Post on 07-Jul-2015
Topics to be Covered Canon Operation Organizational Structure Brief on Saudi Economy Performance Reviews Key Development Areas Classification & Component Modeling Action Plans A & P Roadmap
Sohail SultanMarketing Manager
DiabMarcom Manager
Sayed BilalProduct Manager
Osama AshqarProduct Manager
Sami DarwazehProduct Manager
Ibrahim ShadfanProduct Manager
OPP CBSMarcom
Oil & Gas Petrochemicals Infrastructure Power Industry
Projects EvolutionOil and Gas US$ 96,760,000,000Petrochemicals US$ 143,122,000,000Infrastructure US$ 125,444,000,000Power Generation / Desalination US$ 33,503,000,000Industrial / Mining Projects US$ 12,555,000,000
$ B
illio
n
24%
35%
30%
8%3%
$412B
2005-2011 Active & PlannedProjects in KSA
Saudi Economy (Relevant Info)
25%
10%
4%
4%7%
50%
Education and ManPower Development
Health And SocialAffairs
Municipality Services
Transportation andTelecommunication
Water Agriculture &infrastructure
Other Areas
Appropriations
Main Sectors to Focus :Educational Sector
Health SectorBanking Sector
ConstructionIT Sector
Business Mix
Today’s Situation ( Laser )
MFP Laser 0-22PPM
MFD
0-33PPM Laser
Today’s Situation ( Color )
0-18PPM Color Laser
MFP Inkjet Color
Projected Growth Bars ( 2008-12)
Projected Growth Bars ( 2008-12)
Projected Revenue Bars ( 2007-12)
Million of US$ 2007 2008 2009 2010 2011 2012B&W Copiers 16.22 18.88 20.82 23.38 26.18 29.32 B&W Copier Consumables 1.62 1.89 2.08 2.34 2.62 2.93 B&W Copier Accessories 0.81 0.94 1.04 1.17 1.31 1.47 Color Copiers 1.12 2.74 3.59 4.73 5.21 5.73 Color Copier Consumables 0.23 0.58 0.75 0.99 1.11 1.25 Color Copier Accessories 0.12 0.30 0.39 0.52 0.58 0.65 Large Format Printers (including consumables) 0.80 1.06 1.60 1.91 2.11 2.32 TTL 20.93 26.40 30.28 35.05 39.12 43.67
CBS
Proj. Purchase Bars ( 2007-12)
CBS
Million of US$ 2007 2008 2009 2010 2011 2012B&W Copiers 13.52 15.74 17.35 19.48 21.82 24.44 B&W Copier Consumables 1.35 1.57 1.74 1.95 2.18 2.44 B&W Copier Accessories 0.68 0.79 0.87 0.97 1.09 1.22 Color Copiers 0.93 2.28 2.99 3.95 4.34 4.77 Color Copier Consumables 0.20 0.48 0.63 0.83 0.93 1.04 Color Copier Accessories 0.10 0.25 0.33 0.43 0.49 0.54 Large Format Printers (including consumables) 0.66 0.89 1.33 1.60 1.76 1.93 Total 17.44 22.00 25.24 29.21 32.60 36.39 Year On Year Projected Growth 26% 15% 16% 12% 12%
CCI
Million of US$ 2007 2008 2009 2010 2011 2012BJ Faxes 0.32 0.22 0.16 0.11 - - BJ printers 1.73 0.93 0.40 0.18 - - BJ MFP 0.34 0.40 0.48 0.57 0.35 - BJ Consumables 1.60 1.55 1.03 0.86 0.27 0.27 Laser Faxes 2.85 3.13 3.29 3.29 2.96 2.66 Laser printers - b&w 0.40 0.46 0.55 0.66 0.73 0.80 Laser printers - color 0.48 0.60 0.76 0.97 1.17 1.40 Laser MFP - Color 0.40 0.50 0.63 0.81 0.97 1.17 Laser MFP - B&W 1.28 1.60 1.99 2.49 2.99 3.59 Laser Consumables 1.89 2.20 2.53 2.88 3.09 3.37 Calculators 0.08 0.08 0.09 0.09 0.10 0.10 Total 11.35 11.67 11.91 12.92 12.62 13.36
Projected Revenue Bars ( 2007-12)
CCI
Proj. Purchase Bars ( 2007-12)
Million of US$ 2007 2008 2009 2010 2011 2012Inkjet Faxes 0.27 0.19 0.13 0.09 - - Inkjet printers 1.49 0.80 0.34 0.16 - - Inkjet MFP 0.29 0.34 0.41 0.49 0.30 - Inkjet Consumables 1.37 1.34 0.89 0.74 0.23 0.23 Laser Faxes 1.87 2.06 2.16 2.16 1.95 1.75 Laser printers - b&w 0.32 0.37 0.45 0.54 0.59 0.65 Laser printers - color 0.39 0.48 0.62 0.79 0.95 1.13 Laser MFP - Color 0.32 0.40 0.51 0.66 0.79 0.95 Laser MFP - B&W 1.03 1.29 1.62 2.02 2.42 2.91 Laser Consumables 1.53 1.78 2.05 2.33 2.50 2.73 Calculators 0.06 0.07 0.07 0.07 0.08 0.08 Total 8.96 9.13 9.25 10.05 9.73 10.20 Year on Year Growth 2% 1% 9% -3% 5%
CBS Sales Mix by Product Cat.
