Case study
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How a top aluminium producer tapped the power of AI to transform the organization and scale impact across operations
One of the secrets of successful organizations is they never grow complacent. No matter how well they are performing, they are always looking to get better and fortify themselves against the next disruption. Emirates Global Aluminium (EGA), based in the UAE, is a case in point. Although EGA makes the UAE the fifth largest aluminium-producing nation globally and is the biggest industrial company in the country outside the energy sector, EGA knew it could—and must—do better.
The company could see that technology and innovation were evolving exponentially, transforming industry after industry, and would one day soon come for the aluminium industry. As CDO Carlo Nizam put it, “Speed, agility, efficiency, and technology mastery are now core attributes for the future.”
To secure its position in that future, EGA was determined to catapult itself forward and lead the coming disruption in aluminium production. It aspired to deliver improved financial results for stakeholders; create a safer, more engaging workplace and greater experiences for employees; and help its region become a leader in digital technology and sustainability. Over time, EGA believed it could also push forward the development of its industry by making its digital platform available to the rest of the ecosystem.
EGA knew it needed to think big. Its ambitious goals demanded that. So did its operations. The company produces 4 percent of the world’s aluminium, employs more than 7,000 people, and serves customers in more than 50 countries. Moreover, aluminium production is a heavy, energy-intensive industry, with smelters that can be multiple kilometers in length. Nothing less than total transformation would have the kind of scale and impact EGA aspired to.
Speed, agility, efficiency, and technology mastery are now core attributes for the future.
Chief Digital Officer, Emirates Global Aluminium
EGA needed to embrace new technology to both improve existing ways of working, but more importantly, to create game-changing new products and services. A technology upgrade alone would not be enough. EGA also needed to transform its culture by fundamentally changing the mindset of its workforce, making the entire organization more agile, faster at innovation, and far more efficient.
To reach those goals and help guide it on its transformation journey, EGA partnered with QuantumBlack, AI by McKinsey, and hired Mr. Nizam, its first-ever CDO. From the beginning, the transformation team took a dual-track approach so that EGA could rapidly deliver business impact even as it laid the foundations to scale.
To show immediate financial gains, the team set up a digital factory that could quickly turn out use cases in quarterly waves. To date, the factory has delivered more than 80 customized use cases with a combined impact of >$123 million, meaning the transformation program has been self-funding from the start.
At the same time, EGA created an Industry 4.0 center of excellence that would build the digital foundations required to sustain and scale the transformation. First was a set of roadmaps of EGA’s digital ambition and potential improvements in each business unit. The second foundation laid out governance and ways of working, including a transition to agile at scale. Third was a focus on people and capabilities, including a digital academy that has upskilled more than 3,000 employees, including EGA’s engineers and supervisors.
The final foundation was technology and infrastructure. EGA gathers granular data from across its operations. A new data platform democratizes that data, making it available to employees on separate self-service platforms. New data and hybrid cloud architecture have helped EGA reduce its storage needs by 80 percent and increased processing speed by 35x. Its data centers use half as much power as before, all of which is renewable.
On the shop floor, EGA uses advanced AI/gen AI, computer vision technology, and shop floor mobile platforms that support more than 20 apps for 1,500 users, providing managers with real-time visibility. Better process controls and video-based SOP compliance monitoring with real-time notifications to operators and control rooms have cut down on variability and reduced operator reaction time 92 percent—which is especially critical for safety-related alerts—and improved SOP compliance by 65 percent.
Beyond the plant, EGA’s transformation has had impact across the value chain. For example, EGA was able to dramatically improve logistics, which are notoriously volatile, by using a simulation-based digital model of its operations to optimize ship deployment. As a result, inbound logistical delays have fallen by 50 percent. Its procurement teams are now enabled by gen AI, shifting 30 percent of time to value-adding activities.
The result of EGA’s transformation is an agile manufacturing system able to adapt to volatility while producing a high-quality product. In 2024, EGA joined an elite group of 189 companies designated as the Global Lighthouse Network by the World Economic Forum (WEF). Lighthouse companies exemplify the transformation of manufacturing through the pioneering use of advanced technology.
The work with McKinsey has opened a lot of opportunities for us to improve on the AI platform.
Vice President - Reduction, Emirates Global Aluminium
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