Big Project ME November 2014

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NOVEMBER 2014

ALSO INSIDE Peter gaskin - ceo of mct reinventing burjuman cargo aviation takes off the revamP of the walk jbr

TURN TO PAGE 39 FOR HOW TO INTER ACT WITH THIS COVER

PRESENTING Augmented Reality is the next step in the evolution of construction

M

CONTENTS

NOVEMBER 2014 07 the big picture contractors welcome stricter noise pollution measures project managers tell big project Me that action is long overdue

12 news analysis rak on track Jerusha sequeira reports on how the tiny northern emirate of ras al Khaimah is establishing itself as a real estate investment hub

16 site visit: the walK Jbr walk this way big project Me finds out how shapoorji pallonji is in the midst of revamping one of Dubai’s busiest tourist hubs, while it stays open for business

24 sector focus: aviation cargo takes off neha bhatia looks at the economics of building cargo terminals in the gcc

30 in profile: peter gasKin the construction alchemist gavin Davids sits down for a chat with the veteran ceo of Mct group

38 Main feature: augMenteD reality Vision of the future big project Me looks at how augmented reality is reshaping the way we look at the construction process

45 special report: Mep an mep oVerdose is the region’s craving for cooling harming the basics of Mep design and contracting? neha bhatia talks to the experts for big project Me

50 proJect profile: burJuMan eVolution of a landmark big project Me charts the redevelopment of a Dubai retail landmark

66 event preview: big 5 Dubai big 5 the region’s largest construction show returns to the world trade centre

82 tenDers 5 saudi

Big Project ME treks down The Walk JBR to examine the redevelopment work underway at the busy tourist destination.

88 constructive criticisM owners need to step up for bim Muhammad tariq shafiq explains why greater ownership of biM is needed

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PAGE 16

top tenders listing the most important projects that have opened for bidding in october

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At the 2014 Construction Machinery Show we sold 70 units and 100 more units are under discussion. We have delivered a positive message to our existing clients, our competitors, and grabbed new clients.

I think gaining such an appreciation from all members in the construction equipment sector is a great honour and will encourage us to work very hard to keep the same level of style, image, and standards.”

This year the CM Show team delivered an exhibition Saudi deserves. For years, we have seen a vision in this Show and this year the vision was achieved. We wanted quality traffic and we saw equipment and company owners; and we were able to offer some promotions to entice sales.

I saw an increase in our sales immediately.

Our principles, Doosan and Everdigm, really enjoyed themselves. We anticipate the upcoming years to be even better.”

The Construction Machinery Show was perfect from an awareness point of view.

We explained Roots Group Arabia’s capability of covering the construction industry with all of its needs and requirements. The attendance was good especially during weekdays and towards the end of the exhibition. See you next year.”

Al-Qahtani & Sons Khaled El Shatoury, Managing Director

Saudi Diesel Equipment Ahmed Alkooheji, Marketing Manager

Roots Group Arabia Abdulaziz Felemban, Brand Manager

Co-located with

Raz Islam Publishing Director raz.islam@cpimediagroup.com Mobile: +971 50 451 8213

Michael Stansfield Commercial Director michael.stansfield@cpimediagroup.com Mobile: +971 55 150 3849

INTRODUCTION

bigprojectMe.COm

Techno-logic As a child of the 90s, I’ve been pretty fortunate to witness some of the greatest technological advances in human history first-hand. As a result, I often have to remind myself how lucky I am to live in an age when technology has emerged as a civilisation-altering force in our lives.

I still remember what it was like using a dial-up modem to access the internet, where even a single mp3 could take hours to download, and that’s with the proviso that no one picked up the phone to make a call. Even then, I forget how good I have it when I complain about my smartphone being too slow.

My first mobile phone was an Alcatel One Touch Club. Slow wasn’t even an option with that brick.

So when I consider the concept of augmented reality and hear people like Charles Dunk and Brian Mullins tell me what it’s capable of doing, I’m filled with a renewed sense of appreciation for the wonders and possibilities of technology.

While we’re used to augmented reality in our movies and video games, it’s not really something we think about when it comes to construction. But of course, when you do actually consider the applications, it’s staggeringly clear how powerful a tool this technology can be.

I do hope that this month’s cover feature begins a debate about the use of this technology in the regional construction industry. Have a play with it on your smart phones and tell me if you’re not impressed. I’m pretty sure you will be.

And finally, with November upon us again, it can only mean that the Big Project ME Awards are around the corner. It seems like only last week we were sorting through entries for the 2013 edition. Time really has flown.

This year’s entries have been as varied as they have been competitive. It hasn’t been an easy process judging them and I’m indebted to the judging panel for stepping in and helping out.

We’ve picked some very worthy winners this year, and I look forward to revealing them on the 18th at the Conrad Hotel.

See you all there.

Group Chairman and Founder Dominic De SouSa Group Ceo naDeem HooD Group Coo Gina o’HaRa

puBLiShinG direCtor RaZ iSLam raz.islam@cpimediagroup.com +971 4 375 5471 editoriaL direCtor ViJaYa cHeRian vijaya.cherian@cpimediagroup.com +971 4 375 5472 eDiToRiaL editor GaVin DaViDS gavin.davids@cpimediagroup.com +971 4 375 5480 aSSiStant editor neHa BHaTia neha.bhatia@cpimediagroup.com SuB editor aeLReD DoYLe aDVeRTiSinG CommerCiaL direCtor micHaeL STanSFieLD michael.stansfield@cpimediagroup.com +971 4 375 5497 Senior SaLeS manaGer YaSin aLVeS yasin.alves@cpimediagroup.com +971 4 375 5496 Senior SaLeS manaGer SanDRa SPenceR sandra.spencer@cpimediagroup.com +971 4 375 5473 maRKeTinG marKetinG manaGer LiSa JuSTice lisa.justice@cpimediagroup.com +971 4 375 5498 DeSiGn art direCtor Simon coBon ciRcuLaTion & PRoDucTion dataBaSe and CirCuLation manaGer RaJeeSH m rajeesh.nair@cpimediagroup.com +971 4 440 9147 produCtion manaGer ViPin V. ViJaY vipin.vijay@cpimediagroup.com +971 4 375 5713 DiGiTaL diGitaL ServiCeS manaGer TRiSTan TRoY maaGma PuBLiSHeD BY

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Gavin Davids Editor

NOVEMBER 2014

While the publishers have made every effort to ensure the accuracy of all information in this magazine, they will not be held responsible for any errors therein.

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THE BIG PICTURE

noisy neighbours Construction sites and equipment have been ranked as amongst the biggest noise generators in urban environments.

ContraCtors welCome striCter aCtion on Dubai noise pollution tougher regulation necessary to limit noise pollution on construction sites Tougher regulaTions on noise pollution in Dubai would be a step in the right direction, but require the empowerment of health and safety officers, contractors say.

The Dubai Municipality has launched a campaign to survey noise pollution in the city, and firms breaching regulations will be penalised, it promises.

Contractors have told Big Project ME that increased regulation is necessary.

More government regulation to prevent noise pollution from construction sites would be a good thing, said Junaid Khan, project manager at al Badr Contracting.

Charles Menezes, hse adviser at asteco Contracting Company, agreed, saying improved regulation “should be implemented here in Dubai.”

Maged el-hawary, projects control manager at al shafar general Contracting, added that while some legislation on noise pollution does exist, “definitely there needs to be more.” regulatory inspections need to be carried out to ensure rules are

Noise impact RatiNg by Noise LeveL aNd pRoximity to peopLe* n ranking 1 trucks scrapers tractors backhoes

n ranking 2 Front end loaders graders compactors cranes

n ranking 3 generators pumps compressors concrete pumps pavers *Ranking of 1 is more hazardous than 2

implemented properly, Khan says.

When asked what steps his company takes to minimise noise pollution, Khan said his company carries out the shifting of materials at night, with noisier work reserved for the daytime.

Maintenance of equipment is also a must to reduce noise, Khan explained. “equipment and the machinery we use should be well-maintained and with a good silencer system,” he said.

To ensure rules to reduce noise are followed, hse (health, safety and environment) officers need to be given more authority to implement safety regulations without objections from management, other contractors added. “on many construction sites, the safety officers are not supported by the company because they think that it’s a loss for the company. Many safety officers are undergoing such problems,” said Menezes.

This happens, he added, because construction companies may forego safety measures in a bid to reduce costs, while hse officers also face objections

from management over the cost of implementing such measures. To address this, Menezes said he feels the hse aspect of a project should be considered from the tender process onwards.

“To get the project [construction companies] will forget safety... They will just give a quotation, and they will start a project and they will forget safety,” he said.

“Construction companies should be encouraged in having a safety officer for each and every construction site… They should be having the power to implement everything.” stricter noise pollution regulations could mean that projects take longer for completion, cautioned Brad Cornish, project manager at Dewan architects and engineers. a huge factor in Dubai churning out projects rapidly is that construction activity occurs around the clock, Cornish said. if this were to be more strictly regulated to curb noise pollution, it could have a major impact and “affect time periods considerably,” he warned.

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Big project me visits the walk jbr, shapoorji pallonji’s challenging revamp project – Page 16 7

THE BIG PICTURE

bigprojectMe.Com

balfour beatty appoints leo Quinn as new Chief exeCutive offiCer Quinn set to leave QinetiQ group and take over contractor from january 1 Balfour BeaTTy has appointed leo Quinn as its new chief executive officer and he will join the board on January 1, 2015, the uK contracting giant has announced.

Quinn was previously the Ceo of the specialist defence research firm Qinetiq group and honeywell Building Controls.

Balfour Beatty hopes that Quinn’s appointment will revamp the company’s image in its native country, Britain, where Balfour Beatty has received flak for mismanaging its projects.

The firm has also struggled to perform on the london stock exchange and recently hired auditing giant KPMg to examine and correct its consistently negative performance in the construction sector.

The executive chairman of Balfour Beatty, steve Marshall, commented on Quinn’s appointment in a company statement: “i am delighted to welcome leo to Balfour Beatty. leo is an outstanding individual with an excellent track record in improving the performance of major international businesses. “i am confident that Balfour Beatty will thrive under leo’s leadership.”

Marshall plans to step aside for a yetbe-confirmed successor following Quinn’s appointment, sky news has claimed.

Quinn will receive a basic annual salary of $1.2 million, with pension and benefit provision for his new role at Balfour Beatty. as stipulated by the company’s remuneration policy, Quinn will also participate in Balfour Beatty’s annual bonus and long term incentive plans. “having started my career there, i am very proud to be rejoining a company so engrained in British engineering,” said Quinn, who began his career at Balfour Beatty in 1979 as a civil engineer.

“The building blocks are there to give Balfour Beatty’s people the success they deserve and i am keen to work with them to create something significant and lasting.” in a letter to the firm’s 40,000 staff, Quinn pledged to take “bold” and “brave” decisions to “restore Balfour Beatty to its rightful place on the global stage”.

new Challenge Leo Quinn is faced with the major challenge of turning around Balfour Beatty’s fortunes.

“having starteD my Career there, i am very prouD to be rejoining a Company so engraineD in british engineering” according to a report by Building.co.uk, Quinn added that the contractor “must learn from past mistakes, but not stagnate or become paralysed”. “our task is clear. The first priority is to deal with the present and deliver on today’s promises. second, we must look forward and make sure that we are the supplier of choice for the next job.”

“My commitment to you is this: i will restore Balfour Beatty to its rightful place on the global stage and do this company of people proud.” earlier this year, Balfour Beatty called off merger talks with its rival Carillion, over the sale of its consulting subsidiary Parsons Brinckerhoff.

The contractor had entered into talks on the basis that it would first be able to proceed with

the sale of Parsons Brinckerhoff, but Carillion had wanted to keep the global consultancy business as part of the merger deal.

Despite Balfour’s cancellation of talks, construction analysts have warned that the contractor “had been left in a weak position”.

Carillion first approached Balfour Beatty about the merger about two months ago, after Balfour had announced its latest $50 million profit warning, which led andrew Mcnaughton, former group chief executive, to exit. Parsons Brinckerhoff was eventually purchased by WsP in a deal worth $1.35 billion, which turns it into one of the world’s largest pure-play multidisciplinary consulting firms.

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Big project me examines the booming growth oF the region’s aviation sector – Page 22

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THE BIG PICTURE

al hamra to awarD marine ContraCt at falCon islanD in raK ahred will appoint a contractor for marine works on upcoming island project al haMra real estate Development is close to appointing a contractor to carry out marine works for its $164 million falcon island project in ras al-Khaimah, the developer has told Big Project ME. seven of the ten firms invited to take part in the tender have submitted bids, and the contract is set to be awarded this week, rizwan Jabri, projects manager at ahreD, said.

The marine works include the creation of a canal running through the island to allow for circulation of water from the arabian gulf.

The canal will separate the island into two, with both parts being joined by a bridge. “This bridge is already existing,” added Barry ebrahimy, head of commercial at ahreD. The canal is “to allow for more water circulation in the lagoon” on the island, he explained.

The 2.2 million sqm island is largely natural, with some parts reclaimed,

stats n size of Falcon island project: 2.2 million sqm

n value of project: $164 million

n number of villas: 150

n Date of completion: december 2016

n number of firms invited to tender: 10

n number of submitted bids: 7

ebrahimy said. The project will feature 150 luxury villas, including 11 waterfront mansions. The houses vary in size from 436.64sqm to 2,040sqm. another contract for infrastructure works on the island will also be awarded shortly, the executives revealed.

“We may release it in two or three weeks from now,” Jabri said. “and somewhere in between, say June the coming year, the villa construction will start and it will go on till the third quarter of the next year.”

The island is set for completion in December 2016, ebrahimy added, with marine and infrastructure works expected to take 19 months. sustainability is a large part of the project, with the island aiming for Platinum leeD certification, the highest possible. The island will be partly solarpowered, he added. “all the energy for homes will come from solar,” he said. “even the district

cooling for that site will be a hybrid of solar and conventional energy.” eco-friendliness is a driving force behind another of ahreD’s projects in development, the Bayti village, also in ras al-Khaimah (raK). a focus on renewable energy will help the developer tackle recurring problems of power shortages in the northern emirates, ebrahimy said.

Work on phase one of the Bayti project is progressing on schedule, with the development currently 7% complete.

The first phase of the 305-villa project consists of 162 villas, scheduled for completion by the end of 2015. “as we move towards the completion, we may begin the second phase,” Jabri said, adding that this is subject to the demand for the first phase.

The contractor for the Bayti project is al Karmel Building Contracting, a raK-based contractor, while the lead consultant is home of architecture, which is also based in the emirate.

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Big project me speaks to ceo peter gaskin about his time at the helm oF mct group – Page 30 9

The Big Picture

bigprojectMe.com

“WisE pROjEct MaNagEMENt ENaBlEd duBai MEtRO cOMplEtiON dEspitE MaRkEt dOWNtuRN” Mark LangLey, president and chief executive officer of project ManageMent institute – uae, taLks to big project Me about the best project ManageMent practices for pubLic and private sector organisations What Was your biggest takeaWay from the recently concluded dubai international Project management forum (diPmf) 2014?

The conference has been fantastic from a content standpoint, and one of the most significant things I heard was all the examples of how executive sponsorship has improved project management practices in organisations.

Authorities like Mattar Al Tayer from the Dubai Roads & Transport Authority (RTA) and Saeed Al Tayer from Dubai Electricity and Water Authority (DEWA) are excellent examples of how the support of executive leaders within organisations can turn things around for overall project success. The same goes for Emaar Properties, which has, as chairman Mohammed Alabbar’s speech explained, recognised its core strengths and built an organisational structure around them.

What motivated your PartnershiP With the rta to co-host diPmf?

the successful Project management Practices folloWed by the rta?

The failure of an organisation can often be due to the absence of executive sponsorship for greater project management standards.

Various governmental agencies in Dubai, such as Al Maktoum Airport Authorities and DEWA, have recognised that working with the private sector benefits both their capacities on mega projects as well as their capabilities for better project management. The core elements of project management are the same, but a private firm has different factors to consider while adopting any new plans and ideas.

traded. The private sector might brand their targets “strategy” or “management agenda”, whereas the government will call it a “vision”.

There is immense pressure on private sector companies to consistently deliver results without letting the impacts of a strategic change in project management practices and methods affect their performance. In such a situation, any organisation, be it private sector or public, should focus its efforts on funding and driving those operations which take it closer to its vision or strategy, and eliminate any ideas which might not directly drive growth. hoW do governments Prioritise their oPerations in such a scenario?

“thERE is iMMENsE pREssuRE ON pRiVatE sEctOR cOMpaNiEs tO cONsistENtly dEliVER REsults WithOut lEttiNg thE iMpacts Of a stRatEgic chaNgE iN pROjEct MaNagEMENt pRacticEs aNd MEthOds affEct thEiR pERfORMaNcE”

I think the RTA understood very early on that intelligent project management practices would benefit its operations, and that’s possibly one of the factors which drove chairman Al Tayer to set up the Project Management Office, headed by Ms Laila Faridoon, within the organisation. I don’t know what led him to the decision, but I can most certainly see its results. By recognising the RTA’s in-house capacities and establishing the PMO, he’s implemented what we at PMI have identified as best practices in organisations. He’s essentially building career paths in project management by identifying the skills of individuals who can lead the allotted departments and bringing in greater standardisation.

What are these factors, and hoW do they differ from those a government body faces?

can the local Private sector rePlicate

For starters, a private sector entity may be governed by market performance if it is publicly

The Dubai Metro is a great example of wisely picking your operational priorities. The Dubai government, even during the market downturn of 2008, did not stop fuelling investment into the Metro, because it recognised that the project would eventually benefit the residents of the city. The Metro was always a part of the strategic vision set in place by His Highness Sheikh Mohammed bin Rashid Al Maktoum, and the decision to complete the Metro, launched shortly after the downturn, shows their mature capacities in the field of project management.

What’s in store for Project managers of the future?

Small private companies have to build their capacities, and will certainly learn to prioritise the best practices for their organisation as events like DIPMF catch up. More effort is also being invested to enhance educational channels for students to ensure they are provided precise project management studies.

The PMI is working with universities and private sector firms in this regard, as it’s an area of opportunity for both to spread their expertise.

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big project Me finds ouT how augmenTed realiTy is changing consTrucTion – Page 38

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The Big Picture

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NEWS ANALYSIS

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NEWS ANALYSIS

RAK on track

Ras Al Khaimah is quietly establishing itself as a hub for real estate investment.

Big Project ME’s Jerusha Sequeira reports

T

he northern emirates of the UAE have long been overshadowed by the glitz and glamour of Dubai. The most talked-about projects in the country have historically been confined to Dubai, Abu Dhabi and occasionally Sharjah, while other emirates have lagged behind as far as development is concerned.

But Dubai’s dizzying growth comes at a cost. According to a recent report by Cluttons, house prices in Dubai’s freehold areas increased by 51% last year, forcing tenants to examine affordable alternatives and creating opportunities for development in the northern emirates.

The heating up of Dubai’s property market is likely to lead people to seek “more costfriendly locations,” says Matthew Green, head of research and consultancy at CB Richard Ellis.

