SAUDI ARABIA BAHRAIN UNITED ARAB EMIRATES QATAR OMAN KUWAIT
Construction An ITP Business Publication
WEEK
CONSTRUCTIONWEEKONLINE.COM
NOV 21–27, 2009 [297]
NEWS, ANALYSIS, PROJECTS, TENDERS, CLASSIFIEDS, AND JOBS IN THE MIDDLE EAST
INSIDE LEGAL ADVICE
What to watch when entering into a joint venture in the region PAGE 26
EXCLUSIVE
Six Construct boss Philippe Dessoy, on coping with the crisis PAGE 28
SITE VISIT
UNLOVED UNDER UND ERP PAID OV ERWOR WORK K ED SALARY SURVEY REVEALS HOW YOU REALLY FEEL
CW gets on site to see first hand, progress on Downtown Jebel Ali PAGE 40
BUILD BRIDGES CW investigates the changing trends in bridge construction PAGE 44
CONTENTS NOVEMBER 21-27, 2009 | ISSUE 297 11
14
FEATURES 28 EXCLUSIVE INTERVIEW Six Construct’s Philippe Dessoy sits down with CW to discuss his time working in Dubai’s construction world.
31 SALARY SURVEY The region’s largest construction salary survey revealed
12
40 SITE VISIT CW discovers what progress has been made on Downtown Jebel Ali.
44 SPECIAL REPORT The changing trends and technologies in bridge construction.
19
DIRECTORY
REGULARS
52 SHOWCASE 54 TENDERS 55 PROJECTS 56 SPECIALIST SERVICES
2 ONLINE 4 MAIL 24
FRONT
30
11 AL HAMAD WORKERS PROMISED WAGES Workers in Bahrain returned to work last week after being promised that their wages would be paid in short order.
12 CONSTRUCTION LAW COURSE LAUNCHED The British University in Dubai has launched a post-graduate master’s programme in construction law and dispute resolution.
BACK 60 CITY UPDATE
14 NEWS IN BRIEF
The latest news and projects from Baghdad, Iraq.
Highlights of the week.
18 NEWS ANALYSIS
24 COLUMN
62 CONSTRUCT SAFE
The future face of construction.
The industry’s very own comic strip on health and safety best practices.
19 FACE TO FACE
Syed Ali Dilawer highlights the growing importance of project controllers within the construction industry.
Industry experts discuss the Building Information Modeling framework.
26 LEGAL
23 EVENTS Industry dates for your diary.
64 DIALOGUE
James Bremen advises what to keep in mind while entering into a joint venture or construction agreement.
Roderick Wiles, consultant for the American Hardwood Export Council, discusses the benefits of wood as a sustainable material.
NOVEMBER 21–27, 2009 CONSTRUCTION WEEK
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ONLINE
www.ConstructionWEEKonline.com MOST POPULAR
LAST BURJ DUBAI CRANE COMES DOWN TENANTS MOBILISE TO TAKE ON DAMAC ACC AND TDIC TO BUILD ABU DHABI HOTEL WORK STARTS ON RIYADH METRO $657BN CONSTRUCTION PROJECTS IN UAE STILL ACTIVE
HAVE YOUR SAY HAVE YOU ANY FOND CONSTRUCTION MEMORIES?
What changes have you seen over the last 30 years?
IN PICTURES: BEST-OF-THE-BEST UNVEILED AT 2009 COMMERCIAL INTERIOR DESIGN AWARDS The best interior designers in the region converged in Dubai for the annual CID awards – find out who was voted best of the best in a glittering awards ceremony. Winners included Isabel Pintado of Godwin Austen Johnson who was voted Interior Designer of the Year, Dinan Salaheddine, who was judged as Young Designer of the Year, and Bishop Design Associates, who were declared Interior Design Firm of the Year by the panel. For more images visit www.ConstructionWeekOnline.com
FEATURES Design
PMV
HEAVEN SCENT Ajmal Perfumes’ new flagship store Ajmal Perfumes’ new retail concept was designed to broaden the company’s appeal.
LIGHT AT THE END OF THE TUNNEL A breakthrough has been made at the DiftahShis tunnel project.
JOBS OF THE WEEK Area Sales Manager, Dubai, United Arab Emirates Country Manager, Dubai, United Arab Emirates Project Manager, Doha, Qatar
ONLINE POLL ARE YOU EXPECTING A PAYRISE IN 2010?
65.2% 29.1% 5.7%
Yes, I think my salary is going to increase
No, there’s a pay freeze at my employer
I’m just hoping I’m going to get paid MEP
TOP BILLING MEP speaks to Ista Middle East managing director Tarek El Far.
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MEP
HVAC’S ROLE IN H1N1 TRANSMISSION HVAC systems may contribute far more to disease transmission than first thought.
CONSTRUCTION WEEK NOVEMBER 21–27, 2009
TO VOTE IN THIS WEEK’S SPOT POLL GO TO www.ConstructionWEEKonline.com
MAIL This often leads to people not understanding their maintenance requirements. Servicing is not just about a quick clean to make it look good or a quick oil change. The problem is this costs money and building owners do not see a short-term return for spending. They prefer the ‘buy cheap but twice’ method. People in this region do not tend to hang around long enough to be there when it needs doing the second time, so they do not care as much. Pride of ownership is lacking.
RE: AL HAMAD WORKERS STRIKE IN BAHRAIN I read about Al Hamad strike in June and the promises made, and now again they have gone on strike. It means the company has not kept their promise. The Bahrain Labour Department should take immediate steps to solve this issue otherwise the workers suffer. It is a total failure on the part of Al Hamad management that the labours and the engineers do not want to work with them and want to be sent home. PRADEEP NAIR
This lapse again from the employer should not be tolerated. I heard that the Labour Department and Government of Bahrain are strict in dealing with such cases. The government should not allow the image of Bahrain to be let down by a private company. JOHN
In most Indian cities, the daily wage for an unskilled labourer is around $6.50 to $7.50 (INR300 to INR350) for eight hours work. Why should Indian labourers
suffer in this region by working more hours and getting paid less? The minimum salary of a labourer must be above $400. AZEEZ
RE: GOVERNMENTS MUST LEAD THE WAY ON MAINTENANCE Many people in the industry have been saying this for some time now, with the popular misconception of facilities management as cleaning and security with maintenance taking a much lower priority.
SIMON
RE: LAST BURJ DUBAI CRANE COMES DOWN It is indeed one of the marvels of civil engineering. Anybody can have dreams but to fulfil the dreams, you need passion and courage. Burj Dubai depicts them. It’s not only the tallest tower in the world, it’s a statement of Dubai to the world. Congratulations to the civil engineering team, including the brave construction workers. GC SEKHAR
RE: AUSTRALIA & UAE TO STRENGTHEN SUSTAINABILITY TIES Sustainability is truly important for our global preservation. I’m always delighted to see some efforts within the Middle East in this regard, but I still believe we are far away from achieving the minimum requirements to spread the knowledge about such issues. So the path is still very long, and the cost
is tremendous. Therefore, we can’t really depend on individual efforts, and if private organisations are not interested in investing in such non-profitable activities, then governments have to interfere for the best of their own people and the best of this world. MEDHAT KOUCHOUK
RE: TENANTS MOBILISE TO TAKE ON DAMAC Can anyone believe that I have been living in the Crescent for almost seven months and I still have no television? Du keeps on pushing the delivery date! From March, to May, to November, and now to January 2010. This is ridiculous! On top of that, there’s no car parking spaces, and the elevators don’t work properly. NORA
RE: OWNERS BLAST NAKHEEL OVER DISCO POOLS What else is left to say? There has been no maintenance whatsoever, building construction is more fragile than Lego, nothing works and everything breaks. The gardens are now dying because of absolute lack of care. There is trash everywhere and even dead rats. It has been nothing but disappointment after disappointment. Not to mention our very own exclusive sand pool. IN SHOCK TENANT
WRITE TO THE EDITOR Please address your letters to: Post, Construction Week, PO Box 500024, Dubai, UAE or email editor@ConstructionWeekOnline.com. Please provide your full name and address, stating clearly if you do not wish us to print them. Alternatively log on to www.ConstructionWEEKonline.com and air your views on any one of a number of the latest Middle East business articles. The opinions expressed in this section are of particular individuals and are in no way a reflection of the publisher’s views.
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CONSTRUCTION WEEK NOVEMBER 21–27, 2009
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FOREWORD
STILL A LONG WAY TO GO
“WE STILL HAVEN’T REACHED THE POINT WHERE A CANDIDATE IS ASSESSED SOLELY ON THEIR CAPABILITES, EXPERIENCE AND QUALIFICATIONS”
The results of the Construction Week salary survey are finally out, shedding a lot of light on the inner workings of the construction industry. Some pretty amazing trends have been revealed, along with some rather alarming facts. A positive outlook for the future is evident with 61% of people expecting to get a pay rise in the next 12 months, coupled with only 8% of respondents claiming not to have received a pay rise for the past three or more years. In addition, 78% of people get some kind of allowance along with their basic salary. These could be in the form of accommodation, commissions and bonuses, travel expenses, annual return air tickets, bi-annual air tickets and vehicles given to them by their companies. On the flip side, the survey also revealed that despite the market maturing on a lot of levels, there’s still a long way to go before we see more professional recruitment practices being applied in the GCC. We still haven’t reached the point where a candidate is assessed solely on their capabilities, experience and qualifications and are therefore paid accordingly. Nationality is still among the leading factors in deciding remuneration packages. The survey revealed that a typical construction professional from India earns almost US $2000 (AED7300) less than the industry-wide average each month. The average salary of an Indian construction professional working in the Gulf is $4111 per month, which is $1936 lower than the industry-wide average of $6047 per month. Similarly, the average salary of a project manager from India is $5617 per month, compared to an industry-wide average of $7774. A total of 1221 people took part in the survey with Indian professionals being the largest single nationality group identified in the survey at 31% of respondents, followed by professionals from the Philippines and the United Kingdom. Look out for a detailed breakdown of wages according to different nationalities, which will be released this month, in phases, on ConstructionWeekOnline.com.
CONRAD EGBERT EDITOR conrad.egbert@itp.com
WRITE TO THE EDITOR Please address your letters to: Construction Week, PO Box 500024, Dubai, UAE or email editor@ConstructionWeekOnline.com. Please provide your full name and address, stating clearly if you do not wish us to print them. Alternatively log on to www.ConstructionWEEKonline.com and air your views on any one of a number of the latest articles.
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CONSTRUCTION WEEK NOVEMBER 21–27, 2009
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FRONT
>Bouygues wins massive $1.3bn contract in Qatar
12
>Highlights
14
>News Analysis
18
>Face to Face
21
>The role of the project controller
24
MORE THAN 2000 CONSTRUCTION WORKERS IN BAHRAIN RETURNED TO WORK LAST WEEK AFTER STRIKING OVER NON PAYMENTS.
AL HAMAD WORKERS FINALLY PROMISED WAGES By Benjamin Millington
Workers for Al Hamad Contracting in Bahrain returned to work last week after being promised that their wages would be paid in short order. More than 2000 construction workers had been on strike to demand for payment of their wages. The workers, who earn around US $185 (BD70) a month, said that they were owed one month’s salary, which was due to be paid the previous week. The company had promised to pay all salaries by the 15th of each month following a mass strike in June, when between 5000 and 7000 workers called a mass strike amid claims they had not been paid for two and a half months. “They agreed to pay us before the 15th every month but this did not happen so we are not going to work,” said one Indian worker who preferred not to be named.
“If we are not going to be paid on time then many of us would prefer to be sent home.” He said that more than 4000 workers have already been sent home this year since construction has slowed or halted on many of Al Hamad’s big projects in Bahrain, including Marina West, Villamar Towers and Reef Island. “If the company sends me home I will be happy,” said another worker, also from India. “We cannot get any overtime now. This used to be an extra $53 every month. Now it is not worth staying here, especially if we don’t get our wages.” A source within the company said the problem was due to a delayed payment from one of Al Hamad’s clients. He said Bahrain’s Labour Market Regulatory Authority (LMRA) went to Al Hamad’s
labour camps yesterday to discuss the situation with the workers. “The LMRA helped explain the difficulties that the company was facing and reassure the workers that they will be paid,” he said. “The company has said they will get the salary on the 18th, if that doesn’t happen they will strike again,” he added. An official spokesman for Al Hamad was not available to comment. Two weeks ago, international NGO Human Rights Watch (HRW) issued a public statement criticising the Bahraini government for not taking strict enough action against employers who delay payment of wages. “Bahrain portrays itself as a regional leader in migrant labour rights, but the government has some way to go before it really earns that reputation,” said HRW deputy regional director Joe Stork.
NOVEMBER 21–27, 2009 CONSTRUCTION WEEK
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FRONT ACC AND TDIC TO BUILD ABU DHABI HOTEL By Sarah Blackman
THE MSC PROGRAMME WILL BE AVAILABLE BOTH FULL TIME (ONE YEAR) AND PART TIME (TWO TO THREE YEARS).
