MIC gains from consolidation
Ma’aden Infrastructure Company (MIC) is unique among our operating companies: it builds and manages residential properties and offers a wide range of services to ensure that our staff in the new industrial city of Ras Al Khair lead comfortable lives and enjoy community amenities.
MIC, which was established in 2008, is responsible for the development, construction and delivery of services to our production and manufacturing operations in Ras Al Khair, which currently consist of phosphate fertilizer and aluminium complexes. Ma’aden Phosphate SBU shares 33 percent and Ma’aden Aluminium SBU 67 percent of MIC’s costs.
Following Ma’aden’s organizational restructuring, the assets of MIC are now operated by the Consolidated Shared Services (CSS), leading to a new business model that enabled us to reduce operating costs and achieve higher efficiency levels in 2016.
We began functioning as a shared service with a more cost-effective, centralized network in 2016. The smooth transition and merger of systems, procedures and logistic services were among our major successes of 2016. During the transition, we ensured that our costs, quality and services levels for our internal stakeholders, especially in facilities management and catering operations, remained consistent.
As part of the consolidation process, MIC’s procurement activities were transferred in 2016 to the centralized Ma’aden procurement function and all MIC staff were transferred to the centralized infrastructure management function in Ras Al Khair.
Over 3,000 employees live in the Ma’aden Village, which hosts about 2,500 residential units. These homes are located around 12 km away from the Ma’aden industrial facilities in the city. MIC has also been overseeing the construction of 789 villas in Mutrafiah, Jubail under Ma’aden’s Home Ownership Progam for Saudi employees working in Ras Al Khair. We have completed 359 units and handed over 187 of them in 2016 to the operating companies, with the remaining due for delivery in 2017.
MIC operations have consistently scored more than 75 percent satisfaction levels in the regular customer services surveys. The MIC Board and management regularly monitor these surveys to ensure that the quality of services for staff is maintained at a high level. MIC organizes community events every quarter, and has also been facilitating staff participation in local and national sporting events.