Qatar Today July 2011

july 2011

coNtENtS 18

c ovE r Story

32

40 covEr: harNESSINg thE dIgItal EcoNomy

Whilst many businesses understand their marketing and corporate strategies, they are facing pivotal decisions in this new digital economy of mobility and lightning-fast access to data. Are businesses here getting their IT strategy right to promote slicker business decisions in the future? Rory Coen finds out.

40

32 oN thE road to It SourcINg

The right project sourcing strategy builds on an organisation’s capabilities and mitigates its constraints.

18 gloBal WEalth maNagEmENt: aN opportuNIty uNExplorEd

61 68

Even as world markets get less friendly, conflicts mark the region and investors remain overcautious the wealthy get wealthier.

Qatar Today tries to find out what is lacking in the wealth management domain and also gets insights from experts on global investment trends.

59

59 poWEr oF FEEdBack

Being a leader can sometimes be like a walk in the desert, and soliciting feedback and acting on it makes the leader that much wiser, writes Adam Lomas.

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July 2011 volumE 37 issuE 7 www.omsQatar.Com

coNtENtS

july 2011

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61 thE coNFIdENcE oF youth

Qatar’s National Vision 2030 is ultimately about getting more Qatari nationals to drive the economy forward, and Ayesha Al-Kuwari of Mashreq Bank understands there’s a right person for every job.

24 INSuraNcE: prImEd For groWth

The Qatari economy is capital rich and is growing steadily, despite the global economic problems, and the insurance sector could finally be about to join the party, writes Rory Coen.

72 a commIttEd NEIghBourhood

Al Khor Community redefines sustainable living.

76 SuccESS From Scratch

emad turkman,

CEo of rumaillaH group

Qatar-based business, Emad Turkman, CEO of construction firm Rumaillah Group since 1995, was awarded an MBE (Member of the order of the British Empire) for “services to British business interests and to the British community in Qatar.”

Qatar Today caught up with Turkman to find out how he is taking the news.

rEgularS NEWS BItES.................................................10 o & g o v E r v I E W. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 4 BaNk NotES................................................16 W o r l d v I E W. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 0 B r a k I N g N E W S . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 74 markEt Watch.............................................80 d o h a d I a r y. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 9

volumE 37

ISSuE 7

puBlIShEr & EdItor-IN-chIEF chIEF ExEcutIvE ExEcutIvE vIcE prESIdENt vIcE prESIdENt maNagINg EdItor dEputy EdItor EdItorIal coordINator corrESpoNdENtS FaShIoN &lIFEStylE corrESpoNdENt FEaturES WrItEr

j u ly 2 0 1 1

youSuF jaSSEm al darWISh SaNdEEp SEhgal alpaNa roy ravI ramaN vaNI SaraSWathI SINdhu NaIr caSSEy olIvEIra rory coEN EZdIhar IBrahIm alI orNa Ballout ShalINEE BharadWaj

art dIrEctor aSSt art dIrEctor – productIoN aSSIStaNt art dIrEctor SENIor graphIc dESIgNErS

vENkat rEddy SujIth hEENatIgala haNaN aBu SaIam ayuSh INdrajIth Sampath guNathIlaka photographEr roBErt F altamIraNo

maNagErS –markEtINg

mohammEd SamI ZulFIkar jIFFry SENIor mEdIa coNSultaNt chaturka karaNdaNa mEdIa coNSultaNtS vIctorIa FErrarIS haSSaN rEkkaB markEtINg rESEarch & amjEth alI Support ExEcutIvE accouNtaNt Sr. dIStrIButIoN ExEcutIvE dIStrIButIoN Support

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pratap chaNdraN BIkram ShrEStha arjuN tImIlSINa BhImal raI

publisHED by oryx aDvErtising Co.wll, all rigHts rEsErvED. Qatar toDay is publisHED montHly by oaC, po box no. 3272, DoHa, Qatar. subsCription ratE for Qr. 240 pEr yEar. aDDrEss for all subsCription CorrEsponDEnCE to Qatar toDay, oryx aDvErtising Co.wll, po box 3272, al Hilal arEa, DoHa, statE of Qatar. for singlE CopiEs Call us on + 974 44672139 or mail to QtoDay@omsQatar.Com. matErial in tHis publiCation must not bE storED or rEproDuCED in any form witHout pErmission. rEQuEst for pErmission sHoulD bE DirECtED to QtoDay@omsQatar.Com. rEprint rEQuEsts sHoulD bE DirECtED to tHE info@msQatar.Com. Qatar toDay is rEgistErED traDEmark of oryx aDvErtising Co.wll rEprint rEQuEsts sHoulD bE DirECtED to tHE info@msQatar.Com. Qatar toDay is rEgistErED traDEmark of oryx aDvErtising Co.wll rEprint rEQuEsts sHoulD bE DirECtED to tHE info@msQatar.Com. Qatar toDay is rEgistErED traDEmark of oryx aDvErtising Co.wll

writE to: tHE EDitor, Qatar toDay, po box 3272, DoHa. fax: (+974) 44550982, Email: QtoDay@omsQatar.Com Qatar toDay rEsErvEs tHE rigHt to EDit anD publisH tHE CorrEsponDEnCE. viEws anD opinions ExprEssED in tHE publisHED lEttErs may not nECEssarily bE tHE publiCation’s viEws anD opinions.

july 2011

yEt

From thE dESk

aNothEr Study aNd rEport placES Qatar aS thE WEalthIESt couNtry IN thE World. gloBal FINaNcE , a uS BuSINESS magaZINE, IS thE oNE to do So thIS tImE arouNd.

It covered 182 countries in its wealth classification, which is based on comparing the living standards of the overall population of one country by using gross domestic product (GDP) per capita, based on party or purchasing power-balance internationally. It said the method uses indicators of the relative cost of living, inflation, and exchange rate of a country.

That Qatar is wealthy is no longer news, not even that it is the wealthiest... The thing about success – which includes affluence – is that the scrutiny gets more acute. So while the report mentions the living standards of the overall population as a factor for assessment, several other equally important reports will quote the same factors to undermine the country's achievements. These reports will ignore the West Bay glitterati and sovereign fund investments, and look instead at Messaimer labour camps and maids on the run.

With great wealth and success comes responsibility, which if shirked will cause more damage than money can set right. Not enough can be said about the lack of rights for the large, invisible population of house help (maids, man Fridays, drivers etc). One needs to look to countries like Hong Kong and Singapore who have had similar challenges and rose to meet them admirably – minimum wage, decent accommodation, weekly offs, right to legal recourse, etc.

The media and civil society here has to raise its voice loudly and regularly to ensure that human rights violations such as these are kept in check.

Moving on to business, Qatar's wealth is finally drawing the kind of interest it should. The needs and opportunities from the wealthiest are finally being recognised, and fund managers and investment bankers are looking at tailor-make solutions for this segment.

With the highest proportion of millionaire households (8.9%) investment trends will be interesting to follow in the coming years. Qatar Today speaks to experts on the subject this month.

In our Cover Story this month we address another hot topic – Digital Economy. How do you get a grip on something that is ever-changing? How do local companies, especially the small and medium enterprises, embrace the advantages of technology without being consumed by the costs? We seek to find answers to these and many other questions.

In all this buoyancy, the only concern development-wise, is the compulsory scaling back the financial regulator has brought in – be it loans, Islamic windows or interest rates. A studied plan with far reaching benefits, which isn't apparent right now? Let's hope so.

Keep cool, stay safe and have a great summer.

Vani Saraswathi

lEttErS feedback QtoDay@omsQatar.Com

green government tHE artiClE ‘Crafting a grEEn lEgaCy’ forCED mE to tHink of Qsas as not Just anotHEr sEt of EnvironmEnt friEnDly guiDElinEs but, as a rEalm tHat will ultimatEly pusH Qatar towarDs a grEEnEr futurE. in a worlD tHat is still HEsitant to aCCEpt full rEsponsibility towarDs naturE, Qatar govErnmEnt’s obJECtivE to HavE all ConstruCtion Qsas CErtifiED is a wElComE movE. its timE wE CHangE tHE way wE tHink about tHE EnvironmEnt! Hassan iQbal

keeping up

While tumultuous changes sweep across the Arab world, Qatar’s earnestness in increasing public participation in the country’s affairs comes as a fresh breather. The municipal elections are surely an indication of greater freedom of expression and involvement for Qatari citizens.

The article titled ‘Qatar’s experiment in democracy embarks on its fourth term’ in the June issue presented a comprehensive overview of the recent electoral process while at the same time bringing out its importance in building up the nation as a shared responsibility.

Qt poll – july

raHman yassEr

poll rEsult is basED on mEssagEs rECEivED till 20tH of EvEry montH

inveSting ideaS

Q

arE QatarI BuSINESSES utIlISINg thE tEchNology tool?

SmS aNSWErS to +974 33072524 a lucky WINNEr WIll WIN a NokIa E63

WIll 2011 BE a yEar oF cautIoN For INvEStorS IN Qatar?

63%

38%

yES

No

thE WINNINg NumBEr oF thE laSt Qt poll IS 66738172

The cover story ‘QT Top Ten’ calls for kudos. Being an investor myself, it was quite informative to know the course the top companies plan to follow and their strengths. The financial analysis was fairly comprehensive and reflected the upbeat trend taken up by the comparatively stable Qatari market. It was also interesting to know the developments in Qatar Exchange that are quite encouraging from an investor’s point of view.

Investing in times of economic instabilities puts the investor at risk and such informative articles help in understanding the market to some basic extent, helping to make informed decisions. Keep it up! tariQ akram

Qatar aS i See it

We see the war of brands day in and day out on TV commercials. Each one is busy aggressively promoting itself while at times losing on the very nature of what the brand stands for!

Qatar, which if viewed as a huge corporation is also on its path to branding itself and why not so. Qatar has been chalking its way on the cultural path very intellectually. While staying in line with the global standard, which is also as important in order to put the country on the global map; it is encouraging and uplifting its culture and tradition quite effectively and rigorously. bob tHomas

Qatar today INvItES rEadErS’ FEEdBack SharE your vIEWS oN thE magaZINE or aNy ISSuE coNNEctEd to Qatar. oNE lucky rEadEr WIll WIN aN ExQuISItE moNt BlaNc WrItINg INStrumENt. writE to: tHE EDitor, Qatar toDay, po box 3272, DoHa. fax: (+974) 44550982, Email: QtoDay@omsQatar.Com Qatar toDay rEsErvEs tHE rigHt to EDit anD publisH tHE CorrEsponDEnCE. viEws anD opinions ExprEssED in tHE publisHED lEttErs may not nECEssarily bE tHE publiCation’s viEws anD opinions.

chEck out all artIclES oF Qatar today oN WWW.ISSuu.com/oryxmagS/Qatartoday FolloW uS oN WWW.FacEBook.com/Qatartoday WWW.tWIttEr.com/Qatartoday WWW.Qatartoday.tumBlr.com

on the road to it sourcing 32

NEWS BITES “Qatari companies have to improve”

H

HH the Emir Sheikh Hamad bin Khalifa Al-Thani, HE the Deputy Prime Minister and Chairman of the Emiri Diwan Abdullah bin Hamad Al-Attiyah, HE the Minister of Energy and Industry Dr Mohamed bin Saleh Al-Sada and other senior officials at the opening ceremony

Ras Girtas plant to meet growing needs

T

he 2,730-megawatt Ras Girtas integrated water and power plant, the second largest of its kind in the Middle East and Northern African (Mena) region, was dedicated to the nation

by HH the Emir Sheikh Hamad bin Khalifa Al-Thani at a ceremony recently.

HE the Deputy Prime Minister and Chairman of the Emiri Diwan Abdullah bin Hamad Al-Attiyah, HE the Minister of Energy and Industry Dr Mohamed bin Saleh Al-Sada and many other senior Qatari officials were present at the opening in Ras Laffan Industrial City. Besides power, the plant generates 63 million gallons a day of desalinated water.

Ras Girtas Plant:

2,730 MW of electricity per hour

63 million gallons a day of desalinated water

12 Qatar Today

july 2011

The massive plant, completed in less than three years at a cost of QR14 billion, is managed by Ras Girtas Power Company (RGPC), which has as its stakeholders Qatar Electricity and Water Company (45%), Qatar Petroleum (15%), Chubu (5%), IPGDF Suez (20%), Mitsui (10%) and Yonden (5%).

Describing the project as an architectural marvel, Al-Sada said it was a model for power plant construction in the Middle East region. “The basic infrastructural need for any developing country is the secured availability of electric power and water and the Ras Girtas project will help accelerate the pace of economic growth being witnessed in the country,” he said.

E the Prime Minister and Foreign Minister Sheikh Hamad bin Jassim bin Jabor Al-Thani has called on private Qatari companies to join together and enhance capabilities to make the best use of opportunities that will be available with the country’s rapid economic development.

“There will be lot of opportunities for you (private sector) as Qatar gears up to set up facilities for the FIFA World Cup 2022.

But in order to cash in on the opportunities, the private sector must improve its skills to meet the requirements of projects involving high-calibre jobs,” Sheikh Hamad bin Jassim said, while addressing a meeting organised by the Qatar Chamber of Commerce and Industry.

Sheikh Hamad bin Jassim said, HH the Emir and HH the Heir Apparent had given clear instructions to complete infrastructure, utilities and education projects within a timeframe of six years. The government, he said, had formed a committee to study the ‘anticipated shortage’ of raw materials required by the construction industry. This would enable the government to procure them and avoid any price spiral. Sheikh Hamad bin Jassim said there was ‘absolute transparency’ while handing out tenders for joint ventures in Qatar.

iPark Initiative expanded

F

ree Internet in some of Doha's most frequented parks has proven extremely popular for both people trying to balance work and leisure time, as well as people without home Internet connections. Now ictQATAR, in collaboration with the Ministry of Municipality and Urban Planning, has expanded its iParks initiative to two additional parks and upgraded the Internet services in the three existing parks. Suburban Al-Wakrah Public Park and Corniche Al-Khor are the two new parks to be connected to free wireless Internet, joining Rumaila, Sheraton and Dahl Al-Haman as part of the iParks Initiative. In the new parks, the very latest wireless technology was installed, and in the three existing parks, the wireless technology was completely upgraded to the same standard. All of the parks now offer connection speeds of 8 megabits per second (mbps), an increase from the 4 mbps ºpreviously available, said ictQatar.

news bi t es

Qatar ready for facelift

G

reen bicycle and pedestrian pathways, extensive network of freeways and expressways, rail networks, signature bridges and tunnels – Qatar’s plan to update to an ultra modern, world class lifestyle seems to be in place. In a conference organised by MEED: Qatar Transport 2011, Qatar’s long-term objectives in planning and delivering a successful multimodal transport system were discussed at length.

Abdulla Al-Subaie, Managing Director, Qatar Railways Company (QRC) stressed upon the need of an extensive transport system to support the growing population that has been projected to reach 2.1 million by 2016 and 2.5 million by 2022. “In line with the vision 2030 to develop Qatar into a world class economy, the Qatar integrated railway project has been proposed that will include three transport modes-long distance, metro and freight,” he informed. The 30 km track of the Lusail Light Rail Transit System is part of this ambitious QR109.2 billion project. The West Bay People Mover is another pilot project to facilitate transport

in Qatar’s commercial hub. The national rail network will connect Qatar’s main residential and industrial hubs through high-speed passenger rail and freight services.

Giving an overview of the road plan, Saad Mohamad Khodr, Senior Transportation Engineer, Transportation & Infrastructure Planning Department, Ministry of Municipality & Urban Planning, stated that as an outcome of the study done in 2009, a new

Msheireb Properties names Lead Consultant sheireb Properties has announced Gensler as Lead Consultant for Phase 2 and Phase 3 of their flagship project Msheireb. The QR20 billion Msheireb scheme that is set to transform the 31-hectare site in the heart of Doha, aims at recreating a way of living that is rooted in Qatari culture, attracting residents back to the city centre.

Gensler will undertake the design of the Retail Galleria in Phase 2 in addition to undertaking the Lead Consultant duties in Phases 2 and 3 to execute all detailed design works for buildings designed by a total of six Design Architects Firms including Gensler, through to construction documentation stage and full-time site supervision up to project completion for the Msheireb project.

Over 100 buildings to offer housing, workspace, cultural and community facilities while preserving key heritage buildings from the past are being planned in this scheme that is due for completion in 2016. The entire scheme is targeting average LEED Gold

M

certification, with several buildings targeting LEED Platinum, making Msheireb the world’s first sustainable downtown regeneration project. The award of contract to Gensler follows the earlier appointment of Burns & McDonnell as Lead Consultant for phases 1A, 1B and 1C of the project.

hierarchy for roads have been planned. “After Phase I that will end in 2011, extensive construction and development will be seen through the Phase II (2012-2016) on the major roads in Doha. There are 34 projects planned across the nation to support increasing population load and take stress out of Doha.” Some of the projects that find special mention are the Qatar Bicycle Plan, Pedestrian pathways, Doha Bay Crossing options, four mass transit corridors (fast bus lanes) and implementation of the Intelligent traffic System (ITS) being developed in consortium with QUWIC. “Bring only the A teams to Doha. We won’t settle for anything less,” Khodr makes it clear to potential consultants and developers.

The panel discussion that followed focussed on the challenges ahead. Eng. Jamal Shareeda Al-Kaabi, Manager of Design Dep (Road & Drainage), Ashghal noted, “2022 is only an event, one step. Urban planning has to see what the nation wants and is best for the nation for the next 50 years.”

30 km track of the Lusail Light Rail Transit System is just one part of the ambitious QR109.2 billion rail project.

Qatar introduces health strategy

Q

atar plans to launch a fiveyear National Nutrition and Physical Activity Strategy which is aimed at promoting healthy eating and living habits among people.

The strategy, to run from 2011 to 2016, will ensure physical education in schools and enforce food labelling in restaurants across the country. In the long run, it is expected that the government will introduce a nutrition and physical activity legislation and policy, to be put in place by the Qatar General Standards and Meteorology Department. Speaking to reporters, the Supreme Council of Health’s Non-Communicable Diseases section manager Dr Alanoud Mohamed Al-Thani said, the strategy’s goal was to drastically reduce cases of diabetes, cardiovascular diseases and hypertension in Qatar within the next three years. She hoped that a national workshop on nutrition and physical activity promotion strategy, being held in the country for the first time, would generate an action plan to serve as a pointer for the strategy.

july 2011

Qatar Today 13

news bi t es

Pay rises seen in ME

C

ompanies in Middle East pass on average 5.7% salary increases to executives in 2011 with the average executive pay rises in companies in the Middle East, Central and Eastern Europe of 5.7%, and Africa 8.2%.

Companies across Middle East have implemented widespread executive pay rises averaging 5.7%, according to pay data released by Mercer. The data shows that employees in managerial roles have received higher pay rises in 2011 than those in executive positions, as companies target scarce resources towards perceived ‘rainmakers’.

The average increase for the Middle East remains far higher than those received by executives in Western Europe with executives in Pakistan receiving 13.5% a higher salary increase than the regional average, and all of their Middle Eastern peers.

Broadly, 2011 salary increases were higher among companies in the service, consumer and high-tech industries and lowest amongst the financial services and energy organisations. However, the average salary increases hide great variation in the country by country pay increases and substantial differences across EMEA.

Business camp completes programme

E

nterprise Qatar wrapped up the fourth and the last wave of the SME Evolution Programme with a series of Arabic and English interactive sessions focused on building core business skills of Qatar’s next generation of entrepreneurs and business leaders gathered at Al Sharq Village & Spa. In what amounted to a ‘business bootcamp’, a host of interactive sessions delivered in both Arabic and English addressed critical techniques such as legal contracts, effective negotiation and communications, management and leadership skills, how to handle the planning process, learning from the habits of successful business people, and mastering the fine art of delegation. The

programme introduced key themes and pillars that are directly related to the growth of an SME such as market realities, leadership, effective management, customer service, innovation and e-business and others. The programme has also seen a number of guest speakers sharing first-hand experiences with delegates such as Qatari entrepreneur and Co-Founder of Car Semsar, Mohamed Al-Ibrahim and Bernard Barbour, Head of Legal and Sharia’a Affairs at QInvest.

The programme was made up of four workshops and discussion panels as well as over 40 webinars. Local sponsors include Qtel, QSTP, HSBC Bank and QInvest. The strategic partner is GSDP and the regional sponsors are AllWorld, Aramex, Google, Intel and Zawya.

First GCC Conference on transportation announced

P

reparations gather pace for the first Gulf Conference on Transportation and Railways Development and Integration Plans in the GCC Region.

The conference will gather more than 500 policy makers and industry leaders including ministers of transportation, finance and public works of the GCC countries.

The conference is organised by Qatar Railways Company (RAIL), in cooperation

with the General Secretariat of the GCC, the Federation of the GCC Chambers, the Qatar Chamber of Commerce and Industry and Al-Iktissad Wal-Aamal Group.

The conference will be held under the patronage of HE Sheikh Hamad Bin Jassem Bin Jabr Al-Thani, Prime Minister and Minister of Foreign Affairs of Qatar, on October 17-19, 2011 at the Ritz Carlton Hotel. It will coincide with the Qatar International Exhibition for Transport and Logistics (TRANS4), organised at the Doha Exhibition Center, Qatar.

