ded.ae

2nd Business Community Engagement Forum

Enabling the Future Economy

19 Dec 2017 Venue: Ritz Carlton, DIFC

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Let’s resolve current challenges, enhance our connections, build new capacities &

capabilities to capitalise future opportunities together

BUSINESS COMMUNITY ENGAGEMENT & FUTURE DEVELOPMENT ROLES

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READINESS FOR THE FUTUREInitial survey findings from Dubai based companies

Global Technologies and their potential impact on Dubai

15%

16%

15%14%

15%

10%

15%

68% of Dubai companies feel that they need a future readiness

mentor. (M-18%; S-14%; M-14%; L-55%)

Currently, 55% of companies have not invested in R&D (M-26%; S-21%; M-5%; L-47%)

64% of Dubai based companies think they will face disruption

in next 5 to 10 years. (Micro-33%; Small-13%; Medium-17%; Large-37%)

46% have developed a specific digital strategy to anticipate/

address likely disruptionof their industry (M-38%; S-13%; M-6%; L-44%)

31% have invested in or partnered with innovative startup companies to anticipate/address the likely disruption to their

industry (M-60%; S-10%; L-30%)

Blockchain

AutonomousVehicles

CognitiveApplications

IoT

Others

VirtualReality

ArtificialIntelligence

Source: Frost & Sullivan

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WHAT IS IN THE MINDS OF DUBAI’S GOVERNMENT & BUSINESS LEADERS

Source: Frost & Sullivan

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SECTORAL GROWTH OPPORTUNITIES

Healthcare

Energy & Water

Education & Training

Wholesale & Retail

2016/17 2020 at a CAGR of 16%

AED 44

Billion

~AED 75-80 Billion The KHDA plans to increase the

student seat capacity in private

schools to 360,000 by 2020

DEWA’s main goal is to increase the share of renewables and clean energy

7% 25% 75%

2020 2030 2050

Dubai’s retail sales turnover

Development of city malls, trading hubs

E-Commerce in the UAE to reach

AED 190 Bn by 2020

~AED 250 Bn by 2020

AED 36.7 Billion by 2018

500,000 medical tourists expected

by 2020

Source: WAM; KHDA; DEWA; Dubai Chamber; Frost & Sullivan analysis

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SECTORAL GROWTH OPPORTUNITIES

Infrastructure

Chemicals & Petrochemical

Real Estate

ICT & Publishing

Govt. budget share for infrastructure projects in 2018

21%

Dubai had approximately 4,000 active infrastructure projects in 2016/17

~AED 1.15 Trillion

25% of Dubai’s buildings will have

3D printing tech by 2030

Dubai’s investments on mega projects such as Al Maktoum International Airport is expected to result in development of real estate market

Emerging trend of building build-to-suit offices

Emergence of new concept retail outlets

UAE’s chemical sales revenue, 2016/17

~AED 90 Billion

Shift from commodity products to value-added products

Fastest growing market in plastics industry is industrial packaging

Per capita IT spending is expected to cross by 2018

IT industry expected to reach

AED 22 Billion by 2019Ad spending shift from traditional to digital platforms

Digital signage industry in the UAE to grow

at a CAGR of 20% between 2016 and 2020

AED 2,000

Source: WAM; GPCA; Dubai Chamber; Frost & Sullivan analysis

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SECTORAL GROWTH OPPORTUNITIES

Tourism

Banking & Financial Services

Manufacturing

Transportation & Storage

Thematic tourism is on the rise

650,000Cruise tourism passengersin 2016/17

1 Million passengers expected by2020

DTCM expects 20 million tourists by 2020 EXPO to bring in 25 million visitors from 180 nations

Emergence of newer business models in restaurant segment

4th largest contributor to the GDP

Dubai Industrial Strategy 2030 to develop Dubai as a global

platform and destination choice for innovative and sustainable industries

All Government documentation processed

using Blockchain technology by 2020

Digital Transformation and Virtual Banking

E-commerce, mobile and P2P payments to see more traction

Value-added services to play key role in logistics industry

Autonomous Transportation strategy aims to convert 25% of the total taxi trips into driverless trips by 2030

Food imports in the UAE expected to increase to AED 1468 Billion by 2024 which implies increased demand for warehousing

Public transport share increase from 16% in 2016 to 30% by 2030

Source: RTA; Annual Investment Meeting 2015; EXPO Website; Dubai Statistics Center; Frost & Sullivan analysis

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DIFFERENTIATED IMPACT OF TECHNOLOGIES ON DUBAI’S SECTORS

TECH TRENDS

Tourism HealthcareReal

EstateF&B

Manu-

facturing

Transport

&

Logistics

Trading ChemicalsEnergy &

Water

Wholesale

& Retail

Infra &

Construc-

tion

ICTEducation

& Training

Banking

Insurance &

Financial

Services

Virtual Reality

Robotics & AI

Autonomous Vehicles

IoT

Big Data

Blockchain

Low Impact – 10 to 20 yearsMedium Impact – 5 to 10 yearsHigh Impact – 0 to 5 years

INDUSTRIES

Source: Frost & Sullivan

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UAE – STRATEGY FOR THE FUTURE

Source: https://www.mocaf.gov.ae/docs/default-source/default-document-library/pr-infographic-visual-approved-en.pdf?status=Temp&sfvrsn=0.03206219086943629

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FUTURE PLANS AND PLANNING

Source: Frost & Sullivan

YES! WE ARE READY !

Tourism• Dubai Tourism Strategy 2020• The UAE Soft Power Strategy

Energy & Water• Dubai Clean Energy Strategy 2050• Dubai Integrated Energy Strategy 2030• UAE Water Security Strategy 2036• Green Dubai• Mohammed bin Rashid Al Maktoum

Solar Park

General

• Centennial Plan 2071• Vision 2021• National Innovation Strategy• Dubai 10X program• UAE Strategy for the Future• Dubai Future Accelerators programme• Cognitive city strategy

• UAE Strategy for Artificial Intelligence• Smart Dubai 2021• Dubai Blockchain Strategy 2020• Internet of Things Strategy• Dubai Cyber Security Strategy

Information & Communication Technology

• Central Bank of the UAE 2017-2021 Strategy

Banking & Finance

Education & Training

• Dubai Health Strategy 2021• Dubai Clinical Services Capacity Plan 2015- 2025

Healthcare

• Education 2020 Strategy• National Strategy for

Higher Education 2030• Ministry of Education

Strategic Plan 2017-2021

• Dubai Industrial Strategy 2030

• The UAE Strategy for the Fourth Industrial Revolution

Manufacturing

Infrastructure and Construction

Transportation, Logistics & Storage

• 3D Printing Strategy• Dubai Plan 2021

• Dubai Autonomous Transportation Strategy 2030

• Masar 2020• National Innovation Strategy

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BUILDING THE RIGHT BLOCKS FOR THE FUTURE Scale-up globally competitive

Dubai-based companiesWhole of government

approach

Identify and develop Dubai-based companies to compete

globally on future technologies & business models

5 year

timeIntegrated Government planning, services and

solutions

Reengineer the regulatory business environment

Business process reengineering to simplify the current

regulatory business ecosystem

Adapt or design new regulations to ease the

emergence of exponential technologies

Source: Frost & Sullivan

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COLLABORATIVE PRIVATE PUBLIC PARTNERSHIPSTest bed technologies

and ideas Co-investment in strategic

“future” projectsDevelop & export home-

grown technology innovations

• Prototype licensing system• Financial support• Improvement of IP and patent

protection− Technoprenuership− Toolkit on future readiness− Digitilisation and open data

Utilise PPP model fully for strategic projects covering emerging

technologies and innovations

Collaborative future project fundingPublic

Research

Centres

Intellectual

Property

transfer office

Corporate

R&D

FDI for R&D program

Source: Frost & Sullivan

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EDUCATION, RESEARCH, AND FUTURE SKILLS

Source: Frost & Sullivan

National Research and Education Network (NREN) for the UAE

(Ankabut)

SMET (Science, Maths, Engineering, Technology)

Integrated R&D University Clusters

• Technology skills for tomorrow

• Emphasis on science and mathematics education at primary schools

University-industry collaboration1

Third-generation university Cluster 2

Intellectual property model3

Technology transfer office (TTO)4

Integrated R&D Science parks

6 Entrepreneurship Development

Leading education technology

and innovation enabler

Collaboration between UAE

education, govt and industry

Responsible for design and

delivery of technology services

for members

Service co-creation/co-design

model

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IMPROVE OUR GROSS EXPENDITURE ON R&D (GERD)

Source: OECD, World Bank, Ankabut, Frost & Sullivan

Where does UAE stand (GERD), 2016

USA

$473.4 bn

(2.74%)

GERMANY

$109.4 bn

(2.86%)

CHINA

$409 bn

(2.1%)UAE

$4.28 bn

(0.7%)

• University-industry

collaboration (UIC) can

enhance GERD

• UAE Science,

Technology and

Innovation Higher Policy

Plan targets to increase

investment on R&D by

threefold and increase

% of knowledge workers

to 40% by 2021.

• AED 31 Bn investment

to enhance R&D across

priority sectors.

• AED 6 Bn to establish

innovation incubators

and AED 6 Bn to

develop and establish

research centres in

academia.

UAE Science, Technology and Innovation Higher Policy Plan

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DUBAI ECONOMY WITH OTHER GOVERNMENT AUTHORITIES WILL FACILITATE FUTURE INITIATIVES

Comprehensive Review and reform

of regulations

Sustained Business Community

Engagement

Future Readiness Toolkits

Behavioural insights to test public policies

for future initiatives

Translate Trends into opportunities Pow Wows

on Future StrategiesFuture initiatives

Development

Industry Skills

Remapping

Changemanagement

Continuous Evaluation and Review

Capacity and Capability

buildingSource: Frost & Sullivan

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DUBAI ECONOMY – ENGAGEMENT AND FUTURE ECONOMY ROLES

Thinker and Analyser

Facilitatorof Partnerships

& Platforms

Engager, Educate &

Advise

Initiator & Creator

Trends & Developments Globally & Implications for The Current & Future Industries

Stakeholders – Public, Private & International for collaborative initiatives (access to knowledge resources, benchmarking, etc)

Concepts & Ideas for Feasibility, Staging & Testing (“Kitchen” to develop new concepts & programmes covering all Future Initiatives)

Business Regulatory Change, Industry Structure and Markets Pulse & Feedback on Real Economy challenges and Resolutions

ENGAGEMENT & FUTURE ECONOMY

ROLES

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PROCESS OF ENGAGING & COLLABORATING WITH BUSINESS COMMUNITY GROUPS

• Identify the active business groups and its board members

• Identify & analyse industry challenges and propose solutions

• Conceptualise & collaborate to develop ideas for industry transformation opportunities

• Monitor and update the resolution of challenges

• Evaluate, Execute and Monitor ideas to transform industry

• Communicatewith the board members on theBCE role and initiatives

• DED willfacilitate with key governmentregulators to resolve industry challenges

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Let’s resolve current challenges, enhance our connections, build new capacities &

capabilities to capitalise future opportunities together

Thank You