1. business and industrial

Number 60 Year XI • October 2011
Construyendo
L atin America
We need to be
market makers,
not order takers.
page 4
Ready to go,
because it’s now!
In numerous opportunities we have communicated through this means to highlight
the energy, the passion and the discipline
that identifies us as collaborators within the
Skanska Group.
Skanska, the company that in a few months
will celebrate its first 125 years.
Facing such an important event, we find
ourselves in front of a new starting point: the
2011-2015 Business Plan. A Master Plan for
all Skanska, for the luster that has just started,
founded on the enormous experience we have
had successfully concluding thousands of
projects.
Hundreds of thousands of people have traveled
throughout the more than 100 years of the
company’s history. They have written the story
that sustains our present. They have also been
responsible for keeping the knowledge and the
passion in house.
The generations that preceded us are the ones
that compel us. On the pages of this story and
in the reality of our company there has not
been any letting up in the completion of our
achievements. No new book starts with a blank
page. Rising above is the principle protagonist,
which is what unites our passion.
Reaching our goals demands from each of us
the capacity to anticipate what will come. In
moments of crises we need to protect each
other, but at the same time we must play to
win.
It is not enough to play a defensive game.
When the world becomes stronger-and it will
become stronger-we want to be the first to take
action, to maintain our pole position in all the
markets and territories where we operate.
Now is the moment to go forward, using to the
fullest our DNA as leaders, to bring together
the best team to win in any terrain.
What is our challenge for the next 125 years?
To be creators of markets, anticipating our
business strategies and attracting the best. To
arrive first.
Some tracks have already been made. Our
arrival in Colombia and entering the Commercial Development business line in Romania
are examples of this. The search for greater opportunities on the part of Skanska Infrastructure Development, that in its plans specifically
includes Latin America and the strengthening
of the Commercial Development Business
Unit in the United States also respond to this
challenge.
Green businesses are crucial to current and
future markets. The strategy we have defined to
develop products, solutions and green services
in our region is also aligned to businesses that
provide profitable growth.
Make business and learn. This is also what it’s
all about at the moment. To learn from our
experience and knowledge of other Business
Units, our Operating Units and from our own
colleagues. The baggage of practices that have
determined our present during this first stage
in Skanska, that we’re already celebrating,
must flow in territories and business lines. To
replicate what we know best is definitely what
our clients are looking for.
First. Always first. That is our goal as a work
team, as One Skanska. To improve what is
necessary to always be solid, competent and in
this way, comply with our commitment.
We’re convinced of having what is needed, on
the contrary, we could’ve never reached this
point. Can you imagine our Skanska in the
next 125 years? It will be easy to recognize it
because we will always be going forward!
Let’s go, together, towards the next 125 years
that await us!
Hernán Morano
President and CEO, Skanska LA
Contents
#3 2011
14 A team that
10 We need to be
market makers,
not order takers.
builds roads
Focus on the client | We are looking for a role change, an attitude that will take
us one step ahead, to interpret the necessities and opportunities of our clients, to
continually guide them instead of only responding to their requests. How do we do
this and how do we perfect it?
Chile | In this edition, the protagonist is the team that is
20 Benchmark in business
executing the Concesion Vial de Autopistas project in the
Antofagasta region. The modifications in Routes One and
Five will improve safety in those roads and connectivity
between the ports of Antofagasta and Mejillones.
26 The Brooklyn Bridge,
ethics management
more than a symbol
Ethics | Hernán Morano, President of Skanska L A was recognized
by the Fundacion Jovenes Lideres, that on other occasions has
highlighted as references people like Mario Vargas Llosa or the
founder of the World Economic Forum, Klaus Schawb. “This is not a
recognition to one person but to one company” stated Hernan.
Projects | Skanska USA Civil is in charge of the restoration and
improvements to this emblematic construction in the city of New
York. Its access ramps will be widened and reinforced, the main
bridge will be cleaned and its cables will once again be painted,
highlighting its structure. One more example of the leading role
that Skanska has in this important market.
