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CONNECTING TRADE PROFESSIONALS WITH INDUSTRY INTELLIGENCE I N T E R V I E W Customer-Centric Entity H O S P I T A L I T Y Logistics In Hospitality L I F E S T Y L E The Offshore Phenomenar THE KING OF EXPRESS TRANSPORTATION FEBRUARY 2023 Taarek Hinedi Vice President of FedEx Express Middle East and Africa Operations on why FedEx is emphasising the importance of SMEs in the region
IN THIS ISSUE THE KING OF EXPRESS TRANSPORTATION 14 BLOCKCHAIN WHAT CAN BLOCKCHAIN DO FOR THE LOGISTICS INDUSTRY? Anthony Lesoismier, Co-Founder and Chief Strategy Officer at SwissBorg, writes his ideas on how blockchain can advance the logistics industry 20 FREEZONE THE ESSENTIALS OF RAS AL KHAIMAH ECONOMIC ZONE In conversation with Ramy Jallad, Group Chief Executive Officer of RAKEZ 30 START-UP A LAUNCH OF A NEW EMIRATI E-COMMERCE AIRLINE START-UP IN 2023 Mersal Air Set To Redefine E-Commerce Transportation In The Region 36 ECO-WASTE AL MASAOOD COMMERCIAL VEHICLES AND EQUIPMENT At World Future Energy Summit 2023 42 SUSTAINABLITY BEEAH AT WORLD FUTURE ENERGY SUMMIT 2023 In Conversation with Fahad Ali Shehail, Group Chief Operating Officer of BEEAH at WFES 2023 44 CYBERSECURITY CAN LOGISTICS COMPANIES USE CYBERSECURITY SERVICES? Nicolai Solling, Chief Technology Officer at Help AG, speaks to Logistics News ME about Help AG and its benefits emerging in the logistics industry 46 LIFESTYLE THE OFFSHORE PHENOMENA Dubai Offshore Sailing Club and their upcoming Aramex Dubai to Muscat Sailing Race 48 INTERVIEW CUSTOMER-CENTRIC ENTITY Norma Shaheen, General Manager at Al Masaood Rentals, speaks to CBNME on the rise of Al Masood Rentals and the impact it is making for their clients Taarek Hinedi, Vice President of FedEx Express Middle East and Africa Operations, on why FedEx is emphasising the importance of SMEs in the region 16 44 24
6 | LOGISTICS NEWS ME | FEBRUARY 2023 WWW.CBNME.COM All rights reserved © 2022. 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 SUBSCRIBE subscriptions@bncpublishing.net For all commercial enquiries, contact jo@bncpublishing.net T +971 50 440 2706 PO Box 502511 Dubai, United Arab Emirates P +971 4 4200 506 | F +971 4 4200 196 Keep up to date with all the latest news, features and much more on our website and social media platforms. CBNME.COM CBNME @CBNME CONSTRUCTION BUSINESS NEWS ME 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 MANAGING EDITOR Kasun Illankoon kasun@bncpublishing.net EDITOR Vibha Mehta vibha@bncpublishing.net EDITORIAL DESIGN Christian Harb MARKETING EXECUTIVE Aaron Joshua Sinanbam aj@bncpublishing.net PHOTOGRAPHER Alexander Bungas EDITOR’S NOTE LNME W e are Riyadh bound! As we are gearing ourselves up for KSA Logistic & Transport Awards 2023, taking place on February 9, 2023, at Fairmont Riyadh, I could say that my first month this year has been highly stimulating. While I juggle different hats, this month’s LNME issue has tapped into some exciting industries exploring several logistics and supply chain operations. To begin with, our cover story (p.22) reflects the domination of express transportation in the region with FedEx and their support towards SMEs in the best possible manner. Taarek Hinedi, Vice President of FedEx Express Middle East and Africa Operations, says, “SMEs should focus on their strengths to grow and expand into new markets, leaving infrastructure and logistics to specialists. Logistics providers can support SMEs with enhanced customer experiences and optimise costs, in addition to managing the challenges of cross-border trading and delivering products on time.” Additionally, we have Ramy Jallad, Group CEO of RAKEZ (p.18), talking us through the essentials of the economic zones. We exclusively publish about the launch of the start-up Mersal Air (p.28). We also cover the supply chain insights from Juan Carlos Reina, General Manager at Dukes The Palm, a Royal Hideaway Hotel (p.30), and Fahad Ali Shehail, Group Chief Operating Officer of BEEAH, tells us about their stint at the World Future Energy Summit 2023 (p.40). Lastly, Nicolai Solling, Chief Technology Officer at Help AG (p.42) shares his insights on the emerging use of cybersecurity in logistics companies. Enjoy reading! Vibha Mehta Editor vibha@bncpublishing.net
10 | LOGISTICS NEWS ME | FEBRUARY 2023 WWW.CBNME.COM REGIONAL NEWS LNME W ith the recent launch of Multi-Currency cards throughout the region, SimpliFi, one of the top Cards as a Service (CaaS) platforms in MENAP, allows enterprises to develop new revenue streams, control costs, and optimise company processes. The capacity to transact worldwide in local currencies is becoming into a need as firms migrate to digital channels and boundaries and lose relevance. SimpliFi helps companies develop distinctive and useful payment experiences to ad- dress their pain points by enabling the creation and issuance of Multi-Currency cards. SimpliFi Multi-Currency lets businesses issue cards in multiple currencies to match their spend with in-depth insights into how their cash flow movement is being managed across currencies while reducing exchange losses and adminis- trative costs. Founder and CEO of SimpliFi, Ali Sat- tar says, “Cross-border spending is increasing rapidly and will continue to do so; this is an opportunity to ac- celerate access to efficient, reliable cross-border payments. Multi-Currency cards offer consumers, freelancers, and businesses better payment experiences by providing more choice, convenience, operational efficiencies, and savings. At SimpliFi, we aim to be the driving force that supports businesses to supplement their revenue streams, while having more control over foreign exchange costs. This truly is the future of pay- ments.” SimpliFi Multi-Currency offers busi- nesses the opportunity to generate additional revenues through foreign exchange while reducing the com- plexities related to administration and operational costs. Additionally, it also allows companies to boost their bottom line and benefit from unique payment experiences and forecast spending in matching currencies. SimpliFi also presents single cards with Multi-Currency options, where the cardholder can move funds across various supported currency pockets, or multiple cards each with a single cur- rency. Key use cases include: > Corporate Expense Make supplier or subscription payments in billed currencies with control over FX rates. > Personal Finance Management Offer users the option to have funds saved in multiple currencies, whether in single-currency cards or multi-currency pockets. > Business/Personal Travel Move money ahead of trips by easily and cost-effectively converting funds into different currencies to spend while travelling. > Freelance Work Provide users with a solution to collect money in their choice of currency. SimpliFi currently offers 8 currencies with multi-currency cards available in the US Dollar (USD), UAE Dirham (AED), Saudi Riyal (SAR), Bahraini Dinar (BHD), Kuwaiti Dinar (KWD), Omani Rial (OMR), Qatari Riyal (QTR), and Jordanian Dinar (JOD). SIMPLIFI ACCELERATES DISRUPTION IN DIGITAL PAYMENTS WITH MULTI-CURRENCY CARD ISSUANCE CAPABILITIES
LOGISTICS NEWS ME | FEBRUARY 2023 | 11 REGIONAL NEWS B eginning on February 2, 2023, Etihad Cargo, the cargo and logistics division of Etihad Aviation Group, will launch a second weekly Abu Dhabi- Shanghai freighter service, increasing its capacity offering to the Chinese market. The carrier’s weekly dedicated freighter flights between Shanghai and its Abu Dhabi base will expand to eight per week with the launch of the freighter service, raising the cargo capacity out of Shanghai to 850 tonnes. Martin Drew, Senior Vice President of Global Sales & Cargo at Etihad Aviation Group, said, “Etihad Cargo is committed to expanding its operations in China, a key global market for the carrier. After introducing two more weekly freighter services between Shanghai and Abu Dhabi in 2022, this additional freighter service between Etihad Cargo’s Abu Dhabi hub and Shanghai will further en- able Etihad Cargo to meet customers’ capacity needs fully.” Following the news that Etihad would launch a second non-stop widebody pas- senger aircraft to Shanghai beginning on February 2, 2023, there will also now be five weekly direct passenger flights be- tween Abu Dhabi and China. Customers of Etihad Cargo have benefited from the increased cargo capacity on widebody passenger flights, and the airline will keep assessing its network and increas- ing frequency to the Chinese market in response to demand. Last but not least, Etihad Cargo offers a wide range of specialty products in addition to general cargo, including live animals, dangerous goods, valuables and vulnerables, personal effects, and its market-leading cold chain products (the latter of which holds IATA’s strict Centre of Excellence for Independent Validators certifications for both Phar- maceutical and Perishables Logistics, as well as Live Animals Logistics). ETIHAD CARGO BOOSTS CHINA CAPACITY WITH ADDITIONAL SHANGHAI FREIGHTER SERVICE
12 | LOGISTICS NEWS ME | FEBRUARY 2023 WWW.CBNME.COM REGIONAL NEWS LNME I n order to establish an exclusive joint venture, 51 per cent owned by AD Ports Group and 49 per cent owned by KMTF, to provide offshore and shipping services for energy companies in the Caspian Sea, AD Ports Group, one of the top facilitators of international trade, logistics, and industry, and KMTF, a wholly owned offshore logistics and services subsidiary of the Kazakh National Oil Company, have signed a shareholder agreement. A contract to pool tanker resources between the two companies has also been signed. The joint venture, which will consider investments on an as-needed basis, will provide a wide range of services, includ- ing offshore support vessels, integrated offshore logistics, and subsea solutions. At a later time, it will also offer container feedering, ro-ro, and crude oil transpor- tation in the Caspian Sea and the Black Sea. The company will submit bids for several projects that have been identi- fied and anticipated maritime contract values of more than USD780 million. The joint venture will establish a sig- nificant new entry in the highly prized Caspian Sea and the Black Sea area by combining KMTF’s strong fleet, track record, and local knowledge with AD Ports Group’s comprehensive range of global marine services and competence in shallow water offshore. The project may be expected to open up prospects throughout the area, especially given the ongoing fleet and facility renova- tions and some significant offshore projects, such as the multibillion-dollar extension of the Kashagan field. HE Falah Mohammed Al Ahbabi, Chairman of AD Ports Group, said, “Un- der the direction of our wise leadership, AD Ports Group is looking to deploy our expertise in support of agreements that boost trade and economic relations with brotherly nations. This new joint venture with KMTF opens the door to enormous opportunities in the Caspian Sea, which plays a key role in global energy production, and is serviced by prominent players within the energy sector. By providing maritime services in this key market, AD Ports Group has reached a new level of internationalisa- tion and development.” A vessel pooling agreement for seven years was also signed between AD Ports Group and KMTF; the joint venture comprises the provision of multiple tankers for the worldwide transportation of crude oil. Additionally, the arrangement will allow KMTF’s fleet to operate alongside the AFRAMAX tanker, now owned by SAFEEN Group, with plans to buy additional vessels soon. In the medium term, it is planned to transport 8–10 million tonnes of oil jointly yearly. Mirzagaliyev Magzum, Chairman at KazMunayGas, adds, “This is an alliance of two world-class companies which complement each other’s strengths and understanding of the market. As the world looks for reliable energy sources in challenging conditions, we can provide a full portfolio of services supported by a modern fleet and teams of experts combining local knowledge and global experience. Companies operating in the Caspian Sea oil fields are looking for reliable partners and a broad range of value-added services. KMTF and AD Ports Group will provide the ideal solution.” The Caspian Sea region is one of the oldest oil-producing areas in the world and is an increasingly important source of global energy production. Capt. Mohamed Juma Al Shamisi, Managing Director and Group CEO of AD Ports Group, comments, “Through- out 2022, AD Ports Group has looked to grow international business interests and expand the portfolio of maritime services we can offer customers around the world, in support of the vision of the leadership of the UAE. This joint venture – the first of its kind between a UAE company and the Kazakh National Oil Company – reflects how far and how fast we have grown and how capa- ble we are of providing advanced off- shore services in key global markets.” AD PORTS GROUP SIGNS MAJOR AGREEMENTS WITH KAZAKH NATIONAL OIL COMPANY SUBSIDIARY