“Higher rental costs in Dubai have already forced some tenants to relocate to Sharjah and now further afield to Ajman,” adds Rehan Akbar, a Dubai-based analyst in Moody’s Corporate Finance Group, adding that this can “justify the need for further developments in the neighbouring emirates”.

One emirate that is looking to ramp up its residential offerings is Ras Al Khaimah. Driving through the city, one sees a distinct lack of the glass-and-steel skyscrapers that dominate skylines in Abu Dhabi, Dubai and Sharjah.

Ras Al Khaimah is predominantly low-rise and has a laid-back suburban feel to it, a change of pace from the hustle and bustle of its neighbours.

While Dubai may steal the lion’s share of the media limelight, Ras Al Khaimah is poised to offer a less expensive alternative for investors and property-buyers, a phenomenon that could drive demand for properties there.

The emirate has already seen an increase in real-estate prices following a resurgence in the Dubai market, according to Barry Ebrahimy, head of Commercial at Al Hamra Real Estate Development (AHRED).

Dubai “market conditions have had a positive impact on the real estate market in Ras Al Khaimah,” says Ebrahimy. “As the prices increase in Dubai, investors have looked closely at options available in the other emirates.”

The figures support Ebrahimy’s claim. According to a report by real estate services company Asteco, rent for master plan communities in Ras Al Khaimah rose 23% between Q2 2013 and Q2 2014.

Fujairah reported an increase of 15% over the same period, while Umm Al Quwain saw only 1%.

AHRED is capitalising on investor interest in RAK, revealing projects like the $164 million Falcon Island, launched in March this year, and Bayti town-homes, part of Al Hamra Village. The

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Residential heats up Rising prices in Dubai’s property market has forced residents to look elsewhere in the search for affordable accomodation.

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NEWS ANALYSIS

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developer recently told Big Project ME that it was about to appoint a contractor for marine works on the Falcon Island, involving building a canal through the development, and that work on its Bayti project was also progressing smoothly.

Other developments in Ras Al Khaimah include RAK Properties’ Bermuda Villas project, part of the developer’s Mina Al Arab waterfront community. The villas, showcased at this year’s Cityscape Global, consist of 157 units ranging between two and six bedrooms.

Not all upcoming projects in the Emirate are geared towards the high end of the market, however. According to a recent report, the government is making efforts to provide homes for nationals in Ras Al Khaimah through the Sheikh Zayed Housing Programme, which will build 2,000 houses for Emiratis in the city.

But is development in Ras Al Khaimah and the northern emirates significant compared to the growth in their more affluent counterparts?

“The volumes are much smaller compared to Dubai and Abu Dhabi,” says Christopher Seymour, partner at EC Harris. “And that’s true in terms of GDP, their overall economy, but also the development opportunities.”

Moreover, lower prices in Ras Al Khaimah relative to Dubai may not just enhance its appeal to potential home-owners.

“The advantages of investing in Ras Al Khaimah, from a business point of view, are low cost of business setup and operations including low cost of living vis-à-vis other locations,” says Ravi Krishnan, principal business associate to the CEO at RAK Investment Authority.

Krishnan adds that the emirate’s strategic location, ready access to sea ports and airports and “ease of doing business” all make it an attractive destination for business and investment.

Seymour echoes Krishnan’s comments and adds that the proximity of the emirate to Dubai also works in its favour.

“It’s a short distance from Dubai. We need to remember that Ras Al Khaimah is probably as close to Dubai as Abu Dhabi is, so it’s not a long way.”

Despite being quieter on the development front so far, Ras Al Khaimah can look forward to accelerated growth as Dubai gears up to host the much anticipated Expo 2020. Experts agree that the mega-event will produce a much-needed knockon effect in terms of growth and development.

“There’s no doubt that Expo is attracting more attention globally,” Seymour says, adding that this could boost tourism in other emirates as well, like Ras Al Khaimah. Green agrees, pointing out that the increased development

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bigprojectMe.com

“the advantages of investing in Ras al Khaimah, fRom a business point of view, aRe low cost of business setup and opeRations, including low cost of living vis-à-vis otheR locations”

and construction work in the northern emirates bodes well for the entire country.

However, developers still face challenges when looking to expand in the northern emirates, which can pose difficulties for those seeking opportunities.

For instance, while roads to the northern emirates have mostly improved, obstacles still exist in terms of supply chain and logistics, Seymour says.

“For developers… the supply chain is not as sophisticated as in Dubai and Abu Dhabi. The logistics are slightly harder.”

Ras Al Khaimah faces another major hurdle on the rocky road to development. Power shortages have long plagued the northern emirates, which

have struggled to provide infrastructure that keeps pace with development. Residents of Al Hamra Village, for instance, have been facing steep utility bills as of late, the National recently reported.

Their electricity is supplied by a company which has built stationary gas generators in Ras Al Khaimah, as a solution to recurring power shortages. The firm, it is reported, charges rates independent of government subsidies.

To deal with power shortages, there is a push from AHRED towards making their upcoming communities more sustainable and less reliant on conventional energy, Ebrahimy says, explaining that sustainability plays a key role in the Falcon Island project, with the island aiming for Platinum LEED certification, the highest possible. The project will be completely solar-powered and sustainable.

“All the energy for homes will come from solar,” he explains. “Even the district cooling for that site will be a hybrid of solar and conventional energy.”

Eco-friendliness is a driving force behind the Bayti village as well, with efforts being used to incorporate green building materials into the process and procure raw materials locally to minimise the project’s carbon footprint.

A focus on harnessing renewable energy will help the developer tackle recurring power shortages in the northern emirates, Ebrahimy says.

And Seymour adds: “These obstacles are not the end of the road. It is not a barrier. It is more of a challenge to overcome.” n

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ON SITE The Walk JBR

The Walk, JBR

Developer

Dubai Properties Group

Contractor

Shapoorji Pallonji Middle East

Architect

Binoy

Budget

$59.8 million

Project Size

1.7 km

MIDDLE EAST

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Project Name

NOVEMBER 2014

bigprojectMe.com

ON SITE The Walk JBR

walk this way

Big Project ME takes a walk down JBR to find out what’s different about the redevelopment of one of Dubai’s most famous tourist landmarks.

Gavin Davids reports

E

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Safety hazardS Work on the JBR Walk redevelopment is complicated because tourists and visitors are still moving through the retail areas

ver since it opened in 2008, The Walk at Jumeirah Beach Residences has been a popular destination for both tourists and residents of Dubai. With activities such as street painting, art displays and comedy shows alongside shops and restaurants, the city’s first outdoor retail avenue continues to attract millions of visitors every year.

Stretching a total distance of 1.7km, the shopping promenade overlooks the Arabian Gulf and houses as many as 305 retailers along its length. In addition, 11 luxury hotels – including international hospitality brands such as Hilton, Sheraton and Ritz-Carlton – have been established to cater to the estimated 12 million visitors a year.

Given those visitor figures, and the extensive work being done around The Walk, it’s no surprise that Dubai Properties Group, the project’s master developer, has launched an ambitious redevelopment scheme to completely revamp the look and feel of the retail avenue.

These developments include the introduction of new shaded areas to the many F&B and retail outlets along The Walk at street level, as well as an improved streetscape and access to the Plaza (or podium) level via escalators leading to new and enhanced retail facilities.

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ON SITE The Walk JBR

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There will also be significant upgrades made to the Plaza level areas at Bahar and Rimal.

Children’s play areas will be created, along with dedicated private areas for residents.

Furthermore, with the launch of the Dubai Tram in November, DPG says that part of the redevelopment work will include working with authorities to “further enhance traffic management and pedestrian flow in and around The Walk”. The intention is to create connectivity points for future planned stops for the Dubai Tram, the developer explains.

Although the redevelopment work itself is fairly straightforward, what does complicate matters is that shops and F&B outlets have remained open during the entire process. With thousands of visitors and hundreds of cars passing through the area daily, it’s easy to see how this could quickly devolve into a complicated situation.

“This project is not a normal construction project,” explains Sanjeev Nangia, project director for Shapoorji Pallonji Middle East, the contractor appointed to carry out the redevelopment of The Walk.

“It’s completely different. Our HSE measures on this project are maybe four times stronger than on any other project. This is a tourist area and there are many cameras. We don’t want any HSE issues here. That was the first instruction from the CEO of Dubai Properties Group. He didn’t want to see any complaints.

“Even if five people are working on site, we have a special HSE plan in place which covers how they’ll move around and where they’ll go. In every sector we have two engineers controlling [the site].

That’s not only the safety work, but also to take care of the movement of traffic. We have barricades and proper pathways for people to go through.

There are about 40 flagmen altogether, who are continuously monitoring and guiding people.”

As the main contractor, Shapoorji Pallonji Middle East is tasked with working on three areas – The Walk itself; the Plaza (or Podium) level; and the Facades, the fronts of the retail and F&B outlets.

For the Walk itself, the contractor will be focusing on revamping the entire look of the ground level operations, giving it a “modern look” and increasing visibility, Nangia says.

In addition, increased access will be given to the podium areas through the refurbishment and installation of escalators and lifts.

“The Walk area will also have these huge kiosks created to give visitors more space.

They’ll be about eight metres tall. All the shops will have canopies and there will be escalators going up to the podium as well,” he

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SpEEd Lift Before rendering work started on the redevelopment of The Walk, Shapoorji Pallonji had to remove the old GRC decorative features. In order to do this crucial base work, the team decided to use as many as 12 scissor lifts onsite, due to the amount of activity to be done before work could start. “the scaffolding was only erected to do the rendering. all other work was done without scaffolding. this had to be done, otherwise the shops would have been closed for a much longer time,” Nangia says. “we have used cranes as well.

For a project like this, we have had to use many different types of cranes – mini cranes, scissor lifts and everything.”

all over the walk Shapoorji Pallonji has been tasked with working on the Walk, the Podium and on the Facades

explains. “For all of the stretch, the façade will be replaced. Earlier, it was some kind of paint, but now all of the 1.7km stretch will be given a rendered finish. So that means it will have a glittering effect that will shine at night. That’s the reason why we’re doing a complete repaint, re-plaster and re-render of the whole façade.

“There will also be an amphitheatre created in the Bahar section. The existing staircase there is in the Spanish style, i.e. a big sweeping staircase. That’s all going to be demolished and an amphitheatre, with a cantilevered steel structure roof, escalators and a green wall, will be built there.”

Nangia adds that the amphitheatre will be used for performances, while the escalator will lead to the podium level, which is also undergoing considerable rework. All of the existing parks and gardens on that level will be demolished, while existing retail outlets that

ON SITE The Walk JBR

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worker logiSticS Working through the summer required Shapoorji Pallonji to come up with alternatives for the resting areas for workers

“before carrying out the work, we Spent almoSt a month making a mock-up. we called in dubai propertieS, the conSultantS, everyone. the mock-up itSelf waS planned and then redone until we came to a concluSion”

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some 650 workers on-site at any given time.

When the rest of the construction team is factored in, that number shoots up to close to 900 people working around the clock.

Nangia admits that starting work just prior to the summer midday break period did put a crimp in their plans for the site, especially since traffic in the area was already a major headache.

“Traffic is so much, and the rest area is [right down at the end of The Walk]. So at 12 o’clock, to bring them there – it takes about one hour. Once you leave the site, you have to go all the way around, due to the construction of the tram. It’s a big problem and it requires a lot of planning and HSE control, moving that amount of people,” he claims.

“Initially there were problems and we found that this wasn’t going to work, so now we’ve taken over huge podium areas which we’ve converted into rest areas, so there’s no need for them to come down and rest. We’ve got two or three areas now, otherwise it wouldn’t have been possible. The traffic and the travel time would have been too difficult and not in our hands.”

Operating on a 24-hour schedule, the project

NOVEMBER 2014

team runs from 6:30am to 5:30pm during the day, and from 6pm to 6am at night. This allows more work to be done and will allow the team to meet the scheduled completion date, Nangia promises.

The 24-hour cycle also allows crucial logistical work on site to be carried out, with the Shapoorji team liaising with the RTA to allow access to the site through the Marina. However, this also poses particular problems, due to the need to keep noise levels down in a heavily residential area.

“To manage the night shift, during the day time we make sure we do all the major activities that produce noise, while at night and during the early morning we do the things that don’t make that much noise, such as shifting materials, the rubbish removal and all that.

“We have permission from the RTA to get everything in here, the big trailers and so on, but that’s only during the early morning – after midnight up until 5am. All the major equipment comes in at night, but with winter coming, we’re afraid that people will be out till late at night, which could be a problem,” Nangia worries.

Traffic and ease of access aren’t the only problems hindering ongoing operations along

the nearly two-kilometre project site. Not only is there ongoing construction work on other projects, which further creates congestion in the area, but there are also pre-existing utilities that hinder how Shapoorji Pallonji go about their business.

“Apart from these challenges, the other interesting thing was dealing with the authorities.

There is a high-voltage cable corridor [running five metres from The Walk] and DEWA will not allow anyone to even plant machinery over there. That was a huge challenge, but it wasn’t just DEWA, there are Du cables as well as Etisalat cables. More interestingly, the Dubai Police have about 20 live cameras that are controlled by them. So we have had to relocate them off the parapet and then refit them over the glass replacement, without losing more than one or two days,” Nangia says.

Ultimately, the success of this project has come down to careful and decisive planning, Nangia says, pointing out that three planners are employed on the project, in contrast to the standard one or two, even on bigger projects.

“But if you don’t plan, then anything can go wrong,” he says, neatly summing up the philosophy behind this complex project.

SECTOR FOCUS AVIATION

bigprojectMe.cOm

CARGO TAKES OFF

24 million baggage items will pass through Dubai International Airport in the last three months of 2014, but are the city’s cargo facilities ready to deal with the influx? Neha Bhatia looks at the economy of cargo terminal construction across the GCC’s airports

U

p to 20 million passengers are expected to pass through Dubai International Airport in the last quarter of 2014, spurred by religious holidays such as Eid Al Adha, the holy Hajj Pilgrimage and Christmas, as well as the typical rush caused by the New Year’s Eve break. Here’s a stat for some perspective: 20 million passengers is only a tad short of the total population of Australia.

Some voices in the UAE construction industry insist the bullish increase of airport construction and expansion projects is a natural extension, given the touristic capacities of Dubai. Others insist this airport infrastructure will in fact increase the number of tourists in the emirate.

But if prevailing market trends are anything to go by, 2015 will be about far more than just the retail and luxury capabilities of Dubai’s oldest and the GCC’s grandest airport. Between October and December 2014, local air service provider dnata expects 24 million baggage items to pass through Dubai International Airport – an average of 1.2 bags for each of the aforementioned 20 million passengers.

This excludes traffic at newly-launched Al Maktoum International Airport in Dubai World Central, which by 2020 is expected to greet 120 million passengers a year.

These baggage items are part of the total 2.5 million tonnes of cargo which Dubai International can take across its 35,000 sqm cargo facility. Dubai Airports Cargo is ranked second worldwide in terms of international freight traffic by the Airports Council International. Al Maktoum International Airport, for its part, has hosted dedicated freighters since May 2014, including all Emirates SkyCargo flights, which has led cargo volumes at Dubai International Airport to contract by 14.3% to 180,025 tonnes in June 2014, from the 210,134 tonnes recorded in the same month last year.

Understanding what these numbers mean for Dubai’s two airports demands a clear understanding of the life cycle of cargo items in general. Cargo is not only transported in the bellies of passenger airplanes, but also depends on freighters used by regional carriers. In the GCC, a well-established sea-airfreight system allows ships to bring in cargo to the Gulf states; shipments are then broken apart and put on aircraft for their final destination. This is why leading regional airlines are buying fleets of wide-body freighters and passenger airplanes which can carry large amounts of cargo.

However, creating separate airports for cargo is difficult because of the logistics of

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“Growth for EmiratEs will bE constrainEd by capacity issuEs at dubai intErnational airport lEadinG to 2020, and pEak hour slots at thE airport arE bEcominG morE challEnGinG”

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hEavy traffic 20 million passengers are expected to pass through Dubai International Airport in the last quarter of 2014.

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moving cargo from passenger planes to dedicated freighters. It’s clear then that there is a definite need for cargo terminals which can efficiently handle current levels of cargo movement, and even match future estimates.

Dnata looks ready to up its game. In October 2014, the home-grown cargo freight handling giant announced the construction of a new cargo terminal at Al Maktoum International Airport. Construction work is due to commence in the second quarter of 2015, and the terminal’s total annual capacity will eventually be 1.6 million tonnes. The initial proposed capacity alone is estimated at 500,000 tonnes a year.

These details were provided by Jon Conway, Senior Vice President of UAE Airport Operations, at a time when airlines are struggling to grow amid concerns of low cargo capacities. Three weeks after Conway’s announcement, Anand Lakshminarayanan, Divisional Vice-President for Route Planning at Emirates, said the firm’s expansion plan over the next seven years is “going to be a lot less [than recent years]”.

Speaking to local daily Gulf News at the Aviation Festival in Dubai, Lakshminarayanan also admits growth for the airline “will be partly constrained by capacity issues at Dubai International leading to 2020,” and that “peak hour slots at Dubai International Airport are becoming more challenging”.

Unquestionably aware of these challenges, dnata has increased its investment in aviation cargo. The firm will spend $5.4 million on ground support equipment and lounge development for Dubai International’s Concourse D, which is scheduled to open next year and take the airport’s annual capacity from 75 million passengers to 90 million.

The new dnata terminal is a timely addition to the existing logistics and cargo infrastructure in the emirate, given the intense scrutiny Dubai’s logistics capacities have been under since the Expo bidding rights victory, and subsequent Expo-related project plans, were revealed.

Conway says the modular designed terminal is expected to be completed by the end of 2016. Clearly, the new terminal will also be time-consciously constructed. This will in large measure depend on the contractors and project team, but more about that will only come to light after the project is tendered.

Dnata’s terminal, however, won’t be the first airport structure using fast-forwarded construction techniques. Contractors working on capital emirate Abu Dhabi’s Midfield Terminal Building also intelligently roped in the use of BIM and

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carGo capacity The new cargo terminal at Al Maktoum International Airport will have a total annual capacity of 1.6 million tonnes

DUbai international airport – Cargo Comparison JanUary to JUne 2014 v 2013 (Cargo in tonnes; total figures in millions of tonnes) Month

2013

2014

% change

JanUaRY

188,520

197,021

4.5%

FebRUaRY

182,580

188,702

3.4%

MaRch

213,748

228,154

6.7%

apRIL

199,985

207,317

3.7%

MaY

209,985

182,028

(-13.3%)

JUne

210,134

180,025

(14.3%)

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“al maktoum airport’s location suits thE carGo, bEinG in closE proximity to thE JEbEl ali frEE ZonE. thE quEstion rEmains whEthEr a railway link will bE crEatEd to connEct it with dubai intErnational airport in thE futurE, but thErE is no doubt connEctivity will bE addrEssEd”

pre-assembled pieces to quicken the project’s pace towards completion. The first assembled steel arch of the Midfield Terminal Building was raised in February 2014, at the same time as installation of the baggage handling system began.

