J-Clinic Set to Revolutionize Disease Prevention, Detection and Treatment

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The Abdul Latif Jameel Magazine Autumn 2018

In this month’s issue we talk about Featured Articles J-WAFS in action: Farm waste to fertilizer - improving soil quality in agricultural communities Leading from the front: Our first female of finance The Greatest Challenge We Face? Unlocking Digital Success: Combining Industry 4.0 and Lean Management

Abdul Latif Jameel has been investing from the heart of Arabia across the promising MENAT region and beyond for over seventy years – shining a light on new opportunities for investment and growth. Trusted to open new doors; now, we are opening more. Helping people who strive for better, to have better: better means; better lives; better prospects. Helping businesses who look further, to reach further. Into new markets, new homes, and new considerations. We can do this because we are determined in our quest for new potential; and we succeed because we never lose sight of why this matters. In this magazine, we showcase our investment in the development of the economies and the quality of life of people in the region.

Contents J-Clinic set to revolutionize disease prevention, detection and treatment 01 Landmark Japan-Saudi investment set to boost Saudi Arabia’s Auto-manufacturing sector and export growth 03 J-WAFS in action: Farm waste to fertilizer - improving soil quality in agricultural communities 04 Abdul Latif Jameel Energy’s FRV announces 5th large Australian solar project 06 J-WAFS in action: A wearable testing kit to check for E. coli in water 07 J-WAFS Solutions continues to drive innovation: Agrowaste to fertilizer and safe drinking water 09 Leading from the front: Our first female of finance 10 Revolutionizing disease prevention, detection, and treatment through Machine Learning 12 Can renewable energy help answer water scarcity? 13 New name; next chapter: J-WAFS changes name to reflect breadth of capability and impact 14 Real people, real stories – a diverse family working together 15 Tala Samar awarded FRV ‘Young Talented Leaders’ scholarship at IE University 15 Saudi Arabia targets cultural tourists with major investment program 16 Making a stylish entrance: Abdul Latif Jameel Motors brings Lexus luxury to Moroccan motorists 18 The Greatest Challenge We Face? 19 Losing out on learning: J-WEL and Save the Children collaborate to tackle refugee education in the Middle East 23 Unlocking Digital Success: Combining Industry 4.0 and Lean Management 24 Events round-up 26

Editorial Team – You can contact the editorial team by sending an email to [email protected] The term “Abdul Latif Jameel” refers broadly to several distinct, separate and independent legal entities. Abdul Latif Jameel is not itself a corporate entity, association or conglomerate run by an overarching parent company but merely refers to a group of distinct and wholly separate legal entities that are collectively referred to as Abdul Latif Jameel. Abdul Latif Jameel is not a corporate group as defined in section 1161(5) of the Companies Act 2006.

Transforming medical outcomes for people around the world, the scale of the financial in Saudi Arabia, to partnering on the King around the world – that’s the bold ambition impact of AI in healthcare could be colossal. Salman Center for Disability Research. J-Clinic detection and set out for the Abdul Latif Jameel Clinic J-Clinic intends to be at the forefront of this continues our journey of supporting cutting- for Machine Learning in Health (J-Clinic), medical revolution. edge research and driving innovation in the newest collaboration between healthcare, in Saudi Arabia and around the Community Jameel and the Massachusetts whole world.” Institute of Technology (MIT) in Boston. This marriage of machine learning with clinical treatment The development of machine learning and biological insights aspires to spur a global artificial intelligence (AI) technologies that can transformation in the healthcare and medical revolutionize the prevention, detection and fields with the aim to save the lives of millions of treatment of disease will be put under greater people, spawn new technologies, and improve focus than ever when J-Clinic – the fourth major the entire healthcare industry around the globe. collaboration between Community Jameel and MIT – begins its work. J-Clinic will draw on MIT’s expertise in cellular and medical biology, computer science, It will concentrate on creating and engineering and the social sciences to help commercializing high-precision, affordable it advance three main areas of focus: and scalable machine learning technologies in areas of healthcare ranging from diagnostics to Hassan M Jameel, Deputy President 1. Preventative medicine methods and and Vice Chairman, Abdul Latif Jameel pharmaceuticals, across conditions as diverse technologies with the potential to change as cancer, Alzheimer’s, Parkinson’s, diabetes, “Channeling MIT’s machine learning expertise the course of noninfectious disease by kidney disease and asthma. into healthcare will transform medical stopping it in its tracks. outcomes for people around the world,” 2. Cost-effective diagnostic tests that According to Accenture, the use of AI says Hassan Jameel, President of Community may be able to both detect and alleviate technologies in the healthcare economy could Jameel Saudi Arabia. health problems. create annual savings of US$ 150 billion by 20261. 3. Drug discovery and development to enable Among these savings are US$ 40 billion through “Healthcare has been an important sphere faster and cheaper discovery, development, robot-assisted surgery, US$ 5 billion through of activity for Community Jameel since our and manufacture of new pharmaceuticals, preliminary diagnoses, and US$ 3 billion through earliest days, from founding the first non- particularly those targeted for individually 1 Artificial Intelligence (AI): Healthcare’s New Nervous System, Accenture, 2017 automated image diagnoses. If repeated profit hospital for physical rehabilitation customized therapies.

Health care AI in action AI to drastically cut the time and AI and machine learning technologies expense of new drug development are already pushing the boundaries is clear. of health care into areas that were undreamt of even a decade or Novartis, Sanofi, Pfizer, two ago. GlaxoSmithKlein, Amgen and Merck are among the pharmaceutical giants At the Royal Free Hospital in London, to have announced partnerships for example, British AI research with AI startups aiming to discover firm DeepMind has created a tool new drug candidates for a range that analyzes live health data to of diseases, from oncology and identify the patients at greatest cardiology8. risk of a sudden and fatal loss of Anantha P. Chandrakasan kidney function2. Pfizer is using IBM’s AI technology Dean of the MIT School of Engineering “Watson” to power its search for Meet the J-Clinic leadership team Anantha P. Chandrakasan, Dean of In the United States, AI is already immuno-oncology drugs, while Anantha P. Chandrakasan the MIT School of Engineering, has being used in the battle against Sanofi has signed a deal to use UK Chair (far-right of photo) been named as the Chair of J-Clinic. diabetes, which is estimated to cost start-up Exscientia’s AI platform to Left-to-right: Hassan M. Jameel, President Community Jameel Saudi Arabia, Rafael L. Reif, MIT President and • Dean of the MIT School of Engineering “J-Clinic will make a difference in the country more than US$ 245 billion hunt for metabolic-disease therapies, Fady M. Jameel, President Community Jameel International share a handshake and congratulations at the J-Clinic launch event. • Co-chair of the MIT-IBM Watson AI Lab patients’ lives everywhere from each year in medical bills and lost and Roche subsidiary Genentech is • Chair of the MIT-SenseTime Alliance on 3 major hospitals to villages in the wages . Virta Health’s combination using an AI system to help drive the of Community Jameel and MIT and fields from cancer to neuroscience, Artificial Intelligence developing world,” he says. “It of smartphone app, AI software multinational company’s search for builds on the achievements of our and our longstanding connections will draw on MIT’s longstanding and real-world doctors has helped cancer treatments9. many joint projects to date.” to Boston’s world-class medical Regina Barizlay, Faculty Lead strengths in biomedical fields, on 87% of patients who had been relying community, J-Clinic offers an (center-right of photo) our decades of collaboration with on insulin to control their condition An enduring partnership J-Clinic, which will represent a accelerated path to creating new • Delta Electronics Professor of Electrical the concentration of world-class to either decrease their dose MIT and Community Jameel are key part of the MIT Quest for technologies that could help Engineering and Computer Science teaching hospitals in Boston, and or eliminate their use of longstanding partners through three Intelligence, will support education, make healthcare more effective at MIT on our proximity to the world’s insulin completely4. other major collaborations: the research projects, workshops and everywhere – from villages in • Investigator at the Computer Science major biotech companies.” Abdul Latif Jameel Poverty Action other activities at the intersection developing nations to major and Artificial Intelligence Laboratory Similarly, the use of AI is enabling Lab (J-PAL), which was established in of machine learning and biology. teaching hospitals.” • Recipient of a MacArthur Fellowship Regina Barzilay and James Collins review and translation of 2003; the Abdul Latif Jameel Water It will also seek to advance James J. Collins, Faculty Lead have been named as J-Clinic’s mammograms 30 times faster with and Food Systems Lab (J-WAFS), patentable research that could “We are grateful to Community (center-left of photo) inaugural Faculty Co-Leads. 99% accuracy, reducing the need which was established in 2014; be commercialized and spun out Jameel for their humanitarian vision, • Termeer Professor of Medical “Today almost every aspect of for unnecessary biopsies as well as and the Abdul Latif Jameel World through licensing to startups and boldness, generosity and continued Engineering and Science our life is driven by machine reducing the uncertainty and stress Education Lab, (J-WEL) which was pharmaceutical companies, putting enthusiasm for collaborating with • Professor of Biological Engineering 5&6 learning predictions – be it travel, of a misdiagnosis . created in 2017. these advances into real-life practice. MIT on their efforts to help make a at MIT banking or entertainment,” says better world.” • Recipient of a Rhodes Scholarship Barzilay. “The only area where AI has also been found to accurately “We have worked together for more MIT President L. Rafael Reif says: “The and MacArthur Fellowship we do not benefit from this find specific anomalies on chest than 20 years on a mission to make healthcare system has no shortage powerful technology is the one CT images between 62% and 97% a better world,” says Fady Jameel, of data. But it has far too little access Phillip A. Sharp, Chair, Advisory Board which impacts us the most, our faster than manual checks, giving President of Community Jameel to the kinds of tools and experts (far left of photo) healthcare. The goal of the center radiologists more time to focus International. who can translate population- • Institute Professor at MIT in the Koch is to change it. We aim to bring the on reviews that require greater level data into clinical insights that Institute for Integrative Cancer Research best of AI technology we develop interpretation or judgement7. “With its goal of revolutionizing could make it possible to tune care • Nobel Prize in Physiology or Medicine in our labs at MIT to hospitals and healthcare around the globe, the precisely for individuals.” (1993) • National Medal of Science (2004) clinics in the United States and In terms of drug discovery and launch of J-Clinic opens an exciting MIT President L. Rafael Reif, speaking at the around the world.” development, the potential for new chapter in the shared history “Building on MIT’s deep expertise in J-Clinc launch, MIT Boston

