Key points: Cost Efficiency – Production optimization – Environment Conservation4
In the sphere of streamlining the logistics operations of the esteemed global company Saudi Aramco via digitalized solutions which will also contribute to boosting the conservation of the environment. A strategic agreement has been tied up between the renowned company and Obeikan Digital solutions.
The integrated digital solutions fall under the purview of the specialized features of ODS logistics management platform, Madar. The context of this partnership hovers precisely around optimizing many aspects for Aramco including operations efficiency, cost control, and ecological stability as well.
Speaking of the cost benefits, the merge of the tracking systems is projected to cut down the transportation costs as it will help in reducing the distances that all trucks needlessly travel.
If we shed light on the operational scene, interweaving the smart reports solutions provided by “Madar Platform” will underpin productivity growth via the integration of multiple shipments into a single process.
Meanwhile ecologically, the partnership is aimed to adopt green environmental approaches by best utilizing the resources in a way that will reduce paperwork usage as much as possible and the carbon emissions associated with truck travel.
About Madar
Madar is a fully integrated logistical arm and a market leader in digital solutions. The Madar Platform offers digital solutions that covers all logistical needs such as the Transport Authority’s Bayan, Alam’s Muqeem and other digital services.
About Obeikan Digital Solution
Obeikan Digital Solutions help manufacturing companies achieve operational excellence through digital services that help improve performance and productivity. Since the beginning of progression towards digitization, the company has improved oversight, governance, quality, cost reduction and, most importantly the rise of its competitiveness and innovation capabilities.
Obeikan Digital Solutions include services tailored to the customer’s need and lots of specialized applications in industrial operations and logistics, utility reliability, spare parts inventory management, regulatory improvement, and audit management, with other solutions being developed.
About Saudi Aramco
One of the world’s largest integrated energy and chemicals companies, creating value across the hydrocarbon chain, and delivering societal and economic benefits to people and communities around the globe who rely on the vital energy we supply.
One of Saudi Arabia’s largest companies, Obeikan joins Schneider Electric’s global network to accelerate digital transformation, sustainability
Partnership to focus on manufacturing, aligned with Saudi Green Initiative
Riyadh, Saudi Arabia, 8 February 2023: Obeikan Digital Solutions, a subsidiary of Obeikan Investment Group – one of the largest companies in Saudi Arabia – has partnered with Schneider Electric to digitize and electrify sustainable manufacturing.
As a new member of Schneider Electric’s global EcoXpert Partner Program, Obeikan will receive training and certification to equip industrial firms with energy management software EcoStruxure Power Monitoring Expert.
Designed to help power-critical industries augment energy management and make informed data-driven decisions, the software will help manufacturing companies in Saudi Arabia reduce their energy consumption and carbon footprint.
Mohammed Shaheen, Cluster President, Schneider Electric, Saudi Arabia and Yemen, said: “We are excited to welcome Obeikan Digital Solutions onto our industry-unique program of global EcoXperts. As a leader in energy management and industrial automation, we want to create impactful partnerships for an all-digital and all-electric world. This agreement will help deliver major benefits to industrial companies seeking to drive digitization and sustainability in line with the Saudi Green Initiative. It also reflects our uncompromising commitment to provide innovative solutions in technology and the way we do business.”
“Obeikan Digital Solutions has a vision of enabling the transformation of Saudi Arabia’s manufacturing capabilities through digitalization and technological ,” said Abdallah Obeikan, (CEO of Obeikan Group). “Schneider Electric is one of our strategic partners and share the same vision on how Internet-of-Things and cloud computing can transform plants to be smarter, more efficient, more productive and eventually more sustainable. Our aim is to accelerate innovation within the energy sector in the Kingdom.
The EcoXpert Partner Program trains and certifies EcoXperts to serve as the implementation arms of Schneider Electric’s IoT-enabled smart architecture platform EcoStruxure for homes and buildings all over the world.
Through the partnership agreement, Obeikan Digital Solutions and Schneider Electric will collaborate to accelerate the digital transformation in critical power industries. Joining the program will enable the company to grow its business by embracing opportunities to pioneer the future of intelligent buildings, increasing market share and profitability.
