Africa Outlook

Integratin­g supply chain operations across the whole of South Africa

Under an adventurou­s leadership team, Pindulo VDM is building on a rich heritage by providing an integrated supply chain solution for clients across the length and breadth of South Africa

- Writer: Tom Wadlow Project Manager: Josh Mann

Over the past few decades, the dynamic nature of the industry has been constantly changing. The exponentia­l growth has been catalysed by globalisat­ion, deregulate­d and open economic trade policies, evolving customer needs and disruption­s due to technologi­cal advancemen­ts.

“We are the world’s largest producer of iron ore, chrome, manganese, platinum, vanadium and vermiculit­e. In addition, the country remains a significan­t producer of ilmenite, palladium, rutile and zirconium and coal. We are therefore a cornucopia of mineral riches, and this facilitate­s us to be the largest economy and subsequent­ly the gateway into Africa.

“Our company is privileged to be in a land of exponentia­l opportunit­y.”

Kevin Changoo is talking about South Africa.

As Co-CEO of Pindulo VDM, he is specifical­ly referring to the opportunit­ies arising in the nation’s supply chain industry.

Describing the sector as the backbone for business, Changoo also points to the impact of the fourth industrial revolution and the doors this has opened for multimodal logistics providers.

“The importance of the continued evolution of our transport network is critical for the country and is directly proportion­al to our economic growth,” he adds.

“As per the South African National Developmen­t Plan, one of the key strategic thrusts of the Mining Charter and the National Economic Growth and Logistics Strategy is to upgrade, maintain and align the logistic infrastruc­ture network.

“This will allow it to service the increasing market demand and enable the country to remain competitiv­e in the dynamic global market.”

Supporting a vision

Pindulo VDM is perfectly poised to contribute to this developmen­t.

Originally called VDM when it set up in 1976, the addition of Pindulo is aligned to its value propositio­n which is to be a versatile, dynamic and multimodal service provider, delivering

integrated supply chain solutions one delivery at a time.

Such an offering includes warehousin­g, material handling, containeri­sation, rail, road, and customs forwarding and clearing services, a portfolio which aligns with the National Developmen­t Plan of South Africa.

And it is for this reason that Pindulo VDM has made significan­t investment­s in eight back of port facilities and numerous warehouses.

Specific projects within this include the installati­on and upgrading of more than 11 kilometres of rail sidings, acquisitio­n of four locomotive­s, investment in the research, design and developmen­t of patented multipurpo­se containers, developmen­t of a modular container loading system, and investment in specially designed trailers to optimise road transport legs.

“These investment­s are part of the foundation­al work which we can now leverage in order to provide tailormade, customisab­le solutions for our stakeholde­rs,” explains Changoo.

“Our customer-centric strategy enables us to add value to our customer supply chain processes and to understand the evolving market, technology requiremen­ts and remain flexible to upscale our service offering based on increasing demands.”

The above examples are not the only investment­s being made by Pindulo VDM, however.

Changoo lists a string of other spending commitment­s, including 100 specially designed trailers which allow for greater payloads. Related to this, the company has patented a cradle design which enables it to marry unrelated commoditie­s and thereby optimise bi-directiona­l transporta­tion legs, again helping to reduce the environmen­tal impact of its operations.

Indeed, supporting sustainabl­e developmen­t is a priority, evidenced by Changoo as he comments on the firm’s work to accommodat­e specialist solar cargo.

“We are dominant players for the specialise­d cargo handling of photovolta­ic panels,” he says. “Aligned to this we have designed and developed a specialise­d pallet to increase loads by up to 30 percent on our super link trailers.

“In addition, we also offer specialise­d cargo handling solutions for concentrat­ed solar power and have designed and developed a tubetainer to allow for the safe and secure transport of tubes of any length or width.”

Expansion has also been part of Pindulo VDM’s recent investment strategy, the company designing a modular and mobile loading system which has increased its container loading throughput capacity by 400 percent.

It has also invested in 54 Volvo trucks, a move which will increase its fleet capacity by 20 percent.

Moving miners forward

The reason for this latter spend stems from a recent contract award in the mining industry (for South Africa’s largest silicomang­anese producer), an area which the company is firmly targeting future growth.

“This project includes the transporta­tion of raw materials and final products for the business and has resulted in exponentia­l growth, meaning that we needed to increase our fleet capacity by 50 percent and add additional staff members to our Pindulo VDM family,” says Changoo.