LOGISTICS NEWS ME | FEBRUARY 2023 | 13 REGIONAL NEWS H is Royal Highness Crown Prince Mohammad bin Salman bin Abdulaziz, Prime Minister, and Chairman of the Public Investment Fund (PIF), announced today the Diriyah Project as PIF’s fifth giga- project, reflecting Diriyah’s status as a unique destination with distinctive cultural, historical, and tourism landmarks. The announcement reflects HRH the Crown Prince’s ef- forts in enabling the Saudi cultural identity, which in- cludes the Diriyah Project due to its historical, cultural, and political value, proudly showcasing Saudi Arabia’s 300 years of history to the world. Diriyah Project is a globally significant destina- tion that includes the Turaif District UNESCO World Herit- age Site. These cultural and historical aspects position Di- riyah as an unrivalled destina- tion of global significance where the authenticity of Saudi heritage can be celebrated, revealing the historical origins of modern Saudi Arabia. Tourists can explore and get to know Saudi’s history and culture at the city’s museums and purpose-built pavilions. Giga-projects form a key pillar of PIF’s overall strat- egy. They are instrumental in creating new economic ecosystems, launching new sectors that drive economic growth and diversification in Saudi Arabia, and creat- ing investment opportuni- ties across multiple sectors. PIF’s giga-projects portfolio currently includes NEOM, Red Sea, Qiddiya, Roshn, and Diriyah projects. The Diriyah giga-project is expected to enable many strategic domestic sectors, create partnerships with the local private sector, and un- lock many new investment opportunities throughout its development and produc- tion phases in industries such as construction, op- eration and management of hotels, retail, entertain- ment, and cultural facilities, creating thousands of new job opportunities and pro- viding a series of initiatives designed to contribute to enriching the quality of life for residents and visitors. Established by Royal Order in 2017, the Diriyah Gate Development Authority (DGDA) will continue its reg- ulatory and supervisory role in maintaining the heritage and history of Diriyah. DGDA will also continue serving the Diriyah community while pro- viding full support to estab- lish the Diriyah project as one of the world’s most prominent tourist destinations. The Diriyah Project aligns with PIF’s strategy to focus on unlocking the capabilities of promising sectors, includ- ing the tourism and culture sectors, to support Saudi Ara- bia’s position regionally and internationally as a leading tourism and cultural destina- tion. HRH CROWN PRINCE ANNOUNCES DIRIYAH AS PIF’S FIFTH GIGA-PROJECT
14 | LOGISTICS NEWS ME | FEBRUARY 2023 WWW.CBNME.COM BLOCKCHAIN LNME M ost are aware of the meteoric rise of cryptocurrencies, blockchain, decentralized finance and Web3 — from the end- consumer to various business-to-business implementations — these technologies’ opportunities are endless. In an atmosphere of general mistrust in crypto, we must lay out the facts — while certain corrupt companies may have collapsed, the technology that crypto is based on, blockchain, is still intact and is going strong. We have learned that it pays to be a sturdy Swiss turtle in a world full of jumpy rabbits. Greed and avarice always come at a price, due to which the crypto market is healing. The difference between traditional Finance (TradFi) and decentralized finance (DeFi) is enormous — while the latter values profit, DeFi is focused on bridging the wealth gap and creating a smoother, more secure, and more innovative future across all industries. This is contended by the fact that 1.7 billion adults globally are still unbanked. In the Middle East, where people under 30 constitute 55% of the population, crypto is used widely — a study found that up to 40% of customers who pay with crypto are new, and their purchase amounts are twice those of credit card users. Additionally, a YouGov survey showed that 67% of UAE residents are interested in investing in cryptocurrencies within the next five years and that it is THE LOGISTICS INDUSTRY? WHAT CAN DO FOR BLOCKCHAIN Anthony Lesoismier, Co-Founder and Chief Strategy Officer at SwissBorg, writes his ideas on how blockchain can advance the logistics industry
LOGISTICS NEWS ME | FEBRUARY 2023 | 15 one of the top markets globally where consumers say they trust cryptocurrencies (40%). Web3, blockchain and decentralized tech are the most effective tools that enable companies to readily overcome their challenges, as Web 3.0 offers a new data paradigm that will accelerate partnership, collaboration, and synergies exponentially. As crypto continuously gains momentum on the consumer front, so does its use in business. We already see it being implemented in banking, cybersecurity, healthcare, and so many more industries. It also has a vital role in propelling the logistics industry into a smoother operation. We can speak to how the implementation of the fool proof ever-strong technology of blockchain will significantly benefit the logistics industry. This would be a decentralized public ledger system that records all changes in real time. Once armed with this tech, logistics organizations can improve efficiency with faster routes and remove unnecessary steps in the delivery process. In fact, blockchain in the logistics market is projected to reach US$1620 billion by 2028, with 40% of supply chain leaders stating they intend to invest in blockchain & IoT sensors. Estimates by the World Economic Forum suggest that there could be a five per cent increase in global GDP and a 15% increase in global trade by reducing supply chain barriers to trade. Furthermore, Statista’s respondents in a 2022 survey showed that 53% expect blockchain to change the logistics industry. There are several ways that blockchain can be beneficial to the logistics industry: > Improves traceability: Blockchain tech can keep track of an entire supply chain’s worth of goods at once. Whether the products are perishable, valuable or need to be recalled, blockchain can handle it while protecting the goods from theft by integrating data from all the participants in the supply chain. It provides real-time information on the status of goods. > More robust security: Blockchain helps authenticate data and documents by providing a secure and encrypted platform. That security helps to detect fraud by tracking and tracing each modification made on any paper. After the goods have been delivered, using smart contracts, the data enters the public or private blockchain together with unforgeable algorithmic signatures. > Smoother shipments: When the supply chain stretches across countries or an ocean, having a universal-language approach can help avoid mishaps. Firms can also remove certain intermediaries with blockchain as it brings trust into the ecosystem. Data can be accessed and validated at every step to improve quality assurance. Blockchain informs stakeholders when a product has shipped, passes through checkpoints, and when it is delivered, allowing supply chain partners to prepare for and efficiently process items as they are en route. > Automate processes: Payments, transfer of ownership, settlement of tariffs or cargo checks can be automated by using blockchain-enabled smart contracts. It also reduces human error and prevents repeated transactions. Blockchain tech can bring a few challenges to the organizations, such as the fact that blockchain is yet to be available in every part of the world; hence smaller companies or those stakeholders in lesser developed parts of the world can face issues. The tech is continuously evolving. Thus, those who implement it need to keep up with it and deploy the latest versions across the board, which can be time-consuming and costly. Also, logistics firms can be challenging to manage the data flow between several different entities, especially with an international chain. The positives still outweigh the negative aspects, and we can confidently say blockchain is leading the charge to advance many industries. To this future, doors across the world need to open, as ours is. As a leading CEX, we want to foster a sense of belonging for anyone who wants to take ownership of their wealth and help build the future of finance. The technology can help businesses identify factors that pose a potential threat to any project and eliminate them. Implementing Web3, blockchain-based or decentralized technology, is an evolution to the next phase of business and enables organizations to pave the way for new global opportunities. WHAT CAN BLOCKCHAIN DO FOR THE LOGISTICS INDUSTRY? Anthony Lesoismier, Co-Founder and Chief Strategy Officer at SwissBorg
16 | LOGISTICS NEWS ME | FEBRUARY 2023 WWW.CBNME.COM C ontainer xChange is one of the leading online platforms for container logistics that brings together all relevant companies to book and manage shipping containers and settle all related invoices and payments. Container xChange’s Container LogTech predictions report for 2023 highlights critical global trends that the shipping and supply chain industry will witness in 2023. The report draws attention to some of the most pertinent issues the industry will see this year, helping professionals better prepare for navigation. “The overall outlook for the year 2023 remains gloomy. Europe is hit hard with all-time high inflation; China struggles to cope with the virus, and the US continues to witness hinterland transportation challenges and labour unrest. Most of these challenges will stay until 2023. Consumer confidence will pick up, but it depends on whether we witness more disruptions in the coming times.” Christian Roeloffs, Co-Founder and CEO, Container xChange, an online container logistics platform. Most of the experts surveyed foresee that inflation and recession will significantly impact this year and will be the biggest driver of disruptions. SUPPLY CHAIN AND SHIPPING PREDICTIONS FOR 2023 FUTURE INSIGHT LNME Container xChange released the Container LogTech predictions report for 2023, which spans responses from over 2600 industry professionals from 20+ countries
LOGISTICS NEWS ME | FEBRUARY 2023 | 17 ‘‘Due to inflation increasing, there will be more unrest in the labour market which will certainly lead to more strikes, specifically in Europe, the UK and North America. And as we have seen before, strikes result in slow operations within the port, which can exacerbate supply issues,’’ said Aamir S. Mir, Chief Operating Officer at Caspian Container Company SA, as part of the interviews. The report further predicts that the long-term shipping contract rates will see an uptick in 2023, though gradually. This slow increase applies to all modes of transport. A reset is expected with negotiations going on to bring contract rates in line with spot rates. On the other hand, until a balance is reached between supply and demand, forwarders will favour short-term contracts until the rates stabilize. As per the report, freight forwarders will employ a ‘wait and see’ approach before making long-term air cargo capacity commitments. Additionally, trucking rates for dry and reefer cargo will continue to drop in 2023. Freight tonnage will continue to contract as market conditions and volumes return to pre-pandemic numbers. The unresolved worker strikes of 2022 will spill over in 2023. Furthermore, the chances of new strikes are high due to inflation-related prices putting pressure on workers’ disposable incomes. Labour dissatisfaction might grow in European and North American economies. In that case, it will cause disruptions in global supply chains. ‘‘Two, almost three exceptional years for carriers are ending. They will have to adapt to lower margins due to a different supply and demand balance. Many customers, forced into high-cost contracts during the up-cycle, will come for revenge in the down cycle. And regulatory pressures following excessive profits might appear on top of that, be it through bodies like FMC, EU, or China’s MOC, as they each review alliance exemptions, new taxation regulations, or precedence cases from several complaints raised by shippers at different institutions.’’ said Ruben Huber, Founder and Director of OceanX. The report further covers the growing expectation of the 3PL (third-party logistics) market to solidify in 2023. Reportedly, it’s projected to reach $1,789.74 billion by 2027. Another key trend on the list is the digital transformation of the industry. In the years to come, the adoption of digital technologies in shipping will focus on vessel schedules, intuitive booking interfaces, instant slot booking, and capacity confirmations. In this regard, the industry’s primary concern will be having systems interact directly via automating the Data-Analysis-Decision-Action cycle. Please download the full report from here: https://www.container-xchange.com/ reports/2023-predictions/ SUPPLY CHAIN AND SHIPPING PREDICTIONS FOR 2023 “TWO, ALMOST THREE EXCEPTIONAL YEARS FOR CARRIERS ARE ENDING. THEY WILL HAVE TO ADAPT TO LOWER MARGINS DUE TO A DIFFERENT SUPPLY AND DEMAND BALANCE. MANY CUSTOMERS, FORCED INTO HIGH- COST CONTRACTS DURING THE UP-CYCLE, WILL COME FOR REVENGE IN THE DOWN CYCLE.”
