< PreviousConference in 2022. While there were doubts about the feasibility of such events, we received largely encouraging responses from the audience. We realised that many companies, especially multinational companies, have plans in place to reduce their carbon footprints. However, it's unprecedented, and many companies need more know-how to implement these plans. In summary, there is optimism that many companies share the same vision as Manitou Group for creating a better future for the next generation. Any last words for our readers? All companies aim to create better products and services, innovate new ideas, and increase revenues. So are we, to be a better version of who we are. However, the motivation behind Manitou Group is vastly different. We don’t make machines, but we change practices. We don’t improve working conditions but find ways to protect people and the environment. It’s what every leader should do to inspire change for a better future. Whatever we’re doing is just the beginning. Going green is a transformation journey and a long- term vision that requires the support of everyone in our ecosystem (dealers, customers, suppliers, stakeholders, etc.) to tackle those challenges and develop a long-term plan. Let’s do it all together with humility and confidence. Ir Ter Leong Leng Chief Executive Officer Top-Mech Provincial Sdn Bhd How would you describe your company's journey in terms of embracing sustainability and going COVER FEATURE CO2 emissions. We call it the “Reduce Program." It’s important as it represents 1/3 of the customers’ total cost of ownership throughout the machine’s life cycle. In order for us to obtain the most accurate data and impartial results, we have our test results audited by United Test and Assembly Centre Ltd. (UTAC). Manitou also has a huge CSR roadmap, one of which is to create a circular economy. We want to optimise the use of resources and work for longer-lasting products. In short, we find ways to extend the life of equipment and parts. Giving a second life to equipment that is supposed to be at the end of its life cycle. For our customers, it’s an option to have more economical equipment in their fleet. Manitou Group also recently announced an exclusive partnership agreement with Kiloutou, a major player in Europe’s equipment rental sector, to offer electrification kits for Manitou’s used internal combustion engine telehandler. Retrofitting these machines will extend their useful lives while reducing their environmental impact, in particular their carbon emissions, in accordance with the commitments that both groups have made in their respective CSR roadmaps. How have your users and customers responded to your company's initiatives in terms of embracing sustainability and going green? Manitou Group launched our first-ever Rough Terrain Electric MEWP, the 200 ATJ E, in 2019. We named this new range of equipment 'Oxygen.' However, it didn't receive an immediate positive response from many users due to conventional thinking that electric-powered machines are less robust compared to internal combustion machines. To address this scepticism, we organised a Europe Tour for the 200 ATJ E. More than 50 operators tried it and were amazed by its performance in rough-terrain environments. We received positive feedback that it outperformed internal combustion machines in many ways, being quieter, smoother, and more responsive due to its power source. In Asia, we were invited to share our innovation and the importance of 'MEWP Electrification' at the International Powered Access Federation (IPAF) Asia green? Can you explain to our readers your company's objectives and initiatives for the above? For many years, we have been taking small steps forward towards embracing sustainability. To start with, in terms of operation, we have been an ISO 14000 certified company for many years; hence, we have very tight procedures when it comes to environmental management issues such as scheduled waste handling. Today we are looking into adopting more structured ESG practices in our daily operations. Moving forward, we are looking at carbon footprint calculations in our business operations as well as the implementation of more renewable energy (RE) options such as electric vehicles and solar power. In terms of products, in recent years, we have intensified our R&D into energy- saving cranes, which are manufactured by us. For cranes that are imported and distributed by us, our foreign partners, for example, have started to roll out electric cranes such as the 80T electric telescopic crawler cranes. The aim is to have cranes that produce a lower carbon footprint. Our objective is to do our part as corporate citizens to protect the environment and ensure sustainability for future generations. We are doing this voluntarily, as at this moment we are neither governed by any statutory requirement nor compelled by customers’ requirements to implement sustainability practices. We also hope that we can spread the same awareness among our employees, customers, and supply chain. What are the challenges that your company has faced on this journey? Implementing sustainability practices is expected to raise our overall costs, mainly due to the challenges associated with sourcing "green-related" equipment, parts, and services, which are often scarce in the market and come at a higher price. Additionally, hiring staff proficient in green technologies poses a considerable challenge. Currently, there is a lack of significant government incentives for adopting