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Innovation i tech High

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WHITE PAPER ON UAE's STATE OF MANUFACTURING<br />

machine inelegance, remote<br />

monitoring and IOT will<br />

bring the process very close<br />

to perfection. According<br />

to Mr. Khafaili, the digital<br />

<strong>tech</strong>nologies would without<br />

a doubt have direct impact<br />

on business profitability as<br />

the return of investment can<br />

be fully optimized to suit the<br />

investors priorities, like more<br />

outcome focus, quality focus,<br />

energy optimization focus<br />

etc.<br />

Digitization for sure has<br />

already streamlined<br />

operations in the<br />

manufacturing sector,<br />

Information systems<br />

are prominent in<br />

all companies now<br />

which allows for<br />

tracking, reporting<br />

and identifying errors<br />

within operations.<br />

This further enables<br />

manufacturing<br />

companies to<br />

focus on their core<br />

competencies.<br />

Needless to say,<br />

digitization also allows<br />

better flow planning<br />

of raw materials that<br />

are procured from<br />

suppliers and efficient<br />

manufacturing<br />

scheduling,<br />

Overall, these improvements<br />

have led to better<br />

manufacturing output, less<br />

production cost and more<br />

satisfied customers.<br />

UAE, interestingly, is one of<br />

the first adapting countries<br />

in the region to artificial<br />

intelligence. Recently,<br />

HH Sheikh Mohammad<br />

Bin Rashid Al Maktoum<br />

announced the first minister<br />

of its kind for AI with a clear<br />

strategic vision on how UAE<br />

would rely on AI during the<br />

coming years.<br />

Delighted at this move,<br />

Mr. Omar says: “With<br />

systematic and structural<br />

adaptations of AI in the<br />

UAE, the manufacturing<br />

industry will see huge cost<br />

savings in the near future, as<br />

adopting AI will streamline<br />

operations from transport to<br />

manufacture, enhance the<br />

already excellent paperless<br />

environment the UAE enjoys<br />

and I wouldn’t be surprised<br />

if I see many manufacturing<br />

companies adopt driverless<br />

cars, industrial AI robotics in<br />

the near future.”<br />

In terms of the challenges,<br />

Mr. Khafaili explains how<br />

one of the major drivers<br />

of digital transformation is<br />

global coverage which is<br />

directly related to developing<br />

a network of manufacturing<br />

through different locations/<br />

countries and most of the<br />

international manufacturers are<br />

benefiting from the <strong>tech</strong>nology<br />

enabler there. It can become<br />

a big economic driver for large<br />

companies (more competitive<br />

cost positions and much bigger<br />

market penetrations through<br />

good brand positioning). But<br />

this can also pose a major<br />

challenge for our regional small<br />

to mid-size manufacturing<br />

companies who may not open<br />

their minds quick enough to<br />

these disruptive <strong>tech</strong>nological<br />

changes.<br />

“Indeed, this <strong>tech</strong>nology will<br />

provide wide enablers for<br />

these SME’s but their flexibility<br />

and adaptability towards the<br />

new <strong>tech</strong>nology and business<br />

models will be a key success<br />

factor for them," concludes<br />

Mr. Khafaili.<br />

INNOVATIONANDTECH<br />

January | 2018<br />

27

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