18 | LOGISTICS NEWS ME | FEBRUARY 2023 WWW.CBNME.COM OP-ED LNME O ur space on this planet is limited. Through population growth and industrialisation, more and more of this pre- cious room will be taken up by waste, which is expected to grow to a whopping 3.4 billion tonnes globally by 2050. It’s an enormous number that also holds immense opportunity for sustainable investments in waste management and technological advancements under a circular economy. In Qatar alone, the circular model is expected to bring enormous financial, social, and environmental benefits, yielding an additional USD 17 billion by 2030, corresponding to 10 per cent of its GDP, and up to 19,000 new jobs by the same year. Qatar has emerged as a promising hub for waste management in MENA, a region where about 6 per cent of the world’s waste is produced with prevalent disposal methods ranging from open dumps and landfills to recycling facilities. In a country that offers 100%-foreign business ownership in all sectors – unrivalled in the GCC—advanced connectivity and infrastructure give potential investors distinct opportunities in recycling, waste-to-energy technologies and materials recovery sub-sectors. Four factors underpinning Qatar’s waste management industry: 1. Recycling: The Integrated Waste Sorting and Recycling Program & the Qatar National Development Strategy II (NDS) encourage waste recycling techniques, incl. the use of ca. 20 per cent of recycled materials in construction projects. 2. Waste-to-Energy: The first GCC country to implement a waste-to-energy programme, Qatar generates over 30MW of electricity from its Domestic Solid Waste Management Centre (DSWMC). 3. Materials Recovery: Qatar’s current waste comprises approximately 5 per cent metals –70 per cent steel and 30 per cent aluminium. 4. Partnerships: The Ministry of Municipality and Environment (MME) launched the investment portal ‘Foras’ to promote PPPs driven by innovation and discovery opportunities. A recent Waste Management sectoral study by the Investment Promotion Agency Qatar (IPA Qatar) explores the potential of the country’s waste management sector. This market is supported by nine existing waste management facilities and a government- led commitment towards the circular use of materials to promote economic growth while preserving and enhancing natural capital. HOW CAN BE A GOLDEN KEY WASTE MANAGEMENT GREEN INVESTMENT IN WASTE MANAGEMENT IS A DRIVER OF ECONOMIC DEVELOPMENT
LOGISTICS NEWS ME | FEBRUARY 2023 | 19 HOW WASTE MANAGEMENT CAN BE A GOLDEN KEY Qatar’s national environment and climate strategy aim to close and rehabilitate 100 per cent of unsanitary landfills and achieve a 15 per cent material recycling rate of municipal waste. Its ambitious goals also create real opportunities across the waste management value chain. Earlier this year, Ashghal, Qatar’s Public Works Authority, launched the country’s first sewage treatment Public Private Partnership (PPP) project, worth $1.5bn, to streamline water consumption and use unconventional water resources. Like many other PPP projects in Qatar, this development intends to stimulate local and foreign investments. Cities in the GCC, Qatar’s capital Doha included, are the most urbanised, containing 85 per cent of the region’s population today, a proportion that is expected to rise to 90 per cent by 2050. In its sustainable planning, the country has invested in constructing circular cities, Lusail and Msheireb Downtown Doha, as blueprints for sustainable living where pneumatic waste collection, sewage treatment plants, district cooling, centralised facilities and GSAS are the rule, not the exception. Building out this sustainable vision will be imperative in the coming decades. While international and non- governmental organisations (NGOs) play a pivotal role in coordinating and helping circular practices reach scale, corporate investors will play a central role in expanding the industry. Diverting investments towards sustainable waste management will have a multiplier effect in support of the UN Sustainable Development Goals (SDGs). With it comes direct and indirect economic benefits, from industrial waste accounting for the largest revenue share of global waste with 50 per cent to the long-term implications of environmental protection with a large part of the world’s economic output depending upon the viability of natural systems. Qatar, a well-connected logistics and commerce hub that currently ranks 1st on the Global Finance Safety Index in the Arab world and boasts robust state initiatives for foreign investors, is eager to lead the sustainable waste management industry of the future. The question remains to be answered: Who will enter its competitive business climate and make a mark on the Middle East’s waste management ecosystem?
20 | LOGISTICS NEWS ME | FEBRUARY 2023 WWW.CBNME.COM FREEZONE LNME R as Al Khaimah Economic Zone (RAKEZ), located in the centre of Ras Al Khaimah in the United Arab Emirates, is a thriving economic and in- dustrial hub that provides free zone and non-free zone firms in a global community thriving in more than 50 industries with individualised solutions. RAKEZ is an authority established by the Ras Al Khaimah government to assist start-ups, company owners, SMEs, and entrepreneurs with their business setup needs by offering them a variety of licences, adaptable facilities, and top- notch support services including visa facilitation. Here, Ramy Jallad, Group Chief Executive Officer of RAKEZ shares everything you want to know about the fundamentals of the economic zone… How does a free zone curate initiatives that are beneficial for the growth of the UAE and its economy? Every free zone has value propositions regarding location, resources, services, and other aspects, providing more comprehensive options and opportunities to foreign investors looking to enter the UAE. A preferred destination for leading global brands, RAKEZ contributes to the UAE’s GDP by attracting investors from all over the world with a flourishing business ecosystem, creating more job opportunities, supporting educational needs through its Academic Zone, and aligning strategies with the country’s vision and initiatives. RAKEZ provides vital drivers for an attractive investment environment. We create a fertile ground for start-ups to set up their base and explore the market cost-effectively. We are also one of the UAE’s leading manufacturing hubs, with dedicated zones and facilities for large and small industrial activities. We have signed agreements with entities to streamline the industrial inflow and outflow for our customers’ transport and logistics operations. Over the years, we have developed a business ecosystem to support SMEs as well as multinational giants in their growth journey, simplified the business set-up processes through our one-stop shops, added a host of business support services to help investors operate with ease, and used disruptive technology to digitalise our services. Being part of a community allows businesses to connect, collaborate and get the support they need from one another. How vital is a free zone’s role in the logistics and supply chain industry? In general, free and economic zones host logistics companies that interact with local and international supply chains, highlighting the advantages and gaps resulting from various regulations. As one of the fastest-growing economic zones in the region, RAKEZ is a logistical hub for trading and manufacturing sectors. We enable businesses in free zone and non-free zone areas to enter and operate in well-established global supply chains. Based on their experiences and feedback, we leverage our membership in international councils, such as the UAE- UK Business Council and other global forums, to put forward their concerns and influence decision-makers in creating solutions that help supply chains evolve in favour of our companies. RAKEZ has strategic partnerships with stakeholders who can assist logistical and supply chain players. For instance, our recent agreement with Etihad Credit Insurance was aimed at helping traders gain access to flexible state-backed trade THE ESSENTIALS OF RAS AL KHAIMAH ECONOMIC ZONE In conversation with Ramy Jallad, Group Chief Executive Officer of RAKEZ
LOGISTICS NEWS ME | FEBRUARY 2023 | 21 THE ESSENTIALS OF RAS AL KHAIMAH ECONOMIC ZONE finance support and market intelligence that is crucial for their overseas expansion goals. We also joined hands with the Public Services Department to collaboratively streamline the industrial inflow and outflow for our industrial companies’ transport and logistical operations. These are some of many other collaborative initiatives we built to support the supply chain industry. What special features does RAKEZ offer to the residents and business owners? We have been on a journey of becoming a home for global investors. One of our primary goals is to contribute to the ease of doing business for investors in Ras Al Khaimah, and the first step is to understand their unique requirements and tailor the best-suited solutions. Our simplified and digital processes; cost-effective and customisable business set-up solutions; wide- ranging value-added business support services; facility options ranging from coworking spaces and offices to warehouses, land plots and labour accommodations; and visa facilitation ensure that investors have everything they need to set up, sustain and expand their operations in the emirate of Ras Al Khaimah. The emirate presents the opportunity for investors to set up and truly settle with its live, work and thrive approach. On the business side, it has a robust, resilient and diversified economy, with unique conditions that nurture business and investment. On the liveability side, Ras Al Khaimah offers its residents a safe environment and excellent quality of life, including affordable health services, quality education at all levels and real estate. It is a hidden gem for adventure and culture. What unique business strategies stood out for RAKEZ among its competitors in 2022? One of our most powerful strategies continues to be that we simplify the entire journey of exploring investment opportunities, setting up a business and growing it. We are accessible to our clients – every step of the way – expediting processes and providing all the support they need. Our partnerships with corporate service providers and government authorities enable us to support our clients constantly. Another essential strategy is digitising our services, offering uninterrupted access from anywhere, anytime. We also work towards creating better incentives and introducing new services while upgrading existing ones. We are expanding and adding more facilities, rangning from warehouses to coworking spaces, to welcome more businesses into our ecosystem. Did RAKEZ face any particular challenges in 2022? With the country returning to its full swing of business events, 2022 was a busy year for us. We signed up to be a part of several events and exhibitions in the UAE and abroad while hosting quite a few of our campaigns and international roadshows. Some overlapping events got us overwhelmingly engaged, but our team went the extra mile to ensure everything was smooth. The demands for warehouses and offices kept rising throughout the year, so we launched more facilities to cater to our growing family of businesses. Are there any particular initiatives RAKEZ is planning to launch in 2023? This year we will further strengthen our position as a nurturing hub for SMEs and industries by upgrading our offerings and through more strategic partnerships with local and global entities so our business community will enjoy more benefits along their growth journey. We have some exciting campaigns in the pipeline for our existing clients and potential investors. We will also participate in events and exhibitions in the UAE and internationally, where we may introduce specific offers to support global investors expand to the Mena region from Ras Al Khaimah, attract more FDI into the emirate. With the dedicated team that has helped us get this far, we will surely achieve more and deliver better this year. Ramy Jallad, Group Chief Executive Officer of RAKEZ