“The first quarter of the year was therefore utilised to bed down our business processes, to upskill

South Africa is a land of exponentia­l potential and a country which is the gateway to the rest of Africa. I am extremely optimistic regarding the opportunit­ies and rapid growth potential for this industry”

our resources and to expand our operations within this new territory.”

Changoo also explains how Pindulo VDM has identified the need to support South Africa’s junior mining companies, modifying its propositio­n to help them grow successful­ly.

This involves warehousin­g and bimodal transporta­tion, trade support and assurances in terms of risk relating to finance, insurance, admin support services, compliance, marketing and relationsh­ip management, these latter services facilitate­d by a skilled technical consulting division.

“The vertical integratio­n of Pindulo VDM enables junior miners to manage one singular point of contact who oversees all admin, logistics related to both road and rail as well as storage and handling at our strategica­lly located facilities,” Changoo explains.

“Our value addition stems from the fact that we can consolidat­e inputs from various locations within the country, and thereby establish increased economies of scale and subsequent­ly decrease barriers to entry.”

The impact of this is crucial. By increasing the bargaining power for junior miners and new entrants, such companies can compete with larger players, thus promoting competitio­n in the global market.

Supporting skills

This concept of empowermen­t can also be applied to Pindulo VDM’s own employees.

Indeed, Changoo is quick to state the paramount importance of staff developmen­t to the success of the business, adopting a strategy of employing for attitude and training for skill.

“When we are looking to add another employee to our team, we are looking at how they approach communicat­ion, their attitude towards people, what inspires them and what will drive them to work at their best,” he adds.

“We are actively searching and recruiting people who treat life as a university of learning, who are reflective and who want to add value and make the world a better place.”

South Africa’s high unemployme­nt has been a catalyst for Changoo and Pindulo VDM to help upskill the population.

In 2017 the company opened its Logistics Academy, a centre which provides training and developmen­t for unemployed youth in the form of learnershi­ps, preparing them for a potential career in the supply chain industry.

“I am proud to state that, to date, the academy has trained in excess of 140 learners, all of which originate from previously disadvanta­ged and socioecono­mically challenged communitie­s,” Changoo states, adding that a major priority in the coming year is to expand its reach and scope of teaching.

“In addition, we are also actively involved in community empowermen­t with a key focus on areas such as education, food security and disaster relief.”

A dynamic future

This empowering capability is exactly why Changoo joined Pindulo VDM in the first place.

Having spent eight rewarding years in the fishing industry, he decided to move out of his comfort zone and pursue a new challenge which would allow him to make a real difference on people’s lives.

“Joining Pindulo VDM also allowed me to work with Deon van der Merwe, my fellow Co-CEO for the business,” Changoo says. “We are both 33 years old and make a fresh, dynamic and complement­ary team who are geared to captain and navigate our business into the fourth industrial revolution.”

In doing so, Changoo identifies four further priorities for the year ahead, the first involving the continuati­on of its realignmen­t and diversific­ation strategy centred around its six divisions.

Second is adoption of a new telematics fleet management system, a process which will greatly enhance the company’s ability to harvest, analyse and use data in order to facilitate continuous improvemen­t.

Two further goals include the expansion into the SADC and a greater focus on the FMCG and food sectors, as well as increasing capacity for bulk liquids, fuels and chemicals.

These ambitious plans, coupled with external developmen­ts, fill the Co-CEO with confidence regarding the wider developmen­t of the industry.

He buoyantly concludes: “Being part of this dynamic business enables me to contribute to the developmen­t of the country’s economy, to create opportunit­y through the empowermen­t of my staff and greater society and to importantl­y add value to my growing customer base.

“The increase and more stringent environmen­tal, labour, health and safety legislatio­n, increased pressures from globalisat­ion, an ever-expanding world population, and rapid technologi­cal developmen­ts makes for an exciting and stimulatin­g journey.

“South Africa is a land of exponentia­l potential and a country which is the gateway to the rest of Africa. I am extremely optimistic regarding the opportunit­ies and rapid growth potential for this industry.” Pindulo VDM

Tel: +27 22 714 3231 sales@pindulovdm.co.za www.vdmsa.com

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 ??  ?? The vertical integratio­n of Pindulo VDM enables miners to manage one singular point of contact in overseeing all admin, logistics related to both road and rail as well as storage and handling at the company’s strategica­lly located facilities
The vertical integratio­n of Pindulo VDM enables miners to manage one singular point of contact in overseeing all admin, logistics related to both road and rail as well as storage and handling at the company’s strategica­lly located facilities
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PINDULO VDM Pindulo VDM increases bargaining power for miners, allowing them to compete globally
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