Asia Outlook Issue 8 by Outlook Publishing

w w w. aSIaoutlookm ag .com

Jaya tiasa are quickly becoming one of asia’s biggest palm oil players

inVestMent Profile 20 asia outlook takes an inside look at the philippines’ investment potential

AlfA tech

VestAsiA 52 alfa tech Vestasia places a high emphasis on their drive for excellent customer service

JiAn

hAung 46 Jian huang have been completing 3-4 projects a year since 2007

sosAJB ProPerty MAnAgeMent 56

SosaJB are committed to providing superior property management services

AsiA outooK issue 08 A l s o t h i s i s s u e: Wo r l D’s t o P 5 g D P r e P o r t | M e A s u r i n g M e D i A i n D u s t r y g r o W t h

W E L C O m E A new Beginning as mentioned in the last issue, businesses in asia have shown positive signs of growth over the last few months, and are now looking at the next six months as the catalyst to put the economic downturn behind them and move forward within their markets. It will be not be a quick and simple process, but all of the companies we feature in this edition have that one quality needed to get through the rebuilding, and that is resiliency. our front cover interview is with Jaya tiasa’s ceo dato’ wong Sie young, who has given clear indication that his company are set for a productive and growth inspired period, after remaining strong during the recent troubled global economic situation. the oil palm industry has burgeoned in recent years and Jaya tiasa are ready to capitalise on this, thanks to the opening of their second crude palm oil mill in 2013. on page 56 of this issue, we have the interview with Jeffery Sosa, CEo and founder of SosaJB property management, who are becoming one of the philippines’ top property specialists, due in part to the company investing time and money into human resources and training staff. We also feature Jian huang, a construction company who are delivering impressive projects in Singapore’s business district, whilst maintaining budgetary and time constraints. we take a look at Singapore’s media industry and the strong growth it has been showing, as well as how creative content providers are turning to asia’s emerging middle class for new audiences in the film and gaming industry. the latest instalment of our popular investment profile looks at the philippines, who are making strides towards being a more economically sustainable and productive country. the country offers an educated filipino workforce with a literacy rate of over 90 percent, which is among the highest in asia, making it a top prospect for western companies to potentially set up their base of operations. “Take the ﬁrst step in faith. You don’t have to see the whole staircase, Matt Bone just take the ﬁrst step.” Editor, Outlook Publishing Martin luther King Jr

eDitoriAl editor: matt Bone matthew.bone@outlookpublishing.com sub-editor: emily Jarvis emily.jarvis@outlookpublishing.com

ProDuction Production Manager: daniel george daniel.george@outlookpublishing.com MAgAZine Design: optic Juice ltd martin mitchell | alex cole | nick Bond | katherine robinson

Business

sales Director: nick norris nick.norris@outlookpublishing.com sales Manager: eddie clinton eddie.clinton@outlookpublishing.com sales executive: rahim ali Rahim.ali@outlookpublishing.com Projects Director: James mitchell james.mitchell@outlookpublishing.com senior Project Manager: arron rampling arron.rampling@outlookpublishing.com Project Managers: Ben wigger ben.wigger@outlookpublishing.com callum philp callum.philp@outlookpublishing.com donovan Smith donovan.smith@outlookpublishing.com glen newton glen.newton@outlookpublishing.com Serge utting Serge.utting@outlookpublishing.com Sheridan halls sheridan.halls@outlookpublishing.com Stuart Shirra stuart.shirra@outlookpublishing.com tom cullum tom.cullum@outlookpublishing.com

Accounts

finance Manager: Suzanne welsh suzanne.welsh@outlookpublishing.com Oﬃce Administrator: donna redpath donna.redpath@outlookpublishing.com iMAges: thinkstock DigitAl & it: hamit Saka helPDesK: James lemay

outlooK PuBlishing

Managing Director: Ben weaver ben.weaver@outlookpublishing.com Chairman: mark weaver contAct Africa 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 Africa outlook / sA the colosseum, first floor, century way, century city, cape town, 7441 tel: +27 (0) 21 527 0053 subscriptions tel: +44 (0)1603 559 152 matthew.bone@outlookpublishing.com

www.asiaoutlookmag.com follow us on twitter - @AsiaoutlookMag

www.aSIaoutlookmag.com

www.aSIAoutlookmag.com

c o n s t r u c t i o n

In this issue of Asia Outlook... 16

entertaining and educating the neXt generation

From ﬁlm-makers to digital gaming developers to ﬁction publishers, creative content providers are turning to Asia’s emerging middle class for new audiences

46 06 10

Jian Huang have been completing 3-4 projects a year since 2007

neWs

alfa tech vestasia A Vested Interest in Project Management

All the latest top stories across the month from Asia

Alfa Tech VestAsia places a high emphasis on their drive for excellent customer service

gdp return: World’s top 5 ARCADIS Study

China leads U.S.A, India, Japan and Mexico in the global ranking of built asset performance

Jian huang Constructing Singapore

recording the groWth of the Media industry in singapore

Singapore’s media industry is charting strong growth as one of the fastest growing subsectors in Asia

20 28

investMent profile Philippines

sosaJb Philippines Preferred Property Managers

SosaJB are committed to providing superior property management services

Asia Outlook takes an inside look at the Philippines’ investment and business potential

shoWcasing leading coMpanies

Tell us your story and we’ll tell the world

manufacturinG

Jaya tiasa Branching Out

Jaya Tiasa are constantly looking at new ways to expand business operations sustainably

events

Asia Outlook highlights upcoming events on the continent

www.aSIaoutlookmag.com

c o n s t r u c t i o n

Asia Construction Outlook 2014 Released While some of the construction industry has tempered in parts of Asia, construction spending growth in Indonesia and China will remain the strongest in the region while special attention should be made of the growth potential in the Philippines and Myanmar, according to the latest Asia Construction Outlook report published by AECOM and its Davis Langdon KPK group. Asia Construction Outlook 2014 presents an overview of the construction market in Asia at the beginning of 2014. It reviews industry activity levels in 2013 and provides near- and longer-term forecasts for construction activity by region, country and city. The findings are based on an analysis of sector statistics combined with the results of market sentiment surveys undertaken by 68 AECOM construction experts across nine countries. The analysis by AECOM and Davis Langdon KPK highlights the following key trends: The residential sector in Asia appears to be gathering some momentum. Respondents are slightly less optimistic regarding the future prospects for construction in Asia. Indonesia is the top-rated country in terms of potential construction spending growth in the medium term. The Philippines (near-term) and Myanmar (medium-term) are identified as countries with potential for significant future growth in construction.

Upcoming parliamentary elections in Indonesia and India are expected to have a negative impact on near-term construction prospects in both countries. A lack of investor confidence in Thailand is expected to affect construction spending in the near term. “There is an increasing downside risk shown in our forecasts based on the level of credit availability in the region,” said Dato’ Sri Kandan, chairman, Davis Langdon KPK. It is believed that integrated planning, design and engineering solutions will be the key to advance the value of the project. As market pressures mount on projects’ financial viability due to higher costs and lower margins, innovation in procurement such as the Integrated Project Delivery process should be considered. “This, coupled with the principles of Lean, such as improving quality and productivity, would seek to deliver maximum value to the owner, reduce waste and maximize efficiency through all phases of design and construction.” To view the full report, visit: http://www.aecom.com/

t e c h n o l o g y

Mink Take on the $55 Billion Beauty Industry with a 3D Makeup Printer Mink, a personal 3D printer for making custom cosmetics, is such an amazingly clever yet simple idea. The ‘Mink’ is a $300 device that will purportedly let anyone create completely customised makeup shades any time they want, from the comfort of their own home. In a world where an eyeshadow compact can cost anywhere between $5-78 a time, mirroring the changing colour trends of each season, Mink promises to cause a stir in such a commercial industry. Currently, Mink is a one-woman band, with Grace Choi as the sole founder and employee. She has already obtained an intellectual property law firm and filled her own patents, but there is still plenty to do before this can successfully break into the mainstream cosmetics market; worth over $55 billion and dominated but some seriously powerful companies and products. Choi hopes to positively influence young women’s perceptions of themselves and their personal tastes through her passions for entrepreneurship, hardware creation and creating a new and innovative kind of cosmetics for this competitive sector.

go to www.asiAoutlookmag.com/news for all of the latest news from asia

c o n s t r u c t i o n

Japan to Pledge Support for RoadConstruction in Africa Japan’s Foreign Minister, Fumio Kishida, will pledge the country’s support for building a key road connecting four African countries when he attended an international conference on African development. This was held in early May in Cameroon, says a government source. Kishida will likely announce that Japan will bear part of the construction cost through its official development assistance at the two-day ministerial meeting of the Tokyo International Conference of African Development, the source said. The Foreign Minister is scheduled to arrive in Cameroon on Saturday following his visit to Denmark. The proposed road will connect western Ghana with the three surrounding countries: Ivory Coast, Togo and Burkina Faso. The Foreign Ministry sees high potential for economic growth in these four countries. Furthermore, Japan aims to encourage Japanese firms to expand business in Africa by assisting in improvement of local infrastructure. The support is also supposedly aimed at boosting Japan’s influence on the continent, at a time when China is gaining presence with heft economy aid. In order to determine the construction cost of the envisioned road, a field survey will be started by the end of 2014 says the source, adding that Tokyo plans to allocate some portion of 650 billion yen it pledged for improving the infrastructure in Africa at the TICAD meeting in Yokohama last year. The Foreign Minister Kishida will fly to France in order to attend a ministerial meeting of the Organisation for Economic and Development Cooperation later this year.

f i n a n c e

China’s Demand for Gold to rise China’s demand for gold is set to rise by about 20 per cent over the next few years. The announcement comes as China becomes the world’s largest gold-consuming nation since last year, overtaking India. This estimate comes from the World Gold Council, as the population becomes wealthier. The council estimates private sector demand for gold in China will rise to at least 1350 tonnes by 2017. BBC News reports that Chinese customers bought 1132 of gold last year, in jewellery as well as gold bars and coins for investment. “China is at the centre of the global gold eco-system as rapid urbanisation creates a rising middle class,” says the World Gold Council. “The cultural affinity for gold runs deep in China and when this is combined with an increasingly affluent population and a supportive government, there is significant room for the market to grown even further,” claims Albert Cheng of the World Gold Council.

t r a n s p o r t

Singapore Airlines Launching Premium Economy Class Singapore Airlines (SIA) will launch a premium economy class in the second half of 2015. CEO Goh Choon Phong made the announcement at the firm’s

“Whilst China faces important challenges as it seeks to sustain economic growth and liberalise its financial system, growth in personal incomes and the public’s pool of savings should support a medium term increase in the demand for gold, in both jewellery and investment.” Consumers bought a record amount of gold last year according to the council, with China and India in the top spots. Western market demand for gold also remained strong particularly in the US, where people bought a considerable amount of gold jewellery as well as gold bars and coins.

fourth quarter and full year earnings briefing in May. The move comes as the carrier begins to undertake key initiatives to meet intense competition in the full service airline space. SIA said it will release further details about the new cabin class in due time. At the full year earnings briefing the carrier reported a profit of S$27 million for its fiscal fourth quarter (January-March), which was down 60 percent from the same period a year ago. For the full year-end March 31st, the airline carrier achieved a net profit of S$359.5 million, which was a 5.4 percent drop from the previous year.

go to www.asiaoutlookmag.com/news for all of the latest news from asia

S t e c h n o l o g y

t e c h n o l o g y

Founder of Acer set to Retire

Singapore Announce New Nuclear Technology Programme Singapore is to ramp up its nuclear technology expertise with the announcement of a new programme. The 10-year Nuclear Safety Research and Education Programme was announced last month by the National Research Foundation (NRF). The scheme will start with S$63 million of funding, allocated for the first five years. With only a handful of nuclear exports in Singapore left, the NRF hopes to train some 100 scientists and engineers in this area over the next decade. It is hoped that by about 2024, these scientists and engineers will be expertly trained in three areas: radiochemistry, radiobiology and risk assessment. Radiochemistry is the study of radiation in the environment, such as in the air, water and soil. Uses include detecting the presence of radiation in imported goods, such as seafood. In Radiobiology, scientists study the impact of lowlevel doses of radiation in humans; while the risk assessment aspect of this study will learn the activities of a nuclear reactor, and what to do if things go wrong. The NRF said that the new programme is part of a broader plan for Singapore to keep up with nuclear technology developments in the region. “This is important because as a nation, we need to build up capabilities in nuclear technology for many reasons. Firstly, nuclear technology is now pervasively used in many different industries. Secondly is nuclear technology. Nuclear energy is something that we need to be

aware of,” says Professor Low Teck Seng, CEO of the NRF. “Many of our neighbours are also looking at nuclear technology, and it is important as the Prime Minister says, for us to be aware, to be knowledgeable, and as such, be able to assess the technology and its impact on Singapore – be it in terms of potential that it has for us, in terms of the risk that we face, as well as the ability to harness its potential in every aspect.” There are two components to the programme: The Singapore Nuclear Research and Safety Initiative (SNRSI) and the Nuclear Education and Training Fund (NETF). SNRSI will focus on research and developing capabilities in nuclear safety, whilst the NETF will support education and training in those areas. The National University of Singapore will offer Engineering and Physics students a minor in Medical Physics in order to give students with an interest in nuclear technology a stepping stone into, or foundation in the subject. Additionally, there will be post-graduate scholarships for students to pursue nuclear technology studies overseas. The NRF is also looking into public education, strengthening the awareness of the benefits and safety aspects of nuclear technology.

