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Businessman Wong Teek Son has at all times been enthusiastic about the interactions between atoms that produce diverse states of count and chemical substances.
His love for this department of natural science spurred him to become a chemist and laid the basis for the creation of Singapore-listed glove brand Riverstone Holdings a long time later.
"Chemistry became my accepted area in school - I enjoyed experimenting with materials to provide chemical reactions and create new compounds," talked about Mr Wong, fifty four, who became born in Malaysia's Cameron Highlands hill station.
The Bachelor of Science with honours graduate from the school of Malaya labored as a analysis and construction chemist in an organization providing cleanroom items before establishing his personal enterprise within the late Eighties.
His sole proprietorship - based mostly in Selangor, Malaysia - supplied glove chlorination, laundry and packaging capabilities to glove makers. In 1990, in conjunction with companion Lee Wai Keong, he shaped Riverstone components to focal point on the manufacture of cleanroom natural rubber and nitrile gloves using superior creation options.
"I certainly not deliberate to go into business. The probability presented itself only because the business I worked for shut down, and we have been capable of use their construction traces," he mentioned.
competition within the trade, youngsters, changed into extreme. there have been as a minimum 300 glove factories in Malaysia. Most found it challenging to live to tell the tale and many closed down. "We realised we crucial to deliver a provider to our purchasers," mentioned Mr Wong, who also holds a master's diploma in enterprise administration from Monash institution.
given that 1994, Riverstone elements has pioneered the manufacture of gloves using nitrile latex in Malaysia, added on-line glove chlorination know-how and developed nitrile finger cots the usage of its personal proprietary construction approach.
"Nitrile generates a really low static can charge and has first rate dissipative properties, but plastic, which is an insulator, has excessive static discharge. So, purchasers all started soliciting for nitrile gloves," he stated.
Nitrile, an artificial rubber, is protected for those allergic to latex and is immune to a big range of chemical substances. Nitrile disposable gloves are essentially the most durable in the marketplace.
For Mr Wong, formulating the chlorination procedure - treating newly shaped gloves with chlorine to keep away from adhesion on the construction line - changed into an extra milestone.
This tradition of regular innovation is the linchpin of Riverstone, which boasts a 20-powerful R&D and technical group and an annual output of billion gloves. It has two factories in Malaysia, one in Thailand and a fourth in Wuxi, China, with a total of forty creation lines.
It has launched into a 5-stage capability growth approach on its 12ha web page in Taiping, in Perak state, between 2014 and 2018.
under the third part, total annual output is expected to upward push to billion gloves through the conclusion of the September quarter. It aims to enhance complete output by way of a billion gloves at the conclusion of each expects to complete the fifth stage of its Taiping growth plan via 2018.
To insulate revenues, Riverstone diverse into healthcare gloves. while cleanroom gloves command improved margins, demand for healthcare gloves is more resilient. Pharmacies, hospitals and clinics continue to use gloves even in a downturn, mentioned Mr Wong.
Riverstone, which listed on the leading board of Singapore alternate in 2006, has a market capitalisation of about $780 million. It became the most efficient performer among the many 29 part shares in the SGX All Healthcare Index last year, chalking up a complete return of 151 per cent closing year and 472 per cent over the last three years. This compares with the normal total return of per cent for the 29 index constituents during the past yr.
CAPPING costs, BOOSTING MARGINS
Margin drive is a continuing within the trade, Mr Wong said. Riverstone will curtail prices by increasing automation, streamlining production processes and enhancing economies of scale.
Its new offerings include gloves with lower floor resistance, which allows the electrostatic charge to be dissipated without harmful delicate device or ingredients worried within the manufacturing technique. Riverstone also offers nitrile gloves with a reduce electrostatic discharge voltage than these available in the market.
Customisation is one other approach. "Given our bendy machinery and huge journey, we're able to give bespoke products to satisfy client wants in the shortest possible time," he talked about.
The enterprise is also broadening its consumer base. With tough disk drives becoming a sunset trade, it's presenting gloves to different sectors within the know-how sector, corresponding to photo voltaic, battery and flat-panel screen makers.
looking ahead, the community expects better earnings from its US-based healthcare valued clientele this year. "North the usa will be the market so that it will enjoy the strongest increase this year," he stated.
The proportion of revenue from healthcare gloves is rising as demand from the pharmaceutical and scientific sectors outpaces that of the electronics business.
Healthcare gloves are anticipated to contribute greater than 50 per cent of normal revenues, with cleanroom accounting for under half, compared with a 50:50 break up in the economic year ended Dec 31, 2014.
Mr Wong spoke of: "Our priority is to allocate production capability for cleanroom gloves, given their higher selling expenses and margins in comparison with healthcare gloves, and we're in a position to achieve this because our creation lines are interchangeable."
don't fret, BE positive
outdoor of labor, Mr Wong enjoys walking and ferrying his son, 15, and daughter, sixteen, to and from their lessons courses and additional-curricular eldest in a household of 4 brothers and 5 sisters, he tries to instil the values of optimism and hard work in his toddlers.
Mr Wong, who misses the rolling tea plantations and cool climate of Cameron Highlands, returns to his home town a few times a yr to seize up with childhood associates and basketball teammates. a number of these teammates at the moment are his colleagues in Riverstone, dealing with operations ranging from advertising and marketing to human components and construction. An MBA classmate also runs Riverstone's Thai operations.
What weighs on Mr Wong's mind, youngsters, is Riverstone's succession plan. "many of the management and senior positions are held by chums - they have a extremely powerful experience of loyalty and dedication to the business, and are in the older age group of 40 to 50 years ancient," he mentioned.
"The query is: Can the more youthful generation continue this subculture in the business? it's an unknown, and remains to be viewed."