A Catalyst For Rebuilding Libya

Prepared for
The Honourable Prime Minister of Libya & Chairman , LIA
April 2013
Zia Q Qureshi, Chairman & Chief Executive, Catalyst
While many experts can claim technical expertise,

not many have the hands-on, on-the-ground
experience in Libya that is essential in avoiding
pitfalls and mistakes.
We have learned the lessons in Libya the hard way
and have undertaken a great deal of work that
gave us unique insights to the challenges facing
Libya.
This document provides a birds eye view of some
of our efforts.
Email: qureshiz@bizcatalyst.com Mobile: +61 406 123 447
2
Implementing the foundations of economic and business development in new Libya
Catalyst is honoured to present this document to the new Libyan Government It was our unique approach of only using highly experienced management and
to assist Libya in achieving rapid economic and social development. Libya is industry experts that resulted in our selection to transform some of the Libyan
capable of fast tracking its development through international collaboration institutions to a world class standard and it was our honesty and integrity that
and leveraging capabilities of people and organisations who not only have the resulted in our problems with the previous regime.
expertise but also an in-depth understanding and knowledge of the Libyan
As this document highlights, through selected examples, we have undertaken
business environment and the unique challenges it presents.
a great deal of development work that is ready for implementation. We also
While many experts can claim technical expertise, not many have the hands- understand clearly that in undertaking the implementation, one of the most
on, on-the-ground experience that is essential in avoiding pitfalls and important objectives is the knowledge transfer to the Libyan people on a fast-
mistakes. We have learned the lessons in Libya the hard way and have track basis along with creating Libyan owned and operated professional
undertaken a great deal of work that gave us unique insights into the Libyan services businesses. Such factors are critical for ongoing development to
challenges; the good and bad aspects of business practices, how to avoid a reduce reliance on outside parties and to enable Libyans with the right
false sense of comfort that things are changing when they are not, and most decision making capabilities and controlling their own destiny.
importantly, what it will take to achieve success.
We support the new Libya and believe that through our hard work, lessons
This document highlights the insights and work of the Catalyst Group based learned through hardship suffered and our investment to date in improving
on our experience through hands-on consulting, management and advisory Libya, we are a stakeholder in new Libyas success. All this combined with
work in Libya since 2008. Due to our work and presence becoming a big our credentials make us an ideal partner in change for you.
barrier to the previous regimes corrupt business practices, our work came to a
stand still some 6 months prior to the revolution. We suffered great hardship
at the hands of the previous regime but post revolution rolled up our sleeves to
assist the NTC through both formal and informal requests for assistance and
advice with a view to building a longer term relationship with Libya.
Zia Q Qureshi
Hence, we, an Australian originated Firm, and its partners in the MENA region
Chairman and Chief Executive
and internationally, have a unique understanding of Libya and the challenges Catalyst Managerial Group April 2013
it faces in achieving business and economic development.
3
Jim Warren, Operations Director, Catalyst
Libya has huge potential. It is a wealthy country,

not only because of its oil but its untapped human
and other natural resources and its strategic
positioning in the region.
I enjoyed working in Libya in many ways and we
welcome the opportunity to finish what we started
with our Libyan friends.
4
In 2011, the National Transitional Council (NTC) declared Libya to be officially
liberated and pledged to turn Libya into a pluralist, democratic state. A
transitional government took charge and had the challenge of imposing order,
disbanding the former rebel forces, rebuilding the economy, creating
functioning institutions and managing the pledged transition to democracy and
the rule of law.
Elections for a General National Congress were held in July 2012, the country's
first free national election in six decades. In August 2012, the NTC handed over
power to Libya's newly elected parliament, the General National Congress. The
congress appointed, Ali Ziedan, as the Prime Minister who formed an interim
government tasked with preparing the ground for a new constitution and fresh
parliamentary elections in 2013.
Simultaneously, a decade into the 21st century, the world has faced major
economic, social and environmental challenges. Libya is part of this story and
is forging a new future filled with hope, security and prosperity.
The road to stability, economic and social

development can only be achieved through
genuine international cooperation.
While the political challenges ahead are significant, Libya also needs to rethink
the management of its economy and growth platforms, especially of its energy
resources, to maximise the benefit to its citizens, reduce corruption, and enable
private enterprise to flourish in other areas. Libya needs sustained assistance,
to deal with the challenges of employment, infrastructure, health, education and
national development on a coordinated basis.
To achieve all this successfully, Libya needs to

