The Kingdom of Saudi Arabia aspires to transition to a knowledge-based economy. With the recent announcement of the National Industrial Strategy (NIS), the Kingdom aims to bridge this technology gap using advanced manufacturing technologies that would make the leapfrog possible. The Kingdom intends to focus on 118 prioritized segments selected according to their strategic foundations within priority industrial subsectors, where the Kingdom has opportunities to compete on a regional and a global level. In order to achieve this ambitious goal that would elevate the Kingdom’s industrial stronghold, the National Industrial Strategy (NIS) recommended 12 strategic subsectors that are as follows:
The execution of the strategy can follow one of three routes: a strategic, grassroots, or hybrid solution. The strategic approach focuses on decisions made by leadership at the top level that trickles down the chain of command. On the other hand, a grassroots approach gives all stakeholders a voice in the decision-making process, especially those closest to the market. While both strategies have pros and cons, a well-integrated hybrid solution offers a system that self-corrects depending on issues that arise. With this continuous loop, the efficacy of strategy implementation shifts depending on the need.
The strategic effort of the government of Saudi Arabia has been put in motion with the announcement of the NIS, so it’s up to the executing entities to contribute their efforts to the industrial ecosystem by collaborating with the private sector to support the industrial development journey and achieving the overarching objectives of the Kingdom’s Vision 2030. Examples of the government’s executing entities include the Ministry of Industry and Mineral Resources, Modon, Royal Commission of Jubail and Yanbu, Saudi Industrial Development Fund, Saudi Export Authority, Industrial Center, and the National Industrial Information Center.
Two of the channels that could facilitate a grassroots execution strategy that would complement ongoing strategic efforts are Digital Transformation and the adoption of Industry 4.0 technologies. These two complementary strategies work interchangeably like DNA’s double helix, where one cannot exist without the other for the continuity of the whole system.
For instance, the Kingdom wants to leverage the use of additive manufacturing (3D printing) to realize some of its ambitious goals by 2035 including but not limited to the following metrics:
A supporting factor for industry advancement would be the development of a unique archive of physical assets in digital form. This solid foundation allows the reverse reconstruction of physical assets and creates digital variations of them with the goal of manufacturing parts and equipment using state-of-the-art 3D printers. The digitization process is made possible using high-precision lasers, optical 3D scanners, and CMM probes (Contact Measuring Machines). These tools reverse engineer the mechanical parts into digital information rich with technical details for the purpose of reproduction, development, optimization, innovation, or the identification of investment opportunities
This digital transformation and the utilization of Industry 4.0 technologies opens up opportunities in a variety of fields such as manufacturing on-demand. This allows stakeholders to print machine parts when needed to complement physical warehouses and reduce overstocking.
Additionally, metal and plastic 3D printing can be a very promising field that benefits both existing local manufacturers by expanding their existing operations and new investment opportunities that would address the needs of new emerging markets. As the utilization of 3D printing prospers and demand for printed parts grows, a new upstream market for raw materials would open up to start sourcing material for 3D printing locally. The utilization of additive and subtractive manufacturing technologies would enable the Kingdom to bridge technology gaps that exist in the market.
It’s crucial to mention that digital manufacturing encompasses both advanced CNC machining (Computer Numeric Computing) and 3D printing, where both rely on 3D digital files as their blueprint to manufacture parts using plastic or metal. By relying on the digital representation of parts in 3D, the Kingdom can maximize its utilization of existing digital manufacturing equipment (CNC or 3D printing) before committing large budgets for new investments. This exercise has the added benefit of pinpointing investment opportunities for required advanced equipment to complement ongoing efforts. As a result, opportunities for Cloud Computing, Internet of Things (IoT), and Machine Learning would all start to permeate organically in the Kingdom.
The Kingdom is keen to subsidize its aspiring development to realize the goals of its 2030 Vision. With the continuous synergy between the government and local companies, they have paved a new road within this advanced field.
