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Archive | July, 2010

Evolutionary Solution to Hire Talent in Iraq

Evolutionary Solution to Hire Talent in Iraq

Asiacell Communications LLC becomes first Iraqi company to implement a full-fledged enterprise e-recruitment solution to attract, engage and hire exceptional telecom professionals.

“Recruiting exceptional talent is a challenge globally. The challenge is even bigger when you are trying to hire quality people in Iraq, especially expatriates. We have to compete with telecom companies worldwide for the same set of top industry professionals and we have to do it right to be successful,” says Akam Falah Jamil, HR-Expatriate Services Section Head at Asiacell, explaining the need for a fundamental shift in the way they recruited people.

For Iraq’s largest mobile telecoms , the only company to provide network coverage in all 18 governorates, this change in attitude is a refreshing but bold approach to manage their existing challenges. Asiacell is now the first company in Iraq to have successfully implemented a state-of-the-art e-recruitment solution with the aim of hiring exceptional talent.

The e-recruitment solution they have implemented in partnership with Hiring Solutions is on par with the best solutions used by Fortune 500 companies. It also has the added benefit of features built specifically for the Middle East market, such as Arabic interface and Milestone Trackers for visas, medicals, etc. The intelligent solution automates the entire recruitment process from job requisition to on-boarding, among other things.

Akam says, “We wanted a solution that helped us recruit the best local and global talent while simultaneously improving the cost-per-hire and time-to-hire. We wanted to be proactive in our approach to recruitment, build our own private database that could be shared across multiple business units and we wanted the solution to be up and running in a matter of weeks.”

Hiring Solutions was chosen because it had a consistent track-record for delivering all of the above in the Middle East and Africa region. By mid-July, the solution was already up and running and recruiters as well as line managers were trained to use the solution effectively.

James Padkin, Director, Client Services at Hiring Solutions, says “A high-end software is just a small part of a successful e-recruitment solution. This is why, we have provided Asiacell with a solution that not only automates and streamlines its hiring processes but also provides smart sourcing strategies, builds a powerful employer brand, enhances the candidate experience and ensures that recruiters focus on quality candidates rather than waste their time on administrative tasks and reading thousands of CVs.”

About Asiacell

Asiacell, the first mobile telecommunications company in Iraq, was established in the city of Sulaimaniya in 1999 by the well-known entrepreneur Mr. Faruk Mustafa Rasool. It is today the only national Iraqi telecom network to provide coverage for all of the country’s provinces in the north and the south and is the largest private Iraqi company, serving over 7.8 million subscribers and connecting the Iraqi nation together.

About Hiring Solutions

- “Changing the way the Middle East recruits”

Hiring Solutions is the leading provider of enterprise e-recruitment solutions in the Middle East and Africa. Its world-class Sniperhire software platform is used by over 200 businesses in 42 countries to lower costs and reduce time while hiring exceptional talent.

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Posted in Employment0 Comments

Iraq Signs Electricity Deal with French Firm Alstom

Iraq Signs Electricity Deal with French Firm Alstom

French energy infrastructure firm Alstom signed a memorandum of understanding with Iraq on Wednesday to build a power plant in southern Iraq, which is suffering a severe electricity shortfall.

According to a report from AFP, Alstom is also set to renovate an existing power plant in the city of Najaf that it built 35 years ago.

“Patrick Kron, chief executive officer of Alstom, today (Wednesday) signed a memorandum of understanding with the Minister of Oil and Electricity, Hussein al-Shahristani … for the development and modernisation of Iraq’s electricity infrastructure,” Alstom said.

The company has agreed to build a 1,200 MW power station between Najaf and the southern port city of Basra, and to rehabilitate a 180 MW plant in Najaf that it built in 1975.

The agreement also provides for training of Iraqi engineers and technicians.

A source with knowledge of the agreement said the new plant is likely to cost between 1.5 and 2 billion US dollars [1.8 trillion and 2.4 trillion Iraqi dinars].

“We hope to build up the electricity sector in Iraq which has been badly damaged in recent years and meet the country’s growing electricity needs,” Prime Minister Nouri al-Maliki, who attended the signing, said in a statement.

The statement said the company would begin talks with national and local officials in the coming weeks “for the practical implementation of these projects.”

