3Q Concrete

Derived from the Latin word “concretus”, meaning compact or condensed, concrete has had an immeasurable impact on both the ancient and modern world with its usage dating as far back as 800 BC. Today the global use of concrete is twice that of steel, wood, plastics and aluminium combined, and is only exceeded by the usage of naturally occurring water.

Founded in 2006, 3Q Concrete is a South Africa based company specialising in the production of normal and customised ready-mixed concrete from its 12 strategically located batching plants. “We began life as a small operation,” explains Managing Director, Charl Marais, “located in the North West province of the country, close to where the major platinum mines are situated.”

From there the company steadily grew by making a number of acquisitions, before eventually becoming a part of Capital Africa Steel (CAS), which itself is 50 percent owned by Wilson Bailey Homes (WBHO), one of the largest construction companies in Africa. “We have expanded nicely in recent years,” Marais continues, “operating primarily in parts of South Africa that have witnessed a rise in mining activity and positioning ourselves accordingly to capitalise on positive developments within the marketplace.”

The three q’s that the company derives its name from stand for quality, quantity and quickly. “We try to emphasise these traits and characteristics in all that we do,” Marais enthuses, “and this all begins with the relationship that we seek to form with our customers. We strive to have a personal bond with each client, utilising the smaller company mentality that we have that promotes regular interaction.”

Of course, product quality is equally as important as good customer relations and the systems and process controls that 3Q Concrete has established throughout its organisation ensure that, while it is able to provide its clients with a cost effective form of concrete, it has never once compromised on the quality of its product.

“One of the other contributing factors to our success,” Marais states, “is our flexibility. As a result of the geographic location of our plants and our fleet of more than 80 trucks we are able to follow market demand wherever it may go, mobilising our resources quickly. Indeed, I believe that we have now reached an ideal critical mass where we have a large enough fleet that allows us to do this efficiently and effectively.”

3Q Concrete’s prosperity means that it is able to continue seeking ways to expand its presence. One of these will see it open up a new batching plant in the coming months in the Northern Cape province of South Africa. It is here that it hopes to profit from the extensive iron ore mining activities within the region.

With almost 50 percent of South Africa’s economy being in some way reliant upon the mining sector, it is understandable that the industry remains of great interest to 3Q Concrete. “Mines continuously need improvements and modifications,” Marais says, “and concrete is always a core ingredient during these undertakings.”

3Q Concrete is very much a project orientated company and as such it focuses primarily on areas where construction activity is prevalent, while at the same time being able to continuously assess market levels. This approach to its work means that it is now looking into opportunities to expand outside of its own borders into Mozambique where it foresee lots of potential opportunities for growth.

“While it is fair to say that we do run a tight ship,” Marais says, “at the same time we consider ourselves to be a lean and mean operation. Our business model allows us to make money even when activity levels in the country decrease. Whereas other large companies often end up finding they become reliant on constantly high volumes of work in order to turn a profit we are unique in that we are equipped to ride the ups and downs of the market and remain profitable.”

As of today 3Q Concrete remains committed to opening up at least three new batching plants during the first half of 2013, while also putting in place the ground work for further expansion in the six-to-twelve months following. “Approximately 60 percent of WBHO’s revenues come from outside of South Africa,” Marais says, “and it is because of this that we are more determined than ever before to capitalise on the opportunities that Southern Africa has to offer.”

In order to do this Marais is adamant that the company needs to retain the mentality that has served it so well to date. This means having employees who are hungry for work and taking a pragmatic view when it comes to costs. “Since the onset of the global financial crisis in 2008 it has never been more important for a company that wants to be successful to possess a workforce with a hunger for work and a management team capable of accurately monitoring costs. As times have changed so too have businesses had to adapt accordingly and that is what we have done. By having the right people, attitude, discipline, flexibility and the desire to go that extra mile for our customers we have been able to exceed even our own expectations.”

www.casteel.co.za

Written by Will Daynes, research by Paul Bradley