New Research vessel for QU Members of Qatar University headed by QU President Prof Sheikha Abdulla Al-Misnad and Ambassador of Qatar to Spain HE Hamad Bin Hamad Al-Attiya attended the launching ceremony of the new marine research vessel ‘Janan’ in Vigo, Spain. Janan is named after the island located in the western part of the Qatari peninsula and was built in the Vigo shipyard of Freire, the world-famous manufacturer of scientific research vessels. The vessel is a donation

by HH the Heir Apparent and Chairperson of QU Board of Regents Sheikh Tamim bin Hamad bin Khalifa Al-Thani.

Prof Al-Misnad said: “This vessel is equipped with cutting-edge technologies and is expected to advance marine environmental studies and research in Qatar and the Gulf region.”

14 Qatar Today

july 2011

Far From tINNy potENtIal

38

o & g ovErvIEW

pEarl gtl goES commErcIal

t

he Pearl gas-to-liquids plant in Qatar’s Ras Laffan Industrial City sold its first commercial shipment of GTL gas oil. This was announced

by Royal Dutch Shell PLC and Qatar Petroleum.

The sale marked the start of production of GTL products from the plant. In coming months, production is to ramp up from the Pearl GTL project’s first train, and the second train is expected to start up before year-end. The plant is expected to reach full production capacity by mid-2012. It is the largest energy project ever launched in Qatar according to the officials.

Qatar’s Minister of Energy and Industry Mohammed bin Saleh Al-Sada said the project will enhance diversification of North field gas utilisation and optimise

in nuMBers:

Qatar’s competitive position in world markets.

Shell is operator of the Pearl GTL plant under a development and production-sharing agreement with Qatar. The project was launched in July 2006.

Major construction was completed last year. On March 23, gas began flowing to the project from wells 60 km offshore. The gas processing plant began producing condensate, LPG, and sulfur. Four of the world’s largest air separation units began producing oxygen for the GTL plant that employs Shell proprietary technology to convert the gas and oxygen to GTL wax. In the last step of the process, the waxes are cracked and distilled into finished GTL products.

Pearl GTL is expected to produce a number of GTL products for sale in world markets.

1.6 Bcf/d of gas to Be processed to deliVer pearl gtl 120,000 Bpd of condensate, lpg and ethane and 140,000 Bpd gtl products

Qatar dElIvErS FIrSt lNg cargo to thaIlaNd

Q

atargas delivered its first ever cargo of liquefied natural gas (LNG) to the Kingdom of Thailand.

The cargo was delivered to the Map Ta Phut LNG Terminal by the conventional LNG carrier “Golar Viking”.

Khalid Bin Khalifa Al-Thani, Chief Executive Officer of Qatargas said that this was a significant milestone for Qatargas, PTT Public Company Limited and the Kingdom of Thailand.

“Under the guidance of His Excellency Dr Mohammed Bin Saleh Al Sada, Minister of Energy & Industry and Chairman of the Board of Directors at Qatargas, Qatargas is honoured to be the first supplier of LNG to Thailand and this demonstrates Qatargas’ capability to supply LNG to customers around the globe safely and reliably,” he said.

Golar Viking began her voyage from Ras Laffan Port on May 17 with approximately 131,000 cubic meters of LNG on-board and she safely discharged her cargo at Map Ta Phut LNG terminal, marking the first delivery of LNG from Qatar to the Kingdom of Thailand.

Qatar INcrEaSES lpg ShIpmENt

Q

atar will increase shipments of liquefied petroleum gas (LPG) to approximately 11million tonnes per year (tpy) in 2011 from 8.5 million tpy in 2010, Saad Al-Kuwari, CEO, Tasweeq has said.

He was making a presentation on delivering Qatar’s energy to the globe at the 16th Asia Oil & Gas Conference, which concluded in Kuala Lumpur recently.

16 Qatar today

july 2011

Propane and butane, the two gases that make up LPG, are used globally as cooking fuel, gasoline blending components and petrochemical feedstock.

Qatar strips LPG from its natural gas, hence its capacity to process and export gas has grown. He added, “Qatar will become the largest condensate exporter in the Middle East this year. Condensate exports will rise to 400,000 bpd in 2011,

up from 360,000 bpd in 2010.” He also focused on Qatar’s exports of regulated products and export locations of Qatar’s crude and condensates in 2010.

Al-Kuwari’s presentation highlighted Qatar’s oil and gas reserves to an international audience from the global energy industry. Al-Kuwari also presented an update on Qatar’s exports of liquefied petroleum gas (LPG).

PLANNING FOR THE FUTURE

39

bank notes

GCC witness boost in growth

T

he ongoing unrest in the MENA region is seen to promote short-term growth for the GCC as per a recent study by IBQ. With exceptions of Oman and Bahrain, activity in other GCC countries is likely to be stronger due to a combination of rising oil output and higher government spending. The oil market is assumed to remain tight with oil prices averaging $110 per barrel (pb) both this

year and next. Although rising government spending, high food prices and the improving economic environment have heightened inflationary concerns, the short-term outlook is reasonably encouraging. Large budget surpluses however, run the risk of masking the need for structural fiscal reform, particularly in light of the latest high of public spending levels as well as the risk that oil prices will – at some stage – fall back.

highlight Al Khaliji and IBQ part ways Al Khalij Commercial Bank (Al Khaliji) Q.S.C (QE: KCBK) and IBQ have ended talks regarding their proposed combination of businesses, putting an end to almost a year of speculation in the financial sector. The parties decided to end negotiations after final terms could not be agreed. However, both organisations maintain strong positive outlooks for growth in Qatar and the banking sector overall.

Bank Sarasin focus on black gold

I

n a latest study published

by Bank Sarasin’s Strategy Research department entitled ‘Crude Oil – Investing in volatile times’, the longer term price potential for oil is seen to be intact despite the volatility arising out of the geopolitical uncertainties.

“The price of crude oil is expected to move sideways in a range between $110

and $120 per barrel over the next three to six months. Oil could be trading at the upper end of this price range by the end of the year. In the longer term, we expect to see higher oil prices as the global crude oil market narrows. But volatility in the crude oil market will remain strong given the heightened level of uncertainty,” says Eliane Tanner, Commodity Strategist, Bank Sarasin & Co. Ltd, Switzerland.

Certification for QIB

Q

atar Islamic Bank (QIB) has become the country’s first bank to achieve the prestigious BS 25999 Certification, an international standard for Business Continuity Management (BCM) provided by German accreditation body, TUV SUD. “Our focus on business continuity through the use of consistent processes, metrics and methodologies enables us to provide a secure environment for delivering high-quality financial services to our clients in all circumstances,” explained Ahmed Meshari, Acting CEO, QIB. Being the only international standard that provides a truly independent assessment of an organization’s business continuity, BS25999 is designed to help companies develop and implement a robust business continuity plan. It also provides a framework for building organizational resilience with the capability for an effective response that safeguards the interests of a company’s key stakeholders, reputation, brand and business.

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New appointment at HSBC

S

imon Burdett has taken over as the Head of Business Banking, Qatar, HSBC. Burdett has over 13 years experience in banking and finance, with a wealth of knowledge across all aspects of banking coupled with a particular focus on Small and Medium Enterprises (SMEs), which forms an integral part of the business mix for HSBC Qatar, as they play as an important economic role in the country's long-term strategic development.

"HSBC has been present in Qatar since 1954 and has always been fully committed to supporting local economic activities. The SME sector forms the backbone of a growing economy and with our unique products and services, HSBC is perfectly positioned to serve this sector. Simon has strong credentials in Business Banking and I am confident that together we can achieve strong results," said Fadi A Fattal, Head of Commercial Banking, HSBC Qatar.

"In a rapidly changing and expanding market, it is imperative for our customers to know that they have a dependable business partner in their bank. HSBC continues to strongly support SMEs and be open and connected with our customers to ensure that we can meet all their banking requirements. I look forward to the future as we continue to deliver our excellent customer service proposition to both existing and new customers," said Burdett.

t a g t h is BA N K N OTES

Global Wealth Management: An opportunity unexplored

Even as world markets get less friendly, conflicts mark the region and investors remain over-cautious the wealthy get wealthier. Globally, wealth climbed to a record QR443.35 trillion ($121.8 trillion), about QR72.8 trillion ($20 trillion) above where it stood two years ago during the depths of the financial crisis according to the recent report by Boston Consulting Group (BCG).

By Sindhu N a i r

Saudi Arabia,

Kuwait, Qatar and UAE emerged as four of the top ten countries in the world with the highest density of ultra-wealthy households. The findings appear in BCG’s eleventh annual Global Wealth report titled Shaping a New Tomorrow: How to Capitalise on the Momentum of Change, which was released recently in the Middle East.

Another interesting factor that was revealed in the report was the lack of a proper business model for wealth managers and private banks to focus on these high net worth individuals (HNWI).

“Local wealth managers are currently orientating their wealth management offerings towards the mass affluent segment, but are missing out on the high net worth segment. Local Qatari banks should consider building business models – with the required skills, products, services – to be able to address these clients,” says Douglas Beal, Managing Director BCG Middle East.

Qatar Today tries to find out what

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is lacking in the wealth management domain and also gets insights from experts on global investment trends.

High on wealth Low on risk According to the study, ultra-high-networth (UHNW) households, defined as those with more than $100 million in Assets under Management (AuM), were most highly concentrated in Saudi Arabia registering 18 per 100,000 households. This was followed by Switzerland (10), Hong Kong (9), Kuwait (8), Austria (8), Norway (7), Qatar (6), Denmark (5), Singapore (5) and the UAE (5).

Making it to the top ten list in terms of the highest proportion of millionaire households were Qatar–8.9% , Kuwait–8.5% and UAE–2.6%. Singapore and Switzerland are the highest with Qatar taking the third position.

Positive trends also emerged for Middle East and Africa overall, as AuM rose by 8.6% to hit $4.5 trillion in 2010 and with expectations to reach $6.7 trillion by 2015.

This was not the least surprising says Beal. “Given the demographics and overall wealth of these petroleum-rich countries we would expect a higher proportion of UHNW households than in other parts of the world. Growth in AuM also reflects the strong fundamentals of the region, driven by continuing strong petroleum prices.”

“Nevertheless, the risk appetite of regional investors remains low, especially when compared to levels seen before the downturn. The asset allocation of GCC high net worth individuals remains overweight in cash and capital-protected products.”

“During these times the global markets oscillate rapidly between risk taking and risk aversion, reflected not only in the demand and supply, and thus valuation of certain asset classes, but also in capital flows,” says Heinrich Weber, Head Geneva Branch and Desk-head Private Banking Middle East, Falcon Private Bank Ltd, a Swiss private bank specialised in wealth management for private clients, wealthy families and institutional investors.

“During such periods wealth will be de-

t a g t h is BANK NOT ES

“Wealth Managers should first focus on developing the right service model.

This would include experienced and skilled relationship managers, who would team up with wealth planners and investment advisors to serve their clients.”

Douglas Beal, Managing Director, BCG

stroyed, and other wealth created. Shifts in power take place. The global markets will fluctuate strongly until many of the regional and economic conflicts are solved and clearer visibility of economic growth, inflation and monetary policies is attained.”

“I would like to say that Qatar has a highly intelligent leadership who has built over the last two decades a pole of stability; a strategy, which shows its strengths exactly in times of tension. Therefore Qatar has done well so far and will also do well in the long run. This is also evident comparing the chart of the Qatar Exchange Index with other stock indices, regional and global. Even though, you would have to factor out econometric comparisons in certain correlation effects, I see no reason why Qatar’s stability would deteriorate in the foreseeable future. Thus, investing in Qatar is a very good long-term choice,” opinions Weber.

“Such a market is obviously attractive for private banks and wealth managers,” he adds.

Akshay Randeva, Director, Strategic Development at QFCA reflects the same sentiments of others when he says that HNWI need not look beyond the local markets when the GDP rates here are so promising. (See more on his views in our Insurance Special on Pg 24 ) But Guy Monson, Chief Investment Officer and Managing Partner at Bank Sarasin Alpen, has an entirely fresh perspective.

He says wealthy Qataris have been happy to buy high yields in stocks in the local market but they have been afraid because of all the problems in the global stock market to buy global equity stocks. He says it’s time to change and go back to the old-fashioned investment method. (For his insights read interview on Pg 20)

World markets and trends World markets have also become less friendly for Middle Eastern investors as US regulators have increased scrutiny over all transactions in and out of the US markets. The higher demands of US supervision are considered to be intrusive for HNWIs who seek privacy and have decided to invest locally. These changes in regulatory stature in Western markets have altered the market dynamics of the

“Plan through” The best advice regarding investments is to make a plan, says Weber.

“And to think everything through, from A to Z. Ask yourself: Do I need liquidity, how much and when? Do I have the nerves to hold a position through negative territory? Are my assets enough diversified? How much risk am I willing to take? Do I want to delegate my investment decisions or not? How is my family or my other business correlated with your portfolio? How solid is my bank?”

region creating new opportunities for wealth managers in the country or of the region.

Weber says, “After 9/11 all sorts of controls were increased. Additional factors, which influence the decrease in friendliness, are certainly misunderstandings between the US and the ME and also the desire to control information. Unfortunately, I can only see that the trend to monitor and control capital flows in and out of the US increasing.”

Monson feels differently. He feels that

the regional unrest gives Qatari investors even more reason to go global for a greater exposure to international markets.

The BCG report also had an interesting finding about offshore wealth, defined as wealth accumulated in a country where the investor has no legal residence or tax domicile, which echoed similar sentiments.

According to the report the amount of offshore wealth, increased to $7.8 trillion in 2010 up from $7.5 trillion in 2009. But the proportion of offshore wealth slipped to 6.4% in 2010 from 6.9% in 2009.

This was a result of strong asset growth in countries where offshore wealth is less popular, like China, as well as stringent regulations in North America and Europe which prompted clients to move their wealth back onshore, thus lowering the net increase in offshore assets said the report.

The Middle East presents a unique set of challenges for wealth managers. Products are not particularly innovative yet, although banks in the region are doing their best to cater for their customers.

BCG report puts the picture in perspective. It says that though Swiss system is well positioned to capture the wealth from ME and Africa and also Latin America owing to its long-standing reputation, as an off-shore centre it is under immense pressure. This is because about half of its AuM comes from Western Europe that is increasing its watch of cross-border banking.

Follow the rules What then is the right model for the wealth managers or existing banks to gain access to these HNWI? Weber feels that a global wealth manager has to study the Qatari market very closely.

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Qatar Today 21

BA N K N OTES

Eye the Nifty-Fifties again Guy Monson recommends that investors take a back to fundamentals approach and take the classics investment values of cash flow, dividend and balance sheet strengths.

G

uy Monson, Chief Investment Officer and Managing Partner at Bank Sarasin Alpen is no rookie.

With an experience of over 27 years with the Bank, he is an investment expert managing close to $20 billion of ‘primarily’ global equities which he looks after for foundations, charities, institutions and individuals. He was in the country to tell Qatari investors of the opportunities that are available in global equity incomes.

The classic blue-chips which used to be called the ‘Nifty-Fifty’ of the 70s offer a unique combination of unprecedented balance sheet strength and liquid assets, according to Monson.

“The liquid assets for the average big American companies is the highest in 50 years today, making this global large cap equity, the best bet ever for any investor,” he says.

“American companies have never had more cash; they have $2.5 trillion of liquid assets. At the same time, the profit margins of these companies after the disaster of the Lehman years have rebounded to the highest levels ever recorded.”

Now at the moment, Qatari investors are looking for yield in local corporate bonds, to an extent in cash deposits, and also to the local Qatari equity markets as the yield there is quite high.

In this scenario, Monson wants his investors to look at another opportunity that is not to be missed which is the global large-cap equities.

“There has been a flood of money into two special income sources, one is high yield bonds and second in the emerging market debt funds. I think it is time now

to look at the risks, particularly in the bond market. Everywhere you look in the world, government bonds are not even protecting you from the inflation. But for the global equity companies, the dividends are rising faster than income. The dividends from IBM have grown 25% every year for the last five years, for WalMart it has grown 16%, for pharmaceutical giant Novartis it is 13%, Intel, 12% (every year).

These growth rates are faster than inflation. When you buy a bond, the yield is fixed but when you buy equity you get dividend growth.”

“I am here to advice that this is a ‘modern classic style’ of investment which is safe. I think we now have a global ‘Nifty-Fifty’ with companies not just from US.” But having said that the Nifty-Fifty companies are global, Monson observes that most companies are from the West not the East. He talks about the rising inflation in the rest of the world which makes them less attractive.

“While the growth rates of companies in Brazil, India and China are exciting; their companies are not cheap anymore.

They are facing rising labour costs, rising

food and energy costs, rising currencies.

Also the corporate governance there is not too good.”

There is never a better opportunity for cautious Qatari investors to buy into some of the best companies of the world, some old and boring assets like consumer, healthcare, telecoms and old currencies, he says.

“It has never been cheaper to buy the best.” And a lesson he has learnt from his over two decade long stint in the investment market, “Better to be early than late....”

*Nifty Fifty was an informal term used to refer to 50 popular and the largest international cap stocks on the NYSE in the 60s and 70s that were widely regarded as solid buy and hold growth stocks.

The fifty are credited with propelling the market of the early 70s. Most are still solid performers, though some of them are defunct now.

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t a g t h is BANK NOT ES

“High net worth clients need solutions how to protect, how to grow and how to pass on their wealth; thus, bankers have to focus on delivering solutions regarding those issues. If they can deliver, their business will grow.”

Heinrich Weber, Head Geneva Branch and Desk-head Private Banking Middle East, Falcon Private Bank Ltd

“However, as Qatar has excellent banks operating here, the new-entrant has to be aware that he needs time to establish a reputation. And since the investment is considerable, the new entrant has to be certain that he can find experienced bankers who can deliver a superb service.

“Qatar has by far not enough wealth management teams. A situation, which will not change quickly, given the global shortage of talented private bankers,” he says.

“HNWI need solutions on how to protect, how to grow and how to pass on their wealth; thus, bankers have to focus on delivering solutions regarding those issues.

Nothing more, nothing less. If they can deliver, their business will grow.

Bankers should avoid pushing products and focusing on a quick commission he opinions. “Building a private banking business and a reputation as private banker needs time.”

Beal feels that innovative products from experienced relationship managers will attract the right HNWI. “They should first focus on developing the right service model.

This would include experienced and skilled relationship managers, who would team up with wealth planners and investment advisors to serve their clients. In addition, they need to create a full investment product set - both sourcing third party products but also developing innovative products that clients can only get through them.”

Though Weber agrees that wealth mangers and banks in the region have to improve their game he is quick to defend the Swiss banking system. He says, “The Swiss private banking model, practiced over 250 years, consisting of protecting the wealth and privacy of the client is the ideal business model also for a bank or wealth manager in Qatar. The wealth managers until now, according to Monson had a challeng-

ing time protecting the capital.

Now this will change, the wealth managers biggest worry will be protecting against inflation, predicts Monson.

The young investor With much of the region’s population under 25, generational wealth management is a concern for older HNWI. Wealth managers are anticipating a demand for an increased exposure to international investments from the younger generation of HNWI inheritors.

“Many young Qataris are getting a global exposure - they go to University in North America and Europe and spend vacations overseas. So, yes -it would make sense if their understanding of the world translates into a broader international exposure in their investments,” says Beal.

“People invest where they feel comfortable. Because of the international exposure, through electronic media, and frequent travels, the next generation of Qataris will feel even more comfortable to invest abroad,” agrees Weber.

“Based on this I foresee that the next generation of investors, the inheritors, will invest even more globally. They will not base their choices on preconceptions, but on hard analytical facts, thus looking for the best risk adjusted opportunity. They will consider the location of the investment according to risk ratings, not according to prejudice,” he continues. But Qataris already have a global approach to investing, which is clearly demonstrated by the Qatari sovereign funds or by several wellknown Qatari private investors, says Weber.The wealthy young generation poses an additional requirement of expertise and sound financial knowledge on the wealth managers.

“The young investor will focus on

greater transparency, simpler products and also look at a global perspective and know more about new products like cloud computing, data managing and new forms of media. There will be an interest in the alternative energy, food technology. Large cap companies are diversifying and changing to include new technology and hence will again be favoured,” feels Monson.

Trends The trends in the investment portfolio of these HNWI is currently in a “barbell” shaped investment profile - a lot of investment in cash, a lot in direct investments (real estate, local stocks, etc) - but less managed funds than in other regions according to Beal.

“We see that there will be an increase in managed funds purchased by Middle Eastern investors, especially funds that invest primarily outside of the Middle East.”

“HNWIs like something new, different, something they can’t get anywhere else.

Nowadays, clients are looking for structured products that provide an upside, but limit the downside - this is important after the recent market downturn. Other products that HNWIs are interested in include access to Private Equity as well as participating in deals that a bank may be structuring using their corporate or investment arms,” he says.

Weber feels that the preferred investments themes of the ME investors are commodities, agriculture, real estate, hospitality, healthcare, either direct or through vehicles, such as funds or stocks.

