23 - 25 September

2018 Dubai World Trade Centre

www.wdfevent.ae

MIDDLE EAST
FACADES 2018
Challenges In Facade Fabrication Industry
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 ONSITE Analysis – Contractor Awards Forecast 2017-2018

Source: Ventures Onsite

• Forecast of Current and Future years awards is based on past trends, macro-economic factors, market dynamics, etc.
• Current year bar shows the forecast as well as what is actually awarded till date. Awarded till date is represented by colour
• Projects listed for current year and future years expected awards (View Projects and Export) is based on projects schedule only.

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Façade Fabrication Industry Overview

Large companies
30%

Mid Size companies

50%

20% Small Companies

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Market Challenges

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 Typical Façade Company Process flow

PLANNING
1 2 3 4 5 6

SALES & ESTIMATION TECHNICAL & PROJECTS

TENDERING PROCUREMENT PRODUCTION
MARKETING DESIGN INSTALLATION
CONTRACTS

SUPPORT FUNCTIONS

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 Cause & Effects
Estimation Dept. 1 5
Planning Dept. 2 Design Dept. 3 Procurement Dept. 4

Lack of fabrication and installation Copying designs from system Lack of coordination with
Tight timelines for submissions &
knowledge to sequence the delivery. supplier without Value internal departments.
Risk of Lumpsum contract .
Engineering/Innovating it.
. Not able to sequence the delivery
Coordination issues with other based on project requirements.
Improper handing over of budgets to Not properly monitoring .the
depts. i.e. production,stores etc.
Projects team project in each stage .
.
Continuous revisions in design Lack of forecasting & not having
. clear
Lack of knowledge in design and installation No proper manpower control .
. leading to late project execution procurement plan ahead.
Leads to expensive mistakes

.
Failure of
D CC . B . A Business

Part fabrication without arranging full

Improper storage of materials causes No proper budget controls. materials.
damage & time waste for locating
.
Poor accessories management Lack Innovations to reduce man Lack of supervision in execution No systematic study of plant capacity
hours and process. and material storage. and allocation .

.
.
.
Lack of material management as No proper material handling. PM’s/Engineers not having
. . Lack of process
per production and consumption. .
basic technical knowledge to
solve problems. .
. .
Store Dept. 5 6
Logistic Dept. 6 Project Dept.
4 7 Production Dept. 8
.
.

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3 P’s
Process
Productivity
Person

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ERP & Machine Integration

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Problem 1 Solution

• Process orientation • Customised ERP with written

down SOP’s
• One Man show
• Internal / External Communication

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 How to Secure Profit
Profit = (Retail Price – Cost) X Sales
How can we increase
profit?
(Retail Price)
(Retail Price) (Retail Price) (Retail Price)
Profits
Profits Profits
Profits

Costs Costs Costs

Costs
×100 ×100 ×150 ×100

Raise retail prices Boost sales Reduce costs

Only Way forward is Lean

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Cost Changes By the Way to Manufacture

Competitor Material Utility Cost Labor Cost Depreciation Maintenance Others

Cost Cost Cost

Cost that increases and decreases by how to manufacture

Lean
Organization Reduce Cost

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 Factory Layout

Automobile Factory Facade Factory ??

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The Lean Approach

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Problem 2 Solution

• Efficiency • LEAN Management

• Wastages
• Quality

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Technical Expert + Investor
= Success ??

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Is Façade Engineer a Civil Engineer or Mechanical Engineer ?

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Copyrighted © 2018 by Raj 8
Problem 3 Solution

• SWAT team for Business Process

• Expertise
Re Engineering
• Motivation
• Discipline

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 Don’t waste time learning the
"tricks of the trade." Instead, learn the trade.
~James Charlton

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SPEAKER INFO

Rajaikepin is Business Head of Sobha Facades

LLC. He is a resourceful senior level executive with
more than 14 years of multi-dimensional
experience in leading high-performance business
operations and project management in the
Aluminium facade/fenestration/structural steel
fabrication industry.
Email: rajaikepin@yahoo.com

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 23 - 25 September
2018Dubai World Trade Centre
www.wdfevent.ae

Questions
&
Answers