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C o m p a n y P r o f i l e Details on Transguard Groups Record Breaking 2019 O p i n i o n Robots, Helping Hand in Logistics T a l k i n g p o i n t Commoditization of Technology in the Value Chain Connecting trade professionals with industry intelligence February 2020 In Conversation with Mourad Hedna, UD Trucks Middle East President GEMBA SPIRIT
A MEMBERS OF EMIRATES TRANSPORT BUSINESS CENTERS:
Logistics News ME | February 2020 | 3 February 2020 Contents Start 08 | News Features 18 | Talking Point 20 | Cover 26 | Feature 34 | Aviation 36 | Op-Ed 38 | Event Preview 40 | Q & a 42 | Company Profile 46 | Supplier News 48 | Unsung Hero Find us on youtube Subscribe to our YouTube channel to see things like site visits, interviews and much more Contents F e b r u a r y 2 0 2 0 R e a d a l l t h e l a t e s t i s s u e s o n I s s u u 18 Website: www.CBNme.com/logistics-news twitter: @logisticsnewsme Facebook: /LogisticsNewsME
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February 2020
6 | Logistics News ME | February 2020 www.cbnme.com Editor’s Letter February 2020 subscriptions@bncpublishing.net CEO Wissam Younane wissam@bncpublishing.net Director Rabih Najm rabih@bncpublishing.net Group Publishing Director Joaquim D›Costa jo@bncpublishing.net +971 50 440 2706 Business Development Director Rabih Naderi rabih.naderi@bncpublishing.net +966 50 328 9818 Editor Kasun Illankoon kasun@bncpublishing.net Art Director Aaron Sutton aaron@bncpublishing.net Marketing Executive Aaron Joshua aj@bncpublishing.net Photographer Ahmad Khader ahmad@bncpublishing.net PO Box 502511 Dubai, United Arab Emirates P +971 4 4200 506 | F +971 4 4200 196 For all commercial enquiries related to Logistics News ME contact sales@bncpublishing.net All rights reserved © 2015. Opinions expressed are solely those of the contributors. Logistics News ME and all subsidiary publications in the MENA region are officially licensed exclusively to BNC Publishing in the MENA region by Logistics News ME. No part of this magazine may be reproduced or transmitted in any form or by any means without written permission of the publisher. Images used in Logistics News ME are credited when necessary. Attributed use of copyrighted images with permission. All images not credited courtesy Shutterstock. Printed by UPP On the web Keep up to date with all the latest news, features and much more on our website. w w w . c b n m e . c o m / l o g i s t i c s - n e w s S U B S C R I B E Leading property consultancy and chartered surveying firm, Caven- dish Maxwell, has released its Industrial and Logistics Report for 2019 for Dubai. The report offers a comprehensive and unique outlook on Dubai’s overall competitivity as a logistics hub, the infrastructure available, supply and demand, and market sector opportunities for growth and investment. The general trading sector remained the most active account- ing for 35% of all enquiries. The logistics and distribution sector, typically the second greatest source of demand, halved to 7%, whilst manufacturing jumped, taking a 14% share. The data illustrates markedly more enquiries for facilities over 100,000 sq ft built-up-area in 2019. This has largely been driven by upscaling exercises to improve efficiency, speculators capitalising on discounted prices, and a wave of foreign direct investment (FDI). China is front lining the interna- tional commitment to the wider MENA region with several sizable requirements, with Chinese companies entering the market at levels not seen previously. Real Estate Investment Trusts (REITs), and high net-worth individuals continue to show strong appetite for investment in the industrial and logistics sector. However, barriers remain in the form of onerous land lease terms and expensive lease rates of the plots upon which industrial properties are built, in addition to the high transfer fees and sublease charges, which are typically passed on to the tenant. Increasingly modern facilities, which are in relatively high demand, will be resistant to further increases in vacancy levels with some of this space likely being absorbed due to the absence of speculative new-builds. Kasun Illankoon Editor, Logistics News Middle East A note from the editor K a s u n I l l a n k o o n
CEO, ESAD MANPOWER SERVICES AMER AL KHUSHAIL ENTERPRISE AGILITY AWARDS 2019 OF THE YEAR FASTEST GROWTH AWARD
8 | Logistics News ME | February 2020 www.cbnme.com Regional News Logistics Tristar Group, the global integrated energy logistics company, has acquired more than 11,000 square meters of logistic land in the Port of Duqm that will have a 3,048 square meters covered warehouse with a capacity of 5,000 pallet position and an open yard for future expansion. The logistics warehouse project will offer 3PL and 4PL services. Tristar established its presence in Muscat, Oman in 2002 and is now a key transporter for major international and local oil and gas companies. It operates across 20 countries within 3 continents and has Tristar Group Acquires Logistics Land in the Port of Duqm and beyond, and the Port of Duqm provides us with the perfect platform to do so.” Reggy Vermeulen, CEO of Port of Duqm added: “We are committed to offer continuous support to Tristar Group in setting up its facility in Duqm and aims to continue giving the best customer experience and value offerings to its clients globally and locally. By attracting such leading logistic service provider to our logistics area we aim to confirm Port of Duqm’s position as the center of excellence serving the oil and gas industry in the Sultanate of Oman and beyond.” a 21-year proven legacy of operational quality making it a partner of choice to its customers, with a track record of profitable growth. Tristar also has a new facility located in the Rusayl Industrial Estate Phase 2 with a total plot size of 15,000 square meters with an office building, a warehouse with a capacity of 1,000 pallet position, a five-bay workshop with two inspection pits, and a washdown bay. It can store products outside and inside the warehouse. The facility offers Port Marine Services at various Ports and Anchorage areas in Oman by transporting crew, supplying fresh water, stores, lube oil, and gas oil; and providing marine logistics. At a recent lease agreement signing ceremony, Eugene Mayne, Group CEO of Tristar said: “The expansion of our presence in Oman to Duqm further strengthens our value proposition as we continue to serve the future requirements of our international oil and gas customers as well as major local companies, with the highest level of operational and international safety standards. We constantly seek to build partnerships through which we can expand our service offering to our customers across the GCC A n u p d a t e f r o m a r o u n d t h e r e g i o n Regional News
Logistics News ME | February 2020 | 9 February 2020 Vehicles H.H Sheikh Ahmed bin Saeed Al Maktoum, Chairman of Dubai Silicon Oasis Authority (DSOA), today laid the foundation stone for the W Motors Automotive Facility in Dubai Silicon Oasis, UAE, the first manufacturing facility of its kind in the Middle East with an investment of AED370 million. The groundbreaking event was also attended by Dr. Mohammed Al Zarooni, Vice Chairman & CEO of DSOA, and Ralph R. Debbas’, W Motors Founder & CEO. His Highness Sheikh Ahmed bin Saeed Al Maktoum said, “As Dubai continues to consolidate its position as an international testing ground for state-of-the-art H.H Sheikh Ahmed bin Saeed Al Maktoum lays foundation stone for W Motors Production Facility technology, it is attracting foreign direct investments, international tech companies, promising start-ups, and innovative entrepreneurs from around the globe.” He added, “As the comprehensive geo-economic map of the emirate is being developed by the Dubai Free Zones Council, in line with the “Fifty-Year Charter” launched earlier this year by His Highness Sheikh Mohammed Bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, which will accelerate the drive for further economic diversification and give it more momentum, free zones like Dubai Silicon Oasis continue to be the hub of choice for cutting- edge companies looking for advanced business ecosystems that provide full traction for launches and growth locally, regionally, and globally.” The state-of-the-art Automotive Facility sees W Motors Founder & CEO Ralph R. Debbas’ vision of driving the region’s automotive industry become a reality. Spread over an immense 120,000 sqft., the first phase of the project is set to be completed by 2020. Production of all W Motors vehicles will move to this location including the limited series Fenyr SuperSport, upcoming new vehicles, electric and autonomous models, as well as all vehicles under the company’s Special Projects Division. W Motors recently announced that it has become the first private company to deposit its shares in Nasdaq Dubai’s Central Securities Depository (CSD). Joining the CSD enhances W Motors’ links to investors and can be a step on the route towards a variety of financing solutions. The Automotive Facility will allow for W Motors to share its expertise and know-how on a much wider scale, and contribute to the Dubai economy through creation of jobs and offering opportunities to young talent.