Accelerating Saudi Arabia’s renewable future
The partnership is aligned with Saudi Arabia’s plans to develop ten new renewable energy projects as the country seeks to diversify its economy and boost reliance on cleaner fuels to power its growing industries. It will also contribute to greater localization of talent and expertise which Schneider Electric is contributing with new partnership agreements with local companies to promote sustainability in homes, buildings, data centres, infrastructure and industries.
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About Schneider Electric
Schneider’s purpose is to empower all to make the most of our energy and resources, bridging progress and sustainability for all. We call this Life Is On. Our mission is to be your digital partner for Sustainability and Efficiency.
We drive digital transformation by integrating world-leading process and energy technologies, end-point to cloud connecting products, controls, software and services, across the entire lifecycle, enabling integrated company management, for homes, buildings, data centers, infrastructure and industries.
We are the most local of global companies. We are advocates of open standards and partnership ecosystems that are passionate about our shared Meaningful Purpose, Inclusive and Empowered values.
The Schneider Electric Online Marketplace stocks a huge collection of electrical products including light switches, sockets and accessories; low-voltage protection devices; motor protection, relays and industrial control; thermostats and sensors.
The company’s Resi9 device is designed to provide the utmost electrical protection for the country’s residences and buildings and features a special Green Premium product tag. The Green PremiumTM label is Schneider Electric’s commitment to delivering products with best-in-class environmental performance. Green Premium promises compliance with the latest regulations, transparency on environmental impacts, as well as circular and low-CO2 products. The Resi 9 device is easy-to-install and can be used in new builds or renovation projects.
Meanwhile, the AvatarOn C range offers a wide variety of functions for homes, with everything from single switches and sockets to multi-module frames. The range lets users combine up to five wiring devices in a single outlet, which means homeowners to connect their TV antennas and Ethernet cables, or control fans and dim lights for extra convenience.
Launched in 2017, Obeikan Digital Solutions (ODS) helps manufacturers and enterprises to achieve operational excellence with productivity-enhancing applications, and performance improvement consultancy. ODS grants its customers access to leading-edge, tried and tested digital technologies that add significant value to their operations.
ODS is a subsidiary of Obeikan Investment Group (OIG) founded in 1982 with headquarters in Riyadh – Saudi. The company has strong foothold in manufacturing, leading provider of fully integrated packaging solutions in MENA region, with a growing focus on digital transformation providing B2B, B2C and B2G business and industrial solutions.
Obeikan Digital Solutions operates with the goal of offering the best-in-class technologies to the business sector, supporting their digital transformation strategies. Today, Obeikan offers 20+ products in 3 key business areas, namely manufacturing, enterprises and supply chain. Obeikan Digital Solutions has created six different marketplace apps covering a broad expanse of strategic business functions within any organization: “Shamel”, “Madar”, “Saned”, “O3 Smart Manufacturing Platform”, “Hodhod” and “Saned Utilities”.
Obeikan Digital Solutions strives to be the “Business Partner of Choice” in digital transformation; serving educational and industrial sectors as well as enterprises and human capital management (HCM). Banking on the conglomerate’s 40+ years of experience, ODS is exporting the decades-long know-how coupled with the cutting-edge digital solutions and the product of its R&D investments in order to support organizational digital transformation.For more information: http://obeikandigital.com.sa
Under the slogan of “Are you ready for a different tomorrow?” Obeikan Digital Solutions (ODS) expressed their pleasure to engage among many well reputed tech leaders in one of the most prestigious and biggest tech exhibitions Leap 2023 to share their beneficial experience in accelerating the pace of the digital transformation and showcase their developed platforms that is based on the latest artificial intelligence aimed to boost productivity, enhance customer experience, add competitive edge and elevate the employee’s engagement.
“Digital solutions built on solid industrial background pillars” ODS leveraged the 40 years of Obeikan’s cumulative experience in the industrial field, considering it one of the main cornerstones of ODS success that paved their way to apply the digital transformation approaches across many sectors. As merging the vast knowledge of the industrial operations with the digital know-how geared them towards identifying the primary gaps and accordingly, they filled them with digital-based solutions catered to the industries’ needs and streamline their operations.
Obeikan Digital Solutions strives to be the “Business Partner of Choice” in digital transformation; their provisioned solutions cover mainly the following aspects (manufacturing and operations, enterprise and HCM, supply and value chain, education and development).
