ASEAN ECONOMIC COMMUNITY (AEC) 10 TH AUGUST 2015 THINKING GLOBALLY PROSPERING REGIONALLY PROEIGHT‘S JOURNEY FROM IMPOSSIBLE TO POSSIBLE PRESENTER: Ir. AZHAR ZAINAL ABIDIN MANAGING DIRECTOR PROEIGHT SDN BHD
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ASEAN ECONOMIC COMMUNITY (AEC)
10TH AUGUST 2015
THINKING GLOBALLY PROSPERING REGIONALLY
PROEIGHT‘S JOURNEY FROM IMPOSSIBLE TO POSSIBLE
PRESENTER: Ir. AZHAR ZAINAL ABIDIN MANAGING DIRECTOR PROEIGHT SDN BHD
Launching
Analysis
Upending
Analysis
Transportation
Analysis
Pipelaying
Analysis
Marine Engineering & Naval Architectural Consultancy
Design, Manufacture, Testing and Refurbishment of
Mechanical Seals
Business Transformation
1998 2005
ProEight evolved from an Engineering Consultation company into a Mechanical Seal Designer, Manufacturer
and Refurbisher, area of specialty is in the Oil & Gas Industry in year 2005. Diversifies the product into
Designing, Manufacturing, Testing and Repairing of Pump in year 2015.
Design &
Engineering
Consultation in
Mechanical
Seals
R&D
Innovation
Advanced
Manufacturing
of
Mechanical
Seals
Wide Range of
Mechanical
Seals Design
BUSINESS TRANSFORMATION
Product Diversification
Design, Manufacture, Testing and Repair of Pump
2015
Design &
Engineering
Consultation in
Pump
Advanced
Manufacturing For
Pump
Pump
Testing
Pump
Repair and
Refurbishment
STRATEGIC LOCAL PRESENCE
PROEIGHT HEADQUARTERS
MAIN FACTORY: MANUFACTURING &
REFURBISHMENT CENTRE (MRC) BATU CAVES
WAREHOUSE TELUK KALUNG
PUMP TESTING & RESEARCH (T&R)
FACILITY
RESEARCH & DEVELOPMENT (R&D) CENTRE
MAINTENANCE, REPAIR &
OVERHAUL (MRO) LABUAN
PROEIGHT SERVICE CENTRE
MIRI
PROEIGHT SERVICE CENTRE
BINTULU
PROEIGHT SERVICE CENTRE TELUK KALUNG
WAREHOUSE LABUAN
INTERNATIONAL PRESENCE
Philippines
Thailand
U.A.E.
Argentina
International Presence
- Partnership with Tamimi
Group
International Presence
- Wholly Owned by ProEight
International Presence
- Partnership with G.Power
United States of
America (USA)
International Presence
- Wholly Owned by ProEight
International Presence
- Partnership with Philippines
ProEight Inc.
Holland
International Presence
- Inmas B.V. as an Agent for
ProEight
ProEight Inc.
ProEight (Thailand) Co. Ltd.
Philippine ProEight Inc.
South
Africa
Partnership with TAS
Online – Certified API
Pump Trainer
UNDERSTANDING
THE
BUSINESS
APPROACH
&
STRATEGY
RESEARCH &
DEVELOPMENT
(R&D)
CHAMPIONING
FAILURE
UNDERSTANDING
THE
BUSINESS
APPROACH
&
STRATEGY
RESEARCH &
DEVELOPMENT
(R&D)
CHAMPIONING
FAILURE
WHAT IS MECHANICAL SEAL?
Motor Pump
Shaft
Mechanical
Seal
Fluid pumped
in
Fluid discharged
out
Fluid prevented
from leaking out
What is mechanical seal (wet seal): • A device in pump that prevent
leakage of the process fluid.
• Mechanical seal can safeguard
the environment from leakages of dangerous substance.
• PETRONAS SWEC Code :
• Product : PM1 08 01 01 • Service : SM5 02 08 03
90 Years Experience
39.5% Market
Share
UK
Based
Technology
Pioneer
75 Years Experience
Copy from
John Crane US
Based
28.5% Market
Share
Copy from
John Crane
41 Years Experience
Germany
+Japan
Based
23.5% Market
Share
No
Technology
0 Years Experience
0% Market
Share
No
Funding
22 Years Experience
Copy from
John Crane UK
Based
5.5% Market
Share
MECHANICAL SEALS – AN IMPOSSIBLE MARKET
• ProEight is up Against Four (4) Large Corporations Dominating the Oil & Gas Mechanical Seals Industry. None from ASEAN Region.