Saudi Arabia’s leading regional trade fair for the automotive aftermarket industry 24 – 26 February 2020 Al Faisaliah Hotel Register your visit now at www.amRiyadh.com/CB The benefits of registering online Business Matchmaking System Secure meetings in advance. Pre-register online and log into the Business Matchmaking System for free. www.amRiyadh.com/BMM Print your badge, skip the queue Register online, print your badge at home or at the Q-Jump kiosk at the venue, and skip the queues. Explore opportunities across the aftermarket industry Source various products and brands Negotiate directly with preferred vendors Secure exclusive distribution agreements The one-stop platform to source, network and grow your business Discover the many reasons that make Automechanika Riyadh the must-visit show for the automotive aftermarket industry in Saudi Arabia. PRINT
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12 | Logistics News ME | February 2020 www.cbnme.com Regional News Infrastructure Initiatives Ruler of Fujairah orders construction of 44 kilometres of internal roads FedEx Cares Program Launched in Saudi Arabia According to the Emirates News Agency (WAM), H.H. Sheikh Hamad bin Mohammed Al Sharqi, Supreme Council Member and Ruler of Fujairah, ordered the construction of 44 kilometres of internal roads. He made this statement while chairing the third meeting of the Fujairah Development Committee, attended by H.H. Sheikh Mohammed bin Hamad bin Mohammed Al Sharqi, Crown Prince of Fujairah, and several officials, which discussed local development and services plans. During the meeting, Sheikh Hamad presented the details of key future development projects to be implemented SAB Express, the global service provider of FedEx Express in Saudi Arabia, joined hands with Swish Community Service to promote the social inclusion of young adults with special needs in the Saudi society. As part of the FedEx Cares global initiative, SAB Express team members are contributing their hard work, skills and hearts to improve communities in need and volunteering their time and attention. SAB Express team members supported the Jeddah Special Needs Club basketball players and engaged them in a friendly game between the in the emirate, stressing the importance of adopting the highest infrastructure quality standards, in line with the vision of the UAE’s leadership, the country’s National Agenda, the UAE Vision 2021 and the Fujairah Plan 2040. He also instructed those concerned to support all local services projects and complete them as soon as possible, to provide the best services to the emirate’s road users. Sheikh Hamad then directed everyone involved to examine the basic needs of the emirate’s cities and regions and discuss services project proposals for the next meeting of the committee. two teams. In cooperation with Swish Community Service, forty SAB Express team members dedicated half a day to the Jeddah Special Needs Club members. The event included an introduction session about wheelchair basketball, presented by the Jeddah Club players. The day also included training for SAB and Swish team members on the basics of how to play basketball in a wheelchair. These fun activities were aimed at social inclusion and the empowerment of special needs sports players, while nurturing their social skills and confidence. Find us on youtube Subscribe to our YouTube channel to see things like site visits, interviews and much more
Logistics News ME | February 2020 | 13 February 2020 Masdar and Abu Dhabi Ports Company have signed a MoU to support the economic growth of the emirate of Abu Dhabi and achieve the objectives of the Abu Dhabi Econom- ic Vision 2030. The MoU was signed by Yousef Ahmed Baselaib, Masdar Executive Director of Sustainable Real Estate, and Captain Maktoum Al Hoqani, Chief Corporate Authority Officer, Abu Dhabi Ports, on the side- lines of Abu Dhabi Sus- tainability Week, taking place this week at the Abu Dhabi National Exhibition Centre (ADNEC). Masdar and Abu Dhabi Ports, representing its subsidiaries, Khalifa In- dustrial Zone Abu Dhabi (KIZAD) and Abu Dhabi Free Zone (ADFZ), will collaborate to develop a framework that will allow investors in Abu Dhabi to expand their business op- erations across the zones under their management, while also reducing costs and increasing the com- petitive advantage of the Emirate. The companies will also work together in the areas of sustainability, renewable energy and in- novation. “Masdar is committed to achieving the objec- tives of the Abu Dhabi 2030 economic vision and to supporting the Emir- ate’s economic growth,” said Mohamed Jameel Al Ramahi, Masdar Chief Executive Officer. “By working closely with Abu Dhabi Pzorts and its sub- sidiary free zones, we can help investors in Abu Dhabi to obtain competi- tive advantage, and give them the flexibility and choice to expand their operations. We also look forward to working more closely with Abu Dhabi Ports on driving innova- tion in sustainability and renewable energy.” Captain Mohamed Juma Al Shamisi, Group CEO of Abu Dhabi Ports said: “This MoU between two of Abu Dhabi’s premier organsiations strengthens our collective drive to- wards making Abu Dhabi a leading trade and logistics facilitator in the region. Abu Dhabi Ports, and its key subsidiary KIZAD will continue to play a vital role in supporting the eco- nomic growth of the UAE by enabling trade and investment, as well as in- novation and sustainabil- ity in the country through such partnerships.” Masdar and Abu Dhabi Ports sign MoU to support Abu Dhabi Economic Vision 2030
14 | Logistics News ME | February 2020 www.cbnme.com Regional News February 2020 Aviation Shipping Etihad targets zero net carbon emissions by 2050 Grandweld awarded contract to build two crew boats for global marine operations Etihad Airways, the national airline of the United Arab Emirates, today committed to a minimum target of zero net carbon emissions by 2050 and halving of its 2019 net emission levels by 2035. The company’s ambitious environmental targets will be achieved through a mix of internal initiatives, collaboration with industry partners and adoption of a comprehensive program of relevant carbon offsets, to be developed with specific focus on the requirements of the UAE and markets served by the airline. Grandweld Shipyards, a leading UAE-based ship repair and conversion facility, concluded 2019 by securing a deal with Global Marine Ship Management and Operations (GMO) to build and deliver two new 42-meter crew boats. The contract yields significant value for both companies as it enables the opportunity to boost business, strengthen business to client relations, enhance maritime stature, and ultimately build up the economy of both the country and region. Eng. Jamal Abki, General Manager of Grandweld Shipyard emphasized, “We are extremely pleased to collaborate with GMO and close out the year on such a high note. Since our birth in 1984, we have constantly sought out methods of growing both internally and externally. Accordingly, The Group Chief Executive Officer of Etihad Aviation Group, Tony Douglas, said: “The global focus on the environment and the urgency this union reinforces the repeated and successful implementation of a meticulous strategy that we have administered over 35 years. Grandweld’s strength lies in our specialization of design, builds and of reducing carbon emissions has never been greater. Etihad Aviation Group, together with its partners, is taking an active role in reducing the impact of maintenance of ships and boats. After engaging in productive discussions with GMO and tactically examining its future ambitions, we are confident that these new designs will be of great value for them aviation on the environment through initiatives ranging from optimised fuel management to sustainable financing practices.” in the coming decade and beyond. Additionally, we are optimistic that the delivery of our new generation 42-meter crew boats will further develop our strong and long- lasting partnership for many years to come.”