Construyendo
Latinoamérica
Construyendo Latinoamérica is a publication edited by the Skanska LA
Communications sector for internal distribution.
Address: Av. del Libertador 2442 5th Floor, Olivos, Buenos Aires, Argentina.
Acknowledgments in this edition:
Carina Cavallo, Contanza Farias, Luis Ladero, Luana Lima, Alejandro
Pontarolo, Romina Rico, Renata Samos, Karol Salinas and Karina Valero.
Responsible for the publication:
Juan A. Saravia
Human Resources and Communications
Vice President
Editor:
Milagros Reilly
milagros.reilly@skanska.com.ar
Design:
dinamica comunicaciones
www.dinamicauno.com
Printed on FSC paper
In harmony with the
environment
Find this magazine and other publications on http://one.skanska
Construyendo is a space for everyone, capable of adding the voices of those who make Skanska in Latin America. Because every one of us has something to share,
send your suggestions or content ideas for the next publication to the area of Corporate Communications: comunicaciones@skanska.com.ar
Construyendo Latinoamérica Nº 60 2011
3
We need to be
market makers,
not order takers.
To create markets means getting together with the clients and listening to their needs,
understand their business and how they think. Only in this way can we reach them with
solutions and suggestions to improve their business.
Texts Skanska LA
The global economic scenario changes
according to different variables, some of
them unpredictable due to their nature:
political changes, social changes and
mergers and acquisitions of companies.
As a result, companies need to adapt their
strategies to these changes and look over
their plans.
Nevertheless, there are certain objectives
that are immoveable. At Skanska, the
objective of reaching 2015 with
profitable growth and positioning
ourselves as leaders in five areas: safety,
ethics, human development, green
business and risk management, remains
intact. To successfully reach this
objective, our clients play a key role: they
pay for our products, our experience
and our know-how. Our current
challenge is to get closer, interpret their
needs in order to respond with the right
products and also add value to their own
projects. They expect a proactive and
creative attitude from us.
Helvi Vaisanen, Vice President of Client
Relations of Skanska Finland and a
member of the Experts Group in that
4
Construyendo Latinoamérica Nº 60 2011
area expresses it this way “We we must
create markets and not just take orders”
This role change is an example of our
need and duty to adapt to changes in the
market. Our region, the same as the
European economy has lived through
changes coming from exogenous and
endogenous factors. And surely, those
external changes warrant continuous
analysis regarding our ways to get closer
to the clients, to be up to date and, at the
right moment, be ready for the next steps.
Events on the right path
At Skanska LA, the Business Development managers are the ones that have the
first contact with a client. Last July in
Buenos Aires the new edition of the
annual commercial meeting took place.
Alfredo Collado, Executive Vice
President and member of the EMT
gathered colleagues from the region in
charge of development and the commercial management for each country with
the objective of analyzing the different
local scenarios, share problems and
solutions and plan business decisions to
face new challenges. Among the areas
addressed, the following were discussed:
• The mining sector to look up a
relevant space, considering the notable
evolution and weight it has in Chile
and Peru. Details were given to the
needs of those clients regarding safety,
labor relationship management,
community relations and experience
with human resources. The conversation centered on how our company can
also have profitable growth in this area.
• Sharing and debating the experiences
of other colleagues from different
territories and markets is the answer to
the need of a company that needs to
learn to be a winner. The search and
common practices that may be aligned
developing a net of internal contacts
was another point of interest. For
precisely this, we are driven by the
diversification towards new products
and clients. The participation of
Skanska LA in the Customer Relations
Expert Group is another example. In
this area different experiences are
shared with members of the Skanska
Main Article
“Positioning ourselves one
step ahead, arriving on time
where we’re set our goals and
committed ourselves. This is also
about being market creators and
not simply order takers.“
world, nourishing from the tools
developed by other Business Units that
can be applied or adapted to our local
markets. The networking with other
business units, through the Centers for
Excellency that have experience with
products that are nontraditional for
Skanska LA, like railroads and
hospitals is fundamental.