Stan Shih, the founder of Taiwan’s personal computer manufacturing company Acer, announced in May that he plans to retire as the chairman next month. The announcement came just six months after Shih returned to launch a series of reforms and restructuring. The company confirmed earlier reports that Shih was scheduled to retire on June 18th, the same day as its shareholders meeting, during which his successor would also be elected. The 69-year-old made the somewhat surprising revelation during a gathering with reporters, the United Evening News claims. Shih says that younger talent would be promoted to lead various divisions as the company shifts its business focus from hardware to cloud computing. It will be the company’s third major transformation since founding in 1976. Shih added that he expected Acer to “return to glory” three years from now. November 2013 saw Shih replace former chairman and CEO JT Wang and the corporate president Jim Wong, who resigned after the company posted a net third-quarter loss of NT$13.1 billion ($442.2 million). A month after this in December, Shih relinquished his position of CEO and president to Jason Chen, a senior vice president of worldwide sales and marketing at Taiwan Semiconductor Manufacturing Co, the world’s leading contract microchip maker. Senior executives have taken voluntary salary cuts of 30 percent since January this year, as the company continues to struggle financially against tough competition from Apple and other rivals. Shih founded Acer in 1976 and built it into the world’s second largest PC maker in its heyday and one of the best known Taiwanese brands internationally.

go to www.asiAoutlookmag.com/news for all of the latest news from asia

c o n s t r u c t i o n

Plans to Build a “Chinese-Controlled Economic Zone” in Kenya A 100-strong coalition of Chinese investors plan to build a “Chinesecontrolled economic zone” in Kenya, made up of skyscrapers and luxury residences; with a goal to “match the glamour of Dubai”. The proposed zone outside of Nairobi would include “at least 20 skyscrapers, boasting a shopping destination that stocks Chinese and other global products,” according to Construction Weekly. As investment increases in East Africa, they want to build a self-controlled pseudo-urban enclave of operation. Additionally, according to The Daily Nation, there are already two

other tabula rasa city development plans in place for the same area: Konza Techno City, a $14.5 billion development aimed at becoming the place where “the African silicon savannah begins”; the other being Machakos City, promising dozens of skyscrapers and acres of suburban homes. All of them are related to Kenya’s Vision 2030 development plan,

f i n a n c e

Chinese President Places Further Focus on Africa In his first year, president Xi Jinping has embarked on his first foreign trip, making stops in Russia and Africa. As such, the past 13 months have seen an unprecedented amount of attention on strengthening economic and political ties in Africa, according to a new policy briefing by Brookings Institution scholar Yun Sun. “China’s choosing Africa to dispatch combat troops for the first time does suggest Beijing’s rising interests,” wrote Sun, as well as “enhanced commitment and a direct role in maintaining the peace and security of Africa.” China has also dispatched a total of 16 fleets and escorted more than 5,300 ships and vessels around the Gulf of Aden, in effect taking

responsibility for maintaining the security of key shipping lanes. In the past, Beijing had frowned upon “open intervention in [foreign] conflicts through direct mediation”, and yet in January, China’s Foreign Minister, Wang Yi, flew to Addis Ababa to join the Ethiopian-led efforts to mediate between rebel forces and government officials from South Sudan. As China now import a

but it is not clear whether they will co-exist or be in direct competition. As China are Africa’s biggest trade partner, the country frequently trades the right to develop energy infrastructure for contributing to social welfare and health programmes, leading plenty of people to accuse China of acting as a neo-colonial force. In 2013, Kenyan officials signed a $5 billion agreement that is allowing China to build roads, railways and more infrastructure within the country. All in all there are many unanswered questions about these projects, including who will design them and which will actually come into fruition. More may come to light when Chinese Premier Li Keqiang visits Kenya in May, which Construction Weekly reports as a key indicator that some kind of development will happen. significant amount of their oil from South Sudan, (around 14 million barrels in the first 10 months of 2013), a shift in their strategy is apparent. Additionally, the country is deepening its direct economic ties. Over the past year, Beijing has granted $10 billion in direct loans to African governments; the focus of Chinese investment is clearly evolving. “One striking feature of these loans lies in China’s new priority in financing infrastructure, agricultural and manufacturing industries in Africa,” writes Sun, “a strategy that shifts away from its traditional heavy investment in Africa’s extractive industries.” What’s more, there are now in excess of one million Chinese immigrants are now in Africa, ranging from short-term construction workers to entrepreneurs aiming to settle there for the long term. These new arrivals are seeking both opportunities and escape from oppression in their homelands.

go to www.asiaoutlookmag.com/news for all of the latest news from asia

G d P

r E T u r N :

W O r L d ’ S

World’s

top

T O P

markets for Securing GdP return china, India and Japan among the world’s top five markets for Securing Gdp return from ‘Built Assets’ finds ArCAdiS report Writer Emily Jarvis

rcadIS, the leading global natural and built asset design and consultancy firm, has published a landmark study that illustrates how buildings and infrastructure contribute to gross domestic product (gdp) across the world. developed in conjunction with the centre for economics and Business research (cebr), arcadIS’ Global Built Asset Performance Index reveals that china, India and Japan are three of the world’s top five markets in terms of the level of return they generate in absolute terms from their built assets, with the uS and germany rounding out the top five. the arcadIS report also shows that when it comes to projected improvement in built asset performance by 2022, eight of the top 11 markets from the study are located in asia. this demonstrates the enormous potential growth for the region as more infrastructure, machinery, plants and other tangible investments are built over the coming decade.

www.aSIaoutlookmag.com

gloBAl rAnKing: Asia’s GDP growth is poised to continue over the next decade. With continued investment in real estate and infrastructure from now until 2022, we can expect built assets to generate enormous GDP growth in many markets across the region. Investors, owners and occupiers in both the public and private sectors all have a role to play in boosting their built asset performance to the benefit of themselves and their wider economy” graham Kean, regional leader, ec harris asia.

chinA leADs u.s.A, inDiA, JAPAn AnD MEXICO IN THE GLOBAL rAnKing of Built Asset PerforMAnce In 2013, China secured USD 6.9 trillion from its built assets, nearly 20 per cent more than the US, which ranked #2 with USD 5.6 trillion of gDP value generated from its assets. Not only does China rank #1 in absolute terms but it is also far ahead of the US and most other markets when it comes to percentage of gDP generated from built assets, with a total of 53 per cent. In comparison, the US only generates about 37 per cent of its GDP from built assets, as it relies on a larger proportion of wages/salaries and intangible capital/natural resource rents for contributions to gDP. india and Japan were also in the top five markets, generating USD 2.0 trillion and 1.9 trillion respectively.

toP 10 nAtions: The top ten nations on the Global Built Asset Performance Index in terms of return secured are:

country

BAI (USD) *

chinA

6.9TN

usA

5.6TN

inDiA

2.0TN

JAPAn

1.9TN

gerMAny

1.0tn

MEXICO

995BN

frAnce

822BN

696BN

BrAZil

637BN

turKey

625BN

Per cAPitA:

*Income shown as a ‘Purchasing Power Parity’ measure of GDP to enable accurate global comparison *BAI = Built Asset Income

groWth :

Built Asset PerforMAnce PER CAPITA – SINGAPORE IS #1, inDiA is lAst

PerforMAnce groWth – THE ASIAN ECONOMIES to WAtch

on a per-capita basis, however, china and India rank in the bottom half when it comes to GDP contribution from built assets. In fact, on this measure, India ranked last out of the thirty markets surveyed, illustrating how little GDP the country is generating from its built assets based on the size of the population these assets are expected to serve.

In terms of future outlook, Asia is by far the region that is expected to see the biggest increase in built asset performance. In fact, eight of the world’s top 11 markets expected to see the most growth by 2022 are located in Asia with china, Indonesia, India and Malaysia all in the top five.

By far the greatest built asset contribution is found in singapore where in 2013, built assets generated an estimated US$29,500 for each member of the population, a figure expected to remain broadly the same during 2014. This was significantly higher even than the equivalent figures for Qatar and the United Arab Emirates, ranked #2 and #3 respectively, which generated US$20,500 and US$17,500 in 2013.

the Global Built Asset Performance Index illustrates, for the first time, how 30 markets across the globe that collectively represent 82 per cent of global GDP compare in terms of the economic return they see from their buildings and infrastructure. the index reveals that total built asset income within these countries stands at USD 27.2 trillion, amounting to 40 per cent of total GDP. This figure is expected to rise to USD 28.2 trillion in 2014.

www.aSIaoutlookmag.com

g r owt h

o f

t h e

m e d i a

i n d u st r y

Growth Recording the

of the Media Industry in Singapore

Singapore’s media industry is charting strong growth as one of the fastest growing sectors in Asia Writer Emily Jarvis SOURCE: www.edb.gov.sg

ingapore’s media sector has grown substantially and impressively, contributing S$2.06 billion of VA to the economy in 2012; becoming a fastgrowing contributor that accounts for close to 13% of the overall media industry. The IDM sector added S$301 million to the national economy in 2013, and sector employment grew by 7% from 2011-2012, despite an overall slowing in Singapore’s economy. Singapore’s media sector consists of several industries, including TV broadcast and production, publishing and printing, film and music; as well as interactive and digital media.

Interactive and Digital Media: A Fast Growing Sub-Sector Interactive and Digital Media -which includes video games, animation, online/mobile media and new forms of digital entertainment - has skyrocketed into a multi-billion dollar business. The global videogames industry (excluding

www.aSIAoutlookmag.com

hardware sales) is expected to swell from US$56 billion in 2010 to US$82 billion by 2015, with Asia registering the fastest growth, according to the PriceWaterhouse Coopers’ Global Entertainment & Media Outlook. Singapore’s animation and games industries are seeing rapid expansion. Singapore is seeing an influx of leading digital media companies such as Tecmo-Koei, Lucasfilm, Double Negative, Electronic Arts and Ubisoft. Local companies like Ratloop Asia, Sparky Animation and Scrawl Studios have also responded eagerly too, producing original content for export and entering strategic partnerships with international distributors. According to Deloitte, Singapore’s games and animation industries, together with online/mobile media, have demonstrated robust growth, posting a CAGR of 28.3% from 2008-2012, with a 17% increase in 2013. In 2012, local companies contributed 56% of VA and employed an estimated 14,500 workers.

