01. What are your company’s key strengths – and weaknesses, if any?

A defining strength of Mackwoods lies in its 167 year old heritage which reflects stability, integrity and resilience in the face of adversity, underpinned by a consistent strategy of selective diversification within our domain areas of expertise, our continuous drive towards expansion of international trade, and pursuit of value creation and innovation-led growth, thereby ensuring our long term sustainability.

In addition, I feel that Mackwoods epitomizes an unique Corporate model of positive growth spanning the 19th, 20th and 21st centuries, and is today a conglomerate of several companies engaged in key sectors of the Sri Lankan economy, namely Healthcare (Pharmaceuticals, Medical Equipment, Scientific & Lab Equipment); Agribusiness and Plantations (Tea, Rubber and Oil Palm); ICT Education and Software Development; Imports and Exports; Industrial Machinery and Equipment; Industrial Chemicals; Energy Sector; Leisure Sector; and Manufacturing Sector. We provide employment to nearly 9500 individuals, and manage a land base of over 27,000 acres.

Being a family owned company, Mackwoods has been led by successive generations who have all been professionals in their own right, and have consistently preserved the principles and family values of the Group. This is also borne out by the commitment and dedication of our employees at all levels, who have played a pivotal role in our progress.

However, in the context of today’s competitive globalized environment, developing economies such as ours are very much affected by global issues. A particular challenge is the current financial turmoil emanating from the rapidly escalating oil and food prices. Further challenges we face as a Corporate, are the adverse effects of domestic macroeconomic factors, including high inflation, interest rates, cost of utilities and operating costs, and cyclical trading patterns. At the same time there is a compelling need to evolve a transformative and inclusive peace process, if we are to develop a conducive environment which will enable all communities in Sri Lanka to reap the dividends of economic growth.

02. How have these key elements generally impacted on your company’s performance over the period under review?

The key elements I have just mentioned have enabled the group to mitigate risk and broadbase our revenue and profit streams, enabling us to deliver a reasonable performance, notwithstanding the challenging business environment over this period.

03. How would you assess your company’s specific performance in terms of goals set and targets achieved?

The business model adopted by Mackwoods of a diversified and balanced portfolio has contributed to most sectors within the Group achieving progress against key performance indicators, including growth targets, contributing to consolidating our core businesses and laying a platform for sustaining future growth. For example Agalawatte Plantations PLC, the quoted company within the Group, achieved a record performance, with the highest ever turnover and profit in its history.

Our strategy of selective diversification-lead growth aimed at further broadbasing our revenue and profit streams and integration along the value chain, saw considerable progress with our re-entry to the leisure sector, and successful value creation and international brand building initiatives undertaken during the year.

04. How would you assess existing as well as potential market opportunities? What threats, if any, do you perceive for your company and your sector?

In today’s context of globalization, a myriad of opportunities exist in the global marketplace. The task throughout all our sectors, however, is to focus and leverage on our core competencies; to always seek to create value in every business and with each employee; to drive business through technology and innovation; and to constantly pursue competitive advantage.

05. What achievements has your company enjoyed in the year under review? What accolades has it received?

In the year under review, we continued to achieve benchmarks of excellence, both local and International, but where we derive greater satisfaction is in the knowledge that our activities have had a positive impact on the lives of our people.

06. What impact will the inclusion of your company among the MOST RESPECTED have on your future business prospects?

Inclusion in LMD, being a Corporate magazine with a broad reach, will provide exposure and raise awareness of our corporate philosophy, strengths and strategy, and serve as a reference point for the future.

07. What are your company’s plans for the future?

Our strategy will continue to be one of continuous development and consolidation of our core business through commitment to quality, productivity improvement and fiscal prudence, while concurrently pursuing diversification initiatives which will create value for our stakeholders and society.

08. What type of CSR activities has your company engaged in recently, and how do you think this may have impacted on how your company is perceived?

We pride ourselves in the fact that the Mackwoods Group formalized our Corporate philanthropy by establishing a charitable fund-the Mendis-Mackwoods Charity Fund,- over 25 years ago, long before the concept of CSR became a corporate imperative. This fund was the initiative of my grandfather, the late Mr. N.S.O. Mendis, with a focus on the upliftment of the poor and marginalized at grassroots level in society. This work was significantly expanded by my mother, the late Mrs. Sriyani Nonis, who was deeply committed to social and welfare initiatives, and my sisters and I have further established the “Sriyani Nonis Charitable Trust” in her memory.

Recognizing the imperative of bridging the urban-rural divide, our rural IT and English literacy centers in partnership with the Mackwoods Research Foundation, enable our communities to harness the benefits of a knowledge economy. Our JV Palm Oil Mill serves as a good example of the use of a biomass-fuelled energy system from agricultural waste as a sustainable means of addressing energy supply issues. In addition, our forest management serves to maintain the CO2 sequestration capacity of the biodiverse ecosystems within our plantations. Our microfinance initiatives and key social healthcare and education initiatives all make a contribution towards the achievement of Millennium Development Goals.

09. Brief CV of the Chairman

Dr. Chris Nonis B.Sc (Hons.) ( London), M.B.B.S. ( London), M.R.C.P. (UK ) , Chairman of the Mackwoods Group of Companies, was first appointed to the Board of a Mackwoods Group company in 1983. He qualified in London, with a First Class Honours B.Sc. from Imperial College of Science, Technology and Medicine, having obtained the H.A.F. Dudley prize for the best overall performance in the B.Sc; obtained his M.B.B.S. from the Royal Free Hospital Medical School, University of London, having spent his electives at Massachusetts General Hospital, Harvard Medical School, Boston, USA. He carried out his postgraduate training at Royal Brompton, the Hammersmith, and Addenbrooke’s Hospital, Cambridge, and obtained his M.R.C.P. (U.K.).

He is a Director of the National Enterprise Development Authority (NEDA); serves on the Council of the University of Moratuwa; the E-Society Focus Group Committee of the ICT Agency of Sri Lanka (ICTA); the ICT Steering Committee of the Ceylon Chamber of Commerce; Advisory Committee on Peace & Reconciliation; the Country Coordinating Mechanism for Sri Lanka of the Global Fund; Committee Member of the Sri Lanka – China Business Council; Sri Lanka – Malaysia Business Council, and Chairman of the Advisory Committee on Spices & Allied Products of the Export Development Board.

Internationally, Dr. Chris Nonis is Vice-Chairman and Trustee of the Royal Commonwealth Society Headquarters in London; a member of the Institute of Directors, London; President of the India Life Sciences Institute – Sri Lanka Committee; a Member of the Royal College of Physicians, UK; has been an advisor to the World Health Organization, Geneva, and is a Fellow of the Royal Society of Medicine, London.