Singapore’s strong manufacturing base enabled the country to industrialise rapidly as well as lead to the growth of other related businesses

Building the economyInside

The art of work 2

A dream to hit 10,000 3

Surpassing expectations 4

Supplement editor: Lilian Ang Sub-editor: Lee Kim Siang Cover design: Gareth Chung Graphics: Airyn, Jennifer Chua Photographer: Joseph Nair Advertising sales: Lam Wy-ning 9368 5685; Jaclyn Sim 8333 5665

Growing with the nation 5

The economic miracle 6-7

Shaping Singapore into a smarter nation 8

Transforming dentistry through branding 9

Riding on a wave of urbanisation 10

Adapting to the environment 11

CEO CONVERSATIONSCEO CONONO VERRERE2015 golden jubilee edition

N THE early 1960s, Singapore had only a small manufacturing base with very mediocre infrastructure, minimal domestic capital and scant foreign investment. Post-independence, the Republic lost its source of raw materials − which came mainly from Malaysia − as well as a domestic

market for its goods. To strengthen the economy, the government shifted its focus towards export-oriented industries by attracting foreign investors to Singapore to develop both the manufacturing and financial sectors. Fast forward five decades and manufacturing is now one of the key growth drivers of the Singapore economy, accounting for about a fifth of the country’s gross domestic product (GDP). Pick up any IT gadget such as a mobile phone, laptop or vehicle navigation system and chances are that parts of it were designed or made in Singapore. About one in six people in the Republic’s labour force work in the manufacturing sector which is now broad-based and cuts across many different industries. According to the Economic Survey of Singapore 2014 report, the manufacturing sector improved from 1.7 per cent in 2013 to 2.6 per cent in 2014, on the back of healthy growth in the biomedical manufacturing and chemicals clusters. The Economic Development Board (EDB) played a crucial role in the country’s success. It helped to establish Jurong Industrial Estate, transforming the area as factories sprouted up to produce everything from garments, textiles and toys to wood products and even hair wigs. Singapore’s strong manufacturing base and the development of Jurong Industrial Estate spawned many opportunities for local companies and led to the growth of other related businesses. In the third part of BT’s CEO Conversations Golden Jubilee supplement, we speak to some of the companies that grew with Singapore as it embarked on its rapid industrialisation programme. One example is a logistics and warehousing player called Vibrant Group, previously known as Freight Links Express Holdings. Its CEO Eric Khua said that in the early years, the group was doing imports and exports. “When companies import raw materials, we took care of delivery and transportation to the end customer,’’ he says, “For exports, Singapore used to be very strong in garments, we were doing textiles. Subsequently we were doing electronics.’’ Heavy equipment supplier Tat Hong Holdings started out as a tyre and battery shop but later moved into the import and export of heavy equipment. The company provided the earth-moving equipment for Jurong Industrial Estate, a pioneering project in the country’s industrialisation efforts. As Tat Hong approaches its 60th anniversary, its managing director and group CEO Roland Ng says his vision is to professionalise the organisation to ensure its continued success. – BY LEE U-WEN

IThe Business Times | Wednesday, July 15, 2015

Photo: iStock

IN SOME corporate offices in Singa-poreareframedpaintingsofSinga-pore – watercolour portraits of theold Fullerton Hotel in an assetmanagement firm, and oil paint-ings of orchids in an accountingfirm. Unusually, the pictures arepainted by the boss of the interior

design firm that renovated the offices. EddyLim, CEO of Chez Design, draws out the linksbetween his work as an office interior design-er and his hobby as an artist.

“I believe in taking time to create master-pieces. This is what I like to do for my clients,going beyond what is expected of us,” Mr Limsays. “In art, in painting, you have to do itproperly to get a good result rather than rusheverything. Similarly a design firm should gofor quality, rather than volume. Every client isunique, and we want to serve each one well.”

Chez Design was founded by Mr Lim andseveral friends in 1986, and has been provid-ing interior design services for corporatessince day one. Over the last 29 years, the firmhas built up its client base from a broad rangeof industries. It has established relationshipswith landlords, property agents, developersand vendors.

Key to the company’s success was its abili-ty to provide not just quality design and time-ly delivery, but quality after-sales service.“Challenges come when clients ask you to fixsmall things, or ask you to reconfigure theirspace when they expand or restructure,”Mr Lim says.

To do a good design, he studies a client’shistory,customersandwebsitetounderstandhowitwould like toproject itself, aswell as itsfuture plans. What also helped was a healthybusiness environment in Singapore, he says.Singapore’s style of good governance has alsoinfluenced him to run his company in a trans-parent way. “Everything is upfront, transpar-ent, clean. You get jobs based on merit. Com-panies respect your intellectual property,” hesays.

Today,ChezDesignhasaround50employ-ees in Singapore and Malaysia, out of which

there are 15 designers and 10 project manag-ers. It has two factories providing carpentryservices,one inWoodlandsand another in theIskandar region.

Clients includearangeofbigandsmallcor-porates, like banks, petrochemical firms, in-surers, IT firms and shipping companies. “Weare not picky. Small jobs today might be bigjobs tomorrow. We have designed offices allover Singapore from the Central Business Dis-trict to even Jurong and Woodlands,” Mr Limsays.Chez Design has also designed and builtoffices in China, Hong Kong, Japan, Australia,Indonesia,Thailand, the UnitedArab Emiratesand Vietnam.

Satisfied clients continue to engage ChezDesigntodesign theirofficesnot just inSinga-pore, but also in the region. “Our clients wanta consistent corporate image and an environ-ment where their well-travelled staff can becomfortable. We design their interiors hereand our very committed team of associatesand vendors in the region alwaysensure goodquality and timely delivery of all ourprojects,” Mr Lim says.

He says he tries to make stakeholders,staff,andvendorsfeel likeonebig family.Eve-ry year, the company pays for a week-longoverseas trip. The company has gone to plac-es like Nepal, China’s Lijiang region, Japan,and Taiwan. It also organises social activitieslike karaoke sessions, movie outings, andChristmas and New Year parties.

“We believe making staff happy is impor-tant, as well as for them to have a balance be-tween work and life,” Mr Lim says. “Thecompany’s success and future does not justdepend on key personnel. Everyone contrib-utes. In return, it is the company’s obligationto take care of its staff,” he says. “I try to emu-late for my company what Singapore tries toachieve, for its society to be happy and hard-working.”

AsSingaporeprogresses,ChezDesign isal-so in a process of self-transformation. It is re-branding itself to become CD+A. The moremodern-sounding name stands for Chez De-sign and Associates. “We are rebranding to

stay relevant to this fast changing environ-ment,” Mr Lim says.

“Though Chez Design is very fortunate tohave many key staff that had been with us,some for more than 15 years, the company isconsciously trying to balance the team withnewer and younger team members,” he says.

Younger staff provide energy and newways of doing things, while more experiencedstaff can mentor them and develop their po-tential. It isheartening toseedifferentgenera-tions work together as a team at his firm,Mr Lim says.