Me d i a

E nte r t a i n m ent

www.edb.gov.sg

Lucasfilm Lucasfilm is one the most recognisable names in motion pictures and animation, having created blockbusters such as Star Wars and Indiana Jones. In 2005, the Californiabased company established its first facility outside of the US – Lucasfilm Animation Singapore (LAS). The Singapore studio does animation and game development as well as visual effects work for Hollywood films. LAS has also created an in-house apprentice programme, aptly named the Jedi Masters Programme (JuMP), to educate and train developing artists in a variety of creative disciplines.

Electronic Arts Inc. Electronic Arts Inc., the world’s largest video games developer and publisher, has located its Asia Pacific headquarters in Singapore. Citing the support of the Singapore government as a key motivator, Singapore is also one of EA’s largest game development studios in the region which develops online games for the international audience.

EA Asia-Pacific EA Asia Pacific’s President Jon Niermann said, “EA aims to grow its business in the region, we’re here with a big presence and Singapore provides the resource base for EA to reach out to a wide global network with strong support from the various government agencies. We’re confident that the growth for the coming years will be positively beneficial to EA and our Asian partners.

Singapore is seeing an influx of leading digital media companies such as Tecmo-Koei, Lucasfilm, Double Negative, Electronic Arts and Ubisoft”

www.aSIAoutlookmag.com

g r owt h

o f

t h e

m e d i a

i n d u st r y

A Centre for Content Creation

Singapore is an ideal location for creating and deploying new content and for managing intellectual property (IP), as it has the best IP protection in Asia and a large, multilingual talent pool in both traditional and new media. Development and animation studios, and companies which provide game hosting will also find Singapore attractive due to the island’s large pool of graduates in IT and programming. For companies in the printing and publishing sector, Singapore is a nexus for Asian financial and professional news, and a cost-effective printing and distribution hub.

A Platform Where East Meets West

Singapore offers proximity and excellent connectivity to regional markets – markets that have a tremendous appetite for digital media entertainment. As a cosmopolitan, urbanised Asian city-state, it offers a unique blend of Eastern and Western cultural influences. The government has also put in place policies to attract and retain talent from all over the world, creating a melting pot of creative talent for companies to tap into.

A Broadcast Hub of Asia Movies

Since the 1990s, Singapore has attracted a number of global broadcasters to its shores. There are now a large number of major networks up-linking their channels from Singapore to their regional audiences. These include Discovery Network’s Asia Pacific, CNBC Asia Pacific and ESPN Star Sports. From broadcast, the sector has progressed into content production. One example is the 2011 AXN reality series “Cash Cab Asia”. Produced by AZN, the project was filmed in Singapore, with post-production work undertaken by Active TV.

www.asiAoutlookmag.com

Asia’s First Digital Cinema Hub

Singapore has attracted a number of global broadcasters to its shores”

In December 2007, Technicolor of the US said it was partnering Singapore’s Infocomms Development Authority to set up a Digital Cinema Hub and Network Operations Centre. Both are firsts in Asia. This offers digital cinema service and related management solution capabilities to the motion picture industry in Singapore and AsiaPacific. A month before, an Interactive Digital Centre for 3D visualisation at Temasek Polytechnic was launched. It houses state-of-the-art 3D innovative technologies and laboratories for industry project development, training and research.

Me d i a

E nte r t a i n m ent

www.edb.gov.sg

Sony Pictures Entertainment Sony Pictures Entertainment (SPE) currently has three operating entities in Singapore with a combined headcount of over 200. One of these is SPE Networks - Asia, its channel management arm for Asia Pacific. It manages linear channels such as AXN, Animax, AXN Beyond, Sony Entertainment Television, as well as subscription videoon-demand channels (e.g. PIX and PIX Thriller) and is responsible for producing television hits such as “The Amazing Race Asia” and “Mondo Magic Singapore”.

Thomson Reuters Thomson Reuters, the world’s leading source of intelligent information for businesses and professionals, has seen tremendous growth in its operations here. In addition to being a regional headquarters, Singapore is now base to Thomson Reuters ASEAN, South Pacific and Pacific channel business operations. Today, Thomson Reuters employs about 900 staff in Singapore. The main technical centre located here is one of Thomson Reuters’ three major global hubs. In addition, Singapore is base to the company’s global pictures desk, and is also the main location for the hosting and distribution of Internet content in Asia.

A Leading Interactive and Digital Media Education Centre

The presence of top specialty schools like DigiPen, excellent pedagogy within the local tertiary institutes, as well as opportunities to pursue overseas attachments with leading international interactive and digital media companies will help Singapore establish a world-class talent base. Together with the inflow of global talent, this results in diversity that is highly conducive to the generation of creative ideas.

Film Production Hollywood may still be the world’s biggest film production location but, thanks to the likes of visual-effects company Double Negative, Singapore is fast becoming an Asian hub for the industry’s back-room operations. The London-headquartered firm opened an office here in 2009 with around 70 staff and now employs 230. Since then, the Singapore-based team has worked on visual effects for blockbusters such as The Bourne Legacy, Captain America and Iron Man 2. Nathan McGuinness, Double Negative’s creative director, says the

city manages to be both a “comfortable, safe place for business” and a haven for artists. Noting that his team comprises Singaporeans, regional talents and international artists, he likens his Singapore facility to “the UN of visual effects”. Among Double Negative’s recent works on the silver screen is the Les Miserables musical. “From this island we’re providing visual effects to the biggest films in the world,” says BAFTA winner McGuinness. “That’s a pretty amazing situation to be in. We’re as busy as we would be anywhere else in the world.”

www.asiAoutlookmag.com

t h e

N e x t

G e n e r a t i o n

Entertaining

THE NEXT G From film-makers to digital gaming developers to fiction publishers, creative content providers are turning to Asia’s emerging middle class for new audiences Writer Emily Jarvis SOURCE: www.edb.gov.sg

ccording to the Media Development Authority of Singapore (MDA), Asia Pacific is the world’s fastest growing region for publishing and as a result Singapore, widely seen as the regional gateway, has enjoyed an influx of international players as well as growth in domestic publishers. This upward trend is welcome relief for an industry that has seen traditional Western bookshops forced out of business by online distributors and e-books. So what’s driving it? Greater economic prosperity of course, but also, according to Bunsho-san, Managing Director of Shogakukan Asia, a growing awareness across Asia of the importance and value of creative skills as a key driver of the growing appetite for reading material that’s both educational and fun.

www.aSIAoutlookmag.com

The Shogakukan Asia Story Sitting at a table strewn with Japanese comics, or manga, craft books and a giant encyclopaedia of dinosaurs, Bunsho Kajiya’s passion for children’s publishing is clear. Managing Director of Shogakukan Asia, the newly-established, 100 per cent-owned Singapore subsidiary of the famous Japanese publishing house, Bunsho-san speaks with the enthusiasm of a man on the crest of a wave. “In the US, Japan and Europe the manga business is already mature. The artists and audiences are getting older and their children don’t necessarily love comics like their parents did. But in Asia the middle class market is growing and their children are interested in this sort of material. The continent is at a different stage of childhood cultural development and

M e d i a

En t e r t a i nm e n t

www.edb.gov.sg

Educating

GENERATION The continent is at a different stage of childhood cultural development and experience and the middle classes are eager for entertainment that aids education, like comics and craft books. It’s an exciting time”

experience and the middle classes are eager for entertainment that aids education, like comics and craft books. It’s an exciting time.” In Singapore and across Asia, governments have started to invest in education not just in terms of hardcore mathematics and science, but also in the arts as well. Bunshosan would like to see more flexibility for children to be free within education. It’s not all about exams. “They need more space for arts and sports, which doesn’t mean they have to become artists or sports people, but that they’ll be equipped with creativity and problem-solving skills that are crucial in every walk of life. We want to be part of that growth by providing those tools.” Shogakukan Asia’s long-term vision is to generate original content from Singapore, joining leading publishers

like Pearson, McGraw-Hill Education (Asia) and John Wiley, creating content and conducting sales and marketing for the region. Their more immediate to-do list includes the development of a digital strategy, for which they cite Singapore’s rigorous Intellectual Protection laws, the most stringent in Asia, as a key reason for moving to the city-state. They also plan to harness Singapore’s growing rank of agencies specialising in digital delivery, advertising and analytics. These so-called “enablers” represent the fastest area of growth within the Singaporean digital community. According to a recent survey from Deloitte they grew at a Compound Annual Growth Rate (CAGR) of 51 per cent between 2008 and 2012, with the analytics subsector booming by 245 per cent.

www.aSIAoutlookmag.com

t h e

N e x t

G e n e r a t i o n

2014 Activate Conference

It is little wonder that global media giant Guardian News & Media (GNM) has chosen Singapore as the location for its 2014 Activate Conference, on the 16th June, which will see influential figures from across the digital, media and IT sectors come together to discuss the new economics of content and the role of the open internet in shaping the worldâ&#x20AC;&#x2122;s future. GNM publishes the third largest Englishspeaking newspaper website in the world and Activate Singapore is its first event in Southeast Asia. As mobile devices and social media see increased proliferation, analysts at professional services giant PwC expect more mature markets to lead growth in spending on digitallydelivered media. Singaporeans are

sophisticated mobile and social media users, who social gaming developers are keen to serve, as well as catering for the wider Asian markets from Singapore soil. Japanese social game developer Gumi Asia and and global internet company DeNA have both opened offices on the island in the past two years.

The Growing Creative Sphere With demand for other creative content, including films and television programming also growing across the region, it appears the sun is shining in all corners of the creative landscape. In a recent global study of Entertainment and Media (E&M) businesses, analysts at professional services giant PwC cited growing middle classes and

www.aSIAoutlookmag.com

increased urbanisation as key drivers of an expected E&M boom before 2017. China and Indonesia are in the top nine growth markets expected to enjoy compound annual growth rates more than double those of the industry as a whole. In 2008 they accounted for 12 percent of total global revenues, rising to a predicted 22 percent in 2017. The access Singapore provides to these emerging regional markets, as well as to a local, tech-savvy consumer base is attracting increasing numbers of creative organisations to the island. RTL CBS, a joint venture between entertainment network RTL Group and television and film producers CBS Studios International, has established its regional headquarters in Singapore

M e d i a

En t e r t a i nm e n t

www.edb.gov.sg

Since the start of this study in 2008, Singapore has established itself as the premier destination in Southeast Asia for IDM start-ups, multinational corporations and government-linked companies investment. Companies benefit from Singapore’s stringent Intellectual Property rights, conducive business climate, efficient tax structure, world-class infrastructure, and industry linkages across the region”

to manage and distribute general entertainment channels for the region. This isn’t without challenges for the city-state as demand for creative and digital skills soar.

Nurturing Up-and-Coming Talent John Goeres, Technology, Media and Telecommunications Industry Leader, Deloitte Southeast Asia.