BUID LAUNCHES CONSTRUCTION LAW COURSE By James Boley The British University in Dubai (BUiD) has launched a post-graduate master’s programme in ‘construction law and dispute resolution’. The course, which is currently accepting applications for the February 2010 intake, is designed for practising lawyers, engineers, architects, surveyors and those working in other relevant construction and development disciplines. “The construction industry in the Middle East is growing at unprecedented levels, and in today’s economic climate, there is an essential need for experts in the related fields,” said The British University in
Dubai’s vice-chancellor Professor Abdullah Alshamsi. “With the support of the Dubai courts and leading construction and law organisations, our new MSc in construction law and dispute resolution will develop combined expertise in law and construction, further developing the local regional talent and providing the necessary knowledge required as a complement to the industry’s rapid development,” he added. The new programme is offered in association with the Centre of Construction Law and Dispute Resolution at King’s College London.
Arabian Construction Company and Tourism Development & Investment Company will form a joint venture to build the Regent Emirates Pearl Hotel after winning a construction contract worth around US $236.85 million (AED870 million). The 10,000m2 project, which will stand 240m-high upon completion, will be located on the Abu Dhabi Corniche and is set to open its doors in 2012. The hotel will sit on a 10,000m2 plot comprising four podium levels, 45 floors, 377 rooms and suites, and 60 furnished apartments. ACC’s chairman said that the Regent Emirates Pearl contract is an exciting project to be involved with as it is set to become an Abu Dhabi landmark. ACC has worked on projects such as Capital Plaza and Emirates Palace Hotel. TDIC is a master developer of tourism real estate assets within Abu Dhabi. The company is charged with assisting the provision of infrastructure.
BOUYGUES WINS US $1.3 BILLION QATAR CONTRACT By Benjamin Millington French construction giant Bouygues has won a US $1.3 billion (QR4.75 billion) contract for construction in the Barwa Financial District project in Doha. Developed by Barwa Real Estate, the largest semi-public property group in Qatar, the contract is for work in Doha’s new West Bay business district. It includes nine 18 to 52 storey office towers, a five-star hotel, a shopping centre and a mosque, as well as parking facilities and utilities. The total construction timetable will span three and a half years.
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CONSTRUCTION WEEK NOVEMBER 21–27, 2009
“This fast track project will involve 6000 people at peak times and considerable plant resources, notably 17 tower cranes,” said a statement from Bouygues. “The work will also take place in a particularly challenging environment due to the cramped site.” Bouygues will carry out works in collaboration with two Qatari companies – Midmac Contracting Company and Aljaber Engineering. Bouygues CEO Yves Gabriel described the contract as excellent news. “In the current economic environment, it enables us to improve our visibility abroad and become a major player in a high-growth area.”
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FRONT HIGHLIGHTS Saudi Arabia
ABB SEALS US$120M UNI CONTRACT ABB has won a $120m order from the Saudi Electricity Company to provide power to KSA’s first university for women which aims to enroll 40,000 students. The campus will have several energy-saving and sustainable features, such as 40,000m2 of solar panelling that will provide about 18% of the power required for air-conditioning. “The substations will ensure that this educational establishment has access to a reliable, efficient and highquality supply of electricity,” said Peter Leupp, head of ABB power systems division. UAE
REEM’S HYDRA AVENUE HITS MILESTONE Hydra Properties’ development on Reem Island, Abu Dhabi, is progressing ahead of schedule according to the developer, with 50% of structural work for towers C4, C5 and C6 on track for an April 2010 completion. “We’re pleased to see the
NEWS IN NUMBERS Saudi Arabia is to build
3200
schools across the kingdom at a cost of
20 billion riyals ($5.33 billion) to accommodate more than 1.7 million students
14
progress that has been made here, and the quality of work is exemplary,” said Hyrda Properties CEO Ali Bin Sulayem. The whole development is scheduled for a Q4 2011 completion.
CONSTRUCTION PROGRESS AT HYDRA AVENUE.
UAE
RAK CERAMICS TO LAUNCH GREEN LINE RAK Ceramics will increase its sustainable products range with the launch of its new ‘Rakslim’ energy-saving façade system, taking place at Atlantis, Palm Jumeirah, on November 24. “The long-term strategy of the UAE is based primarily on the concept of sustainable development. RAK Ceramics will proactively support this and contribute towards the UAE’s mission to reduce its carbon footprint through the
Work on Dubai’s Princess Tower has reached floor level 65 and core level 75 – on the way to the 107-storey topping out height. Sitting on a 3475m2 footprint, the building is due for completion in 2011
CONSTRUCTION WEEK NOVEMBER 21–27, 2009
use of a superior range of green-certified products and techniques,” said assistant CEO Abdallah Massaad. Saudi Arabia
CYRIL SWEETT WINS TOWER CONTRACT The Capital Market Authority (CMA) has appointed Cyril Sweett to provide cost and project management services on the ‘crystalline’ tower, in The King Abdullah Financial District, Riyadh, which has been designed jointly by HOK and Omrania & Associates. Reaching a height of 385m, the project is due to complete early 2012. “We wanted to select consultants who have a proven track record of delivering tall buildings throughout the world,” said CMA project department manager Said Rabiah. UAE
IMPROVED Q3 RESULTS FOR TABREED Abu Dhabi’s National Central Cooling Company (Tabreed) posted gross profits of 9% in Q3 2009, although non-cash finance costs associated with the 2011 convertible sukuk
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meant net profits slid by 4% year-on-year. Total revenue rose by a strong 15% to US $155.4 million, while chilled water revenue rose by 27% year-on-year. “We have also been making progress on improving our operational efficiencies,” said Sujit Parhar, Tabreed CEO. UAE
HODARIYAT ISLAND BRIDGE CONTRACT AWARDED The construction contract for the Hodariyat Island Bridge in Abu Dhabi has been awarded to VSL Middle East and AST. The project will be the first stay-cable bridge to be constructed in the UAE and will link Abu Dhabi to Hodariyat Island. “Stay cable bridges are very suitable for traversing wide rivers or large bodies of water,” says VSL deputy general manager Stephen Burke. “In the case of the Hodariyat Bridge the stay cable is a good solution both technically and aesthetically due to the fact that there is a wide maritime navigation channel to cross.”
1845 projects worth $657 billion are still active in the UAE, with 69% of total projects still ongoing. The residential sector is valued at $312 billion, while leisure and entertainment accounts for $233 billion spread across 445 projects
ANALYSIS The future face of construction THE INTERNATIONAL MEMBERSHIP ORGANISATION BUILDINGSMART OFFICIALLY LAUNCHED ITS MIDDLE EAST CHAPTER LAST WEEK WITH ITS BUILD SMART 2009 CONFERENCE, ENTITLED BETTER CONSTRUCTION THROUGH INTEROPERABILITY By Matt Warnock
It marked a new era for building and design communication throughout the GCC but it could also come to be seen as an even more momentous occasion – the point at which Building Information Modelling (BIM) technology took a stranglehold of the region’s practices. For the uninitiated, think of BIM as being to AutoCAD what the iPod was to the Walkman. BIM employs three-dimensional, real-time, dynamic building modeling software to produce a model storing all data related to the construction and maintenance of a building during its lifecycle. “From an information science point of view, BIM looks at a building as being a large databank of operations, without any thought as to its end use or return on investment,” explained Professor Vladimir Bazjanac from the University of California’s Building Technologies Department – the leading research centre of its kind in the world. “From there, it produces a memory map – with different disciplines fed in from the different segments.” The key is interoperability. As a change is made to the model at one point, all clashes and ramifications are updated instantly – as the structural engineer makes a small change, the MEP contractor can see how that has affected their work straight away. “I asked the audience at one conference what exactly was in an iPod,” said Building Smart alliance and National Institute of Building Sciences executive director Deke Smith, who has also authored books on the subject. “They answered with things like memory, silicon chips, a speaker, a
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display…but the simple answer is music. We need to look at BIM in the same way.” Smith emphasised that BIM is not a solution or a single software package but a tool or framework in which other programs could operate. “We’re seeing so many uses now. Try it with a geo-spacial software to see how orientation affects the daylight or ventilation to your building. Simulation is a whole new field that is just getting started. “Code compliance checks could be run. Basically, it’s a mathematical model and once you have the information anything can be calculated. “To see how far this technology can go, look at BIMStorm which applies BIM to a city planning level. You can see exactly how an individual building behaves in a master-plan situation.” BIM technology is nothing new and designers, contractors and even clients are starting to embrace the 3D framework, but the biggest advantages, according to Building Smart ME communication director David Jellings, is in the community and sharing of information that Building Smart brings to BIM. “Imagine if I could create a single file from all the knowledge of all the people in this room,” he told the audience. “How much would that be worth? “Interoperability is evolution and learning through the experience of others. Members of Building Smart both receive and deliver. If you discover a solution to a specific problem, your process could become best practice, benefiting the entire industry, just as you will benefit from others.”
CONSTRUCTION WEEK NOVEMBER 21–27, 2009
PROFESSOR VLADAMIR BAZJANAC.
“IMAGINE THAT 20% SAVING APPLIED TO THE WHOLE OF ABU DHABI’S 2030 PLAN”
Jellings was also quick to highlight some of the more tangible benefits of Building Smart and BIM. “It’s about consistent delivery – this market lacks that; improved efficiency; sustainable design and improved communications. Why not deliver all projects on time and on schedule? Why not have zero RFIs [requests for information] on all projects? “Is anyone interested in saving 20% on a project costs? Imagine that 20% saving applied to the whole of Abu Dhabi’s 2030 plan. How much does that add up to?” Deke Smith maintained that it was up to governments in the region to drive the use of BIM and set an example to industry. “If you buy a great car, you don’t wait for the engine to seize then buy a new one,” he commented. “You keep it running, you get check-ups, and you change the engine oil. “Governments have a responsibility to citizens to provide leadership and maintain buildings. We have to do better than buildings that will need replacing in 20 years’ time.”
> For the latest analysis log on to www.ConstructionWEEKonline.com
However, others said that owners and developers would play a crucial role. “The biggest challenge we face is people,” said Nakheel’s head of sustainability and environment, Brendan Jack. “People are a double-edged sword when it comes to efficiency – they want to do bigger and better things. “For Nakheel, and doubtless other large developers, unless you do things right from the beginning, there can be so much inertia that you can get a long way down the route to completion without being able to correct errors quickly enough. For us, that’s where BIM helps us make informed decisions early.” Al Rashid Investment CEO Ramesh Tolani added: “As we all know, cost is the massive challenge facing developers, more now than previously, whether that is the cost of procurement, design, operating or maintaining. The BIM process is a collaborative, open approach that leads to more creative designs, with changes incorporated along the process.
Cost certainty is what all clients and developers are looking for.” Professor Bazjanac insisted that owners and developers did not even need to fully understand BIM technology. “You don’t need to know how it’s used, just that it is used. Ask as many questions as possible right the way down the line.” And speakers insisted that right the way down the line was exactly where the benefits of BIM could be felt. “You simply get better bids with BIM, as you can accurately demonstrate the complexity of projects to contractors. The scope is better defined and it gives construction companies and suppliers an accurate tonnage right from the time of bids – all at the touch of a button,” said Thornton Tomasetti principal Kyle Krall. As a structural engineer, Krall added that the projects which embraced BIM throughout the entire design stage demonstrated an improved schedule due to the collaboration and risk analysis beginning so early in the process.
“Paper drawings can still be generated, which many in the industry prefer to work from, but there’s a very specific language being generated as this approach will someday be the standard used to deliver a project. “BIM is the future, but it’s certainly already here now,” he concluded.
ABOUT BUILDSMART • The Middle East represents the 14th regional alliance of Building Smart. • Chapters already exist in Australasia, Benelux, China, Italy, Japan, Korea, Singapore, North America and the UK, amongst other territories. • Building Smart International users group will be holding a meeting in conjunction with the Ecobuild Conference in Washington DC, USA, on December 8. • Find out all the latest news, projects and events at www.buildingsmart.com/
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FACE-TO-FACE TURNING TO BIM
RAGURAM JAYARAM
DANIEL FRAWLEY
Building consultant, Bentley Systems Middle East
Chief technology officer, Aretas
WHY DID YOU CHOOSE THE BUILD SMART CONFERENCE TO SHOWCASE YOUR SERVICE? This conference was about the practical, working side of the process and attracted people who wanted to know how to implement BIM. Looking at BIM from a broad point of view, along with the importance of interoperability, that’s the focus of the discussion and of Bentley. It really helps to be part of these events.
Aretas chose to sponsor the Build Smart conference as an extension of our membership of Building Smart ME. We were among the founding members, as it is the leading organisation dedicated to providing a framework for BIM standards across the AEC industries. It’s defining the path for interoperability.
WHAT WAS THE REACTION TO LIKE FROM DELEGATES? There was a lot of interest. People are starting to understand that BIM will be extremely beneficial in a whole range of ways to how they operate going forward. They realise that it is a good, open and, most importantly, transparent platform on which to work, share ideas and reduce all associated building losses.
We were very pleased and happy to see a diverse group of professionals with a direct interest in construction and BIM. Aretas has positioned itself outside the traditional single software vendor scope and, as such, is providing services to firms across multiple BIM delivery tools by selecting the right tool for each particular task.
HOW AWARE IS THE MIDDLE EAST CONSTRUCTION INDUSTRY OF BIM? There’s an improving knowledge of boxed systems and tools – Autodesk, for example –but BIM goes so much further than that. Bentley provides the product, but you also get the expertise, training and connectivity – two sides of the same coin. Companies like ours provide subscription-based technical support and service.
