Engineering Oriented Value Chains Bob Parker February 2008

About Manufacturing Insights Provider of market research, custom research and advisory services Focus on the business application of information technologies for manufacturing companies Provide unique insights on how to improve business processes Cross the gap between IT and business with a global perspective

Provider of market research, custom research and advisory services

Focus on the business application of information technologies for manufacturing companies

Provide unique insights on how to improve business processes

Cross the gap between IT and business with a global perspective

Value Chain Definitions Engineering Oriented Automotive Aerospace & Defense Consumer Durables Farm, Construction, and Industrial Machinery Technology Oriented Semiconductor Consumer Electronics Contract Manufacturing Computing & Telecom Asset Oriented Bulk Chemical Specialty Chemical Metals Pulp and Paper Brand Oriented Food & Beverage Health & Beauty Footwear / Apparel Household Goods Retail / Wholesale

Engineering Oriented

Automotive

Aerospace & Defense

Consumer Durables

Farm, Construction, and Industrial Machinery

Technology Oriented

Semiconductor

Consumer Electronics

Contract Manufacturing

Computing & Telecom

Asset Oriented

Bulk Chemical

Specialty Chemical

Metals

Pulp and Paper

Brand Oriented

Food & Beverage

Health & Beauty

Footwear / Apparel

Household Goods

Retail / Wholesale

Industry Environment The Fear of the ‘R’ Word Reasons to be Sanguine Global Growth to the Rescue

The Fear of the ‘R’ Word

Reasons to be Sanguine

Global Growth to the Rescue

Predictions for 2008 #1 – Large Manufacturing Firms Will Move Toward a Globally Integrated Business Model #2 – IT Organizations Will Accelerate Spending on Collaborative Decision Environments and Incubate Multi-Enterprise Business Networks #3 – Globally Integrated Business Models Will Dictate That Supply Chain Organizations Reinforce the Fundamentals #4 – IT Spending in the Supply Chain Area Will Focus on Fulfillment Execution #5 – Product Life-Cycle Management Will Become an Enterprise Strategy #6 – Product Management Investments Will Be Geared to Integrating Processes, Not Automating Tasks #7 – For RFID, Forget Technology; Vendors Must Demonstrate Business Value Now #8 – For Environmental Compliance and Corporate Responsibility – Your Supplier’s Problems Become Your Problems #9 – Manufacturing Firms Will Tackle the Challenges of Aging/Emerging Workforces with Investment in Organic Knowledge Management #10 – M2M Technology Will Emerge as a Key Enabler to Enhanced Service Delivery

#1 – Large Manufacturing Firms Will Move Toward a Globally Integrated Business Model

#2 – IT Organizations Will Accelerate Spending on Collaborative Decision Environments and Incubate Multi-Enterprise Business Networks

#3 – Globally Integrated Business Models Will Dictate That Supply Chain Organizations Reinforce the Fundamentals

#4 – IT Spending in the Supply Chain Area Will Focus on Fulfillment Execution

#5 – Product Life-Cycle Management Will Become an Enterprise Strategy

#6 – Product Management Investments Will Be Geared to Integrating Processes, Not Automating Tasks

#7 – For RFID, Forget Technology; Vendors Must Demonstrate Business Value Now

#8 – For Environmental Compliance and Corporate Responsibility – Your Supplier’s Problems Become Your Problems

#9 – Manufacturing Firms Will Tackle the Challenges of Aging/Emerging Workforces with Investment in Organic Knowledge Management

#10 – M2M Technology Will Emerge as a Key Enabler to Enhanced Service Delivery

Tipping Point for Engineering Services

Actions to Consider Pursue micro-segmenting Create a brand Focus on specialized infrastructure/product categories Build intellectual property Solve the sales problem

Pursue micro-segmenting

Create a brand

Focus on specialized infrastructure/product categories

Build intellectual property

Solve the sales problem

Questions? [email_address]