sustainability measures, prompting a need for 18 MASTER BUILDERS JOURNAL #129elevates our brand image as a responsible corporate citizen. Customers have been responding positively upon learning about our green policies and initiatives. However, at this moment, in most cases, it is more "It is good for you to do it" than “You must do it”. Going green is not cheap. In fact, it cost a lot. In today’s competitive market, the million-dollar question remains: if our competitors do not do anything at all, then their cost will be lower than ours, so will the customers choose a product that is more green but also more expensive? Any last words for our readers? Going green starts with all of us taking small steps towards achieving the ultimate goal of a sustainable world for our future generations. Liew Thiam Huat MBAM Council Member and Managing Director, Industrial-Southeast Asia Sime Darby Industrial Sdn Bhd How would you describe your company's journey in terms of embracing sustainability and going green? Can you explain to our readers your company's objectives and initiatives for the above? Sime Darby Industrial, also known as Tractors Malaysia (TM), has had our journey in terms of embracing sustainability and going green when TM launched the new Caterpillar Next Generation Excavators (NGH) in 2018. In addition, all our service workshop operations strictly follow contamination control, environmental regulations, and the ISO standards of ISO 9001, ISO COVER FEATURE 14001, and ISO 45001 to ensure a safe and sustainable working environment in heavy equipment operations. The first two new Next Gen Excavators (NGH) made their debut in Malaysia in 2018, equipped with Tier-3 emissions compliance engines and built with three main features. Since then, almost every other Cat Excavator new model launch has followed suit with these features: i. Technology boosts efficiency by up to 45%—These new models feature the industry’s highest standard and are factory-equipped with integrated Cat Ease of Use Technology, which can increase operating efficiency by up to 45% over traditional excavating operations. The Cat® Grade system offers guidance for depth, slope, and horizontal distance, which helps operators reach the desired grade quickly and accurately. The Cat® 2D E-fence feature enables the machine to work safely under structures or near traffic by preventing any part of the excavator from moving outside operator-defined set points. Another prominent feature, the Cat® Payload on-board weighing system, delivers precise load targets and increased loading efficiency with on-the-go weighing and real-time payload estimates to prevent truck over- and under-loading. ii. Fuel savings of up to 20%—These new models are designed to consume up to 20% less fuel than their predecessors. The new Smart Mode operation automatically matches engine and hydraulic power to digging conditions,optimising both fuel consumption and performance. Engine speed is automatically lowered when there is no hydraulic demand to further reduce fuel usage. To further improve fuel consumption, Cat has designed our engines to be compatible with biodiesel fuel. At the point of this interview, most Cat engines are B20 compatible, and there are plans to improve the standards to B40 in the future. iii. Maintenance costs reduced up to 15%—Offering extended and more synchronised maintenance intervals, the new Cat excavators do more work at a lower cost and reduce increased financial support in the form of tax incentives and grants. To encourage companies to embrace sustainability, there should also be a greater emphasis on brand recognition and the implementation of green lane policies. Can you share some of your success stories from this journey? Since 2019, we have embarked on our Industry 4.0 and Digitalization Roadmap. In our day-to-day operations, we have always been going paperless as much as we can, we prioritise energy-saving solutions, and we closely monitor our power consumption utilising IOT technologies. In terms of products, since 2018, we have started to roll out overhead cranes and hoists that utilise regenerative VFD technologies. It helps to return the regenerative power back to the power grid, which in turn reduces net energy consumption. This results in a lower carbon footprint and contributes to sustainability practices. How would you describe the advantages of embracing sustainability and going green to your customers and potential customers? For our public-listed customers (PLCs) and customers in industries that have strict ESG compliance regulations, our green products will help them reduce carbon emissions and contribute towards meeting such requirements. From another perspective, in the long run, our green products will also help our customers reduce operation costs, especially in terms of fuel and maintenance costs. Moving forward, we are also looking into our own ESG reporting system. This will make it easier for our potential customers to absorb us into their supply chain. How have your users and customers responded to your company's initiatives in terms of embracing sustainability and going green? Adopting ESG practices certainly 19 MASTER BUILDERS JOURNAL #129maintenance costs by up to 15% over the previous series. Featuring higher dirt capacity, the new Cat hydraulic return filter boasts a 3,000-hour service life, a 50% increase over previous filters. A new Cat air filter with integrated pre-cleaner, primary, and secondary filters extends its service life up to 100% over previous designs, while