The investments are getting increasingly geographically spread out, and the reason is the regional turmoil. “This trend will prevail for some years to come,” he feels follow

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Qatar Today 23

B A N K N OT E S BA N K N OTES

Insurance: Primed for Growth The Qatari economy is capital rich and is growing steadily, despite the global economic problems, and the Insurance sector could finally be about to join the party, writes Rory Coen .

The

Insurance sector in Qatar is showing all the signs that it could explode into life in the coming years. When its figures are assessed against global ones, there’s almost an anomaly of sorts, an inconsistency which must have investors through-out the world studying them and trying to qualify them.

The Qatari economy is currently growing at about 17%, and in spite of this, the Insurance sector is growing at an even faster pace, an annual growth of 25% per annum between 2005 and 2009 and 18% per annum between 2006 and 2010, according to Business Monitor International. Qatari firms have been able to accompany this growth over the past five years and premiums have grown substantially.

Akshay Randeva – Director, Strategic Development, QFCA – explains, “how you look at insurance growth is by two metrics; penetration and density. Insurance penetration rate is the amount of premiums written as a percentage of the country’s GDP. This particular metric in Qatar is now straddling the 1% mark, while the global average is about 6.9%. The western world is even higher than this.

“Insurance density measures the amount of premiums that are paid per person in a particular country. In Qatar, this figure stands at US$ 628, which is slightly higher than the worldwide insurance density average of US$ 618, but far lower than the av-

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erage in developed economies such as the US, Germany and the UK that averages between US$ 4,500 and US$ 6,500.”

So there’s the margin for growth. With all things being equal, the insurance penetration rate could rise to 7% of GDP as the sector matures and develops, – which is currently growing at 17%, according to the IMF’s figures for 2009-2010 figures. The potential is definitely there, but the figures must indicate there is something inhibiting it.

What will drive this growth?

“If you look at the various stages of insurance growth in Qatar; initially you had very basic types,” Randeva says, “but as the economy evolves and people start demanding better and more sophisticated risk protection, then the scope for insurance automatically grows.

“As an example, if you look at insurance investment products from all around the world, such as Unit LinkInsurance Schemes.

In Qatar, despite having one of the highest saving rates in the world – and the highest per capita GDP in the world – there are no such products available here.”

There are some products available of course, but many of these lack maturity. They’re not long on the market and cannot be properly quantified until the reams of data on them have been assessed.

B A N K N OT E S BANK NOT ES

“Expatriates with an official residency permit may feel more at home and will think about moving their pension plan and investments here” Dana Haider: Insurance & Risk manager, UNITED DEVELOPMENT CO.

“People will start to think about retirement and what products taining these premiums on their own balance sheets – they are will enhance the latter years of their lives. There’s insurance re- flowing to the west. So these re-insurance companies are sitting quired for financial products, such as mortgage loans and credit in mature economies – growing at one or two percent per year – cards. Medical insurance is just 5-6 years old and compulsory and they must sit across from their shareholders every year and medical insurance hasn’t yet been implemented.What’s being explain where they are going to get the eight percent growth to insured in Qatar now are assets, such as buildings and infrastruc- keep them happy.”

So it’s logical that these re-insurance companies will start lookture products. There’s an entire range of insurance liability products which exist in the rest of the world, but haven’t yet come to ing for new markets, ones which are showing double digit growth and where there is a lot of re-insurance flowing out.

Qatar.”

“The questions for an international re-insurer is, a) do they Dana Haider – Insurance and Risk Manager at United Development Co – contends that “the insurance sector here in Qatar need to be in the region, and b) where do they need to be to cover the region with the most efficacy. This is very much related to the real estate, and is where the QFC is trying to provide a the Oil & Gas sectors, as they affect it the unique value proposition.” most.When you see growth in these secAndreas Pollmann – Head of MENA tors, you will see growth in the insurance Region, Munich Re – mentioned in a market.

QFCA Report on Reinsurance that "the “Almost 50% of the Qatari work-force “A penetration rate is the region is considered by us as a boom reare employed on building-sites,” she conamount of premiums written as gion with low insurance penetration. Actinues. “These individuals wouldn’t necescordingly, we expect a continuous rapid sarily have anything to insure, unless they a percentage of the country’s development there, in health, personal are insured on a workman’s compensation GDP. This particular metric in lines and infrastructure development in policy by their employer, but even medical Qatar is now straddling the 1% particular." insurance isn’t mandatory in this country.

Salvatore Orlando – Head of P&C They wouldn’t have any insurable assets.” mark, while the global averSouthern Europe, MEA and Latin However, Randeva feels that these age is about 6.9%. The western America, PartnerRe – also commented: workers are saving some amount of money world is even higher than “There is a continuing inflow of capacity every month – however meagre – and this as reinsurers are keen to diversify into would build up over time; they could have this.” these high-growth and low catastrophe a nice little pension pot saved by the time markets”. they reach retirement. This lends itself to GCC insurance markets are very reliant the Unit Link type of insurance scheme, on reinsurance and this is evident from a like a Self-Insurance Plan (SIP) – an investment plan where you put a little bit in each month – but this 57% cession rate, which is extremely high compared to the global kind of product isn’t available here either. Savings resting in ac- average of just 12%. Indeed there’s an even higher percentage for “large risks”. counts provides scope for growth.”

Randeva continues, “For the larger risks, if you don’t have the under-writing experience, then you must rely on these skills from Re-Insurance The QFC Authority reports that re-insurance capacity is expect- the global re-insurance community. How can you price what ed to continue to increase in 2011, in line with the strategic ob- should be the cover for a large LNG train if you don’t have expejective of re-insurers to position themselves in the region for the rience? So you pass on this risk to other re-insurance companies expected growth to come. The drivers of this reinsurance growth who have the expertise and experience to handle it.

“As the local insurance companies create a pool of underwriting will be the large number of major infrastructure investments and talent, they’ll become more and more comfortable retaining more the scope for insurance penetration to increase.

“Of the 3.5 odd billion (Qatari Riyals) of insurance that we risk on their balance sheet, because it’s ultimately how comfortwrite every year, about half of it is re-insured outside the coun- able the board and management are about the amount of risk you try,” says Randeva. “The insurance companies are not yet re- are maintaining here”.

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Qatar Today 27

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“when you are sitting in an economy that is growing at 16%, it doesn’t make sense to keep your money in an economy growing at only 2%”.

Akshay Randeva: Director, Strategic Development, QFCA

High Net Worth Individuals are also pulling their wealth Life insurance In 2008, life insurance accounted for only 14% of the GCC’s back towards Qatar recently, and Randeva is not surprised by total insurance volume, but this has grown at a rate of 39% reported trend.

“It’s becoming an increasing trend that we are seeing the since. Qatar actually showed a declining rate between 2005 and on-shoring of wealth in this part of the world now. Most of the 2008.

There are reasons for this apparently lack of interest in life wealth here has been managed by off-shore managers and ininsurance in the region; one is the diversity of products – there vested in off-shore locations. However, when you are sitting aren’t enough products to deal with the populace and the sec- in an economy that is growing at 16%, it doesn’t make sense to keep your money in an economy growing at only 2%. ond is cultural reservations.

“As well as this, 20 or 30 years ago, the legal regulatory frame“I think the cultural taboos around life insurance are being works were not sufficient to provide comaddressed by Takaful,” said Randeva. fort to these investors. The financial cen“The growth of this type of insurance tres in Dubai, Bahrain and Qatar are now and the increasing acceptance of Takaproviding this and investors are confident ful insurance structuresare leading to in bringing their money back to where life insurance premiums that are growthere’s a positive structure”. ing faster than non-life insurance pre“The growth of this organisamiums. But it’s relative in the sense that tion and the increasing Captives it’s growing from a very low base”.

The development of the Middle East as a Dana Haider feels that there is a good acceptance of their insurance centre for captives is becoming a talking range of life insurance products and structure is now leading to point, due to the changing attitudes topension plans available, but there just life insurance premiums that wards risk management and the positive isn’t any interest in them. economic situation. The Qatar Financial “The reason is that people don’t tend are growing faster than Centre has a strategy to develop this parto stay too long in Qatar, so they’re not non-life insurance premiums. ticular sector. interested in investing in pensions plans But it’s relative, in the sense “70-80% of Fortune 500 companies of life insurance. Qatar is a country of have captive insurance companies; the great opportunity and growth, but you that it’s growing from a very entire GCC region has only ten. Identifyfeel people just come here to get somelow base.” ing, quantifying and mitigating risks has thing on their resume, save money and become increasingly more important then leave, with no intentions to inacross the globe. We saw the move of risk vest”. management to CFO, and from there to This indeed seems to be a huge problem for Qatar. Huge saving resting in accounts, not being board level. As a function of that, it starts to become an inherworked back into the economy to further stimulate it. Qatar ent strategy of a company. They start to look at alternative ways has one of the highest savings rates in the world and one of the to transfer their risks onto the markets. They view risk – not as highest GDPs, but there’s this lack of long-term thinking inher- a cost centre – but almost to the extent where it can be a profitent in people’s mindsets. There are plans to offer expatriates centre.”

But this risk isn’t always priced fairly by the re-insurance with an official residency permit in the National Development markets, who might take a global average instead of looking at a Strategy Plan, 2011-2016.

“This plan may have some impact on the insurance sector,” company’s case in particular.

A captive essentially provides for the transfer of your risk to continues Haider. “Expatriates with an official residency permit may feel more at home and will think about moving their be managed fairly and there are different ways of doing this. As pension plan and their investments here. They will be inter- the corporate sector begin to mature in the MENA region, they ested in purchasing more real estate, and all of this will inevita- will look at the feasibility of mechanisms like captives in order bly lead to more insurance for protection and security against to better protect their risks, and the QFC is providing a platthese investments. It could very well affect the insurance in- form– from a legal and regulatory framework perspective –to follow support them in achieving this dustry over time”. www.qatartoday.tumblr.com

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CONNECTED CITIES

36

AFP PHOTO/LIBYAN TV

AFP PHOTO/FAYEZ NURELDINE

arab snippets

Nero fiddles, while...

An image grab taken from Libyan state television on June 13, 2011 shows Libyan leader Moamer Khadafi playing chess with the head of the World Chess Federation Kirsan Ilyumzhinov in Tripoli on June 12, 2011.

Saudi women defy driving ban A Saudi policeman stands guard on a main road in Riyadh on June 17, 2011 as a number of Saudi women drove cars in response to calls for nationwide action to break a traditional ban, unique to the ultra-conservative kingdom, according to reports on social networks.

Egypt

QR9.1 billion IDB loan

he Islamic Development Bank (IDB) has agreed to give $2.5 billion in loans to Egypt over the next three years in order to finance the cash-strapped country’s development projects, and export and import operations.

President Ahmed Mohammed Ali signed a series of loan agreements in Cairo with Egyptian officials in the presence of Prime Minister Essam Sharaf.

According to one agreement, IDB will give $60 million to rent equipment required for a power plant in Suez.

It will also provide technical assistance worth $300,000 to launch an education

T

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centre for non-Arabs.

A grant worth $160,000 will be provided to develop methods for financing smallscale projects, the bank said.

Egypt is one the bank’s oldest members and one of the seven countries that own the majority of its shares. It has contributed 7.1 percent of IDB’s capital.

Last month, Saudi Arabia pledged $4 billion in aid to Egypt. The aid will be in the form of soft loans, deposits and grants.

Cairo has been asking donors and the International Monetary Fund (IMF) to help bridge a funding gap through mid-2012 estimated at between $10 billion and $12 billion in the wake of the mass protests that ousted President Hosni Mubarak.

Highlight Increasing interest in sukuk Sukuk (Islamic Sharia-compliant bonds) has witnessed a sharp increase of 300% since the start of this year reaching in total $40 billion.

According to the annual report of Kuwait Finance House Research Ltd (KFHR) May this year witnessed an increase in global sukuk, 22.4% when compared to April of last year, reaching $4 billion (QR14.6 billion).

World vIEW

afp pHoto/vanDErlEi almEiDa

taking on tHe drug gangS marinEs on an armourED pErsonnEl CarriEr patrol rio DE JanEiro's morro Da manguEira sHantytown Early in tHE morning of JunE 19, 2011 in a prE-announCED opEration. HunDrEDs of braZilian poliCE anD solDiErs baCkED by HEliCoptErs anD armourED vEHiClEs swEpt in to takE ovEr a CrimE-riDDEn rio slum as part of a paCifiCation plan aHEaD of tHE football worlD Cup in 2014.

Honda all-electric Scooter makeS european debut HonDa's battEry-ElECtriC Ev-nEo sCootEr Has bEEn triallED by barCElona City CounCil for a yEar, tHE first timE tHE Ev-nEo Has EvEr bEEn usED on tHE ContinEnt. salEs bEgan in Japan in april, priCED at arounD Ă„4,000, witH HonDa ExpECting to sEll arounD 1000 tHis yEar, altHougH it's not ClEar wHEn tHE vEHiClE will go on salE to tHE publiC in otHEr rEgions. HonDa's Ev-nEo Has a rangE of arounD 34 kilomEtrEs, assuming a spEED of 30km/H, anD Can bE rECHargED in 3.5 Hours using a stanDarD CHargEr or in Half an Hour using a rapiD CHargEr.

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etHical inveStor board game launcHed a nEw EnvironmEntally EDuCational boarD gamE CallED EtHiCa lEts playErs assumE tHE rolE of an invEstmEnt bankEr or vEnturE Capitalist anD sEE How wEll tHEir grEEn intEntions stanD up in tHE worlD of intErnational finanCE. tHE gamE rEprEsEnts part of tHE DEvEloping trEnD of EnvironmEntal EDuCation tHrougH play.

EtHiCa is DEsignED to bE playED by bEtwEEn six anD 27 playErs. EaCH playEr assumEs tHE rolE of a family or bankEr witH monEy to invEst.

World vIEW

afp pHoto/guillErmo lEgaria

largeSt emerald on diSplay Colombia, bogota : a visitor looks at tHE largEst EmEralD in tHE worlD – CallED 'fura' – of 11,000-karat raw anD 2.27 kilos (almost fivE pounDs), During tHE 'minErgEmas 2011' ExHibition of mining, minErals anD prECious stonEs, in bogota, Colombia, on JunE 18, 2011. fura is prEsEntED to tHE publiC for tHE first timE in Colombia, 12 yEars aftEr it was minED in muZo, in boyaCa provinCE, 75 km nortH of bogota. no morE tHan 15 pEoplE at a timE arE allowED to viEw tHE stonE, witH fivE guarDs looking on.

afp pHoto / louisa gouliamaki

greece in tHe doldrumS grEECE, atHEns : grEEk primE ministEr gEorgE papanDrEou aDDrEssEs tHE grEEk parliamEnt at tHE opEning of DEbatE on a parliamEntary votE of ConfiDEnCE in tHE nEw grEEk CabinEt on JunE 19, 2011. papanDrEou urgED politiCal partiEs to forgE a 'national aCCorD' anD baCk Him in a ConfiDEnCE votE in orDEr to ovErComE tHE EConomiC Crisis at a 'CruCial' timE.

july 2011

Qatar today 33

v iew p o in t

On the Road to IT Sourcing The right project sourcing strategy builds an organisation’s capabilities and mitigates its constraints.

It’s

no secret that (IT) allows organisations to reduce costs, boost revenue and gain efficiencies. IT has evolved beyond automating specific tasks, today it encompasses complex enterprise business models. For example, large organisations today deploy IT solutions such as sales force automation or electronic medical records to optimise their businesses.

This trend is gaining traction in the MENA region, which is one of the world’s fastest growing in terms of information technology spending: Regional IT spending will reach $20 billion in 2011, more than previously anticipated, according to International

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Data Corporation. The public sector accounts for a large portion of this spending, as it invests large sums into a number of transformational projects. As other sectors also begin making more extensive use of IT, they will need to make certain that they are getting the maximum benefit from their investments.

Finding the right partner for IT initiatives is critical to maximising investments. Even organisations that have a skilled IT staff can find their resources strained by major initiatives such as an IT transformation. As a result, many large organisations have sought expertise and forged partnerships with outside vendors to implement IT projects. This option is not risk-free. If CIOs source projects externally, they face challenges in selecting part-

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needs – might not find external partners with the right expertise to support their efforts.

On the other hand, some lack requisite capabilities and internal expertise and need partners. Organisations can partner with a single vendor that offers all required expertise or with multiple vendors. The single-vendor option often is the best choice when the organisation has low internal execution capabilities and limited legal expertise. This route is selected because they have limited governance capabilities and are better off dealing with one vendor in charge of project implementation.

In some cases, it is impossible to find a single local vendor with the capabilities and exgood governance pertise for a large project because the market organisations working witH Exis not mature enough. In these cases, multiple tErnal vEnDors nEED to sEt ClEar vendors are used – either a consortium with ExpECtations anD inCEntivEs witH tHEir partnErs. onE way to Do so one vendor in charge, or a network of vendors is to usE a stratEgiC implEmEntamanaged by the organisation. tion offiCE (sio)-an ExtErnal

ners and structuring relationships to ensure on-time and withinbudget delivery.

How should the CIO of an organization, large or small, that is considering such an initiative for the first time approach project sourcing? To create successful partnerships, a strategy should address and answer three critical questions: What is the desired target or result for the project? Who should the organisation partner with to deliver results? How should a partner be selected?

Scope of project The first question – defining the ‘what’ or the project’s scope and sourcing strategy – often receives the least amount of attention. Typically, organisations either fail to clearly delineate the boundaries of the project or immediately jump to selecting a partner. But this step is important for several reasons. First, it allows an organisation to plan and control its costs.

Second, a project sourcing strategy provides the platform for an organisation to articulate its problems clearly and identify potential solutions. Third, such a strategy allows the organisation to document its specific project requirements and identify benchmarks by which it can measure progress and success.

The right project sourcing strategy builds on an organisation’s capabilities and mitigates its constraints. It helps companies select the right partner and then establish a relationship, allowing them to control costs, operate more effectively, and put the proper skill sets in place to achieve the project’s objectives.

partnEr tHat is not a vEnDor on tHE proJECt-to monitor tHE proJECt via a strong govErnanCE struCturE. tHE sio plays sEvEral rolEs. it EnsurEs tHE Clarity anD transparEnCy of information tHrougHout tHE sourCing proCEss. it assists in HolDing all vEnDors aCCountablE. it also proviDEs an inDEpEnDEnt assEssmEnt of tHE organisation’s ExpECtations. it HElps it stay onE stEp aHEaD of its partnErs in tErms of monitoring ExECution anD antiCipating futurE nEEDs. finally, tHE sio rEsolvEs kEy issuEs bEtwEEn tHE organisation, partnErs anD otHEr stakEHolDErs.

The right team The next question is the ‘who’ – determining the ideal team to develop and implement the IT programme. Organisations that have significant execution capability, access to internal expertise and a solid track record of delivering key projects internally in a cost-effective and timely manner might opt not to partner with external vendors. Additionally, organisations with very specific requirements – such as financial service firms with highly sophisticated financial engineering applications or healthcare providers with specific quality and performance management

Finding Vendors The final question is ‘how’ - how to find vendors that best complement the organisation.

Typically, there are two solutions: source directly from a preferred vendor or initiate a selection process with a comprehensive RFP process. When there are issues of time and financial constraints, limited legal capabilities, or an IT project with a relatively low level of complexity, they are dealing with a project of limited scope and low risk.

In these instances, organisations may source the project directly using either a single vendor, a prime vendor that oversees other vendors, or multiple vendors. The ideal vendor would have an existing relationship with the organisation thus avoiding the need to negotiate a detailed contract.

Organisations that are not pressed for time can adopt an indirect sourcing approach involving competitive negotiations. This ensures a cost-effective selection process. They can negotiate directly with multiple vendors or adopt a multistage RFP process.

There is no universal solution; no single sourcing strategy that can be applied across all situations with success. Companies have different capabilities and challenges. A dedicated strategy will help ensure that a project is delivered on time and on budget

bookmark www.issuu.Com/oryxmags

by rameZ SHeHadi, partnEr, walid toHme, prinCipal anD jad bitar, prinCipal, booZ & Company booZ & Company is a lEaDing global managEmEnt Consulting firm, HElping tHE worlD’s top businEssEs, govErnmEnt ministriEs anD organisations.

36 Qatar today

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cOnnected citieS deVelopinG

ford, Cambridge among the best but even those that are becom‘IT’ or ICT (information and communi- ing successful within emerging economies consolidate disparate cation technology) is a must for most cities. Those in the Gulf are university buildings within a city area to foster a distinctive local no different. In 2009, the GCC countries already had the highest identity. Those universities that turn research into innovation mobile phone usage in the Arab world with cyberspace connec- reveals the importance of urban ‘clustering’ where specialised tion a little behind with some 36% of population using it. Never- sectors are supported with services.