Knowledge of BIM does exist in many Middle East firms. Those with an eye to the future are already using it within their firms and we’re also seeing it used on very high profile developments. The next step is for these firms to exchange information inherent in BIM with one another and related professionals as part of normal project delivery.
HOW EFFECTIVE A FRAMEWORK COULD BIM BE FOR THE REGION? The UAE is currently a shared market, not following a single standard. Our latest MicroStation v8i is all about exactly what the conference is about – interoperability. There’s a lot of expertise floating around the building and design industries – our mission is to help users take information from all departments and maximise the use of that data.
BIM has the potential to radically improve project delivery here. Potential benefits of coordinating construction information are far ranging in scope and firms can exploit opportunities at a very early stage if they’re prepared to address BIM from within and adapt their business and their processes.
DOES THE REGION HAVE THE BIM EXPERTISE REQUIRED? The market is something of a mixed-bag right now. There are certainly some users that have a high level of expertise in BIM but the key to BIM is that it is used in a team. It’s not a tool for individuals. As a team, you share knowledge, deal with issues and iron out all potential problems as early as possible.
The Middle East is reaching a critical mass of BIM knowledge. Presently, there exists a community of skilled BIM professionals which is only getting stronger as firms continue training of existing staff in these new processes. Firms who are proactive in this approach are becoming self-sufficient in delivering their projects in BIM.
IS THE BIM REVOLUTION AS MUCH ABOUT EDUCATION AS IMPLEMENTATION? Education needs to be continuous; it’s not a one-off, one-time-only course. It took five years for the industry to become familiar with BIM and, even still, only 10% to 20% use it. Most in the industry are now aware of BIM, but they don’t know how to implement it.
BIM skills are on the rise although a common misconception is that it’s just adding another software program or tool. We can’t use existing 2D delivery methods with a BIM process. This has an impact upon business processes and the adoption of BIM within firms.
NOVEMBER 21–27, 2009 CONSTRUCTION WEEK
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EVENTS
Event: Construct Libya 2009 Overview: Three-day construction fair in this growing North African market Date: November 24-26 Venue: Tripoli International Fair Phone: +218 333 2255 Website: www.eventseye.com Event: Home and Life Style 2010 Date: March 2010 Venue: Oman International Exhibition Centre Phone: +968 24 512 100 Email: oiecoman@omantel.net.om Website: www.eventseye.com
Event focus
THE BIG 5
DATE: NOVEMBER 23-26 VENUE: DUBAI WORLD TRADE CENTRE WEBSITE: WWW.THEBIG5EXHIBITION.COM The Big 5 is the annual meeting place for all industry professionals. Over 58,000 key buyers and decision makers from the public and private sectors attended the 2008 event.  Event: The Big 5 PMV Overview: International exhibition for PMV. Date: November 23-26
Venue: Dubai International Exhibition Centre Phone: +971 4 332 9029 Website: www.big5pmv.com
Event: Saudi Building and Interiors Exhibition and Symposium 2010 Date: April 4-7, 2010 Venue: Jeddah International Exhibition and Convention Centre Phone: +966 2 654 6384 Email: ace@acexpos.com Website: www.eventseye.com Events: DWRW 2010 Overview: A trade show for doors, windows, roofs and walls, as well as cladding products, machinery and accessories. Date: March 8-10, 2010
Venue: Expo Centre Sharjah Website: www.eventseye.com Event: Saudi Building and Interiors Exhibition and Symposium Date: April 4-7, 2010 Venue: Jeddah International Exhibition and Convention Centre Events: Saudi International Windows, Doors, Shutters, and Solar Exhibition 2010. Date: March 11-14, 2010 Venue: Riyadh Exhibition Centre Website: www.eventseye.com Phone: +966 2 654 6384 Events: Buildex Syria 2010 Overview: Building, tourism, construction and real estate expo. Date: May 12-16, 2010 Venue: Damascus International Fairground Website: www.eventseye.com Event: Libya Build 2010 Overview: Construction conference for those interested in Libyan contracts Date: May 16-20, 2010 Venue: Tripoli International Fair Website: www.eventseye.com
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COMMENT > For the latest news and comments log on to www.ConstructionWEEKonline.com/comment
The role of the project controller SYED ALI DILAWER HIGHLIGHTS THE GROWING IMPORTANCE OF PROJECT CONTROLLERS WITHIN THE CONSTRUCTION INDUSTRY
“BOTH THE PROJECT MANAGER AND PROJECT CONTROLLER CARRY OUT CRUCIAL DUTIES, AND BOTH POSSESS SIGNIFICANT, ALBEIT, DIFFERENT SKILL SETS AND RESPONSIBILITIES.”
Syed Ali Dilawer is a planning manager with EC Harris International for their Dubai and Saudi Arabia offices and has 18 years of experience as a project management professional with expertise in time and cost management, contract administration and claim substantiation/analysis. He has a bachelor’s degree in civil engineering and is a certified cost consultant. He is also an associate member of the Chartered Institute of Arbitrators in the UK.
The opinions expressed in this column are of the author and not of the publisher.
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Most professionals agree that project management skills can be divided into two basic components, commonly referred to as the skill and the knowledge of project management. A major segment of the project manager’s work deals with the skill, or leadership side of project management. It demands vision, communication, negotiation, motivation, and interpersonal skills. In this case, business acumen and knowledge of the industry are critical. On the other hand, knowledge of project management methodology and tools, plus strong analytical and problem-solving skills are required. Here, the ability to quickly gather data and communicate it under pressure is critical. Because these two distinct skill sets are best provided by two very different types of people, some organisations have begun to divide these two sets of responsibilities. The development of the project controller’s position has been an evolutionary process. Initially, many organisations created a position called “coordinator.” The coordinator was responsible for handling administrative tasks, entering data into a timekeeping and scheduling system, gathering status information, and helping to produce status charts. Over time, additional requirements — such as development of the initial schedule and estimates — forced many organisations to develop the role of “planner”. Some organisations required this role to perform on-going schedule tracking and analysis, often using the term “scheduler.” Responsibilities of tracking issue and risk logs, analysing schedules, and facilitating all planning and status sessions were usually assigned to this role. More recently, responsibilities increased to include handling resource allocations and constraints, schedule and critical-path analysis, financial reporting of earned
CONSTRUCTION WEEK NOVEMBER 21–27, 2009
value and providing other documentation sufficient to comply with authorities’ requirements. Today, the role of a project coordinator, planner, and scheduler has evolved into that of “project controller”. The project controller supports the project manager by handling most of the critical, detail-oriented, analytical-focused, time-intensive project tasks. As a result, the project manager is free to focus on more strategic project goals and objectives, and is often even able to take on additional projects. Both the project manager and project controller carry out crucial duties, and both possess significant, albeit, different skill sets and responsibilities in order to bring the projects in on time and within the budget. The project controller is a key member of the project team and works directly with the project manager to help define the project’s goals and objectives; create and maintain a project’s budget and schedule, analyse progress reported against the work schedules; and recommend actions to improve progress. In order to ensure accurate documentation and reporting on a consistent basis, many organisations are positioning the project manager and project controller as part of a centralised project support organisation. In order to efficiently handle the responsibilities of a project controller, a successful controller must possess insight into business process, cost budgeting and estimating, risk analysis, critical path diagramming and analysis, resource forecasting and change control. It is important to note that the project controller may be supporting several projects simultaneously (based on project size and work experience).Therefore, he or she must also be flexible in dealing with multiple project managers, while maintaining the required level of standards demanded by the organisation.
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LEGAL
Key points while entering into a joint venture in the Middle East JAMES BREMEN ADVISES WHAT TO KEEP IN MIND WHILE ENTERING INTO A JOINT VENTURE OR CONSORTIUM AGREEMENT
“BEFORE ENTERING INTO A CONSORTIUM AGREEMENT, A PARTY SHOULD CONSIDER THE FORM OF COMMERCIAL ENTITY, AS THIS MAY EFFECT ITS LEGAL RELATIONSHIP WITH OTHER MEMBERS AND THE OWNER”
James Bremen is a partner in King & Spalding’s London office and a member of the Global Transactions Practice Group. Bremen has practised exclusively in construction law for more than a decade. He has significant experience in project development and dispute resolution both in the UK and internationally.
The opinions expressed in this column are of the author and not of the publisher.
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The use of joint ventures or consortiums are attractive because they allow contractors, consultants and financiers to team up and offer owners a single interface for all needs of a project. Owners are increasingly requiring that consortiums be formed to provide a single point responsibility and to ensure bidders have the ability to perform the scope of work. In light of this development, this article seeks to highlight some of the key legal and practical issues, which should be considered when entering into a joint venture or consortium agreement. The term “consortium” is used throughout the article to refer to both “consortium” and “joint venture.” Form of the bidding entity The form of the commercial entity bidding for the project can be dictated by the owner and/or local law. In the UAE, the Commercial Companies Law (Federal Law No. (8) of 1984) recognises seven forms of commercial entity, including “joint participation” and “limited liability company.” As an incorporated entity, the consortium will, subject to the corporation’s law of the country concerned, enjoy limited liability. But the protection afforded by limited liability may be of little benefit in a major project as the owner is likely to require guarantees from the parent companies of the consortium members to ensure performance of the contract. Therefore, before entering into a consortium agreement, a party should consider the form of commercial entity, as this may effect its legal relationship with other members and the owner. Local partners Where the consortium includes foreign entities or shareholders, local laws may limit
CONSTRUCTION WEEK NOVEMBER 21–27, 2009
the involvement of those foreign participants or shareholders and/or require at least one of the participants to be a local entity. Where the main members of a consortium are foreign entities, the selection of a local partner can be critical to the success of the bid and project. • Where the potential influence of the local entity over the consortium, is disproportionate to its contribution to the project, it can create tension between it and its foreign partners; • A quality local partner can ensure that many of the pre-conditions to the submission of a bid or award of a contract are met including permits; • Local expertise and experience can also assist when dealing with labour or the supply chain. Local laws Depending on the jurisdiction, there are various other laws, which may have an impact on the formation or operation of the consortium. The consortium should seek specific advice on local law matters, particularly on employment law and taxation. There are legislative requirements governing the employment of nationals and expatriates. The tax position of the consortium and the project should be examined. For example, some cities in the UAE impose income tax on certain entities and most of them levy municipal taxes. Delineation of scope The members of a consortium should ensure that the delineation of scope between the members is sufficiently and clearly set out in the consortium agreement, so that each party and the owner are clear as to the
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separate roles to be performed; the pricing of all costs associated with the bid can be apportioned appropriately between the parties; and in the event of any dispute or default, it is clear which party is liable for associated costs and losses. A consortium leader and decision making protocols should also be established.
Bidding costs The consortium agreement should address the issue of bidding costs, which can be a significant unrecoverable expense. In the event a bid bond is required, the parties ought to consider whether to apportion costs according to the relative scope of work for each consortium member.
Cross-indemnification The consortium agreement should address the issue of cross-indemnification where the members may be jointly and severally liable towards the owner in respect of the scope of works. The consortium agreement ought to provide that each member shall be wholly responsible for any losses and claims arising out of its scope of work; in the event a claim is made against a member for default where another member is liable, the liable member ought to have control of the dispute resolution procedure; and there ought to be an express indemnity in respect of the above matters, so that each member takes responsibility for any loss it causes.
Exclusivity of members The consortium agreement should require all parties to submit their bid on an exclusive basis in order to discourage them joining a rival consortium and using the information to assist the rival consortium. Further, if one of the parties withdraws from the consortium, it should be prohibited from entering another bid with a rival consortium on the same project. Finally, the exclusivity clause ought to extend to affiliate and subsidiary companies of the consortium members. Termination and long-stop date The consortium agreement should include termination clauses covering different
circumstances. These include where the bid is unsuccessful; where the owner cancels the tender; and where the consortium agreement only covers the tender and the bid is successful. In this case, the termination of the consortium agreement will typically trigger the formation of a new consortium agreement covering the execution of the project. In addition, all consortium agreements ought to have a long-stop termination date in the event that none of the events mentioned above occur. A long-stop date provides security that the consortium will only last for a specific period of time (typically one or two years). Conclusion A poorly drafted consortium agreement could lead to internal disputes amongst the members, which could adversely affect the project. This, in turn, could lead to claims from the owner, which would further burden the consortium.
