Daily Times

It is not a story of gloom and doom all the way. Despite slowdown and several negative economic indicators, Pakistani business has some bright spots. Entrepreneurship and foresight are leading the way for some of the best booming industries and businesses.

I call it a word of cheer. And, we as a nation need a lot of it. But, I must say, when businesses are coughing up big profits, corporate social responsibility requires taking care of the consumers too.

Pakistan’s fastest track businesses attained a whooping average growth of 81 percent over three years, spanning 2007-2009. Remember these were the years when the world underwent a financial crisis, and most countries were hit by various degrees of severity. Pakistani exports had stagnated and declined, forcing lower output of a range of industries and reduced business turnover for many others.

Despite all that doom and gloom, Pakistan’s Top-25, among others, showed not only resilience, but also posted big growth and profits. These companies are spread over high-tech business, telecommunications, textiles and agriculture.

This comes in ‘Pakistan Fast Growth-25’ part of ‘All-World Network’, which is operating in partnership with Harvard Business School led by Professor Michael Porter. The survey results were launched in Pakistan by JS Bank Limited this week.

The nomination partners for Pakistan-25 included the Federation of Pakistan Chambers of Commerce & Industry (FPCC&I), and Rawalpindi Chamber of Commerce & Industry among others.

Pakistan-25, as a group, broke All World records for high growth in eight nations located in South Asia, Middle East and Africa. These companies posted 81 percent annual growth during the three-year span of 2007 to 2009. The companies had an average employment of 400 individuals each. Since their establishment, these companies have generated a total of 12,000 jobs, according to the survey. The business leaders have an average age of 41 years. Some of the entrepreneurs are founders of other companies too. Several of the companies are serving both the domestic, as well as foreign markets.

Finance Minister Hafeez Shaikh says, “The power of the Pakistan Top-25 will discover new horizons for growth to quicken the pace of economic development, and to be a catalyst for transparency and progress.”

Mr Kalimur Rehman, President JS Bank, has a word of praise for the Top-25. “The results, despite all odds, project the force and the sheer passion of their vibrant leaders. At JS Bank, we have always supported entrepreneurs and have taken initiatives that create a friendly environment within the entrepreneurship space. We are pleased to see our partnership with All World bring to frontline such amazing success stories of these compelling entrepreneurs.”

Others, too, are all praise for the Top-25 leadership. Malik Ahmad Jalal, Pakistan Director for All World says, “Pakistani entrepreneurs have flourished in spite of some of the most restricting economic and security environments in the world. These dynamic men and women are a great resource and the best bet for Pakistan’s future.”

The survey is based on information from businesses in August last when all companies, across the country, were invited to apply for the ranking. Some 100 companies applied for a ranking in the Top-25. “Only the fastest growing private companies make the list. Each company is credentialed by All World, based on strenuous international standards,” a survey official says. Thirty companies were credentialed for the survey.

Twenty-four companies, older than three years, made the ranking. Six “younger companies” moved to the listing of ‘Companies to Watch’. Of the 30 companies that made Pakistan-25, Lahore had the largest number with 12, followed by 10 located in Karachi. The top three companies were founded by three friends from a university and a Pakistani-American from the Silicon Valley.

Leading Pakistan-25 as number one is Exceed (Pvt) Ltd of Islamabad, with a revenue growth rate of 1,350, repeat 1,350 percent between 2007 and 2009, the ranking shows. Sardar Hayat Mohammad Khan Mandokhel founded the company in 2004, at age 24 years. It is primarily a construction company, best known for Saidpur Model Village, Islamabad, that Exceed restored as an 18th century city-museum. Mr Mandokhel is the youngest entrepreneur on Pakistan-25. NayaTel, founded in 2004, has 500 employees, and ranks second on the list. NayaTel launched South Asia’s first-fiber-to-the-home (FTTH) network in Islamabad in 2006. Arpatech, (Advanced Research Projects & Technologies) ranked third, was also founded in 2004 by Pakistani-American Jamal Khan who studied in the US and worked for five years with a leading Silicon Valley technology company. Employing 70 persons in Pakistan, it is “one of the most successful software houses serving companies all over the world. Its services range from application development to network security,” the survey says.

What problems does Pakistan-25 face as a group? “The group’s number one constraint is finding qualified mangers and employees,” — the same as growing countries across the globe face. “Government and red tape is the second major constraint to growth,” the survey reports.

But the group, and other entrepreneurs, have a good future in front of them. “The Pakistan-25 companies, led by dynamic men and women, represent the leading edge of a new approach to Pakistan’s competitiveness,” Professor Porter says. And, they have a future.

The writer is an Islamabad-based journalist and former Director General of APP