Georges Hannouche is a man familiar with baggage handling systems at Abu Dhabi’s airports. Chief executive officer at Bayanat Airports Engineering & Supplies, his firm was awarded the Abu Dhabi Terminal 3 Special Airports Systems Package in 2006.

Bayanat has also worked on airport projects in Dubai and Doha, giving him insight into cargo capacities across the GCC’s airports. Hannouche kicks off his conversation with Big Project ME by voicing his opinion about Dubai’s airports. Dubai International, he says, has evolved into a “smart” airport due to the construction of Terminal 3A and Terminal 4, and the extension of Terminal 2. The airport’s central and easily accessible location also makes it a “city” airport and enables the efficient transport of passengers and cargo.

Accessibility, Hannouche asserts, is not a feature the Al Maktoum International Airport 60km away in Dubai World Central can boast of.

“The authorities, realising Dubai World Central’s distance from the city and from the other airport, have provided adequate transportation facilities to and from Al Maktoum International Airport. Its location also suits cargo, being in close proximity to the Jebel Ali Free Zone. The question remains whether a railway link will be created to connect these two airports in the future, but with Dubai’s ambitious growth and vision, there is no doubt connectivity will be addressed.”

A connected railway link is something Abu Dhabi’s Midfield Terminal Building can comfortably show off.

“Ali Majed Al Mansoori, the chairman of Abu Dhabi Airports Company, has promised that Etihad Rail will eventually be connected to the Midfield Terminal Building – not at the opening of the airport, but shortly afterwards,” Hannouche says.

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This event is for a limited number of Consultants, Contractors, Architects, Developers and Government Officials.

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Organised by

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SECTOR FOCUS AVIATION

maJor concErn Revenue generation is a major concern for GCC airport authorities, says Hussein Dabbas.

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only a few hours of allowed operations so as to minimise disruptions to the airport.”

Nor is it easy to construct airports and related infrastructure where legalities go. An airport is not a typical construction project, and therefore its supply chain greatly differs from that of, say, a residential or commercial building. There are far more parties involved in the construction of an airport, from civil contractors to system integrators, consultants, suppliers, airlines, end users, project management companies and various other stakeholders. All parties have to work together to finally bring about the final project, based on the final approval of the relevant authorities, and under the direction of the International Civil Aviation Authority.

Health and safety standards are also a key aspect of aviation construction, which to some might appear daunting due to the sheer size and scope of operations involved, but Bayanat’s chief begs to differ.

“The size does not matter. At least in terms of safety, the pressure is the same [as on any construction project]. There is absolutely no room for any mistakes,” Hannouche says. “Our safety targets are the same, may we be master system integrators undertaking the entire terminal systems supply and installation or a subcontractor installing a couple of light fixtures on the runway.

Safety for our people and airport remains our number one priority, regardless of the scope, scale and size of the project we are undertaking.”

All airport construction, however, boils down to keeping the aircraft where they belong – up in the air. Since cargo is a major part of

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bigprojectMe.cOm

“thE industry’s Growth rEquirEs continuous follow-up from airport authoritiEs, who nEEd to Expand thEir sErvicEs whilE also improvinG thE utilisation of ExistinG facilitiEs”

airplane revenue, building capacity to support its effective transport is rightly a priority in the GCC, most prominently in Dubai.

To IATA’s Dabbas, building capacity to enable this revenue generation is the “major concern” for airport authorities in the region.

“Airports tend to work together as a hub, and during busy hours there can be a lot of constraints when it comes to finding gates, having passengers to disembark, providing buses to transport passengers to the terminal and so on,” Dabbas says. “What we’re witnessing right

no mistakEs Georges Hannouche says that no matter the size of the project, HSE is paramount.

now is a continuous, double-digit and higherthan-average growth in passenger numbers.”

It’s key to remember that while increasing the number of passengers can increase cargo revenues, it also has an impact on the total required investment, entailing for example expanding terminal capacity. The equation can be confusing, but Dabbas puts it succinctly: “Eventually, the industry’s growth requires continuous follow-up from airport authorities, who need to expand their services while also improving the utilisation of existing facilities.”

Dnata invests $12.8 million in UK airports Dnata reported development on its cargo

City, we’re confident mirroring the same level

infrastructure earlier this year, following

of service at other airports will benefit our

the investment of $12.8 million throughout

clients and the industry at large,” says Gary

the United Kingdom. Recognising the

Morgan, CEO of dnata’s UK operations.

need for enhanced services at Glasgow, Birmingham, East Midlands, Newcastle and

With the expansion of warehouse facilities

Gatwick airports, and moving Manchester

at each location, dnata is now able to

warehouse space to larger, refurbished

handle more than 250,000 tonnes of

facilities, dnata hopes to improve its presence

cargo across the country. To support the

as an air cargo handler in the UK.

network, dnata has established a new regional logistics centre, operating road

Beyond the physical space, dnata also

feeder services linking the airports.

modernised each facility through technology.

From handheld devices for workflow

“Expanded warehouse facilities at Glasgow,

management and barcoding to the latest access

Birmingham, East Midlands, Newcastle and

control system technology, dnata is working

Gatwick, and new facilities at Manchester,

to translate the success of its Heathrow hub,

translates into job creation, increased

known as ‘dnata City’, to its newest locations

capacity and more goods coming in and

in the Kingdom. With an overwhelmingly

out of the country – a good thing for the

positive response from our customers at dnata

industry and the economy,” adds Morgan.

C

M

Y

CM

MY

CY

CMY

K

Standard panel measures 3m x 0.61m Wall thicknesses (mm): 75, 100, 120 , 150 , 200 2 hour Certified Fire Rating

30

MIDDLE EAST

In ProfIle Peter Gaskin

NOVEMBER 2014

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In ProfIle Peter Gaskin

ConstruCtIon alchemist

Big Project ME speaks to Peter Gaskin about his three decades at the helm of the MCT Group, one of the UAE’s oldest construction chemical manufacturers really appreciate the trust he puts in me, because I have basically built and run this company and he doesn’t get involved in it.

“The whole group has been built on very little investment originally, and without borrowing a lot of money from the banks. We came into the market initially at a time when it was very slow going, but after 1991 – when the First Gulf War took place – Dubai started to invest money into infrastructure and the UAE really started to build itself as a country.

So that was when we had a time of constant growth and boom,” Gaskin reminisces.

Having started off life as the Marketing, Consulting and Technical (MCT) Group, the company established itself with a business relationship with a UK manufacturer, Belzona

“WE WaNt OuR pROducts tO BE usEd cORREctly. MOst OftEN WhEN yOu haVE a failuRE ONsitE, fOR aNythiNg, it’s NOt thE actual pROduct that’s at fault. it’s thE Way it’s BEEN appliEd”

Polymerics, in 1982. In 2007, the company was restructured and the name was changed to Molecular Corrosion Technologies.

Gaskin says that he learnt a lot from that deal, including the importance of diversifying and spreading risk. As such, he led the drive to establish Corrosion Technical Services, a supplier of essential building materials to the UAE’s growing construction industry.

“The idea, basically, was that if we had a bad couple of years with the other side of the business, we would have something to back it up,” he asserts.

Having started out life as Corrosion Technical Services, Gaskin and his team decided in 2001 that the time was right for a rebrand of the subsidiary, given its expanding portfolio and the extensive growth within the construction industry. Corrotech Construction Chemicals was formed and quickly became a market leader in an increasingly competitive market.

Today, the MCT Group is divided into two divisions – Molecular Corrosion Technologies, which has branches in Dubai, and Mutawa Corrosioneering in Abu Dhabi.

Corrotech Construction Chemicals has two branches in Dubai and Abu Dhabi, as well as subsidiaries SolarTech, Corrotech Building Maintenance and Parex, a former joint venture that MCT bought out earlier this year.

By 2007, the group had finished construction on two $16.3 million manufacturing plants in Dubai Investment Park. So it was clear that pre-2008, things were running smoothly for MCT, with the company registering an annual turnover of $45.73 million. That was about

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D

ubai in the early 1980s was a very different city to today’s gleaming metropolis. While gigantic shopping malls and supertall buildings dominate the skyline in 2014, 35 years ago the most visible landmarks were the Dubai Clock Tower Roundabout and the World Trade Centre, marking opposite ends of Dubai.

Recent migrants to Dubai may take its infrastructure and logistics for granted now, but back then even getting to Abu Dhabi required a six-hour round trip.

It was this challenging environment that Peter Gaskin, CEO and group founder of the MCT Group of companies, walked into.

He came to Dubai in 1981 having worked extensively in the European automotive industry, with absolutely no background in either the construction or chemical industries.

Having built the group into one of the largest locally-owned construction chemical manufacturers in the country, Gaskin sat down with Big Project ME to discuss the last three decades of his life with the company he founded, and the many challenges and tribulations he’s overcome during that time.

“I was head hunted to come out and set something up for somebody else, actually,” he reveals. “But then after three months, they decided they were going to pull out and not pursue the setting up of that business. However, the one good thing they did was introduce me to the owner of this group of companies.”

“The group is owned by HE Sheikh Saeed Mohammad bin Hasher Al Maktoum, and we’ve been together for 34 years. I do

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to change, however, as the Dubai property bubble burst, plunging the construction industry into chaos and uncertainty.

“Like many other businesses in Dubai, we suffered quite badly [during the downturn].

I think our turnover in the year before went down to about $18.5 million. We lost nearly two thirds of our business.

“We weren’t helped by the fact that one of the product lines we were running… we used to act as a marketing operation for another UAE-based company. That company eventually got bought out by another company, who decided to cancel our agreement. So we lost nearly $13.06 million worth of business, just on that one product line,” he says ruefully.

Despite the troubles they faced, Gaskin insists that none of his staff was made redundant during the crisis. He puts this down to the mutual respect and loyalty between MCT’s staff and management.

“The biggest asset any business owns is the people who work for it. If you don’t have their respect or loyalty, they’re not going to work for you.

“When people leave, they don’t leave companies, they leave people. My philosophy has been, all the way along, to find good people, empower them, tell them what I want and then let them get on with it. Don’t try and micromanage, because that doesn’t work.

“We provide our managers with financial information about how the business is doing. Without that, they wouldn’t know. A lot of other companies would try and keep that a secret, but we believe that unless you know how you’re doing and how you’re performing, you can’t make the right decisions,” the veteran CEO explains.

One example of his concern for the wellbeing of his staff is the efforts he’s personally taken to ensure that the labour force at MCT Group are looked after.

“We employ 298 people and a lot of them work on the maintenance side. We got fed up with the labour accommodation here, so we actually built our own labour accommodation for them. It’s actually to a standard that the Ministry of Labour has told everyone to come at look at it,” he says proudly.

Allied to this commitment to staff is a desire to create a culture of improvement.

To this end, the group has invested in developing a training school and workshops to ensure that MCT staff are fully equipped to serve and support their customers.

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assEt MaNagER Peter Gaskin says that the care and loyalty he shows his staff has been reflected in their performance for the company.

“thE BiggEst assEt aNy BusiNEss OWNs is thE pEOplE WhO WORk fOR it. if yOu dON’t haVE thEiR REspEct OR lOyalty, thEy’RE NOt gOiNg tO WORk fOR yOu”

This philosophy is being extended to the projects the MCT Group is supplying their materials to, with Gaskin revealing that an applications services division is being set up to ensure that best quality is delivered.

“We want our products to be used correctly. Most often when you have a failure on-site, for anything, it’s not the actual product that’s at fault. It’s the way it’s been applied. As such, we try to ensure that all our customers have fully trained staff.

“We bring our customers in, we do theoretical stuff in the classrooms and do practical stuff in the workshops. We don’t

In ProfIle Peter Gaskin

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to appoint subcontractors. If somebody can take responsibility for the whole project, then they’re happier because they don’t want to deal with two or three different people or divisions, they just want to deal with one person.”

This attitude forms the core of Gaskin’s vision for the MCT Group. With the company looking to regain its foothold in the market, he’s determined to reshape perceptions, turning it from a mere product supplier to a service provider.

“We try not to just sell products. We want to sell a service. We try to back everything

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just want to sell our products, we want to support all our customers,” he explains.

“We will send supervisors on-site, depending on how big the project is.

We’ve done stuff for ADGAS down in Abu Dhabi, we’ve had people offshore for two or three months at a time, just to ensure that everything is done correctly.”

In the wake of the downturn and the gradual recovery, Gaskin points out that major contractors are looking for their suppliers to take more responsibility on-site.

“Particularly with construction chemicals, the big contractors don’t want

33

In ProfIle Peter Gaskin

up, we want people to know that when they come to us, we’re not going to run away from any responsibility. We’re going to do our utmost to ensure customer satisfaction. During the downturn, a lot of companies actually stopped spending, but we actually invested and brought in a higher calibre of people, on higher salaries, to turn the situation around.”

However, as keen as Gaskin is to adapt, he’s quick to point out that there are major issues within the industry that need to be addressed, despite the gains made since the downturn.

“I think a lot of contractors here need to become a lot more professional with who they’re dealing with. We’ve done business with people who’ve disappeared overnight, for instance. It’s quite easy to promise someone that you can do a job and give them a 10-year guarantee on it, if you’re not going to be here next week, or the year after,” he says sardonically.

“These are the sorts of problems we’ve come across in the marketplace over here.

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kEEpiNg it pROfEssiONal Gaskin warns that contractors in the market need to be more professional when dealing with subcontractors and suppliers.

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Contractors need to become a little bit more professional about who they do their business with at the end of the day.”

Having been at the helm of the MCT Group for more than three decades, it’s only natural that Gaskin’s thoughts turn to the legacy he leaves behind. Given the likelihood that he’ll hand the reins over sooner rather than later, he’s keen to ensure that the values and methods he’s instilled remain behind.

“I think one of the strengths that I

have is that I’m very instinctive about things. If I see something that I think has potential, then I will pick that up and throw everything at it to make sure it’s a success.

If we’re going to take something on, as far as we’re concerned, we’re going to take the best shot we can possibly give it.

“So certainly, when I look around me, I’m very proud of what we’ve achieved.

That alone means that I’ve been part of the development of Dubai.”

“if i sEE sOMEthiNg that i thiNk has pOtENtial, thEN i Will pick that up aNd thROW EVERythiNg at it tO MakE suRE it’s a succEss”

PROFILE BENDING The European standard produced in the Middle-East

Steel, Stainless Steel and Aluminium

Heavy beams up to 1000mm Hollow section up to 500mm

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Street F7, Al Hamra Free Zone P.O. Box 86416 Ras Al Khaimah, United Arab Emirates

T +971 (0)72437174 F +971 (0)72432524 E rak@kersten.ae

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Framing An OppORTunITy

Big Project ME interviews Maged Mostafa, CEO of Genesis Manazil, a steel frameworks manufacturer making major waves in the contracting industry

C

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onstruction as a whole tends to be a rather dirty business, with on-site conditions unlikely to be anything less than hot, noisy, dusty and messy. No matter the location and the precautions taken, a construction site is unlikely to be a place where one can walk around in a pristine white linen suit and come out with it unscathed.

Not only are they generally messy, but they are also notoriously inefficient when it comes to the greener arts. With tonnes of construction materials and equipment moving in and out, there is obviously cause for concern when it comes to regulating waste and emissions.

With the industry moving towards a greener, more efficient future, there has been a noticeable trend towards embracing technologies that allow construction projects to achieve the targets set for them by developers, governments and regulatory bodies.

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One such technology that has been enthusiastically embraced is steel framework.

Although by no means new, it has evolved over the years and become one of the most efficient and versatile ways to build a project.

Due to its ability to be manufactured off-site and delivered to the project, steel framing allows a main contractor to properly plan and manage resources and schedule. The width of its application, and its speed, efficiency, quality control and reduced costs, make a persuasive argument for increasing its use in the region, says Maged Mostafa, CEO of Genesis Manazil Steel Framing.

“The trends are in our favour. The awareness and recognition of the green building movement in the UAE over the last few years has been tremendous. There has been quite a transformation in the way the government is thinking. I think the green

building movement has been a great driver for us over the last three or four years.

“There was also the introduction of more stringent regulations and specifications, which worked in our favour. We come from Canada [which is a similar arena] so we were ahead of the game already when they started to raise the bar, which meant that we had more of an advantage compared to our competitors.”

One might assume that when Mostafa refers to competitors, he’s referring to the companies in the same business as he. However, he’s quick to clarify that the companies that follow similar approaches and adopt modern methods of construction are the ones he considers allies.

“My definition of competitors are traditional contractors. The ones who are actually building the same way the Romans were building – laying brick and cement and using rocks and stuff like that. Those ideas are obsolete now, I think.

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“What really helps us to succeed and to push forWard is that We knoW hoW to maintain relationships”

all that stuff. Consultants didn’t know what to do. People like us took advantage and seized the opportunity to partner with some consultants, partner with main contractors, and transfer the knowledge and technology that was already being developed. People can adapt quickly and learn, but you have to lead, and there has to be the political will to implement these measures.”

Keeping this in mind, Mostafa is keen to implement the lessons his team has learnt as Genesis Manazil begins to expand its reach across the GCC. With a branch established in Qatar, work has been completed on three projects there.

In addition, the firm has a partner in Saudi Arabia as it looks to consolidate its presence in the Kingdom. They have also established a company in Egypt, keen to take advantage of interest from the UAE in investing in the North African giant.

“We learn from our mistakes. Whatever

we’ve done here, we try to build on it and try to leverage it. It’s not as difficult as starting [from scratch] because we know we have the history, the skills and the knowledge that we’ve developed, which we can transfer to places like Qatar. We know which people can help, which consultants can be more adaptive and which clients are early adopters of technologies such as these.”

Having started with a few hundred thousand dirhams five years ago, and hitting $40.8 million in turnover in 2013, Mostafa is keen to continue the Genesis Manazil growth story. His current aim is to surpass $55 million in turnover in 2014 – and he’s supremely confident of achieving it, given the backlog the steel frame company currently has.

“We’re already exporting our EcoMag boards to Jordan, Qatar, Saudi Arabia and Iraq, but we’re now looking at Europe and USA. We’ve already got the approvals and the certifications for the product. We are introducing new products into the market and improving what we have, and we’re getting into new markets,” he asserts.

“Most important is our resources and capabilities. We’re keen to preserve the advantages that we have, but we cannot work alone. What really helps us to succeed and to push forward is that we know how to maintain relationships. We pay our bills on time, we like to share with our clients and stakeholders. It’s all about full transparency, and our culture is based on candour and openness. Those are the pillars of our strategy that push us forwards.”

implement lessons With Genesis Manazil expanding its reach across the GCC, Mostafa is keen to make sure it doesn’t repeat mistakes it made when entering the UAE market.

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MIDDLE EAST

“We do everything differently. We design our buildings with very sophisticated software.

We know, ahead of time, every single screw we put into a building. We calculate the weight of the building and we know the panels that we’re going to construct and we have full analysis beforehand,” he explains. “We don’t go to site before we manufacture the whole structure.”

“We’re in a different world. Anybody who actually follows this route is actually helping us, because they’re changing the mind-set of the consultant and the client.