22 | LOGISTICS NEWS ME | FEBRUARY 2023 WWW.CBNME.COM CONSTRUCTION LNME A structured, thoughtful, and phased logistics plan integrated into the project schedule is the cornerstone for successfully delivering a programme or project. A logistics plan is crucial for identifying and mitigating productivity, programme, sequencing, interface, and constraint challenges that differ from project to project. Plans for the logistics of a construction site are essential for the secure delivery, fabrication, storage, and installation of materials and the protection of resources and assets. Lack of a logistics plan could quickly result in bottlenecks, abandoned projects, or unsafe conditions that could negatively affect a company’s licences, reputation, insurance, stocks, or even cause fatalities. In this article, we will discuss the benefits that construction logistics plans can provide to project stakeholders… Planning Is Key To Optimise Productivity And De-Risk Delivery: Planning a project’s phases, along with a complete inventory of materials and a specific delivery methodology, is an essential component of logistics management. Planning issues or a lack thereof can easily result in compromised, unsafe, or unplanned shortcuts, abandoned projects, delays, or cost increases. According to the proverb, “If you don’t plan, you plan to fail.” The level of logistics planning will range from large-scale programme management to small-scale project management. It will need to consider the site conditions, adjacencies, interfaces, environmental conditions, and difficulties associated with transporting goods from their point of origin to on-site storage and installation. To optimise delivery as much as possible, it must consider effective planning, risk management, and delivery methodologies as: > Proactive plans are in place that considers evolving site- specific challenges. > Potential cost savings and waste reduction for site teams to operate efficiently. > Promotes teamwork-motivated workforce and allows wins to be celebrated. > Provides the basis for safe and healthy working conditions. IN CONSTRUCTION MANAGEMENT THE VALUE OF LOGISTICS Patrick Gersch, Project Director at Turner & Townsend, discusses the advantages of having a sound logistics strategy for building projects
LOGISTICS NEWS ME | FEBRUARY 2023 | 23 Responding To Challenging Site Constraints Controlled delivery is frequently regarded as the most secure method when materials are in-country and on-site in possession of the General Contractor or Client. However, this scenario is only sometimes feasible due to programme, site, or environmental factors that may prevent or limit the ability to receive, store, fabricate and prepare components before lifting or installation. Some prefabricated or modular construction technologies offer controlled solutions to these project challenges, but they might only be suitable for some project applications or correspond to customer or market preferences. Although just-in-time deliveries have many advantages, they might be less valuable. The provision of off-site fabrication or consolidation centres is a further alternative as they enable projects to move forward without the impact of site- based constraints, which: > Serve as a holding area for significant components awaiting delivery to the construction site. > Permit any pre-construction activity to occur before they are required on site. > Have the ability to lower carbon emissions due to decreased trips and deliveries. > Safely store unused materials to prevent their destruction and disposal in a landfill. > Provide more sustainable delivery via off-site manufacturing and pre- fabrication, resulting in less material wastage. Use Of Technology To Optimise Delivery The creation of digital twins of projects is made possible by contemporary building materials like BIM, which can be used to identify the required materials, plan and sequence project requirements, and identify construction activities. Furthermore, 4D sequencing technology enables detailed analysis and planning to ensure that critical preparatory works and interfaces are identified and tracked to ensure that critical pieces can be completed to maintain the project’s delivery requirements. This allows project stakeholders to create time-slice views of projects to plan, manage, and sequence critical construction activities. The development of drones and time- lapse cameras offers more resources for documenting a project’s current state at any given time. These help monitor development, evaluating claims, and giving websites an extra layer of security. Construction logistics and supply chain integration: The compatibility between the quality and management of the supply chain and the effective use of resources within the parameters of the construction logistics plan is crucial to a project’s success. All parties involved in the project delivery process should clearly understand the resources, on-site logistics, and expertise needed to finish the project on schedule and within budget. Visits to suppliers, factories, and fabrication facilities offer essential knowledge about the quality of finishes and enable potential problems to be mitigated before delivery to the site, frequently when it would be too late. In order to concentrate on an integrated delivery solution, it is crucial to conduct a thorough pre-qualification of the supply chain, take the packaging interface into account, and consider origin-to-destination challenges. Sustainable Delivery Delivering projects effectively, optimised, and sustainably will become the new standard with the introduction of sustainability certifications, targeting the construction of net zero and spaces that respond to healthy environments. These have the potential to offer higher premiums and reputational enhancements, which will change future growth, sales, and product success in the market. They also provide the benefits of reduced wastage, decreased costs, and improved marketability of the products. WAREHOUSE AUTOMATION MARKET “IF YOU DON’T PLAN, YOU PLAN TO FAIL.” LOGISTICS NEWS ME | FEBRUARY 2023 | 23
24 | LOGISTICS NEWS ME | FEBRUARY 2023 WWW.CBNME.COM COVER STORY LNME >>>
LOGISTICS NEWS ME | FEBRUARY 2023 | 25 THE KING OF EXPRESS TRANSPORTATION Vibha Mehta, Editor of Logistics News ME, talks to Taarek Hinedi, Vice President of FedEx Express Middle East and Africa Operations, on why FedEx is emphasising the importance of SMEs in the region THE EXPRESS KING OF TRANSPORTATION F edEx Corporation offers a comprehensive range of services to its customers and businesses worldwide, with a broad port- folio of transportation, e-commerce, and business services. Under the reputable FedEx brand, the operating companies compete collectively, work together collaboratively, and innovate digitally to provide integrated business solutions. FedEx Express, a subsidiary of FedEx Corpora- tion and the most extensive express transportation business in the world, connects 99% of the world’s GDP with its fleet of 714 aircraft, offering quick and dependable delivery to more than 220 countries and territories. FedEx Express accelerates the delivery of time-sensitive packages by a specific time and date via a global air and ground network. Individual shippers, SMEs businesses, and multi- national corporations from various industries are among some of the FedEx customers. FedEx provides customised, adaptable services to meet the needs of multiple sectors, including e-commerce, healthcare, aviation, automobile, petrochemical, and more. Ad- ditionally, FedEx Express services 99 markets in the Asia Pacific, Middle East, Indian Subcontinent, and Africa region: 33 in APAC and 66 in MEISA. >>>
26 | LOGISTICS NEWS ME | FEBRUARY 2023 WWW.CBNME.COM COVER STORY LNME SMES IN THE UAE SMEs are essential to the UAE’s economic expansion and the nation’s status as a magnet for international investment. They account for more than 94% of all businesses in the Emirates and more than 60% of the nation’s GDP. “In Dubai alone, SMEs make up 95% of all busi- nesses and offer 42% of all job opportu- nities,” says Taarek Hinedi, Vice Presi- dent of FedEx Express Middle East and Africa Operations. “They play a crucial role in fostering innovation, creating jobs, and advancing the region’s economy.” At FedEx, they have decades of experi- ence watching companies develop and start-ups grow into formidable forces that influence the world economy. “We are committed to giving them the tools, re- sources, and solutions they require while continuing to serve as a reliable adviser to assist them to expand their operations in- ternationally,” adds Taarek. For instance, the Small Business Centre serves as a one-stop shop for helpful information, including guidance on how to develop, create, and manage an online business. Like other pro-business nations, the UAE is well known for its high levels of security, inviting workplaces, and excep- tional global connections. Policies like 100% foreign ownership of enterprises are examples of the UAE’s pro-business initiatives. The UAE established the Khalifa Fund for Enterprise Development (KFED) in 2007 to elevate start-ups in the nation and foster their growth through investments and workshops. Since 2019, the KFED has allocated more than AED 1.32 billion to promote innovation and entrepreneurship. The UAE is a preferred commercial location due to its proximity to significant regional and worldwide markets, world- class infrastructure, business-friendly environment, multiple airports, seaports, free zones, and investment in SMEs’ expansion. Through its hub in Dubai, “BUSINESS OWNERS CAN COLLABORATE WITH LOGISTICS PROVIDERS TO BUILD A SOLID INTEGRATED SUPPLY CHAIN, OPENING ACCESS TO NEW MARKETS, AND BOOSTING REVENUE STREAMS.”
LOGISTICS NEWS ME | FEBRUARY 2023 | 27 THE KING OF EXPRESS TRANSPORTATION FedEx connects the UAE, the larger Middle East, the Indian Subcontinent, and Africa to the rest of the globe. FedEx has been a part of the growth narrative of the UAE for more than two decades. In March 2022, FedEx kicked construc- tion on its new regional air and ground hub close to Al Maktoum International Air- port (DWC) at Dubai South’s Logistics District. Dubai has been positioned at the core of commercial ties between the East and the West. “This investment aligns with the FedEx vision of supporting businesses, including SMEs, connect with more markets and new customers, and enabling them to overcome the challenges of cross-border trade,” says Taarek. STEPS FOR A SUCCESSFUL SME IN THE UAE In order for SMEs to succeed in the market, they must first aggressively adopt new technologies and devise new strategies to remain adaptable in a dynamic business environ- ment. In 2026, it’s predicted that the e-commerce market in the UAE will grow to $9.2 billion. The development and modernisation of payment methods and services have boosted the industry’s eco- nomic activity. “SMEs must stay up to date with these changes and cater to such changing demands as consum- ers have grown accustomed to using digital payment systems and are now accepting new ideas like ‘buy now, pay later,’” states Taarek. “SMEs should focus on their strengths to grow and expand into new markets, leaving infrastructure and logistics to specialists. Logistics provid- ers can support SMEs with enhanced customer experi- ences and optimise costs, in addition to managing the challenges of cross-border trad- ing and delivering products on time. Going one step further, logistics providers can provide value-added suggestions and identify gaps where businesses don’t necessarily have visibility. Business owners can collabo- rate with logistics providers to build a solid integrated supply chain, opening access to new markets, and boosting revenue streams.” For a very long time, FedEx has supported the commu- nity of SMEs businesses. “We have created programmes that provide small company owners with the advice and tools they need to expand their opera- tions. We provide automated shipping solutions like FedEx Ship Manager and Electronic Trade Documents to SMEs to help them better navigate the worldwide market,” comments Taarek. By utilising the many capabilities included in these >>>
28 | LOGISTICS NEWS ME | FEBRUARY 2023 WWW.CBNME.COM products, the customers may construct their shipments online and expedite their shipping process. CHALLENGES IN 2022 In the last year, when the COVID -19 pandemic’s harshest impacts began to fade, it became evident that economies worldwide continued to experience difficulties. Supply networks were still under pressure despite the explosive expansion of e-commerce, and regional economies were affected by conflicts like the Ukraine crisis and excessive inflation. FedEx was crucial in assisting businesses in their recovery from the pandemic while navigating pressured supply chains and challenging economic conditions. In FY 2022, FedEx, which has around 550,000 people globally, processed an average of 14.5 million packages daily across its 5,000 sites. The company’s network optimisation and investments increased capacity and ef- ficiency for FedEx customers. With experi- ence in logistics and transportation spanning almost 50 years and a dedication to ongoing network expansion, FedEx is well-positioned to help companies adapt and thrive in a changing world. At the same time, many trade operations, particularly those of SMEs, still occur within the domestic market because of the time- consuming and expensive nature of border- COVER STORY LNME “FEDEX HAS ALSO INCREASED ITS REGIONAL NETWORK BY GIVING DIRECT ACCESS TO ITS SERVICES IN COUNTRIES LIKE OMAN, KENYA, SAUDI ARABIA, EGYPT, JORDAN, AND NIGERIA, WHERE SMES ARE THE LIFEBLOOD OF THE LOCAL ECONOMIES.”