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EXCLUSIVE INTERVIEW PHILIPPE DESSOY
S I X D EG R E ES I N C O N ST RU CT I O N THE SIX DEGREES RULE NORMALLY APPLIES TO PEOPLE, BUT IN THE PECULIAR CASE OF PHILIPPE DESSOY, IT SEEMS TO APPLY BETWEEN HIM AND HIS JOB TOO. WELL OVER SIX FEET TALL AND HEADING UP SIX CONSTRUCT IN DUBAI, HE HELPED BUILD THE TALLEST TOWER IN THE WORLD. IT’S DESTINY. By Conrad Egbert
Before the towering Belgian stepped off the plane and onto the tarmac at Dubai International Airport sixteen years ago in 1992, he’d never heard of the emirate. He joined Besix in 1989 and had worked at the head office in Belgium for three and half years when he was asked by the company if he fancied moving to Dubai. Confused and unfamiliar with a name that was destined to become one of the most well known cities in the world, Dessoy feebly asked “Where?” “The company asked me to go, so I went,” says Dessoy. “I had never heard of Dubai before that, but I had of Saudi Arabia of course. Some friends from university had gone to work in Saudi and they weren’t very happy, so I wasn’t too keen to come to the Middle East or anywhere in the Gulf for that matter,” he adds. For Dessoy, the Middle East consisted of Saudi Arabia and little other versions of it. Names like Dubai and Sharjah were of no particular relevance and idea of the Gulf in his head painted classic story book tales of shifting dunes, camels and oases. “My company then convinced me to go to Dubai for two weeks to see if I liked it. I came, I saw and thought why not. I went back to Belgium and said ‘okay’ but also that I would stay for only two years.” It’s been sixteen years since then. “When I got here I was surprised to see that it was quite well developed and open. I was not expecting that. I was expecting Saudi Arabia. At that time, the company had a compound there where all the staff was staying and I thought living in a com-
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pound was not the type of life I wanted. type of demand in Europe and the money So I went to the city and the company put is also not there sometimes. Plus I’ve also me in an apartment where it was okay,” grown in the company which plays a big he reminisces. role in my staying on,” says Dessoy. “On a personal note, the quality of life here “Dubai on the other hand was quite well developed at that time, I mean Sheikh Zayed is good too; it’s a central place so you can Road was being developed into four lanes; fly off to almost anywhere; places that are some parts were already four often only a dream lanes to Jebel Ali. Since then I are at your doorstep don’t think Dubai ever looked “IN A WAY I THINK THE here; it’s liberal too, CRISIS HAS ACTUALLY of course not as free back. Development went well BEEN GOOD FOR THE until, I’d say 2003 or 2004, as Europe but its not REGION” too bad. I’ve been on when it began to go too fast holiday a few times to and it became a nightmare. In 2006 to 2008, there was just maddening Oman, Iran, North Pakistan, India, Kenya, traffic with everybody rushing everywhere, Tanzania, Uganda, and Ethiopia. There’s so in a way I think the crisis has actually great food here too. The variety is amazbeen good for the region. Things are back ing.” While living in Jumeirah one and often seen to normal and you can have a decent life at his favourite after-work haunt, Madinat again. So what brought on such an epic turn- Jumeirah, Dessoy says Dubai has several around for Dessoy who started out in the beautiful places and is a great city to live back offices of Besix as an estimator? in, but would still prefer to buy and own He is now one of the most wanted men in property in Europe. the construction fraternity not only in the “There are a few very nice places; what Middle East but globally. His little office in they’ve done with the Burj Dubai downtown Al Quoz is responsible for more than half of area, when it is finished more than what it the turnover for the company worldwide. is today, it should be a very nice place. Dessoy’s legendary rise to his current posiBut I don’t think I’ll buy property here. I tion as general manager of one of the biggest prefer to keep properties in Europe. I mean contractors in the Middle East is a success today I don’t need it. If I come back here, I story that is second to none. won’t be back for that long – maybe a few “I suppose the reason I chose to stay on weeks in winter and for just that much time, here, from a work point of view, is because dealing with the many issues surroundbusiness here is interesting. I mean the ing the buying of property here – it’s not projects we are currently working on here worth it. The cost is high, the maintenance are quite nice. We cannot do these types of charges are high. One would rather stay projects in Europe anymore. There isn’t that in a hotel; no headache.”
CONSTRUCTION WEEK NOVEMBER 21–27, 2009
NIKITAS REMOUNDOS/ITP IMAGES
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They say Dubai makes you stronger and if you’ve survived here, you can make it anywhere in the world. But many of these survivors have had their moments and Dessoy has had his share too. “At one stage I remember, I said to myself I have had enough and I wanted to leave; this was in 2007 and then I got promoted to this position and the business life changed. I mean it was a nightmare when you had to go somewhere, because you needed half a day to get to a meeting in town; it was awful but that’s changed now.” But like every action has an opposite and, mostly, equal reaction, the “good for the region” downturn also sent many companies running for cover. Dessoy reveals why he had it better than most. “I think it was more difficult for other companies than for us, because from the beginning we’ve always tried to be diversified, so we have different clients; we’ve been working in different parts of the Gulf including here in Dubai, Abu Dhabi, Sharjah, Ajman, Qatar and Bahrain. Work in Dubai is down but Abu Dhabi is doing okay, Qatar is still very good; Of course we have suffered a little because a lot of projects in Dubai have been stopped but it’s still okay; we’re still working and we’re still busy.” But unlike many companies in the same bracket Besix has not made a knee-jerk decision to enter the Saudi market. But it does feature in the company’s future plans. Egypt, on the other hand is a market that
the company is already working in and one to be even worse, so I think we need to be that Dessoy has a soft corner for. prepared as it will take some time.” “My first ever job was in Cairo. I’ve got An interesting outcome of the downturn very good memories of it. It was in 1983 to has been the offer of property in lieu of 1988. With endless trips to the Dead Sea, payments by several developers to congoing to the mountains, diving; those were tractors. And despite not being a fan of good days. Besix is working on two projects the idea, Dessoy says he’s open to hearing there. We’re just finishing the Fairmont what’s on offer. and we’re doing a job for Qatari Diar. But “As a company we’ve already bought 20 Egypt is a difficult market as the quality properties about four or five years ago, in on many projects there is not of standards order to house our staff. We have been that any international contractors would offered property in lieu of payments before, in fact just a few months ago one of the work to. “In terms of Saudi, biggest developers I’ve been there a few here did that – the times and we’ve “IF YOU’RE NOT PAID problem here is how WHAT’S THE POINT IN decided to enter the do you evaluate the TAKING UP A JOB? WE’RE kingdom, so we’re property they give NOT A BANK” going to put someyou? According to body there full time, the market rate? but of course, it will take time before we It’s inflated, it’s too high.” “The downturn has left us with a backlog start on a job and sign the contract; it may take a few more months. We don’t regret not of payments. In Dubai we have not put in entering Saudi earlier. I mean we were in a tender for the past nine months. Its not Qatar before a lot of companies went there that we haven’t been invited to bid, but that so we’ve got a good name there. Similarly, we’ve declined. If you’re not paid, what’s we were in Bahrain before and Oman as the point in taking up a job? We are owed well, so we’re in a pretty comfortable place about AED500 million (US $136 million) at the moment.” currently. I mean we are all working here Comfortable for some, means not-so-com- to earn money. We’re not a bank.” fortable for others, at least, until the economy A risky road in a region where contracbegins to look up again. But when? tors often tender to stay on the right side “I think, the recovery, will still take some of developers. Dessoy thinks not. “If you’re time. From what I hear, some people say based here, I suppose you’d tender to sur2010, 2011, 2012. Some even say 2010 is going vive, but not companies like us.”
NOVEMBER 21–27, 2009 CONSTRUCTION WEEK
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SALARY SURVEY
2009 CONSTRUCTION WEEK
SALARY SURVEY HOW MUCH ARE YOU WORTH? By Stuart Matthews
T
he first Construction Week salary survey was conducted via constructionweekonline.com, during April to September 2009. These were the darkest days of the recession in the Gulf, with a sense that everyone was waiting to see what would happen. The mood was quite pessimistic. Yet, despite the feeling at the time, the results show signs of optimism. Opinions on the likelihood of securing a pay rise, or even just retaining a job, are surprisingly positive. Responses were voluntary and passively solicited. Respondents were not asked to provide their names or any contact details. Results were collected and collated by a third-party online provider. A total of 1221 people took part. Not all answered every question. Invalid responses, such as selecting multiple age and salary
brackets, have not been counted. Salary windows for specific positions are based on people identifying themselves by that job title. Specialists in the field of recruitment and human resources have been consulted to verify the results and identify anomalies.
a pay rise anytime soon. It was pointed out that it is easy to be cynical about people’s expectations, but that there could be some basis in the optimism. Those that have held on to jobs may feel that if their company has looked after them so far, it may well do so again in the future.
ON THE RISE?
LOYALTY
With any survey there are always anomalous results, but they are frequently the most interesting. They can demonstrate a gulf in perception between an individual’s view and that of the wider industry. The starkest example of this in the CW salary survey was people’s expectations regarding pay rises. A staggering 61% of respondents believed they would receive a pay increase at some point within the next 12 months. The response to this from experts CW consulted was a resounding ‘no way’, with no one prepared to believe that 61% of the industry would be getting
While this is a nice idea, another result indicated that it is not a widely held view. When it came to questions of loyalty most
TOP 3 COUNTRIES OF ORIGIN FOR SURVEY RESPONDENTS 1. INDIA 2. PHILIPPINES 3. UNITED KINGDOM
NOVEMBER 21–27, 2009 CONSTRUCTION WEEK
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SALARY SURVEY people saw themselves as more loyal to their company than vice versa. But there is plenty of evidence that individuals can be prone to fickle changes. “Your company is a vehicle to work on big projects and get good money,” said one recruitment expert. “The last few years have proved that if you get offered a big salary increase, you are going to move. Alternatively, you only need the CEO or MD to change and the new guy might bring in his own people.” So, while all of us may be inclined to believe we are more loyal than the companies we work for, the reality is far more likely to be
determined by the opportunity to change jobs. Companies may, however, be encouraged to be loyal to longer term employees, because of the cost of letting them go. Gratuity packages accrued over many years can add up to a significant capital outlay for a company.
GOLDEN HANDCUFFS Loyalty is in large part derived from a combination of salary and perceived career opportunities. Oddly though, a large number of people who took part in the survey regarded their salary to be average or below. Only 13% indicated they thought their earnings
were above average, when compared to industry earnings around the globe. An HR expert CW consulted described this as ‘absolute nonsense’. “I don’t know anybody here, who on a daily basis, is earning less than they would in their own country,” he said. The perception that wages are below international levels seems to come from a sense of being hard done by, when compared to others. But, given that a large majority of the industry is made up of an expat workforce, why would people not move on to better paid jobs elsewhere, if rates in the Gulf were not competitive?
AVERAGE BASIC SALARIES Respondents were given the option of selecting salary windows to identify their pay level and job titles to identify their role. Averages have been worked out based on the lower and upper figures within those salary windows, with a midpoint of the average provided as a guide figure. All figures are in US dollars and represent basic monthly salaries across the six GCC countries.
ELECTRICAL ENGINEER Midpoint: $4015 The average salary of an electrical engineer is between $3214 and $4817 per month.
ALL CONSTRUCTION INDUSTRY EMPLOYEES Midpoint: $6047 The average salary of a construction industry employee is between $4849 and $7246 per month. The average salary drops to $5190 if executive positions such as CEO, managing director and general manager are removed from consideration.
GENERAL MANAGER
ARCHITECT
MANAGING DIRECTOR
Midpoint: $4500 The average salary of an architect is between $3643 and $5357 per month.
Midpoint: $12,162 The average salary of a managing director is between $9391 and $14,934 per month. The wider window in this result comes about because of the smaller number of people identifying themselves as managing directors.
CIVIL ENGINEER Midpoint: $3370 On average, a civil engineer earns between $2573 and $4168 per month. If the top 20% of results is removed, the average drops to between $1818 and $3318, producing a midpoint of $2568.
CONSTRUCTION MANAGER Midpoint: $8750 A construction manager earns an average of between $7079 and $10,421 per month.
COST ESTIMATOR Midpoint: $3904 A figure between $3095 and $4714 is the average monthly salary of a cost estimator.
32
CONSTRUCTION WEEK NOVEMBER 21–27, 2009
Midpoint: $8335 General manager was the job title with the greatest spread across the salary window options. The average salary worked out to be between $6900 and $9771 per month.
PROJECT ENGINEER Midpoint: $4023 Project engineers earn an average salary between $3141 and $4905 per month. Remove the top 20% of results and this average drops to between $2271 and $3771 per month, producing a midpoint of $3021.
PROJECT MANAGER Midpoint: $7774 Project manager was the largest category of job title in the survey, with around 25% of those who provided both salary and job title details selecting this option to describe their role. The average salary of a project manager is between $6406 and $9143 per month.
People who have worked in the region for three years or more are likely to have experienced increased salaries and benefits over that time, making it harder for them to find better paying positions elsewhere. Package structure has had a part to play in this; as rent inflation forced accommodation allowances up, people considered these allowances as an integral part of their salary. As companies struggled to deal with rent demands, packages migrated to lump sum structures, leaving employees to deal with rent independently. The calmer mood of the employment market has benefited employers, who are now no longer having staff poached for huge increases in pay and benefits. The result, say those in HR, is that now an employer can pay someone what they feel is the right money, rather than being a slave to the fluctuations of a supply and demand market. Results indicated that bigger companies tend to pay more, though, while smaller companies aren’t quite as good for the average employee, they’re a good place to
MOVING ON
1221
RESPONDENTS TOOK PART IN THE SALARY SURVEY
be for more senior professionals. It was international companies that seemed to have the greatest impact on this trend, with a possible reason being the need to recruit staff familiar with global management systems and processes. International companies need to employ people who can help make this happen, but also understand local conditions. As a result international companies appear to select their hires from a wider range of nations, whereas local companies show a greater concentration of employees originating from the Mena region.
