SMEs Inspire - Singapore Manufacturing Federation

Dear Members,The recent APEC meeting held in Singapore achieved tremendous momentumin setting the tone for trade liberation and cooperation among the members.Increasing SMEs’ access to global markets, sustainable growth and climate changewere some of the key topics APEC leaders have touched on during the summit.In our local context, SMES form the backbone of Singapore’s economy, with itssignificant contributions to the economy. Accounting for approximately 42 per cent ofour GDP and employing more than half of the local workforce, the development of theSME sector is getting increased attention and awareness.This issue, we pull our focus back to the basics of SME growth – entrepreneurship,the source of courage and growing opportunities. In our FOCUS segment, we talk tothree inspiring local SMEs manufacturers who share with us their success stories, andhow they have elevated from the days of entrepreneurship.For Opinions, we have also invited NanoConsulting to provide us insights onthe topic of Nanotechnology and how its importance is growing in a variety ofmanufactured products.We are also pleased to introduce a new editorial segment, CEO Talk, to promotethought leadership as part of our Manufacturing Excellence Initiative (MEI). With thissegment, SMa hopes to provide a channel for SMa members to learn more about thebusiness leaders, their philosophies and values in life. This week’s segment features MrJohn Ng, Chief Executive Officer of PowerSeraya Ltd, who shared on his company’sefforts to go green. (Page 22 & 23)SMa would like to invite you to participate in our newsletter. If you have companyupdates, insights to share or aspiring C-level executives who would like to be featured,please write to us at connect@smafederation.org.sg.COVER by MediactiveEditorial AdvisorsAnnabelle TanBennett Neo Gim SiongGwee Seng KwongChief EditorEvelyn TanStaff WritersGillian LimEvelyn TanContributorsHealth Promotion BoardNanoConsulting Pte LtdPowerseraya LtdPublisherSingapore Manufacturers’ Federation2 Bukit Merah Central #03-00SPRING Singapore BuildingSingapore 159835Tel: +65 6826 3000Fax: +65 6826 3008Email: hq@smafederation.org.sgWebsite: www.smafederation.org.sgSMa Connect is a bi-monthly newsletter bythe Singapore Manufacturers’ Federation.Singapore Manufacturers’ Federation (SMa)takes every reasonable care to ensurethat the information in this publicationis accurate. SMa does not accept anyresponsibility for any errors or omissions. Theopinions expressed in this publication restssolely with their contributors/writers and donot constitute an endorsement by SMa.No portion of this publication may bereproduced without the permission of thepublisher.Distributed to more than 5,000organisations.Yours sincerely,Evelyn Tan (Ms)Chief EditorAdvertising SalesFlorence LongMediactive Pte LtdHp: (65) 9382 0381E: florence@mediactive.com.sgPublishing ConsultantLyon LowDesignEunice GraciliaNurzuli SobahrimediactiveMediactive Pte LtdT: 6846 4168F: 6846 4768www.mediactive.com.sg2

nsideSMa EXCO & Council / SecretariatExecutive CommitteeFeaturesNews in Brief 06Manufacturers’ SentimentsSurvey for Q4 2009 12Treasure Your Mind 26FocusSMEs Inspire 14CEO TalkThe Green Generation 22OpinionsWhat is Nanotechnology? 18RegularsEvents 10Ask EDC@SMa 16Snapshots 24Updates 28240910PresidentRenny YeoSingapore Cables Manufacturers Pte LtdDeputy PresidentDr Moh Chong TauMakino Asia Pte LtdHonorary SecretaryJohn Kong Wai MengBlueScope Steel Asia Pte LtdHonorary TreasurerSimon LiFeoso Oil (Singapore) LtdVice-PresidentDr Ahmad MagadII-VI Singapore Pte LtdVice-PresidentGeorge Huang Chang YiAmoy Canning Corporation (S) LtdVice-PresidentHans-Dieter BottVice-PresidentPoh Choon AnnPoh Tiong Choon Logistics LtdHonorary PresidentEdwin KhewIUT Global Pte LtdLim Meng WeeSP Consulting (International) Pte LtdAnnabelle TanBrite Koncept Pte LtdCouncil MembersAlan LeeSouth East Metal Industries Pte LtdAlbert LimPackagers Pte LtdBennett Neo Gim SiongAsia Pacific Breweries (S) Pte LtdBirch SioConcord AssociatesGeorge WongHoclink Systems & Services Pte LtdGoh Seow PingJohnson & Johnson Pte LtdJames SeeSingco Pte LtdPor Khay TiHTL International Holdings LtdRowan TanDORMA Far East Pte LtdStephen LeeJesplan ConsultantsSunny KohChinatown Food Corporation Pte LtdSuresh NarayananNestle Singapore (Pte) LtdTan Boon ChongClipsal International Pte LtdDr Tan Kok KhengMycoBiotech LtdTay Choon MongTay Choon Mong AgencyTsang Kwan LungGP Batteries International LtdWong Choon KinSpot Management Services Pte LtdYeo Cheong GuanEng Bee Paper Merchant Pte LtdSMa SecretariatGwee Seng Kwong MBASecretary-GeneralEvelyn TanDirectorMembership, Research &Corporate CommunicationsJanice Kwok BBADirectorIndustry Groups & Executive SecretaryAnna ChewDirectorFinance & ITJeffrey Liew BScDirectorInternational Trade DevelopmentSylvia TeoDirectorHR & AdminTan Jin Soon BAExecutive DirectorGS1 Singapore Council4Jennifer YeoYeo-Leong & Peh LLCJerry TanWanin Industries Pte LtdLiang Chong KangE.mation Technologies Pte LtdPatrick ChangPaclin Office Products Pte LtdPeter TanJP Asia Capital PartnersRichard Soh MA (Marketing Mgt), Dip (Marketing),Dip (Sales & Marketing), Dip (Ind Mgt)CEO, School of ManagementDoris Chow MBA (Tech Mgt), Grad Dip(Entrepreneurship & Innovation)Director / Managing ConsultantEDC@SMa Pte Ltd /Centre for Corporate LearningLauw Kok Keen BA (Hons)Acting DirectorSingapore e-SCM Council

