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Baysource Primary Customer Presentation

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BaySource presentation

BaySource presentation

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  • 1. Your Offshore Sourcing Partners
  • 2. About us BaySource~Eastlink serves mid-sized companies that have no Asia-based sourcing infrastructure. We offer the localized representation needed to do business effectively in Asia. Becoming an extension of your sourcing team, we provide the “on-the-ground” resources needed to ensure success for your company. Staffed with experienced engineering and sourcing professionals, at we deliver measurable results in support of your costof the Initial Term least six months before the expiry productivity objectives and product quality goals. Our extensive network of manufacturing plants, expertise in commodity management and local operating knowledge allows us to immediately unlock the Asia potential and drive bottom-line dollars for your P&L.
  • 3. Leadership Team David Walsh, Managing Partner Mr. Walsh has extensive experience in sourcing and operations in Asia. Prior to co-founding BaySource~Eastlink, he was President and General Manager of Chiaphua Industries Ltd, a $2billion+ Hong Kong based manufacturing conglomerate. At Chiaphua, Mr. Walsh created their “sourcing and trading” business unit, targeting US based manufacturing companies to provide design engineering and supply base management for engineered components, assemblies and innovative new products for distribution in North American markets. Prior to Chiaphua Industries, Mr. Walsh held key executive positions at Newell Rubbermaid and Black and Decker Incorporated. As President of Rubbermaid’s Food Service division he implemented a new strategic direction for the company, significantly improving profitability and operating performance within the first year. Before Rubbermaid, David served as President of Irwin Industrial Tools (2002-2004), leveraging existing brand equities and launching several at least six months before the expiry of the Initial Term successful new product lines. In addition, he was responsible for streamlining Irwin’s Supply Chain, consolidating manufacturing operations and driving customer service levels to all time record levels. Mr. Walsh also served as President of Newell’s Bernzomatic gas products division, and prior to that as Vice President - Business Development for the Corporation. In this role David oversaw the Global sourcing organization where he authored the company’s strategic Purchasing and Supply Chain plan, established the company’s first China manufacturing facility and restructured the Far East Supply Chain operation, building integrated quality, logistics, finance, and sourcing infrastructure to support global business requirements. Prior to Newell Rubbermaid, Mr. Walsh spent 10+ years at Black & Decker in several leadership positions in the Australian, Asia and North America regions. Mr. Walsh has a MBA from Loyola College in Baltimore, MD, received his Graduate degree in Purchasing and Materials Management from RMIT, Melbourne, Australia, and is Six Sigma Green Belt certified
  • 4. Leadership Team David Alexander, President Prior to co-founding BaySource~Eastlink in 2005, Mr. Alexander was a principal and EVP of Diamond Products, a privately held $120MM consumer products manufacturer and distributor from 1999-2005. Diamond owned/operated three state of the art, vertical blending and filling facilities that all reported up through Mr. Alexander. Diamond also operated internal HDPE blow molding operations at two of its factories. Diamond brands included the White Rain, Dry Look for Men, Dippity Do, Adorn and Mink Difference hair and body care products. By volume, the company’s White Rain shampoos and hairsprays were top sellers in the U.S. value price point categories with over 100MM units sold annually. at least six months before the expiry of the Initial Term In addition to the branded business, Mr. Alexander was responsible for Diamond’s private label sales and marketing. Diamond was one of the largest U.S. packagers of private label health and beauty products such as isopropyl alcohol, hydrogen peroxide, Epsom salts, baby care products, and powders, with customers such as Wal Mart, CVS, and Kroger. Mr. Alexander also oversaw all contract manufacturing of liquid fill products for customers such as Cheesebrough Ponds, Unilever, Glaxo Smithkline, and Schwarzkopf Dep. Diamond’s R&D division which supported all new product and packaging development reported up through Mr. Alexander as did Purchasing and Supply Chain activities. Mr. Alexander implemented the company’s first e-procurement strategy saving the company over $1MM in its first year of inception. Prior to his experience with Diamond, Mr. Alexander was in various sales and management roles with the Mead Corporation, a leading U.S. distributor of paper, packaging, school & office, and industrial products. Mr. Alexander has a Bachelor of Arts and Sciences from The Ohio State University and has completed several programs with UNC’s Keenan Flagler School of Executive Education.
