India Impact of Engineering: Marvel from and for India

Panel Discussion@ NASSCOM Engineering Summit

2013

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India is now an integral

part of global ER&D supply

chains

Engineering from India

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• India is No.1 in the global offshore ER&D industry with around 22% share• 750+ service providers and in-house ER&D centers in India• 350+ Global In-house ER&D centers in India• 400K+ engineers employed by service providers and in-house centers

India has been transforming to become a Strategic Engineering Partner

• Resources for less value adding repetitive tasks to optimize costs

• Responding to the stated problems of the customer and providing domain intensive solution

• Understanding the business problem and helping customer in staying ahead of their competition

• Ideation and product planning with ownership of products/ product lines

• Joint patents and IP development, sharing the risks and rewards

Executor

Solution provider

Business Solution provider

Strategic

Valu

e A

dditi

on

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India is The Destination market too

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• Slow down and mature home markets

• India has proximity to 70% of world's population

• India has a promising economy, a large consumer base with spending power

• Wealthy urban and rural market

• Government as the customer

• Supportive business environment

• Shift in ER&D activity from headquarters to the local markets

• ‘Indianization’ is the key for successBut Indian buyers have their own characteristics and every

company needs to understand this

India is The Destination market too

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• Most discerning retail and corporate consumers in the world

• Value for money - price sensitive market

• Functional vs Lifestyle approach influencing buying decisions

• Infrastructure, operating conditions, regional diversity

• After sales support and cost of ownership is an important part of buying decision

• Buyers want products that are made for Indian needs

Characteristics of Indian Buyers

Engineered for India and manufactured in India

Marvels for India from India

• Re-engineer products for India

• Design and engineer from scratch for India

Indian marvels, global impact

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GE’s Lullaby Warmer

Key DriversRe-engineer for India• Interrupted and fluctuating

power supplies

• Cost sensitive market

• Rugged probes

• Lack of space to keep large equipment

Image Source: GE Healthcare website

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Godrej’s Chotu Kool Refrigerator

Key Drivers

• Huge rural market opportunity

• Interrupted power supply

• Power consumption sensitive buyers

• Cost of maintains sensitive buyers

Image Source: Godrej Chotu Kool website

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ADA and HAL’s LCA Tejas

Key Drivers

• Self-reliance

• Building of a local industry capable of creating state-of-the-art products

• Commercial spin-offs for a global market

Image Source: LCA Tejas official website

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END OF PRESENTATION

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Panelists Paparao KodaliVP and GM, Ingersoll Rand Engineering & Technology Centers (IRETCs)• He is responsible for accelerating Innovation,

development of India-based Centers of Excellence, Global Product Development Support, formation of Partner Ecosystems and Strategic Alliances

• Before Ingersoll Rand, he held technical and management positions at Nortel Networks and Hughes/Raytheon systems, US

Kannan LakshminarayanFounder &CTO, Vortex Engineering (P) Ltd.• A serial entrepreneur, he jointly developed a low-

cost ATM to help deliver banking to rural India• He has a track-record of successful development

and commercialisation of solutions, particularly for price-sensitive and high reliability demands

• He is also the founder of Skillveri Training Solutions

• He engages with grass-root level organizations on sustainable solutions that improve quality of life

Bob HoekstraEx. CEO Philips Innovation Campus• He has played various roles including CEO,

Philips Innovation campus and VP Engineering at Philips Consumer Electronics

• After his retirement in 2006, he returned to Netherlands and now consultants companies on doing business with India

Amit ChadhaBusiness Head, Americas, L&T Technology Services• Amit is a member of L&T TS’ Management team

and provides business leadership, market direction and strategic vision to the company’s Americas business

• He joined L&T TS from Mahindra Satyam where he headed their Manufacturing segment for North America

Panelists