Tremendous Potential for IndianPackaging IndustryIndia is a booming market for packaging andbeverage industry. Consumption is being boostedby the increasing demand for food, beverages andeveryday consumer goods. While global average percapital consumption of packaging is US$100, in India,it is only US$15. The market volume of the packagingindustry has been growing by an average of 15 per centper year and this figure is expected to rise to 22 to 25per cent annually in the next few years.India is the third country with the largest beverageconsumption, after USA and China, accounting forabout 10 per cent of the global beverage consumptiontoday. Market analysis indicates that beverage sales inIndia will increase by more than 60 per cent between2008 and 2012.In view of the tremendous growth potential for bothpackaging and beverage industries, two trade fairs –drink technology India and International PackTech Indiawill collaborate to create a common Indian tradingplatform for customers from the packaging, beverageand liquid food industries. The joint trade fair will beheld in the Bombay Exhibition Centre, Mumbai, from 18to 20 November 2010.Singapore and US Academia toDevelop Green ElectronicsUC Santa Barbara (UCSB) and the Instituteof Microelectronics (IME) of Singapore willcollaborate to research on “Green Electronics”.The collaboration will focus on developing ultra-efficientnanoscale transistors and exploring their circuit-levelfunctionality. Areas of focus include design, modeling,fabrication, and characterization of an emerging categoryof “green” nanoscale devices with ultra-low leakage.Energy efficiency by lowering leakage powerconsumption is critical to all future electronic products,especially portable electronic devices. This collaborationwill create novel electronic devices with a near-idealswitching behavior that allows the switch to move fromON to OFF state and vice-versa almost instantly. Newmaterials, transistor structures, fabrication techniques,circuits, and architectures will also be considered.For more information, please contact Ms Tan Su-Lynn(Institute of Microelectronics) at tansl@ime.a-star.edu.sg.SMEs Confident of Surviving theCurrent DownturnTwo recent polls done on SMEs’ take on the current marketconditions and their business outlook unanimously registeredpositive feedback. In the recent release of survey findings fromDP Information Group, 78% of the 10,000 respondents said theyare confident of weathering through the downturn. More than halfof the SMEs (with most sentiments from Infocomm, Manufacturing,Services and Wholesale), look forward to expanding in currentdownturn by introducing new products and services (35.7%) andincreasing overseas market presence (29.7%).In a smaller-scale survey of 152 SMEs done by brandingconsultancy A.S. Louken (ASL) and ASME, it was revealed that 4 outof 5 respondents anticipate growth in the next 12 months. Findingsalso showed that out of the 34.9% of all SMEs surveyed that haveyet to establish overseas presence, 2 out of 5 companies intend toventure overseas in the next 12 months.21.7% of SMEs believed that their strengths were in their “uniqueproducts and services”, 20.4% their “expertise” and 16.4% their“quality product and services”. More than 70% of the respondentswho said branding is important, plan to invest in branding in thenear future.Luke Lim, CEO of ASL, said: “While some SMEs have also foundtheir competitive advantage in serving niche markets, offeringdiversity in business products and services, having good relationshipsor even in owning their own facilities, it is of concern that a significant13.8% were unsure of their competitive advantage. Knowing andfocusing on strengths ensures sustainability and even helps to gainmarket share. This is even more crucial during poor economy.”SEC Launches One-stop Climate PortalSingapore Environment Council (SEC) recently launched aclimate portal to provide detailed information on global andlocal climate change-related issues. The SEC Climate Portalconsolidates all itsclimate changerelatedprojectsas well as climatechange relatedservices (CarbonCalculator, Optionsfor offsetting carbonemissions) at thisone-stop ClimatePortal.The SEC Climate Portal can be accessed at www.climatechange.sg.6

SMa and FMM seek cross-borderinvestment opportunities formanufacturers18 Manufacturers (FMM) toAugust 2009 – SMa partneredwith Federation of Malaysianidentify key areas of collaboration at a jointcouncil meeting held at Puteri Pacific Hotel,Johor Baru. Leveraging on the strong bilateraltrade and investment relations betweenSingapore and Malaysia, SMa and FMM willbe rolling out a series of strategic activities toexplore cross-border opportunities.Delegates from key governmentpartners from Singapore’s Ministry ofTrade and Industry, SPRING Singapore,IE Singapore and Malaysian Industrial Development Authority(MIDA) also participated in the joint council meeting.In conjunction with the joint council meeting, SMa andFMM also led a group of about 100 member representativesGroup picture with Council Members of Singapore Manufacturers’ Federation and Federation ofMalaysian Manufacturers, as well as Tuan Haji Mohamed Basir bin Mohamed Sali (seated, secondfrom left), Senior Manager, Johor State Investment Centre, and YB Dato’to participate in a seminar co-organised with Minister forInternational Trade and Industry and MIDA, including a dialoguesession with the Johor State Investment Centre and RoyalMalaysia Police (Johor branch) and a visit to Iskander and Nusajaregions. – CONNECTUniversal Design OffersNew BusinessOpportunitiesMr Wei Kong, Design& Research Managerin Singapore’s NationalDesign Centre.28 Good Business, speaker Mr Wei Kong, Design &August 2009 - At the talk jointly organized bySMa and >60 Design Centre Good Design andResearch Manager in Singapore’s National Design Centre forAgeing, urged members to engage the silver market and applyuniversal design in their design and development processes. Heexplained that Universal Design refers to the manufacturing ofproducts, services and environment to match the needs andwants of a wider target market – elderly, disabled, pregnantwomen, mothers and children.Singapore has one of the world’s fastest ageing populations,projected to be the fourth oldest country in the world by2050. Based on projections by US Census Bureau, 57.4% ofSingapore’s population will be aged 50 and above by 2050.Leveraging on the quick developments in the silvermarket, product developers and manufacturers areencouraged to incorporate Universal Design into theirbusiness strategies to tap on the lucrative opportunities. Theageing population to come, will be the group of active andaffluent consumers today. With higher purchasing power,they are more prepared to embrace product designs thatinclude their needs.Apart from medical and health care equipment,manufacturers can also consider focusing on consumergoods which satisfy specific needs of the elderly. Examplesinclude household appliances with clear indicators, healthfood and electronic devices with a clear display screen. –CONNECT8

