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Engineering

                 Emilio Matsuo
                 Senior Vice President




November, 2007
People
Man Power Growth


         4500

         4000                                                                                3855
                                                                                      3626
         3500                                                                  3278
                                                                        2941
         3000
                                                                 2713
                                                          2543
         2500
People




                                                   2195

         2000
                                            1546
         1500
                                     1119
         1000                 846
                       658
                550
         500

           0
                1996   1997   1998   1999   2000   2001   2002   2003   2004   2005   2006   Oct/07

                                                          Year
Engineering Specialization Program - PEE
                              18MM US$
                             (2001/2004)
  ~4000 candidates

                                                         e-Learning




     ~50:1

                                                                      18 m


 ~80 selected/class


                                            80 courses
                                           13 specialties
          2001 2007                  Traditional classes
     737 trained engineers         Video conference/WEB
EMBRAER 170/190 Family

                         EMBRAER 170
                          EMBRAER 170
                           70/78 Seats
                            70/78 Seats



                         EMBRAER 175
                          EMBRAER 175
                           78/86 Seats
                            78/86 Seats



                         EMBRAER 190
                          EMBRAER 190
                          98/106 Seats
                           98/106 Seats




                         EMBRAER 195
                          EMBRAER 195
                         108/118 Seats
                          108/118 Seats
Embraer Worldwide Fleet Distribution




 57%



                                          5%
             17%
                                    21%

  • Over 4,000 aircraft delivered
Man Power Age Profile


         2500

                                                                  2002   2007
                                   1961
         2000



         1500
People




                            1046
         1000
                                                735
                551                       581               535
         500          384
                                                      321
                                                                                        122
                                                                                44
           0
                 18 e 25
                 18 -        26 -e35
                             26 35            e 45
                                           36 - 45     46 e 55
                                                       46 - 55                       > 55
                                            Age
Engineering Specialization Program - PEE

                             EVOLUTION
  • Source to complement the lack of engineering man power available at
    the market
  • Training focussed on new technology applications
  • Support the company business as a technological competence center
  • Recycling of engineers
Engineering Specialization Program - PEE
                                    Aerodyn./
                                      Loads
                                    Structural
                    Aeronautical     Analysis
                                    Structural
                                   Installation
        Basic
                      Maintenance and Support      Design
       Concepts

                                                    ACD - Aicraft
                                    Software        Characteristics
                                                      Definition
                                   Electrical /
                     Systems
                                   Electronics      PD - Prelimirary
                                    Hydro-            Definition
                                   Mechanical
       Phase 1      Phase 2A        Phase 2B      Phase 3
       ~ 6 months    ~ 3 months     ~ 3 months    ~ 6 months
Engineering Specialization Program - PEE

Courses not available at the Universities
 Aeronautical Systems     Applied Aeroelasticity               Avionic Systems Arquitecture
 Aerodynamic Loads        Integrated Systems (ARP 4754)        Interiors Conception and Design
 Metalization             Systems inter-operability            NASTRAN
 Landing Gear             Boarded Computerized Systems         Data Link
 Safety Assesment         Boarded Electrical Systems           Market Intelligence
 Aeronautical Fisiology   Softwares Certification (DO 178B)    Computer Based Tools for
                                                              Design
 Noise and Vibration      Aircraft Type Certification
                                                               Design-to-Cost Concept
 Structural Repair        Advanced CATIA- Nastran
 Applied Fly-by-wire
 Aviation Business
Engineering Specialization Program - PEE

  2001               2002                  2003               2004            2005                       2006
     164 engineers
                                                                              PEE/DPR - Production
       PEE T1                                                                 PEM - Manufaturing
                           136 engineers                                      PEP – Professionals other than
                                                                              Engineers
                              PEE T2                                          PEE/SW - Software
                                                                              PEE /PE – Structural Installation
                                80 engineers
                                                                              PEE/R – Engineering Recycling
                                   PEE T3                                     PEV – Flight Tests
                                               81 engineers                   PEE/MS – Maintenance and Support

                                                 PEE T4
                                                               79 engineers
                     PEP
                                                                  PEE T5
                                                                                    34 engineers
                                            PEE-SW-T1
                                                                                       PEE T6
                                                                 PEV                         51 engineers
                                                                                              PEE T7


                      PEE-DPR                     PEM                  PEE-R T1
Engineering Specialization Program - PEE

