interview with Josef Dimech;
CEO, JD Operations Ltd
JD Operations Ltd (formerly JS Dimech Ltd) is a household name, known primarily for being a local leader in the provision and installation of aluminium, curtain walling, structural steelworks, and Alucobond.
The company is responsible for the external envelope (including alucobond, insulation, firestopping material, aluminium and railings) for local landmark projects such as Tigné Point, The Quad, 14 East Tower, Midi Project – T14, The Atrium, Hyatt Regency Malta, Hugo’s Boutique Hotel and Pender Gardens.
The company was founded by Joseph Dimech, some 42 years ago, operating out of 3 small garages in Msida and employing around 10 people. His son, Josef, now the company’s Chief Executive Officer, has learnt the business hands-on, starting from the bottom up. “I started working with the company on a part-time basis at the age of 16. By the time I turned 25, my father handed over the reins to me. He supported my development and the growth of the company, keeping a watchful eye on things, until he recently retired altogether,” Josef reminisced.
From a small 10-man family-business, Josef has grown the company to one which employs over 150 people, 70% of whom are local. “We now have a dedicated Administration Team and a shop floor supervisor. We take good care of our people and take time to train them well,” he said. In-house training for new staff is carried out over a 4-month period, during which time experienced staff is paired with trainees to ensure that they are supported and well supervised throughout the learning process.
The company’s approach to staff recruitment and retention makes for a small staff turnover. “We focus on giving our team members a good package, including a comfortable working environment, state-of-the-art tools, safety equipment, uniforms, wages at market rate and continuous professional development, in line with the company’s focus on constant improvement. We view this as a critical success factor for our operation, as we are aware that it is challenging to find good staff in the trade sector,” he added.
Since taking over the helm of the company, Josef has consolidated its traditional values centred round high quality materials and a focus on customer service. With an eye on building a strong future for the company, he also implemented an ambitious expansion strategy, based on strong collaborative relationships with external suppliers. “This has enabled us to develop strong core competences for large scale projects, like The Quad, which sees JD Operations Ltd responsible for the external envelope of the building, which incorporates 20,000 square metres of glass cladding, Alucobond as well as aluminium and railings,” he explained.
This is facilitated by the various companies falling under the JSD portfolio which includes the parent company; JD Holdings Ltd, its subsidiary JD Capital plc and the latter’s subsidiaries JD Operations Ltd and JD Birkirkara Ltd, the former being the group’s main operating arm. Additionally, the group also employs a full-time architect and facade engineer as well as a draughtsman as part of its team and this strongly enhances communication and professionalism with its industry partners. “Employing such technical specialists is not common in our sector, however I feel that this gives us an added advantage and ensures a high quality and efficient job for our clients”, he said.
the group also employs a full-time architect and facade engineer as well as a draughtsman as part of its team and this strongly enhances communication and professionalism with its industry partners
Quality – a core value originally instilled in the company by Josef ’s father – remains a key feature of the operation. “We run a regular quality control system on individual panels, through a systemised process which includes taking daily samples of the sealer used to seal the glass on the facade. This quality control system includes stress testing (which is important for both safety and durability factors). The test samples are then analysed in a laboratory to ensure quality, which should be done as a standard procedure. The team is well aware of the importance of carrying out this procedure for each individual panel and the test results are recorded so any issues can be tracked and resolved,” he explained. JD Operations Ltd also provides stress testing and certification on steelworks.
“The company boasts a sizable warehouse with a footprint of approximately 16,000 square metres in Hal Far, which we aim to grow, so as to be able to cater for more business opportunities,” he added. Having taken over the helm from his father, Josef has no intention of sitting on his laurels. He is keen to ensure the continued success of the business through a growth and diversification strategy. “We are reaching into other business areas, which are ancillary or in some way related to the company’s original focus,” he elaborated. JD Birkirkara Ltd is a property holding company within the group. It was set up for property development, sales and rental. “Setting up a property development company seemed like a natural evolution of our business. It allows us to reap the benefits and cost of scale advantages from our other operations, and in turn offering these benefits to our clients,” he explained.
Mr. Josef Dimech is also a 50% shareholder of the J&J Group which is involved in property development and which is linked to the Famalco Group. The latter and J&J Group are heading a number of development projects across the Islands, catering to a vast clientele that spans from first-time buyers to those with a mid-size budget. They are to be presenting to the market over 400 apartments in a range of locations, from projects in Tarxien, Zejtun, Zebbiegh, Mellieha and Bugibba, over the next 4 years.
In addition to the residential projects, they have also invested in long-term projects, which include rental investments and two hotels, one of which is Ibis Styles – a 3 star plus property, falling under the Ibis international franchise.
All residential, letting and commercial projects will be supplied by JD Operations Ltd. Josef explained that he recommends the use of aluminium for commercial projects. “We have been working solidly with a leading aluminium supplier, Metra (from Brescia, Italy), for the past 17 years. They have a well-earned reputation for quality – a standard which we are eager to pass onto our clients,” he said.
While Josef ’s diversification strategy has cost benefits which are passed onto the client, he remarked that the fast-changing nature of this industry and the rapid fluctuations in material costs (due to the international political situation) make it difficult to hedge prices. “The instability of the market is driving prices up drastically and there are some costs which we have to absorb, due to contractual restrictions. Whereas in the past we were able to commit ourselves to a price and guarantee it to the client for a year or two, this approach is no longer viable in today’s market,” he explained regretfully. JD Operations Ltd is approaching the scenario by tying up the raw materials to the rate of inflation, which allows for greater transparency with the client, particularly since large-scale projects require more attention to these budgetary considerations.
“JD Operations Ltd has seen a constant influx of projects, which I attribute largely to our tradition of quality focus. This has paid off in itself because it has enabled the company to take on more ambitious and high-profile jobs,” Josef said. His diversification strategy is paying off in dividends as it also creates work for the company’s various operations.
Josef ’s plans for the future include upgrading the factory. While he is keen to further consolidate and expand the business, he is eager to retain the company’s core values of consistent high quality and taking pride in a job well done.
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