Apart from accessibility to the brains and resources of univertheless, there are plans for world beating services. ictQatar was established in 2004 both to facilitate and regulate sities, innovation clusters seem to rely heavily upon a supply of IT in the country. There have been major successes in ensuring cheap space to enables entrepreneurs to reduce their start-up increasing access and usage by business, by institutions and by risk in what often seem like crazy ideas. In effect, clusters provide the community. An international study conducted by Harvard the physical realm, where social intercourse and cross-sectoral University concluded that relatively small investments in ICT discourse can take place – often in exchanges that are difficult to create inside corporate business and can make disproportionately high impacts status-driven academia. Clusters seem to on GDP growth, especially in developing develop a rich socio-cultural offering that economies. facilitates even more connections and exQSTP has also been established as an changes. Coffee shops, restaurants, theainternational hub for research, innovatres, attractions, health and other services tion & entrepreneurship in a detached spring up in support and in turn further ‘campus style’ location. The development support the cluster through increasing of Education City and international joint richness of choice and ideas. With luck or ventures in university education and regood planning these clusters become urban search rely heavily on the support that IT centres, hotspots in the wired circuit of the can bring to international collaborations city which just like Moore’s law of processbeyond the Arab world. Now more than ing power in semi-conductors creates an ever, academics have to bridge the walls of exponential increase in economic activity. their ivory towers if they are to stay up to Many have argued that IT would remove date. the need to be constrained within the city Extending networks through virtual as e-communication took over from physcommunities is vital but attracting re- QStp ical movement liberating us from the daily searchers to the Gulf’s gleaming edu- innovation Hubs Can only suCCEED wHEn tHEy grind. To some extent this may be true but cational facilities relies as much upon arE linkED into a vibrant urban rEalm we are finding is that cities have once again providing a culturally rich and accessible urban setting which is also critical to the fermentation of ideas. proven to be the countervailing human invention.

IT is becoming a key element in the competitive success of citThe easy availability of information via the web means that global comparison of pay and living costs enables many of the best ies but traditional city qualities: mixed use centres, good transand brightest knowledge workers to decide where to locate them- portation links, attractive places with distinctive identities and selves based upon quality of life and lifestyle choices. Most will clusters of urban activity are still the key drivers. The flexibility pick a cultured city environment where the opportunity for them of IT networks may enable a focus on other locational criteria especially with new technologies like WiMAX ....wifi on steroids. and their families is increased.

But, as we are discovering, the 21st century will be remembered not as the IT epoch but as the epoch of the city, of urbanised man.

Urban clustering A review of the world’s top 200 universities shows that the major- Putting IT in the city is another wave of urban innovation which ity are ‘nested’ within vibrant urban settings, Harvard, MIT, Ox- cities cannot afford to ignore if they are to sustain themselves follow uS on twitter @QatartoDay

by ian lyne ian lynE is managing DirECtor of futurE-Dynamix - proviDing stratEgiC CHangE managEmEnt for sustainablE DEvElopmEnt. ian Can bE rEaCHED at ian.lynE@futurE-Dynamix.Com

38 Qatar today

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FaR FROM tinny POtential “thIS valuaBlE mEtal poSSESSES thE WhItENESS oF SIlvEr, thE INdEStructIBIlIty oF gold, thE tENacIty oF IroN, thE FuSIBIlIty oF coppEr, thE lIghtNESS oF glaSS. It IS EaSIly Wrought, IS vEry WIdEly dIStrIButEd, FormINg thE BaSE oF moSt rockS, IS thrEE tImES lIghtEr thaN IroN...”

What

is this wondrous metal being described by Impey Barbicane, the main character in Jules Verne’s 1865 novel, From Earth to the Moon? Aluminium, of course.

Although the novel is science-fiction, the above excerpt does contain quite a bit of science. Aluminium does in fact have silvery sheen, a gold-like incorruptibility, copper-like fusibility and impressive strength for its light weight.

In Gulf States, both demand for and production of this versatile metal - useful for construction, transportation and packaging - has been on the up. Gulf countries have been developing their aluminium industries since the late 60s. Why aluminium?

Electricity makes up as much as 30% of aluminium’s production costs, giving Gulf States, who have access to competitivelypriced and plentiful natural gas, a natural advantage in industry.

As a result, aluminium production has become a focal point of many national diversification projects.

Qatar scenario Where does Qatar fit into all of this? In past years, the majority of aluminium produced in GCC has been intended for export, mainly to Europe and the Far East. However, Qatar’s demand, along with that of the region as a whole, is set to spike. The State has a long list of construction projects scheduled, including a national railway, stadiums, and broader infrastructure for the 2022 FIFA World Cup. Over the next four years, the country’s construction sector is set to grow 12% annually, with total expenditures topping QR182 billion ($50 billion), according to private consultancy Ventures Middle East.

It comes as no surprise, then, that the State has been developing its capacity to produce aluminium, a metal crucial for construction. In April 2010, Qatalum, a joint venture of Qatar Petroleum and Norwegian aluminium manufacturer Norsk Hydro, opened its production facility. The plant is set to its full capacity of 585,000 tonnes this June, according to Svein Richard Brandtzaeg, CEO, Norsk Hydro.

In addition to its involvement with aluminium production,

Qatar’s gas supplies make it a key player in fuelling the growth of the industry in other GCC countries. The State’s gas reserves, the third-largest in the world, enable it to support the steadily growing aluminium industries of its neighbours. Last April, Oman’s Sohar Aluminium announced plans to double its aluminium output. In the UAE, the recent creation of Emirates Aluminium (Emal), a joint venture of Dubai Aluminium and Abu Dhabi’s Mubdala, is set to increase the UAE’s output as well. As Qatar’s neighbours increase aluminium production, their energy demand is also set to rise.

This situation will make the Dolphin Pipeline, which carries gas from Qatar to neighbouring Emirates and Oman, increasingly useful. In recent years, countries like Oman have relied on Dolphin to fill gaps in their energy supply created in part by industrial expansion.

The growth of aluminium in the GCC presents a win-win for Qatar and the region. On one hand, as the State develops a domestic aluminium industry, it furthers the diversification plans laid out in Qatar National Vision 2030. On the other hand, regional aluminium production offers the opportunity to increase GCC economic integration. Qatari gas helps fuel the industrial projects of its neighbours, who in turn can help supply Qatar for upcoming construction projects.

However, some point out that these aluminium diversification arguments have a hollow ring to them. Indeed, in the short term aluminium does little to wean the region’s economy off of fossil fuels. From its inception, the industry’s growth has relied largely on a steady supply of cheap hydrocarbons. Still, authorities in the region acknowledge that oil and gas will not last forever. It is for this reason they are investing in renewables, nuclear, and other energy sources. Indeed, generating more energy from alternative sources is set to be crucial, providing a way for aluminium and other industries to grow even as oil and gas reserves decline.

In the meantime, Qatar can leverage its plentiful gas to boost the industry both within its own borders and across the region.

As a result, the State and the region as a whole stand to gain from cultivating expertise and infrastructure that is key to future growth

feedback QtoDay@omsQatar.Com

by oliver cornock tHE autHor is tHE rEgional EDitor of oxforD businEss group

40 Qatar today

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vIE W poINt

Planning FOR yOuR FutuRe all parENtS WISh to provIdE thEIr chIldrEN WIth thE BESt gIFt aNd that WIthout douBt IS QualIty EducatIoN.

for

most parents, tertiary education seems very far off when they hold a newborn baby and their immediate needs are mostly focused on short-term issues such as child care. But to ensure that your child attends an educational establishment of choice needs careful planning and for some this planning starts from the day the child is born. At HSBC, we have been providing financial advice on education planning and have helped many parents fulfill their dreams.

How to begin Do not believe that you have time on your side. This is a misconception which deceives many and for some, the decision to start planning is left until too late which means they will not be able to build up the required amount to fund the costs of university fees.

At HSBC, we always recommend starting as early as possible. We would encourage parents to start a savings plan with a comfortable monthly contribution based on what they can afford and make necessary adjustments to the plan at regular review meetings with the financial planning manager.

A regular education savings plan provides many benefits. Firstly, it provides a disciplined approach to managing your finances and the regular standing order or a fixed amount helps you budget effectively.

What type of plan is appropriate?

This depends on your personal circumstances. Your financial

planning manager will ascertain your appetite for risk before recommending the most appropriate plan suited to your individual needs. Risk in financial planning is simply measuring your comfort zone and seeking to establish a bench mark of how much financial loss you are able to bear in worst case scenarios over the short-term, medium-term and over the long-term. It also aims to establish how you would react to changing market situations. For example, if the markets took a sudden temporary dip, would you panic and redeem your investments or would you be prepared to ride the wave and remain committed to your long-term plan.

These are vital areas to address and ascertain before any plan can be arranged.

Gain more even in falling markets Regular savings over the long-term is the best way to save for children’s education. Manageable amounts can be put aside every month allowing you to live comfortably with the remaining surplus income.

If you are worried about the volatility of markets and that your hard-earned capital may be wiped away during times of financial uncertainty in the markets, then you should adopt a long-term regular savings approach.

During periods of financial crisis, the value of investments may drop. However, with the regular approach you are still investing a fixed amount each month which allows you to buy further units in the same investment at a reduced cost since the overall value of the investment has fallen. When the markets pick up again, your investments naturally add value

feedback QtoDay@omsQatar.Com

by javed HaSSan akHtar sEnior arEa salEs managEr, wEaltH managEmEnt, HsbC

july 2011

Qatar today 41

42 Qatar Today

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Whilst many businesses understand their marketing and corporate strategies, they are facing pivotal decisions in this new digital economy of mobility and lightning - fast access to data. Getting their IT strategy right now will promote slicker business decisions in the future.

Rory Coen explores the ever-changing challenges of the digital economy.

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Qatar Today 43

ompanies are now being digitised from end-to-end – the CEO to the man in the warehouse to the salesman in the field – with 'connected' smart-devices to speed up processes. Others are negotiating with Cloud Service Providers (CSPs) about the scale of their IT switch to cyberspace.

IT Innovation is fast becoming a priority for Chief Investment Officers (CIO) across the region, believing if they can get the most out of their IT infrastructure, they will see greater returns-oninvestment in core areas of business. IT is the motor under the hood of every enterprise and getting the right engine to power their profit-centres is the paradigm of good business.

It has fuelled a huge shift in how work is done in the last couple of years, and this will continue, putting pressure on CIOs to get their IT investments right. International Data Corporation (IDC) report that IT spending will grow by 11.6% in the region – and by 12.4% in Qatar – between 2010 and 2015. IT spending in Qatar reached QR2478.8 million ($681 million) in 2010, a 3% increase from 2009, but jumped by 12.9% to QR2875.6 million ($790 mil-

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lion) in 2011. Telcos, government, oil & gas and finance are the top IT spenders in the country, as they lead the way to slicker business and profitability.

Their survey revealed that "increased availability and performance of IT supporting business systems" was how they wanted to spend their IT budget, while next on the list was a "standardisation of technological infrastructure, applications and processes". In other words, they wanted an IT system that would maximise their profitability .

Cloud Computing Cloud computing has been a hot topic for the past couple of years, and it will remain so for the foreseeable future. Its problems are well documented, but they're being ironed out by degrees and it's expected that a sizeable number of Qatar's enterprises will run their business on the cloud, using whichever model best suits their specific needs and budget concerns.

Eyas Orabi, ICT Sector Development Manager, ICT Industry

International Data Corporation IDC report

11.6% IT spending will grow by in the region

12.4% in Qatar - between 2010 and 2015.

IT-spending in Qatar reached

QR

2478.8

million

($681 million) in 2010

Development, ictQATAR, holds the view that not everyone will make the switch to the cloud straight away, for varying reasons.

"It's not a technology; it's a model," he says, "which some IT managers will resist, because it may steal their jobs. Others may have security concerns, but it's not unlike putting your money in a bank. Why do you do this? It's safer for you, as there are services and facilities there to protect it. I think businesses will start moving to the cloud during the next five years."

One of the great benefits of the cloud is the cost savings, especially for small to medium sized enterprises (SMEs). It's argued that the savings they make here would heavily out-weigh any security or reliability concerns currently associated with the cloud.

"For SMEs, they don't have to invest all at once [in applications, servers, networks, hardware] and cover their business in debt from the start; this is the most important aspect from an IT perspective. They will be able to spend on IT services as they go.

IT staff is overhead for them after-all, and the cloud will provide a

jumped by

12.9% to

QR

2875.6

million

($790 million) in 2011.

july 2011

Qatar Today 45

capable solution without the need for IT specialists.

"For instance, Google and Facebook are now the standard on how to use applications, and nobody helps you to use them. When you write a message on Facebook, it refreshes in real-time and this has become the standard. If an enterprise comes to the cloud, this is the kind of efficiency they will get."

So if this imminent evolution to the cloud will bring significant cost-savings for enterprises, and IT spending will continue to rise by double-digits during the next three to four years, where will this extra capital be invested? If traditional IT resources are no longer required to keep businesses moving forward, then what will further hasten performance?

Microsoft, Public Sector Manager, Harb Bou Harb says, "Growth will come from areas such as Business Intelligence (BI), Enterprise Resource Planning (ERP) and other information management applications. The IT services market is forecast to be the fastest-growing segment of the Qatari IT market between 2011 and 2015, out-performing the hardware and software sectors. I think we will see more opportunities in sectors, such as financial services, healthcare, education and communications."

Where is the vacuum?

Qatar Foundation, Director of IT, Sa'di M. Awienat says, "The IT industry is a dynamic industry – new trends are emerging every day; it's quite a challenge to keep your resources and people up to date with the latest and greatest technology. However, we don't have another MEEZA (see box) and I think the state needs more of this; needs more services offered to the SMEs. We need to improve the infrastructure when it comes to connectivity and reliability, the cost of connectivity is high here compared to other countries and this could be a limiting factor for cloud computing services because SMEs are keen on consuming these cloud services."

If enterprises are going to switch to cloud computing – to save costs – yet IT spending it set to grow by 15% in the next few years, where will all this extra money be spent?

"The demand on IT services will continue to grow," he said.

"New services that we are not currently consuming will become mandated. As we get more advanced and connected, new services will be created that you need to invest in, and this is where this money will go – so this will create new opportunities for IT services that will help the businesses to streamline the

Lync in sync: Microsoft

Microsoft is heavily focused on transforming business by unlocking the potential of cloud computing for their customers in both the private and public sectors. With their 'software plus services' offering, businesses and consumers can recognise the convenience, security and reliability of both on-premise software and web-based services, with the choice of hosting certain applications on premise, others in the cloud, or a combination of the two.

Harb Bou Harb, Public Sector Manager says, "This is a very interesting time for the IT industry right now; a pivotal point in IT history that is having a profound effect on our lifestyle. The 'cloud' has reached mainstream status, infiltrating everyday life offerings, from e-mail to minute-by-minute status updates on aspects of our personal lives. Cloud services are changing how we deploy and use technology more and more."

Microsoft is 'wowing' enterprise customers with some new innovations, such as their Cloud Computing Solutions; Office 2010, Lync and Office 365.

Harb explains: "Microsoft Office 2010 is providing businesses with a roadmap to improve security, stabilise operating costs and make business operations more agile.

"Lync – which is Microsoft's Unified Communications solu-

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Harb Bou Harb, Public Sector MANAGER

Microsoft

tion – delivers on our vision to unify all of the modes of modern business communication, giving people a more collaborative 'in person' experience with features such as HD video, conference recording, as well as social features like status updates and activity feeds. In addition to transforming how people communicate, IT departments can use Lync to evolve their infrastructure and enhance or eliminate their traditional PBX systems, saving money and time.

"Office 365 is the software company's next generation in cloud productivity, and it ties together Microsoft Office, SharePoint Online, Exchange Online and Lync Online, in an alwaysup-to-date cloud service."

To cloud from mobile: Mannai Mannai is Qatar's largest Systems Integrator and the leading organisation in the region that provides end-to-end, reliable IT solutions, by partnering with the likes of Oracle, Microsoft, SAP and ERSI. They help these partners to fine-tune and customise their products to meet the needs of the local enterprises.

Moni George says, "Our Company has really grown in the last 10 years, from 120 employees to over 700. We have made acquisitions in countries like India and Jordan to serve this country.

"We are focusing a lot on the cloud because we understand this is what the market wants; it brings down the cost-of-ownership and eases maintenance issues. It's a win-win situation for the customer and vendors like us.

"ERP is the largest selling solution today, followed by BI. As a company, we have made tremendous investments here, created many verticals which addressed the needs of the market. We have developed an ERP solution called Mannai, which is being leveraged by about 25 customers. We have a team of developers in India who are working specifically on this.

"Regarding mobile applications, we have been diligent enough to start with the banks, which use our applications to supply their customers with fund transfer functionality on their mobile-devices, as well as the ability to check their balance. Banks and financial institutions were the first to embrace this technology, but now government departments are also leveraging it.

"Perhaps the greatest success we've had in providing qual-

organisation to become more productive and more profitable.

Business Analytics Most businesses run an ERP, which manages its core financial systems and other functions which run critical business operations, such as purchase orders and invoices; it also facilitates the ordering of build materials for manufacturers, or managing suppliers - whatever it is a business does. This is essentially the 'data in'. The 'data out' of the system – referred to as 'Business Analytics' (BA) – is where it's given real practicality.

SAP MENA, Managing Director, Sam Alkharrat says, "In the first quarter of this year, 44% of our revenue was derived from BA, which reflects the growing desire of business leaders across the region to adopt new innovative technologies that ensure their IT systems allow for more real-time decision making".

SAP, Country Manager, Gergi Abboud says, "Our major strength at SAP are our ERP solutions, but our Business Analytics Layer is fast becoming a major force behind every busi-

Moni George, GENERAL MANAGER, INFORMATION & SERVICES

mannai CORPORATION GSC

ity e-solutions was the development and implementation of the Self-Service Payment kiosk, developed for the Ministry of Interior. The aim was to improve the time-consuming, traditional payment transactions, by providing a 24/7 self-service kiosk that would facilitate most of the e-services provided by the Ministry, including issuance of exit-permits, traffic violation settlements and visa renewals.

"The users are verified through their Smart Cards, IRIS Scans or Biometric fingerprints, and can also pay for the services used, on the spot, through the integrated MOI payment solution within these terminals. These kiosks have been placed at Malls, MOI branch offices, and other such strategic locations within Qatar," he added.

ness. A lot of companies are trying to tie ERP with BA, because they go hand-in-hand; they want to make more sense out of the data that is being fed into their ERP, to make better business decisions."

Businesses have been trying to find ways of extracting meaningful data from their systems for years and now there's this tangible function which can do it in real-time.

Mannai Corporation QSC, General Manager, Information Services Division, Moni George, says, "We provide a comprehensive set of Business Intelligence (BI-DW) solutions on Oracle, Microsoft and SAP Business Objects Platform to help organisations leverage their data to understand their customers better, adapt faster to changing market conditions and improve profitability using available resources optimally."

Mobility With high-speed fibre-optic Internet about to make its presence felt in the country, it should be a priority to really >>(CONTD ON PG 50)

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Qatar Today 47

MANY LEADING IT COMPANIES ARE CITING THE RECRUITMENT AND TRAINING OF SKILLED STAFF AS A MAJOR CHALLENGE FOR THE INDUSTRY HERE. QATAR TODAY LOOKS AT HOW QATAR IS TRYING TO ADDRESS THIS ISSUE. t was cited as a major issue by the National Development Strategy (NDS) Planners, who felt Information and Communication Technology (ICT) was a key enabler of successful education and training.

"Mastery of technology is required to participate in and contribute more effectively to the knowledge economy."

With the help of ictQATAR and the Qatar Foundation (QF), the stepping stones are being carefully placed to realise the 2030 Vision.

Qatar Foundation, Director of IT, Sa'di M. Awienat says, "Our central focus is around people and bringing world class education here to develop their skills to support the knowledge economy. We are supporting Qatar's ICT industry – acquiring innovation and partnering with industry leaders such as SAP, Microsoft, Cisco, HP and Oracle.

"Through the universities and schools under the QF umbrella, a big effort is being made to incorporate IT into learning - not just computer literacy, but the advanced usages of technology, enabling students to have access to information, promoting research activities, and leveraging the sophisticated IT infrastructure that is available to them."

Carnegie Mellon is one such college which focuses on Computer Science, and Kemal Oflazer – Professor of Computer Science at Carnegie Mellon University in Qatar – recently said "We should teach students who are studying computer science to be innovative in their problem solving, to create new ways of doing something that has never been done before.

"They are able to do this through computational thinking – understanding the thought process behind layers of abstraction and mapping the process. Our graduates have been hired by organisations in energy, finance, real estate, media as well as technology,

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because their thinking and approach to solving problems easily adapt to many disciplines."

Industry leaders understand that to grow their business in this burgeoning economy, they will have to invest heavily in education and training. Many of them are collaborating with ictQATAR and are forging strong relationships with various learning centres around the country.

"BUILDING THE CAPACITY OF THE LOCAL WORKFORCE, MAKING THEM MORE IT LITERATE TO DEVELOP A KNOWLEDGE-BASED ECONOMY" MICROSOFT

SAP are working on two fronts to drive education and training in Qatar, with ictQATAR and Qatar University (QU). They currently have 270 employees working in the region – with 15 in Doha – but have aggressive plans for expansion, hoping to double their staff in Qatar in the next two years.

