Summary Report - AL NABOODAH CONSTRUCTION GROUP LLC

Requirement

I need a summary of a company called Al Naboodah.First about the founders and their legacy.second, There are 2 arms under those 2 companies and under them are about 20 companies.I need a summary of every company if available.The construction group's ongoing projects and past projects and awards.
Real estate portfolio
Arabian center (Shopping mall)
Swaidan auto mobiles & Vehicles (Important)
Al Naboodah Travel and Cargo
I need a summary about them, products they offer, brands, services and awards.

Solution

INTRODUCTION

Al Naboodah is one of the biggest industrial conglomerate operating in UAE which has diverse business portfolios staring from real estate to investment funds. This report looks to summarise the business models and the operational philosophy together with the domains of their operation of the 20 companies that are under the AL Noobadah group. Al Noobadah is primarily segmented into two main companies namely, Al Naboodah Construction Group and Al Naboodah Commercial Group. Within these two broad organizations there are around 20 companies operating in various industries and at different geographical regions. This article is going to talk in detail about these different companies with special reference to the work they do and the awards they have been able to achieve. This report starts with a brief history about the founding members and their story through the years while developing the Al Naboodah group companies and then moves on to talk in detail about the other group companies.

HISTORY AND LEGACY:

The AL Noobadah group of companies was founded by two brothers Mr Saeed Juma Al Naboodah and Mr Mohammed Juma Al Naboodah and they can be considered as the founding partners of the Saeed & Mohammed Al Naboodah Group. They had set up their business around 1958 with the view to build an empire wherein the business would flourish and grow into the successful conglomerate it is today. They had embarked on this great journey by setting up a small agricultural machines shop which was later transformed in this big business group. For approximately six decades the two brother Saeed and Mohammed Al Naboodah had been working hard to shape the strategy and development of the Al Naboodah group. Their hard work has made it possible that the group has been established as one of the prestigious business groups in the region. They are no longer involved in the daily running of the business but they still enrich the operations of the group with their valuable and experienced advice which has helped in steering the organization through numerous tumultuous times. The group is now run professionally by a board of directors who are mainly consisting of the 2nd generation family members of the Al Naboodah family. A brief discussion on the timeline of the Al Naboodah Group has been discussed below:

  • 1958 – Saeed and Mohammed Naboodah had started their journey with a modest investment of 2000 rupees with the opening of a shop in Deira which deals in agricultural machines.

  • 1960 – The construction business started in this year with a focus to be part of the growing infrastructure needs of the country.

  • 1970 – By this time the Al Naboodah group had started trading places in the respective fields in which it was operating and made a name for themselves.

  • 1980 – This formed a landmark year for the Al Naboodah group since it was able to spread its fame across the different countries and was internationally recognized.

  • 1990 – By this they had established themselves as the leading brand in the UAE region and they had embarked on the journey of lighting up the lives of millions through their business.

  • 2000 – This year is recognized within the AL Naboodah group as the year of the rising sun since they made considerable headway in different fronts in this year.

  • 2010 – The story continued with the rise and growth of various industries in the Al Naboodah group of companies and they aresteadily growing at a rapid pace to give tough competition to all the international companies.

The philosophy which drives the AL Naboodah group of companies is that of customer satisfaction and customer service. They are based out of Dubai with significant operations in different parts of the country so that they are able to tap into the growth of Dubai as an international business destination and wish to become a part in the Dubai’s growth story which would enable them to establish Dubai as one of the leading cities in the world.

If we start investigating the group structure of the Al Naboodah group of companies then it can be seen that there are two group companies which are the mother company and then there are more than 20 companies working in several sectors. Saeed and Mohammed Al Naboodah Holding LLC is the mother company with another branch being the Al Naboodah Real Estate Investment LLC. Under the Saeed and Mohammed Al Naboodah Holding LLC there are three segments namely, Al Naboodah Construction Group LLC, Al Naboodah Commercial Group LLC and Al Naboodah investment LLC. We are going to discuss in detail about each of these companies and their operations in greater detail in the ensuing discussion (Sayegh, 2014).

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AL NABOODAH CONSTRUCTION GROUP LLC:

The United Arab Emirates was formed in 1971 and since then it has been making steady development in every field to establish itself as one of the successful countries in the world. The cities of Abu Dhabi and Dubai has made progress in leaps and bounds to evolve from a humble fishing ports and trading posts with traditional wind towers into thriving, vibrant cities renowned for their modern buildings and world-class airports, seaports and infrastructure. Saeed & Mohammed Al Naboodah Group had established themselves in the region as a dominating force in the construction business and began operating in construction in the 1960s, and towards the end of 2007 they had been able to consolidate their construction business to give birth to the Al Naboodah Construction Group LLC which supports almost 12,000 employees under its umbrella who are highly skilled and talented to contribute for the growth and profitability of the group (“Nominated sub-contractors under UAE construction law,” 2003).