Looking ahead, he says CD+A will workmore with close associates in the region aswell as associates from other related fields toprovide a wider offering of services for cli-ents. For example, it can work with architectsto provide input before an office building isbuilt. It can also work with partners specialis-ing in signage and branding, key elements tocreate distinctive environments within eachbuilding, he says. “CD+A will continue to win

clients’ hearts with functional, quality designworks which create an environment they canoperate in and enjoy,” Mr Lim says.

Ultimately, Mr Lim sees close links be-tweenhisworkandhisart.Hehasbeenanart-ist since he was in primary school, when hewas always called upon by his formteacher tohelp draw images for lessons. Some 15 yearsago, he began learning how to paint from not-ed artist Ong Kim Seng.

Today, he travels everywhere with his artmaterials. “It still thrillsmeeachtimeIputcol-oursonpapersorseeanemptyworksite trans-formed into a beautiful office for a happy cli-ent,” he says. “Their offices are like completedwatercolour pieces, framed and hung onwalls.”

“I would like to take this opportunity towish Singapore well. I have full confidencethat businesses with solid foundation, goodwork values and with careful planning for thefuture will again ride on the waves and thriveas this nation progresses.”

The art ofwork

PHOTO: JOSEPH NAIR

CEO CONVERSATIONS2015 golden jubilee edition

Eddy Lim, CEO of office interior designer Chez Design, adorns the office walls of his clients with hispaintings

‘In art, in painting,you have to do itproperly to get agood result ratherthan rush everything.Similarly a designfirm should go forquality, rather thanvolume. Every clientis unique, and wewant to serve eachone well.’

– Eddy Lim, CEO of Chez Design

2 | The Business Times | Wednesday, July 15, 2015

DESPITE being saddled with weak

property market sentiments,

Singapore’s largest property agen-

cyERAhaskept itselfbusy,generat-

ing activities to stimulate sales and

indeed, expanding its workforce.

In both 2014 and 2015, ERA

crossed the 6,000 registered sales-

person mark. Not one to rest on its laurels, the firm al-

ready has plans to grow its base to 10,000 agents. No

mean feat given that in the last year alone, over 50 agen-

cies have shuttered their business, and close to 4,000 real

estate agents dropped out of the industry.

But as summed up by ERA’s chief executive officer,

Jack Chua, there are always people who want to buy, sell,

or rent regardless of market conditions. “Our role,” says

Mr Chua, “ is to find and facilitate the transactions”.

Being able to read the market and adapt to it is one of

the agency’s key strengths. In view of home loan curbs

denting the agency’s sales for instance, ERA broadened

their focus and reach across various market segments in

order to drive more income to their agents.

From their traditional stronghold in new launches, re-

saleandrental, ERAmovedswiftly into the luxury, landed,

commercial and industrial segments. The company’s re-

search team provided regular market direction updates to

keep the sales force of over 6,000 nimble and responsive

to the market sectors that are moving. This differentiates

ERA from their peers in the industry.

Having the ability to generate activities to stimulate

sales and support their agents with value-added services

are the mainways ERAhaskeptahead of the industry. It in

fact turned in a 10.6 per cent increase in profit after tax

last year, propped up by higher-margin investment sales

and commercial transactions.

“Ourbusiness is toprovidethe solution topeople’s real

estate needs; be it selling, buying or renting. We are in-

volved in all segments of the market; from public housing

toprivate; frommassmarket tohighend.Wehandle trans-

actions inall sectors– residential, office, retail, industrial –

resale, new projects, leasing and auction,” says Mr Chua.

One of the methods ERA has adopted to cope with

weak market sentiment is to sharpen the knowledge and

skills of their salesforce to be able to market both local

and overseas properties. These efforts include in-depth

training programmes to teach agents how to sell specific

property types in Singapore as well as properties in over-

seas markets such as Australia, China and Malaysia.

ERA’s network across the Asia-Pacific region has also

helped it to sell local projects to foreign buyers. There are

2,300 ERA offices worldwide, dotting 46 states in the USA

and 34 countries around the world. The ERA Asia-Pacific

headquarters is sited within the Singapore office and sup-

ports the ERA Asia-Pacific operations in China, Indonesia,

Japan, Korea, Malaysia, Taiwan, Thailand and Singapore.

Training has always been a cornerstone of ERA’s cul-

ture. When the company started operations in Singapore

in 1982, it was the first to introduce structured, profes-

sional training in the area of real estate fundamentals and

sales, says Mr Chua. “This helped to transform the real es-

tate sales force serving the needs of sellers, buyers, land-

lords and tenants to become more competent and profes-

sional,” he notes.

In addition to training, ERA has, over the last 33 years,

invested heavily in the use of technology to enable both

salespersonsandclients tohavethemostup-to-date infor-

mationon real estate.These include startingouton the In-

ternet as early as 1997, launching ERAMobile in 2002, and

in 2008 launching 98TXTERA, a messaging service that

provided instant real estate information. The company

has, more recently, launched its ERA mobile application

and launched a new ERA Singapore website.

“Investing in these technology platforms helps to im-

prove work flow using online resources, 24/7 so as to

make the process of real estate transactions more produc-

tive and efficient,” says Mr Chua.

Separately, ERA unveiled its new corporate image earli-

er this year to mark ERA’s 33 years of service excellence in

Singapore. The new, contemporary logo and brand identi-

ty retained the iconic roof symbol, while infusing a mod-

ern and contemporary element which communicates the

upward direction and positive momentum of the brand.

“At a time when the real estate industry has undergone

vast changes in the way business is done, ERA Real Estate

has kept pace with the industry’s rapid evolution,” says

Mr Chua. “The new visual representation of the brand re-

flects the journey that has been taken.”

Enhancing their infrastructure, software and hardware

are all designed to maintain the company’s market leader

position.Thisyear, thecompany ispushingahead with its

ambitious S$4 million expansion plan.

To bring greater convenience to customers, the agency

has, in addition to its office in Zhongshan Park, expanded

its operations to five areas – a grand flagship office in

MountbattenSquare,aToaPayohcentralofficeandanoth-

er office in SLF Building. To better serve its customers and

support its salespeople on the frontline, ERA also opened

a Premier Lounge and Service Centre in HDB Hub.

“Whilst building size, we will also ensure that all our

salespersons will receive unrivalled company support

and training that will increase their proficiency, efficiency

and income,” says Mr Chua.

Over the last 33 years, ERA has grown and progressed

together with the people of Singapore. In many ways, the

company has found ways to give back or lend a helping

hand to those that may not have been so fortunate. ERA

matches dollar for dollar, the contributions made to the

CommunityChestbytheiragentsandstaffandthecompa-

ny has been a Community Chest Platinum Award Recipi-

ent year after year.