Singapore’s talent pipeline is developing to keep ahead of sector growth, with the establishment of innovative educational institutions. From their subsidiary in Singapore’s Mediapolis district, Japanese games publisher NAMCO BANDAI will collaborate with the Singapore government, universities and polytechnics to attract and develop a new generation of creative minds for the evolving sector. Meanwhile DigiPen, Singapore’s Institute of Technology, is the world’s first

college to offer a bachelor’s degree programme dedicated to digital gaming development. This new generation of creatives won’t be short of opportunity. Back at Shogakukan Asia’s new offices, empty desks await the new recruits Bunsho-san plans to hire in the coming months and years. They’ll find themselves at the heart of a creative groundswell, which Bunshosan hopes will have profound and wide-reaching effect across the Asian economy: “Our head office mission is to provide possibilities and dreams for the future. It’s about creativity, wherever that may lead. Because in every area of life, even in the finance industry, you have to have creativity for problem solving. It’s part of everything we do.”

www.aSIAoutlookmag.com

i N v E S T m E N T

investMent profile 20

P r O f i L E

Philippines asia outlook takes a closer look at philippinesâ&#x20AC;&#x2122; business and investment potential Writer Emily Jarvis Source: Investph.org

www.aSIaoutlookmag.com

he philippines is one of the more dynamic markets in the global economy. Its general macro-economic outlook improved significantly in recent years and the country has made promising headway towards more sustainable and equitable economic development. with an estimated population of 92.23 million, the countryâ&#x20AC;&#x2122;s natural pool of talents and culturally adaptable human resources position the country as the most value-for-money destination for investments in the asian region. the philippines place high-value on education that equipped their labour force with world-renowned technical competency and English proficiency. Bright spots in the economy include Bpo, tourism, mining, agriculture, bio-fuels and renewable energy, and infrastructure. the philippines is endowed with rich and diverse natural resources that provide seemingly unlimited opportunities. with national economies and supply chains becoming more and more intertwined, the country strives to expand and strengthen international investment agreements with capitalexporting countries to safeguard investors against economic volatilities and hedge against risk. the government is well aware of the need to focus on total investor-related solutions to nurture investments. going from strength to strength, the countryâ&#x20AC;&#x2122;s comprehensive strategy to attract capital inflows integrates secure and predictable economic conditions with business-friendly policies.

www.aSIaoutlookmag.com

i N v E S T m E N T

P r O f i L E

PrimE BusinEss Location

the philippines is located right in the heart of asia and today, it is the fastest growing region. it is located within four hours flying time from the major capitals of the region. Sited at the crossroads of the eastern and western business, it is a critical entry point to over 500 million people in the association of Southeast asian nations (aSean) market, and a gateway of international shipping and air lanes suited for european and american businesses.

aBunDant rEsourcEs

An archipelago like the philippines offers diverse natural resources, from land to marine to mineral resources. It is also the biggest copper producer in Southeast asia and among the top ten producers of gold in the world. It is also home to 2,145 fish species, four times more than those found in the Bahamas. the 7,100 islands boast of beautiful beaches and breathtaking sceneries that offer soothing leisure and relaxation spots for vacationers and tourists.

www.aSIaoutlookmag.com

EXEmPLary WorKforcE

the filipino workforce is one of the most compelling advantages the philippines has over any other asian country. with higher education priority, the literacy rate in the country is 94.6%, which is among the highest. english is taught in all schools, making the philippines the third largest english-speaking country in the world. every year, there are some 350,000 graduates enriching the professional pool. In the It service sector, filipino workers are considered the new breed of world-class service professionals and are referred to as Global Knowledge Workers because they are intelligent and able to compete at the highest levels among the best in the world.

first-cLass LifEstyLE

discover the best of sun, sea, sand and style in the tropical setting, teeming with the best of western amenities. the philippines is second home to expatriates who enjoy the company of the warmest people in the region, the countryâ&#x20AC;&#x2122;s openness to varied cultures and a decidedly global outlook. Expats enjoy accessible and affordable luxuries such as business centres, housing, schools, hospitals, shopping malls, hotels and restaurants, beach resorts, and recreation centres.

LiBEraLisED anD BusinEss-friEnDLy Economy

an open economy, like the philippines, allows 100% foreign ownership in almost all sectors and supports a Build-operate-transfer (Bot) investment scheme that other asian countries emulate. government corporations are being privatised and the banking, insurance, shipping telecommunications, and power industries have been de-regulated. Incentive packages include the corporate income tax, reduced to a current 32%, with companies in the Special economic Zones (ecozones) subject to only 5% overall tax rates. multinationals looking for regional headquarters are entitled to incentives such as tax exemptions and tax and duty-free importation of specific equipment and materials.

www.aSIaoutlookmag.com

i N v E S T m E N T

P r O f i L E

unLimitED BusinEss oPPortunitiEs asian economies integrate within the vast framework of the aSean free trade agreement (afta), the philippines is the natural and most strategic location for firms that want access to the large aSean market and its vast trade opportunities. the philippines has enhanced and primed up various areas for investors and offers a dynamic consumer market accustomed to an array of product choices created by a competitive domestic economy.

PharmacEuticaLs

the philippine pharmaceutical market was valued at uS$2.51 Billion in 2008, and reached uS$3.2 billion in 2013. In terms of the overall market this is comparable to pakistan and thailand, and in terms of per capita, it is similar to china and Iran. the philippines is continuously ranked as the 11th most attractive pharmaceutical market in the Asia-pacific region, and the third biggest market in aSean after Indonesia and thailand. fourteen (14) of the top 20 pharmaceutical companies in the world have manufacturing facilities in the philippines. the share of local manufacturers in the drug market is seen to rise to 38% and will likely continue to expand through 2010 and beyond. multinational drug companies are expected to grow by 4% in 2009.

www.aSIaoutlookmag.com

DEVELoPinG infrastructurE for GLoBaL GroWth

a well-developed communication, transportation, business, and economic infrastructure links the three major islands - luzon, Visayas, and mindanao - and distinguishes the philippine economy. highly accessible by air, water, and cyberspace, liberalisation of inter-island shipping and domestic aviation further sparked improved facilities and services. the container terminals are suited to handle cargo traffic at the highest levels of efficiency.

mininG anD minEraL ProcEssinG The philippines is situated along a well-defined belt of volcanoes called the Circum-pacific rim of fire where the processes of volcanism and plate convergence resulted in the formation of abundant and important metallic mineral deposits.

It is considered one of the countries that are richly endowed with metallic resources and it has the potential to be among the top ten largest mining powers in the world. the presence of major foreign mining companies such as anglo-american, Bhp Billiton, Sumitomo mining and Xstrata attests to the attractiveness of mining in the philippines.

www.aSIaoutlookmag.com

i N v E S T m E N T

P r O f i L E

financE

The philippines is the undisputed offshoring destination of the Year as recognised by the uk’s national outsourcing association for 2007, 2009 and 2010. It and Bpo revenues reached $9.0 billion in 2010 which is equivalent to 8% of the total offshore Bpo market, next only to india. the industry has relatively high competence and maturity in finance & Accounting and other back office services. iBM’s Global Locations Trend Annual Report (october 2010) named the philippines as the world leader in business support functions like share services and Bpo. the report said the country offered similarly attractive business environment for international business support functions as India’s but unlike the latter’s Bpo hot spots. The value proposition is anchored on the ability to provide scale, efficiency and talent while enabling superior services to the end customer. the philippines is a world class destination for Shared Services with banking giants like hSBc citibank, Jpmorgan chase, macquarie Bank and deutsche Bank as locators.

GamE DEVELoPmEnt

filipinos are ideal game developers due to their affinity with the uS in terms of education, media and sports; and with Japan in terms of animation and video entertainment. In 2006, the game developers association of the philippines (gdap) formed to gain better leverage for the industry. gdap was founded by a collaboration of six companies with solid experience in software development and animation. most were Small and medium enterprises (Smes) and start-up companies formed by young and enthusiastic professionals. today, gdap counts 13 members albeit 27 more companies are operating outside the association. revenue for the sector reached almost uS$5 million in 2009 or 50% growth year-on-year, with 90% of revenue made from the foreign games market.

www.aSIaoutlookmag.com

shiP BuiLDinG

Shipbuilding is now shifting to asia and the philippines, which specialises in production, will likely exceed market shares of the traditional shipbuilding nations. the philippines is the fourth largest shipbuilder, next to korea, china and Japan. the arrival of foreign shipbuilders in the philippines propelled the export growth of philippine-made ships in the international market. after being recognised as the fourth largest shipbuilder in the world, shipyards established in the philippines are now building more ships of larger tonnage capacities like bulk carriers, container ships and passenger ferries. the construction of 180,000-dwt commercial ship by hanjin heavy Industries corporation, a South korean shipbuilding giant, shows that the philippines can really build world-class vessels. with a good management and skilled human resource matched with capital, technology and global market opportunities, the industry is moving forward to make the philippines one of the largest shipbuilding nation in the world in the next five to ten years.

animation

with a long-standing history in animation services and a strong cultural affinity with Western countries, uS companies specifically, have long preferred the philippines as an outsourcing destination when it comes to animation; in film, television, video games and other applications. The country is considered to have a first mover advantage in the Asian region. filipino animators have worked on popular cartoons and animated films such as: addams family, captain planet, dragon Ball Z, finding nemo, the Incredibles, the Jetsons, the mask, Scooby-doo, and tom & Jerry. entertainment companies such as hannah-Barbera, marvel comics, walt disney, and warner Brothers has outsourced many projects to philippinebased animation companies. animation outsourcing also applies to creating graphics for the video game industry, an industry that was valued at uS$ 25.1 billion in 2010. filipino animators have worked on games for the following gaming platforms: nintendo, Sega, game Boy and Sony playstation.

The Philippines is endowed with rich and diverse natural resources that provide seemingly unlimited opportunitiesâ&#x20AC;?

for further information, visit: www.investph.org

www.aSIaoutlookmag.com

L e a d i n g C o m p a n i e s sia outlook is a leading business to business publication that promotes and showcases the leading companies on the Continent. The digital and print publications are aimed at boardroom and hands on decision-makers in a wide range of industries, reaching over 175,000 business executives every month. With over 11,000 unique visitors to our website on a weekly basis asia outlook is the platform to promote your business success. each month we feature leading companies and business executives by profiling their operations in their own words. Covering all aspects from supply chain, investments and developments, best practice, innovation, growth plans and future project and products we aim to promote all that is good about industry, economy and business. producing business profiles across all sectors and regions of asia we give companies the opportunity to tell their story to our readers. Read on for this monthâ&#x20AC;&#x2122;s profiles!

Emily Jarvis Sub-Editor

If you want to enjoy the exposure and coverage we can offer please feel free to contact me and we can discuss the opportunity at length. Tell us your story and weâ&#x20AC;&#x2122;ll tell the world.

emily.jarvis@outlookpublishing.com

J AYA

TIASA

Branching Out Jaya Tiasa are one of Malaysiaâ&#x20AC;&#x2122;s fastest growing oil palm players Writer Matt Bone Project Manager Tom Cullum

www.asiAoutlookmag.com

aya Tiasa Holdings Berhad is a company listed on the Main Board of Bursa Securities Berhad, with a market capitalisation exceeding RM2.5 billion. The Group started off as a downstream wood processing company in Tanjong Ensurai, Sarawak in 1983. By 1994, Jaya Tiasa had constructed another four processing mills and proceeded to open them. Dato’ Wong Sie Young, CEO of Jaya Tiasa, outlines how the Group have grown over the last 12 years: “Our timber processing operations have grown significantly over the years. In 2002, we diversified into the oil palm business. Our first Crude Palm Oil (CPO) mill commenced operation in 2009. Today, we are one of Sarawak’s leading oil palm players with an estimated plantable area of about 70,900 hectares, as well as being one of Malaysia’s foremost fully integrated timber producers, with access to over 1.76 million acres of timber concessions and an annual turnover of more than RM1 billion.” As of May 2014, the Group have a workforce of about 4,500 employees who have a diverse mixture of backgrounds, experiences and expertise across its operations. To meet future challenges, remain competitive and ensure continued growth of their business, Jaya Tiasa strive to be an attractive employer with the ability to recruit, develop and retain the best people. “We develop our employees through training and education, respect individual integrity and human rights, offer fair pay and advancement opportunities and maintain a safe and motivating working environment,” says Wong. Jaya Tiasa are constantly looking at new ways to expand operations sustainably. Their second CPO mill was commissioned in July 2013 with a

processing capacity of 60-MT per hour of FFB. The construction of a third CPO mill is commissioned for August 2014, which will boast a processing capacity of 120-MT per hour of FFB. “Our target is to complete planting of our entire plantable area by early 2015. As of 31st March 2014, we had planted about 93% of our plantable area. We are also keeping pace with planting our forest plantations and currently in 2014, 29,063 hectares (21%) out of total plantable area of 140,377 hectares have been planted,” states Wong.