The Al Naboodah Construction Group has brought expertise in serving in several construction related sectors which cover from civil engineering, building and MEP capabilities. All these operations are directly operated from the new office they have set up at Al Awir, Dubai.The various projects in which the Al Noobadah group is involved include the construction of airports, buildings, commercial landscaping, district cooling plant, roads bridges and tunnels, construction of production facilities and micro tunnelling and horizontal directional drilling. These are some of the unique engineering capabilities developed by the group in the construction space. Within the construction space there are several companies which come under this group and are discussed later in this report (Mehran, 2016).

  • Al Naboodah Contracting Company LLC – This group company is entrusted with the work of negotiating contracts in any construction work that is going on in the region. They are responsible for submitting bids and getting contracts from the construction projects of several other companies.Al Naboodah National Contracting Group LLC – This Company is responsible for submitting bids and securing construction contracts at the national level with special reference to the government contracts which are implemented in the development of the national infrastructure (Khwaja, 2005).

  • Trans Gulf Electro Mechanical LLC – This Company is working in the domain of mechanical works like drilling and excavation or other mechanical engineering work involved in the infrastructure sector like metals, mining, and steel or construction industry. They have a widespread operating reach in the middle-east gulf countries.

  • Al Naboodah Contracting Company LLC (Oman) – This group company have similar operations as that of Al Naboodah Contacting Company LLC but their reach of operation is quite different from that of the latter. The latter company is mostly operating in the UAE region while the other one is operating in Oman. They are responsible for securing contracting jobs in Oman.

  • Al Naboodah International Construction Company Ltd – This Company is involved in the construction activities all over the world. Some of the typical projects in which they are working include building airports, tunnels, buildings and other constructional infrastructure. This company geographical operations range all over the world beyond the gulf countries (Faridi & El?Sayegh, 2006).

  • Al Naboodah Contracting SSC (Qatar) – The operations of the contracting company is limited to submitting bids and securing construction related projects but is primarily limited to the geographical region of Qatar. The group has established such companies all over the Middle East in order to have a better reach and focus in their domestic operations.

  • Trans Gulf International Electro Mechanical WLL (Qatar) – This company is entrusted with the job of securing various mechanical works related to drilling, excavating and other construction projects which are closely intertwined with the mechanical engineering work. However the company is based out of Qatar but participate in global construction project bids which are beyond the domestic operations of Qatar.

  • National Plant & Equipment LLC – This is a special competency company within the Al Naboodah Construction Group which deals with the manufacturing of heavy earth equipment or the equipment which are utilized in construction works all over the world. These include heavy earth machinery used in the mining or construction industries. They have a leading reputation in this space of manufacturing equipment and they are able to participate in the growth story of Dubai.

  • Al Naboodah Specialist Services LLC - Al Naboodah Specialist Services LLC. Offers construction management and consulting services. The company is based in the United Arab Emirates. Al Naboodah Specialist Services LLC. Operates as a subsidiary of Saeed & Mohammed Al Naboodah Group. They have pioneered in the domain of providing consulting service to other construction companies involved in the construction domain (“Bechtel awarded UAE gas expansion project,” 2004).

  • Al Naboodah Ready Mix Concrete (ARCON) LLC –This company is involved in the manufacturing of cement which is considered to be a growing industry with good prospects. In order to have a complete portfolio in the construction industry they have invested in this state of art cement manufacturing facility. This produces innovative products which can be readily used in the construction industry.

  • Al Naboodah Engineering LLC – This is involved in a generic engineering product manufacturing and consulting in engineering projects. It is also a subsidiary of the Al Noobadah construction company LLC.

AL NOOBADAH COMMERCIAL GROUP LLC:

Al Noobadah is also involved in the automobile, motorcycle, allied products, furniture, electrical, lighting and travel industries. This branch company of the Al Noobadah group is the holding company for all these activities of the group. They have established themselves as the dominant player in these industries through years of hard work which entails excellent customer service and quality products. There are several group companies under its purview whose operations will be discussed in detail in the following discussion:

SWAIDAN TRADING Co LLC:

Swaidan Trading Co. LLC has established itself as the most valuable business of the commercial group and it gives job to around 700 people which is one of the largest in the region. The group is able to operate in the domains of automotive, commercial vehicles, heavy equipment, rubber products, agricultural and pest control sectors. The company a strong brand value and the image of quality product maker in UAE.
The Commercial Vehicles and Heavy Equipment Division is expanding steadily in the region with an increased customer base with the help of state of the art products which include buses and coaches, passenger vehicles, pickup trucks, forklifts, air compressors, cranes and spare parts. The section has a reputation for providing excellent customer service and after sales service. 
This sectionhas been crucial in establishingSwaidan Trading Co. LLC as a major importer, distributor and after sales service provider to a wide gamut ofindustrial domains in the UAE. It represents some of the world’s leading brands, such as Ashok Leyland, Sunwin, VDL, Great Wall, Clark, Kaeser, Sennebogen, Sacme, Hubtex and many more. These partnerships and collaborations are the evidences that help in establishing the fact that the company is excelling in the domain of trucks and commercial vehicles, plus heavy equipment in the UAE.
Thorn Gulf LLC – Thorn Gulf LLC is involved in the lighting industry with a wide range of innovative products which have proved crucial for clients like electrical contractors, lighting designers, municipalities and landscape architects.
The company has established itself as one of the best in the business with its superior product line which is bolstered by excellent designing advice and consulting services which is provided to deliver a superior customer experience.
Al Naboodah International (Vietnam) Co. Ltd – The group’s commercial wing has also established business in Vietnam to expand its operations in the Asian countries. All the commercial operation under the name of the group in the emerging markets are conducted with the help of this organization (Al-Hajj & Hamani, 2011b).

