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Building the Future: Embracing a Smarter Construction Ecosystem in the Middle East

Emerging technologies can unlock new growth opportunities for the sector
Building the Future: Embracing a Smarter Construction Ecosystem in the Middle East
WakeCap CEO and Co-Founder Hassan Al Balawi

The construction industry in the Middle East has long been a driving force behind the region’s economic growth and urban development. As cities expand and populations grow, the demand for innovative and smarter construction practices has never been more pressing. Technology and collaboration emerge as the essentials for creating a sustainable construction ecosystem in this rapidly evolving landscape. The integration of cutting-edge solutions and cross-sector partnerships holds the key to addressing the challenges faced by the industry. Simultaneously, it unlocks new opportunities for growth and resilience.

Challenges

Despite widespread digitization efforts, many projects worldwide continue to suffer significant delays and cost overruns. Reportedly, 98 percent of large projects globally experience cost overruns exceeding 30 percent. In Saudi Arabia, 82 percent of government projects have experienced delays, with costs exceeding 42 percent of the budget. These delays and overruns often arise from poor planning, inefficient processes and unanticipated complications. They can substantially impact profitability and project success, especially when faced with the region’s high material expenses.

Furthermore, the Middle East is frequently subject to extreme weather conditions, such as scorching heat and sandstorms. These can jeopardize worker safety and well-being. It is paramount to ensure consistent adherence to safety standards and mitigation measures. In addition, environmental concerns and evolving regulatory landscapes necessitate resource management and proactive approaches that prioritize safety and reduce costs. Hence, technology, innovation and collaboration can improve the region’s construction landscape by enhancing efficiency, reducing expenses and promoting safety.

Read: Middle East construction industry shines in new global survey

What comprises a smarter construction ecosystem

smarter construction

Constructing a smart built environment comprises key components. The first involves digital transformation and Industry 4.0, which encompasses Building Information Modeling (BIM), the Internet of Things (IoT) and Artificial Intelligence (AI). By implementing these technologies, construction becomes more efficient and streamlined.

The second component is employing sustainable construction practices by utilizing green building materials and technologies, optimizing designs for energy efficiency, and practicing waste reduction to transform into a circular economy. These sustainable methods reduce the carbon footprint of construction projects and are essential for a greener future. 

To witness a cohesive implementation of these components, we need the final element, which is collaboration. Through public-private partnerships, cross-industry collaboration, knowledge sharing, and best practice adoption, construction progress can be achieved on a larger scale. With a collective effort towards innovative construction modules, we can be one step closer to achieving an environmentally friendly, efficient, and collaborative infrastructure.

Successful implementation of smarter construction in the Middle East

The UAE has been implementing smart construction. In Dubai, the Museum of the Future is an example of innovative construction technology being applied. It integrates cutting-edge technologies like 3D printing, robotics and advanced building systems to create a unique architectural masterpiece. Masdar City in Abu Dhabi is a model for sustainable urban development and one of the world’s most ambitious smart city projects with a low-carbon, low-waste city powered by renewable energy sources. 

WakeCap also contributes by enhancing productivity and efficiency, improving safety and saving time and costs at construction sites. The wearables allow for precise tracking of the workforce on-site, resulting in reduced incident reporting and emergency response times. Additionally, by analyzing our data, one major developer significantly reduced the non-productive hours of each worker from 3.5 hours to just 45 minutes. Our tamper-proof, shockproof and waterproof Wearables ensure 100-percent PPE compliance and accurately measure time spent on site, travel time, attendance and unproductive hours. One of our clients reassigned administrative tasks to another worker based on the data we provided and saw a remarkable improvement in productivity. Finally, WakeCap provides clear pictures of what’s happening at the construction site, enabling project managers to optimize their projects so that savings can be made without compromising on delivery.

The road ahead

Government initiatives such as Vision 2030 in Saudi Arabia and the Smart Dubai 2021 Strategy are playing a pivotal role in stimulating industry growth, with plans for increased investment in infrastructure. According to a recent report by McKinsey & Company, the Kingdom plans to invest more than $175 billion annually in industrial and mega projects between 2025 and 2028, with spending expected to peak at about $180 billion in 2026 and 2027.

Given these investments, new technologies, such as robotics, automation, and sustainable construction technologies, could emerge in the construction sector, contributing to more efficient and sustainable construction. These investments can also improve projects’ environmental performance and reduce their carbon footprint, supporting the Kingdom’s efforts in environmental conservation.

We are on the verge of making a major impact in the global construction sector. By employing technology to improve safety, productivity and quality, WakeCap is moving towards enhancing working processes in this sector. We aim to have 75 of the top 100 global construction companies adopt our cutting-edge technology by 2025.

As the company progresses towards this goal, it is expected to contribute significantly to improving performance and safety standards on construction sites and stimulating the widespread adoption of new technologies in the sector. These efforts will help bring about positive and tangible change in the construction industry and strengthen WakeCap’s position as a leader in technological innovation in the construction sector.

Hassan Al Balawi is the chief executive officer and co-founder of WakeCap.

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