Crude Palm Oil (CPO)

Jaya Tiasa’s CPO milling has become a profitable venture but the markets are beginning to slow down a little. Malaysia and Indonesia are the world’s largest producers of palm oil. However, the El Niño spell that hit the region since the beginning of this year is threatening supply. The prospects of a reduced output and rising global demand may push up prices, so Wong is anticipating business in the market to be in the short to medium term. China is the world’s second largest palm oil consumer after India. However, its recent economic contraction is likely to dampen the exports for palm oil, thereby easing prices. The local palm oil industry is also facing stiff competition from Indonesia, where more and more companies are turning to the sector due to its rich returns. The anticipated higher production of soya bean from Brazil and the US will cause soya bean oil prices to plunge. Canada, the world’s top producer of Canola, recorded the best harvesting record of the crop last year. Such competing vegetable oils could potentially harm the palm oil rally. The Malaysian government mandate to use B5 on 1st July 2014 and the Indonesian government recent raising

www.asiAoutlookmag.com

J a y a

T i a S a

grolite grouP

7 Key Factors in Jaya Tiasa’s Business Strategy

1. availability of resources. a sustainable log supply from natural forest and planted forest. 2. availability of a huge land bank for the development of the oil palm plantation. 3. favourable age profile of palms. 4. diversified export markets for our timber and timberbased products. 5. established product/brand in the market place with good customer relationships. 6. Strategic location: a. timber processing factories within the vicinity of the concession areas as well as a sea port providing ease of export. b. existing cpo & future cpo mills located within the estates, thus saving on transportation cost. 7. Good financial ability.

of the biodiesel mandate from 7.5% to 10% will lead to more cpo feedstock usage in biodiesel production. this will drive up the cpo demand, thus lowering inventory. this is again a positive sign for better cpo pricing. It is Jaya tiasa’s policy to ensure that their products comply with all regulatory criteria and adhere strictly to sustainable forestry and plantation practices to safeguard environmental and social values. In pursuit of this objective, they have obtained several green certifications including the CE Marking certification, which certifies that their plywood products have met european union health, safety, and environmental requirements. they have also obtained the Japanese Agricultural Standards (JaS) certification, which certifies that the quality of their plywood product meets their specific standard requirements for use in Japan; the California Air Resources

www.aSIaoutlookmag.com

Incorporated in 1992 in Sibu, Sarawak, malaysia, the grolite group of companies commenced business in small-scaled bunkering cargo. grolite expanded its range of businesses to become one of Shell’s lubricants authorised distributors in 1993 and in 1999, diversified into shipping to the aSean region. we possessed expertise in serving an ever expanding bunker and industrial markets. we have established a strong presence as a reputable and reliable petroleum products supplier in malaysia. we endeavour to adopt the industry’s best practice approach. To-date, our increasing fleet of 16 vessels are all certified by the Ship Inspection report programme (SIre), which is approved by major oil companies. our vessels are manned by 200 highly-trained crew members. we are proud to be a trusted logistic provider to major oil players and corporations. our customers are our top priority and we operate by the philosophy of Service, trust and Safety. we strive to deliver innovative, reliable, safe and smart solutions to our customers’ requests. we are greatly honoured to be Jaya tiasa’s business partner for over a decade now, and our flourishing partnership reflects grolite’s ‘on their toes’ competence and reliability to serve Jaya tiasa’s growing business needs.

dato’ wong Sie young, ceo of Jaya tiasa

tel +608 4 344622 Email grolite@grolite.com.my

www.grolite.com.my

f E a T u r E

Tel: +6084 344622 l +6084 333026 Fax: +6084 312622 Email: grolite@grolite.com.my

www.grolite.com.my

Growing Oil With You

Incorporated in 1992 in Sibu, Sarawak, Malaysia, Grolite Group of Companies commenced business in small-scaled bunkering cargo. Grolite expanded its range of businesses to become one of Shell’s Lubricants Authorised Distributors in 1993 and in 1999, diversified into shipping to the ASEAN region. We possessed expertise in serving an ever expanding bunker and industrial markets. We have established a strong presence as a reputable and reliable petroleum products supplier in Malaysia. We endeavour to adopt the industry’s best practice, and our increasing fleet of 16 vessels to-date, all certified by the Ship Inspection Report Programme (SIRE) are approved by major oil companies. Our vessels, manned by 200 highly trained crews. We are proud to be a trusted logistic provider to major oil players and corporations. Our customers are our top priority and we operate by the philosophy of Service, Trust and Safety. We strive to deliver innovative, reliable, safe and smart solutions to our customers’ requests. We are greatly honoured to be Jaya Tiasa’s business partner for over a decade now, and our flourishing partnership reflects Grolite’s ‘on their toes’ competence and reliability to serve Jaya Tiasa’s growing business needs.

www.aSIaoutlookmag.com

J a y a

T i a S a

Board (carB) certification, which verifies that their composite wood products (hardwood plywood) are in compliance with strict formaldehyde emission standards as stipulated in the california code of regulations; and the International Standards for Phytosanitary Measures No.15 (ISpm15) Wood Packaging Material Treatment Providers certification. “this final” certification is very important to us as it was awarded in recognition of our efforts to reduce the spread of timber pests associated with solid timber packing material,” cites wong.

Plywood, Veneer, Sawn timber and logs Japan has increased its import volume of panel products to meet not only the vigorous housing requirements but also in preparation for the various development projects, including the 2020 olympics games; which the country will be hosting. Jaya tiasa’s production and shipment of domestic plywood in Japan reached an all-time high this year, however demand is still much higher than the current rate of production output, something that wong is keen to address over the coming year. demand for logs in India is expected to continue at current levels, driven by the country’s needs for affordable timber for building and renovation projects. India will continue to be the key tropical log importing country.

“we are therefore optimistic of the timber market especially with development going on in India. this will help to lead the market uptrend for other countries,” says wong. “we are upbeat about the tropical log market following the myanmar ban on all exports of logs in april 2014. myanmar is asia pacific’s fifth largest log producer and third largest log exporter. with the export ban coming into effect, we expect to boost our log export quantity to India, especially the peeling grade, such as meranti and mixed light hardwood species, which were in the past reserved for the Japanese market,” wong further states, and is confident that Jaya tiasa will fill the void left in the market.

Challenging Times

oil palm plantations and wood processing mills are labour intensive industries. locals are not keen to work in such industries resulting in a huge dependency on foreign labour, particularly from Indonesia. however, Indonesia itself is also undergoing rapid development of its oil palm plantations, which requires a large domestic labour force. Its local demand coupled with its rapid increase in minimum wages and the comparatively lower costs of living are critically affecting recruitment and retention. labour shortage is generally the most pressing issue faced by all labour intensive

Projects 1. development and maintenance of oil palm plantations and sales of fresh fruit Bunches (ffB); 2. palm oil milling and sales of cpo and palm kernel; 3. extraction and sales of logs; 4. manufacturing and distribution of plywood, veneer and sawn timber; 5. development and maintenance of planted forests.

www.aSIaoutlookmag.com

Besteel BerhAD

esteel has come a long way since it began in 1983 as a small fabricator and installation company to service the general industries. now we are a leading service provider for palm oil industry in design, supply, construction, installation and commission and maintenance worldwide. Besteel is very proud to introduce a newly patented tilting Sterilizer, its greatly improving fresh fruit bunches cooking time and reducing the palm oil mill’s operating cost. It is much more than just a Tilting Sterilizer……….. titling Sterilizer is not just an economical approach to increase efficiency and productivity of milling processes and achieving higher oil extraction rate(oer), higher quality of oil, and lower rate discharge from the mills; it also a solution system to minimize the negative impact on environmental. Deforest Implementing tilting Sterilizer system only allows utilize 30% space of the horizontal sterilizer system, it will be minimum deforest while building a new palm oil processing plant. Lower power consumption and waster water discharge tilting Sterilizer system uses less steam and produces lesser waste water and oil losses, thus, in more energy efficiency and causing less severe impact on the environment.

lot 9683, kawasan perindustrian desa aman, Batu 11, desa aman, 47000 Sungai Buloh, Selangor darul ehsan, malaysia. tel +603-6156 5999 Email enquiry@besteelberhad.com

www.besteelberhad.com

f e a t u r e

www.asiAoutlookmag.com

J a y a

T i a s a

UMW

UMW’S JOURNEY BEYOND BOUNDARIES From its humble beginning as an automotive repair shop, UMW has grown into a multi-billion ringgit conglomerate with global interests in the Automotive, Equipment, Manufacturing & Engineering and Oil & Gas industries. Strategic alliances with international players have positioned UMW as a leader in the

industries in Sarawak, with the plantation sector most severely affected due to its less conducive working environment. Another factor affecting the industry is the increase in overall costs involved, such as labour costs, resulting from the implementation of the new minimum wage policy, products such as fertilisers, pesticides, machineries and spare parts. All of these have significantly increased production cost, which in turn are also adversely impacting the bottom line of the Group. Wong is also mindful of obstacles the Group face that they have no control over: “Inclement weather is another critical issue that affects our operations causing less favourable harvesting, inconsistent supply and transportation problems. This is worsened by the current unpredictable and chaotic weather pattern which undermines planning.” One area that Wong is keen to address in the market is how to remain competitive amidst strong competition from other market players, who are producing different brands and/or substitute products. With the consumers always looking for cheaper ways to buy products at the expense

of quality, the imitation market is growing stronger and genuine companies have found it to be a frustrating problem.

Diversification and Success

Jaya Tiasa have been strategically diversifying their operations into the oil palm business, which has become a booming one in recent years. The Group have successfully planted a total area of 65,005 hectares, of which 55,438 hectares have matured as at 31st March 2014. The commissioning of their second CPO mill in 2013 has been very successful in supporting the higher crop levels from their surrounding plantations. “We have invested heavily in machineries to assist in our field operations, especially in the area of infield FFB evacuation. Mechanisation has greatly increased the productivity of the workers and hence mitigated the dependency on more labour,” Wong states. The success of Jaya Tiasa’s market diversification strategy is another noteworthy achievement. With the export of quality logs and wood-based products to more than 10 countries, the Group have one of the most diversified export sales markets among the Malaysian timber companies, which puts them in a commanding position in the Asia lumber market.

www.asiAoutlookmag.com

industries it serves. UMW is No 1 in the local automotive industry. Its Heavy Equipment Division has a strong market share of 30% in Malaysia. UMW Industries is one of the Top 10 distributors of Toyota material handling equipment in the world. Globally, it is the only Diamond Member (the highest elite tier) in the Premier Club Recognition Programme, awarded by Toyota Material Handling International. UMW’s association with Jaya Tiasa began in the mid-1980s. With some of Jaya Tiasa’s operations located in remote areas, reliable products coupled with efficient support was crucial to their success. UMW was more than happy to step up to the plate. The relationship between the two entities continue to remain strong. In adopting the rallying call of Beyond Boundaries, UMW continues to transcend barriers, overcoming all obstacles to deliver excellent products and services that stand the test of time.

www.umw.com.my

UMW Holdings Berhad (090278-P) 3rd Floor, The Corporate, No. 10, Jalan Utas 15/7, Batu Tiga Industrial Estate, 40200 Shah Alam, Selangor Darul Ehsan, Malaysia.

J a y a

T i a s a

Jaya Tiasa have in place a highly effective transport system and a strong logistics team, meaning Jaya Tiasa can transport their log stock, either for sale or for downstream processing, within the allotted time and always with no damage to the product. The Group pride themselves on ensuring that all logs harvested are either sold, converted to panel products or utilised and delivered on time. Wong, however, is always on the lookout for potential new ways to further streamline the business model and increase production level. “Perhaps, the most immediate improvement I would like is to implement more mechanisation initiatives at our estates, including the use of the bin system for sending FFB to the mills. Eventually, we hope to mechanise crop and field maintenance where possible, but this is more of a future plan than a current one,” he remarks.