LOGISTICS NEWS ME | FEBRUARY 2023 | 29 crossing processes. SMEs must adjust to the needs of interna- tional shipping legislation and standards as they expand their enterprises abroad. Existing hurdles to scale persist and are sometimes more challenging to overcome when navigating sup- ply chains, cross-border trade, and governmental restrictions. “SMEs must navigate the dynamic local, regional, and global marketplace to stay ahead of the competition and take advantage of new growth opportunities. In the e-com- merce environment, they also need to provide cost-effective services that combine conveni- ence and speed.” ACHIEVEMENTS FOR 2022 FedEx invested $6.8 billion in FY 2022, a 15% increase over FY 2021, on infrastructure, network, and facility upgrades that increased customer productivity and capacity. Eighty-eight per cent of the FedEx supply chain was made up of small companies, and more than half of the money spent on them in each region supported almost 810,000 small-business employment globally. FedEx invested $32 million in UAE-based companies that are a part of its supply chain. Be- tween FY 2021 and FY 2022, the company’s shipping volume increased significantly, with exports to the United States increasing by 59% and exports to Asia Pacific rising by more than 25%. Additionally, FedEx contin- ued to promote the expansion of e-commerce throughout Asia-Pacific, the Middle East, and Africa with a focus on both e-tailers’ and their end-us- ers demands. “FedEx offers e- tailers straightforward, efficient options that simplify order fulfilment. For instance, FedEx is integrating its services with online stores so that retailers don’t have to hop between sep- arate platforms to create FedEx shipping labels and use extra features like Express Shipping Services and International Ship- ping Documentation Service,” states Taarek. “FedEx has also increased its regional network by giving direct access to its services in countries like Oman, Kenya, Saudi Arabia, Egypt, Jordan, and Nigeria, where SMEs are the lifeblood of the local economies.” This action aligns with the FedEx mission to link businesses with broader markets and new consumers so they may take advantage of more cross-border trade pos- sibilities. Additionally, the new FedEx regional hub would also allow the company to expand its flight schedule in the future. This makes it possible for FedEx to increase its commer- cial reach in the future and give companies speedier access to more nations worldwide. FedEx links SMEs to end- less opportunities through its extensive worldwide network, specialised solutions, and value-added services. “We understand their needs for convenience, flexibility, and customs support. To address this requirement, we provide logistics services to manage the shipping process from start to finish, so that small business owners can focus on navigating and seizing new opportuni- ties,” concludes Taarek. THE KING OF EXPRESS TRANSPORTATION
30 | LOGISTICS NEWS ME | FEBRUARY 2023 WWW.CBNME.COM START-UP LNME A new Emirati start-up, Mersal Air, aims to revolution- ise the e-commerce industry by streamlining middle- mile package transportation across the GCC. The business, which aims to go public in Q3 2023, would help e-commerce businesses transport goods in the area by offering them cutting-edge, cost-effective, and dependable logistics tech-enabled solutions. Ghassan Oueida, Chairman of Mersal Air, said, “We are launching Mersal Air to re-invent the delivery of packages for companies across the GCC. We plan on providing affordable, fast, reliable and efficient middle mile services to help e-commerce brands scale quickly.” Mersal Air, which is presently in the seed fundraising stage, seeks to accelerate the expansion of the e-commerce sector by enabling e-commerce businesses to carry out cross-border transactions considerably more effectively. The middle mile in the logistics process, which is the most difficult and expensive part, will be made simpler by the firm. Additionally, Mersal will provide quick and dependable delivery options throughout the GCC, enabling big e-commerce and SMEs in the area and beyond access to the regional market. With a number of top retailers and e-commerce businesses, Mersal Air is actively involved in early conversations. For these businesses, Mersal’s offer to deliver quick, effective, and affordable middle mile solutions to principal and secondary airports around the GCC has the potential to be game-changing. The Mersal Air team is an experienced group of professionals from across the globe with deep experience in the aviation and logistics industry. A LAUNCH OF A NEW EMIRATI E-COMMERCE AIRLINE START-UP IN 2023 MERSAL AIR SET TO REDEFINE E-COMMERCE TRANSPORTATION IN THE REGION
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32 | LOGISTICS NEWS ME | FEBRUARY 2023 WWW.CBNME.COM HOSPITALITY LNME D ukes The Palm, a Royal Hideaway Hotel operated by Barceló Hotel Group, is positioned on the Palm Jumeirah and is well-liked by both visitors and locals of the emirates. Popularity brings a colossal name to manage, which necessitates effective supply chain management. Here is everything you would like to know about managing this site… What are the primary considerations for logistical operations to ensure the hotel runs smoothly? Effective logistical operations play a pivotal role in the success of the modern-day hospitality industry in achieving operational efficiency. The vital function of logistical operations is to meet customers’ needs by optimising the movement of products and services. The primary considerations for effective logistic management are accurate planning, supplier selection criteria, frequency of deliveries, and the ability to carry out emergency deliveries. What operational difficulties are you presently encountering? We have a complex supply chain that requires regular procurement of a wide range of products and services daily, and the disruption in the supply chain may have a moderate or significant impact on our operations. Other key challenges are uncertainty and price volatility. In this part of the globe, we depend heavily on the rest of the world. At Dukes, The Palm, over 50 % of food and more than 85 % of non-food and beverage products are LOGISTICS IN HOSPITALITY Juan Carlos Reina, General Manager at Dukes The Palm, a Royal Hideaway Hotel, talks to us about the supply chain operations at the opulent property
LOGISTICS NEWS ME | FEBRUARY 2023 | 33 LOGISTICS IN HOSPITALITY | JUAN CARLOS REINA imported from outside UAE, especially Europe and Far East countries. With Brexit and Covid-19, many supply chains have been disrupted or shut down, which resulted in price fluctuation. How do you concentrate on the alignment of procurement as a business activity, given that multiple restaurants are on the property? Procurement is a strategic process to ethically purchase quality goods and services to meet the organisational objective of competitive pricing, reduced lead time, and significantly offer added value. It is imperative to align the procurement process with the business activity. If aligned, procurement may focus its efforts on the right areas. Given that there are multiple restaurants on the property, we always take the time to understand the needs and goals of the restaurant before making a procurement decision, especially when the season goes from high and low, and factoring in any further changes we must adapt to accordingly. What factors are considered to ensure a seamless supply chain across the many sectors the hotel works with? Dukes The Palm is an ISO- certified hotel, and we have stringent control procedures established, from vendor selection to the food served to our valuable guests. We consider the following factors to ensure a continuous supply chain: pre-qualified suppliers and a diversified database. We have over 300 active suppliers in our database who have passed through a customised pre-qualification process, which supports us in guaranteeing logistical success. Selecting suppliers who have been audited and certified leads to higher performance and increased confidence. At the same time, having multiple backup plans is crucial. We have several suppliers backed up in our database in the same category, ensuring we can overcome unexpected supply and service disruptions. At what point does a supplier become a partner? Specific attributes fortify genuine partnerships, including honest and transparent, regular and robust feedback, and extending relationships based on confidence and credibility. In short, a supplier becomes a partner only when both parties are in a mutually beneficial situation, and each interaction you have with your suppliers and vice versa is an opportunity to build trust. How do you schedule the inventory distributed across the several seasons? Due to the seasonal nature of the region, we experience peak and off-peak periods and manage our inventory by adjusting par levels. Short seasons are controlled by placing advance orders. We also collect seasonal requirements by forecasting demands based on historical data. How did the property handle operations during the FIFA World Cup held in Qatar last year? Procurement plays a vital role in the success of hotel operations. Especially when global events such as FIFA World Cup 2023 happened in our neighbourhood with high demands of products, a well-organised procurement management plan helped us to ensure that we addressed key points with suppliers and service providers to meet stakeholders’ expectations. “THE PRIMARY CONSIDERATIONS FOR EFFECTIVE LOGISTIC MANAGEMENT ARE ACCURATE PLANNING, SUPPLIER SELECTION CRITERIA, FREQUENCY OF DELIVERIES, AND THE ABILITY TO CARRY OUT EMERGENCY DELIVERIES.” Juan Carlos Reina, General Manager, Dukes The Palm, a Royal Hideaway Hotel
34 | LOGISTICS NEWS ME | FEBRUARY 2023 WWW.CBNME.COM C NNB Solutions is one of the experts in managing online retail, offering complete management services that cover website development, sales optimisation, and administration in addition to marketplaces and online shops. The team includes e-commerce professionals who would begin their connection with their clients by offering consultation and pursuing a coopera- tive approach. This is then connected to the necessary technology and put into practice with reliable outcomes for the brand’s online sales success. Ac- cording to Nicolas Bruylants, Chief Vi- sion Officer and Co-Founder of CNNB Solutions, “We are partnered with the industry leaders in payments, ware- housing, logistics, last-mile deliveries, and online marketplaces to maximise e-commerce sales for all the businesses we deal with.” Furthermore, it’s generally agreed upon that the e-commerce sector is a big ocean; consequently, the needs are shaped through specialised strategic planning and services. CNNB Solutions offers professional solutions to meet every need, from the fashion industry’s essentials to managing exchanges and beauty products that need to be kept at the proper temperature to furniture and hardware to be installed. On the other hand, the logistics should be in place with quick delivery between the warehouse and clients. “Though you need to know that what remains the same for all the e-commerce brands is the offering of the most seamless experience for customers – we just do it all,” adds Nicolas. With a solid strategic alliance with some of the most prominent beauty conglomerates in the world, CNNB Solutions is eager to add new custom- ers in the sectors they now service and those they are in discussions with, such as the major players in fashion and footwear. “We are expanding rapidly across the region and, after entering new territories in 2022, this year, we would like to double-down on those core markets to improve sales for the brands we work with.” They even have plans to introduce cutting-edge technology to help them decide how to adopt new developments and benefit from the most innovative and inventive technologies. “But you know, the one thing that helps us stand out from our competi- tors is the integration with the most strategic logistics partners in the region to offer in-time deliveries.” CNNB Solutions offers its partner brands’ clients the most effective and quick de- livery possible through these alliances. In accordance with this, the business E-COMMERCE LNME A-Z OF E-COMMERCE With Nicolas Bruylants, Chief Vision Officer and Co-Founder of CNNB Solutions, your one-stop shop for e-commerce solutions
LOGISTICS NEWS ME | FEBRUARY 2023 | 35 strongly focuses on keeping consumers informed about delivery times and meeting their expectations. “This comprehensive approach to logistics and customer service allows us to stand out from our competitors and drives positive relationships between partner brands and their customers.” They have the best delivery rates for e-commerce in the region, resulting in 96.4% delivered shipments on average across markets and categories. At the same time, in terms of opportuni- ties, Nicolas believes there are many more prospects for ‘dark stores’ in the MENA area. With an increasing trend of convert- ing new retail premises into multifunctional warehouses stocked with goods from vari- ous brands and users, it would be possible to provide clients of online retailers the op- tion of ‘click-and-collect’ services and faster delivery. “These dark stores can be located almost anywhere within urban areas, which means that adoption of dark stores will continue at a pace, increasing the reach of brands in certain areas and speed of delivery to customers. There are currently more than 6,000 worldwide, but we predict many more will come in the MENA region.” Customer happiness, which has significant- ly grown with rising brand awareness, is another crucial factor that brands, and busi- nesses must address. Companies meet cus- tomer expectations while keeping an open mind for a profitable venture. Likewise, for CNNB Solutions, Nicolas says, “we have an overwhelmingly positive, our clients are bullish about the evolution of online retail and how we can support them. The industry is expanding, and they will continue to invest in the future of omnichannel for busi- nesses and brands.” Finally, by offering the best possible qual- ity of experience and service, the developing D2C market for e-commerce aids firms in developing connections with their cus- tomers. In the end, companies have more influence over how customers perceive their brands and products, which will be crucial in an increasingly hectic and congested e- commerce world. “Over the coming years, there will be greater opportunities to implement bespoke brand technology, such as virtual and aug- mented reality or private shopper options, while also helping build stronger profiles of customers through first-party data,” con- cludes Nicolas. A-Z OF E-COMMERCE | NICOLAS BRUYLANTS Nicolas Bruylants, Chief Vision Officer and Co- Founder of CNNB Solutions
36 | LOGISTICS NEWS ME | FEBRUARY 2023 WWW.CBNME.COM ECO-WASTE LNME A round mid-January, Al Masaood Commercial Vehicles and Equipment (CV&E) participated in EcoWaste Exhibition and Forum 2023 to showcase their latest environmentally friendly trucks from global brands – UD Trucks and Renault Trucks that offer sustainable waste management solutions. The division, which is part of Al Masaood Group, is the sole distributor of UD Trucks and Renault Trucks in Abu Dhabi. Al Masaood (CV&E) participated in EcoWASTE, which was held during the World Future Energy Summit (WFES) between January 16 and 18, 2023, at Abu Dhabi National Exhibition Centre (ADNEC). The Exhibition is a the forefront of zero waste in the MENA region and is dedicated to advancing new business opportunities and practices for sustainable waste management. “As a key player in the waste management sector, our participation in the event demonstrates our dedication to providing sustainable and environmentally friendly options that fulfil the needs and requirements of our customers,” says Mohamed El Zeftawi, General Manager at Al Masaood (CV&E). “We have partnered with leading companies worldwide to bring global products and solutions to the country, ensuring that the waste management sector has access to the best and most recent technologies.” During their participation in the event, they showcased some of their innovative products, including environmentally friendly trucks from global brands UD Trucks and Renault Trucks that offer sustainable waste management solutions. Al Masaood CV&E, following their vision, has collaborated with world-class brands to deliver products and solutions to the UAE, guaranteeing that the waste management industry has access to the best and most innovative technology. “The AT WORLD FUTURE ENERGY SUMMIT 2023 AL MASAOOD COMMERCIAL VEHICLES AND EQUIPMENT Vibha Mehta, Editor of Logistics News ME, speaks to Mohamed El Zeftawi, General Manager of Al Masaood Commercial Vehicles and Equipment (CV&E), on their participation in EcoWaste Exhibition and Forum 2023
LOGISTICS NEWS ME | FEBRUARY 2023 | 37 participation of UD Trucks and Renault Trucks in the event is in line with our commitment to minimising the pressure on the environment by providing such solutions,” adds Mohamed. Moreover, according to Mohamed, The UAE’s market is ever evolving with more demand for greener solutions. Thus, such extensive events form a perfect platform for exploring how waste management can be made more sustainable by embracing circular principles, exploring zero landfill options, and forging alliances for a smooth transition towards a green economy. And as part of our commitment to providing sustainable and environmentally friendly options to the UAE waste management market, Al Masaood CV&E forged two partnerships during the event. “We signed two major Memorandums of Understanding (MoUs) with TADWEER - Abu Dhabi Municipality’s Waste Management Centre, and Lavajet, the provider of environmental waste management services,” says Mohamed. Seeking these partnerships to go a long way in fostering the waste management sector in Abu Dhabi. At the same time, Al Masaood CV&E is committed to promoting sustainability as a core pillar and incorporating it in all its value offerings and services by offering sustainable solutions and products in the waste management sector. “We have always aligned our objectives and strategies with the vision of the nation’s wise leadership to build a diverse and sustainable economy powered by knowledge and innovation. For instance, Al Masaood Commercial Vehicles and Equipment (CV&E) will provide environmental-friendly alternatives to TADWEER, the Abu Dhabi Waste Management Centre.” Additionally, Renault Trucks K480, which is EURO 5 Enhanced Environmentally friendly Vehicle (EEV), will soon operate in the national capital. “We are also expanding our offerings by introducing electric trucks to help reduce carbon emissions and fast-track the UAE Net Zero 2050 strategic initiative’s goals, “Mohamed. AL MASAOOD COMMERCIAL VEHICLES AND EQUIPMENT AT WORLD FUTURE ENERGY SUMMIT 2023 >>> Mohamed El Zeftawi, General Manager of Al Masaood Commercial Vehicles and Equipment (CV&E) “WE HAVE ALWAYS ALIGNED OUR OBJECTIVES AND STRATEGIES WITH THE VISION OF THE NATION’S WISE LEADERSHIP TO BUILD A DIVERSE AND SUSTAINABLE ECONOMY POWERED BY KNOWLEDGE AND INNOVATION.”