CBS By Sector
CCI Sales Mix by Product Cat.
HOST Diagram
Differentiate & Specialize by the Three Layers
Improve Profitability by Sales of Added Value
Development of the Professional Services Pre-Sales ,Sales &
Support Model
Improve Consumables Business
Workshops Plan
Improvement of Channels'
Supporting Activities
Workshops Plan
Working on the Standard and New Integrated
Solutions
Working on a Master Document System
Working in conjunction of the specialization Plan
Activities by indentified Potential Sectors
Workshops Plan
Activities by Accounts
Laying the foundation to High Production Printing
Environment
Enhancing the connectivity Ratios & Formulating a Plan to inject Meap
Applications
Introduction of 2 persons in each main area
Improvement of the team Marked on certain level to the next appropriate
level
Evaluating the VARs
Model
Understanding the Document movement and attributes by the
prominent sectors
Shaping Solutions by Sectors
Host Diagram
Differentiate and specialize by the three Layers
Improve the profitability by moving to Niche Areas
Development of the Professional Printing Business Model
Improve Profitibility
Workshops Plan
Product Point Campaigns
Working on the Standard and New Integrated Solutions
Targeted Seminars Collaborated Seminars
Activities by indentified Potential Sectors
Laying the foundation to High Production Printing
Environment
Improvement Mapping ( Professional Printing)
Host Diagram
Differentiate and specialize by the three Layers
Improve the Direct Channel
Have Clearly Defined Indirect Channels
Improve Profitibility
Workshops Plan
Aggressive Incentive
Campaigns
Improve the Competencies and Compatibilities
Workshops Plan
Working on the Standard and Integrated Solutions
Resellers Seminars
Working in conjunction of the specialization Plan
Updates on New Applications
Indentifying the potential and improvement possibilities
Consumables Pricing Stages
Based on the Canon Cumulative MIF in the
Last 5 Years & estimated machine life +
ACV Estimated lost Sales per Annum is
3.1M US$
Cat. Activity Name
B&W 1) CBS Workshop "Layer 1"
2) Value for Money Sales training
3) Collaboration Seminar
4) CBS Workshop "Layer 2"
5) CBS Workshop "Layer 3" Colour Color Campaign
LFP A) LFP Event "Eastern Area"
B) Direct Mailing Campaign
C) Trade off Campaign
D) 1018 Bundle Campaign
DIMS Ados + IW Training "Western Area"
Corp Branding Activities
Cons. Consumables' awareness Campaign
AprFeb Mar DecAug Sep Oct NovJulMay JunJan
Key Development Areas( Summary)
Competency Development for Professional Printing To develop Strategic Alliances with Globalis and
Open Text to enhance solutions business in addition to Canon solutions
Re-Positioning El-Ajou as solution provider (Collaborative seminar – Web site)
To position and focus on Canon color, LFP and DIMs in line with Market Dynamics
Consumable Business ensure retention To develop business relationship with VARs (Mass
distribution agreements are signed w/major dealers)
Component Business Modeling
Main CBS B&W Classification
Layer 1
Layer 2
Layer 3
Intersection 1/2 ( 22-35)
Intersection 2/3 ( 75-89)
0-20 PPM
35-89 PPM
90+ PPM
Total 5 segm
ents 0-19 T
otal 5 segments 0-19
20-39 20-39
40-5940-59
