, reduce cost, provide superior customer service and gain visibility and control across their businesses.
In terms of customised software development, ISL is wellpositioned and equipped to meet individual client needs. ISL have gained a reputation for the delivery of bespoke customised solutions on time, with the aim of ensuring that clients Our Mission achieve a fast return on investment Our mission is to provide the most and gain a competitive advantage. ISL comprehensive, cost effective and is aware that every company is unique innovative business software solutions in one way or another and that the key through a synergy of expertise to successful projects is to understand and knowledge, with a continuous fully the exact needs and expectations commitment to deliver the highest of a client at an early stage. A clear level of value to our customers and to segregation is made between clients’ provide a dynamic and challenging needs that can be satisfied through system configuration/parameterisation environment for all our employees. and needs that can be fulfilled only through customisation. With their team Built on Knowledge of experts, ISL is totally committed We know our business because we work to applying best industry practices to hand in hand in hand with our clients deliver best of breed solutions to their getting to know them, their business, esteemed clients. and their requirements. We know our business because we invest in top talent, with rigorous employment practices and a wide pool of skills. We know our business thanks to continuous skills development processes which keep us abreast of the latest technological developments. Future Focused The future is the main motivation and drive in our continuous pursuit of excellence. Recent happenings have demonstrated how quickly events can alter the global landscape. A sleek and efficient business model, combined with a focused determination to exploit opportunities makes us look to the future with excitement and optimism.
The Future ISL will be releasing further upgrades of existing products as well as introducing new products to an increasing number of customers in Malta. ISL will continue to strengthen its team of specialists through a recruitment drive both locally and internationally. Overseas clients have increased over the past three years, enabling the company to make deeper inroads into the Middle East and North Africa regions. Furthermore, ISL have been appointed by a leading UK company to take on all Sales, Support and Installation responsibilities for their product in the MENA region. Information Systems Limited 9/10 Melfar Buildings C De Brocktorff Street, Msida MSD1421, Malta Tel: (+356) 21315001 Fax: (+356) 21315008 FB: www.facebook.com/islmalta W: www.isl.com.mt The Executive 33
Issue No. 60 - 2014
The Executive
Company Highlight: Debono Commercials
Commercial Vehicles and Warehouse Equipment: by Debono Commercials
D
ebono Commercials is Michael Debono Ltd’s commercial vehicle and industrial equipment centre, and Malta’s only official representative for the commercial vehicle and industrial equipment division of the Toyota Group. We can offer you the solutions and expertise to take your business further. Our comprehensive range of products and services include the representation of Toyota commercial vehicles, Toyota forklifts, BT warehouse equipment, Hino trucks, Goupil electric utility vehicles and Fiorentini industrial floor cleaning machines.
Our after-sales service includes a Mobile Service Station where we will travel directly to your premises and repair your equipment onsite. You will find in our fully fledged premises our extensive range of products and services to cater for your company’s warehouse equipment and fleet vehicle needs. We are committed to conducting business in a fair and honest manner and aim to be recognized as the most respected and trusted commercial vehicles and material handling equipment partner in Malta.