2 A digital revolution in healthcare is speeding up, The Economist, 2 March 2017 5 What doctor? Why AI and robotics will define New Health, PwC, June 2017 8 The AI Industry Series: Top Healthcare AI Trends To Watch, CB Insights, 3 How Artificial Intelligence Will Cure America’s Sick Healthcare System, 6 This AI software can tell if you’re at risk from cancer before symptoms appear, accessed October 2018 Newsweek, 24 May 2017 Wired, 26 August 2016 9 How artificial intelligence is changing drug discovery, Nature, 30 May 2018 J-Clinic 4 How Artificial Intelligence Will Cure America’s Sick Healthcare System, 7 10 Promising AI Applications in Healthcare, Harvard Business Review, ABDUL LATIF JAMEEL CLINIC FOR Newsweek, 24 May 2017 10 May 2018 MACHINE LEARNING IN HEALTH

© Abdul Latif Jameel IPR Company Limited. All rights reserved. The Abdul Latif Jameel name, and the Abdul Latif Jameel logotype and pentagon-shaped graphic are trademarks, or registered trademarks of Abdul Latif Jameel IPR Company Limited. 02 The Abdul Latif Jameel Magazine Autumn 2018 Japanese automotive manufacturer Kosei and Shunkichi Kamiya, CEO and President of Kosei, said at a Abdul Latif Jameel have signed an agreement with ceremony to mark the agreement: “We are delighted Saudi Arabia’s National Industrial Clusters Development to sign this MoU with NICDP and Abdul Latif Jameel Program (NICDP) to explore the manufacturing of to discover the enormous potential and various aluminum wheels in the country. opportunities in Saudi Arabia, as well as the MENA region. With the natural advantages possessed by Saudi The deal, the first major Saudi Arabian automotive Arabia combined with the technological contribution components venture aimed at manufacturing goods for of Kosei, we hope to succeed in our ambition to the export market, will see Abdul Latif Jameel, Kosei and contribute substantially to the development of the NICDP undertake a feasibility study into manufacturing country’s manufacturing sector.” automotive aluminum die casting wheels and components. This would contribute to the development Abdul Latif Jameel Vice Chairman and Deputy President, of Saudi Arabia’s manufacturing industry – a key priority Hassan Jameel, said: “This MoU explores the exciting of Vision 2030. potential to bring manufacturing skills and jobs to Saudi Arabia and marks the first Saudi Arabian venture Long term plans for the venture include developing a new in large scale automotive components manufacturing global hub for Kosei, contributed by Saudi Arabian Mining for export. The agreement is an important step in Company (Ma’aden), its first outside Japan and the United NICDP’s efforts to develop the manufacturing industry States. The volume of wheels produced would represent in Saudi Arabia in accordance with Saudi Vision 2030, a significant world market share and seem set to generate and strives to make a valuable contribution to the Saudi significant local employment opportunities. automotive cluster.” Left-to-Right: Eng. Abdallah Al Hazani, VP, Automotive Cluster, NICDP, Shunkichi Kamiya, CEO & President, Kosei Aluminum, and Shigeki Enami, President & CEO, Abdul Latif Jameel Japan The signing came ahead of an expected visit to Saudi Arabia by Japanese Prime Minister, Shinzō Abe, and follows a visit by King Salman bin Abdulaziz Al Saud in March Landmark Japan-Saudi 2017, during which Saudi Arabia and Japan agreed to deepen existing bilateral relations and establish a solid strategic partnership, as part of the Saudi-Japan Vision 2030.

Mohammed Abdul Latif Jameel, Chairman & CEO Abdul Latif Jameel, investment set to boost and Masato Ohde, Director of Kosei Aluminum Co., Ltd. at the initial MoU cooperation signing in Spring 2018 Saudi Arabia’s Auto- manufacturing sector and export growth

J-WAFS in action: Farm waste to fertilizer - improving soil quality in agricultural communities Ahmed Ghoniem, Professor in the Department in the wrong context - can often lead to soil and plant matter and then mix the resulting of Mechanical Engineering at MIT (above), and acidification and crop yield loss. ‘char’ in the soil to fertilize it. Kevin Kung, a PhD student in the School of Engineering, are leading one of the latest MIT For example, I was working in Kenya in 2013, and The technology to scale up and commercialize research projects awarded J-WAFS funding I noticed that a lot of smallholder farmers would this so-called ‘torrefaction’ process is not earlier this year. Ahmed and Kevin are looking indiscriminately use one type or other of chemical new either. But it is a very large-scale process, to refine new biomass processing technology fertilizer, without consideration for the specific producing hundreds of tons a day, and the to produce fertilizer on a small scale in rural nature of the soil. In some cases, it led to an equipment costs millions of dollars. communities, using mostly local resources, improvement in yield, but in other cases it had the labor and agricultural waste. opposite effect. Many farmers had noticed that Our objective is to design something that brings their soil was degraded, but they weren’t sure why. the torrefaction process to the local level, so it Opening Doors spoke to Ahmed (AG) and Kevin can work in rural settings, using locally available (KK) about the project and its aims. Part of the problem was knowledge, in that they resources and labor, to cost-effectively produce weren’t aware of the correct fertilizer for their fertilizer on a village or community scale. Q. What is the title of your research project? context, but it is also about access. Imported AG: The project is called “Decentralized fertilizer tends to be quite expensive, so farmers AG: There is also a second objective, which torrefaction for producing high-yield, irrigation- can often only afford the cheapest variety. They is to develop a ‘clean’ method of biomass saving fertilizer.” don’t have five or 10 different types to choose torrefaction that doesn’t release harmful from, according to their soil type. compounds, like soot, into the environment. Q. What issue are you seeking to address? KK: Many smallholder farmers in rural Q. In simple terms, can you briefly describe So although the concept of biomass communities, particularly in developing your proposed solution? torrefaction is not new, we are trying to make countries, depend on costly, synthetic KK: The general concept of burning organic it more environmentally-acceptable at a fertilizers imported from abroad. The misuse waste to produce fertilizer is not new. For scale where it is both economically viable and of these fertilizers – using the wrong fertilizer thousands of years, people would burn wood accessible to farmers.

Q. Could you explain the torrefaction process? torrefaction system that can move from and capabilities in these areas, so that most of KK: Torrefaction is a thermo-chemical process. community to community on the back or a the equipment can be produced and assembled You start with biomass, such as old crops or trailer or similar. Optimizing the process clearly locally, keeping costs to a minimum. agricultural waste and you heat it up. The heat means we need to find the right size farm or causes chemical reactions in the matter and you village where that torrefaction reactor can Q. How important is this funding from J-WAFS

lose a lot of the ‘bad’ stuff, like acids and CO2. park up and perform the process, and leave the Solutions in terms of helping you achieve these What’s left is something that is more carbon charcoal behind to be used on the farm, ambitions? rich, called ‘torrefied biomass’, or ‘biochar’. or distributed locally. There may even be AG: It is vital. Most of our previous work on This is alkaline, so in acidic soil it acts as a liming surplus product that could be sold to earn biomass torrefaction has been focused on agent and restores a lot of the nutrients and the additional income. turning biomass into energy, rather than pH balance to the soil. fertilizer. So the whole area of agriculture and Q. Are you confident that the product can food production is relatively new to us. Produced under the right conditions, it also be delivered at a low enough cost to be has a porous structure that allows it to retain commercially viable in those communities that The funding from J-WAFS Solutions is enabling nutrients and moisture more effectively, most need it? us to take the essential first steps to start which can help to improve the condition of KK: This is one of the areas we are looking to making in-roads into this market, and hopefully bleached soil. refine over the next 12 months, to demonstrate turning our vision into a reality. that this will work. Q. Is your technology aimed at individual The basic technology is already in place and we We are confident, too, that working with farmers, or at the village and community level? have demonstrated that it will work in the lab. J-WAFS can help us not only in terms of the KK: Typically, we expect it to be aimed at a The next task is to scale it up and make sure it technology development, but also in exploring village level, so maybe a 10-20km radius with still works in the environments we are focusing diversification and the commercialization of about 500 to 1,000 farmers. It’s much easier to on, or if we need to make any interventions. And the technology. coordinate it at a village level where you have a then how do we translate that into a design that harvest season and it is very intensive. uses local components as much as possible.

AG: This is actually one of the issues we’re still AG: The local manufacturing element is working in. Our concept is based on a mobile important. We want to explore the local talent Kevin Kung, a TATA Fellow and PhD candidate in biological engineering, feeds rice husks into the torrefaction reactor in his lab at MIT. A thermochemical process will convert the biomass to a more energy-dense form, making it easier to transport and use as fuel. Photo: Ben Miller, MIT

Fotowatio Renewable Ventures (FRV), a leading global developer of renewable utility-scale projects and part of Abdul Latif Jameel Energy, is to develop an 85 MWac solar project in the Australian state of Victoria.

The project was awarded through its subsidiary Winton Asset Trust with the support of the State Government in the Victorian Renewable Energy 2017 Reverse Auction Scheme aimed at supporting the achievement of the Victorian Renewable Energy Targets (VRET),

Covering approximately 250 hectares, the 85 MWac Winton Solar Farm near the town of Benalla is due to start Futures Group, helping to deliver key aspects of their construction in early 2019. Once operational, it will supply three-point plan to position Benalla as one of the first enough electricity to power around 50,000 homes and ‘zero net energy’ towns.

deliver an annual reduction of 150,000 tons of CO2. Winton Solar Farm is FRV’s fifth large-scale solar project The solar farm will create job opportunities during in Australia since it entered the market in 2010, and the both construction and operation phases, including first in the State of Victoria. The other projects are Royalla an estimated 150 workers required to build the plant, (20 MWac) in the Australian Capital Territory; Moree and the development of a local employment and (56 MWac) in New South Wales and Clare (100 MWac) procurement program that will create indirect economic in Queensland. In addition, FRV is about to finish the opportunities for local businesses and the community. construction of the Lilyvale solar plant (100 MWac) in Queensland. In line with Victorian State Government’s goal to strengthen community support of renewable energy These five developments, when all operational, will projects, FRV’s Community Engagement and Social generate around 365 MWac of clean energy capacity, Benefit Sharing Plan aims to meet the needs of the local bringing the total value of FRV’s solar investments in community and includes a two-year pilot partnership the Australian renewable energy sector to around with the Regent Honeyeater Project, one of the most A$ 850 million. active volunteer conservation projects in Australia. Abdul Latif Jameel FRV is also exploring support of the Benalla Sustainable “With this, our fifth major project in Australia, Abdul Latif Jameel Energy is proud to continue to be a part of the development of a sustainable energy Energy’s FRV and economic future of Australia.”

Daniel Sagi-Vela Chief Executive Officer of FRV, solar and wind renewable energy company announces 5th large and part of Abdul Latif Jameel Energy Australian solar project

Opening Doors spoke to Jeffrey (JR) and Susan (SM) about the project and its aims.

Q. What is the title of your research project? JR: The project is called “Manufacturing and marketing E. coli test kits to promote safely managed drinking water and improved public health in Nepal.” That’s where our project to produce and distribute a simple, low-cost E. coli test fits in to the global picture. Q. What issue are you seeking to address? SM: To provide some context, one of the UN’s There are already other kits that perform a similar task, Millennium Development Goals was around access but for one reason or another, they are not always to “improved” water. suitable for different contexts, such as remote off-grid locations that don’t necessarily have electricity or high-quality testing labs. Some of the reasons for this include portability, complexity, cost, ease of use, accuracy and so forth.