urgently strengthen its management expertise and
governance framework that so badly lacks.
5
Summary of Catalyst work in Libya
1. National development and transformation, a roadmap

to sustained economic and social development 7
2. A strategic business plan for industry development and

value creation 19
3. Libyan Development & Management Corporation to

support economic and management development 32
4. Transformation of key industries 41
5. Turn-key utility-scale solar energy venture 50
6. A major IT services company to fast-track efficiencies

and kick start Libyas IT industry 57
6
Section 1
National Development and
Transformation
7
National Development and Transformation
1
The Catalyst Group has worked on-the-ground in Libya since 2008.
Over 20 experts in business and industry gained first-hand experience of the problems,
the weaknesses, the opportunities, what is practical to achieve and how to implement in Libya.
Catalyst has been engaging with Libya business and leaders in Nation
Building Initiatives. Some of the critical success factors for economic and
social development include:
Economic and Social Development planned and coordinated along the
World Economic Forums Global Competitiveness Index indicators
Drive the national development agenda through a National Development
Commission with international support and cooperation
National building programs and infrastructure development through
turn-key solution approaches with joint venture partners.
Youth engagement through - youth employment, sports programs,
improved health and education programs
SME stimulus, industry diversification and income equality
Grow national talent pool, improved and targeted education,
international management training and capability
Improved governance, government services, anti-corruption practices
and powers, international standards and best practice management
Stronger institutions judicial, regulatory, financial
Oil & Gas industry transformation, renewal energy opportunities
SWF and investment management practice improvement
Leverage business opportunities in Africa in a risk managed way
Section 1 8
1
1. National development and transformation
What does the World Economic Forum Global Competitiveness Report

say about Libya in plain and simple language.
ITS SERIOUS
Section 1 9
1
Corruption has the potential to continue to derail development efforts

this cancer had spread deeply and widely in many areas.
Section 1 10
1
A roadmap for sustained economic and social development
Section 1 11
1
NATIONAL DEVELOPMENT AND TRANSFORMATION
Section 1 12
1
Section 1 13
1
Section 1 14
1
Section 1 15
1
In a globalised world, Libya can make a quantum leap forward and fast track its
economic, social and people development.
Section 1 16
1
Section 1 17
1
Section 1 18
Section 2
A strategic business plan for
industry development and
value creation
19
A strategic business plan for industry
development and value creation 2
Transforming Libyan Institutions to a world-class Level.
Catalyst developed a model for the development of world-class organisations
in Libya that is ready for implementation.
Over 18 months, a multidisciplinary team of experts from Catalyst

developed a strategic business plan for transforming the Libya-
Africa Investment Portfolio (LAP) which included a comprehensive
industry investment and organisational development plan.
The team worked across all key industry sectors and engaged world
leading experts to advise on the strategies. The team consulted
with the World Leaders in Investment Industry to gain unique
insights for the benefit of Libya.
Catalyst gained first hand experience of the issues and practicalities

of implementing solutions and managing change in Libya. One of
the key gaps to address is the scarcity of world-class management
capability and international experience. Catalyst witnessed corrupt
and destructive practices, misplaced authority, underqualified
managers, the lack of governance and systems that led to disregard
for accountability and lost opportunities for value creation on a
mass scale.
Catalyst developed a model for the development of world-class

organisations investment organisations in Libya that is ready for
implementation.
Section 2 20
2
2. A strategic business plan for industry development
development and value creation
The LAP Case Study provides unique and really valuable insights.
The 5 key points highlighted on pages 1-2 of the plan sum up the challenges of
reforming Libyan institutions.
Section 2 21
2
Section 2 22
Section 2 23
Section 2 24
Section 2 25
2
Section 2 26
2
Section 2 27
2
Section 2 28
2
Section 2 29
2
Section 2 30
2
Section 2 31
Section 3
Developing large-scale new
businesses and industries
critical for Libyas development
32
3
Developing large-scale new businesses and
industries critical for Libyas development
Libyan Development and Management Corporation is a key example and a must project for supporting
business development as well as building the Libya management and business talent pool.
Libyan management capability needs development and

support. Government institutions and agencies have been
left behind in terms of adoption of international practices,
new technologies and internationally experienced people
are a scarce commodity.
Business throughout Libya need to be assisted with

improved access to affordable business support services in
order for business to interact globally.
Catalyst has developed and presented a plan to create a

industry development corporation in conjunction with
partners from the USA, India, UAE, Europe and Australia.
A large scale Libyan Industry Development and