  • 5. Leadership Team Julian Wren, Managing Partner Mr. Wren has twenty year’s experience in engineering manufacturing with specialist expertise in the power tool and appliance industry and broad experience in purchasing, manufacturing, logistics, management and quality engineering. Prior to co-founding BaySource~Eastlink, Mr. Wren was Vice President, Group Purchasing/ General Manager of Trading with Chiaphua International, a Hong Kong based manufacturing conglomerate producing power tools, gas grills, home décor products, appliances and telecommunications equipment. While with Chiaphua, Mr. Wren held the positions of Group Director of Logistics (2002-2003), Senior Manager—Purchasing and Logistics (2000-2002), Manufacturing Engineer (1999-2000), Lead Commodities Specialist (1997-1999) and Senior Quality Engineer (1996- 1997) at least six where healso Deputy General Manager with FERM Global, a $150MM of the Initialin Term tools, months before management, supply chain and ERP. was responsible for materials the expiry Mr. Wren was sourcing company specializing power His qualifications include Certifications from the Institute of Quality Assurance, Darlington College, Durham, UK, and a National Diploma in Mechanical Engineering from Darlington College. He is certified ISO 9001 and speaks fluent Mandarin. Mr. Wren heads up all of BaySource~Eastlink’s sourcing and project management activities, which include vendor selection, quality audits, price negotiation, commodities expertise, and customer fulfillment.
  • 6. Design Engineering & Strategic Sourcing Product Development & What we offer…… Best cost & quality manufacturing options Commodity management expertise Design engineering resources at least six months before the expiry of the Initial Term ID, Mechanical, electrical, electro-mechanical, electronic CAD capability & compatibility ProE, Solidworks, Unigraphics, Catia Robust milestone-driven program management Complete end-to-end logistics support
  • 7. Design Capabilities Dedicated Industrial design resources Rapid prototyping capabilities (SLS / FDM) Pro-E, Solidworks, Catia & Unigraphics at least six months before the expiry of the Initial Term Our Process Project scope Research & planning Product engineering Industrial Design Prototyping Validation Testing Program management Implementation Manufacturing execution Customer delivery
  • 8. at least six months before the expiry of the Initial Term
  • 9. Manufacturing profile 1. FUYONG 2. DONGGUAN • 3.3m sq ft / 11,000+ associates • 300k sq ft / 1,200+ associates • ISO9001, • ISO9001 Stamping, deep drawing, Injection mold tool design and molding, plating, painting, PCBA fabrication, injection molding, UV & production, UV welding, electro- pad printing, wet painting, mechanical assembly mechanical assembly at least six months before the expiry of the Initial Term 3. BUXI 4. SONGGANG • 0.7m sq ft / 2,000+ associates • 1.1m sq ft / 4,500+ associates • ISO9000, • ISO9001 Stamping, casting, plating, Stamping, injection molding, blow- coating, painting, precision- molding, painting & plating tufting, molding, electro-mechanical electro-mechanical assembly assembly, Hygienic grade molding
  • 10. Manufacturing profile 5. ZHUHAI 6. SONGGANG • 400K sq ft / 2,000+ associates • 300k sq ft / 700+ associates • ISO9001, 14000 • ISO9001 Tool & die design and fabrication, Co-packing / packaging Injection molding, rapid proto- assembly, blister / vacuum typing, CNC machining, spray forming, flocking, silk-screening, painting, mechanical sub-assembly Hygienic grade packaging at least six months before the expiry of the Initial Term 7. DONGGUAN 8. DONGGUAN • 1.5M sq ft / 1,000+ associates • 150K sq ft / 500+ associates • ISO9002 • ISO9001 Die Casting (magnesium, aluminum CNC turning, milling and cutter & zinc alloys), CNC machining, grinding. tool-design & fabrication, powder coating, mechanical assembly
  • 11. Competencies Plastic Injection Molding: 750+ machines (25T – 2,500T) Electromechanical: Motors, Compressors, power cords Metal stamping: 500+ machines ( up to 850T) Die casting: Aluminum, zinc, magnesium Plating & Painting: Electro-plating, E.F. & powder-coating at least six months before the expiryplacethe Initial Term of assembly PCBA design and assembly: Surface mount, pick & Tool & Die Making: Injection, die cast, prog - die, deep-draw Vacuum forming: PET & PVC up to 10mm thickness CNC Machining & Sintering: PM & MIM components, machined parts Assembly: 20,000+ manufacturing associates & 7MM+ Sq Feet