The nature of construction work in the region means that employees are not kept on stand by, but employed project by project. This explains why unpaid leave was not a big feature for any respondents. When there is work, it goes at a fast pace. People reported long working hours (92% said more than 40), with plenty of six day weeks: 60-70 hours is considered ‘about average’. Looking ahead, there are signs of change as projects are reactivated. This is generating more competition for available resources and, according to one recruiter, higher salaries are emerging – something in the order of 20% more than six months ago. This is an upward shift that some expect to continue into 2010. A full report will be available at ConstructionWeekOnline.com in December. For detailed results read on >>>
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SALARY SURVEY
THE RESULTS In which country do you work?
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RESPONSES & ANALYSIS
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THE BULK OF RESPONDENTS (82%) WERE AGED 26-50; IN FACT, 76% WERE 31 OR OVER. The Gulf is not a place for first-jobbers. The majority of people working in the region’s construction industry are old enough to have had a few years of experience, at the very
least, in their country of origin. However, it is seen as a place where an experienced person can capitalise on their skills, be exposed to a greater range of job options,
Which description best fits the company you work for?
How many people does the company you work for employ?
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or expand their career horizons. Later in their career, people tend to move on, or move home, a factor sometimes related to children reaching a secondary education age.
How long have you worked for your current employer?
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JUST OVER HALF (52%) OF THE RESPONDENTS DESCRIBE THE COMPANY THEY WORK FOR AS ‘INTERNATIONAL’. 43% OF RESPONDENTS WORK FOR COMPANIES WITH 500 OR MORE EMPLOYEES. International companies tend to hire from a wider range of nations and employ more Western Europeans and North Americans than companies described as either regional or local. Local companies show a greater concentration of employees drawn from the wider region, especially Egypt, Jordan and Lebanon. Bigger 34
companies tend to pay more across the board, though the highest earners were spread around from the smallest to the largest firms. Smaller companies aren’t as good for the average worker, but show signs of being the best place to be for senior professionals up to general manager level.
CONSTRUCTION WEEK NOVEMBER 21–27, 2009
79% OF RESPONDENTS HAVE BEEN WITH THEIR CURRENT EMPLOYER FOR FIVE YEARS OR LESS. The majority of construction employees in the region have taken jobs with new employers within the last three-to-five years. It is clear this was in response to the available opportunities, but those in first are getting the best deal. As such, a larger proportion of the higher salary earners were represented by people who have worked for their current employer for more than five years.
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SALARY SURVEY
Less than US $1,500
US $7,500 - 10,500
US $1,500 - 3,000
US $10,500 - 13,500
US $3,000 - 4,500
US $13,500 - 15,000
US $4,500 - 6,000
US $15,000 - 30,000
US $6,000 - 7,500
US $30,000 +
THE AVERAGE SALARY OF A CONSTRUCTION INDUSTRY EMPLOYEE IN THE GULF IS BETWEEN US $4849 AND US $7246 PER MONTH (BASED ON 1090 VOLUNTARY RESPONSES). This is the average across all professions and all GCC countries, though the majority of respondents are based in the UAE, with KSA and Qatar coming a distant second and third. People were asked to indicate their basic salary, exclusive of allowances. There is a significant mix of nationalities in senior positions, especially among the engineering community.
Car: 37
Bi-annual air ticket: 9.5
Those that said they get no allowances come from all Gulf countries, including the UAE where several allowances are a legal obligation of the employer. The likelihood is people don’t realise that allowances are built into their salary.
PROFILE Julius is 43 years old and moved from Dubai to Doha in the early part of 2008, after being offered a considerable pay increase. Working as a managing director of a small ‘regional’ company, he now earns approximately US $10,500 per month.
ONLY 8% OF RESPONDENTS HAVE NOT HAD A PAY RISE FOR THREE OR MORE YEARS.
The impact of the boom years on salary was clear, with most respondents having had a pay rise within the last two years. Inflation in the GCC countries, as well as a shortage of skilled people and the staff poaching that resulted, were all factors in the steady pay increases people in the industry experienced. Of the 8% who have not received any increases in the last three years, a disproportionate number were among the highest earners in the survey.
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CONSTRUCTION WEEK NOVEMBER 21–27, 2009
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78% OF PEOPLE GET SOME KIND OF ALLOWANCE IN ADDITION TO THEIR MONTHLY SALARY.
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Niko is a 28 year old quantity surveyor originally from South Africa. He earns around US $5000 per month. He has worked in the UAE for just over four years. Initially recruited from his home country for a major infrastructure project, he has stayed with the same company since he arrived. He is now on his third project with the company, having seen the first completed and the second put on hold and turned into a car park. However, this third project is in Abu Dhabi, where he must commute every day from his home in Dubai. Niko feels he is likely to leave the Gulf within the next 12 months.
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Annual return air ticket: 53.3
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(Multiple selections were permitted)
Travel expenses: 29.5
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Do you get any allowances in addition to your salary?
Nothing: 22.2
What is your basic monthly wage?
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SALARY SURVEY Were you offered any perks instead of a salary increase?
Car: 2.2
Bi-annual air ticket or equivalent in cash: 0.6
Annual return air ticket or equivalent in cash: 2.8
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PERKS OR OTHER INCENTIVES HAVE NOT BEEN USED IN PLACE OF SALARY INCREASES, WITH 85% OF RESPONDENTS INDICATING THAT THEY RECEIVE NO SUCH INDUCEMENTS. For the small number of people who were offered an alternative to a pay rise, the most common options were an accommodation allowance and commission. Unpaid leave was not on the agenda
38
either, with 88% saying it had not been offered by their company, illustrating that in construction at least, if you have a job it is because there is work to be done.
CONSTRUCTION WEEK OCTOBER 31–NOVEMBER 6, 2009
Patrick is a 39 year old project manager from Ireland. He earns around US $7500 per month plus allowances. He has worked in the UAE for five years, having spent most of that time on a hotel project. After the project was finished he spent a few months on paid leave, while his company tried to secure new contracts. He still works for the same company, but now spends a great deal of time in Abu Dhabi working on a major interior fit out project.
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I expect a pay rise of more than 10% within
Between 1 year and 2 years: 30.4
the next year: 28.1
Between 2 years and 3 years: 5.1
I expect a pay rise of between 5% and 10% within
More than 3 years: 2.7
the next year: 18.4
61% STILL EXPECT TO GET A PAY RISE WITHIN THE NEXT 12 MONTHS.
91% OF RESPONDENTS WORK MORE THAN 40 HOURS A WEEK; 38% WORK MORE THAN 50 HOURS A WEEK.
I expect a pay rise of less than 5% within the next year: 8.7
Salary, position, age, country of origin and country of work make no difference to this; hours in the GCC construction industry are just long.
I do not expect a pay rise within the next year: 29.4 My company has announced a pay freeze: 10.2
This is the most surprising result to emerge from the survey, which was run during the darkest months of the downturn. Despite the prevailing mood of the industry, at the time, being pessimistic, with projects being placed on hold and construction work visibly slowing, particularly in the UAE, a large proportion of people expected the pattern
I believe my salary will fall over the next year: 5.2
With 5 being the highest and 1 being the lowest, how do you rate...
of regular pay rises to continue. Those that kept their jobs remain optimistic about future rewards and 44% agreed with the idea that they ‘look forward to the future with complete confidence’.
Your loyalty to your current company Your company’s loyalty to you as an employee
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ONLY 8% THOUGHT THEIR SALARY WAS ABOVE AVERAGE FOR THE REGION, WITH JUST 13% CONSIDERING IT ABOVE AVERAGE ON A GLOBAL SCALE. This contradicts the perception that working in the Gulf is a big pay day for people from around the world. In fact looking at it globally, 44% thought their salary was below average. The majority of these people indicated they earn less than US $4500 per month. The
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results raise the question of what are people doing here if they feel they can earn more elsewhere? This alone casts doubt on the veracity of the results and suggests people simply perceive themselves as a bit hard done by.
Loyalty to a company was not influenced by salary or position, but the perception of a company’s loyalty to an employee was. More senior employees, with higher salaries tended to rate a company’s loyalty to them as higher than the 68% of respondents who put their company in the bottom 60% when it came to reciprocating their loyalty.
NOVEMBER 21–27, 2009 CONSTRUCTION WEEK
39
BUILDING A
CO M M U N I T Y CONSTRUCTION WEEK CHECKS OUT THE CURRENT PROGRESS ON DOWNTOWN JEBEL ALI AND EXAMINES THE NEED FOR COMMUNAL SPACES IN MODERN COMPLEXES By Matt Warnock
T
he Dubai-based developer Limitless – part of Dubai World group of companies- has been on something of a PR drive of late; however, removed from the usual stories about breaking ground or topping out towers, these press releases have had a much more human feel. They’ve dealt with how people would ideally like to commute; how far Dubai residents walk each day on average; and creating a sense of community. For all the wondrous projects that Dubai has realised, words like ‘tallest’ and ‘biggest’ have often crowded out ‘friendliest’ or ‘greenest’, so CW was intrigued to see the site of Downtown Jebel Ali (DJA), a project that has placed much emphasis on quality of living.
40
“Work on The Galleries began with pil- continues Ameen. “We’re now approaching in mid-2006 and the main buildings ing 50% occupancy, with many more retail were completed at the beginning of 2009,” outlets, restaurants and cafes to come.” says Limitless deputy executive director Impressively designed and finished, these for the Middle East Salah Ameen, who has buildings have, however, been completed; also acted as projnot the stuff that ect director for the Construction Week “WE’RE NOW is usually interested DJA development. APPROACHING 50% DJA, explains in. For that, we head OCCUPANCY, WITH MANY Ameen, is a 2 million to one of the podium MORE RETAIL OUTLETS m² master-planned AND CAFES TO COME” level gardens that development that adorn all The Galruns 11km back from Sheikh Zayed Road, leries’ buildings. to the south west of Dubai. The GallerThey’re designed to add a lifestyle twist – a ies is an eight-building complex compris- green, landscaped area for office workers ing offices, apartments, retail and leisure to enjoy a coffee break. More importantly, facilities which was the first community they provide a spectacular vantage point project to be completed within the first from where to view all the construction phase of DJA. work that is taking place. “We already have multinationals renting We look out over the 11km corridor of DJA offices here, such as L’Oreal and Ericsson,” that, once completed, will comprise four
CONSTRUCTION WEEK NOVEMBER 21–27, 2009
THE GALLERIES IS AN EIGHT-BUILDING COMPLEX COMPRISES COMPRISING OFFICES AND APARTMENTS.
separate zones, each with its own dedicated interchange. Infrastructure works are being carried out by ARC and Kier Dubai. “We’re concentrating on infrastructure, of course, as it’s essential we get this right straight away. Around 80% of that is now in place in zone one, while the figure lies at around 50% for zones two, three and four. It’s a really tight schedule and we’re extremely close to it – all the major areas have been completed.” Leaning over the walls that run around the podium gardens helps to get an idea of the work involved, its sheer scale and the speed at which contractors are asked to operate. A huge channel has been dug along the route that a road will run. “That wasn’t there before the weekend,” says Ameen. It’s Sunday morning. Most workers, however, are buzzing around a 300m-long strip that runs between the two main sides of The Galleries. The strip
THE MAIN COMPANIES WORKING ON DOWNTOWN JEBEL ALI (ZONE ONE): • Landscape contractor: Habtoor • Main building contractor: Taisei • Infrastructure: ARC and Kier Dubai • Galleries architect: Burt Hill • Landscaping architect: SWA • SZR flyover and interchange 8: Shimizu
DEPUTY EXECUTIVE DIRECTOR SALAH AMEEN.
of trees, water features, benches and picnic will have modern, decorative fountains, spaces is an area of pride for Limitless. while the other will be alive with fish “There are lots of trees, as well as an and turtles. Such is the rate of work on this outdoor amphitheatre that holds 300 people and a giant screen. The amphitheatre will be area, Limitless expects it to be completed a venue for cultural, arts and social events; by the end of the year. On the day of CW’s we’ll show things like the World Cup, F1 visit, more than 200 workers swarm around, races and Wimbledon on the screen – a and a smiling Ameen shares a, “As-Salam Alaykum” with almost all of them. real focal point for the project. “It’s a place for people to enjoy – not just an A large portion of these are laying the office where you have to come to work but intricate stone work, while a roughly equal a living environment to interact with.” amount have been set to work on the comThis 20,000m² accounts for US $32.6 mil- plex lighting systems. lion (AED120 million) of the $544 million Pointing a narrow trench, Ameen adds: The Galleries project, but Ameen insists that “There, what we call the shallow services it could have actuare going in – telecoms ally been done for and electricity. Sewer“WE’RE CONCENTRATING much cheaper. age and district cooling ON INFRASTRUCTURE, “It’s about going are, of course, a long way OF COURSE, AS IT’S further. The finish beneath us now. ESSENTIAL WE GET THIS RIGHT STRAIGHT AWAY” and the detail is “From a project essential and, for management point of that reason, we’re view, yes, it can be a using a heavy granite for the flooring. It costs very big task, as we’ve a range of different around four times more than the standard contractors. Now, for example, there are stuff. We also imported hundreds of trees the pool contractors, the landscape contractors, the lighting installers and the from China – they had to be correct.” It’s strange that even at this early stage, MEP contractors. before the water features are filled and people The main buildings at The Galleries were eat lunches and chat on the flowing lines constructed by the Japanese contractor of the benches, the heavy granite makes a Taisei, with Al Habtoor taking the lead as genuine difference. Compared to many of the principle landscape contractor. Imagining the edge of the plaza to be Dubai’s developments, it gives the whole project weight – a feel of permanence or, flanked with restaurants and cafés, as Limitless hopes it will be, it’s easy to bizarrely, age even. Balancing that are the main water fea- imagine the area as a charming, atmotures that lie at each end of the plaza. One spheric European street; something that,
NOVEMBER 21–27, 2009 CONSTRUCTION WEEK
41
A PODIUM GARDEN AT THE GALLERIES, DJA.
