Asia Outlook Issue 11 by Outlook Publishing

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BRICK BRICK BY

Lego, the world’s leading toymaker, constructs a plan for market expansion

InvESTMEnT pROFILE

CHIp Eng

THAILAnD 22 asia outlook takes an inside look at thailand’s investment and business potential

SEng 44 constructing quality for more than half a century

gATES EngInEERIng & SERvICES 38 gates’ products meet the needs of even the most aggressive industrial applications

InTERLInk COMMunICATIOn

Providing fibre optic services to the whole of thailand

ASIA OuTOOk ISSuE 11 A L S O T H I S I S S u E : T E C H n O L O g y R O u n D u p 2 0 1 4 | W I L S O n T A y L O R | S u n H u A n H O L D I n g S

W E L C O M E The World’s Leading Toymaker Brings Joy to Asia this Christmas

It’s Christmas time, and there is a globally renowned gift looking set to fill stockings in Asia this year, more so than ever before over the course of its 65-year history. Lego is one of the most recognisable toy manufacturers the world over, and after conquering its native Scandinavia and the majority of the rest of the Western world over the years, its growing presence in China has presented the company with arguably its greatest platform for further growth in decades. 2013 saw the Group surpass Hasbro as the world’s leading toymaker with first-half revenues exceeding $1.84 billion, and following the success of the Lego Movie released in 2014, Editor, Emily Jarvis delves into the company’s plans for global expansion and the significance of its rise across Asia. Comprising the remainder of Asia’s Christmas stockings this December may well be the vast selection of gadgets and digital must-haves that have emerged in 2014, which Emily runs down in Asia Outlook’s tech review of the year. The likes of wearable technologies, next-gen consoles and the latest smartphones have already made notable inroads into the consumer market, while more complex technologies like those seen in the world of 3D printing and space tourism may be a tad more exclusive. Veering away from imminent festivities and into the realm of commercial success, this month’s investment profile showcases Thailand, a country recently ranked 11th in a list of the best destinations for foreign direct investment and in the top 20 for ‘Ease of Doing Business’ as listed by the World Bank. Success stories such as Interlink Communication’s have been indicative of the country’s growing prominence in the global marketplace, and the fibre optical cabling company is just one of the leading continental businesses featured in this month’s company profile section. Elsewhere, construction heavyweights, Chip Eng Seng and Sunhuan Holdings lay the foundations for engineering company, Gates E&S and marine resources business, Wilson Taylor to complete the company showcase; all of whom have every right to be as excited for Asian business and tech prospects in 2015 as we are. Matthew Staff Editorial Director, Enjoy the issue and see you in the Outlook Publishing new year!

EDITORIAL Editorial Director: Matthew Staff matthew.staff@outlookpublishing.com Sub-editor: Emily Jarvis emily.jarvis@outlookpublishing.com

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Managing Director: Ben Weaver ben.weaver@outlookpublishing.com Chairman: Mark Weaver Contact Asia Outlook / UK 22 Wensum Street, Norwich, UK, NR3 1HY Sales: +44 (0) 1603 559 145 Editorial: +44 (0) 1603 559 152 Fax: +44 (0) 1603 559 553 Subscriptions Tel: +44 (0)1603 559 152 matthew.staff@outlookpublishing.com

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In this issue of Asia Outlook...

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neWs

All the latest top stories across the month from Asia

technology rounduP 2014 end of Year review

Asia Outlook takes a look at some of the biggest tech stories of 2014, from the monumental release of the Xbox One in China to the evolution of robots and AI

InVestment ProFIle thailand

shoWcAsIng leAdIng comPAnIes tell us your story and we’ll tell the world

Asia Outlook takes an inside look at Thailand’s investment and business potential

R E S O U R C E S

buIldIng blocKs In chInA creating the Future of Play in asia: Lego

What toys will you be buying for your children for Christmas this year? We take a closer look at Lego’s successful expansion into China and what this means for the world’s largest toy maker

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WIlson tAylor international specialists in cathodic Protection

Wilson Taylor is a leading provider of all aspects of corrosion control, cathodic protection systems and engineering services

gAtes engIneerIng & serVIces “Progress never stands still. and neither do we”

MANUFACTURING

Gates’ products meet the needs of even the most aggressive industrial applications

C O N S T R U C T I O N

President Yeap Swee Chuan strives towards post-2020 best practice goals

chIP eng seng making dream Houses their Pride

Constructing quality for more than half a century

AAPIco hItech World class manufacturing with a Local emphasis

sunhuAn holdIngs From Humble Beginnings to construction Prosperity Singapore-based construction contractor with a remarkable ﬁgurehead

eVents

Asia Outlook highlights upcoming events on the continent

T E C H N O L O G Y

InterlInK communIcAtIon interlinking Best Price and Best service

Providing ﬁbre optic services to the whole of Thailand

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R eso u rces

ARCADIS Signs Partnership with Leading Chinese Environmental Specialist ARCADIS, the leading global natural and built asset design and consultancy firm, has formed a strategic alliance with Shanghai Greenment Environmental Technology Co. Ltd. (Greenment), in China. The strategic alliance will see the combination of ARCADIS’ technical excellence with Greenment’s extensive local track record providing environmental solutions. Greenment has operations in Shanghai, Beijing, Sichuan, Hainan and Yunnan, servicing both private and public sector clients. The strategic alliance aims to create greater access to

market share for both companies in chemical/pharmaceutical, commercial developer, automotive, oil & gas, and conglomerate market sectors across China. In addition, the alliance will enable ARCADIS and Greenment to better serve growing Chinese enterprises as they are starting to look for investment opportunities overseas. Mark Fenner, Global Director for Environmental Solutions at ARCADIS said: “As China’s environmental

shareholders,” said HP Chief Executive Meg Whitman in a statement. “In short, by transitioning now from one HP to two new companies, created out of our successful turnaround efforts, we will be in an even better Hewlett-Packard said it would split position to compete in the market, into two separate listed companies support our customers and partners, by separating its computer and and deliver maximum value to our printer businesses from its corporate shareholders,” she said. hardware and services operations. The The project, set to be completed move follows a trend of technology by the end of fiscal year 2015, will firms and other corporations, take place as a tax-free distribution of including eBay last week, splitting shares to HP’s stockholders. their businesses into separate companies, based on the belief that tightly focused firms perform better. The split “will provide each new company with the independence, focus, financial resources, and flexibility they need to adapt quickly to market and customer dynamics, while generating long-term value for T ech n olo g y

Hewlett-Packard to Split in Two by the End-FY2015

regulations develop and the enforcement of those regulations increases, the strategic alliance between ARCADIS and Greenment will enable us to respond more effectively to our clients’ changing needs.” Mr. Ma Lie, Managing Partner of Greenment said: “We are delighted to collaborate with ARCADIS. Together we will be able to offer our clients a full spectrum of world class environmental technology services combined with local know-how.” The partnership will span on site evaluation and restoration, environmental planning, and strategic environmental consulting opportunities. Whitman will serve as chairman of the PC and printer business, dubbed HP Inc, and Chief-Executive of the separate Hewlett-Packard Enterprise company, the statement said. Dion Weisler, an executive in the PC and printer operation, is to be chief executive of that streamlined business, the report said. HP has been undergoing a massive reorganisation to cope with the move away from traditional personal computers to mobile devices. The California company said in May that it was cutting an additional 11,000 to 16,000 jobs on top of 34,000 reductions planned under a programme begun in 2012. US online retail giant eBay unveiled plans to spin off PayPal in a move designed to help the unit compete better in the fast-moving online payments segment.

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F o o d & D r i n k Food Companies Move to Upgrade Productivity in Singapore bout 1,300 food companies have embarked on productivity upgrading projects, including workflow redesign and workforce upgrading through training, according to Health Minister Gan Kim Yong. Speaking at the Food Productivity Conference 2014 in October, Mr Gan also said that more than 4,000 CEOs, productivity managers and workers have undergone training since 2011. The Food Services Productivity Plan was launched in 2011 in a bid to increase the productivity of the food services sector with a budget of S$75 million. During his speech, he outlined how food companies have improved their operations through innovation, collaboration, technology and people. For example, the Restaurant Association of Singapore, Singapore Food Manufacturers’ Association and Singapore Manufacturing

Federation have collaborated to help more than 50 restaurants find suitable food manufacturers to outsource the preparation of their non-core food items. Mr Gan said this multi-party collaboration has resulted in time and cost savings for both restaurants and food manufacturers. He also urged companies to take the initiative to implement their own productivity improvements, and said the government remains committed to supporting the food industry in its restructuring efforts. Mr Gan highlighted Eng Soon Dry Bean Curd and local cafeteria Food Glossary. Eng Soon Dry Bean Curd

uses robotic arms to increase its efficiency, while Food Glossary uses technology to let customers order and pay.

Food Glossary’s Productivity Initiative Having customers order and pay for meals online has helped the 400-seat cafe Food Glossary save on manpower costs. With only 10 employees, it relies on self-service through mobile apps and digital kiosks to handle large volumes of orders. Without this technology, Food Glossary would have to double its staff, setting them back an additional S$30,000 a month. “We had to look at new concepts where it didn’t require a lot of manpower,” said the Director of Food Glossary, Andrew Khoo. “So in creating this concept, we thought let’s look at bringing in technology. Let’s look at bringing in things that can help us, in terms of process and process flow.”

Outsourcing Helps Increase Productivity With the food industry facing the challenge of a manpower crunch, industry players say the adoption of technology not only improves productivity but also attracts locals as it makes their work environment more conducive. The Restaurant Association of Singapore also said, other than technology, outsourcing also helps to increase productivity. “Many food manufacturers have got much more advanced food machinery than restaurants,” said Andrew Tjioe, President of the Restaurant Association of Singapore. “They are bigger, they are more efficient. So if we can outsource to them, we will try to do so as much as possible.”

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a u t o m o t i v e Nissan says H1 Net Profit Rose 25% to US$2.3 Billion apan’s number-two automaker said it earned ¥237 billion in the AprilSeptember period, up from ¥189.82 billion a year ago, while sales rose 8.2 per cent to ¥5.14 trillion. Nissan’s half-year net profit rose 25 per cent to US$2.3 billion, lifted by strong North American sales and new models, with a sharply weaker yen also boosting the firm’s bottom line. Japan’s number-two automaker said it earned ¥237 billion in the AprilSeptember period, up from ¥189.82 billion a year ago, while sales rose 8.2 per cent to ¥5.14 trillion. Operating profit rose to ¥261.9

billion, up 18.0 per cent, said the maker of the Altima sedan and luxury Infiniti brand. But Nissan also warned of slowing demand in its number one market China, as well as in Japan due to the April sales tax hike - a situation also faced by rival Honda, though it still reported a 19 per cent jump in first-half profit last week. “Nissan successfully overcame challenging market conditions in the

first-half of the fiscal year, delivering solid revenues and profitability amid encouraging demand for our latest models,” the firm’s Chief Executive Carlos Ghosn said in a statement. The firm added that “the improvement reflected strong unit sales growth in North America and signs of stabilisation in western Europe,” despite “slower demand in Japan and continued volatility in Russia and other emerging economies.” The increasing popularity of such vehicles as the Qashqai, Rogue and X-Trail also contributed to the positive results, Nissan said. For the fiscal year to March, the firm slightly upgraded its sales forecast to ¥10.8 trillion from ¥10.79 trillion, while it left unchanged expectations for a ¥405 billion net profit and an operating profit of ¥535 billion. Nissan’s announcement came after Honda said last week that its sixmonth net profit soared 19 per cent to ¥$2.67 billion, thanks to a lower yen, strong overseas sales and costcutting efforts. But Honda lowered its annual projections, citing a downturn at home, as well as China and other key Asian markets. “The lower yen is undoubtedly a tailwind but factors other than that have not improved significantly from the first quarter,” said Credit Suisse analyst Masahiro Akita. “It is also unclear how demand in China - a core market for Japanese automakers - will fare in the coming months,” he said. Japanese car companies have been big winners over the past year as a sharp drop in the yen inflated their repatriated profits, while sales accelerated in key markets including the US and China. Nissan has cut its 2014 sales target in China to 1.27 million vehicles from 1.43 million vehicles.