Local FoodManufacturersand Exporters EyeGrowing ASEANand Halal market1September 2009 - Over 250 food industry professionals andcompanies converged at the Food Exports Conference 2009;updating themselves with the latest developments in theSoutheast Asian market, specifically on food and import regulations andupcoming trends such as Halal developments and nutrition labeling.Jointly organised by SMa and SPRING Singapore, this year’sconference featured speakers who are regulatory board representativesfrom Indonesia, Malaysia, Thailand and Vietnam. They shared with localfood manufacturers and exporters on the respective market needs andregulations; an integral piece of information for companies keen onexpanding their outreach into the ASEAN region.Of the wide-ranging topics discussed, the Halaldevelopments in the ASEAN region drew much interestfrom the participants. With Muslims accounting for halfof ASEAN population, the Halal market is an importantaspect of the ASEAN food export market. Global tradein Halal agri-food products is estimated to be US$ 560million annually. Food manufacturing companies have alsoreported 15-20% growth in their business by leveragingon Halal certifications.Moderator, Mr Tan Khieng Sin (third from left); Presenter, Mr Lam Kong Hong(fourth from left), Director of Quality Assurance Services Division, SPRINGSingapore, with the panel of speakers for the morning session.For more information on standards and technicalregulations for food, please contact ETAC at etac@spring.gov.sg.– CONNECTCCL partnersifs to launchMasterclassseminars4September 2009 – Centre for Corporate Learning(CCL), training arm under SMa, and premier UKfinancial education organisation, ifs School ofFinance, jointly launched a Masterclass in Banking Innovationand Business Opportunities in Indochina to cater to thegrowing interest in the emerging Indochinese market.The inaugural seminar was a timely opportunity toshare with C-level executives on the recent developmentsin the region. Two renowned speakers, Dr Keith Pond ofLoughborough University, and Dr John Vong, EmergingMarkets Specialist, spoke on the development of consumerDr Keith Pond of Loughborough University and Dr John Vong, EmergingMarkets Specialist.finance, quality of consumer and corporate credit, as wellas the economic appeal of the emerging Indochinesemarket respectively.As a forerunner of corporate training and development,CCL recognises the importance of equipping companieswith the latest trade financing knowledge to facilitate theirbusiness expansion plans into these emerging markets.As such, CCL plans to implement more of such Institute ofBanking and Finance-accredited training programmes forworking professionals to further update their knowledge intrade financing in the near future. – CONNECT9

A Mid-Autumn Affairby the Labrador ParkOver 100 members turned up at the Mid-Autumn Networking Night by Labrador Park.24September 2009 – SMacelebrated the Mid-AutumnFestival with some 100-overmembers at the picturesque Labrador Park,offering a panoramic view of the sea.Notwithstanding the sumptuousseafood dinner buffet spread, toppedwith delectably sweet mooncakes andrefreshing Tiger beer, members were alsotreated to an indigenous performance bythe Sichuan Face-Changing talent.Welcome new members!In addition, SMa warmly welcomed newmembers to the big family; encouraging allmembers to leverage on SMa’s resourcesand extensive network of contacts toactively seek out business opportunitiesfor expansion plans and sharpen theircompetitive edge.Mr Renny Yeo, SMa President (right) with eventsponsor, Mr Ed Ng (left), CEO of GE Capital Asia.10Amazing performance from Sichuan Face-Changing talent.All members had an enjoyableevening. The event is kindlysponsored by GE Capital, supportedby Asia Pacific Breweries for theiraward-winning Tiger beer and ThePines for their delicious mooncakes. –CONNECT

Manufacturers’ SentimentsSurvey Findings for Q4 2009SMa constantly seeks to gather manufacturers’ sentiments pertaining to key areas of focus that will impactthe overall performance of their companies in the forthcoming quarter. Extracts of the findings are as follows.Please visit our website at www.smafederation.org.sg for the detailed report.KEY FINDINGS1. The overall sentiments for Q4 improved further with about halfof the companies surveyed expected a more positive outlook.2. Most companies shared that they expect cost to increasein Q4, probably due to a more positive economic outlookand increased demand.3. A net balance of 16% indicated an increase in overallwages in Q4. This could likely be due to a probablebonus payout at year-end.Note: The Global Economy, The Singapore Economy andYour Industry refers to the general macro economy, notmanufacturing only.1: Your Industry refers to the industry the respondent/companybelongs to, i.e. Food & Beverage, Automation Technology, etc.Rise, 43%No change, 35%Fall, 20%Total Operating CostNote: The above may not add up to 100% because of missing responses.The above chart shows the sentiments on Total Operating Cost and its cost components for Q4.This survey is compiled and reported by Serene On, Research Analyst for SMa. Survey was conducted in Sep 2009 via email, telephoneand face-to-face interviews. A sample total of 100 companies across various industry clusters were interviewed. – CONNECT12

SMEsInspireCONNECT talks to three inspiringSME manufacturers who revealtheir roadmap to success.It is not the strongest of the species that survive,nor the most intelligent,but the ones most responsive to change.– Charles DarwinNo one can deny that the world we live in right now is vastly different fromthat of 20 years ago; thanks to modernization and the breakthroughs intechnology. To function efficiently or even survive, we need to responseand adapt to the changes around us.The same applies for businesses. If businesses want to stay away the ‘endangeredspecies’ list, they need to be responsive to the changes around them, or even usethem to their advantages. This is especially true for SMEs. They need to constantlyevaluate the way they do business, redesign work processes and provide productsand services with higher customer value to stay competitive.Budding, not BoomingOne important contributor to SME competitiveness is the adoption of a regionalmindset that is tuned to the developments of global trends. The winning strategy,however, is to focus on ‘budding’ rather than booming markets. Though boomingmarkets very often present global opportunities on a large scale; it also sees quickdominance of market share by the bigger boys. On the other hand, ‘budding’markets present attractive opportunities in terms of market share, growth rate andbrand loyalty.Homegrown company, Beacons Pharmaceuticals is the Singapore’s firstpharmaceuticals manufacturer to make foray into Uzbekistan, Central Asia.The 40-year-old manufacturer is one of the largest local manufacturing facilitieswith higher production capacity. Even so, the company recognises overseasexpansion as one of its growth drivers and domestic market as a channel forrecurring revenues.When asked about the decision to make inroads into Uzbekistan, CentralAsia, Joseph Lam, Managing Director said ‘there is a real and increasing demandfor cost-effective pharmaceuticals’ in Central Asia, and that ‘Central Asia andUzbekistan are like China 20 years ago’, brimming with untapped potential andlucrative opportunities. Despite different spoken languages, he said Uzbekistanhas the extra ‘people element’ and felt that it is not difficult to understand thepeople, as they were on the same business wavelength.Currently, 80-90% of the drugs in the Uzbek market are manufactured byforeign companies. While pumping up the drug manufacturing industry, the Uzbekgovernment is also aggressively reaching out to overseas drug manufacturers tocollaborate and provide quality and high value manufacturing in the country. Besidesserving a sizeable market of 27 million Uzbek population, Beacons is also targeting14