Market Landscape (Year 2005)
UNDERSTANDING
THE
BUSINESS
APPROACH
&
STRATEGY
RESEARCH &
DEVELOPMENT
(R&D)
CHAMPIONING
FAILURE
MECHANICAL SEALS – AN IMPOSSIBLE MARKET
Competitors Slow
Response
High Price
High Inventory
No Engineering
Support
Customers
ProEight Assessment on Mechanical Seals Industry
Adoption of Blue Ocean Strategy (BOS)
ProEight’s Strategy & Formulation :
A GAME CHANGER
Price
Competing in Established Parameters The Keys
Speed Technology
Delivery too Long
High Price
Customer has to
Stock-up
Old Model
Old Technology
Expensive Technical Support
Poor Engineering & Technical
Support New
Innovations Value Added 1-Day
Manufacturing
1 Day
Refurbishment
New
Inventions Best Price
12 Weeks
Stagnant
Same Model
Better Product
Continuous Innovation
24-Hours
1 Day Manufacturing
Cost
Reduction
Competitive Price
Longer Lead Time
Higher
Cost
THE WINNING EDGE
Technology Speed Price
The Fastest Manufacturer The Best Technology Value For Money
12 Weeks
Stagnant
Same Model
Better Product
Continuous Innovation
24-Hours
1 Day Manufacturing
Cost
Reduction
Competitive Price
Longer Lead Time
Higher
Cost
THE WINNING EDGE
Technology Speed Price
The Fastest Manufacturer The Best Technology Value For Money
THE FASTEST MANUFACTURER
12 Weeks
Stagnant
Same Model
Better Product
Continuous Innovation
24-Hours
1 Day Manufacturing
Cost
Reduction
Competitive Price
Longer Lead Time
Higher
Cost
THE WINNING EDGE
Technology Speed Price
The Fastest Manufacturer The Best Technology Value For Money
• Structural Stress (Linear & Non Linear) • Thermal Stress (Linear & Non Linear) • Computational Fluid Dynamics (CFD) • Root cause Analysis and Improvement
Consultation
IN-HOUSE R&D AND ENGINEERING
R&D & Engineering Core Capabilities
FEA Analysis
• Simplification and standardization of seal design
Innovative
Mechanical Seal
Design
• Improving production process and system
Production Facilities
Improvement
• Selection of better and advanced material
• Improving seal performance and lifecycle
Improvement of
Material and
System Application
R&D Engineer : 30 personnel Design Engineer : 20 personnel Technical Service : 31 personnel Quality Control (QC) : 12 personnel
THE BEST TECHNOLOGY
ANSYS Mastercam X5 CFTurbo
Autodesk Inventor
12 Weeks
Stagnant
Same Model
Better Product
Continuous Innovation
24-Hours
1 Day Manufacturing
Cost
Reduction
Competitive Price
Longer Lead Time
Higher
Cost
THE WINNING EDGE
Technology Speed Price
The Fastest Manufacturer The Best Technology Value For Money
VALUE FOR MONEY
1 Day Delivery
12 Weeks Delivery
100%
of Price 60%
of Price
Competitors
MECHANICAL SEALS – ACHIEVEMENT
Fast Response
Competitive Price
No Inventory
Comprehensive
Engineering
Support
Customers
ProEight Achievement in Mechanical Seals Industry:
ACHIEVEMENT – CONTRACTS AWARDED
2010 2011 2012 2013 2014
SMSO
2015
SMSO
FROM IMPOSSIBLE TO POSSIBLE
YEAR 2015 CURRENT MARKET LANDSCAPE IN MALAYSIA (2015)
100 Years Experience
2.5% Market
Share
UK
Based
Technology
Pioneer
85 Years Experience
Copy from
John Crane US
Based
1.5% Market
Share
Copy from
John Crane
51 Years Experience
Germany
+Japan
Based
1.0% Market
Share
32 Years Experience
Copy from
John Crane UK
Based
0.8% Market
Share
ProEight has Successfully Changed the Market Landscape
by Dominating Malaysia Oil & Gas Market
in Mechanical Seals Industry and Expanding Regionally.
