Post on 20-Feb-2017
PRODUCT DEVELOPMENT AND INNOVATIONSMOL-62276
Case Work shop-I
Presented ByUjjwal DattaMsc in Electrical Engineering (Smart Grid)
ABB is a global leader in power and automation technologies
ABB resulted from the 1988 merger of the Swedish corporation1. Almänna Svenska Elektriska Aktiebolaget (ASEA)2. Swiss company Brown, Boveri & Cie (BBC).
Based in Zurich, Switzerland, the company employs about 147,700 people and operates in approximately 100 countries.
Key Figures
ABB's mission
Improve performance: Improve operating performance, grid reliability and productivity whilst saving energy and lowering environmental impact
Drive innovation: Innovation and quality are key characteristics of our product, systems and service offering
Attract talent: ABB is committed to attracting and retaining dedicated and skilled people and offering employees an attractive, global work environment
Act responsibly: Sustainability, lowering environmental impact and business ethics are at the core of our market offering and our own operations
Strength
• A leader in power & automation in all their segments
• Broad product portfolio in utilities, industry, transport & Infrastructure
• Wide geographic base; operating in about 100 countries
• Huge installed customer base with long term contracts
• Well known for manufacturing top quality products around the globe
• Strong order book position in all the regions
Weakness
• The management has a history of overpaying for acquisitions and not
delivering synergies on previous deals.
• Project level services are not satisfactory in all area around the globe.
• Contingent payment obligations.
Opportunities & Threats
Opportunities
• Growth rates and profitability• New markets• Growing demand & Economy• Venture capital• New products and services• Global markets
Threats
• Global economy crisis • Increase in labor costs• Environmental regulations• Intense competition• Unstable geopolitical situation• Return of the financial crisis
Global and General Trends
• Products and services for a better world• Shift in the electrical value chain; Smart Grid, Micro/Nano Grid• Energy efficiency performance in power generation• Power for industry, transport & infrastructure• Safe and secure operations
Customer and market trends
Global and General trends
Technology trends
Environment trendsTechnology Trend in clusters
Customer and Market Trends
• Power quality and Reliability.• Sustainable Transportation system.• Electricity from Renewable Energy Sources • Global energy security and minimizing risks for supply• Strong innovative software portfolio
Customer and Market trends
Global and General trends
Technology trends
Environment trendsTechnology Trend in clusters
Technology Trends
• E-mobility: fast charging• Marine automation and electrification• New robotics applications in Oil & gas facility• Advanced services, Engineering / consulting, remote
monitoring, analytics services.• Grid automation, Control solutions, Software• Continue to expand functionality (e.g., mobile interfaces,
security) in Automation system software.
Customer and market trends
Global and General trends
Technology Trends
Environment trendsTechnology Trend in clusters
Technology Trend in clusters
• New grid topologies- Micro- / Nano-grids, Energy storage.• Interconnections, ultra high voltage.• Energy Efficient Products• Smart grids and meters• Internet of Things
Customer and market trends
Global and General trends
Technology trends
Environment trendsTechnology Trend
in clusters
Environmental trends
• Energy consumption was reduced per employee by 3.5 percent per year• More than 180 energy efficiency projects were undertaken.• Greenhouse gas emissions from Logistics and travel decreased by almost 8%
during 2013.• The Green CREM system in 20 main sites of ABB in Germany, allowing online
analysis of energy data and ongoing implementation and tracking of improvement measures.
• Water use in water-scarce area was reduced by 14% from 2011 to 2013.• ABB has sent 81% of total waste for recycling in 2013 .• 11% reduction in Volatile Organic Compounds (VOC) emissions in 2013.
Customer and market trends
Global and General trends
Technology trends
Environment TrendsTrends for change in cluster
Technology And Brand Image Pyramid
• Expansion locally along the whole value chain, Locally designed, supplied, manufactured and delivered specially in China, USA.
• Increased partnership to expand market presence and increase customer value-BYD, Phillips, Vestas, Hitachi.
Interacting technologies SPEAR HEADS
KEY TECHNOLOGIES
INTERACTING TECHNOLOGIES
Technology And Brand Image Pyramid
• Turnkey solutions for traditional and renewable energy based power generation plants, transmission grids and distribution networks.
• Discrete Automation and Motion to increase industrial productivity and energy efficiency.
• Remote, real time monitoring for Mining.• Remote Diagnostic Services based maintenance and expertise in
Marine services.
Key technologies SPEAR HEADS
KEY TECHNOLOGIES
INTERACTING TECHNOLOGIES
Technology And Brand Image Pyramid
• Leader in High Voltage Power Engineering • Technology Pioneer (FACTS, HVDC transmission)• Pioneer and No#1 in Power & Automation control (DCS)• No#1 in industrial motion (motors and drives)• No#1 in fast charging Electric Vehicle (EV)• A leading player in the infrastructure / building electrification
1) #1 in electric propulsion for ships2) #1 in terminal automation for port3) #1 for large industrial turbochargers
Spear heads and know how SPEAR HEADS
KEY TECHNOLOGIES
INTERACTING TECHNOLOGIES
Vision: Next Level strategy 2015-2020
• Shaping a global leader in power & automation • Accelerating sustainable value creation• Pushing the boundaries of automation into next level robotics and mining• Profitable growth – together
PROJECTSVISION
2015 2020
Vision: Next Level strategy 2015-2020Roadmap
Three strategic focus areas are profitable growth, relentless execution and business-led collaboration
PROJECTSVISION
2015 2020
Profitable growth• Continued strong investments into R&D of at least $1.5 billion annually• Shifting the center of gravity
Strengthening competitivenessDriving organic growth momentumLowering risk
• Expanding the customer value proposition into engineering/consulting, software and value added services
• Incremental acquisitions and partnerships• Maintain / accelerate organic growth momentum
Vision: Next Level strategy 2015-2020Roadmap
Relentless execution
PROJECTSVISION
2015 2020
• Leading operating model• Driving change through 1’000 day programs• Linked strategy, performance management and compensation• Deliver 3-5% of COS cost reduction; expand focus on white collar
productivity
Vision: Next Level strategy 2015-2020Roadmap
Business-led collaboration
PROJECTSVISION
2015 2020
• Leadership development• Lean market-oriented organization• Roles and responsibilities clarified• Attractive shareholder returns
Vision: Next Level strategy 2015-2020Roadmap
PROJECTS
Profitable growthRelentless execution
Business-led collaboration
VISION
• Shaping a global leader in power & automation • Accelerating sustainable value creation• Pushing the boundaries of automation into next level robotics and mining• Profitable growth – together
2015 2020
Thank You