A Trend in Need

The Malaysian government has initiated the Malaysian Sustainable Palm Oil (MSPO) and the Sarawak Oil Palm Plantation Owners Association

(SOPPOA) has reaffirmed its commitment to adopt MSPO for the local oil palm industry. Many local planters have expressed their positive feedback on MSPO. “We also welcome this certification that takes into consideration the state geographic and economic conditions, and can really benefit us in the long run,” says Wong. At this present moment, palm oil milling companies are under increasing pressure from the government to reduce the industry’s environmental impacts. More and more are looking to build composting plants to convert the palm oil milling wastes into organic fertilisers. The compost is a nutrient supplement for the healthy growth of the palm trees, which will help to increase the FFB yield and thus generate more revenue for the plantation. The present labour supply shortcoming has compelled the plantation industry to maximise mechanisation to improve operation and reduce dependency on manual labour. There is definitely an accelerating deployment of some form of mechanisation in the industry. Although mechanisation is popularly

PKSJ PKSJ Fertilizers specializes in Nutrient Supply for oil palm planting in severe Tropical Peat Soil. With 30 years experience, our formulations & technologies are selfdeveloped in house by our scientists. We innovate our products for high performance & convenience. Our strength lies in our product innovation, precision engineering and agronomical expertise with strict emphasis on high product performance. Our production platform is revolutionary, allowing for custom made orders. We work in partnership with our customers, such as Jaya Tiasa Bhd who look for company with outstanding reputation in quality, product performance and on-time deliveries. At PKSJ, its all about performance. Tel 03-9274 3394 Email info@pksj.com.my

www.pksj.com.my

Boilermech

t Boilermech, renewable energy is everything to us. From palm oil mills to refinery, we are keen on empowering our future as shown in our partnership with Jaya Tiasa. We strive to improve ourselves every day. From the way we design our boilers, the way we approach our projects, and how we interact with our clients, as we strive to bring our best to create the best environment. As we take a new approach in this 200 year old technology, let us show you why we are leading the market in Malaysia in the boiler industry. Tel 603-80239137 Email sales@boilermech.com

www.boilermech.com

www.asiAoutlookmag.com

J a y a

T i a S a

oiL PaLm DiVision

• pursue 25% growth in ffB production for the coming year. the oil palm division is expected to be a major contributor to the group’s earnings in the future. currently it contributes about 30% of the total group revenue • Explore opportunities to increase plantation hectarage • plan to build and commission the fourth Cpo mill next year to meet the higher crop levels from nearby plantations

We have an unwavering commitment to our vision and mission statement throughout the Group and I will continue to ensure that this is shown throughout our work and projects”

being used for in field ffB evacuation, many are also trying to mechanise other aspects of the field operation. the malaysian palm oil Board has done some research on mechanisation and is keenly promoting it to overcome the labour shortage. Jaya tiasa hope to capitalise on their findings and industry feedback in order to find the most suitable mechanisation to deploy.

Optimising the Future

Jaya tiasa have built up a successful group, not just by looking at short term goals and gains, but rather looking towards medium and long term plans. wong says that the group have outlined strong plans for the

PLyWooD DiVision

• invest in machinery upgrading to peel logs of smaller diameter to increase wood recovery rate • increase flexibility in the deployment of resources and to closely monitor the cost of production • Continue upgrading existing plywood products by focusing on producing and exporting valueadded products for niche markets which offer premium pricing • Concentrate on supplying certified plywood products to effectively exploit a rising number of markets that demand certified wood products

www.aSIaoutlookmag.com

siMe DArBy Sime Darby Seeds & Agricultural Services Sdn Bhd Company Profile Sime darby Seeds & agricultural Services Sdn Bhd (SdSaS) is a wholly owned subsidiary of Sime darby plantation Sendirian Berhad. SdSaS is the commercial arm of the Sime darby plantation’s research & development centre. Its primary objective is to market products and technologies developed by the r&d centre and management expertise in plantation crops to customers outside the Sime darby group in malaysia and 20 other countries worldwide. SdSaS is supported and backed by more than 250 years research works in plantation crops. our products and Services:dXp oil palm planting materials; gh 500 Series and guthrie plantation management and advisory agronomy services tel +(603) 3120 1845 Email sdsas@simedarby.com

www.simedarbyplantation.com group’s growth in short and long term options: “In brief, our short term plan is to strengthen current measures to improve operational efficiency and effectiveness across all our business divisions, and to intensify our marketing strategy in exploring new opportunities for greater market penetration. our long term plan is to seize any opportunities that may arise for expansion, as well as continuously developing the existing businesses to create value for shareholders.” The supply chain is very significant to Jaya tiasa’s business operations and is very important to their customers. “we need a smooth and continuous chain from our vendors and contractors who supply the necessary goods and services to enable us to produce, sell and tailor our products, and to deliver them to our buyers in a timely fashion in order to remain in the competitive market. we need effective, expedient and reliable partners who can ensure product quality

Dai Lieng Dai Lieng core business activities are to supply and to provide after sales support of heavy machineries and equipment for construction, commercial transport, forestry, plantation, shipbuilding and other industrial sectors.

The New Advanced Planting Material

Dai Lieng is the authorized dealer for Kobelco Hydraulic Excavators and Hydraulic Cranes, Volvo Trucks & Renault Trucks, Kioti Agriculture Tractor, Hiab Cargo Crane, Multilift Hooklift System, HAMM Compactor, Volvo Penta Marine and Industrial Diesel Engines. Potential oil yield of nearly 10mt/ha/yr Potential FFB yield of 40mt/ha/yr Faster fresh fruit bunch (FFB) production

Mesocarp produces more oil per fruit

Tel: 6-085-655855 Fax: 6-085-655618 (General) | 6-085-660600 (Parts) General Enquiry: info@dailieng.com.my Sales & Marketing: sales@dailieng.com.my Parts Enquiry: partshq@dailieng.com.my Lot 2541, Jalan Manettia, Piasau Lorong 8, Pujut-Lutong Road, 98000 Miri, Sarawak

More efficient field operations

is our latest breakthrough from more than 80 years of breeding and selection. Bred from elite parental lines of Deli dura and AVROS pisifera.

Other DxP products GH 500 Series

Guthrie DxP

HRU DxP

SIME DARBY SEEDS & AGRICULTURAL SERVICES SDN BHD (144603-H) T F E

: +(603) 3120 1845 : +(603) 3120 1311 : sdsas@simedarby.com

KM 10, Jalan Banting-Kelanang, P.O. Box 207, 42700 Banting, Selangor Darul Ehsan, Malaysia www.simedarbyplantation.com

www.aSIaoutlookmag.com

J a y a

T i a S a

because we are very conscious of our image,” wong explains. Jaya tiasa will import contractors with specific areas of expertise and heavy machineries, but wherever possible, they will always try to source locally due to their continued commitment to boost the malaysian economy and stay a truly malaysian company.

Belief and Values Breed success

Jaya tiasa are guided by the fundamental beliefs that certain organisational values must be in place and these values take precedence alongside the need to make a profit. Such beliefs include the need to strike a balance between their financial and non-financial performance, by placing greater emphasis on being a socially and environmentally responsible group. Jaya tiasa also believe in having an effective and efficient management to formulate fast and responsive long and short term strategies in all areas to ensure they emerge with the competitive edge. finally, the group always place collaboration and recognition of contributions at all levels among staff as a top priority. “we have an unwavering commitment to our vision and mission statement throughout the group and I will continue to ensure that this is shown throughout our work and projects,” says wong.

Proud of csr

corporate Social responsibility (cSr) plays a very important role at Jaya tiasa as they strongly believe that being socially and environmentally responsible is the key to the sustainability of their long term business success. “we have to ensure our sustainable operation will continue to benefit the communities in which we operate, both environmentally and socially,” wong explains. he goes on to mention that: “we have always been active in cSr activities and over the

www.aSIaoutlookmag.com

LoGGinG DiVision

• Continue to emphasise and enforce good forest management • improve operational efficiency through stringent monitoring of logging equipment and machines to ensure optimal utilisation • prominent logistic planning to ensure timely production and delivery to safeguard the quality of logs and to improve grading for better pricing • implement a phased approach to obtain forest management certification

rEforEstation DiVision

• Continue to invest for the future viability of the group in keeping with the world’s move towards conservation of natural forests and ensuring the sustainability of forest resources • Endeavour to add reforestation area while focusing on improving workforce management, enhancing work standards and engaging more contractors and manpower for the project • Strengthen research and development • planted forests require a maturity period of 12 to 15 years in order to provide commercially exploitable timber. In this respect, the forest plantations division is anticipated to positively contribute to the group’s earnings by the year 2022.

Itâ&#x20AC;&#x2122;s in Our Nature

GEA Westfalia Separator (Malaysia) Sdn Bhd

Company No. 65234-A No. 25 Jalan SS 25/41, Mayang Industrial Park 47301 Petaling Jaya, Selangor Darul Ehsan Tel: 603 7804 0807 | Fax : 603 7804 0724 | www.gea.com

engineering for a better world

www.asiAoutlookmag.com

J a y a

T i a s a

years have organised various charity drives for the autistic society, refuge centre, kidney foundation, and other local society care centres.” Jaya Tiasa were recently honoured with another award by the Malaysian Red Crescent for their annual Give Blood, Save Life blood donation drive last year, which helped saved lives as well as replenishing the local hospital’s blood bank. It is an award that they have received for the fourth year running and it is a testimony to their continuing commitment to contributing in society. When it comes to the workplace, Jaya Tiasa are constantly striving to become the best employer; their corporate mantra is to be the ‘Employer of Choice’. “One of our aims is to provide a supportive working environment in which all employees receive the relevant training in their area of work so that they will work more effectively and productively, as well as enhancing their professional development. We have a training and development department wholly dedicated to organising these trainings to upgrade the knowledge and skills of our workers to meet our business goals,” says Wong, who is very proud of Jaya Tiasa’s staff training initiatives. Jaya Tiasa also believes in the development and maintenance of a balanced, healthy, and conducive work environment for continuous learning and personal growth. They try to achieve this by striking a work-life balance and promote healthy living for their employees with the holding of recreational and sports activities, annual dinners, festive gatherings and vacation trips.

Safety First

Safety in the work place is the highest priority for the Group. The Safety and Health Department conduct frequent quality audits and safety checks at individual sites all year round to ensure

www.asiAoutlookmag.com

RHB Insurance Berhad

HB Insurance was incorporated on June 1, 1979. It is a subsidiary of RHB Banking Group, the fourth largest integrated financial services group in Malaysia. It offers a wide range of solutions tailored to meet the demand of a vast clientele. Various classes of general insurance products available are motor, personal accident, medical, property, travel, liability, marine, engineering and others. In RHB Insurance, we work hard to give a better value by providing customers with value added services, accurate protection and maximized savings. Tel +603 2180 3000 Email rhbi.general@rhbgroup.com

www.rhbgroup.com

that all safety requirements and precautions are strictly observed. A series of in-house training seminars on safety and health such as fire-fighting and fire drills, as well as workshops to create awareness on occupational hazards and promote workplace/ environmental safety and cleanliness, are organised and take place throughout the year. Jaya Tiasa’s operations boast the highest environmental standards and are in compliance with environmental laws and regulations. In the Group’s daily logging operations, they are using the Reduce Impact Logging (RIL) techniques to minimise the negative impact of log harvesting on the environment and wildlife. “We are very much aware that deforestation causes climate change; hence forests are regenerated through our reforestation efforts to reduce global warming. Currently, three ongoing forest plantation projects involving a total

area of more than 235,000 hectares are being carried out by us,” proclaims Wong. For their oil palm division, Jaya Tiasa practice zero burning during land clearing and have adopted good agricultural practices in water management, manuring and weeding. In controlling pests, they have vastly reduced dependency on the usage of chemical pesticides by adopting biological controls and integrated pest management practices involving the use of light traps and planting of beneficial plants. By-products such as Mesocarp fibre and palm kernel shells are utilised as feedstock for power generation in Jaya Tiasa’s palm oil mills. Empty fruit bunches (EFB) are recycled for application in the fields as mulch, whereas palm oil mill effluents (POME) are biologically treated before being discharged to the watercourse. The Group have also built a composting plant at one of their CPO mills to turn oil mill wastes into bio-organic fertilisers, which can then be used on the plantations. “We are a responsible Group and believe in a clean living environment. Three of our subsidiary oil palm companies have enlisted specialist companies to set up a bio-digester system to ensure that no hazardous gases are being released into the environment by routing the trapped gas emitted to our CPO mills as clean and renewable fuel,” says Wong.

www.asiAoutlookmag.com

J IAN

HUANG

Constructing Singa pore

www.asiAoutlookmag.com

Jian Huang are delivering high quality projects for the burgeoning construction market in Singapore Writer Matt Bone Project Manager Ben Wigger

ince they began operating in 1996, Jian Huang have built up a striking track record of strong construction projects, performance and have consistently delivered a high quality end-product and service to their clients. However, not only do the company work on construction projects, Jian Huang also have vast experience in project management services, rental and sale of equipment and green building material supply. Yew BC, General Manager, Construction Division of Jian Huang, believes that what sets Jian Huang apart from other construction companies in Singapore is that they do not just build the project, but rather help the design and enhance the value of the project alongside the client. “We have a team of highly skilled managers who work very closely with our clients and panel of consultants to create the perfect building project,” BC states.