SUSTAINABILITY REPORT:

The Al Noobadah group produces a sustainability report as a measure towards creating a more responsible corporate image for the company. As businesses are striving towards further integration of the triple bottom-line values which involve environmental concerns and sustainable growth of the various stakeholders in an organization which leads to the development of the society and the country as a whole (Albaloushi & Skitmore, 2008). Some of the key points highlighted in the sustainability report are as follows:

  • Mission and Vision – The Company has stated about its mission and vision which involves creating a well-diversified company which will be able to establish its business firmly in the middle east as well as other countries in the world. They have specialised services in the construction, real estate and investments domain which they wish to continue with the help of the culture and heritage of Dubai.

  • Community Services – The group has invested heavily in the social and economic improvement of the downtrodden in the society wherein they have distributed clothes, canned foods, etc. in a drive that is organised semi-annually. The group has come forward in helping our several charities in the UAE for the calendar year 2015 and also encouraged its employees to do the same. As a measure towards closely intertwining the activities of the employees and the community as a whole the group had addressed the Ramadan Forum for the eleventh year in a row (Al-Hajj & Hamani, 2011a).

  • Environmental responsibility – The Company has been active in the environmental concerns of the country. The real estate arm has been particularly involved in re-using the paper which are not confidential and made active contributions in the recycling program with the Emirates Environmental Group (EEG) and there is also one Can collection campaign which aims at raising the recycling rates of the aluminium cans. They have significantly contributed to the waste management systems established in the country. The numerous innovations in this field have been established with the help of the state of the art technology established by the group.

  • Marketplace concerns – The group has been pro-reactive in revealing market data to the clients and consumers of the group. They have been particularly involved in customer feedbacks to understand their shortcoming and improve their value proposition in future (AbiNader, 2002).

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CONCLUSION:

This report briefly summarizes about the various activities of the Al Noobadah group with special reference to the various branches this company has established. The report starts with explaining the glory heritage of the company and then moves on discussion in detail about the operations of the individual companies under its umbrella. It can be seen that the group has significant operations all over the world with specific dominance in the Middle East countries and contributed significantly in the growth of Dubai. This report should be viewed as an attempt towards making a critical analysis about the operations and the business models about the subsidiaries of the Al Noobadah Group.

References

  • AbiNader, J. R. (2002). PETROLEUM INDUSTRY OUTLOOK. Middle East Policy, 1(1), 89–96. doi:10.1111/j.1475-4967.1992.tb00022.x

  • Al-Hajj, A., & Hamani, K. (2011a). Material waste in the UAE construction industry: Main causes and Minimization practices. Architectural Engineering and Design Management, 7(4), 221–235. doi:10.1080/17452007.2011.594576

  • Al-Hajj, A., & Hamani, K. (2011b). Material waste in the UAE construction industry: Main causes and Minimization practices. Architectural Engineering and Design Management, 7(4), 221–235. doi:10.1080/17452007.2011.594576

  • Albaloushi, H., & Skitmore, M. (2008). Supply chain management in the UAE construction industry. International Journal of Construction Management, 8(1), 53–71. doi:10.1080/15623599.2008.10773108

  • Bechtel awarded UAE gas expansion project (2004). Pump Industry Analyst, 2004(12), 4. Doi: 10.1016/s1359-6128(04)00594-4

  • Faridi, A. S., & El?SayeghSamehMonir (2006). Significant factors causing delay in the UAE construction industry. Construction Management and Economics, 24(11), 1167–1176. Doi: 10.1080/01446190600827033

  • Khwaja, M. (2005). CB&I wins UAE gas processing project. Pump Industry Analyst, 2005(9), and 3. Doi: 10.1016/s1359-6128(05)71033-8

  • Mehran, D. (2016). Exploring the adoption of BIM in the UAE construction industry for AEC firms. Procedia Engineering, 145, 1110–1118. doi:10.1016/j.proeng.2016.04.144

  • Nominated sub-contractors under UAE construction law (2003). Arab Law Quarterly, 18(1), 104–106. Doi: 10.1163/026805503773081780

  • Sayegh, S. M. E. (2014). Project risk management practices in the UAE construction industry. International Journal of Project Organisation and Management, 6(1/2), 121. doi:10.1504/ijpom.2014.059748

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