A Smart Move For New Possibilities New Quester’s flexibility makes it suitable across a variety of applications and segments such as general cargo, long haul and construction. And now, ESCOTs’ added power and performance in New Quester means assignments can be carried out with increased fuel and driver efficiency. Optimized specifications such as reduced tare weight allow you to carry more. And with the introduction of smart new connected features such as telematics, you can stay on top of your tough daily schedule. A smart move for your business
16 | Logistics News ME | February 2020 www.cbnme.com Quote E-commerce Al Wathba National Insurance Company (AWNIC) launches e-commerce website Al Wathba National Insurance Company (AWNIC), one of the UAE’s top insurance companies for digital and smart services, today launched its E-Commerce website with faster services and its very own Online Salvage Car Auction System. AWNIC was recently recognized by the UAE Insurance Authority as the leading company in the adaptation of technology and won the regulator’s “Digital Transformation & Smart Services” Award. “Receiving such a distinction from an industry regulator for the second year in a row is an invaluable recognition of the company’s unique initiatives especially in such a competitive market, said Bassam Chilmeran, AWNIC’s Chief Executive Officer. “Today AWNIC is launching its first interactive website and mobile app to avail its products online and process motor claims digitally for customers. We are very proud to be leading the way in smart services and are committed to pursuing our digital transformation journey.” The outstanding results were driven by a solid improvement in the oil sector, in addition to the remarkable growth of our business units, buoyed by higher transportation rates.” Abdullah Aldubaikhi, CEO, Bahri on their Q4 2019 results Top 5 online Global Investment In Aviation Summit 2020 To Highlight Top Aviation Trends 82% of SME’s in the GCC rely in cross-border trade as primary revenue generator – UPS Survey Etihad and Miral sign agreement naming Etihad Arena, the new entertainment venue on Yas Island OmniClouds Signs Strategic Partnership with Infonas Telecom Bahrain UAE to Save AED11 Billion through Blockchain Implementation 1 2 3 4 5 Regional News February 2020
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18 | Logistics News ME | February 2020 www.cbnme.com Talking point Software Adoption By Mr. Badre Maktari, Director – Business Technology, RSA Global
Logistics News ME | February 2020 | 19 February 2020 facturers are taking consumer trends and de- signing devices more innovate and purpose- built hardware. With devices becoming last many years for better ROI, quicker responses and more rugged. Withstanding the unforgiv- ing hands of the industry. With more reliable devices, simpler user interfaces and general commonality of smart devices in consumer hands. There is a greater compliance on accu- racy of data as almost everyone is tech savoy enough. Which is key driver to problem-solv- ing issues before they grow into supply chain failures. With almost everyone having these devices there more tractability, delivery more accountability and reducing occurrences the occurrences of theft. Overall, I believe it’s an exciting time in the supply chain domain where team with a pas- sion for technology and the will to carry out a complete implementation. Deliver stable and outstanding solutions to their customer and quickly overtake their competition swiftly. Commoditization of technology in the value chain is driving immense demand for software adoption. As software development firm has seen a certain degree of maturity in the disci- pline, devices, operating system, framework and coding languages. This in turns has enable rapid development of ideas from inceptions to reality in matter of weeks. So if we take for example the last mile do- main, in the past lager transportation firms dominated the technology due to the high investment involved. However today, almost anyone can start off a small last mile delivery business with 5,000 USD or less and deploy a technology solution to manage effectively their fleet and scale up using an Opex model. This rapid simplification of technology adoption along with easy of deployment is cre- ate a frenzy of competition with small to me- dium organizations competing and winning business from larger organizations that are technology lethargic & outdated. This is fur- ther catalyzed by highly demanding consum- ers who are digitizing their life by ordering on e-commerce platforms. The knock on effect is a high throughput of transactions and expecta- tions of same day or next day delivery being demanded. Traditional methods of fulfillment fail with high transactional demands and a low technology solution. As scale up becomes a costly affair in terms of recruitment and busi- ness readiness. So, when you combine these factors i.e. large businesses losing market share, opera- tions being less effective with higher work- loads. There is a strong magnetic pull towards digitization. The most common hunt right now is the last mile delivery solutions that cover proof of delivery, trip planning and fleet management. With companies unable to han- dle the large volume of business generated by these e-commerce platform the need for a last mile aggregator is apparent. A business wants to win an e-commerce customer and distribute in a crowd sourced fashion with reliable part- ners that give it virtualized ability to scale and contract on demand. We’re seeing blockchain being quite useful to guarantee payments in a market that is tradi- tionally known to a problem, result in improve cash flow among partners. However, the ma- turity and wide adoption is still in its infancy at the moment. It this regards, larger firm are becoming aggregators in their space onboard their third party touchpoints to their platform to perform transaction. This race it probable the most interesting to keep your eyes on as competition and innovation is fierce. Smaller trends like augmented reality could quickly become the logistics Google Street View of the warehouse or yards. Ensuring un- familiar drivers not only get to the right place, however once they are there. Effortless meeting the right person, navigate to the exact position of the cargo and pick up the right item. The move away from Electronic Data Inter- change (EDI) and the adoption of Application Programming Interfaces (APIs) has lead to more firms exchanging data and perform inte- gration quickly. There also many company be- coming aggregators of API, further solving the challenges of integrating with multiple part- ners that may have long lead time to certify a partner with their APIs. Open Data (ODATA) Protocol further simplify the exchange of data and reduces the quantity of APIs that develop- er need to create. True giving rise to data rich environment where predictive analytics will have enough data sources and volume to fore- cast nearly perfect demand. It is rewarding to see handle devices manu-
Cover Story GEMBA SPIRIT 20 | Logistics News ME | January 2020 www.cbnme.com Strong Growth There is no doubt that 2019 was a challeng- ing year for the Middle East truck market, with most countries registering a decrease in total sales. Nevertheless, thanks greatly to the hard work of our local partners and our highly professional staff, the brand re- corded strong performances in many of our major markets. For example, UD Trucks sales either increased or remained stable in the United Arab Emirates, Kuwait, Oman and Qatar. Fleet deals played a key role in these positive results, and we signed a sig- nificant number of major contracts, for example with UAE-based waste manage- ment company Lavajet and Oriental Trad- ing Co in Qatar, who took delivery of 118 Questers and Croners and 25 Quester and Croner models respectively. And with Ku- wait Municipality, who signed a deal for 106 Quester and Croner models for waste management use. In Conversation with Mourad Hedna, President - UD Trucks Middle East By Kasun Illankoon UD Trucks overall growth and optimism epitomizes the Gemba spirit in which UD Trucks operate by as shown in their growth of sales in the MEENA region. The launch of the new, heavy-duty Quester, a series of major fleet deals and the announcement of a new retail partner in Saudi Arabia were among the highlights of 2019 as UD Trucks enjoyed another positive year across the Middle East, East and North Africa (MEENA) region. Against the backdrop of extremely chal- lenging economic conditions, the Japanese commercial vehicle brand that belongs to the Volvo Group recorded sales increases in a number of key markets, in particular the United Arab Emirates, Kuwait and Oman. We caught up with Mourad Hedna, UD Trucks Middle East President, who gave us an insight as to why UD Trucks continues to show success of growth and what makes them stand out.
Logistics News ME | February 2020 | 21 February 2020
22 | Logistics News ME | February 2020 www.cbnme.com Cover Story 2020 We have a lot to get excited about in 2020, both within the Middle East region and fur- ther afield in other markets also covered from our Dubai head office. Our primary fo- cus for the year will be Saudi Arabia, where we will be looking to build on our new part- nership with Zahid Tractor. At the same time, we will continue to enhance our pres- ence and appeal in all our other markets, in close cooperation with our regional partners. Of particular importance to us this year will be the East Africa market. Over recent years we have reactivated UD Trucks’ pres- ence in several markets across this region, and this expansion will continue in 2020, most notably in Kenya, with the launch of a new product range and a new KD facil- ity which is starting next month in partner- ship with CMC Motors, part of Al Futtaim group. The Middle East and Africa region will re- main a challenging environment in which to do business, due to the market environment uncertainty in some specific areas. Howev- er, we remain very optimistic regarding the brand potential. We will continue our focus on the strategic growth in existing and new markets in a con- sistent way. Specifically, from our perspec- tive, our focus will be on optimizing our per- formance, and that of our local partners, to ensure that we lead the way by offering the absolute best combination of products and customer service. Saudi Arabia Market We have important plans for Saudi Arabia in 2020 as we look forward to working closely with our existing customers and attracting a host of new customers to the brand. 2019 was very much a transitional year for us in the Kingdom, following the mutual agree- ment with Rolaco Group to terminate our collaboration. Our new exclusive importer and distributor, Zahid Tractor, shares the same commitment to delivering the high- est standards of sales and aftersales support to customers, so I have no doubt we will see very positive progress for the brand, We have already received very positive feedback from customers and the market, which is reflected by a strong order book, and everyone is looking forward to seeing UD Trucks take its place as a major player in Saudi Arabia in 2020. Moreover, teaming up with Zahid Tractor has allowed us to in- crease our network coverage from three ser- vice locations and six parts locations to six 3S facilities, two 2S facilities and around 35 parts outlets. New Quester New Quester was developed with the Middle East in mind, so it is no surprise that it is al- ready proving popular with businesses across the region. This is evidenced by a noticeable trend last year of companies entering into major fleet deals with UD Trucks, where the primary driver was New Quester. Certainly, since the introduction of New Quester and the 40 Ton and 8x4 12 CBM, we have been able to penetrate new segments that were previously dominated by European manu- facturers. Particularly noteworthy is the ex- tremely positive feedback we have received from customers regarding the new automat- ed transmission ESCOT. The most valuable asset any company possesses is its human capital. It is essential that we have motivated, engaged and inspired employees to be able to outperform”
Logistics News ME | February 2020 | 23 February 2020 Technology and Innovation The key for us is to develop trucks that allow our customers to address the most impor- tant industry challenges they face today and help them to stay ahead of the competition. And from a Middle East perspective, this means tackling the real issues they face on the ground in this region. So dependability and reliability fuel efficiency, productivity, connectivity, and supporting and developing drivers are top priorities for fleets and trans- port companies here. This is why both the New Quester and the Croner were specifically engineered for tough markets like Middle East market. In the case of the New Quester, this heavy-duty truck introduces a range of enhancements to help customers across the region to boost their bottom line, including key features such as ESCOT automated manual transmission, engines with higher horsepower, comfort- able cab and user-friendly UD Telematics to deliver greater fuel efficiency, productivity, driver efficiency, safety and uptime. Leadership Qualities The most valuable asset any company pos- sesses is its human capital. It is essential that we have motivated, engaged and inspired employees to be able to outperform. This is a primary focus for me, so I look to involve and engage every employee so that they can see the bigger picture, whilst also sharing how and why we will work together to im- plement our plans in the region. Encourag- ing creativity, entrepreneurship, agility and diversity helps to further enhance this en- gagement, and consequently the team’s per- formance. Everything we do must be steered toward customers’ needs and support. Promoting customer interest in any initiative or decision we take helps to promote clarity. Promoting a truly collaborative spirit among the UD team and our local partners, based on mutual trust, is another key driver for success. Without our partners’ engage- ment and professionalism, we cannot pro- vide the required high levels of service to our customers. Finally, I think it is important to foster an atmosphere within the workplace that encourages employees to enjoy their time and have fun by celebrating small and big achievements. Customer Satisfaction Our focus always has been, and always will be, the satisfaction of our customers, be- cause this is the only guarantee of sustain- able growth. This is the reason that we have invested in having a strong presence on the ground in the region, courtesy of our UAE- based regional head office and parts distribu- tion centre, all of which ensures that we are closer to our customers. We are continually listening to feedback from our customers across the region, so that we can develop tailored solutions to address their challenges, while simultaneously shar- ing best practice with all markets to ensure they are getting the very best out of their trucks. A key driver for our efforts in this field is what we call Quality Customer Pulse - a weekly meeting held at our regional head office, where we bring together the various teams to discuss the customer’s issues and feedback, and look at solutions to help them maximise their business’ potential.