As the ambassadorof theSingaporeAssociation for the

Deaf (SADeaf), ERA raised some S$80,000 for SADeaf earli-

er this year by organising a charity walk that was support-

ed by Ho Ching. When ERA changed its corporate logo this

year, the company collected back from the salesforce,

thousands of the corporate blazers bearing the old logo

and donated them overseas to needy recipients. “We re-

main committed to our 1st in Service, 1st in Results and

1st in Client Satisfaction.”

A dream to hit 10,000

PHOTO: JOSEPH NAIR

ERA has kept itself busy training staff and reading the market for the next big shift

CEO CONVERSATIONS2015 golden jubilee edition

‘Our business is to providethe solution to people’s realestate needs; be it selling,buying or renting. We areinvolved in all segments ofthe market; from publichousing to private; frommass market to high end.’

– Jack Chua, ERA’s

chief executive officer

The Business Times | Wednesday, July 15, 2015 | 3

THERE’S nothing like tak-

ing a good look and

checking out a property

investment before you

put any money down,

contends Colin Tan

June Teng. The group

managing director of

the Hatten Group of Companies, Colin under-

stands a buyer ought to be able to have a look

and feel of a potential property before com-

mitting his or her hard earned money.

To that end, the Investment Tour pro-

gramme was launched. Organised for

Hatten’s potential clients in Singapore, it is a

free tour to thecompany’scoredevelopments

in Melaka, Johor and Negeri Sembilan.

“This gives buyers a chance to get an

up-close look at our actual project sites while

experiencing first-hand the high potential of

the areas in which we operate. At the same

time we get the opportunity to interact with

our target market and to get to know their

goals and any concerns they may have.”

Hatten appears to be reaping from the

strategy as the Singaporean-owned company

continues to make in-roads into Malaysia.

One of the country's fastest growing devel-

opers, the ten-year old developer is making

good of its founding objectives of venturing

into new territories by integrating

“Singapore’s cosmopolitan ethics with local

Malaysian sensibilities.”

Apermanentsalesgalleryhasalsobeenes-

tablished along Muhammad Sultan Road to

boost Hatten's contact points with its growing

pool of customers.

Because Singapore's real estate prices has

skyrocketed to levels unaffordable for some

Singaporeans, theycan looktoMalaysia -whe-

ther for a home or to diversify their invest-

ments.

“They can avail themselves of an opportu-

nity to secure high capital returns in a fertile

development arena,” he says, noting by year

end, the developer will see the completion of

Phase 1 of Hatten City – a 25-acre waterfront

mixed development fronting the Straits of

Melaka and valued at approximately RM2 bil-

lion (S$712.3 million).

Currently the largest real estate project in

the state, Hatten City is a blend of three

unique themed Phases which will feature re-

tail, luxuryresidences, internationalhotels,of-

fice towers, resorts and shoplex.

Phase 1 will comprise 800 retail units, 700

residential units, and two hotel towers that

are referred to as the Elements Mall, Silver-

Scape (a 45-storey luxury residence with 360

degree views of the vibrant coastal city), Dou-

bleTree by Hilton, and the Teddie

Bear-themed Hotel.

The skyline transforming development

will injectmassivecapital intoMelakaandpro-

vide more investment opportunities in the

state where Hatten is already a well-known

brandhavingestablished itscredentials in the

hugely successful Dataran Pahlawan Melaka

Megamall.

The flagship project was followed by the

launch of Hatten Square Suites and Shoppes,

its first mixed development project which

was also well received.

Colin said the success of those develop-

ments provided Hatten the motivation to ex-

pand to other states.

Inaddition toVedrobythe River inMelaka,

and the Imperio Mall and Residence which

forms Phase 2 of Hatten City, the company is

now undertaking projects in Iskandar Johor

and Negeri Sembilan.

In Iskandar, it has begun work on Capital

City – a 14-acre mall-hotel-SOHO develop-

ment that is located on prime land in Flagship

Aoftheeconomiczone,while inNegeriSembi-

lan it is building a unique campus-based de-

velopment called Unicity Lifestyle Campus

Mall.

By 2020, Colin aspires for Hatten to be the

largest retailer in south Malaysia, having con-

structed over 5,000 retail units and five mil-

lion square feet of nett lettable space which it

intends to manage.

Not one to sit on his laurels, Colin, a recipi-

ent of the Most Outstanding Entrepreneur

Award at the Asia Pacific Entrepreneurship

Awards 2014, is already looking to expand in-

to the state of Pahang, and into new ventures

including medical infrastructure, educational

facilities,arts&culturalarenasandbrandfran-

chising.

“We are adaptive to the market environ-

ment and continue to challenge the status

quo by reinventing new concepts and cater-

ing to changing trends.

“Our projects surpass expectations by

breaking new ground in high-potential areas,

producing outstanding architectural designs,

futuristicconceptsandtopquality functionali-

ty for one-of-a-kind developments.”

Having amassed 44 prestigious interna-

tional property awards thus far including

World Finance Real Estate Awards' Best Re-

gionalDeveloperAsia 2014,Colindoesnot in-

tend to take his foot off the pedal.

Over the years, Hatten's employees - now

totalling 1,350 and comprising of 250 man-

agement executives, 400 construction crew

and 700 service staff – have become familiar

with his bold, driven and uncompromising vi-

sion that has seen the group building up con-

siderable assets over the past decade; it now

boasts an impressive 300-acre land bank in

Malaysia and a portfolio of property projects

with a total gross development value of RM5

billion.

Colin reveals another aspiration is to get

the company listed within the next few years

in anticipation that it will pave the way into

global markets. “Hatten Group is a market

leader specialising in the transformation of

premier landscapes inMalaysiawithcorebusi-

nesses in property development, construc-

tion, asset management and investment, and

a stunning portfolio of high-rise luxury mixed

developments, residential towers, strata

malls, and world-class hotels.

“Our R&D team is adept at identifying

high-potential landscapesandgauging thepo-

tential forgrowth. With this invaluable insight

our operations are well-planned and capture

the right market to secure profitability and

maximum value added for our investors.”

Surpassingexpectations

CEO CONVERSATIONS2015 golden jubilee edition

‘We are adaptive tothe marketenvironment andcontinue tochallenge the statusquo by reinventingnew concepts andcatering tochanging trends.’

– Colin Tan June Teng,group managing director of the

Hatten Group of Companies

The Hatten Group of Companies has big plans whichinclude a potential listing within the next few years

4 | The Business Times | Wednesday, July 15, 2015

FOR OrangeTee managing director Ste-

ven Tan, Singapore’s amazingprogress over the last 50 years holdssome valuable lessons for the real es-tate industry. Launchedin2000,home-grown OrangeTee is one of the

country’s largest property agencieswith over 2,100 associates in its sales

force. As the company expands in the region, it has lever-aged on Singapore’s reputation to open doors to new op-portunities.

