Outsourced Product Design (OPD)

Customer enlightenment through effective outsourcing of product design to enter India Market A Key Case Study

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The client is ready to expand into the APAC region. However, there are many barriers to entry and in order to overcome them they will need to enter the market as quickly as possible. In todays competitive scenario, a product must speak for itself the quality of the product will make the difference to the consumer. The client has determined that entering the Indian market will be a profitable and rewarding business venture and an important component of their future business growth. The client is dedicated to providing the best quality products, tailored to suit the target market needs. The expectation of this project is to capture 20% market share in the next two years. Prior to entering the Indian (APAC) market, the customer will need to complete the following due diligence: Benchmark study of the competition product specifications, cost and performance Research and analysis of product requirements for the target market

ABOUT THE CLIENT Headquartered in Europe, the client is one of the leading manufacturers and suppliers of industrial equipment & machines for the following industries:

Food and beverage Pharmaceutical Waste water & chemical industries

The client has a 65% market presence in Europe with a well established customer base. The client is now expanding their product range and market presence across the APAC region.

By entering emerging markets, like India, and providing products designed for specific target markets, the client has plans to capture 20% of the market share in the next two years.

Without any current presence or infrastructure in India, the client will suffer a high cost, and an extreme amount of effort and time to gather this information and be able to design and introduce the product to the market. However, any lack in competency or any delay will hamper the customers project launch which will cause the entire exercise to fail! To mitigate the risk of failure, the customer decided to contract with a trusted vendor. 2|Pa g e CONFIDENTIAL DOCUMENT

Being a pioneer in outsourcing, with a distributed global network of talent, resources and an infrastructure in India, BWIR was the best choice to support the clients needs. As illustrated in the following Figure A: When introducing a new product to a current market, a company only has to investigate market penetration opportunities. But when entering a new market a company is forced to develop their business in the new market and diversify in addition to all market penetration activities. This will lead to a higher cost and longer timeline.

Figure A BWIR specializes in product design engineering and has a proven track record of creating a competitive edge for its clients. BWIR came on-board as an outsourced vendor to complete the benchmark study of the competition and target customer base analysis. In addition, BWIR redesigned the product to suit the target market, APAC Indian target customer requirements. Hence, BWIR became a valuable, trusted outsourced vendor for the customer. Since the relationship did not evolve into a joint venture, the customer continues to hold all of the patent and intellectual rights with regards to the business.

On behalf of the customer, BWIR completed the Benchmark study of the competition and target customer base analysis. BWIR also redesigned the product for the customer, based on the target market findings with its in-depth technical expertise and experience in the field. 3|Pa g e CONFIDENTIAL DOCUMENT

The customer realized the following benefits by trusting BWIR to be its outsourced vendor: The necessary infrastructure, network requirements, ecosystem, and business environment were created to seamlessly step into the Indian market 50% reduction in project delivery time as illustrated in Figure C: Overall Project Schedule 22% reduction in project cost as illustrated in Figure D: Project Cost Difference Customer continues to hold all of the patent and intellectual product rights

Figure C

Project Cost Difference (in $K USD)

Benchmark Study/Research Development Cost Total Time

With a partner $56

$650

$706

Without a partner $60

$850

$910

Figure D 4|Pa g e CONFIDENTIAL DOCUMENT

Our
BWIR's vision is to be a full-service provider to mid-market manufacturing companies. While some of BWIR's service offerings require in-depth domain expertise, others are technology-related services that span multiple domains. Within manufacturing, due to the Barry-Wehmiller legacy, BWIR is equally comfortable with both discrete manufacturing (Barry-Wehmiller divisions like MarquipWardUnited and HayssenSandiacre) and process manufacturing (Barry-Wehmiller customers in the food, beverage and pharmaceutical industry). Within discrete manufacturing, BWIR's core strength is in the Industrial Machinery and Equipment (IME) space. These include: Special purpose machines Metal forming and cutting equipment Paper converting machines Packaging technologies Rotating equipment including pumps and valves, compressors, fans and blowers Additionally, BWIR has core competence in: Oil and gas Pharmaceuticals Food and beverage Consumer goods

BWIR offers manufacturers a full suite of engineering and information technology services, bridging these two core areas with product lifecycle management solutions. Working side-by-side with clients, our consultants act as practitioners, rather than theorists, and are able to tap the vast knowledge contained within our parent company, Barry-Wehmiller Companies, Inc. In engineering services, BWIR helps manufacturers to maximize their output in areas such as product design, industrial automation, sustaining engineering and value engineering. BWIR also assists manufacturers in identifying effective strategies for integrating their engineering functions with the rest of the company. In IT consulting, BWIR makes technology serve our clients, rather than the other way around. We help untangle overlapping and repetitive applications, streamline processes, and make sure our clients are using enterprise software as efficiently as possible to speed the development and delivery of new products. 5|Pa g e CONFIDENTIAL DOCUMENT

BWIR is a global provider of engineering and enterprise solutions to the midmarket manufacturing domain. As part of the consulting platform of a US-based global manufacturing and technology services leader, BWIR has embraced Barry-Wehmillers people-centric leadership culture and values. BWIR has been recognized as a pioneer in outsourcing with a distributed global network of talent and resources. BWIR enables its clients to achieve a competitive edge in the marketplace by striving for execution excellence in every aspect of what is delivered. Fundamental to our model is the building of proactive and insightful relationships that foster lasting partnerships. Key differentiators: Driven by our unique people-centric culture and values Pioneers in outsourcing with a distributed global network of talent and resources Consulting platform of a U.S.- based global manufacturing and technology services leader Specializing in engineering and enterprise solutions for manufacturers Execution excellence through a proven commitment to process improvement Focused on proactive and insightful relationships that foster lasting partnerships

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