Bahri Annual Report-2016

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Bahri Annual Report

The Chairman’s Message

Bahri Annual Report

The Chairman’s Message

As a leading maritime transportation and logistics company, with a Saudi DNA, a global presence and publicly listed in TADAWUL; Bahri is in the midst of a strategic realignment journey that began in 2015. Bahri undertook an assessment of its strategic objectives, given its position as a global leader in logistics and transportation and the still unrealized market opportunity. With its diverse service offering that includes: shipping of crude oil, oil products, chemicals, bulk and general cargo, the journey is about redefining Bahri’s purpose in light of the company’s priorities and the need to implement an ambitious and targeted strategy. The plan called for a complete revamping of Bahri’s business lines, initiate a company- wide cultural change and align the company’s people and corporate structure with a comprehensive strategic business outlook. Despite the pessimistic news from the maritime sector, for Bahri, 2016 was defined as a year of ‘performance and transformation’. Through Bahri’s internal efficiencies, Bahri compensated for the market downturn and performed above market expectations. Bahri handled and overcame the challenges that the maritime sector faced in 2016, due to a persistent supply and demand imbalance, through the deployment of ‘data’ intelligence, scale, commercial acumen, an aligned people and corporate outlook. The application of aproactiveandpredictive information technology infrastructure, allowed Bahri to surpass its competitors in asset utilization. Moreover, it was a competitive differentiator, as it allowed Bahri to optimize the voyage of its vessels and routes, thus, achieving higher revenue per ship.

Bahri’s success, is not only built on the deployment of analytical technology that provides innovative and predictive data applications. It also includes a technology management platform that underpins Bahri’s safety, quality and cost structure optimization. The company’s objective is to increase shareholder value, therefore, Bahri engineered and implemented a cohesive corporate plan that combines a customer-centric approach that builds long-term and resilient partnerships, and provides non-commoditized solutions. Bahri’s above business success, did not occur in a vacuum nor did it happen by accident, it is underpinned by a stringent quality regime that does not follow the industry average, rather, Bahri is the reference standard for the industry. Quality is part of the Bahri’s DNA, giving it a differentiated outlook, whilst being supported by a cohesive team of business development, data technology science and commercial specialists. The Bahri team enabled the company to outperform the industry and helped it achieve the outstanding results during 2016. The company’s above market ‘performance’, helped it lay the foundation for its intended ‘transformation’, which will herald pioneering and disruptive breakthroughs in the maritime industry. Bahri’s aim is to become a diversified logistics provider, through the deployment of innovative data solutions that will lead to greater value creation and shareholder value.

The Chairman’s Message

Bahri’s success, is not only built on the deployment of analytical technology that provides innovative and predictive data applications

Abdulrahman Mohammed Al-Mofadhi Chairman

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