24 | Logistics News ME | February 2020 www.cbnme.com Cover Story February 2020 UD Trucks Partners Absolutely. Having strong partners in each market is essential to our success, so we be- lieve it is a real endorsement of how we are doing that so many of these partners recon- firmed UD Trucks as their brand of choice, over the course of last year. This clearly highlights their pride in working with us, as well as the close team spirit that is evident among all parties based on the “Trust, Sup- port, & Challenge”. An example of this close collaboration, and our commitment to our partners, were two regional conferences that were held in the second half of last year – a bodybuilders conference and the annual part- ners conference. Safety and Training Driver safety and training is integral to our customer service offering. While our prod- ucts are very much designed with the safety of their occupants, and other road users and pedestrians in mind, from our regional of- fices we are focused on enhancing the drive user experience. From Dubai we run an ad- vanced Competence Development Centre of- fering a full suite of Driver Training courses that cover both product specific modules, road safety sessions and other driver re- lated topics. In addition, UD Trucks offers a plethora of online content in the form of video and audio to ensure the competence and confidence of drivers when it comes to daily inspection and safety features. As an example, UD Trucks donated three heavy duty trucks to a driving school in Ethiopia, as part of a joint initiative by UD Trucks and the Volvo Group, with a key focus on reduc- ing the number of road accidents.
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Feature 26 | Logistics News ME | February 2020 www.cbnme.com
Logistics News ME | February 2020 | 27 February 2020 Logistics News ME asked leading industry experts to discuss how digitization and technology is revolutionizing the supply chain network in Logistics Revolutionizing the Supply Chain Over the last thirty years, logistics has un- dergone a tremendous change: from a purely operational function that reported to sales or manufacturing and focused on ensuring the supply of production lines and the delivery to customers, to an independent supply chain management function The focus of the supply chain manage- ment function has shifted to advanced plan- ning processes, such as analytical demand planning or integrated S&OP, which have be- come established business processes in many companies, while operational logistics has often been outsourced to third-party LSPs. The primary aim of the digital supply chain is to deliver insights to increase efficiency and to produce higher profits for the organisation. Relatively few companies have unlocked the full potential of digital technologies. A recent McKinsey study, for example, found that the average supply chain has a digitisa- tion level of 43%, the lowest of five business areas that were examined. A mere 2% of the surveyed executives said the supply chain is the focus of their digital strategies. The same McKinsey research suggests that on average, companies that aggressively dig- itise their supply chains can expect to boost the annual growth of earnings before interest and taxes by 3.2% – the largest increase from digitising any business area – and annual rev- enue growth by 2.3%. From a financial per- spective, then, digitising the supply chain is an important investment. Industry 4.0 creates a disruption and re- quires companies to rethink the way they design their supply chain. Several technolo- gies have emerged that are altering tradi- tional ways of working. On top of this, mega trends and customer expectations change the game. Besides the need to adapt, supply chains also have the opportunity to reach the next horizon of operational effec- tiveness, to leverage emerging digital supply chain business models, and to transform the company into a digital supply chain. Logistics News ME asked leading indus- try experts to discuss on how digitization and technology is revolutionizing the supply chain network in Logistics.
28 | Logistics News ME | February 2020 www.cbnme.com February 2020 Feature Software Solutions Gordon Barnard, VP Sales, Middle East and South Asia, Hellmann Worldwide Logistics “At Hellmann Worldwide Logistics, we live our FAMILY DNA emphasizing on aspects of prioritizing our people in our organization and provide our customers with a high level of service excellence. Hellmann Worldwide Logistics has launched multiple digitization initiatives to support our customers with their transforming supply chains. Hellmann Worldwide Logistics has under- taken multiple digitization initiatives in the areas of Blockchain, IOT, Robotic Process Au- tomation (RPA), Data Science and Artificial Intelligence. These automation plans will lead to reduced human effort, faster process lead times with zero errors. Apart from moving towards eAWB, eBL, ePayments, eInvoices, online quotations and bookings, Hellmann is also working on multi- ple RPA and OCR solutions to reduce manual effort, improve supply chain visibility and re- duce costs. Hellmann’s customs documentation process- ing time is among the best in the market with less than 0.0001% error, being used world over with Dubai being the competency center for the technology in use. Hellmann’s Smart Ocean service offering is a game changer offering companies real time visibility solutions leading to cost savings from demurrage, detention and other freight costs. The application uses all the current hardware and software technology, AI and satellite up- dates to connect dots across the supply chain to provide real time visibility. The system uses this technology to predict the future status of shipments and hence, it supports our custom- ers to plan their supply chain with little or no surprises. Our customers, especially in the per- ishable, fashion, pharmaceutical and automo- tive industries, use this technology to plan in- ventory at their hubs and retails outlets. With the growing trend of venture capital- ists causing the industry to mushroom with new companies is resulting in shrinking mar- gins and hence, putting more pressure on tra- ditional third party logistics companies. An organization definitely needs a solid traditional supply chain foundation, such as Hellmann’s, to succeed with digitization initiatives. While we work towards sustainability and supply chain cost reduction, digitization initiatives also call for high investments. However, the EBIT will improve only if we improve produc- tivity and efficiency in our processes. Hence, digitisation efforts go hand in hand with the vision of sustainability, along with maintaining focus on our people and our customers.”
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30 | Logistics News ME | February 2020 www.cbnme.com Feature Collaborative Real- Time Visibility Atif Rafiq, CEO & Co-Founder, Qafila “Digital transformation is not a process with a start or an end, neither is it just about the im- plementation and the use of technology. Digi- tal Transformation, at the fundamental level, is the ability of an organization to adapt to rapid changes brought forth by evolving digital technologies. It is how technology changes the conditions under which business is done, in ways that changes the expectation of custom- ers, partners, and employees. Qafila is re-engi- neering the shipping process by simplifying it and providing structure to shipping data across supply chains. The idea of continual adaptation to a con- stantly changing environment with a key fo- cus towards the customer’s problem and his experience is our key objective. As one of the pioneers of digital transformation in the freight forwarding sector, Qafila’s platform al- lows users to manage their entire supply chain through a cloud platform by giving them 24/7 accessibility, the ability to schedule their trans- port plan at the time of booking, bring all their communications related to this in one place. In such supply chain networks, Qafila is bringing a low cost solution to visibility with- out the need for expensive hardware. You get a full supply chain visibility from the moment the FCL is picked up at origin to the moment the empty FCL is returned to the port at its destination. While visibility is always a plus, a “collabo- rative real-time visibility” means continuous refresh of information with all participant hav- ing the ability to see the transaction in progress. This gives the ability to immediately act upon new circumstances and gives a single version of the truth to both the trading parties on Qafila. This is a unique feature of Qafila where trad- ing parties within the supply chain network can invite each other on the collaborative Qafila- platform and not just view the progress but also initiate a two-way orders request based on the parameters and rules defined for each other. It also helps shipping managers manage all their shipment related information and docu- ments in a shared workspace with complete transparency & visibility into the entire ship- ping process. Our USP is that we are an organization that has tech-knowledge and technology to simplify shipping. So if a trucking company, which is part of the supply chain network, is not digi- tal in their processes we help them to digitalize their processes and become part of our ecosys- tem. Our real x-factor is our agile mindset that this technology will become the industry stand- ard in a couple of years and we need to contin- uously evolve globally with the latest trends in and around our industry. While in the process, we digitize and give structure to a customer’s shipping data throughout its supply chain. Qafila technology not only provides data but also works with the user to use that data for streamlining the logistics process and iden- tifying any potential bottlenecks. This unlocks new opportunity within the supply chain with data-driven insights and customized reporting because data quality provides the basis for all optimization efforts in any organization. We create an atmosphere of collaboration between customers, partners, & employees to bring all that data in structured format to identify risk, solve problems that may arise, building on the solutions, measuring & experimenting with different iteration of the solution and finally again measuring it.”