Our kit is designed to overcome these challenges by being portable, low cost at under at most US$ 1 per test, easy to use and highly accurate.

Q. In simple terms, can you briefly describe your This wearable water quality test kit provides a simple, accessible way to test the presence of E. coli in drinking water. Photo: Susan Murcott/MIT D-Lab proposed solution? SM: The testing kit actually performs two tests. One is a simple presence/absence test for E. coli. It simply tells you if there is E. coli present in the water or not. The second element is a quantitative test, which gives us much wider information on the nature of any water J-WAFS in action: contamination. Susan Murcott is a water/wastewater engineer and mentor to a generation of MIT students whose creative innovations are at the interface of water, sanitation and hygiene solutions for the bottom billion. A wearable testing kit to It’s important to understand, however, that the term “improved” refers to the infrastructure that delivers the water – like a household connection, a public standpipe, a bore hole or a protected well – not the quality or check for E. coli in water safety of the water. So in India, for example, there is five hours of piped water supply a day, on average, but that doesn’t mean the water is safe to drink. The only way to determine water safety is to test it.

The UN’s Sustainable Development Goals took this Jeffrey Ravel, ambition one step further and set a target to improve Professor and Head of the MIT History Faculty access to “safely managed drinking water” by 2030. One of the criteria that defines water safety is whether it has been tested for E. coli.

JR: The really innovative bit of our kit, marketing strategy - which communities, the kit, the packaging materials, and the Management and with MIT’s Technology though, is the body belt incubator. Once what kind of packaging, and so on. The chemicals within the tests themselves. and Policy Program to develop an the water has been mixed with the test, market for these kits could range from We’ll start in Nepal and move into economically feasible production plan for the phials are incubated in a special body individual consumers and private groups, Bangladesh next year, we hope, and manufacturing the kits, and a sales plan belt incubator that users wear for 24 to NGOs and government entities. We then out from there into the wider to commercialize them and bring them hours. The users’ body heat provides the need to think about those different South Asia region. to market. So, there are a lot of elements heat required for the chemical process of constituencies and their differing needs as to what we’re hoping to accomplish over the testing. This means you don’t need part of the marketing strategy. Q. How will J-WAFS funding enable you the next 12 months, and we wouldn’t have to rely on an external power source to to take your research further? been able to do it without the funding test the safety of the water. Q. Are your kits aimed at individuals, or SM: Until now, we’ve been putting the kits from J-WAFS. It can literally be done anywhere. at the village and community level? together ourselves on pretty much an SM: The aim is that anybody can use the ad hoc basis. In 2016, we shipped 2,000 SM: That’s right. The tests themselves kit and do the tests. If you wanted further of them to Nepal for the Nepali non- are not new. The innovation is in bringing verification, if you found out your well was governmental organization, Environment together these existing elements into a contaminated, you could tell your local and Public Health Organization (ENPHO), wearable, low-cost testing kit and then, government official and hopefully they to test water found in food trucks and crucially, distributing it to the regions would do some further testing. mobile water tanks in the Kathmandu in Nepal where water safety is a Valley in the wake of the April 2015 Water testing kit assembly at EcoConcern priority issue. Q. Are the kits suitable for use in other earthquake. They proved highly effective environments, or just in Nepal? in testing for the presence of E. coli. JR: That’s another of the issues we Following this success, the J-WAFS plan to look at - the durability and Solutions grant will enable us to partner versatility of the kit. Nepal has a great with ENPHO and its business subsidiary Q. What are your priorities over the deal of geographic diversity. One of EcoConcern, to refine the design of the next 12 months? the things that we hope to address with kits based on feedback from users in JR: Our project is called “Manufacturing the J-WAFS grant is to send prototype Kathmandu and my subsequent work on and Marketing E. coli Kits in Nepal”, so kits to communities in different parts kit design and application in Ghana, the a big part of it is to figure out how to of the country, from the foothills of the Philippines and Puerto Rico. manufacture the kits and get that price Himalayas down to the sea-level tropical point down below US$ 1 per test. climate of the southern part of the Once the design is complete, we intend The other part is to figure out the country, to test both the durability of to partner with MIT’s Sloan School of

Nepali classroom learning about Piyush EcoCncern chlorine solution product

One project is developing a low-cost, portable reactor unit that enables farmers to turn agricultural waste into an inexpensive fertilizer product. This material, when added to soils, promotes plant growth, increases crop yields, and reduces irrigation needs compared to conventional farming methods.

The second project aims to enable rural communities in developing countries to test E. coli levels in drinking water via an With rising populations, climate change affordable and accessible mobile kit. The and urbanization, we need to start technology has already been successfully taking action now to meet the world’s piloted in Nepal. With this latest grant, future needs for food and water. the team hopes to improve the test kit’s design and create a marketing and Community Jameel is proud to be a key distribution plan to reach communities partner of MIT in tackling some of the at risk of water-related diseases from most pressing issues related to food unsafe drinking water. and water safety and security in the Middle East and around the world.” Both these technologies aim to address J-WAFS Solutions continues to issues that can be particularly relevant to Fady M Jameel communities that face food supply and President, Community Jameel water safety challenges. International

According to a report released by the drive innovation: Agrowaste to World Health Organization (WHO) in Launched in 2014 by MIT and Community 2017, approximately 2.1 billion people Jameel, J-WAFS Solutions grants lack access to safe, readily available provide one year of financial support. water. And according to the Food and This is accompanied by mentorship fertilizer and safe drinking water Agriculture Organization of the United from industry partners and additional Nations (UNFAO), 70% more food networking and guidance, supporting will be needed by 2050. Developing project teams as they advance their technologies that are accessible and technologies toward commercialization. in rural communities relevant to the people most affected Last year, J-WAFS announced support for by these challenges can help reduce other new technologies that use wood as these statistics. a low cost water filter; apply smartphone technology to detect harmful bacteria Both new technologies have the in food; and test the quality of milk via a potential for high impact in the Middle handheld device.

Leading from the front: Our first female of finance

At a time when women are starting to make an the challenges women face in the business working closely with the senior management ever-increasing contribution to Saudi Arabian world, and recognizes the achievements of team to develop and grow the business. society, one woman is demonstrating that those who are successfully overcoming them. when it comes to corporate success, gender is After five years, she was asked to manage the no barrier at Abdul Latif Jameel. Education ambitions launch of Volkswagen’s captive automotive Nilüfer’s success is no accident. She had finance provider in Turkey, a joint venture Nilüfer Günhan is recently appointed Chief ambitions to be a successful business leader between Volkswagen AG and the Turkish Financial Services Officer, at Abdul Latif Jameel, from an early age. Eager to broaden her distributor, and became its sales and and was previously Chairman of ALJ Finans, education outside Turkey, she successfully operations director. which provides financial services products applied for a scholarship to study for an MBA to consumers looking to purchase a car at the University of West Georgia in Atlanta, A three-year stint in the UK to help establish from Abdul Latif Jameel’s Toyota and Lexus USA. After completing her MBA, she was Volkswagen’s finance business was followed by distributorships in Turkey. determined to put her new knowledge to a return to Turkey as general manager of the good use back home. Turkish subsidiary of BNP Paribas, where she ALJ Finans in Turkey was barely two years’ old transformed a struggling consumer finance when Nilüfer joined the company in 2011. Since “Throughout my time in the United States, business into the third biggest automotive then, she has guided it to become one of the I was thinking ‘how can I put this knowledge finance company in the market. biggest and fastest growing automotive loan to use in Turkey’. It’s in my character to providers in the market. challenge the accepted ways of seeing and “It’s a pattern throughout my career. doing things, and I came back with many ideas I’ve worked mainly in newly-established Such has been her success that in September of ways to do that,” she recalls. companies, helping to position them, grow 2018, Nilüfer was ranked 37 in a list of Turkey’s them and transform them in their respective 50 most powerful women CEOs, compiled by It did not take long for her to start putting that markets. I got used to the adrenaline, I think!” Capital and Ekonomist magazines. knowledge into action. On her return to Turkey, says Nilüfer. she joined the newly-established Volkswagen The list, first published in 2012, aims to highlight distributor as finance and treasury manager,

“Historically, you don’t find many women at senior levels in the automotive sector, either in Turkey or anywhere else. But this is changing, as education levels and urbanization increase. Women want to work and they are getting more opportunities to do so.

Vision 2030 states a target of a 30% female workforce in Saudi Arabia by 2030. At Abdul Latif Jameel, we are hiring a lot of young, talented women and we expect that to continue. It’s very exciting to see these changes occurring.”

Her latest challenge with ALJ Finans will see her transferring her experience and expertise from Turkey and elsewhere to drive forward Seizing the opportunities She says that the trust and support she Abdul Latif Jameel’s finance services in other When the offer came to join ALJ Finans in received gave her the confidence to launch markets, such as Saudi Arabia, Egypt and in 2011, she’d already been working with the bold initiatives that turned ALJ Finans North Africa. Abdul Latif Jameel for two years, as BNP into a market leader in digitalization. It’s an Paribas in Turkey was its automotive financial approach she takes with her own team, too, Says Nilüfer: “The challenges are different services partner. Despite the challenges regardless of gender. in these markets. They are younger, the that commonly face female business leaders, regulatory regimes are still evolving, the particularly in traditional cultures like many in “Gender shouldn’t be important in business. infrastructure is still developing. There is the MENAT region, she already knew the senior To be efficient, we need people who an opportunity for us to build a totally new management team at ALJ International and add value to the company, be it men or business based on innovation, efficiency Turkey and was excited by what she’d seen. women. I have been so fortunate that all and technology. But it is achievable. We my executives throughout my career have have very motivated, experienced teams “We already had a good synergy as we’d been so supportive. They have given me big in these markets. I’m looking forward been working together successfully for responsibilities, sent me abroad, asked me to working with them to turn these two years. We’d helped them launch their to manage large projects, and these have opportunities into reality.” automotive finance proposition in Turkey all strengthened my position. As a business and they had subsequently doubled their leader, I try to follow the same policy,” sales. I was excited by the opportunities I she says. saw to take it further,” she says. Excited for the future Nilüfer spent seven years as CEO at ALJ Has it been harder for her to make an impact Finans, before her promotion to Chairman in as a woman in a traditionally male-dominated April 2018. During that time, she established industry? Possibly, which makes her success the business as a leader in innovation in the all the more impressive. But Nilüfer is Turkish automotive financing sector, with optimistic that things are changing. She may revolutionary services such as robotic process be one of the first women to rise to the very automation, decision support automation, top of the automotive finance sector in the customer e-care, KredimOL mobile app and MENAT region, but she is confident she will e-contract, plus a number of industry awards. not be the last.

