In our interview with KTİMB President Cafer Gürcafer, we acquired detailed information about the STAGEM project and stages that will further advance the construction sector in our country.

Could you provide detailed information about your new initiative 'guarantorship' that will support Northern Cyprus construction companies?

STAGEM primarily aims to strengthen and stabilize the construction sector while also ensuring consumer protection through its "guarantorship" project. The project we aim to implement is already in use worldwide. The purpose is to assure the delivery of houses by construction companies on time and with the promised quality. In other words, one of the main goals of the project is to distinguish reliable and solid companies from unreliable ones, so to speak, separating the "good apples" from the bad ones. The goal here is to increase and support the auditing of currently operating companies.

In summary, our aim with this project is to promote institutionalization, provide consumer trust, and prevent the disruption of corporate structures of companies. Although it is a project that is long overdue, we are making solid progress, and we plan to implement it within 6 months.

Let's face it, there are both corporate and non-corporate companies in this sector. While there are many reliable companies, unreliable ones can also enter this system. What we are trying to create here is a serious selection system. If you want to operate in this sector, you must be monitored by an authority and comply with the necessary rules. This way, we can prevent unfair competition. While we have many corporate companies, we can also prevent those who want to make a quick profit and leave without a corporate structure. In conclusion, this system aims to ensure the continued operation of safe companies and prevent malicious individuals from entering the industry.

WHAT IS STAGEM?

STAGEM is an organization within KTİMB that focuses on developing sector-specific standards, providing support to its members during this process, and managing the audit and certification processes within these standards. Its primary goal is to enhance the competitiveness of KTİMB member companies operating in the construction sector, improve their operational capabilities to meet certain standards, and ultimately raise the quality of products and services in the industry while strengthening the sector's brand image.

Could you elaborate on the formation of STAGEM?

Between 2003 and 2007, there was a construction boom in Northern Cyprus. We know that unreliable companies faced difficulties during that period and caused problems for consumers. Many companies went bankrupt during that time. We have learned our lessons from that period. Therefore, we have created a comprehensive project that will address shortcomings and fill gaps. The STAGEM project emerged from a need, primarily to prevent victimization. Not only that, but it also has a structure that will empower you. We have created such a great project from these two points.

Could you provide information about how STAGEM operates and the advantages it offers to KTIMB member construction companies?

We will conduct regular and continuous inspections to determine if the company in question has sufficient financial resources for their project, if they are on schedule, and if they are delivering the promised quality. With these processes, buyers will not have concerns about the quality and progress of their projects and can wait with confidence.

In our opinion, companies that do not have this certificate are not sufficiently institutionalized and cannot handle this business. Obtaining the certificate will not be the end of the process. They must maintain the certificate conditions through regular inspections. While STAGEM protects consumer rights and strengthens the marketing strategies of companies, there will be no unfinished projects for any project included in this application.

What are the goals and objectives behind the establishment of KTİ-Koop Ltd - Cyprus Turkish Construction Cooperative Ltd. within the framework of KTİMB?

The cooperative has several objectives. The first goal is to create a collective power. In other words, all members of the union will become shareholders in the cooperative. The cooperative will serve as an intermediary institution that resolves emerging issues and fulfills social responsibilities rather than competing with contractors. One of these institutions is STAGEM, which will conduct structural integrity inspections. The second goal is urban transformation. In some areas, unplanned and irregular constructions have occurred. For example, public housing is one of these irregular constructions. There are both legal and structural problems. With the cooperative, we can transform a visually and structurally deteriorated building into one suitable for the city without pursuing profit. At the same time, we can prevent individuals from suffering losses and fulfill our social responsibility. We aim to address an issue that we believe is lacking in our country through the cooperative.

Companies aiming to obtain the 'Corporate Competency Certificate' to enable KTİMB to act as a guarantor within KTİ-Koop Ltd need to follow certain steps. What are the requirements for companies seeking to obtain this certificate?

After becoming members of the Contractors Union, contractors will undergo an education process. The education process has already begun. Subsequently, there will be a certification process with services obtained from an internationally recognized organization, classified as silver, gold, and platinum. The international recognition of the certificate is important to us. The mentioned certificate will be provided by an internationally accredited and independent auditing organization under the management of the Standard Development and Audit Center (STAGEM), which is another component of the project and is established within KTİMB.

The standards developed for evaluating the corporate competencies of companies operating in the sector are grouped into six main categories: Financial Management, Business Management, Material and Equipment Management, Project Management, Customer Management, and Sustainability. Each group has its own subcategories, and there are separate criteria for each of these subcategories.

What are the advantages that businesses can gain from having the Corporate Competency Certificate?

Certified companies will be insured by the Contractors Union, and their guarantees will be provided. When you buy a property from certified companies, both the Contractors Union insurance and the organization will guarantee that the property will be completed in the promised time and quality. This will create a significant distinction between companies that are not covered by this system. In other words, once this system is implemented, our expectation is that consumers will begin to inquire, and companies that are not under inspection will enter the inspection process. Thanks to this application, which protects consumer rights, companies under the guarantee of the Contractors Union will be preferred more, which will be highly beneficial for our companies.

What kind of support does KTİMB provide to companies to help them improve their practices in the post-audit process?

During the training process, companies with deficiencies will be given a specific period to complete them. Companies that address their deficiencies will go through the certification process again.

Benefits and advantages of Corporate Competency Certification include:

• Corporate & Technical Capacity Increase Productivity Increase
• Planned & Systematic Processes
• Ease of Adaptation to Change
• Sustainable Improvement
• Increased Employee Motivation
• Effective Risk Management
• Increase in Product & Service Quality
• Faster and More Efficient Resource Utilization
• Competitive Advantage
• New Markets
• Institutionalization
• Increased Customer Satisfaction
• Trust
• Prestige

What contributions do you anticipate your project will make to the country and construction companies?

Build-and-sell projects are quite popular today. In this regard, we are in serious competition with countries such as Spain, Italy, France, South Cyprus, and Turkey. Success in this competition and gaining an advantage can be achieved through STAGEM

“Although we are an unrecognized country, I believe that with this project, we will be several steps ahead of many recognized countries. With this project, we will easily enter the ranks of the most stable countries in the world.”