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Smaller Commercial Businesses will be able to buy Electricity Direct from Retailers from 2015 ore commercial entities in Singapore will be eligible to buy electricity direct from retailers from next year, according to Second Minister for Trade and Industry S Iswaran. From July 2015, the Energy Market Authority (EMA) will lower the contestability threshold from 4 megawatt-hours (MWh) to 2MWh. The move will enable an additional 10,000 commercial and industrial (C&I) consumers to buy electricity from electricity retailers who offer different pricing plans and packages, as alternatives to the regulated tariff, the minister said during his keynote address at the Singapore International Energy Week (SIEW) conference. The contestability threshold was lowered in phases this year for C&I consumers, from 10MWh to 8MWh in Apr 1, and then to 4MWh in Oct 1, which benefited about 15,000 more such consumers. “Our goal is to progressively liberalise the electricity market so that all remaining 1.3 million consumers, from households to businesses, will enjoy the same flexibility and choice,” said Mr Iswaran.

Simplifying Regulatory Requirements Aside from lowering the contestability threshold, EMA will also be simplifying its regulatory requirements with the aim to make the application process easier and

less costly for businesses, particularly small and medium enterprises (SMEs). About 70 of EMA’s rules and regulatory requirements will be simplified so as to streamline information and reporting requirements, and to make the application processes for gas and electricity licensees less onerous, said Mr Iswaran. These changes will benefit not only existing and new electricity and gas licensees, but also many C&I consumers, which will potentially benefit from lower compliance costs and improved service standards, he added.

scale, cost-effective systems for Singapore’s power system. This will help meet domestic needs as well as generate economic opportunities through the development of exportable solutions and capabilities,” the Minister said. Beyond technology, there are also initiatives to renew the manpower capacity to support the growth of the power sector. For instance, Singapore Power (SP) will set up the Singapore Institute of Power and Gas (SIPG) - co-funded by the EMA - to coordinate the training needs for the industry. The range of courses will expand over time to include emerging areas such as energy storage, installation and maintenance of solar panels. Beyond Singapore, the SIPG also seeks to eventually train and develop power sector employees from the region, he added.

S$45 Million Investment in Renewables and Training The Government’s focus on solar technology, considered as the most viable renewable energy option for Singapore, was reiterated when Mr Iswaran announced EMA will establish a new S$25 million Energy Storage Programme to develop technologies that enhance the overall stability and resilience of the country’s power system. Energy storage is an emerging area that has the potential to help manage solar intermittency, he said. “The funds will support the development and integration of large

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World Bank Trims China’s Growth Forecasts he World Bank trimmed its growth forecasts for developing East Asian economies this year and next, as China’s economic expansion loses momentum and policymakers face tighter global monetary conditions.

Developing countries in East Asia and the Pacific are likely to see a growth of 6.9 per cent this year and in 2015, slower than the 7.1 per cent the bank had forecast in April, it said in an updated report. China’s economy is forecast to grow 7.4 per cent this year and 7.2 per cent next year, compared with 7.6 per cent and 7.5 per cent projected in April as the government addresses financial vulnerabilities and structural constraints. China’s economy expanded 7.7 per cent in 2013.

But the bank’s Chief Asia Economist Suhdir Shetty said China’s slowdown is unlikely to be “dramatic” enough to have a major impact on the region. “China’s slowdown is gradual. It is slower but it’s not the bottom falling out of China’s growth,” he told reporters in Singapore. He also said that the link between the giant Chinese economy and the rest of Asia does not only involve demand, which is expected to weaken due to the slowdown. China’s links also involve investments which could even

increase to parts of Asia as Chinese companies venture out of the country, Shetty said. Developing East Asian countries, excluding China, are expected to grow 4.8 per cent this year and 5.3 per cent in 2015 from 5.2 percent in 2013.

The ASEAN Five

Growth in Southeast Asia’s five biggest economies - Indonesia, Malaysia, the Philippines, Thailand and Vietnam - is forecast to slow down to 4.5 per cent this year from 5.0 per cent in 2013, but is likely to pick up and expand 5.0 per cent next year as demand for exports grow. “The good news for the ASEAN Five is that there will be a period of rising demand for their exports,” Shetty said, adding however that these countries must continue to implement structural reforms, invest in infrastructure and improve their investment climate in order to sustain growth. Indonesia is expected to grow 5.2 per cent this year and 5.6 per cent next year from 5.8 per cent in 2013. Malaysia’s growth is forecast to rise to 5.7 per cent this year from 4.7 per cent last year, before easing to 4.9 per cent in 2015. The Philippines is forecast to expand at 6.4 per cent this year and 6.7 per cent in 2015 from 7.2 per cent in 2013. Thailand is likely to grow 1.5 per cent this year and 3.5 per cent next year from 2.9 per cent in 2013 as the political situation stabilises. Vietnam is expected to grow 5.4 per cent this year and 5.5 per cent next year. It expanded 5.4 per cent in 2013. Shetty said a key risk for regional economies is a “disorderly” tightening of monetary policy in the United States, Europe and Japan which would lead to a steep rise in interest rates. He said there was no reason to doubt that a tightening of monetary policy in the developed economies would be gradual, but there was also a risk that it could be abrupt.

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A u tomoti v e

B u si n ess

Toyota Aims to Replicate Prius Success with Fuel Cell Mirai

Singapore Revised 3Q GDP Beats Forecasts

Toyota will introduce its first massmarket fuel cell car next month, hoping to replicate the success of its Prius hybrid with a vehicle that runs on hydrogen instead of gasoline. The four-seater sedan, named Mirai, the Japanese word for “future”, will first go on sale in four cities in Japan on December 15th Sales in the United States and Europe will follow in the fourth quarter of 2015, the world’s biggest automaker said, unveiling the car simultaneously in California and Tokyo. The ultimate “green car”, fuel cell vehicles (FCVs) run on electricity made by mixing hydrogen fuel and oxygen in the air - a technology first used in the Apollo moon project in the 1960s. Its only by-product is heat and water - water so pure the Apollo astronauts drank it. “This technology is going to change our world,” Toyota Managing Officer Satoshi Ogiso said at the launch in Newport Beach. Mirai will cost 6.7 million yen ($57,460) before taxes in Japan. Toyota aims to sell just 700 globally next year, mainly due to a dearth of hydrogen fuel stations, executives said. It expects cumulative U.S. sales to reach 3,000 by the end of 2017. Toyota Chairman Takeshi Uchiyamada, who led development of the first-generation Prius, said he expected global sales to rise to “tens of thousands” in the 2020s. Honda’s yet-to-be named fuel-cell sedan seats five and has a range of over 700 km (435 miles), while Mirai can go 650 km on a full tank under Japanese standards.

Singapore’s economy grew at a stronger-than-expected pace in the third quarter, revised figures showed, which eased concerns about the city-state’s ability to weather sluggish global growth. The economy expanded 2.8 percent on year, the revised data showed, above expectations for a 2.5 percent rise in a Reuters poll and up from an advance reading of 2.4 percent released in October. The economy expanded 2.4 percent on year in the second quarter. On a quarter-on-quarter annualised basis, the economy expanded 3.1 percent, above expectations for a 1.3 percent expansion and up sharply from an initial reading of 1.2 percent. “We believe that the interplay of cyclical and structural forces continues to shape the macro outlook in Singapore. In particular, several cyclical and structural factors mean that Singapore is less able to benefit from the global

growth pick-up that [our] global economics team envisaged and our 2014/2015/2016 GDP growth forecasts,” Morgan Stanley wrote in a note. “For one, the relocation of manufacturing capacity from Singapore has affected industrial production and non-oil domestic exports and the impact is likely to stay in the numbers until the base effects peter out next year,” it wrote. “Additionally, the prospects of eventual Fed tightening, together with macroprudential tightening measures at home have also taken the wind out of the leverage cycle, with the collateral impact seen in the property market and construction sector.” Following the release, Ow Foong Pheng, permanent secretary at the Ministry of Trade and Industry, said the economy is likely to ease in the fourth quarter on a year-on-year basis, in line with the projected slowdown in the global economy. Singapore’s export-dependent economy is heavily dependent on appetite from overseas markets. A slack in global demand, especially from the euro zone, presents a challenge for growth.

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T E C H N O L O G Y

R O U N D U P

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technology

ROUNDUP E n D

O F

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y E A R

R E v I E W

asia outlook takes a look at some of the biggest tech stories of 2014, from the monumental release of the Xbox one in china to the evolution of robots and ai Writer Emily Jarvis

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T E C H N O L O G Y

R O U N D U P

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4k, Curved Screens and the paper OLED Revolution

Source - SamsungTomorrow Flickr

in may this year, samsung and lg both unveiled the world’s first curved UHD TV (HU9800), featuring a revolutionary curved screen, ultimate 4k picture quality and vividly natural colours. the television delivers a wider field of view and greater feeling of depth when compared with an ordinary flat screen. Additionally, 2014 saw LG produce an 18-inch OLED display that can be rolled up into a tight cylinder with a radius of just three centimetres. OLED is now emerging as a display technology that enables beautiful and efficient displays and lighting panels. Thin OLED’s are already being used in many mobile devices and tVs. Not only this, but the korean giant has announced a display of the same size that is highly transparent. By 2017, LG hopes to combine both of these prototypes to create a staggering 60-inch, UHD (4k) display that is both flexible and transparent. More recently, Toshiba announced that it will be selling its Ultra HD L9450 range in Singapore and the rest of asia starting at the end of November. The 4K TV can run Android 4.4.4 (though not upgradable to the Android 5.0), and comes in 50, 65 and 84-inch sizes.

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DDR4 Memory

in April, SK Hynix announced the world’s first single 128GB DDR4 memory module, which is twice the capacity of the company’s module before this. Touted as the world’s highest density module, this 8Gbit DDR4 chip was created with 20 nanometre process lithography. whilst its original intention is for server rooms, this can and will take the humble domestic computer system to new levels. And with graphical expectations for computer games continuing to rise, these memory modules and associated technologies will surely become in demand by graphics card manufacturers to increase the available memory for the latest video games. currently, this is overkill for our daily needs, but who’s to say it won’t be in the near future?

