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Mowasalat Business Strategy

2012- 2016

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Introduction

The Transport Company Q.S.C (Mowasalat) a Qatari shareholding


company incorporated in the State of Qatar under commercial
registration number 26887 was established as per Article No. 5 for
year 2002. It has been given the exclusivity of managing and
operating public transportation services for 20 years from the date of
decree.

The registered office of Mowasalat is located at P.O. Box 1186, Doha,


State of Qatar. The principal activities of Mowasalat are operating a
fleet of taxis (airport and standard), providing school buses, buses for
staff transportation to various companies in Qatar, public
transportation buses, operation of a driving school and mechanical
maintenance services.

Transport Solutions
School Bus
(Events, Contracts Driver Training
Transportation
and Private Hires )

Public Limousine
Taxi
Transportation ( Standard and VIP)

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Executive Summary

Qatar is seen as one of Middle East and North


Africa's (“MENA”) best growth stories, with a
steady economic outlook, relatively stable
political risk-profile and a consistently
improving business environment. The
economy's rapid expansion is supported by
Liquefied Natural Gas (LNG) exports, sizeable
oil reserves and large scale investments in
infrastructure.

An increased reliance on non-oil revenues and


a shift in spending towards large-scale
infrastructure investments are the two major
expected amendments in the country’s budget
dynamics.

According to the Qatar Statistics Authority, the


workforce in 2009 was 1.26 mn, out of a total
population of more than 1.44 mn; and, although
no official figures exist, estimates put
unemployment rate at under 3% of employee
population.

Given the rapid expansion of the economy,


which is expected to continue over the coming
years as well, the demand for foreign workers
will continue. The population of Qatar is
forecasted to be 1.6 million in 2012. It is
expected to further increase to 1.8 million in
2014 and then be constant up till 2016.

In view of the above and with the Qatar Government as a host for World Cup 2022;
Mowasalat as the Transport Service provider in the Country was mandated to revise its
strategic and business planning by re-setting objectives and targets in line with the country’s
vision and mission and to grant supporting the growth in demand in the Transportation
sector.
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Mowasalat’s Business
Planning Process

Corporate Objectives

Corporate Strategy

5 year Corporate Business Plan

Annual Planning & Budgeting Process

Half Yearly performance Review

Quarterly Management Reporting

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Vision & Mission

Mowasalat will be the preferred provider of


integrated transport solutions & services
within the MENA region by 2016

‫أن تكون مواصالت الجهة المفضلة لتقديم حلول‬


‫وخدمات المواصالت المتكاملة في منطقة الشرق‬
.2016 ‫األوسط وشمال أفريقيا بحلول عام‬

‫توفير حلول نقل ذات جودة وتكلفة فعالة مطابقة‬


‫لمعايير األمن والسالمة وصديقة للبيئة بما يرضي‬
‫كافة العمالء ويحقق رؤية قطر‬
Provide quality transport solutions that are
cost effective, safe and environmental friendly,
for the welfare of the State of Qatar and the
satisfaction of our customers.

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Corporate Values

Corporate Image

Integrity
Customer Driven

Transparency
Stewardship

Socially Employee
Responsible Development

Progressive Accountability

Empowerment

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Short Term Corporate Objectives
(1-2 YEARS)

 Reduce operational costs through improved business processes

 Improve project management practices for monitoring projects on


cost , time and quality.

 To give impetus to Qatarisation strategies aimed at providing


appropriate job opportunities for qualified and capable nationals

 Expand fleet to meet the current market requirements

 Raising community awareness for traffic rules and regulations

 Creating awareness for transport safety and green environment

 To create new business opportunities through franchising that meet


our obligations for the commitment to offer better public
transportation;

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Long Term Corporate Objectives
(3-5 YEARS)

 To establish Mowasalat as the market


leader in quality and value-priced
transport service solution provider in
the State of Qatar and in the MENA
region.

 To Establish and maintain good


working relationships with our present
customers by developing a sales and
Marketing plan that would support the
achievements of Corporate objectives.

 To continually provide our services in a


qualified way, suitable for our
economic and social climate

 To plan for new international alliances


and partnerships.

 Identify requirements to support the


initiatives and development for FIFA
Qatar 2022.

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How will we meet
desired objectives for 2012?

BU Business Plans

Operational KPIs
Core Business Plans
(BSC)

Staff Performance
Plans

Vision Individual
Training Plan
Performance Training and
& Development Program

Mission
Core Operations
(T&L , MT,KTTDC)

Project Management Core Business


Office Projects
Increased Revenue

Reduced Costs

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How will we meet
desired objectives for 2012?

Opportunity Capability

Transport
CPC for
Management
Managers (IRU)
Courses

Qatar Driving Instructor


Standards Requirements
Agency and standards

Readiness of
Developing the
the private
Private Sector
sector

Development of
Compliance to
Public Transport
Mowasalat
through partial
Standards
privatization

Diversification Operational
into other capabilities for
modes of Water & Rail
transport transport

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How will we meet
desired objectives for 2012?

The Corporate Roadmap is aligned also with various


initiatives as a baseline to the long terms objectives.

