Untitled - Al Ansari Trading Enterprise LLC

36 Pages·2017·15.91 MB·English

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Message from the
Group Managing Director
My Dear AL ANSARI FAMILY, Please read the message from our Managing
Director on our present scenario to gain
We are experiencing one of the most some wisdom on how to proceed further
challenging 1st half of the year since we successfully.
started our operations in Oman over past
four decades. Ignoring facts does not change In our Family, SBU-2 (Steel) and SBU-3
facts. As we have mentioned in our previous (Trading/Marketing) have managed to keep
issue, Embracing challenges today, makes AL ANSARI flag flying high. In this market
a stronger tomorrow; so let us review the they continue to be classified as ‘favoured’
scenario, embrace it and prepare for the suppliers to our valuable clients. We are proud
challenges ahead. Like they say Success of their leadership and teamwork.
comes in “CANs” Let’s continue to remain vigilant in this
and failures in market and have a plan to prepare for
“CAN’Ts”. The bee various challenges ahead.
has a sting but it
has honey too. So “Kimohians” have always been front-runners
let’s look at every in innovation and bringing New Technology
negative action and to use. In this 1st half they have installed a
make positive out Solar Energy Power plant, further supporting
of it. their mission to create a “Greener” world.
We also congratulate “Kimohians” on the
At the end of the 1st various accolades. They were one of the first
half, we had also awardees of the Sheikh Mohd. Bin Rashid
just witnessed the Holy month of Ramadhan. Al Maktoum Business Award in Innovation
Let me hope all of us had a meaningful Eid- (a category created this year). They also
ul-Fitr. Our best wishes to all our well-wishers, received the CSR certificate award from
supporters, customers and suppliers. the Chamber of Commerce for the fourth
consecutive year. They continue to remain
Though the overflow of project from 2016 has focused on their mission and never fail to
kept most of us busy, the cost escalations, compromise on their desire to give back to
uncertainty, economic downturn and a weaker society at large. We are proud of their efforts,
pipeline of new projects have made us focus leadership and team work.
on continual innovation, cost reduction and
productivity increase measures and global Contracting activities (SBU1) and Natural
expansion. Stone Company in general have been the
hardest hit under present economic scenario
The Government authorities have also and we recognize this. The diminishing
recognized this as well and we hope they work pipeline of new projects in Oman and tougher
with the private sector in a structured manner market conditions with all parties focused
to ensure we all overcome this era together on cost cutting has further put pressure on
positively. the project margins. Akar and Engineering
Services have not been as badly affected due
We have revised our Al Ansari Family’s vision 2016 backlog and their current order book. In
and values to reiterate that employee growth addition Engineering Services has spread their
and safety and customer satisfaction remain wings to India and Sri Lanka which is bearing
top priority for us. good fruits for them. Leaders of these teams,
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please protect yourselves from useless
and negative thoughts; maintain a positive
attitude and let the show go on – let’s Our Vision
continue to plan ahead and be prepared.
Let’s all put our efforts and mind together and To be an inspiration for fostering
look into ways to help these divisions during
human values and enhancing
this difficult phase.
business performance.
Failing to plan means planning to fail. So
Our Values
let us set clear goals with the relevant team
members of our family. Please remember,
Commitment, Pride in the work,
Expanding Globally and coming out of the
Integrity, Quality & Safety.
comfort zone with creativity, hard work,
dedication and the right goals is the only way
to overcome the present storm. Let us all work
towards this together – as a team. With that
I am confident that no storm can prevent us The Al Ansari Logo amplifies
from succeeding. the brand image fostered
by our company. The colour
Red signifies the vitality
Also there is no such thing as a failure –
and exuberance that we
These are all simply learning opportunities.
possess. It also symbolizes
So let us keep up the spirit and vow to sail
that we are sensitive to the
through and never compromise our family
ongoing trends in the market
values and vision. and are constantly looking
to implement and promote
Remember that we should never ask for innovations that are required to have that
cutting edge. The fort signifies commitment
lighter rain, but just for a better umbrella.