Community Jameel and MIT utilize MIT’s strong expertise have announced their fourth in cellular and medical biology, The Abdul Latif Jameel Clinic major collaboration that aims computer science, engineering, for Machine Learning in Health to help revolutionize the and the social sciences, amongst at MIT aims to revolutionize disease prevention, detection, future of health care - the other areas. and treatment. Abdul Latif Jameel Clinic for Machine Learning in Health, J-Clinic will capitalize on MIT’s Our core mission is to incubate or ‘J-Clinic’. strong relationship with industry research at the intersection and health care providers to of computer science, big test, integrate, and deploy new data, and the life sciences, technologies. It will also seek and to drive the creation and to advance patentable research commercialization of high- that could be commercialized precision, affordable, and J-Clinic, a key part of the MIT and spun-out through licensing scalable machine-learning Quest for Intelligence, will focus to startups and pharmaceutical technologies to health care. on developing machine learning companies. technologies to revolutionize Earlier collaborations between the prevention, detection, and “Channeling MIT’s machine MIT and Community Jameel treatment of disease. It will learning expertise into include the Abdul Latif Jameel concentrate on creating and healthcare will transform medical Poverty Action Lab (J-PAL), commercializing high-precision, outcomes for people around established in 2003, which affordable, and scalable machine the world,” said Hassan Jameel, seeks answers to poverty in learning technologies in areas President of Community Jameel a changing world; the of health care ranging from International. “Healthcare Abdul Latif Jameel Water and diagnostics to pharmaceuticals, has been an important sphere Food Systems Lab (J-WAFS), with three main areas of focus: of activity for Community created in 2014, which addresses Jameel since our earliest days. food and water scarcity and safety • Preventative medicine J-Clinic continues our journey issues as the result of population methods and technologies of supporting cutting-edge rises and climate change; and with the potential to change research and driving innovation the Abdul Latif Jameel World the course of non-infectious in healthcare.” Education Lab (J-WEL), launched disease by stopping it in its in 2017, which pursues innovative, tracks. Anantha P. Chandrakasan, dean scalable, and sustainable • Cost-effective diagnostic of the MIT School of Engineering educational innovation. tests that may be able to both and Vannevar Bush Professor detect and alleviate health of Electrical Engineering Community Jameel and MIT problems. and Computer Science, who have also collaborated in the • Drug discovery and will serve as J-Clinic’s chair, Abdul Latif Jameel-Toyota Revolutionizing disease development to enable commented: “J-Clinic will Endowed Scholarship since 1994 faster and cheaper positively impact the world and the MIT Enterprise Forum discovery, development, by accelerating the creation Arab Startup Competition and and manufacture of new of machine learning a Saudi Start-up Competition. prevention, detection, pharmaceuticals, particularly technologies and algorithms those targeted for individually that will make preventing, To keep up to date with the customized therapies. detecting, and treating disease work of J-Clinic, sign-up for more precise, affordable, the newsletter here. and treatment through J-Clinic’s holistic approach will and personalized.” Machine Learning

© Abdul Latif Jameel IPR Company Limited. All rights reserved. The Abdul Latif Jameel name, and the Abdul Latif Jameel logotype and pentagon-shaped graphic are trademarks, or registered trademarks of Abdul Latif Jameel IPR Company Limited. 12 As Saudi Arabia continues to advance The Abdul Latif Jameel Magazine towards a clean energy future by Autumn 2018 investing in solar and wind energy, analysis from the World Resources Institute (WRI) suggests it could be a strategic decision with profound consequences.

The WRI has named Saudi Arabia as third in its list of the world’s top 20 water-stressed countries with the most solar energy potential1. Other MENAT countries to feature in the list’s top 10 include Yemen (1), Oman (4), Libya (5), Algeria (6), Morocco (7), United Arab Emirates (8) and Jordan (9)2.

The implications of this finding are significant: most traditional power production uses vast amounts of water to cool steam or power turbines, adding to the huge pressures on already scarce water resources. Solar power production, on the other hand, poses no such challenges to water-scarce environments.

For countries like Saudi Arabia, where severe water scarcity is compounded by the expectation that energy consumption will treble by 2030, the need is particularly pressing. Water supplies are under pressure due to higher Can renewable energy than average per person use and rapid Furthermore, Saudi Arabia’s position in 6700 Wh/m2)5, Saudi Arabia has the growth in industrial water demands. the ‘Global Sunbelt’ gives it an envious potential to dominate the solar energy advantage over many other water scarce landscape in the same way it has been WRI analysis of the similar situation countries. With some of the highest solar a global superpower in oil. help answer water scarcity? in India, however, demonstrates the irradiances in the world (annual average potential gains that could be achieved daily global horizontal irradiance Through its wholly-owned renewable Could joined-up thinking on energy and water scarcity help to propel Saudi Arabia and other by switching power production to (GHI) is measured at 5700 WH/m2 to energy business Fotowatio Renewable countries towards a cleaner, bolder, healthier future? renewable energy: the WRI found that if India meets its renewable energy targets, it could reduce its water consumption by more than 25%3. So the opportunities to ease the water stresses being placed on Saudi Arabia and other countries across the MENAT region are clear to see.

With a Vision 2030 target of generating 9.5GW of renewable energy by 2023, which has already been brought forward by seven years from its initial date of 2030, the Saudi Arabia government is moving fast to maximize the potential benefits its natural environment 1 Which countries could gain the most from renewable energy? World Economic Forum, 4 Renewable Energy Market Analysis: The GCC Region, International Renewable 17 May 2018 Energy Agency, 2016 presents. This is reinforced by its stated 2 These 20 Water-Stressed Countries Have the Most Solar and Wind Potential, 5 Assessment of solar radiation resources in Saudi Arabia, Solar Energy World Resources Institute, 10 May 2018 (vol. 119, pg 422-438), September 2015 goal of generating 54GW of renewable 3 Parched Power: Water Demands, Risk, and Opportunities for India’s Power Sector, energy by 20404. World Resources Institute, January 2018

Ventures, (FRV) Abdul Latif Jameel Energy is already working to help countries such as Saudi Arabia to capitalize on their enormous renewable energy potential. Its leadership team can call on knowledge and best practice gained from installations as far afield as Chile and Australia, delivering a world-leading solution to some of Saudi Arabia’s most pressing natural resources issues.

New name; next chapter: J-WAFS changes name to reflect breadth of capability and impact

The Abdul Latif Jameel Water and and safe and nutritious food, as well as clear winner for conveying the Daniel Sagi-Vela Food Security Lab at MIT (J-WAFS) issues such as food and water safety, comprehensive perspective Chief Executive Officer, FRV has changed its name to the access to fertilizer, water purification, and breadth of our work across Abdul Latif Jameel Water and Food climate change, and the sustainability the Institute.” Daniel Sagi-Vela, Chief Executive Officer Systems Lab. A new tag line, “Securing of our water supplies and food of FRV, solar and wind renewable energy humankind’s vital resources” production systems. Established in 2014, J-WAFS works to company and part of Abdul Latif Jameel accompanies the new name. advance knowledge and innovation to Energy said: “Abdul Latif Jameel Energy build resilient systems that can deliver has been leading the way on developing Three Saudi Arabian regions hold In doing so, it can drive forward The change, announced in safe and adequate supplies of water solar projects in the region [and] … we average wind speeds of eight meters a precedent that could transform September, is to reflect the broader and food for our changing world. remain committed to being the leading per second – 33% higher than the other water-scarce economies and range of food and water challenges solar PV development company in the point at which wind energy becomes deliver an enhanced quality of life for the lab’s research focuses on. It has funded innovative research Middle East and beyond.” commercially viable. Saudi Arabia’s citizens. projects from all five schools at MIT. The terms “food system” or Well over 10% of all MIT faculty— It is not only solar power that could help With this combination of natural “water system” refer to the diverse from disciplines as diverse as to ease Saudi Arabia’s water scarcity resources, together with commitment array of activities, resources, and “Our goal in this name change is mechanical engineering, chemistry, issues. It is also well placed to make use at the highest levels of Government and technologies—as well as policies to even more accurately represent and anthropology—have submitted of the falling costs of wind power, ranking the expertise of industry leaders such as and economics—involved in the what we already do,” said J-WAFS’ proposals for J-WAFS funding. as the 24th water-stressed country with Abdul Latif Jameel Energy, Saudi Arabia production, processing, transport, director, Professor John Lienhard. the highest wind energy potential6 has the potential to turn the challenges and consumption or use of food To date, two companies have spun (Andorra, Belgium and Kazakhstan make of water scarcity into an integrated and water. We considered various terms out of MIT as the result of J-WAFS up the top three). sustainable-energy driven future. that reflect the range of water support, and millions of dollars of This includes water and food security, and food sector issues that we follow-on funding have been raised by generally defined as providing people focus on: supply, safety, solutions, the recipients of J-WAFS’ seed grants. 6 These 20 Water-Stressed Countries Have the Most Solar and Wind Potential, with access to sufficient clean water sustainability… ‘systems’ was a World Resources Institute, 10 May 2018

Real people, real stories – a diverse family working together

Staff development is key across all departments “My entire professional life has been devoted to fire in the Abdul Latif Jameel business. However, we protection, but it is during the last 10 years, when do not just focus on professional growth: we are I have been working with Abdul Latif Jameel, that my committed to creating a supportive and constructive confidence has really developed. Working here gives environment that enables our team to flourish both you the skills, expertise and self-belief to feel that professionally and personally. you can survive in any situation.

Alec Derkaloustian, General Manager in “My role is incredibly varied, and the range of people Left-to-right: Daniel Sagi-Vela, CEO, FRV, Estela de Diego, Marketing Manager FRV, Tala Samer, new FRV Young Talented Leader and Salvador Carmona, Rector Abdul Latif Jameel’s Facilities, Development, Health, I meet and work with is extremely rewarding. It’s a of IE University Safety and Environment department, grew up in diverse group and you have to be aware of cultural Lebanon. His father owned a fire protection business, sensitivities – how you liaise with an engineer from prompting an interest in Alec that has stayed with him one part of the world can be very different to how The CEO of Fotowatio Renewable Ventures (FRV), This is the fourth scholarship that FRV has given in throughout this career. you liaise with another from the opposite side of the Daniel Sagi-Vela, welcomed the latest FRV scholar to collaboration with IE, and the third for a project in Jordan globe. But that diversity is our strength: we work IE University, Madrid, at the opening ceremony for the - a key market for the business and a country where FRV In the early 1990s, Alec studied at the University of with architects, consultants and engineers from new academic year at the Segovia Campus. has a strong social commitment. Illinois and the University of Maryland before joining around the world to ensure every project is delivered his father’s business. However, in 2007, he made the to the highest of Abdul Latif Jameel’s expectations. Tala Samer, from Jordan, has been awarded an FRV During the ceremony at the university and the reception decision to join Abdul Latif Jameel in our Dubai offices. ‘Young Talented Leaders’ scholarship to the university. that followed, Mr Sagi-Vela had the chance to meet Now, more than a decade later and surrounded by “I came to the UAE from Lebanon, and there’s a The scholarships are given as part of FRV’s commitment Tala and her family, as well as previous FRV scholars. friends from around the world, Alec says he could not thriving community of Lebanese workers within to developing communities in which it operates. Tala’s Also in attendance were Rafael Benjumea, Chairman be happier with his chosen path. Abdul Latif Jameel. That all adds to the feeling that scholarship relates to FRV’s 66.69 MW dc Al-Safawi of IE University Foundation Advisory Board; Salvador the company is one giant family. We spend time Project in Jordan. Carmona, Rector of IE University; and Geoffroy Gérard, together every day and that shared sense of spirit Managing Director of IE’s Foundation. and teamwork is one of the biggest advantages of working for Abdul Latif Jameel. It’s an amazing environment in which to spend your working life.”

