Victory lap

Motorsport in Malaysia has a rich and evolving history, with local enthusiasm for racing steadily growing over the decades.

From the early days of grassroots events at circuits like Shah Alam and Johor, Malaysia’s motorsport scene gained serious momentum in the 1990s with a wave of national development projects.

Among them was Sepang International Circuit, which has hosted international motorsport events ever since, including superbikes, touring cars and, until 2017, the Formula One PETRONAS Malaysian Grand Prix.

Despite Formula One’s departure, the roughly 5,544-kilometer circuit remains, alongside Kuala Lumpur International Airport, one of the biggest attractions in the state of Selangor. Today, MotoGP is the jewel in Sepang’s crown, and Sepang International Circuit CEO Azhan Shafriman Hanif says he’s doing everything he can to develop motorsport talent.

“I think it’s one of the things we’ve always done quite well,” Hanif tells The CEO Magazine. “We have a framework of talent development, particularly in the two-wheel segments, and we’ve managed to identify several talents who’ve gone on to MotoGP, the pinnacle of the sport.”

What’s good for the sport is good for its hosts, but Hanif says Sepang’s future isn’t limited purely to racing.

“We have a strategic road map aimed at expanding our portfolio beyond just what we’ve done in the past,” he reveals. “Our pillars are diversification, sustainability and digitalization.”

While Sepang’s obvious strength is motorsport, Hanif says the site has potential to expand in a number of unrelated directions.

“I want to look into lifestyle and entertainment, as well as meetings, incentives, conferences and exhibitions, thereby creating multiple revenue streams to expand our business,” he adds.

A trial by fire

A qualified mechanical engineer, Hanif’s career got a jump start when he joined PETRONAS Motorsports early on.

“I took care of the Mercedes-AMG Formula One team in terms of the contract and sponsorship, and that became my strength in motorsports,” he explains.

When then CEO Razlan Razali announced he was looking to end his tenure in 2020, Hanif stepped up. Once he got the job, there was a mixture of excitement and fear.

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“As a pavement specialist, we are privileged to be involved in Sepang International Circuit’s development and maintaining the track since inception.” – Takashi Iwakuma, Managing Director, NIPPON ROAD

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Coming into the role in the midst of the COVID-19 pandemic was a trial by fire for the new CEO.

“I thought, ‘OK, this is a new challenge,’” he recalls. “No events were allowed, but we needed an event to get the revenue going. It was a daunting experience.”

Under Hanif’s leadership, the Sepang team recalibrated its strategies and turned adversity into opportunity.

“We had to start thinking about things Sepang International Circuit had not done before, things beyond traditional motorsports,” he says. “And we’re still doing that today. It’s how we stay agile and well positioned to be more sustainable in terms of growth.”

Through negotiations with the neighboring airport, Sepang International Circuit has embarked on a plan to make the most of its 142 hectares of land.

“We only use 50 percent of that for the track and the facility,” Hanif says. “The bulk of the rest is used for parking during major events, but what we’d like to do is – with the help of investors – develop hotels and other attractions and unlock the greater value of that land.”

Investing in the future

Much like motorsport, the cultivation of the Sepang International Circuit space is a team effort. Hanif says his team is backed by an equally skilled team of vendors and contractors in its bid for success.

Of course, the upkeep of a world-class racing track is a little beyond mere maintenance, which is why the expanded team includes road experts like local construction firm Nippon Road.

“Last year we had to replace the 17-kilometer underground sewerage system beneath the track,” Hanif says of the unique challenges posed by Sepang International Circuit.

“We’re looking into more LED panels along the track, adding EV charging stations. And every time we engage in work, we ask how we can do it in a way that helps the environment.”

Sepang International Circuit also enjoys the support of the Ministry of Youth and Sports and the Ministry of Finance, which help make the track a top talent pool for the motorsport space, although Hanif says corporate investment would be a huge boost.

“We need to do more in terms of four wheels,” he says. “The MotoGP talent is there, though. We have two gems right now: Hakim Danish, who’s competing in the level just below the World Championships; and a young boy, Qabil Irfan, who’s competing in Spain. He’s just 13. We hope we can unearth more talents too.

“Ultimately, it’s about helping the community.”

Marshaling all these disparate elements into one focused victory lap is Hanif’s greatest challenge. As CEO, he may be alone in the driver’s seat, but he says his team and those who’ve come before have all helped to make Sepang International Circuit the icon it is today – and his time in the top job has helped his leadership skills to evolve.

“I was afraid of making decisions, that something might go wrong because of a choice I made,” he reflects.

“But just as a great leader has to be someone the team can trust and rely on, I feel it goes both ways: ‘I have your back, and you have mine as well.’”