How industrial service providers can support the UAE's manufacturing agenda

To ensure the sector's growth and development, businesses must concentrate on sustaining operations and minimising downtime

The UAE plans to boost the economic contribution of the industrial sector. Rich-Joseph Facun / The National

The UAE's industrial strategy, Operation 300bn, is a testament to the nation's commitment to creating a sustainable future for generations to come.

With the aim of doubling the industrial sector's gross domestic product contribution from Dh133 billion ($36 billion) to an impressive Dh300 billion by 2031, this objective is set to stimulate growth and development across key industrial sectors of the UAE.

Diverse industries such as aviation, renewable energy, health care and waste management have been at the forefront of the nation's transformation.

From pioneering space missions to ground-breaking hydrogen production, the nation has firmly established itself as a centre of industrial excellence.

But as the UAE’s growth accelerates, manufacturers, infrastructure developers and operators face a critical juncture that demands the attention of industrial decision makers and more involvement from industrial service companies.

For our industrial sector's continued growth and development, businesses must concentrate on sustaining operations and minimising downtime.

This can be achieved through reliable industrial service providers whose technical expertise allows them to handle engineering and operational maintenance complexities.

By doing so, industrial companies can better position themselves to compete globally, adopt innovation and capitalise on the UAE’s favourable regulatory environment and state-of-the-art infrastructure that is integrated with global supply chains.

Furthermore, the strategic location of the UAE adds another layer of advantage. Situated at the crossroads of Asia, Africa and Europe, the UAE serves as a gateway for trade and commerce.

With 85 per cent of the world's population living within an eight-hour flying time from the Middle East, the UAE becomes an even more attractive destination for businesses seeking easy access to vast markets and international connections.

Additionally, it is projected that the Middle East will contribute to 70 per cent of the world's economic growth over the next two decades. This makes the UAE an ideal location for industrial companies looking to tap into the region's tremendous potential and secure their position in the global economy.

We recognise the importance for industry leaders to allocate resources efficiently to achieve optimal results. Outsourcing specialist maintenance capabilities eliminates the need for time and in-house development that is capital intensive.

By taking advantage of the technical skills, knowledge and expertise of industrial service champions, businesses can drive operational performance to higher standards and avoid disruptions. This allows companies to focus on their core competencies while benefiting from specialised capabilities offered by service providers.

Therefore, business continuity is imperative for boosting productivity in the industrial sector. This strengthens the In-Country Value strategy and supports the UAE’s efforts to increase its knowledge-based exports and contribute to global supply chains.

The more “Made in the Emirates” seals are displayed with pride on products and services worldwide, the more it creates an economic multiplier at home. One effect is building local capacity because a sizeable manufacturing base will rely on highly skilled engineers to maintain essential industrial products, equipment and infrastructure, spurring Abu Dhabi’s economic diversification and long-term growth.

By collaborating with manufacturers, original equipment manufacturers (OEMs), academia, small and medium enterprises and start-ups, industrial services champions help to cultivate the use of innovative technology through the dedication of a highly qualified technical workforce.

These partnerships also enhance the global competitiveness of organisations and support the creation of an enabling ecosystem that advances breakthrough ideas within the industrial sector.

Aircraft Engine MRO operation at Sanad Group, which is owned by Mubadala Investment Company. Photo: Mubadala Aerospace

We have applied this approach when forging strategic partnerships with renowned global OEMs such as GE Aerospace, Pratt & Whitney, Rolls-Royce and Thales, contributing to Sanad securing more than Dh27 billion of long-term commitments for the next 10 years and beyond.

Sanad makes use of its global partners’ competencies to support knowledge transfers to Abu Dhabi, further strengthening the local talent base.

In parallel, OEMs and industrial companies gain significant advantages by capitalising on the specialist expertise and tailored solutions offered by industrial services providers that manage the key elements of the maintenance, repair and operations value chain.

By doing so, industrial service champions enable companies to free themselves from operational upkeep, streamline operations and focus on their core business. This propels organisations to the forefront of global industry and further solidifies the UAE’s position as a world-leading industrial centre.

Mansoor Janahi is the managing director and group chief executive of Sanad