Unmanned Aerial Systems (UAS) are revolutionizing industries globally, offering innovative solutions in sectors like agriculture, logistics, and public safety. In Sarawak, the adoption of UAS is accelerating due to the region’s unique geographical challenges and infrastructural needs. The application of Unmanned Aerial Systems (UAS) also known as drones, is getting a lot of attention now. The main concerns of UAS operations are regulatory compliance, reliability, and safety. Unmanned Traffic Management (UTM) was introduced as a means of monitoring drone flight operations to ensure flight safety. However, integrating UAS into the local airspace presents significant challenges, including ensuring operational safety, regulatory compliance, and efficiency. To address these issues, this paper proposes a localized Unmanned Traffic Management (UTM) framework grounded in the Work System Theory (WST). WST provides a structured approach to analyzing and designing complex socio-technical systems by emphasizing the interplay between work practices, participants, information, and technologies. The framework incorporates key components such as dynamic airspace segmentation, real-time traffic monitoring, regulatory compliance modules, and stakeholder collaboration platforms. These components are designed to align with Sarawak’s unique needs, ensuring safety, scalability, and operational efficiency. The methodology involves qualitative research, including case studies of existing UTM systems, stakeholder interviews, and regulatory reviews, analyzed through the lens of WST. The proposed framework addresses gaps in existing UTM systems by tailoring solutions to the socio-economic and infrastructural realities of Sarawak. The findings highlight the potential of the framework to enhance UAS operations in Sarawak, enabling applications across diverse sectors while fostering innovation and collaboration. Limitations include the need for further validation through pilot studies and adaptation to future technological advancements. This study contributes to the growing body of knowledge on UTM systems by demonstrating the practical application of WST in developing localized solutions. Future research should focus on real-world implementation and exploring emerging technologies such as AI and blockchain to further enhance the framework’s capabilities.