38 | LOGISTICS NEWS ME | FEBRUARY 2023 WWW.CBNME.COM However, with sustainability making its way in almost all industries with significant players altering their offerings, Al Masaood (CV&E) has cemented its position in the capital – as they are the sole distributors in Abu Dhabi and Al Ain for global brands like UD Trucks and Renault Trucks that offer sustainable waste management solutions. Likewise, the division provides environmentally friendly vehicles to cater to the waste management industry’s needs and flexible financial and after- sales solutions, ensuring the optimal running of the vehicles with minimum downtime. Keeping in view the significance of providing the latest technologies and innovations to the rapidly expanding sector of the UAE. “And as I already highlighted, we are further expanding our offerings by introducing electric trucks that will go a long way in reducing carbon emissions. The division has expanded with opening its second flagship multi-brand facility in Abu Dhabi - M40 facility, which will help the business grow its capacity in both sales and aftersales.” In addition, they also offer excellent after-sales services on a larger scale. The new workshop also has a sizable parts warehouse, significantly reducing turnaround time and elevating the overall customer experience. While UD Trucks is emerging as one of the top service providers in the UAE’s waste management industry, it has also made its fair share of efforts to further sustainability goals by ensuring responsible procurement of raw materials, components, and equipment. The manufacturer has established a supplier code of conduct that helps them track and minimise environmental risks. Meanwhile, Renault Trucks has been investing significantly in R&D to develop more sustainable solutions for the waste management sector – along with them working to lower greenhouse gas emissions by creating carbon-neutral transportation solutions and minimising the environmental impact of its activities. With COP28 making its way along the country later this year, their division has taken sustainability as a core component of its business agenda to support the UAE Net Zero 2050 strategic initiative and UAE Sustainability Targets. “For this, we have collaborated with world-class businesses to bring innovative products and solutions to the UAE to help reduce carbon emissions. This is in line with His Highness Sheikh Mohamed bin Zayed Al Nahyan, the President of the UAE, declaring 2023 as the ‘Year of Sustainability’ in the runup to United Nations Climate Change Conference (COP 28), which will be hosted in UAE later this year,” concludes Mohamed. ECO-WASTE LNME
NEW IVECO S-WAY: HIGH TECHNOLOGY AND EFFICIENCY FOR ON-ROAD MISSIONS The new IVECO S-WAY, with a completely redesigned and reinforced cab, offers a wide choice of Euro III/V diesel engines, a delivering class-leading power from 360 HP to 560 HP Euro III / 570 HP Euro V and superior fuel-saving devices, such as anti-idling feature, Ecoswitch, Ecoroll and Smart Alternator. 12-speed HI-TRONIX automated transmission with the most advanced technology in its category, electronic clutch and best-in-class torque-to-weight ratio. NEW IVECO T-WAY: HIGH PRODUCTIVITY AND SAFETY ON OFF-ROAD TERRAINS With a complete line-up of AWD and PWD versions and the the 16-speed HI-TRONIX automated gearbox, the IVECO T-WAY features a host of functionalities such as Rocking Mode, Off-road Mode, Creeping Mode and 4 reverse gears to tackle with ease the toughest off-road conditions. The new architecture of the EBS system, combined with disc brakes on all wheels, greatly improves the vehicle’s performance and the driver’s safety in the most demanding applications. DRIVE THE NEW WAY
40 | LOGISTICS NEWS ME | FEBRUARY 2023 WWW.CBNME.COM E arly in January 2023, the all-new GAC EMPOW was launched at an invite- only event at the Yas Marina Circuit, where visitors could get up close and personal with the new model. Gargash Group is one of the significant premium distributors of performance- oriented automobiles in the UAE. Shehab Gargash, Managing Director and Group CEO of Gargash Group, stated, “Our strategic partnership with GAC Motor is an important milestone for us and is very much in line with our growth strategy. Since our inception, our core goal has been to create outstanding experiences for customers, and by joining forces with a brand like GAC Motor that has inspired monumental change in the market over the years, we have been able to move forward at a rapid pace. We stand by GAC’s decision to host the Middle East debut of the EMPOW in the UAE and believe it’s the ideal market to introduce this new sporty sedan, which will surely create waves and take the nation by storm.” The all-new EMPOW is designed to give an exhilarating drive filled with cutting- edge smart technologies, breathtaking racing design, and superior handling, carrying on GAC Motor’s history. The new model adopts the ground- breaking technology of GAC Motor and sports a chic and contemporary design and a dynamic appearance. It ushers in a new chapter of the modern and sporty sedan with an iconic broader and lower posture along with its racecar-style exhaust sound. Due to the UAE’s strategic significance within the area, GAC Motor decided to make it the first Middle Eastern market to introduce EMPOW. With a 1.5TGDI engine, a central console screen, wireless phone charging, and the L2 ADAS function, EMPOW is far more advanced in technology, innovation, and smart driving experience than its competitors in the sector. It also gives consumers a more robust sporty, young atmosphere. With 177 maximum horsepower & 270 Nm torque, EMPOW provides the presence GAC Motor desires in this sporty sedan market while also providing excellent handling. Zeng Hebin, General Manager of GAC Motor International, added, “We are very pleased to collaborate with our long-standing partner Gargash Group, an industry expert, to offer UAE residents the dynamic EMPOW. Customers will find it a delight to own one, as it is a comfortable yet stylish car that will meet most transport needs. Over the past few years, we’ve been working on making a mark in this product segment, and with the opportunities that the UAE market holds, we’re confident that we’ll be able to meet our targets by exceeding customer expectations.” The EMPOW, which debuted at the Gumball 3000, one of the most lavish rallies in the world, surprised visitors at the event with a drive around the Yas Marina Circuit. Notably, GAC Motor was the first Chinese company to participate in the Gumball 3000, demonstrating GAC Motor’s global popularity. The EMPOW is now offered in five recognisable hues: Classy Black, Moon Grey, Ivory White, Glossy Fighter Green, and Matte Fighter Green. Beginning in early 2023, test drives and reservations will be accepted at Gargash Motors’ GAC Motor dealerships in Dubai and Abu Dhabi. EXPANDS ITS PORTFOLIO IN THE MIDDLE EAST AUTOMOBILE LNME EMPOW, the Sporty Sedan by GAC Motor, marks its debut in the UAE and the regional market GARGASH GROUP
LOGISTICS NEWS ME | FEBRUARY 2023 | 41 BANKING T he UAQ Chamber of Commerce and Industry and the National Bank of Umm Al Quwain (NBQ) have signed a Memorandum of Understanding (MOU) to strengthen their mutual collaboration in local entrepreneurship for the growth of the Umm Al Quwain Emirate’s economy. Adnan Al Awadhi, Chief Executive Officer of NBQ, and His Excellency Ammar Rashid Al Aleeli, Director- General of UAQ Chamber of Commerce and Industry, signed the MoU at the Chamber’s offices in Umm Al Quwain. According to the MOU, NBQ will offer specific financial services to all Chamber clients, such as opening business accounts, project financing, and other banking facilities. The Chamber will connect with all its new and old customers and encourage them to use NBQ’s services to improve their businesses and advance. According to the MoU, bank staff can create business accounts for Chamber clients while adhering to NBQ’s internal policies and the scheduled fees listed on the NBQ website. The Bank’s fulfilment team will be referred for any other financial products. The partnership between NBQ and the UAQ Chamber of Commerce and Industry, which reflects the future vision of the Emirate of Umm Al Quwain in offering a stimulating work environment and appropriate solutions for business growth and development, was highlighted during the signing ceremony by Adnan Al Awadhi. Emphasizing NBQ’s continuous keenness to provide the best leading banking products and services for companies and individuals, Adnan Al-Awadhi, said, “The agreement provides a distinguished package of services for corporate and individual banking for the Chamber’s clients, whether for opening commercial accounts or financing SME projects. UAE nationals can avail of working capital, invoice discounting and clean facilities/ financing, among other benefits that are specially designed for Chamber clients, following the MOU.” The partnership with NBQ, according to Amar Rashid Al Aleeli, Director-General of UAQ Chamber of Commerce and Industry, is a constructive move toward assisting the business community and offering numerous financial alternatives for its expansion and development. “The MoU reflects the forward-looking vision and approach of the UAQ Chamber of Commerce and Industry, which focuses on attracting and developing business, providing pioneering services, applying international best practices in customer service, and facilitating banking transactions. This agreement plays an important role in promoting and facilitating business for SMEs and meeting the banking needs of individuals,” said HE. Amar Rashid Al Aleeli. The MoU also has other elements that help SMEs, such as a competitive interest rate with a flexible payback time, the best-fixed deposit rates, the elimination of minimum balance maintenance costs, and free online banking cash transfers. The agreement also offers customers several additional benefits, such as a business account with no minimum balance requirement, free online banking, a complimentary Visa Gold credit card, competitively priced Wage Protection System (WPS) payroll cards for employees, a simple payment plan for credit card purchases, and more. NATIONAL BANK OF UMM AL QUWAIN HAS PARTNERED WITH UAQ CHAMBER OF COMMERCE AND INDUSTRY This collaboration will assist clients in opening business accounts and provide other exclusive banking products
42 | LOGISTICS NEWS ME | FEBRUARY 2023 WWW.CBNME.COM T he BEEAH Group was ini- tially established in 2007 as a private-public collaboration with the mission of empower- ing digitisation for a higher standard of living throughout the MENA region. From January 16–18, 2023, at ADNEC, the World Future Energy Summit 2023 took place – where BEEAH attended as a part of Abu Dhabi’s Sustainability Week. Here is everything you need to know about their participation… How was it to participate at the 2023 World Future Energy Summit as part of Abu Dhabi’s Sustainability Week? Participating in the 2023 World Future Energy Summit was a significant mo- ment for us because it allowed us to highlight several of our latest projects and our efforts to create sustainable fu- ture strategies. Our participation at this year’s WFES also comes at a very time- ly moment, with the UAE gearing up to host the 28th Session of the Conference of the Parties (COP28) later this year. The UAE and various other nations worldwide have taken a solid stance to tackle the challenges of climate change today. There is no better platform for the world to come together and engage on this matter than at COP28 in the UAE. Our participation at WFES 2023 has set the foundation for our involve- ment at COP28 – we look forward to working with our partners to support the UAE’s climate goals and vision for a more sustainable future. What opportunities have you identified for the MENA region after participation in the World Future Energy Summit 2023? There are several opportunities for sustainable development that we have identified across the MENA region, particularly in the fields of waste man- agement and low-carbon energy. For example, BEEAH Recycling, the waste processing and material recovery busi- ness of BEEAH Group, recently signed an agreement with the UAE Ministry of Energy and Infrastructure (MOEI) and the American University of Sharjah (AUS) to collaborate on establish- ing the nation’s first recycling plant for end-of-life batteries from electric vehicles. This facility will be added to BEEAH Recycling’s integrated waste management complex, which currently has ten specialised waste processing and material recovery facilities contrib- uting to a 76% waste diversion rate in Sharjah, the highest in the Middle East. Launching this new plant is also a part of our mission to formulate future- ready strategies. Eventually, our efforts will realise the sustainable, zero-waste and net-zero growth of the EV market across the emirates, which aligns with the national, regional and global sus- tainability agenda. We are also exploring clean energy’s critical role in global carbon reduc- tion efforts. Towards this end, we inaugurated the region’s first waste- to-energy plant, which will play a key role in achieving the ambitious goals of the UAE’s Net Zero by 2050 initia- tive. The facility can process 300,000 tonnes of municipal waste annually while producing 30 megawatts (MW) of low-carbon energy to power up to 28,000 homes and offset up to 450,000 tonnes of CO2 emissions annually. We have partnered with Chinook Sciences to develop the region’s first waste-to- hydrogen project. Where do you see the concept of sustainability being adapted in businesses in the region? The concept of sustainability has evolved beyond being just a concept. Today, sustainability impacts every in- dustry and every sector, and businesses across the region have taken note of this change. In line with the global call for immediate action towards climate change, organisations have started studying the impact of their opera- tions on the natural environment and have begun implementing strategies that curb their emissions. We have also seen organisations take several steps to become more efficient and effective in their operations to reduce their carbon SUSTAINABLITY LNME BEEAH AT WORLD FUTURE ENERGY SUMMIT 2023 VIBHA MEHTA, EDITOR OF LOGISTICS NEWS ME, IN CONVERSATION WITH FAHAD ALI SHEHAIL, GROUP CHIEF OPERATING OFFICER OF BEEAH AT WFES 2023
