CHAPTER ONE

INTRODUCTION (1000)

1.1 Background of the Study

Saudi Arabia has been recorded for its large industrial outputs in the regions of Middle East and
North Africa. Saudi Arabia has versatile industrial processes like gas, agrochemical, oil export,
food, mining etc; however in the region there are large resources for hydrocarbons leading to
maximum industrial output in gas & oil industries like exports for oil and petrochemicals. Major
important factors for the continuity of the business are internal and external both. To prevent
business processes Business Continuity Management (BCM) is used as a important part or
system of any organization. BCM is efficient in safeguarding any procedure which is of high
value to the organization or business. It functions around business processes which are
critical/core and makes sure that required productivity is maintained by the organization.

1.2 Highlights of the Sector or Area of Research Concentration/topic

In Saudi arabia's Industrial sector business organization are getting prone to man-made
disasters and natural ones both causing imbalance in its core activities and sustainability. To
prevent this BCM business continuity management is to be used but there are negative and
wrong perception about implementing BCM across the globe; however awareness about BCM is
still growing and organization are getting to know that BCM should be implemented to prevent
any potential threats, disruptions and risks. In Saudi Arabia business continuity plan will enable
the Saudi Arabia's industrial sector to create opportunities better than before and also help in
reducing the losses along with maintaining competitive spirit and brand prevention by
commitments for customers, employees management and SMEs. Implementing BCM will
benefit positively for companies, suppliers, consumers, vendors and stakeholders too.

1.3 Problem Statement

One considerable limitation of this study is such that it majorly emphasizing upon the
implementation of business continuity plan or management and revolving around factors
influencing BCM in Saudi Arabia's industrial sectors. The major problem in the scene for this
research/study relating to Saudi's businesses is that organizations in the region are not yet
aware of and recognized for importance and benefits of continuity of business; also business
organizations in the region do not understand the very key of BCM that it is for preventing and
eliminating various types of risks that may cause any interruption or disturbance in any
operations of the business. BCM helps in preventing from risks such as sandstrom (a natural
disaster), lack of employment or working staff a man-made issue, supplier end issues, technical
issues like no electricity or internet etc. Business continuity in any manner is focused for major
threats to the organization's business processes for preventing risks and maintaining continuity.

1.4 Research Objectives

1.5 Research Questions

1.6 Purpose of the Study

The industrial sector of Saudi Arabia is largest in region of Middle East and North Africa with
versatile industries like agrochemical, gas, oil, petrochemical etc. due to large hydrocarbon
resources. These industries and business process are prone to natural disasters like
sandstorms and man made disasters like electricity and internet cutoff. In order to prevent these
risks & threats and ensure business continuity business continuity management or plans are to
be implemented. The industrial region of Saudi is not aware and informed about business
continuity management in positive manner with is effects and implementation. This study will
help in understanding factors affecting Saudi industrial sector. How these factors will lead
business toward success or failure along with positive and negative effects of these factors and
how can they help in gaining competitive advantage.

1.7 Scope of the Study

As we know Saudi's industrial sector comprises of large hydrocarbon resources helpful for oil,
gas and petrochemical industries. Man Made disasters like low employment or staff, electricity
or internet cut off along with natural disasters like sandstorms can adversely affect the industrial
sectors, business processes, production and profits too. To ensure the safety and risk free
business continuity as large resource, capital, infrastructure, employment and population are
involved in Saudi's industrial sector business continuity management and plans withs their
complete awareness and implementation are necessary. With implementation of business
continuity one would know and understand the major factors affecting the business along with
positive and negative effects of these factors. with this analysis business process can be
managed in a risk free manner and many major threats will be prevented. This will eventually
ensure longevity of business process and its continuity for long term with prevention from
different losses internal and external both.

1.8 Organization of the Study

1.9 Definition of Terms/ Abbreviations

1.10. Summary of the chapter (50)

The industrial sector of Saudi Arabia is very established, large and versatile which has been
developed and progressed over the decades. Since every sector consists of some drawbacks,
which indeed are needed to be minimized and prevented. With the ideas and plans of business
continuity management the management, employees SMEs and staff etc of industrial sector of
Saudi should stay progressive and more safe and risk free along with maintaining advantage in
competition.

