Jawaher Al Hadid is a fabricator and trader of steel rebars in Riyadh. They are based in Al Sulay, south of Riyadh, where they have their warehouse and fabrication facilities. Jawaher purchases steel rebars in large volumes from major manufacturers such as Modern Steel, Sabic Steel, and Al Rajhi Steel. Then, they either…
In the latter case, they earn better margins as this allows them to add more value to the product.
Steel rebar prices are very volatile and vary with international market indexes. Given the variable nature of the commodity, Jawaher primarily sells on cash and avoids giving credit. This means their success depends on how frequently they can turn around their working capital and thereby:
Alternatively, another way for Jawaher to improve its margins was to sell more with the added service of cut & bend. However, this meant increasing their facility’s capacity which needed a big lumpsum investment for:
Modern Factory, a major manufacturer of steel and a Buildnow partner vendor, reached out with an introduction to Jawaher Al Hadid. Buildnow’s team worked to thoroughly understand their problem and come up with a full solution. Buildnow offered Jawaher:
The solution enabled Jawaher to:
Buildnow's approach of thoroughly understanding Jawaher's problem and providing a comprehensive solution that ensures long-term success was highly appreciated by their CEO, Mr. Talal Al Shammari. In his words, "Buildnow took the time to understand our business and the potential at hand, and furnished a solution that not only provides a significant boost in the short term but also establishes a strong foundation for long-term success."