the Commonwealth of Independent Statesmarket with a total population of morethan 100 millions.Facilitate Growing TrendsAnother strategy is to play a facilitatorto growing trends. With the rise of the‘green’ economy, companies are offeringmanufacturers solutions to help themto strike a balance between saving theenvironment and initial capital outlay undersustainable manufacturing practices.Local packaging solutions provider,Greenpac is a fine example of a companywhose business model and valueproposition help spur manufacturerstowards the goal of achievingsustainability. The company has sincegrown into a thriving multimillion dollarcompany; and as the market leaderfor environmentally friendly packagingsolutions in Asia.Back in the start-up days, Susan Chong,Managing Director, noted the disparitybetween packaging products andservices offered in the market versus thetoday’s clients’ needs for eco-friendly andinnovative designs. Manufacturers anddistributors faced age-old problems ofconventional wooden pallets that damagetheir goods due to the protruding nails.Greenpac offered its first internationallypatented,nail-free interlocking woodenpackaging design that won overcustomers who once thought “Green isExpensive” and had little concern aboutsustainable and innovative packagingneeds. Through constant education andresults-driven demonstrations, she is nowserving some Fortune 500 companieswith the value proposition to offerinnovative and environmentally friendlypackaging solutions that eliminate wasteand unnecessary costs.Recognised by the internationalbusiness community for Greenpac’scommitment to strive for innovative, ecofriendlyand innovative solutions, Susanhas received numerous awards andaccolades such as the recently launchedSustainable Manufacturing Label,Singapore Packaging Star Awards underSMa, Outstanding Entrepreneurshipcategory under the Asia PacificEntrepreneurship Award, and SEC-Senoko Power Green Innovation Award.Innovate to ThriveInnovation not only creates a competitiveadvantage but opens up new markets.When local inventor, Peter Soh sawthat world crude oil prices, electricitytariffs and energy consumption surgingat an alarming rate, he was inspired tocreate an energy-conserving product forair-conditioning systems.He then invented the Hydroball system,an auto-cleaning technology that saveson electricity bills by cutting down energywastage and improving chillers’ efficiency.It also saves the environment by reducingthe amount of toxic chemicals releasedinto the air and usage of chemicals forthe cooling tower. As such, the companyalso reached out to another target group- customers that were concerned with thedetrimental effects on the environment.Its effectiveness was demonstratedat a project piloted by Jurong TownCorporation - over six months, the systemreduced energy consumption by morethan 18%.However, there are challenges toface. Peter met difficulties in financing,manufacturing of equipment parts andmore importantly, marketing. The need forcompetitive positioning was the priority.With that, it encouraged customers torecall on the system when there is a needto replace or use an automatic cleaningsystem. More industrial awareness waseventually garnered and the companyalso hired more sales professionals tomarket and sell the product.Peter’s company is seeing growingdemand for his systems and projectreferences have also increased as moresystems were installed for projects underthe public sector, commercial buildings,water fabrication plants and others.When asked for the attributing successfactors, he quoted sustaining customers’satisfaction, constant improvement ofproducts, reducing manufacturing costsyet maintaining the highest quality andmore importantly, the positioning andmarketing strategy for its systems.Fortune Favours the BoldThe global economic downturnis likened to a pandemic as a test onimmunity and hit businesses which hadpoor models and/or strategies. However,lessons can also be learnt from thecurrent circumstances, and SMEs canrise to own their fair share of the local oroverseas market.SMEs contribute half of Singapore’stotal value-add, but most of them arestruggling in the vicious cycle of hurdlesand challenges. Government assistanceschemes may have helped some toclose the gap between their capabilitiesand their performance. Nonetheless, tosee sustainable, long-term growth, localSME manufacturers need to be as boldand responsive and more importantly,adopt an entrepreneurial mindset andconstantly seek new capabilities, formnew strategies and develop new markets.– CONNECTLocal SMEsshould focus onhow to valueadd to the entiresupply chainprocesses throughtechnology andinnovationdevelopment.– Susan Chong15

Ask EDC@SMaOur EDC@SMa team provides tips and advice tofrequently asked queries on various governmentschemes and funding.Question: What is Exporter Development Programme (EDP)?Answer: The EDP programme is an initiative by International Enterprise (IE) Singapore,designed to help Singapore-based SMEs develop their export competencies through asustained and systematic approach to penetrate overseas market.The programme encompasses three compulsory components which will equip andprovide SMEs with the adequate knowledge, approach as well as opportunities todevelop and apply its own export strategies. The three components are export strategyplanning, export training course and workshops, and overseas market visit. The threecomponents will help you to:• Understand your export product or service• Understand the needs of your customers and target market• Learn how to gather market information from remote and in-market resources• Develop an export strategy for your product or service• Acquire the fundamental knowledge of export• Meet and network with business associates and potential clients in your export marketsQuestion: Who is eligible for the Exporter Development Programme (EDP)?Answer: The programme provides Singapore-based SMEs who wish to• Enhance your export capabilities• Kick-start export business• Gain more knowledge and skills on the preparation required for exporting• Develop a export strategy for a new target market• Review and revise your export strategy for an existing export marketQuestion: How will IE Singapore support the programme?Answer: The programme provides eligible companies with grants and support of up to70% of the total investment required.Interested companies may contact IE Singapore at 1800-4377673 or iesingapore_edp@iesingapore.gov.sg. Companies are required to take the Export Readiness Assessmentto determine their export competencies.16

