Case Study: EGA leading the aluminium industry with AI-powered transformation

Emirates Global Aluminium (EGA), the UAE’s largest industrial company outside the energy sector, has set an ambitious goal to revolutionise the aluminium industry by embracing artificial intelligence (AI). As the 5th largest global producer of aluminium, EGA sought a competitive edge in a rapidly evolving technological landscape, recognising that innovation is essential for long-term sustainability and growth.

Leveraging AI for a competitive advantage

Despite being a dominant player in the aluminium sector, EGA understood that complacency would not ensure its future success. As technology rapidly transforms industries, the aluminium sector is poised to be disrupted. With a clear vision to embrace AI for operational improvements and future-proofing the company, EGA’s leadership saw this as an opportunity to lead the digital transformation in aluminium production. As Chief Digital Officer Carlo Nizam put it, “Speed, agility, efficiency and technology mastery are now core attributes for the future.”

AI and digital innovations to transform EGA

To initiate this transformation, EGA partnered with QuantumBlack, AI by McKinsey, bringing in its first-ever CDO to guide the digital journey. The company’s transformation was not limited to technology upgrades but extended to a cultural shift, fostering a mindset of agility and efficiency across the workforce.

EGA’s approach involved two main tracks: the rapid implementation of AI-driven use cases and the establishment of an Industry 4.0 Centre of Excellence to sustain and scale the digital initiatives. Within the first few quarters, the company had launched over 80 AI-driven use cases, generating more than $123 million in impact, which meant that the transformation program was already self-funding.

Image used for representational purpose

Real-world AI benefits

The AI-driven transformation at EGA has brought significant operational improvements. Notably, EGA has enhanced product throughput by 12%, increased labour productivity by 18% and reduced operator reaction time by 92% through real-time notifications and video-based monitoring systems on the shop floor. AI technologies like computer vision and mobile platforms have provided managers with real-time visibility, ensuring better process controls and improved compliance with Standard Operating Procedures (SOPs).

Beyond the factory, EGA leveraged AI to optimise logistics operations, reducing inbound logistical delays by 50%. Procurement teams now use AI to shift 30% of their time towards more value-adding activities.

Strategic lessons

EGA’s journey demonstrates that successful digital transformation is more than just adopting new technology; it requires a fundamental culture change. According to Nizam, only 50% of the transformation is technological; the rest is about fostering agility and innovation within the organisation. Building a solid foundation of talent and strategic roadmaps was also critical for scaling the transformation efficiently.

EGA’s Industry 4.0 initiatives were powered by a robust data platform, enabling employees to access data on self-service platforms. This platform has reduced storage requirements by 80%, improved processing speeds by 35x, and achieved energy savings through renewable-powered data centres.

A global lighthouse for digital transformation

EGA’s transformative efforts have earned it recognition as part of the World Economic Forum’s Global Lighthouse Network in 2024, an exclusive group of companies showcasing leadership in digital manufacturing. By combining cutting-edge AI technologies with sustainable practices, EGA is not only improving its own operations but also paving the way for a more agile, efficient, and innovative aluminium industry.

As the company continues to scale its AI capabilities, the future looks bright for EGA as a leader in both digital innovation and aluminium production, driving the global shift toward smarter, more sustainable manufacturing.

Also read: How EGA is building the future aluminium workforce in the UAE