Logistics News ME | February 2020 | 31 February 2020 Automating and usage of AI in Supply Chain André N. Verdier, Managing Director JDA Software Middle East “Supply chain transformation is well under- way and within the next 12 months artificial intelligence (AI) and machine learning (ML) will become a standard feature in complex supply chains. According to the 2019 JDA & KPMG Digi- tal Supply Chain Investment Survey, 80% of CXOs saw AI and ML as the most impactful technology for solving complex supply chain problems, while 75% of CXOs believed that cognitive and predictive analytics would have a disruptive impact. The survey revealed that interest in AI and ML have eclipsed other technology trends like blockchain and the Internet of Things (IoT) and CXOs agree that the time is now - the technol- ogy is seen as both high impact and high prior- ity for adoption in the near future. The survey confirms what I’ve been hearing in many business conversations in the Middle East. Both retail and manufacturing companies are investing in AI and ML to optimise their supply chains and to obtain more accurate de- mand forecasts and anticipate disruptions. The key driver is mostly the desire for end- to-end visibility and traceability of their supply chain to avoid delays, mistakes or inefficien- cies. The goal is to ultimately shift to an au- tonomous supply chain. By bringing together cloud-based technolo- gies, IoT, AI and ML, an autonomous supply chain will automate complex decisions across the entire value chain, reducing the need for hu- man intervention, creating efficiencies, reducing costs and saving time. This bold goal has the potential to completely transform how supply chains currently work. AI and ML collect and analyse data, particu- larly micro data or ‘little data.’ This provides greater visibility but also enables decisions to be automated along the supply chain. Data points may include social media data, weather or con- sumer behaviours. By interpreting and acting on this data, AI and ML can streamline the process. Applied to distribution in retail this will mean, for example, optimising replenishment and fulfilment, or hyper personalisation of the product and optimised pricing, with a direct im- pact on profitability. In manufacturing this will translate in production and supply disruptions’ predictability and proactive problem resolution. With the support of an autonomous supply chain the job of the people in the industry will become much more strategic - to direct the ma- chines while we oversee the big picture.
32 | Logistics News ME | February 2020 www.cbnme.com February 2020 Feature Human Intelligence Molds Artificial Intelligence Jonathan Wood, General Manager, Middle East and Africa, Infor Greater linking between the human mind and artificial intelligence is emerging. Researchers have advanced studies of the human mind, includ- ing infants, to better understand how learning develops at an early age. The goal is to enhance artificial intelli- gence and machine learning models to be less linear and ridged, and more curious and perceptive. Current ma- chine learning engines require feeding thousands of labeled images to teach machines to recognize what simple objects or animals such as a cat looks like. Yet errors are still prone when images of blurred shapes resembling that object are presented. An infant, on the other hand, learns through a handful of experiences what a cat looks like, and these might be actual photos or drawings in books. Infants also learn through experimentation and curiosity. In order to imitate this experience, some ML programs are being developed to be rewarded for curiosity versus accuracy. This re- search, linking human brains to AI, will increase and begin to show specif- ic results in further enhancing human attributes in machines. As supply chains progress towards autonomous processes, machine learn- ing and AI platforms will continue to learn by observing humans and data signals that span across parties, regions and supply chains, to understand the complexities and nuances of global trade. Some workflows will move to lights-out status, while many other complex scenarios involving multi- party collaboration and network-wide orchestration will require greater learn- ing from their human counter-parts.
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34 | Logistics News ME | February 2020 www.cbnme.com Aviation Global Aviation Growth Global Investment in Aviation Summit 2020 to brought together top industry leaders and delegates from more than 50 countries
Logistics News ME | February 2020 | 35 February 2020 dent of Honeywell; and Fundi Sithebe, Chief Executive Officer of Airports Company South Africa. Day one of GIAS 2020 saw two ministe- rial sessions titled “World Leaders: Vision and Strategies for Growth, Sustainability and Better Aviation”. The three-day summit will also include an array of panel discussions, in- cluding a session titled “Success Factors for Airport Investments”, and another one titled “Leading the Investment in Aviation, Where are the next challenges?”, and a session titled “Woman Entrepreneurship in Aviation: Global Leaders and their Visions”, among others. With its unique qualities characterizing its seven emirates, the UAE is an ideal place to showcase the most prominent investment op- portunities offered by the aviation and air transport industry. The UAE is one of the lead- ing players in the aviation industry, which ap- parently evidenced by the overwhelming pres- ence of the international aviation community in the summit. GIAS 2020 is an inspiring global platform that highlights the UAE’s internationally- rec- ognized standing and economic position as well as a main venue for major economic events. It also introduces investors to business opportunities offered by the sector that meet their growing aspirations for their business growth and expansion. The second edition of the Global Investment in Aviation Summit (GIAS 2020), which took take place on January 27-29 at Madinat Jumei- rah, saw the participation of high-profile del- egations and 10 ministers representing interna- tional civil aviation authorities from more than 50 countries across the world. The list of countries includes Belgium, Italy, Ireland, Bosnia and Herzegovina, Brazil, Cam- eroon, China, Kazakhstan, Maldives, Mexico, Poland, Portugal, South Africa, Armenia, Aus- tria, Jordan, Kuwait and Algeria, among many other countries. The aviation industry has seen dramatic growth over the past 20 years, with pas- senger numbers rising from 1.467 billion in 1998 to 3.979 billion in 2017, according to statistics from the International Civil Avia- tion Organization. According to IATA, in 2019, the return on invested capital earned from airlines is ex- pected to be 7.4% (down from 7.9% in 2018). While this still exceeds the average cost of cap- ital (estimated at 7.3%), the buffer is extremely thin. Moreover, the job of spreading financial resilience throughout the industry is only half complete with a major gap in profitability be- tween the performance of airlines in North America, Europe and Asia-Pacific and the performance of those in Africa, Latin America and the Middle East. The event which is organised by the Gen- eral Civil Aviation Authority (GCAA) under the theme “Enabling global aviation growth through fundraising and key partnerships”, the 2020 edition will feature an array of insightful panel discussions highlighting the industry’s potential and future opportunities as well as challenges that lie ahead. The sessions brought together a stellar gal- axy of top industry speakers, experts and busi- ness leaders, to share their expertise and expe- riences as well as to make the best use of this global platform to examine the current eco- nomic situation and opportunities available in the aviation and air transport sector. The list of official speakers comprises a number of high-profile officials and economic figures, notably H.E Sultan bin Saeed Al Man- souri, UAE Minister of Economy and Chair- man of General Civil Aviation Authority, H.E Dr. Obaid Saif Hamad Al Zaabi, CEO of the Securities and Commodities Authority (SCA), and Captain Yahya Al Bloushi, General Man- ager of Fujairah Aviation Academy. Speakers included Adel Mardini, CEO of GETEX; Alex Leigh, Airport Investment Spe- cialist at International Finance Corporation at World Bank; Rajesh Arora, CEO of GMR Airports; Ramesh Cidambi, Chief Operating Officer at Dubai Duty Free; Sonja Strand, Vice Presi-
36 | Logistics News ME | February 2020 www.cbnme.com Opinion
Logistics News ME | February 2020 | 37 February 2020 Robots, Helping Hand Taarek Hinedi, Vice President of FedEx Express MEA Operations, on how Robots can help the Logistics Industry unleash a new era of possibilities Within operations, people and robots can work together in a distribution center, support- ing faster order fulfillment, taking over the least attractive and repetitive tasks. Robots can sort packages faster and automatically identify pack- ages that need special handling, reducing hu- man intervention. These advancements allow team members to focus on those tasks that are more engaging and of higher value, thereby in- creasing productivity and competitiveness. However, before taking the plunge, imple- mentation readiness must be assessed and ob- jectives for adopting robotics must be clearly defined to better align with the organization’s business goals. Most importantly, the company’s leadership must ensure that the right work cul- ture exists, one that will embrace an environ- ment where people and machines coexist. This step will encourage adoption rates, mak- ing robots more commonplace in the logistics industry. According to McKinsey and Compa- ny, by 2030, adoption of automation is expected to be higher in the UAE, Bahrain, and Kuwait than the projected global average of 32 percent . So, a future with robots in your workplace and making special deliveries is not far away. Robots today are in almost every aspect of our lives – from performing the most mundane tasks, such as cooking dinner or fulfilling pre- scriptions, to taking center stage in the most delicate keyhole surgeries or helping to explore the farthest reaches of outer space. Just as robot- ics have taken a role in our everyday lives, the logistics industry can also benefit from a similar world of possibilities. The ‘Advanced Robotics in the Factory of the Future’ report by Boston Consulting Group confirms that transportation and logistics, tech- nology, and automotive companies are tapping into the potential of robotics. True to this analy- sis, in the not-so-distant future, we foresee mul- tiple technologies working together with those already in place to develop a more advanced de- livery model within our industry. The day may begin with a customer ordering the pick-up of a shipment through a voice or text assistant on a mobile device, with a driverless vehicle pull- ing up at the doorway, or a robot coming to the door to collect the package, taking it back to the vehicle or station, and then going on its way. While this might sound like science fiction, most aspects are already achievable. Virtual assis- tants are already making orders and organization more convenient and flexible for the customer. In order to meet the rapidly changing demands of the digital customer, drones and autonomous delivery devices like Roxo, the FedEx SameDay delivery bot, currently being tested, will also be used in select last mile deliveries. Delivery bots will use artificial intelligence and sensors to safely navigate to their destination and deliver packages door-to-door within our neighborhoods, while drones will transfer critically needed packages, including over-the-counter healthcare and food products to people within minutes. The logistics industry is steadily realizing the benefits of using robots to support and increase operational and service efficiencies. Increased adoption will drive higher-paying jobs and open positions needed to operate the robots, such as high-tech machine experts, software develop- ers, and control tower or remote operators. This trend clearly highlights the need for organiza- tions to equip their team members with new skillsets where they operate side by side with ro- bots in the workplace environment. The increas- ing adoption of such technologies and innova- tions is expected to shape the future job market.
