In a strategic move aimed at regulating the digital labor market and improving the quality of services provided to the government sector, the Saudi Digital Government Authority has introduced advanced standards for classifying technology companies. This step is part of the Kingdom's ongoing efforts to achieve the goals of Vision 2030 related to digital transformation, as the Authority seeks to ensure that the digital infrastructure of government projects is built on solid foundations and staffed by highly qualified professionals.
The “Sanad” tool and artificial intelligence
The Authority has launched its new version of the “Sanad Classification Assistant,” an advanced tool powered by artificial intelligence. This tool aims to empower establishments to understand the precise classification criteria, thus facilitating registration and evaluation procedures with unprecedented speed and efficiency. To ensure a seamless user experience, the Authority has unified its communication channels through the “Amer” center and the Digital Government Cluster (DGC) platform, providing contractors with the necessary technical and advisory support to overcome any obstacles.
Classification and automated linking standards
One of the most prominent features of the new system is the strict automated link between field performance and numerical classification. The authority emphasized that contractor performance in government projects is subject to continuous monitoring, and the results of periodic evaluations directly affect—positively or negatively—the technical classification level. This means that any field failure could lead to an immediate drop in the company's classification, thus requiring companies to adhere to the highest quality standards to ensure their continued qualification.
The contractor's journey begins with obtaining a commercial registration and licenses from the Communications and Information Technology Commission, followed by registration on the digital government portal. Applicants undergo a rigorous technical evaluation encompassing five aspects: technical expertise, corporate governance, innovation, compliance, and available resources. The process culminates in the integration of the technical and financial classifications from the Ministry of Municipalities and Housing to issue a "General Classification Certificate.".
Classification levels and economic impact
The authority identified four hierarchical levels of classification to enhance competitiveness:
- Platinum Contractor: Requires excellence in research and development and local resources with a passing rate of no less than 88%.
- The Golden Contractor: Dedicated to implementation and integration services at a rate of 70%.
- Silver Contractor: For support services at a rate of 52%.
- Beginner contractor: For sales and distribution at a rate of 40%.
This classification is expected to bring about a qualitative shift in the technology sector locally and regionally, as it will contribute to filtering the market from unqualified companies, and push towards localizing technology and enhancing local content, which will raise the efficiency of government spending and attract foreign investments looking for an organized and transparent business environment.