The Debono Commercials division forms part of the Debono Group of Companies, for more information kindly visit our showroom situated in Mdina Road, Zebbug (next to the Toyota showroom), call on 22694000 or email: info@debonocommercials.com www.the-executive.biz
The Executive 35
TAKE THE NEXT STEP TAKE THE NEXT STEP TAKE THE NEXT STEP TAKE TAKE THE THE NEXT NEXT STEP STEP TAKE THE NEXT STEP TAKE THEFUTURE NEXT STEP TOWARDS YOUR CAREER. TOWARDS YOUR FUTURE CAREER. TOWARDS YOUR FUTURE CAREER. TOWARDS TOWARDS YOUR YOUR FUTURE FUTURE CAREER. CAREER. ENROLL ON ONE OF OUR ACADEMIC PROGRAMS TOWARDS YOUR FUTURE CAREER. TOWARDS YOUR FUTURE CAREER. ENROLL ONON ONE OFOF OUR ACADEMIC PROGRAMS ENROLL ONE OUR ACADEMIC PROGRAMS ENROLL ENROLL ONON ONE ONE OFOF OUR OUR ACADEMIC ACADEMIC PROGRAMS PROGRAMS ENROLL ON ONE OF OUR ACADEMIC PROGRAMS ENROLL ONE OUR ACADEMIC PROGRAMS ENROLL ONON ONE OFOF OUR ACADEMIC PROGRAMS
Domain Building, 102/104 Consstuuon Street, Mosta MST 9055. Malta Domain Building, 102/104 Consstuuon Street, Mosta MST 9055. Malta Domain Domain Building, Building, 102/104 102/104 Consstuuon Consstuuon Street, Street, Mosta Mosta MST MST 9055. 9055. Malta Malta Tel: +356 21Consstuuon 433 688, +356 2727 433 688 Tel: +356 21 433 688, +356 433 688 Domain Building, Building, 102/104 Consstuuon Street, Mosta MST 9055. Malta Domain 102/104 Street, Mosta MST 9055. Malta Domain Building, 102/104 Consstuuon Street, Mosta MST 9055. Malta Domain Building, 102/104 Consstuuon Street, Mosta MST 9055. Malta Tel: Tel: +356 +356 21 21 433 433 688, 688, +356 +356 2727 433 433 688 688 Skype: info.domaingroup Skype: info.domaingroup Tel: +356 21 433 688, +356 27 433 688 Tel: +356 21 433 688, +356 27 433 688 +356 21 433 688, +356 433 688 Tel:Tel: +356 21 433 688, +356 2727 433 688 Skype: Skype: info.domaingroup info.domaingroup Fax: +356 21 438 729 Fax: +356 21 438 729 Skype: info.domaingroup Skype: info.domaingroup Skype: info.domaingroup Skype: info.domaingroup Fax: Fax: +356 +356 2121 438 438 729 729 Email: info@domaingroup.com.mt Email: info@domaingroup.com.mt Fax: +356 21 438 729 Fax: +356 21 438 729 Fax: +356 438 729 Fax: +356 2121 438 729 Email: Email: info@domaingroup.com.mt info@domaingroup.com.mt Email: info@domaingroup.com.mt Email: info@domaingroup.com.mt Email: info@domaingroup.com.mt Email: info@domaingroup.com.mt
Issue No. 60 - 2014
Company Highlight: Jean-Marc Bianchi
The Executive
Jean-Marc Bianchi Interior Designer: FRANCIS J. VASSALLO and Associates move to new premises
When first approached by Mr. Francis Vassallo in view of his plan to re-locate his offices, his direct statement was that he did not require the services of an Architect but those of an Interior Designer. Apart from some minor structural alterations, which did need the attention of an architect, the task ahead was to carefully interpret the client’s request, and fulfil these requests on plan. Moreover, the plans had to incorporate the re-locating of the staff, from a labyrinth of offices spaces spread out within three separate buildings in Valletta, to an already existing unused commercial building in Qormi. This, no doubt, presented a Design challenge.
A
t planning stages, it was already established that the new premises allowed for an open-plan approach, which not only appealed to the Client, but also set the stage for this project. Having familiarised myself with these new premises, a major factor that ‘influenced’ the layout, was the vast amount of natural daylight that the building enjoyed, even on a cloudy day. The number of window apertures, both on the front, and at the rear of the building, was definitely a ‘breath of fresh air’, compared to the previous office location.
Enhance Business Performance The staff seems to perform better, and are more in unison with each other. The effect of transparency, due to the openness of the floor plan, yet offering a ‘private’ work space, created by the use of fixed clear glass panels, in strategic areas, allows for this.
Our Interiors ( and not just our homes ), should be designed and constructed with an appreciation of the importance of providing high quality interior environments for ALL users.
Individual offices were ‘personalised’ by the introduction of a colour preference. And why not ? As one may choose the colour of one’s vehicle, then why not select a colour that appeals to you, for you working environment, where ultimately, one spends most of the day there. The board room was no exception. It presents an aura of distinction, from the selection of the furniture, to the choice of the wall hangings, and portrays the elegance of the Client’s personality.