University Alliance Programme QU became the first university in the country to join the SAP University Alliance Programme (UAP). The initiative provides faculty members from the College of Business & Economics (CBE) with the tools and resources needed to teach students how technology can help enable integrated business processes and strategic thinking – and gives graduates the skills needed to add immediate value to the Qatari market.

Gergi Abboud, Country Manager for SAP, intimated that SAP had a very sound strategy to build capacity in the market and educate students on how to leverage their skills to be the best.

"The University Alliance Programme is a global programme in multiple universities, but what's unique here is that QU

"THERE'S A SEVERE SHORTAGE OF SKILLS. TECHNOLOGY IS MOVING QUICKLY, BUT YOU NEED TALENT TO WORK WITH IT, AND IT'S NOT AVAILABLE HERE" MANNAI

agreed to put this programme as part of their Business School curriculum. Business students will be graduating with the ability to apply finance or accountancy procedures to a SAP system," he says.

"We signed a MoU with ictQATAR in January as part of their Digital Content Cluster. They created this cluster to incubate start-up and small-to-medium sized businesses (SMEs). We have agreed to support three anchored tenants on the cloud computing side, and we want to help these companies to produce cloud services. We are essentially hoping for a 'ripple effect', whereby other SMEs can leverage these services and drive forward. This in turn should provide the sustainable growth that will be required for this country to achieve its 2030 vision."

"A MAJOR CHALLENGE FOR IT IN QATAR IS TO ACQUIRE SKILLED RESOURCES" GERGI ABBOUD COUNTRY MANAGER, SAP Microsoft are also helping SMEs move to the cloud by allowing them to shift initially to a private cloud, and experimenting there, before deciding to move to a public cloud or not.

"A business can start in its own domain, on premise," says Microsoftf's Harb Bou Harb, "and when they are ready, they can request to go off premise. We will support this decision; we provide a very elastic solution where you can use one cloud model, and switch it to another."

MEEZA Awienat, from QF, says, "What we are trying at QF is to leverage more managed services and use more services from the cloud. We envision moving forward - through our partnership with MEEZA, who are building a cloud model which is being made available for us within QF, and of course other customers within the state of Qatar."

QF formed the company MEEZA to develop and stimulate competition within Qatar's IT services market. Supported by strategic alliances with a number of global partners, the new company's commercial activities are carried out with global IT giant HP Enterprise Services (HP-EDS). The organisation offers a wide range of services, from creating and managing IT infrastructure to providing full business and technology consulting.

For example, MEEZA recently signed a new partnership agreement with Qatar's Supreme Council of Family Affairs (SCFA) to provide IT solutions and infrastructure to help of them reduce costs, enhance productivity, and provide business scalability

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>>(CONTD ON PG 47)

promote its potential.

Abboud, from SAP, says, "The digital infrastructure in the country is a key factor for us – it's the enabler for all enterprises to unleash their potential in their workspace environment to the outside world; it allows collaboration in the full value chain – from the customer to their customers, from the customer to supplier, and from the customer to their partners – but it's all no good unless you have the devices to go with it.

"Smart mobile penetration is key, and we are really innovating here. There's a lot of interest in what we do in this country with regard to 'in-memory' computing. HANA gives your employees and executives the ability to run reports in a second on their mobile device. Traditional technology would have meant running a report

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the previous evening to have it on time, and by then it's stale data."

Orabi, from ictQATAR, follows up on that: "There are different problems we can solve for SMEs to push them forward. One solution would be to build and harness an eco-system. If we start to think about the bare bones of this eco-system - and we try to solve the problems of companies by putting software applications on the cloud, so they can access them on their smart-phone or iPad; employees can be engaged and informed.

We're now connecting everyone and everything, and disseminating information very quickly; this is IT's real value – not the hardware and software on offer – but how it's used, how efficient and accurate it can be, and how fast you can access information"

It wasn't so long ago you only needed to lock your front door and set the alarm to deter thieves, but there's hardly a need anymore, such is the threat of cybercrime.

ybercrime is a maturing threat to every business – small, medium or large – and Middle East CIOs are getting scared. Recent highly-publicised security breaches at top software enterprises will have focused their attention even more, as they put pressure on IT Security vendors to alleviate these incredibly sophisticated attacks.

One such security vendor, McAfee, reviews 100,000 potential malware samples per day, and identifies, on average, a little over half of these as new and unique threats. What's outrageously startling is that it identifies over two million new, malicious websites per month. These threats have the capability of moving very fast to an end-point or network gate-way.

"These malware threats are very real," says Jon Parkes, Vice President, Pre-Sales EMEA, McAfee. "The malware market and threat landscape have matured significantly over the last few years. Five or ten years ago, the industry was run by young students hacking into websites for fun – exercising their capabilities – but now it's a business and a multi-billion dollar business at that. Cybercrime and cyber terrorism is now bigger than the drugs trade.

"They're not interested in getting a $5 theft here and there either; they're looking at stealing millions from big companies, and the way they do this is by 'advanced persistent threats'."

Startling news when put into context, no doubt, but recent events have given his statement a lot of credibility.

Comodo manage the digital certificates used to authenticate websites, such as Google, Yahoo and Skype. In March of this year, they announced that intruders hacked into their system and made off with the means to create fabricated websites that work and look exactly like the authentic versions of these sites.

Epsilon – a legitimate e-mail distribution company – later disclosed that millions of e-mail addresses were lifted from its servers. Security experts were quick to warn of future and even more precise spear phishing attacks.

Sony's well-documented security breach this April, affected 77 million PlayStation Network users, where credit-card details, expiration dates, bank-account numbers, customers' names and addresses were all exposed to the perpetrators. Sony revealed that this data was stored in an 'outdated database from 2007'.

Parkes disclosed there were more malware threats detected

by McAfee in 2010 than the combined amount for the previous ten years, and this was a trend that would continue into the future.

"There will only be more malware, more threats; more people writing code to make more money. The major difference is that they will really start to target their attacks on very specific things, maybe to extort money from certain companies. Possibly terrorism or even activism; those who aren't necessarily interested in

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"FIVE OR TEN YEARS AGO, THE INDUSTRY WAS RUN BY YOUNG STUDENTS HACKING INTO WEBSITES FOR FUN – EXERCISING THEIR CAPABILITIES – BUT NOW IT'S A BUSINESS AND A MULTI-BILLION DOLLAR BUSINESS AT THAT" JON PARKES, VICE PRESIDENT, PRE-SALES EMEA, MCAFEE money but just want to make a loud point."

McAfee have implemented a proactive method to deal with unknown requests to penetrate your device or network. It's known as 'white-listing' and only allows the 'known good'. It prevents all unauthorised requests from affecting your servers and devices.

"White-listing protects your assets," says Parkes. "Once they are recognised as 'good', they can change configurations and data.

If the request isn't on the list, then we're either going to report it, or block it and stop it from running."

Network Security A recent IDC Poll of Qatari IT Managers revealed that Network Security Solutions was top of their list when drawing up the security budget. The next priority was Content Security (anti-virus, web and messaging security) closely followed by Data Loss Prevention Solutions and Application Security.

Is it any wonder that network security is such a critical and hot topic in the IT world at the moment, what with the dissemination of Facebook, Twitter and other social media into every office of every work-place. The traditional formal structure that a company employed has been replaced by an informality which integrates people from every sphere of business. The business environment is evolving at a fantastic rate – and this is to be applauded and welcomed – but it brings the burden of tighter security.

Social networking has become a business tool for many organisations. They are seen as innovative ways of getting business done, acquiring new clients and customers, so it's not an option

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to firewall these sites, to enclose your employees in an intranet bubble.

Sonicwall, Regional Director, MEA & Turkey, Shahnawaz Sheikh says, "Social networking empowers your employees. To know what's going on, your employees need the same tools as your customers. The role of today's IT security professionals is to secure an empowered organisation and to deploy empowered business-ready IT solutions."

And it's not just large organisations which should be panicking about security threats; SMEs may consider themselves a small target, but any company that is vulnerable is worth attacking. It's often a single negligent user – with limited network or administrative access – which can compromise the security of the whole business.

Prajit Arakkal, Director of Distribution Channel Sales for Symantec, explains, "Many SMEs throughout the GCC still haven't recognized the tremendous impact a disaster such as hacking can have on their businesses. Despite warnings, it seems like many still think it can't happen to them."

So it's no surprise that Internet usage increase is driving the most IT security spending in Qatar. Whilst it compromises an organisation's data and productivity, it's an indispensible tool for almost every business, but while this will remain their number one priority, another danger is surfacing.

Mobile Device security IDC feel the recent proliferation of mobile devices will seem trivial to what lies ahead, as every individual will be sending and receiving data – for personal and professional use – on the go.

Smart-phones and tablets will provide the computing power of enterprises of the future.

Juniper, Managing Director MEA, Juniper, Dr Samer K. Shaar says, "The most significant recent phenomenon is the emergence of the mobile device. If PCs and notebooks are growing at single digits, there's double digit growth in mobile devices; they're a very serious business device, not only to communicate and disseminate information, but also to do critical financial transactions.

"The mobile device industry is driving a lot of the ICT growth in this region. We expect there will be 250 million smart-device users in 2015. With this kind of adoption, it's a hacker-oriented market; not just because they can find ways of scamming your account, but because you are doing financial transactions by accessing bank accounts, and using your credit card for e-business, they can sniff this important detail and steal from you."

Juniper has been a leader for eight years in the golden quadrant

related to security software solutions, and are now investing in securing mobile devices; not only providing solutions to prevent and counter threats, but also doing the forensic studies to locate the hackers and repair the damage.

They integrated their range of security software offerings into one package called Junos Pulse, which runs intrusion prevention and protection, and has anti-spam and anti-virus capabilities. It was originally designed to run just on notebooks or PCs, before Juniper acquired a company called S-Mobile, which brought capabilities to implement it on every mobile device in the market, irrespective of what operating system was running.

"The most important feature of Pulse is the SSLVPN – Secure Socket Layer Virtual Private Network – that enables you to have a secure encrypted link, from a client mobile device into the back end of your system, to access applications such as your ERP, your customer management application or your bank portal. This is a unique solution and is distinguishable from others."

Arakkal, from Symantec, confirms, "Hackers are already taking note of this opportunity to exploit a new market, with Symantec's latest Internet Security Threat Report claiming that the number of vulnerabilities for mobile devices rose by 42 percent in 2010.

Employees who download applications are providing cybercriminals with the ideal opportunity to use such sites and infect the individuals device with malware. The viral nature of these social networking services means that harmful messages can be spread for little expense."

App stores pose huge threats 'App stores' are on everyone's lips now, as they scramble to find the most cost and user efficient applications for their devices, but these stores are a haven for cyber-criminals, as Shaar explains.

"While commercial spyware applications are nothing new to mobile security experts, the greatest malware risk to all mobile operating systems involves the rapid development, distribution, and proliferation of applications through the so-called 'app stores'. Created as a means to distribute applications to mobile devices, app-stores provide an ideal transport mechanism for the delivery of malicious software to high volumes of mobile devices.

App stores may be chartered and managed by mobile operating system developers, such as the Apple App Store, Android Market, Windows Marketplace for Mobile, BlackBerry App World, or Nokia's Ovi Store; by known third-party entities such as Amazon. com and its Amazon App Store for Android; or by unknown third-

"SMARTPHONE USERS NEED TO BE AWARE OF THE GROWING RISKS ASSOCIATED WITH THE CONVENIENCE OF HAVING THE INTERNET IN THE PALM OF THEIR HAND" DR SAMER K. SHAAR MANAGING DIRECTOR MEA, JUNIPER party companies.

"Downloading applications from an unknown, unaffiliated third-party app store is known as 'side-loading'," continued Shaar.

"At times it has been known to be a catalyst for the launch of renegade applications infected by malware. Much debate has taken place in the industry regarding app-store security and, specifically, how applications – many times created by entry-level developers with visions of huge profits – should be examined, policed, and monitored. App store processes – of reactively removing applications identified as malicious after they have been installed by thousands of users – is insufficient as a means to control malware proliferation. There are specific steps users need to take to mitigate mobile attacks.

"Smartphone users need to be aware of the growing risks associated with the convenience of having the Internet in the palm of their hand, and could employ an antivirus solution – like Juniper Pulse – on their mobile device to scan for malware. Ultimately, endpoint security software is the best prevention against mobile malware," says Shaar.

There's no doubt that the region is beginning to focus on cyber-threats. IDC revealed that 'improved security of information and information systems' was an IT priority for many Middle East CIOs. McAfee, Regional Manager, Emile Abou Saleh says, "Security is really growing in this region now; companies know they have to invest. Possibly due to budget concerns they cannot implement a full security solution, but they're planning at least.

Governments agencies and Telcos have a clear road-map which includes security."

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The Secret

of Higher

Performance How integrating employee engagement and strengths boosts performance

H

ere are some secrets we know about you: to be engaged, you need to identify with the mission and purpose of your company.

You're great at some things and won't ever be very good at others. If you have the materials and equipment you need to do your job

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right, you'll care more about the fate of your organisation. You are naturally inclined toward success at some things, and by adding skills, knowledge, and practice, you'll be much better at them.

To some people, these don't seem much like secrets. In fact, they might appear so obvious that they go without saying. But you might be surprised at how many people don't know these things or haven't given them much thought.

That's a shame, and it's all too common.

If everyone knew and understood these secrets – which are more properly called elements of employee engagement and strengths – they'd be much more successful at everything they do.

Better and better Gallup discovered the first secret years

ago: employee engagement boosts organisational performance. Our research has found that work units scoring in the top half on Gallup's Q12 employee engagement assessment essentially double their odds of success compared to work units with scores in the bottom half. We've also found that improving employee engagement links to improvements in crucial business outcomes (customer ratings, profitability, productivity, and quality) and reductions in others (safety incidents, shrinkage, and absenteeism).

The second secret came from subsequent Gallup research: People who know and use their strengths – and the companies they work for – tend to be better performers.

In one study of 65,672 employees, Gallup found that those who received strengths feedback had turnover rates that were 14.9%

b o t t o m l ine lower than for employees who received no feedback (controlling for job type and tenure). A study of 530 work units with productivity data found that teams with managers who received strengths feedback showed 12.5% greater productivity post-intervention than teams with managers who received no feedback. And in a study of 469 business units ranging from retail stores to large manufacturing facilities, Gallup found that units with managers who received strengths feedback showed 8.9% greater profitability post-intervention relative to units in which the manager received no feedback.

Gallup knew that companies with engaged employees outperform those with less engaged employees and that employees who use their strengths at work outperform those who don't. What we didn't know initially is what happens when companies nurture engagement and strengths simultaneously.

Big boost To examine the relationship between strengths and engagement, Gallup studied workgroups that were using a strengthsbased intervention and that had assessment engagement metrics. In a study of 896 such business units, Gallup found significant improvement in employee engagement after the units' managers received strengths feedback – typically a one-hour coaching conversation focused on understanding one's strengths – relative to work units with managers who didn't receive strengths coaching.

The results were notable because the increase in engagement occurred for employees as well as for their managers, although only the managers received feedback on their strengths. We found a similar pattern in a study of 12,157 employees who received strengths feedback: Their engagement also increased after they received the feedback.

Our conclusion – based on these and other studies – is that a strengths-based approach to managing is the single best method of improving the employee-manager relationship that Gallup has observed in many years of working on employee engagement.

That leads naturally to these questions: why is a strengths-based approach so effective?

What's the secret formula behind strengths plus engagement? How do they enhance each other?

Without help, many of us wouldn't necessarily know what our talents are.

Gallup research has shown that engagement creates a positive feedback loop: people who are engaged are more successful, and success helps people engage in their work. We have also seen that strengthsoriented teams improve engagement and team cohesion; thus, they have less turnover – creating conditions that improve the likelihood of success. So it seems that both engagement and strengths orientation create a culture that fosters performance.

For example, we worked with a manager named Elaine, whose top five Clifton StrengthsFinder talent themes include Relator and Individualisation. These talent themes help Elaine understand and

People who know and use their strengths – and the companies they work for – tend to be better performers

engage the people she works with and supervises. She is exceptional at understanding and managing relationship issues, so she's an ace at getting people who would prefer to work alone to work together. She has forged a cohesive team from a group of dedicated individualists. Thanks to her leadership, the team gets a lot more done together than they could alone.

Furthermore, it's possible that employee engagement and strengths potentiate each other. For example, one of the Gallup questionnaire items asks employees if they have the opportunity to do what

they do best every day at work. And having such opportunities is the very essence of a strengths-based approach. So if doing what you do best is essential for engagement – and knowing what you do best is essential for using your strengths at work – then it seems logical that there could be a relationship between strengths, engagement and performance.

We also suspect that a key to the engagement-plus-strengths equation is that together, engagement and strengths enhance relationships and trust. Gallup recommends that team members discuss their workgroup's survey results and find ways to improve them. The most engaged and effective teams know what they need to do to improve their performance because they talk about it openly.

Employees in organisations that take a strengths-based approach to management acquire a degree of self-knowledge. That's because the Clifton StrengthsFinder gives them a "talent map" of their top five talent themes. This map shows them the areas where they can shine if they work toward adding the skills, knowledge, and practice required to build their talents into strengths.

Without help, many of us wouldn't necessarily know what our talents are.

Understanding how to maximise them could remain a secret, even from ourselves.

However, knowing our talents enables us to develop and use them intentionally and to tell others about them. In turn, we also can learn the strengths of our colleagues.

That knowledge helps us collaborate more effectively with our coworkers. It also gives managers an advantage in working with their team members. Those insights can help managers and employees achieve greater performance, more success, and higher engagement levels.

In the end, the secret of strengths and engagement is that there is no secret at all.

Strengths-oriented team members know their talents and those of their coworkers, which helps them perform at increasingly higher levels. When engagement and strengths are combined, they blow the lid off the secrets that prevent achievement and tell us some truths that spur success

check out www.omsqatar.com

by Jim Asplund and Nikki Blacksmith Copyright The Gallup Organisation, Princeton, NJ. All rights reserved. Reprinted with permission.

Visit the Gallup Management Journal at gmj.gallup.com

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Boost your

creativity at the workplace Creativity comes when you are relaxed, happy and enjoying the moment. And when it comes, it brings ideas that rock your world, said Robin Sharma, one of the world’s most-sought-after leadership and personal success experts

C

reativity is defined by Dr. Robert Sternberg as “the process of producing something that is both original and worthwhile” in

his book Creativity: from Potential to Realisation (2004). Against popular belief, creativity is not restricted to artists, musicians, writers and directors; it actually is a universal and fundamental human ‘skill’ that should be nurtured on a daily basis at both the personal and professional level.

It is refreshing to know and perhaps surprising to many that creativity happens of its own accord. One does not need to attend professional trainings or undergo extensive tutorials on how to become creative, it simply occurs at a certain moment in time, provided it is given the right environment to flourish. It is a skill that defies all boundaries related to age, gender, social status, education or experience. Every working individual has the right and the ability to be creative once he

or she commits him or herself to develop their individual creative abilities. Setting goals, seeking assistance where needed, maintaining a conducive environment and allotting a certain amount of time daily to develop individual creativity are all good measures to take to nurture this key trait.

Creativity lies in the right hemisphere of the brain along with feelings, emotions and senses. Logic, reason and numbers lie in the left hemisphere (which is the analytic side employees more typically tend to use at the workplace). Employees often seem to overlook the fact that the two hemispheres of the brain can be totally in sync and creativity can be boosted with just a bit of the right kind of stimulation, the kind that can make them super performers at their jobs.

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Bayt.com, gives four essential steps to develop solid creative skills:

Allocate time for being creative

Decide when you want to sit down and dedicate yourself to doodling your ideas (any ideas that come to mind) and just do it.

Chase away all negative vibes

Also delete any pessimistic self-defeating thoughts you may be harbouring. Bear in mind there is no such thing as a bad idea. Believe in yourself. You can always develop solid, creative ideas then polish and refine them once you are in a positive laid-back and open frame of mind.

Brainstorm

Share your ideas

Brainstorming helps you generate as many ideas as you can. Once that is done, you can then focus on refining and embellishing those ideas for the best possible outcomes.

Share them with your upper management, peers, friends or coworkers and DO ask for constructive feedback.

Still can’t seem to get creative at work? The right hemisphere of your brain is probably still taking a nap. Here are some tips from Bayt.com that you could use to stimulate it and get it up to speed in no time: Remove all grids, charts and calendars from the wall facing you and put them aside (within reach of course). Replace those with comforting happy pictures (of loved ones, nature, etc...) that will put your mind and heart at ease and soothe the pressure your brain is unconsciously struggling with everyday.

Surround yourself with colours.

It is a well recognised fact that the color orange stimulates creativity. Use it all around you!

Put your headphones on and listen to soothing music.

When you note your brainstorming thoughts and ideas,

Commit to creativity outside the workplace as well.

This will stimulate the right hemisphere of your brain and put the left one to sleep.

do it with a pencil, not a pen; it’s easier on the eyes to look at, easier on the brain to perceive and easier to be amended.

This will reflect directly on your creativity at the workplace: paint, craft, grow trees. Seek peace of mind and creativity will hit you from all different angles, at work and outside of it.

Last but not least, keep in mind that creativity is a mind habit that can grow stronger with practice.

