Dear colleagues,
In Europe, the summer is here: the perfect time to look back at the last six months and to look forward to the future.
The geopolitical situation with a dreadful armed conflict on our borders continues to cause unrest. The horror and incomprehension of so much futile violence weighs on our minds. In our professional context, it continues to create a lot of economic uncertainty. Despite all this, I have seen how you have all been coping with these uncertain circumstances as best you can, with tremendous resilience.
For Contracting at BESIX, 2022 was another particularly difficult year with disappointing results. Europe was no exception. However, that does not mean that we sat idle. Each of you worked especially hard and diligently to turn things round. In doing so, we stuck to 4 golden principles under the motto ‘good and fast won’t be cheap’:
- The right people at the right time in the right place. This is, and remains, the main prerequisite for success. Moreover, it is not a static given so we must continue to reinvent ourselves. It is not only up to the People department but to us all to create a fantastic working atmosphere. Open, honest and transparent feedback and communication while focusing on everyone’s talents rather than shortcomings are crucial to this.
Thanks to the successful BESIX Young Professional Days in the spring, we will also soon welcome 30 new starters in Belgium, a third of whom will start work on site immediately. I am counting on everyone to give them a warm welcome and to help them reach their full potential. - Putting the right price tag on our added value. BESIX is able to take on and accomplish the biggest and most complex challenges. We have to realise that our customers are willing to pay more for this. By asking the right price for our expertise, we are also protecting our margins.
- The professionalisation of our contract management. Our projects are not static and – without exception – undergo changes during construction. Over the past few months, we have taken significant steps to protect the interests of BESIX openly and transparently in such situations. It is important that we continue to do that.
- Continued commitment to excellent site management. Without rigorous operational and financial site management, the right price tag and negotiations during implementation will have little effect. Invoice your customer on time to protect your cashflow.
Within Europe, however, there are increasingly clear signs that things are improving through the increasingly effective application of the above-mentioned principles. 2023 will certainly not be a ‘grand cru’ as a number of difficult past projects are still weighing too heavily on the figures.
What is definitely encouraging are the projects that we have recently won, which are healthy in terms of budget, have started well and are being well-monitored. If this continues, we can look towards the next few years full of confidence. In our sector, there are always risks lurking round the corner and therefore focus and vigilance continue to be important. However, I am not concerned because on every project visit, I see renewed BESIX focus and passion, from every employee in their own way. Seeing you work like this is a constant source of inspiration, for me and for each other!
Each of the regions is – and remains – different:
- In the Netherlands the turnaround is most evident. After many difficult years, the great efforts of the teams are beginning to pay off. Past problematic projects such as the A16 and Terrace Tower are gradually being resolved, partly through intensive negotiations with our customers.
New projects like Mediavaert, Pallas and Knooppunt de Nieuwe Meer have made a positive contribution to the result. - ·In Belgium - Luxembourg, the project teams continue to deliver at a high level, with the focus that has characterised them for years. This model is an inspiration for contracting as a whole. A lot of hard work has been put in to resolve a number of difficult cases, with successful results. The order book is unprecedented, but production has shifted in time. Consequently, in financial terms, 2023 is seen as a transition year, with rather limited turnover. In contrast, there are a large number of promising projects in the pipeline for the years to come.
- ·In France, we are heading for a record turnover in 2023 due to our 3 big projects (Deloitte University, Gare Saint-Denis Pleyel and Tour Triangle). There are significant challenges, but the enthusiasm of our teams is even greater. The objective is to maintain this level of activity in France in a well-considered way.
- ·In Italy, we have already increased the tempo considerably, but the aim is to go even faster. With respect for our golden rules, we are looking for additional projects because the market and culture are a good fit for us.
At the start of the summer months, we cannot ignore another major challenge: climate change.
I deliberately leave doom and gloom to other people. Our focus must be directed towards solutions. Both within and outside our group, this is being addressed with ever-increasing speed and we need to embrace and also, above all, support this.
Many of our colleagues have boundless energy to develop green solutions. From a BESIX perspective, we want to create a framework to increase impact. However, defining such a framework is no easy task and will be a matter of trial and error.
An important part of the framework, for example, is our European CO2 performance ladder for which we achieved the highest level of certification for the 2nd year running. Together with colleagues from QHSE, People and BED, we communicate this internally and externally based on very specific proposals.
We are always looking for new insights and for initiatives and clients who are willing to integrate these proposals in their tenders or projects. I am convinced that this is not just good for our planet but also for our appeal and reputation within the market. I hope to be able to visit lots of initiatives in the near future (1).
Another example is the ISO 9001, ISO 14001 and ISO 4500 certification that BESIX achieved once again at the beginning of this month. This interim audit looks at quality management systems, environmental management systems and workplace health and safety management systems, and guess what: BESIX passed with flying colours. I would like to thank everyone who was involved, especially the sites that were audited such as Tour Triangle and Oosterweel. Congratulations!
So all that remains is for me to wish you a fantastic summer recharging your batteries. Enjoy yourselves with family and friends. You certainly all deserve it.
Ciao for now,
Jan
(1) In the memo attached, you will find who to contact with regard to this, although you can always come to me too.