Published: April 30, 2009, Gulf News Friday
As the son of a man whose passion for his profession remains undimmed at 75, Mohammad A.R.S. Al Madani's work ethic too is an amalgam of drive and determination. Today, as head of Al Madani Group, he remains inspired by his father's ideals.
Many years ago, a young Mohammad A.R.S. Al Madani quietly walked alongside his father as they paid a visit to the palace of the late Sheikh Maktoum Bin Rashid Al Maktoum. When Sheikh Maktoum received his father, his warmth and words of praise for him stuck in the mind of the young boy.
He recalls: "My father is a tailor and I remember the occasion when I accompanied him to the palace to deliver some tailored garments. The words of praise and recognition for my father had me spellbound. The high regard my father enjoyed despite the humble profession he practiced [impressed me]."
It is a profession his father, Sheikh Abdul Rahman Al Madani, took up at the age of 14 and continues to practice even today at the age of 75. Back in 1945, when he set up National Tailors, a modest tailoring shop located at the mouth of the Creek in Al Ras, Deira, he did not look upon the traditional dishdasha as merely an item of everyday wear. Instead, he incorporated several design elements, both modern and stylish, thereby spawning a new fashion trend with this traditional garb.
Sheikh Al Madani ('Sheikh' is a term of respect for instructors of the Quran and he inherited this title from his father) soon attracted a vast clientele, and business soared. Such was his expertise that his tailoring shop was frequented by many members of the ruling family including the late Sheikh Rashid Bin Saeed Al Maktoum, founder of modern Dubai, as well as several prominent Emirati business families.
However, what fascinated the younger Al Madani were the customers he saw his father deal with regularly. "Some were angry, some unreasonable and others even more difficult. The art [of dealing with them] truly fascinated me," he remembers. It was while in the US in the '70s that he experienced first-hand the buzz and frenzy of retail shopping in shopping malls there. "I was intrigued, and instinctively, I knew this field was where my future lay," he says.
Despite a promising career in the oil industry, it was in retail that Mohammad Al Madani eventually found his true calling. His career in retail took off with the leasing of a store at Deira City Centre in 1996. Over a decade now in this retail adventure, Mohammad A.R.S. Al Madani, chairman and CEO of the Al Madani Group, has introduced nine international names to the region. Amongst these, Apparel leads with six labels and the group operates in four countries in the region with a presence in 15 shopping malls in the UAE. "From tailor to trendsetter" is how he describes his journey. I, Me, MYSELF I chose to study petroleum engineering, which seemed a natural choice as the country had just struck black gold. I studied at the University of Tulsa, Oklahoma, US, on a UAE scholarship. I began my career with the Abu Dhabi National Oil Company (Adnoc) in 1979, becoming one of the first UAE engineering graduates to work in the oil sector. My job was onshore, on the drilling rigs, and I remember how some expatriate officers couldn't believe that I was prepared to get my hands dirty (with oil) even though I was a UAE national. Two years later, homesick for Dubai, I joined the Dubai Petroleum Company (DPC). I embarked on a business career on the advice of my uncle who encouraged me to rent commercial space. I was against the idea as I considered myself an engineer, not a businessman. But my uncle was persistent, reasoning that the rent was low. It was thus that I opened a readymade garment store at the Karama Shopping Centre in 1981. I chose the clothing line, due to my association with tailoring shops. I learnt the ropes of the business by helping out with my father's business. When I joined him, I did not occupy the CEO's chair from day one. Instead I went through the grind, learning the nuances of doing business. I believe the road to success is in large part due to perseverance and self-belief – one has to keep moving forward despite the obstacles in the way. It may be easier to give up but if you do, you lose the opportunity to succeed in life. For instance, in our determination to acquire the distribution rights for Levi's, we never once gave up. We pursued our case relentlessly with e-mails and proposals from 1996 to 2000 despite the fact that at that time Levi's had no interest in entering this region. It took us four years [to convince them], but eventually, our efforts paid off. I am inspired by the passion and dedication to work shown by my 75-year-old father who, even today regularly goes to his old tailoring shop in Al Ras, continuing to do what he passionately loves doing, despite the fact that