Chapter Two (2000)

LITERATURE REVIEW
1. Introduction of the chapter (50)

2. Theoretical Framework

3. Literature Review/ or studies done in the area of research topic (2013-2018) as per the
independent variable/s /dependent variable/s

4. Conceptual Model/Research Model (25)

5. Hypothesis Statement (25)

6. Summary of literature review (100)

7. Gap in literature and significance of the title/topic (100)

Major factors affecting the Saudi industry (200)

In this world of different and varied industrial sectors & business processes there has
development since beginning but a revolution of electronic commerce or E-commerce started in
the 90s. In this vast and competitive world of business and organizations many adopted
E-commerce technology in this revolution in order to expand marketplace, consumer base and
hence profits. We know that hydrocarbon and petrochemical industrial sector of Saudi Arabia is
considered to be world largest producer for its products but e-commerce is underdeveloped in
this region; however the recorded fastest development and growth of ITC marketplace is of
Saudi Arabia when compared in complete Arab region. These are not the only major and
important factors that influences the industrial sectors of Saudi Arabia, a few other major factors
that has great influence or affect over economical segments of Saudi Arabia are oil,
petrochemical and gas industrial sector along with factors like stability of the economy or
stability of finances & economics. Another major factor is development fund of industrial sector
of Saudi Arabia also known as Saudi industrial development fund; also management of
operations related to finance and commerce. These major factors are necessarily to be
considered for business continuity and risk & threat free business process and operations.

Leading factors influencing the business success story (300)

In respect with today's global market Saudi Arabia has a great importance along with the
reputation when producers of oil are considered. For better earnings and improvements in them
during 1960s the hydrocarbon reservation were done and refineries were built in order to get
gasoline, oil, diesel and fuel which can be consumed and used wherever required in domestic
and international market both. In global market scenario for the services of export there are
nine complexes of refining which are regulatory. Low cost rates are provided in order to control
and help the inflation and to achieve economic stability for fiscal policy's improvement; however
some more efforts are required in this direction. The Saudi Arabia financial system represents
the commerce center also known as center of commerce. For further benefits and betterment
the parallel expansion concept is implemented in commercial sector. Within the kingdom there
are more than 9,800 companies with listed stocks. When investment capital is considered the
revenue is more than 45 billion dollars.
In the industrial projects for the case of long-term capital and low-cost medium there are many
significant services offered by Saudi Industrial Development. As per these preset considerations
the investments in large businesses can be increased and developed according to wallace and
weber. However a considerable few think that the fund provides the service of marketing,
technical aspirations and financial tool for developments which are necessary. For new foreign
investments the application of law is extremple responsive for SIDF's extension.
In Saudi Arabia the ITC market is very responsive. For emerging of investment investives
WTO's promotional accessions and barriers are removed. ICT infrastructure is applicable by 70
countries as stated in report of EUI. For encouragement of organizations public and private
Saudi Arabia has planned and implemented a few relevant policies.

Positive and negative aspects of identified factors for creating monopoly in the market
(300)
As per the analysis of technological sector, Saudi Arabia has been 33 out of total 139 countries
which is classified for economic forum since top movers for fulfilling of collection of technological
advancement necessary information. When average cost in considered , ITC's global report
states that rank of Saudi Arabia is 89. For ICT's applicable laws, Saudi Arabia is ranked at
position 30. If the case of communicational aspiration is considered with official and government
bodies through their work respectively, the country Saudi Arabia has achieved rank at 8th place.
These type of features, richness and efficiency creates undoubted positive factors and aspects
for business growth in Saudi Arabia. Saudi Arabia's economics are majorly dependent upon the
oil industry also it has very robust and strong control on the major and large activities related to
economics and duties of the government too. Analysis and facts show that petroleum reserves
of Saudi Arabia are second largest in the world and when petroleum exporters are considered
with 16% export of petroleum Saudi Arabia is world largest exporter. Somewhere around 2017
Saudi Arabia had to face a deficit of budget, this was estimated approximately GDP's 8.3%; this
deficit was compensated or financed by drawing the reserves down and bond sales also. The
government understands that after some years oil market in the country will significantly
diminish overtime as new cheap resources will be available along with a few last stock left in the
reservoirs; in order to prevent this government has taken a few steps forward towards
privatization of the economy and also government has decided to diversify the economy also,
even a few steps have been taken in the direction. The above stated few factors and analysis
including statements from reports show that Saudi Arabia is currently in form of having a
monopoly in the market and even focusing further to stay in monopoly even when the oil market
diminishes.