• The stagnation of the European and
North American markets is shifting the
flow of investments towards Latin
America. Another work group which
we are involved in as a regional team is
the one looking for the most competitive way to grow in the business of
infrastructure concessions in Latin
America, together with Skanska
Infrastructure Development (ID).
Roads and hydraulic and thermal
stations are among some of the more
interesting projects for developments
in the next years.
• Also analyzed was the opportunity to
develop green business, in addition to
the environmental services we are
already carrying out, going into this
new market of generating renewable
energy and sustainable buildings. As a
first step, our goal is aimed at finding
the option that adds green value to the
new projects of our clients, especially
in the Engineering and Construction
areas.
allows us to position ourselves one step
ahead, arrive on time where we have set
our goal and committed ourselves. This
is also about being creators of markets
and not simply order takers. Positioning ourselves one step ahead, arriving
on time where we’re set our goals and
committed ourselves. This is also about
being market creators and not simply
order takers
.
• Other subjects that were analyzed
where related to entering new
territories, like Colombia and with the
development of new products, like the
manufacturing of offshore modules for
oil production and treatment in Brazil.
To be aware of the dynamics and changes
in the markets where we find ourselves
and where we look to go in, get closer and
inter part the needs of our clients, share
experiences and best regional practices,
Construyendo Latinoamérica Nº 60 2011
5
Testimonials
Antonio Antolín and Claudio Lima, the Business Development managers
share their experiences with the individual handling of each client that
allowed them to generate new contracts and broaden their markets.
Texts Skanska LA Photography Skanska LA
How do you know and
update the information regarding the local market so,
for example, you anticipate
changes in the strategy of
your current and potential
clients?
Antonio Antolín,
Business Development
Manager, Argentina
In what manner do you
approach the clients in
order to respond in a timely
manner and form to their
needs?
What successful practices
would you like to share that
you feel could be imitated or
applied in other territories of
the region?
To carry out a good market analysis,
it is very important to read the
economic realities of the country
where one is at. What is the status of
the local industry, the installed
capacity and the possibility for
development in the different areas
where we expect to work? We must
stay ahead and have excellent contact
with the clients; this allows us to
know their investment plans,
strategies used with the competition
and their strengths and weaknesses in
order to plan and see where our
added value is. Knowing our clients
allows us to create allegiances, go
forward and create our market.
The success of a company depends on
the demand of its clients. They are the
protagonists and the most important
factor in business dealings. In this
market there is a saturation of
construction companies, which
makes us develop differential criteria
to attract and retain those clients that
hold no loyalty to brands or companies. Today, one has to make
important tradeoffs with the clients.
To gain their allegiance we have to
stand out.
A recent contract was that of VALE
PRC. There we had many different
activities. First, we had to approach
the people who spoke the same
language as the company. Afterwards,
we had to become known as Skanska
in Argentina. We had to earn their
trust. It was important to look over
the process they had for this project
together .Being close to them allowed
us to learn their need, respond, help
and demonstrate we would be there
for them. We implemented this trade
off and were able to stand out.
We act robustly in market investigation. We participate in events related
to the business and take measures
that will help position ourselves ahead
of our clients and ahead of the
competition. We align our commercial strategies to those of our clients.
For example, we value Petrobras’
business plan 2011-2014 at the time
of selecting the main projects to be
incorporated to the Skanska PEN in
Brazil. We are constantly looking to
diversify our markets, for example, in
the construction of modules for
off-shore vessels, in railroad development and highways, etc.
We look for a direct relationship,
transparent and continuous with our
clients and future clients in order to
understand their needs in the best
possible way. We periodically
evaluate the client’s satisfaction
throughout the projects we are
performing and, at the same time
propose solutions and improvements
that adapt to their demands.