Iraq’s daily power generation averages 8,000 megawatts, while demand in temperatures that have hit 54 degrees Celsius (130 degrees Fahrenheit) is typically more than 14,000 megawatts, forcing the use of unpopular rationing.

Only those with access to their own generators and fuel have been able to refrigerate foodstuffs or air-condition their homes around the clock.

Oppressive summer heat has triggered protests in several cities across the country, including in Basra.

Maliki has warned that two more years of shortages lie ahead as there is no quick fix to the problem, which worsened dramatically in the wake of the US-led invasion in 2003.

(Source: AFP)

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Posted in Public Works0 Comments

Wassit to Build Residential Units and Power Plant

Wassit to Build Residential Units and Power Plant

The Wassit [Wasit] council signed a contract on Tuesday for the building of residential units and an 80 MW power station, according to the council’s vice president.

“The council signed a contract at the Kut Investment Commission with the Turbat al-Rafideen company to set up a power station with a production capacity of 80 MW, to establish a five-star hotel and a residential compound, which will contain between 400 and 1000 units,” Mahdi Ali Jaber told Aswat al-Iraq news agency.

“The contract stipulates that the company will start work on the three projects within 60 days,” he added.

(Source: Aswat al-Iraq)

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Posted in Construction & Engineering, Public Works0 Comments

Iraqi Minister Injured in Traffic Accident

Iraqi Minister Injured in Traffic Accident

A road accident in Jordan has killed at least six people, including two British nationals, and injured 28 others, including an Iraqi minister, police say.

The crash happened when a tourist bus was transporting the victims from the Dead Sea back to Amman late Thursday night, said police spokesman Mohammed al-Khatib.

Four Iraqis were also killed in the accident, Jordan’s media reported.

Iraqi Minister of Science and Technology, Raed Fahmi, was among the injured and was transferred to King Hussein Medical Centre in Amman.

Police said that the delegation was taking part in a United Nations training program for Iraqi students and that they had gone to a Dead Sea hotel for dinner.

Some of the injured remained in critical condition, while others suffered fractures and bruises but are in stable conditions, according to police.

(Sources: PressTV, AFP, AP)

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Posted in Communications, Industry & Trade0 Comments

Can Iraqi security forces stand up as the US stands down?

Can Iraqi security forces stand up as the US stands down?

One of the advantages of working with a Private Security Company is that you can get out and about in Iraq, visiting the provinces and districts where the really important local dynamics are unfolding. Every village and every checkpoint in Iraq offers a partial microcosm of national-level trends. Getting into local communities can be a much more accurate way of understanding the future trajectory of Iraq than any amount of time spent in the corridors of power in Baghdad. With this in mind, I recently toured six Iraqi provinces – from Basrah in the deep southeast to Al-Qaim on the Syrian border in the northwestern elbow of Iraq. The objective of the visit was to gauge how well the Iraqi security forces are functioning as the US draws down.

Basrah provided a mixed bag of indicators. On the one hand, the 14th Iraqi Army division has not relaxed its grip on the province since the defeat of Moqtada al-Sadr’s forces in Basrah in March 2008. Whereas other parts of Iraq are witnessing a degradation of security force capabilities as the US draws down, the Basrawi security forces have been operating largely independently of the United States since 2008 yet have maintained a high degree of effectiveness. In part this is due to effective leadership by Basrah’s senior generals, in part because of the future political significance of Basrah. The present government in Baghdad is aware that control of Basrah is vital to the economic stability of the country and the political control of the Shia. Basrah was where Maliki began his triumphant “Iraqi surge” and the area could be a future powerbase for him if he is removed from the premiership. This should be a concern for any future prime minister because undue influence over Basrah would be a powerful card for Maliki to hold.

The Iraqi Army and its partners – the blue-camouflaged Emergency Police and the other police and border forces – can take care of overall security and prevent the militias from returning. More worrying are the trickle of disquieting lower-level incidents against foreigners. Rocket attacks on the airbase are more regular, slightly more frequent than once a fortnight now. Insurgents are becoming a little more active in northern Basrah city, on the main road outside the Basrah Air Station, and on the roads linking the Rumailah and Zubayr oilfields. It is apparently still hard to dig out these tiny cells, even when they are operating in fairly open desert settings, often no more than a few hundred metres from a government checkpoint.  Solving these kinds of problems is an imperative for the companies seeking to work in Basrah but may be relatively far down the list of priorities for the Iraqi security forces and the near-invisible US military presence.

