October 19, 2021
Introduction
The COVID-19 pandemic has accelerated the adoption of digitalisation, heightened the demand for contactless solutions and cloud services, and forced corporations to increase reliance on machines and digital platforms. In this elaborate session the experts from private sector, governments, academia and international organisations discussed about enormous future opportunities that come with digitalisation, importance of manufacturing technology, necessity for investment promotion in upgrading their manufacturing infrastructure to achieve higher productivity and economic interconnectedness, and a suitable roadmap to outline a model that will attract Foreign Direct Investment (FDI) successfully.
Session Highlights
The panellists discussed that investment in digitalisation is important as it continues to shape the manufacturing sector. This sector plays an important role in production of goods and services, creation of employment and promoting sustainable development. Today, quality and performance of the manufacturing sector are considered as major indicators of a country’s overall development. Therefore, attracting FDI in the sector of digitalisation is important to bridge technologies and innovations, create more jobs, and improve managerial and marketing skills in the host country for greater economic benefits.
It is important to change the outlook on technology investment, as it is no longer limited to the IT sector, rather it encapsulates other sectors like agriculture, smart building, disaster management, climate assessment, automobile, robotics etc., e.g. in the real estate sector, Artificial Intelligence (AI) and data can be used to estimate the probable valuation of a property based on an econometric model. Similarly, AI and data can be used to convert buildings into energy efficient buildings. The panellists stressed that investment in digitalisation is like a ‘hygiene factor’ and it is crucial to keep investment flowing. But, it is equally important to provide vocational training to youth to enable them to leverage this technology.
A part of this session focused on how bringing investment in technology for better productivity can help us transition into the digital era in the manufacturing sector. Digitalisation amidst the on-going climate change discourse poses more challenges in the unprecedented pandemic induced world. This, coupled with geographical concentration of technology innovation, has become a major concern in recent times. The panellists shared their perspectives on the importance of creating and maintaining a human and technology balance. It was pointed out that unifying the supply chain procedures in the concept of cloud based Blockchain is all set to revolutionise the future productivity of the manufacturing sector.
The US experience pertaining to Industry 4.0 was discussed at length in this session. The panellists mentioned a number of case studies to show how technology is assisting to develop prototypes and improve the design process for better efficiency and sustainability. The deliberations also emphasised on the role of technology in advanced manufacturing processes with innovations like three dimensional (3D) printing. Among the existing challenges that are slowing down the pace of digitalisation in the manufacturing sector, regulations and certifications need immediate attention of stakeholders. There should also be provisions for skill development and capacity building to have the perfect balance between human and technology. Agility to enhance the business and innovation ecosystem can be achieved through digital cooperation, partnership, investment promotion and infrastructure development. The panellists pointed out that standard and governance are other important factors to guide the transition towards the right path.
Also, a detailed presentation was given on the concept of ESG plus C i.e. Environmental, Social, and Governance (ESG) plus Cultural criteria. A group of parameters used by modern investors to screen investment opportunities and results yielded. It explained how these standards drive revenue growth and profitability.
Interviewer
- Christophe Reech, Group Chairman and CEO, Reech Corporations Group
Interviewee
- Courtney Fingar, Editor-in-chief, Investment Monitor
Keynote presentation Future Industries/Industry 5.0
- Mark Mobius, Partner, Mobius Capital Partners, UK
On the panel were:
Panel I
- E. Dr Thani bin Ahmed Al Zeyoudi, Minister of State for Foreign Trade, United Arab Emirates
- Diego Molano Vega, Former Minister, Information and Communication Technologies, Republic of Colombia
- David Hobart, Chief Investment Officer, Monochrome Asset Management
- Howard Yu, LEGO Professor of Management and Innovation, IMD Business School
- Zoran Lazarevic, Chief Technology Officer, Ericsson Middle East and Africa
- Paschalis Bouchoris, Managing Director, Country Manager, Black Rock
Moderator
- Verena Weber, Head, Communication Infrastructures and Services Policy Unit, Directorate for Science, Technology and Innovation, OECD
Panel II
- Ismail Abdulla, Chief Executive Officer, Strata Manufacturing, UAE
- Bernardo Calzadilla Sarmiento, Managing Director, Directorate of Digitalization, Technology and Agri-Business, UNIDO
- Douglas K. Woods, President, AMT, The Association for Manufacturing Technology, USA
- Ralph R Debbas, Chairman & CEO, W Motors, UAE
- Abdelqader Abusafieh, SVP Technology & Advanced Materials, Strata Manufacturing PJSC
Moderator
- Abhay Bhargava, Senior Director and Regional Leader – Energy & Environment and Industrial Practice, Frost & Sullivan MEASA