What isNanotechnology?The word “nano” originates fromGreek and means “dwarf” andnanometer is one billionth (10-9) of a meter – about one hundredthousandth of the width of a human hair.Nanotechnology or “engineering at a verysmall scale” is the technology of creatingand applying materials and structureswith at least one critical dimension below100nm which lead to new functionalitiesand properties.For example, nano coatings can helpcreate stain-proof clothing, easy-to-cleanwindows and anti-bacterial and scratchresistant surfaces. Nanotechnology canalso help create devices that are smallerand cheaper with greater functionalityand high energy efficiency.Due its enormous impact in multipleapplication areas from medical devicesto electronics and even environment,governments around the world have thusfar (till 2008) invested nearly S$56 billion(US$40 billion) in nanotechnologyresearch. It is expected that governmentfunding in nanotechnology around theworld for 2009 alone will reach S$9.3billion (US$9.3 billion). Increasinglythis funding is moving away fromfundamental research to moreapplication-oriented research.Specific examples of application ofnanotechnology in different verticalindustries are given below:Automation technology: The growthof low cost, high reliability, wirelesssensors to measure parameters was oncethought to be impossible previously. Ithas also enabled the creation of evensmaller electronic devices with everincreasingfunctionality and high densitystorage devices. It has also enabled thedevelopment of flexible displays.Building and construction: Thedevelopment of a variety of new materialsdeveloped from nanotechnology isreshaping the building and constructionindustry. For example, materials such asnanosilica can increase the durabilityof cement and enhance its mechanicalproperties. Adding photocatalyticTiO2 to conventional cement can helpreduce CO and NOx emissions onhighways. Nanotechnology also enablesthe creation of more environmentallyfriendlyhigh-strength cement substitutesand to incorporate novel wireless sensingelements to monitor the structuralintegrity of concrete structures.Electronics industry: Nanotechnologyhas a growing importance in thedevelopment of data storage andbatteries with better performance. In2006, Hard-Disk Drives (HDDs) enabledby giant magnetoresistance (GMR)accounted for $25 billion in 2006 with450 million units shipped, while 60% ofLi-Ion batteries used are already usingnanofibers. It is also changing the face ofthe optoelectronics industry with tighterintegration of the optical and electroniccomponents in devices that are becomingsmaller and smaller. Organic electronicsstrongly enabled by nanotechnology isalso set to drastically reduce the cost ofelectronic devices.Food and beverages: Nanotechnologyis found in the production of food andbeverage with lower cost and higher safetylevels. For example, bottles made withnanocomposites minimize the leakage ofCO2 and are much cheaper than glassbottles or aluminum cans. Plastic foodstorage bins are being embedded withsilver nanoparticles to impart anti-bacterialproperties and keep the food fresh forlonger periods of time. Nanosensors arealso being used in plastic packaging todetect food spoilage and to amount ofpesticides on fruit and vegetables.Fire protection: Personal safetyand fire protection industry is changingdrastically through the use of fire retardantclothing, flame resistant material madewith polymer nanocomposites filledwith clay and carbon nanotubes and fireretardants made using nanoadditivesto replace halogen retardants bannedin different markets. Nanoadditives arealso used to reduce the heat release rateduring a fire event by forming surfacechar to insulate the underlying material.Pharmaceuticals: The pharmaceuticalindustry is one of the early adoptersof nanotechnology as it helps developdrugs with greater specificity, morecontrolled release profile and reducedside effects. Nanoparticles like quantumdots and magnetic nanoparticles alsoenable the development of better drugsby enhancing the bio imaging capability.Lifestyle products: The cosmeticsindustry is the largest application industryfor nanotechnology in terms of revenues.Examples of cosmetics incorporatingnanotechnology include anti-wrinklecreams incorporating nanocapsules,ZnO2 nanoparticle based skin careproducts, TiO2 nanoparticle basedsunscreen lotions and moisturizers withoxide and nanosilica. Nanotechnologyis also changing the textile industrywith clothing that can change color,self-clean and repel water. Nanosockswith embedded nanosilver particleslead to fresh smelling socks for longerdurations. Other examples of nanoenabledlifestyle products are low weighthigh performance sporting goods suchas mountain bicycles, golf clubs, kayaksetc made using nanocomposite materialsembedded with carbon nanotubes.18

substantial R&D facilities in Singaporeto take advantage and contribute to thegrowing nanotechnology ecosystem inSingapore. Local companies have alsostarted to incorporate nanomaterialsin their products. For example, PastureGroup has effectively used nanoparticlesin their disposable masks. These maskshave been approved by FDA for generaluse to prevent against the recent swineflue outbreak. Another local company,Haruna Paints makes easy-to-cleanpaints containing nanoparticles. Thereare also a growing number of newnanotechnology companies such asAmaranth Medical, NanoBright, Metarixthat came out of local universities.Source: SingNanoMetal manufacturing: Nanoparticlesare being used as additives in lubricantsand coatings due to their ability entercontact area easily and work at ambienttemperature. By selectively embeddingnanoparticles inside different metals, wenow have the ability to produce newmetal materials with better mechanical(strength, elongation etc) and functional(corrosion resistance, electrical andmagnetic) characteristics.Medical devices: Nanotechnologycan be used in tissue engineeringfor biomaterials scaffolding, cellularengineering and biomolecularmanipulation. Engineering of scaffoldsin nanoscale can bring novel properties,enhance biocompatibility and reducethe need for revision surgery. Stents withreduced incidence of stenosis and betterdrug release profile can be developedusing nanocoatings. Nanotechnologyalso enables the development low cost,point-of-care diagnostic solutions.reduce the oil exploration costs and costsof offshore rigs.Plastics and packaging: Nanotechnologycan enable reduce the biggest problemfaced by the plastics and packaging industryby effectively conversing waste plastic intoa carbon source for SiC nanomaterals. It isalso possible to turn CO2 to biodegradableplastics using nanotechnology. NanoCaCo3 can be used as fillers in plastic bagsas fillers to reduce amount of polyethyleneused and reduce wastage.Nanotechnology in SingaporeNanotechnology is recognized as a keyenabler to sustain future development ofthe Singapore economy. The Singaporegovernment spent about S$420 million(US$300 million) between 2003 and2007 in nanotechnology-related R&Dand manpower development. In addition,Singapore has a wide variety of programsto train manpower required for nanotechcompanies at different levels of expertise.In summary, nanotechnologycan deliver solutions to a number ofexisting problems in different industriesand Singapore has the world-classresearch and infrastructure to deliverthese solutions. However, significantchallenges to large scale adoptionof nanotechnology exist. Theseinclude the conservative nature of themanufacturing industry, the difficulty inscaling up nanomaterial production, aswell as integrating nano-based solutionsinto existing solutions and incompleteknowledge of their health and safetyimpact. In spite of these challenges,as companies like Pasture Group haveshown, nanotechnology can provide adecisive competitive edge to the earlyadopters. – CONNECTThis article is contributed by:Dr Hiran Vedamhiranvedam@nanoconsulting.com.sgCEO of NanoConsulting Pte Ltd.Oil & gas industry: The developmentof highly effective catalysts can operateat lower temperatures and producefewer by-products, hence creatinghighly selective membranes to reducethe cost of separation. In addition,nanotechnology is being explored toSingapore’s investment intonanotechnology has already resulted in thecontribution of nanotechnology-relatedproducts and services growing at about8% to 21%. Multi-national companiessuch as BASF, Bayer, ST Microelectronicsand Zyvex have decided to set up19

