MEP Middle East – August 2019

THE BIG INTERVIEW

20 MEP Middle East | August 2019 http://www.mepmiddleeast.com

insolvency are not going to go away, unfortu-

nately, and I am worried that we may conse-

quently lose some of the best fi rms and talent

in the industr y.”

Results of the 2019 Arcadis Global

Construction Disputes Report make for inter-

esting – and in many cases polarising – dis-

cussion.

In one respect data shows that Middle East

suppliers are $34.3million better off than

they were 12 months ago, with total mon-

ies owed plummeting from $91m to $56.7m

between 2017 and 2018.

But that is only half the stor y as they are

also being made to wait longer – much longer;

20 months on average – for remuneration,

placing incredible pressure on fi rms with-

is in contrast to many other fi rms fi ghting to
stay afl oat in current choppy waters.
Uncertainty is paradoxically one of the few
certainties for those working in construction
at present.
But Al Abbar is unequivocal in his belief
that if measures are not introduced to pro-
mote better, more sustainable ways of work-
ing, then the current tide will sweep potential
future wavemakers over the horizon and out
of sight.
He said: “Unfortunately, as an industr y,
construction is globally not in a good place
and it is really up to the industr y to resolve it.
“I feel at the moment that it is the industr y
itself that is at the root cause of the issues.
“Low effi ciency and productivity, predator y
pricing, and poor management of risk have
all contributed to the global challenge being
faced by the sector.
“Until the industr y wakes up and collective-
ly addresses these issues then disputes and

I

f consultants and contractors working
across the industr y don’t wake up to the
self-perpetuated issues in the market
they’ll drive the brightest talents out of
the sector.
As one such talent, Saeed Al Abbar is well
placed to deliver such a frank and honest as-
sessment of where the construction industr y
is heading, not just in the Middle East, but
globally.
As AESG managing director, he has over-
seen expansion into the GCC from an origi-
nal Dubai base, opening branches in Abu
Dhabi and Saudi Arabia alongside a London
connection that places the specialist consul-
tancy and commissioning company fi rmly on
the global stage.
It is an evolution that has seen the fi rm
provide ser vices for projects such as ICD
Brookfi eld, the King Abdullah Financial Dis-
trict project in Riyadh, and the Yas Island
masterplan.
From malls to Expo 2020 pavilions, medi-
cal facilities to museums – specifi cally Louvre
Abu Dhabi – there is a growing list of projects
that have AESG’s fi ngerprints all over them.
But the rise under Al Abbar’s leadership

There is plenty of talent out there, but the industry needs to safeguard it. Image by Jessica Samson.

I would like to see

the industry itself take

more ownership as opposed

to blaming others for

the predicament

out deep pockets, and those who do. Twenty

months is a long time to be adrift in an ocean

of legislation, and in that time fi rms are cap-

sizing under the weight of cash fl ow crises.

Party-to-party negotiations are the pre-

ferred method of resolving disputes, but Al

Abbar says treating the symptoms of poor

practice does little to address the root cause

of the problem.

He says it is time for the industr y to start

taking responsibility for the situation it fi nds

itself in, and implement methods to avoid

fi nancial pain.

“I would like to see the industr y itself take

more ownership as opposed to blaming oth-

ers for the predicament. We are seeing those

that are investing in innovation and seeking