Advanced Engineering (5th November 2015)

The Importance of Innovative and Disruptive Technology Businesses

Robert EvansCEO, Cenex

Robert.evans@cenex.co.uk

www.cenex.co.uk

Advanced Engineering 2015

© Cenex (2015)

Government\Government Agencies

Technology Developers\Investors

Fleets and Cities

Introduction to Cenex • ‘Not for Profit’ Consultancy and Research Organisation

– 10 years accelerating the shift to a low carbon economy

– Passionate (but objective) about low carbon transport innovation

– Track record of successful projects for electric vehicles, hydrogen and biomethane

– Work across networks through collaboration and partnership working

• Clients include;

• Support to clients via;

– Project development, techno-market due diligence, public affairs, projects management, research support, data analysis and reporting, the UK’s largest low carbon vehicle event (www.cenex-lcv.co.uk)

Advanced Engineering 2015

© Cenex (2015)

Technologies have the potential to disrupt the status quo, alter the way people live and work, and lead to new products and services.

New technologies will bring new customers or force businesses to defend their existing bases or invent new technologies.

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Potential of Disruptive Technologies

Advanced Engineering 2015

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Technology that is rapidly advancing and experiencing breakthroughs

The potential impact is broad

Significant economic value could be affected

Economic impact is potentially disruptive

Examples of Disruptive Technologies

(2013)

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Advanced Engineering 2015

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Importance of Disruptive Technology Businesses

Innovators within Businesses;

Ask questions and challenge the status quo

Engage with others to innovate – collaborate, partner, develop new supply chains

Oversee risk-taking to realise rewards associated with leveraging technologies to establish new markets

Lead on creating value

Challenge mainstream players to play catch up through their own innovation

Technology = People + Ideas + Objects

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Advanced Engineering 2015

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Low Carbon

CAV

CAV = Connected and Autonomous Vehicles

Disruptive Technology Drivers for Automotive Engineering

Sources: ERTRAC, www.transportation.gov/fastlane/connected-vehicle-pilots-coming-region-near-you, http://www.metricstream.com/solutions/smart_cities.htm

Reducing Collisions

Tackling Congestion

Productivity via Connectivity

Increased Societal Mobility

Advanced Engineering 2015

© Cenex (2015) Sources: KPMG, Automotive Council

Low Carbon Vehicle Innovation linked to Technology Forcing Regulation

Passenger Car

Passenger Car Technology Roadmap

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Advanced Engineering 2015

© Cenex (2015) Sources: http://www.bmwgroup.com/powertrain, McKinsey

- Light-weighting

- Electrified powertrain

- On-board energy storage

- Decarbonised (renewable) fuels

- electricity

- biofuels

- hydrogen

Low Carbon Vehicle Technology Innovations

+ flywheels+ Power electronics+ thermal-to-electrical energy recovery+ fuel cells+ …….

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Advanced Engineering 2015

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Conventional Vehicles New Mobility Concepts

Driverless Logistics

Autonomous Vehicles - Key Target Areas for Adoption

+ military + industrial workhorses

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Advanced Engineering 2015

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- BMW - Chrysler\Fiat - Daimler - Ford - General Motors - Honda- Hyundai-Kia- Nissan- PSA Peugeot Citroen- Renault- Suzuki- Toyota- VW Group- Volvo

- Adaptive Cruise Control (ACC)- Adaptive Front Lights (AFL)- Blind Spot Monitoring (BSM)- Driver Monitoring Systems (DMS)- Forward Collision Warning (FCW)- Heads-Up Display (HUD)- Intelligent Speed Adaptation (ISA)- Lane Departure Warning (LDW)- Night Vision System (NVS)- Parking Assistance (PA)- Pedestrian Detection System (PDS)- Road Sign Recognition (RSR)- Surround View Cameras (SVC)- V2V and V2X Systems- Autonomous Operation utilising ADAS Sensors (LIDAR, Infrared, Ultrasound, LRR-MRR, Camera)

Automotive Advanced Driver Assistance Systems (ADAS) Market 2014-2024Visiongain, April 2014Precursor to the Autonomous Self-Driving, 2015

- Aisin Seiki Co- Autoliv AB- Bosch Group- Continental AG- Delphi Automotive- Denso Corporation- Harman International- Hella - Magna International Inc- Panasonic Corporation- Takata Corporation- TRW Automotive- Valeo SA

- Altera Corp.

- Autotalks

- Cisco Systems

- Cohda Wireless

- Covisint

- Freescale Semiconductor

- Gentex Corporation

- Google Inc.

- Intel

- Microsoft

- Mobileye

- Nvidia

- QNX Software Systems Ltd

- Renesys Electronics

- Texas Instruments

Autonomous VehiclesSelf-Driving Vehicles, Advanced Driver Assistance Systems,and Autonomous Driving Features: Global Market Analysis and ForecastsNavigant Research 2014

ADAS – Market Players, Technologies and Routes to Market Automotive Tier 1s

Sector Specialist Suppliers

Route to Market via OEMs

Alternative Routes to Market

- Electronics\Auto Tier 1 - Software companies- SME

Advanced Driver Assistance Systems(ADAS) Functionality

B2C >> B2B

B2B>> B2C

Sources:

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Advanced Engineering 2015

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Competitiveness Opportunity

Technology forcing regulation and societal grand trends making the global motor industry hungry for new technology

• Barriers to adoption of disruptive technologies are down • ..or at least lowered

• Motor industry willing to investment based on• Competitive advantage via;

• Technical Performance• Cost down• Durability

• Capabilities of organisation (management team) and associated supply chain

Opportunity for UK Plc to establish world leading capabilities in key technology areas through research and exploitation - associated opportunities for Tier 1, 2 and Tier 3 supply chains

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Advanced Engineering 2015

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Realising Supply Chain Opportunities

Stand Number : K75

Stand Number: L79

Stand Number: L51Technology Roadmaps

Today’s supply chain requirements

Tomorrows supply chain requirements

Boundary Spanning

Inputs from customers, suppliers, other industry, academia

+ + Others

Thank you for listeningrobert.evans@cenex.co.ukCEO, CenexRobert.evans@cenex.co.uk

www.cenex.co.uk