in itself, is a commendable feat of design to DJA, and the Metro station that lies a and construction. few hundred metres from The Galleries is “Even during the height of summer, the a reminder of that. plaza will receive just two and a half hours “I was with the RTA a month ago and they of direct sunlight per day. We’ve maximised said that the station would be up-and-runshaded areas and you can imagine how pleas- ning by March 2010. We did a lot of research ant that will be during with a dedicated team and the rest of the year,” between DJA and Jafza (Jebel “WE ACCEPT THAT explains Ameen. Ali Free Zone), we believe PEOPLE WILL WANT Inevitably but still we’ll get around 20% usage TO USE CARS, BUT unfortunately, the – that means 40,000 people THE POINT IS THAT design expertise for YOU DON’T HAVE TO” using this station alone.” such a project was not Limitless corporate media available locally. relations manager Rebecca The Galleries was designed by Pittsburgh’s Rees adds: “We accept that people will Burt Hill Architects, while the landscaping want to use cars and that’s a question of of the plaza came from the imaginations of education, but the point is that you don’t designers at California-based SWA. have to. There’s mass transport and you’ve “We turned mainly to US-based architects everything within a stone’s throw – Citywith international experience, which really bank and Standard Chartered have now makes a difference to this over other projects. opened offices here.” We wanted a landscape that interacted with The first 300 residential units are expectits surroundings and its occupants. ed to be delivered mid-2010 and Limitless Transport is a key ingredient in the liv- hopes that many of the companies with ing ethos that Limitless has tried to bring offices or head quarters in The Galleries
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will take advantage of the residential units for their employees. With The Galleries covered, we take a drive around the rest of the zone one site. Two substations are currently under construction – one each for zones one and two – with the first ready in three months’ time. Seventy-six further projects have been approved by Limitless for development by third party developers. Many of these have already broken ground on their projects and workers we’re visible on some of these. Others had made tentative steps, placing hoardings around the site. This, says Ameen, had not been the case a couple of weeks earlier. “We have a specific developer code that must be adhered to and each sub-developer also has to submit a programme – as standard, that means five years from handover which in most cases has already taken place. “We ask them to share their programmes so that we can help them to deliver DJA together. Of course, now more than ever, we do realise that projects will be market driven too.” Work is underway on a flyover taking traffic directly from Sheikh Zayed Road to zone one of DJA, with Japan’s Shimizu Corporation carrying out that contract, along with the work on interchange eight, due for completion in 2010. Ameen also points out where, he hopes, work will soon begin on the development’s first mosque. The design has been approved and there will be room for 450 worshippers. The tender for the mosque will go out soon. Both the interchange and the mosque are signs of a young but maturing area. Jebel Ali still straddles the divide between being the barren expanse of desert it once was and the industrial, manufacturing capital it’s set to become. Its sense of place and identity is palpably growing, with the giant Maktoum airport just minutes away, where work, according to some reports, has already begun on runway two. More business and industry can only be a good thing for the area and help to increase the value of projects such as Downtown Jebel Ali. In years to come, it may be that Limitless has not just constructed a mixed-use project, but a tranquil oasis in an ocean of industry.
CRANES FULL OF EASTERN PROMISE
On the roof of The Galleries, various parts of lift machinery were installed using seven machines from Chinese firm Zoomlion with the model number TC6517A. While these cranes are not the most expensive on the market, they have some good features, such as modern PCL control and a 10-tonne SWL. Munusamy. Mano, the HSE manager from Taisei, the main contractor on the commercial towers was most satisfied with the performance of them. “These have been good cranes” he said. “We bought them brand new for this project, and we have had no trouble. Actually, the support from the factory has been excellent.” Cranes from Asia have become a common sight in the Middle East over the last few years. Price aside, during the boom times, they were all anybody could get hold of, with lead times of around three months as opposed to as long as two years for some western brands at the time. Like most modern CAD-designed cranes, the seven identical units were designed to
be modular, so that they might be easily taken down and moved somewhere else when the project is complete. Speed modulation with frequency conversion means a more stable operation. Quality was a concern, especially with the grade of steel used in some Chinese products, but with this brand Mano had no such worries. “They undergo regular and very thorough inspections” he said, indicating coloured stickers which signify a recent check. Up on the roof, it was a pleasure to witness the attention to detail in keeping the place as safe as could be. All the scaffold towers had an inspection tag, which was renewed every seven days if safe. The men all wore the correct PPE, including high-impact eyeware, and Mano assured Construction Week that all of the crane operators had refresher courses on the ground every six months. Wouldn’t it be great if all construction sites were run in that way?
NOVEMBER 21–27, 2009 CONSTRUCTION WEEK
43
BUILDING
BRIDGES AS THE MIDDLE EAST DEVELOPS, SO TOO DO THE TECHNIQUES AND TRENDS FOR BRIDGE CONSTRUCTION. CW DISCOVERS THE SYSTEMS USED TO SAVE TIME, ENERGY AND MATERIALS By Sarah Blackman
T
wenty or so years ago, bridges passing through the Middle East were built to run over vast open deserts with few obstacles to contend with. Now, new highways are going live, islands are being built at sea and buildings are rising from the sands. Bridges have to get over such obstructions and, as a result, their design and construction has had to become much more advanced.
SAVING TIME One of the knock-on effects of a developing city is the rise in population, which leads
44
to congestion. So, when building bridges, contractors now have to work faster to avoid interfering with other infrastructure. “Constructing a bridge is often a significant degree more complicated than building other structures, given the presence of live waterways, roads, and railways,” says Warwick Ironmonger general manager of Nasa Structural Systems in the Middle East, which offers services in post-tensioning, external pre-stressing, stay cables, heavy lifting and strengthening. “These [obstacles] may not only restrict access but often demand the completion of the structure in the shortest possible time to minimise the disturbance of existing traffic.”
CONSTRUCTION WEEK NOVEMBER 21–27, 2009
NASA GENERAL MANAGER WARWICK IRONMONGER.
“CONSTRUCTING A BRIDGE IS OFTEN MORE COMPLICATED THAN BUILDING OTHER STRUCTURES”
> For more special reports visit www.ConstructionWEEKonline.com
Consultants working on the Al Wadha Road project in Sharjah, UAE were given just two years to close one of the emirate’s busiest highways in order to carry out their work, which included the construction of a 550m-long viaduct. RJR Engineering is one company that offers a solution aimed at meeting the needs of developers who need to construct a bridge quickly and effectively. The company supplies a system that can be moved along a bridge without dismantling. The system has unique features, which enable quick and easy assembling. “We can move the system three times without dismantling it. If you have lots of repetition, you don’t need to keep taking it up and down, you can move the whole system as a big chunk,” says RJR managing director Roger Ratcliffe. “The equipment is robust, thus ideally suited to the rough and tumble conditions on civil engineering sites. It is not unusual to see our large tables being carried between structures with large all-terrain fork lifts.”
IMPLEMENTING POST-TENSIONING INTO BRIDGE CONSTRUCTION CAN RESULT IN SAVINGS OF CONCRETE.
RJR has supplied its formwork to the completed Sheikh Khalifa Bridge, as well as over 300 bridge structures across the UAE. “Bridge construction, if in situ, is very much formwork dictated and the choice of a fast, efficient system is imperative to speedy and quality related work.”
MAINTAINING QUALITY Construction in the Middle East was once about watching a city grow and come to life, now developers need to take into account the long-term effects on their projects. Premature corrosion of concrete structures, such as bridges, is a growing problem here,
especially in marine environments. This can result in the need for regular maintenance, which often comes at a hefty price. But, according to Torben Krebs, general manger for Arminox, a leading supplier of stainless steel reinforcement, many contractors are blind to this fact. “Although we have seen a lot of futuristic structures coming up over the past two decades, construction is still very traditional in the Gulf,” he says. There are two reasons behind this. One: the developer likes to use the same old systems and the same old materials. “He knows the setbacks, but he believes he can handle it.” As a result, Krebs predicts that the Gulf will soon experience an unexpected explosion in maintenance and repair costs, to be allocated to existing but quite new structures.
“STAY CABLE BRIDGES ARE VERY SUITABLE FOR TRAVERSING WIDE RIVERS OR LARGE BODIES OF WATER” “The second reason is the fact that any change in design or research into new materials means application of man hours,” he continues. “Therefore, unfortunately, we see specifications for designs or products, which would never be used in Europe or the US.” Epoxy coated reinforcement, increased concrete cover, chemical inhibitors and cathodic protection have been tested on structures, such as bridges, but failed to protect the concrete against corrosion. Krebs believes there is only one solution for this problem: “If stainless steel reinforcement is introduced in the corrosion
VSL DEPUTY GENERAL MANAGER STEPHEN BURKE.
BRIDGE SUPPLIERS AND THEIR PROJECTS NASA STRUCTURAL SYSTEMS Established in 1959, Nasa Structural Systems offers a variety of specialised services in bridge construction which include strand, wire and bar post-tensioning, external pre-stressing, stay-cables, incremental launching, heavy lifting, load handling, and strengthening. Selection of bridge projects: • Interchanges two and four on Sheikh Zayed Road, Dubai • Dubai Ring Roads (Emirates Road) Phase 1, Dubai • Dubai International Airport Access Bridge and Terminal 3 and Cargo Village access bridges • Improvement of North Manama Corridor, Bahrain • Zallaq Bridge, Bahrain • Mall of the Emirates access bridges, Dubai
STRUCTURAL SYSTEMS PROVIDED PRE-STRESSING SERVICES FOR INTERCHANGE NO.2, SHEIKH ZAYED ROAD.
VSL VSL is a specialist contractor whose flagship activity is post-tensioning of buildings, bridges and other civil engineering structures. It also provides solutions in precasting and segmental bridge erection
46
MULTISTRAND POST-TENSIONING WAS SUPPLIED TO BUILD THE MALL OF EMIRATES ACCESS BRIDGE.
CONSTRUCTION WEEK NOVEMBER 21–27, 2009
zones of the structures, there will be no corrosion and grades of stainless steel with a guaranteed lifetime of more than 150 years are now commercially available.” Arminox has worked on projects such as Pearl Qatar Bridges and Site Causeway Bridges in Bahrain.
TREND SETTERS New trends in the industry have also affected the way we build bridges. One of the key trends in the Middle East is to build manmade islands, resulting in a need for bridges to be built over water. Modern technologies implemented by NASA Structural Systems, such as the incremental launching of bridge decks via the use of launching noses, combined with sliding bearings and bonded post-tensioning, permit bridge structures to be completed over existing waterways and in-service roads and railways, where building in a more conventional manner with traditional scaffolding is not possible or practical. VSL, a post-tensioning and structural strengthening company, together with its partners AST Overseas, has recently been awarded the Hodariyat Island Bridge in Abu Dhabi as the main contractor. This will be the first stay-cable bridge to be constructed in the UAE. “Stay-cable bridges are very suitable for traversing large bodies of water,” says VSL deputy general manager Stephen Burke.
POST TENSIONING IS NOW USED IN MORE THAN
90% OF BRIDGES IN THE UAE
“In the case of the Hodariyat Bridge the stay-cable is a good solution both technically and aesthetically due to the fact that there is a wide maritime navigation channel to cross.” Nasa Structural Systems’ stay-cable technology is also proven to give bridges extra strength. “It offers a means of supporting bridge decks from cables attached to the bridge towers or pylons, providing an aesthetic and economical solution for bridges longer than those typically seen in cantilever bridges and shorter than those typically requiring suspension bridges,” explains Ironmonger. Saving on materials and systems, such as cables, is another key trend in the construction world – particularly when green
building standards and codes are rapidly coming into place. “The application of pre-stressing, whether it is via internal or external post-tensioning, and/or the introduction of stay-cables to bridges results in significant savings of concrete and reinforcement when compared to conventionally reinforced bridge decks,” adds Ironmonger. “This translates into savings in not only water and cement but aggregate, steel etc.” VSL’s post tensioning technology also contributes to the environment by reducing CO2 emissions in the construction process, according to Burke. Overall post-tensioned structures have a reduced environmental impact when compared to more traditional construction methods. For example, the CO2 emission for reinforced concrete is 129.9kg CO2 per m² compared to 95.3kg CO2 per m² for post-tensioning. “By using post-tensioning instead of reinforced concrete on a typical high rise tower, you save on structural concrete cross sections, allowing for thinner floors and slabs, thus giving rise to immediate reductions in concrete volumes,” he says. Whether developers and contractors like it or not, the Middle East is changing and construction companies will have to follow suit if they want their projects to stand the test of time. This is a challenge, but developers need to face it now and not just cross that bridge when they come to it.