The born of Obeikan Digital Solutions (ODS) was one of the most prominent leaps for the Obeikan Group, as the Group is well known for cutting giant steps in diversified areas throughout the years and its continuous strive for expansion, upon the emergence of the technology and the non-stop pace of its evolution. Obeikan felt the necessity to create a hub that delivers top notch tailored digital solutions that are catered to various sectors’ needs, streamline their business operations and boost their efficiency.
Today ODS is one of the giant digital leaders participants at Leap 2023 through which they manifest their digital capabilities and how they went beyond in this field, on the occasion of such event they are looking forward to opening people’s eyes on the significance of the digital transformation and how it can shape the future of many businesses as nowadays with all the digital hypes going around it became inevitable to integrate efficient digital-based solutions in many business operations to be able to stand in the forefront and stay ahead of the competition.
ODS also conveyed their gladness to connect and interact with their attendees whether they are merely avid followers of technology who seek to be enlightened about the latest trends or business owners who are pursuing to develop their projects beyond the scope of conventional approaches and start adopting innovative methods, based on their business genre ODS team recommend the convenient cutting-edge solutions that will best fit their needs and goals.
They believe that this event is not a beneficial experience that is leveraged by their attendees only but for them as well, meeting with people face to face and listening to their different needs expand their horizons about more faced challenges in the market. Accordingly, they seize such occasion to build a futuristic outlook on what can they offer next by utilizing the power of their avant-garde digital technologies to add more digital values to businesses.
Obeikan Digital Solutions has created different marketplace apps covering a broad expanse of strategic business functions within any organization: “Shamel”, “Madar”, “Saned”, “O3 Smart Manufacturing Platform”, “Hodhod”, “Saned Utilities”, “Nawras Education and HCM”, “Ameen”, “Saned Helath” and “Saned School”.
About Obeikan Digital Solutions
ODS was launched in 2017, Obeikan Digital Solutions (ODS) helps manufacturers and enterprises to achieve operational excellence with productivity-enhancing applications, and performance improvement consultancy. ODS grants its customers access to leading-edge, tried and tested digital technologies that add significant value to their operations.
ODS is a subsidiary of Obeikan Investment Group (OIG) founded in 1982 with headquarters in Riyadh – Saudi. The company has strong foothold in manufacturing, leading provider of fully integrated packaging solutions in MENA region, with a growing focus on digital transformation providing B2B, B2C and B2G business and industrial solutions.
In the scope of accelerating the adoption of cutting edge-technologies across the innovative industrial projects, King Abdulaziz City for Science and Technology (KACST) and the Obeikan Investment Group (OIG) inked a memorandum of understanding, on the sidelines of the second edition of the International Technical Conference “LEAP23” organized by the Ministry of Communications and Information Technology and was at the forefront of Riyadh’s Exhibitions and Conferences.
On behalf of KACST, the signing of the MOM was represented by Dr. Khalid Bin Abdelrahman Al-Dukkan, the Supreme Vice President of KACST of the Innovation Sector, meanwhile OIG was represented by Eng. Abdullah Al Obeikan, the CEO of the Group, in the presence also of a number of officials from both parties.
The core of the strategic partnership between KACST and the Obeikan Group aims to invest in expertise and knowledge assets that contribute to accelerating the adoption of technologies across innovative industrial projects, support the hosting of emerging entrepreneurial companies and the R&D innovation activities of local and international companies and empower them with facilities and catalysts that will equip them to smoothly implement the foster of the emerging technologies that have an impact on the economic development in the Kingdom.
Within the context of the memorandum of understanding, the two parties will consolidate their efforts in studying the establishment of an industrial technical fund to invest in advancing the innovative capabilities of national institutions and companies in the Kingdom, and also carry out investments in entrepreneurial companies that operates in developing solutions supported by the emerging technologies, in addition to studying investment opportunities in the innovation spheres to enhance the development of the innovative environment in the Kingdom.
Innovation and the pursuit of excellence are driving the success of Saudi family enterprise Obeikan Investment Group (OIG). Chief Executive Abdallah Al-Obeikan talks to Hischam El-Agamy about the company’s digital transformation journey and his mission to create a fully autonomous business
We live in a world of rapid transformation, a world where digital disruption and megatrends are affecting all industries. Successful family businesses are those that are willing to move away from traditional opportunities and react quickly and decisively to change.
The story of Obeikan’s success began in 1982 with a single commercial print shop in Riyadh.
Over the next 40 years, OIG diversified into new industries and markets and now has a diverse set of operations in manufacturing, packaging, education, and healthcare. It is one of the leading business groups in the Middle East and North Africa and one of Saudi Arabia’s top 100 largest companies, serving more than 80 markets globally.
Since 2017, the company has increased its focus on digital transformation, supported by more than 3,000 staff whose ways of working have been transformed by a digital environment and the solutions the group has adopted.
A business imperative
Al-Obeikan, who has been at the helm of the business since 2002, was quick to take advantage of the digital opportunities he saw evolving in the world around him.
“For me, harnessing the power of digital was not a choice – it was a business imperative. “Since our inception, a strategic enabler of this business has been to constantly seek out opportunities to drive growth and improve productivity,” he said.
Early on, Al-Obeikan recognized the role technology could play in creating more productive, precise, and responsive manufacturing operations.
“I was inspired by what I saw in the emerging B2C companies of the late 2000s, the likes of Uber and Airbnb,” he explained. “These are companies that have completely changed the world and I saw the potential that digital technologies could unlock in the B2B space.”
He notes that B2B companies face similar problems to those that innovative B2C companies set out to solve, such as waste, redundancy, or poor customer experience.
“With cost and competition increasing, I realized that digitization was not just a tool but a competitive advantage,” he added.
Al-Obeikan realized that a strategic focus on digitization was about more than improving productivity, it was also about meeting the growing expectations of OIG’s customers and employees. He realized they were experiencing a far more personalized and accessible experience as consumers and knew they would come to expect this in their working lives as well.
“If you order a pizza, you can now see exactly where it is every step of the way. But this was not the experience my customer was getting when waiting for a product, or my employee experienced while waiting for a spare part. I realized we needed to give them the same experience they were receiving as consumers by communicating with them regularly and on the platforms that they preferred – that is, on their mobile devices,” he said.
A digital transformation
In 2017, OIG embarked on a journey to create a digital enterprise. This involves data scientists working hand-in-hand with experts in the field to ensure that all processes are digitized, unlocking the knowledge within the business to create digital assets of the company’s physical assets.
Today, at OIG’s 20 factories, digital technologies provide end-to-end connectivity across all machines in the facility. Data from these machines is analyzed to contribute to the artificial intelligence and advanced analytics that drive continuous improvement in machine and production efficiencies. Smart equipment raises maintenance tickets automatically and there is real-time machine healthcheck reporting and production target tracking.
As CEO, you need to be persistent and decisive about digital, says Al-Obeikan The success of the company’s digital transformation is measured in improvements in productivity, quality, customer experience, and employee engagement. “We don’t measure our success by the flashy screens we have on the shop floor, we measure our success by real money on the bottom line,” said Al-Obeikan. “Through smart manufacturing, we have moved from a world where people manage machines to where machines, data, and analytics enable us to improve our productivity and experience continuous improvement. We have transformed our supply chain, and we are able to make decisions quickly across the entire spectrum of our operations, which is greatly improving customer experience.” He is also on a mission to create a truly “autonomous enterprise”. The group uses AI for almost everything, from budgeting and cashflow to understanding its engagement with people. Job descriptions are generated automatically. And the company has also developed a sophisticated knowledge center where lessons are learned from performance issues by simulating the operations involved. It acts as a useful training tool to improve staff performance. Human capital management is also automated, from talent acquisition to retirement. The group is even automating succession planning by identifying suitable candidates based on clear competencies and experiences. The system then automatically generates the ideal learning path. All these processes happen digitally without human intervention, in addition to leveraging AI to predict the organization’s dynamic and future behaviors. “This will enable the organization to drive even faster,” said Al-Obeikan. “Today we have self-drive cars and self-drive planes, so there is no reason why we can’t have autonomous enterprises too, even if this is hard for some to accept.” Enabling digital transformation Al-Obeikan admits the journey is not without its challenges. But he is clear that, for companies embarking on a digital transformation journey, it’s important to understand that the key to getting it right is not so much the availability of digital talent, but rather an organizational issue. He believes having the right people with a deep understanding of the processes within an organization is essential. “Many people talk about a lack of data scientists and coders as being a hindrance to digital transformation. However, it is not that,” he explained. “The big technology companies have put the tools in place to make that aspect of transforming your business so much cheaper, easier, and faster. “What you need to do is focus on harnessing the knowledge of your subject matter experts, the people that understand your business, your customer, and your supplier. Digitization involves cementing their knowledge so that if they leave, you don’t lose it. “In short, you need to get organized, understand all your verticals, connect all your assets, and then optimize them using machine learning. If this backbone of your business is not in order, you won’t be able to move forward.” What’s more, he emphasizes that digital transformation must come from the top. “The CEO has to lead the transformation. If the CEO, from an intellectual point of view, doesn’t have a deep understanding of what digital opportunity is, the threat is that you won’t digitize. As CEO, you need to be persistent and decisive about digital. You have to repeatedly deliver the message that digital is the strategy. Yes, you need to give people a chance to learn and to adapt — but if they don’t, then you must make the tough decision of letting them go.”
