At your service
With many companies vying for business in South AfricaÔÇÖs mining and power industries, Henk Stoltz, CEO of Utility Services, explains to Jane Bordenave how the companyÔÇÖs quality products and service set it apart from the competition.
South Africa is one of the worldÔÇÖs most mineral-rich countries, with exports of precious metals and coal forming an important part of the economy. With such valuable resources at hand, it is no wonder that many mining and power companies have built themselves up in South Africa. But extraction of raw materials is only part of the storyÔÇöthe need to move and store the product requires additional expertise.
Pretoria-based Utility Services is a leading light in the manufacture and erection of equipment for the mining and energy industries in southern Africa. The company prides itself on the quality of its products and the service it offers. This approach has made it one of the most trusted and respected enterprises in its field. Eighty per cent of new contracts signed are with existing customersÔÇöa measure of just how trusted the business is. This client retention rate is no mean feat, especially as its long-term customers include mining company Sasol and power company Eskom, the largest producer of electricity in Africa.
Speaking about this impressive level of fidelity to the company, Utility ServicesÔÇÖ CEO Henk Stoltz comments: ÔÇ£This is more a natural outcome of the service we provide than a strategy that we actively sought to pursue. Our emphasis is on the quality of machines and labour, which results in clients returning time and again because they want that same calibre of product throughout their operations.ÔÇØ
The company specialises in conveyor belt structures and other related machinery, such as coal stackers, ship loaders and unloaders and pipelines. It is also committed to black economic empowerment and has had majority black shareholders for many years. Its work falls into two main sectors: construction and fabrication. Until recently, the main focus was on the assembly aspect, arranging for the production and delivery of components from external suppliers. Utility Services workers and specialists then assemble these into the working machine.
While this area continues to grow, the recent acquisition of a 3,600 square metre workshop has allowed the business to further expand its manufacturing arm. ÔÇ£Previously, the process of making components was not a major part of our operation,ÔÇØ says Stoltz. ÔÇ£However we decided to diversify the business and invest in this area. This approach means we are able to increase the services we can offer clients. To fully implement this strategy we needed space in which to operate, leading us to buy the new facility. We now hope to increase our manufacturing business to the point that our portfolio of work is split evenly between the two branches. When the site is completed, we will be using cutting-edge CNC technology to produce the very best products.ÔÇØ
Utility Services builds and maintains an excellent long-term working relationship with its clients, mainly through its high quality and good initial service. However there are other, smaller touches that set the company apart from the competition. As well as manufacturing and installing new machines and systems, the company offers retrofitting and refurbishment services. ÔÇ£IÔÇÖm happy to say that this is an area in which we have made something of a name for ourselves,ÔÇØ reports Stoltz. ÔÇ£We are willing to update or refit not only our own machines but also those of other constructors. This is an important part of our overall service; if a client wishes to modernise an existing structure we are able to do so and wonÔÇÖt insist that a client takes on a new piece of machinery.┬á
ÔÇ£Nevertheless, the trust built up through an extended period of working together allows us to be honest,ÔÇØ he continues. ÔÇ£If a client asks us to refurbish an old machine but, once on site, we can see that it will cost more to update than to buy new, we will advise them of this. The respect that our ethos and working manner have brought us means that the client will accept our advice on almost every occasion.ÔÇØ
Unfortunately, mistakes can happen and when they do, the firm ensures that it is able to respond to the situation quickly and effectively. ÔÇ£We will travel to sites to correct any mistakes made during construction, both on our own machines and other companiesÔÇÖ. If the error is on one of our erections, the repair is free of charge. This total commitment to the clientÔÇÖs complete satisfaction is another example of how we differentiate ourselves from the competition,ÔÇØ explains Stoltz.
The company has been working in South Africa, Botswana and Lesotho since its inception and is now starting to branch out further into the African continent. It is currently working on projects in Ivory Coast, Mauritania and Mozambique, with plans to extend even further. Working in Africa does produce its own logistical challenges, and the more countries it does business in, the trickier things can get. ÔÇ£Even in South Africa we have a wide range of terrains. This used to present something of a challenge logistically,ÔÇØ says Stoltz, ÔÇ£but with age comes experience and we are able to draw on the lessons we have learnt over the past 12 years. Thus, when we are looking at a project now, we can easily predict and overcome potential logistics hiccups.
ÔÇ£The rest of Africa can be a bit more demanding, due to distance, terrain and climate,ÔÇØ he acknowledges. ÔÇ£On these projects, there can be more client involvement in arranging the logistical element of the work. However, we can implement our own logistical plans if necessary.ÔÇØ
The companyÔÇÖs commitment to quality and long-term working relationships has made it almost recession-proof. The result of this ethos enables it to further extend its business both geographically and technologically. Quality is Utility ServicesÔÇÖ trademark and one that will see the business continue successfully into the future.