LOGISTICS NEWS ME | FEBRUARY 2023 | 43 footprint. Many have turned to technology as an enabler in this transformation, and this will continue to be the case for businesses across the region in the years to come. Can you walk us through BEEAH Group’s sustainable solutions? At BEEAH Group, our vision is to pioneer a sustainable quality of life for all, and our projects and solutions are aligned with this vision. From waste management to recycling, energy, technology, environmental consulting, education, and green mobil- ity, our range of businesses covers the entire spectrum of sustainability. Our waste collection and city cleaning business, BEEAH Tandeef, serves cities across the UAE, Saudi Arabia and Egypt, helping them meet their sustainability goals through integrated waste management. BEEAH Recy- cling, our waste processing and material recovery busi- ness, has over ten recycling facilities dedicated to differ- ent types of waste. Through their combined efforts, these facilities have helped us to achieve a waste diversion rate of 76%, the highest in the Middle East. Moreover, BEEAH Energy, our renewable energy busi- ness, has established the UAE’s first waste-to-energy facility and is currently developing the region’s first waste-to-hydrogen project. Through research and in- novation, BEEAH Environ- ment Services offers consult- ing services to public and private sector clients. BEEAH Transport, our green mobility business, has launched ION, the UAE’s first dedicated sus- tainable transport company. With digital ventures like Evoteq and re.life, BEEAH Digital, our technology busi- ness, enables digital trans- formation across the region. BEEAH Digital recently partnered with Khazna Data Centers to build Sharjah’s first Tier 3 data centre. BEEAH Education, our new vertical launched at WFES, is creating a better future through education, aware- ness, and training pro- grammes. Tell us more about BEEAH Group’s waste-to-energy program. The Sharjah Waste to Energy plant is the first commercial- scale plant of its kind in the Middle East and is a landmark achievement, not just for BEEAH Group but also for the UAE’s sustain- able economic growth trajectory as it is aligned with the UAE’s Net Zero by 2050 Strategic Initiative. Emirates Waste launched the project to Energy company, a joint ven- ture between BEEAH Group and Masdar. Veolia Near & Middle East recently joined the venture to help operate and maintain the plant. Sharjah currently has a 76% landfill waste diversion rate. With the plant now operational, it will enable 100% landfill waste diver- sion, making Sharjah the first zero-waste-to-landfill city in the Middle East. Over the next 25 years, BEEAH Group will continue to build on our integrated waste management and zero waste-to-landfill ecosystems through this facil- ity. We aim to continue dem- onstrating how this facility can be replicated across the UAE, the region, and beyond as we accelerate towards the global sustainability agenda. can you talk about the expansion plans for the region planned? We see many opportunities to expand the scope of our operations in both Egypt and KSA. There is a growing interest in projects such as sustainable waste manage- ment, waste to energy, and recycling, so we are working closely with our partners to understand how best to introduce these concepts in a meaningful and impactful way. Currently, our opera- tions in both countries are aligned with their national sustainability agendas, and we will continue to work to support them in achieving their targets. How will BEEAH Group contribute to the conversation for COP28? COP27, which was held last year in Sharm El-Sheikh in Egypt, was an invaluable opportunity; not just for the UAE to solidify its position on the global sustainability stage, but for us, as BEEAH Group, to showcase our mile- stone projects that have con- tributed to a future of net- zero emissions, zero-waste to landfill and infrastructure for sustainable, smart cities. During the event, BEEAH Group became the first organisation in the UAE to sign the ZEV Declaration, strengthening our commit- ment to green mobility. In doing so, we have become one of 180 other signato- ries pledged to transition to zero-emission vehicles (ZEV) and contribute to net-zero emissions targets nationally and globally. In preparation for COP28 this year, the insights we have gained as a Group participat- ing at COP27 will inform fu- ture projects and innovations while driving us to continue working towards sustainabil- ity targets. We believe there is no better platform for the world to come together to drive inclusive and transfor- mational sustainable develop- ment than at COP28 in the UAE, and the announcement of this year being declared as the “Year of Sustainability” solidifies our resolve in this mission. We are ready to sup- port the UAE’s climate com- mitments and the country’s ongoing sustainable projects, accelerating the transition towards a circular economy and preparing for a net zero future. We also expect to engage with more partners, forge strong partnerships, and support various climate action initiatives beyond COP28 aligned with the UAE’s sustainability goals. BEEAH AT WORLD FUTURE ENERGY SUMMIT 2023 “PARTICIPATING IN THE 2023 WORLD FUTURE ENERGY SUMMIT WAS A SIGNIFICANT MOMENT FOR US BECAUSE IT ALLOWED US TO HIGHLIGHT SEVERAL OF OUR LATEST PROJECTS AND OUR EFFORTS TO CREATE SUSTAINABLE FUTURE STRATEGIES.”
44 | LOGISTICS NEWS ME | FEBRUARY 2023 WWW.CBNME.COM CYBERSECURITY LNME B usinesses may identify vulnerabilities to their security infrastructure, reduce incident impact, and stop future attacks by making use of Help AG’s 360-degree portfolio, which they provide. The portfolio includes a Managed Cyber Defense offering that combines security event management, infrastructure monitoring, and incident response; End-to-End Zero Trust Solutions that include (but are not limited to) protecting identity, cloud, IT, and OT security to ensure that the organisation’s most critical assets are protected without affecting accessibility, user experience, and business operations; and locally hosted Next-Generation Platforms that enable quick deployment of new technology. “We work with governments and enterprise businesses across all verticals in the Middle East to build cyber resilience from day zero and beyond by constantly monitoring, detecting and responding to threats as they happen,” says Nicolai Solling, Chief Technology Officer at Help AG. This focus on cyber resilience is essential since, according to data from the World Economic Forum, the cost of cybercrime worldwide is predicted to exceed USD 10.5 trillion by 2025. At Help AG, their guiding value of ‘Innovate. Automate. Elevate’ serve as the foundation for all their activities, from ‘innovating’ to attract the finest people, processes, and technologies, to increase agility and time to value, and eventually ‘elevating’ the resilience of business and government organisations. Correspondingly, Help AG is one of the leaders in the Middle East’s cybersecurity sector, having worked with some of the region’s most prominent and leading organisations. “We also play the role of an industry pioneer by spearheading the adoption of new, innovative technologies, be it secure cloud enablement, operational technology (OT) security, or the utilisation of machine learning for enhanced agility and efficiency in dealing with cyber threats,” adds Nicolai. Help AG’s services are provided by cutting-edge, round-the-clock in-country CSOCs (Cybersecurity Operations Centres) in KSA and UAE, home to CAN LOGISTICS COMPANIES USE CYBERSECURITY SERVICES? NICOLAI SOLLING, CHIEF TECHNOLOGY OFFICER AT HELP AG, SPEAKS TO LOGISTICS NEWS ME ABOUT HELP AG AND ITS BENEFITS EMERGING IN THE LOGISTICS INDUSTRY
LOGISTICS NEWS ME | FEBRUARY 2023 | 45 CAN LOGISTICS COMPANIES USE CYBERSECURITY SERVICES? the region’s most significant Managed Security Services (MSS) team. Making their solutions even more partner-powered which has given them an unparalleled advantage over other service providers in the area. Making them an enviably positioned as a digital transformation powerhouse, offering secure connectivity, robust cyber resilience, and unmatched availability and reliability through state- of-the-art, in-country infrastructure. Help AG is the cybersecurity division of e& enterprise, powered by the global technology and investment group e& (formerly Etisalat Group). Additionally, data shows that in the third quarter of 2022, cyberattacks grew by 151% year over year in the UAE compared to a 28% increase internationally. Cyberattacks are becoming more widespread and more sophisticated as attackers use cutting- edge technology like artificial intelligence in their operations, and cybercrime more closely resembles a well-organised industry. This emphasises the significance of developing strong cybersecurity policies to safeguard crucial data and assets and avoid business interruptions, privacy breaches, financial damages, and reputational injury as much as possible. The logistics sector in particular, is essential to the efficient operation of the global economy, making it a prominent target for criminals. Logistics firms hold crucial information on imports and exports, making them a tempting target for hackers looking to steal personal information. Furthermore, logistics activities are by their very nature, disseminated around the globe, or in other words. They are dispersed among many endpoints, which increases their susceptibility to attack – making it worse by the fact that the sector is very dynamic and is expected to benefit significantly from automation and the adoption of the Internet of Things (IoT), both of which will expand the attack surface. “Therefore, logistics companies need to build cyber resilience into their systems as the industry becomes increasingly digitised, to avoid attacks that could potentially have far-reaching consequences,” states Nicolai. Last year, Expeditors, the global logistics giant, announced that they were the subject of a targeted cyberattack. Upon discovering the incident, the company shut down most of their operating systems globally. “These examples highlight the potential for cyberattacks in the logistics industry to disrupt or even halt critical operations – underscoring the importance of safeguarding businesses in this sector,” comments Nicolai. Due to the vital position of the Arabian Peninsula, which has several sizable ports involved in regional and global commerce, particularly in oil and gas products, logistics services in the region have been and will continue to be essential. Because of this, logistics service providers in the area need to develop cyber resilience. They can choose to work with a managed security services provider (MSSP) instead of taking on this responsibility themselves, who can take care of every element of their cybersecurity posture while the company focuses on its primary business. “Help AG’s 360-degree portfolio includes a range of services that address the security requirements of today’s logistics companies, including secure cloud enablement, which is becoming increasingly important as supply chain management moves to the cloud; securing Software-Defined Wide Area Network (SD-WAN) deployment to connect enterprise networks across geographical locations; and assessing the residual risks that remain once security systems and controls have been implemented.” Additionally, they have a special focus on delivering world-class solutions for the operational technology (OT) space, which is vital for the logistics sector. “We have partnered with leading OT cybersecurity vendors to offer high- assurance network protection and secure data transfers to critical infrastructure and OT environments while securing their IT and OT networks for safe and optimal performance.” Recognising the vital importance of industrial cybersecurity, Help AG will continue working with companies in the regional logistics and supply chain sectors to fortify their defences and help them safely integrate IT and OT environments. “We offer our clients comprehensive cybersecurity services covering the entire lifecycle, from ‘Assess’ to ‘Defend’ to ‘Respond,’ to prevent as many attacks as possible, and up the cyber resiliency of organisations to minimise damage in case of an inevitable attack,” says Nicolai. Lastly, where others see challenges, Help AG sees opportunities. Globally, the cybersecurity industry is facing a gap of over 2.5 million unfilled jobs, according to Microsoft. “We are doing our part to help bridge this regional gap through human capital enablement and investment, providing our team members with consistent access to professional development opportunities, be it in technology upskilling or leadership training.” Additionally, through constantly engaging with employees and providing opportunities for horizontal and vertical movement, they have become the largest team of cybersecurity practitioners in the region and have achieved one of the lowest employee turnover rates in the industry. “Moreover, our service-centric approach to cybersecurity helps organisations cope with the skill shortage in the industry. By partnering with us, organisations can access the region’s largest Managed Security Services team, which will handle every aspect of their cybersecurity posture, enabling them to focus on their core business,” concludes Nicolai.