Skills Programme for Upgrading and Resilience(SPUR) is a programme which brings together the full range of skillsupgrading programmes delivered by the SPUR training providers withfunding support that companies and workers can tap on during thecurrent economic downturn.SPUR offers employers lower coursefees and higher Absentee PayrollSubsidies (capped at $10/hr) whenthey send their staff for training.Up to 90%WDA Funding #NEW!NEW!Advanced Certificate inManufacturing Sales &MarketingSMa Member & Non SMa Member: $885.96Supervise Teams at WorkSupervise Work Improvement ProcessesSupervise Quality ProceduresSupervise Workplace Safety & Health PracticesDevelop Purchasing Skills & Selection of Vendors inManufacturing SettingMaximize Advertising & Promotion in ManufacturingImplement Profitable Marketing & SalesStrategies in ManufacturingPractise Entrepreneurship within Your OrganisationImplement Sales & Customer Service in ManufacturingBusinessFor enquiries, please contact Sharon Liang at 6826 3049; sharonliang@smafederation.org.sgManage Effective Manufacturing Sales & PlanningInterpret Business Laws for Non-Legal Executives in aManufacturing EnvironmentManage Marketing Intelligence in Manufacturing SettingDevelop and Implement Strategic Management forAbove Average Returns in ManufacturingAnalyse Global MarketingManage Manufacturing Export & Import SaleFor enquiries, please contact Nina Sianturi at 6826 3071; nina@smafederation.org.sgSpecialist Diploma inManufacturing Sales &MarketingSMa Member & Non SMa Member: $818.55* All fees are inclusive of GST & after subsidy. Kindly contact us for the latest updates on new programmes and dates.** The programme information above is accurate at the time of printing. SMa-CCL reserves the right to alter any of the information providedabove at any time without prior notice.# Subsidies are only available for Singaporeans and PRsFor more information, please log on to www.smafederation.org.sg or email to cclemail@smafederation.org.sg20

SMa - Centre for Corporate LearningUpcoming ProgrammesNOVEMBER 20092 Nov 09 Selling It Right! 20 Nov 09 Adapting to Change at Work2 – 3 Nov 09 Warehouse and Storage Management 24 – 25 Nov 09 Statistical Process Control and Process Capabilityfor Manufacturing5 – 6 Nov 09 Strategic Inventory Management, Planning and Control 25 – 26 Nov 09 Value Stream Mapping6 Nov 09 People Skills for Managing Effective Customer Service 29 Nov 09 Cost Reduction Techniques for Effective Purchasing9 Nov 09 Effective Uses and Applications of INCOTERMS inInternational Trade11 Nov 09 Stress and Wellness Management30 Nov – 1 Dec 09 Workshop On Understanding Letter of Credit BestPractices and International Trade12 – 13 Nov 09 Six Sigma Methodology and Tools training DECEMBER 200913 Nov 09 Negotiation Skills Best Practice 1 – 2 Dec 09 7 QC Tools and QCC16 – 17 Nov 09 Supervisory Management Skills 9 Dec 09 Understanding Key Performance Indicators (KPI)17 Nov 09 Six Sigma for Managers, Executives and Champions 14 – 15 Dec 09 How To Negotiate with Vendors and Suppliers17 – 18 Nov 09 Practical Manufacturing Productivity and CostImprovement17 – 18 Dec 09 Six SigmaSMa members are eligible to utilise SMa Complimentary Cash Voucher for the courses and seminars.SMa Centre for Corporate LearningGeneral Email:cclemail@smafederation.org.sgGeneral Fax: 6826 3021Seminars : Ms Leong Mun Yin DID: 6826 3056 munyin@smafederation.org.sgMs Nina Sianturi DID: 6826 3071 nina@smafederation.org.sgMr Rayson Lee DID: 6826 3086 raysonlee@smafederation.org.sgIn-House Training :Please email your queries to cclemail@smafederation.org.sg21

The GreenPowerSeraya has clinched two awards – BestSustainability Report and Best First-Time Report– at the prestigious 7th Association of CharteredCertified Accountants (ACCA) Singapore Awards forSustainability Reporting 2008, endorsed by NationalEnvironment Agency. Its inaugural SustainabilityReport also scored the highest Global ReportingInitiative level ever achieved by a Singaporecompany to-date. CONNECT speaks to its ChiefExecutive Officer, Mr John Ng, on his leadershipphilosophies and values.1) As the CEO of an established company in Singaporewhich plays a key role in the energy sector, what are someof the leadership values that you strongly believe in?It is always important to work and function as a team in anycorporation. Good team collaboration in a dynamic workforce isvital to the success of a company. Open communication within thecompany can lead to generation of innovative ideas which can begood for the growth of the organisation.Mr John NgChief Executive Officer,2) PowerSeraya has been an advocate of sustainablegeneration and consumption of resources. Going forward,how would you continue to inspire your staff and aligntheir interests with the company’s?PowerSeraya has always been an all-rounder supporter of greeninitiatives. Internally, we seek to engage our staff in various waysranging from organised talks and dialogue sessions, to giving them theopportunities to lend their volunteering efforts towards environmentalrelatedactivities.22