Wearable Tech

in January, it was said that 2014 would be ‘the year of the smart watch’. “wearable tech has indeed made its mark this year, with most of the attention going to google glass. Samsung and Apple have led the way in the smart watch trend this year”. with stories littered throughout the web and in gadget magazines alike, filling people with intrigue and the desire for possession, this gadget is only just beginning to rear its head in a crowded tech market. However, uptake has not been quite as promising as developers had hoped. take the galaxy gear for example, there have already been at least four upgraded and stylistically modified versions of the device released as technology continues to advance day by day. The somewhat debatably fashionable eyewear, Google Glass, was released in the middle of the year with staggered release dates across the globe. the kit remains a prototype at the costly price of around $1500 and is primarily targeted at developers, rather than consumers. in late October, the wearable tech was officially banned from cinemas in the uk, us and various other countries around the world.

next gen Mobile phones

Source Kārlis Dambrāns, Flickr

However, governments are looking at ways to allow drivers to legally use glass on the road – possibly through the restriction of unnecessary information on the display. whilst the device presents its social challenges, there are some serious advantages for the average tech-savvy user which provide convenience in everyday life practices.

From something you associate with sci-fi and fantasy novels to reality; real live robots are now a genuine thing

2014 has seen all the usual suspects submit their entry into the telecoms arena, including samsung, google, lg, motorola, microsoft, sony and apple. a noticeable trend this year has been smartphone screens getting larger, although many vendors still choose to continue to offer many different sizes to cater for all kinds of end-users. one of the reasons for this increase in screen size is the statistic that by 2019, 50% of mobile data traffic will come from video; whether it is via streaming sites or browsing Youtube videos. Released in November, the Nexus 6 has one of the largest phone displays of the year standing at 5.96 inches, whereas rival Apple’s iPhone 6 Plus is 5.5 inches. Both these next gen behemoths bring with them a new OS which offer some unique tweaks on the previous operating systems. Coupled with the devices are a whole host of new applications serving a million and one purposes such as the growing market for health-orientated apps; which can monitor anything from a person’s heart rate to sleeping pattern.

Source Kārlis Dambrāns, Flickr

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T E C H N O L O G Y

R O U N D U P

Next Gen Consoles

Source- Luke Hayfield, Flickr

Back in the late 80s/early 90s, the meaning of a ‘home entertainment system’ was simply a device to play videogames on. However, over time this has grown to gain a more universal meaning as a ‘device that does it all’. The blurring of this line between video games other forms of entertainment such as streaming services and social applications has truly changed our living rooms forever. Further muddying the lines is the advent of pre-built gaming computers such as the Steam Machine, which offers users an alternative to a console purchase; getting the best use out of a multifunctional piece of kit. 2015 is sure to bring changes to the videogame and home entertainment marketplace, and with the Oculus Rift Virtual Reality headset bringing a third dimension to gaming, these changes will surely have a huge impact on all areas of future entertainment. The release of the Xbox one in China was a monumental day for both the country and Microsoft. It became the first games console to release here in 14 years, with availability at more than 4,000 retail locations in 37 cities throughout the People’s Republic of China. Sales of the rival PS4 topped 10 million in August this year, with Xbox One figures matching this and more.

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Commercial Release of 3-D Printers

This year saw a growth in the popularity and intrigue surrounding 3-D printing technology, as the first devices have entered the commercial market and are reducing in price as time goes by; making them somewhat more affordable and realistic for home use. Some printers that have made their debut are now less than $1,000, dependent on a number of factors. The uses for 3-D printers are truly endless and research continues to find new methodologies for its ethical (and unethical) uses. But with all new technologies come risks as well as benefits. Advantageously, the technology is being used by medical researchers to create human body parts, pills, valves and so on. October saw New York surgeon’s re-create a temporary heart to help save the life of a two week old baby who required complicated heart surgery. By printing a copy of the infant’s unusual heart, surgeons were able to study the organ, and develop a strategy to keep the child alive. On the other hand, earlier in the year, the first 3-D gun was printed and came under fire from authorities and anti-gun campaigners in May. The gun was made on a 3-D printer that cost $8,000 and various governments around the world are trying to keep one step ahead of these emerging technologies by having dedicated teams in these key new areas.

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Driverless Cars

In just one generation of drivers, the experience of driving a car has evolved dramatically. With new technological trends affecting the average driver’s expectations, the typical car now includes cruise control, electric windows and various other electrically-powered features as standard. Tipped to be one of the biggest changes since automobiles replaced the horse and carriage, driverless cars are the latest example of rapid acceleration of technology. Several manufacturers have driverless cars in the pipeline, however, Google have taken the bull by the horns and are striving to remain ahead of the competition. Furthermore, in November, the tech giant tweaked their prototype vehicles in such as way that makes them able to compete with the “pushy human drivers” on the open road. In essence, the software has been tweaked to give the car a more aggressive edge. With new rules comes the development of new regulations and driverless cars also present several dangers and controversy. The UK government announced in July that driverless cars will be allowed on public roads from January 2015. The debate is now whether to abandon controls including a steering wheel and pedals, switching entirely to a reliance on the vehicle’s computer; or whether to allow the machine to drive, but insist that a human can take control back at any time.

Virgin Galactic Forget aeroplane travel; why not take your future holiday in space? Richard Branson’s dream of space tourism made tracks in the development of the world’s first commercial spaceline this year. Virgin Galactic wishes to establish the world’s first human spaceflight headquarters and operate

Source - Jeff Foust, Flickr

flights from Spaceport America, the first ever purpose-built commercial spaceport in New Mexico. Each astronaut will take part in three days of pre-flight preparation, bonding and training onsite at the Spaceport. There will also be basic emergency response training prescribed by regulators and activities to aid familiarity with the out of this world environment. Unfortunately, Branson’s bid to take paying customers into space suffered a major blow at the end of October, when a test flight of the flagship SpaceShipTwo suffered a ‘flight anomaly’ and exploded in midair. The incident, described by the Independent as a “potential public-relations disaster for the nascent space-tourism industry as a whole”, could damage the future of space travel as a viable and safe tourist attraction.

Rise of the Robot

From something you associate with sci-fi and fantasy novels to reality; real live robots are now a genuine thing. For decades, scientists have been developing machines that have the balance and agility to walk, talk, run and even exhibit an emotional response and interact with a person. The exponential growth in the power of silicon chips, digital sensors and high bandwidth communications means that researchers have more technology at their disposal than ever before to make the robot a reality. In November, visitors to Microsoft’s Silicon Valley campus were greeted by robotic security guards, with the appearance somewhat like a Doctor WhoDalek –Star Wars R2D2 crossover. These 300-pound, five feet tall structures made an appearance at the 5th November event Rise of the Robots. The K5 can run for 24 hours on a single charge and only takes 15-20 minutes to recharge. They are also selfsufficient, with the ability to navigate themselves back to the charging station when they are running low on power. Mobile devices are already making use of AI in order to remove the task of typing what you want to know into your phone, through voices such as Apple’s SIRI, Microsoft’s Cortina and the OK Google function. Simply by talking to a Smartphone, we can find the answer to what we want, when we want. The EmoSpark is one device that takes AI to a new level. It measures an individual’s unique behaviour and responses to stimuli in depth and in a diverse set of environments; what’s more is that it can measure the emotional responses of multiple people simultaneously. Introduced this year, the EmoSpark is clearly paving the way for Artificial Intelligence of the future.

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What toys will you be buying for your children for christmas this year? we take a closer look at lego’s successful expansion into China and what this means for the world’s largest toy maker Writer Emily Jarvis SOURCE: EDB.gov.sg

Used by permission,® 2014 The LEGO Group

Creating the future of play in Asia: lego

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hich company is one of the world’s largest tyre makers (300 million a year) and has a 2014 blockbuster movie grossing more than US$400 million? that’s right, lego. in 2012, Asia was forecast to surpass North america and become the largest market for traditional toys and games, with a predicted 28% share of global value sales. with lego overtaking Hasbro as the world’s number one toymaker in 2013, the company posted first-half revenue of $1.84 billion for the year. the contributors to this level of success were said to be the successful launch of Lego Legends of Chima(TM) and the continued strong performance from classic lines such as lego city and lego Friends. Fuelled by the success of the lego movie released on Valentine’s Day 2014, global Lego sales were up 15 percent in the first half of the year, which CfO John Goodwin says exceeded company expectations: “the lego movie celebrated the creative potential

in us all, which is also the foundation of any Lego product we develop. Every Lego set must offer a versatile play experience that fosters creative building, and this is what we continually strive to deliver to children all over the world.” The company said earlier this year that it will continue to outperform the competition in the toys market, however this would not come without challenge as Chief Executive Jørgen Vig Knudstorp signalled in an interview with the Wall Street Journal: “The traditional toy market will remain quite challenging. when the company is getting bigger and the market isn’t growing, it’s a pure mathematical consequence that growth rates will have to reach a more suitable level.” faced with this prospect of an oversaturated market in the west, Lego have recently turned their attention to the east, trying to replicate their success in asian countries. the group has invested $489 million in new capacity and added more than 1,300 employees in a range of disciplines.

the need to broaden the company’s focus. “the product is universally applicable,” he says. the next decade could bring 600 million chinese into lego’s target group for its products. in 2013, its China sales grew more than 50%, albeit from a small base in the country. “it is moving from an opportunity to a reality,” says Vig knudstorp. lego is “very much focused around the wealthiest countries in the world,” but “we see a huge opportunity, given that Moreover, they have opened new the product is applicable, to bring lego factories in lower-cost countries, even further out in the world over the expanding their white-collar staff in the next 20 years,” he adds. uk, us, shanghai and singapore. “the challenge for the company is Vig knudstorp is turning attention to adjust its culture, organisation and to new markets where Lego is largely marketing tactics to be able to succeed unknown. in 2013, he visited Chinese in these emerging markets and to feel families in Jinan, where the urbanisation as much at home in china as in the us or german markets,” Vig knudstorp that has boosted that city’s population to six million will continue, underscoring states. asia represents only a slither of Lego’s overall revenue, but CfO John Goodwin said that China “has got to a size now where if it doesn’t have a good year, it will impact our global results.” the region is so important that in April 2014, Lego started construction on a factory in Jiaxing, China, which will supply all of Asia with Lego products by 2016. The family-owned company has factories all around the world, including the Czech Republic, Denmark, Mexico and Hungary, with new facilities planned in China. Goodwin said that to meet Lego’s goal of making its asian business comparable in size to its us and Joergen Vig Knudstorp, Chief Executive, Lego Europe operations, the company

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needs to continue to expand its presence. “we started in 2013, but we’ll continue in 2014 and beyond, taking on more and more employees, building our capabilities there.”

