While reading the annual insert of Arab News “Top 100 Saudi Companies” the other day, I was conflicted by emotions of fear and joy. Joy as I scanned the articles that celebrated the prosperous state of our nation as it “March[es] Ahead” in development and growth; and fear for being aware of the inherent paradox evident in almost everything written.
As of July, 2006, Michel Cousins states that the Kingdom of Saudi Arabia had executed over 420 mega-investment projects at the cost of over 1 trillion Saudi riyals; and the number of such projects is increasing systematically. Even though this is good news for the economy — as it could be the solution to the chronic problem of unemployment and excessive migration to developed cities, I ask if the opportunities brought on by such initiatives will be available to those who need them the most: Local citizens and local businesses?
Mega projects in themselves do not build a nation. People do. And somewhere between our first economic boom of the 70s brought on by a rise in oil prices, and our recent economic boom resulting from the same revenue source, we have neglected to use the capacities of our single most valuable asset: Our human resources.
Khaled Almaeena, wisely reminded us in his article in the Top 100 supplement of the need to learn from past failures. Our first economic boom of the 70s triggered a “quantum leap in development” but it also triggered a chronic dependence on foreign expertise and a subsequent unwillingness to upgrade our national education to meet global standards and requirements. However, it is not too late, and since we do not have the power to reform our educational system, we must adopt an alternative solution to increasing the capabilities of our Saudi youth and our Saudi businesses.
If, as is stated, the 420 projects mentioned above will be executed by the year 2012 — a mere five years from now — dare I ask if provisions have been put in place to guarantee that local Saudi youth will have priority for the jobs created? Dare I also ask if local Saudi SMEs will have access to the outsourced contracts needed to build, operate and transfer these projects?
I am realistic enough to realize that the unfortunate answer to my questions will be an iffy no. The truth of the matter is that neither the majority of our youth nor the bulk of our businesses are sophisticated enough to undertake jobs or business contracts of such technical magnitude and scope. However, I am pragmatic enough to suggest that it is our responsibility to ensure that this time around, we do not repeat past mistakes.
Even though the projects may not initially be staffed by local citizens and businesses, we must pressure the planners to create a policy that obliges foreign workers and foreign businesses to systematically insert, train and develop local youth and local businesses. This controlled type of “on the job training” must have two objectives. First it must develop the technical expertise of locals in a specific field; Second it must ensure that these locals are upgraded to the point where by the end of the foreigner’s tenure, locals are able to fill his job. In the same vein, this method can be replicated by outsourced foreign companies in order to develop the capacities of local ones.
(Fatin Yousef Bundagji is management and development consultant.)