GenerationBe it the adoption of sustainable office practicessuch as switching off lights during lunch hours toconserve energy, paper and print cartridge recyclingor organized talks on environmental messages suchas water conservation and waterways cleanliness,we actively encourage participation from staff inresource conservation and the 3Rs – reduce, recycleand reuse.When relating to external audiences such asstakeholders, the company believes in continuousengagement and will continue to seek creative waysto engage them to increase the level of environmentalawareness within the company and educate them onadopting sustainable practices.Besides investing in emissions control equipmentand clean burning Co-Generation plants,PowerSeraya has also adopted virtualisation softwaretechnology to reduce our energy consumption andthus, carbon emissions.Companies in the power generation businessneed to recognise that playing their role in beingsocially responsible will, in the long run, benefit theirbusinesses. Adopting sustainability into its businesspractices will create value for the company in terms ofenhanced brand equity, customer and talent retentionand acquisition, better management of reputationalrisks, as well as greater operational efficiencies throughthe optimal use of resources.3) How important is sustainability in thepower generation business?With growing scarcity of resources and the world’sessential but increasing need for energy, it is importantfor related companies to provide energy-efficientsolutions in a socially responsible manner.At PowerSeraya, we strive to become ‘greener’ anddeliver reliable energy while minimising the operationimpact of our business on the environment.As part of our commitment towards sustainability,we have recently developed the inaugural issue ofour sustainability report; highlighting the greeninitiatives that PowerSeraya has taken, and what itmeans to be socially responsible to our stakeholders.It is indeed heartening to note our recent categorywins at the ACCA Singapore Awards for SustainabilityReporting 2008. It further validates our approachtowards sustainability.4) Can you share with us the future plans forPowerSeraya?The company continues to look for new growthopportunities while, at the same time, stay focused onmaximising its core business and people capabilitiesto augment its reach and presence as an integratedenergy company.In particular, the completion of our new 800MWCo-generation Combined Cycle Plant in early 2010 willadd to our diversified portfolio of energy assets andserve as a new platform of growth to offer a competitivepackage including electricity, steam and water.We continue to seek ways to enhance our staff’sgrowth and development through training. We arealso working closely with our parent company, YTLPower International, to tap on their wealth of expertiseand knowledge to maximise our shareholder valueand returns. – CONNECTWe welcome you to share your stories!The editorial team reserves the right to select, edit and publish articles according to its editorial policy.Send in your stories to the Editor at connect@smafederation.org.sg23

Event: Luncheon with CCPIT Representative Officeand China Shandong Representative Officein SingaporeDate: 7 September 09Venue: Meritus Mandarin Hotel01. Middle: Mr Poh Choon Ann, SMa VicePresident and Chairman of China BusinessCommitteeLeft of Mr Poh: Ms Zheng Shaoping,Chief Representative, China ShandongRepresentative Office in Singapore.Right of Mr Poh: Mr Zhao Huitian, ChiefRepresentative, China Council for thePromotion of International Trade (CCPIT)Representative Office in Singapore01Event: Industrial Automation Vietnam /PIA Vietnam 2009Date: 16 - 18 September 2009Venue: Saigon Exhibition & ConventionCenter (SECC)01. Representatives from Carl Zeiss Pte Ltdshowcasing some of their latest products atthe Singapore Pavilion.02. Representatives from I-Wire (Asia) Pte Ltdexplaining their products to visitors.0102Event: Medical Fair Thailand 2009Date: 16 - 18 September 2009Venue: Queen Sirikit National Convention Center010201. Thailand’s DeputyMinister of PublicHealth, H.E. ManitNopamornbodee(fourth from right)graced the openingceremony.02. The world’s first bluetoothedcontrolledwheelchair developedby Singapore basedWinner SG Pte Ltd isone of the highlights ofthe pavilion.24

Event: CEO Luncheon SPA awardDate: 22 September 2009Venue: Pin Si Chinese Restaurant, SAFRA Yishun01. Mr Albert Lim, Chairmanof Packaging Council ofSingapore, receiving theSingapore PackagingAgreement’s Certificate ofActive Participation from MrAndrew Tan, CEO, NationalEnvironment Agency.02. Another recipient ofSPA Certificate of ActiveParticipation, F&B IGChairman, Mr Sunny Koh.03. Mr Suresh Narayanan,Managing Director, NestleSingapore, recipient ofSPA’s Certification ofActive Particpation giving apresentation of his company’senvironmental initiatives.020103Event: Meeting with Delegation from PolandDate: 29 September 2009Venue: SMa @ SPRING Singapore01. Front row; fourth from left:His Excellency, Mr WaldemarDubaniowski, Ambassadorof the Republic of Poland inSingapore; Mrs. Bozena Czaja,Vice president of PAIiIZ, MrHans-Dieter Bott, SMa Vice-President and Chairman forTrade & Investment FC.01Event: Business Mission To China Guangxi &the 6th China-ASEAN ExpoDate: 18 - 25 October 2009Venue: Nanning, Guangxi, China01. Delegation understandingmore on the CAFTA - PingxiangLogistics Park.02. Mr Poh Choon Ann, SMa VicePresident and Chairman of SMaChina Business Committeegiving a speech at the 6th China-ASEAN Business & Investment.03. Mr Poh receiving a plaque fromVice Mayor of Beihai MunicipalGovernment, Mr Yang Zhiyuan.01020325

Treasure Your Employee’s MindThis article is brought to you by SMa’sHealth, Safety, Security and Environment(HSSE) Function Committee.In today’s competitive business world, stress at the workplace is a common phenomenon. Some formsof stress are normal and can even motivate employees to perform well. However, if employeesare insufficiently equipped to cope with the stress, their health and level of effectiveness atthe workplace diminishes. Take a breather and share the following tips to manage and reducestress at the workplace with your employees or colleagues:Prioritise your timeJot down outstanding tasks and priortise them. Allocate timerequired for each task and stick to your plan while allowing forflexibility if unexpected situations arise.Manage your emotionsPractise deep breathing exercises. During tense situations,momentarily excuse yourself and take a few deep breaths tocalm down before re-evaluating the challenges.Communicate effectivelyThink before speaking and be aware of your choice of words,tone of voice and other non-verbal communicators such asbody language, hand gestures and eye contact. Be sensitiveto the other party’s responses and promote an open dialogue,whenever possible.Share your work problemsShare your work problems with your colleagues as they mayhave faced similar situations before and may be able to suggestsolutions to the challenges faced. Reciprocate by lending alistening ear to other colleagues if necessary.To build a healthy and motivated workforce, companies mustbe committed to invest in their employees’ health, includingmental well-being, as it will ultimately contribute to a healthiercorporate bottom-line.Companies that are interested to implement a mentalwell-being education programme can find out more aboutTreasure Your Mind from the Health Promotion Board’swebsite www.hpb.gov.sg/healthatwork or call 6435 3285.Help your employees take the firststep towards taking charge of their healthby implementing a Workplace HealthPromotion (WHP) programme at yourorganisation.The Health Promotion Board (HPB)provides financial assistance and guidanceon how your organisation can initiate andsustain a WHP programme. The WHPGrant helps to co-fund up to 50% of yourWHP project and can cover a wide rangeof services, including:• Consultancy services and training onhow to start a WHP programme• Health screening and programmes onweight management, healthy eating,physical activity, stress management,smoking cessation and others.SMEs can also tap on the WHP Grantfor SMEs, which co-fund up to 90% ofthe cost incurred for their WHP project.Both grants are capped at $10,000 foreach application.To find out more about HPB’s grants,programmes and services, please visitwww.hpb.gov.sg/healthatwork or call6435 3704. – CONNECT26

