Jaber .. general manager.

SKM, a leading manufacturer of central air-conditioning equipment in the Gulf, reports excellent sales this year thanks to its focus on quality. The UAE-based firm is expanding its facilities to meet the demands of its growing export arena.

Despite the recessionary trends in the construction sector, SKM says it has had an outstanding first quarter, much of the credit going to the company expanding to hitherto untapped markets.

"A slowdown in the economy does not have a very adverse effect on a totally indigenous company like us. We are not a large international player and we have sufficient market here to sustain our business interests," says Ali Jaber, the company's general manager. "However, this quarter has been exceptionally good, thanks to targeting the right market. We already have a presence in all the GCC countries, but we are also studying other markets like Iran, Pakistan and India. Certain sectors in these countries - like the tourism and hospitality sector - look not for prices but for quality, and we have a sterling reputation for delivering quality."

An international supplier exporting to about 20 counties, SKM in on the threshold of a major expansion programme. A new factory is nearing completion in the Sharjah Industrial area and sprawls over 43,000 sq m.

"It will be one of the largest airconditioner manufacturing units in the Middle East - at least in terms of area," observes Jaber.

Having developed a range of new products including screw chillers ideal for use in highrise buildings, SKM initially started designing products based on British and American designs. "But now, our products have a cutting edge over imported units in that they perform to their full efficiency in local conditions. We design and manufacture units to suit the environment here, whereas our major competitors produce for the whole world. Naturally, their efficiency is affected. We bear extra costs to maintain quality, which is a strategic choice of ours."

With a string of highprofile clients including the Jumeirah Beach Hotel, Bur Juman Centre, Al Bustan Rotana and Deira Twin Towers in Dubai, among others, SKM's product range covers packaged liquid chillers, modular airconditioning units, comfort airhandling units, packaged airconditioners, split air-conditioning units, aircooled condensers and custombuilt units. Thanks to the ability to build to order, SKM has been able to deliver special designs - both systems and configuration - outlined by the civil/ airconditioning contractor.

"Manoeuvring and responding to the market needs is faster at SKM," asserts Jaber.

Complying with international procedures in design and functionality, the company has been certified to ISO 9001 since over five years. "My definition of ISO 9001 is consistency in production. Adhering blindly to ISO 9001 standards alone will lead you to complacency. It is a good yardstick but it is not an assurance of quality always. We, therefore, lay greater stress on quality. It is the reason we exist and so we grow in terms of quality all the time," says Jaber.

Originally focused on contractors, SKM has, however, built up a reputation even at the domestic level over the years.

"No, we have not targeted the domestic market nor do we intend to for the timebeing, but with centrally air-conditioned apartments becoming increasingly popular, we have edged closer to the needs of domestic and ordinary users.''

As the only air-conditioning manufacturing unit in the UAE, SKM feels that there is no protection for the local product. "There is no rule for standardising the product quality. In fact, sometimes we see the same product being sold under four different brand names in the market. In all areas, whether it is product, contracting or consultancy, we need standardisation. We need tough rules to put everyone in the right category in the right league. This is not to make things difficult for some. It is the normal practice to be adopted to have quality results and its result will reflect in the economy of the country.

''The market is priceoriented, but we target customers who look for quality. We do not compete with anyone in the market and our positioning has been clear from Day One - deliver only the best. Naturally, we advise customers not to go by price. The reliability of the manufacturer, durability of product, aftersales service and easy availability of spare parts are factors to be considered."

An approved supplier to Aramco, Abu Dhabi National Oil Company (Adnoc), Dubai Petroleum Company and Kuwait Oil Company, SKM had entered in a strategic tieup with Mammoth of the US in 1994 to produce innovative and energyefficient products with unique applications for the Gulf.

The machines, branded SwimPool, provide mechanical dehumidification very economically. SwimPool units are ideal for indoor swimming pools, pharmaceutical industry and other sectors that need a high level of mechanical dehumidification.

"SKM believes that every client is a partner. We go ahead positively and as a company which designs, engineers and builds units indigenously, we take pride in our continued excellent performance," concludes Jaber.

35