It is not unattainable; it is not beyond your reach.

Practice and nurture your creative skills and reap the results of your efforts. Relax, sit back and let your ideas flow

bookmark www.issuu.com/oryxmags

About Bayt.com: Bayt.com is the #1 job site in the Middle East with more than 40,000 employers and over 5,750,000 registered job seekers from across the Middle East, North Africa and the globe, representing all industries, nationalities and career levels. Post a job or find jobs on www.bayt.com today and access the leading resource for job seekers and employers in the region.

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Power of Feedback Being a leader can sometimes be like a walk in the desert, and soliciting feedback and acting on it makes the leader that much wiser, writes Adam Lomas

I

n last month’s Qatar Today I promised to share a little about the journey that eight super Qatari leaders and I embarked on.

In September 2010 we met with their family and colleagues to describe a journey which was to be a new experience for all of us: we would be examining the ways in which Leaders in the past have been successful, leaders who we can all clearly see - have in their own way have been successful: Winston Churchill, Abraham Lincoln, Nelson Mandela, Bill Clinton. We do not seek to impose any particular leadership style on the participants of Aspirations for Change, but rather we will examine what has worked for other leaders and then develop on our journey the right blend of successful techniques from history , and brand a unique style which is peculiar to each of us and to Qatar.

In October we set off for the desert in Al Ain. As we gathered in the departure

lounge at Qatar airport, we discussed what we needed for the journey – and some of us had to make adjustments to our baggage.

Once in Abu Dhabi we set off in mini busses to the Assessment Centre in the desert by al Ain. This part of our journey was described as a self assessment. As the thought of “assessment” is difficult for many, with connotations of “pass/fail”, we have tried to see it differently. Whenever we start a journey, it is really important to know the starting point – an Irishman was once asked which was the way to Dublin, and his reply to his surprised English guest was “I haven’t a clue, but if I wanted to get there I sure as heck wouldn’t start from here!” So our journey to Al Ain was designed to find our own personal starting points: what are our strong points and where are the areas

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Bottom lINE for improvement. If we always see feedback or assessment in these terms then there is no failure, only personal learning.

The leader who is constantly asking for feedback from his team is a wise leader, the leader who shuts him/herself away in his corner office and doesn’t dare to seek that feedback will never know how to improve.

Worse perhaps is that leader who will not know what is troubling his/her team, and when the inevitable tsunami comes he will be surprised. A very valuable technique is the so called 360 degree feedback. In this the leader – or anyone else, asks for feedback based on a number of pre-determined questions from 5-10 people, a mixture of colleagues, team members and bosses. It is good practice to allow an outside third party to analyse the results, in this way we avoid bias, since we would prefer to hear good things about us!

Again it is best practice to ask for those who provide feedback to make themselves available for discussion, but this can be quite tough, particularly if the feedback is not flattering. Consider a scenario: As the boss of a small team of people, you ask for feedback from the members of your team. With great courage one member of the team gives the following feedback “You are quite a good boss generally, but you always tells us that we have to be at work on time and you don’t come in until 9.30 every day!”

Now that team member of course doesn’t know all the details; perhaps the boss has

even leaderS can take a break SometimeS

been working until very late every night on a big business deal. But at this moment that isn’t the point!

You have asked for feedback and got it The feedback isn’t complimentary Your actions are clearly not supporting your statements – in this case about your the issue of “being on time”.

The way in which you behave now will determine how you are seen as a Leader.

So here are your options, you can: a) Ignore the feedback b) Protest that the person who gave it doesn’t understand how tough it is being a leader....... c) Sit down and listen A Wise Leader, after having sat down and listened and understood what the issue is, after having swallowed very hard and recognise that the feedback which hits you hardest is most probably true. The best medicine tastes a little bitter in the beginning, but the boss then thansk the team member (and mean it!), so that at the next suitable opportunity, perhaps at another team meeting, he will share that after having heard some great feedback, you, as the Leader, had to act upon it.

But let’s get back to the desert in Al Ain: we were scheduled to be four days together in a complex of well-appointed porta-cabins miles from anywhere - sounds a bit like where the building workers live?

Well yes, but in our case we had a comfortable bed, hot and cold running water and air conditioning and the food was excellent. The camp was put together by the Olive Group in order to do Assessment Training for the government of a neighbouring GCC country. On Day 1 we engaged in a whole range of Leadership Challenges designed to test our ability

as leaders, but also as team players as both are important! We started out as a bunch of strangers, by the end of the four days we understood each other’s strengths and our “development areas”. One of the rules about this kind of engagement is that we support each other, no one is perfect, everyone has areas where they are truly excellent and some places where we need help.

We had seven men and one lady in the group, for those of us who understand the Qatari culture well, we will understand how tough it was for Maryam (not her real name): she was tackling a whole range of issues from start to finish – the best moment for me was on the last day. We sat in a tent asked for feedback for everyone, including myself. Maryam explained what the four days had meant for her – she abseiled down a cliff, never done anything like that before!

She swam in an underground pool and was helped to climb a cliff by the other members of the team, she jumped off a cliff into a lake and she drove a desert buggy and loved it she confided in me beforehand she didn’t have a driving license!

Anyway, Maryam told us her life had changed forever; that she could never go back and that she has gone from strength to strength. In next month’s Qatar Today I hope to tell you about what happened when we all went to South Africa – “in the footsteps of Mandela”. But what was even more exciting was what the guys said, every single one of them, without exception mentioned that the outstanding participant was Maryam and she now was “one of the boys!”

Anyway we got back on the plane and I’m very pleased to say that Maryam still wears her Gucci shoes, and, out of respect for the culture, which is an important aspect of what we are doing – she swapped her pink driving suit for an abaya.

As leaders we sometimes feel ourselves in the desert, but it’s a great place to contemplate our strengths and also think about where we need help. Some of the great spiritual leaders of history spent time “in the desert”, but they came out stronger. We can always benefit from feedback – but only if we are prepared to listen. That’s why we have two ears and only one mouth!

bookmark www.omsQatar.Com

by adam lomaS lomas workED prEviously witH Qatar finanCE businEss aCaDEmy anD was tHE HEaD of lEarning anD lEaDErsHip DEvElopmEnt for royal DutCH sHEll. HE is now a lEaDErsHip DEvElopmEnt anD talEnt Consultant anD Can bE ContaCtED on aDamlomas@CompusErvE.Com

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b o t t o m l ine

The Confidence

of Youth Qatar’s National Vision 2030 is ultimately about getting more Qatari nationals to drive the economy forward, and Ayesha Al Kuwari of Mashreq Bank understands there’s a right person for every job.

T

here’s an oft-used phrase in sport, “if you’re good enough, you’re old enough”, which can also be applied to business with the same enthusiasm. We have witnessed some remarkable stories in recent years about young people rising to the top with

By RORY COEN fresh and innovative ideas, in spite of their inexperience.

In the drive for Qatar’s 2030 National Vision then – which incorporates replacing expatriate expertise with that of young Qataris - it’s inspiring to see that responsibility and assurance for this has been placed on the shoulders of a young Qatari woman.

Ayesha Al Kuwari has been working with Mashreq Qatar Bank since 2008, but she has recently assumed the position of Human Resources Manager, which means she is leading the bank’s Qatarisation drive under the Qatar government mandate. Her role entails attracting, developing and retaining employees – 20% of which must be nationals – within the bank’s own framework and vision.

“Mashreq management and the Ministry of Labour are giving me their full support,”

said she, when tested about how much confidence she had in meeting Qatar’s goals.

“Their support gives me the confidence I need to fulfil my duties”.

But whilst her superiors and government officials might have confidence in her ability to carry out her responsibilities, how do her fellow workers feel about her position?

How does her vernal enthusiasm wear off on them?

“It’s a question of respect,” she continued.

“It’s based on the other person and how can I make them respect me. I feel if I respect myself, my country, religion and culture, then I will make them respect me. I treat all Qatari nationals and employees here with this principle.

“But, to be honest,” she said with a touch of grace, “my friends think I am too young for this role, to be a HR Manager; I hear this

july 2011

Qatar Today 63

Bottom lINE from all of them all the time. But I tell them that one’s age isn’t important; if you are qualified, educated, responsible and confident enough, you will do well”.

Attract, train and retain The National Development Strategy focuses on education and training as a prerequisite for helping the country’s reliance on foreign expertise. The Government has been active for a number of years, inviting top-tier international universities to open up campuses in Qatar.

This should mean a keener and more educated Qatari national graduating from University in the future. But how will Mashreq attract, train and retain these graduates and other high-performing national employees?

“Qatar is a small market and we must respect that,” says Al Kuwari. “At Mashreq, we understand it to be not so much a difficult task, but a challenging one, and we’re ready to take on that challenge. We have hiring methods, compensation benefits and training strategies to help us find the right people for us.”

Mashreq are proud of their Qatarisation efforts, with 25% of their employee acquisitions being nationals since this Government mandate was introduced. However, because Qatar is such a small market, there is a chance that a new human resource may not properly fit into their role as anticipated.

“We have strategies to help these,” she continues. “We put them into special courses to aid their development. For example, if their level of English isn’t to the required standard, then we provide on-the-job training and continue to monitor their performance thereafter to provide for the Government Plan. We give our employees lots of options to develop their skills here.”

Al Kuwari and Mashreq put in a significant effort at the Qatar Career Fair in April, where they received more than 500 applications from different nationalities - including 137 from Qatari nationals - who were looking for jobs, sponsorship and training.

Prior to joining Mashreq, Al Kuwari was a training and development specialist at Qatar University, where she provided assistance to company stakeholders to develop, carry out and evaluate training programmes for their employees. Here, she put in place a quantifiable system which helped evaluate the effectiveness of training programmes to ensure they provided optimised results.

“This evaluation is not only for teachers or an organisation’s stakeholders; but also

64 Qatar today

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ayeSHa al kuwari, Human reSourceS manager, maSHreQ bank mEEting tHE Country's goals

“IF I rESpEct mySElF, my couNtry, rElIgIoN aNd culturE, thEN I WIll makE thEm rESpEct mE. I trEat all QatarI NatIoNalS aNd EmployEES hErE WIth thIS prINcIplE.”

for the trainee as well, whether they are a recent graduate or an experienced member of staff,” she added. “For the trainee, it provides a forum where they can discuss the training with others and it helps organisations understand if they are making the right training investments.”

In spite of her achievements at Qatar University and her rise within Mashreq, Al Kuwari is well grounded and sees every challenge as an opportunity. She knows nothing more than to make her country and her family proud of her, and to help Mashreq achieve its own vision. It was fitting she should name HH Sheikha Moza bint Nasser as one of her role-models, citing her passion for education in Qatar as being a real motivating factor follow

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TAG TH I S

Financial

institutions &

online media

Finding the right hook

T

66 Qatar Today

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oday, most of the financial services companies are on a recovery mode and looking for optimistic signs in their books. While the financial pundits predict the possibility of economic recovery, I believe listening to your customers is the key to growth.

Many financial and non financial companies are ardently implementing what they think is right for the customers rather than responding to customer needs.

In the era of Internet, Financial Institutions need to cautiously, but firmly, make place in the Online Media world to inter-

act with the customer. Twitter, Facebook, MySpace, LinkedIn are some of the many sites which can act as agents for these companies to spread their message.

Several banks have presence on Facebook, but lack of transactional capability may not attract customers to become a fan or member of that particular page. Having an information page about the products and services would be a good way to start with, but may not be immensely popular with the customers. Tapping Facebook will require banks to come up with a tricky

tag thIS

rEgIoNal BaNkS oN tWIttEr:

Qatar

kuwait

@Qnbgroup

@gulf_bank

formula of entertainment, sales and information in addition to providing a secure environment. Yet, Facebook’s urge to go public with its user data may be discouraging for many financial intuitions to associate themselves with this website.

To meet the legal and compliance requirements would be another horrendous task.

During my research, I came across an application on Facebook that allows users to perform financial transactions-Fiserv’s My Money, which is now only available to credit unions, and may be offered to banks in the near future. Facebook users download the application, which helps them find and join a credit union, view account histories and balances, and make transfers.

Bank of America, Wells Fargo, ING DIRECT and First American Bank are among the many financial institutions using Twitter for marketing. Twitter is a tool which can be used to directly interact with your customers and inform them about the services. The online reply facility on Twitter can help a company obtain feedback or resolve customer issues.

The National Bank of Australia has managed to effectively use Twitter as a tool to deal with customer complaints and enquires. The bank gets 30 million calls a year on its Call Centre channel and Twitter may act as an alternate channel.

uae

baHrain

@arabbankgroup, @rakbanklivE, @stanCHartuaE

@itHmaarbank

tWIttEr caN hElp BaNkS BuIld loNg tErm rElatIoNShIpS aNd gIvE morE pErSoNal FEEl to It.

reacHing cuStomerS.

reducing coStS.

publiC wEbsitEs HolD tHE transaCtion Capability anD rEmain tHE primary form of CommuniCation for tHE banks witH CustomErs. inCrEasED CommuniCation anD transparEnCy, woulD HElp banks gain CustomEr ConfiDEnCE anD trust. Having onlinE prEsEnCE woulD allow your CustomErs to EvaluatE anD DisCuss tHE bank’s branD anD offErings. DirECt fEEDbaCk from CustomErs woulD HElp banks improvE tHosE offErings anD branD imagE. HsbC DirECt, a u.k basED bank usEs its intEraCtivE wEbsitE to gEt anD publisH CustomEr fEEDbaCk anD DisCuss Community issuEs. it usEs blogs, faCEbook anD twittEr to intEraCt witH “gEnEration C,” or tHE “ConnECtED, CommuniCating, ContEnt-CEntriC, gEnEration.” onlinE CommuniCation woulD HElp tHE bank rEDuCE Costs signifiCantly. sElling proDuCts, Cross sElling proDuCts to Existing CustomErs woulD HElp Justify tHE onlinE prEsEnCE. twittEr as a CommuniCation mEDium is bEing sEEn as an altErnativE to Call CEntErs. it may not rEplaCE Call CEntErs but DEfinitEly HElp in optimiZing Call CEntEr rEsourCEs. usagE of nEw tECHnologiEs Can HElp Cut branCH opErations Cost; for ExamplE, DEutsCHE bank in gErmany usEs viDEo CHat for intEraCting witH CustomErs, tHus rEDuCing CustomEr DEpEnDEnCE on ExpEnsivE CHannEls likE branCHEs.

As I said before, financial institutions need to be Cautious with their presence in Social Media. One of the possible threats could be a fraudster posing as a bank employee and asking customer for credentials by setting up a similar profile. Online squatter could register the names of financial institutions on social media sites and then negotiate with the companies to buy them back. Alternatively, phishing attacks are anyways looming on the Internet and you may be redirected to a site

where there is possibility of compromising your personal details.

Banks are experimenting with this space but are yet to come out with a successful working model. Expecting a ROI on spend is not the way forward, as Social Media is still in its adolescence trying to develop such a model. This is just another form of communication tool available to reach to your customers which will ultimately in long term bring the dollars

follow

twittEr@kapilkb

by kapil bHatia kapil bHatia is an E-businEss ExECutivE, working in tHE finanCial sErviCEs inDustry.

His work rangEs aCross Digital markEting, E-CHannEls anD DEvElopmEnt of onlinE stratEgiEs, witH a sounD information tECHnology basE. HE will bE writing a rEgular tECHnology Column for QaTaR ToDaY. HE is an aviD bloggEr @ Http://iwEp.blogspot.Com.

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Qatar today 67

GR E E N S C E N E

Sustained Hospitality Intercontinental Doha to be the official hospitality partner of Qatar Green Building Council (QGBC) for the year 2011.

By Shal ine e Bhara dwa j

(l-r) Saif Saed Saif Al-Moudad Al-Naimi, one of QGBC's founders and Member of QGBC's Interim Board of Trustees with Hafidh Al-Busaidy, General Manager, Intercontinental Doha during the partnership ceremony

70 Qatar Today

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orporates today hold a firm belief in walking the triple path of commerce, environmental sustainability and social equity. Giving a major boost to Intercontinenal's green initiatives, QGBC has announced that the Hotel will be the hospitality partner for the year 2011.

Commenting on green initiatives, Intercontinental Doha, General Manager, Hafidh Al-Busaidy says, "Having an environmental agenda makes business sense to me. Hotels are going to be here for decades. It is only rational to think of saving on the cost of energy, water and waste. For my business, it is an investment."

"More and more of our guests want to make sustainable choices and an increasing number of our corporate clients want proof of our green credentials. By working to become more sustainable we keep in step with our stakeholders, boost the reputation of our business and brands and support the Intercontinental Hotel Group's (IHG) goal to deliver Great Hotels Guests Love."

The hotel will be the select venue for hosting QGBC's educational activities, workshops, seminars and events on green building and sustainability. "This partnership demonstrates one of the ways in which QGBC is continuously pursuing its mission through collaboration and promoting sustainable development in the built environment of our country," says Eng Issa Al Mohannadi, Chairman of QGBC. QGBC is engaged in advancing sustainable built environments and promoting the technical, economic, and social benefits of green buildings in Qatar.

"We feel very strongly about our partnership with QGBC. It is a tangible way for us to support the organisation that embodies and promotes our country's efforts towards sustainable development of the built environment, an environment we are all part of," says Al Busaidy who also takes contributing towards environmental pres-

GR E E N S C E N E

Taking responsible steps IHG has bagged several awards due to its initiatives in making business more sustainable. The group also actively seeks partnerships with key organisations that are known for their expertise on environment sustainability.

ervation as a personal drive.

"Green initiative of IHG has always been at the core of the chain's corporate responsibility. Acting responsibly creates value for our brands while helping our hotels to manage costs, drive revenue and be prepared for the future."

In spite of being in a business of luxury and hospitality, IHG has tried to make a sustainable impact.

"With over 4,400 hotels worldwide and more than 1,200 in the pipeline, we have

United States Green Building Council and LEED In January 2011, IHG became the first hotel company to receive LEED certification for an existing hotel programme. IHG's sustainability tool, Green Engage has recently been awarded The US Green Building Council's prestigious Leadership in Energy and Environmental Design (LEED) endorsement, for showing genuine carbon reductions and a commitment to ongoing reductions. LEED is the global benchmark for sustainable buildings.

Global Impact

As a global organisation we believe our biggest contribution towards cutting greenhouse gas emissions will come from changing our own behaviour.

a tremendous opportunity to help make tourism responsible, from the energy we use to the economic opportunities we create in the communities we operate. We work to achieve this by treating environment responsibility as a strategic business. As a global organisation we believe our biggest contribution towards cutting greenhouse gas emissions will come from changing our own behaviour. While many businesses choose to mitigate their greenhouse gas emissions through the purchase of voluntary carbon offsets we disagree

In 2010, IHG became a member of the United Nations Global Compact.

It is committed to aligning its operations, culture and strategies with ten universally accepted principles in the areas of human rights, labour, environment and anti-corruption.

Industry leading initiative As IHG's market-leading corporate responsibility initiatives, Green Engage and Shelter in a Storm programmes were launched. It focuses on the need to reduce the impact of hotels on the environment, using their resources more efficiently and support their local communities.

with the principle that a company can pay others to cut carbon on its behalf. Consequently, we're working to deliver real emission cuts through our Green Engage programme. Our approach is to constantly innovate in the way we design, build and run our hotels."

IHG is the first major hotel group to have measured the environmental and carbon footprints of hotels that operate under the brand globally and is in the process of setting reduction targets

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Qatar Today 71

grEEN ScENE

a mISSIoN to EducatE aNd INForm

I

Are there any guidelines applicable to the partners? Who can be a member?

There are two programmes, the membership and the partnership programme.

n an exclusive interview with Qatar Today, Saif Saed Saif Al-Moudad Al-Naimi, one of QGBC's founders and Member of QGBC's Interim Board of Trustees elaborates upon the role of QGBC and its partnership programmes in attaining the Vision 2030 for a sustainable development in all sectors of the society.

QGBC members are organisations and experts from across the industry including government, real estate developers, construction, investors, facilities managers, technology providers, professional firms like architects, engineers, consultants, contractors, etc.

What is the role of such partnerships in attaining QGBC's objectives?

Collaboration with partners and sponsors is important for QGBC. It serves as a platform for involving the corporate community and further engaging organisations that support QGBC's objectives through funds, value in kind and resources.

QGBC has numerous activities such as awareness campaigns, community events, workshops, seminars, and projects. As a non-profit organisation, we rely on sponsors to support us in operations and the implementation of these activities, on a project basis or through long-term partnerships.

How does such partnership with QGBC benefit its stakeholders?

QGBC is the recognised entity promoting green building in Qatar. Such partnerships clearly contribute to the mission of QGBC, which is in line with the country's vision for sustainable development. This is a beneficial alignment for partners, which will give them a platform to showcase their green initiatives and expand their knowledge of sustainability. It is also very important that they become part of a network of distinguished organisations, leaders and an important collective effort that takes the country forward. This creates opportunities from a business as well as corporate social responsibility point of view and allows businesses to reach a wider audience, from the community to the industry.

The membership drive began in October 2010. How has been the response since then?

