ADG + Sustainability: The Journey & The Dream

Maryam Telmesani, ADG Chief Sustainability Officer

“Sustainability is not a goal to be reached but a way of thinking, a way of being, a principle we must be guided by”- Giulio Bonazzi, Chairman, Aquafil Group.

At Al-Dabbagh Group (ADG), we adhere to the same philosophy of Mr. Bonazzi. Sustaining is one of the three core principles of our governing Omnipreneurship ecosystem: it guides the business and every day operations of ADG. Based off of that, our approach to sustainability is a holistic one that infuses sustainability in our business culture & operations. What does this mean? It means that the lens through which we view sustainability (People, Planet, Philanthropy & Profit, the 4Ps) is considered during every decision we make and every action we take. Our ultimate aim is to become recognized amongst the top 5 sustainable family-owned business in the world. Moreover, we aspire to do that by leading Sustainable Development Goals movement in Saudi Arabia by pioneering in sustainable initiatives that impact a positive transformation in our related industries. To assure our global alignment we follow the United Nation’s Sustainable Development Goals, and are guided by Global Reporting Index standards in reporting all of our sustainability initiatives.

Finally, I believe that with the great vision of our leader & the collaborative efforts of our passionate teams we can achieve our goal; and be proud citizens acknowledging that we not only contribute to the success of our business, but we also ensure a safer environment and a better future for the upcoming generations.

Dukan’s Local Mission

Ahmed AlKaf, Projects Manager, Dukan

At the height of the pandemic, Dukan took on an essential role in support of our local communities; providing food baskets filled with daily essentials and fresh food for families most in need. In collaboration with several various local charities, Dukan took on the role of getting these items to those who needed it most, at a time that was (and still is in some cases) challenging our world.

As a continuation of Dukan working to play a positive and responsible role, the form of support has now taken a slight turn. Working with the very same charities, Dukan now has plans to launch a magnetic card program in partnership with charities.

Using our omnipreneurial principles of giving, earning and sustaining as the foundation for this initiative, Dukan will give the charities we have partnered with preferential pricing for products purchased at dukan, through the creation of a magnetic card system. The way the card works can vary; after creating charity specific cards, some charities are able to connect their system to ours and we then coordinate. There is another form of the cards; we print the cards in house with our IT and Finance team and each beneficiary receives individual cards with a certain amount, that can be recharged and topped up.

With this endeavour, our goal is to reach 2.5 million beneficiaries by 2025. We have a clear,  purposeful and ambitious mission ahead of us: one that we are determined to reach.

Petromin Express 2.0 & The Tipping Point

Tariq Javed, VP Petromin Express

“The greatest danger in times of turbulence is not the turbulence—it is to act with yesterday’s logic.” — Peter Drucker.

The life cycle of any product or service comes a point where it reaches the stage where it’s distinctive advantage starts to fade out, or perhaps the “job to be done” that once existed from a customer’s lens has changed. This stage – which is no less than a tipping point – requires the business to re-innovate and search for the next blue ocean idea to develop its new market space. That is how Project PE 2.0 got its start.  

What is PE 2.0?

PE 2.0 is a customer-centric approach to redefine the overall Petromin Express service proposition and enhance customer experience. It uses our existing network strength, brand equity, experience and innovative business approach to specifically target the right customer and audience.

 The project is built upon five main cornerstones with each further having its distinct milestones

  • Digital Transformation

With technology being at the core of every future ready organization and data said to be the next oil, PE 2.0 is embedding digital solutions, Advance analytics and AI technology to draft the future digital strategy, operating model, process controls and business growth plan for PE.

  • Superior Customer Experience

Restructuring the end-end customer journey both online & offline to involve enhanced experience at every touchpoint. Starting from customer profile specific interactions on the online channels, friendly reminders, Chatbot interactions, up to eliminating pain points using EVHC generated service recommendations, digital invoicing and payment solutions. A new outlook of PE stations has also been launched as an iconic location of future auto service centres.

  • Business Value Maximization

The magnitude of business potential with PE and the opportunities for business at our 650+ vast network are limitless. Increasing top-line with multi service proposition, engaging suppliers as partners to extract max. value, cost optimization, price repositioning, service package enhancement and additional secondary revenue streams are some of the key subsegments in this category.

  • Network Rationalization

While the network size is a competitive advantage, it can also become a liability. With objective to ensure optimum network size and right placement of our stations to maximize operating profits and check costs, an intelligent network optimization digital program is being developed as part of PE 2.0.  

  • Cultural Shift

People are always the most critical component of any business. Attitude, skills, efficiency as well as controls are key area focus area of projects set up in this specific corner stone.

Over the years, Petromin Express has been the pioneer in quick auto service segment in Saudi Arabia. Initially, the service center launched as a quick oil and filter change service, and slowly but surely expanded manifold to become the largest network globally outside the United States. With PE 2.0 in operational, the business is preparing to disrupt this market once again.