“When I travel overseas on a business trip, I always re-ceive many positive responses and encouraging com-mentsfrommyoverseascounterpartswhen I tell themI’mfrom Singapore. This gives them a sense of assurancewhen they start a business relationship with OrangeTee,”

says Mr Tan.“Singapore has built a solid foundation as a trustwor-

thy nation, associated with reliability, efficiency, and re-sult-oriented. Such esteemed characters of a nation helpsSingapore companies to foster relationships, which is the

key to business success when dealing with overseas com-panies.”

The global perception of Singapore as a trustworthypartner is very much aligned with OrangeTee’s own corevalues. “Trust has always been the first core value of Or-

angeTee. Our people are always motivated to build a longterm and trusting relationship with customers and busi-ness partners. During day-to-day operations and deci-sion-making processes, we always prioritise trust overcommercial gain,” says Mr Tan.

Over time, the reinforcement of this philosophy has

fused with the DNA of the organisation and become partof its service culture. For instance, OrangeTee agents arealways mindful to present themselves well when engag-

ing with customers.Thisapproachhaspaiddividends.Thenumberofcom-

plaint cases against OrangeTee has always been well be-

low the market average, reveals Mr Tan. On the contrary,the agency’s salespersons frequently receive complimen-tary letters for their good service.

Integrate knowledge in innovationOrangeTeehas longemployed innovation tostayaheadofthecompetition,similar toSingapore’sowndrive for inno-

vation that has seen it escalating up the value chain overthe years.

Since its inception, thecompanyhasbeenapplyingvar-ious technologies to support the efforts of their sales

force. For instance,OrangeTee’sagentsareable to retrieveproprietary research materials and information from adedicated online portal to help add value to their

customers’ buying or selling decisions.Meanwhile, key executives from the information tech-

nology, research, valuation and project marketing depart-

ments are also committed to enhancing the knowledge ofthe company’s salespersons.

“We believe innovation is not just about technology. It

is about redefining our value proposition in a unique waythat differentiates us from others,” explains Mr Tan. “Al-though our customers live in an information-rich society,we reckon that not all information is relevant and accu-

rate. Sometimes, too much information may mislead oreven confuse the customers. To value-add, we integrateknowledge into our offline and online services.”

Differentiating themselves from the competition hasbecome even more critical in recent years, as a softeningmarket and low-margin commission structure has result-ed in smaller players merging.

OrangeTee has gained in this consolidation process;withsome300agents joining itssales teamthisyear,abig-gerthanusual increase. "It isgoodfor the industrytomain-tain a reasonable number of key and sizable players tomaintainahealthycompetition.For long term, itwillbene-fit the consumers, agents or even the property develop-ers,” says Mr Tan.

Moving forward, the company will continue to adopt adiversified business strategy to provide comprehensiveservices to its customers and business partners. Amongits many services, the agency is involved in residentialprojects, business space, international projects, valua-tion, investment sales and advisory, as well as researchand consultancy.

In Singapore, OrangeTee is currently marketing resi-dential and commercial projects such as The Panorama,The Skywoods, The Meyerise and Vision Exchange. It hasalso secured new projects such as High Park Residences,Parc Life executive condominium, Wandervale executivecondominium, among others.

And while it is looking to expand its presence in

South-east Asia in the next few years, the company will re-

main very much an enterprise with a Singapore soul. “We

are confident that with the continual support of our peo-

pleand ourunique businessproposition,we canmakeOr-

angeTee a well-known brand in the region,” says Mr Tan.

“But OrangeTee is ultimately a Singapore born compa-

ny, and we are privileged to be part of the success story of

Singapore. We aim to grow shoulder to shoulder with Sin-gapore in another 50 years.”

Growing with thenation

PHOTO: JOSEPH NAIR

CEO CONVERSATIONS2015 golden jubilee edition

‘Trust has always been thefirst core value of OrangeTee.Our people are alwaysmotivated to build a long-termand trusting relationship withcustomers and businesspartners. During day-to-dayoperations and decision-making processes, we alwaysprioritise trust overcommercial gain.’

– OrangeTee managing director Steven Tan

Property agency OrangeTee has built upa reputation for trust and innovationin a competitive market

The Business Times | Wednesday, July 15, 2015 | 5

CEO CONVERSATIONS2015 golden jubilee edition

CEO CONVERSATIONS2015 golden jubilee edition

‘In the next five to 10 years, we see South-east Asian markets poised for potential growth. Our 'pull factor' is still very strong in the region. Many of our clients have voiced their plans for expansion in the region.’– E&E managing director Ronald Goh

‘My vision for Prudential is to continue to be the life-long preferred and trusted partner

for the protection and financial planning needs of Singaporeans. I believe we can

continue to be worthy of this position if we continue to be customer-centric.’– Tomas Urbanec, Prudential Singapore CEO

‘Our ambition is to remain as the best and the biggest wealth

manager in the region. We want to be the trusted wealth manager for

individuals and business families over the generations.’

– Edmund Koh, UBS Singapore country head and head of wealth management of South-east Asia and Asia Pacific Hub

‘We have been working on numerous projects including promoting e-commerce and contactless payments that will help enhance the payment experience

for consumers in Singapore.’– Ooi Huey Tyng, Visa’s country manager for Singapore and Brunei

‘We are privileged to have over 2,400 customers, spanning MNCs, local enterprises and public institutions, and we are committed to deliver quality services and solutions catered to their needs.’– Manohar Khiatani, Ascendas president and group CEO and deputy group CEO of Ascendas-Singbridge

‘Moving forward, the company looks to solution of sustainability, maintaining the strategy of asset light, lean and efficient management,

win-win partnerships, to continue its extraordinary success and growth.’

– Von Lee, Expand founder and executive chairman

‘We pride ourselves on our ability to successfully execute mixed-use

developments, not only in terms of delivering a well-received product,

but also in a cost- and time-effective manner.’

– FCL group chief executive officer Lim Ee Seng

‘We are adaptive to the market environment and continue to

challenge the status quo by reinventing new concepts and

catering to changing trends.’

– Colin Tan June Teng, group managing director of the

Hatten Group of Companies

‘We will continue to work hard to raise productivity and to sustain our leadership in the construction market.’– Marco Romahn, Singapore managing director for PERI Asia

‘We are proud to achieve many commendable feats in the last year

despite the industry headwinds. Besides making great strides in our domestic developments, we have successfully

expanded our international footprint in markets such as Australia.’

– Anwar Syahrin Abdul Ajib, UEM managing director/chief executive officer

‘Our strengths are in knowledge and design. The developer knows that we

have the market know-how, and we can give our input on what is best to build.’

– ZACD chairman Kain Sim

‘MyRepublic is a low-cost, lightweight but innovative local company. We do a lot of things in-house, whether its developing IT solutions or producing creativemarketing campaigns.’

– Singapore managing director Yap Yong Teck

‘Trust has always been the first core value of OrangeTee. Our people are always

motivated to build a long-term and trusting relationship with customers and business

partners. During day-to-day operations and decision- making processes, we always

prioritise trust over commercial gain.’– OrangeTee managing director Steven Tan

‘We see opportunities for growth as we focus on providing more to our customers, bringing them the most value from our collective strength.’

