With vision and a lot of determination, the Zamil family went into the air-conditioning business in the mid-1970s at a time when infrastructure building and industrial development was gathering pace in Saudi Arabia.

The business of manufacturing and supplying air conditioners had great potential in the context of the Arabian Gulf’s long and steamy summers. Still, such a venture needed consummate organisational and management skills, worker expertise and a progressive outlook, not to speak of the special touch from the founding members, to make it a strong and profitable venture.
Now 30 years on, the company is celebrating a well-deserved anniversary.
The regional air-conditioning industry has never been the same since the hectic days of 1975 when the company launched production in the name of Arabian Refrigeration Industry. It later changed its name to Zamil Air Conditioners (ZAC) and today it strides the field like a colossus.
Ahmed Abdulla Al Zamil, president of ZAC, had trained professionally in Bahrain in 1971 and assumed responsibility for Zamil Aluminium in Saudi Arabia. He joined the team in 1974 as the air-conditioning business was launched.  
Recalling those early days, Al Zamil says the family started preparations in 1974 to establish Arabian Refrigeration Industry with his brother Khalid and eldest brother Mohammed, currently chairman of Zamil Group. “I remember very well the pioneering team – Robert Butler, Shahid Latif, Jamal Saleh, Hashim Bunyan, Mohan Kumar, Mohammed El-Ashqar and a few others,’’ he says. ‘‘Our vision was clear, at least with regard to the importance and viability of this industry in the kingdom of Saudi Arabia. We also had the will and ambition to transform Zamil Air Conditioners, as it became known later, into a leading international company.”
The company started operations under licence from Friedrich of San Antonio, Texas, with a modest production of 15 units per day.
Last year ZAC’s annual tally came to half a million room air conditioners and split units! Along the way, the company acquired European firms Geoclima and Climatech, established a world-class Air Conditioning Technology Centre and initiated the Original Equipment Manufacturing Programme, which produces branded ACs for international companies.
Al Zamil justifiably describes the annual production of half a million room air conditioners and split units as a major landmark.
“Now we are capable of producing a complete unit in as little as thirty seconds,” he notes. “I am particularly fond of this achievement and the transformation at every level in our organisation. I feel like a proud father having seen his infant grow to become a productive young man contributing to the betterment of his community and country.”
Commenting on the anniversary, he says: “I am extremely proud of this tremendous accomplishment, especially since I was one of the founding members. I am also pleased that I contributed to and witnessed the transformation and growth of ZAC over 30 years.”
For a company that has traversed that many years, there will doubtlessly be special achievements and fond memories.  “There are numerous occasions in our 30-year history that I am proud of,” says Al Zamil. “I enumerate a few that come to mind, like the establishment of our Air Conditioning Technology Center (ATC). It is one of the most sophisticated and important labs in the Middle East, supporting the launch of many new products and new technologies that received several international recognitions and certifications.
“The Original Equipment Manufacturing (OEM) programme is yet another shining testimony to our manufacturing capabilities and the quality of our products. Under this programme we produce branded air conditioners for GE, Sanyo, Friedrich, Trane, Supra and others.
“I should also mention the many awards won by ZAC, including the Gulf ‘Brand of the Decade’ given to ‘Cooline’. Another major accomplishment is our successful presence in international markets, which is supported by our strategic acquisition of Geoclima in Italy and Clima Tech in Austria.
“As far as the social aspect is concerned, I am immensely proud of the Saudisation initiative we launched in the 1980s. That was quite a challenge for us.”
With all those accomplishments, it would be interesting to know what Al Zamil’s thoughts were in the mid-1970s when Arabian Refrigeration Company was formed and being nurtured.
He responds saying that although there were great ambitions there was also awareness of the difficulties ahead. He also gives an insight into what it took to reach the top. “We were very sincere and diligent in our pursuit of excellence and to improve the quality of our products to meet our expectations as well as the requirements of the local market.
“The successive initiatives we deployed aimed to establish a balance in the development of our engineering, production, technologies and marketing capabilities.”
Al Zamil also noted that sustained growth in turnover and profit over the years took into account the expectations of partners and shareholders. “We have achieved a lot in years past. We remain committed to doing more in the future to further strengthen our leading position in this industry in the region and on the international scene,” he observes.
The president attributes success mainly to strong support from the board of directors of ZIIC (Zamil Industrial Investment Company), which comprises the Zamil family’s air-conditioning, glass and steel manufacturing businesses, and “our continued endeavour to maintain our excellent reputation,” which he describes as the principal core values behind the success. “We are grateful for the loyalty and dedication of our managers, engineers and the entire workforce at ZAC. They have all contributed in their own way toward this tremendous achievement,” he adds.
The question arises – where does the company go from here? Where does Al Zamil visualise ZAC to be in, say, five years?
Says the founder: “Early indications for this year point to excellent results in performance and sales, compared to the results for the same period last year. We aim to be the most productive sector business in ZIIC.
“As for my assessment and expectations for the next five years, I anticipate that demand for room air conditioners will level off despite the demography of our region. On the other hand demand for mini-split systems will increase steadily in the years to come in the local and international markets.
“The expansion in our production facilities will ultimately enhance our manufacturing capabilities in all of our production lines.”
Easily, one of the most important developments impending is Saudi Arabia’s accession to the World Trade Organisation (WTO), a prospect that does not frighten Al Zamil.
Joining the WTO will necessitate a serious review of the culture, philosophy and the way the company conducts business in the new environment, he says.  “I can state with certainty that all ZIIC sector businesses are well equipped to engage themselves in the WTO. We are well prepared. We have the business know-how to operate in international markets and we definitely have the quality products to support us. The active presence of our products in over 75 international markets and our strategic alliances will give us a clear edge in this respect.”
From a few employees at the time it commenced operations, ZAC now has more than 2,100 staff on its rolls. A number of employees have moved on to hold prominent positions in international companies, a development that elicits the response from Al Zamil that ZAC contributed to their professional success. The president considers human resources vital for the company’s well being and welcomes suggestions and dialogue with “everyone in our organisation” for achieving positive changes.
He is a strong advocate of nationalisation of employment and ZAC has particularly been successful in the Saudisation of jobs, boasting a muster of more than 650 Saudis in various positions as various sites.
“The Saudisation initiative was definitely one of the most difficult and challenging situations facing ZAC,” Al Zamil says. “Amid the rapid transformation of our society, industrialisation was a new phenomenon to us. We had the conviction that we must tackle this issue in a very positive manner to be able to attract young Saudis, train them, offer them good career opportunities at all levels and retain them.
“Our genuine interest meant we had to engage in this task taking into consideration the social and strategic implications.
“Looking back, this proved to be a good philosophy and a sound business decision.”
On the logic of Saudisation, Al Zamil says a skilled and productive local workforce is certainly to the advantage of the company, fulfilling at the same time a social responsibility towards the community.
“It was an expensive option for us,” he recalls, “given the high rate of attrition and replacement and the deployment cost of ongoing training programmes. We succeeded to a large extent in promoting amongst our youth a culture of self discipline and pursuit of self fulfillment, as well as affirming the belief that every individual is capable of positive change in society.”
 His message to young Saudis is  “have patience at work, always engage in sincere self-appraisal, continuously work on improving your skills and be ready to take advantage of future opportunities as they arise.”