Few areas of Saudi Arabian life are Tarif neighborhood in Diriyah (2010), Saudi Arabia joined UNESCO in untouched by the country’s bold and Madain Saleh (2008)1 have all been November 1946, yet it is not just external transformation program outlined in recognized as heritage sites of recognition that is powering Saudi Vision 2030. From business through to global importance. Arabia’s growing importance as a major healthcare, social developments and MENAT cultural tourism destination. education, the country’s ambitious Al-Ahsa, which as one of the country’s Significant government and private reforms are attracting worldwide greenest regions contains gardens, sector investment have also been attention and helping to deliver a canals and springs alongside harnessed to help fulfil the goals of bright future for all its citizens. historical buildings, urban fabric and Vision 2030 and drive a renaissance in archaeological sites, is also home to Saudi Arabia’s cultural attractions. Among the often-cited commercial and 2.5 million date palms2. There is evidence investment aims laid out in Vision 2030 is of human settlements from as far back the development of the country’s tourist as the Neolithic period – considered and cultural sector, where significant to be between 9,000 and 11,000 years progress is already being made. ago3, while the city of Al-Ahsa itself dates back to 5,000 BCE and is, according In June 2018, the Al-Ahsa oasis in the to UNESCO, “a unique geocultural eastern Arabian Peninsula was revealed landscape and an exception example as one of the three new UNESCO World of human interaction with the Heritage sites, giving it equal status to environment4”. Al-Ahsa is one of the greenest areas in Saudi Arabia (Photo credit © Saudi Tourism) the likes of Westminster Abbey (UK), Grand Canyon National Park (USA), The Following UNESCO’s decision In the tourism and leisure Great Wall (China) and Memphis and its to recognize Al-Ahsa, the Saudi sectors, we will create necropolis, including the pyramid fields Commission for Tourism and National attractions that are of from Giza to Dashur (Egypt). Heritage (SCTH) unveiled several investment programs in and around the highest international In fact, over the last decade, five Saudi the region, including the standards… and prepare Saudi Arabia targets Arabian sites have been added to restoration and rehabilitation of and develop our historical UNESCO’s World Heritage list: as well as nearby heritage sites and buildings, and heritage sites.” the Al-Ahsa oasis, the rock art in the Hail and the construction of a cultural tourists with region (2015), historic Jeddah (2014), the regional museum. major investment program

With new recognition from UNESCO and investments across the country, Saudi Arabia is aiming to become a cultural tourism hotspot.

1 Saudi Arabia’s Al-Ahsa desert oasis becomes UNESCO World Heritage site, 3 UNESCO World Heritage listing to support Saudi cultural tourism, Arab News, 30 June 2018. Oxford Business Group, 14 August 2018 2 Al-Ahsa Oasis, an Evolving Cultural Landscape, UNESCO, accessed October 2018 4 Al-Ahsa Oasis, an Evolving Cultural Landscape, UNESCO, accessed October 2018 Historic Jeddah: added to the UNESCO World Heritage list in 2014

Delivering a world-class experience turn the Al Ula region into a “cultural Both local and international exhibitions strides in recent years, especially In September 2018, a 334km2 tourism hub6”. in modern art will be staged at the by the Saudi Arts Council, the entertainment, sports and cultural site venue, which, alongside the Jameel General Entertainment Authority, only 40 km from Riyadh was opened by A further US$ 2 billion is expected to House of Traditional Arts (Al Balad) and the General Cultural Authority, the King Salman. Crown Prince Mohammed be invested into a 10,000,000m2 the Jeddah Sculpture Museum, will form MiSK Foundation, and the Ministry of Bin Salman was also in attendance for Souq Okaz City development designed part of a trio of cultural destinations Arts, but the number of international the official launch of Qiddiya, which has to support the annual cultural and art in Jeddah – helping to deliver on the practitioners coming to Jeddah is still been supported by Saudi Arabia’s Public festival at Taif 7. government’s targets to provide new relatively low. That’s one of the things Investment Fund (PIF) and aims to attract cultural resources to a vibrant, young Hayy hopes to do: we want to create a 17 million visitors by 20305. By providing Enhancing Saudi Arabia’s rich heritage population and visitors from around local-international exchange.” world-class entertainment options to In Jeddah, Abdul Latif Jameel and the globe. Saudi citizens, it is hoped that Qiddiya its social enterprise organization Community Jameel, and the wider will attract billions of tourism dollars Community Jameel are working hard Abdul Latif Jameel organization, is that would previously have been to enhance the country’s rich cultural committed to supporting Saudi Arabia’s spent abroad. attractions through Hayy: Creative Hub, ongoing transformation, recognizing a 17,000 m2 arts center that will form a the eternal importance of a strong and Other cultural developments are shared environment for Saudi Arabian “We will establish more museums, vibrant cultural scene alongside robust occurring elsewhere at an equally artists, playwrights, photographers, prepare new tourist and historical economic infrastructure and healthy impressive rate. Under a 10-year filmmakers and entrepreneurs to sites and cultural venues, and living environments. partnership with the government of support, advise and collaborate with improve the pilgrimage experience France, archaeological digs, transport each other. within the Kingdom.” infrastructure and the construction - Vision 2030 of museums and hotels will all be completed in what is estimated to be a Antonia Carver, Director of Art Jameel, US$ 20 billion investment designed to said: “There have been enormous

5 Saudi Arabia’s Qiddiya project to create a self-sustaining ecosystem, 6 UNESCO World Heritage listing to support Saudi cultural tourism, 7 UNESCO World Heritage listing to support Saudi cultural tourism, Thomson Reuters Zawya, 23 September 2018 Oxford Business Group, 14 August 2018 Oxford Business Group, 14 August 2018 Antonia Carver, Director of Art Jameel

Lexus buyers in Morocco can choose The values of Omotenashi are from the NX300h, a compact SUV with reflected in both the brand as in 197hp; the RX450h, a large SUV with the new showroom experience. At 313hp; the LX450d; and the top-of-the- Abdul Latif Jameel Motors, we receive Making a stylish entrance: range LS500h sedan, a 5.24-metre- every customer as if he or she were a long vehicle with 359hp. Test drives guest of honor in our own home. are available on the NX300h and the Abdul Latif Jameel Motors RX450h. brings Lexus luxury to Moroccan motorists The new luxury Lexus flagship showroom in Casablanca includes stylish lounges and private areas for clients to configure their dream Lexus.

It may be hard to imagine today, but a world without water – at least water for human use - is not such a far-fetched scenario as you might think.

Across the planet, water security, safety, supply and sustainability are becoming increasingly problematic. Strain is being put on resources and reserves like never before, and a growing proportion of the global population is already facing significant difficulties. Today, an estimated 3.6 billion people (nearly half the global population) live in areas that are potentially water-scarce for at least one month per year. Top-end estimates suggest that figure Source: UNESCO/Cambridge Energy Research Associates could reach 5.7 billion people by 20501. facing communities across the world. We are from the misery of drought while others To the casual observer, issues over global water facing a growing challenge of too much water endure the destruction of floods. supplies may appear difficult to understand. in some places and not enough water in others. When 70% of our planet is covered by water, And climate change “is and will worsen the Climate change is exacerbating natural what is the problem? However, freshwater – the situation in most cases,” says Professor Arjen variability of the water cycle, increasing water kind of water that we drink, bathe in and irrigate Joekstra from the University of Twente in stresses that constrain social progress and our crops with – is incredibly rare. Just 1% of the The Netherlands3. economic development. world’s water is accessible freshwater. Another 2% is freshwater, but it is locked in inaccessible So serious is the water problem that UN Our health, food security, energy location, such as frozen glaciers2. Secretary-General Antonio Guterres and World sustainability, jobs, cities, and the ecosystems 1 The United Nations World Water Development Report 2018, UN Water, March 2018 2 Earth Observation of Water Resources, World Bank Group – Environment & Natural Resources Bank Group President Dr. Jim Yong Kim issued on which all life is based are all being 3 From Not Enough to Too Much, the World’s Water Crisis Explained, National Geographic, 22 March 2018 The accelerating impact of climate change is an unprecedented joint warning in March 2018: influenced by the way water is being managed 4 Making Every Drop Count: An Agenda for Water Action, United Nations, 14 March 2018 also reshaping some of the biggest water issues “… Some parts of our planet are suffering in different parts of the world.4”