60-8960-89
90+90+
Main CBS Color Classification
Layer 1
Layer 2
Layer 3
Office Color/Smart Color
Production Color
Graphic Color
Intersection 1/2
Intersection 2/3
Strength Benefit/ Weakness Action/Focus Improvements
EL-Ajou EL-AjouEL-Ajou EL-Ajou/CME
CME CMEEL-Ajou EL-Ajou/CMEEL-Ajou EL-Ajou/CMEEL-AjouEL-Ajou
EL-Ajou/CMEEL-Ajou
EL-Ajou/CME
Opportunities Threats
EL-Ajou/CME EL-Ajou/CMEEL-Ajou/CME EL-Ajou/CMEEL-Ajou/CME EL-Ajou/CMEEL-Ajou/CME EL-Ajou/CMEEL-Ajou/CME EL-Ajou/CMEEL-Ajou/CME EL-Ajou/CMEEL-Ajou/CME
Market UnderstandingNumber of Sales Staff
Capacity to Grow and InvestManagement
Diversification
Resources: financial, intellectual, locationRelationships with customers
Brand strengthCompany Image
Infrastructure and Coverage
Operational CostForecast and Ordering Process
Relevant Market PricingLead Time to CustomersDeveloping Niche Areas
Market TrendsPolitical/Legal
Market TrendsCompetitors and competitive actions
Economic conditionMarket Growth
Technological AdvancementsImproved Spending
Change in Buying Behaviour
Globalization and Macro FactorsTechnological AdvancementsChange in Buying Behaviour
Market Growth
SWOT Analysis ( General)
SWOT Analysis ( B&W)Strength Benefit/ Weakness Action/
Focus ImprovementsEL-Ajou CMEEL-Ajou EL-Ajou/CME
CME EL-Ajou/CMEEL-Ajou EL-Ajou/CMEEL-Ajou CMEEL-Ajou EL-AjouEL-Ajou EL-Ajou/CME
EL-Ajou/CME EL-AjouEL-Ajou CME
EL-Ajou/CME
Opportunities Threats
EL-Ajou/CME EL-Ajou/CMEEL-Ajou/CME EL-AjouEL-Ajou/CME CMEEL-Ajou/CME CMEEL-Ajou/CME EL-AjouEL-Ajou/CME EL-AjouEL-Ajou/CME CME
EL-Ajou/CME
Alliances /PartnerShips ( VARs, LARS , TPS)
Converging Technologies Top Level Business Alliance by CompetitionPossibilities to enter Niche Areas Over all Value Propositon to VARs
Converging Technologies
Scalability of Canon L2+ Range Instable Pricing in Volume Pool ( Layer 1)Leadership by Differentiation Declining Customer Retention
Inflating MID Range Production Markets Declining Quality of Service
Growing Focus on Print on Demand Shrinking ProfitsCustomer Awareness to TCO/ROI Contract Ratios
Open Architechture and Integration Possibilities Penetration of MFPs in to Volume Pool ( layer 1)
Existence in Each and Every Segment
Unique Architecture Un-clear Channel ModelDiversification and the Depth &Breadth
Number of Sales Staff Insufficient Sales of Integrated LayerCapacity to Grow and Invest Improper Business Model of Lease & Rental Business
Infrastructure and Coverage Standard Local Printing in the Competition MachinesMarket Understanding Low Spec in Ratio
Brand strength 60% of Sales Compositon from Layer 1Company Image Sales Team Knowledge Level
Geographical Existence as a Sales/Service NTWORK Tender Business Mainly Driven by PriceHigh Reliability & PVs of Seg 4 + Devices Low Connectivity Ratios
Strength Benefit/ Weakness Action/Focus Improvements
EL-Ajou CMEEL-Ajou CME
CME CMEEL-Ajou EL-Ajou/CMEEL-Ajou CMEEL-Ajou CMEEL-Ajou EL-Ajou/CME
EL-Ajou/CME CMEEL-Ajou EL-Ajou/CME
EL-Ajou/CME EL-Ajou
Opportunities Threats
EL-Ajou/CME CMEEL-Ajou/CME CMEEL-Ajou/CME CMEEL-Ajou/CME CMEEL-Ajou/CME EL-Ajou/CMEEL-Ajou/CME CMEEL-Ajou/CME CME
CMEBuying Behaviour Inclined Towards Color Growing /Better Product Range from Competition
