12 October 2011

New Managing Director of Projects to take Cosira Group into accelerated growth phase

In a strategy to create a sustainable business model centred on calculated growth, Silva Group Holdings recently restructured its assets into four key areas namely Cosira Group; Silva Plant and Logistics; Silva Corrosion Solutions and Silva Property Investments.

This traditionally family-owned and run business exhibits an entrepreneurial spirit that has carried it through the past 23 years; but had identified that in order for the Cosira Group to become the leading contender in the South African structural, mechanical, electrical, instrumentation, plating and pipeworking construction arena, change was inevitable.

The appointment of Jean-Raoul Charoux as Managing Director of Projects this year reinforced the company’s intention. With over 35 years’ intensive experience in the construction industry, 20 of which were at a senior managerial and leadership level, Charoux is ideally qualified to take Cosira into the next phase of its development.

Charoux’s comprehensive experience encompasses the detailed analysis of businesses and the implementation of financial modelling and strategic business plans. His flair for turning projects and businesses into profitable and sustainable ones made him the perfect choice for identifying and accelerating the growth and change process at Cosira.

Charoux points out that any change that impacts on the roles that the 2 000-plus employees play in the company needs to be carefully and systematically communicated to them. “This is critical if one considers that the wellbeing and loyalty of employees is the lynchpin of any business. If employees feel they have been excluded from the change process, the chance of disgruntlement increases exponentially. By necessity, the change process will have profound implications on the reporting lines, responsibilities and areas of accountability for all employees.

“In addition, because the change is a based around developing the company into an entity with a more distinctly corporate model, the organisational culture of the company is naturally brought under scrutiny. Ultimately, the shift from family-based business to corporate enterprise requires a mindset change within the employees for it to be successful. The aim is for the business to retain its entrepreneurial flair, agility and flexibility, and to secure employees’ buy-in into the process. This will ensure that employees remain an integral part of the company’s future,” says Charoux.

While still drawing on its entrepreneurial prowess, growth of the business forms an important step in the corporate evolution of Cosira. “The plan is for the company to double in both physical size and projected turnover in the next three to five years,” says Charoux. “This incorporates the immediate development of a three-year business plan which will unite the separate entities within the Group through a common mission, vision and organisational purpose. Primarily this involves driving a performance-based pioneering, empowered and innovative spirit and culture throughout the organisation and fostering an attitude of accountability.”

TRAINING FOR THE FUTURE

Charoux acknowledges that the lack or shortage of essential technical skills is often a limiting factor in the growth of a company. “The primary cause for this skills void can be found in the historical educational shortfall experienced during the Apartheid era in South Africa. Unfortunately, this has resulted not only in a lack of skills necessary in industry, but also in unacceptably high levels of unemployment.

There is absolutely no doubt that long-term organisational performance, growth and ultimate success is governed by the investment of companies in rigorously developing their skills base and retaining the skills they have developed and nurtured,” says Charoux.

“It is our vision to be considered an ‘employer of choice’ so we have made an investment in the technical courses that we offer in-house and through external training consultants. We also encourage our staff to study formally where possible, to enhance their professional growth and development.”

Technical skills growth is not limited to current employees. “It is Cosira’s intention to encourage new graduates in the field of engineering, project management, construction and quantity surveying to join the organisation. These welcome additions to the company will then be enrolled in training programmes that will enhance their theoretical knowledge.

“We believe that we are not just providing employees with a job, but rather with a career path that will be beneficial to both them and Cosira. By acknowledging and participating in Cosira’s identified performance culture and stringent organisational expectations, there is a definite opportunity for existing and future employees to fast-track their career growth path,” says Charoux.

 

ACTION STATIONS

“It would be true to say that ‘action’ forms the backbone of the growth strategy and it will be applied across the key tenets of business practice in safety, quality and ‘zero tolerance/zero harm’,” says Charoux. “Coupled to this is the overriding objective of providing our customer base with complete satisfaction through timeous delivery of excellence in all operational aspects of the business.”

As part of his portfolio of goals, Charoux will be responsible for helping to mobilise Cosira in the arena of lean construction methodology. “This will be achieved through a concerted and auditable project management methodology and practice which involves an end-to-end holistic approach to engendering teamwork. In essence, each sector of the business – from manufacturing to construction, draughting, fabrication and on-site erection – will be accountable to each other for successful completion and delivery of each project,” Charoux explains.

Whilst the goal is to utilise the capacities and capabilities of the company’s in-house team and equipment, Cosira is not averse to outsourcing elements that would benefit clients. “This also reduces issues with logistics and risk as all outsourced work is governed by performance guarantees and strict contractual criteria,” says Charoux.

 

EXPANDING THE PAN AFRICAN FOOTPRINT

Although Cosira has a recognised base of steel fabrication projects for copper, gold, platinum, uranium, zinc and tin mines; coal terminals; steel mills and power plants throughout southern Africa, Charoux admits that for the company to truly become a force to be reckoned with, it needs to implement a definitive strategy outlining operational parameters.

 “This could well include identifying efficiencies and the outsourcing of work to third parties. At the same time, while we will endeavour at all times to utilise local skills and resources, in the interests of effective project execution, it will sometimes prove necessary to import skills from South Africa into pan African operations.

“We will continue to leverage our existing relationships with pan African companies and our knowledge of the cultural requirements of the countries in which they are situated, to provide a springboard for launching overseas companies into this sector. We are able to offer these global players with the necessary infrastructure and close proximity to infiltrate these growing markets,” says Charoux.

“One of our underlying differentiators is that we continue to find new and innovative ways of facing the challenges posed by working in both South Africa and in cross-border countries. At the core of our business ethos is the insistence that our entire team places quality of workmanship, coupled with customer service, on their top priority list. Customer satisfaction is earned by investing in a partnership mindset that works towards mutual understanding, synergy and cooperation for mutual benefit,” Charoux concludes.