ELECTROMIN: The Energy Brand

Tariq Javed, VP Petromin Express

Lead Acid Batteries have been around for a long time now, and it seems like they aren’t going anywhere anytime soon. Director of Consortium for Battery Information (CBI), Alistair Davidson, gave an interview to Design News where he states “Lead batteries continue to be the main power source for cars with petrol or diesel engines for engine starting, powering electrical systems in key-off mode, and for security and emergency functions. They are likely to remain in that position for the foreseeable future and in addition, there is a huge aftermarket for replacement batteries which is much larger than the OEM market.”

 The Lead Acid Batteries used in vehicles are also known as – SLI batteries- Start, Light, Ignition – the three basic functions they need to perform in most vehicles.

The potential in Saudi Arabia for these batteries is estimated to be close to $5 million worth of auto battery units annually. The market is currently dominated by two manufacturers in the Kingdom for a combined market share of 55%. The balance 45% is provided by suppliers from South Korea, Europe and Indonesia.

After gaining traction at Petromin Express and with battery sale growth of 15% battery through 2019 and rising customer confidence, the opportunity for Petromin to become a significant player in the Saudi Arabian battery market has grown even further. At this juncture, the exciting launch of Petromin’s own brand – Electromin is as significant as it is timely.

When it comes to the our marketing efforts our team has put in for Electromin, a lot of thought has gone into a series of brainstorming sessions on topics ranging from the technical specs, the quality of manufacturing and aesthetics of the final product. The final product is a stand-out green colour battery container, which gives an edge amongst the traditional blacks and greys! That this product is launched from the iconic PE stable –is sure to endear itself in minds of the customers in the country.

Electromin auto batteries will be positioned to cater to the top-tier and mid-tier market segments.  Not only that: this positioning corresponds well with the Petromin brand of lubricants and other services.

The leadershop at Petromin envisions a wide horizon for the Electromin Brand: the launch of our auto batteries could well be the first foray in this direction. In addition to the inherent value as batteries for vehicles, we aim to also have our brand recognised for use for energy/power solutions: this would include batteries spanning from household AA size alkaline batteries to auto industry to Electric Vehicle dynamic charging needs.

Given the pedigree, the respect and customer reach that the Petromin Brand has established within Saudi Arabia, introducing an in house battery brand under the name Electromin is the clear and logical step forward, building on existing core strengths.

2020 in Awards

Hayfa Abuzabibah, ADG Head of Group Human Resources

In January 2020, Al-Dabbagh Group (ADG) participated in the Great Place to Work® recognition program. At ADG, creating and sustaining a healthy, engaging, and happy working environment is an absolute priority; one we are committed to, constantly working to ensure the best possible work environment for our colleagues.

Although 2020 was a challenging year, it was not without it’s achievements or silver linings. By springtime, ADG was recognized as one of the Best Workplaces in KSA ranked at #6, an improvement over last year’s ranking of #7. The good news did not stop there: ADG was also immensely proud to officially be recognized as one of the Best Workplaces for Women in GCC in 2020, ranking at #6; one of the Best Workplaces for Millennials in GCC ranked at # 18 and as one of the Best Workplaces in the Middle East for 2020, ranked at # 16.

What sets ADG apart? Our home-grown, tried and tested corporate culture ecosystem Omnipreneurship. The three principles, five values and ten golden rules that are embraced and practiced by ADG and our sister companies provides a strong foundation and basis for reaching our goals, and getting there in an enthusiastic, collaborative and respectful manner.

2020 also saw ADG reach the short-list for the 11th Annual Responsible Business Awards (RBA), under the Sustainable Development Goals (SDG) Impact Category. ADG was the only company from the Middle East to be shortlisted in this category, competing side-by-side with companies such McKinsey & Company and Samsung. The SDG Impact award recognizes a company, initiative or campaign which best aligns their impact with the SDGs and sets industry-leading standards as a company. ADG will continue do its part and play a significant role in contributing to the SDGs across all the operating portfolios through the lens of the 4Ps:  People, Environment, Philanthropy, and Profit.

Although receiving awards are not our end goal, the ones ADG received in 2020 have added fuel to the fire of our passion and motivation. With the knowledge that we are fulfilling our mission and vision of being an impactful business with purpose, we hope that 2021 allows us to build upon these results.

Empowering Businesses, One Learner at a Time

Sahar Taleb, ADG Chief Omnipreneurship Officer

At Al-Dabbagh Group, we are all about setting ambitious goals and targets. One of our most ambitious targets yet is  to influence one billion Omnipreneurs, globally. In order to realize this, we keep our eyes open to ideas which will help increase the appeal and spread of the tried and tested omnipreneurial ecosystem. Once identified, we zone in on designing and implementing them, using the principles, values and golden rules of the ecosystem. The Omniprenerurship Academy is one of these ideas, and it takes its roots in our central principle; Giving.

The Omnipreneurship Academy is a newly established online training platform, with the core mission of empowering users and learners to live their best lives, with the ecosystem as a their framework. The platform offers developmental programs that are relevant to our ever-changing, fast paced world. The platform will provide those who are part of the 30×30 initiative both online and offline training. The objective of the 30×30 (Omnipreneurship in A Box) initiative aims to create 30,000 job opportunities for the Saudi youth by establishing and incubating 10,000 start-ups. In addition to this, Omnipreneurship Academy will provide support to ensure these business owners are able to operate their endeavours in a sustainable manner. This support will take the form of a hybrid of vocational & behavioural training courses.