In Baghdad, there is an even stronger sense that the United States military has already gone. Except for the nighttime beat of helicopter blades, one very rarely hears or sees an American in Baghdad’s streets, and then only on the outer perimeter of the city as convoys ceaselessly shuttle US equipment out of the country. As in Basrah, the Baghdad security forces have been marching to their own beat for a while. Unlike in Basrah, however, the tempo of the Baghdad security forces has undoubtedly dropped. Compared to the relatively crisp standard of security forces in Basrah, the Iraqi soldiery and armed police in Baghdad appear to be worn out. It is easy to forget the intensity of the long drawn out battle for Baghdad that has raged since 2006. Understandably, the ISF have dropped their activity levels during the summer months, manning Baghdad’s key checkpoints but deactivating many smaller outposts and reducing the level of proactive patrolling and arrest operations. Maliki’s efforts at behind-the-scenes coalition-building have also brought a cessation of arrest operations against Shia militants in the capital. The Sunni Arab police auxiliaries – the Sons of Iraq – have suffered for their support of Iyad Allawi, experiencing rapidly declining levels of support from the government security forces and enduring a veritable storm of intimidation and retribution attacks from their Sunni co-religionists in remaining insurgent and terrorist cells.

Baghdad security forces are also re-discovering some decidedly bad habits. They are making life very hard for Western Private Security Companies. Every license document for vehicles, weapons, equipment and personnel may be minutely queried at any checkpoint. Multiple firms have vehicles or equipment – even personnel and clients – impounded on a daily basis. Most worryingly, even so-called “elite’ units have begun to take the opportunity of shaking down the security teams, initially for water and soft drinks, but increasingly for cash, watches and equipment. Pretty soon, this cancerous problem will begin to impact the market entry of major foreign companies by adding a new level of uncertainty to business dealings in Iraq.  Western investors – particularly oil companies – should not be silent when such incidents occur.

The Iraqis security forces are tired after years of war and they are standing almost entirely on their own feet now. In almost all cases, they are not standing up in many of the ways that the United States would have expected. They are not a like-for-like replacement for US forces. In some ways, they may be better than the Americans. Though they do not restlessly patrol, they understand how to dominate Iraqi streets and towns without breaking a sweat and they gain a great deal more information from the public than the US ever did. They do not preempt attacks the way US forces are trained to do but they can be effective at catching and punishing culprits. For foreign companies in Iraq, adjusting to this approach may be hard but Iraq’s security forces expect investors and visitors to be realistic about their inability to prevent every outrage.

As the above observations note, many parts of Iraq are already operating in a post-US mode, and some have done so for years already. In Basrah, the style of security is well-organized, visible and heavy-handed, reflecting the importance of the area to key federal decision-makers. In Baghdad, it is perhaps unrealistic to expect Surge-era levels of security operations to be maintained year after year, particularly in light of a reduced US role. In many rural areas like Anbar, the federal government has largely ceded day-to-day control of security to the locals. The old rules have gone out the window: in Anbar – where Al-Qaeda ruled until 2007 – the slightly shabby Sunni security forces are now far friendlier to foreign faces than their slicker Shia counterparts in Basrah and Baghdad. The difference between a good unit and a bad one is usually the quality of their commander; the distance separating good and bad units can be tiny and the dividing lines are invisible to the uninitiated. As in all other matters, having the right intelligence allows you to be attuned to such fault lines and gives you a better chance of achieving your business aims in Iraq.

Profile

Dr Michael Knights is Vice President and lead Iraq analyst at Olive Group, the  first security company to operate in Iraq.  He has  worked on Iraqi political and security risks since the mid-1990s, first as an oil and gas journalist and later as an academic, receiving his PhD on Iraq at the Department of War Studies, King’s College London.  Since 2003,Dr Knights has run the Washington Institute for Near East Policy’s Iraq programme, advising US government agencies on Iraq policy and publishing a series of books on local politics and security in Basrah, Maysan, Dhi Qar and the northern provinces including Kirkuk.  Since joining Olive Group in 2006, he has produced in-depth social and political analysis of 26 of Iraq’s major oil and gas fields and keeps a close eye on national security and politics.