38 | Logistics News ME | February 2020 www.cbnme.com February 2020 Event preview Future Warehouse & Logistics According to the Federal Competitiveness and Statistics Authority (FCSA), it foresees that UAE’s logistics sector will be contrib- uting a major part to its economy, from the current 5.4% to 8% by 2021. With the rapid growth in warehousing and logistics sector in United Arab Emirates (UAE), a 3-days con- ference themed “Future Warehouse & Lo- gistics 2020, will be held from 10 –12 March 2020 (Tues – Thurs), in Dubai – UAE, bring- ing more than 20 world-class speakers to- gether to share their insights on how to cre- ate a synergy between people, process and innovation for a smarter operating facility. Some of the world-class speakers include of Prashant Saran, Chief Operations Officer (COO), Middle East & North Africa- Ama- zon Consumer Business of Amazon, UAE; Jan Gliszczynski, Logistics Specialist of Leading Logistics Solution Designer, Ger- many; Anant Gairola, Head of Operational Excellence – Customer Care of Walmart eCommerce, USA; Ahmed Nasr, Warehouse & Logistics, Manager of Mondelēz Interna- tional, Bahrain; Marco Antonio Carreno, Supply Chain Cluster Director (Kuwait, Iraq, Iran) of Kuwait Food Company (Americana), Kuwait; Ali Kafil-Hussain, VP Strategy of Noon.com, UAE among others. This conference will be uncovering cru- cial sections and navigate a seamless trans- formation through two streams - Future Warehouse (Stream One) & Smart Logistics (Stream Two). For Future Warehouse – fo- cuses on key strategies and techniques on how to lower operational expenses from er- rors, techniques to increase warehouse space utilisation and flow, meeting customers’ ex- pectation and same day delivery whilst mini- mising overheads through sustainable opera- tions; For Smart Logistics – showcases how the GCC’s logistics and supply chain leaders are developing their roadmap from End to End Synchronisation, Real-Time Forecast- ing and Planning, Control Towers, Intelligent Scheduling (Algorithm and Optimisation), Intelligent Manufacturing Supply Chain. In addition, an exclusive and insightful half-day tour to a most advanced State-of- the-Art Warehouse in Dubai will be offered, regardless of the stream delegates are in. This conference also features a full day post-con- ference workshop, themed “Digital Supply Chain: The Route to An Effective Warehouse Management”, facilitated by Ian Maughan, Managing Director from Supply Chain Net- work Ltd, UK, to create a roadmap which will explore a holistic approach, examin- ing the key stages and steps to preparing a warehouse to deliver an optimal digital strat- egy and a best of breed warehouse manage- ment systems solution as the key execution enabler. If you are interested, please contact Anna Foo directly at +603 2603 2593 or email to annako@marcusevanskl.com.
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40 | Logistics News ME | February 2020 www.cbnme.com Interview Transport and Innovation Kasun Illankoon caught up with Jörg Mommertz, Senior Vice President, Head of Sales Area MEA& Latin America and Managing Director, MAN Truck & Bus Middle East FZE ported by government policies and initiatives. For the oil exporting countries, growth is expected to rise up to 2%. Business climate re- forms and investment in infrastructure are ex- pected to provide growth to up to 2.2% among the GCC countries. MAN will work proactively to increase its business opportunities this year. Besides vehicle sales, we are also looking to en- hance our Aftersales business. In terms of the transportation industry - what are your thoughts on it? The transportation industry is poised to grow significantly in the GCC countries. Respective How did MAN perform in 2019 and did it meet its expectations for the year? Speaking for the Sales Area Middle East, Africa & Latin America, I will say 2019 ended on a pos- itive note. Despite various challenges in different markets, we managed to do well. Of course, the global scenario was punctuated with issues such as key economies slowing down; trade disputes; geopolitical developments; and region & country specific political instances to name some. Last year was perhaps one of the most chal- lenging period since the 2008 global meltdown. However, the mix of developments and cumula- tive impact was not expected. But I am happy to say that we are satisfied with our performance in 2019. In terms of the market outlook - how does it look for MAN in the Middle East and in the UAE? The Middle East offers a mix of opportunities and challenges. While global economic slow- down has impacted all markets, there are posi- tive in this region signs that gives us confidence. The region’s economy is expected to recover in 2020, following a dull performance in 2019. There are small but definite trends of economic diversification towards non-oil businesses, sup-
Logistics News ME | February 2020 | 41 February 2020 governments are developing large-scale infra- structure, with an emphasis on road network. Also, it is expected that the non-oil GDP growth will grow faster in 2020. The GCC countries are also focusing on attracting greater investments and become hubs for global trade, imports may rise. The mode could be either through aviation or shipping, which means these locations could become trade centres. All these factors mean the transportation sector could benefit from these developments. If things move in this direction, transport & logistics businesses will require trucks that are reliable, powerful and efficient. MAN’s truck range, which includes long-haul; local distribu- tion and last-mile-delivery solutions, is powered by engines that are proven to be powerful yet efficient, consuming lesser fuel, over long duty cycles in demanding conditions. Our vehicles are also built on the concept of lightweight, which allows customers to carry more payload per trip resulting in more earnings. Even a benefit of about 1 tonne higher payload per trip can benefit operators significantly over the product’s operating life. It is pertinent to note we are expanding our truck product portfolio and now we also offer e-vehicles. These aspects, be- sides many others, make MAN the right choice for transport & logistics industry. Tell us about the latest trucks that have been released by MAN? MAN will be conducting the global launch of its new truck generation. The new truck sets standards for usability and connectivity. The new truck is not just a truck, but rather an inte- grated transport solution that makes work easier for the driver, more efficient and more comfort- able. The vehicle will impress both transport companies and drivers. While the introduction of the new truck gen- eration in the Middle East region is a given, we have not yet taken a decision on the timeline. MAN will continue to offer the current TG range and aftersales solutions till then. In terms of innovation and technology - how is MAN implementing it in their products? As part of the TRATON Group, MAN is tak- ing active steps in these areas. We are working on electric vehicles (van, bus, and truck), autonomous driving, fleet management and digitalisation. On the e-vehicles front, MAN Truck & Bus was one of the first European commercial vehi- cle manufacturers to successfully put e-mobility on the road together with its customers. MAN followed this up with a small production run of the MAN TGM 26.360 E LL distribution truck in December 2019 at the Steyr plant in Austria. The new MAN eTGE van is already being used by two major logistic companies in France by DHL Express France & Geodis and in Aus- tria by Quehenberger Logistics, a transport and logistics company. We have also received our first electric city bus order from the city of Hamburg, Germany. The fully electric Lion’s City E will delivered in the second half of 2020. The question of how used batteries from elec- tric vehicles can be used after their first life in the vehicle is being explored by MAN Truck & Bus, Verkehrsbetriebe Hamburg-Holstein (VHH) and the Volkswagen Group in a ground-breaking pi- lot project. One objective of the project is to de- velop a flexible battery storage concept which al- lows for the replacement of batteries. The scope of work in innovation & new tech- nology is vast and MAN continues to make ef- forts and offers to all its customers business so- lutions like energy management, consulting. Some of the countries in the Middle East re- gion have shown interest in our solutions. We are engaged in discussions to understand the market requirements and will prepare a road- map to introduce our products at the right time.