Management Corporation will stimulate business
effectiveness, venture establishment, capital flow, industry
development and grow the critical management talent
pool.
Without a management talent pool, Libya will continue to

loose value of its assets.
Section 3 33
3
A Libyan Industry Development and Management Corporation will stimulate business effectiveness,
venture establishment, capital flow, industry development and grow the critical management talent pool.
Section 3 34
3
Section 3 35
3
A strategic business venture of critical national

importance
Core Business
Management , Accounting and
Business Consulting Services
Accounting
Management consulting
Corporate Advisory
IT
Legal etc
Knowledge Capture and Nation Building
Transfer Program
Inhouse Centres of Excellence Libyan National Business Capability
Development Development
Training Centre for staff &
Industry Best Practices, Oil & Gas, Management National Institute of Management
Finance & Investment, Telecom etc Corporation Institute of Company Directors
Government Best Practices CPA Program
IT / ERP SAP & Oracle Institute of Internal Audidtors
International Association of
Outsourcing Professional
High Value Creating
Initiatives
Subsidiary companies
Recruitment Company
International Alliance
Training Acadmey
Technololgy / Business Park
Development Project 10
Section 3 36
3
Section 3 37
3
Key services
Financial Accounting & auditing Services

Accounting ,
Tax Advisory Services
auditing & Tax
Forensics & Investigations
Business Establishment & Venture Development

Corporate
Transaction Services, Due Diligence, M&A, Capital Raising
Advisory
Restructure & Recovery
Strategy & Business Planning

Performance Improvement, Transformation
Management
Consulting Internal Audit & Risk Management, Continuity Management
Project Management
Service Lines
IT Strategy, Sourcing
IT Operations, Development, Support

ERP Implementation & Integration
Data Management, Security, Infrastructure
Search & Recruitment
Training &
Executive Development & Coaching
Development
Professional Training, Skills, Certifications
Corporate Counsel Services

Legal Business Sales/M&A, Commercial Contracts
18
Major Projects
Section 3 38
3
Section 3 39
industries critical for Libyas development 3
Section 3 40
Section 4
Transformation of key
industries
41
4
Transformation of key industries
Many government and business organisations need significant

improvement and modernisation to operate efficiently and
effectively.
Our work has shown that Libyan government and businesses
need assistance in upgrading business processes; IT systems;
management and governance; comprehensive business strategy;
effective risk management and audit capability; culture change
and capability development.
Oil & Gas

Energy, renewables, utilities
Infrastructure
Government
Telecom
Financial Services
Mining and resources
Tourism and Hospitality
IT, technology, research, media
Transport and Logistics
Education, Health
Agriculture, Food processing, Fisheries
Section 4 42
4
Transforming NOC into a world class organisation

an opportunity in the new era that has many pitfalls that need to be managed
Section 4 43
4
Transforming NOC into a world class organisation

an opportunity in the new era that has many pitfalls that need to be managed
Section 4 44
4
All investment organisations need to be transformed and restructured with clear governance and
management policy framework, internal control, transparency, accountability, anti-corruption and real
expertise or a Goldman Sachs type disaster would continue to result. The much controversial Goldman
Sachs loss of nearly 1 billion dollar investment is symptomatic of the poor state of affairs of Libyan
investment organisations and lack of depth of expertise. You cant blame others for your own incapability.
Section 4 45
4
Section 4 46
4
Section 4 47
4
Section 4 48
4
Section 4 49
Section 5
Turn-key utility-scale Solar
Energy venture
50
5
Turn-key utility-scale Solar Energy venture
The Catalyst Group identified the critical need for

electricity security in Libya and across North Africa. Cities
often suffer from blackouts and remote locales are poorly
served where the costs of transmission infrastructure
cannot be cost justified despite the damaging effect on
peoples lives and the economic development. Solar
energy is the ideal solution which has widespread
government and community support.
In conjunction with Catalyst partners, including a power

company and Pacific Power Limited, an Australian
company providing management skills and systems to the
electricity industry, a plan was developed with key people
to form a company that would build, own, operate and in
cases, transfer solar generating electricity capability. The
company would be formed as a Libyan joint venture,
PacficSolar Africa.
An extensive project was undertaken, with detailed plans,

the appointment of corporate and financial advisors and
the production of Information Memoranda.
The following pages in this section are extracts from the

