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In Dubai Applies: The Prayer Goes First

Interview of Hospodárske noviny with Tomas Csobonyei, managing director of YMS Group company in Dubai.

 

How did your company get an order in Dubai?
YMS group was established in 1990 and is one of the oldest IT companies in the Middle Europe. From the very beginning the headquarters for development and strategic management was situated in Trnava. The story of a company in Prague started in 1999 under the name of GCWare and step by step it merged with YMS in Trnava. As early as 2003 we set up an agency for Middle East in Dubai. Our company operates in Dubai Internet City which is considered to be the second world´s Silicon Valley. Tender´s victory for a dynamic navigation of Dubai city, called Dalílí which means „my guide“ in Arabic, was the important step for setting up in this region. It was made to order of Dubai municipal authorities. Since then the drivers in Dubai get along with navigation also fresh and exact information on traffic, traffic jams or road constructions.

Why Emirates?
Emirates belong to the fastest growing economics in the region and Emirate Dubai by itself pertains to the most dynamic ones. Setting up of Dubai company was mainly based on mutual trust between us and our significant and long-run partner – Dubai municipality, later transformed into Roads & Transport Authority, RTA. Implementation of above mentioned Dalílí project, finished in 2006, was our first project. At the moment we are continuously working on updates which require a vast extent of different kinds of Dubai infrastructures. The next motive was the existence of investment zones for foreign investors. Last but not least is the Dubai company our future managing centre for the region of Middle East.

To set up a company in Arabic world is not easy.
This region acknowledges a strong position of the religion which penetrates the everyday life and is exhibited by respecting of prayer time. Building up of partnerships takes more time that we are used to from other regions. The second important point is the unstable environment – manifested through frequent condition and statement changes towards the companies operating in this area. Very important factor represents building up of relationships with local sponsors, since the mentioned relationships are important for taking part in tenders or for project implementation. Only local Arabic companies are allowed to act as a sponsor.

What makes you so special that you take a precedence over your competitors?
At first it was a partner approach based on a building up of a long-term relationship with partners and experiences of many years´standing in gap segments. In spite of the world-wide competition, our partner but especially professional qualities belong to the one and only with high added value. Winning trust of such an important partner as the company RTA is, provided us with new opportunities. We carried on with the projects in Sharjah emirate, developing our activities in Oman and Saudi Arabia.

Which are your next business plans?
Our Dubai company in Emirates turns five this year. This period of time has given us our first specific regional experiences, has brought us knowledge of cultural differencies and specifics which are needed to be respected both in business and private life. Dubai company is a centre for further acquisitions and long-term activities. The main aim is the opening of subsidiaries in the region of Middle East with a clear objective – to be present in the country of our partners. In the subsequent three years we are planning a follow-up development of key solutions, in particular dynamic navigation for the regional municipalities and software support by increasing of management efficiency of oil and gas transit systems. The United Arab Emirates, Saudi Arabia, Oman, Quatar, Bahrain, Kuvait together with Syria belong to the target markets.

What is doing business like in this country ?
It is far from being easy. Doing business here implies the necessity to adjust from the side of the parent company. One of the basic specifics represent different working days. Sunday is the day when the working week starts in the emirates, ending on Thursday whereas working week in Saudi Arabia, Oman, Kuvait starts on Saturday and finnishes on Wednesday. Apart from inmoderate accomodation costs, the other problem represents a two-hour time zone difference in summer , resulting in three-hour time zone difference in winter. Recruiting of workforce is a special case. You cannot expect people to possess technical skills along with great personal appearance as long as they are not Europeans. The local legislation, as well, udergoes a process of being changed more frequently than we are used to from continental Europe. Different religious and moral principles rule in this part of the world consequences of which the European must take into account. By all means we knew that we cannot expect European conditions, so little by little we are acclimatizing to it.

Is there a strong competition in the Middle East?
There is a continuous interest in its markets and the global competition is being present here. Together with Mexico, Brazil, Russia, China or India this market very often represents the preferred one for the transnational companies. Conditions alonside with requirements have been increasing year by year which provides us a space to be different in a segment we have a grasp of and where we are able to get an added value. The region´s potential offers sufficient economic space for entering of other companies in subsequent ten years.

Do you give a chance the local people or your internal Slovak employees?
To be employed in foreign countries is really challenging for people from Slovakia or Bohemia. Currently is Dubai a place setting the trends therefore an opportunity to compete with the best companies and the toe-ranking experts is a bit of a challenge for our employees. The best ones who prove their ability in Trnava or Prague company are given a chance to go abroad. At the moment it is Dubai but there are other planned companies . Our advantage represents the fact that YMS Group has a a team of experts with outstanding experiencies from foreign projects implemented from Germany to Spain or Ireland, so there is a strong basis to start with.

Author: Peter Martinek
Published with the permission of the author

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