SAUDI Arabia’s Al Muhaidib Technical Supplies Group (MTSG) took advantage of a weak market in 2009 to consolidate its operations following recent acquisitions and position itself for a “strong 2010”.

In a further show of confidence, the company is now open to further acquisitions while reviewing alliances, says general manager Musaab Al Muhaidib.

A subsidiary of the Al Muhaidib Group, the Riyadh-based MTSG is a leading supplier of fasteners and fixings for the construction, energy and telecom industries.

 “While our competitors were retrenching staff, we embarked on a strategy for strong growth in 2010  based on a combination of organic growth and new showroom locations,” he says. “Operational improvements were not ignored and the company consolidated inventories and refined purchasing practices as part of the plan.”

MTSG’s team has been strengthened and enters 2010 in fighting form, he adds. “The first step will be to build stronger relations with our customers. I am convinced that the long-term presence of Al Muhaidib in the construction market, combined with new marketing initiatives, will lead to growth,” he says, adding that better accessibility and a focus on customer requirements will allow MTSG to gain further traction across the GCC.

Al Muhaidib also sees  increased accountability within the organisation as being crucial to its success. “We must be our own scorekeeper and at times be a tough taskmaster. This is not just for our sales team – we also have stretched targets regarding inventories and purchasing,” he says.

MTSG managing director Dr Jamal adds: “Upgrading is a constant priority at MTSG and has never been more important than right now.”

Al Muhaidib says that the focus for the new year is beyond organic growth.

“Part of our model is improved customer accessibility, through our 14 showrooms and four warehouses. Our customers expect us to be close to their work, and we have pencilled in two new geographies within the kingdom,” he says. “Also, we took our first steps outside Saudi Arabia and opened a showroom in Dubai in 2008. Our warehouse in the UAE will be stocked by the year-end, and we look forward opening more showrooms across the Gulf.”

Despite banking and credit issues weighing heavily on the minds of businessmen, Al Muhaidib indicates  he will not rule out further “bolt-on acquisitions”.

“We  are looking ahead to further consolidation. Our strategy hinges on leveraging a solid customer base combined with a flexible business model and expect  our sales team to stand and deliver,” he concludes.