he does not need to work for a living. My father always wanted his children to do well in life and the satisfaction I get from doing a job right, on seeing my efforts translate into achievements, inspires me to continually improve myself. I believe every business has its ups and downs. That is why risk analysis is an integral component of a business plan. We forecast for the bad times as well; the 'what if' factor comes into play even during times of unprecedented growth. The economic curve is never the same at all times; it continually traces peaks and troughs. The year 2008 was our best ever financially, but this year, our focus is on breaking even. We are confident we will ride this wave and reach ashore without damage. In the process, we may have to offload some weight or tighten the ropes. But we are determined to face the storm head on. I am a firm believer in work ethics. I do not compromise with the principles of integrity and honesty that are the core values of our company, and I expect the employees to do the same. At AMG, all are VAPs – Value-Added People. 'Everybody should be respected' is our credo, for we believe in doing unto others what we want others to do to us. I cannot imagine life without my wife. The beauty of life is being with the one you love, sharing happiness, watching your children grow, and looking forward to the future together. Of what use is wealth and money if you have no one to share it with?
I love to spend time with my family. I have four sons and four daughters and I particularly enjoy our barbecue nights around the fire at our farm on the outskirts of Dubai.
I read a lot, especially business books that offer strategies on selling skills, achieving success. I am currently reading Who Stole My Customer? Which offers insights into acquiring and retaining customers.
I miss the simple life of Dubai that I enjoyed during my childhood days. I miss the pure, pristine sea we played in, the clean sand rich with shells and the closeness to nature I felt then. I also miss the social life of those days when we could walk over to a friend's or a relative's home with ease. Now, you need a car to go anywhere in Dubai! I enjoy traveling and learning about new cultures. I remember visiting a museum in the then Bombay (now Mumbai), India, as a child, and when I saw the coins, swords and other artifacts of the Mughal period I felt as if I were in a dream. It was my first museum experience and it instilled in me a passion for history. I now frequently visit museums everywhere in the world. My favorite, of course, is the Louvre in Paris.
I wish all my children were living together with my wife and me under one roof – perhaps, in a castle-like home to fit all of us in! A couple of my kids are married and have moved away to different areas of Dubai. I miss them and wish we were all together once again.
I dream of evolving into a business leader and opening a huge retail department store that would address all the needs of an individual in a single store. Food, fashion, toys, lifestyle accessories and so on will be part of the experience at the Al Madani Store when it opens!
I, Me, Myself Me and my childhoodI was born in 1956 to a large family of four brothers and four sisters. We lived in a thatched home and I remember that those days drinking water was brought on a donkey's back. We had only kerosene lamps to light up the dark and used the Indian rupee and paisa as currency.
The highlight of every summer was a trip to Bombay by ship. I looked forward to watching Indian movies and I would come back and brag to my friends about it! It was due to my trips to the Subcontinent that I was able to learn the languages Urdu and Hindi.
Me and my entry into the retail sector: In 1992, despite my father's reluctance, I persuaded him to open the first traditional Arab tailoring store at the newly opened BurJuman Centre.
That is how my relationship with shopping malls began. Later, when Deira City Centre got under way, I leased a shop there which pushed me to look for suitable brands. I started with Levi's, originally purchasing merchandise from the wholesale market in the US.
Next came Hang Ten which I thought would be ideal for a nascent market like Dubai with its attractive colors and quality fabrics. When DCC started leasing its second phase of commercial spaces, I launched Hang Ten in May 1997. Other brands were introduced gradually.
Me and my choice of franchises Each of the brands of Al Madani Group were chosen after considerable thought, having studied the dynamics of the regional market, the brand's international appeal and the specific value it provided. My decision to enter the food sector was an offshoot of my relationship with shopping malls. The Food Court has significant value in the overall appeal of a mall and I wanted to introduce a brand with a definite niche value.