“We don’t measure our success by the flashy screens we have on the shop floor, we measure our success by real money on the bottom line”
Part of this learning for Al-Obeikan is training people in the practice of design thinking, the process of solving problems by prioritizing the customer’s needs above all else.
“After three years of hard work I now have the majority of my employees across the threshold,” he said. “There is no more debate in the company about the direction, or why we are doing this, or how we can win by using digital tools. Today, all questions have been answered, there is no doubt.”
Another challenge is how companies should scale transformation.
“Many companies can transform on a small scale, but it’s when they try to do it for the whole enterprise that they fail. There are a number of reasons for this from lack of connectivity of assets to a lack of deep process knowledge.”
Enabling other companies to be future-ready
Al-Obeikan’s commitment to harnessing the benefits of digital extends beyond OIG. Through the creation of a smart manufacturing platform and innovation hub, he is bringing the benefits of a digital enterprise to customers, partners, and companies across the Kingdom of Saudi Arabia and beyond.
OIG no longer sees itself as a product provider but as a solutions provider. It offers companies digital tools to simulate their operations before implementing them.
“Since the beginning of our transformation journey, we have been on a mission to give back to our country’s industrial business ecosystem,” said Al-Obeikan. “Through our innovative digital solutions, backed by world-renowned technologies, we are enabling them to be ready for a different tomorrow.”
Through smart manufacturing, we have moved from a world where people manage machines to where machines, data, and analytics enable us to improve our productivity and experience continuous improvement”
OIG is building software-as-a-service (SaaS) models for everything it does and has so far built more than 20 use cases. “We validate everything on our own shop floor. We identify the required data and once we have tried and tested it, we share our domain expertise with the market. Data scientists work hand-in-hand with subject matter experts to achieve this.”
Al-Obeikan says that being able to show companies digital transformation in action is incredibly useful.
“I meet two to three CEOs a week. It’s one thing to listen to a lecture, read a book, or go to a workshop on digital transformation, but another to see it happening with your own eyes. We bring people to see what we are doing in our operations at our Obeikan Knowledge Academy, which works as a research and development hub for Obeikan Group
“You have to repeatedly deliver the message that digital is the strategy. Yes, you need to give people a chance to learn and to adapt — but if they don’t, then you must make the tough decision of letting them go”
“We understand the pain of manufacturers. We have four decades of experience in producing products. Everyone in our value chain is involved in building our platform, from forklift drivers to the CFO. All my employees are responsible for challenging the platform, for dealing with bugs, and this has enabled us to mature at a rapid pace.”
Al-Obeikan said the success of his company’s digital transformation can be traced back to its entrepreneurial roots. “For us, it was easy to adopt the Silicon Valley approach in our business, that is to start small, scale fast, or fail fast,” he said.
What the company’s rapid digital transformation makes clear is that family businesses have the innate ability to self-innovate and create competitive advantage thanks to their entrepreneurial spirit and desire to build a lasting legacy. With the pace of technological change, the opportunities are enormous – provided businesses equip themselves to face the future.