we as a company wish to extend to our
valued customers. The fort also represents
All the Best for the remaining of the year 2017.
the unflinching character that our company
is well-known for. It also symbolizes that our
May God Bless us all. clients can feel secure with us and that they
trust us to deliver product /services that are
Ma Salaama & Namaskar. of high quality standards. The two “A”s state
that we are an A grade company and our
employees take pride in being a part of an A
class organization. The square engulfing the
fort exhibits the “fair and square” dealings that
we practice with our customers, suppliers and
our employees.
Kiran Asher
An overturned pot is an opportunity for
the plant to find new ways to prevail.
Perseverance & Resilience will make it Grow
and Prosper.
Challenges are not meant to destroy you, they
are there to strengthen you.
The challenges we face today are developing
the strength we need for tomorrow
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Message from
the Managing Director
Challenges of managing business in • Running loyalty or
customer incentive
Economic down-turn.
programs: It is a
proven concept in
Like climatic cycles, like health cycles – there is
many businesses.
an economic cycle in the business as well. There
Somehow, we have
are good times in business, generally when the
not tried this. We have
national economy is strong, and the desire to
repeat customers and
spend money is also strong. Conversely, there are
it is important that they
bad times, when the economy is poor, and yet the
benefit something from
Nation continues to keep ambitious development
us for their loyalty.
projects.
• Adapting our
As luck would have it, the entire region – that was
products and services
predominantly relying on Petro dollars, is going
to be more suited to our customers’ current needs:
through an economical down turn. Oman, with
For example, if the customer has the ability to pick
its heavy reliance on the oil income, has had an
up the goods from our yards, we must pass the
adverse impact. Our business predominantly
transportation cost benefits to them. Conversely,
relies on Oman economy, and therefore, we need
a customer needs goods to be delivered in a
to carefully and quickly strategize our policies to
particular way at a particular time we need to
strengthen our business. On the construction
modify our system to ensure that the customer is
side, we are still busy and hiring - Alhamdulillah.
delighted. Right from the time the customer walks
However, it is time to prepare ourselves as to how
in and leaves our premises, he must have the
we wish to combat the ensuing storm.
feeling of importance and respect from us. Every
document that he refers and every word that he
The stronger the business is, the less likely it is to
hears from us, must give him the sense of value
be affected by risks. Strengthening the business
that he brings to our business. No customer is big
doesn’t just involve financial management. It also
or small for the value of business he gives. He is
includes strategies to retain and broaden our
important just because he is our customer. Who
customer base, market our business affordably,
is small now has the potential to be big tomorrow.
keep morale high amongst the staff and improve
His good impressions would make him direct
business practices. We should also look for
some big customers also to us.
opportunities to network and form alliances; this
will help minimize our exposure to risk and offer
Marketing strategies
new option and opportunities.
Reviewing our marketing strategies can help us
to come up with new ideas to increase sales and
I would like to suggest considering the following
find better ways of reducing our marketing costs
strategies.
and improve its effectiveness. We should focus on
communicating our competitive advantage once
Making customers a priority
again to all our regular customers and even display
Customer service is about providing customers
with what they want, when they want and how they it in prominent places to make more people aware of
want it. If our business provides quality customer our capabilities. I am sure, within our own company,
service - aligned with customer expectations and most people are not 100% aware of our product and
not what we know from the books - we are likely service range. Let us improve our awareness both
to retain our existing customers. It is believed internally and externally.
that the amount of energy and the cost spent in
acquiring a new customer is almost 20 times the Our unique selling proposition – like extended
cost of retaining customer. It, therefore, illustrates warranty, additional spares, proper training of do’s
the significance of retaining existing customers. and don’ts, should also assist us to stand out from
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the crowd. Alongside this, it’s important to develop business partners.