42 | Logistics News ME | February 2020 www.cbnme.com Breaking Records Company profile Transguard Group breaks its Own Records during 2019 with AED 1.6 billion in secured contracts, 1.4 million hours of staff training and multiple new services lines being the biggest achievements of 2019 With AED 1.6 billion in secured contracts, more than 1 million hours in staff training and earning a number of major awards, 2019 was a year of record-breaking expansion and growth against a landscape of challenging economic circumstances for Transguard Group. “While this was a terrific year for us, I do not believe it was a coincidence that 2019 was also our self-proclaimed year of the customer,” explained Greg Ward, Managing Director. “While customer centricity has always been at the heart of how we operate, this year we took a closer look at what it means to focus on our customers, which was followed by tak- ing solid steps to ensure that every member of the Transguard team, at every level of the busi- ness, understood how to think and act along the lines of customer satisfaction. This has had a ripple effect on not only how we do business, but who we do business with; as our 2019 re- sults show, we’re continuing our upward trajec- tory.” Successes in Security “Our Security division made major in-roads not only with major malls in the UAE, but also with large tourist attractions and with several embassies, including both of the British embas- sies in Abu Dhabi and Dubai,” said Tim Mun- dell, Chief Security Officer. Transguard’s security team was also out in force at many of the year’s major events, including the recent Race to Dubai and the Emirates Airlines Rugby 7s, among others. Launched a year ago, Transguard’s Executive Protection division tripled its reach in 2019 and added a number of high net worth individ- uals, A-list Hollywood celebrities and interna- tional fashion designers to its roster of clients. “Our K9 division also experienced impressive growth this year due to new contracts with several major international airlines and freight carriers; this division was also showcased dur- ing September’s AVSEC exhibition, which brought international attention to our world- class Explosive Detection Dogs,” Mundell con- tinued. The completion of Transguard’s state-of- the-art control room was another highlight for the company’s Security division: The technical build of this command centre involved bring-
Logistics News ME | February 2020 | 43 February 2020 ing together the world’s most cutting-edge tech- nology, including secure data centres, security information management, digital information display and physical access control systems; each aspect of this technology offers its own blend of cutting-edge innovation, delivery ex- cellence and product quality. Facilities Management Division Sets the Standard for Service Property Management, a new service line from Transguard’s Facilities Management divi- sion, helped to expand the reach of Transguard Group into new areas, while its consumer divi- sion, Transguard Living, doubled its size and expanded its service offering into Abu Dhabi. “A year after expanding into the Northern Emirates with an office in Ras Al Khaimah, Transguard Living has deepened its core of- ferings with a revitalized approach to its Move service and a new team of highly trained technicians,” said Stephen Beesley, Chief Op- erations Officer. “We were also gratified to see our new division, Property Management, hon- oured with its first award – Property Manage- ment Company of the Year – which is quite the accomplishment considering that 2019 was the first year of its operation. We look forward to continuing to grow the market in this divi- sion in 2020.” Manpower Grows from Strength to Strength The Hospitality division of Transguard Group experienced global gains at the end of 2019 with the signing of a framework agree- ment with a major international hotel chain: “Our experienced Hospitality team is already supporting 60 five-star hotels across the UAE, so we consider our presence within an inter- nationally known hotel brand as further rec- ognition of the high standard of our training and excellent performance record,” said Alex MacDonald, Senior Director – Manpower and Mobilisation. “We’ve experienced 50% growth with hotels this year; to put this in perspec- tive, teams are responsible for cleaning 73,000 kitchens and 5 million hotel rooms, which of- fers a glimpse at the size of our footprint in the UAE.” Workforce Solutions, the white collar staff- ing unit of Transguard Group, launched its Ex- ecutive Search division in the first half of 2019, and counts several globally renowned compa- nies as clients, including a major cosmetics and skin care label. Transguard also began an innovative part-
44 | Logistics News ME | February 2020 www.cbnme.com nership with one of the UAE’s most prominent airline to provide chauffeur services to its Busi- ness Class passengers. Welfare Initiatives Gain Momentum Transguard’s residential facilities received a number of upgrades over the last 12 months, including the addition of three “T-Mart” con- venience stores, with three more in the pipeline for 2020. Unlimited in-room wifi has also been implemented in a number of Transguard’s ac- commodations, including the newly opened Je- bel Ali 7: At seven stories tall, this massive resi- dential building is capable of housing 10,000 residents, making it the largest of its kind in Dubai. This year also marked the launch of Taste of Home, Transguard’s own catering company, which was developed out of the desire to pro- duce quality food at an affordable price for site-based employees. Officially opening at the end of December, Taste of Home is capable of producing 100,000 meals per day out of its kitchens in Dubai Investment Park. Editor’s note: More information about Jebel Ali 7 and Taste of Home will be released in the coming weeks Finally, with nearly 3,800 recreational ac- tivities taking place in Transguard’s accom- modations, including the “TG Olympics” and Transguard Carnival (with the most re- cent of which welcoming a record 5,000 at- tendees), keeping our site-based employees happy and engaged at work and at home continued to be a driving force for our CSR team. “You will often hear a Transguard employee say, ‘Work hard, play hard,’ be- cause that’s truly our mentality,” said Lena ter Laare, Director – CSR & Marketing. “At every level of the company we encourage our employees to invest just as much in their lei- sure time as they do in their working hours because we appreciate the value of balance. This helps foster an incredibly positive envi- ronment that also encourages team work and creative thinking.” A Mindful Approach to the Environment Efficiencies in Transguard’s approach to en- ergy and water consumption also led to excep- tional savings, with the company recording a 14% reduction in year-on-year utility costs. In addition, the installation of more than 1,200 solar panels are expected to reduce the compa- ny’s carbon footprint by nearly 500 metric tons. In May 2018, a paperless initiative began in Transguard’s headquarters, including the elimi- nation of paper invoices to clients. To date, the company has saved 1.5 million sheets of paper; this equates to nearly AED 100,000 in savings in ink and paper. February 2020 Company profile
46 | Logistics News ME | February 2020 www.cbnme.com Supplier News Momentum Logistics, a subsidiary of Gulftainer, the world’s largest privately owned independent port operator, headquartered in the UAE, has launched operations in the US State of Delaware in a bid to support Gulftainer’s US subsidiary GT USA-Wilmington. Momentum Logistics – Delaware is set to significantly reinforce the global presence of the parent company based at the Sharjah Inland Container Depot (SICD). With operations spanning the Middle East and the USA, Momentum Logistics aims to provide its complete suite of supply chain management solutions to the GT USA-Wilmington entity in Delaware. Speaking on the milestone, Peter Richards, Group Chief Executive Officer of Gulftainer, said: “This is the first venture for Momentum Logistics in Delaware, USA. The homegrown company has established an award-winning record in transportation, freight forwarding, warehousing and container services in Gulftainer ports throughout the Middle East, and it now seeks to replicate that success in the USA.” He added: “Building on Gulftainer’s 40-year record of cost-effective and safe inland transport and distribution, Momentum brings to Delaware the same superior level of customer service it has gained a reputation for around the world.” Momentum Logistics Launches Operations in US State of Delaware U p d a t i n g y o u o n t h e r e g i o n ’ s s u p p l i e r s Supplier News CBNme.com/logistics-news twitter: @logisticsnewsme Facebook: /LogisticsNewsME This project was completed in different stages over a period of 3 months. Al Faris provided our client with a complete solution for loading these vessels from different manufac- turer’s locations to Hamriyah and Jebel Ali Port. We then re- ceived these vessels at Mussafah port and land transported as well as off-loaded to our clients’ site. The transportation which was critical in nature due to close proximity to a live plant, required specialized tech- niques, equipment and experienced staff. All road surveys, planning, technical support documentation, authority per- missions, execution plans and schedules were prepared in- house prior to job execution. This helped organize all activi- ties smoothly with minimum delays. Execution was safely carried out by our trained engineers and operators. After careful consideration and study of the loads, our Goldhofer hydraulic multi axle & self-propelled trailers upto 68 axle lines were used for transportation and our Liebherr 1000t, 600t and 400t crawler cranes were used for offloading purposes at various locations inside the plant. Al Faris transported 19 vessels covering a distance of 150km for a crude-oil production facility in Abu Dhabi