Consultancy and Construction

Jian Huang have been completing, on average, 3-4 projects in the role of main contractor each year since 2007 and show no signs of slowing down. Now this may not sound like a lot, but when you consider that one of these projects was to design and construct a multi-million dollar, 5 storey, multiple user industrial development for US semi conductor manufacturers Kulicke & Soffa- which will include areas for the company’s corporate, manufacturing R&D departments- the numbers are much more impressive. Jian Huang have become a vertically integrated construction company, boasting a work force of 450 and 120 office staff, who pride themselves on always having the in house skilled workers to fulfil any and all requirements of their clients, whether it be design

www.asiAoutlookmag.com

J i a N

h u a N G

and build architects or designers through to building experts and specialist contractors. “We are firm believers that having the highest quality workers and staff is as important to the company as having the best equipment. after all, what good is designing an amazing project if you cannot implement it properly,” cites Bc. Jian huang have a diverse selection of competencies for the burgeoning construction market in Singapore. although construction is the core aspect of their business model, project management and building material supplies also make up a good proportion of the company’s portfolio. Jian huang have recently undertaken the tender to build a large retail/warehouse in Singapore, once completed it will become their largest project and one of the largest in Singapore in terms of budget and physical size, to date.

8 core Values

• Professional Ethics • Serious Attitude • Sense of Responsibility • Integrity • Principled • Maintain a Good relationship • Teamwork • Ability to Take up challenges

these eight core values are implemented into every project Jian huang undertake no matter the size or budget. It is this approach to business that Bc believes has made Jian huang the success it is today. “no matter what the project size, we believe that by following and implementing the eight core values of Jian huang in everything we do, the client will always be happy with our work, and we will always have created the highest quality construction possible.” Jian huang prides themselves on having a strong conviction when it comes to “safety, quality, costeffectiveness and onetime delivery.” this mantra has enabled the company to grow from strength to strength in recent years. In line with this philosophy, in 2004 the company achieved certification for the iSo 9001:2000, ISo 14001 and ohSaS 18001. they have also developed their Integrated management System to serve clients with added fervour. In addition, they have also achieved Singapore BizSafe Star and BizSafe partner status. “with the company’s total commitment to safety, quality, cost eﬀectiveness and time delivery and our strong emphasis on training and the development of personnel, we have developed and retained a pool of dedicated, competent and professional staff to meet all challenges,” Bc remarks.

challenges encourage Competitiveness one of the bigger problems currently facing Jian huang is the lack of manpower currently available for the construction industry. governmental bodies and regulatory commissions have clamped down on the number of foreign workers employed by Singapore based companies, which has been difficult to work around. “in our industry, having the highest skilled

www.aSIaoutlookmag.com

DBs BAnK

dBS - living, Breathing asia dBS is a leading financial services group in asia, with over 250 branches across 17 markets. headquartered and listed in Singapore, dBS has a growing presence in the three key asian axes of growth: greater china, Southeast asia and South asia. the bank’s capital position, as well as “aa-” and “aa1” credit ratings, is among the highest in Asia-pacific. dBS has been recognised for its leadership in the region, having been named “asia’s Best Bank” by the Banker, a member of the financial times group, and “Best Bank in asiapacific” by Global finance. The bank has also been named “Safest Bank in Asia” by Global finance for five consecutive years from 2009 to 2013. dBS provides a full range of services in consumer, Sme and corporate banking activities across asia. as a bank born and bred in asia, dBS understands the intricacies of doing business in the region’s most dynamic markets. these market insights and regional connectivity have helped to drive the bank’s growth as it sets out to be the asian bank of choice. tel +65 6222 2200 Businesscare 1800 222 2200

www.dbs.com.sg/sme

f e a t u r e

DBS SME Banking. Growing your business is our business.

We are

your partner to greater opportunities across Asia In Asia’s fast-changing business landscape, you need a partner that truly understands the intricacies of doing business in Asia. At DBS, we have been partnering SMEs in growing their businesses across Asia such as Singapore, Hong Kong, Indonesia, China, Taiwan and India. Because of our unique Asian expertise, we deliver fresh thinking and best-suited solutions to give your business an advantage. We also offer a comprehensive suite of business solutions, from cash management products delivered by the cutting-edge DBS IDEAL™ 3.0 to services ranging from trade finance to treasury and capital markets. Partner us today, because we make growing your business our business. Visit our website or contact DBS BusinessCare at 1800 222 2200, or +65 6222 2200 (from overseas) to start a relationship today. www.dbs.com.sg/sme

DBS. Living, Breathing Asia

DBS IDEAL™ 3.0 Scan to discover how we have revolutionised corporate internet banking for you.

Asia’s Safest, Asia’s Best Safest Bank, Asia 2009 – 2013, Global Finance Best Managed Bank, Asia Pac 2013, The Asian Banker Best Bank, Asia Pac 2014, Global Finance

www.asiAoutlookmag.com

J i a n

H u a ng

workers is paramount for our success. While we do have on the job training, which has proved very successful, it is not designed for people who do not have a good understanding of the construction sector and the relevant set of skills in place. With the restrictions on foreign workers being imposed, we have had to look at new ways of enticing and creating quality staff for our company and ease our reliance on foreign workers,” remarks BC. Productivity is another challenge that Jian Huang has been competing against in recent years. Construction is a time consuming industry and now because of changes being implemented on a national level, a lot more of the workers need training. Subsequently, BC has found that productivity is not at an optimum level

and is looking at new ways to help increase productivity. “We are always looking at new ways to help promote our productivity. We know this will be a long process and there is no magic answer, but with the right investment and training given to our staff, we will soon be working much more productively,” says BC, who goes on to mention that Jian Huang are already seeing results from this training.”

Success Projects

The last 12 months have been impressive for Jian Huang. The company successfully completed five major projects during this time, including the building of a 5 storey ramp-up warehouse building on behalf of Mapletree Logistics Trust Management Ltd, a 2 storey factory

www.asiAoutlookmag.com

building with ancillary office for Teck Leong Industries Pte Ltd, a 5-storey industrial building with ancillary office for HSL Constructor Pte Ltd, a 5-storey multi user industrial building with ancillary office for Kulicke & Soffa and a 3-block of 20-storey residential building. Jian Huang are careful not to take on too many projects at once and then find themselves unable to deliver on time and on budget, something that BC is mindful of: “Of course we want to have as many projects as possible, but one thing we do not want to do is try and take on more projects than we can handle. That would be very bad for business as we pride ourselves on always completing a project on time and on budget. We have had great success so far by going about our

const

business this way and I do not see a need to change that any time soon.” One area that Jian Huang has been focusing on is the building of logistic and warehouse spaces for large international companies. With Singapore being widely regarded as the top business and logistic hub in the region, more and more companies are looking towards Singapore as a base of operations and Jian Huang are keen to ensure they are the prominent name in constructing new warehouses. “We have already completed several key warehousing projects and we are looking to continue working with companies to facilitate their construction needs in Singapore. There is a growing trend of companies using Singapore for their businesses and we are striving to become the preferred construction company for them,” said BC. By adding value to every project they undertake and nurturing strong relationships with their clients, BC believes that Jian Huang will “be a force to compete with” in the coming years. Utilising a strong set of values at the heart of every project, gaining stability from a dedicated workforce and a coherent management team, who are always looking to ensure their workers are highly trained and always adhere to safety procedures, Jian Huang have all the skills needed to cement their position as market leaders in Singapore’s construction industry for many years to come.

www.asiAoutlookmag.com

A l f a

T e c h

V e s t

A s ia

Project Management A Vested Interest in

Alfa Tech Vest Asia delivers excellent customer service and project managing capabilities for Projects in Singapore and SE Asia Writer Matt Bone Project Manager James Mitchell

www.asiAoutlookmag.com

lfa Tech Vest Asia (ATVA) is a vertically integrated consultancy firm that focuses on turnkey design and build projects. The company, based in Singapore, offers a service from start to finish on projects and is usually appointed directly by a client with specific needs. ATVA is part of the Alfa Tech Consulting Enterprise, first established in California’s Silicon Valley in 1987; today the company has offices throughout the United States, Europe and Asia. ATVA prides itself in its excellent customer service and project managing capabilities, often going so far as to step into the Owner’s Representative role for their clients in order to negotiate with the government, utilities or helping settle leases with landlords. As a representative for many companies based in the United States, ATVA is able to translate the differences in culture and lifestyle between the West and East to facilitate the move to an ASEAN base of operation. Managing Director Zach Wilson, explains that the dominant factor that differentiates the company from the competition is that: “At all levels of the company, staff are not just project managers they are technical experts who manage projects [… ] bringing high skill levels and always looking at new and innovative ways to serve our clients on their projects.”

Always on Hand

Project managers from other companies may have to coordinate many different experts to bring a project together, as they may not have the same level of experts and specialists on their staff, as ATVA does. Wilson is proud of how the employees of ATVA are experts in their various fields: “The project managers are armed with industry knowledge and experience

www.asiAoutlookmag.com

A l f a

T e c h

V e s t

A s i a

and are therefore equipped, and empowered to make suitable decisions on their projects, not just glorified labor brokers like so many others.” With representative offices and employees around the world, Alfa Tech has amassed a team of over 300 professionals, who bring the project from its starting phase through to completion with experience and advice. ATVA is always willing to go the extra mile by not only designing, building and then handing over the project, as ATVA often continues to manage the facility as well. This places them ahead of their competitors as this is an additional level of service that is not always available in Singapore. Through this additional level of service, ATVA has gathered a portfolio of loyal customers who account for over 60 percent of the business revenue for the year. “We have an opportunity right now to step in and bring the same level of service that we have been providing on the consultancy and project management side to the facility management industry and really create happy and long standing customers,” highlights Wilson. AVTA places a high emphasis on their drive for excellent customer service including honesty and transparency, and Wilson firmly believes this is the key to the company’s success: “When there is a problem in our project, we are always the first one to highlight it and our clients appreciate that; we really want to show our clients everything that goes on and that nothing is ever hidden. Of course we always bring options to resolve the problem as well.”

Developing Resources

As well as increasing their foothold in facility management, ATVA is currently moving more digital assets to South East Asia and are working with clients and research institutes to redefine the ways in which they build these resources in Singapore. Singapore is a

www.asiAoutlookmag.com

difficult environment for computing resources due to cooling problems in the tropical climate, therefore improvements in this sector will further Singapore’s data storage market place and Wilson hopes to see real progress in the next few months. “I am a firm believer that this is an untapped market in the country and we can really capitalise and grow our footprint very quickly, by utilising our vast knowledge base and creating new, innovative ideas for the sector”, he remarks. A big initiative in 2014 for ATVA is the development of facility management software which helps the user to track building performance, with capital expenditure projects and with small move-add-change requests, all through a convenient online portal. In order to secure their customers the best deal, ATVA has a hard-line on the deals they receive whilst procuring the economical and validated materials for a project. This creates savings for the client as well as the company and is one of the reasons why ATVA source their materials internationally. However, they are always open to any procurement opportunities in Asia, as materials are often difficult to procure in Singapore.