Planning an office is not merely about putting the desks in the right position, but obtaining the optimum use of space, and keeping in mind that it is humans, and not just machines, that will be operating from these spaces, and hence staff and employees are more often than not, satisfied and become even more productive if they are presented with, and work within a healthy and comfortable, and well lit environment.
An Interior Designer may create an image and an attractive working environment, however, emphasis has to be made on achieving results, and not just aesthetic ones. The role played here has to be in harmony, together with the client, and carried on right through the project, also amongst the individual tradesmen who, without them, the works could not be carried out and completed to the satisfaction of all users.
For more information Jean-Marc Bianchi may be contacted on 9949 7078 or via email jmdesign@go.net.mt www.the-executive.biz
The Executive 37
Issue No. 60 - 2014
Q&A: Interview with an Executive - Charles Azzopardi
The Executive
a Hotel steeped in History Some sites in a country go beyond the iconic, not just oozing style but forming part of history. Acquiring this status is far from easy but it is even harder to satisfy the expectations that people have of such a place. Running such a place must be an act of top anxiety but the Phoenicia Hotel’s GM makes everything seem easy as all moves like clockwork. The Executive meets up with Charles Azzopardi, the hotel’s affable head who tells us all about the hotel and its status and how he still manages to smile even when under unbelievable stress. Victor Calleja
T
he Phoenicia is steeped in history with a pedigree going far beyond many of the new kids on the block. For decades, it was the only five-star hotel in Malta, housed the major dignitaries who came to Malta and was the scene of the most memorable state dinners and weddings. For a long time Malta’s tourism meant the Phoenicia. It had dignity and grace and was designed to complement the entrance to the capital city. Azzopardi is very aware of the responsibility that was passed on to him from his predecessors. “It’s all thanks to teamwork,” Azzopardi tells me immediately. “I would be nothing if I didn’t have a great team behind me. The Phoenicia would be nothing too. And it isn’t just me and the team, it’s the owners too.” But, I ask Azzopardi, aren’t the owners new and just a hedge fund which usually looks at the bottom line and purchases to sell for a profit? He looks at me as if I have just insulted his closest friend. “Not exactly new,” he tells me. The new owners are Scottish and, in the year they have owned the Phoenicia, have already shown a willingness to invest in the property. “If it wasn’t longterm they wouldn’t do that. They also own other hotels www.the-executive.biz
so they are definitely not in Malta just for the killing. They have a real love and commitment to the property and our aim and their aim is the same - to put the Phoenicia even more on the top rung of quality in Malta, even when compared to properties abroad.” I ask Azzopardi if the hotel has changed its vision in any way to suit the owners—or if the position is the other way round. His answer is proof of how the new owners have taken on this commitment in a positive way—it seems both have changed their vision to accommodate the other. But the hotel has changed mainly to go up in their expectations and to seek even more value-plus guests. The Phoenicia is La Grande Dame of Malta’s hotels and remains a true classic. It has remained beautiful and classy, with a style that never dies and never goes out of fashion. Designed in the 1920s it has a style that makes you feel seduced, relaxed, charmed. But its evergreen style has been nurtured carefully, it has constantly been upgraded not just to keep it vibrant and with full amenities and mod cons but also to remain a few pegs higher than the rest. It moves with the times but always respects its lineage, its style. The Executive 39
Issue No. 60 - 2014
The Executive
Interview with an Executive: Charles Azzopardi
Insights derived from Charles’ experiences:
•
Charles Azzopardi believes that he and the Phoenicia are success stories because he has a good team behind him. Nothing works without a team in place.
•
According to Azzopardi the ethos of the hotel and that of the owners need to be in total synch for their mutual benefit. As long as quality and the vision remain of the highest standards, change to fit into the proper synergy is not just possible but fruitful.
•
Culture, and all that culture entails, is a great attraction and Azzopardi believes that by being part of cultural events the hotel can only benefit.
•
The history of the Phoenicia hotel is a grand one but, as Azzopardi explains, that history is no guarantee of today and tomorrow. One has to keep innovating, renovating and seeking new avenues to keep the hotel a reality in quality.