Logistics News ME | February 2020 | 47 February 2020 ION, the UAE-based sustainable and smart transportation company, has partnered with NAVYA, a leading company in autonomous driving systems, to operate and maintain the company’s electric and autonomous shuttles as well as promote its vehicles and related activities in the UAE and the GCC region. As an official distributor, ION will engage with NAVYA’s existing and new customers on sales and after-sales support. The AUTONOM SHUTTLE fleet offers effective first- and last-mile transportation solutions, with optimized navigation and safety features. The autonomous shuttle also uses advanced guidance and detection systems and is enhanced with deep learning technology. Already operating in Masdar City since October 2018, the shuttles are also wheelchair-accessible and have a capacity of 15 passengers. Commenting on the occasion, Khaled Al Huraimel, Group CEO of Bee’ah and member of the Board of Directors at ION, said: “Our partnership with NAVYA stems from our commitment to revolutionize transportation in the Middle East region, making it greener and smarter, which is key to a better quality of life for cities and communities. This partnership will help ION on its journey towards environmental sustainability and the development of a zero-emissions transportation network in the UAE and wider region.” “ION’s purpose is to help create a sustainable transport infrastructure in the MENA region and beyond,” said Samer Choucair, Director, CE-Creates. “Since launching ION with Bee’ah in 2018, we have successfully trialed the use of electric vehicles in shared fleets and now we plan to expand operations to other emirates. With NAVYA, we are bringing the concept of shared autonomous transport to the MENA region for the first time.” ION and Navya Form Partnership to Deliver Sustainable and Autonomous Transportation Bosch Building Technologies has showcased its IP 3000i camera range that features industry-first smart surveillance capabilities at Intersec 2020 in Dubai. The Bosch IP 3000i portfolio is available in micro dome, mini dome, bullet and turret options for indoor and out- door use. This new camera range offers complete flex- ibility for everyday surveillance in standalone installa- tions such as small retail stores or for general surveillance in commercial buildings, offices and banks. All Bosch IP 3000i outdoor models are rated IK10 for high impact resis- tance and can withstand challenging weather conditions because of their IP66 rating. The cameras offer resolutions from 1080p up to five megapixels (MP), up to 30 fps and a High Dynamic Range of 120dB. The outdoor models have built-in infrared as stan- dard, enabling them to capture high-quality images – even in complete darkness. Built for 24/7 performance with a range of features, the cameras have Essential Video Analyt- ics built-in as standard. Opening up new possibilities for IoT applications and smart data capture, this feature helps im- prove security and supports in detecting situations such as blocked emergency exits or queue notification. Mr. Hakan Ozyigit, Regional Director of Security Systems & Building Technologies, Robert Bosch Middle East FZE said, “Business and end-user needs within building man- agement are constantly evolving. More of our built environ- ment needs to be able to be monitored for the safety of our people and assets, so it is important to keep high-quality camera technology affordable. The Bosch IP 3000i portfo- lio is an industry first for cost-effective video surveillance. True to Bosch’s philosophy of offering intelligent systems for everyone, further to security benefits, users can obtain valuable data for business intelligence.” Bosch Presents Industry- First Camera Technology
48 | Logistics News ME | February 2020 www.cbnme.com Goals and Objectives At UD Trucks, previously known as Nis- san Diesel, we have a passion for deliver- ing Ultimate Dependability, which is what our brand stands for. Our Ethos is to go the extra mile in everything we do. Our goal is to provide our customers with the optimum transport solutions. In the Marketing and Communications department our main goal is to increase brand awareness through a range of ac- tivities, with a particularly strong focus on events and tailor-made programs for our customers and prospects. Our aim is simple: being a Japanese Brand, and part of the Volvo Group, we want to excel at the essentials and provide our customers with the most dependable products and solutions, allowing them to fo- cus on their business and be successful. Sus- tainable growth can only be possible if our customers are profitable and if our products and solutions give them the peace of mind to focus on their activities. Marketing UD Trucks as a Leading Brand For us it is all about the customer experience at any given touchpoint with the brand. It is true that in the B2B sector most decisions are made in a rational way, however we still believe that the emotional and genuine hu- man connection plays a big role in position- ing brands. At UD Trucks we are simple and humble. Over the years we have managed to create a “One UD Family” spirit with our customers and partners in the region. Attributes I believe that one of the key roles of a com- municator is to make sure that teams share common goals and have one vision with a sense of purpose. Our role is to bring struc- ture and translate ideas into concrete plans and actions. I’ve applied these beliefs to everything I have done in the seven years that I have been working for the Volvo Group. During this time, I have managed several differ- ent truck brands within the organisation, and am privileged to have been part of all the major New Product launches that have been organised by Volvo Group Trucks in the region since 2011. On taking over at UD Trucks three years ago, I was able to utilise this experience to put in place an aggres- sive Marketing and Communications plan to promote what the brand stands for. I put a lot of energy and passion into every- thing we do for the brand and am very proud of what we have achieved in the last three years in making the connection between the Nissan Die- sel name, which has a long and strong heritage and legacy in this part of the world. Importance of Teamwork At UD trucks we operate as “One Team” and we pride ourselves in working together as highly engaged individuals who value col- laboration and transparency. We believe that our team isn’t limited to just the UD Trucks employees, but it encompasses all our part- ners and stakeholders in the market - our biggest strength lies in the importance we place on diversity and inclusiveness. Majda Rochdi, Marketing and Communications Director at UD Trucks MEENA (Volvo Group Middle East), tells us about her role and how she is helping contribute to UD Trucks success MAJDA ROCHDI Unsung Heroes February 2020
800 9090 rta.ae Purchase your ticket and relax in our new air-conditioned station at Dubai Festival City. Cruise between the mall and the Al Jaddaf Marine Station or easily connect to your journey onward as we are integrated with the Creek Metro Station. BM2 BM2 DC1 BM2 DC1 DC1 Creek Park Dubai Creek Harbour Dubai Festival City Deira City Centre Dubai Creek Floating Bridge Floating Bridge Garhoud Bridge Business Bay Crossing Business Bay Canal ZAA'BEEL AL GARHOUD AL RASHIDIYA Dubai Design District Dubai Festival City Dubai Creek Golf & Yacht Club Al Boom Tourist Village Creek Park B Creek/Al Jaddaf Creek Park A Metro Green Line Abra Water Bus Enjoy easy connectivity across the Al Jaddaf area. Routes Abra and Ferry timings: Air-conditioned Abra Al Jaddaf Marine Station to Dubai Festival City (BM2) Saturday – Thursday 7:00 am - 12:00 midnight Friday 9:00 am - 12:00 midnight 10 minutes (Peak Hours) 20 minutes (Off-peak Hours) AED 2 per person, per trip in one direction Ferry Round Trip – DFC Every day 4:00 pm Min. of 8 passengers Timings Frequency/Fares/Features For detailed timings and information, visit the respective customer service office inside the station. Children under 5 years travel for free only for commuter trips.
50 | Logistics News ME | February 2020 www.cbnme.com Middle East Rail Dubai Middle East Rail is an event featuring the railway and metro industries. The conference will cover designing, planning, building and maintaining future rail networks. Middle East Rail will once again deliver an unrivalled conference, hosting over 200 speakers. As the leading rail conference for the regional markets, it will extend its project overviews into the Indian subcontinent and Central Asia. It is the only regional rail conference and exhibition run in partnership with the UAE government. Breakbulk Middle East Dubai Breakbulk Middle East is one of the only ways to make direct connections with logistics and procure- ment decision makers, assured by its deepening ties with the local government. It will be covering the hot topics project cargo specialists need to know to seize regional opportunities and construct effective project plans. Led by the key players in the region, the conference also offers face-to-face opportunities to discuss these topics in greater depth. February February 25-26 25-26 Automechanika Riyadh Riyadh, Saudi Arabia Automechanika Riyadh is set to significantly boost access for international players into Saudi Arabia’s two largest automotive after- markets. According to research gathered by the organisers, Riyadh holds a 45 per cent share of the Kingdom’s spare parts market, while the Eastern region, including the cities of Dammam, Dhahran and Al Khobar, com- prises 35 per cent of the auto aftermarket. February 24-26 T h e k e y e x h i b i t i o n s , c o n f e r e n c e s , a n d s e m i n a r s c o m i n g u p t h i s m o n t h Save the date CBNme.com/logistics-news twitter: @logisticsnewsme Facebook: /LogisticsNewsME Cargo Logistics Canada Expo & Conference Vancouver, Canada The Cargo Logistics Canada is North America’s most dynamic and comprehensive multimodal supply chain event of its kind. This is the platform for logistics industry professionals to learn, share, network, and move their supply chains into the future. CLC encompasses the entire cargo spectrum - all major transportation modes and all cargo types, under one roof. February 4-6
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