Booming Business in China

Lego estimates that the world’s children spend five billion hours a year playing with their favourite toys. and business is clearly booming in asia for the Danish toymaker famous for its colourful plastic bricks and yellow figurines. “we are seeing an amazing demand for our product in china, even though brand awareness is

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low,” says Marko ilincic, Senior VP and head of asia at the lego Group. He attributes Lego’s success to quality and fun, and the added element of learning through play that resonates with Chinese consumers. China isn’t Lego’s only growth story in Asia. Japan is the second-largest toy market in the world, Korea is a mature market for Lego where it focuses on managing the brand, while Hong Kong and Singapore are high-growth markets. unlike many other products, lego’s concept for toys is as applicable in asia as in africa or america. so it sees no need for

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localisation. Growth into China has been a result of previous success at lego’s regional hub in singapore, which opened in 2013. “Singapore was chosen because we want to make sure we can attract regional talent,” says ilincic. “singapore has a talented local workforce, complemented with international people.” Yet, just a decade ago, it might have seemed that Lego would be shutting down in Asia rather than growing. What’s not so well known about the company is how it faced tremendous losses in the early 2000s and then completed a massive turnaround.

“Used by permission,® 2014 The LEGO Group”

tide. According to Jorgen Bager, senior Director of Distribution for Asia, Plougmann’s first action was cost-cutting and layoffs. “The thinking was we had to push the organisation hard enough, and if they couldn’t do it we’d hire new ones,” Bager says. At the same time, Plougmann maintained high targets for volume growth. But the company kept missing its targets and became asset-heavy, which worsened the crisis, according to Bager: “Banks started to question whether we could continue.”

The Turnaround

Eager to get started on their LEGO creations, two girls at a Build the Change event in Jiaxing are carefully picking out which LEGO bricks to include in their ‘Future City of Jiaxing’

From Rise to Fall

The story began in 1932 when Lego, which combines the Danish words for “play” (leg) and “well” (godt), was founded in Denmark by Ole Kirk Christiansen. Starting with wooden toys, it expanded into plastic bricks in the 1940s. Lego grew quickly from the 1970s through the mid-1990s as it focused on expansion and globalisation. However, over investment in theme parks, video games, movies and too many brick varieties took their toll and led to faltering growth. in 1998, the company brought in coo Poul Plougmann to turn the

But in 2004, Lego brought in current CEO Jørgen Vig Knudstorp, who reduced the asset base, sold off a majority interest in LEGOLAND theme parks and reduced the varieties of bricks. He refocused Lego on its core products and customers and the company made a positive shift. Looking back, ilincic says two steps were especially important: “The first was that we refocused our business back to our core. we moved into too many different business areas as we stretched the brand into new categories that we were not experts in. lego is brilliant in creating fun toys for children. we lost sight of that.” Second, he says, “we focused on what the consumer really appreciated and wanted”. According to Bager, an important part of the turnaround was Lego’s vision and mission. “our vision is to invent the future of play and our mission is to inspire and develop the business of tomorrow. Kids playing with Lego develop their brains and their skills, which makes them future contributors to society.”

Embracing Digitalisation

today, lego is the largest toy brand before Mattel and Hasbro, in terms of sales in the first half of 2014, and

the fastest-growing toy company in the world. And the company plans to continue thriving, even in the face of headwinds such as the proliferation of gaming consoles and mobile apps, as well as the trend of children playing with toys for fewer years and less time. while it might seem that electronic toys could take over, ilincic says hands-on, minds-on play still has a strong appeal. Parents are concerned about the degree to which technology is taking over their children’s lives, in asia and other markets, so there is a desire for healthy fun and creative play. Lego is also experimenting with digital play to complement physical play. Next year, the company plans to launch a major new product and, along with producing bricks, will enable children to interact in a 360-degree experience that includes a TV show, a video game and online games. another upcoming launch for Lego is their new Star Wars movie and associated mini-figures, and ilincic believes working closely with Disney will give Lego a huge opportunity to reach a broad range of asian consumers. Even though the focus for next year may seem to be on digital experiences, it’s still the plastic bricks and hands-on play that are likely to matter most to the children and adults alike.

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Asia Outlook takes a closer look at Thailandâ&#x20AC;&#x2122;s business and investment potential Writer Emily Jarvis SOURCE: Thailand Board of Investment North America

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hailand is an international business hub for multinationals in search of a well-developed infrastructure, pro-investment policies, a highly skilled workforce and strong export industries at the centre of Asia. Ranked as the 11th best destination for foreign direct investment in the world and in the top 20 countries for “Ease of Doing

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Business” by the World Bank, it’s no surprise that bilateral trade between the United States and Thailand rose nearly 13% in 2011. In fact, U.S. investment in the ASEAN region comes in at $157 billion and almost dwarfs US investment in China at $60 billion. Investing in Thailand gives companies a powerful export base with an abundance of developed industries and supply chains, and

also offers direct access to Thailand’s ripe domestic market of over 67 million consumers with increasing purchasing power parity. With an impressive average growth rate of 8-10% over the past decade, Thailand provides investors with access to comparable emerging markets in the Asian region that amount to almost 4 billion consumers, offering unlimited business potential in the coming years.

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World Class Infrastructure

Thailand’s infrastructure is well connected both domestically and internationally through an extensive transportation network that links it to countries in the surrounding Asian region and beyond. Shipping out of Thailand’s six deep sea ports and two international river ports gives companies multiple channels for exports. thailand’s largest port, laem chabang, has seven container terminals with TEU 10.8 million capacity. The country’s massive automotive industry benefits from three auto yards with the capacity to handle more than 2.9 million vehicles per year. thailand’s domestic state-of-the art transport infrastructure has drastically reduced transit times between Bangkok and the country’s more than 60 industrial estates, zones and parks. More than 40,000 miles of highway and 2,700 miles of rail within the country expand connections into surrounding regions. seven international airports also allow for a quick flight to Asia’s major business hubs. Recognising the importance of their infrastructure assets, the Thai government has committed over $70 billion to infrastructure updates for its main transportation channels.

gateway to Asia

in business, location matters, and Thailand is the ideal gateway to Asia with preferential market entry into china, india and members of the association of southeast asian Nations (ASEAN). With control of the only land route in asia to malaysia and singapore and 6 deep sea ports, the country offers easy access to Asia’s almost 4 billion consumers with the fastest spending power growth in the world. as the second largest member of ASEAN, companies in Thailand are also part of the intra-ASEAN trade network worth more than $1 trillion a year. investors can leverage thailand’s position within the ASEAN free Trade Area (AfTA) and enjoy low customs duties ranging from 0% to 5% to export products to a region that is home to more than 580 million people. Locating in Thailand offers investors enhanced opportunities in numerous industries such as automotive, machinery, electrical and electronics, agro-industry, biotechnology, renewable energy and high valueadded services for the asian markets.

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Competitive Workforce thailand not only boasts relatively low labour costs, ranging from $6.75 – 9.75 per day for minimum wage, but also has an exceptionally well-educated workforce. Each year, 61 public and private universities graduate more than 18,000 engineering graduates and approximately 87,000 general science and technology students. And with literacy rates at an uncommonly high rate of 96%, investors can be certain that employees in Thailand will be some of the most educated in asia. The Thai government is aware of the need to support the continued development of the technological capabilities of its workforce and established a Human Resources Development Plan, which is designed to ensure an abundant supply of qualified personnel for high-tech jobs in all of thailand’s core industries. More specifically, the Thai Government Science and Technology scholarship Programme is designed to generate a critical mass of scientists and academics in 6 major fields - biotechnology, material science, computer science, nanotechnology, basic science, and technology management - to supply to universities, research institutes, and government agencies with world-class talent.

E D U C aT I O N thAIlAnd

is home to over 37,000 educational institutions and 20 million students and outpaces asian neighbours such as india and indonesia in the number of universities. Educational institutions prioritise teaching many curriculum subjects in full or partial English. An emphasis on laboratory work and target to produce 50% technology and science majors, means an educated workforce.

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thailand’s ever changing and expanding economy emerges onto the modern global front, the southeast asian country’s century old charms remain the same: natural beauty and friendly people. Between white sandy clear-water beaches, lush forest-topped mountains and vibrant cities, it’s no wonder that working and living in Thailand exemplifies a professional paradise. in fact, HSBC’s Expat Explorer Survey marks Thailand as the top destination in the world for expats – outpacing other popular locations such as Switzerland and Hong Kong. Leave it to of the “land of smiles” to provide warm hospitality, while the low cost of living and affordable accommodations provide a peace of mind. With the city of Bangkok closer to the heart of Asia than most other asian cities, thailand is positioned to become an international business hub in the coming decades. the country has one of the fastest growing economies on the map, world-scale production capacities, infrastructure with developed supporting sectors and attractive tax and duty incentive packages that significantly defray operating costs that expedite your return on investment.

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Aerospa ce I ndustry A t the heart of Asia, Thailand is a full-service aerospace hub and major player in the region’s multi-billion dollar aircraft maintenance and manufacturing industries. With the Asia-Pacific region expected to be the largest air travel market in the world within the next decade, Thailand is positioned to become a crucial player in the Asian aviation industry. Bangkok’s airport is 15th busiest in the world, and is one of seven international airports in the country. The Boeing Company forecasts a market for the AsiaPacific region of about 8,960 new airplanes for the 2009 to 2028 period, worth $1,130 billion. US companies like GE, Chromalloy and Triumph have already made significant investments in Thailand to take advantage of the country’s ancillary electronics and automotive industries that also provide developed and available suppliers for cost-effective and efficient production.

M a chinery & M eta lwor k ing T h ai l a n d ’ s

rapidly expanding aerospace, automotive, electronics and food processing industries have significantly increased manufacturing production in the country over the past decade, making Thailand an attractive destination for machinery and metalworking companies and suppliers. In the last eight years, the industry’s 400,000 workers have produced exports in the machinery and metalworking sector that have grown over 90% and are valued at $8 billion. In Asia alone, exports have increased over 200% in the last ten years, solidifying Thailand’s status as a regional export hub. Such immense growth has provided an ample base for suppliers to make use of the country’s established infrastructure and look forward to the increase in favourable trade opportunities with the signing of the ASEAN Free Trade Agreement (AFTA), which will include the developing nations of Vietnam, Malaysia and Indonesia, whose demand for machinery imports is progressively increasing. International firms like Caterpillar and Canadoil have made recent hundred million dollar investments in anticipation of the region’s future growth.

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companies and their suppliers have looked to Thailand for decades as a hub for the Asian markets. With the largest vehicle assembling capacity in Southeast Asia and over 1,800 suppliers, Thailand’s long history in the auto industry has created a well-developed infrastructure and knowledgeable workforce that attracts the world’s leading companies like Toyota, BMW, Honda, Mercedes-Benz, GM and Ford. As the world’s largest producer of one tonne pickup trucks, and only second to Detroit in truck manufacturing, Thailand is one of the top 10 largest automotive exporters in the world and ships to over 130 countries. On average, auto companies invest over $1 billion each year in order to produce around 1.6 million vehicles annually. The Thai government provides a range of incentives for investors, including corporate income tax holidays of between 5 and 7 years.