After signing the contract with BR
Distribuidora for enlarging and
modernizing their lubricant factory,
we took the initiative to present a
business proposal, validating the
LEED certification of the client’s
administrative premises, where great
potential for allocating contracts
exists.
Claudio Lima,
Business Development
Manager, Brazil
6
Construyendo Latinoamérica Nº 60 2011
Main Article
Five activities to change from
being an “order taker” to being a
“market creator”
Understand the
market
Attract the client
Win the bid
Comply during
implementation
Maintain the
relationship
Market Analysis
Initial contact
Managing the proposal
Five Zeros
Follow-up, reports
Resource Analysis
Relationship management
Presentation
Excellent client satisfaction
Individualized service
Strategic Planning
Perception management
Negotiation
Undeniable quality throughout the supply chain
Client satisfaction management
Commercial Planning
Information management
Contract
Timely, honest and open
dialogue
Continuous improvements
Account Management
Opportunity management
Options and solutions
Repositioning
Brand/Image Management
Follow through
Foresight, proactive attitude
under all conditions
Capture
Client satisfaction Index
Global tools that help strengthen our
knowledge regarding the client’s needs.
• Global Brand Survey
Skanska AB performs a biannual brand assessment in the main markets
where we participate.
How do we rate in our local markets? Do we reach the levels of the
attributes of “Knowledge “and “Passion “of our brand? Our brand
values, do they differentiate us from our competitors? How are our
2011 strategic communications concepts perceived (Safety, People,
Green Business and Ethics)? “Are we leaders on these matters? To these
and other questions actual clients respond, as well as potential clients,
employees, potential employees ,governmental entities and assembly
members.
thus expanding the scope of the business through operations in the
different markets. The objective of this space is to build an organized
global focus, not only for the way we relate with our clients but also to
optimize our relationship among the different Business Units, creating a
business culture focusing on the client.
• Customer Satisfaction Index
Currently we are working on the design of an efficient, global evaluation method that will allow us to know Skanska’s clients degree of
satisfaction through precise information obtained from our operations
.
• Expert Group on Client Relations
In this space of global exchange ,as professionals, with leading practices
to share and the knowledge to debate and propose different requests,
Construyendo Latinoamérica Nº 60 2011
7
A team that
builds roads
In this opportunity, the protagonist of edition number 60 is the team that is currently
carrying out the Concesion Vial de Autopistas project in the Antofagasta region
of Chile. Selected by the Minister of Public Works of Chile to perform, along with
Skanska ID, the contract, this team will reinforce the region’s development plan,
improving the safety of its main roads and benefitting a community with improved
connectivity between the ports of Antofagasta and Mejillones.
Texts Skanska LA Photography Skanska LA
Project
Project
“… The landscape that envelops
each of them, with its open sky
and never-ending hues of brown
reminds us of the place we are
standing: the most arid desert on
Earth, the Atacama Desert.”
From their first footprints
Obtaining this contract included an
open bid process headed by Daniel
Steinhardt and José Vasquez, in which
we competed with the leading local and
international companies and came out in
first place, with the shortest implementation period, without state financing for
the development of the works, resulting
in important savings for the State.
The time frame for the construction
project is 43 months and includes
engineering development, supplies and
constructing 200 km. of roadways. The
project, reaching USD 320 M, has 640
collaborators.
Paths for walking
In the middle of the Antofagasta region, a
mining and port area located in Northern
Chile, this challenging work is taking
place. Fernando Paredes, Project
Manager is who greets us in the morning
light as he starts the work day, along with
hundreds of colleagues, joining us in
traveling to the different stops of this
project, that has as a peculiarity the
dozens of kilometers between them. The
landscape that envelops each of them,
with its open sky and never-ending hues
of brown reminds us of the place we are
standing: the most arid desert on Earth,
the Atacama Desert.
Fernando Paredes, Project Manager.
