emaar, the economic city
Trusted Partner Journey
Emaar is the real estate developer of King Abdullah Economic City – a 181 million m2 project with a planned investment pot of AED367bn. A project of this scale required clarity and consistency of processes, so procurement set out to transform the IT systems that would support this. Firstly, they implemented a service business structure with a centralised-decentralised approach. The project was divided into several business areas, each assigned a business representative who led the area and reported into a Head of Procurement and CEO therefore every segment could meet its specific procurement needs, while aligning with the centralised processes. Procurement also developed a bespoke IT solution by adapting Oracle software, and a Trusted Partner Programme using sourcing strategies, and direct vendor partnerships which led to more competitive prices. Over the three-year project, processes were reduced from 35+ days to just eight, and procurement made more than 30% in savings, three times the target, 35% in negotiated savings, and 70% customer satisfaction.
Fantastic! The team showed a really good selection of leading technology to automate procurement processes, with a well-executed strategy. Overall, it was focused on well-defined objectives, working beyond silos to ensure group-level leverage.