High
Technology
9 Years Experience
93.2% Market
Share
Malaysia
Based
UNDERSTANDING
THE
BUSINESS
APPROACH
&
STRATEGY
RESEARCH &
DEVELOPMENT
(R&D)
CHAMPIONING
FAILURE
RESEARCH & DEVELOPMENT (R&D)
ProEight Sees Opportunities Differently
Pioneer of New Technologies
Analysis &
Reports Testing Facilities
Patented
Products
International
Certifications
RESEARCH & DEVELOPMENT (R&D)
Analysis &
Reports Testing Facilities
Patented
Products
Structural Stress Analysis (Static)
Structural Stress Analysis (Dynamic)
Computational Fluid Flow (CFD) Analysis
Thermal Analysis
Multisystem
Analysis
Analysis Report for Sarawak
SHELL Berhad
Failure Analysis for
ExxonMobil Berhad
Failure Analysis for
PETRONAS Fertilizer (Kedah)
Sdn Bhd
To date, ProEight has produced
more than 200 reports with no additional cost to
clients.
International
Certifications
RESEARCH & DEVELOPMENT (R&D)
Publication Number : WO 2012/050432 A2
AccuTest - Patented Method
Produce Correct Measurement in
Accordance to API QMS Q1
Certificate of In-House Design API Mechanical Seal Leak Tester by Lloyd’s Register
Analysis &
Reports Testing Facilities
Patented
Products
International
Certifications
RESEARCH & DEVELOPMENT (R&D)
Factual
Certificate From
Lloyd’s Register
Pressure Test
Certificate
Analysis &
Reports Testing Facilities
Patented
Products
International
Certifications
RESEARCH & DEVELOPMENT (R&D)
Ability to simulate actual condition
Destructive testing during dry running
Use for modification & improvement of seal
Endurance and durability
Analysis &
Reports Testing Facilities
Patented
Products
International
Certifications
RESEARCH & DEVELOPMENT (R&D)
Factual
Certificate From
Lloyd’s Register
Pressure Test
Certificate
Analysis &
Reports Testing Facilities
Patented
Products
International
Certifications
RESEARCH & DEVELOPMENT (R&D)
Performance Test
Hydro Static Test
Vibration Test
Functional Test
Pump Testing Facility
Pump Testing Facility
Pump Testing Control Hydro Static Test Equipment
Analysis &
Reports Testing Facilities
Patented
Products
International
Certifications
RESEARCH & DEVELOPMENT (R&D)
Factual
Certificate From
Lloyd’s Register
Pump Testing
Interface & Report
Analysis &
Reports Testing Facilities
Patented
Products
International
Certifications
RESEARCH & DEVELOPMENT (R&D)
Publication No: US 2012/0133100 A1
R.S.T.
Mechaflex
Other R.S.T. Series: • P838 • P868 • P878
• P888
Analysis &
Reports Testing Facilities
Patented
Products
International
Certifications
RESEARCH & DEVELOPMENT (R&D)
Analysis &
Reports Testing Facilities
Patented
Products
International
Certifications
Provision of Engineering Research &
Development (R&D) of Mechanical Seals
Provision of Engineering Design
Provision of Procurement
Provision of Manufacturing & Refurbishment of Mechanical Seals
ISO Certification
RESEARCH & DEVELOPMENT (R&D)
Analysis &
Reports Testing Facilities
Patented
Products
International
Certifications
Provision of
Engineering Design,
Manufacturing and
Refurbishment
Research &
Development of
Mechanical Seals and
Equipment
API Specification Q1 Certification
UNDERSTANDING
THE
BUSINESS
APPROACH
&
STRATEGY
RESEARCH &
DEVELOPMENT
(R&D)
CHAMPIONING
FAILURE
CHAMPIONING FAILURE – A CULTURE
Innovative & Motivated
Finding Solutions
Rewarded
ProEight’s Championing
Failure Program
Failure
Demoralised
No Solutions
Scolded
Conventional Way
Failure
CHAMPIONING FAILURE – FINDING SOLUTIONS
Evidence
Gathering
Root-Cause
Analysis Research Ideas
Finding
Solutions
System
Improvement
Staff Training
& Motivation
Product
Innovation
Improved
Manufacturing
Methods
Safety
Improvement
Engineering and
R&D
Enhancement
Implementation
& Monitoring
CHAMPIONING FAILURE – FINDING SOLUTIONS
Productivity
Customer
Satisfaction
Staff
Motivation
Reliability
Innovative
Manufacturing
Method
Company
Profit
Patented
Product
Company
Sales
FROM IMPOSSIBLE TO POSSIBLE
Going Global…
Adopting the Correct
Approach & Strategy
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