Ahead of the Curve

The Singaporean Government recently introduced a Foreign Worker Levy to maximise the employment of Singapore

locals and boost the country’s economy. This has had a large impact on how companies conduct business, however Zach Wilson outlines how thinking ahead is beneficial: “We like to be ahead of the curve, for instance the shift in Ministry of Manpower guidelines for hiring foreign workers has forced us to change our hiring processes. We keep a close eye on trends in government and we saw the move coming early on. My partners and I sat down and said that we need to look at alternative options and we began hiring experienced and specialist Singaporean workers before it became mandatory.” The company does keep a close eye on any possible legislation changes, but they also look to take advantage of changing situations quickly. By staying one step ahead of the market, the company have been able to participate in a tender for a research and development eco campus project at the Nanyang Technological University (NTU). “We are very excited about being able to help shape the policy and be a big part of the process, we want to be involved in policy, not just projects and this allows us the opportunity to be an example to other companies. As a flexible company, with likeminded partners, it is easier to make decisions and chase new opportunities and initiatives to keep serving our clients better each day,” cites Wilson.

www.asiAoutlookmag.com

s o s a J b

p r o p e r t y

M a n a g e M e n t

Property p r e f e r r e d

SosaJB property management says that investing in their staff is one of the key components for success Writer Matt Bone Project Manager Arron Rampling

osaJB property management corp. is an 100% filipinoowned and family-run, management company, formed in 2010. the company’s deep understanding of the culture, needs and expectations of the local market coupled with an inherent sense of filipino hospitality, gives them a distinct edge over the competition in their ability to promptly and appropriately satisfy and exceed client expectation.

www.aSIaoutlookmag.com

Jeff Sosa, founder and CEo of SosaJB, is keen to point out that the company is not just another property management company, but one that offers so much more to its clients: “we are committed to provide superior property management services through the unmatched value we place on service excellence, innovation and continuous improvement – all of which are values that differentiate us from our competitors.”

managers in the philippines

Investing in Staﬀ

as well as being proud of their customer care, SosaJB are proud of their employee care. Sosa has been instrumental in creating a new company culture by driving forward a strong commitment to human resources, and to find and train the best possible employees for the company. now this does not mean that Sosa will only hire the best. he is a firm believer that if you are willing to spend the time and money training

people to become the best, then that is exactly what they will do. “we truly care for our staff and employees. We want to make sure they are the best trained and the most content in their job roles in the whole of the country. we have created a culture here where the new and less experienced can learn from the older and experienced members of the management team. also, the older members of the team can learn new techniques from the younger generations.”

this unique mix of generational awareness allows SosaJB to arrive at effective strategies for the business, because the somewhat modern approach will not work as well as a more tried and tested one. Sosa is also a strong advocate of working with people who have disability, and will continue to follow this principle, as “their disabilities do not stop them doing great work, they are just as motivated and skilled as anyone else and have become integral members of the company.”

www.aSIaoutlookmag.com

S os a J B

P r ope r t y

M a n a ge m ent

Substantial Growth

SosaJB have seen very good growth in the last 3 years and show no signs of letting up. “In 2010 we had 56 employees, with 12 properties having a combined value of US$39.58 million. Now, in 2014, we have 229 staff and manage 40 properties with a value of US$511.26 million. Our revenue was US$1.036 million in 2013 and we have projected revenue of US$1.93 million for this year,” remarked Sosa. One of the biggest reasons for this large rise in such a short space of time is the company’s vision, which highlights opportunity in the Philippines’ residential market. Although the Philippines. Although the business sector often utilise property management firms, residential buildings, such as condos, are turning to companies such as SosaJB as a cost-effective solution to property

www.asiAoutlookmag.com

management; and with the boom in residential construction, there are more and more clients waiting to hire the services of such companies. “We have seen a big rise in the number of residential buildings on our books in recent months. With the boom in construction in that sector, and because we offer such a competitive and cost effective service, we have begun to acquire a lot of portfolio properties in this sector. It is a great chance for us to diversify into the residential market with greater emphasis,” cites Sosa.

Challenging the Changes

The skills shortage in the Philippines is not just down to a lack of learning at a younger age, but also from foreign companies who are head hunting recruits to work for them outside of the country. This has been one

ope

problem that has a resounding effect on all businesses in the Philippines, not just in property management. Secondly, with the growth of a company comes a need for more workers, and in the property management industry, skilled workers are becoming harder to find. SosaJB are aware of the number of unskilled workers looking to join the industry without any relevant formal qualifications, rising in recent years. It is not because the workers did not want to undertake any formal training, but because the further education available to them in the Philippines is just not tailored to a niche market like property management. â&#x20AC;&#x153;With the lack of trained, skilled workers coming through the schooling system, we have begun investing heavily in on the job training, and partnering with some schools to gain certifications

www.asiAoutlookmag.com

S o s a J B

P r o p e r t y

from the Building Owners and Managers Association (BOMA), in order to provide courses that will help graduates better understand the nature of the industry and the work involved,” explains Sosa.

Many Hands Make Light Work

Property Management has a bigger supply chain than many people might think. It is not just managers keeping an eye on the properties but also includes cleaners, janitors, security, electricians, plumbers and many other human assets that keep a property running smoothly. SosaJB has a plethora of contractors with whom they have a first-rate relationship based on two clear principles: Honesty and trust. “For every contractor that we have a professional relationship with, we always rely on two things to keep our working practices flowing: Trust and honesty. If a contractor does a good job and keeps doing that job well, we will stick with them. If a problem arises, we will always take ownership of that problem and rectify the matter quickly and with minimum inconvenience, just as we would expect our contractors to do the same,” explains Sosa. SosaJB are currently undergoing certification for ISO:9001 and they hope to be certified by the end of this year. This qualification enables them to achieve international quality management standards.

M a n a g e m e n t

our strong client relationships and our supply network. We offer something that is not seen in many Filipino property companies, and that is local knowledge combined with professional standards. We are not in this industry to just make money, we do this job because we really love our work and take great pride in the properties we manage.” SosaJB are certainly heading in the right direction to become the preferred property management company in the Philippines and have even been awarded a new tender to manage all the branches of one of the top ten universal banks in the country. Home Kings, SosaJB’s new residential initiative, has already seen a strong following in the country. The service offers air-con maintenance, home cleaning services, plumbing and sanitary services, electrical safety and maintenance as well as building works and pest control. Currently this service is being used by over 200 homes and

Philippines Preferred Property Managers SosaJB have one future plan: to become the most sought after property management company in the Philippines. With their continued success in the market, it is little wonder that Sosa is convinced his company can really offer something different to the sector, as he explains: “I think we can make a big difference to the market with our truly professional service,

www.asiAoutlookmag.com

dimensional service DSC was established in March of 1994 with dedicated, serviceoriented individuals intent on providing livelihood for hard working individuals through “Service that Makes Sense” with full commitment on Service Excellence. DSC, now in its 20th year in service, has become one of the most trusted and reliable service providers in the industry nationwide. Partnering with the best property management companies like JB Sosa shows our adherence to quality service expectations. Fully committed to customer service and satisfaction, we have strategically placed our offices all over the Philippines to meet the needs of our client base. Tel +63 2 826-9021/25 Email lcv.dsc@gmail.com / bpp.dsc@gmail.com

www.dimensionalservice.com

Call us anytime. 843-4343 Ioc. 2139 Email: dsc@dimensionalservice.com www.dimensionalservice.com

CLEANERS ON-CALL 24/7

SERVICE THAT MAKES SENSE SPECIALIZING IN: • CUSTODIAL AND UTILITY MANPOWER • EXTERIOR FAÇADE CLEANING • DEEP GENERAL CLEANING • CARPET & UPHOLSTERY CLEANING MAIN OFFICE: 161 Aguirre Ave. B F Homes Subd., Parañaque City, M.M. 826-9021 • 826-9024 • 826-9025 826-9026 • 826-9028 • Fax: 825-9721

CEBU BRANCH: No. 139 Acasia St., Kamputhaw, Cebu City (032) 417-1314 E-mail: dsc_cebu@dimensionalservice.com

MAKATI OFFICE: G-22 South Star Plaza, South Super Highway, Makati City 894-2310 • 813-1725 • Fax: 892-6861 E-mail: dsc_makati@dimensionalservice.com

BAGUIO CITY BRANCH: 20 NG CHA Bldg., 59 F Yantoc St., Baguio City (074) 446-6722 E-mail: dsc_baguio@dimensionalservice.com

ILOILO BRANCH: No. 36 Commission Civil St., Jaro, Iloilo City (033) 509-6305

TESDA REGISTERED

condos in the country, but Sosa is confident this number will rise over the coming year: “We have seen a strong start to our Home Kings, with just over 200 homes currently using the service regularly. We are aiming to have over 1000 homes using the service by next year, and we firmly believe this target is achievable as the service we offer is very specialist and it can be tailored to suit your needs.” When it comes down to building a successful company from the ground up, Sosa has no qualms in explaining just what his secret is: Investing in your staff. “Strengthening our employees’ core and personal skills has been a huge benefit to the company. It gives our employees a new skill set to work with and utilise while on the job. From this we have seen a growing loyalty among our staff and this is invaluable to us. Keeping our best staff will allow the company to continue to grow,” Sosa surmises.

www.asiAoutlookmag.com

25th Malaysia International SIGN and LED Putra World Trade Centre Malaysia

19-22 June 2014 www.malaysiasign.com

ents Construction Materials Expo Asia

Hall 5, IMPACT Exhibition Centre Bangkok Thailand

18-20 September 2014 www.consmat-asia.com

International Industrial Machinery Exhibition (IIME) Also appearing: Vietnam International Construction and Building Exhibition (VICB) @ Saigon Exhibition Convention Centre Vietnam

26-28 June 2014

www.construction-vietnam.com

Concrete Expo Asia

Hall 6, IMPACT Exhibition Centre Bangkok Thailand

18-20 September 2014 www.concrete-asia.com

22-26 August 2014 www.hpair.org

Luxury China Show

www.luxurychina.com

RSA Conference Asia Pacific & Japan Marina Bay Sands Singapore

2 2 - 2 3 J u ly 2 0 1 4 www.rsaconference.com

www.asiAoutlookmag.com

18-20 September 2014 www.pulire-asiapacific.com

Singapore Jewellery and Gem Fair Marina Bay Sands Singapore

2 3 - 2 6 O c to b e r 2 0 1 4

www.singaporejewellerygemfair.com

Asia Pacific Conference for Deans and Directors

BMAM Expo Asia

2 9 - 3 1 O c to b e r 2 0 1 4

18-20 September 2014

6th Annual Conference on Education

Hall 5, IMPACT Exhibition Centre Bangkok Thailand www.maintenance-asia.com

Beijing Exhibition Centre Beijing

4 - 6 J u ly 2 0 1 4

Hall 4, IMPACT Exhibition Centre Bangkok Thailand

Kuala Lumpur Malaysia

HPAIR 2014 Asia Conference Keio University Tokyo

PULIRE Asia Pacific

Green Buildings and Retrofits Expo Asia Hall 5, IMPACT Exhibition Centre Bangkok Thailand

18-20 September 2014 www.greenbuilding-asia.com

www.mbaworld.com

Rihga Royal Hotel Osaka Japan

28 Oct - 2 Nov 2014 www.iafor.org

Asia-Pacific Social Science Conference Kuala Lumpur Malaysia

7-9 November 2014 www.apssc.org

PRODUCT RANGE Our emphasis is on competitive pricing, consistent quality products and excellent after-sales customer service that even our competitors talk about. FLEXIBLE FILMS High Barrier Liners Thermoforming Films Vaccum / Boilable Bags Shrink Films / Bags Boilable Shrink Films / Bags Lidding Films Retort Pouches Lamination Films RIGID FILMS PP Barrier Retort Trays / Cups CPET Trays SPECIALITY FILMS Aluminium Films Paperlike Films Medical Films Bag-in-Box Intermediate Bulk Containers Drum Liners Gambo Liners

No. 9 Senoko Cresent, Singapore 758265 Tel: (65) 6257 0166 Fax: (65) 6257 4600 Email: sales@hypacpackaging.com