a new fuel tank cap filter extends its service life to 2,000 hours. More importantly, the Cat equipment is operating in compliance with the Tier-3 emissions control standard, which reduces the pollutant of nitrogen oxides (NOx) significantly in comparison to a Tier- 2 engine. As a subsidiary of Sime Darby Berhad, in line with the Sime Darby Group New 5-Year Strategy Masterplan, which was launched recently, Tractors Malaysia’s (TM) objective in this long journey is to adhere to and commit to achieving one of the key financial targets of a 30% reduction in emissions by 2030. TM has embarked on many go-green initiatives to achieve the objectives set by the group. Some of the initiatives include: i. Fuel Guarantee Program—TM launched the fuel guarantee programme with Caterpillar to encourage customers to opt for fuel-efficient equipment by ensuring fuel consumption is within the optimum limit in accordance with their engineering design. Customers are assured of the fuel cost during machine operations. ii. Cat Remanufactured Parts (Cat® Reman)—Caterpillar has a robust remanufacturing programme that refurbishes components and parts, extends their life cycle, and reduces waste. This programme is widely used in the repair of equipment, and customers could exchange the core return with Cat Reman parts. Our service team provides alternative solutions to effectively reduce time and cost for customers. iii. Equipment Rebuild Financing— Together with Caterpillar Financial Services, TM offers a financing package to support the customer who wishes to extend the lifecycle of the equipment, ultimately encouraging a COVER FEATURE reduction of waste and environmental impact. iv. Caterpillar Certified Used Equipment—TM promotes Cat Used Equipment upon the rollout of the rental fleet as an alternative to customers. This Cat-certified used equipment is fully repaired and comes with a warranty. Customers could make use of the existing equipment instead of replacing it with new equipment to reduce waste while extending the lifespan of valuable assets. v. MyHIJAU product registration— The Cat® Biogas Engine has been registered and obtained a MyHIJAU certificate since 2020. Customers who purchased MyHIJAU mark registered products may be eligible for Green Investment Tax Allowance (GITA). What are the challenges that your company has faced on this journey? Cost consideration is one of the key challenges that Tractors Malaysia (TM) is facing when promoting green machinery. Incorporating green practices and technologies into the machine would add a cost factor, which could make the equipment priced at a premium amongst its peers for its value-added benefits. TM is extensively promoting and trying to change consumer preference for products and services that are environmentally friendly and to educate customers on the benefits of reduced total ownership costs through this green machinery. The knowledge and competency of some customer operators and technicians to adapt to the new electronic machine operation and servicing is also hindering the sales of these green machinery, as some customers are still inclined to their existing mechanical-type machines, delaying the market shift to green machinery. TM continuously provides training to our customers’ operators and technicians to facilitate their journey in embracing green machinery. Can you share some of your success stories from this journey? Many customers have benefited from the initiatives implemented by Tractors Malaysia (TM). For example, for the Fuel Guaranteed Programme, based on the record, more than 90% of the customers are enjoying the fuel savings of their fuel-efficiency machines from us, with the machines’ fuel consumption being way below the limit set in this program. Many of our key account customers who are also Cat fleet owners have also started to implement their fleet rebuild schedule through the Tractors Rebuild Programme, with more than 400 major components rebuilt completed every year. How would you describe the advantages of embracing sustainability and going green to your customers and potential customers? The biggest advantage of embracing sustainability and going green for customers is obviously cost savings in their overall long-term total ownership cost. The green machinery will reduce energy-related costs, maintenance and operations costs, improve business efficiency, achieve optimum cost per hour based on productivity, and hence reduce overall costs in the long run. With more emphasis on ESG compliance, the customers could attract more investors, build customer loyalty, improve financial performance, make operations sustainable, and gain a competitive edge. How have your users and customers responded to your company's initiatives in terms of embracing sustainability and going green? It is very encouraging to learn that more customers are buying into and supporting our green journey. The customers responded positively to our lower fuel consumption Cat machine sales as well as the usage of remanufactured main components, as evident in the customers’ purchase pattern. Although some may resist changes associated with adopting green practices, the acceptance level has improved with more awareness and knowledge of the implementation and acceptance of green machinery that optimises machine performance, minimising fuel consumption and environmental impact. 