E lectric a l & E lectronics T h ai l a n d

provides one of the largest assembly bases in Southeast Asia, as the world leader in Hard Disk Drive (HDD) production and a leading manufacturer in the integrated circuits and semiconductors industries. Thailand produces more than 40 percent of the world’s HDD’s, contributing to the overall electronic industry’s $47 billion in annual exports. The country has successfully developed world-scale production capacities within a dynamic and concentrated cluster that continues to attract top electronics companies including Sony, Samsung, Electrolux, Honeywell and more. Thailand’s strong supporting industries for electrical appliances compressors, motors, plastic and metal parts provides companies with a well-developed supply chain to produce and export electronics efficiently.

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Life S ciences T h ai l a n d â&#x20AC;&#x2122; s biodiversity, R&D programs, highly trained technicians and strict intellectual property laws give the country a comparative advantage in the marketplace for investment from medical and biotechnology firms looking to reach a rapidly expanding Asian market for healthcare products. Leading multinationals like 3M, Bausch & Lomb, Cardinal Health, GE Medical Systems and Johnson & Johnson, have chosen Thailand as the centre of their Southeast Asian operations for its highly educated workforce and developed infrastructure for high volumes of imports and exports. With a drug and medical market that has grown to over $1 billion, and a medical tourism industry with nearly 2 million foreign patients each year, Thailand also offers a range of domestic opportunities for healthcare companies. Over 1,400 hospitals and 265 medical device manufactures have established a flourishing market for more than 1,400 medical device importers. More than 165 biotechnology firms, including Novartis, Purac, Betagro, Maine Biotechnology and East West Seed, take advantage of Thailandâ&#x20AC;&#x2122;s position as a world leader in agriculture and a top five food exporter. They also reap the benefits of world-class facilities like the 80 acre Thailand Science Park, located only 12 miles outside of bustling Bangkok, which employs 1,600 full-time researchers and technicians in laboratories, incubator units, pilot plants and greenhouses.

E nergy W i t h energy consumption expanding 6.2 percent for the past 25 years, and one of the fastest growing economies in the world, Thailand is setting ambitious energy goals and guidelines that will ensure an impressive growth path for the future. The country is one of the 10 largest petrochemical sites in the world, and has a growing pipeline distribution system used by companies like Dow Chemical and Exxon Mobil. Ranked 9th in the world for ease of utility set up, companies looking to invest in Thailand can depend on a grid with reliable access to power. Always looking forward, the Thai government recently instated the ambitious plan to increase the share of energy from renewable sources to 20 percent by 2022. This policy will create 40,000 new jobs within the renewable energy industry and capitalise on the countryâ&#x20AC;&#x2122;s established strengths in industries such as wind turbine production.

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Medic a l Industry T h ai l a n D

is well positioned to be the medical hub of Asia. The country offers state-of-the-art facilities and technologies, internationally certified medical services, excellent medical expertise, highly qualified medical professionals, and a wide range of high-standard hospitals. Thailand also has a significant number of internationally accredited medical facilities. Thailand is the world’s largest medical tourism market, with the number of international patients continuing to rise. In 2012, Thailand welcomed more than 2.5 million international patients, a 14% increase from 2011. According to Thailand’s Ministry of Public Health and the Kasikorn Research Centre, Thailand’s 2012 revenue from medical tourism was between US$ 4.0 billion and US$4.7 billion, up from US$3.2 billion in 2011. Thailand also attracts thousands of international patients with its traditional and alternative medicines. Alternative medicine uses herbal medicines, biofeedback, and acupuncture in lieu of drugs. A broad range of practices are used including homeopathy, naturopathy, chiropractic, and acupuncture. The Thailand Minist ry of Public Health has formally supported the sector in an effort to promote Thai traditional and alternative medicines in hospitals nationwide. The initiatives that Thailand has undertaken to strengthen its position as the medical hub of Asia have created opportunities for continued growth in related fields, including the medical services, medical devices, and pharmaceutical sectors. As a result, the country has become an excellent location for investment.

Food P rocessing T h ai l a n d ’ s agricultural roots and natural resources have made the country one of the world’s largest food exporters, with annual exports exceeding $30 billion in 2012. The industry’s year-over-year growth rate of 12 percent will allow Thailand’s exporter’s to expand their reach from primarily western countries to emerging high-potential markets such as ASEAN, China, India, Russia and Africa. Often referred to as the “Kitchen of the World,” Thailand is a global leader in rice, processed chicken, seafood and fresh fruit production, and its agricultural and food processing industries employ 870,000 workers at over 10,000 companies, including Unilever, Cargill, Coca-Cola and Dole. Food producers in Thailand source some 80 percent of raw materials locally and benefit from supporting industries, such as food processing and packaging equipment. The Thai government also emphasises the importance of research and technology that is driving today’s investment in international food markets. Companies have access to high-tech R&D centres like the Thailand Food Export Centre that leverage the industry’s established investment flows and knowledge for future developments. Always at the forefront of the industry, Thailand was the first country to use cutting-edge technology from IBM to adopt the EPCIS standard for food traceability that ensures safe food transfer across borders.

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Managing Director Bernard Koh says that Wilson Taylor will continue to develop and acquire new technologies in order to better serve its worldwide customer base Writer Emily Jarvis Project Manager Arron Rampling

ormed in 1997, Wilson Taylor Asia Pacific Pte Ltd (WTAP) is a leading cathodic protection company based in Singapore, covering all aspects of corrosion control, cathodic protection systems and engineering services, as well as a supplier of corrosion protection services relating to coatings, pipeline integrity and reinforced concrete structures. WTAP Group has subsidiary companies based in Hong Kong known as Wilson Taylor Far East Limited (WTFE) and a representative office in Jakarta. Boasting both a management and engineering team with many years of experience in cathodic protection, WTAP operates an ISO 9001:2008 certified foundry in Singapore and additional sites located in Johor, Malaysia, in Qingdao, and near Shanghai in China. These facilities are conveniently located near to the shipyards in order to produce sacrificial anodes for the marine, industrial and offshore markets.

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The regions covered by the Wilson Taylor Group include China, India, Indonesia, Hong Kong, Japan, Korea, Malaysia, Philippines, Singapore, Thailand, Taiwan and Vietnam and stocks of sacrificial anodes are carried at a number of the above locations. In addition to sacrificial anodes, the company also sells and services impressed current cathodic protection and anti-fouling systems which are offered throughout the region. “Our industrial cathodic protection covers engineering design consultancy, feasibility studies, comprehensive site surveys, specification and drawing services, turnkey design, supply, supervision, installation and commissioning, training of customer’s personnel and materials supply,” explains Bernard Koh, Managing Director of WTAP.

Quality Systems & Customer Satisfaction For the marine sector, the Group work with associates in many parts of the world in recognition that ship owners, shipbuilders and ship repairers are all situated in different global locations. This unique network covers the supply of anodes from strategically placed foundries in Greece, Middle East, USA and China, and all accredited with ISO 9001:2000/8 quality systems. “We pride ourselves in providing our customers with customer satisfaction and total solutions and most importantly, a brand name that represents quality and reliability in our products and services,” states Koh. After coming through some tough times in 2013, WTAP have set their sights on increasing revenue by 50% by the end of the 2014 financial year. “We have been able to bounce back and we are on track to grow our business to over $23 million in 2014. This year has seen us change strategy and refocus the Wilson Taylor brand to achieve great things, doing what we

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Central Products

rotecting Your World With the right solutions for your marine works, you can rest assured your marine facilities will operate safely and productively into the next generation. Central Products has a long history and commitment in Asia. In the 1980’s, SPLASHpro was introduced at Nisshin Steel, in Chiba, Japan. Following on from this humble beginning, SPLASHpro quickly spread through Asia and in the 1990’s, a manufacturing setup in China was created to accommodate the growing demand for corrosion protection solutions throughout the Asia Pacific Rim. We have achieved over three decades of growing partnerships and cooperative alliances to the marine, port and harbour construction and maintenance industries. We offer corrosion control solutions for ALL vulnerable port areas, including: • Jetty pilings & wharf structures • Delivery piping, hangers, conduits, valves, and flanges • Bracing, beams, and infrastructure above and below deck • Production equipment and Conveyoring • On-board needs of marine vessels • Off-shore platforms, beacons, and wind generators Central Products can also provide installation and site supervision to clients wanting an “all-in” approach to their projects. Start “Protecting Your World” today and realise proven results tomorrow. Ask us for a site assessment and solutions report. Central Products - Asia Regional Service Tel/Fax +852-301-84988

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LET US PROTECT YOUR WORLD FOR THE NEXT GENERATION!

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know best,” Koh highlights. Part of this calculated strategy is to increase the number of direct staff from the current number, 55, to 65 going into 2015.

Opportunities Abound

in 2014, WTAP continue to reach out to new customers not only in Singapore’s offshore sector, but in all its countries of operation. “we continue to look out for customers that we can work together that not only look at price but also quality and the timely delivery of our projects.” with a leading product range consisting of aluminium and zinc anodes made on site coupled with the usage of third party products, wtaP’s exemplary design and installation service always has the customer in mind. “We work closely with clients in gathering an understanding of their exact requirements and design. By

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optimising their systems, we look after the client’s budget by balancing cost with their requirements. further, we provide extended warranty for our products and services at an agreed cost,” cites koh. it was only recently that WTAP commenced its malaysia operations via a brand new foundry, which the company share a 70--30 percent ownership with a local company. Other major projects include fabrications for the US Navy, Zhen Hua and many more internationally-recognised developments. “in Hong Kong, our subsidiary there provides us with a variety of opportunities in marine, equipment and industrial opportunities in the country. We see Hong Kong as a gateway to the whole of china as if offers us a strategic location and advantage in the market.”

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Comprehensive Training

Training and associated policies in health and safety are a key part of any engineering business and something which WTAP take seriously. “Our staff are trained in first aid and work safety procedures at both the shipyards and factories. Our company has attained BIZSAFE level 4 for workplace safety and health. We hold monthly meetings to discuss potential issues in order to reduce the possibility of issues,” Koh says. Staff at WTAP are fully equipped in all industry technologies and practices, including education in Auto-CAD, NACE and project management skills. “Indeed, and we also offer opportunities for progression into management or leader positions in specific areas of expertise,” he continues.

Offering a Competitive Price

WTAP faces heavy competition in the region. With customers expecting quality products and services that remain at competitive prices, the company have to match these customer needs to stay at the top of their game. “Major ship yards and engineering fabricators – such as Keppel Corporation and Sembawang shipyard – are very much actively involved in the fabrication of oil rigs

and FPSOs. And these big players have high expectations which we are able to deliver on,” says Koh. Accompanying this is a comprehensive three year plan for company growth, including the continued growth into the marine, marine equipment, industrial and offshore sectors in focussed regions such as China, Vietnam, Myanmar, Brunei and other key areas. “Moreover, we plan to make further inroads into China over the course of the next three years,” he adds. “With our mix of local and international suppliers we can offer the best cost, supply chain and quality management to all our customers, both national and international. We will continue to drive towards a seamless supply chain with minimal lead time, keeping as little stock as possible and operating a just-in-time mindset.” Furthermore, Wilson Taylor are always open to working with partners in order to increase its value chain, thereby increasing customer satisfaction and faith in the already strong brand name in the Asia Pacific marketplace and beyond. “We are open to collaborations with new suppliers, distributors and partners in order to leverage on our mutual competencies and better serve our customers,” concludes Koh.