46 | LOGISTICS NEWS ME | FEBRUARY 2023 WWW.CBNME.COM LIFESTYLE LNME THE OFFSHORE PHENOMENA Here is everything you want to know about Dubai Offshore Sailing Club and their upcoming Aramex Dubai to Muscat Sailing Race T he Dubai Offshore Sailing Club, tucked away on the edge of Jumeirah Beach Road in Dubai, is a famous gathering place for those who enjoy cruises. The RYA sailing centre at DOSC is one of the club’s most popular events (Dubai Offshore Sailing Club). The sailing club was established in 1998 and offered instruction in dinghy and cruiser sailing on land and at sea. With a staff of trained instructors teaching adults and kids with a wide variety of expertise and skills, they have more than 80 boats accessible for instruction – the ‘Learn to Sail’ programme offered by DOSC runs from September to June. The services are also accessible to anyone. The members can join the flotillas of the DOSC sailing community as they set sail, explore, and anchor across the UAE’s seas if they wish to get away from the city and unwind. Alternatively, DOSC provides a wide range of racing events where fleets of dinghies and keelboats compete in the most significant racing tournaments across the Gulf for people who like an adrenaline rush. The sailing school is run by DOSC every day regularly. They provide weekly racing events, which demand the most significant planning during the busy season. Combining “on the water” and “off the water” activities require enough resources where and when. Therefore, logistics are vital.
THE OFFSHORE PHENOMENA To monitor the sail traffic and the significant steps which are taken into consideration are the RFID and manual systems. Using these systems helps DOSC to monitor traffic for members to complete their required nine sails per year, in addition to coast guard sailing permits which are provided for all the sailors and members. The annual Dubai to Muscat Offshore Sailing Race, which was first held in 1992, is another highlight of DOSC. And even after 30 years, with constant dedication, day, and night for up to five days, it is still the longest and hardest sailing event in the region. The competition draws the top local sailors and competitors from across the globe. Onboard a variety of multihulls and keelboats ranging in length from 27 to 100 feet, more than 25 teams will compete. Starting from Jumeirah Beach in Dubai, the teams will travel through the renowned Straits of Hormuz and follow the coast of the Musandam peninsula before sailing across the Arabian Gulf to the profound waters of the Indian Ocean and completing at Marina Bandar Al Rowdha. The final leg will take a south- eastern route leading to Muscat, the capital city of the Sultanate of Oman. To clarify the logistical requirements for the D2M event, the sailors must plan. Everything from buying and installing safety equipment to implementing the most recent technology to increase the boat’s speed. Teams also require supplies and gear to maintain high energy levels for four or five days. Since a lot of this equipment is very specialised and not easily accessible in Dubai, it must be arranged in advance to guarantee that the pieces arrive in Dubai, are installed, and are ready for use before the race. The crew must maintain a steady supply of food, water, spare parts, and gasoline during the race. It is typical to hear tales of teams running out of stores, having them leak, or having them deteriorate and create problems for the rest of the race. The boats restock for the return trip when the race is over in Muscat. Just to give a bigger picture about how race has looked in the past, it never stops! Racing is 24/7 so it never stops. By the end of the first day, the race crews will be divided into two watches, each of which will sail the boat for three to four hours before switching over to spend three to four hours relaxing and sleeping while the other watch continues to flow. The first night is impossible to sleep at all, so by the second day and night. Everyone is exhausted and resisting the need to sleep becomes a daily struggle. While simultaneously avoiding the dangers posed by commercial ships, islands, and rocks and racing the boat as quickly as possible into Muscat. At 6 am, a crew could start their watch. The other crew will wake them up 15 minutes before beginning a kettle for hot beverages. The waking crew will get food and don the appropriate gear for the current conditions. A third crew member will be floating, performing various tasks, and keeping the other two crew members happy while one crew member is steering the boat on the wheel, another is controlling the sails on deck, and so on. When out of the wind and weather, the off-watch crew will settle in, remove some clothing because it is warming below, and make themselves comfortable for a nap. Sleeping can be challenging at times because of the noise, but any rest is helpful because another watch on deck is only a few hours away. The Dubai to Muscat Offshore Race’s 30th edition is set to get underway on February 4th, 2023.
48 | LOGISTICS NEWS ME | FEBRUARY 2023 WWW.CBNME.COM Tell us about your role with Al Masaood Rentals? I am currently serving as the divisional manager of Al Masaood Rentals. My expertise mostly lies in sales, business development, procurement, project coordination, and management. As the divisional manager, I oversee day-to- day operations, manage the P&L, lead the team, and work across all the functions for Strategies and Budgets. How long has Al Masaood Rentals been around for? We have offered this facility for nearly a decade, under different configurations. Now, this Division combines a number of lines of product to better serve our Clients. We provide a wide range of products that caters to Events, such as Sports Days, Fairs and Exhibitions, Product Launches etc. Another channel for us are construction site requirements - including site offices, temporary accommodations, generators with associated accessories, tower lights and fence. As a customer-centric entity, we ensure adoption of the latest technologies in our fleet to meet the needs and expectations of the market. What is your product range? Our rental fleet consists of temporary buildings, fencing and barriers, modified containers, catering facilities, ablution units, power generation, mobile lighting etc. All these products are quick solutions to cater to the needs and requirements of any event for any duration, from a day to several months. With the help of these products, the venue of any event, particularly held in an open area, can be built from scratch within no time. CUSTOMER-CENTRIC ENTITY Norma Shaheen, General Manager at Al Masaood Rentals, speaks to Logistics News Middle East on the rise of Al Masood Rentals and the impact it is making for their clients INTERVIEW LNME
LOGISTICS NEWS ME | FEBRUARY 2023 | 49 What is new in the product range? The world is evolving with emphasis being laid on sustainable products and solutions. Therefore, we are continually seeking sustainable and innovative solutions as well as strengthening our partnerships to provide advanced products from across the world to our customers. We believe it is important to update our product lineup to fulfill the constantly changing demands and requirements of our customers. How does your product range cater to different projects i.e Formula 1, the mother of the Nation, Tal Moreeb? Al Masaood Rentals provides quick solutions to organizers hosting premier events in line with our commitment to serve the requirements of Abu Dhabi and the UAE as a hub for international level tournaments and events. We provided over 150 cabins, toilets, facilities for People of Determination, ablution units, offices, kitchen units, reefers, storage, accreditation offices and tower lights to the Yas Marina Circuit during one of the most decorated events that the UAE has been hosting for the past years. Similarly, we also provided these solutions during the Liwa festival at Moreeb Dunes and the “Mother of the Nation” event. Tell us about your latest projects? We have been a part of many prestigious events in Yas Marina Circuit, Liwa festival, and Mother of the Nation. For 2023, we are already preparing for a number of events and are very excited about the future of the business. How was the year 2022 for Al Masaood Rentals? It was a significant year for Al Masaood Rentals as we set in place our new Strategy and collaborated with many organizations across the board and are pleased to see them coming back to us for new events and expanded lineups. How do you see Al Masaood Rentals growing and expanding in 2023? Al Masaood Rentals has supported several projects and events over the years and plans to further cement its position in the rental sector in the UAE and GCC making available a wider selection of products that can meet the needs of all industries. Norma Shaheen, General Manager, Al Masaood Rentals CUSTOMER-CENTRIC ENTITY | NORMA SHAHEEN
50 | LOGISTICS NEWS ME | FEBRUARY 2023 WWW.CBNME.COM S ateliot, the first satellite constella- tion to enable 5G standard connec- tion from space, and Sensefinity, a leading IoT provider for asset tracking and an end-to- end solution, have teamed together to create worldwide 5G-IoT satellite connectiv- ity. To enable the first data transfer technology from 1,000 smart containers, sav- ing medium shipping firms up to $1.4 million per year on container maintenance and repairs. Because geostationary satel- lites only cover fixed areas of the world, actual satellite coverage is not 100% global. Furthermore, their remote location renders them signifi- cantly less efficient than Low Earth Orbit satellites, which are used to address this issue. Without NB-IoT coverage at sea, trackers and sensors can only collect data and upload it after the vessels are close to shore, when it is too late to do something about damaged cargo. Furthermore, legacy satellite transmission charges for each container significant- ly increase a vessel’s already high bills, especially when tariffs and port and channel fees are considered. Sensefinity will be able to report location, temperature, humidity, vibration, and container breach in real-time thanks to Sateliot’s full 5G NB-IoT satellite constel- lation. This will open up several high-impact use cases, including notifications when a container falls into the ocean, alerts for fires inside containers, warnings for breaks in the cold chain for sensitive cargo like food and medicines, and report- ing impacts and damages in containers. Jaume Sanpera, CEO AT Sateliot, says, “Investing in smart containers and global continuous connectivity transmission through our network of 5G-NB IoT satel- lites will provide vessels and shipping companies better control of transported goods, avoiding damage claims and lawsuits costing companies billions of dollars per year.” The reduction of food waste and carbon emissions is another benefit of this col- laboration between Sensefin- ity IoT technology in smart containers and Sateliot’s worldwide satellite coverage. Businesses involved in mari- time transport will expand sustainably, enabling them to earn more money while protecting the environment. Orlando Remédios, CEO at Sensefinity, adds, “Our technology will help the in- ternational shipping industry to overcome cargo damage, which costs a yearly esti- mate of $6 billion, reducing complaints and lawsuits, and food waste and carbon emissions. Maritime shipping businesses will grow sustain- ably, allowing an increase in revenue while caring for the planet.” With forecasts that 25% of the fleet of boxes will be able to capture data from within them by 2025, shipping corporations are aggressively investing in smart containers to regulate cargo. However, data transmission from ex- posed areas in the middle of the ocean is still a problem. The monthly transmission expenses for Sateliot devices start at less than $1. Due to Sensefinity’s capacity to support its rapid expansion, shipping and vessel firms can now send data from smart containers in the middle of the ocean at a far lower cost. CARGO LNME VESSEL COMPANIES TO SAVE $1.4M BY FACILITATING DATA TRANSMISSION ON CARGO STATUS SATELIOT IN COLLABORATION WITH SENSEFINITY TO LAUNCH 5G IOT SATELLITE TECHNOLOGY IN 1,000 SMART CONTAINERS TO PREVENT CARGO DAMAGE
A MEMBERS OF EMIRATES TRANSPORT BUSINESS CENTERS: