< PreviousSUSTAINABLE SOLUTIONS 10 CONSTRUCTION WEEK AUGUST 2021WWW.CONSTRUCTIONWEEKONLINE.COM With 35 years of experience in Exterior Insulation Finishing Systems (EIFS), Terraco is ramping up its focus on green building initiatives which facilitate the meeting of emission targets and help curb greenhouse effects T ime — as we know it now — is categorised as ‘pre-pandemic’ and ‘post-pandemic’ with corporates and individuals the world over curating solutions for a ‘post-pandemic’ era. In addition to COVID-19, another C-word that concerns the world at present is climate change. Interestingly, we reaped environmental benefits during the peak of the pandemic. These included less vehicular pollution, less travel, low carbon emissions, etc. As per a report released by PwC, a company which specialises in audit and assurance, consulting and tax services, the EU has confirmed the COVID-19 crisis will not deter Europe from developing bolder 2030 climate targets. And Green finance will be a “key focus” in the post-pandemic recovery phase. Shifting our attention towards the region, owing to its wise and forward- looking leadership, the UAE is planning a socially and environmentally responsible ‘pandemic-proof’ future for itself. Terraco is a company that has over 35 years of experience in Exterior Insulation Finishing Systems (EIFS) and is adapting rapidly to this change. The concept of green buildings ranks high on the built environment’s obligations and responsibilities towards sustainability. Take the UAE for instance; it is striking the right balance and synergy between the smart city and sustainable economic model. Smart cities — apart from technology — shoulder a significant responsibility to achieving the smallest environmental footprint. With a continuous focus on environmental concerns, Terraco is ramping up its efforts to focus on green building initiatives – which facilitate the meeting of emission targets and ultimately help curb greenhouse effects. Targets are reached by investing in sustainable construction materials and by improving energy efficiency in buildings using systems such as Exterior Insulation Finishing Systems (EIFS) / Exterior Thermal Insulation Composite Systems (ETICS). On its part, Terraco has pledged POWERING SMART CITIES SUSTAINABLY WITH TERRACO EIFS Terraco has worked on Masdar City in Abu Dhabi, which comprises a mixed- use, sustainable community, including employment-generating land uses, residential areas, parks, plazas and neighbourhood amenities [Image: Supplied]SUSTAINABLE SOLUTIONS AUGUST 2021 CONSTRUCTION WEEK 11WWW.CONSTRUCTIONWEEKONLINE.COM to maintain its commitment to environmentally-friendly technologies across its entire product mix. Leveraging Terraco EIFS can give up to 50% energy savings in buildings that have been thermally protected. Terraco also recently joined the EAE (European Association for External Thermal Insulation Composite Systems). This cooperation will help the company interact with key industry stakeholders, influence policy, monitor market trends and developments and ensure that the company’s systems remain in the industry’s technical vanguard. Terraco was also a natural choice on the LEED-certified Masdar City Centre Mall project in Abu Dhabi. Here, Terraco supplied the EIFS Perma Systems with Terracoat Textured Coating (Terracoat Excel 1.5 mm), enabling the Masdar City Centre Mall team to achieve their goals of offering the highest quality of construction, staying focused on sustainability and the development’s environmental footprint while securing commercial viability. Terraco EIFS systems have been approved by Quality Control Abu Dhabi, Estidama, and Civil Defense. Terraco has also worked on the greater Masdar City in Abu Dhabi. The developement is home to a mixed-use, sustainable community, which includes employment-generating land uses, residential areas, parks, plazas, and neighbourhood amenities. Each building in Masdar City is constructed with low-carbon cement, utilises 90% recycled aluminium, and is designed to reduce energy and water consumption by at least 40%, corresponding to the American Society of Heating, Refrigerating and Air- Conditioning Engineers (ASHRAE) standards. These criteria are set in accordance with the Leadership in Energy and Environmental Design (LEED) certification and the UAE’s Estidama Pearl Rating System. In order to ensure sustainability and energy savings, insulating buildings is a critical requirement. Sub-standard thermal façade insulation is a major contributor to energy loss and this is where EIFS should be incorporated in projects to ensure an eco-friendly and sustainable solution. Reflections during the pandemic have allowed us an opportunity to understand that without combined global action we are still on a path leading to dangerous and potentially catastrophic climate change. It is important now to focus on green building initiatives and act responsibly. Terraco first launched its EIFS systems in Turkey and Korea in the 1980s, which was then expanded to Russia, China, and the Middle East during the 1990s. In the Middle East, the company offers three principal types of certified Terraco EIFS systems utilising different types of insulation media. On the LEED-certi ed Masdar City Centre project in Abu Dhabi, Terraco applied the EIFS Perma Systems with Terracoat Textured Coating [Image: Supplied] In order to ensure sustainability and energy savings, insulating buildings is a critical requirement [Image: CW archives]12 CONSTRUCTION WEEK AUGUST 2021WWW.CONSTRUCTIONWEEKONLINE.COM THE BIG PICTURE FOLLOW CONSTRUCTION WEEK @CWMIDDLEEASTDEEP DIVE DUBAI’S POOL HAS SECURED THE GUINNESS WORLD RECORDS™ AS THE WORLD’S DEEPEST SWIMMING POOL FOR DIVING AT AN INCREDIBLE DEPTH OF OVER 60 METRES 60-METRE AUGUST 2021 CONSTRUCTION WEEK 13 WWW.CONSTRUCTIONWEEKONLINE.COM THE BIG PICTURE The 1,500m2 Deep Dive Dubai holds 14 million litres of water, the equivalent of six Olympic-sized swimming pools. It features two underwater habitats with a dry chamber at six and 21 metres, 56 underwater cameras covering all angles of the pool, as well as advanced sound and mood lighting systems. Featuring the latest technology and unrivalled facilities, including what will be the region’s most advanced hyperbaric chamber, the pool also includes a sunken city, an abandoned streetscape, in addition to an apartment, garage, and arcade. [Image: Dubai Media Of ce]INNOVATION WWW.CONSTRUCTIONWEEKONLINE.COM14 CONSTRUCTION WEEK AUGUST 2021 ALEC on increasing the utilisation of Building Information Modelling (BIM) processes in addition to implementing digital solutions across its operations to promote collaboration within stakeholders to further enhance the industry Dubai-based construction giant ALEC has walked the walk and talked the talk in the industry for over two decades now, setting examples for other contractors to follow suit. Over the years, the contractor has accumulated an extensive pipeline and maintained a healthy order book, as well as adapted to a dynamic market and landscape, during the COVID-19 pandemic, which left unprecedented impact on the industry. Change in processes and the market could warrant a complete shift in attitude. While an attitude shift is integral to company and industry growth, ALEC synergises past fundamentals and practices with forward-looking methodologies. Digitising core functions The contracting firm has been digitising its core operations through HIVE initiative, ALEC’s ERP implementation, which aims to connect over 53 applications, 219 core processes, scores of departments, business units, sites, as well as 2,300 staff members. The HIVE initiative enables the company to drive real-time business operations, providing maximum value. Marking another feather in its [digital] cap, ALEC fully migrated all its services to the Cloud in 2019. The cloud migration, business continuity plan, and the high levels of digital workplace tools adoption like Microsoft Teams and OneDrive pre- pandemic provided ALEC with a strong foundation to seamlessly transition to remote working. ALEC has also increased the utilisation of Building Information Modelling (BIM), in addition to using software and digital solutions across different processes within the firm. Embracing BIM across the pipeline BIM, which is known to have marked a natural progression in Computer Aided Design software (CAD), owing to its real- time visualisation and enhanced clash detection features, is slowly but surely gaining attention from the industry. Embracing BIM equips contractors with greater collaborative skills, enhanced productivity, and enables quicker processes. American architect and designer Frank Lloyd Wright aptly indicated the benefits of BIM: “You can use an eraser on the drafting table or a sledgehammer on the construction site.” But, with the great [digital] power that the construction industry has amassed owing to its use of BIM, comes greater responsibility and challenges. ALEC is driving a number of initiatives to drive realisation of its vision to be the Leading Innovative Construction Group. ALEC MERGES CONTEMPORARY WITH CONVENTION TO BOLSTER “COLLABORATION” ALEC is driving a number of initiatives to drive realisation of its vision to be the Leading Innovative Construction Group [Image: CW Archives]INNOVATION WWW.CONSTRUCTIONWEEKONLINE.COMAUGUST 2021 CONSTRUCTION WEEK 15 In addition to having an innovation department, which capably drives and assists with over 100 innovative initiatives per year, the company has numerous developments in its Digital Transformation space. ALEC’s teams are utilising its growing BIM environments to collaborate with stakeholders. The BIM is run through its Estimation and Commercial teams before moving to Procurement, Engineering, and finally its Operations teams on site. Additionally, BIM has also helped the company with clash detection system giving it the ability to effectively coordinate trade and services during the pre-construction phase. Leading the industry’s digital choices Externally, ALEC is partnering with like-minded organisations, leading consultancies, technlogy companies, startups, universities, and the supply chain to continuously review how it can improve its efforts and help lead the way the industry operates. For the contractor, 2019 was the year of assessing its positioning in terms of leveraging technology, the state of technology in the market, the needs of its customers both internally and externally, and the most effective path forward in driving business prospects. Despite the pandemic, the construction heavyweight put its digital strategies in effect in 2020 and scaled out value to people and customers. Addressing market trends ALEC has been a leader in the UAE construction industry mainly due to the different mindset and willingness to always revamp and improve processes and procedures. The company is also acknowledging the market trends shaping the future of construction, through ALEC Energy, a provider of financially-sound green energy solutions, which aligns with the UAE’s vision for clean energy. ALEC’s modular business is another key enabler of the current market trends. The business vertical, which will be launched soon, is intended to supply fully integrated modular units. Due to that, ALEC noted that the number of innovation initiatives being implemented are on the rise year-on-year. The contractor has been collaborating with external stakeholders in various capacities including micro-environment suppliers and business partners, and these have prompted positive contributions to ALEC’s innovation initiatives. What lies ahead? ALEC’s HIVE initiative has helped enable the consolidation of data in order to provide better decision making. Furthermore, it has leveraged on data, analysis and calculations as basis for taking its business and operations’ decisions. This use of data across processes has led to an improvement of 10% and up to 400% as a result of some of the innovation initiatives. In addition to implementation of BIM on a large scale, the contractor is introducing many new processes and are currently implementing a BIM training programme to level the skills gaps on tools and processes. Additionally, the contracting giant is heavily using VR/AR on its projects to further enhance collaboration between all stakeholders. Meanwhile, ALEC’s IT development team are working on roadmap initiatives including process automation, business intelligence, document digitisation, and closed migration. In doing so, the company is tapping into several digital opportunities such as 3D printing, automation and robotics in certain elements. ALEC has been a leader in UAE construction due to the willingness to always revamp and improve processes and procedures [Representative image: Pixabay] ALEC has leveraged data, analysis and calculations as basis for taking its business and operations’ decisions [Image: CW Archives]16 CONSTRUCTION WEEK AUGUST 2021 EDITOR’S LETTER WWW.CONSTRUCTIONWEEKONLINE.COM When we concluded the Leaders in Construction Egypt Summit on 13 July 2021, the one big take away was — Egypt isn’t getting as much attention as it deserves. Egypt has risen from the ashes after internal issues threatened to harm its industries, and it is taking the right steps on the road to transformation. This was a sentiment frequently shared with me by construction professionals at our half-day summit in Cairo. Still, there is much yet to be done to make this journey a success. And this transformation wouldn’t have been possible if not for the humongous construction, infrastructure, and real estate market, and the opportunities that these industries present for the country as a whole. In fact, data from the African Development Bank shows us that Egypt’s economic growth has been strong and resilient since the economic reforms initiated in 2016. Moreover, the economies of North Africa contracted by an estimated 1.1% in 2020, buoyed up mainly by Egypt, which maintained 3.6% growth despite the impact of the COVID-19 pandemic. As the World Bank’s latest population index indicates, Egypt’s population currently stands at over 102 million, which means that there isn’t just more scope for development, but an immense need for more housing facilities, for roads and bridges, and for an improved transportation network. Understanding this need, Egypt has kept urban growth on its agenda, and is racing to complete the New Administrative Capital, one of its most ambitious developments that will help to strengthen and diversify its economy. “The New Administrative Capital is just the start in Egypt, because now you have higher standards set. This is an ignition that will fuel further smart city development in Egypt,” Arch. Waleed Raafat, Managing Director, MT Architects’ said during the Leaders Egypt summit. Under the New Urban Communities Authority’s plan, a further addition of new cities is in the pipeline, such as New Alamaein City as well as the development of Upper Egypt. This calls for contractors not just in the country but across the region to bring their expertise to the table and help build projects, as expansion is crucial for the country. While Egypt continues to develop more cities to accommodate its growing population, the country is also focusing on strengthening its infrastructure development through projects, such as Cairo Metro Line 4, Cairo Monorail, Light Rail Transit (LRT) project, Ring Road in Greater Cairo, among others. At this point, the words of Osama Bishai, CEO of Orascom Construction, echo in my ears. He said: “What’s happening in terms of Egypt’s transport sector in the last five years hasn’t been witnessed before in the country or the region, due to the size of the investments. Egypt is having a lot of catch up to do, because honestly, there has not been much investment towards Egypt’s transport and infrastructure.” Bishai’s statements ascertain the fact that Egypt needs more attention, and this should not be just reserved to construction stakeholders in the country, but everyone reading this letter. From my viewpoint, construction is booming right now in Egypt and if you are not planning to set foot in the country, you are missing out on being a part of something bigger that will transform the nation. Signing off! Scan the QR code below to watch the video Egypt’s construction sector deserves all your attention! Construction is booming right now in Egypt and if you are not planning to set foot in the country, you are missing out on being a part of something bigger that will transform the nation “AND THIS TRANSFORMATION, WOULDN’T HAVE BEEN POSSIBLE, IF NOT FOR THE HUMONGOUS CONSTRUCTION, INFRASTRUCTURE, AND REAL ESTATE MARKET, AND THE OPPORTUNITIES THAT THESE INDUSTRIES PRESENT FOR THE COUNTRY AS A WHOLE” Ranju Warrier Digital EditorAUGUST 2021 CONSTRUCTION WEEK 17 INTERVIEW WWW.CONSTRUCTIONWEEKONLINE.COM Saudi Stock Exchange (Tadawul)-listed modular giant Red Sea International Company recently witnessed a board reshuffle for the new three-year cycle, marked by the appointment of Khalid Mohammed Fagih, its new CEO. Speaking with Construction Week, he said: "As a CEO, primarily I will need to focus on a balanced scorecard approach, where we as a company work in parallel, in growing business and increasing shareholder value as well as maintaining all stakeholders' principles, and so on." Red Sea International has executed projects in more than 60 countries, has manufacturing operations in four countries, and boasts a "solid" geographical coverage. The company has been actively engaged in certain projects across the Kingdom including gigaprojects such as NEOM, The Red Sea Project, and more. And, most recently, Red Sea International KSA's mega projects as well as the massive developments that fall under the housing, tourism, and cultural sectors. "All these areas will keep us busy into the next five years," he said. In the UAE, the company has worked on Sushiro, a permanent modern spacious modular restaurant within Japan Pavilion of the Expo 2020 Dubai. The single-storey, 270m2 restaurant was designed by over 16 specialists, who ensured stringent quality, and adhered by prescribed HSE standards. Red Sea International Company completed the project in four months despite extreme desert conditions. "New way of doing business" Fagih's appointment, which was followed by a series of appointments across the board — corresponds with the company's plans to implement a comprehensive Company secured a $14.1m (SAR52.9m) contract from The Royal Commission for AlUla (RCU) to construct a housing complex in AlUla. The contract covers design, construction, supply, and installation of 150 modular high-quality and fully-furnished accommodation units. Red Sea International Company earned the housing complex contract for AlUla post a "competitive bid". The winning proposition entailed an attractive and modern as well as a practical design while retaining the cultural and environmental aspect, enabling "good space" to the inhabitants. The company is evidently keeping busy with the aforementioned scope of services across key projects in Saudi Arabia. Additionally, Fagih stated that Red Sea International Company's research and development functions will be primarily focused on catering towards "Innovation is the best way to extract value and enhance profit margins" Red Sea International Company, which has executed projects in more than 60 countries, and has manufacturing operations in four countries, discusses its upcoming strategies with Disha Dadlani Red Sea International Company has completed Sushiro, a contemporary modular restaurant within the Japan Pavilion at Expo 2020 Dubai [Image: Supplied]INTERVIEW 18 CONSTRUCTION WEEK AUGUST 2021WWW.CONSTRUCTIONWEEKONLINE.COM restructuring of the business and its subsidiaries. Speaking with Construction Week, Fagih said: "The whole concept of introducing a new management team is to look into new ways to enhance efficiencies and value. I won't use the word 'restructuring' because value creation and cost control is an ongoing mandate for us. It's a new way of doing business and we will continue to do that." He continued: "Innovation is the best way to extract value and enhance your profit margins; you could do that by growing your top-line and strengthening your bottom line." Filling new shoes Fagih succeeded the former CEO, Eng. Tareq Mohammed Telmesani, who resigned from his role citing "corporate governance requirements", as posted in a stock market missive. "During his tenure, Tareq introduced many verticals and did his job; it is now time for the new management to take over and move the company to the next level. We will capitalise on existing verticals and introduce new ones, with the aim to Overhaul of processes fuels long-term growth and change, but often requires moving out of your "comfort zone", he suggested. "We will be offering new products to totally new names, especially in the case of gigaprojects in the Kingdom." Going beyond modular solutions Red Sea International Company's modular capabilities are widely regarded and represented through its factory presence across Dubai, UAE; Jubail, Saudi Arabia; Johor, Malaysia; and Accra, Ghana. Explaining how the company now goes beyond its modular solutions offering, Fagih said: "What we are trying to do is package our projects with commercial angles, instead of just purely delivering the final product into designing, building, operating, and possibly, financing. This will result in a comprehensive product for our clients, and induce them to do more business with us." Responding to a 'green' market demand The current mandate for several contractors suggests they go green or enhance our market share and product offering to our clients." Fagih has more than 26 years of banking experience spanning finance disciplines including corporate banking, risk management, digitisation, project finance, and investment banking. Cost control forms the crux of the Red Sea International Company's key strategies for the way forward. Fagih stated: "We are moving our global functional reporting to Saudi Arabia, into Riyadh, where a lot has been happening since the launch of the Vision 2030. And, that is one way to manage costs. Managing costs is not sufficient by itself, as it should be complemented with the growth of top-line." Employing a new taskforce Red Sea International Company is strengthening its business development capabilities, through the introduction of a core team. "The [business development] team will also play the role of relationship management and customer or client care, and will work to expand our client base," Fagih said. In October 2020, The Red Sea Development Company appointed Red Sea International and FMCO to manage accommodation and amenities at its Construction Village [Image: theredsea.sa]AUGUST 2021 CONSTRUCTION WEEK 19 INTERVIEW WWW.CONSTRUCTIONWEEKONLINE.COM go home, and there seem to be no two ways about it. Sustainability is at the core of Saudi Arabia’s Vision 2030. The kingdom’s forward-looking sustainability objectives are now further amplified with the launch of the Saudi Green Initiative and Green Middle East Initiative. "It [Saudi Green Initiative] represents a huge commercial opportunity for us," Fagih said, adding that companies lacking an environmentally-friendly offering are now upgrading their portfolio. It is important that contractors go beyond the buzzword(s) and ensure actionable insights and strategies. "The current market demand points towards the green angle of buildings. Many companies are upgrading their facilities to meet green requirements. We aim to practise sustainability while balancing our commercial growth," Fagih said. Placing focus on Saudiasation Red Sea International Company is ramping up its efforts in terms of Saudiasation, with the focus on quality over quantity. Saudiasation is among the "prime responsibilities and items" on the scorecard of Fagih's mandate. "We have some ambitious targets; the new and young population in the Kingdom are highly qualified. Moving all the global support functions into Saudi Arabia will enhance the degree of Saudiasation further," he stressed. Explaining that a higher degree of Saudiasation need not translate to dilution of international contracting talent, Fagih said: "The economy is getting globalised and there is massive growth potential in Saudi Arabia. There is huge initiative for top-tier global corporations to plug into the global corporate world. This is a win- win situation for everyone in the Kingdom to globalise their operations and capitalise on the geographic and economic strength of the Saudi Arabian market." Foreseeing the future for the industry sans a crystal ball, Fagih stated there will be a higher demand for the newer methods of construction in the Kingdom, stating that 80% of the work would be done at a manufacturing plant and 20% at the "WE ARE MOVING OUR GLOBAL FUNCTIONAL REPORTING TO SAUDI ARABIA, INTO RIYADH, WHERE A LOT HAS BEEN HAPPENING SINCE THE LAUNCH OF THE VISION 2030" site. "That will allow time-saving; it is an environmentally-friendly method of construction," he concluded. Khalid Mohammed Fagih CEO, Red Sea International CompanyNext >