Singapore Technologies Electronics (www.stee.stengg.com) delivers innovative e-Government and e-Enterprise solutions worldwide. It specialises in purpose-built advanced electronics and infocomm systems such as satellite communication, intelligent rail and traffic management systems, homeland security, modelling and simulation, and interactive digital media and animation products.

The company has a presence in more than 18 countries and markets its solutions to over 70 countries worldwide. Within the Middle East, it has branch offices in Dubai (United Arab Emirates or UAE), Doha (Qatar) and Riyadh (Saudi Arabia). ST Electronics' President, Mr Seah Moon Ming, tells iN.SG about the company's inroads into the region.

When did ST Electronics venture into the Middle East market and why?
ST Electronics' business activities in the Gulf Cooperation Council (GCC) started more than five years ago with the delivery of infosecurity and VSAT solutions to the region in 2002. This is an exciting growth market. The Middle East started to look east in the early part of this decade as it is diversifying from its oil industry base to broaden development in other parts of the economy. ST Electronics has the systems and products to help build the intelligent infrastructure which they need to do this. This presents an attractive business opportunity for us and we expect to secure more new projects in the years to come.

Mr Seah: People on the ground have to work hard to understand local best practices and rules.

What role can IDA play in supporting companies like ST Electronics in your business activities in the region?
The Singapore Government and its agencies including IDA are well respected in the Middle East. IDA can provide great help as a point of first contact for relevant business opportunities. We have benefited from our participation in IDA-organised activities and trade missions for overseas exposure. IDA has also invited ST Electronics to host visiting missions from GCC countries where they see a fit in business and needs.

The launch of the Infocomm Singapore brand has also positioned the Republic's products well in the eyes of overseas customers. The good standing of Singapore companies overseas is in no small part due to the efforts of organisations such as IDA in actively positioning Singapore-based companies to the Governments in the various regions.

How different is the Middle East from Singapore and other markets that you have ventured into?
The Governments of the various countries in the Middle East have initiated economic and other reforms since the start of this decade, albeit at different development stages since they started at different times and their baselines were different.

As Singaporeans working in a foreign land with different cultures, it is necessary to understand the local culture, learn and adapt ourselves to the way they conduct their business and to understand their history. The Middle East is quite a diverse area made up of different countries with different business environments at different stages of development, so to succeed one must understand, respect and learn how best to deal with all these differences.

What are some of the major achievements of your Middle East office to date?
We started from a relatively small base and have now a reasonable volume of business in the GCC. In 2006, we enjoyed the highest growth in sales there. For 2007 and 2008, we clinched new orders with aggregate dollar value greater than all the orders combined over the previous five years.

Our projects in the region include equipping an air control tower in the UAE with an Integrated Control System, providing the total design, supply and implementation of an Integrated Security System for the Dubai Festival City, developing an Intelligent Transport Management and Security System in Saudi Arabia, and providing an advanced Taxi Despatch and Management System in Sharjah, UAE. During the SARS crisis in 2003, we also shipped more than 10 units of the award-winning Infrared Fever Screening System to the region. To date, we have secured contracts worth more than S$220 million in the Middle East and we are actively pursuing business opportunities in all six states in the GCC.

What are some of the key learning points that you can share with other Singapore infocomm companies venturing into the region?
Our experience in going into different markets is that at the macro level the strategies are similar (for example, build relationships and leverage on the in-depth local knowledge of in-country partners). The differences lie at the micro level where people on the ground have to work hard to understand local best practices and rules and separate the myths from the facts, and of course offer the best solutions to meet the customers' needs.