BRIDGE SUPPLIERS AND THEIR PROJECTS (continued) launching gantries, retained earth, staycables, heavy lifting, strengthening and repairs, foundations and bar systems. Selection of bridge projects: • Sheikh Zayed Bridge – Abu Dhabi • The superstructure works for the Dubai Metro • Saaydiat and Yas Island Bridges • The new Al Garhoud Crossing • Gateway Bridge onto Palm Jumeirah • Trunk Spine Bridge on Palm Jebel Ali • Business Bay crossing • The double decking of Doha Road • Interchange 5.5, Dubai
48
RJR ENGINEERING
ARMINOX
RJR Engineering Global Formwork offers a system that can be moved along a bridge without dismantling. The system has unique features, which enable quick and easy assembling. RJR has worked on over 300 bridge structures in the UAE.
Arminox is a leading supplier of stainless steel reinforcement for concrete structures and has factories and service centres in Europe, the US, UAE, Bahrain, Australia and China.
Selection of projects: • Interchange 5.5, Dubai • Business Bay Bridge, Dubai • Muscat Expressway, Oman – over 22 bridges and Wadi crossings are using the RJR system widening of Emirates Road • Sheikh Khalifa Bridge
CONSTRUCTION WEEK NOVEMBER 21–27, 2009
Selection of projects: • Sheikh Zayed Bridge, Abu Dhabi • Pearl Qatar Bridges, Qatar • Sitra Causeway Bridges, Bahrain • Qasr Al Alam Palace, Oman • RTA Flyovers, Dubai • Financial Harbor, Bahrain • Ras Laffan Port Expansion, Qatar
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§ § § § § DIRECTORY
DIRECTORY SHOWCASE | TENDERS | PROJECTS | SUPPLIERS | CITY UPDATE
52 SHOWCASE 54 TENDERS 55 PROJECTS SPECIALIST SERVICES 56 Building materials 57 Construction chemicals/concrete 58 Education & training/flooring 59 Recruitment/steel CITY UPDATE 60 Baghdad, Iraq
To advertise please call Shishir Desai +971 4 435 6375, or email shishir.desai@itp.com
NOVEMBER 21–27, 2009 CONSTRUCTION WEEK
51
¦SHOWCASE
For images within these pages please email editor@constructionweekonline.com
ITP IMAGES FOR IMAGES WITHIN THESE PAGES PLEASE EMAIL EDITOR@CONSTRUCTIONWEEKONLINE.COM
TOP LEFT AND RIGHT: These two images depict a part of Mirdif City Centre’s most dramatic feature, the main central galleria. It is designed as an active urban street and town square that progresses from the landscaped entrance through the heart of the scheme, forming a series of themed interconnecting rooms, with roof structures spanning 37m, 20m high carrying decorative aluminium screens weighing 0.3 tonnes each. The Galleria is divided into three courts, two of which can be seen in these images – the Palm Court and Eden Court. The emphasis on the overall design has been a strong use of natural light to illuminate the mall. RIGHT: The northern side of Mirdif City Centre linking the north eastern car park and the western car park. There have been spaces provided for 7000 car parks. Shop units are being fitted out on either side of the travelator, linking Carrefour on the ground level to the upper level car parks.
CONSTRUCTION WEEK AWARDS 2009: Alec picked up the Contractor of the Year award for its work on Mirdif City Centre project. 52
CONSTRUCTION WEEK NOVEMBER 21–27, 2009
MIRDIF CITY CENTRE Mirdif City Centre is a 196,000m² super regional community destination scheduled for opening on March 16, 2010 in the North East Growth corridor of Dubai. Built at an investment of approximately US $816.7 million (AED3 billion), the centre strategically integrates community services, an innovative leisure and entertainment component, and a mix of top brands – with 200 being new to Mirdif, Deira and the Northern Emirates.
NOVEMBER 21–27, 2009 CONSTRUCTION WEEK
53
For images within these pages please email editor@constructionweekonline.com
LEFT AND BELOW: Mirdif City Centre is designed in a simple rectangular, racetrack layout with nodes at the intersections to act as areas for the mall’s eight anchor stores. These images show two triple height pivotal corner nodes with alternative decorative design solutions, as seen from the first floor of the mall, to allow for natural light to come into the mall. The city centre project was first announced in April 2007 with construction beginning in August of the same year. Facilities will include two food courts, cafes, restaurants, a 10 screen cinema complex, an outdoor cinema, Magic Planet children’s entertainment area, and an ‘iFly’ indoor skydiving center.
TENDERS §
¦TENDERS FREE TENDERS AND SERVICES IN THE CONSTRUCTION INDUSTRY TO INCLUDE YOUR TENDERS IN THIS SECTION EMAIL TENDER DETAILS TO EDITOR@CONSTRUCTIONWEEKONLINE.COM
Tender focus
UAE MINISTRY OF PUBLIC WORKS
To include your tenders in this section email tender details to editor@ConstructionWeekOnline.com
The Ministry of Public Works in the UAE is responsible for the federal road construction, urban planning, housing and the construction of public buildings such as community centres, markets, mosques, clinics and schools. The ministry has recently opened a tender for the construction of a maternity and children’s hospital in Sharjah. The bidding deadline is December 22. The hospital is reported to have an obstetrics and paediatric department, gynaecology units and an open heart surgery unit once complete. The government body has also released a tender for the construction of the Al Hamadiah Intersection in Ajman, UAE. The bidding deadline for this contract is December 8.
BAHRAIN Issuer: Electricity and Water Authority Tender No: 283/2009/4130 Description: Supply, installation and commissioning of chimney lights for Riffa phase one and two. Closes: November 25 Fees: BD15 Bond: BD500 Contact: www.tenderboard.gov.bh Issuer: Electricity and Water Authority Tender No: 307/2009/6015 Description: The scope of work includes renovation of administration building at Sitra Power and Water Station. Closes: December 2 Fees: BHD15 Contact: www.tenderboard.gov.bh EGYPT Issuer: Chamber of Commerce in Assuit Description: Construction of the Chamber’s new residence. Closes: November 23 Fees: EP1000 Bond: EP150,000 Contact: Al Awqaf Buildings, Building No.5, Assuit
A TENDER IS OUT FOR THE CONSTRUCTION OF A NEW HOSPITAL IN SHARJAH.
Closes: November 30 Fees: OR500 Contact: www.tenderboard.gov.om Issuer: Ministry of Foreign Affairs Tender No: 320/2009 Description: Expansion of Ministry of Foreign Affairs at Al Qurm Bausher Closes: November 30 Fees: OR1000 Contact: www.tenderboard.gov.om Issuer: Ministry of Housing Tender No: 301/2009 Description: Construction of 32 housing units and a mosque in the Al Sharqiya region. Fees: OR500 Closes: December 7 Contact: www.tenderboard.gov.om Issuer: Ministry of Health Tender No: 307/2009 Description: Construction of health centre at Musanah. Closes: December 7 Fees: OR375 Contact: www.tenderboard.gov.om
SAUDI ARABIA Issuer: Royal Commission for Jubail and Yanbu Tender No: PIC G-1679E Description: All work necessary for a complete operational facility of Juma Mosques. Closes: December 5 Contact: Director, Purchasing and Contracting Department, PO Box 30031, Madinat Yanbu Al Sinaiyah Issuer: Saudi Railway Organisation Tender No: 218 Description: Specification for the design of new bridges for the rail line with the assessment of the existing railway bridges and concrete sleepers on the rail line in various locations between Dammam and Riyadh. Closes: December 7 Contact: www.saudirailways.org UAE
QATAR OMAN
Issuer: Public Works Authority Tender No: PWA/GTC/045/09-10 Description: Reconstruction of the Najma Road extension. Closes: December 8 Fees: QR7000 Contact: Contract Department, Public Works Authority
Issuer: Petroleum Development Oman Tender No: C311132 Description: Engineering, procurement, installation and commissioning of an integrated power station at Qarn Alam. Closes: November 21 Contact: www.pdotenders.com
Issuer: Public Works Authority Tender No: PWA/GTC/044/09-10 Description: Construction of temporary and permanent roads in zones 76 to 79. Closes: November 24 Fees: QR2000 Contact: Contract Department, Public Works Authority
Issuer: Ministry of Regional Municipalities and Water Resources Tender No: 297/2009 Description: The scope of work includes the construction of a sewage treatment plant and sewerage network system for Misfat Al Abrean suburb in Wilayat Al Hamra.
Issuer Public Works Authority Tender No: PWA/GTC/045/09-10 Description: Reconstruction of Najma Road extension. Closes: December 8 Fees: QR7000 Contact: Contract Department, Public Works Authority
Issuer: Ministry of Public Works Tender No: 2009/167/10-341104-7091-7048 Description: Construction of a maternity and children’s hospital in Sharjah, UAE. Closes: December 22 Fees: AED8000 Contact: www.mopw.gov.ae Issuer: Dubai Electricity and Water Authority Tender No: CE/0423/2009 Description: Supply, installation, testing and commissioning of 132/11KV substations. Closes: December 6 Fees: AED5000 Contact: www.dewa.gov.ae > For more tenders check online at www.ConstructionWEEKonline.com/tenders
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CONSTRUCTION WEEK NOVEMBER 21–27, 2009
¦PROJECTS
> For the latest projects information visit www.ConstructionWEEKonline.com/projects
§ PROJECTS
A OMAN DATABASE - BUILDING PROJECTS FOCUS TO LIST YOUR PROJECTS IN THIS COLUMN EMAIL DETAILS TO EDITOR@CONSTRUCTIONWEEKONLINE.COM
Project focus
DUQM BEACH HOTEL Duqm Beach Hotel is set to be built around 450km south of Muscat, Oman and will spread across 180,000m² of land adjacent to the Indian Ocean. The hotel will comprise 200 rooms, 28 chalets, numerous restaurants, a health spa and meeting and banquet facilities. Potentially, a second phase will include service apartments. Two bidders have so far applied for the main construction contract including Larsen and Toubro, which submitted a US $210 million (OR80 million) offer, while Galfar Engineering and Contracting submitted a $161 million offer. An award for the contract is imminent. The project is expected to be completed by the first quarter of 2011. PROJECT TITLE
DUQM BEACH HOTEL WILL SPREAD ACROSS 180,000M².
CLIENT
CONSULTANT
MAIN CONTRACTOR
VALUE (US$MN)
STATUS
BURAIMI UNIVERSITY COLLEGE BUILDING
Buraimi University College
Gulf Engineering Consultancy
Not Appointed
31 - 100
project under design
RENOVATION OF INTERCONTINENTAL HOTEL IN MUSCAT
Omran Office
Pentago Spowers International
Not Appointed
16 - 30
project under design
DHOFAR UNIVERSITY IN SALALAH - PACK 1
Dhofar University
National Engineering Office
Al Hashemi & Al Rawas Company
21
project under construction
NEW TELEVISION STUDIO COMPLEX
Ministry of Information
Austro Consult
Bahwan Contracting Company
33
project under construction
HEADQUARTERS BUILDING FOR BANK OF MUSCAT
Bank of Muscat
Atkins
Galfar Engineering & Contracting
71
project under construction
DEVELOPMENT OF JABAL AL AKHDAR RESORT HOTEL
Omran Office
AW2
Not Appointed
31 - 100
project under design
FAIRMONT HOTEL
Fairmont Hotel & Resorts/The Wave Muscat
Echo Designer Consultants
Not Appointed
101 - 250
project under design
CROWNE PLAZA DUQUM RESORT
Omran Office/Inter Continental Hotel Group
KEO International
Not Appointed
251 - 500
project under design
HOSPITAL IN SOUTH SALALAH
Ministry of Defence
Ibn Khaldun
International Contractors Company
16 - 30
project under construction
PSYCHIATRIC HOSPITAL AT AL AMERAT
Ministry of Health
Khatib and Alami
Bahwan Contracting Company
107
project under construction
RENOVATION OF SHERATON OMAN HOTEL
Al Hasher Group
Atkins
Zubair Furnishing
25
project under construction
THE MALKAI AT BARKA
Al Maeen Real Estate Services Company
Triad Oman/AW2
Not Appointed
250
project under design
OFFICE BUILDING AT AL KHUWAIR
Ministry of Housing Electricity & Water
Al Hatmy Engineering Consultant
Burj Oman
2.5 - 15
project under construction
BONE MARROW TRANSPLANT UNIT BLOCK
Sultan Qaboos University Hospital
Gulf Engineering Consultancy
Not Appointed
16 - 30
project under design
DAR AL MAHA RESIDENTIAL BUILDING - PHASE 1
Sohar International Development & Investment
Engineering Innovation Design
Al Hajiri Trading
16 - 30
project under construction
INTERNATIONAL MARITIME COLLEGE OMAN
Ministry of Manpower
Gulf Engineering Consultancy
Al Khalili United Enterprises
35
project under construction
HOUSING COMPLEX AT SOHAR
Abdulla Moosa
Al Hatmy Engineering Consultancy
Iskan Contracting Company
17
project under construction
REDEVELOPMENT OF THE CROWNE PLAZA RESORT SALALAH
Ministry of Tourism
Consulting Engineering Services
Not Appointed
31 - 100
project under design
OMAN
To list your projects in this section email details to editor@ConstructionWeekOnline.com
CONSTRUCTION PRODUCTS AND SERVICES MADE EASY IN CONSTRUCTION WEEK’S DIRECTORY TO ADVERTISE PLEASE CALL +971 4 435 6375, OR EMAIL SHISHIR.DESAI@ITP.COM
Supplier focus
JOTUN
MANUFACTURER OF PAINTS AND COATINGS
To advertise please call +971 4 435 6375 or email shishir.desai@itp.com
Founded in 1926 in Norway, Jotun - one of the world’s leading paint manufacturers - established its presence in the Middle East in 1974, with Jotun UAE. Ever since, Jotun has expanded throughout the region and according to the company, is the first paint manufacturer to be awarded the ISO 9001 certification. The group has factories including the recently opened plant in Al Quoz, Dubai, UAE - the biggest factory worldwide for Jotun and the Middle East. Jotun has been at the forefront in terms of developing products specifically suited to local conditions. Three decades of experience in the Middle East has helped the company produce a variety of conventional and specialised coatings - each incorporating technological developments while offering performance with economy - catering to the various product segments and demands of the different markets. Today, Jotun’s product range includes decorative, marine, floor/concrete protection and powder coatings. The company also offers coatings that protect steel and concrete against corrosion. Jotun has 71 companies and 40 production facilities on all continents. Including the total network of legal companies, agents, branch offices and distributors, Jotun is represented in 80 countries. Jotun’s operations cover development, production, marketing and sales of various paint systems and products.