  2006              2007                2008   2009   2010                       2011
     62 engineers                                     PEE/DPR - Production
       PEE T8                                         PEM - Manufaturing
                                                      PEP – Professionals other than
                                                      Engineers
         59 engineers                                 PEE/SW - Software
            PEE T9                                    PEE /PE – Structural Installation
                                                      PEE/R – Engineering Recycling
             64 engineers                             PEV – Flight Tests
               PEE T10                                PEE/MS – Maintenance and Support


                    PEE-SW – T2

                        PEE-PE – T1

                          PEE-MS – T1
                        50 engineers
                          PEE T11

                             50 engineers
                               PEE T12

                               80 engineers
                                  PEE -R
Technology &
  Process
Digital Mock-up




                  Mock-up Embraer 170




                                    Mock-up ERJ 145
Virtual Reality Center
CFD - Computation Fluid Dynamic
CFD Simulation


                    Simulation Results
                       Comparison




         Analysis                        Real Test
Ground Tests
 Completed -- April, 2003
 Completed April, 2003      5000 cycles -- May, 2003
                            5000 cycles May, 2003      320,000 cycles (4 lifes)
                                                       320,000 cycles (4 lifes)




 Structural Tests            Fatigue Tests                     Barrel

     Tire Burst                Bird Impact             Loads Calibration




 Completed -- March, 2003
 Completed March, 2003      Completed -- March, 2003
                            Completed March, 2003      Completed -- August, 2002
                                                       Completed August, 2002
EMBRAER 170 – Aircraft S/N 0006
Technology Development – Portfolio


   Aircraft Health
    Management

                                            Interiors Design &        Collaborative Product
                       Noise & Emissions                                                            Advanced
                                                  Comfort                 Development           Aerodynamic Tools
                                                                                                  and Solutions




     Design for
                        Evolution and
   Manufacturing &
     Automation
                        Innovation
                       ISA – Integrated    Fly-by-Wire      CNS/ATM       Avionics Systems
                            Safety
 Design for Service      Assessment                 Airborne Software Development



                                                                                               Advanced Structures –
                                                                                               Composites / Metallic.
                                                                                              Smart Material, Morphing
  Multidisciplinary
                                                                                                    Structures
 Design Optimization
Product Development Process – Evolution

       On Board

    Data Acquisition
                                                        AIRLINE
                           Maintenance Engineering                     Maintenance Planning
    Pre-processing
      Recording

                                                     Condition Based
                                                      Maintenance
                                                       Prognostics
                                                       Diagnostics




                                                       Algorithms                             Reliability
                        Health                                                                  Data
                       Monitoring                        Models
                       Databank                                                    Configuration
                                                     Data Processing
     Ground Station                                                                  Control

                                                       On Ground
Product Development Process – Evolution
                                                                                                        3) Integrated Product
                       1                          2                         3
                                                                                                             Development
     Initial               Joint Definition        Detail Design                  Series        Phase
   definitions                                    and Certification             Production       Out

                            IPT- Functional
                            Integration
                                            ics
                                           m
                                         na
                 IPD                   dy
                                    ro
                                  Ae       ....

DBT
Physical                                          IPD – Integrated Product Development
Integration
         FuselageI




                                                                                   2) Simultaneous
                                                                                     Engineering

                                                                                                        Marketing

                                                                                                             Pre-design

                                       1) Sequencial                                                                  Engineering
                                       Development
                                                                                                                              Manufacturing
Partners and Suppliers Evolution

80’s            90’s                           00’s
500 Suppliers   4 Partners and 350 Suppliers   16 Partners and 22 Suppliers
Product Development Processes
  Strategies            1           2                     3                            4           5
    Goals             Initial
                    Program        Joint          Detailed Design and                 Serial     Phase-out
                                                                                                 Phase-
   Guidelines       Definition   Definition          Certification                  Production

Create and conceive
   new products

                Define Product & Services

                                                          Configure Product

                                                    Detail
                                              Product & Services

                                                  Test Product

                                              Certify
                                              Product
                                                                          Modify
                                                                          Product

                                              Program Mangement

   Partners Procurement
                                                    Partners Management
       and Selection


            Embraer                                Embraer + Partners
Team Based Organization

                Manufacturing
                                                       Integrated Product Teams
    Commercial         Customer                            (Functions Integration)
                                                                                                    t
                       Support                                                                 p or
                                  Product                                                    up
                                                              ics                          rS              n
              Core Team           Development              ut            s             e             c tio
                                                      o na           t em          t om            du
                                                   er             ys           s                  o
Program                                           A             S            Cu                Pr     ....
Management


                              Fuselage I
     Partners
     Management
                                  Wing
                Quality
    Design Build Teams
     (Physical integration)
                              Empennage
                                           ....
Engineering Organization
                                                     Engineering


                                                     Emilio K. Matsuo




                     Strategic        Product                Tests         Product           Product
                     Planning         Integrity                            Support        Development
                  Fernando Ranieri   A. Victorazzo       Sérgio Mauro   Waldir Gonçalves Humberto Pereira
       145

     E-JETS

     Legacy

   Phenom 100

   Phenom 300

   Lineage 1000

       ALX

       ISR

       ......
Product
Certification
 Process
Embraer Delegated Compliance Organization – EDCO


                          ANAC

   220 DER´s




                         EMBRAER


               EDCO                      Engineering
New Products
November 14th, 2007
EMBRAER MIDSIZE JET AND MIDLIGHT JET CONCEPTS
C-390
Productivity
Improvement
Embraer Enterprise Excellence Program – P3E

                 Engineering Projects (examples)
   • Product modification process – optimization
   • Product support (sustaining) – cost reduction
   • Flight/ground tests – optimization
   • Engineering organization – customer driven/optimization
   • New configurations development – faster/cheaper/better
   • Product maturity at entry into service – quality improvement
   • Digital factory – productivity increase
   • Continuous improvement Program
P3E - Flight/Ground Tests Optimization Project

Before




                               After
P3E - New Configurations Development Project

Before




              After
Thank You

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2007* Engineering Embraer Day 2007

  • 1. Engineering Emilio Matsuo Senior Vice President November, 2007
  • 3. Man Power Growth 4500 4000 3855 3626 3500 3278 2941 3000 2713 2543 2500 People 2195 2000 1546 1500 1119 1000 846 658 550 500 0 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 Oct/07 Year
  • 4. Engineering Specialization Program - PEE 18MM US$ (2001/2004) ~4000 candidates e-Learning ~50:1 18 m ~80 selected/class 80 courses 13 specialties 2001 2007 Traditional classes 737 trained engineers Video conference/WEB
  • 5. EMBRAER 170/190 Family EMBRAER 170 EMBRAER 170 70/78 Seats 70/78 Seats EMBRAER 175 EMBRAER 175 78/86 Seats 78/86 Seats EMBRAER 190 EMBRAER 190 98/106 Seats 98/106 Seats EMBRAER 195 EMBRAER 195 108/118 Seats 108/118 Seats
  • 6. Embraer Worldwide Fleet Distribution 57% 5% 17% 21% • Over 4,000 aircraft delivered
  • 7. Man Power Age Profile 2500 2002 2007 1961 2000 1500 People 1046 1000 735 551 581 535 500 384 321 122 44 0 18 e 25 18 - 26 -e35 26 35 e 45 36 - 45 46 e 55 46 - 55 > 55 Age
  • 8. Engineering Specialization Program - PEE EVOLUTION • Source to complement the lack of engineering man power available at the market • Training focussed on new technology applications • Support the company business as a technological competence center • Recycling of engineers
  • 9. Engineering Specialization Program - PEE Aerodyn./ Loads Structural Aeronautical Analysis Structural Installation Basic Maintenance and Support Design Concepts ACD - Aicraft Software Characteristics Definition Electrical / Systems Electronics PD - Prelimirary Hydro- Definition Mechanical Phase 1 Phase 2A Phase 2B Phase 3 ~ 6 months ~ 3 months ~ 3 months ~ 6 months
  • 10. Engineering Specialization Program - PEE Courses not available at the Universities Aeronautical Systems Applied Aeroelasticity Avionic Systems Arquitecture Aerodynamic Loads Integrated Systems (ARP 4754) Interiors Conception and Design Metalization Systems inter-operability NASTRAN Landing Gear Boarded Computerized Systems Data Link Safety Assesment Boarded Electrical Systems Market Intelligence Aeronautical Fisiology Softwares Certification (DO 178B) Computer Based Tools for Design Noise and Vibration Aircraft Type Certification Design-to-Cost Concept Structural Repair Advanced CATIA- Nastran Applied Fly-by-wire Aviation Business
  • 11. Engineering Specialization Program - PEE 2001 2002 2003 2004 2005 2006 164 engineers PEE/DPR - Production PEE T1 PEM - Manufaturing 136 engineers PEP – Professionals other than Engineers PEE T2 PEE/SW - Software PEE /PE – Structural Installation 80 engineers PEE/R – Engineering Recycling PEE T3 PEV – Flight Tests 81 engineers PEE/MS – Maintenance and Support PEE T4 79 engineers PEP PEE T5 34 engineers PEE-SW-T1 PEE T6 PEV 51 engineers PEE T7 PEE-DPR PEM PEE-R T1
  • 12. Engineering Specialization Program - PEE 2006 2007 2008 2009 2010 2011 62 engineers PEE/DPR - Production PEE T8 PEM - Manufaturing PEP – Professionals other than Engineers 59 engineers PEE/SW - Software PEE T9 PEE /PE – Structural Installation PEE/R – Engineering Recycling 64 engineers PEV – Flight Tests PEE T10 PEE/MS – Maintenance and Support PEE-SW – T2 PEE-PE – T1 PEE-MS – T1 50 engineers PEE T11 50 engineers PEE T12 80 engineers PEE -R
  • 13. Technology & Process
  • 14. Digital Mock-up Mock-up Embraer 170 Mock-up ERJ 145
  • 16. CFD - Computation Fluid Dynamic
  • 17. CFD Simulation Simulation Results Comparison Analysis Real Test
  • 18. Ground Tests Completed -- April, 2003 Completed April, 2003 5000 cycles -- May, 2003 5000 cycles May, 2003 320,000 cycles (4 lifes) 320,000 cycles (4 lifes) Structural Tests Fatigue Tests Barrel Tire Burst Bird Impact Loads Calibration Completed -- March, 2003 Completed March, 2003 Completed -- March, 2003 Completed March, 2003 Completed -- August, 2002 Completed August, 2002
  • 19. EMBRAER 170 – Aircraft S/N 0006
  • 20. Technology Development – Portfolio Aircraft Health Management Interiors Design & Collaborative Product Noise & Emissions Advanced Comfort Development Aerodynamic Tools and Solutions Design for Evolution and Manufacturing & Automation Innovation ISA – Integrated Fly-by-Wire CNS/ATM Avionics Systems Safety Design for Service Assessment Airborne Software Development Advanced Structures – Composites / Metallic. Smart Material, Morphing Multidisciplinary Structures Design Optimization
  • 21. Product Development Process – Evolution On Board Data Acquisition AIRLINE Maintenance Engineering Maintenance Planning Pre-processing Recording Condition Based Maintenance Prognostics Diagnostics Algorithms Reliability Health Data Monitoring Models Databank Configuration Data Processing Ground Station Control On Ground
  • 22. Product Development Process – Evolution 3) Integrated Product 1 2 3 Development Initial Joint Definition Detail Design Series Phase definitions and Certification Production Out IPT- Functional Integration ics m na IPD dy ro Ae .... DBT Physical IPD – Integrated Product Development Integration FuselageI 2) Simultaneous Engineering Marketing Pre-design 1) Sequencial Engineering Development Manufacturing
  • 23. Partners and Suppliers Evolution 80’s 90’s 00’s 500 Suppliers 4 Partners and 350 Suppliers 16 Partners and 22 Suppliers
  • 24. Product Development Processes Strategies 1 2 3 4 5 Goals Initial Program Joint Detailed Design and Serial Phase-out Phase- Guidelines Definition Definition Certification Production Create and conceive new products Define Product & Services Configure Product Detail Product & Services Test Product Certify Product Modify Product Program Mangement Partners Procurement Partners Management and Selection Embraer Embraer + Partners
  • 25. Team Based Organization Manufacturing Integrated Product Teams Commercial Customer (Functions Integration) t Support p or Product up ics rS n Core Team Development ut s e c tio o na t em t om du er ys s o Program A S Cu Pr .... Management Fuselage I Partners Management Wing Quality Design Build Teams (Physical integration) Empennage ....
  • 26. Engineering Organization Engineering Emilio K. Matsuo Strategic Product Tests Product Product Planning Integrity Support Development Fernando Ranieri A. Victorazzo Sérgio Mauro Waldir Gonçalves Humberto Pereira 145 E-JETS Legacy Phenom 100 Phenom 300 Lineage 1000 ALX ISR ......
  • 28. Embraer Delegated Compliance Organization – EDCO ANAC 220 DER´s EMBRAER EDCO Engineering
  • 31. EMBRAER MIDSIZE JET AND MIDLIGHT JET CONCEPTS
  • 32. C-390
  • 34. Embraer Enterprise Excellence Program – P3E Engineering Projects (examples) • Product modification process – optimization • Product support (sustaining) – cost reduction • Flight/ground tests – optimization • Engineering organization – customer driven/optimization • New configurations development – faster/cheaper/better • Product maturity at entry into service – quality improvement • Digital factory – productivity increase • Continuous improvement Program
  • 35. P3E - Flight/Ground Tests Optimization Project Before After
  • 36. P3E - New Configurations Development Project Before After