He can be contacted at mknights@olivegroup.com

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Weekly Security Update

Weekly Security Update

National Overview

The total number of hostile incidents reported nationally was 117, an increase of 9 from the previous reporting period. The number of incidents in the south central region increased again, the third consecutive rise. Elsewhere the number of incidents was within the normally expected levels; however the lethality of the attacks increased in some areas.

In Baghdad, Concerned Local Citizens and Iraqi Security Forces members were the victims of a mass casualty suicide attack. A further mass casualty attack was avoided when Iraqi Security Forces discovered a Vehicle Borne Improvised Explosive Device in the south of the city. The north central was not as fortunate as a series of Vehicle Borne Improvised Explosive Devices resulted in dozens of casualties. Explosively Formed Projectiles were targeted at US Forces and Iraqi Army in Baghdad and Basra, resulting in the death of an Iraqi soldier.

The south central and south east regions saw a rise in hostile incidents for the third consecutive week. US Forces were the primary target and will probably remain so until the planned drawdown. The U.S. has approximately 70,000 troops in Iraq and plans to cut that number to 50,000 by the end of August 2010, ahead of a full withdrawal by 2012. In the west there was a continuation in attacks aimed at local nationals linked to the Government of Iraq. Infrastructure was also targeted again in an attempt by AQIZ to undermine the ability of the Government of Iraq to provide basic services.

Elections Overview

Another week has gone passed with no end to the political impasse. On 27 July Iraqi Prime Minister Nouri al-Maliki’s Islamist-led coalition announced that a parliament session scheduled for Tuesday had been cancelled as discussions faltered over the formation of a new government. Haider al-Jorani, an MP from the State of Law coalition, said the session aimed at discussing the makeup of a new government had been postponed indefinitely. The session was due to elect a speaker of the house and a President. This delay does not come as a surprise as members of the State of Law coalition had been quoted in the media speaking negatively about the prospects for progress earlier in the week.

Ahead of the suspended session the Kurdistan Blocs’ Coalition had said that there was no way the Kurds would accept the post of the speaker of parliament as they are expecting the presidential post. The Kurds currently hold the role of President, however, they are probably punching above their weight and it would be unrealistic for them to expect a candidate from al Iraqiya or State of Law to take up what is seen as a lesser role in order to accommodate the Kurds who polled a much lower number of seats (57) in the national elections.
On 27 July the Chairman of the US Joint Chiefs of Staff, Admiral Mike Mullen arrived in Baghdad to meet with Nuri al Maliki, Jalal Talibani and General Ray Odierno. In a press conference Mullen stated the progress made in securing Iraq since 2007 represented “a truly stunning achievement.” However, in private Mullen is likely be express concerns regarding the failure to form a Government and the affect this is having on the security situation.
Baghdad

Officially reported incidents in Baghdad increased slightly from 28 to 31 during the reporting period.

A mass casualty suicide bombing against an Iraqi Security Forces target was the first of two headline grabbing events during the reporting period. The number of Under Vehicle Improvised Explosive Device attacks increased during this reporting period, indicating that insurgents have been re-supplied following large cache finds several weeks ago. Most of these attacks targeted off duty Iraqi Security Forces and Government of Iraq employees and were assessed to have been perpetrated by Al Qaeda in Iraq associated Movements. Iraqi Security Forces finds and Explosive Ordnance Disposal action successfully limited the number of effective hostile incidents during the reporting period, of note was the find of a Vehicle Borne Improvised Explosive Device near an Iraqi Army check point in the south of the city.

The number of Indirect Fire attacks on the International Zone increased, with two attacks during the reporting period, making it the sixth such attack in July. The second headline incident was the successful Indirect Fire targeting of the US Embassy grounds, causing several injuries. Three foreign security contractors were killed in one of the blasts. Forward Operating Base Falcon in southern Baghdad was also targeted. It is assessed that these attacks are being launched by Shia’a insurgents, and are likely to continue against US personnel locations in the lead up to the September military draw down, as insurgents seek to paint a picture of US troops retreating under fire. The number of Explosively Formed Projectile incidents was notable, with two successful attacks and two finds in the north of the city. Explosively Formed Projectiles are traditionally Shia’a weapons and the increase in these attacks over the last two weeks fits the assessment that Shia’a insurgents will increase attacks against US Forces in the short term. Al Qaeda in Iraq Associated Movements targeting of Iraqi Security Forces and Government of Iraq related personnel will continue.

Basra Province

Incidents numbers in the south east region increased slightly from six to seven during this reporting period, with five of the incidents occurring in Basra.