10
Construyendo Latinoamérica Nº 60 2011
“The first part has been successfully
completed and it’s our first pride as a
work team: we have concluded the
engineering development phase. We are
Ministry of
Public Works,
Chile
Railway crossing.
finalizing the earthmoving phase of the new lane on
Route 1 as well as the traffic detours required.”
There is still a lot of road that needs traveling. It will not
be until December of 2012 that the broadening of Route
1 will be available for service. Meanwhile, the works on
Route 5 are planned to be completed by September of
2013.
Taking into account that the primary economic activity
of the Antofagasta region is mining, producing more
than 65% of the Regional Domestic Product, Route 5 is
crucial for cargo and passenger travel to the large
minefields. Route 1, by connecting Antofagasta with the
port of Mejillones will become an entry and exit point
for the mining sector and energy projects since it greatly
reduces the times between the port, the city and the
airport.
As what happens with all Skanska projects, the safety
issue is a crucial and critical aspect that one faces every
day on the job “Unfortunately, Route 5 has been called
“The highway of death” because of its high fatality rate.
The construction of the second lane, along with the
traffic control and safety elements we will provide will
surely help to revert this regrettable situation” states
Fernando.
To develop a project with Zero Accidents is an important challenge and now Osvaldo Contreras, CSMA
Manager in Chile is who adds his testimony: “Creating
and sustaining a safe work space is a task we face at the
beginning of every work day. The prevention tools are
our guides and as a team we work together to be aligned
and convinced that we can perform our tasks in a safe
manner.
Working in heights and safety management are our
permanent focus points. Here we have a total of 350
teams, including trucks, vehicles and machinery. The
training and sensitizing activities, along with the
prevention tools make up a crucial part of the work in
this area. And to also respond to the quality standards of
our company, the project is developed using the
Integrated Management System model of our Business
Unit”
Is in charge of managing
an extended infrastructure
built through the 123 years
of its existence: a roadway
network of 80,443
kilometers, of which 22%
is paved and 2,500
kilometers belong to
urban and interurban
expressways,35 sprinkler
systems that are able to
contain 4 billion cubic
square meters of water, an
airfield network with 12
airports in the main net,13
airports in the secondary
net and 100 small airfields,
with an annual traffic of
10 million passengers,1,517 rural drinking
water systems that take
care of the needs of a
population of 1,510,180
inhabitants and 226
kilometers of a rain water
network developed on a
national level. It also
responds to 4,800
fishermen who work the
150 most productive
fishing coves in the
country.
Source: www.mop.cl
Taking into account the direct relationship and
repercussion these works have with the communities
where they are being developed, safety will not be the
only added value they provide the region. In this project,
the Sustainable Management Plan has been put in place
in order to avoid a sharp environmental impact in the
construction process. This makes itself present “in our
Construyendo Latinoamérica Nº 60 2011
11
Project
“… let us completely
satisfy our client
so that they may
entrust us with
other projects that
will help provide
a better and safer
infrastructure in
Chile. ”
infrastructure design, with the reuse of waste water and
waste separation in our procedures as well as reducing
the water used in compacting and recycling rock
material. These and others are the alternatives we offer
the client, like the option of sustainable buildings for the
current operation” adds Fernando, describing the Green
angle of the project.
The team is made up of experienced collaborators and
the know-how gathered in previous projects in Argentina and Chile, for example the El Totoral and Monte
Redondo wind farms as well as new collaborators to the
company that belong to the communities surrounding
the project. Fernando takes on his first challenge with
Skanska LA and showing his pride ends the conversation
by saying: “This diversity allows each of us to contribute
their experience and technical know-how, mutually
enriching our practices and points of view. The respect
for the perspective and contribution of all the collaborators is crucial for the efficient development of the team.