strategies to measure the effectiveness of our Consider forming alliances with other business, for
marketing. We have been fortunate with our team example, transportation of our staff and material.
who believes in hard work and reach out to our There are many agencies who may be able to
esteemed customers. But times are changing. We undertake such errands more cost effectively than
need to learn to work smart as well; not just hard. As doing it ourselves.
a result, we need to explore effective marketing tools
by investing in technologies including social media. Developing innovative practices
Developing innovative practices may help us adapt
Managing staff to changing market conditions and stay ahead of
We need to review the staffing register carefully our competitors. As part of this process, we should
to evaluate the necessity of every staff and its review if using technology will increase efficiency,
related costs. Often times we show generosity reduce costs and make our business more
during good times and hire people at much higher competitive. For example, doing business online.
cost due to Industry pressures or the client’s Our exposure and perhaps opportunities are not
needs. There is no need to retain unwanted, non- aligned but the fact remains that this is an option.
performing and non- cost-effective staff. We need We need to tweak the rules and establish more
people who have their dedication to the causes of friendly methods to reach out to our customers,
the company, who commit to our ideology and are than for them to visit our stores, offices etc.
willing to be flexible.
We run regular vehicles to deliver documents
Also, we need to revisit the overtime hours. We to our sites, our clients etc. Honestly except for
often continue the old culture and grant over time some very critical papers – most of the dispatch
on historical tradition instead of assessing the real could be organized with alternative means or using
job needs. Lot of overtime cost could be saved more creative ways in using our own resources.
by rescheduling duty hours and reallocating job Similarly dropping staff and picking them up from
responsibilities. Prioritizing and planning also need the airport needs to be reviewed.
to be paid attention to improve our effectiveness
and productivity. Our own control to quantity of items ordered for
our projects need to be further streamlined. Our
Build morale by clearly communicating with our yard is full with surplus materials from the previous
staff on what is happening within the business, jobs. This is a clear proof of the need to improving
what the local and global scenario is in our our site requirements. Similarly, storage at site
business. Try to involve them in decision-making needs better management in terms of security,
and finding solutions. safety and the way things are loaded, off loaded
and stored.
We may also consider training our employees to
undertake more duties. We can conduct staff Alhamdulillah, our company has braved many
skills assessment to identify the training our staff storms and have deep roots to uphold the
may need. A clear training plan customized to get leading position. However, singularly relying on
better results at work-front needs to be drawn up the management to keep the wolf out of the door
and implemented. We have enough material on our is not fair. We must collectively work towards
Intranet and of-course on the internet as well. A preventive and innovative measures. Collectively
systematic approach would give us exciting results. we are strong and this strength must prepare us to
take on the new turn effectively.
Empower those willing and capable to shoulder
more responsibilities. Doing varying kind of job In conclusion, I would like to remind you all,
is refreshing and rejuvenating. Many people are and myself, that whilst good time did not last so
bored doing the same thing day in and day out. will this economic down turn as well. Let us be
Make their life more enjoyable and give them more positive and work with that mental frame that we
reasons to believe in themselves. are winners and would overcome any hurdle in our
path. All the best to all the team members of all the
Networking teams.
Networking can be useful to understand how other
businesses are coping. We may also discover
new opportunities, customers, staff, suppliers and
Yusuf Nalwala
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Contracting -
SBU-1 Civil
p
Bausher Project (B3B): Bausher
Wastewater Network Project for Client Haya
Waters, has completed 22 KM of Sewer Line
New Network including Micro tunnelling out of 41
Kms, in busy and bustling corridor of Al Khuwair.