20 MASTER BUILDERS JOURNAL #129COVER FEATURE Any last words for our readers? With the recent strong progress in the world of hybrid or electric-powered machines, we hope that the Malaysian market will follow suit, as Caterpillar is always ready to participate in this sector, given Caterpillar’s strong research and development to develop innovative technologies and solutions that contribute to a greener future. At the same time, we hope the Malaysian market will adopt more autonomous or semi-autonomous machinery, which can reduce fuel consumption by optimising operation and reducing idle time. Tractors Malaysia (TM) could introduce these machines in the future with commercial viability. Tinco Cao General Manager, Zoomlion Malaysia How would you describe your company's journey in terms of embracing sustainability and going green? Can you explain to our readers your company's objectives and initiatives for the above? Zoomlion's heritage stems from the renowned Changsha Construction Machinery Academy, which brought strong R&D capabilities to the table. Our commitment is evident through our corporate colour, aurora green, and our slogan, "Vision Creates the Future." We've placed an emphasis on integrating environmentally responsible practices into our equipment's development. Our focus lies in digitalization, intelligence, and eco-friendliness. Our vision of 'green machinery' extends from manufacturing to on-site operation, emphasising sustainability and low emissions. Currently, our 'lighthouse factories' represent the pinnacle of intelligent manufacturing, supported by technological advancements in lithium batteries, electric drives, and hydrogen energy. We've also incorporated self- learning and self-monitoring capabilities into our green equipment, reducing manual intervention and bolstering productivity and resource efficiency while minimising carbon and waste emissions. What are the challenges that your company has faced on this journey? Given the unique nature of industrial operations and technical constraints, environmental responsibility is a key focus. We've implemented real-time air monitoring and introduced a mist-cannon truck to reduce dust particles. Despite an increase in production post-pandemic, we've managed to reduce air pollutants by 15.13% and greenhouse gas emissions by 16.84% compared to previous years. We're committed to further reducing pollutant emissions. Can you share some of your success stories from this journey? We've made significant strides in R&D and manufacturing. Our 23 'lighthouse factories' lead the way in producing smart, eco-friendly products, reducing reliance on manual labour, and creating transparent digital networks for our stakeholders. The Changsha-based ZOOMLION Smart City, which opened to the public last May, showcases the world’s only end-to-end intelligent excavator manufacturing, off the assembly line in just six minutes. We've also developed energy-efficient spare parts and materials. Notable innovations include the world's first hybrid all-terrain crane, capable of lifting 220-tonne, and the world's largest hydrogen fuel cell- powered off-highway dump truck with a 125-tonne capacity. Our efforts have earned us over 5,901 invention patents. How would you describe the advantages of embracing sustainability and going green to your customers and potential customers? Our customers have seen tangible benefits. Take our carbon fibre boom concrete pump truck, for instance; its material reduces weight by 35%, improving efficiency and lowering costs. Each pump truck reduces steel consumption by 750 tons and carbon dioxide emissions by 1,500 tons. Zoomlion’s tower cranes, taking the lead in market share, have raised their benchmark to 30 years of service life and remote management to reduce carbon footprints at work. Zoomlion’s Li-ion battery-powered scissor lifts and boom lifts have seen over a 100% increase in sales, reflecting growing confidence in these products. Overall, Zoomlion's equipment enhances productivity, service life, and cost-efficiency, aligning with construction and environmental policies in each country. How have your users and customers responded to your company's initiatives in terms of embracing sustainability and going green? Precision in manufacturing minimises material wastage, enhancing cost competitiveness. Malaysian customers who visited our Smart City in Changsha witnessed how digitalisation results in consistent quality. Also, the Malaysian market has growing confidence in our battery-operated boom lifts, scissor lifts, and forklifts, driving word-of-mouth recommendations. We look forward to our existing and future customers joining us on our sustainability journey. Any last words for our readers? Malaysia's aggressive promotion of a conducive EV ecosystem aligns with our vision. We anticipate that Malaysia will readily embrace new energy equipment in construction. We're grateful to our current customers for their commitment to sustainability, and we encourage future customers, partners, and stakeholders to join us in shaping an environmentally responsible future. Together, we eagerly anticipate collaborative green initiatives in Malaysia's construction sector. 