The behavioral content will be delivered online using a self-paced model, where every participant will have the opportunity to initiate and complete the courses according to their individual time and schedule. This content will include two Omnipreneurship courses:

Omni 101: A basic introduction and overview of the Omnipreneurship ecosystem. The content of this course will be open to all (not restricted to ADG colleagues or franchisees) and will be delivered in a simple and easy to understand format. Upon completion of the Omni 101 course, participants should be aware of the framework, its elements, and how they synergize to help individuals live a life of meaning.

Omni 102: Building on the Omni 101 knowledge, Omni 102 will focus more on the business applications of the Framework. In particular, it will look at how the Values and Golden Rules can be utilized in managing one’s day-to-day career.

In addition to the omni-focused courses, the academy will design, create, and offer business specific content focusing on the following from ADG business portfolios: retail, gas stations and auto-care. This content will be based on the operational needs of each business and will utilize a blended learning approach to deliver the material. That is, the content will be delivered in both online and on-the-job format. The objective of this material is to prepare our new partners and business owners to  carrying out their roles and fulfilling their career objectives.

The Academy will initially develop content for Petromin Express, Petromin Fuel, Primo, and Dukan. Once our mission starts to materialize locally, will expand our giving arm with the ambition to reach everyone across the world.

To better realize our mission and develop a sustainable academy, we followed one of the ecosystem’s golden rules: “collaborate to accelerate”. We formed partnership with local and foreign firms to provide us with their knowledge and guidance as subject matter experts. Our local partner, LAMAS Consulting, are assisting us in developing the training content and providing valuable guidance in shaping the academy and Omni in a Box program, while our tech partner, Philanthropy University, are providing the content hosting platform and technical expertise in structuring online courses.

Our giving does not stop at the academy. Thus, we would like to offer to those of you that successfully complete the program the opportunity to become one of the Greatest Among Us! This will be done by enrolling you in a world-class leadership program with one of the following institutions: Disney Institute, Duke University, or the University of Michigan. We aim that by giving you the needed support, you will be in position to give others in return and share your story.

Art, Well-Being & the Office

Lana Ayoub, ADG Communications Manager

It is by now a well-established notion (based on various psychological studies) that art in the work place has many benefits. From elevating performance and uplifting moods to creating stronger bonds amongst colleagues, art can alleviate stress and be a conversation starter for guests.

Let’s face it, even if we love our place of work offices can sometimes be home to infinite amounts of stress: pressure to meet deadlines, long hours of focusing, tension… the list could go on. Being able to take a break and tune out, even if just for a few minutes, is essential. When feelings of exhaustion or burn out kick in, taking a time out to look art work can raise serotonin levels that leads to an increase in feeling happiness, lowering anxiety and improving memory along the way.

At Al-Dabbagh Group (ADG), we take the wellbeing of our colleagues to heart; when our people do well and thrive, so does ADG. We are also fortunate enough to have our very own corporate art collection, which saw us welcome some additional pieces throughout 2020. Aside from the aesthetic upside, the art work is placed strategically to allow people to take a mental break. As in various healthcare institutions, art is used to lower stress, anxiety and fatigue. However, it can also stimulate sharper processing of information. This past year, we have welcomed new additions (pictured above) including pieces by local talents, to our collection: some jarringly representative of the year we’ve had and others, a respite from it. As we continue to expand our art collection, not only will it serve to provide relief to our everyday office grind; it also serves as an endowment for the long-term funding of our group Giving activities.

Chairman and CEO’s Message

His Excellency Mr. Amr Al-Dabbagh

With the end of 2020 behind us, it might be an understatement to say that it was not the year any of us expected to have. At the end of 2019 the world was in the midst of its usual end of year chaos; the balancing act that has become second nature to so many,  of wrapping up the business year combined with the cheer of the holiday season, all over the world.

As we reflect on the year that was I’d like to thank each and every one of you. The year presented us with challenges and every single one of you rose to the occasion. In doing so, we were able to create opportunities out of those challenges; opportunities for our businesses to do good for our communities and to be there for them during one of the hardest times faced in generations. To those of you who were on the frontlines and to those who had to adapt to work from home life: your individual and collective sense of dedication, commitment and purpose is the reason we weathered the storm.

While there is still a ways to go, there is now a light at the end of the tunnel with the emergence of Covid-19 vaccines. A few more of those “can-you-hear-me-now?!” and “you’re on mute” zoom meetings until a semblance of normality will be able to return. Until then, let us all commit to continuing to do our best to protect our family, friends and colleagues.

As the late Nelson Mandela once said “Our human compassion binds us the one to the other – not in pity or patronizingly, but as human beings who have learnt how to turn our common suffering into hope for the future.” Let us take our shared sense of humanity and compassion and the hope that it  brings with it into 2021.