In 2013, a study conducted by NASA century and the mounting It has announced plans to increase and the University of California Irvine demographic and economic this figure further, with another showed the Middle East losing the pressures of more recent decades nine desalination plants being equivalent in freshwater resources of could push Saudi Arabian water developed on the Red Sea coast at the entire Dead Sea during a seven- supplies to their breaking point14. Jeddah – a clear sign of its intent year period between 2003 and 20098. to face the water challenge head- And the Dead Sea itself is shrinking. Some studies suggest that 80% of on. But to meet the industrial and Nineteen countries, including Saudi Arabia’s stored freshwater manufacturing growth targets World Bank Group President Dr. Jim Yong Kim (Left) Bahrain, Jordan, Kuwait, Qatar, beneath the desert has been used outlined in Vision 2030, it is expected and UN Secretary-General Antonio Guterres (Right) United Arab Emirates and Saudi for agriculture in the space of one that much more investment in this Water issues facing the Middle East Arabia, have total renewable water generation15. In addition, by some area will be needed in coming years. The Middle East, North Africa and resources (TRWR) of less than 500m3 estimates, natural water resources Turkey (MENAT) region is at the per person per year9. in parts of the country are in nexus of some of the world’s most danger of disappearing within challenging conditions in terms of per year) in 2016, recording a decline the next 20 years16. water availability. of 1.7 percent for the first time since 2013 according to the General There are clear signs that a corner Authority for Statistics –however, has been turned, however, and the this is still double the average of situation is slowly improving in the European Union citizens11. region. Saudi Arabia, in particular, has Despite being home to 6% of the received international recognition global population, it survives on About 49% of the water consumed for its commitment to addressing just 1% of the world’s freshwater domestically came from desalinated this situation, in order to ensure resources5. water with 2017 consumption its growing economy and thriving Image courtesy SWCC estimated at 1.55 million cubic population have access to the water Understanding the key water Daniel Sagi-Vela, Chief Executive meters, versus 1.38 million cubic resources they need to prosper. difficulties Officer of FRV, solar and wind meters a year earlier, a growth of In the World Economic Forum’s renewable energy company and 12.8% and growing for the seventh The respected academic journal, Global Risks Report 2018, water crises part of Abdul Latif Jameel Energy consecutive year from 2011. ‘Annals of Global Health’, says: were named as the fifth biggest says “Because we often look at “By developing desalination plants, threat facing our planet over the next sustainability from the standpoint It is not only at an individual level that expanding water recycling processes decade, with three areas of particular of developed countries, water is water resources are under pressure. and infrastructure, transitioning concern: False-color image captured by Landsat 1, 4 & 7 satellites. The Lisan Peninsula (bottom center) forms a land The country’s growing economy also often not perceived as a big issue. bridge through the Dead Sea. Deep waters = dark blue; pale blue = salt ponds/shallow waters to the south. from domestic agriculture to 1. Water scarcity The pale pink and sand-colored regions are desert lands. Denser vegetation appears bright red. Credit: has increasing water requirements. outsourcing food products, and 2. Desalination But from the standpoint of NASA/Landsat Industrial water demand, for now taking the reins on solar 3. Water quality developing countries, water is example, has grown 7.5% per year in development and beginning to much more important than power.” With the pressure on water supply set already scarce resource even further. recent years and is set to increase by phase out fossil fuels, Saudi Arabia is Addressing water scarcity to increase yet further as population Urbanization and improving lifestyles 50% by 203212. doing just about everything it can to Water scarcity is not limited to The World Water Forum states that growth and the effects of global mean that people are using more ensure domestic water resources will certain areas of the planet: it 40% of the Arab population is already climate change take their toll, water water as they go about their normal The agricultural sector is another be available and accessible, affects every continent and is being living in conditions of absolute water availability per capita in the MENA activities, including everyday tasks major factor in high water and that it will be able to sustain exacerbated as rapidly growing scarcity6. More worryingly, during region is expected to halve by 205010. like gardening and car washing. consumption in the Middle East, these practices17.” urban areas place heavy pressure on the decade between 2005 and 2015, In fact, the average daily water frequently accounting for 80 percent neighboring water resources18. per capita freshwater availability in Exploring the Saudi situation consumption per capita in Saudi of annual demand in the region13. Saudi Arabia already has the largest the region dropped by about 20%, In Saudi Arabia, falling water supplies Arabia is 266 liters per day (96.8 cubic desalination capacity in the world, Fourteen of the world’s biggest cities from about 990 cubic meters to 800 are compounded by high levels meters per year) in 2017 compared to Experts worry that overuse during producing over 5 million cubic – including Tokyo, Mumbai, New cubic meters7. of personal use – stretching an 270 liters per day (98.4 cubic meters the second half of the twentieth meters per day of desalinated water. York, London and Rio de Janeiro – are

5 Can the Middle East solve its water problem? CNN, 12 July 2018 9 Water Scarcity and Future Challenges for Food Production, Water, 10 March 2015 middle-east-africa/quenching-the-middle-east-s-thirst.html 81, May-June 2015 6 Arab Regional Report 2018, World Water Forum, March 2018 10 http://blogs.worldbank.org/arabvoices/numbers-facts-about-water-crisis-arab-world 14 A Saudi Water Crisis Lurks Beneath the Surface, Stratfor, 5 January 2017 18 Water Scarcity, UN Water, accessed September 2018 7 Arab Regional Report 2018, World Water Forum, March 2018 11 Saudi Arabia is running out of water, The Independent, 19 February 2016 15 Saudi Arabia’s Great Thirst, National Geographic, accessed September 2018 19 From Not Enough to Too Much, the World’s Water Crisis Explained, National Geographic, 8 As water disappears from the Arab world, data is falling from the sky, 12 A Saudi Water Crisis Lurks Beneath the Surface, Stratfor, 5 January 2017 16 A Saudi Water Crisis Lurks Beneath the Surface, Stratfor, 5 January 2017 22 March 2018 The World Bank, 20 March 2013 13 http://www.waterworld.com/articles/wwi/print/volume-25/issue-1/regional-spotlight/ 17 Climate Change and Water Scarcity: The Case of Saudi Arabia, Annals of Global Health, Vol

already experiencing water scarcity19 and by 2050, as much as half of the world’s It is urging governments to better in the Middle East30. Saudi Arabia, Among the diseases listed by WHO that nearly half the global population live under grain production could be under threat. identify and promote the win-win the UAE and Kuwait are among the are spread through contaminated water Drinking Water Key Facts conditions of severe water scarcity at outcomes of nature-based solutions. world’s top four countries in terms of and poor sanitation are cholera, diarrhea, 20 • In 2015, 71% of the global population least one month of the year . In summer Mircea Dincă, Associate Professor in It insists: “There is great potential desalination capacity, with these three dysentery, hepatitis A, typhoid, and polio. (5.2 billion people) used a safely 2018, following years of low rainfall, South the Department of Chemistry for nature-based solutions to make countries alone representing more than This is despite the human right to water managed drinking-water service Africa’s second city, Cape Town, was just at Massachusetts Institute of significant, and in many areas a third of global capacity. Furthermore, and sanitation that is safe, accessible and – that is, one located on premises, days away from running out of water. Technology (MIT) and a member of the unique and essential, contributions desalination capacity in the Middle East affordable, being recognized by the UN available when needed, and free Abdul Latif Jameel Water & Food Systems to achieving sustainability of water is set to increase six-fold between 2007, General Assembly in 2010. 31 from contamination. In some areas, a lack of rainfall means Lab (J-WAFS) team at MIT, researching resources and meeting various water and 2030 . groundwater tables are reducing and innovative water harvesting technology management objectives. This fact is The failure to provide clean water does 26 • 89% of the global population becoming saltier. for use in water-stressed areas, said: currently widely underappreciated .” not just violate an individual’s human (6.5 billion people) used at least a “Many people are aware of the energy rights. It also compounds significant basic service. A basic service is an In 2015, some of the 20 million residents challenges facing our societies, and The growing focus on desalination economic problems, according to improved drinking-water source of São Paulo even began drilling through the need to focus on more sustainable technologies the World Bank: within a round trip of 30 minutes basement floors and car parks to try sources of energy. Fewer people are Seven years ago, General Sheikh 21 to collect water. to reach groundwater – a particularly aware of the challenges around Mohammed bin Zayed Al Nahyan, “Inadequate water supply and alarming turn of events for a place once water scarcity and water stress that Crown Prince of Abu Dhabi, said of the sanitation cost the (MENAT) region • 844 million people lack even a basic given the nickname in Brazil of ‘The City face many regions of the world; water challenges facing the region: some US$ 21 billion per year in Source: International Desalination Association drinking-water service, including of Drizzle’. challenges that are only going to get “We are preoccupied by this major economic losses. Mortality due to 27 159 million people who are more and more serious. It is projected issue .” It remains just as relevant today. Dirty water and the re-use of unsafe water supply and sanitation in dependent on surface water. In other regions, a different issue is at that in a few years over 30% of wastewater a few countries in the Middle East and play. According to the World Economic the world’s population will not have While the world’s freshwater supplies According to the latest figures from the North Africa, especially those affected • Globally, at least 2 billion people Forum, Dhaka, Houston, Jakarta and access to a sustainable source of remain limited, the demands on it are World Health Organization (WHO), dirty by conflict, is greater than global use a drinking water source Mexico City are among a number of fresh water.” only increasing and are expected to water remains a huge challenge for a averages. Inadequate water supply 28 contaminated with faeces. cities around the world that are pumping increase by nearly one-third by 2050 . substantial part of the world’s population. and sanitation cost about 1 percent of so much groundwater from the earth For the MENAT region, the outlook regional GDP annually, with conflict- • Contaminated water can transmit around them that the very land they sit for water scarcity is particularly stark. With dwindling freshwater reserves More than two billion people “use a affected countries losing as much as 22 33 diseases such as diarrhoea, cholera, on is collapsing . The World Bank estimates that without unable to meet a rising demand, drinking water source contaminated 2–4 percent annually .” dysentery, typhoid, and polio. a significant change in either water and with “swathes of (Middle East) with faeces” and almost 850 million Contaminated drinking water The impact and potential consequences use habits or the development of new countryside … reduced to desert people lack even a basic drinking- There is some positive news on the 29 32 is estimated to cause 502 000 of water scarcity are difficult to resources, by 2040, some 60% of because overuse of water ”, the region water service (defined as an improved horizon, however, as governments and diarrhoeal deaths each year. overstate. Not only is a huge proportion the region could face either high or is increasingly turning to desalination drinking-water source within a round organizations wake up to the challenges of the world’s population already living in extremely high water stress. By 2050, it plants and waste water treatment units. trip of 30 minutes). of water scarcity and focus more 23 • By 2025, half of the world’s water-scarce regions it is estimated that believes water scarcity could cost the attention and resources on addressing 24 population will be living in region between 6% and 14% of its GDP . Desalination involves removing the salt the challenges this creates. water-stressed areas. from sea water to make it fit for human Promoting changes in the agricultural consumption, agricultural and industrial In particular, ground-breaking research, • In low- and middle-income sector, which remains the region’s use. More than 150 countries use innovative technology and technical countries, 38% of health care largest user of water, will be key. Some desalination and more than 300 million advances around water scarcity, facilities lack an improved water progress has already been made people rely on desalinated water desalination and water quality are source, 19% do not have improved through the promotion of nature-based every day. creating much-needed opportunities sanitation, and 35% lack water solutions – a collection of strategies to make a step-change in the global and soap for hand-washing. the UN says can help to address The MENAT region is one of the response to water availability. contemporary water management pioneers in the use of desalination. Source: World Health Organisation challenges, including agriculture, The International Energy Agency (IEA) sustainable cities, disaster risk calculates that almost 60% of the world’s reduction and water quality25. total desalination capacity is located

20 The United Nations World Water Development Report 2018, UN Water, March 2018 25 The United Nations World Water Development Report 2018, UN Water, March 2018 30 Energy Efficient Desalination, International Water Summit, 15-18 January 2018 21 Why fresh water shortages will cause the next great global crisis, The Observer, 8 March 2015 26 The United Nations World Water Development Report 2018, UN Water, March 2018 31 Hybrid technologies to power innovation in water desalination, Opening Doors, Winter 2017 22 Water crises are a top global risk, World Economic Forum, 16 January 2015 27 Water is more important than oil for UAE: Mohammed bin Zayed, Emirates 24/7, 13 December 2011 32 Drinking-water, World Health Organization, 7 February 2018 23 Progress on Drinking Water, Sanitation and Hygiene, World Health Organization, 12 July 2017 28 The United Nations World Water Development Report 2018, UN Water, March 2018 33 Beyond Scarcity: Water Security in the Middle East and North Africa, The World Bank, 2018 24 Can the Middle East solve its water problem? CNN, 12 July 2018 29 Why fresh water shortages will cause the next great global crisis, The Observer, 8 March 2015