They’re introducing modern methods of construction, as they should be doing.”

By manufacturing everything off-site, Genesis Manazil has complete control over the process, Mostafa claims. Not only does this mean that the process is more efficient and sustainable, but it also means that they’re helping their clients comply with increasingly stringent government requirements.

“What’s really helped us, in Abu Dhabi in particular, is the introduction of Estidama.

Because it’s a point-based system, we give the consultant the ability to obtain a Pearl rating just by using our system, because the structure is recycled and recyclable,” he asserts.

With the region’s governments rolling out regulations in support of green building, Mostafa points out that there is a window of opportunity for firms like Genesis Manazil.

“This [confusion] happened in Abu Dhabi when they introduced Estidama three years ago.

People were rattled, there was a scramble and

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Special Feature AUGMENTED REALITY

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VISION OF THE FUTURE

Big Project ME looks at how augmented reality is rapidly gaining ground as a technology that could reshape the entire construction process. Gavin Davids reports

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Any sufficiently advanced technology is indistinguishable from magic.”

So spoke visionary science-fiction author, inventor and futurist Arthur C Clarke when he outlined his famous Three Laws of Prediction. What this third law is meant to convey is that what may appear to be magic to the ignorant, is actually quite simple to one familiar with the technology.

This is never more apparent than when discussing the use of augmented reality in the construction industry. To the uninitiated, the technology is nothing more than fancy graphics used to promote or market a project.

This perception is hardly helped by project demonstrations that come complete with glitzy lights, a techno-beat soundtrack and absurd locales that don’t remotely resemble the environment the project is being built in.

However, augmented reality is so much more than that simplistic view. Defined as ‘a technology that superimposes a computergenerated image on a user’s view of the real world and thus provides a composite view,’ it is likely to instigate fundamental change in the construction industry, if embraced correctly.

“In terms of people asking about augmented reality, it’s difficult for them to understand,” says Muhammad Jabakhanji, head of VDC at Alpin Limited. “You have to put them in a frame of reference. We usually talk about virtual reality, where everything you see is virtual. You’re either surrounded by screens showing you a virtual world, or you’ve got glasses on. However, with augmented reality, you’re basically looking at the real world, but with a device or a monitor with which you’re augmenting your view of the world.”

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“It’s usually a view of what could happen or what’s going to happen. In construction, and in particular on construction sites, there are two main uses of augmented reality – maintenance and coordination.”

The technology works by placing a 3D model of the planned project onto an existing space, using mobile devices and 3D models. While the technology has been used in video games and in media to show real images interacting with ones created from computer graphics, its potential use in the construction industry has been fairly limited. It’s only in the last five years or so that contractors in the USA have begun exploring its possibilities by showing clients plans and designs in the context of existing conditions, using devices such as tablets

“It’s usually a vIew of what could happen or what’s goIng to happen.

In constructIon, and In partIcular on constructIon sItes, there are two maIn uses of augmented realIty – maIntenance and coordInatIon”

or smart phones while taking their clients around their operational construction sites.

“We see the benefits from a contractor side, where it basically augments drawings,” says Charles Dunk, Civil BIM Manager – Civil & Infrastructure – UAE for AECOM. “That sounds obvious, but what we’re looking at here is having a series of codes that allow someone to point their smart phones at a drawing and have certain elements pop up out of the drawing [on the screen]. It could just be a certain element of it. You could have the entire structure, or you could have just the MEP. With one drawing, you could have the entire breakdown in 3D to help the viewer understand what they’re looking at.”

“At AECOM, we’ve been using augmented reality on projects in Australia to look at overlaying utility information. In other words, we’re using geo-location to show people utilities that they can’t see – what they look like in the ground. That helps us with physical clash detection by making sure that things are in the right place.

“Geo-located augmented reality is a fantastic tool for understanding what the future project is going to look like. You can use Quick Response (QR) codes or reference codes to give users the data that they need in that location, at that time.”

When it comes to contractors, the implications of augmented reality are huge. Not only does it mean that clients have a clear and concise idea of the project they’re paying for, but it also means that they can engage with the wider community and explain the impact of work on-site on the neighbourhood. This interaction can help resolve a number of issues, especially for large projects, Jabakhanji points out.

To experience this augmented page: 1. Install Junaio from the App Store or Google Play store 2. Scan the QR code 3. Once downloaded, point your device to this page.

4. Enjoy!

Special Feature AUGMENTED REALITY

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three-step process Users can scan the QR code (top left), which loads up the digital model (top right), and access specific areas on it (bottom left).

“wIth one drawIng, you could have the entIre breakdown In 3d to help the vIewer understand what they’re lookIng at”

“Usually the only stakeholder in a project is the client, the person who is paying to develop the plot. But now contractors are engaging city councillors and end users through augmented reality. Neighbours who might complain, they’ll basically try to show them that ‘this is the site, this is the empty plot of land, and you can use this tablet to see what’s going to happen, what’s coming up over here’.”

TangiblE bEnEFiTs

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More importantly, however, augmented reality can be implemented during the construction process. Contractors working on-site can use the technology to see where clashes are and fix them. The installation of certain segments can be followed to the letter by foremen who monitor their construction crews and ensure that parts and materials are put in correctly.

As Jabakhanji highlights, there is something of a movement growing within the construction industry to use augmented reality in conjunction with 2D drawings. What this means is that a lot of contractors are tagging

NOVEMBER 2014

their plans and drawings with QR codes so that they can be scanned into the tablet.

“Once you’ve got the QR code scanned into your tablet or phone, it will zoom into 3D models of the drawings. So you’re augmenting reality – which is the drawing – with a 3D model, which is a virtual design.

“That helps a lot of people, because what’s happening there is that you’ve got a drawing that’s in 2D and everything is annotated, marked and attached. Drawings typically have other sets of drawings and are full of details, notes and specifications. With all of this becoming linked with the BIM model, instead of going back and forth searching for specifications or general notes, we can just pull out our tablet and look at the model. You can just click on a wall [in the model] and it would give you all the information,” Jabakhanji explains.

In addition to decreasing the clutter and making the process more streamlined, contractors can also benefit from time and cost savings generated by the increased productivity that comes with less time wasted on-site.

“There is focus around some of the more tangible benefits of augmented reality in certain environments. That includes reducing the time to productivity. Rather than having a worker go look at a package of documents and shift through five, ten or fifty pages of print to try and find out what the next activity is and where it’s going to take place, what we’ve done is integrated those documents into augmented reality,” says Brian Mullins, CEO of Daqri Systems, a US based augmented reality developer.

“You simply get what’s the next step, and when you point it at the work, it really tells you where the next step is going to take place. In the case of a tablet or a smart phone, you can see where it is, put the device away and get back to work. That’s a saving in and of itself. We’ve seen that with an average worker, if they do 20 approaches to the work in a day, if they reduce the time to productivity from five minutes to one or one and a half minutes, then it’ll be a tremendous saving almost immediately.”

“An add-on to that is the idea of orientation reference – which is that many things can be

Special Feature AUGMENTED REALITY

installed in multiple orientations, which can affect the final outcome and force rework. By showing the object or objects that are going to be assembled, installed or maintained, and by then showing a reference to the orientation to the user, we can reduce costs by catching errors before the installation or manufacturing process begins. Fundamentally, those are two of the low-hanging fruits that can yield tremendous gains in terms of quality and cost.”

Another benefit of augmented reality of interest to contractors is the management of risk, Charles Dunk says. A contractor can manage the risk associated with a project, or even eliminate it completely, by clearly identifying the scope and nature of a project through the use of augmented reality.

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rIsk managers Augmented reality can help contractors manage risk on construction sites.

NOVEMBER 2014

“You’re not providing any new information, there’s nothing they can’t already see in Revit, for example. But you’re giving all this data to a layperson, who could be someone who doesn’t know how to use CAD. They may have the drawing in front of them, but they need to know more. They don’t have time to go and log in, scroll through and find the exact model, and then learn how to use it. But if they can pull out their smart device, then you make sure that people have the right information as they need it.”

As the drive towards sustainability continues to gather pace, Dunk points out that using augmented reality during the construction process means a natural progression towards sustainable construction.

“The construction industry is dreadful

bigprojectMe.coM

about moving away from a paper system to a paperless system. This might be a step towards getting people to not even needing a drawing.

They’ll start to realise that the thing in their pocket, with eight gigabytes of memory, can actually store the information that they need.

“Once you start to create this habit amongst contractors, where they just pull out their device and point it at something, then they start moving away from the paper-based system. When you’re using electronic data, then you start to register who’s looked at what information, and then you’ve got a workflow, a process where you can see who is accessing what. You’re harnessing this power that’s already in people’s pockets,” he asserts.

WEaRing THE FUTURE

Special Feature AUGMENTED REALITY

future applIcatIons At present augmented reality is confined to smart devices, but could be used in conjunction with wearable smart technology.

Rebuilding a City Following successive earthquakes in September 2010 and February 2011, the New Zealand city of Christchurch saw as much as 80% of its architecture destroyed. Three years on, although the rubble has been cleared, there remains much work to be done.

Given the scale of the devastation, rebuilding the city is proving to be no easy task, with even long-term residents struggling to remember what buildings used to be where. In order to help with the reconstruction, the University of Canterbury released CityViewAR, an Android-based mobile augmented reality application that allows the contractors and engineers rebuilding the city to see what it was like before the earthquakes and enforced demolitions of unsafe structures.

Using an Android mobile phone, the reconstruction teams can walk around of what used to exist. Pictures and written information are also included.

Hundreds of 3D models of key city buildings have been made available by architect Jason Mill of ZNO, while Christchurch City Council and the Historic Places Trust have provided photographs and building histories.

The app is based on the HIT Lab NZ Android AR platform, which makes use of GPS and compass sensors in mobile phones. This enables virtual information to be overlaid on live video of the real world.

“usually the only stakeholder In a project Is the clIent, the person who Is payIng to develop the plot. but now contractors are engagIng cIty councIllors and end users through augmented realIty”

At present, augmented reality is confined to devices such as tablets, smart phones, desktops and laptops. However, as technology giants like Samsung, Apple and Google continue to invest millions in wearable technology, the possibilities for augmented reality continue to open up. Already we’ve seen how Google Glass has begun incorporating augmented reality, using it to provide users with real-time information integrated with voice commands, video chat, location check-ins and maps.

Given the enthusiastic response wearable technology has received, it stands to reason that developers of augmented reality for the construction industry would look at it very seriously.

That’s exactly what Brian Mullins’ Daqri has done. The Los Angeles-based developer has begun rolling out its Smart Helmet, a highly engineered piece of equipment that it claims will bring immediate and major cost savings to the construction industry globally. Built with mobility in mind, the Smart Helmet aims to evolve the concept of augmented reality to the point where the data collected can be used to guide workers on-site and ensure that systems and materials are installed and maintained to the highest level.

“We started with the assumption that it would be possible [to use Google Glass) and quickly found that it wasn’t possible. A lot of the technology they use in Google Glass is designed to make it smaller, more approximately

like normal glasses. Anything that small just wasn’t going to be able to do what we wanted.

You wouldn’t be able to have the features needed on the industrial side. So we stopped and said, ‘What do we need from a computing standpoint? Let’s start from that and let’s try to get it small, but let’s not focus on trying to make it look like a pair of glasses. Let’s make it the device it needs to be,’” Mullins relates.

Having merged the technology with the ubiquitous construction hard hat, Daqri aims for the smart helmet to be equal to any safety standards required, while also being a hub for the worker, allowing him to collect data and process information and guiding him through the construction process.

“We designed the smart helmet to really be the nexus for a number of wearable devices that could be usable in the field. It’s already designed to work with smart watches as a secondary interface – both for notification and also as an input mechanism for the touchpad.

“With that, you get some really interesting sensors that come along. A lot of smart watches come with heart-rate monitors built in. You can use them to measure both the condition of the worker and their fatigue levels,” Mullin enthuses.

“Interestingly enough, there’s a new category of wearables that’s becoming popular – EEGs, which measure brain levels and functions, as well as fatigue. We’re really interested in integrating with these devices and eventually

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the city and see life-sized virtual models

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wearable hub Daqri’s smart helmet will be a hub for workers to be able access plans, follow instructions and feed data back to the main office.

the SmaRt helmet In terms of data collection, the helmet has multiple tools that collect data and do solid reconstruction offline. Brian Mullins adds that by the end of 2014, the Daqri team will be rolling out a full industrial 4D cloud so that it can be taken on-site; when the work is complete, the helmet can be docked and all information automatically uploaded to the cloud for processing. This means that the worker won’t have to handle the raw data at all.

The smart helmet is also configured to operate across different networks, both in online and offline modes. The helmet has been designed to operate in stand-alone mode, meaning that work packages can be stored on an SD card and the worker/ operator can work off the local work packages.

Since the helmet is an industrial safety product, the design team employed university researchers to ensure that, from a functionality standpoint, the helmet’s design was modified to meet ANTSI safety standards and that it could be certified.

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Built with two Snapdragon processors, the Daqri Smart Helmet has been designed with data security in mind. One processor acts as the secure core and the other is the application core, which allows the running of standard Android software on the application without touching the secure data core, which also runs the navigation services. This way, fundamental operations are protected from what happens on the application layer and on the network.

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including one in the smart helmet so you can monitor the level of attention during critical steps and then prompt the worker to focus or to take a break if fatigue is detected. I think it’s really important that we make the environment safer and less stressful for the worker. In return, you’re going to get better results, better quality and better safety,” he asserts.

While Jabakhanji is enthusiastic about the prospect of ‘smart’ wearable technology and how it can combine with augmented reality, he cautions that its uptake in an industry dominated by cost concerns will be determined by its affordability and the value it adds.

“If you think about wearable technology, it’s something that you need to buy specifically for a purpose, whereas everybody has a smart phone at the moment – even a very basic smart phone can load a small BIM model that can be used for augmented reality purposes,” he points out.

“I don’t see [wearable tech] becoming very popular. Smart helmets could work in the oil and gas sector, where they’re very strict about protocols and about quality and safety.

In the construction field, it’ll mainly be used for coordination, maybe in the MEP systems.

I don’t really see it becoming that popular over here, but I think people will experiment with it. The key is how it is going to assist the construction workflow,” Jabakhanji adds.

The biggest determining factor for the further evolution of augmented reality will be how they are powered, says Charles Dunk. While the software is generally sound, it is the underlying hardware that causes him the most concern.

“The limitation has not been the screens or the cameras themselves, but the underlying hardware to support it all. In particular, the batteries between all the different types of devices. I could see it as being the future, but I don’t know how feasible it is,” he cautions.

“The construction industry is notorious for not adopting new technologies. I can see it working in manufacturing and in the military, but the proven cost effectiveness and the return on investment will be high on the agenda for contractors.”

However, this is not to say that he doesn’t think there is great potential for augmented reality. A simple cost-benefit analysis of the different construction technologies shows that augmented reality is at its prime, says Dunk.

“It’s the right technology for right now. It’s not difficult to implement, the hardware is already there and there’s very little standing in the way of it. Augmented reality is only limited by your imagination. It definitely has a place now.”

Diversifying to SUCCEED

O

ver the course of the next decade the GCC will undergo unprecedented change, even by its own remarkable standards.

Hospitalit y and infrastructure projects are set to be the largest growth sectors for a construction industry nearing full recovery from the dark days of 2008.

Fuelled by mega-events such as the Qatar World Cup in 2022 and the Dubai Expo in 2020, construction work is under way, with projects that will fundamentally alter the landscapes of the cities of the GCC. The construction sector in the UAE, Saudi Arabia and Qatar is expected to record an average growth of 9% in 2015 alone, as projects move from design to construction.

Of the $1.53 trillion worth of real estate projects under construction in the GCC up to 2025, the UAE leads the way with projects worth $940.55 billion in the design, bid or construction stage, according to Zawya Projects Monitor data.

Saudi Arabia, Kuwait and Qatar follow with $461.21 billion, $205.88 billion and $82.84 billion respectively.

It is clearly a time of opportunity for companies that understand the fundamental needs of the industry.

Al Rajhi Holding Group (RHG) is one of those companies. A well-established and diversified construction business group, it is fast becoming one of the leading conglomerates in the region.

With a focus on high growth sectors such as Building Solutions, Real Estate Development, Contracting and Infrastructure and Industrial Sectors, the group is already a dominant player in the GCC market.

With nine companies under the banner of the Building Solutions division, it has proved that it is a company that can offer a complete range of building solutions, from design and production to delivery and installation.

This has paved the way for the division and by extension, the Al Rajhi Holding Group, to be recognised as one of the strongest partners that the GCC’s construction industry has.

As the region begins to stride for ward, the Building Solutions division has been stepping up operations considerably as it looks to cement its place as a market leader.

Mabani Steel llC WE Build your futurE

impRESSivE REcORD Mabani Steel has supplied more than 2,000 projects for steel buildings in more than 43 different countries.

W

ith the mega-event of the decade coming to Dubai’s sunny shores, it’s safe to assume the UAE can anticipate rapid growth in the construction sector as it gears up for Expo 2020. The future of construction already looks bright in the country, if projects announced in recent months are anything to go by.

This expected increase in construction will not be restricted to the UAE alone. Cumulative growth in the industry in the MENA region is set to reach 80% over the next decade, surpassing a global industry growth rate of 67%.

It’s almost impossible to imagine construction without steel, and the UAE is no exception. The country produced 2.9 million tonnes of steel in 2013, according to the World Steel Association.

Enter Mabani Steel, a UAE-based designer, fabricator, erector and supplier of Steel Buildings Structures. The company, wholly owned by Al Rajhi

WWW.MABANISTEEL.COM

MABANI STEEL KEy projEcTS Emirates SkyCargo at DWC Dubai, UAE SIBCO Mega Plant Jeddah, KSA Factory building for Air Liquide at Maritime City RAK, UAE

Holding Group, has its head office and factory in Ras Al Khaimah, UAE. With a factory that boasts a production capacity of 72,000MT per year of pre-engineered buildings and 48,000MT per year of Hot Rolled Structural Steel, Mabani Steel is well placed to take advantage of the coming construction boom.

Having completed more than 2,000 projects, with a track record of supplying steel buildings to over 43 countries in the Arabian Gulf, Africa, South Asia and Far East, the company was an easy choice to be

“OUR pERfORmAncE in 2014 hAS bEEn thE bESt EvER SincE thE cOmpAny’S EStAbliShmEnt in 2006”

appointed to supply the upcoming Dragon City Mall project in Bahrain.

Currently it has a number of projects underway in KSA, including the Jeddah Airport and the Aquat Food Factory, also in Jeddah.

In a statement to Big Project ME, Mabani Steel management said that its performance in 2014 has been the “best ever since the company’s establishment in 2006”.

As part of its future plans, the company aims to grow its business, with the UAE and KSA of particular interest. Plans include securing signature projects and repeat business.

With the global spotlight on safety and sustainability in the construction, Mabani Steel has ensured compliance with ISO guidelines and work standards at the company comply with several ISO certificates. In 2012, the its factory was also awarded the Environmental Performance Certificate by the UAE Ministry of Environment and Water, in recognition of its efforts.

