Ali Salah Al Dhakeel*, general manager for Al Rashed Building Materials, who has been with the Rashed Al Rashed Group since 2001, speaks to Gulf Construction about the strategy that the company has in place to attain its vision of becoming the market leader.

GCM: What is the strategy that the company has in place to ensure its success in the long term?
Al Dhakeel: We have a vision to be the market leaders and over the past four years we have seen double-digit growth. The management philosophy of the owners allows us the freedom to work with no restrictions and while we are independent our success is with the support of the group.
Our vision is to be the Number One choice of the customer in the market. In order to do so, we need to be all over the kingdom. Key to our success is our 33 branches that are managed as one company.

GCM: How has business been over the past year? How does this compare with the previous year, and what are the prospects for the coming year?
Al Dhakeel: 2006 has been the best year ever – and it is just beginning. We aim to triple our 2006 turnover over the next few years. We are growing faster than the market and reclaiming lost market share. This year is looking tremendous.

GCM: How is competition in the market for your sphere of activities and how does BMD maintain a competitive edge?
Al Dhakeel: Once you know your competitor, it is easy. Our major competitor has 62 branches but is not unified as one company. Our motto – which is “we are one company” – gives us the competitive edge.
We are also very transparent with the customer.

GCM: What are the latest developments within the company and what are BMD’s plans for the next year or so?
Al Dhakeel: In terms of new products, we will be introducing a new range of steel products over the next six months in response to market demand.
Also in the last three years, we have opened six new branches and we expect to launch three more soon and a further five by 2008. However, we still require to open more branches to cover the kingdom.
We are also keen to diversify. Hence, we are trying to add value to our services and facilities. For example, in Abu Dhabi, we have added a cut-and-bend facility as well as a stretching facility.

GCM: Generally, how has the construction scene been in Saudi Arabia over the past year and how do you see it over the next year?
Al Dhakeel: The construction sector in Saudi Arabia has seen a growth of five to seven per cent but over the next three to four years we expect this to exceed 10 per cent. With oil prices as the major driver and the easing of some regulations, we see new projects being launched both by the government and private sectors.

* Al Dhakeel graduated in Business Administration in 1989 from King Saud University and obtained his master’s degree in Finance from KFUPM in 1996. Following a five-year career at Amiantit, he joined the Rashed Al Rashed Group in 2001.