By Ruvini Jayasinghe
Entrepreneurship manifests itself in many diverse ways. While best known examples of ultimate global success by entrepreneurs are probably from the IT industry, with the men behind Microsoft – Bill Gates, Apple – (the late) Steve Jobs and Facebook – Mark Zuckerberg etc achieving international fame. In Sri Lanka too, business icons in leisure and hospitality, food, apparel and other manufacturing and service industries have achieved their success through sheer entrepreneurship.
Among them is a man who paved his way to market leadership with his core industry and chose the correct path to the top of his current success as one of the country’s leading manufacturers of concrete products and landscape specialists.
Wherever you tread in the city of Colombo and its outskirts, or in one of the other major city centres like the Galle Fort, or Kandy, SMS Holdings are likely to have paved the way for a smoother and convenient walkways and pavements for pedestrians. Since their modest beginnings in 2001, in a span of 20 years, SMS Holdings Pvt Ltd. holds a leadership position as Sri Lanka’s largest manufacturer and supplier of paving bricks and cement base products.
BMD spoke with Mr. Shehan Seneviratne, Chairman, Managing Director, SMS Holdings, a multiple award winner of national entrepreneurship awards.
Excerpts from the interview:
Q: As a young entrepreneur what lead you to select pavement stones (paving) as your initial product?
Well I was looking for stones to pave the garden at my residence. I used the only product available at that time when the business was a monopoly.
When I made the decision to get into this product line it was not a smooth entry for me as a new manufacturer.
We began operations in 2001 with one machine and three employees. On the very first day, we faced problems as the first three stones we made broke. We persisted throughout the week although it was extremely demotivating with the same result. All our stones kept breaking!
Finally, with modifications to our technology, our mixture and methods, we were successful in making a proper product. And we haven’t looked back since then.
The very first project, the paving of the fuel station at the D.S. Senanayake junction, in Borealla to this day, 17 years later looks the same. It’s been ten years since we did the project at the Piliyandala and Pettah bus stands and I’m proud to say that they’re still the same, even without any maintenance!
Q: What were your next steps as an entrepreneur?
The presence of intricate pavement art runs far into the history of our country. During the Dutch period of rule in our country, the Fort and other areas built by them were embossed with pavements, and we walk on them even today.
When we entered the market in 2001, interlocking pavement stones were not a common sight in Sri Lanka. At the time, it was mostly imported from India at high cost making it affordable only in a very few places like fuel stations.
The beauty and diversity in the colours and shapes that we see today, were not available then. Once we began our production these stones started to appear all over the City, adding a new dimension and beautifying pavements, walking paths and public areas.
The year 2008 was a particularly memorable year for us, when two of our talented employees designed and invented an automated paving block machine, which to this day, we use with modifications and alignments to reflect certain technology improvements.
I’m proud to say that after all these years, watching this enterprise grow to where we are today, has been an incredible experience.
We’ve always had the need to manufacture a product that reflects international quality, which in turn, made us a sought-after supplier among our clients. Add to it our passion for new technology and great people to pioneer our vision, we’ve moulded a product and company culture that is able to keep up with the demands of our industry.
We have ensured quality standards for our product range and hold certifications including the SLS certificate, Solar Reflectance Index (SRI) measurements according to ASTM E1980 and Green Labelling System’s Environment Performance Criterion.
Q: The two decades from 2001 to 2020 has seen a huge leap in business growth and expansion. How did your entrepreneurship skills support this achievement?
Colombo City’s landscape is changing rapidly. We predicted an increased demand for our products from the city’s new developments and were ready for it. Our six facilities are currently running below capacity at about 60%, and we are ready to increase our production immediately to cater to this boom in the construction industry.
We are working with several new and big projects mainly the condominium market currently and while having recently completed other major projects like the landscaping and garden of the Shangri-La complex.
We also have an ongoing five to six-year project with the Colombo Port City where we have undertaken floor related work, including paving and landscaping in the initial phase of the project. It is too early to predict or comment on further work on the Port City in this initial phase and in later stages, but it is a strong possibility that we would continue work with this mega project.
Colombo is now rated the fastest developing city in South Asia and we are ready for this expansion and work with the support of the Urban Development Authority and the Megapolis Ministry.
Paving the city, beautifying it and landscaping is not a new business for us as we have undertaken major projects in the city to develop clean walkways and beautify the city with green landscaping. In fact, approximately 90% of the city development has been carried out by our company.
We have 15 acres in Ranala and Avisawella from where we source greenery and plants for our landscaping projects.
We work with the individual projects’ consultants and employ our own architects and landscape artist to create beautiful landscapes to suit the property and locations.
We have undertaken landscape projects in the Maldive Islands and are planning on beginning work on new properties on new island in the Maldives this year.
We recently launched a CSR project Haritha Wathkamak, an afforestation project by SMA Holdings, where we donate free tree saplings to every project we undertake to make the city more green and sustainable as it changes its landscape.
Q: What is your innovation for 2020?