Me and my engineering influences The principles of engineering and the business of apparel may seem like an unlikely match but even today, I superimpose several elements from my engineering background on my business strategies, decision-making and management style. Well-acquainted with feasibility and forecast studies during my days at the rig, I have always incorporated these elements when negotiating a deal or deciding on a new brand for our portfolio.
Me and risk taking I always look at the possibility of failure before entering into a new venture. Calculating risks are essential to the successful running of any business. Without an element of risk, what's the challenge in doing business? Perhaps the biggest risk I've undertaken yet is the opening of a 3,000-square foot Hang Ten store during this period of recession!
Me and my motto in life 'Never abuse your power'. If, by virtue of your position or financial prowess, it is in your power to hurt someone, resist the temptation. Even ridiculing or yelling at an employee or humiliating him in the presence of others is an absolute no-no.
I, Me, Myself What are the three essential requirements of running a successful business? Having a proper financial plan or model is an absolute must. Finance is the anchor to giving business stability. You should be clear about where you want to go, say, over the next three to five years. Without proper financial planning, the road ahead will be bumpy, the signposts unclear and you could end up jeopardizing all that you've invested.
Keeping your employees motivated is another crucial factor. The office should be seen as a fun place to work; therefore, it is critical to keep the passion for work going. At AMG, we encourage self-evaluation for two reasons – to empower the employees and to identify the areas for improvement. I lead my employees but I do not force them to do things they do not like. Self-evaluation targets three main areas – what you should stop doing, what you would like to continue (actions that give you results) and targets/goals you would like to start identifying. Stop-Continue-Start – that's our policy.
Motivation can also be upheld by setting clear-cut objectives at the start of each year. At AMG, the key performance indicators (KPI) have to be met by each employee from the top rung of management to those at the entry level. The most important prerequisite, however, is recognition of the human element. 'Tough on issues but tender with individuals' is a mantra I believe in. Unlike machines that can be programmed to work at will, employees are people with feelings and emotions. By adopting the right attitude, encouraging teamwork, giving credit where it's due and paving the way for establishing a good relationship with the staff, you can never go wrong. I believe that motivated, sincere and hardworking employees are the greatest asset any establishment, big or small, can hope to have.
What advice would you give budding entrepreneurs? Don't ever give up in the face of failure. Remember that you have to fall in order to rise again. The one who wins is the one who has persisted against the odds. In our case, it took three years for Hang Ten to reap profits. If I had given up when the bottom line was in the red, I wouldn't be the Master Licensee of the brand for 27 countries today.
Levi's was more of an uphill task. When the brand's representatives finally conceded to make a visit to Dubai in 2001, we were elated that four long years of persistent efforts were finally going to bear fruit. Therefore, it was devastating when other companies too were short listed for distribution rights. These were the big guns, and we knew we didn't stand a chance against them.
AMG was a small company, relatively new to the retail sector with only one brand under its wing. Additionally, Dh200,000 was the fee of a leading advisory firm for the preparation of a business plan, which we couldn't afford.
After the initial dismay and shock wore off, we decided to face the challenge head on and focused on achieving our goal. The entire team worked on a business plan, detailing our capabilities, outlining how we made up with passion and dedication what we lacked in experience or size, and explained our vision for the brand in the UAE.
Levi's was greatly impressed. 'You did it from the heart' they remarked of our business plan. At the end of 2001, we became distributors of the brand, and today, we have 14 exclusive original Levi's stores in the UAE.
Your view on Dubai's exponential growth. The ease of doing business in Dubai is remarkable, which is why the retail sector enjoys such phenomenal success here. You learn to appreciate this only when you try to set up businesses in other countries. Getting a license, arranging finance, fulfilling other formalities, it is easy to accomplish this in Dubai efficiently.
Also, the country is open to all cultures and its residents enjoy ample freedom