72 Qatar today

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Collaborations with partners, sponsors and suppliers. Partners and sponsors are Industry and non-industry organisations sharing the vision of QGBC and wishing to contribute to QGBC's objectives through information, expertise and resource sharing on one hand, and through funding initiatives or providing value in kind.

WE FEEl vEry StroNgly aBout QSaS'S poSItIvE rolE IN thE local aNd rEgIoNal markEtS, It IS thE SyStEm dEvElopEd to mEEt thE SpEcIFIc rEQuIrEmENtS oF Qatar.

QGBC now has well over 150 members and the membership is growing. The response has been truly strong. As a membership based organisation, we welcome members, this is a collaboration that QGBC invests in and counts on.

QSAS is now mandatory for buildings under the construction code. What are you doing to educate your partners on QSAS? We feel very strongly about QSAS's positive role in the local and regional markets, it is the system developed to meet the specific requirements of Qatar. We held a QSAS introductory workshop in December 2010, which received remarkable feedback and we have a QSAS training seminar coming up in September this year. Occasionally, we have speakers from QSAS, as we did in April at the joint event with Qatar University on Sustainability in Practice. QSAS is in complete harmony with the QGBC effort.

Acknowledging and building on that we signed an MOU with the Gulf Organization for Research and Development, formerly known as Barwa Qatari Diar Research Institute who has developed QSAS. What is the next step for QGBC? To expand and strengthen collaboration with all stakeholders, involving the industry and community, in order to pursue our objective of increasing awareness and knowledge of green building, through education, research, and growth in technical expertise

grEEN ScENE

gaININg momENtum

green programme for sCHools on worLd environment dAy, LAst month, msheireB properties in AssciAtion with Qatar today, LAunched A Joint corporAte sociAL responsiBiLity initiAtive 'green progrAmme for schooLs' (gps) thAt invited representAtives of over 30 LocAL And internAtionAL schooLs in QAtAr to pArticipAte. the response hAs Been phenomenAL with 20 of them supporting the cAuse.

g

PS will be executed in September when schools reopen after the summer break.

Prior to this, a presentation will be held for the school representatives which will equip them with the necessary tools and information they require to run this programme effectively in their respective schools.

As part of the programme, each of the 30 schools will have pledge boards, suggestion to know more about gpS,

ContaCt 44550983

boxes and creative stickers placed strategically around the campus that will constantly remind and encourage students to utilise resources cautiously. The programme also includes textbook recycling, since textbooks consume paper the most, participating schools would be encouraged to recycle and reuse at least 30% of textbooks – every recycled textbook would be branded. Each year the target would increase by 10%.

Also, the per capita energy & water consumption of every school would be calculated each month. The readings would be monitored by the GPS team comprising faculty, students and parents. At the end of the year, there will be a comparative analysis of monthly readings from every school. The school which reduces water and electricity consumption the most will be awarded the 'Eco School of the year'. Monthly prizes like the Best Eco-Idea, Most Energy Efficient School, etc will also be given out.

The entire programme will be operated by Msheireb Properties and Oryx

Advertising, publishers of Qatar Today, Qatar Al Yom, Woman Today, GLAM and Campus.

In addition, officials from Qatar Green Building Council and other technical members will carefully monitor these 30 schools.

There will also be quarterly gatherings where worthy case studies from schools will be recognised and awarded.

Since its launch in 2009, Msheireb Properties has rolled out several CSR initiatives through knowledge driven activities nationwide, such as the 'Paint the Doha of Our Dreams' competition and the 'Future Affliate Club' initiative. The company's Msheireb Enrichment Centre on the Corniche is yet another testament to its commitment to knowledge-sharing.

GPS has invited Mission20 as one of its activation partners in charge of school branding and monitoring. Mission20 is a youth-centric body affiliated to a NGO which works for welfare of poverty-stricken underage children viSit our facebook page:

www.faCEbook.Com/gpsQatar

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Qatar today 73

grEEN ScENE

a CommITTed

neIgHBourHood AL khor community redefines sustAinABLe Living aFtEr a 45-km loNg drIvE, aloNg ScENEry that at BESt BE dEScrIBEd aS dry aNd at WorSt, dEprESSINg, thE gatES to thE al khor commuNIty WaS a rEFrEShINg SIght.

e

74 Qatar today

july 2011

By sind h u n a i r ven more convivial is the landscape inside.

Green is not just a movement but a colour in abundance within the guarded gates.

Landscaped lawns and lush gardens line the roads, while most of the residences seem to have a thriving vegetable garden with numerous papaya trees and date palms visible above the fences.

As you enter, the security guard cautions to keep to a speed limit of 25 kmph. I nod in acquiescence and press lightly on the pedal to find the speedometer touching 30kmph.

I learn to drive – or crawl to be more precise, and make my way to the office of

the Al Khor Community, where I am met

by Nabil Makarem, Community Director, and Laura Young, Events and PR Coordinator of Al Khor Community, who with their team mates, take the green concept quite seriously.

So much so, they have a dedicated team and an allocated sizable allowance which is used directly for community developments, of which environmental activities take a sizeable share.

"This is the largest community in Qatar which houses the expat operational working community of Qatargas and RasGas. It was

grEEN ScENE

"WE arE coNcErNEd aBout thE SaFEty oF thE chIldrEN Who cyclE or Walk to School. It IS alSo to ENcouragE thE coNcEpt oF WalkINg WIthIN thE prEmISES"

othEr SuStaINaBlE drIvES awarEnEss programmEs in tHE sCHools arE an ongoing proCEss.

Constant mEasurEs, inCEntivEs anD invEstigations to look at EnErgy EffiCiEnt rEsolution for akC.

safEty EvEnts anD gEnEral awarEnEss Days tHat EDuCatE anD inspirE mEmbErs of tHE Community.

56 rECyCling stations plaCED arounD tHE Community.

builDing rElationsHips witH loCal CommunitiEs ( sCHools, laDiEs groups, youtH Clubs, labour Camps in al DHakHira, al kHor anD simaisma, anD Donating itEms suCH as ComputErs anD gym EQuipmEnt).

watEr ConsErvation is bEing promotED as a Habit, witH buCkEts of watEr – not HosEs – pErmittED for Car wasHEs, witH striCt impunity mEasurEs.

youtH lEaDErsHip programmEs witH worksHops arE ConDuCtED.

working EspECially ClosE witH rED CrEsCEnt anD Donating monEy on a rEgular basis tHrougH Community CollECtions.

all aDvErtisEmEnts for EvEnts HappEning witHin tHE Community arE put up on tHE wEbsitE, allowing for minimum papEr usagE.

a DEDiCatED soCiEty, Dal ar arQam, proviDEs islamiC EDuCation anD organisEs Cultural aCtivitiEs.

ConDuCting CHarity EvEnts likE 'walk for lifE' anD bussing pEoplE to DoHa for DiabEtEs walk.

built originally for 750 people and has grown exponentially and now we have 10,500 people living within our premises. The facilities and infrastructure are constantly improving.

We have two schools and three recreational clubs," says Makarem.

The Community is spread over an area of two million sq mt, of which 30% is landscaped. Safety is another feature that is primary here. This answers the speed restrictions which are 'stringent' according to Young, with warnings and demerits (minus points) imposed on those who break the rule.

"We are concerned about the safety of the children who cycle or walk to school. It is also to encourage the concept of walking within the premises," clarifies Young.

Zeolite project Environmental awareness within the community is an ongoing process and the team is leaving no stone unturned in bringing ideas to encourage new environment-friendly practises. One such activity is the Zeolite Greening Project.

"We at Qatargas have entered into an agreement with a Japanes company to pilot the use of their Zeolite as an environmental improvement initiative. This engineered material is a safe by-product produced from fly ash resulting from the burning of coal, in the electricity generation process. This material is then shipped to Qatar and is being tested in the gardens at Al Khor Community. A representative is verifying the effects of the material," he says.

Zeolite retains water for a longer time and it increases the productivity of the soil.

A visit to the Zeolite-treated segment of the garden was proof enough. The patch – with a larger proportion of Zeolite in the soil – showed greater fertility than the one that used little or none. Vegetables and fruits are abundant in this section and the soil, even in high temperatures and at mid day, was damp to the touch.

"Since Zeolite can retain 112.2% water by itself, it has an effective holding capacity of minerals and water. There are many examples where the application of the material promotes growth in many plants, leading

to increased plant production in Japan," he says.

"We are hoping other communities will promote and use this product. We are hoping to attract large users to promote it. A small quantity of it makes a big impact."

The Community also has a recycling programme in progress. "We consume about 2,000 litres of water per day and recycle almost the same amount. We also have a sewage plant of our own," adds Young.

The passion of the team has already borne fruit, with the Community receiving the Qatar Today Green Awards, 2010. This has made the team more ambitious and they plan to add to their achievements in this sector through constant brain-storming sessions, and the Zeolite mission is just one of them.

Sustainable living should be about maximising returns without abusing energy. In a country that has a wealth of energy and funds; it is indeed an uphill task to inculcate a habit of conservation, but it's a task the team is dedicated to achieving follow

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Qatar today 75

braking news

SUCCESS FROM SCRATCH

78

BMW Group announces QR2,950 MN further investment

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he BMW Group announced an additional £500 (QR2,950) million investment in its UK production network for the next three years. The company’s investment across all its UK operations is now more than £1.5 (QR8.9) billion since 2000. The company also confirmed that the UK will be a production site for its next generation MINI models. The Group has been producing MINI at Plant Oxford since 2001. To date, nearly two

million vehicles have been produced at the plant and more than 1.5 million MINIs have been exported to customers in 90 different countries.

Prime Minister David Cameron said, “I welcome this major investment by BMW Group in UK manufacturing. The production and export of iconic British cars like the MINI is making a real contribution to the rebalancing of the economy that this government is determined to achieve. The MINI plant in Oxford has been one of our

great manufacturing success stories, they should be hugely proud of their achievements.”

The UK is the BMW Group’s fourth-largest single market in the world for sales, behind only Germany, the US and China, with sales in 2010 across the BMW, MINI and RollsRoyce brands totalling 154,750. As part of the expansion of the MINI product line-up, the MINI Coupé will be launched in 2011, followed by the MINI Roadster in 2012 – both of which will be produced in Oxford.

Testing times for Chevrolet Corvette Racing Wins 24 Hours of Le Mans Camaro Convertible

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hevrolet Camaro Convertible ensures a lifetime of durability, says the extensive testing that the car underwent. During the testing, the cars were opened and closed more than 22,500 times – three times more than would be expected in a typical 10 years of use. Some of those cycles were performed in extreme conditions; temperatures ranging from -30 to 77 degrees Celsius and humidity of up to 95%.

Vehicles were randomly chosen to face an eight-minute water test as well. More than 27,255 litres of water were hurled at the car in a hurricane-like downpour at a pace of 3,407 litres per minute.

While the durability was well proved, so was the car’s stylish interior. It boasts of a three-layer top that includes an acoustical liner made of rubber sandwiched between an acrylic square weave outer fabric and an inner reinforcing cotton layer. Unlike other convertible models in the segment, the Camaro top latches with a single handle located at the centre of the windshield header.

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I

n addition to the celebration of its 100th anniversary and the 10th anniversary of the team’s first Le Mans victory in 2001, Chevrolet had yet another reason to celebrate. The No. 73 Compuware Corvette C6.R, driven by Olivier Beretta, Tommy Milner and Antonio Garcia made a victorious dash towards the finish line, completing 314 laps and finishing two minutes and 29 seconds ahead of the runner-up Ferrari.

Corvette Racing has scored six wins in the GTS/GT1 class at Le Mans (2001-02, 2004-06, and 2009). The team moved to the GT2 class in 2010, which was renamed GTE Pro in 2011.

“If I were to write a script to celebrate the 100th anniversary of Chevrolet and the 10th anniversary of Corvette Racing’s first win at Le Mans, this would undoubtedly be it,” said Doug Fehan, Programme Manager, Corvette Racing. “Louis Chevrolet was himself a racer, and his motto, ‘Never give up!’ is a philosophy we embraced from our first visit here."

b r a k in g news

Nissan launches stylish Juke Vettel branded global ambassador for Infiniti

I

nfiniti, luxury car manufacturer from Japan, has signed Formula One World Champion Sebastian Vettel as its first ever Global Brand Ambassador. The 23-year-old F1 star will be seen raising the profile of the Infiniti brand and its products during race weekends and at selected events linked to Infiniti’s business and product programmes. The collaboration with Vettel comes two months after Infiniti announced a major partnership with the Red Bull Racing team.

Vettel said, “Since our first contact with Infiniti, I liked their cars.

After I had the chance to test some cars in the range I became a big fan. They are comfortable as well as sporty. I am sure we as a team, and myself, can benefit a lot from the experience of Infiniti and I am very much looking forward to our partnership in the future.”

Simon Sproule, CVP Global Marketing Communications, Nissan Motor Company added, “Red Bull Racing have demonstrated over the course of their short history in F1 that they are a great challenger brand, unafraid of taking their own approach to creating a winning team. At the core of this emergence has been the inspired performance of Vettel. As we developed the partnership with the team, so it was a natural progression to also work more closely with Vettel and today we formally welcome him to the Infiniti team.”

T

he world’s smallest crossover Juke is a stylish, irreverent and energetic car that is aimed at the younger market. With the success of Murano – the world’s first Crossover – and the ultra successful Qashqai, Juke cements Nissan’s place as the King of the Crossovers.

The lower portion of Juke is pure SUV while the top is a sports car. It combines chunky wheels, wide tyres, extended ground clearance and a robust stance with a high waistline, slim visor-like side glass graphics and a coupé-style falling roofline. The sports car theme continues inside with a cockpit oriented cabin dominated by a glossy metallic red or grey centre console design inspired by a motorcycle fuel tank.

There are two engines available for the Middle East region, the 1.6-L (litre) Gasoline Engine unit and the 1.6L Direct Injection Gasoline Turbo Engine. The direct injection combines with the turbocharger to provide a power of 140kW and 240 Nm with low fuel consumption.

In addition, drivers are equipped with an integrated control system that gives them the chance to optimise the car’s dynamic functions to suit their needs, two airbags, ESP, full auto air conditioning, Bluetooth and a CD/radio.

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BrakINg NEWS

porSchE votEd thE SportIESt car oF 2011

c

ar magazine Sportauto carried out ‘The Sportiest Cars of 2011’ survey where readers ranked seven Porsche models as the first in 15 categories. The top models of the 911 line included the open Carrera GTS and the Turbo S Cabriolet to the quasi race cars GT3 and GT3 RS. These sports cars received three times as many votes as the runners-up. Other winners were the Cayman R, Boxster S and Panamera Turbo models. In the 2010 survey, three awards for the first place went to Zuffenhausen.

mINI INSpIrEd By goodWood arrIvES

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onsidered the most elite of the MINIs, MINI inspired by Goodwood is now available in the Middle East for a limited period. Developed in line with the Rolls-Royce Motor Cars design team, the MINI Inspired By Goodwood transfers the unmistakable style of the British luxury car manufacturer to the equally unique MINI. The interior dons a harmonious colour concept; the dashboard, carpet surfaces, the lounge leather seats, the roof lining as well as the door, all boast the exclusive Rolls-Royce colour Cornsilk. On the exterior, one can spot a badge featuring the legend ‘One of 1000’ on the centre console in front of the gearshift lever.

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chEvrolEt upS SalES By 27% IN thE mIddlE EaSt

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obust sales of Chevrolet passenger cars have helped increase sales by 27% compared to last year from total sales of 12,800 vehicles in May, reported dealers of General Motors in the Middle East. Combined sales of Chevrolet passenger cars in May, including the Cruze, Malibu, Aveo and Optra, increased by 36%. Retail sales from individual customers rose 58% from last year and represented 71% of GM Middle East’s total sales in the month.

“We registered our best ever May monthly sales, beating a record that had stood since 2006," said John Stadwick, President and Managing Director of GM Middle East Operations.

BrakINg NEWS

mercedes-benz launches dazzling new models in me the viBrAnt Beirut upped its gLAm Quotient A notch further By unveiLing two new modeLs of mercedes-BenZ – c-cLAss coupÈ And the sLk roAdster At one of the middLe eAst’s (me) most fAshionABLe night-spots, skyBAr

around

800 VIPS, including Mercedes-Benz’ general distributors, customers, and media from across the region, were left dazzled as the innovative and sporty new models made a stunning display.

With the C-Class Coupe, Mercedes-Benz entered a new market segment, offering a sporty compact coupe with classic proportions and a forward-looking style, and technology that includes smart telematics with internet access. The coupe’s flat silhouette, powerful shoulders and narrows C-pillar in a classic three-box design impresses from the sides. Complementing the car’s exclusive interior feel is the porcelain piano-lacquered trim parts – a pioneer in automotive engineering.

The ME versions of engine include the C 250 and C 350 BlueEfficiency. A 457hp 6.3-litre C 63 AMG CoupÈ V8 and C 180 versions will be available in the Levant.

Meanwhile, the new SLK Roadster marked the third generation

of one of the most successful sports cars ever built blending lightfooted sportiness with stylish comfort. The SLK boasts of a worldfirst panoramic vario-roof with Magic Sky Control which switches to light or dark through a button. The four-cylinder engines include the 184 hp SLK 200 and 204 hp SLK 250 BlueEfficiency, and the 306 hp V6 SLK 350. Three new direct injection engine versions will also be available in the region.

Celebrating 125 years of innovation, Mercedes-Benz Cars, ME & Levant, Director, Sales and Marketing, Frank Bernthaler said, “We are still creating cutting edge luxury vehicles with ground-breaking designs. With these new models, Mercedes-Benz stops being the car your Dad drove, and becomes the car that you drive.”

Daimler ME & Levant, President and CEO, Mike Belk added, “Our cars are confident, beautiful, desirable, fashionable, ambitious, young and successful, whilst always remembering our core values of safety, quality, reliability, comfort and efficiency.”

The night continued to dazzle with fireworks, and dance performances to a soundtrack provided by leading DJs and musicians.

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MARK E T W ATCH

Success

from scratch Last month, the names of those lucky enough to make it on to the Queen’s Birthday Honours List, were announced. Over 3,000 miles away the CEO of a Qatar-based business, Emad Turkman, was pleasantly surprised to receive a phone call telling him that he was one of those names.

By KELLY JOHNSTONE

Turkman,

who has been CEO of construction firm Rumaillah Group since 1995, has been awarded an MBE (Member of the order of the British Empire) for ‘services to British business interests and to the British community in Qatar’. In his free time, what little he must get, he is ViceChairman of the Qatar British Business Forum as well as Chairman of the Board of Governors for Doha English Speaking School (DESS).

Qatar Today caught up with Turkman to find out how he is taking the news, and to get his take on the business relationship between Qatar and Great Britain.

Firstly, congratulations on your MBE. How did the news reach you?

It came completely out of the blue. We had been waiting on some news about DESS so when the British Ambassador, John Hawkins, called me at the office, I immediately presumed it was about that. Instead he said ‘I’ve got some good news for you. I put you forward for an MBE and you’ve been awarded it.’ To be honest, it still hasn’t really sunk in yet.

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What was your reaction when you found out and how does it feel to have been awarded an MBE? The first thing I did was ring my wife, Karen, who screamed down the phone. It was so nice to know somebody somewhere does take notice of what you’re doing and that really is the most rewarding thing.

Can you tell us a bit about your involvement in the business community that has led to you being awarded this honour?

I came to Doha in 1995, before that I was in Saudi Arabia where I was a member of the Riyadh British business group. The main aim of any British business group abroad is to form strong links and relationships with British companies. When I arrived in Qatar, literally on the first day, I joined the Qatar British Business Forum (QBBF) and so I’ve been working with the QBBF from day one. I joined the committee about eight or nine years ago and worked as the secretary where my job was to bring in speakers and, for the past three years, I’ve been Vice-Chairman. We have worked very hard to promote Britain in the Gulf and are in touch with all the British groups in the region. We even have an annual conference where we all get together and exchange ideas. I am also involved with British Em-

MARK E T W ATCH bassy sponsored, DESS. I joined the Board of Governors around six years ago and for the last three years I have been Chairman of the Board. I have been very actively involved with improving the school; we have added facilities, refurbished it and renovated the teachers’ accommodation – but we haven’t finished yet.

Who was the first person, from outside your family, to congratulate you?

It was an old family friend who lives in Malaysia. He saw the announcement on a Middle Eastern business website and called me to say congratulations. I was taking the kids to school at the time so it was very early, around 7.10 in the morning.

Iraq to Qatar, via UK...

Born in 1958 in Kirkuk in the Turkish speaking area of Northern Iraq, Emad Turkman travelled to the UK in 1977. He couldn’t speak a word of English and had just $200 in his pocket. Life was a struggle during those days and by sheer determination and hard work, he was able to overcome the challenges which he faced during those early days in Manchester.

He went on to study for a degree in mechanical engineering and a post-graduate diploma in business and marketing. After a short stint in Turkey, he moved back to the UK, to Manchester, and joined Dexion Ltd to work to as a sales engineer. He was the youngest member of the team then, surrounded by people much older and with a lot more international experience. He learned a lot by being around those colleagues, he says.

the QBBF had around 100 members three or four years and today we have more than 400. So, if there’s absolute proof of British interest in Qatar then that has to be it.