KHATUNA KHUTSISHVILI/ITP IMAGES
SPECIALIST SERVICES §
¦SPECIALIST SERVICES
JOTUN REGIONAL MARKETING MANAGER ERIK KRISTENSEN.
BUILDING MATERIALS
56
CONSTRUCTION WEEK NOVEMBER 21–27, 2009
BUILDING MATERIALS
HARD LANDSCAPING SUPPLIER
CEILINGS/PARTITIONS
§ SPECIALIST SERVICES
> For directory information visit www.ConstructionWEEKonline.com/directory
Calcium silicate and cement bre boards of thickness 6mm, 9mm and 12mm. Tiles vinyl fabricated and painted. CONSTRUCTION/MANUFACTURERS
CONSTRUCTION CHEMICALS
Concrete injection packers and pumps
DEWATERING
Engineering Works Foundation Infrastructure (L.L.C.) P.O. Box: 111245, Dubai - U.A.E. P.O. Box: 2752, Abu Dhabi - U.A.E. Tel: +971 4 340 9022 Fax: +971 4 340 8952 E-mail: brian@ewfi.ae
SPECIALIZED DEWATERING SERVICES: • Specialized in Deepwell, Wellpoint, Open pumping techniques • Professional Service
www.polyplan.com
OTAL (LLC) Dubai, U.A.E Phone: (+971-4) 267 9646 e-mail: otal@eim.ae website: www.otal.ae
• Round the clock backup • Effective Groundwater control NOVEMBER 21–27, 2009 CONSTRUCTION WEEK
57
To advertise please call +971 4 4 435 6375 or email shishir.desai@itp.com
CONSTRUCTION/MANUFACTURERS
SPECIALIST SERVICES §
¦SPECIALIST SERVICES CONSTRUCTION PRODUCTS AND SERVICES MADE EASY IN CONSTRUCTION WEEK’S DIRECTORY TO ADVERTISE PLEASE CALL +971 4 435 6375, OR EMAIL SHISHIR.DESAI@ITP.COM
CONTRACTORS/MANUFACTURERS
LANDSCAPING
FLOORING
LOOK!! ½P PRICE
LESS THAN
EUROPEAN STYLE CHERRY SOLID WOOD 2
ORIGINAL PRICE $34m CLEARANCE PRICE 2
2
$15m
2,000m AVAILABLE IN DUBAI
To advertise please call +971 4 435 6375 or email shishir.desai@itp.com
Alomi
Albert +971 50 854 5629 Simon +971 50 854 5327 Office +971 4 885 8825 www.alomirealwoodflooringllc.com A
L
O M
I
REAL WOOD FLOORS LLC
HVAC & PLUMBING RELATED EQUIPMENT
58
CONSTRUCTION WEEK NOVEMBER 21–27, 2009
PP CORRUGATED SHEETS
POST TENSIONING
RECRUITMENT
ยง SPECIALIST SERVICES
> For directory information visit www.ConstructionWEEKonline.com/directory
RECRUITMENT
,OOKING TO RECRUIT WORKERS FROM
)NDIA .EPAL
"ANGLADESH 3RI ,ANKA
0HILIPPINES 4HAILAND
6IETNAM 0AKISTAN To advertise please call +971 4 4 435 6375 or email shishir.desai@itp.com
OR LOCAL LABOUR SUPPLY 7E ALSO UNDERTAKE -IGRATION 3ERVICE TO !USTRALIA #ANADA 4EL &AX % MAIL ASSIDUAA EIM AE STEEL
STEEL
HEM, IPE, IPN, UPN
STEEL
WOOD AND TIMBER
NOVEMBER 21โ 27, 2009 CONSTRUCTION WEEK
59
DANIEL BEREHULAK/GETTY IMAGES
CITY UPDATE BAGHDAD, IRAQ
Rebuilding Baghdad BAGHDAD IS A CITY WITH A LOT OF BAGGAGE – BUT THROUGH CONSTRUCTION, IT MAY HAVE A MUCH BRIGHTER FUTURE By James Boley
I
t’s hardly a secret that Baghdad hasn’t been a hotbed of construction in recent years, and with good reason. However, while the situation in the Iraqi capital remains ever tenuous, recent months have seen the government take serious steps to bring one of the oldest and largest cities in the region back onto the map. Currently, Baghdad’s main project is one that will probably seem familiar to anyone in Dubai or Riyadh. October saw eight firms shortlisted for the Baghdad Metro, a city transportation projects estimated to be worth US $3 billion to $4 billion. Twenty firms originally bid for the project, which include two lines with a total length of 39km and 41 stations. The companies now on the shortlist include
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France’s Systra, Britain’s Pell Frischmann and Cyril Sweett Group, US firms Parsons Brinckerhoff and Aecom, Germany’s RMS, Turkey’s Makyol and Mebex, a Lebanese firm. Tourism also seems to be part of the grand plan for the future as well. Currently under construction is the Rotana Baghdad, designed by Dubai-based Dewan Architects and Engineers. The 10-storey hotel is being touted as the country’s first truly five-star hotel. “While other ‘five-star’ hotels exist [in Iraq], nothing has really been built in the country since
“WHILE OTHER ‘FIVE-STAR’ HOTELS EXIST [IN IRAQ], NOTHING HAS REALLY BEEN BUILT IN THE COUNTRY SINCE 1971”
CONSTRUCTION WEEK NOVEMBER 21–27, 2009
CONSTRUCTION WORKERS CONTINUE WORK ON THE NEW UNITED STATES EMBASSY COMPOUND.
1971,” explains Ammar Al Assam, Dewan executive director. Currently under construction, Rotana Baghdad is located in the centre of the city—formerly known as Baghdad’s ‘green zone’—and once complete, is poised to be the unofficial destination-of-choice for affluent visitors, dignitaries and heads of state. “Iraq has a huge potential for religious tourism,” says Al Assam. “The country is 80% Shi’ah and there are around 250 million Shi’ahs outside Iraq.” Unsurprisingly, there are also a large number of reconstruction contracts on the table for the Iraqi capital, as the city begins to look at increasing housing and hospitals, and improving transport. Baghdad’s Bab Al Shaikh district is to be fitted out with housing and buildings to host public service provders, along with multi-storey car parks and links to the neighbouring express highway. Meanwhile, in the Kudher Elias district of the Al Karkh area of Baghdad, a major development project is in the pipeline. Planned for the area are a 15-storey, five-
WORKERS CONSTRUCT A MONUMENT ALONG THE ROAD LEADING TO THE AL SHAAB STADIUM.
star hotel, a cinema, canals, a fountain and park areas. Clinic projects in Baghdad are also proving fertile ground. In June, the UK’s MJ Medical (MJM) was named as the lead design consultant on a $400 million deal to build three new teaching hospitals in Iraq. Alongside unidentified Lebanese partners, MJM will design, build and equip three
SCOTT NELSON/GETTY IMAGES
SABAH ARAR/AFP/GETTY IMAGES
“IT TAKES A COMBINATION OF LOCAL KNOWLEDGE AND OPERATIONAL EXCELLENCE TO SUCCEED IN THE REGION”
IRAQI CONSTRUCTION WORKERS LAY CONCRETE DURING WORK ON THE SHARKH DIJLAH.
400-bed clinics in Baghdad, Diyala and Diwaniya. The three facilities are scheduled to open in June 2011. “Contributing to a project that will offer the Iraqi people hope for their future as well as a tangible improvement in their day-today lives is a responsibility that we take extremely seriously,” says MJM strategic director Nathaniel Hobbs.
“The project underlines both the strength of the relationships we have with our clients in the Middle East, and the capabilities of our company. “It takes a combination of local knowledge and operational excellence to succeed in the region, which is something we have been doing successfully for more than 20 years,” Hobbs adds.
ConstructSAFE Trench collapse
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CONSTRUCTION WEEK NOVEMBER 21–27, 2009
> For the ConstructSafe comic strip log on to www.ConstructionWEEKonline.com
Introducing the Construct Safe lead characters (from Left to Right)
experience. Poor health, safety & welfare knowledge
Raoul: Senior Supervisor with 30 years experience and good health, safety & welfare knowledge
Farik: Apprentice labourer new to the industry with no experience. Poor health, safety & welfare knowledge
Achmat: Construction labourer with little
Illustrations by Jincom Publishing
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NOVEMBER 21â&#x20AC;&#x201C;27, 2009 CONSTRUCTION WEEK
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DIALOGUE RODERICK WILES Talking timber Roderick Wiles, consultant for the American Hardwood Export Council (Ahec), discusses the benefits of wood as a sustainable material and the merits of FSC certification
By Matt Warnock
How has American hardwood fared during the downturn?
In the US, hardwood has not escaped the crisis and, over the past few years, demand has also fallen due to domestic manufacturing turning to China. The recession in the US, of course, started with finance and then quickly spread to housing, so domestic demand is down and the US accounts for 80% of US hardwood demand. The GCC has taken a big hit over the past 18 months but there is still growth in American hardwood, even if that’s less growth than before. How sustainable is American hardwood as a material?
How can this entire chain of custody be checked and verified, which is what FSC certification demands? Take the new Michael Hopkins-designed forestry school at Yale. It was built with timber from Yale’s own on-site forest, but the local sawmill is not FSC certified. Therefore, to get a Leed rating, the timber was shipped 600 miles to the nearest FSC mill and back. What’s the solution to this problem?
Ahec commissioned an independent firm to find out just how much risk there was from illegal wood in the US – the result was just 1% and, in most cases, this was just from someone making a mistake and felling an extra tree in the wrong zone here and there – not enough to endanger the industry. But I suppose we need to educate forest owners and mills. They often ask why – what difference does it make to them if they’re FSC certified? – so maybe the government needs to take a lead. Wisconsin has changed its state laws to ensure FSC certification throughout.
This is a hugely complex subject, but as a resource, hardwood is 100% sustainable, as for every tree that’s felled, 1.9 grow back naturally. It’s a doubling resource and the US can offer this forever. That said, wood is still not taken anywhere near seriously enough. I think, according to Leed platinum, if you use timber, which must be FSC (Forest Stewardship Council) then you get just one point, which is a joke. You get two points Do designers enjoy working with wood? for a cycle rack out front. Designers and architects talk about organic models and In the US, 95% of houses are still made with a wooden frame sustainability and then you see they’ve created some eco-bubble and, so, there’s a lot of absolving responsibility going on. Leed, from injection-moulded plastic. It’s laughable, really. Estidama are similar, so you can see that we’re up against it as Obviously, the Middle East doesn’t have a great wood tradition far as educating goes. but they have always used teak for The head of Green Peace recently said door frames. In terms of furnishings, that the use of sustainable timber had Wiles started work as an independent you’ll not find many five-star hotels the lightest environmental footprint of forest industry consultant, he has provided in Dubai without American maple or any building material. various services to clients including the cherry; certainly, interiors companies American Hardwood Export Council, What are the other major issues such as Depa and Greenline do a great American Forest and Paper Association, currently facing the wood industry? job. Although, often the final finishing American Softwoods, APA—The There’s a huge call for FSC certified or knowledge of how to maintain Engineered Wood Association, Canada wood at the moment, but this is actually hardwood is not there. Wood, Ghana Forestry Commission, slightly problematic in the US. There Construction workers coming over International Tropical Timber Organisation, are more than 9 million privatelyusually know about wood, but quality the UK’s Timber Trade Federation and owned forests – from very small ones to control needs to come from the specifier Institute of Wood Science and many other very large ones. These have been well or contractor. It all-too-often depends private clients. He is an advisor to the managed for generations, as the forest on cash flow, as there are so many UNECE/FAO Timber Committee and now owners understand only too well the examples of US cherry being specified in spearheads Ahec’s promotional campaigns value of their trees. So, traditionally, if the a hotel and, in the end, there’s no money across the Middle East, North Africa grandchildren needed college fees, they’d left so, instead, they use stained beech. and India. fell some of the oldest trees. It has been a The client probably knows no different sustainable industry in that way for years. and the contractor rubs their hands.
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CONSTRUCTION WEEK NOVEMER 21–27, 2009
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