Transforming the future for water Chief Executive of solar-photovoltaic and citizens. Their work focused on the Water Quality & Wastewater With the UN warning of conflict and renewable energy developer Fotowatio use of xylem membrane structures civilizational threats unless actions are Renewable Ventures (FRV) sister in sapwood that could be harnessed • Globally, 80% of wastewater flows back into the taken to reduce the stress on rivers, company in Abdul Latif Jameel Energy to to filter water and remove bacteria, ecosystem without being treated or reused (UNESCO, lakes, aquifers, wetlands and reservoirs34, desalination and water treatment plant potentially providing safe drinking water 2017). it’s clear that urgent action is required developer Almar Water Solutions. in rural areas of developing countries for across the world’s most pressing just a few cents per week. • The opportunities from exploiting wastewater as a water challenges. Some markets are already taking steps resource are enormous. Safely managed wastewater is to improve the energy efficiency of A third project, which is still underway an affordable and sustainable source of water, energy, There is no ‘magic bullet’ to solve the desalination plants. In Western Australia, Xuanhe Zhao, Noyce Career Development Prof., Dept. and has funding until August 2019, aims nutrients and other recoverable materials. (UNESCO, world’s water crises. Instead, a combined for example, the state government of Mechanical Engineering, MIT to have a viable, proven prototype of 2017). approach will need to be adopted, requires all new desalination plants to a remarkable technology that could bringing together world leaders, use renewable energy38 – with the result of effective technologies, programs have huge implications for water • The costs of wastewater management are greatly governments, the latest developments in that the Perth Seawater Desalination and policies relating to water and food scarce regions. Led by Mircea Dincă, outweighed by the benefits to human health, research and technology, and significant Plant (SWRO) is powered by electricity security. It has already provided millions Associate Professor, Department of economic development and environmental infrastructure investment. The UN says: generated by a wind farm. of dollars through its Annual Seed Grant Chemistry at MIT and Evelyn Wang, Gail sustainability – providing new business opportunities “The urgently required change will be Program for research funding in these E. Kendall Associate Professor in the and creating more ‘green’ jobs. (UN-Water, 2011) complex, multi-faceted and challenging, As the costs associated with renewable crucial areas. Department of Mechanical Engineering, and often controversial.35” technologies continue to decrease, it involves developing a water harvesting • Water availability is also affected by pollution. Most further advances in the technologies One of the projects funded by J-WAFS technology that uses metal organic problems related to water quality are caused by One sector where major advances used both for generating renewable saw Xuanhe Zhao, a Professor in the framework (MOF) materials to draw intensive agriculture, industrial production, mining could be forthcoming is desalination. energy and the process of desalination Department of Mechanical Engineering water from the air. Mircea Dinca says: and untreated urban runoff and wastewater. (UN- Currently, 90 million cubic meters of will combine to make renewable at MIT, research a vibration-based “There is enormous potential for this Water, 2011) desalinated water is produced around desalination much more accessible. membrane cleaning technology that had technology to make a big difference the world every day. the potential to improve the efficiency, in water scarce regions like the Middle • By 2050, close to 70% of the world’s population will A combined approach and therefore reduce the costs, of the East and North Africa.” live in cities, compared to 50% today. Currently, most More than 18,000 desalination plants While desalination based on renewable reverse osmosis process most commonly cities do not have inadequate infrastructure and produce drinking water36 in a process energy is a clear route forward, this used in desalination. In September 2018, seven more projects resources to address wastewater management in an that requires vast amounts of energy. But transformation cannot be done were funded through the J-WAFS Program. efficient and sustainable way. (UNDESA, 2014) the use of huge amounts of fossil fuels to in isolation. There remains a need provide the energy to power desalination to continuously develop new and MENAT can lead the way • 1.8 billion people use a source of drinking water plants is simply replacing one innovative approaches to confront The MENAT region has access to the skills, contaminated with faeces, putting them at risk of environmental problem with another. the world’s water challenge, with resources and knowledge to be a global contracting cholera, dysentery, typhoid and polio. Currently, traditional carbon-powered governments, industry, science and pioneer in water availability – and benefit (WHO/UNICEF 2015) desalination plants emit 76 million tons society all playing their part. from the huge commercial opportunities

of carbon dioxide (CO2) globally. One it presents. • Since the 1990s, water pollution has worsened in forecast, working on a business-as-usual Scientific development is also key. almost all rivers in Africa, Asia and Latin America scenario, puts that figure at 218 million Fostering partnerships between industry By prioritizing the water challenge and (UNEP, 2016a). 37 tons of CO2 by 2040 . and academia, through initiatives such encouraging investment, innovation and as the Jameel Water and Food Systems Rohit Karnik, Associate Professor of Mechanical partnerships across society, the region can • The greatest increases in exposure to pollutants are That is changing, however, and the Lab (J-WAFS) at MIT, is crucial to help Engineering at MIT put itself at the forefront of a fast-growing, expected to occur in low - and lower-middle income Middle East is at the forefront of translate pioneering research into innovative industry that will become countries, primarily because of higher population and innovations to use renewable energy practical solutions for communities Rohit Karnik, Associate Professor of increasingly vital to global development economic growth in these countries, especially those Mechanical Engineering at MIT, was to reduce the CO2 emissions caused by around the world. in the coming years. in Africa(UNEP, 2016a), and the lack of wastewater desalination. One such innovation is another to benefit from J-WAFS Annual management systems (WWDR, 2017). solar-powered desalination. J-WAFS was established in 2014 with the Seed Grant Funding. He led a group of “We believe the future is solar aim of bringing together the world’s researchers attempting to provide safe Source: United Nations (unwater.org) desalination,” says Daniel Sagi-Vela, leading minds and facilitating research drinking water for the world’s poorest

34 Water shortages could affect 5bn people by 2050, UN report warns, The Guardian, 19 March 2018 36 Energy Efficient Desalination, International Water Summit, 15-18 January 2018 38 https://www.irena.org/DocumentDownloads/Publications/IRENA-ETSAP%20Tech%20Brief%20I12%2 35 Making Every Drop Count: An Agenda for Water Action, United Nations, 14 March 2018 37 Energy Efficient Desalination, International Water Summit, 15-18 January 2018 Water-Desalination.pdf

The Abdul Latif Jameel World Education Lab (J-WEL) Community Jameel, J-WEL and Save the Children. and Save the Children have partnered in an attempt “We recognise that teachers need compassion and to deliver a scalable and adaptable program empathy to support children with their emotional addressing teacher wellbeing and teaching quality development – especially in a crisis setting. As such, in crisis settings. improving quality teaching practices and student learning, through a blended approach to teacher Initially the two organizations will work together in professional development, is fundamental.” Jordan, one of several countries across the Middle East where the education system is strained following the Save the Children’s Syria conflict. They aim to integrate social and emotional Invisible Wounds report wellbeing into teacher professional development – the largest study programs, strengthen the capacity of teachers, and of its kind conducted create a pilot program that can be used, adapted and during the course of scaled in other emergency contexts. the Syria civil war – revealed a terrifying Helle Thorning-Schmidt, CEO of mental health crisis Save the Children International, among Syrian children. said: “Jordan has shown great Children they spoke compassion by offering refuge to to described increases hundreds of thousands of children in self-harm, suicide who have fled the brutal war in attempts, bedwetting, Syria. Many of these children have speech problems Helle Thorning-Schmidt CEO, Save the Children seen and experienced things that and aggressive or International no child ever should. withdrawn behaviour. Mental health experts have also warned that Syrian “What they need most is to return to the normality that children are showing signs of ‘toxic stress’, which can education and a good teacher can offer. lead to developmental issues. Children inside a classroom at Za’atri refugee camp, host to tens of thousands of Syrians displaced by conflict, near Mafraq, Jordan. UN Photo/Mark Garten. Our programme will aim to help teachers support these The recent collaboration was announced during a high- children so they can recover from the invisible wounds level meeting that took place during the United Nations of war, and get the quality education that every child General Assembly, calling on world leaders to accelerate Losing out on learning: should have.” and improve long standing commitments to deliver on education for refugees. Almost six million people have fled Syria since 2011. More than a million now reside in Jordan, where teachers have J-WEL and Save the worked exceptionally hard to maintain an internationally recognized education system.

Hassan Jameel, President of Community Jameel, said: “Community Jameel sees education as a tool for Children collaborate people to improve their lives and the lives of those to tackle refugee around them. This is what perfectly ties the work of education in the Middle East

Unlocking Digital Success: Combining Industry 4.0 and Lean Management

What are the key elements of Industry 4.0, how What is Industry 4.0? according to McKinsey, by “four disruptions1”: can Lean digitalization provide a better business Industry 4.0 represents the fourth significant • The rise of computing power, data volumes, environment for all? What are the common upheaval in modern manufacturing, following and connectivity pitfalls for businesses embarking on digital the introduction of mechanical manufacturing • The emergence of analytics and business- transformations? We talk to the consultant team systems in the late 18th Century, mass production intelligence capabilities from Lean Management experts, Four Principles, and electrical energy in the 20th Century, and • The development of new ways of interacting to take a closer look. electronics-driven automation in the 1970s. with tech, including touchscreens and The vast majority of the disruptive trends augmented reality Successful businesses continually strive to boost encapsulated in Industry 4.0 are related to • The introduction of robotics, 3D printing, and speed, efficiency and profits by optimizing their advances in digital technologies. It is driven, other ways of moving digital instructions into increasingly complex operations — regardless the physical world of industry. Industry 4.0 represents a step-change in the way But to stay ahead in today’s fiercely competitive businesses view and implement technology in business environment, firms face ongoing every sphere of their operations, with the potential pressure to deliver gains in productivity, quality to deliver considerable gains in efficiency and and, probably most importantly, customer service performance. But that’s not the end of the story. delivery. In recent years, the term ‘Industry 4.0’ By combining the technology-driven potential has come to represent the next wave of of Industry 4.0 with performance-focused Lean opportunities for the most ambitious businesses Management principles, businesses can looking to leverage new technologies to optimize potentially unlock even greater improvements their performance. and considerable competitive advantages.