  • 12. Integrated Logistics Customs and traffic department World-wide ocean-freight carrier partnerships Competitive shipping rates on key global lanes Full service provider (FOB, C&F, CIF, DDP) at least six months before the expiry of the Initial Term Domestic Inventory carrying capability
  • 13. Vendor Negotiation U.S. and Hong Kong Vendor Identification Representation Project at least six months before the expiry of the Initial Term Management Logistics Support Quality Monitoring
  • 14. Current vs New Sourcing Model Standard cost includes: New Standard cost includes: •Labor & OH •Raw materials & Packaging Delivered costs of finished goods (incurring vendor minimums) Carrying cost of capital •Handling and receiving •Procurement resources and at commodity expertise least six months before the expiry of the Initial Term China Factory absorbs •Management of multiple – Raw Materials/ Commodity Responsibility vendors – Inventory Management & •Scrap and waste factors Warehouse space •Carrying cost of capital – Scrap, shrinkage/waste •Inventory management and – Carrying costs responsibility – Labor •Warehouse space
  • 15. Current vs New Sourcing Model Widget X - $10.00 selling price BOM Component A $1.50 Component B $1.65 Component C $ .90 Component D $ .45 $4.50 (75% of materials) Packaging $1.50 (25% of materials) at least six months before the expiry of the Initial Term Total materials $6.00 – 60% of sales / 75% cogs Labor - assembly .50 – 5 % / 6.25% cogs Overhead $1.50 15% / 18.75% cogs Total cost $8.00 Profit $2.00 Annual volume 50,000 units Annual sales $500,000 Annual gross profit $100,000 (20%)
  • 16. Current vs New Sourcing Model Widget X - $10.00 selling price BaySource cost reduction project - Phase 1 component sourcing BOM current new Component A $1.50 $1.20 (<20%) Component B $1.65 $1.35 (<18%) Component C $ .90 $ .90 Component D $ .45 $ .45 $4.50 (75% of materials) $3.90 (72% of materials) at least $1.50 (25% of materials) of before$1.50 –(28%expiry of the Initial Term six months sales the of materials) Packaging Total materials $6.00 – 60% $5.40 54% of sales Labor .50 – 5 % of sales .50 Overhead $1.50 15% of sales 1.50 Total cost $8.00 $7.40 – 7.5% total cost decrease Profit $2.00 $2.60 Annual volume 50,000 units 50,000 units Annual sales $500,000 $500,000 Annual gross profit $100,000 (20%) $130,000
  • 17. Current vs New Sourcing Model Widget X - $9.00 selling price –10% reduction BaySource cost reduction project - Phase 2 full assembly sourcing BOM current new Component A $1.50 Component B $1.65 Component C $ .90 Component D $ .45 $4.50 (75% of materials) $3.60 fully assembled at least six monthsof before$1.00 expiry of the Initial Term the Packaging $1.50 (25% of materials) Total materials $6.00 – 60% sales $4.60 Labor .50 – 5 % of sales .10 China factory costs Overhead $1.50 15% of sales .05 Total cost $8.00 4.75 – 41% total cost decrease Profit $2.00 $4.25 Annual volume 50,000 units 55,000 units 10 % increase Annual sales $500,000 $540,000 Annual gross profit $100,000 (20%) $233,750 (56% margin) Not included is carrying cost of capital; OH might remain
  • 18. Our Values INTEGRITY COMMITMENT We are committed to an Our objective is to build uncompromising long-term relationships professional integrity that with organizations who transcends all that we do share our values. at least six months before the expiry of the Initial Term TRANSPARENCY EXECUTION We strive for open “We’ll say what we do, communication in each and do what we say”. and every interaction with Execution is 99% of the customers, suppliers and our deal in Asia……. people
  • 19. Our Offer Your gateway to lower costs and higher quality products needed for companies to “WIN” in today’s fast-paced at least six months before the expiry of the Initial Term competitive environment….
  • 20. Contact Us David Walsh David Alexander Managing Partner President Eastlink Global Ltd. BaySource Global 1005, 10/F, Universal Trade Centre 1010 S. Rome Ave 3 Arbuthnot road, Central Tampa, FL 33606 Hong Kong, SAR david.alexander@baysource.net at least six months before the expiry of the Initial Term dwalsh@eastlinkglobal.com PH: (813)-251-4184 PH: (852) 3515 2029 Mob: (813) 760-1705 Mob.(852) 6772 9617 Skype dalex99 Fax (852) 3017 3625 www.baysourceglobal.com www.eastlinkglobal.com