Do you know yet when the actual investiture will be? And how do you feel about meeting a senior member of the British Royal Family?

First of all I will be notified by Buckingham Palace and will be given options of dates and venues, either Buckingham Palace or Windsor Castle. I am a big fan of the Royal Family and I have met a few of the younger generation so it will be nice to meet the senior members, a real experience. I have one minute to speak during the congratulatory handshaking session and if it’s the Queen I meet, I will probably mention DESS as she actually officially opened the school.

You were one of three Middle East based businessmen to be awarded an MBE, do you think that reflects Britain’s interests in maintaining its business connections in the Middle East despite current unrest in the region?

I think that the current government in Britain has got it right. They recognise the importance of the Gulf in general, hence we have had so many visits from important dignitaries recently. There is a very pro-British sentiment in this part of the world and we need to capitalise on that. We all know that the money is here in the Gulf, this really is the place to be.

Do you think that being awarded this honour will draw attention from British businesses to the potential development in Qatar and the opportunities that the country offers?

I think it proves that there is a lot more potential here in Qatar for British businesses and they are certainly spotting that potential. We are extremely pleased about the influx of British companies that have set up operations in Qatar. As an example,

Enormous changes – all of which are benefitting the country and putting it on the global map. But, on the other side of the coin, something that people often forget, is that all the changes taking place are making Qatar a more desirable place to live which means that people will want to stay here longer.

You have obviously achieved a lot during your time in Qatar, what would you say your greatest achievement has been?

I think the way Rumaillah has evolved.

When I arrived we had less than 20 people, today we have over 1200. It was one company with one product whereas today we incorporate such a wide range of big businesses. We now own a company in the UK, Apton Partioning, and also have numerous joint venture companies under our umbrella.

Emad Turkman, CEO of Rumaillah Group

Do you think that the receipt of this quintessentially British award will be appreciated by the Qatari business community?

I think they will definitely notice it and they should value it because, most importantly, it reminds the British establishment of Qatar. When the MBE is announced at the ceremony, Qatar will be mentioned and that in itself is an indirect acknowledgment of country which people here can’t fail to appreciate.

You have lived in Qatar since 1995. You must have seen quite a few changes since then?

How do you measure your success?

If you look at our staff turnover, it is less than 2%. If you look at our growth from 1995 until now, it goes beyond the scale. I still somehow manage to run the business, at the same time as being a father and a husband, plus all the other voluntary work I do. It is a juggling act at times and it’s difficult, but I’m not sitting back and taking it easy, I still have plenty more to do, there’s lots in the pipeline.

What differences do you notice in doing business now to doing business in the 80s and 90s?

Doing business today requires you to be aggressive and on the ball all of the time. These days, loyalty doesn’t seem to count for much unlike in the 80s and 90s when friendships and relationships really mattered when doing business. It is definitely more cut throat now and is more a case of survival of the fittest which is a shame but you learn to adapt to these kinds of changes follow

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Qatar Today 81

MARKET WATCH CK’s raffle draws a big hit

Retail training for Saudi women

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lshaya International Trading Co. and the leading international fashion brand H&M teamed up in Saudi Arabia to establish a seven week retail training scheme for Saudi women. The scheme that ran in partnership with the Future Institute of Higher Training for Ladies aimed to provide women who want to work in retail with the chance to learn about the sector and develop skills supporting them in future retail career opportunities. The scheme is a step towards bridging the gap between the rising demand for skilled employees and the lack of availability of local candidates, focussing specifically on women.

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TENNIS SERVING THE RIGHT MIX?

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84

he Calvin Klein promotion that started mid-April with a raffle entry and Calvin Klein Fragrances travel bag being offered with the purchase of a large sized fragrance through all key retailers in Qatar ended with Aashita Swaraj walking away with the coveted prize, the MINI Wembley. Calvin Klein fragrances and the Mini complement each other in their sense of compact fun. The MINI Wembley pays tribute to the classic lines and appeal of the original MINI yet comes loaded with all sorts of gadgets for a modern, funky feel. CK’s exciting fragrances include the woody, oriental tones of women’s fragrance Euphoria. Euphoria Men also delivers an oriental freshness, layering ginger pepper cocktail, black basil, cedar leaf and sage with patchouli and amber. The crowd puller event saw the results being announced at Landmark Mall’s Faces boutique.

markEt Watch

massimo dutti brings in the look of the season

massimo dutti

has released the new look collection for men, women and boys and girls. Presenting various themes, it is sure to suit the style and taste of the modern fashion savvy customers.

For boys and girls, the season is marked by rich colours and qualities; red, intense marine blue, bottle green and camel combined

with leathers in a whisky colour and reversible. The ‘college’ spirit is reasserted with polos with patches, Scottish plaids, polka dots, pin point fabrics, wools, cottons and cashmere reminding of the most rustic collection where the Jacquard and floral prints are key points. For men, the Overnight collection is inspired by 60’s intellectuals. The Harvest collection sees the rebirth of the

folk look, reversible garments with a sporty character, inspired by hunting, oil cloth, quilted, pockets and zippers and boots, bags and plaid shirts too. The ‘preppy’ style is seen in the Bahaus collection.

The women wear showcases a mix of styles represented in the Hunting, Equestrian, Nordic Notes, College 50’ and Country Heritage collection.

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Qatar today 83

market watch

MEEZA in partnership with SCFA

LG’s green AC’s launched

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G Electronics (LG) has launched its new MULTI V III commercial air conditioner in Qatar. It is set to be LG’s flagship product in the region forming a central part of LG Air Conditioning Company’s plan to secure $10 billion in global sales by 2014.

The MULTI V III boasts three key consumer benefits-higher energy efficiency, larger capacity and longer piping design.

LG’s new MULTI V III, one of the greenest commercial AC units, can help building owners reduce their operational costs and be friendlier to the environment while still providing reliable cooling in extremely hot and humid regions.

Rotana Expands

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Rashid Al-Naimi.

Chairman and CEO, MEEZA

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n a successful move MEEZA has signed a deal with Supreme Council of Family Affairs (SCFA) in providing the necessary IT solutions and infrastructure, helping to reduce costs, enhance productivity and efficiency, provide business scalability as well as reduce risks. The partnership includes provisioning full and complete IT outsourcing services that spans from IT infrastructure design, building, management and support as well as IT consultancy and project management. “The Supreme Council for Family Affairs will benefit from MEEZA’s experienced people, standards-driven processes and world-class technology. MEEZA welcomes the opportunity to become a key IT Services provider to the government and looks forward to working together to support the development of the country.

We would like to thank our new client, Supreme Council of Family Affairs, for selecting MEEZA,” says MEEZA Chairman and CEO, Rashid Al-Naimi.

otana, the hotel management company in the Middle East and Africa announced the opening of its new outbound sales offices in China, India and Russia. With these additions, Rotana increases its international sales offices portfolio to 12% in UAE, Egypt, Kuwait, Doha, Jeddah, Lebanon, Sudan, UK and Germany.

Rotanan, Executive Vice President & Chief Operating Officer, Omer Kaddouri said: “China, India and Russia are key feeder markets for Rotana and it is important for us to grow the Rotana brand and stature in these respective markets. The objective is to increase our market share whether business or leisure outbound travellers to all Rotana properties.”

It’s worth mentioning that the number of outbound business from India increased by 11% in 2010, in Russia it is up by 34%, while the number of outbound tourists witnessed double-digit growth in 2010 from China.

“The main responsibilities of these new offices will be to promote, market and sell our properties based outside of their physical location. This is in line with the overall expansion of Rotana and our growing market segment. On the awareness side, the three new outbound sales offices will assist Rotana on its brand reach and awareness,” concluded Kaddouri.

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S PORT F I L E

Is tennis

serving the right mix?

NOT EVERY SPORT HAS THE CAPABILITY OF STAGING ITS SHOWCASE EVENTS ON THE SAME TICKET, BUT TENNIS IS CERTAINLY SHOWING THAT IT COULD BE A WINNING ONE, says Rory Coen

A

s Ni La lifted the French Open title last month at Roland Garros, I couldn’t help but admire what a fantastic sport and institution tennis is. I have been watching tennis since the late 80s and remember finals from that era with great fondness. Iconic players such as Boris Becker, Steffi Graf, Stefan Edberg and Martina Navratilova were household names through-out the world, and the media were engaged in their rivalries.

A tennis grand-slam is indeed a grand oc-

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casion, but its properties have become so common, they’re often taken for granted.

For a period of two weeks – four times a year – men and women compete in their respective championships alongside each other.

What other major sport can promote this kind of gender-equality, inclusion and collectiveness? What’s more, the prize-money

for both is analogous.

This is by no means a fresh inclination by the promoters or federations either.

Men and women have been sharing the same major venues and dates for decades.

A Women's Championship was added to the Wimbledon card in 1884, seven years after the inaugural Men’s Singles Championship,

MARIA SHARAPOVA THE RUSSIAN IS THE HIGHEST PAID FEMALE ATHLETE IN THE WORlD.

S PORT F I L E and this tradition has lasted the years.

I was gripped a little by tennis that weekend. I was treated to one of the all-time classics – although it didn’t go the distance, which dulled its gloss a little – between Roger Federer and Novak Djokovic in the Men’s semi-final. Both men lost serve twice in an opening set, which was rich in shot-making from scrambling positions; it was almost to your advantage to have a do-or-die shot.

The following afternoon served up another gripping match; this time it was the Women's Final between Ni La of China and Italy’s Francesca Schiavone, and it didn’t disappoint either. The quality on show was obvious again, as both girls peppered the corners with shots of all shapes and sizes.

Such is the quality the women can produce, it’s arguable that their technical skills are right up there with the men. They’re effectively able to play the same shots, the only discernible difference being the power and speed affected by both genders.

So what has this tradition of playing both championships concurrently done for the women's game? Would it be reaching today’s heights if they were played separately?

Would I have tuned in to watch the Women's Final, had I not been stimulated by the Federer-Djokovic match the previous day?

RAFAEL NADAL NADAL'S FRENCH OPEN WINNINGS EQUALLED LI NA'S

Would Li Na have enjoyed the same pay-day as Nadal or Federer?

By allowing both events to run together, they create this amazing synergy, where instead of one deflecting attention from the other, they actually combine to produce an effect which is greater than the sum of their parts. Men’s tennis is all the greater because of the women’s presence, as much as the reciprocal.

Can other global sports like football, rugby, golf or motor-racing compare with tennis in this regard? Not even close.

Forbes.com report that the top three highest-paid female athletes in 2010 were tennisplayers – Maria Sharapova, and the Williams sisters – whilst Ana Ivanovic and Jelena Jankovic were also in the Top 10. Sharapova has deals with Nike, Sony Ericsson and Tiffany, and pulled in over $24.5 million in one year, most of which came from these endorsements.

It could be argued that athletics also benefits from dual-participation; men and women compete at various big-time Athletics meets – including the World Championships every other August – and it’s this sense of inclusion which gives these events extra bite and publicity. Could other sporting organisations follow their model to promote their games?

Has Rory stolen Tiger’s ‘aura’?

Q

atar Today’s May Sports File referenced how we’d need to see Rory McIlroy walk the walk instead of hearing him talk about the lessons he’d learned from previous crumbles in Major Championships.

He put to bed any notion that he would feel any final day jitters at the recent US Open, by putting himself into an unassailable position, six shots clear of South Korea’s YE Yang. His birdie on the first hole – coupled with the inability of any of his closest challengers to mount an early charge – meant he was able to freewheel his way to victory; and what a lap of honour it must have been for the Irishman, as the crowd cheered every shot he played. It didn’t seem anybody wanted him to relent to make the Championship more interesting; they probably knew it was futile, and instead rallied behind the young man who is being touted as the next Jack Nicklaus, not just by golfing enthusiasts, but by his fellow professionals.

What Tiger Woods was making of it all is

RORY MCILROY THE NORTHERN IRISHMAN IS NOW THE FAVOURITE FOR THE OPEN AT SANDWICH, STARTING JULY 14

anybody’s guess.

The Open at Sandwich (July 14 - 17) can’t come quick enough now for McIlroy and the golfing world, as we embrace ourselves for what he will achieve there.

His opening 63 at last year’s Open was as magnificent as the 80 he shot the following day was brutal, but look what he has achieved since.

He helped Europe regain the Ryder Cup at Celtic Manor last October, after promoting a rather blasé attitude towards the event beforehand. He was quick to change his mind having experienced the pressure and the team-element that Major Championships can’t compete with. Last March, Lee Westwood said he would ‘have a talk’ with McIlroy over his comments that Tiger Woods had lost the ‘aura’ he once had and no longer scared him.

In April, he famously blew a four shot lead on the final day of the US Masters, having explained to the world’s media beforehand that he had learned his lesson from the 2010 Open.

Whether he has that killer instinct on the final nine holes of a Major Championship may still be up for debate, seeing as how easy his final round at Congressional was; he certainly won’t win all his Majors with such grace and ease. It will be very interesting to see how he copes with the ‘aura’ that now surrounds him at the Open. follow

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Qatar Today 87

doha dIary

sTaYIng alIve! "It'S oBvIouSly Not juSt For jourNalIStS ... But thErE'S a paSSagE From a SomalIaN pIratE aNd aN aFghaN captaIN IN thErE too - It'S For EvEryoNE! By ro ry c oe n "I wanted a book that would tell people what to expect. Living in a warzone is practically about living in a terrible environment, with very little access to food, transport, medical supplies, and water!," she exclaimed. "In Basra, every day I would have to wait for the Unicef truck to come down the road before charging at it with all the other locals.

"There's possibly a perception that these wars are fought in trenches – like World War 1 – where it's all-action, day after day. This can't be further from the truth. People have to rest; they can't keep running," she laughed. "The reason we have all those letters and poems from earlier wars is even back then there was a lot of waiting around. Things haven't changed in that regard."

F

irst glance at Rosie Garthwaite, and she wouldn't strike you as the kind of person you'd want beside you in a trench. Nor did her compatriot Florence Nightingale I suppose – and she was credited with saving many lives during the Crimean War – so I began chatting with an open mind regarding her book, How to Avoid Being Killed in a War-Zone.

Her loquacious nature prompted me to feel she had real affection for reporting in dangerous terrain. I didn't need to surface much during the conversation, as she described candidly the meaning and force of the book, before detailing some of her own experiences. However, she was quick to dispel these as trivial compared to her more senior war-journalists.

"I didn't write this book from the point of view of experience; I wrote it from the point of view of naivety," she said. "I'm naive enough to think that this book has to be

written, whilst it's just any other day for a war-journalist twenty years down the line.

"I have very little experience really, just a few months here and there in Basra and Baghdad. I interviewed 150 people, so without them the book would obviously be very weak. All I have are my early mistakes."

Mistakes which she didn't want others to make.

After graduating from college, she immediately took up the challenge of working for the Baghdad Bulletin, as green as ivy, and this is how the book is premised. She made these obvious errors of judgement at critical times, but lived to perpetuate the tale.

So how did she survive in these war-zones? What were the most poignant nuggets of wisdom she learned?

"You really have to listen to the locals. They live this life you are experiencing every day – it's normality for them – so if you can show empathy, you will better understand the situation you face. You'll automatically make better decisions; they think longterm as they still have to be around in three weeks time to look after their families – you actually need to listen to them more than your editor!"

The book covers war-topics such as coping with gunfire, bombings and missiles, as well as surviving landmines and chemical perils, to such general, but often misjudged items, as staying fit and beating stress, and keeping safe in a crowd. It's your one-stopshop for surviving a war-zone! follow

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something should discribe the headlin e

THE FOCUS

WELLNESS IS

2010

HEALTHCARE

VOLUME 1

healthcare suppliment

TECHNOLOGY TOPPERS 92

doha diary

visiting dignitaries dtf 2011 attracted over 97,000 visitors

DTF 2011 gets roaring response

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oha Trade Fair has become an event to watch out for. Over 97,000 visitors shopped at DTF 2011 which carried the theme of ‘Shop the World’. Exhibitors came from countries across the globe to showcase and sold a wide array of unique and traditional products.

Many of the exhibitors who participated for the first time this year were impressed

with the number of local and regional visitors. The newly-created ‘Fun-Zone’ was a favourite with families offering entertainment from inflatable rides to fun games to daily parades. The Guinness World Record monopoly board game was also placed in the Fun-Zone where teams competed against each other in an attempt to gain the most monopoly points.

The Doha Trade Fair 2011 organised by

Qatar Tourism Authority in collaboration with q.media events, is held under the patronage of HE Sheikh Khalifa Bin Jassim Bin Mohammed Al-Thani, Chairman of Qatar Chamber of Commerce & Industry. Sponsors of the 2011 event included Premier Sponsor-QIB Bank, Diamond Sponsors-VW and SBA automotive, Gold Sponsors-Airlink and Ansar Group, Silver Sponsor-Diplomatic Club and Support Sponsor-Seqlia.

A legacy of art left behind

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enowned painter M F Husain died, as a Qatari citizen in Royal Brompton Hospital in London on June 9. He was 97.

He was admitted to the London hospital nearly a month ago with heart and lung related complications. Media and art critics paid rich tributes to the departed genius.

Husain was working on two new projects, one that focused on the history of Indian

culture and a second, commissioned by HH Sheikha Moza bint Nasser, that examined the history of Arab civilisation. While artists, writers and art aficionados in Qatar paid rich tribute to him as an artist, those who knew him personally remembered Husain as a kind and generous soul. In an earlier interview to Qatar Today, he had said, “I wish I had 100 more years,” such was his passion for the arts.

RIP Husain.

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DOHA D I ARY

Meeting of the chemical minds at QU

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hemical engineering alumni, current students, faculty members and industry that support the department’s academic program came together in the Majlis organised by the Qatar University’s (QU) Department of Chemical Engineering at the Al Dasha Ballroom of Al-

Sharq Village & Spa. The Majlis held under the patronage of QU President Prof Sheikha Abdulla AlMisnad and sponsored by Qatar Shell was attended by Qatar Shell Executive VicePresident and Managing Director Pearl GTL Andy Brown, Ras Laffan Project Manager Eng Abdulla Haji Al-Sulaiti, Head of

QU Chemical Engineering Department Dr Farid Benyahia, department faculty, staff and students.

The forum discussed upon the role of the chemical engineering profession in the Qatar National Vision (QNV) 2030 and Qatar National Development Strategy (NDS) 2011-2016.

Fifty One East launches Summer Promotion NU-Q draws spotlight on digital media

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he new Dean and CEO of Northwestern UniversityQatar, Dr Everette E Dennis has plans to focus on educating students in the light of the rapidly evolving digital media landscape. Dr Dennis is an experienced educator, institution builder and media expert who has worked with universities, think tanks, foundations and media industries and is known for his longstanding research

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and thought leadership on technological convergence and its impact on media organizations and careers. “I can’t imagine a better venue for media studies than the one we have at Northwestern University in Qatar. We are able to draw on the best expertise the region and the world have to offer in order to create a truly new educational experience in communication and journalism that is solidly anchored in settled knowledge and experience,” he points out.

F

ifty One East has announced its annual Summer Promotion presenting fantastic offers to its customers. The promotion to be concluded on July 16 is featured at all their outlets located in Al Maha Center, in City Center Doha and In Virgin Megastores at Villaggio and Landmark. The promotion comes with the fabulous chance to win one of four Sony 3D 60’’ TVs or a fantastic 2012 Porsche Boxster with every purchase of QR500.

Also, the much awaited six-month instalment programme at zero percent interest is back in conjunction with five participating banks and including the CommercialBank, QNB, Doha Bank, Mashreq and HSBC.

DOHA D I ARY

WCMC-Q lecture on health risks in travel

DHL bags award

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HL Express has been named Best Small Call Centre in the Middle East for its Qatar operations. The award was presented at a special dinner to celebrate the culmination of the Middle East Call Centre 2011 show in Dubai, which was organised by INSIGHTS – the only Call Centre dedicated professional services organisation in the Middle East. “The whole team at DHL Express Qatar is delighted to have received this honour which comes as a result of a lot of hard work and dedication

by everyone involved in the Doha call centre operation. We always strive to offer the very best to our customers and ensure that the customer experience is world-class and one that delivers exceptional, efficient and friendly service. This award is a reflection of our unswerving commitment to customer care and we are particularly proud to have won having been up against so many organizations, not just from within our own sector but across all industries throughout the Middle East,” says Daniel Kearvell, DHL Qatar Country Manager.

T

he monthly Medicine and U lectures at WCMC-Q focussed on potential health risks faced by international travellers. Dr Ravinder Mamtani MD, Professor of Public Health and Associate Dean for Global and Public Health at Weill Cornell Medical College in Qatar brought attention to three groups of health hazards – the exacerbation of existing illness, illnesses associated with travelling in cramped conditions for along periods of time such as deep vein thrombosis and thirdly, new illnesses and infections.

He spoke at length of the basic steps that travellers must keep in mind in order to avoid such complications.

tHE worlD nEvEr sEEms to HavE EnougH witH tECHnology. from an annual ranking of tHE most valuablE branDs by branDZ, wE piCk tHE top 10 branDs making wavEs in tHE tECHno-spHErE.

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