– Saulo Spaolanse, Schneider Electric Singapore president

‘There is still a lot of infrastructure work in the region. What we need is a system

so that we know what are the optimal assets we should own. We want to

streamline our operations so that we become healthier and can run faster.’

– Roland Ng, Tat Hong Holdings managing director and group CEO

‘When a patient understands what you’re doing and sees that you are doing good, they will eventually feel the difference and slowly introduce more and more people to you.’

– B9 chief executive officer Raymond Lim

‘While it is still considered a small- and medium-enterprise (SME), Eurokars Group is an ambitious company that has its sights set on becoming a leading regional dealership.’

– Eurokars founder and executive chairman Karsono Kwee

‘Being from Singapore, we are at the heart of the fastest growing part of the

world. Fullerton participates in the advancement of this dynamic region by providing our clients with relevant solutions and differentiated insights

through a local perspective.’

– Fullerton Fund Management CEOManraj S Sekhon

‘We are still at an early stage but we see a lot of potential in the region. If we get everything right we could see a quadrupling of growth in the next five years.’

– Russell Anderson, managing director of Asia Pacific Importers, Jaguar Land Rover

‘As we are a social enterprise, we always put our customers at the forefront through creating services that go beyond just insurance that most commercial companies offer. My vision for the organisation is to offer our customers insurance made different.’

– Ken Ng, NTUC Income CEO

‘We will definitely be a strong regional bank, and not just a bank

but a financial services group with a bank, an insurance

company, an asset management company and a wealth

management business.’– Samuel Tsien,

OCBC’s group chief executive officer

‘Our vision is to be an industry trendsetter by developing and providing cutting-edge

solutions for governments and enterprises, to create a brighter future and enhance the

quality of life for citizens and the community.’

– Lim Kok Quee, NEC Asia Pacific managing director

‘In the next five to 10 years, we will strengthen our base in Singapore as the Asia headquarters, contribute to the overall quality index of early childhood education, and put Singapore on the world map for our ideas.’

– June Rusdon, chief executive of Busy Bees Asia

The economic miracle

‘Core to the value system of DBS has always been our strong sense of purpose; a social agenda and consciousness. This is deeply rooted in our DNA, being a part of Singapore’s history and playing a role in its transformation into one of the world’s top financial hubs.’– Piyush Gupta, DBS Bank CEO

‘It is important for us to leverage technology to enhance our real estate. It is real estate plus technology moving forward, that’s how we are going to have to operate.’– Lim Ming Yan, CapitaLand president and group CEO

6 | The Business Times | Wednesday, July 15, 2015 The Business Times | Wednesday, July 15, 2015 | 7

WHETHER it’s the Singapore Sports Hub,Changi Airport or Esplanade - Theatres onthe Bay, Schneider Electric has played a keyrole in ensuring that things run smoothly atseveral of Singapore’s most iconic infra-structuredevelopments.Theglobal special-ist in energy management and automation,with operations in over 100 countries, en-

sures that anything from the simplest of switches to the most complex opera-tionalecosystemshelpcustomersbemoresustainable,efficient, safeandrelia-ble. “Webelieve that asmart city is anefficient city, a liveable city, aswell asaneconomically, socially and environmentally sustainable city – these three ele-ments go hand-in-hand,” says Saulo Spaolanse, president of Schneider ElectricSingapore. “It is a virtuous circle: as a city improves the efficiency of its infra-structures, it will be able to improve the public services it provides, which willmake it abetter place, enhance itsattractiveness, helpcreate jobsand increaseits competitiveness.”

Mr Spaolanse, who has been with the company for more than 10 years,adds that Schneider Electric aims to help Singapore realise this vision with aproactivemodel thatanticipates futurechangeandtakesadvantageofnewop-portunities, using innovative technology to make the city-state more liveable.Itdoessobyhelpingcustomersachievemorewithfewerresources inanurban-ised and industrialised world where the need for energy will continue to in-crease.

TheSchneiderElectricstorybeganover175yearsago,growingfromafami-ly business to a global conglomerate. From its beginnings in steel during theIndustrialRevolution toelectricityand, more recently, toenergymanagement,the global Schneider Electric Group has made significant changes to its opera-tions throughout its history. Today, the company has more than 170,000 em-ployeesworldwideand itsconsolidatedrevenuewas24.9billioneuros (S$37.3billion) last year.

Schneider Electric is synonymous for its smart cities projects globally. Ithas implemented more than 300 smart city projects in cities around the world– from Boston to Beijing. This initiative, in line with Singapore’s move towardsbeing a smart nation – helps cities achieve their long-term sustainability goalsby improving their existing infrastructure and driving efficiency throughout acity’s operations with the help of technology.

There are many areas to make a city smarter and Schneider Electric hasmany avenues to assist in this regard. One method is to have smarter build-ings which enable owners and occupiers to monitor consumption of utilitiessuch as lighting and air-conditioning for better energy management. A secondmethod is to make water management smarter so as to reduce wastage. Third-ly, have a smart energy grid that will generate savings as consumption can beoptimised to meet spikes and troughs.

Fourthly,weworkwithcityplanners tohave“smartmobility” toreducetraf-fic congestion, make better use of roads and put in place more efficient trans-port systems. Fifth, to have smart public services such as video monitoringand emergency coordination to ensure the well-being and safety of citizens,while digital services improve the management of education, health care, gov-ernment administration and tourism.

Solutions for a sustainable futureAs the world of energy is transforming, with the convergence of IT and energy

technologies, Schneider Electric offers energy management services that cangenerate energy savings of up to 30 per cent. It also aims to develop the bestsolutions that guarantee ultra secure, ultra pure and uninterrupted power, es-pecially for critical applications.

At Schneider Electric, it looks at offering safe and efficient electrical and en-ergysystems thatare simple to useand yet help customers buildasustainablefuture.Over thepastyear, ithaspickedupseveral awardsandaccolades inrec-ognition of its sustainable development. The company was ranked 7th in theworld’s most admired companies in the electronics sector by Fortune maga-zine, the 10th greenest company in the world by Newsweek’s Green Ranking,and one of the 50 most attractive employers by Universum.

In Singapore, where the company has had a presence since the early 1970s(as Telemecanique Far East Co and subsequently renamed to Schneider Elec-tric in the 1990s), one of its biggest achievements was establishing its globallogistics hub, Hub Asia, in 2010, shared Mr Spaolanse. Hub Asia boasts a ware-house of 230,000 square feet with more than 7,000 references in stock. With acustomer base spread over 30 countries around the world, it shipped over64,000 tons of products in the past year.

Some of its key projects in Singapore include the new Singapore SportsHub, which recently hosted the South-east Asian Games. Schneider Electricde-signed and delivered a customised power distribution system for the NationalStadium and the surrounding areas, including the OCBC Aquatic Centre andOCBC Arena. The company also provided the modernisation retrofit solutionfor the Esplanade. With this ECOFITTM solution, the Esplanade was able to re-duce the downtime and increase cost savings.