We are in a very exciting pre-launch stage of our latest light weight product range which is tipped to revolutionize the construction industry.
The shift from limestone to burnt charcoal waste (Fly Ash) as the chief component for the product is predicted to have a huge impact on production cost and sustainability.
The Autoclaved Aerated Concrete blocks (AAC) and Expanded PolyStyrene (EPS) panels are light weight, non-toxic, with improved thermal efficiency, long lasting and eco-friendly. In addition to easy installation, they can be routed, sanded, or cut to size on site.
The new light weight products will be about 10 per cent of the weight of the existing products. Therefore, the standard cement block which weighs about 20 kilos will weight only two kilos with this new technology and raw materials. The structural cost of this light weight range will also reduce considerably by about 30 per cent. Due to the reusable ability of the product, construction wastes will also be eliminated.
The AAC product is highly suitable for high rise buildings, as it is fire resistant, with thermal and sound insulation and its light weight facilitates faster construction. The new product requires less plastering, and also saves on structural and foundation costs. In addition, it saves construction time due to high covering area and has low impact on environment as raw materials are reused.
The EPS (Expanded Polystyrene) concrete panel is a form of concrete known for its light weight made from cement and EPS, mostly used in the building and construction industry. EPS is an inert material that does not rot and does not provide nutritional benefits to vermin thereby preventing pest attacks like rats or termites. Its strength, durability and lightweight nature makes it a versatile and popular building product. Applications include insulated panel systems for walls, roofs and floors.
The product is waterproof and sound proof, light weight (600-800 kg/cum), with good absorption (about 2/3 of sound insulation than normal wall), good thermal insulation, fire resistant facilitates faster construction and is reusable. It can be made construction waste zero and be easily dismantled without breaking and damage. The product does not require plastering to its cover plates, making it energy saving by reducing time and raw material usage.
The standard AAC product comes as 600mm*200mm*100mm blocks while EPS is made in panels measuring 2400mm*600mm*75mm. The panel and block width can be varied according to application.
Q: What made you diversify into plantations and the leisure industry from your manufacturing base?
Our venture into plantations, mainly tea, rubber cinnamon and agarwood were influenced by a personal decision by me to move into a business close to nature, which could protect and enrich the environment and create sustainability through our venture.
Our modern cinnamon processing plant under construction in Eheliyagoda will be one of the country’s most modern state of the art factories equipped to process cinnamon exports from our 200-acre plantation.
We have also stepped into the leisure industry with Three beautiful villas Leaf Watagala and Leaf Olu Ella, Leaf Nuwara Eliya (Ftratford Cottage)
The five suite Leaf Watagala in Ruwanwella which accommodates 15 pax, is surrounded by a lush rubber plantation. The garden is beautifully landscaped and has a large swimming pool. The complete villa or individual rooms can be rented depending on requirement and availability.
Leaf Olu Ella in Yatiyanthota offers truly breathtaking views of the surrounding mountains and boasts its own hidden waterfall and outdoor BBQ and firepit. Olu Ella is a three 3-bedroom villa with attached bathrooms, and two chalets with a maximum capacity of 22 guests for overnight stays. An infinity pool overlooks a stunning 280-degree view of the mountain range. Olu Ella offers privacy and many other excursions all within the periphery of the estate.
Leaf Nuwara Eliya, Ftratford Cottage is an exclusive five-bedroomed villa with four en suite bathrooms, ideal for a cosy holiday in the cool climes of the hill station Nuwara Eliya. bmd
As Founder/Chairman & Managing Director , SMS Holdings Group of Companies, Mr. Shehan Seneviratne is also the head of the following companies in the Group; The Greenery Company (Pvt) Ltd. Black Diamond Security (Pvt) Ltd., SMS Plantations (Pvt) Ltd., SMS Plantations & Leisure (Pvt) Ltd., and SMS Realities (Pvt) Ltd.
Mr. Seneviratne has also served the country in the capacity of : Chairman – National Apprentice & Industrial Training Authority [NAITA] (June 2017 – May 2018), Board of Governor – Ocean University, Board of Governor – UNIVOTEC, Board Director – TVEC, Board Director – NHRDC, Board Director – VTA.
Mr. Seneviratne was also, Chairman /Managing Director -Ceylon Petroleum Storage Terminals Limited (January 2015 – May 2017), Board Director – Ceylon Petroleum Co-operation, Oct 2015 –May 2017, Board Director – Ceylon Petroleum Storage Terminals Limited Oct 2015 –May 2017.
He also held office in many CHAMBERS, ASSOCIATIONS & PROFESSIONAL BODIES
• Member of Chamber of Young Lankan Entrepreneurs (COYLE)
• The Ceylon National Chamber of Industries (CNCI)
• National Construction Association of Sri Lanka (NCASL) – Reg No. R5451
• Institute for Construction Training & Development (ICTAD) – Reg No. 9633 & 0169
• Ceylon Institute of Builders – Member No. 01212
BMD January