Professional Documents
Culture Documents
2007
Southern African Institute of Steel Construction
CONTENTS
Chairmans Report 3
Finance 6
Activities 7
Market Development 7
Engineering 8
Education 10
Membership 11
Committees 14
SAISC Membership 18
SASFA Membership 23
The year under review was again marked by high levels of New challenges in the form of foreign participation in South
activity in the SAISC as outlined in Hennie de Clercqs report. African projects like the stadiums have to be considered.
His leadership and enthusiasm is an important ingredient in Indications are that South African companies are in some
the ongoing successes of the Institute: the new issue of the instances participating in a meaningful manner and that
Red Book has been sold out, the introduction and promotion good sense prevailed. This is going to present some of the
of steel framed housing is a reality, the annual awards func- biggest challenges in the near future.
tions were attended by a record number of participants, the
quality of the Institutes magazine is receiving international It is my view that this is a good time for steelwork contractors
recognition and each of the working Committees is active and for those who supply products or services to the industry
and adding value to the industry. Well done! to enhance their capacity, just like the mills are doing. We
know that many contractors have already responded by
The Institutes 50 year celebrations in 2006 is still followed by installing new equipment, employing staff and training, and
some of the best times the steel industry has ever experienced. we believe there is still more scope.
The last two years have been almost unbelievable in terms of
the demand for steel and especially the demand for structural A time of exceptional demand is also a time to grow market
steel. It is particularly noticeable that structural steel is used in a share. The Institute should not relax its promotional activities
very broad-based range of projects, resulting from a high level during this period, and everybody else in the broader steel
of activity in the building cycle. Virtually none of the power sta- construction industry should also pursue projects including
tions, stadiums, railway expansions or other major projects that those where the client and design team may have other
are being planned forms part of this boom. This implies that the materials in mind, with more aggression.
steel construction industry can look forward to an extended
period of prosperity even if the economy cools down, lasting I want to thank and congratulate the staff of the SAISC with
beyond 2010 and based on these major projects. what they have done and achieved again this year.
The world of business is constantly changing and any continuing to do so. The statistics at our disposal are very
organisation that hopes to be successful in this world needs to scant, but we judge that by the end of this year the
be constantly aware of the trends and forces that shape its capacity of the steel construction industry in South Africa
environment, and respond to these as effectively as it can. This will have doubled from its levels of before 2005. Increases
applies to the Southern African Institute of Steel Construction in the prices of erected steelwork have yielded the profit
as much as it does to any other organisation, and it also applies levels to enable companies to invest in new capacity.
to the steel construction industry in general. K Manpower and skills shortages, long predicted, but not
addressed because it was difficult to prepare for a scenario
In our view the most fundamental trend we need to take note that nobody really believed in, started to become quite
of is that the demand for structural steelwork has been at acute on the artisan, management and technical levels.
historically high levels this past year, while there are many This affected not only the industry, but also client bodies.
reasons to believe that strong demand will persist for at least This caused projects to come off the line slower than they
another five years. Several times during recent years we were might have, thus saving the industry some embarrassment
warned to meet thy boom but invariably the good times did and hopefully having the effect of spreading the project
not materialise and the extremely slack demand of the past more evenly over a longer period.
two decades just continued. Now, however, not only has the
K Stresses did however start showing. For example the
market for structural steel become feverishly hot, but the
sometimes suspect quality of the documentation that
whole industry seems to have become convinced that the
steelwork contractors receive to work with, often coupled
good times will last.
with greater urgency to proceed with construction that has
not yet been fully planned and designed.
Among the consequences of the strong market conditions and
the industrys belief in the future the following can be listed: K Until now, only a few contracts in South Africa have been
awarded to overseas contractors. Among the reasons for
K Companies in the industry have already installed a this may be that our market, even in its very hot state, is
considerable amount of additional capacity, and they are still regarded as rather small in a world of strong demand
for structural steel, and that our steelwork contractors are
actually very effective in handling projects that are not
completely designed. We are concerned, nevertheless, that
some of the large projects being planned will attract very
serious competition from abroad.
The annual accounts for the financial year starting 1 July 2006
and ending 30 June 2007 are presented in another report and so INCOME BY SOURCE
are not repeated in this report save to say that the SAISC, SASFA
and ISF all ran on the basis of income exceeding expenditure. 41% SAISI
8% SAISC membership
This could be interpreted that we are under-spending and
15% Steel 50 / Awards
could indicate that we are able to finance more resources.