Lookingahead,Mr Spaolanse reveals thatSchneider Electrichasmoreexcit-ing projects in the pipeline. Last year, for instance, it partnered with the Nan-yang Technological University to set up South-east Asia’s first micro-grid thatcantapanddistributepower frommultipleenergysources, includingfossil fu-els and renewable energy. “This project will provide a full-scale test-bed forSingapore’s ongoing energy research and could possibly pave the way for mi-cro grid technologies to meet critical energy needs in Asia. It could potentiallytap new technologies that can stabilise power grids in urban communities,” hesays.

The company also consistently improves its business, using a measure-ment called the “Planet & Society Barometer” as its sustainable developmentdashboard since 2005. “We believe that a performance measure is required tohave a significant impact and initiate lasting change, which is why we have de-fined specific objectives and measure our results each quarter. The aim of ourPlanet&SocietyBarometer is tomobilise thecorporatecommunityaroundsus-tainable development objectives and share our progressplans withstakehold-ers,” says Mr Spaolanse.

Schneider Electric also regularly works with local and international organi-sations and associations on economic, social and environmental issues to fos-ter sustainable development in cooperation withvarious players from society.For instance, thecompanyparticipates invariousdiscussionsonchallengesre-lated to climate change.

It also has the Go Green in the City initiative, an international challenge forundergraduatesto findcleversolutions forenergymanagement;andsupportsthe Solar Decathlon – one of the largest global university competitions whichchallenges students to design, build and operate solar-powered houses thatare cost-effective and energy efficient. Schneider Electric supplies the designand engineering services, as well as the electrical distribution equipment re-quired to connect the solar village to the utility service for the duration of theevent. Some of the organisations it works with on a global scale include theUnited Nations Global Compact, European Innovation Partnership for SmartCities and Communities, Transparency International, and the Clinton ClimateInitiative.

While the business environment is uncertain, Mr Spaolanse remains opti-mistic. “We see opportunities for growth as we focus on providing more to ourcustomers, bringing them the most value from our collective strength. Morecompetencies, better intimacy, more tailored solutions and deliveries, moredigitisation, more innovation and more simplicity,” he says. “We also work ac-tivelyonabetter return onthecapital weemploy,aswefocusonourcollectiveefficiency and further integrate the capabilities we have assembled.”

Shaping S’pore into a smarter nation

‘We see opportunities for growth as we focuson providing more to our customers,bringing them the most value from ourcollective strength.’

– Saulo Spaolanse, Schneider Electric Singapore president

PHOTO: JOSEPH NAIR

CEO CONVERSATIONS2015 golden jubilee edition

Schneider Electric wants to help Singapore become a more liveable city by improving its infrastructure

8 | The Business Times | Wednesday, July 15, 2015

AVISIT to the dentist is often synonymous with pain andavoidedat all costs by most. But this is an experience thatSmile Inc has been keen to avoid, carefully calibrating thedental experience for its customers. And this achieve-ment–helping tochangethepublicperceptionofdentist-ry inSingapore– isone that the firm isproudtohighlight.“The success of Smile Inc and its lifestyle focus haschanged the Singapore public’s perception of the dental

industry – from one associated with pain and fear of visiting the dentist to oneassociated with enhancing one’s self esteem and confidence through an im-proved smile,” says its CEO and co-founder Grace Chong-Tan. “Dentistry is nolonger about fillings, drilling and extractions, but providing the consumerwith a myriad of choices: with procedures from maintaining and sustainingone’s oral health to techniques on improving one’s smile, in addition to restor-

ing dental function and aesthetics.”Established in 1997 by Mrs Tan and

Ernest Rex Tan, the firm had set out torevolutionise the dental experiencefrom the beginning. It aimed to providehigh quality specialist and general den-tal care and services through the use ofthe latest technologies andstate-of-the-art facilities. These are setamid a patient-friendly setting with astrong emphasis on architecture and de-sign– like itscurrentduplex-frontedden-tal practice at The Sail at Marina Bay –

which would help to allay patients’ fear of visiting the dentist, says Mrs Tan.

Architecture and design has always been an integral part of Smile Inc’s

brand. The firm set up its first reconstructive and aesthetic boutique practice

at Mandarin Gallery in 2010, and then its duplex fronted dental practices at

The Sail, Marina Bay Downtown in 2013 and at One Raffles Place last year.

Thecompanywasamongthe first in themedicalanddental fieldtopractise

advertising, now a commonplace practice for the sector. “Advertising, previ-

ously not practised by the professional sectors, was important in assisting the

public to be informed and be able to make educated decisions on their treat-

ment choices,” says Mrs Tan.

Themanyaccolades thatSmile Inchasclinchedare testament to itssuccess-

ful branding. The group was recognised as the overall winner of the “Estab-

lishedBrands” categoryat the Singapore PrestigeBrandAward (SPBA) last year,

the Oscars of local small and medium enterprises, and inducted into the

Awards’ Hall of Fame. Before that, it had won the winner of “Established

Brands” for five consecutive years, from 2010.

Along the way, Smile Inc has also notched up many firsts in the field. The

group was the pioneer in Singapore to introduce chair-side teeth whitening

procedures inSingaporewhen it first setup in1997.The procedure tohelp pa-

tients tosignificantlywhiten their teeth in justonevisit is today commonplacein the country, but Smile Inc remains the only practice in Singapore to employthis Laser Teeth Whitening technology that is still touted as the gold standardinteethwhitening,saysMrs Tan.Smile Incwasalso theearliest to fullycompu-terise its operations, from the front office to the back room, she adds.

The group has grown its cosmetic dental practice as well, using a uniquecombinationofartistrywithcosmeticdental techniquestoaddress theaesthet-icconcernsofpatients throughits “TheSmile IncMakeover” trademarksuiteofservices. The procedures, which help to enhance the smile of its patients, canhave a significant impact on their self image, confidence and quality of life,says Mrs Tan. “This has led to the growth and popularity of cosmetic dentalproceduresamongthe publicandfellowcolleagues in thedental industryoverthe past decades.”

Singapore has “been a solid base” for Smile Inc, she added, particularly with

its stellar reputation for the healthcareindustry,ahighly trained workforceandexcellent infrastructure, providing a“strong foundation” for Smile Inc togrowitsbusiness. “Thesesteadfastquali-ties of Singapore Inc are also wellaligned with that of Smile Inc’s, andSmile Inc’s success today is a validationof the achievements of the former.”

Given the limited domestic market,however,Smile Incplanstoexpandover-seas. With its strong brand and multipleawards and achievements, the company

has received “numerous expressions of interest and proposals from private

and institutional investors to advance its footprint overseas”. “It is in this re-

spect that Smile Inc’s strategy for growth and expansion will take flight, and

where opportunities abound,” says Mrs Tan.