AdvertorialSay NO to low export competencyhindering overseas growthMr Lum Wai OnnMs Catherine ChiaMrs Annie TanLocal SMEs looking to exportoverseas need not fret anylonger. IE Singapore, inresponse to numerous enquiries,has launched a new assistanceprogramme that will take theguesswork away, and leadbusinesses head on in penetratinga new market.Launched in May 2009, theExporter Development Programme(EDP) is a structured five to sevenmonth scheme that aims to equipbusinesses with the skills andknowledge to develop their exportcompetencies.Through this programme,exporting overseas no longerneed to be on an opportunisticbasis or based on trial and error,but a carefully planned strategydesigned to further grow thebusiness. The EDP consists of threecomponents:• Export Strategy Planning;• Export Training Course andSupplementary Workshops; and• Overseas Market Visit.Mr Lum Wai Onn, Directorof Natrad Food, producer ofDancing Chef Paste & Sauces,said, “We joined the EDP becausewe wanted to bring our paste andsauces into the global market place,thereby making ‘Dancing Chef’ aninternational brand.”Under Export Strategy Planning,participants will be able to engagean Export Coach to guide them instrategising their export plans. Ontop of that, a pool of experiencedtrainers from the Export TrainingCourse is also on-hand for companiesto leverage on.Ms Catherine Chia, ManagingPartner of NPE Print Communications,one of the seven pilot companies thatsigned up for the programme, said,“Our export coach helped us identifythe strengths and weaknesses of ourcompany’s structure and products.He helped us uncover an enormousamount of export potential.”The Export Training Course,conducted by Kaplan Financial,will cover topics such as exportbusiness strategy and planning;export sales and negotiation skills;and ways to conduct an effectivemarket research. The course willbe supplemented by workshopsconducted by IE Singapore.One participant who benefittedfrom the Export Training Course isMrs Annie Tan, Executive Director ofRobust Life Compact. She said, “Thecurriculum of the Export TrainingCourse and Market ResearchWorkshop provides practical exportrelatedinsights which enabled usto understand the importance ofnot rushing into a market but tostudy the business dynamics andenvironment carefully first.”To top it off, at the end of theprogramme, participants will go onan overseas market visit. Organisedby IE Singapore, the three to five daytrip will not only allow participantsto familiarise themselves with themarket, but also to apply their exportstrategy firsthand, gather marketinformation, and meet prospectivecustomers and/or distributors.To find out more aboutthe programme, SMS space to93293908; visit www.iesingapore.com/edp or call our customerservice centre at 1800-IESPORE(1800-4377673).27

We want yourfeedback!We are continuously working to improve CONNECT tobetter suit your needs. Please let us know your feedback andsuggestions. Kindly email to hq@smafederation.org.sg withyour subject title “CONNECT Feedback”. Thank you.WelcomeNew SMa Members!July/August 2009Tat Petroleum Pte LtdOceanus Food Group Pte LtdMinntech Asia/Pacific Pte LtdMarine Hydraulics Engrg Pte LtdAstech Pte LtdCreeyan Laboratories Pte LtdMago Manufacturing & Trading Pte LtdCalendar30 Oct 2009 Logistics Capability DevelopmentSeminar : Gearing For TheEconomic Upswing10 Nov 2009 Capability Development Fundingfor SMEs12 Nov 2009 Understanding Initial PublicOffering (IPO) and Pre-IPOFinancing in Singapore16 Nov 2009 Sustainable Manufacturing:Developing a Green Heartware17 Nov 2009 Fengshui talk: What Do You Expectfor 2010?22 – 24 Nov 2009 SMa Business Mission to Perak,Malaysia23 – 26 Nov 2009 THE BIG 5 - Int’l Building &Construction Show, Dubai1 – 4 Dec 2009 Conbuild Vietnam 20091 – 4 Dec 2009 CIA 20092 – 4 Dec 2009 Asia Television Forum (ATF) 2009For more information on events, please visit ourhomepage: www.smafederation.org.sgMembers’ SpotlightOilfield Servicesand SuppliesOilfield Services and Supplies (OSS) will be doublingits production capacity with its new facility of 40,000sq ft at Joon Koon Road. The move was part of theexpansion plan to cater additional space for theHealth, and Safety Executive (HSE) requirements.The facility has a built-in area of 21,000 sq ft with10 sets of 6.3 tonne and 2 sets of 5 tonne overheadcranes. OSS has a wide network of customers inAsia Pacific, Australia, Russia, Middle East and Africa,and is currently in midst of setting up a workshopin China. Recently, a license was awarded to thecompany by Tenaris Hydril DSTJ to perform drillpipes connection machining.MedtronicInternationalGlobal medical technology leader, Medtronic recently heldits official opening of a $80 million manufacturing facility inSingapore’s Changi South in anticipation of the significantgrowth of Asia’s medical device industry. The state-of-the-artfacility is Medtronic’s international headquarters, overseeingoperations in regions such as Asia, Latin America, Canada,Europe, Africa and Middle East and Australia. This new facilitywill add on to Medtronic’s stable of more than 250 facilities,offices and research centres in 120 countries. The facility willproduce Cardiac Rhythm Disease Management (CRDM)devices and production is expected to commence in2011. The company also said that it is in talks with potentialpartners to establish R&D facilities in Singapore.28