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ClaDteCH international llC thE GCC’s ClAddiNG spECiAlist

D

emand for aluminium products as composite aluminium cladding is set to increase in the GCC following the awarding of a total of $59 billion worth of contracts in 2013, a Frost and Sullivan report released earlier this year has found.

Aluminium production is expected to increase considerably in the short-tomedium term, with the region expected to contribute about 15% of the world’s aluminium production by 2015.

This largesse is expected to be a boon for cladding firms like Cladtech LLC. Set up in 2006 and backed by Al Rajhi Holding, Cladtech’s vertically integrated business structure, including design, development and processing capabilities, has seen it emerge as the region’s leading building envelope specialist.

The aluminium, metals, cladding and glass divisions offer a full range of services, while the company’s skilled craftsmen are capable of producing more than 600 bespoke, unitised wall panels per day to the highest standard of quality.

cLADTEcH KEy projEcTS Damac Tower

by Paramount Dubai Al Fattan Crystal Tower Dubai King Khaled International Airport Riyadh King Abdullah Project 4 Riyadh King Abdullah

Using the latest technologies and techniques, they ensure Cladtech products continue to enjoy a reputation for excellence, from its production facility in Ras Al Khaimah.

Situated on a 90,000sqm plot, the facility – one of the biggest in the region – has a covered area of 40,000sqm and an uncovered area of 50,000sqm, including worker accommodation.

It provides aluminium, glass, doors and windows and high-tech curtain wall packages, including project management, design, production and installation, complemented with in-house state of the art anodising and powder coat finish.

Its range of services include fabrication and manufacture of the curtain wall components (stick and unitised curtain wall), and the installation of all the aluminium works including supervision, tools and equipment, as well as the packing and transportation of components to site by its fleet of trailers.

Due to this strength in logistics, manpower, storage, warehousing, Cladtech is working on a number of high profile projects, such as the Damac Towers by Paramount and the Al Fattan Crystal Tower.

Besides the Middle East, Cladtech names Asia, Africa, Europe, Australia, the US and the UK as other potential markets.

Sports City Riyadh Yas Mall Abu Dhabi King Abdullah Financial District

“clADtEch pRODUctS cOntinUE tO EnJOy A REpUtAtiOn fOR ExcEllEncE”

Riyadh

AnSwER All qUEStiOnS Cladtech’s vertically integrated business structure allows it to meet all of its clients’ construction requirements.

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WWW.CLADTECH-INT.COM

roMeo interiorS llC first ClAss, oN timE, oN BudGEt

tRUSt pARtnERShip Romeo Interiors says that its success is built on the principles of interdependence between it and its clients.

S

ome 51 million hotel rooms are currently demanded in the Kingdom of Saudi Arabia, while Dubai alone accounts for 18.1 million of the UAE’s total demand of 26 million hotel rooms. The numbers are a clear indicator of how the busy hospitality sector is shaping up. Romeo Interiors LLC, a subsidiary of Al Rajhi Building Solutions, is keen on participating in the construction of the four- and five-star hotels of tomorrow.

Romeo Interiors operates a brand new state-of-the-art, climate controlled 25,000sqm production facility in Ras

Al Khaimah to serve, along with, the residential and commercial sectors, the hospitality industry in the region.

Romeo Interiors told Big Project ME that the firm views hospitality as a highly promising industry, and that it is constantly working to improve its capacities to cater to the sector across the GCC. Being part of the Al Rajhi Holding Group allows Romeo Interiors greater access to the KSA market, due to the support offered by its parent company.

Meanwhile the firm continues to take on projects in the other GCC

roMEo INTErIorS KEy projEcTS Movenpick, Riyadh, KSA Novotel Al Barsha, Dubai Al Ghurair Expansion (Arjaan & Rayhaan by Rotana), Dubai Saudi Embassy, cairo

“hOSpitAlity iS A highly pROmiSing inDUStRy AnD wE’RE wORKing cOnStAntly tO impROvE OUR cApAcitiES tO cAtER tO thE SEctOR AcROSS thE gcc”

WWW.ROMEO-INTERIORS.COM

markets, most prominently in the countries of Qatar and UAE. Besides a workforce comprising almost 800 workers, the firm also has a joinery production facility and workshops that provide turnkey interior solutions. A strong base of employees is particularly beneficial to Romeo Interiors on refurbishment projects, which tend to demand a greater understanding of the structure and how to translate renovation plans into reality.

The Al Ghurair City expansion in Dubai, the Saudi Embassy and the Consulate Office Building in Cairo are a few of its many prestigious projects.

Romeo Interiors also caters to the market with its fit-out operations.

The fit-out arm continues to differentiate its work from its competitors, especially in markets which are saturated with more complicated and innovative designs, along with clients who are looking to establish their hotels as high-end products.

03

UnipoDS llC CoNstruCtioN simplifiEd

why bAthROOm pODS? The pod is a pre-engineered, pre-fitted, ready - plumbed bathroom, and is delivered ready for installation. The perfect ‘Plug and Play’ concept for today’s construction industry.

T

he number of hotel rooms under construction is steadily growing in the GCC, with the UAE’s count of 17,137 rooms and Saudi Arabia’s 15,415 under-construction rooms leading the figures for the region. Unipods was launched to serve, amongst others, exactly this very hospitality industry, known in the region for its demands of speedy and quality construction.

Unipods construction technology enables fully functional bathroom and kitchen units to be manufactured in controlled factory environments, away from the construction site, thus ensuring quality and bespoke production of units ready for immediate use.

Saving time and cost – of labour and raw materials – is of critical importance across the hospitality sector, which in the Middle East can tend towards extravagant construction practices.

While Europe has implemented technologies like Unipods for the last seven decades, the trend has only become popular in the Middle East in the last four years and Unipods is one of the few known local manufacturers of such technology.

Unipods told Big Project ME that

04

the manufacturer can deliver more than 10,000 bathroom and 50,000 kitchen units to the market and has even doubled its capacity this year.

Having had tremendous success in the five-star hospitality market, Unipods is now also focusing its attention on the budget hotel sector, as the company believes that there is a major opportunity to consolidate its market share there.

Drawing on the success of fivestar hotels which have used Unipods technology for their projects.

Developers of budget hotels are also moving away from the traditional methods of sanitary ware installations towards the use of predesigned and manufactured pods.

Saudi Arabia is a strong market for Unipods technology given the high religious tourism traffic it is

UNIpoDS KEy projEcTS Holiday Inn Hotel, makkah Premier Inn Hotels, pune and goa Porto Arabia, Doha Al Habtoor Accommodation, Dubai Al Waseel Hills, Riyadh

known for, especially in the holy cities of Makkah and Madinah.

Time restrictions and tight deadlines for construction in such locations make Unipods the ideal choice for developers that are seeking durability, convenience and speed of construction on their projects.

The projects that Unipods has worked on have included some of the most prestigious in the region. One such notable project was the Holiday Inn Makkah – the largest Holiday Inn hotel in the world.

Unipods has recently been appointed

by SABIC to supply bathroom pods to their prestigious Al Waseel Hills luxury villas project in Riyadh.

It has also worked on El Hejoun hotel, in Makkah, as well as a number of Premier Inn hotels in India, which is an indication that clients are warming to the benefits that Unipods offers.

“timE REStRictiOnS AnD tight DEADlinES fOR cOnStRUctiOn in lOcAtiOnS liKE mAKKAh AnD mADinAh mAKE UnipODS thE iDEAl chOicE”

WWW.UNIPODS.AE

MaDa GypSUM Co. llC A solutioN suppliEr, A Cost lEAdEr

KingDOm OppORtUnity Projects in KSA are moving towards full systems solutions, making MGC the perfect choice.

M

ada Gypsum Company, the Saudi Arabian subsidiary of Al Rajhi Holding Group, has had a strong 2014 buoyed by increased demand from both its local market and the regional GCC. This success has meant that the manufacturer has been able to solidify and increase its market share in all key target markets.

Despite the political situation in the Levant region making future planning a complicated business, MGC has been able to hedge the instability by developing its other export markets. 2014 also presented further opportunities to the Yanbu Industrial City based firm, with the KSA market under going fundamental change.

More and more projects in the Kingdom have begun to move towards a full systems solutions approach, along with a performance guarantee, rather than merely concentrating on the cheapest option available.

While this represents a major opportunity for MGC, given its higher quality standards as compared to

WWW.MADAGYPSUM.COM

its local competitors, it also poses a challenge as the Saudi firm will be exposed to direct competition from international manufacturers. However, it remains confident in its ability to meet this competition on an equal footing. It has already begun building up a significant technical team that will enable it to continue competing and performing in this new market segment.

In response to the UAE becoming an increasingly important market for MGC, the company has decided to open a branch in the country and enhance

MADA GypSUM KEy projEcTS KAPSARC Riyadh King Abdullah Financial District Riyadh Princess Nora University Riyadh Jabal Omar makkah

“mgc AimS tO bEcOmE thE lARgESt mAnUfActURER Of gypSUm plAStERbOARD AnD RElAtED pRODUctS in thE gcc AnD mEnA REgiOnS within A pERiOD Of fivE yEARS”

its resources in that particular market.

Over the coming few years, MGC is expected to substantially increase its focus on the KSA, UAE and Qatar markets due to their strong growth forecasts for the foreseeable future. It intends to further build up its presence in the retail market by becoming the clear leader in all its core markets.

By leveraging its position as a cost leader and preferred system supplier, MGC aims to become the largest manufacturer of gypsum plasterboard and related products in the GCC and MENA regions within a period of five years, having launched a cement board plant in 2014.

Plans to further increase its plasterboard product range are also underway as the manufacturer looks to provide clients in the GCC with the full range of options as available in international markets.

With plans for expansion and consolidation already in the pipeline, MGC’s next big business focus is to become a full system solutions provider to the growing market in the GCC.

05

preteCH llC

sAviNG CoNstruCtioN timE With CoNsistENt quAlity

D

emand for precast construction is predicted to increase, with Saudi Arabia, Qatar and the UAE amongst the leading markets for the technology.

While the UAE and Qatar are using precast concrete on large-scale infrastructure projects, in Saudi Arabia it will be used to help the government to build a massive 500,000 new homes.

One of the early entrants into the KSA market was Precast Technologies Company (PreTech), which was established in 2006 as a 100% owned company by Al Rahji Holding. With its modern, state-of-the-art production facility with sales and administrative office in Yanbu, there are few precast companies in the Kingdom that share PreTech’s comprehensive range of

“pREtEch pROviDES SERvicES RAnging fROm DESign thROUgh tO mAnUfActURE, SUpply AnD EREctiOn”

precast solutions, giving it a significant advantage in the marketplace. The company provides services ranging from design through to manufacture, supply and erection. In addition, its Jeddah office boasts in-house engineering design teams that have the capability to assist and advise owners, consultants, architects, engineers and builders in the design of their project, using hollow core slabs (HCS) and other precast concrete elements. With an annual production capacity of 1 million sqm of HCS and 45,000 cubic metres of other elements, the company is well placed to serve a growing need in a Saudi Arabian marketplace that has a tremendous amount of untapped potential for its particular brand of construction technology.

prETEcH KEy projEcTS Haramain Gate (SANG) yanbu Saudi Alterais Cladding KAAU, Jeddah SABIC Housing boundary wall yanbu

timE SAvER PreTech’s solutions can save up to 25% of construction time compared to traditional techniques.

06

WWW.PRECAST-TECH.NET

teCHnobit llC CustomEr-foCusEd tEChNoloGiEs

A

few years ago, the concept of having structures with basements that reach the water table or skirted water canals was an alien one to the GCC. However, since the construction boom took hold projects have become increasingly complex. Water features and artificial islands are now part and parcel of standard designs, and the need for waterproofing specialists grows

ever larger. Established in 2006, Saudi Waterproofing Company (TechnoBit), is primed to take advantage of this rapidly expanding market sector.

A fully-owned entity of Al Rajhi Holding, it launched its commercial operations in 2008 using the very latest technology available. Since then, TechnoBit has established itself as a strong presence in the waterproofing market. Its range of products includes

TEcHNoBIT KEy proDUcTS Technomat Technoplast Technogum Technotwin Technoglass Technoflex

Technomat, Technoguard and Technogum. Its Technoprotect product has been specified by most projects in KSA, the company claims proudly.

Meanwhile, its factory at Yanbu Industrial City features Europeanstandard, state-of-the-art technology. It manufactures a wide range of bitumen membranes which comply with global standards, making TechnoBit a dominant player in the market.

“tEchnObit’S fActORy At yAnbU inDUStRiAl city fEAtURES EUROpEAnStAnDARD, StAtE-Of-thE-ARt tEchnOlOgy”

WWW.TECHNOBIT.NET

07

eleCtropUtere quAlity, pErformANCE, ExCEllENCE

T

he GCC region can expect to see its population soar by 30% to more than 50 million people over the next decade, a result of strong economic development.

This scale of growth inevitably leads to pressure on the region’s utilities, creating a demand for more electricity generation to sustain an ever-increasing population. The GCC will require an estimated 60,000MW of new capacity by 2015 and a by-product of this demand is a need for electrical equipment for energy distribution.

Electroputere, a Romanian company founded in 1949, is keen to capitalise on this opportunity and

ELEcTropUTErE KEy cLIENTS Siemens ABB ArcelorMittal E.ON

build its presence in the GCC as part of the Al Rajhi Holding Group.

The firm’s main products include power transformers in the range of 10 to 440MVA and electrical rotating machines in the range of 200 to 7,000kW. The products are predominantly sold in Europe, the Middle East and North Africa.

Electroputere has played a key role in the establishment of power systems and the modernisation of the railway and urban transport systems in Romania.

The company was recently appointed on projects in Saudi Arabia including the installation of twelve 67MVA power transformers for Al Babtain and nine 67MVA transformers for Al Fanar.

“thE cOmpAny’S mA JOR gROwth mARKEtS in thE REgiOn ARE All gcc cOUntRiES, with KSA bEing Of SpEciAl intERESt. ElEctROpUtERE intEnDS tO OpEn A nEw SAlES OfficE in thE KingDOm tO StREngthEn itS pRESEncE in thE mARKEt”

The company’s major growth markets in the region are all GCC countries, with Saudi Arabia being of special interest.

Electroputere intends to open a new sales office in the Kingdom to strengthen its presence in the market, the firm told Big Project ME in a statement.

Currently, the company is implementing a comprehensive investment and reorganisation programme including the renewal of production machines and equipment, refurbishment of buildings, occupational health and safety programme, process development and many others.

With a targeted 20% increase in revenue for 2015, Electroputere’s goal is to become a global provider of power transformers and rotating electrical machines.

Electroputere’s stated vision is to become a leading manufacturer of power transformers in Europe. This in turn will lead to an increase in sales all over the Eurozone and the MENA regions, the company added.

pOwER mARKEt Saudi Arabia is a major market for Electroputere.

08

WWW.ELECTROPUTERE.RO

elseweDy Cables ltD PROvIDING SAfe eNeRGy

profit market Elsewedy Cables saw gross profits increase by 18% to $130.33 million.

W

ith roots going back over 70 years, Elsewedy is one of the oldest and most successful industrial and trading business groups across the MENA region.

One of the most experienced manufacturers operating in the Middle East, it successfully operates 23 production facilities in 12 countries in Africa, Europe and Asia.

Elsewedy Cables is partially owned

by Al Rajhi Holding, along with Elsewedy Electric from Egypt. It exports a wide range of high quality and safe products to more than 110 countries worldwide.

The company built its factory in 2006 over an area of 104,000sqm in Yanbu, Saudi Arabia with an initial planned annual capacity of 35,000T/year.

A proficient supplier that focuses on client demand and requirements,

WWW.ELSEWEDY.COM

Elsewedy Cable’s product range includes low voltage cables (0.6/1 (1.2) kV cables) and control cables and medium voltage cables (6/10 (12) kV, 8.7/15 (17.5) kV.

“Growth has been complemented

by GaininG approval from different parts of the Government and private sector for products”

Elsewedy Cables has targeted entering new markets in different regions within Saudi Arabia. These aggressive expansion plans have coincided with sales increasing significantly, the company has said.

Growth has also been complemented by Elsewedy Cables gaining approvals from different parts of the government and private sector for its range of products.

It has implemented plans for the development of its total telecom solutions, turnkey projects, wind energy generation and solar energy, the company added.

In H1 of 2014, Elsewedy’s Wire and Cables revenue increased by 12% from H1 2013 to $931.9 million. Gross profits increased during the same time by 18% to reach $130.33 million. 87,448 tonnes of cables were sold in H1 2014.

ELSEWEDY CABLES KEY proDUCTS Overhead Conductors High Voltage Cables Fire Resistant Cables Control Cables Extra High Voltage Cables Copper Telecom Cables

09

P.O.BOX 18927 RIYADH 11425 SAUDI AR ABIA TEL: +966 11 511 8888 FA X: +966 11 511 8873 W W W. ALR A JHI-HOLDING.COM

Special Feature MEP DESIGN

AN MEP OVERDOSE

Is the greed for extreme indoor cooling damaging the basics of MEP design and contracting? Big Project ME investigates chapters on applying the principles of construction to projects in the hot and dry climate of the Middle East.

It covers a variety of topics, such as basic design data; building design and construction materials; equipment design data; sustainability; sourcing materials; and the logistical challenges of working in the more remote regions of this climate zone.

One of these challenges is the prevalence of over-designed structures. For example, the seismic codes for construction far exceed the requirements for earthquake resistance given the emirate’s geographic location.

Furthermore, it is often claimed that the MEP systems in the city’s buildings are designed for far larger capacities than required.

NOVEMBER 2014

MIDDLE EAST

I

n September 2014, the Chartered Institute of Building Services Engineers (CIBSE) launched a construction publication unparalleled for, among other reasons, the relevant and timely insights it offers the construction industry in the Middle East.

‘Building for extreme environments: Arid’, compiled by a group of experts from the construction industry, includes

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Special Feature MEP DESIGN

“Some buildings in the city are designed by over 1.5 times than they really should be,” Arvind Swarnkar, general manager of Dubai-based automation solutions firm Building Automation and Security Systems (BASS), tells Big Project ME. “Most owners agree to such over-design because they don’t want to be blamed for failure later. Over-precaution is good for earthquake resistance, but MEP shouldn’t be overdone because it places extra load on the building. That’s one of the reasons why some rooms you walk into might feel over-chilled, because the chilling capacity for the room is in all likelihood twice its ideal specifications for an area that size.”

Sean McKeag, lead author of the CIBSE publication, agrees with Swarnkar.

McKeag, an engineering manager at AECOM, asserts: “Yes, the case for over-design

bigprojectMe.coM

is correct and I absolutely agree. It’s one of the first things I noticed when I came here [the UAE] in around 2008. Projects are mostly over-designed for all the wrong reasons. The perception is that if you over-design in advance, you’ll get a better end-product, whereas the opposite is the truth of the matter.”

The “better” building performance McKeag speaks of is gauged by the building’s ability to fight off the effect and sensation of the extreme heat conditions in the GCC, and MEP design engineers have to consider these high temperatures to accurately calculate the load requirements for buildings within the built environment. These designs have to then be communicated to contractors who agree with the specifications, but this level of cooperation is not easy to find in the region.