As Singapore reflects on its 50 years of independence and looks back on its

manyachievements, Mrs Tanhopes forSingapore tocontinuehavingastrong,

stable economy while continually making a positive impact on the global

stage, in politics, economic policies, environmental issues and in social initia-

tives.

At the same time, there is an “urgent need” to tweak Singapore’s healthcare

regulations in order for the city-state to remain competitive against its neigh-

bours, she adds. “We need to have our regulatory bodies in the medical and

dental fields be more open and not microscopic in their outlook.”

Singapore needs to liberalise “outdated and conservative regulations that

hinder progress, and stifle Singapore’s passage to stay ahead in the healthcare

game in the global arena,” says Mrs Tan.

“The ministry needs to continually work on building a regulatory frame-

work that encourages progress whilst maintaining high standards in patient

care in Singapore. . . One way forward is for the ministry to have open dia-

logues with Singapore’s private healthcare sectors and be more receptive toour needs.”

This is critical, especially as the costs of operating a healthcare businessrise in Singapore, with the lack of skilled manpower – whether surgeons, nurs-es or auxiliary staff – and the increasingly high costs of rental. These wouldeventually translate into higher treatment costs for patients, Mrs Tan warns.

But no matter what comes, she is confident of Smile Inc’s future. “Challeng-es will always abound and change is constant. Our shared vision with a com-mitted core team and workforce as well as a strong focus on our key strengthswill stand us in good stead in our drive for growth.”

Transforming dentistrythrough branding

PHOTO: JOSEPH NAIR

CEO CONVERSATIONS2015 golden jubilee edition

A pioneer in the use of advertising in the local dentistry sector,Smile Inc now plans to expand its footprint overseas

‘These steadfast qualities ofSingapore Inc are also well alignedwith that of Smile Inc’s, and Smile Inc’ssuccess today is a validation of theachievements of the former.’

– Smile Inc CEO and co-founder Grace Chong-Tan

The Business Times | Wednesday, July 15, 2015 | 9

AFTER almost 60 years of growth,

heavy equipment supplier Tat HongHoldings is restructuring its busi-

ness to capitalise on a new wave ofinfrastructure development expect-

ed to sweep across Asia in the com-ing years. With a fleet size of over

1,500 crawlers, mobile and towercranes ranging in size from under 50 tonnes to 1,600

tonnes, Tat Hong is the largest crane company in theAsia-Pacific regionand seventhworldwide in termsof ton-

nage.Over the past four decades, it has expanded its foot-

print to includeAustralia,China,Malaysia,Thailand,HongKong, Indonesia, Vietnam, and Myanmar. The company

services customers in industries ranging from construc-tion and engineering to infrastructure and energy. The

sluggish global economy in recent years has given thecompanyanopportunity toconsolidate itsbusiness, shuf-

flingassetsacrosstheirdifferentmarkets tomaximisepro-ductivity.

“The business environment has changed in the pasttwo to three years, especially with China slowing down

and the impact on Australia’s resources industry,” ex-plains Roland Ng, Tat Hong Holdings’ managing directorand group CEO who is also the eldest son of its founder,

Mr Ng Chwee Cheng.The slowing of the Chinese economy and the plunge in

globaloil prices over the past yearhas resulted in projectsbeing scrapped or delayed in Australia, a key market for

Tat Hong. However, a pipeline of infrastructure projectsrelated to Asia’s rapid urbanisation means that there are

opportunities for the company in the region. The setting

upof a Silk Road infrastructure fund to boost connectivity

across Asia and the establishment of the Asian Infrastruc-ture Investment Bank could also spur demand for its ser-

vices.“There is still a lot of infrastructure work in the region.

Whatweneed isasystemsothatweknowwhatarethe op-

timalassetsweshouldown.Wewant tostreamlineourop-erations so that we become healthier and can run faster,”

says Mr Ng. While their cash flows are still healthy, TatHong is looking to reduce its capital expenditure and cut

the fat from its operations, he adds.

The right talentAs Tat Hong approaches its 60th anniversary, Mr Ng’s vi-

sion is to professionalise the organisation to ensure itssuccess for many decades to come. “As a family business

you can only do so much. In order to expand we need to

have an internal system that is more professional and theright talent as well. We want to be able to sustain our busi-

ness for the next hundred years,” he says.After being established in 1958 by his father as a tyre

andbatteryshop,TatHongmovedinto the importandex-

portofheavyequipment–supplying localandforeigncon-tractors with earth-moving equipment and later, cranes.

Over the years, the company has played a role inSingapore’s development since its independence in 1965.

It provided the earth moving equipment for Jurong Indus-

trialEstate,apioneeringproject in thecountry’s industrial-isation efforts. Tat Hong was also involved in the develop-

ment of many HDB estates as the country became increas-ingly urbanised. Its cranes were also deployed in the

many infrastructure and institutional building projects

such as transportation infrastructure, hospitals, schools,

universities and petrochemical plants in the modernisa-

tion of Singapore.

Besides its crane rental business, Tat Hong’s original

trading and distribution business has likewise grown

throughtheyears. Ithasbeenthe leadingdistributorofHi-

tachi-Sumitomo cranes in the region for more than 10years running. In Australia, it has a multi-equipment, mul-ti-brandfranchisefor thedistributionofcranes,miniexca-vators, road-making and other construction equipment.

In Australia, wholly owned subsidiary Tutt BryantGroup, has a leading position across the crane hire, heavyliftandshift,equipmentsalesandgeneralplantandequip-menthiresegments. InChina,TatHong’s towercranerent-al business is ranked among the top few companies andhas a market reach across 29 provinces.

Despite deriving around 80 per cent of its revenuefromabroad, the company is still helpingwithSingapore’sdevelopment by the upgrading of its existing infrastruc-ture–whether it’sChangiAirport’snewterminalsortheex-tension of the MRT rail network. “There is a lot more wecando in Singapore in termsof upgrading and modernisa-tion. There are less factories to be built but more lifestyleprojects,” says Mr Ng.

On his outlook for Singapore, he believes that the roadaheadwill bea toughone thatwill requireSingaporeans tostick together. “It’s going to be tough for Singapore goingforward. There will be many challenges that we are goingtofaceanda lot thatweneed todo.However, Ibelieve thatwe are a resilient people and we can overcome the chal-lenges ahead.”

Riding on a waveof urbanisation

‘There is still a lot ofinfrastructure work in theregion. What we need is asystem so that we know whatare the optimal assets weshould own. We want tostreamline our operations sothat we become healthier and

can run faster.’

– Roland Ng, Tat Hong Holdings managing directorand group CEO

PHOTO: JOSEPH NAIR

CEO CONVERSATIONS2015 golden jubilee edition

Even as it spreads its wings abroad, Tat Hong Holdings continues tocontribute to the development of Singapore’s infrastructure

10 | The Business Times | Wednesday, July 15, 2015

Listed on SGX-ST in 1995, Vibrant Group Limited

(formally known as Freight Links Express Hold-

ings Limited) is a leading logistics, real estate

and financial services group headquartered

in Singapore. It offers a comprehensive range

of integrated logistics services including inter-

national freight forwarding, chemical storage

and logistics, warehousing & distribution and

record management. The Group is also

engaged in real estate business in property

management, development and investment.