Growing Gap in the High Production
Market Growth Dominating Smart Color Range from RICOHTechnological Advancements in each Color Layer Xerox Image as a Quality Leader
Market influenced by the Cahnges across the Globe Ricoh Low Pricing Structure
Market Trends 60% sales comes from Seg 1&2 as total MarketPresentation as a necessity Declining Price offering from Competition
Composite Devices High Focus from Xerox and Konica Minolta
New Color Lineup from Canon Information Level /Focus of Sales TeamMeap Architechture Real Business Model for the Professional Printing
Number of Sales Staff Understanding Level of Application in Graphics Environment
Capacity to Grow and Invest High upgrade Cost
Infrastructure and Coverage Image Development Activities by CMEMarket Understanding Utilization of Alliances
Brand strength Improper Positioning of Color EnabledCompany Image Running Cost Compared to Competition
Specialized Support Staff to Handle Color No Model in the Major Sales Segments250+ Engineers KingdomWise Limited Range
SWOT Analysis ( Color)
Skill Assessment an Overview
Building Blocks ( Induction) :
•Eight Main Competency Parameters•Each Parameter six Diverse Sub-Parameters•Four selectable confidence Levels•360 Degree Self to Cross Assessment•Gap Analysis
Building Blocks ( Deductions) :
•Categorization•Progression Mapping•Investment Brief ( Investment , Improvement )
b) Vaue Analysis @ 80M BaselineC 25.20 M W 14.00 M E 6.72 M
2% 0.50 M 2% 0.28 M 2% 0.13 M
15% 3.78 M 15% 2.10 M 15% 1.01 M
25% 6.30 M 25% 3.50 M 25% 1.68 M
Main Areas 23% 46.58 M 23% 25.88 M 27% 13.14 M
TTL Proj. 100.50 M 35.18 M 33.37 M (ImpacT)
b)b) InvestmentInvestmentCC WW EE TT
95%95% 0.48 M0.48 M 171%171% 0.48 M0.48 M 357%357% 0.48 M0.48 M 1.44 M1.44 M
2%2% 0.08 M0.08 M 2%2% 0.04 M0.04 M 2%2% 0.02 M0.02 M 0.14 M0.14 M
2%2% 0.13 M0.13 M 2%2% 0.07 M0.07 M 2%2% 0.03 M0.03 M 0.23 M0.23 M
8686 TTLTTL 0.68 M0.68 M 0.59 M0.59 M 0.53 M0.53 M 1.81 M1.81 M
d) Staffing Proposed Plan C W E N S
APP 1 1 1 0 0
PP 2 2 2 0 0
LFP 1 1 1 0 0
TTL 4 4 4 0 0
Skill Assessment Conclusion
Simple Competency MatrixResponsibilityPhase 3Phase 2Phase 1Required Comptencies
EL-Ajou Communications Skills*
EL-Ajou Negotiation Skills*
EL-Ajou Presentation Skills*
CME/ElAjou Work Flow Analysis
CME/ElAjou Volume to Value Transformation
CME/ElAjou Soft Values approach
CME/ElAjou Basic Networking Concept
CME/ElAjou Advance Networking Concepts
CME+EFI Color Management
CENV+CME Transaction/Commercial Printing
CENV+CME Production Printing Prequisities
CME Account Management
CME Tender Management Skills
CME/ElAjou Forecasting and Reporting Systems
EL-Ajou ROI/TCO Analytic Skills
CME/ElAjou Total Value Proposition Development
El-Ajou English Courses*
Remarks
*To be outsourced by El-Ajou in coordination of the Training Department
Professional Professional Services Services
Firm ModelFirm Model
Financial Financial ServicesServices
PreSales/PreSales/Support Support ServicesServices
Professional Professional Services Services
Firm ModelFirm ModelSimple Definition :
“Each Integrated Function moves from Support to Service Provider”
As a Service Provider the function will be fully responsible for :
Response Time, Pre-Evaluations, