Mark Forker engaged in a discussion with Vibhu Kapoor, the Regional Vice President of Epicor for the Middle East, Africa, and India, to understand how Epicor’s solutions are enabling the manufacturing sector in Saudi Arabia to embrace and capitalize on the digital transformation currently sweeping the region.
Vibhu Kapoor’s reputation as an IT pioneer in the Middle East is well-established. Starting his career at Microsoft in 2000 and later moving to SAP, Kapoor has been a significant player in the MEA region’s channel ecosystem through his roles at Infor and AntWorks, before taking on his current role at Epicor in 2021.
For over five decades, Epicor has been at the forefront, developing specialized software solutions to bolster businesses worldwide, with a focus on manufacturing, distribution, and retail sectors.
The digital revolution in the Kingdom of Saudi Arabia (KSA) is unfolding at an extraordinary pace. With the nation’s leadership committed to diversifying its economy through the Vision 2030 program, the aim is to shift away from oil dependency towards becoming a hub for technological progress and innovation.
Transformation is sweeping across all major industry sectors in the KSA, and with it come challenges. The manufacturing sector is no stranger to these hurdles, and Epicor is applying its deep-seated expertise to assist manufacturing organizations within Saudi Arabia to navigate this new era.
In conversation with Kapoor, he sheds light on the KSA’s manufacturing landscape, noting the sector’s value at approximately $170 billion in 2021, projected to grow to $210 billion by 2025. This 22.8% growth projection underscores the sector’s rapid expansion.
Kapoor emphasizes the KSA’s National Industries strategy, aimed at boosting locally manufactured goods and services to account for 60% of the market by 2025. He asserts that this strategy significantly benefits the manufacturing ecosystem as it embodies a comprehensive, end-to-end process.
Kapoor also observes the surge of foreign investment into the KSA’s economy, leading to a flurry of new regulations. He notes that the manufacturing growth introduces more automation, digitalization, and novel materials into the Kingdom, necessitating fresh thinking for the coming years.
Among the challenges faced by the manufacturing sector in the KSA, Kapoor identifies supply chain disruptions as a primary concern, further exacerbated by the COVID-19 pandemic, geopolitical tensions, and increased regulatory scrutiny.
Additional challenges include navigating the nuances of branding and content in the KSA market, setting quality standards for new manufacturing ventures, and fostering professional and technical expertise within the workforce.
Kapoor sees an incredible opportunity for the KSA to pioneer a Green Economy, leveraging sustainable models and clean technology from the outset of new manufacturing initiatives. This aligns with Vision 2030’s goals to construct industrial cities founded on green principles.
With the private sector taking a leading role in manufacturing, Kapoor anticipates a wave of innovation, job creation, and economic growth, in line with Vision 2030’s emphasis on privatization and diversification.
He advises organizations to adopt a measured approach to transformation, advocating for the right actions at the right times. Kapoor also acknowledges the efforts of the Saudi Advanced Manufacturing Hub in analyzing the digital maturity of the sector, which currently sits between 5 and 6 on a 10-point scale, with the latter half of the journey posing greater difficulty.
At Epicor, Kapoor champions a modular approach to Enterprise Resource Planning (ERP) solutions, offering flexibility, scalability, and cost-effectiveness to the manufacturing sector. He touts the benefits of Epicor Kinetic, the company’s flagship ERP, designed to support manufacturing organizations’ growth and diversification.
Lastly, Kapoor highlights the role of Artificial Intelligence (AI) in manufacturing, emphasizing the need for organizations to understand and define AI use-cases. With AI, manufacturing setups can minimize human error, boost cost efficiency, and enhance productivity. Kapoor concludes by underscoring Epicor’s use of AI to empower customers with insightful, data-driven decision-making capabilities.