8% Bookshop sales
However, there are several factors that have made the Institutes 6% SAISC courses
management team tread carefully in how to spend these 6% Steel Construction
resources. 5% SASFA membership
4% SASFA events
3% Draughtsmen / CETA
Taking into account the additional funding the SAISC received
3% Misc
from ArcelorMittal South Africa and Highveld Steel and Vanadium
through the good offices of the SA Iron and Steel Institute, the
increased subscriptions from members and increased internally
generated funds, we hope that it is abundantly clear from what
you read in this report that the activities of the Institute have EXPENSES
already been seriously stepped up and we truly believe that the
investment you are making in the institute is reaping major 33% Salaries
20% Steel 50 / Awards
returns in terms of the output and benefits you all receive from
15% Education
our activities. The pie charts show the composition of our fund-
10% PR, marketing golf day
ing sources and how the money has been spent. 6% Courses and events
5% Steel Construction
The difficult cash flow period that we experienced during the 4% Admin, bank etc.
Steel 50 conference and the 25th Steel Awards (until all the cash 2% Rent
2% Membership fees
generated was collected) prompted the Board to instruct us to try
2% IT and equipment
to put together a nest egg upon which we can rely in the
1% Publications
future, should the need ever occur. We are pleased to report that
considerable progress has been made in this regard and we are
confident that in the future we should be able to weather the
proverbial storms. This type of fund will certainly help to bridge
the considerable printing costs of the various publications
planned for the next six or so months and to enable us to meet
the SAISC commitment to the draughting schools finances with-
out affecting our normal day to day cash requirements.
MARKET DEVELOPMENT Steel Awards proved to be as successful this year as in the past,
both as a competition and as an event. Celebrating excellence
Over the past year we recognised that the steel construction
and bringing people together is what Steel Awards is all about,
industry as a whole has become immensely busy, and that for the
and it has achieved a status as the premier event on the South
moment, there were other issues that have become more
African steel industrys annual calendar. There is no better
important than getting work for the industry. Nevertheless, a lot
showcase for what this industry can achieve, and almost 900
of work was done under the heading market development, and
people gathered simultaneously in Durban and Johannesburg for
much thought was given to what the task of the Committee was
the function. The event in Johannesburg is worth mentioning
and how it should discharge its responsibilities. Such thinking led
because a live performance of the acclaimed Lippizaner horses
to the writing of a new market development plan, which is
made it quite exceptional.
currently being implemented.
Steel Awards was but one of the Institutes events that enabled
An important part of the implementation of the marketing plan
members, clients, the professions and others to rub shoulders
is the development of a communications strategy. The Institute is
and discuss common interests. Other examples of such events
as much a communications institution as it is anything else, and
were the golf days held in KwaZulu Natal and Gauteng and
how we communicate what with whom is of fundamental
several breakfast meetings during which prominent speakers
importance to our success.
addressed audiences on issues of particular interest to the
industry.
Also flowing from the market development plan is the need for
the Institute to be more active in lobbying. We are eager to clarify
The Institutes journal, Steel Construction, remains our primary
that we do not see lobbying as simply the action of influencing
medium of communication. During the year the journal
decision makers (sometimes by dubious means) to favour us over
continued to grow in stature and we received many accolades
others, but rather as building a strong case for making our
from near and far. Alongside the journal stands the SAISC website
industry an even better positive force in the country. This includes
www.saisc.co.za, which continues to attract many visitors. We
collaborating with others to find the best way of unlocking the
also enjoy a sustained stream of publicity in a wide spread of
potential of the industry. In pursuit of this objective we have
appointed Kobus de Beer, a highly regarded and accomplished
member of our industry, on a part-time basis to our staff with
lobbying, in the broader sense, as his sole responsibility. It comes
naturally to his task that he would also get involved in issues such
as black economic empowerment.
Every August over the past 10 years the Institute has sponsored
the visit of a prominent overseas architect to this country to
address audiences consisting primarily of architects, and to
speak at the annual conference of the South African Institute of
Architects. This year the visitor was Michiel Cohen of the Dutch
firm Cepezed, winner of the International Iron and Steel
Institutes competition for architects for the design of
steelframed houses, among many other awards. Michiel
proved to be an exceptionally good choice as he is not only a
fountain of originality, but also a source of brilliant ideas for
using steel effectively in architecture a true inspiration to
architects.
environmentally sustainable thanks to its recyclability and the fact These tolerances were unacceptably large, causing concern
that for most applications only a few kilograms are required among members of the Engineering Committee about the
compared to other materials. As we learn more about steel, how inadequate strength of tubes falling at the bottom end of the
to use it effectively and how to bring its attributes to the range of permissible thicknesses. A process of mediation between
attention of all, it will become even better recognised as a the tube producing companies led to a resolution of the problem
to the benefit of all.
sustainable material.