Information Memorandum released in December 2010 a
month before the uprising leading to the revolution of
2011. The project has been kept on hold since.
Section 5 51
5
Section 5 52
5
Section 5 53
5
A turn-key solution with rapid energy producing capability, world-class consortium partners, leading
practice public-private partnership model for independent power production.
Section 5 54
5
Extensive solar solution capability based on partnership with one of

the worlds largest power companies.
Section 5 55
5
Highly qualified, world-class experts to establish operations

and drive management team development.
Section 5 56
Section 6
A major IT services company
to kick start Libyas IT industry
57
6
9. A strategic
2. major IT services
businesscompany
plan for industry development
A major IT services company to
kick start Libyas IT industry
Catalyst developed the concept to harness and fast-track a full service IT services company. It would be
established as a Libyan company with Libyan resources and run like a major IT outsourcing firm that
would provide a whole-of-government IT services solution as well as specialise in and cater for the IT
needs of the oil & gas sectors.
In Libya, the chronic lack of IT infrastructure, commercial grade solutions,

adoption, CIO expertise and skilled project experience is a major
impediment to business exchange and government service provision.
Government organisations are over employed with either unqualified

people, or people without opportunity to apply their qualifications. IT
services are hopelessly thin and resources are wastefully duplicated.
The company would be set up to develop people with the right IT skills
needed throughout Libya. Catalyst attempted to help LAP drive this through
$50m cash investment made into a company incorporated for this purpose,
LAPTech. Unfortunately, corrupt practices and incompetence squashed the
concept. However, this is ready to go venture is of critical importance to
the development of the IT industry in Libya.
Key members of Catalyst have been involved in some of the worlds largest
IT outsourcing contracts and management programs, such as the
Commonwealth Bank of Australia with EDS.
Section 6 58
6
5. A strategic
9.
businesscompany
Section 6 59
6
5. A strategic
9.
businesscompany
Section 6 60
6
5. A strategic
9.
businesscompany
Section 6 61
6
5. A strategic
9.
businesscompany
Section 6 62
Contributing to global sovereign wealth fund
management best practices & enabling Libya to gain
valuable knowledge
63

A Catalyst For Rebuilding Libya

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Prepared for

The Honourable Prime Minister of Libya & Chairman , LIA

While many experts can claim technical expertise,

Email: qureshiz@bizcatalyst.com Mobile: +61 406 123 447

Libya has huge potential. It is a wealthy country,

The road to stability, economic and social

To achieve all this successfully, Libya needs to

1. National development and transformation, a roadmap

2. A strategic business plan for industry development and

3. Libyan Development & Management Corporation to

4. Transformation of key industries 41

5. Turn-key utility-scale solar energy venture 50

6. A major IT services company to fast-track efficiencies

What does the World Economic Forum Global Competitiveness Report

Corruption has the potential to continue to derail development efforts

A roadmap for sustained economic and social development

Over 18 months, a multidisciplinary team of experts from Catalyst

Catalyst gained first hand experience of the issues and practicalities

Catalyst developed a model for the development of world-class

Libyan management capability needs development and

Business throughout Libya need to be assisted with

Catalyst has developed and presented a plan to create a

A large scale Libyan Industry Development and

Without a management talent pool, Libya will continue to

A strategic business venture of critical national

Financial Accounting & auditing Services

Business Establishment & Venture Development

Strategy & Business Planning

IT Operations, Development, Support

Corporate Counsel Services

Many government and business organisations need significant

Oil & Gas

Transforming NOC into a world class organisation

Transforming NOC into a world class organisation

The Catalyst Group identified the critical need for

In conjunction with Catalyst partners, including a power

An extensive project was undertaken, with detailed plans,

The following pages in this section are extracts from the

Extensive solar solution capability based on partnership with one of

Highly qualified, world-class experts to establish operations

In Libya, the chronic lack of IT infrastructure, commercial grade solutions,

Government organisations are over employed with either unqualified

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