1 Manufacturing’s next act, McKinsey, June 2015

The Boston Consulting Group (BCG) Key areas where businesses have applied have resulted in fuel savings of up to would pay for in a competitive field12. “Industry 4.0 requires fundamental Proven principles of Lean thinking are recommends that a combined this approach to achieve exponential 6% and a throughput increase of 16%. • British broadcasters BBC abandoned changes in infrastructure, project fundamental in effectively implementing approach is by far the most beneficial: gains include: its £100 million digital innovation design, business processes, and Industry 4.0. For example, successful while independent or sequential Digital transformations often face an project,13 which was intended to people operations, which becomes digitalization requires transformational introductions of Industry 4.0 and • Big data, which enables organizations uphill battle transform the way staff developed, a very complex endeavor when thinking throughout the organization Lean principles carry some benefits, to generate significant returns. The potential benefits of Industry 4.0 used, and shared video and audio done properly,” says James Ryan, — not just in the IT department. By “in most cases, the integrated Examples include an African mining are impossible to ignore. Indeed, BCG material. The company’s director Principal Consultant at Four Principles. assessing entire value chains, removing application of lean management and company that saved US$ 20 million found that 97% of production managers general admitted it had “wasted a “Benefiting from Industry 4.0 also waste, launching and learning from Industry 4.0 — which we call Lean a year after it identified new ways to in the automotive industry believe lean huge amount of license fee requires commitment from top flagship pilot projects, and supporting Industry 4.0 — is the most effective capture more data from its sensors6. management will be highly relevant in payers’ money.” leadership, and continuous monitoring continuous innovation through the way to reach the next level of • Advanced analytics, which can be 2030 (compared to 70% in 2017) and and improvement.” creation of new behaviors, Lean operational excellence2”. used to drastically improve product 70% believe plant digitalization will be Getting digital transformation right considers the company as a whole. development. Examples include highly relevant in 2030 (compared to To successfully capture the benefits of Lean management is designed to deliver That difference is “because the an automotive manufacturer that 13% in 2017). Industry 4.0 and its related digitalization, operational excellence and is highly Combining automation and human integrated approach allows lean combined online and purchasing companies must transform the way they relevant in the context of Industry 4.0. intelligence management and Industry 4.0 to data to reduce its options on one Yet the decision to implement Lean do business — it is not just a matter of “Manufacturers striving to optimize As companies stand to capture be mutually enabling,” meaning its model to just 13,000 (its competitor Industry 4.0 still requires serious bolting on new technology. their operations by adopting Industry noteworthy benefits from Industry 4.0 improvement potential is greater than offered 27,000,000). planning. More than eight out of 10 4.0 trends can do so most effectively advancements in automation, Lean’s the sum of the improvements achieved • Human-machine interfaces, such digital transformations fail and only by integrating Lean management deep industry history — tracing back by either approach on its own3. as the augmented reality headsets 50% of companies are successfully principles,” says Stefano Gaspari, many decades to the Toyota Group, used by Knapp AG to help staff find executing on their digital transformation Principal Consultant at Four Principles. and even before to Henry Ford, who Understanding the practical impacts items quicker and reduce error rates strategies, despite demonstrated efforts is credited with creating the first Lean principles advocate “the creation by 40%, with an integrated camera and investments. In monetary terms, the rudimentary lean manufacturing process of a strong culture focused on the capturing serial numbers for Genpact Research Institute calculates — is particularly relevant. maximization of client value while real-time inventory tracking7. that large enterprises throw away an minimizing waste, aiming to maintain Dubai Electricity and Water average of US$ 400 billion per year on In the Lean lexicon, ‘jidouka’ represents alignment of efforts toward clear Authority (DEWA) is also using digital transformation projects that fail the combination of automation and business outcomes through the similar technology to help monitor to deliver promised benefits10 - and it is human intelligence or, in other words, disciplined use of metrics4.” its turbines8. not difficult to find high-profile examples automation with a human touch. • Digital-to-physical transfers, which of digital transformations gone wrong: When this approach is combined with have been successfully harnessed Jidouka is a key pillar of the Toyota the vast digital levers of Industry 4.0, by Local Motors builds cars “almost • Danish toy manufacturer LEGO production system and traces its roots ranging from digital performance entirely through 3D printing” and defunded its proprietary Digital “By the time a transformational to the early 1900s, when Sakichi Toyoda management and remote monitoring cut new model development time Designer virtual building program invented a simple mechanism that could to smart energy consumption and from six years to one9. Unsurprisingly, and stopped providing updates force such as Industry 4.0 detect a broken thread and shut off an predictive maintenance, there is major manufacturers such as Vauxhall in 201611. Released in 2004, the becomes fully obvious, it’s “We believe this holistic, automatic loom. huge potential to create value by and GM are already exploring the program was part of a strategy to nearly too late. It’s imperative two-part approach generates generating improvements in quality, potential benefits of 3D printing. improve customer experiences The invention empowered one operator asset utilization, time to market, and • Sophisticated sensors – In the based on automated instructions for that companies act now the most impact and captures to oversee many looms while upholding management of resources and labor. pulp and paper industry, remote customized models. — waiting too long could the greatest benefits. Mutual high quality standards. The use of advanced analytics alone, temperature sensors monitor key • Sportswear giants NIKE cut its digital significantly hinder growth enablement promotes benefits according to McKinsey, could enable indicators, while state-of-the-art unit in half in 2014, and shut down and profitability.” beyond Industry 4.0 alone.” With jidouka in the modern world, an most companies to improve gross tools analyze and automatically its wearable-hardware efforts, as automated machine is enabled to detect margin by 30% within just two years5. adjust the intensity of the kiln flame. the company struggled to create a James Ryan Stefano Gaspari a problem, communicate it, and stop the The technological advancements premium experience that consumers Principal Consultant Four Principles Principal Consultant at Four Principles production line.

2 When Lean Meets Industry 4.0, BCG, 14 December 2017 7 Manufacturing’s next act, McKinsey, June 2015 11 https://www.brothers-brick.com/2016/01/21/lego-digital-designer-officially- 3 When Lean Meets Industry 4.0, BCG, 14 December 2017 8 Mixed Reality for Industry 4.0, Forbes, 12 July 2018 defunded-and-unsupported-news/ 4 A Lean Digital Future for More Tangible Impact – Putting Digital Transformation 9 Manufacturing’s next act, McKinsey, June 2015 12 https://www.cnet.com/news/nike-fires-fuelband-engineers-will-stop-making- To Work (& II), Jose de la Rubia, 5 December 2017 10 Genpact Introduces Lean Digital(SM) – A Unique Approach That Delivers Digital’s wearable-hardware/ 5 Manufacturing’s next act, McKinsey, June 2015 Full Potential and Helps Reclaim Over $400 Billion of Impact, PR Newswire, 13 https://www.theguardian.com/media/media-blog/2014/feb/03/bbc-digital- 6 Manufacturing’s next act, McKinsey, June 2015 16 September 2015 media-initiative-failed-mark-thompson

When it comes to adopting Industry “I think we can expect superb 4.0, the time-tested principles of Lean, products of enormous variety such as jidouka, offer an important and flexibility – not just for foundation for success. McKinsey argues manufacturers, but for their that “Industry 4.0 will be less a revolution customers in turn. What’s more, than a valuable (and welcome) evolution, it will be increasingly possible to making next-horizon productivity gains make these products to a very high possible and mirroring developments quality and under very economical that have unfolded in the manufacturing conditions. One more thing. In a environment for more than a century14”. world of up to 10 billion people, customization will be the big If your company is ready to embark on The human manager then fixes the unique selling proposition – and a transformational digital journey, Four problem, and improvements are the Factory of the Future will make Principles can deliver tangible Lean incorporated into the standard workflow. it possible”. management expertise that is trusted by Under the jidouka model, no defective business leaders as far afield as Morocco, products are manufactured, since the Rolf Najork, Chairman of the Egypt, China, Ireland, Spain line stops — and a single operator can Executive Board, Bosch Rexroth and Switzerland. monitor multiple machines, since they are designed to stop automatically, Learn more at fourprinciples.com. which results in drastic improvements in productivity. Events round-up In the digital world, software integration Industry 4.0 and jidouka are not limited Some of the regional and global events to note in the coming months. now allows companies to analyze masses to manufacturing settings. Seattle- of data in real-time, including production based nonprofit regional healthcare status and energy consumption. These provider Virginia Mason employed Riyadh Motor Show, Saudi Arabia Saudi Arabia Renewable Energy – Saudi Arabia Smart Grid advancements in automation mean jidouka to integrate barcode medication November 14-17, 2018 Solar & Wind 2018, Riyadh, Conference, Jeddah, Saudi Arabia, resources are quickly redistributed, administration (BCMA) technology www.riyadh-motorshow.com Saudi Arabia, December 11-13, 2018 which saves costs and makes production into the nursing workflow with minimal The biggest names in the automotive November 26-27, 2018 saudi-sg.com systems more flexible. disruption. With BCMA, a nurse scans the market show off their latest models, www.bricsaconsulting.com A unique platform to discuss the barcode on a patient’s wristband to verify ideas, innovations, equipment and Conference on the future of latest trends and developments in For example, mechanical engineering the patient’s identity, then scans the bar accessories, with more than 60,000 renewable energy in Saudi Arabia, emerging smart grid technologies, company Bosch Rexrothis is building a code on the medication to ensure the visitors expected. including technological innovations, including sustainable energy, grid ‘factory of the future’, where everything correct medication is being administered NEOM smart city, Oman’s Miraah integration, automation technologies is connected from field level to cloud- with the proper dosage, technique, Saudi Renewable Energy Summit, Project, Masdar, the electric and communications solutions. based IT systems. Sophisticated software and timing. While the barcode provides Riyadh, Saudi Arabia, vehicle market and prospective solutions collect, transfer and process valuable information, the nurse holds the November 25-26, 2018 development sites. Saudi International Motor Show, data from automated manufacturing ultimate decision-making power. renewableenergyksa.com Jeddah, Saudi Arabia, processes for humans to analyze and This two-day event brings together The Big 5 Show 2018 December 16-20, 2018 optimize. The company places humans BCMA represents the digital stakeholders from across the globe (inc. The Big 5 Solar), Dubai, UAE, sims-arabia.com at the center of its efforts as users, automation, while the nurse’s intelligent to explore the latest practices, November 26-29, 2018 The 40th edition of this exhibition designers and decision-makers. This human judgment completes the jidouka technologies and products in the www.thebig5.ae will see 40+ major global brands constant exchange of information concept. After BCMA implementation, renewable energy sector. The largest construction event showing off their latest products, fosters intelligent collaboration and the number of safe-practice dosage in the Middle East, with 2,600 services, ideas and concepts around flexibility. Ultimately, this benefits violations decreased from 54.8 to exhibitors from 137 countries. Over motor vehicles, SUVs, motorcycles Rexroth customers, who enjoy lower unit 29 per 100 doses, and the number of 65,000 visitors come together to and car accessories. costs and the economical production of medication errors decreased from discover the latest innovations, meet batch sizes as small as one item. 5.9 to 3 per 100 doses. suppliers, network with distributors and source new products.

14 Industry 4.0 demystified – lean’s next level, McKinsey, March 2017