FOCUS AREAS - 2012 - INTERNAL


• Focus on emergency preparedness
• Institutionalization of Balanced Score Card and
KPIs
• Process driven structure and up-gradation of
technology (SAP)
• More focus on Driver Training and Safety
(KTTDC)
• Expansion strategies that includes the introduction
of Karwa Services company catering to the
maintenance services needs of the company’s
fleet of vehicles
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How will we meet
desired objectives for 2012? (cont’d)

The Corporate Roadmap is aligned also with various initiatives as a


baseline to the long terms objectives.

FOCUS AREAS - 2012 - EXTERNAL


• Focus on expansion activities and partnerships
• Promoting the sales of Karwa brand buses
• Partnership with international garage services providers
• Plan for taxi franchise / license permits
• Awareness on Public Transport safety and green
environment initiative

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Expectations in 2012

 Overall operating and support expenses budgeted is supported


by the renewed contracts with the Supreme Education Council
(SCE) and major contracts with government and private
companies for 2012

 Increase in External driving license applications

 Taxi franchising will not only support the overall requirement of


the country but will generate additional income to the company

 Partnering with international renowned garage service


providers such as Cummins, ZF, etc promotes the stance of the
company and its capabilities

 Ongoing government support

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Proposed Projects for the
coming 3-5 years

• Build Bus Station in Al Khor


• Build facilities in south and north part of Qatar (Dukhan and Messaeid)
• Development of Ain Khaled area as expansion of our garage services
• Association with Lusail Water Taxi Project
• Build showroom and parking areas
• Increasing taxi operations thru franchise and licensing permit
• Establish Karwa Services & Maintenance Unit as a separate company,
• Partnering with international garage service providers such as ZF, Cummins,
etc. Karwa Services & Maintenance will cater to the maintenance services of
not only Mowasalat owned vehicles but of the governmental agencies and
private individuals in the future
• Search and study suitable manufacturer/partner of salon cars to be built in
Qatar specifically for Karwa. These vehicles will replace all our taxi fleet, target
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by 2014
Proposed Growth for
the coming 3-5 years (cont’d…)

As of next 2- 3 years, in close cooperation


with the Urban Planning Department and
other public and private developers, we will
operate 55 routes that span the entire
country. By 2015, that network will have
grown alongside Qatar’s infrastructure
expansion.

Our taxi fleet is just as impressive. Having


started with only 250 vehicles in 2004, we
rapidly expanded to meet the needs of the
Asian Games.
We’ve since kept up our expansion. Today,
we have more than 2,400 cabs on call day
and night. On top of that, we have a fleet of
limousines.
By 2015, our taxi fleet will have grown to
2545 cabs and our fleet of limousines will
number 363.

Increasingly, all of our vehicles are


becoming more environmentally
sustainable. We were the first to introduce
hybrid public buses to the region. We
continue to have our vision to be more
environmental friendly in the coming years.
We are also nearing completion on a fully
solar-powered workshop.

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How will we meet our
growth plans? 2012 - 2016

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Franchise Operations – 2012 /2013

Mowasalat will be awarding its franchise to three key operators who would start
operations from Jan 2012 in a phased manner. The key objective of having
franchisees revolves around the concept of improving key performance indicators
and upgrading the level of service rendered by Mowasalat to the public, including
citizens, residents, visitors, tourists and various sectors of the community in Qatar.
While each system has its own unique business model, all share the challenge of
consistent operations directed to a common purpose.It also seeks to identify the
objectives & goals shared between the Government of Qatar, Mowasalat and
Franchise Companies, based on the vision 2030 to provide safe & smooth
transport for all.

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Corporate Balanced Score Card

The balanced scorecard is a strategic planning and management system that is used
extensively in business and industry, government, and nonprofit organizations worldwide
to align business activities to the vision and strategy of the organization, Mowasalat has
adopted Balanced Score Card to improve internal and external communications, and
monitor organization performance against strategic goals.

Balanced Score Card will be institutionalized within Mowasalat as a performance


measurement framework that adds strategic non-financial performance measures to
traditional financial metrics to give managers and executive management a more
'balanced' view of Mowasalat’s performance as a team.

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Corporate Balanced Score Card

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Corporate Balanced Score Card
(cont’d)

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Corporate Balanced Score Card

What are KPIs and what is its importance?


KPI are quantifiable measurements, agreed to beforehand, that reflect the critical
success factors of the company, department, project and individuals.

Many things are measurable. That does not make them key to the organization's
success. In selecting Key Performance Indicators, it was critical to limit them to
those factors that were essential (Key) for Mowasalat to reach its goals. It was also
important to keep the number of Key Performance Indicators small just to keep
everyone's attention focused on achieving the same KPIs.
Key Performance Indicators (KPIs) are of interest to both management and staff of
Mowasalat as they evaluate performance against corporate objectives.