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â&#x20AC;&#x153;Progress gress never stands still.

gates has enjoyed an international business presence spanning over 100 years and today, remains the leading manufacturer of fluid engineering components Writer Emily Jarvis Project Manager Arron Rampling

ates corporation is a global, diversified industrial company that provides precision products, services, and systems for power transmission and fluid transfer applications that power progress and foster long-term customer and employee relationships. gates advances the science of motion performance in ways that reduce total cost of ownership with an almost endless range of industrial and automotive solutions. as a result of an exemplary compliance to HSE (Health, Safety and Environment) policies, the company is a trusted partner in major end markets including: energy/ exploration/extraction, automotive, infrastructure, agriculture, process and speciality and transportation.

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And neither do we

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S E R v I C E S

The Science of Motion performance

gates hoses enable the movement of a wide range of fluids - from crude oil to chemicals to the finest wines. Gates belt systems transfer power to a wide variety of industrial equipment, from rock crushers to cement mixers and air conditioners to alternators. gates hydraulic systems transmit power to all types of machines, from mining and construction equipment to agricultural equipment used to harvest and process the crops needed to feed the world. in short, if it moves you, there’s a good chance gates has a part in it.

global Footprint

gates corporation sells products directly through a network of 150,000 valued partners worldwide. The company has enjoyed an international business presence for over 100 years and today is supported by over 14,000 employees, across 106 locations in 30 countries and regions in such diverse locations as North and South America, Europe, Middle East, and Africa, the entire Asia Pacific region, and india. The Gates Corporation World Headquarters is located in Denver, colorado, employing more than 500 dedicated professionals.

SARA SAE

ARA SAE InCREASIng BRAnD vISIBILITy

sara sae manufactures a diverse range of oilfield equipment at various manufacturing locations in Dehradun, india and Houston, USA.

Comprehensive History Over 100 years ago, when Charles C. gates bought the colorado tire and Leather Company in 1911, little did he know his small shop in Denver would evolve into a leading rubber products company. the gates Rubber company, as it was called, grew into one of the world’s largest manufacturers of industrial and automotive belts, hoses, and related products. in 1917, John gates, charles’ brother, invented the rubber and fabric V-belt and made history. the belt’s success propelled Gates to become the world’s largest manufacturer of V-belts, a title it still holds today.

The 36 year old company is iSO – 9001 certified and has a wide product range including BOP Accumulator Units, Choke Manifolds, Hydraulic Tongs and Power Units, Hammer Unions, Swivel Joints, Cementing and Circulating Hoses, Pup Joints, Ring Joint Gasket, flanges, Spools, Adapter and Studded Blocks. All of which carry the relevant APi Licenses.

Sara Sae has a Houston based fully owned distribution subsidiary with stocking location in Houston, Singapore and Dubai. Sara Sae also owns another US based BOP Accumulator Unit manufacturing company called cPc.

Sara has been supplying Hammer unions and Flanges to gates locations in Singapore, Australia, UAE and USA. sara thanks for the support it gets from Gates and look forward to further strengthen this relationship.

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G a T E S

E N G I N E E R I N G

S E R v I C E S

Fluid Engineering

in 2003, the gates Rubber company became gates corporation to reflect its expanding range of industrial brands, product lines, and customers. Now into the next 100 years of its history, gates is focused on its enduring tradition of powering progress through engineering excellence. This year, Gates Singapore went through a major renovation, which completed in March 2014. This enabled the company’s facilities to handle more comprehensive engineering works and in turn, closely focus on the associated health, safety and environment practices. “with the relevant quality management systems and accreditations in place, customers can be confident when working with Gates. Our compliance to HSE regulations in the industries of oil & gas, heavy marine and shipyard maintenance is what makes us stand out from the competition,” comments the company.

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As an engineering leader with a strong foundation in research and development, Gates is committed to advancing the science of motion performance by developing safe, forward-thinking products, services, systems, and solutions, as well as fostering long-term customer and employee relationships

As the market leading fluid engineering company, gates provide a large range of drive and control solutions to the oil, gas and marine markets including design engineering, product supply and after sales service. “We offer hydraulics, filtration and pumps expertise to the marine, offshore, oil & gas and industrial sectors,” says the company. with offices in 16 countries, Gates Engineering & Services are strategically located to meet market demands for high quality products and services.

Leading Manufacturer

for many years, Gates ES (Engineering & Services) have been a leading manufacturer and have partnered with the world’s leading manufacturers of fluid engineering components and created value addition through design engineering to create end user drive and control solutions. with a full range of hydraulic hose and couplings covering all main industry standards - including SAE and DiN – at its disposal, Gates products meet the needs of even the most aggressive industrial applications. Designed to meet current and future customer

requirements, all products are manufactured to global designs developed in the USA and Europe. they must all meet stringent quality and performance standards before carrying the gates name. As a Gates Certified Roughneck Programme distributor, Gates E&S is equipped to meet specific oil field customer needs with a full line of products that are designed, manufactured and tested to maximise uptime and keep rigs drilling faster, longer and safer and most importantly - without fail.

powering progress

The Gates Engineering & Services quality philosophy creates the foundation on which the highest level customer care is built. where drive and control solutions are required, Gates E&S are the first choice solutions partner. company capabilities extend to: tubing,

Gates currently hold the following accreditations: ISO 9001 OHSaS 18001 Bizsafe Star Working towards ISO 14001 in Environmental Management

filtration, flushing, contamination monitoring, chemical pickling, hydroblasting and district cooling. “When fluid engineering solutions are required, we have the answers. a large team of design engineers are on hand to work with customers and deliver results.” As the markets where Gates Engineering & Services operate are tough and time sensitive, in such circumstances it is evident that customers need reliable solution partners; people who are conscious of deadlines, innovative in design and always willing to seek the best solution for the customers’ needs. “we are able to deliver on all these counts,” comments the company. As Gates E&S look to the new year, the company will be diversifying its current product and service offering to include downstream solutions, which will further enhance growth and prosperity.

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Chip Eng Seng has expanded its range of services and operational markets from the private sector to public housing, becoming one of singapore’s leading construction companies in the process Writer Matthew Staff Project Manager Ben Wigger

hip Eng Seng believes that each small step helps build the foundation for a stronger tomorrow, following Confucius’ principle of “the man who moves a mountain begins by carrying away small stones”, and has stood by that belief over the past 50 years. founded by Executive Chairman, Mr Lim tiam seng, the group started as a humble subcontractor in the 1960s before evolving into the leading property and construction group it is today, with core businesses in areas of property developments, property investments,

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C hip

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BRC Asia Limited

ncorporated in 1938, BRC Asia Limited is a pioneer in the use of prefabricated steel reinforcement in Singapore.

BRC offers a full range for reinforcing products – reinforcement bars, cut and bend services, welded wire mesh and prefabricated reinforcement. BRC endeavours to help customers build faster and cheaper and has developed a complete suite of prefabricated solutions for columns, walls, beams and slabs. These solutions help to compress construction cycle time, reduce manpower and increase worksite productivity so that customers can build more with less to achieve a “Better, Faster, Cheaper” outcome. T 6265 2333 E sales@brc.com.sg

www.brc.com.sg

construction and hospitality across Singapore, Australia and Malaysia. Through competitive pricing and delivery of superior work quality, Chip Eng Seng scales new heights year-on-year, making its mark in the public housing market following its appointment as the main contractor for its first Housing and Development Board (“HDB”) project in 1982. With the expertise and ability to comply with the HDB’s stringent requirements, Chip Eng Seng has since completed many projects, including the award-winning iconic Pinnacle@ Duxton, and can be regarded as one of the leading public housing contractors in Singapore. In 1999, the Group reached yet another milestone by undergoing a successful listing on the Mainboard of the Singapore Exchange Securities Trading Limited (“SGX-ST”). Today, the Group has a market capitalisation in excess of $500 million, compared to $88 million as of listing date.

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Post-listing, the Group made its first foray into the private residential scene by developing landed homes as well as condominiums in Singapore. Subsequently, it joined forces with NTUC Choice Homes, Keppel Land and a few reputable international funds to venture into developing residential projects comprising a mix of private condominiums, executive condominiums and HDB DBSS flats. Leveraging on the successful launches of these projects, the Group since expanded its development portfolio to include industrial and mixed developments, resulting in the advent of 100 Pasir Panjang, Alexandra Central, Park Hotel Alexandra as well as Nine Residences & Junction Nine. Aside from property developments, the Group has also invested in shophouses, light industrial and office buildings in both Singapore and Australia.

As globalisation continues to gain momentum amongst Singapore companies, the Group keeps pace by expanding geographically into Australia and Malaysia.

Dynamic approach

The ability to anticipate the nation’s needs and the desire to build quality homes for our people have been the driving forces behind Chip Eng Seng’s interest in entering the property scene. “We understand that the market is a dynamic one and we have to continually adapt to keep pace with the changes in consumer tastes and preferences,” explains the Group’s Assistant General Manager, Gam Weng Low. “Notably, the widespread availability of information across internet has created home buyers who are more demanding and savvy in terms of workmanship and materials as compared to the past. “To adapt to the increasingly demanding and knowledgeable home buyers, we continue to place strong emphasis on the quality and efficiency of our construction processes. In addition, we also make efforts to stay closely engaged with our home buyers by taking their feedback seriously and acting on their demands promptly.”

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C hip

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In terms of investments, the company’s portfolio comprised three shophouses and a light industrial building prior to 2013. However, as the company’s balance sheet grew, it has expanded in Singapore as well as internationally. Low continues: “Since then, we have acquired an office building, CES Centre (previously known as San Centre) in Singapore, along with another office building in Melbourne, Australia. “Construction-wise, we have continued to stay active in bidding for public housing projects in the heartland regions as demand for HDB flats is expected to remain robust. In 2014, as a result of our active tendering for public projects, we were awarded two sizeable HDB contracts amounting to $398 million. This boosted our order book to above the half a billion dollar mark.” Chip Eng Seng has been involved in public housing as a main contractor since the 1980s, building its competencies around the offering, and possessing the necessary knowhow and skillsets to stay ahead of competition in the arena.

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Significant projects

Over the years, the Group has launched more than 6,000 dwelling units - individually and jointly with its joint venture partners - under its Property Development arm. Signature development projects include Bishan Loft, Grandeur 8, The Parc, The Suites@ Central, Grange Infinite, CityVista, Junction Nine & Nine Residences, Alexandra Central, 100 PP, Belvia, Belysa, Privé and My Manhattan. “Later this year, we expect the completion of the retail component - known as Alexandra Central of our first mixed commercial and hotel development project,” Low adds. “The hospitality component, comprising a 442-room hotel to be known as Park Hotel Alexandra, will be up and running in mid-2015. The operation of this hotel will mark the Group’s first foray into the hospitality business.” Under the Construction division, Chip Eng Seng has been awarded HDB projects worth $888 million in the past three years, as well as being the main contractor engaged by the HDB to build Singapore’s tallest public housing project in Tanjong Pagar. The 50-storey high public housing development, known as Pinnacle@ Duxton, is also currently the most iconic building in the downtown Tanjong Pagar precinct.