Mairead Hughes, Business Development Manager for Arabian MEP Contracting, one of

BIM for cleaner MeP “We have been focusing on BIM for the last four years and we have completed many projects in the region utilising the software. Over this period, we have gone through a considerable learning curve and have recognised both the pitfalls and benefits of using it. A significant advantage of BIM is the realisation of full MEP services coordination, which can significantly progress construction activities at site level, aiding the contractors to achieve their often stringent timelines for delivery.

Achieving the necessary BIM level of coordination in a region where most of the construction industry is still getting to grips

“Over-designed MeP systeMs are why sOMe rOOMs yOu walk intO Might feel Overchilled, because the chilling caPacity fOr the rOOM is in all likelihOOd twice its ideal sPecificatiOns fOr an area that size”

with the basics of BIM has been challenging.

We have learnt many lessons from the effects of introducing BIM and we are now seeing the major benefits it offers projects and subsequently the attainment of MEP services targets.”

Bill Jolly, Director of MEP and Sustainability,

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MIDDLE EAST

Ramboll Middle East

NOVEMBER 2014

Special Feature MEP DESIGN

better building Better building performance can be gauged by the building’s ability to counter the extreme heat found in the GCC.

[Doha] without air-conditioning is difficult, so a building where people are going to live and work will most definitely have to be mindful of the extreme weather,” she says.

“End users in this part of the world explicably veer towards very cool indoor climates, and some clients do demand chiller capacities which you might theoretically consider over-designed. But the idea then is to explain to your clients how cooling can be optimised and regulated, instead of being installed in an over designed manner.”

Effective communication of these practices demands that the contracting team, including the MEP contractor, share a strong rapport with the client. Hughes therefore advises MEP contracting firms in the region to pick their partners wisely, especially if they are relatively young in the local market.

Even arriving at the best permutation for a project requires patiently undertaking various systematic processes, as Bill Jolly, Director of MEP and Sustainability at Ramboll Middle East, explains.

NOVEMBER 2014

MIDDLE EAST

Qatar’s largest local contractors of its kind, says the client plays a crucial role in how adequately a building’s MEP systems are designed.

“I’ve noticed that consultants from other parts of the world, such as Europe or America, have a tendency to over-design chiller capacities. This especially happens when they’re working on prestigious projects,” she says. “Understandably, developers sometimes get overzealous with design and innovative concepts on a project, and not all consultants will want to step in and provide a reality check. As an MEP contractor, we attempt to choose developers and projects carefully, and in unison with the main contractor seek out value engineering options for the project.”

Do clients adhere to these reworked plans, which may reduce the building’s chilling by a larger capacity than they’d prefer? Not always, Hughes admits.

“The GCC region is extremely hot for long durations, and there’s no denying the immense pressure this puts on MEP systems in buildings. Driving in the city

47

Special Feature MEP DESIGN

“At Ramboll, we divide our load assessment operations into three stages. The first stage is to ensure the passive solutions are maximised.

This means ensuring the building envelope performance satisfies local regulations, and through cost effectiveness reviews, the envelope should justifiably go beyond these parameters.

“U-values, shading coefficients, glazing percentages and ensuring the building is sealed are all components of passive design where the full design team needs to carefully consider the right passive solutions. The second stage is to minimise the active components of the MEP services design which in turn reduces the energy and water requirements.

The final stage is to then consider renewable and sustainable technologies, which further reduce energy and water consumption.”

bigprojectMe.coM

Jolly believes an integrated approach needs to be agreed upon between the whole design team at all three stages, and thermal modelling should be the focus of the MEP engineering system selection process.

“The thermal modelling of the building offers anticipated energy consumption information relative to occupancy, building usage, MEP services, envelope and building orientation,” he continues. “These anticipated energy consumption models allow the design team to make the most cost-effective sustainable informed decisions for the design of the building.”

Both McKeag and Hughes are unwilling to directly blame contractors and clients for the ramifications of an over-designed MEP system.

McKeag believes the practice is restricted to only those clients who, in their short-

sightedness for monetary or time savings, steer away from theoretically sound MEP options.

“You’ll find anywhere in the world, not just this region, that clients focus on how quickly or inexpensively they can construct a building or resell it. But there are exceptions.

Clients working on projects in, say, the aviation or healthcare industry tend to be more mindful of the dangers of over-designed MEP systems. An air-conditioning unit has the same impact on a building if you don’t install it the right way in any country you go to.

“You can’t blame the contractor, because he’s just doing what he’s told and he will deliver the limit he has been asked to.

The over-design stems from the designing side. All you need is a robust design, and everything will follow accordingly.”

Too Much, Too laTe “One of the difficulties we face as an MEP contractor is when project designs are

“yOu can’t blaMe the cOntractOr, because he’s just dOing what he’s tOld and he will deliver the liMit he has been asked tO. the Over-design steMs frOM the designing side”

changed after work on the project has already commenced. This may occur if a client changes his/her mind on building functionality, design or finish, and all other parties, including second-tier contractors like MEP contractors, must incorporate the changes. Although contractors are compensated for such changes, loss in time and programme are very difficult to recoup once a project is underway.

The municipality and civil defence authorities in Doha have guidelines in place which have to be adhered to while working on construction projects. The industry here is still growing, and that’s one of the reasons the laws and regulations keep changing so often here. So, during a project, it would be typical to have to make changes due to changes in regulations.

As a local company, that is slightly more manageable for us than it might be for a newlyentered contracting firm. By now, we know to anticipate such changes and to keep tabs on all the updates, but not all MEP contractors in Qatar are as diligent about these things.”

Mairead Hughes, Business Development

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MIDDLE EAST

Manager, Arabian MEP Contracting (Qatar)

NOVEMBER 2014

Over design Oversights Consultants and designers will often over-design MEP systems in order to satisfy their clients’ demands, rather than take into account whether the building actually needs the systems.

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Lindab Safe 1. Circular duct 2. Bend 3. Reducer 4. T-piece 5. Female coupling

Silencer 6. Circular straight low-built silencer 7. Circular straight silencer 8. Circular curved silencer

Access doors 9. Access door 10. Access cap

Damper & Measure 11. Regulating damper 12. Constant-/variable flow damper 13. Damper with flow meter

Flexible ducting 14. Semiflexible duct 15. Multi layer flexible duct (Combi) 16. Flexible duct (PVC) 17. Flexible duct insulation/ insulation sleeve

Indoor Climate Solutions 18. Exhaust air valve 19. Diffuser VERSIO 20. Supply air beam 21. Pressure control valve 22. Diffuser 23. Diffuser COMDIF

Hoods 24. Roof hood 25. Roof hood

Rectangular 26. Rect to round transition 27. Rectangular duct 28. Rectangular bend 29. Rectangular straight silencer

Installation equipment

Smart tools 34. Tester 35. SR Cutter 36. SR Roller 37. Trolley 38. SR Handle

Other products 39. Insulation 40. Duct fan 41. Fan 42. Fire damper 43. Filters

IT solutions 44. TEKNOsim 45. DIMsilencer 46. DIMcomfort 47. CADvent

30. Suspension clamp 31. Suspension threaded rod 32. L-fastener with vibration damper 33. Cantilever

For product information and solutions please contact: Sashi Menon • Office 207, Al Rais centre, Mankhool, Dubai • Mobile: 971 50 6245365 • E-mail: sashi.menon@lindab.com

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PROJECT PROFILE BURJUMAN CENTRE

Evolution of a Landmark Big Project ME visits the BurJuman Centre in Dubai, currently undergoing its third expansion

BurJuman Centre

Main Contractor

Engineering Contracting Company (ECC)

Consultant

Hyder Consulting

Project Manager

Projacs International

Project Value

$100.7 million (as of 2011)

MIDDLE EAST

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Project Name

NOVEMBER 2014

bigprojectMe.CoM

PROJECT PROFILE BURJUMAN CENTRE

I

f you’ve only just arrived in Dubai – as a resident or tourist – there’s a good chances that one of the first spots you’ll check out is on ‘the other side of town’, in a locality called Bur Dubai. While it may look nothing like the city which is home to the world’s tallest towers, don’t be fooled by appearances: Bur Dubai is indeed where Dubai was born.

Najib Mohammed Saleh, head of the Planning and Research section at Dubai Municipality’s Planning Department, has previously spoken to Big Project ME about the city’s urban planning initiatives in the run-up to the World Expo 2020.

Saleh highlights the role played by structures such as Dubai Mall and Mall of the Emirates in transforming the city into a retail hub.

That’s precisely why a large part of Dubai’s future urban plan takes into consideration the operation and logistics of the numerous malls that populate the city.

BurJuman Centre is one of the 11 listed malls in Saleh’s records, and one of the oldest known retail outlets in the city, having opened its doors to the public in 1992 when construction of the North Wing was completed.

BurJuman’s popularity depends greatly on Dubai’s long-term residents. People who knew the city before its sky-scraping days call it the first luxury mall in Dubai.

It was developed by the Al Ghurair Group, and Majid Saif Al Ghurair of the prestigious Al Ghurair family continues to serve as president of the mall.

However, a quick drive past the mall today shows a large section of the structure covered with scaffolding. BurJuman is undergoing its third set of renovation and expansion operations since the turn of the century. Chief Operating

“The UAe’s reTAil secTor is projecTed To grow by 33% in 2015, And bUr jUmAn Aims To cApiTAlise on The opporTUniTies presenTed by The expecTed spike in reTAil demAnd”

NOVEMBER 2014

MIDDLE EAST

reTAil hisTory BurJuman is one of the oldest malls in Dubai, having opened its doors in 1992.

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PROJECT PROFILE BURJUMAN CENTRE

Officer Leigh Regan tells Big Project ME that he expects the latest set of extension activities to benefit both the mall and the emirate.

“Ever since the mall first opened, BurJuman has embarked on a series of extensions and renovations, and each phase has helped enhance the offering and meet the changing needs of customers and the desires of tenants,” Regan says.

“The UAE’s retail sector is projected to grow by 33% in 2015, with Dubai leading from the front, and BurJuman, with its enhanced customer offering, aims to capitalise on the opportunities presented by the expected spike in retail demand and further raise our profile within the city’s retail scene.”

Regan is spot-on about the transformation brought on by each of BurJuman’s expansions.

bigprojectMe.CoM

The Al Ghurair Group announced the first expansion project in 2001. It included office space, 163 luxury condominiums and furnished apartments, leasable retail space, leisure arcades, speciality restaurants, entertainment halls, nine cinema halls, a spacious food court, a health club and 3,200 parking spaces.

The expansion, worth $326.7 million at the time, was to be funded in part by one of the country’s leading banks.

On the shortlist were National Bank of Dubai, Emirates Bank International, Citibank, Mashreqbank, National Bank of Abu Dhabi and Barclays.

For a contract value of $135 million, Habtoor Leighton Group (HLG) worked as the main contractor for the expansion

“we were Able To develop A well ThoUghToUT renovATion plAn ThAT Allowed Us To idenTify And eliminATe poTenTiAl impedimenTs, so we never hAd To work oUr schedUles AroUnd bUr jUmAn meTro sTATion”

project between 2002 and 2006. In a joint venture, Murray & Roberts and HLG acted as principal lead contractors for the reinforced structures, the external envelope and finishes to the office block and the apartments.

Together, they built what are today known as the BurJuman Business Tower, BurJuman Arjaan Hotel and BurJuman Residence. The 30-storey BurJuman Business Tower has a built-up area of 37,000sqm.

The joint venture also constructed a retail podium with a mezzanine floor and four levels. This increased BurJuman’s total retail floor space to 74,322sqm.

Other operations undertaken by the joint venture included coordination of the post tensioning, special steel roof features, curtain walling system, external facade cladding, facade cleaning systems, stone cladding, waterproofing and the installation of 50 lifts and 26 escalators.

“When BurJuman was first launched in 1992, it pioneered the mall culture in Bur Dubai and set the trend for landmark property development in this area, in line with Dubai’s growing economy,” Majid Saif Al Ghurair said in 2003 while providing construction progress updates about the expansion project.

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MIDDLE EAST

open for bUsiness Work on the redevelopment of the mall will continue despite it being open for business as normal.

NOVEMBER 2014

PROJECT PROFILE BURJUMAN CENTRE

“As the demand grew for more world-class infrastructure, facilities and services, BurJuman launched this expansion programme to support the Dubai government’s ambitious drive to further enhance the city’s image as a year-round international shopping and leisure destination. Once the landmark project is completed, BurJuman will become the most significant development in the retail, leisure and entertainment industries in the Middle East.”

3,158sqm of retail and restaurant space was added to the mall’s ground floor in 2009, and its exterior façade was redesigned. A main entrance off Khalid Bin Al Walid Street was also created.

However, these refurbishments were dwarfed in 2011, when the largest redevelopment in BurJuman’s history was announced. This time, the scope of work included the MEP and structural systems of the North Wing. The addition of a fourth-floor cinema complex, an anchor hypermarket and the extension of the third-floor family entertainment area to include an extended food court all formed part of the plan, as did increasing the total retail area from 74,322sqm to 92,903sqm.

Critically, the work on the mall was to continue despite the mall being open for business

“once The lAndmArk projecT is compleTed, bUr jUmAn will become The mosT significAnT developmenT in The reTAil, leisUre And enTerTAinmenT indUsTries in The middle eAsT” as normal. Further compounding the situation was the busy location and the presence of a key Dubai Metro station just outside its doors.

Despite these considerable obstacles, Regan asserts that the project team isn’t intimidated by the challenge.

“We had put in a lot of thought, time and effort in coming up with the right renovation plan so that neither the functioning of the mall nor the construction work was affected

by the other. We were able to develop a well thought-out renovation plan that allowed us to identify and eliminate potential impediments, and [thus] we never had to work our schedules around any aspect of BurJuman Metro Station.”

Work on the 5,779sqm Carrefour outlet commenced in August 2014, and mall authorities claim the hypermarket has already increased foot traffic to the mall. Operations still in progress at BurJuman include work on its exterior façade, which is going to display elements of a ‘mashrabiya’. Additional operations include creating a roof for the mall’s main entrance and extending the mall’s back access, which faces a residential area. A 14-screen Vox Cinema multiplex is also being constructed, with handover scheduled for the second half of 2015.

BurJuman stands out as an eclectic mix of the old and the new in a city which has grown from being a trading hub to a ‘sun-sand-shopping’ destination. It has held its own despite financial concerns and construction delays over the years.

It is now working to expand its capacities to match the newer, more glamorous malls in the city. The grand old shopping centre looks ready to begin the next part of its life cycle as a constant landmark in a city that is constantly evolving.

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increAsed floorspAce The total retail floor space has been increased to 92,903sqm .

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INcREasEd cONtRIButIONs Experts have called on the GCC chemical industry to contribute more to the global sustainability agenda.

NOVEMBER 2014

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SPECIAL FOCUS ConstruCtion ChemiCals

ThE RIghT mix NOVEMBER 2014

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Big Project ME looks at how the GCC chemical industry can contribute towards the sustainability agenda

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SECTOR FOCUS ConstruCtion ChemiCals

E

arlier this year, speakers at the second Gulf Petrochemicals and Chemicals Association (GPCA) Sustainability Conference in Dubai made a collective, impassioned plea for the GCC chemical industry to step up its contribution towards the global sustainability agenda.

With the world’s rapidly burgeoning population demanding more resources than the planet can generate, the general consensus from the conference was that far more needed to be done by the world’s chemical manufacturers to help address this incredible need.

“The United Nations expects worldwide populations to reach 9.6 billion people by 2050,” said Margaret Suckale, member of the Executive Board, BASF, during her keynote speech at the event in October. “To put this into perspective, if the world was a village of 100 people, population would grow to 136 inhabitants in 40 years, with the majority of growth coming from Africa and the Far East.”

She carried on to explain that people were demanding more resources at a faster rate than the Earth could provide or even regenerate in time. In light of such a stark scenario, sustainability becomes an absolute necessity for the survival of the human species.

This is where the GCC construction chemical industry can step in and provide answers to some of the most pressing issues the regional population

“LIkE IN MOst MaRkEts, OuR MaRkEt Is RELatIVELy RELuctaNt tO adOpt NEw appROachEs. ONE NEEds tO uNdERstaNd thE NEEds aNd pROBLEMs Of custOMERs aNd tRaNsLatE thEM INtO BENEfIcIaL VaLuEs” is faced with today. In terms of construction, the longevity of buildings and structures is crucial to sustainability plans. Structures must be built to last, while also being energy efficient and able to reduce emissions. Construction chemicals that can help achieve these aims should be welcomed by the industry, says Drummond Welsh, Admixture Systems Manager – Gulf States, BASF. “Our products help expand life cycles and reduce the project’s resource consumption.

Our Master Building Solutions portfolio, for example, includes cement additives and concrete admixtures that strengthen all types of concrete structures and reduce the required amount of water, often allowing the replacement of up to 50% of the cement clinker with other materials,” he explains.

With the construction market in Saudi Arabia, the UAE and Qatar set to record 9% average growth in 2015 and the introduction of

MIDDLE EAST

ExpaNdINg LIfE cycLEs Chemical products can help expand the life cycle of a project or structure, as well as reducing resource consumption.

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green building codes, it’s clear that construction chemical manufacturers in the region need to be on top of their game if they’re to provide viable alternatives to traditional construction materials.

Dr Abdulrahman Al Jawahery, President of Gulf Petrochemicals Industries Company, Bahrain and a board member of GPCA, points out that petrochemical producers in the GCC can make a major contribution to the global sustainability agenda. He talks up the growth of the industry in the Gulf, stating that the sector has grown into a 100 million tonne business in 30 years. Within the next five years, he predicts that figure could rise to 170 million tonnes.

“This is a lot of products,” he continues.

“However, there are shortcomings. Our educational institutions haven’t kept up with industry growth. Also, aside from SABIC, who have 13 research and development centres, we are frankly not investing enough in research and development either.”

Although the Middle East holds an estimated 45% of the world’s oil and gas reserves, it only has 10% of the global petrochemical capacity, he adds. “Growth is a process. We need to learn from companies through collaboration with international partners. We need to do more.”

According to the GPCA’s inaugural Sustainability Report, petrochemical producers in the Arabian Gulf have made great strides in improving their sustainability performance. For example, GCC chemical producers have reduced energy consumption per tonne by 8% each of the last two years, through technical innovations.

“The conclusion from discussions and our research is clear. In the GCC, sustainability has evolved from a concept to a business imperative,” says Dr Abdulwahab AlSadoun, the GPCA’s secretary general.

“However, sustainability will require a buy-in not only from the company’s leadership but also from company stakeholders, governing bodies, employees and the general public, making it challenging to sell this concept both within and outside the production facilities. This is a long journey, and there is

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UAE chEmicAl indUstry crEAtEd morE thAn 180,000 jobs in 2013 – GPcA petrochemical companies in the United Arab emirates employed 38,100 people in 2013, according to new data from the gulf petrochemicals and chemicals Association (gpcA). the country is now the gcc’s second largest petrochemicals hub in terms of employment, accounting for 26% of the gulf’s total chemical workforce. the UAe manufactures an estimated US$11 billion worth of chemical products, including plastic and fertilisers.

