Process automation in the Middle East & Africa market is expected to register a CAGR of 5.15%, over the forecast period (2018-2023). The scope of the report considers hardware, software, and services solutions offered by major players in the market. This report focuses on the adoption of these solutions by various end users within different regions across the MEA region. The study also emphasizes on latest trends, industry activities, and vendors’ market activities.
The MEA region is facing challenges to improve efficiency while meeting nationalization agendas, post the fall of oil prices in 2014. As a result, robotic process automation is expected to emerge as an effective entry point for manufacturing industries toward sustainable profits. Some organizations in the region have already adopted these solutions in the region, while some are on their way to deploying them, by the virtue of shared services and outsourcing (SSO). The combination of SSO and process automation is providing manufacturers with benefits, like fast implementation, consistent performance, and more rewarding careers, along with more satisfied citizens and customers.
The regulatory environment in the region, particularly the GCC region, wherein, a national digital strategy is driving the growth agenda. Governments are looking to develop a highly skilled and digitally trained workforce, provide enhanced service quality to citizens, cater to dynamic citizens and customer behaviors, and keep costs down.
The government in the region has rolled out initiatives to meet these goals:
UAE Vision 2021- a vision of a competitive knowledge-based economy, along with a sustainable infrastructure and environment.
Dubai Plan 2021- a goal of becoming the smartest and happiest city on earth with the agenda of being the city of happy, creative, and empowered people, the preferred place to live, work, and visit, and a pioneering and excellent government.
Saudi Vision 2030- an objective of expanding the variety of digital services to reduce delays and cut tedious bureaucracy. Increase KSA’s investments in the digital economy and entrepreneurship.
Qatar Vision 2030- build a digital economy and society while reducing the digital divide across segments and fostering innovation clusters.
The downfall and turbulence in the MEA oil & gas industry are hitting the chemical & petrochemical sector hard. This downfall is resulting in increased focus by the government to stabilize the conditions. There is a large scope for automation in the industry, which is expected to cut down the production costs. The chemical industry requires one of the most innovative and productive process automation solutions, as this application has more advanced and complicated processes when compared to several other industries. One of the basic demands of the chemical industry in the region is reduction in manufacturing (inclusive of labor costs) costs along with the cautious use of hazardous explosive substances, medical products & chemicals. This industry is also affected by high levels of automation, governed by strict standards. Hence, process automation strives to achieve maximum profitability with significantly less need for human workers to handle hazardous substances. However, in South Africa, despite the performance achieved through a commitment to the economy, more than half of the fine chemical synthesis plants have been shut down, relocations to other countries are taking place, and new investments are increasingly being made outside of the region.
Around 70% of the Saudi Arabian petrochemical industry uses natural gas as its raw material and is the leading producer and exporter of crude oil. The chemical industry relies heavily on some hydrocarbons, including gases and liquids associated with the crude oil and methane production. To remain competitive, the Saudi government has initiated an industrial clusters program to focus investment on the manufacturing industry.
Furthermore, the low price of oil and the rising price of gas are expected to continue to have a dampening effect on the region’s chemical industry. But in light of their diminishing feedstock advantage, the companies are taking steps to diversify their product lines beyond basic gas-based chemicals. Sadara, a USD 20 billion petrochemical facility in Jubail, Saudi Arabia, is the proper example of this diversification.
Major Players: ABB Ltd, Honeywell International Inc., Siemens AG, Schneider Electric SE, Mitsubishi Corp., Rockwell Automation Inc., Emerson Electric Co., And Danaher Corporation, amongst others.
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