Close relationships

Being a main contractor for more than 30 years, the company has built a core construction team that is familiar with Singapore’s local construction methodology as well as the industry’s rules and regulations. Honed by years of experience in the industry, the team is also capable of managing various sub-contractors and suppliers on a day-to-day basis. Some of these sub-contractors and suppliers have been working with Chip Eng Seng for more than 20 years and the good rapport has enabled the business to

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manage each project’s overall execution risk well and complete the construction within the contractual period agreed with customers. Low explains: “In addition, to enhance our competitive advantages in the construction arena, we have built up civil engineering capabilities and established an in-house structural and architectural team. We have also set up a prefabrication factory in Singapore & Malaysia to supply precast components to our own and external projects.”

Health and safety

In 2014, Chip Eng Seng’s public and private construction arms, Chip Eng Seng Contractors (1988) Pte Ltd and CES Engineering & Construction Pte Ltd respectively, were named Green and Gracious Builders by the Building and Construction Authority (“BCA”), a recognition which is indicative of the company’s dedication to health and safety initiatives.

We are an established Drymix Mortar solution for the construction industry

Rendertec Marketing Pte Ltd Office: Tel No: 63634454 | Fax No: 63684454 69 Sungei Kadut Drive, #03-A, Singapore, 729568

“Aside from that, three of our projects, comprising Hougang N9C17, Bukit Batok N1C13 & N2C23 and My Manhattan, also obtained the WSH Sharp Award (Commendation Award),” Low explains. “We also garnered a Certificate of Merit in the HDB Construction Safety Award 2014 for our project, Hougang N9C12 during the year. “To top it off, our works at Bukit Batok N1C13 and Tampines N4C27 also bagged the Group Silver and Bronze awards respectively in the Safety and Work Innovation Awards 2014 organized by the Singapore Contractors Association Ltd.”

Expansion plans

The past two years have been great for Chip Eng Seng, seeing huge success in the launch of its mixed residential and commercial development known as Junction Nine & Nine Residences, seling more than 80 percent of the launched units.

In line with expansion plans, the Group also managed to increase its property portfolio following the acquisition of two new office buildings in Singapore and Melbourne. In turn, the rental income from these properties has increased recurrent income flows, providing additional income support to the Company. “With the increasingly challenging property landscape, we plan to adopt a cautious approach towards expanding our land bank in the coming year,” Low

We have built up civil engineering capabilities and established an in-house structural and architectural team

says. “Our focus for 2015 would be to obtain planning approvals for ongoing developments and work on marketing efforts for our upcoming projects.” Within Singapore, the Group plans to launch its Fernvale project, a joint venture with two other Singapore-listed companies, in mid-2015. This is a large residential development comprising approximately 1,400 dwelling units. In addition, the company also aims to re-launch freehold residential development, Fulcrum, during the year. “Overseas, we plan to launch our first suburban development project in Melbourne, Australia, known as Williamson Estate in 2015,” Low concludes. “The development will feature 105 townhouses and 72 apartments. “In terms of property investments, we plan to continue our search for commercial buildings with both attractive rental yields and redevelopment potential.”

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Sc uo n mh pa u a n n

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From Humble Beginnings to

prosperity Construction

Singapore-based construction contractor, Sunhuan has grown exponentially from an initial $4,000 investment, to become one of the industry’s leading lights Writer Chris Davies Project Manager Arron Rampling

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ounded in 1993, Sunhuan Holdings is a Singaporebased construction contractor that has completed almost 60 projects, built more than 6,000 homes and achieved a contract sum of over SGD $1 billion throughout its existence. Initially a sub-contractor, the company started off with just 15 members of staff, but today employs around 700 people. With a mission to “provide sustainable and cost-effective methods to all our projects and ensure customer satisfaction”, Sunhuan keeps the local community’s best interests at heart, but understands the importance of remaining competitive and profitable, which is backed up by its vision. “We pledge to provide quality construction services to our clients, and emerge as a reliable construction company,” notes Sunhuan.

Visionary Leadership

Sunhuan’s rise to construction prominence in Singapore would not have been possible without the visionary leadership of Sun Lai Fong. After leaving China to support his aging parents and five younger siblings, Sun soon found work at a construction company in Singapore aged 26. Earning just $13 a day or $400 a month, he gained invaluable industry experience and even attended night classes to improve his expertise.

With his newly acquired knowledge and modest savings of around $4,000, Sun decided to start his own business, as Singapore’s construction industry was booming at the time. He was well aware of the risks, but started with small-scale projects to gain a solid reputation and generate more working capital. From there, bigger projects were possible and main contracting works for the Housing Board came to fruition. Even so, Sun encountered many challenges, which included a large-

scale public residential project in Queenstown. But with a team of young staff in tow, Sun gave direction and support to complete the construction on schedule with no major issues. “We had to prove to ourselves and also our clients, that we were an upand-coming main contractor,” reveals Sun. “This achievement not only gained trust from the client, but also proved to ourselves that we can stand alongside with the rest of the reputable main contractors in this industry.”

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S unhu a n

H oldings

Milestones to Success

While Sun Lai Fong’s decision to start the business with his own personal savings is arguably the first major milestone, a monorail project in Sentosa helped Sunhuan become a recognised construction industry player. The contract was awarded in 2003 and enabled Sunhuan to be awarded an A2 registered contractor with BCA (Building & Construction Authority) accreditation. But then in July 2010, Sunhuan received A1 contractor status, which enabled the company to take on public sector projects with an unlimited contract value. In addition to generating more revenue, these bigger construction activities have increased exposure for Sunhuan and resulted in numerous high profile awards.

Productivity and Sustainability

Sunhuan believes that high levels of productivity and a commitment to sustainability give the company a distinct advantage over industry competitors. From a productivity perspective, Sunhuan “has initiated and invested in a comprehensive and proprietary Management Information System (MIS), which allows users like staff, sub-contractors and suppliers to be involved in the workflow, covering administrative, operational and supply chain issues,” notes the company.

As far as sustainability is concerned, Sunhuan continues to practice and push energy efficiency and environmentally friendly practices in all of its projects. As the company explains: “Sunhuan, throughout our existence, has demonstrated its ability to satisfy the needs and desires of our customers in the most sustainable ways possible. For instance, Sunhuan has practiced the Design & Build concept to provide flexibility and adaptability in satisfying the diverse demands of our customers.”

Determination and Perseverance

“Since the time I made up my mind to start a new business venture, I told myself that my dreams will be achievable and that I will persevere at all costs,” reveals Sun. “No matter what obstacles that may arise, I am determined to overcome them and move towards my objective.” Sunhuan’s everyday operations, ongoing ideology and current employees echo this philosophy. “The one thing that we take the most pride is the sheer determination and perseverance from the higher management right down to the workers’ level,” notes Sunhuan. By demonstrating unyielding willpower, optimism and compassion, Sunhuan believes that its workforce can meet everchanging market conditions and address the needs of all customers, both now and in the future. For this reason, Sun is quick to heap praise on the company’s personnel. “Although I have the vision for the company, it is the contributions and co-operation from all the employees in the company that materialises the growth and success of our company,” he says. “Without their perseverance, determination and teamwork, we will not be able to overcome all barriers to be what we are now. Employees are truly our greatest asset.”

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Looking Back and Forward

When looking back at its transformation from humble beginnings in 1993 to an example of present-day prosperity, Sunhuan says: “The journey was tough but full of opportunities. In the industry, we also faced threats from external factors including stiff competition throughout the years.” Regulatory challenges in Singapore, such as minimising the dependency on foreign workers, as well as a decrease in the volume of public housing projects had to be overcome. But this Awards and Recognitions: was made possible with investment in alternative Singapore Prestige Brand and innovative Award - Association of Small & solutions. Sunhuan Medium Enterprises reveals that this Singapore Quality Medallion included: “Higher Award - Trade and Industrial efficient machinery Association of Singapore and equipment, additional training to the workforce Enterprises 50 (14th position) to improve on - KPMG/Business Times productivity, provision of BEI Distinguished Award alternative - Creative Group value-engineering Green & Gracious Builder solutions to Award (Excellent) – BCA clients, and a shift towards tendering other public BizSAFE Level Star - Workplace projects such as Safety and Health Council infrastructure and civil engineering works.” Singapore 1000 company But as far as the - DP Information Group future is concerned, both Sunhuan and its inspirational leader are confident that even more success can be achieved. “We are still considered a young company, which needs more exposure to improve ourselves further in terms of productivity and sustainability,” Sunhuan reveals. “We believed we will excel further through our roots and culture deep inside of us. We see lights in the future of Sunhuan and with our dedication and commitment, we will build quality for the next generation.”

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I n t e r l I n K

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InterlIn best PrIce

managing Director Nuttanai annuntarumporn says that the market for fibre cables changes every day; and with technology around the world developing at such a rapid pace, it is imperative that interlink continue to be at the top of their game Writer Emily Jarvis Project Manager Donovan Smith

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nterlink telecom company limited is a wholly owned subsidiary of interlink communication Public company limited. since its establishment in 2007, interlink telecom has many track records on building and operating fibre optic networks, for instance, TOT, CAT, PEA and MEA as well as receiving the approval for the award of the Domestic and international Telecom Network Provider Type iii License. interlink telecom has fully committed to building a fibre optical network for both Domestic and

leased circuit services, internet Protocol transit services, mPlsbased iP-VPN Service with total quality control and management. This is achieved via advanced fibre optic technology, incorporating MPLS, SDH, DWDM services.

100% Asset Ownership

interlink telecom also provides nationwide services with 100% asset ownership as well as the operation and maintenance teams which can

By owning our own assets, we can focus on investing in skilled labour and gain more knowledge in order to improve as a network. With the right knowhow, we can consolidate these assets and work to our full potential

nKIng best serVIce

international transmission service to better serve the customers’ needs with the vision of best connectivity, best service and best price. Today, interlink Telecom owns and operates a nationwide core network and the fully fibre optical network in thailand, holding onto state-of-the-art expertise in fibre optical cables in order to deploy both armoured fibre optic cables as well as transmission and switching technology with the latest

iP network equipments. The business can be split into four component areas: cabling, sub-marine cables, fibre optic network and a fully-fledged R&D team to make both the company’s power consumption and product range better than ever before. moreover, customers are able to enjoy interlink’s leading-edge services such as redundancy, ring topology access, corporate data transmission solutions, Private

guarantee timely service delivery of international repairs to restore function and maintain customer satisfaction. “By owning our own assets, we can focus on investing in skilled labour and gain more knowledge in order to improve as a network. With the right knowhow, we can consolidate these assets and work to our full potential,” explains Nuttanai annuntarumporn, managing Director of interlink communication.