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The more culture there is in Malta and especially in the capital city the more desirable Malta becomes as a destination.
•
The more quality hotels and restaurants there are around the hotel and beyond the more the hotel will improve. Quality begets quality and today both the local and foreign client is more discerning and knowledgeable.
Talk of style leads into another area closely connected to La Grande Dame - culture. Walking around the hotel ballroom, you cannot help but be captivated by the art on display. The Edward Caruana Dinglis, which surely rank as some of Malta’s best ever scenes, if not the best, are some beautiful pieces there. The hotel has always hosted great names and now sponsors the Baroque Festival, the Arts Festival and the Jazz Festival. Working closely with Teatru Manoel, the hotel is also proactive in marketing these very important events in our cultural diary.
Business has changed and will continue to change. Till a few years ago the Phoenicia was the only hotel to house ambassadors who arrived to present their credentials to the President at his Palace in Valletta.
“We are just a few paces away from a beautiful, exciting capital city,” Azzopardi enthuses. You can feel Azzopardi’s passion - it’s not just because he is the hotel’s GM but more because he believes in all he sees around. “Boutique hotels, restaurants, cafés, are constantly opening in the capital,” he tells me. According to him, this will make “Valletta even more vibrant and more people will come to visit the island and we will obviously - as we already do - gain from all this interest.”
One adapts and moves with the times - in F&B for example the hotel was the first to start the Sunday Lunch Buffet. Today it has scrapped it, as its size does not allow for dishing out food in the quantities now expected and the ethos of the hotel does not quite fit with it. Some operators tend to think that it is all a question of pricing and making the most of any situation.
Azzopardi emphasises the need for quality. He believes that it is the best driver for better service, greater demand and stronger value-for-money rates. He believes that what we introduce has to exude quality and be sustainable - better start small and make it grow into a big attraction. This is what the festivals have done and this is how it should all be done - slowly, surely and based on quality. www.the-executive.biz
The business sector has changed completely. In the past nearly all major businesses had offices in Valletta and lunch breaks tended to be longer, more relaxed. Today offices have moved out of the capital and lunches are more businessy and quick. The hotel still caters for business lunches but in a different way.
The Phoenicia believes in quality and it stops there. Any trimming on quality is a non-starter, which is how reputations, both locally and internationally, are cherished, nurtured and admired. The amount of repeat guests is astonishing. Some have actually come back not just with their children but with their grandchildren. The Phoenicia offers a unique case history of how one is born grand and can, with the right people and the right attitude, remain grand. It is hard to beat - truly a grand hotel in all its aspects. The Executive 41
Issue No. 60 - 2014
The Executive
Company Highlight: BoardeX Firesafe by RS Gypsum
BoardeX Exterior Sheathing supplied by RS Gypsum
B
oardeX is an exterior sheathing board used to create exterior walls replacing cement boards, with its reinforced core against humidity and special orange fibreglass mats, and is the first European exterior sheathing board that contains gypsum following the USA standards. It is used as backerboard beneath all kinds of claddings (including metal claddings, PVC, wood siding and decorative
brick claddings) and prevents any growth of bacteria or mold thanks to its specially developed core. Any formation of mold or fungi is prevented, whether from condensation or from moisture in exterior walls exposed to extreme temperature changes. In fact, BoardeX can be applied in any kind of weather conditions, including the lowest to the highest temperatures.