We continue to be involved in a variety of projects of the South shortage of skills in the industry, is the training of structural steel
African Bureau of Standards, and the Executive Director of the assemblers. These are people who can do the assembly of
Institute serves as chairman of the Bureaus Committee structural steel assemblies, such as trusses or plate girders, but do
overseeing all standards for metal structures. not have the full range of skills of a boilermaker. Our efforts to get
such a course off the ground were frustrated by the fact that
As a small, developing economy we need to be constantly in training material for boilermakers is not as readily available as we
contact with organisations abroad in order to remain up to date assumed. Consequently we have engaged in a process to develop
with the newest developments. During this year we received a such material and this process is unlikely to be complete before
number of experts from abroad, attended conferences and the end of 2007. This is the Institutes first foray into the field of
technical meetings in New Zealand, Australia and Europe and artisan training.
participated in international programmes for the development of
publications and in international discussions of issues and A draft Broad Based Black Economic Empowerment Charter was
problems. We are certainly regarded as significant participants on signed by the Institute, as well as most other representative
the international scene regarding steel construction technology. bodies in the construction industry, in March 2006. We geared
ourselves to promote the widespread implementation of the
Because of the wide scope of the Institutes activities and the Charter in the industry and to assist member companies in
large number of projects, we sometimes tend to experience achieving their BBBEE objectives. Unfortunately, the process the
welding. We have also, as in previous years, run Steel Enlightment activities. We can claim, however, that our membership
courses at several universities to give engineering or architecture represents the bulk of the fabricated steelwork produced in the
students exposure to steel production and fabrication. Outstanding country, because all of the larger companies are members, even
students in engineering received prizes from the Institute. though we dont encompass the majority of companies.
The number of students studying with SAISC bursaries has been The Institute is constantly thinking about how to be of value not
reduced to two, in response to some external factors and the only to big companies, but also to small ones. In pursuit of this
need to increase the size of our bursaries. We remain satisfied, objective we have not only had many discussions with people
however, that the students who receive bursaries are of a high from across the industry, but have also started to move further
calibre and we ensure that they spend the time prescribed in afield to recruit new members.
their bursary contracts, working in the field of steel design after
graduation. Many previous bursars have already reached senior The membership statistics of the Institute changed in that both
positions in industry. the number of steelwork contractors and the number of
individual members increased by 10% this year. New individuals
Prof. Ted Galambos of the University of Minnesota visited South typically come to the Institute unsolicited, but steelwork
Africa during the year to participate in post graduate courses in contractors need to be approached with strong motivations.
A reconnaissance visit to China occurred early in 2007. The Excursions aimed at power generation, transmission and
delegation, led by ISF Director Neels van Niekerk, was met interconnects, included in the first instance, a visit to the
with a great deal of friendliness and openness. China proved to African Development Bank in Tunis, and secondly, participation
be even more amazing than expected, also from the point of in the East African Power Convention in Ethiopia. This is a field
view of steel construction. We can hardly ignore the Chinese. in which the opportunities are huge.
Ferro Eleganza (Pty) Ltd Representative: David Marie Geo Stott & Co (Pty) Ltd
Representative: Chris Narbonees P O Box 2476, MECC, Representative: Dennis Dedwith
P O Box 470, Silverton, 0127 Mount Edgecombe, 4300 P O Box 43134, Industria, 2042
Tel: (012) 803 8035 Fax: (012) 803 5645 Tel: (031) 507 5696 Fax: (031) 507 5698 Tel: (011) 474 9150 Fax: (011) 474 8267
General Profiling (Pty) Ltd Macsteel Trading (Pty) Ltd (Durban) Global Roofing Solutions (Pty) Ltd
Representative: Gavin Poplak Representative: Paul Simpson Representative: Johan van der Westhuizen
P O Box 471, Crown Mines, 2025 P O Box 1757, Durban, 4000 P O Box 6461, Dunswart, 1508
Tel: (011) 839 2917 Fax: (011) 837 1617 Tel: (031) 913 2600 Fax: (031) 902 2345 Tel: (011) 898 2902 Fax: (011) 892 1455