Its financial services include fund manage-

ment, financial leasing services and asset and

trust management. The Group is the sponsor

and manager of Sabana Real Estate Invest-

ment Trust (REIT), the world’s largest listed

Shari’ah compliant REIT.

OUR VISION

To be a world-class integrated serviceprovider in logistics, real estate andfinancial services

OUR MISSION

We harness the synergistic effects ofour capabilities in logistics, real estateand financial services

We provide reliable and innovativeservices to our customers

We deliver credible and sustainablebusiness growth

Vibrant Group Limited • 51 Penjuru Road, #04-00 Freight Links Express Logisticentre, Singapore 609143 • Tel (65) 6262 6988 Fax (65) 6262 6929 Web: www.vibrant.com.sg Co. Reg No. 198600061G

BE IT garments and electronics in the1980s or TVs and disk drives in the1990s, Vibrant Group’s warehouseshave serviced the needs of a growingnation. The logistics and warehousingplayer, which renamed itself fromFreight Links Express Holdings to Vi-brant Group in end-2013, now has

grander ambitions. “We have grown ourselves to morethanafreightcompany.Wehaveaddedtwocorebusiness-es – real estate and financial services – to our businessmodel,” says CEO Eric Khua, whose family became a sub-stantial shareholder of the company in 2003.

Mr KhuaexplainsthatVibrant’s twonewbusinessesbe-gan in recent years because they were complementary tothe traditional freight and logistics business. Now, theyare taking on a life of their own, he says.

“Our logistics business needed warehouses, so we de-signed and built them ourselves with the property seg-ment. Then we were able to securitise the warehousesthrough our real estate investment trust (Reit), Sabana Re-it, in the financial services arm.

“The two segments had to expand on their own, so fi-nancial services went into fixed income, and propertywent into real estate. We are doing a public housingproject in China. We’re going into commercial property,buying Cecil House and a 35 per cent stake in Equity Pla-za,” Mr Khua says.

Freight Links began in 1981 as a freight forwarder withjust six employees. It gradually established itself as one ofthe top local players providing ship booking and customclearance settlingservices to deliver goods between coun-tries in South-east Asia.

“Wetookcareof importsandexports.Whencompaniesimport raw materials, we took care of delivery and trans-portation to the end customer,” Mr Khua says. “For ex-ports, Singapore used to be very strong in garments, wewere doing textiles. Subsequently we were doing electron-ics.”

In 1989, the company expanded into the logistics busi-ness by building its first warehouse to provide storageand inventory management services. In 1995, the compa-ny listed on Sesdaq, moving to the Singapore Exchangemainboard in 1997.

The firm was embarking on an aggressive expansion,buying warehouses and entering the crane business. Itwas includedasoneof55stocks in theStraitsTimes Indexin 1998.

However, the company was hit by the Asian economiccrisis and eventually faced cashflow issues on lower reve-nues. Mr Khua’s family, who is in the steel trading busi-ness, came to the rescue and became a substantial share-holder in 2003.

“It was an opportunity for us, so we took the plunge.

We evaluated the investment, we think there’s a lot of po-

tential. The company had a very extensive network world-

wide,” Mr Khua says.

In 2004, Freight Links reported its first full-year net

profit in five years. The following year, it entered the

chemical logistics business. Vibrant Group is today one of

the leading companies in Singapore handling toxic, corro-

sive and flammable chemical cargoes, serving the petro-

chemical sector here.

On Jurong Island, Singapore’s petrochemical refining

centre, the company had completed a S$130 million

state-of-the-art warehouse, the Chemical Megahub, at the

end of 2013. Vibrant provides transport and storage ser-vices, and drivers are specially trained to drive vehiclescontaining hazardous chemicals, Mr Khua says. “Singa-pore is the third-largest oil refining centre in the world.Most of the chemical companies on Jurong Island are al-ready our customers.”

In2014,Vibrant’sCatalist-listed associate FigtreeHold-ings, a developer, partnered with Vibrant to build a publichousing project in Jiangyin city in China’s Jiangsu prov-ince. “We were able to finance it, we could do project man-agement, we did it at a better price and did things on time.Afterwefinishbuildingtheproject,wesell it tothegovern-ment, so we’re not taking market risk,” Mr Khua says.

“We know our costs, we use a Chinese contractor andmonitor them very closely. We built the project ahead ofschedule and have been invited to undertake a secondproject which is five times bigger,” he says.

Vibrant is also workingwithFigtree to buildahigh-techindustrial park in Jiangsu’s Changshu city in the YangtzeRiver Delta. Other ongoing real estate developmentprojects include a S$60 million warehouse in Gul Circle tobe completed next year.

A notable investment was in June 2014, when VibrantGroupwaspartofaconsortiumtobuyRafflesPlace’sEqui-ty Plaza from Keppel Land and its fund management arm.

Meanwhile, on the financial services front, VibrantGroup is the manager and sponsor of Sabana Reit, whichwas listed in2010. Itwasthefirst andonlySyariahcompli-ant Reit listed on SGX, and the largest Syariah compliantlisted Reit in the world.

The group has a fund management associate, SentosaCapital,whose assets under managementhas growncloseto US$60 million. It manages a fixed income fund that in-vests in a broad range of sovereign and corporate bonds.And in May 2015, Sentosa Capital won both the Best AsianHedge Fund ex-Japan and Best Asian Fixed Income HedgeFund in Eurekahedge Asian Hedge Fund Awards 2015.

Ultimately, Vibrant Group stays competitive by identi-fying suitable people for the task, be it freight and logis-tics, property development or financial services, Mr Khuasays. “Ourstrengthin freight forwardingand logistics isal-so in our international network. We work with 120 agentsand connect our customers to over 600 destinationsworldwide,” he says. The company now hires 730 people.In its last financial year, it hit record revenues of S$191.4million and net profit of S$42.7 million.

Looking ahead, Mr Khua says the company constantlyneedstomonitorandunderstandthemarket,whileadapt-ing to changing circumstances. “Even like myself, havingstarted from where I was, I have been changing all thetime. Each time, people questioned: ‘What do you knowabout this?’ After we’ve done it, people ask me: ‘How didyou do it!’”

Adapting to the environment

PHOTO: JOSEPH NAIR

CEO CONVERSATIONS2015 golden jubilee edition

‘Our strength in freightforwarding and logistics isalso in our internationalnetwork. We work with 120agents and connect ourcustomers to over 600destinations worldwide.’

– Vibrant Group CEO Eric Khua

Vibrant Group has expanded from its core freight forwarding and logistics business into complementary property and financial services arms

The Business Times | Wednesday, July 15, 2015 | 11

12 | The Business Times | Wednesday, July 15, 2015