To increase the awareness about the Balanced Score Card and KPIs ,there is a
monthly e-bulletin that has been introduced and the first edition was released in
November 2011. In the forthcoming issues of the “E- Bulletin,” we will further
introduce readers to the concept of KPIs and talk in details about their significance,
design and selection methodology. This will ensure that everything that the people
in Mowasalat do is focused on meeting or exceeding our goals and objectives,
knowing what the target for each KPI is and showing the progress towards that
target for each of them.
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Corporate Recruitment Plan

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Corporate Training Plan

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Corporate Qatarisation Plan

In order to honor the state’s plan and vision, recruitment department will heighten its
efforts to fill relevant positions with Qatari applicants through:

• partnering with Universities and introducing educational sponsorship schemes


• Arranging and meeting with universities to establish a contractual relationship
• Designing and proposing an educational sponsorship program to the
Management enlisting the advantages of the proposal
• Enhance the efforts in acquiring more Qatari applicants to fill our vacant positions
available for 2012

Qatarisation Targets

2010 14.29
2011 15.83
2012 16.50%

Overall Additional Manpower 2012 83


Targeted Qatari for recruitment 17
Ministry of Labour Collaboration with CNA 5

% Target of new Qatari Recruits for 2012 25%


Overall Qatari % of Total Employees 15.50% 25
Corporate Recruitment Initiatives

Recruitment department in parallel to


the operations will introduce Employee
Referral Scheme; Expand the supplier
capacity through additional recruitment
channels, Concentrate heedfully on the
Internal Promotion of the staff as a
preferred alternative to hiring, and
anticipate favorable progress in
achieving the desired Qatarisation
target of 20% overall

Action Plan :
• Design the Employee referral
scheme policies and procedure
• Assess the performance of the
current recruitment channels and to
explore the possibilities of expand
the sourcing capacity both internally
and externally to be able to meet
the 2012 demand effectively
• Redefine the policies pertaining to
Mowasalat’s Internal Promotions
and Transfers to derive various
potential benefits through its
advantages

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Learning & Development Initiatives

L&D department will focus on establishing the foundation for future


development, like defining the competency framework, gathering information to
strengthen the e-learning system, and to identify and develop competency
based trainings and certify the employees internally and establish basis to
effectively plan all required trainings in the future
Establish a minimum level of English language skills required for the various
jobs to be carried out in Mowasalat

Action Plan :
• Designing the principles and developing the competency framework,
implementing the e- learning on a pilot batch
• Identify the available e learning courses relevant to the jobs aligned to
business goals
• Assign courses according to the desired level of complexity involved in the
jobs
• Designing different level of English Language courses

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Employee Welfare Initiatives

Technology Upgrade:
To focus on SAP enhancements especially
on the high prioritized areas like biometric
system, Absence Quota- Annual leave,
Travel management module, Provisioning
leave advance, Automating the letters and
certifications, Automation on the final
settlement process / Repatriation.
To decentralize various HR processes –
through personnel administration
functionalities to the Administration units
within the respective Business Units
Deduction of traffic and disciplinary fines in
SAP
Leave data input in SAP (except sick leave)

Clinic:
Clinic will be focusing on
improved customer service with
additional clinic facilities at the
Karwa City complex with
extended service hours along with
new Dental clinic facility
Will establish a Radiology and
clinical laboratory unit for
Mowasalat that will eventually
focus on serving the external
customers apart from fulfilling our
requirement

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Employee Welfare Initiatives

Higher Education Funding

Higher education (HE), including research carried out in universities, has a crucial
role in development. It helps generate the human capital needed in key areas such
as transport & infrastructure, manufacturing and engineering, etc… and builds a
country's capability for self-reliance.

With this in mind and in line with the country’s initiative of collaboration between the
government and the public and private work force sectors, a proposal to sponsor
students for higher education has become a must. Such a student will be
rehabilitated in accordance with the terms and conditions Mowasalat would set
aside along with the educational establishment selected for the purpose of
providing the required caliber in line with the company mission and vision.

Further to our current joint venture with Higer, the field of industrial development
with focus on automotive services would be the most suitable option for the
selected candidate.

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Major Implementations for 2012

Quarter 1 Quarter 2 Quarter 3 Quarter 4

Balanced Score Card –Phase II

Leadership Program / Medical Comm.

ISO / QUWIC

Training and Test Area

BCP / INFORMATION POLICY

PLAN ,MONITOR ,CONTROL AND REPORTING ACTIVITIES

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5 year Planning and
Implementation Schedule

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Proposed Growth for the
coming 3-5 years (…cont’d)

More than 6,000 fully qualified and highly trained drivers staff our Mowasalat fleets.

Mowasalat drivers and vehicles provided all road transport for the West Asian
Games in 2005 and the Asian Games in 2006 and the Asian Cup recently in 2011.
We have already incorporated our plans to initiate the readiness for 2022 FIFA
World Cup as a part of our corporate objectives.

Today, Qatar’s government relies on us for integrated transport solutions for all
state occasions. And we also provide all road transport for Qatar’s growing
market in regional and international conferences, exhibitions and meetings.

Mowasalat is growing just as Qatar is. So we look forward to serving all of the
development taking place in Qatar in the next 3-5 years with our long term vision
aligned to Qatar’s National Development Strategy 2030.

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THANK YOU

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Mowasalat Business Plan 2012-2016 compiled by Strategy & Business Development