With a footprint in eight countries and a client base including Africa’s four major towercos, NETIS have established themselves as a leading service provider in the continent’s tower industry. TowerXchange speak to NETIS’ Operations Director, Michael Shehata to find out some of the factors underpinning the company’s success in what is becoming an increasingly challenging marketplace.
TowerXchange: Please can you re-introduce NETIS to TowerXchange readers; what services does the company offer, for how long has it been operating, in which markets do you have a footprint and who are some of your key clients?
Michael Shehata, Maintenance Director, NETIS:
NETIS is the preferred partner for maintenance service, infrastructure and smart power solutions for several operators and towercos in different countries in Africa.
NETIS Group was established in 2009 with Headquarters in Côte d’Ivoire. NETIS Group currently operates in eight countries namely; Côte d’Ivoire, Ghana, Burkina Faso, Bénin, Kenya, Uganda, Tanzania and Gabon. Our target is to have a footprint in at least ten African countries by the end of 2018.
NETIS Group currently maintains over 5000 sites for major African towercos namely IHS Towers, Eaton Towers, Helios Towers Africa and American Tower Corporation. We maintain both passive and active network management in five countries for all major African towercos.
NETIS is a major contractor for major telecom infrastructure projects such as fibre optics (FTTX, GPON and Digital Cities), turnkey site build and power optimization projects. We have a tower manufacturing facility in Côte d’Ivoire which enables quick deployment of tower and steel structure solutions for our customers.
NETIS has also deployed, built and maintained numerous power/telecom solutions across Africa and is a proud partner of several vendors specialised in power solutions, RMS, RDUs, COWs and other telecommunications solutions.
TowerXchange: Can you explain some of the steps that NETIS has taken to improve operational efficiencies in the management of cell sites; where do some of the biggest inefficiencies come into play and what does NETIS do to circumnavigate this?
Michael Shehata, Maintenance Director, NETIS:
NETIS has taken several steps to ensure the improvement in cell site management. At NETIS we have a strong belief in quality processes and procedures and put great emphasis on operational efficiency. One of our key strengths is our internal process through the use of a quality management system. All our processes are ISO 9001 certified and we ensure continuous improvement by conducting regular internal and external audits. NETIS boasts a SHERQ Team that plays a key role in maintaining quality processes and having ISO certification for every NETIS operation.
At NETIS we have a strong belief in quality processes and procedures and put great emphasis on operational efficiency. One of our key strengths is our internal process through the use of a quality management system. All our processes are ISO 9001 certified and we ensure continuous improvement by conducting regular internal and external audit
Selecting highly qualified managers and directors for all business aspects to ensure that service offered to the clients is of the highest quality is key, NETIS has a continuous training program for all its staff along with a continuous performance review program. This program is aimed at developing the teams to meet company standards and customer targets.
We believe in employee empowerment and motivation. All our teams are well equipped with the necessary tools and facilities to carry out their various tasks. Teams are also well remunerated and well trained to manage daily and complex tasks.
In terms of the biggest challenges that we deal with, some of the networks under our maintenance are quite old with constantly failing equipment. This is in addition to high customer expectations and stringent customer budgets. This results in more site visits than necessary resulting in low efficiency. In addition, the countries in which we operate are sometimes rife with security issues or have difficult terrain, poor road networks and generally poor infrastructure. This increases the cost of operations and reduces our efficiency.
Tight customer budgets, difficult terrain and old equipment has not prevented us from meeting our goals. Where we need to focus more attention, we do so proactively and avoid failures and the subsequent impact on our client. These challenges are overcome through modification of procedures to suit every unique operation and to create the best possible result.
TowerXchange: With power uptime perhaps the most important performance metric, how does NETIS work with their MNO and towerco partners to improve uptime whilst also keeping a handle on opex?
Michael Shehata, Maintenance Director, NETIS:
At the start of each project, NETIS carefully dimensions its operational structure to allow the cost to fit within the customer budget. This is done while keeping a clear focus on details such as the longest possible MTTR in case of a failure. This structure with minimum customer impact and reasonable budget is always followed.
NETIS makes use of the most qualified staff for key customer sites and makes use of proactive measures to prevent sudden failure. Routine loop plan must be adhered to and teams are well trained on customer expectations. This gives each customer quality service unique to their SLA and requirements.