21 MASTER BUILDERS JOURNAL #129“In the event of disputes between contracting parties, the foremost priority is to prevent escalation. Employing negotiation and mediation stands out as the most effective approach to resolve conflicts, ensuring the continuity of work while safeguarding relationships.” —Oliver HC Wee, MBAM President “Master Builders Association Malaysia (MBAM) has received a Letter of Approval as a CIDB recognised Construction Mediation Centre during our 69 th Anniversary Dinner on 11 August 2023. This letter was graciously granted to MBAM President by the Chief Executive of CIDB Malaysia, witnessed by the Chairman of CIDB. This recognition solidifies our position as a trusted and authorised entity dedicated to promoting, training, and providing mediation services within the construction industry.” —Kenneth Liew Kiam Woon, MBAM Deputy President “Confidentiality is a significant advantage of construction mediation. The discussions and negotiations that occur during mediation are strictly confidential, providing a safe and open environment for parties to discuss their concerns without fear of public disclosure. I do hope the industry will take advantage of this facility provided by MBAM to mediate disputes.” —Tan Zi Ni, MBAM Deputy Secretary-General 1 “Mediation enables both parties reaching out to each other with minimum prejudice and stereotype of confrontation, thus maximising the efficiencies and effectiveness of the negotiation process, while preserving the professionalism of the relevant legal compliances and all parties' interests and benefits up hold in place.” —Fong Tet Yoong, MBAM Deputy Secretary-General 2 “I prefer mediation services because it is often more cost-effective than going to court. It can save participants money on legal fees, court costs, and other expenses associated with a formal legal process. Mediation also tends to be quicker than litigation, which can drag on for months or even years. Mediation sessions can often be scheduled promptly, and the process can move at a pace that suits the parties involved.” —Nalla Sundran, MBAM Council Member SPECIAL FEATURE Thoughts on Mediation and the Mediation Services Offered by MBAM “In my opinion mediation services offer several benefits, making them a valuable resource for resolving conflicts and disputes. Mediation is typically a voluntary process, which means that all parties involved have chosen to participate. It is also less formal than going to court, which can make the process less intimidating and more comfortable for participants. Mediation also encourages a less adversarial approach to conflict resolution. Instead of battling it out in court, parties work together to find solutions, which can reduce hostility and animosity.” —Ong Teng Cheng, MBAM Vice President “MBAM mediation services, backed by CIDB approval, provides a valuable resource for resolving conflicts and disputes in the construction sector. It is hoped the service will benefit our members and the construction industry at large while facilitating dispute resolution.” —Richard Wong, MBAM Vice President “Settling disputes through mediation can be faster, cheaper and can leave both parties feeling in a better state of mind over the agreed decision. This will also help reduce the many legal battles that the industry is facing over construction disputes. ” —Dato’ Sri Eric Kuan Khian Leng, MBAM Vice President 24 MASTER BUILDERS JOURNAL #129MBAM Scholarship Fund Raising A Testament to MBAM’s Spirit of Giving SPECIAL FEATURE “Remember that the happiest people are not those getting more, but those giving more.”—H. Jackson Brown Jr Although the nation is still facing economic headwinds, this MBAM Scholarship fund-raising project managed to raise RM14,550 from MBAM Graduate Alumni, enabling the sponsorship of one student for the year 2023. This project is part of a set of initiatives by the MBAM Graduate Alumni Committee members to give back to society. The MBAM Education Fund was established 24 years ago, in July 1999. The purpose of the Fund is to contribute towards the further progress and advancement of the Malaysian construction industry through education through the provision of financial assistance in the form of scholarships on the basis of needs and/ or merits to eligible students. This is part of MBAM’s corporate social responsibility (CSR) programme to contribute towards the development of the construction industry by grooming young talents to work in the industry. Currently, the MBAM Education Fund provides yearly scholarships of RM10,000 without bond (starting from year 2016) to deserving students to pursue further education leading to a bachelor's degree or professional qualification for a course related to the construction industry. Bravo to the MBAM Graduate Alumni Committee for embarking on this initiative and for proving that despite the tough economic situation, the MBAM’s spirit of giving back to society is alive and well. The MBAM Scholarship Fund Raising will continue for the year 2024. Those who are interested in contributing can contact the MBAM Secretariat at 03-7984-8636 for more details. Contributions are tax- deductible. Contributors to the MBAM Scholarship Fund Raising Project 2023 Trans Elite Group Sdn Bhd Alphazen Contract Sdn Bhd Kar Hor Engineering Sdn Bhd Lee Lip Voon (Graduate Alumni) Loi Ming Ong (Graduate Alumni) Ong Chong Yong (Graduate Alumni) Yap Li Jun (Graduate Alumni) Avion Tech Sdn Bhd Glodon Software Sdn Bhd Safiah Adibah Binti Ani (Graduate Alumni) Teoh Chuang Cheen Wong Lit Kuang (Graduate Alumni) Kevin Law (Graduate Alumni) Ong Wei Ting (Graduate Alumni) Tee Cheong Yoke (Graduate Alumni) Wong Jit Ping (Graduate Alumni) Wong Swee Mee (Graduate Alumni) The MBAM Graduate Alumni Committee recently embarked on a fund-raising project to sponsor a student for the four-year duration of their undergraduate studies. This initiative was led by the project Chairman, Kevin Wong Lit Kuang, who was assisted by Deputy Chairman, Wong Jit Ping. 26 MASTER BUILDERS JOURNAL #129Next >