A fourth Indirect Fire attack against Basra Contingency Operating Base in 20 days made July the busiest month of the year so far. Since mid May the longest period of time without an Indirect Fire attack has been 14 days. The previous Indirect Fire attack against the Contingency Operating Base was on 13 July, so an attack was expected sometime before 27 July. Another Explosively Formed Projectile attack targeted US Forces south west of Basra City on route Topeka. Attacks in this area are rare; the last attack close to this location was in March. It is assessed that the number of attacks on US Forces (in particular Indirect Fire) will increase as the US Forces draw down date comes closer. This assessment is in line with other areas where the Indirect Fire attacks on US locations have increased.

There may be an increase in the volume of traffic on the Main Supply Routes in the coming days as Shia’a pilgrims make their way to Karbala for the Shabaniyah festival. Local sources indicate that routes Hexagon and Tampa will be busy going west and may attract the potential for problems.

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Freedom of Speech in Iraq

Freedom of Speech in Iraq

The planned second session of the new Iraqi parliament was due to be held on Tuesday, but considering the lack of progress in forming the next government, few were surprised when it was postponed.

We are postponing the session until further notice because the political entities failed to reach any agreement”, said Fuad Massum, who as the oldest member of Parliament holds the post of caretaker Speaker. “We held a meeting this morning with the heads of the parliamentary blocs and we agreed to give more time to [the] political entities to reach agreement.

A spokeswoman for Ayad Allawi’s Iraqiya coalition said “the root cause of the problem is sectarian rather than political or national”.

That being the case, it is particularly worrying to see that the government has proposed setting up a special court to try journalists – the potential for abuse of such a court in a society where sectarianism is a problem is obvious.

To many it seems bizarre that the government would choose to focus on the ‘problem’ of journalism, when press freedom is key to solving two of Iraq’s biggest challenges: the smooth running of the democratic process, and the eradication of corruption.

Whether this, and the so-called ‘Journalists Protection Law’, are really moves by the authorities to control the media, is of course still open to debate. But according to Iraq’s constitution, “special or exceptional courts may not be established”, so we can expect some legal challenges to this initiative.

In an interesting piece of timing, UNESCO is allocating funds for the “promotion of free expression and media pluralism, associated with the free flow of information [in Iraq]”.

An environment is which information can be reported without fear is important for the people of Iraq, and also for the legions of foreign businesses that will be required to bring Iraq’s economy back to prosperity.

Upper Quartile and AAIB are the ideal partners to guide your business through the complexities of Iraqi life. For more information please contact Gavin Jones or Adrian Shaw.

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Warka rights mystery deepens

Warka rights mystery deepens

So far two subscription periods for Warka Bank’s ID 150 bn rights issue have come and gone without any official announcement of the results.  The last date for existing shareholders to subscribe was May 16.  As most of them did not take up their rights, there was a subsequent public offering open to everyone except those eligible to participate in the first round.  These subscribers (if any) had until July 2 to get their money in.

Apparently the chairman, who holds about 60% of the shares, did not take up his own rights, which would naturally lead you to conclude that he must have had new investors lined up to invest in the public offering.  (Otherwise what would have been the point in doing such a huge capital increase in the first place?)  But if that had been the case, it seems that there should have been an announcement by now confirming that the second round shares had been taken up and revealing the identity of the new owners.

But no such announcement has been forthcoming and it now appears that the public offering is going to a final sixty-day third round.  As the stock must be suspended until the new shares are either taken up or cancelled, this would mean that BWAI would not resume trading until some time in September at the earliest.

In the meantime, however, the Iraq Securities Commission has further complicated the process by requiring the bank to reaudit its 2009 financials.  In an announcement dated June 6 (and posted on the ISX website on June 9), the ISC claimed to have found “abnormal figures” in the accounts and requested the company to replace the auditor and redo them.

All this leaves the minority shareholder with nothing but unanswered questions:  Did the chairman actually have any investors to take up the second round shares?  Will they subscribe during the third round?  Did they ever exist in the first place?  Did the ISC’s report scare them away?  Was the timing of ISC announcement, right in the midst of a public offering, a coincidence?  What will the bank’s new auditor conclude? 

And when, if ever, will the shares resume trading?

Posted in Banking & Finance, Mark DeWeaver on Investments and Finance0 Comments

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