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I nterlin k

C ommunic a tion

In-house R&D

Nuttanai says that the market for fibre cables changes every day; and with technology around the world developing at such a rapid pace, it is imperative they continue to be at the top of their game. “The market currently stands at a size of five billion baht, and with the promised success of our R&D, we predict to be able to grow the business by up to 25%,” says Nuttanai.

Our research has resulted in a cable that can adapt to both outside and inside use, and a subsea cable that we can lay all at once saving time and making us more efficient

Boasting their own R&D team who apply industry best practices that marry together cross-country expertise and knowledge, Interlink adapts its methodologies to suit Thailand’s needs and enhance the business. “Our team develop a new product and work on adapting it for the Thai market. Our research has resulted in a cable that can adapt to both outside and inside use, and a subsea cable that we can lay all at once saving time and making us more efficient. We invent new ways to increase the PUE [Power Unit Efficiency] of our operations and devices,” he highlights.

Innovative Cabling

Everything that Interlink do stems from cabling. By reducing the cost of said cabling, Interlink can minimise both the cost of investment in its projects and also the cost for the end user. “In order to differentiate ourselves from any other competitor in the market, we deployed a fibre optic network along the national railway. We saw the railway as a reliable option for the network expansion, which will include reach to neighbouring countries, therefore extending our reach beyond simply Thailand.” In doing so, Interlink will create convenience for anyone travelling across the borders from Myanmar to Cambodia. What’s more is that tourists coming to Thailand value connectivity, and Nuttanai highlighted this need as an important part of today’s expectations: “When you visit another country, you expect the same level of connectivity as you would at home.

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FiberHome Technologies Group

iberHome Technologies Group is a leading product manufacturer and solution provider in the field of information technology and telecommunications. Through continuous and intensive development for over 40 years, our business scope has been extended to R&D, manufacturing, marketing & sales, engineering and service in four major industries: • Fiber-optic communications • Data networking communications • Wireless communications, • Intelligentizing applications. Furthermore FiberHome Technologies is the unique supplier globally for endto-end solutions with optoelectronic devices, optic fibre & cable, and optical communication systems.

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I N T E R L I N k

C O M M U N I C a T I O N

Therefore, it is vital that we meet the needs of those visiting thailand as well as those who reside here.” Furthermore, communication on public transport is a growing trend across the world; take the London underground in the uk for example, where Wi-fi and cloud surfing are now available publically.

Sound Advice

Nuttanai’s advice to other businesses is to find an area that sets you apart in the telecoms market and run with it: “competition in this area is huge, so you need to differentiate yourself from others by delivering your commodity at the right price. we do not just buy and sell, we provide the firmware and hardware directly. our position means that no one else can offer fibre optic on Thai trains.” By partnering with Alcatel Lucent, interlink has been able to offer a wider range of services such as voice, video and data. moreover, alcatel lucent help interlink provide more efficient low latency over a longer distance from Thailand to Hong Kong, singapore, laos and myanmar.

In the long term, Interlink have two clear goals; one is to continue to better utilise the network they have built and secondly, further expand into the new neighbouring markets Cambodia and Myanmar Flat Structure Nuttanai is working on implementing a flat organisational structure within interlink, which ensures the company attracts the right people and provides a happy and stable work environment: “Also, being a listed subsidiary company makes it easier to obtain employees with the right skill set for the jobs we have. As a result, we are able to employ our own staff rather than outsource any labour, and implement more control across each layer of our operations.” a flat structure will mean that people from the top down will be well aware of company goings on, and have the information made available to them. alongside this, interlink are also focussed on several csR projects that help young people to receive a better education. “we have a strong focus on education and received great levels of support from the thai stock exchange. the plan for this year is to double the number of csR projects from the current number [6] to 12 projects a year,” says Nuttanai. The company provide workshops and training in English language in order to make their mark locally.

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Future goals

in the long term, interlink have two clear goals; one is to continue to better utilise the network they have built and secondly, further expand into the new neighbouring markets Cambodia and Myanmar. By partnering with the local people, interlink hopes to make a wider impact in thailand and beyond. additionally, the company are investing in Hong Kong, which is known as one of the best places for technology developments, and interlink hope to expand the business and network capacity in order to cope with more users. â&#x20AC;&#x153;We are focusing on doing business, but it is about win or lose solutions, so right now, what we are proposing in the industry is to provide a win-win solution. By partnering together, we can get the best network equipment in town and the best reliability. We do not want to do it alone, we want to grow and grow together,â&#x20AC;? Nuttanai concludes.

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A P Im CO pa Hi tne y c hn cA o

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E m p h a s i s

AAPICO Hitech has a strong vantage point from the top of Thailandâ&#x20AC;&#x2122;s manufacturing tree, and is subsequently preparing for the latest stage of its development through a commitment to lean and sustainable operations Writer Matthew Staff Project Manager Tom Cullum

APICO Hitech is maintaining an aggressive expansion strategy which has served it well over the past two decades, to ensure the companyâ&#x20AC;&#x2122;s ongoing development amid a more competitive global market. Founded in 1996 and listed on the Thai Stock Exchange in 2002, the manufacturing organisation has grown consistently over the years as a result of acquisitions and organic growth in lucrative industries, resulting in a Group which currently consists of 34 subsidiary and associate companies; 25 of which remain in the businessâ&#x20AC;&#x2122;s native Thailand. Now, with its international influence and its principles engrained, AAPICO Hitech is keen to capitalise further on the globally significant partnerships in place in the automotive sector and the sustainable initiatives that President and CEO, Yeap Swee Chuan, prides the company on.

Surviving in a Competitive World

uring

The Malaysian-born businessman has overseen the entire rise of the conglomerate since the embryonic venture, Able Autopart Industries Co. Ltd. (AAPICO) made its mark in the late 1980s as a Ford Assembler and Distributor in Thailand. Since then, the company has diversified and expanded to become one of the most renowned players in the automotive industry, attaining contracts for names every bit as synonymous with automotive prominence as Ford. Joint ventures with the likes of Continental and Sumino for elite customers including GM, Honda, Mazda, Mitsubishi, Toyota, BMW, Land Rover, Nissan, Yamaha, Suzuki and Volvo, to name but a few, have enabled the business to grow to its current, all-encompassing position.

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a a P I C O

H I T E C H

Throughout the 34-strong portfolio of subsidiaries, aaPico places strong emphasis on reaching its goal of achieving ‘WCM’ (World Class Manufacturing). Comprising cutting edge technologies in its factories as well as best practice engineering procedures and state-of-the-art technologies, the business aims to mould these processes together with its TPM (Total Productive Maintenance) procedures and its ongoing work in optimising lean initiatives. gaining a plethora of accreditations and awards on its route towards WCM, aaPico has earmarked a further 10 years of continuous improvement to reach its desired levels, to ensure the company continues to “survive in a competitive world”.

kOMATSu

omatsu Industries (Thailand) Co., Ltd. supports our customers with high-end technology with our press and fabricating machines which can provide higher productivity and flexibility for our customer’s businesses. after-sales service is paramount at komatsu and many customers in thailand receive satisfactory support and service from komatsu industries (Thailand) Co., Ltd. such as delivery service on time, repair and preventive maintenance with great efficiency. Komatsu industries (Thailand) Co., Ltd. 28/9 Moo 3 Bangna-Trad Road Km.23, T.Bangsaothong, Bangsaothong Samutprakarn 10540 Thailand Tel: (+66) 02-663-2727 Fax: (+66) 02-663-2728 E-mail: shigehiko_takemura@komatsu.co.jp ryutaro_higuchi@komatsu.co.jp chayapol@kith.komatsu.co.th naohisa_okamoto@komatsu.co.jp

Working in Harmony

the ability to compete consistently and to attain increasingly higher market shares has driven aPPico to the strong position it holds today, and has been achieved in line with the company’s core vision, “to become a lean and happy world class organisation with four fundamental values”. Happy customers, happy employees, happy shareholders and happy public remain the key pillars that strategic decisions are made upon, and formulate aaPico’s stringent sustainability drive. “we believe that good corporate governance is an important factor in order to increase the company’s value for shareholders and promote sustainable growth for the company,” the organisation explains. “Having a good corporate governance demonstrates that the company’s management systems are efficient, transparent, and auditable.” “all these help create trust and confidence amongst shareholders, investors, stakeholders and all relevant parties, leading to steady and sustainable growth.”

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www.komatsusanki.co.jp/en/index.html

AAPICO has earmarked a further 10 years of continuous improvement to reach its desired levels, to ensure the company continues to survive in a competitive world

Building a reputation in Thailand based on these assets has been invaluable to attaining new business and market-leading customers over the years, and has led to the smooth running of the business’s internal structures. where the company is equally prevalent though, is enhancing the lives of people outside of the company, placing the same commitment it has towards its own financial growth into areas of corporate social Responsibility. “the company intends to build a sustainable csR strategy for the thai society, to live in harmony with the environment. many of the projects concentrate on helping the society, environment and education,” aaPico continues. initiatives include work alongside local charities and schools, regular donations to affiliate associations and, perhaps most sustainably and

Komatsu Industries (Thailand) Co., Ltd., 28/9 Moo 3 Bangna-Trad Road Km.23, T.Bangsaothong, Bangsaothong, Samutprakarn 10540 Thailand. Tel: (+66) 02-663-2727 Fax: (+66) 02-663-2728

E-mail: shigehiko_takemura@komatsu.co.jp ryutaro_higuchi@komatsu.co.jp | chayapol@kith.komatsu.co.th naohisa_okamoto@komatsu.co.jp www.komatsusanki.co.jp/en/index.html

importantly, its local ethos in regards to employment and skills development. Working in tandem with local academic institutions, AAPICO has helped budding engineers attain numerous scholarships and qualifications over the years; many of which have repaid the company’s faith by implementing their honed skills within the business for years to come across the many subsidiaries.

Comparative Growth

Looking forward and AAPICO has every reason to be positive, having established the necessary customer base and industry notoriety over nearly 20 years. While 2013 saw modest growth – a revenue increase of one percent to Baht 16,998 – this was still amid several financial adjustments within the company as well as the early signs of a general downturn in the automotive industry.

Further challenges in 2014 have similarly stunted the kinds of drastic growth that AAPICO has enjoyed in previous years, but in comparison to market competitors, the business will still maintain its leading position in

Happy customers, happy employees, happy shareholders and happy public remain the key pillars that strategic decisions are made upon, and formulate AAPICO’s stringent sustainability drive

the future through its international connections and subsequent potential for joint ventures and partnerships. “2013 was a reasonable year for the Group with wide fluctuations between the first and second half,” Chuan explained in his end-ofyear statement. He went on to emphasise however, that the general outlook for the automotive sector in Thailand remains promising, despite social and political drawbacks. The ongoing increase in car production and relatively reasonable sale prices means that the battle is on to provide the best offering, and through AAPICO Hitech’s strive for world class operations, best practice and lean development, the company looks equipped with the sustainability required to achieve its post-2020 goal of manufacturing perfection.

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