TowerXchange: What trends have you started to see in the type of power systems being installed on cell sites and what kind of impact is this having on site performance as well as maintenance requirements? From a technology standpoint what causes the most headaches in managing cell sites?
Michael Shehata, Maintenance Director, NETIS:
More and more, MNOs and towercos are reducing their OPEX and CAPEX through the installation of smart power solutions. We are seeing solutions such as lithium ion batteries, solar, hybrid systems and complete elimination of generators from sites. This is aimed at reducing fuel consumption and having long equipment life.
These solutions have a positive impact on equipment performance as there is less maintenance for automated smart power solutions. However less maintenance implies fewer visits to site, leading to lower profit margins for the maintenance vendor. New solutions also mean improving technician skillset to be able to maintain the new type of equipment. It takes time and training to bring the teams up to speed with smart power solutions as most are accustomed to the older type of generator and rectifier maintenance.
The biggest maintenance headaches are from skills development. With different skills in each country and different types of equipment, we face challenges in ensuring teams are ably trained to manage the equipment and to follow manufacturer recommended procedures. It takes time to have a competent and technically strong team.
TowerXchange: What kind of growth in the number of macro-sites do NETIS forecast across the markets that they work in and do you see much business in alternative site typologies?
Michael Shehata, Maintenance Director, NETIS:
NETIS Group’s core business is passive and active maintenance activities and the target is to increase the total number of sites to be managed from 5,000 sites to 6,500 sites in 2018. This is in addition to providing our customers with total power and energy solutions including generators, DC systems, batteries and complete solar solutions. In the long term, we see the ESCO model coming into play and are encouraging our customers to move to the latest energy solutions so as to enhance performance and reduce their OPEX.
The alternatives are few and far between. Network penetration rate is still low in majority of our operating markets. Last year we noticed a willingness from the MNOs to rollout new macro-sites either through towercos or even directly when towercos do not think it makes economic sense to build certain sites. This shows and brings new positive dynamics in our markets but it is very difficult to quantify at this stage. As we all know, decision-making in the telecom business is very radical and anything could happen between now and next year.
There is still room for companies like ours with innovative approaches as far as alternative site typologies are concerned. We are present in very different markets with varying economies and topography. Our propositions therefore have to be innovative solutions that are, low cost, security conscious (e.g bunker sites), easy to move (e.g CoWs), energy efficient (solar wind), stealth (e.g. camouflage) and capable of rapid deployment sites, et cetera
NETIS’ target is to penetrate the fibre market very strongly. We have so far managed to build 750km of cable. Our target is to add at least 1,000km in the next two years with the capability to manage the fibre projects as a complete turnkey solution.
TowerXchange: What do you think is NETIS’ biggest strength in relation to its competitors in the market?
Michael Shehata, Maintenance Director, NETIS:
Amongst other factors I think NETIS’ greatest strengths are defining the strategic objective and the flexibility of following the customer philosophy and strategy.
Key strengths:
Defining the strategic objective: The strategic objective is the single, specific objective that will drive the business over the next few years. It is based on the maxim, “If you don’t know where you are going, any road will get you there.” It is not to be confused with the company’s mission, vision or values, which are not useful as strategic goals.
Flexibility of following the customer philosophy and strategy: NETIS’ strategy is always flexible to meet the customer targets and philosophy, NETIS’ team is always developing themselves to understand the market changes and pursue the up to date technology in the market.
Qualified and professional crew: NETIS’ policy has always been to choose the most competent crew to deliver the purposed service from the customer.
Process driven: Processes were developed for all activities in O&M and implemented with the key of improving and maintaining operational support at all times.
Operational support: NETIS’ strategy in terms of support has been a priority and forward support to operations was created by developing regional offices with Logistics Officers, Administrators, SHERQ Officers and warehouses in each region. This gives the field teams the time to concentrate on their core business (operations) whilst the support from the back office is maintained 24/7 (which is controlled by the head office).
Sustainability and sustainable: Business change isn’t always predictable especially in the telecom market, trends comes along that can make or break everyone. Sustainability is the capacity for humans to endure given the growth rate of population and economic activity.
Capital: NETIS Capital investments can represent a sustainable competitive solution if you own unique capital that no one else can buy.
NETIS will be exhibiting at the TowerXchange Meetup Africa & Middle East being held on 3-4 October 2017 at the Sandton Convention Centre, Johannesburg. For more information, please click here.