RS Gypsum, Triq L-Gharram, Haz-Zebbug ZBG2863, Malta Tel.: (+356) 2180 5486; EMail: -info@rsgypsum.com www.the-executive.biz
The Executive 43
Issue No. 60 - 2014
The Executive
Company Highlight: Firesafe
Firesafe: your Partner for Fire and Safety
D
uring my 15 years as a London Fire Officer, I gained a varied and extensive experience in all fire related issues being in charge of a frontline appliance. In my last 2 years, I was involved in fire safety related work. After the fire service, I attained an advanced fire safety certification and I also have a level 4 qualification in fire risk assessment and auditing from the UK Fire Service College. This is currently the UK fire safety requirement and the highest accreditation. In Malta there is no legislation and enforcement authority at present. From experience, the responsible person in most establishments are unaware of the current fire safety requirements. A fire resulting in death or injury could result in liability where the requirements have not been met. Fines in the UK are reaching six figure sums for such liability. In 2006 The UK enacted the Regulatory Reform Act. This legislation combined all the old requirements such as ADB, British Standards and other legislations. This enactment also gave certain powers to the fire services to enforce the fire safety order. www.the-executive.biz
It is important to be proactive and not reactive. Do not wait for a fire to happen in your establishment or for enforcement to begin before you get your premises up to compliance. Risk assessments, staff training and evacuation plans need not cost the earth. I am a small company and therefore am able to keep my prices low but my experience and qualifications ensure you are getting a competent person giving you advice. Reading the news it is evident that the amount of fires being reported is on the increase. Arson is also on the increase. Don’t become a statistic. Act now and protect your premises from fire and yourself from liability. Call Firesafe, your partner for Fire and Safety. David Farrugia has been carrying out risk assessments, giving advice and training in hotels and businesses for over 10 years. He may be contacted on 79676700 or via email info@firesafe.com.mt.
The Executive 45
Issue No. 60 - 2014
The Executive
Company Highlight: MAP IT
MAP IT: Dynamism is Key
MAP IT is a partnership founded by two members, Mark Abela Schinas and Anton Pisani. It offers the perfect blend of new-age talent and experience. Although a young partnership, MAP IT already boasts of a strong portfolio of several satisfied clients. Mark and Anton have been working in IT for the brunt of their careers, and combined, spearhead one of the most dynamic, talented and inspired teams of IT professionals on the Island.
M
AP IT’s experience allows it to identify, anticipate and satisfy any of its customers’ needs. Yet it is their teamwork, drive, and youthful energy and creativity which allow it to be flexible and change as new needs arise or specifications of a project evolve.
• Electronics Manufacturing • Insurance • Legal • Education • IGaming
We know all too well that in IT, specifications need to be changed, and customers may often adapt their requirements as a project is in progress. MAP IT prides itself in knowing that it will always do its utmost to be flexible and adjust its services as quickly as the need arises.
Between their team of IT professionals, MAP IT can develop software in virtually any environment. They are more than happy to tackle the software development process from A to Z, i.e. the systems analysis, design, implementation and finally the testing of the software. In other words, when software development is required, you can sit back and leave it completely in their hands.
MAP IT’s Speciality Writing code comes as second nature – it’s what MAP IT does best. Having been employed as software developers before, both partners know exactly what it takes to develop software for any of their clients’ needs. So far, MAP IT has had the pleasure of writing software for companies in the following industries:
Their capability to code precisely has given MAP IT an enviable cost advantage over the IT industry. Thus they can, and do, offer some of the most competitive prices on the island. When coupling this factor to their sheer expertise and flexibility, MAP IT becomes the right answer to any of your software development needs. If it’s IT related, it’s best left to MAP IT.
Visit our website at www.mapitmalta.com and www.map-suite.com to find out more. www.the-executive.biz
The Executive 47
D I M ENS ION + BEARIN G
THE POWER OF YOUR SALES FORCE How powerful are your sales efforts? At times we neglect or simply forget to build our business as we get caught up in other matters which don’t grow or nourish our bottom line. In order to have a healthy business you need to have an effective sales force actively out of the hunt. If you would like to know more on how we can help you nurture an effective sales force, contact us, we will be more than pleased to share our ideas.
Call: (+356) 27 03 19 03
Email: contactus@db.com.mt
www.db.com.mt
OVERSEAS STARTS JUST OVER THE ROAD. If you have the ambition to grow your business, we have the expertise to help make that happen. So if you’re thinking about expanding abroad, we will put you in touch with dedicated experts who could help you take the next steps. Discover how we could help your business. Talk to us today and see how you can benefit from Malta Trade for Growth incentives.
www.hsbc.com.mt/overtheroad If you see it, we see it.
Approved and issued by HSBC Bank Malta p.l.c.,116, Archbishop Street, Valletta VLT1444.