Autopistas Antofagasta Is a very important challenge for
the Skanska Group, especially complying with the
contracted deadlines. I am convinced that we have the
knowledge and the passion to successfully accomplish
it. This team could not be better, and the project is based
on that fact. I hope that together we can completely
satisfy our client, so that we may be entrusted with
additional projects that will help provide a better and
safer infrastructure in Chile. We want to stay in the
region and this is our wager: sustainable business
through time. “
12
Construyendo Latinoamérica Nº 60 2011
At sunset, with a superb and awe-inspiring sun that
manages to cover the immensity of the place reminds us
it’s time to leave. Fernando’s team gathers to take some
final pictures, which will only be the last ones of this
trip. Many more photos will be taken and will help
complete, with images, the story that Autopistas
Antofagasta has began in the first 125 years of
Skanska
.
Technical data
Total extension: 200 km.
Two lane extension: 115 km.
Lane improvements: 200 km.
•• Service roads in the urban sectors of Antofagasta
•• Railroad overhead crossings
•• Overhead intersections with the main roads
•• Bus stops and walkways
•• Lighting along the main areas of Route 1 and 5, along
with signage throughout the roads
•• SOS emergency posts throughout the roads
•• General service areas in the Baquedano sector and on
Route 1
•• Toll plaza on Route 5
Skanska
Infrastructure
Development (ID)
Skanska ID is the Skanska
Group Business Unit that
has as its main objective to
develop infrastructure projects and the world leader
in PPP (Public Private
Partnership.) It operates in
the Nordic countries of
Central Europe, United
Kingdom, United States
and Latin America.
Imagine a lumberjack who
works very hard and hardly
has time to sharpen his saw.
Stephen Covey, in his book “The seven habits of highly effective people “he refers to
“sharpen the saw “as one of the essential habits to be highly effective.
Take a vacation; take a break dedicated to rest. Leisure and pleasure is self-renovating. It is
“sharpen the saw” in order to return to work in a more efficient manner.
Are you already planning this year’s vacation?
Construyendo Latinoamérica Nº 60 2011
13
Letter from Johan Karlström
Dear colleagues,
In our Business Plan we have promised growth – and we will grow,
but we are not moving forward quickly enough. Competition is fierce
and recovery is slow in most of our markets.
To gain speed we must be more open and go out on the market and
meet the clients.
For some years we were occupied with our internal structures and
processes. As a result we are now profitable and financially strong.
We are leading in the green and safety sectors and are a role model in
business ethics. We have world-class expertise in a number of areas.
Now we are ready to tell our story, ready to go out and sell. This is the
key and the strategy set in our aggressive new Business Plan for
Profitable Growth.
This means we have to be more active in the pursuit of projects. New
contacts create new opportunities. Seeing the clients is the top
priority.
Helvi Väisänen, VP Client Relations in Finland and member of our
global Expert Group within Customer Relations, puts it this way:
“We need to be market makers, not order takers.”
Being a market maker means seeing clients and listening to their
needs, understanding their businesses and how they are thinking.
Only in this way can we come up with solutions and suggestions that
will improve their business.
I found that there is substantial interest in our Green expertise.
And when I meet with public authorities, I often find great interest in
our capabilities, for example within PPP. In these contacts I am like a
match-maker trying to connect the right people and units.
The internal efforts in recent years also reveal that we have to increase
learning and become a truly learning organization. We can do better
through joining forces and sharing knowledge. It is time to turn our
expertise into new business. It’s time to capitalize on our strengths.
Why is learning so vital now? Competition is increasingly international and we need to realize that a local team, however good, cannot
beat global competition. To gain leverage, we must use our global
line up and sharpen our offer!
Use your Skanska network or some of our 12 global Expert Groups at
OneSkanska where you can find world class expertise 24/7.
To conclude: be a market maker and use our global expertise.
A learning organization is a winning organization.
.
Best regards
The Radisson Blu Hotel in Gothenburg is a great example of what we
can achieve by being proactive. We secured new business, the hotel
can expand and the city is happy that we are developing the harbor
area.
We in SET meet frequently with people who are potential clients.
When I recently traveled in Brazil with the Swedish Prime Minister
Fredrik Reinfeldt
Johan Karlström
President and CEO, Skanska AB