In 2003, Caltech Trading Corp. was founded in New Jersey, USA, and incorporated in 2004 in the State of NJ by its founding memeber Mr. Mohammed Shamsur Rahman (Sam). Although Mr. Mohammed Shamsur Rahman (Sam) is an Electrical Engineer by profession, but he was involved in business since his High School time. In 2005, the company announced its first management plan and in response to its expanding organizations and businesses, introduced its Business Division System with a new theme: “Driven to Create Value.” This plan introduced an aggressive new blueprint for growth, involving an expansion of the company’s value chains, a strengthening of its profitability, and focused strategies to create new businesses. The same year, the Business Unit (BU) System was introduced to the Business Groups, which clarified the strategic mission of each of their Business Units, the smallest units for organizational control and earnings management. Meanwhile, a new standard, CTCVA (Caltech Trading Corp. Value Added), was adopted to make performance evaluation more relevant, and the company’s business portfolio was reshaped to allocate management resources more appropriately. In 2006, “INNOVATION 2008” was unveiled. This new management plan sought to establish CTC as a “New Industry Innovator,” with an aim to open up a new era and grow hand in hand with society. In 2008, CTC newly established the Business Innovation Group and Industrial Finance, Logistics & Development Group. Later that year, CTC announced its latest management plan, “INNOVATION 2010”. In April 2009, CTC systematically reorganized the Business Innovation Group and established its Corporate Development Section.
Medium Term Management Plan “INNOVATION 2010 – Opening Up A New Era”
CTC’s aim is to contribute to the continuous advancement of society while sustaining the company’s growth and rising consolidated corporate value as a global business enterprise. In April 2008, CTC announced its new medium term management plan, designed to help achieve this aim: “INNOVATION 2010”. This plan covers the two-year period from April 2008 through March 2010.However, in September 2008, the US financial crisis touched off a global economic recession, which has radically altered the external business environment. For the time being, CTC’s priority will be to maintain the company’s financial soundness, and INNOVATION 2010 has been revised accordingly.
Amidst this drastically changing business environment, CTC is intensifying its “Select & Focus” approach, while concurrently strengthening corporate development functions in order to swiftly pick up on new business opportunities. CTC has established four Corporate Development areas: Business Sector Development, Functional Development, Customer Relationship Development, and Regional Development. Some fields CTC will be concentrating on in Business Sector Development include new energy, the environment, water, and others that can expect growth over the medium – to – long term, and that could evolve into next generation pillars for CTC. In Functional Development, further commitments will be made to IT services, which will play a significant role in bolstering CTC’s companywide functions. In Regional Development, the focus will be on infrastructure projects, which present some promising business opportunities around the world. In Customer Relationship Development, CTC recognizes the increasing importance of maintaining close connections in all business sectors amidst ongoing reorganizations in industry.In Business Sector Development and Functional Development, CTC is formulating medium-to-long term strategies by leveraging the know-how of four committees: the IT Management Committee, the Energy & Natural Resources Committee, the Food & Agricultural Resources Committee, and the Consumer Market Strategies Committee. Each of these committees comprises functions and expertise from all of CTC’s Business Groups. Business development divisions in IT services, new energy, and environmental and water fields also been established.
Corporate Development Section
The Corporate Development Section is comprised of the IT Planning Department, which is responsible for measures to disseminate information companywide, the IT Services Development Division, the New Energy Development Division, and the Environmental & Water Business Development Division.
IT Services Development Division: The IT Services Development Division is looking to promote a comprehensive range of IT services, including consulting, systems integration, and outsourcing functions. It will ensure these activities help to raise the corporate value of its customers’ operations.
New Energy Development Division: CTC is determined to rejuvenate the natural environment and find solutions to environmental problems through its ventures in new and alternative energies. The New Energy Development Division will dedicate itself to this goal, and to identifying new business fields for CTC in the energy business. In 2010, CTC signed 15 year Power Purchase Agreement with Bangladesh Government for 108 MW Power Supply.
Environmental & Water Business Development Division: The mission of the Environmental & Water Business Development Division is to offer effective solutions to many of the environmental problems facing the world. As such, this division will play a leading role in CTC’s environmental business.
Since the onset of the financial crisis in September 2008, the business environment has been in an almost constant state of upheaval. Recognizing how increasingly important it is to have an accurate grasp of the situation from one region to the next, and to exercise the utmost discretion in all of its business decisions, CTC has introduced new structure to promote global strategy. This went into effect on June 1, 2009.The new structure is headed by EVP, Global Strategy, and acts as a comprehensive base for all related functions and operations. Meanwhile, CTC’s overseas regions have been reclassified according to four geographic areas: Americas, Europe-CIS, Middle East & Africa, China, and Asia & Oceania. To each of these areas has been appointed a Regional CEO who has overall authority and responsibility for operations within the area. The Regional CEOs coordinate activities between the area’s CTC offices, formulate ways to optimize the area’s activities on a consolidated basis, and support the measures devised and executed by EVP, Global Strategy.Under the new structure, a Chief Regional Officer (CRO) will be appointed to each of Latin America, Middle East, and Africa. Each CRO will be responsible for duties assigned by the Regional CEO in charge of that area.
Middle East: Besides developing and trading energy resources, we continue to engage in petrochemical, chemical fertilizer and other businesses. With countries in the Middle East introducing new energies as part of their national strategies, we also see opportunities in the infrastructure and environmental businesses.
Africa: In addition to developing commercial transactions in general merchandise, foods, chemical raw materials and other products, we are active in infrastructure development, which will be essential to regional growth. We are also focusing on projects that may come to fruition in the future with an eye on securing metals and energy resources. Aiming to better coexist with local communities, we are also making considerable contributions to activities that help build a more sustainable society.
North America: The U.S. has slipped into recession due to the financial crisis that began in September 2008. However, the Obama Administration has moved to rebuild the country, centered on initiatives in the environment and new energy fields. While establishing a firmer footing in existing businesses, we will focus on developing businesses in anticipation of changes in the structure of U.S. industry going forward.
Latin America: Latin America is blessed with an abundance of metals and energy resources, as well as food resources. As a result, its presence is rising as a region for supplying the world with natural resources. Besides continuing to unearth business opportunities in these existing fields, we plan to focus on new energy; environment and water-related businesses as well as other activities that help create a sustainable society in the region.
Europe & CIS: In Western Europe, CTC is maintaining and strengthening its core businesses in metals, machinery, chemicals, living essentials and other areas. In Central & Eastern Europe, Turkey, Russia, the Ukraine and elsewhere, meanwhile, we are working hard to discover and develop new projects, besides our regular trading operations. Key fields we are concentrating on include solar, wind, and other renewable energy.
China: CTC is expanding transactions in growing domestic markets in China, exporting competitive Chinese-made products and engaging in other activities in China in cooperation with leading companies. We are aiming to create businesses in a verity of fields, such as infrastructure, where the Chinese Government has been focused, as well as medicine, education, the environment, energy conservation and the service industry.
Asia & Oceania: Despite the difficult economic environment, we are working to promote infrastructure projects, as well as businesses that target domestic demand in the region, which are relatively strong and still growing. At the same time, we continue to develop the resource and energy fields and are strengthening our hand in the environment and new energy, agriculture and other new fields, laying the foundations for future growth. Ongoing efforts to bolster partnerships with important customers are another aspect of our strategy in the region.