“The UAE’s petrochemical industry has steadily built a solid base of highly skilled human capital over the last few years,” says Dr Abdulwahab Al-Sadoun, Secretary general, gPCA. “While other markets in the region may have access to a larger pool of financial or human resources, the UAE has managed to create some of the highest value products in the region, earning valuable revenues for the country’s economy.”

The gPCA has estimated that the multiplier effect for the chemicals industry is 1:3, meaning that every ten jobs created in the sector eventually leads to an additional 30 indirect employment opportunities in the petrochemicals supply chain.

For the UAE, direct employment, along with services that support the petrochemicals industry, led to the creation of an estimated 114,300 indirect jobs in 2013. The regional chemical industry as a whole, meanwhile, was responsible for the direct employment of 148,900 people and indirectly created an estimated 446,800 additional jobs. Petrochemicals output from the gulf produced up to US$102 billion worth of products, per gPCA estimates.

“Petrochemicals is evolving into an industry that touches nearly every sector of the gCC economy, from technology, equipment manufacturing, construction and agriculture to retail and trade. On a global level, the gCC can help meet rising chemical demand and, in the process, create new medium- and high-skilled employment for talented gCC nationals,” concludes Dr Al- Sadoun.

gREEN LIMIts Green building codes have impacted the manufacturing of chemicals significantly.

good news – we are already well on our way to achieving respectable results,” he adds.

Peter Gaskin, CEO and founder of the MCT Group, a Dubai Investment Park-based chemical manufacturer, broadly agrees with the sentiments expressed by Dr Al-Sadoun but adds that there is much to be done.

“I know we’ve been having these sustainability conferences over here,” he says. “That is a right move towards [achieving sustainability], but many of the buildings here are still very inefficient in terms of saving power. A lot of these glass-fronted towers look very nice, but they’re very inefficient. Manufacturers have systems that insulate buildings, so we’ve got to concentrate on things like that in the future.”

Sreeraj Rajan, Technical Manager at MCT Group, adds that sustainability has to be considered in different aspects. “During the construction stage, the green building concept

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“that Is a RIght MOVE tOwaRds [achIEVINg sustaINaBILIty], But MaNy Of thE BuILdINgs hERE aRE stILL VERy, VERy INEffIcIENt IN tERMs Of saVINg pOwER”

NOVEMBER 2014

comes from the point itself – the usage of materials. In Abu Dhabi, they say that they want to certify products. So we have to give them certificates that say that they comply with VOC limits. For coatings, for example, they have a maximum of 50 grams/litre. This is the limit that we should be complying with.

“Once the building is complete, then it comes to the aesthetic part, where we use EASF systems, which are packages that use different aspects like adhesives, tiling and coating. At that stage of construction, we’re bound by certain regulations on green building, which we can comply with.”

As in many aspects of the construction industry, the major issues facing the construction chemical industry are costs and a proven track record, as Welsh explains.

“Like in most markets, our market is relatively reluctant to adopt new approaches. One needs to understand the needs and problems of customers and translate them into beneficial values.”

“Many projects are value engineered throughout the GCC due to cost constraints and various pressures from the client. We [the industry] continue to provide consultants with solutions for the many construction applications throughout the GCC, as well as offering CPD presentations. Thus we ensure that they are fully aware of the performance and technical benefits of using chemical products,” he concludes.

TIME & MONEY SAS INTERNATIONAL

bigprojectMe.cOm

Helping you make the smartest decisions

lONg lifE SAS metal ceiling and architectural metalwork products can last for as long as 20 or 30 years.

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Big Project ME talks to Andrew Jackson, marketing director of SAS International, about why his company’s metal products offer so many benefits to all stakeholders on a construction project NOVEMBER 2014

WhAT ARE SOmE Of ThE LONg TERm vALuES SAS INTERNATIONAL cAN bRINg TO pROjEcTS ThROugh ThEIR pROducTS?

With SAS metal ceiling and architectural metalwork products, we know that if they’re specified and installed correctly there is no reason why they wouldn’t last at least 20 or 30 years within a building. Bearing in mind the maintenance demands of mechanical and electrical services housed behind ceiling systems this is a significant long term benefit. Can you think of another construction raw material with a 20-30 year long life cycle which has residual value at the end of its useful life? – Great for MEP and FM services teams money savings and money back for the client/developer.

TIME & MONEY SAS INTERNATIONAL

tRuE wORds Andrew Jackson says that EPDs prove that SAS International’s product claims are legitimate.

WhAT ARE yOuR ThOughTS AbOuT ThE gcc mARkET? IS ThERE A SIgNIfIcANT LEvEL Of uNdERSTANdINg AbOuT LONg TERm vALuE?

Yes, I think a lot of people in this market know what they want. Or at the least, they have aspirations to have a building of a certain standard.

Whether that’s led by aesthetics, performance or environmental accreditation, people know what they want. Whether or not this gets translated [in reality] on to a project is another story. There are so many reasons why a client might not get what they want. Usually owner occupiers of buildings don’t let standards slip: They know they will have to live with the end product.

We understand that budgets and approach to projects will vary. A good standard question to ask is what is the true cost? Initial capital costs may be higher than first expected but could significantly save money, time and resources over 10, 15, or 20 years. hOW dOES SAS INTERNATIONAL WORk WITh ThE cLIENT OR ThE pROjEcT TEAm TO ENSuRE ThAT ThE pROjEcT vISION IS AchIEvEd?

It varies from project to project. As a manufacturer, it’s not just about supplying a product anymore.

Particularly when it’s for clients who have bespoke requirements. They rightly expect a huge amount from manufacturers. We believe that being involved at earliest design stage is critical. We are design-led. Although we have standard products there is always an application detail demand that needs a solution (e.g. service integration issues, shape of the building etc.)

We are very used to tailoring our products to particular projects and to client requests.

supports our strategy in the market to supply long term value to clients and project teams. hOW dOES ThIS bENEfIT SAS INTERNATIONAL IN AN INcREASINgLy cOmpETITIvE gcc mARkET?

“CaN yOu thiNk Of aNOthER CONstRuCtiON Raw MatERial with a 20-30 yEaR lONg lifE CyClE whiCh has REsidual ValuE at thE ENd Of its usEful lifE?”

Project teams demand that we meet the design/performance requirements whilst delivering on budget. Not easily executed but balancing the realities of the build or fit out, the risks associated and budget is essential.

SAS INTERNATIONAL REcENTLy ANNOuNcEd ThAT IT hAS gAINEd INdEpENdENT vERIfIcATION fOR ITS ENvIRONmENTAL pROducT dEcLARATIONS. WhAT dOES ThIS mEAN fOR ThE cOmpANy ANd ITS pROducTS?

It means that we have had environment product declarations conducted independently

by Atkins, on behalf of SAS International, on all of our metal ceiling products. This is becoming an industry standard, certainly within the UK, Europe, MENA and Australia.

To gain environmental accreditations you need to ensure that any EPDs that a company owns are independently verified. That means that a third party has to undertake a review into the validity of the product life cycle data.

For SAS independently verified EPDs are proof that our products have a long life cycle which

We face competition on many projects that work on. Not just in the GCC, but everywhere in the world. From our point of view, EPDs prove our product claims are backed up. The material content of the product, the way it performs and the length of its life adheres to a compliant bid. There is much “green wash” in the market, and many manufacturers and suppliers don’t have EPDs or the independent verification.

We want to be as transparent as possible and prove to project teams and specifiers that we are serious about delivering value: EPDs are important in doing this.

WhAT ARE yOuR ExpEcTATIONS fOR ThE gcc mARkET ANd ARE yOu LOOkINg TO ExpANd yOuR REAch IN ThE REgION?

SAS International has been operating in the Middle East for more than 30 years and we actually expanded our operations during the recession. In 2008, we set up a larger office, with a warehouse for the storage of products and systems. Since that time, we’ve nearly doubled our operations and the number of people we employ.

We’re very positive about the future of the construction market, particularly for interior construction products, within the Middle East. It’s always been an important market for us. We have good relationships with many specifiers, project teams, contractors and clients. However, you can’t stop innovating and we have some interesting product developments to announce in 2015.

In addition, we supply local subcontractors in the area for smaller fit-outs, so it’s not necessarily all about the big, high profile headline developments. The one floor fit-out or smaller projects are the day-to-day market within the GCC region which we are proud to be supplying.

We believe that our business can meet the demand in both areas of the market. 2015 looks exciting as the recovery starts to take a grip. We are very positive that we can deliver the long term quality and value that is being sought. n

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We often compete against “performance products”, but they don’t last for 20 or 30 years.

So we try to ensure developers and project teams understand that they get long-term value out of their fit out products. This starts with the value in designing the right product/application at early stage of the fit out/project. Nobody wants a product that looks bad does not perform and only last 12 months. We highlight the true costs.

So we try to look at the whole life cycle of the product within its given application and we’re confident that we are able to fulfil the specification set by the project team/specifier.

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AT THE LARGEST BUILDING AND CONSTRUCTION EVENT IN THE MIDDLE EAST • 35,000+ new innovative international products • 2 day Sustainable Design & Construction Conference • Senior-level professional development workshops (Certificates issued to all participants at the show)

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largEsT EVEr This year’s edition of Big 5 will be the largest ever, DMG says.

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Renewed IndustRy ConfIdenCe sees LaRgest eveR edItIons of the BIg 5, MIddLe east ConCRete and PMv LIve thIs yeaR

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The UAe consTrUcTion sector’s pace is set to rapidly accelerate in 2014, with the government announcing a number of major development projects and stepping up spending on social infrastructure development.

An April 2014 report by consultancy Ventures Middle east, “Exploring UAE’s Strong Investment Environment” remarks that the new projects, combined with many previously stalled projects now forging ahead, will continue to bolster the 2013 upswing into 2014.

The same report remarks that the UAe’s GDP for 2014 is set to grow at 4% to reach $404 billion, up from $390 billion in 2014, fuelled by the construction sector upturn and support from the oil & gas sector.

The report sets the value of the country’s building construction sector at almost 60% of the total projects in the construction industry, followed by infrastructure, oil & gas and power & water, with total construction

NOVEMBER 2014

projects awarded in the UAe totalling $38 billion in 2013. 2014 is expected to reach $46 billion in awarded projects in the country.

DAMAc Properties, one of the largest luxury real estate companies in the Middle east, whose recent developments include the 39,000sqm master development AKoYA by DAMAc and the four-tower DAMAc Towers

“This yEar will bE ThE biggEsT yET for ThE big 5, as ThE rEgioN’s coNsTrucTioN sEcTor coNTiNuEs To makE a sTroNg comEback”

by Paramount project in the Burj Area, is bullish about the upswing in the market: “The outlook for the real estate sector in the UAe and Dubai is positive, and this is mainly due to the strong economic growth experienced since 2012. Dubai in particular has continued to witness solid economic recovery and this is reflected on the real estate sector. strong predicted growth of 4.5% this year will sustain demand for residential property; this explains the continuous solid levels of demand in the market, which is reflected in the growth in rental levels and residential values on the short and medium terms,” says Ziad el chaar, Managing Director of DAMAc Properties. in line with the continued growth, the country’s infrastructure sector has seen significant investment and development particularly in roads and airports. Dubai Airports this year announced a $7.8 billion airport and airspace expansion programme which will boost

INDUSTRY EVENT THE BIG 5

capacity at Dubai international from 60 million to 90 million passengers per year by 2018.

The investment is designed to deliver aviation infrastructure which will support the continuation of the sector’s impressive growth, facilitate Dubai’s economic expansion and generate an estimated 22% of total employment and 32% of the emirate’s GDP by 2020. similarly in Abu Dhabi, the $2.94 billion Midfield Terminal Building project – a 700,000sqm site with what is set to be the world’s largest baggage system – remains on schedule to open by July 2017.

The region’s leading international building and construction show, The Big 5, will demonstrate this renewed industry confidence with its largest edition yet.

The Big 5 2013 attracted more visitors than ever and with 98% planning to return this year plus a host of new exhibitors from across the world. Andy White, Group event Director of The Big 5, believes this year’s event will be the largest and best attended in its illustrious 35-year history.

“The Big 5 has become the region’s leading hub for construction professionals to source new products, discover the latest innovations, engage in educational workshops and conferences,

and network with thousands of key players and potential customers. The buzz surrounding the industry is growing and i am confident that this year will be the biggest yet for The Big 5, as the region’s construction sector continues to make a strong comeback,” White says.

PROJECT SHOWCASES eight spectacular Middle east and north africa based best-practice project showcases will be delivered by the experts who directly contributed to their success.

PMV LIVE AND MIDDLE EAST CONCRETE – 360-DEGREE PLATFORM FOR BUILDING AND CONSTRUCTION

running alongside The Big 5, two colocated events, PMV Live and Middle east concrete (Mec), offer a 360-degree platform to the building and construction industry, with the three shows providing the largest international building construction, concrete and heavy machinery gathering place in the region. Last year both shows attracted a record breaking 32% increase in attendance over 2012, with another outstanding year expected for 2014 as companies in the PMV and concrete sectors take advantage of the region’s burgeoning infrastructure projects.

The UAe is expected to spend over $300 billion on infrastructure by 2030, according to a report by hospitality consultancy hVs, to include the expansion of the Dubai Metro red line, new concourses at the recently opened

n Abu Dhabi International Airport Midfield Terminal Complex by Kohn Pederson Fox

n Barwa City Infrastructure Buildings Doha by Shapoorji Pallonji

n Danat Al Emarat Women’s and Children’s Hospital Abu Dhabi by HKS Architects

n DEWA Building and Lighting Retrofit Pilot Projects Dubai by Etihad Energy Services Company

n Masdar Headquarters Abu Dhabi by AESG n The Change Initiative Dubai by Ramboll n The Diplomatic Quarter Hotel Riyadh by Perkins & Will

n Transcorp Hilton Hotel Lagos by Perkins Eastman

rEal EsTaTE growTh Ziad El Chaar, Managing Director of DAMAC Properties, says the real estate market in Dubai will grow by 4.5%.

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ProjEcT showcasEs Eight project showcases will be presented during The Big 5 2014, organisers have revealed.

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INDUSTRY EVENT THE BIG 5

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“sTroNg PrEdicTEd growTh of 4.5% This yEar will susTaiN dEmaNd for rEsidENTial ProPErTy; This ExPlaiNs ThE coNTiNuous solid lEVEls of dEmaNd iN ThE markET” Maktoum international Airport, interchanges on sheikh Mohammed bin Zayed road, and the construction of the main expo 2020 centre. regionally, Qatar forges on with its national Development strategy 2011-2015 through a pipeline of major infrastructure projects, including the $45 billion Lusail city project, the newly opened $17.5 billion new Doha international Airport and a high number of road, rail and associated World cup 2022 construction projects, while saudi Arabia is undertaking infrastructure improvement projects in roads, bridges and rail to the tune of $77 billion.

Throughout last year’s third edition of the focused shows, PMV Live and Mec welcomed more than 355 exhibitors from over 32 countries, with more than 20,000 international participants descending on the events. PMV Live provides

visitors and decision makers a platform to source and preview plant equipment, construction machinery and vehicles, with multi-million dollar equipment deals signed at the event over the past three years, while Mec has already established itself as the largest dedicated concrete event in the Middle east.

GROWING INTERNATIONAL FOOTPRINT

The Big 5 has cemented its international footprint, as the show welcomed 2,700 international exhibitors from nearly 60 countries, and attracted more than 74,000 international and local participants from 124 countries last year. More than a third of the previous edition’s participants hailed from countries outside of the Gcc, with some of the highest numbers coming from europe

(italy) and Asia (south Korea). The 35th edition of the show has already seen an increase in international exhibitors, driven by renewed confidence in the region’s construction sector.

DEDICATED SECTORS AND ACCREDITED EDUCATIONAL EVENTS

The Big 5 returns in 2014 with eight dedicated product sectors: steel; building interiors; coating, adhesives & sealants; general construction; kitchens & bathrooms; water technology; windows, doors and cladding; and heating, ventilation and air conditioning systems (hVAc).

Following last year’s record attendance across more than 130 educational seminars, 30 live product demonstrations and five workshops, organisers are preparing an even larger and more interactive suite of educational activities at The Big 5, with more than 40 certified workshops plus a two-day conference on sustainable Design and construction taking place in 2014.

The Big 5, PMV Live and Middle East Concrete run from 17-20 November at the Dubai World Trade Centre, and are open from 11am to 7pm daily.

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iNTErNaTioNal flaVour Last year’s editions of PMV Live and MEC saw more than 355 exhibitors from more than 32 countries.

NOVEMBER 2014

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INDUSTRY EVENT BPME GOLF DAY

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Big day ouT Participants at the Golf Day gather for a photo shoot prior to tee-off.

INDUSTRY EVENT BIG PROJECT ME GOLF DAY 72 participants take part in the consultants cup 2014 at emirates golf club The emiraTes Golf Club played host to the second Big Project middle east Golf Day of the year on october 30, 2014.

The highly in-demand event saw 72 players chosen from amongst the leading consultant and architectural firms in the region. They faced off against each other in allocated teams based on their handicap. This also afforded teams the opportunity to network together in a relaxed and fun-filled environment.

Targeted at senior executives, this year’s event also included a number of new faces, which helped to mix up the teams and add fresh competition to the mix. in addition to the participants from the event’s sponsor companies, the Big Project me Consultants & architects Cup was attended by

general managers, directors, presidents and other senior figures from companies such as faithful + Gould, Keo international Consultants, eC harris, Barr and Wray, atkins and many more. michael stansfield, Commercial Director of CPi Construction Division, told Big Project ME that the event was a huge success and he thanked both participants and sponsors for making it such a memorable day. “a special thank you is due to our partners – Brookfield multiplex, Caparol, CCs, Coins, Credence, flowcrete, foamglas, Nora and WsP – who all provided tremendous support for this initiative and helped make it a massive success,” he said.

The next Big Project me Golf Day will be held in the first quarter of 2015.

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THANK YO U TO ALL O UR sp O NsO Rs

NOVEMBER 2014

CONGRATULATIONS The 2014 winners of the Big Project ME Consultants & Architects Cup were:

n 1st place: Rory Binder, Lyndon Dafert, Hannes Strydom and Graham Braybrooke

n 2nd place: Brian Sweeney, Jonathan Eveleigh, Uwe Nienstedt and Chris Reynolds

n 3rd place: Anthony Green, Scott Sigsworth and Tom Gilmartin

n nearest to the pin winner: Matthias Kasprowicz

n longest drive winner: Aaron Birch

NOVEMBER 2014

MIDDLE EAST

INDUSTRY EVENT BPME GOLF DAY

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COMMENT Galadari advocates & leGal consultants

bigprojectMe.com

DANIEL BRAWN

Reducing construction disputes in the UAE A specialist in arbitration of construction disputes, Senior Associate Daniel Brawn of Dubai-based law firm Galadari, Advocates & Legal Consultants analyses building and construction disputes in the UAE

R

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MIDDLE EAST

“ThE Boom pRIoR To 2008 WAs fuELLED

By EAsy cREDIT, BuT sINcE ThE coLLApsE cREDIT hAs BEEN fAR TIghTER. ThIs hAs REsuLTED IN A moRE RoBusT LEgAL fRAmEWoRk, BuT ThAT ALoNE Is NoT ENough”

NOVEMBER 2014

ecent research shows that construction disputes in the UAE are the second longest in the world, just behind Southeast Asia, due primarily to poor contract administration. The UAE is expected to initiate some US$1 trillion worth of construction projects over the next ten years; what are the causes of UAE construction disputes, and what are the solutions?

The construction industry is notoriously litigious, with tight margins and high risks.

The boom prior to 2008 was fuelled by easy credit, but since the collapse credit has been far tighter. This has resulted in a more robust legal framework, but that alone is not enough.

The construction industry in the UAE is confronted by numerous procurement routes and a great diversity of culture and languages.

Although the FIDIC “rainbow suite” is commonly used, many contractors are unfamiliar with Western forms of contract. Business has traditionally been conducted on a handshake with someone you know. Problems often arise due to incomplete employer requirements, usually prepared by consultants who are unfamiliar with drafting such documents. This leads to delays in obtaining approvals and “no objection certificates”, which in turn leads to design changes, cost escalation, disruption and inefficient use of resources. Contracts are frequently signed without having actually been read. The requirement to have a local sponsor is perceived as restricting competition and workers' freedom of movement.

There is a perception that engineers do not adhere to the strict terms of the contract and are likely to favour the client who is paying them.

There are also frequent complaints about cashflow constraints, particularly that contractors do not receive sufficient payment in the early stages to be able to carry out work effectively. Often materials must be ordered and paid for long in

advance, with costs not recovered until months later. The employer takes an “unconditional on-demand” bond for 10% of the contract price, takes 10% retention, and then makes late payments, which stifles the contractor’s cashflow. The contractor then hits the employer for maximum delay damages and calls on the bond.

Design and build forms of contract are generally the preferred procurement route, with a fixed-price lump sum and a schedule of amendments or Special Conditions to the standard form of contract, shifting risk to the contractor. This provides single-point responsibility and greater certainty for the employer. However, the contractor’s price is higher and the introduction of changes pushes the price up, takes time to implement and generates disputes. This creates an adversarial atmosphere which pushes both parties into entrenched positions. PFI and PPP models seek to maximise the potential of the project but the costs of participation are high, certainly in the short term.

Effective contract management can reduce disputes, though effective dispute management is required once they arise. Standard FIDIC contracts have a lengthy dispute resolution process. Once arbitration has commenced, the process tends to be slow, and an arbitral award cannot be enforced until it has been ratified by a judge, which can take over a year with various appeal stages. Even then, awards are rarely honoured willingly and are more commonly used for bargaining purposes to negotiate a settlement.

Awards of costs in the courts are nominal, which provides no disincentive to appealing and delaying enforcement as long as possible.

Today’s buzz words are “sustainability” and “early contractor involvement,” particularly through two-stage tendering. If the contractor is part of the client’s design team from an early

COMMENT Galadari advocates & leGal consultants

Execution Plan which establishes the outputs that are expected and sets out the design process, the level of detail required and the file-sharing formats. The following issues should be addressed: • Who is responsible for each element of the model at each project phase, and to what level of development?

• What are authorised uses of the model?

• To what extent can users rely on the model?

• Who will manage the model?

• Who owns the model?

BIM is an excellent tool for coordination to assist in the development of the design, identify clashes between responsibilities and avoid problems before and during construction. Above all, the BIM model requires clear communication between all parties involved. In one recent case, the architect and the MEP engineer used BIM to fit the MEP systems into the ceiling void, but

did not tell the contractor that the extremely tight fit depended upon a specific installation sequence. By the time the contractor was two thirds of the way through, the ceiling void was full. In the end they all settled and shared the costs, which were in excess of a million dollars.

All parties shared the pain, but there was no gain. The moral of the story is that even BIM must be managed efficiently and the contractor must be involved from an early stage.

A new construction model is required.

The UAE’s proposed new Arbitration Law will help; however, the introduction of statutory adjudication based on the UK model would provide value and help reduce the UAE’s current poor record on delays. n Daniel Brawn is Senior Associate at Galadari, Advocates & Legal Consultants

NOVEMBER 2014

MIDDLE EAST

stage, the design and specification can be tailored specifically to the clients’ needs and in turn be more accurately expressed. Provisions for the participants to “share the pain and share the gain” through an incentive scheme encourages all parties to contribute more effectively. It is crucial to analyse where the risks lie along the critical path and to implement management structures capable of taking decisions swiftly.

Risks should be attributed to the party best able to manage them. Merely shifting risk to the contractor is a blunt and simplistic tool.

The advent of Building Information Modelling (BIM) will lead to more collaborative working between project partners from the design stage onwards. This will reduce the need for changes and wastage, by identifying at an early stage what has to be done, by whom, and when. Design team forward planning entails protocols and a BIM

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COMMENT Driver Consult llC

bigprojectMe.Com

lorraine gillespie

The importance of an integrated project Master Baseline Programme In the second part of a series of three, Lorraine Gillespie outlines why the development of a well-coordinated master baseline programme is crucial to a project’s success

P

art 1 of this series of articles identified the concept and importance of an integrated project master baseline programme. This article (Part 2) provides real-life scenarios which demonstrate the issues that arise from a lack of integration on an infrastructure mega-project. The scenarios are taken from a current project in the Middle East, with names and specific details omitted for the purposes of confidentiality.

At project inception, and once an agreement has been made that a large project will involve a number of main contractors, an integrated project master baseline programme should be developed before any of the main contracts have been tendered or awarded.

This should be clearly communicated to stakeholders to ensure that all parties are aware of the time allocated for pre-construction, including the bid, negotiation and award.

The project used in this article did not have a usable integrated project master baseline programme. A target date for contract award was established for each contract package, but no critical relationship links between the contracts were identified. During the tender phase of Contract A, the duration of both bid and negotiation phases increased as a result of the addition of bidders, an unexpected

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“Clients often go wrong by not issuing the right information to the right people – the ability of modern planning software to filter unwanted information should make the proCess easier”

NOVEMBER 2014

increase in the time required for bid review and numerous negotiation stages. Overall, Contract A was awarded 604 calendar days after the initial target date, with an inevitable impact on other interfacing contracts.

Driver Consult was appointed to advise the Client and immediately realised that it was necessary to reconstruct an integrated project master baseline programme. However, it was too late. As a result of the late contract award, the release of Contractor A's design was later than the required date for construction of below-ground services, to be carried out by Contractor B. This was required 471 calendar days earlier by Contractor B, which in turn resulted in a delay of 123 calendar days in releasing the area to Contractor A. This consequently delayed the installation of equipment by Contractor C and Contractor D, equating to a delay of 696 calendar days for Contractor C and 414 calendar days for Contractor D. Therefore, a delay in the award of Contract A led to a delay in release of information and handover to Contractor B, Contractor C and Contractor D; this resulted in the re-sequencing of works, inefficient resource utilisation and claims for Extension of Time (EOT) on contracts.

The absence of an integrated project master baseline programme severely restricts the ability to assess accurately the impact on contractors, as well as the evaluation of contractor EOT claims that should be granted to contractors for the delays of other elements of the project.

Once created and agreed, an integrated project master baseline programme must be updated on a regular basis to reflect the current status. Ideally, this is distributed to all contractors to ensure that they are aware of their interface

COMMENT Driver Consult llC

avoidable delays The lack of an integrated master baseline programme leads to avoidable delays.

resulted in unmet contractor expectations, work sequences changing to try to accommodate other contract packages, and a general lack of communication and cohesive/coordinated working practices. In short, contractors were essentially managing the projects.

Overall, the lack of an integrated project master baseline programme led to avoidable delays.

Part 3, the final part of this series, will be published in the next edition and will further explore this topic by looking at the commercial and contractual ramifications stemming from the lack of an integrated project master baseline programme.

As stated in Part 1, Driver has considerable experience of complex mega-projects where the failure to provide an integrated project master baseline programme has been catastrophic for all parties and has resulted in significant disputes. Unfortunately, this is commonplace with clients who insist on managing complex mega-projects themselves and do not appreciate the vital role played by an integrated project master baseline programme in determining success or failure. n Lorraine is a Senior Consultant for Driver Consult LLC. For more information, please go to www.driver-group.com

NOVEMBER 2014

MIDDLE EAST

and handover obligations and so they can provide valid feedback on any issues. The programme is a great communication tool... if managed correctly! We live and work in an age when large volumes of detailed information can be issued to numerous parties with the click of a mouse button. Clients often go wrong by not issuing the right information to the right people – the ability of modern planning software to filter unwanted information should make the process easier.

On the example project, an integrated project master baseline programme did not exist, and therefore it was unclear when areas needed to be handed over to other contractors or when information was required to be provided. This

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An industry in words The construction Intelligence report will offer an in-depth analysis of the Middle east construction market, covering a broad range of topics from property development and megaprojects to infrastructure and finance. The report will feature an exclusive survey on regional salaries and industry trends, as well as interviews with key executives, sector updates and country reports. This annual report will serve as a one-stop guide for industry professionals, enabling them to make more informed business decisions.

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The right workflow and processes defined, BIM enables organisations to improve the quality of building design

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BIM – Business Enabler or Technology Red Herring?

Lorem Systems' Dolor Sitamet explains why it is so important for BIM providers to create systems that will push forward the concepts of simple and effective cooperation between all stakeholders involved in a project Luptas aut acil issus acea polvolorporro iliquibust re occae dimitis dolor?

The UK government’s decision to require that all suppliers involved in public sector construction projects use Building Information Modelling (BIM) tools and techniques by 2016 is to be applauded. The intention is to drive better value from capital investment and realise a 20% reduction in lifetime costs, whilst supporting environmental commitments by facilitating a more integrated approach to design. It is also about changing the culture between the client and the rest of the supply chain, replacing the traditional, rather adversarial business practices with a collaborative approach that should also drive innovation.

However, misinformation is rife. BIM is not just about 3D data but about creating a holistic information resource that also includes 2D data sources, documents, spreadsheets, and more.

I believe the key to realising the government’s BIM vision is to create simple, effective cooperation among the design, construction and operation aspects of the infrastructure lifecycle. Overcoming these traditional silos

provides a chance to reduce duplication, minimise errors, streamline processes and facilitate collaboration.

However, while the majority of new bids now demand some level of BIM compliance, requirements are often opaque at best. Let’s set the record straight: BIM, when done correctly, is about information sharing enabled by information mobility (across engineering disciplines and the infrastructure lifecycle).

It provides contractors and owner operators with access to key design data that can be used to transform effectiveness throughout the construction and operations processes. Yes, it drives better use of 3D across the industry, but not only 3D. 2D data remains important, as does information held in documents, spreadsheets, and other databases, all of which contribute to a holistic BIM approach.

Luptas aut acil issus acea polvolorporro iliquibust re occae dimitis dolor?

BIM is ultimately about creating an asset model from day one that can be used consistently throughout the project to drive efficiencies

and improve collaboration. Indeed, BIM also encompasses information management as much as information modelling. It enables a contractor to feed design information into project planning tools and resolve potential conflicts before arriving on site. It also empowers the sharing of space information with facilities management teams before the building goes live to drive effective up-front planning, as well as the sharing of other crucial design, engineering, and construction information that can later be used to help drive cost-effective operations decision making and renovations work.

Leveraging a collaborative platform and technology to share and integrate information, within an incremental approach that accommodates all of the specialised design simulation and analysis software best suited for each project role, will best enable the industry to achieve the desired widespread adoption of BIM. The government’s stance on BIM is to be commended. Demanding Level 2 compliance by 2016 is pragmatic and achievable and promotes the very real promise of intelligent infrastructure that is better performing in terms

of its energy efficiency, resilience to natural and man-made disasters, safety, and cost-efficiency.

However, while industry adoption and interest are positive, it is essential that organisations take a step back and truly assess information requirements.

Luptas aut acil issus acea polvolorporro iliquibust re occae dimitis dolor?

BIM is a business process not a technology.

With the right workflow and processes defined, BIM enables organisations to improve the quality of building design, reduce costs and achieve the collaborative workflows required to drive true innovation.

However, misinformation is rife. BIM is not just about 3D data but about creating a holistic information resource that also includes 2D data sources, documents, spreadsheets, and more.

I believe the key to realising the government’s BIM vision is to create simple, effective cooperation among the design, construction and operation aspects of the infrastructure lifecycle. Overcoming these traditional silos provides a chance to reduce duplication,

minimise errors, streamline processes and facilitate collaboration.

However, while the majority of new bids now demand some level of BIM compliance, requirements are often opaque at best. Let’s set the record straight: BIM, when done correctly, is about information sharing enabled by information mobility (across engineering disciplines and the infrastructure lifecycle).

It provides contractors and owner operators with access to key design data that can be used to transform effectiveness throughout the construction and operations processes. Yes, it drives better use of 3D across the industry, but not only 3D. 2D data remains important, as does information held in documents, spreadsheets, and other databases, all of which contribute to a holistic BIM approach.

BIM is ultimately about creating an asset model from day one that can be used consistently throughout the project to drive efficiencies and improve collaboration.

Indeed, BIM also encompasses information management as much as information modelling.

It enables a contractor to feed design

information into project planning tools and resolve potential conflicts before arriving on site. It also empowers the sharing of space information with facilities management teams before the building goes live to drive effective up-front planning, as well as the sharing of other crucial design, engineering, and construction information that can later be used to help drive cost-effective operations decision making and renovations work.

Luptas aut acil issus acea polvolorporro iliquibust re occae dimitis dolor?

Leveraging a collaborative platform and technology to share and integrate information, within an incremental approach that accommodates all of the specialised design simulation and analysis software best suited for each project role, will best enable the industry to achieve the desired widespread adoption of BIM. The government’s stance on BIM is to be commended. Demanding Level 2 compliance by 2016 is pragmatic and achievable and promotes the very real promise of intelligent infrastructure that is better performing.

84

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Distribution, circulation and readership

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Project meydaN heightS reSideNtial develoPmeNt Budget $600,000,000 Project Number MPR1469-u reGIoN dubai, uAe clIeNt Meydan LLC (dubai) Address Meydan Racecourse, Al

Project New Suez CaNal ProjeCt Budget $8,500,000,000

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villas within a residential development stAtus Current Project

that will include a 72-kilometre-long parallel waterway and a 76,000 square metre industrial zone and logistics hub. stAtus Current Project

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clIeNt gulf Related (Abu dhabi) Address Al Sila tower, 25th Floor, Sowwah Square, Al Maryah Island

PostAl/ZIP code 27522 PhoNe (+971-2) 671 6060 FAx (+971-2) 694 2705 emAIl inquiries@gulfrelated.com WebsIte www.gulfrelated.com descrIPtIoN Construction of a premium self-contained residential compound comprising a total of 520 homes stAtus Current Project

Project CaPital Bay C tower ProjeCt - BuSiNeSS Bay Budget $35,000,000 Project Number WPR449-u reGIoN dubai, uAe clIeNt damac Properties (dubai) Address 4th Floor, Al Moosa tower II, Sheikh Zayed Road

PostAl/ZIP code 2195 PhoNe (+971-4) 332 2005 / 373 1000 FAx (+971-4) 332 1874 emAIl info@damacgroup.com WebsIte www.damacproperties.com descrIPtIoN Construction of a 60-metrehigh tower comprising a ground and three podium floors and 12 typical floors above offering 131 serviced apartments stAtus New tender

Budget $10,000,000,000 Project Number MPP2945-K reGIoN Safat 13011, Kuwait clIeNt Petrochemical Industries Company - PIC (Kuwait)

Address Building 1084 PostAl/ZIP code 1084 PhoNe (+965) 321 1000 / 321 1752 FAx (+965) 321 1171 / 321 1754 emAIl media@pic.com.kw WebsIte www.pic.com.kw descrIPtIoN engineering, Procurement and Construction (ePC) contract for the

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MuhaMMad Tariq Shafiq

Owners need to step up for BIM Muhammad Tariq Shafiq explains why clients need to take greater ownership of the BiM process if it is to take root in the region’s construction industry

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The consTrucTion and real estate industries are facing immense challenges to deliver high quality projects within tight budgets, alongside a growing demand for sustainable design and production processes.

With the current cap on capital expenditure and the need to improve the environment, governments around the world have realised the importance of improving the performance of these industries, which is very difficult to achieve by maintaining old work practices.

Therefore, during the past 10 years, more and more governments have established strategies to drive the use of advanced technologies such as Building information Modelling (BiM), which has a proven record of reducing cost of construction by at least 10% and delivering more sustainable, better quality projects.

Properly implemented, BiM can deliver major performance improvements in construction programme efficiency, design quality, constructability, waste reduction, environmental performance and capital and operational cost management.

The use of BiM is increasing worldwide. For example, the uK government set up a BiM task

NOVEMBER 2014

group and agreed on a BiM strategy in March 2011. This was followed by the cabinet office publishing the Government construction strategy in May 2011. subsequently, a four-year programme was set out, requiring the use of collaborative 3d BiM and a 20% reduction in capital expenditure by 2016. similar attempts have been witnessed in the us, norway, Finland, hong Kong, south Korea, singapore and australia.

Most recently, dubai Municipality mandated BiM for large projects from January 2014. BiM deployment is likely to accelerate further in the uae, with increasing awareness among the clients and proven benefits on projects. adopting collaborative work practices supported by flexible legal contracts will enable project teams to effectively use BiM to maximise benefits to clients. however, this is not an easy task. Focusing on technology alone may not lead organisations, especially property developers and client organisations, to reap the full benefits of BiM. The benefits of BiM ultimately accrue to property owners and client organisations, but the value of information in BiM models is not always clear to them, as they seldom engage with the BiM process or understand the technicalities involved.

BiM implementation and deployment in the uae is mainly advocated by BiM software vendors, project consultants and large contractors, driven by their own business agendas, which more often results in non-collaborative practices or conflicts of interest while developing BiM models.

For example, a consultant’s BiM model is hardly ever transferred to a contractor to integrate construction information and enrich the BiM model used by the owner for operation and maintenance tasks. on the contrary, the process of BiM development is rebooted with change in responsibility at tender stage, or even worse out sourced overseas.

These non-collaborative practices eradicate most of the intelligence in BiM models, making them less valuable for the clients for any future use, despite this being a selling point. consultants and contractors will always be reluctant to share the details of these failures, due to a perceived risk of reputation damage and losing future business opportunities. if client organisations want more useful and fit-for-purpose BiM models, they need to step up and take a leading role in BiM deployment. clients need to establish a clear roadmap to transfer them from their traditional work practices to BiM-based processes and reap the most benefit from BiM. My fear is that without proper client engagement and education, BiM can backfire and lead executives to believe that this will not work – the typical “this is not for me” syndrome.

Happy Birthday Master Builders Solutions!

Celebrating the 1st anniversary of our global brand by BASF

For more information please visit: www.master-builders-solutions.basf.ae