This third assessment “Sourcing Essentials” it focusses on evaluating the different sourcing approaches. This is in a specific category of spend in Emaar Properties (EMAAR) organisation. The spend category used in this report is Construction and Development Management Services (CDMS) relevant for managing their spend areas. With EMAAR recently having embarked in different technologies dominating UAE and larger Middle East Construction sector, CDMS is very instrument. In order to pursue the evaluation, data embraced are available from EMAAR internal documentation and externally in the properties industry in UAE. Also, the CIPS data and content has been used in this research. The analysis is accompanied by use of various tools including the Mendelow Matrix (stakeholders’ analysis), Hierarchy of Needs and Kraljic Matrix analysis used.

This research key findings include the relevant sourcing approaches as including Single, Sole, Dual and Multiple. The key findings also highlight that the single sourcing is relevant when using only one supplier. This is with multiple sourcing involving many suppliers where a market is not monopolistic. For the sole sourcing, only one supplier is available and can be engaged by an organisation in the process. For dual sourcing, the key findings highlight it as appropriate when two suppliers are available and can be engaged by the organisation.

The key findings from the supplier appraisal highlight that for the CDMS spend area, the Carter’s 10Cs guidelines are relevant for appraising them. As they are pursuing new projects, CDMS is instrumental and hence appraising the most appropriate supplier particularly in the multiple sourcing scenario essential.

For the challenges noted, they would be managed by pursuing a set of recommendations including;

Noting the most appropriate sourcing approach aligned with the spend areas
Initiate policies aligned with UAE policies (ICV/Emiratisation) top ensure alignment of all interests
Engage stakeholders in selection of sourcing approaches for optimum satisfaction
Initiating digitisation process for improved sourcing appraisals as this would enhance success of the process

1.0 Introduction

1.1 Emaar Properties Organisation Background

Emaar Properties has been in operation from 1977 being a leader in integrated master-planned communities. It is enlisted in the Dubai Financial Market and a leader in the significantly high real estate organisation internationally (ICD, 2025). Owing to the broad organisation operations, it currently has upto 108,000 residential units in Dubai and different international markets.

Emaar Properties Main Projects

Figure 1:Emaar Properties Main Projects

Source: Summarised from (ICD, 2025)

In Emaar Properties, the organisati on operates a fully-fledged PS&M which has its own budget for operations. With an overall recorded revenue of approximately AED35.5 billion ($9.6 Billion), majority of it is reimbursed back in their different procurement and sourcing strategies (Emaar Properties, 2025);

Figure 2:Emaar Properties PS&M Department Organisation Structure

Source: Summarised from Emaar Properties (2025)

Further, the PS&M department in Emaar Properties operate in active collaboration with other departments. This is for guaranteeing success in procurement and supply process of different products and services.

2.0 Analysis of Category of Spend and Positioning

In first half of 2025, Emaar Properties significantly grew with profitability increasing with 34% to AED 10.45 Billion (Emaar, 2025b). In second quarter, they expect to growth with 38% and accrue an overall revenue of AED 19.83 Billion possessing an impeccable productivity in their developments, retail sector and hospitalities. For the selected spend category which is Construction and Development Management Services (CDMS), a summary of their spend areas is shown herein;

Table 1:CDMS Spend Areas Summary

Source: Emaar Properties Internal Documentation

Taking into account of CDMS spend area, they capitalise on 70% of their market share in the properties development and management (Emaar Properties, 2025). In the table summary, the Emaar Properties CDMS spend analysis they embrace various sourcing approaches informed by sourcing appraisals.

Further, CDMS identify most appropriate sourcing approach for various spend category leading to management of their PS&M strategies with success. According to Emaar (2025c), this is based on scope of expectations, demands and supply chain dynamics important in suppliers value chain.

2.1 Kraljic Matrix Analysis Tool

This represents a strategic tool embraced by PS&M professionals intended to identify and minimise entire risks noticeable in their supply chain (CIPS, 2024). This is as illustrated in the following;

Figure 3:Kraljic Matrix Analysis Tool Summary

Source: CIPS Module Notes

Leverage Items– The machinery and steel plates in construction projects have multiple suppliers in place. Hence, this is the most appropriate since they are affected by major risks and profits impact. For Emaar Properties, this is essential for enhancing how competitive they are in the construction projects. The outcome is negotiating on costs offered and achieving value for money results.

Strategic Items– The optics, assemblies and vehicles engines are classified herein. They occur in a natural manner and as such involving a single supplier contrary to sole/dual most appropriate. It enhances confidentiality, suppliers relations adequately managed in times of reduced supply chain risks.

Bottleneck Items– The logistics, consultations category are majorly instrumental during uncertainty with HS&E equally categorised here. This has immense risks influencing profits with a medium impact. The best strategy in Emaar Properties is to follow sole sourcing for guaranteeing best technical-based support process (Okeagu et al., 2021).

Non-Critical (Routine) Items– The office supplies, repairs work, operational items and consumables are accessed readily with multiple market players and suppliers. Hence, Emaar Properties use sole sourcing in order to get the best source. The multiple and sole sourcing is from specialists and high quality in place.

2.2 Stakeholders Analysis

For Emaar Properties sourcing approaches, stakeholders relations analysis is essential. As evidenced in CIPS (2025), the stakeholders include individuals who have direct link in managing contracts and overall organisation operations. In this specific analysis, Mendelow Matrix Analysis is relevant;

Figure 4:Mendelow Matrix Analysis Summary

Source: Sourced from CIPS Module Notes

Meet their needs/Keep Satisfied- This stakeholders category is inclusive of various suppliers in different spend categories who ought to be actively engaged in identifying sourcing strategy used.

Key Players/Engage Closely- The staff and PS&M teams are involved in successful sourcing strategy. This is since in sourcing approach selection, they leverage on distinct interest and expectation from sole, single, dual and multiple sources.

Show Consideration/Keep Informed- The sourcing strategy option is significantly guided by the administration and management since they are core in the CDMS operations.

Least Important/Minimal Effort– For the UAE government where Emaar Properties are based, they coordinate and facilitate overall sourcing strategies. Therefore, strategy embraced is guided by being successful in meeting set needs and expectation of the entity.

Additionally, from the outcome of Mendelow Matrix Analysis for stakeholders analysis, the Peter Block Grid Leadership analysis model is relevant (Do, 2025). A summary of this analysis is illustrated in the following;

Figure 5:Peter Block Grid Leadership Analysis Model

Source: Summarised from (Do, 2025)

Allies– For this category of stakeholders (management, PS&M, suppliers and UAE government), they ought to ensure they share vision with success in selection of sourcing approach used. Their choices are for multiple sourcing as it embraces all their interests.

Fair Weather Friends– At the start, these stakeholders are in a common agreement on progress, but trust levels reduce in the middle. Hence, as part of sourcing strategy, they establish sustainable relationship hence involved in communication of appropriate sourcing strategy.

Adversaries– This is a category where the negotiations have been unsuccessful hence position of last resort. In such a situation, multiple sourcing is most appropriate to identify their input and expectations.

Opponents– This category having low disagreement and trust levels, communication of sourcing strategy need to be aptly shared. This is for being honest and transparent in sourcing.

2.3 SWOT Analysis Summary……………………………..

Please click the following to access this assessment in full