It is ready to Start Wet connections operations
from July 2017 onwards to meet a Target of 1200
Wet Connections for Houses and Commercial
p
Buildings. We have planned to complete these Police Station Complex at Jibal:
within this year. TSE Irrigation network is As per the schedule of scope of works, for
completed with 2 Kms of T - line out of 10 Kms which EI issued is complete. ROP has added the
Scope. Helipad and Access Road to our scope which will
complete by Sept 2017. Waiting for Power and
water connections from ROP to commission and
handover the project to client, which is scheduled
in September 2017.
p
Seeb Mosque Project: Around 90% of
our scope of work has been completed with all
respects and only nominated sub-contractor’s
scope of works in progress at present.
p
Samad Substation Project: Started Main
Works from 2nd Week of Feb 2017 and works
are in full swing. Substructure works for both GIS
building completed and Ground Floor Slab works
in progress. Transformer, Transformer Shed and
Capacitor Bank Shed Foundations completed.
p Project Site has been awarded with 1st
Sinaw Substation Project: Project
Place for HSE campaign 2017 and Best HSE
Site has been awarded with 1st Place for HSE
implementation at site from OETC among all
campaign 2017 and Best HSE implementation
running projects of OETC. Project is scheduled to
from OETC among all running projects of OETC.
complete by Jan 2018.
Project is scheduled to complete by Dec. 2017
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guard Room, generator room, MEP and Civil
works) for Royal Oman Police at Taqa, Salalah.
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OETC Project Salalah: OETC project has
p
Sohar IIP Project: Substructure works are
in full swing:
Client Teijun is happy about our Quality at
site and we have received appreciation for
best performance for Quality at site. Project is been awarded in Jan 2017 and commencement
scheduled to complete by July 2018 date of the project is March 2017. The works
comprise construction & Maintenance of an Office
Building consisting of Ground floor, First floor
& Roof floor at Salalah Urban south, Sahalnot
including guard room, generator room, and pump
rooms. The scope of works includes all civil,
interior works, Electrical, mechanical, plumbing,
external civil and services.
p
Taqa Project Salalah: Construction &
Maintenance of Coast guard Building (including
Al Ansari Contractors LLC
p
p Construction of NOC & Store Building:
Office of Director for MOM at Rustaq:
AAC being the subcontractor for the project, is
4000 m2 Building is almost complete, except
supporting Ericsson Oman (Main Contractor)
the changes done by client recently and external
in construction activities related to the network
works are in full swing. Project is scheduled to
equipment installation for Ministry of Defence
complete substantially by July 2017 and Handover
(Signal Dept.). The project comprises of three
by August 2017. Undersecretary has visited the
building with total built up area of 2100 m2 and
site and appreciated our efforts to complete the
is scheduled to be completed by August 2017.
project to their requirements and was very happy
Additional works for construction of generator
about the quality of work.
compound and external cabling works has been
awarded recently.
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Contracting -
SBU-1 MEP
New Projects
• Construction of Roads, Infrastructure and
Building works at the Government Berth Area, at
Port of Duqm (IP-4) - Sub Contract for Electro-
Mechanical Works.
We, MEP are proud to be part of the above
infrastructure development works at Duqm Port,
by signing a sub contract agreement with Main
Contractor - M/s Combined Group Construction
(Oman Branch), to carry out Electro-mechanical The final testing and commissioning of Electrical,
Works in all the buildings, under the above Plumbing and Air Conditioning installations are
contract, such as Administration Building, Staff going on in full swing to handover the project to
Accommodation, Boat Shed, Guard House, the Client, including snagging works, in line with
Screen office, Gate House, Service Building, the Main Contractor’s works programme
Armory Store, Amenity and Terminal Buildings.
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Other Ongoing projects are :
The project is awarded by client SEZAD (Special
Economic Zone Authority at Duqm), a Government
agency entrusted with the powers and
responsibilities of developing and administering
the Duqm Zone to become a regional maritime and
transit-trade hub, an important complex for export-
oriented industries, and an attractive tourism
destination on the Arabian Sea.
The most challenging aspect of this fast track project
are immediate commencement and short completion
period of 16 months and we are gearing up to jump
start the preparatory works at site.
• Construction of OETC [Office and LDC ]
Building in Dhofar Governorate (Salalah) – Sub
Contract for Electro Mechanical Works
As a domestic sub-contract, this project is to be
executed along with our Civil Team.
The team of MEP is in top gear to accomplish this
task within the assigned duration. • Sayyidah Fatma Bint Ali Al Said Mosque
(Khamis Al Haboos) at Seeb – Sub Contract
Projects completed during first half of 2016: for MEP Works. The MEP works in this project
are in completion stage and in line with Main
Police Station Complex at Jibel – Sub Contract for Contractor’s work program.
Electro Mechanical works
• Sultan Qaboos Mosque project at Shinas, Sub-
Contract for MEP Works.
• Coast Guard Police Station at Al Taqa – Sub
Contract for MEP Works
• Labour Care Office at Rustaq – Sub Contract for
Electrical and Plumbing works
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Building Material Trading -
SBU-2 BMT
As expected the first half of the year 2017 witnessed Some of the major jobs, which we received during
a drop in the demand. Due to the enhanced the first half of the year, are Petrofac E&C for valve
production of the Local mills combined with the less maintenance at Sohar Refinery Improvement Project,
demand, put the steel prices on tremendous pressure Salalah II Independent Power Project for Calibration
in Oman and we witnessed the Oman steel prices of instruments and for SUR LNG. We have bagged
much lower, compared to the prices in the GCC. some orders from Haya water for repair, testing and
commissioning for 24” butterfly valves for OGC
We have drastically reduced the imports of steel from compressor station Barka and another order for
Turkey and now are pushing more of Jindal steel removal installation, repair, testing and commissioning
through all our branches. The strategic alliance with 10” Pressure control valves.
Jindal Shadeed is proving to be a win-win proposition
for both the companies and we really are proud to be Our product sales segment continued to grab good
associated with Jindal Shadeed. orders. During the first half of the year, we have
won the first order for Evotorque Electric Torque
In line with our strategy to be closer to more Multiplier & Manual Torque Multiplier with accessories
customers, on 22 January 2017, we opened our new from Norbar UK, for the Project Oman Across Ages
Satellite Branch in Al Amerat. We have planned to Museum at Nizwa. We also got the order from
open more outlets during the second half of the year ‘Voltamp Transformers Oman’ for testing the Current
also. q Transformer Test Set from Vanguard Instruments
Company, Inc. based in US.
We have also successfully completed recently our
ISO 17025: 2005 Audit by International Accreditation
Service – US for our Calibration Laboratory
accreditation renewal.
q
We participated in an exhibition on the World
Metrology day conducted by the Directorate General
Rebar cut and Bend
During the first half of the year Rebar cut and Bend
unit saw a drastic drop in the demand for the cut and
bend. Couple of new cut and bend facilities have
started their operations in Oman. Combined with less
for Standards and Metrology under the Ministry of
demand and severe competition, rates for the cut
Commerce & Industries (MOCI) at Majan Continental
and bend charges have dropped. We have seen the
Hotel on 21st May 2017. During the exhibition, Ms.
delay in Payments from the customers. Considering
Zahra Al Nomani & Mr. Nawaf Ali Juma explained
the current market conditions, to be on a safer side,
about our activities to the dignitaries and audience
we have adopted a conservative policy in the credit
present from the different organizations. It was a
sales. Due to all these factors, our volumes have
good venue to display our product range to many
dropped significantly. We have restructured our
government authorities.
resources. We have taken necessary additional steps
to reduce our costs and are confident that we will be
Metal Finishing (Electroplating)
fit ourselves in to this new environment to take our
business forward. First half of the year was good for us. We managed
to achieve a growth of 11% Year on year and have
Instrumentation, Calibration & Projects
some good pending orders to execute. We have won
Our expansion of business into different verticals
the tender of RCA for the Gold plating of Guard Post
helped us move forward in these difficult market
Qasr Al Alam Muscat Ceremonial Entrance. We are
conditions. The quality of our services helps us to add
expecting some more good orders during the coming
more customers into our loyal customers’ database.
months.
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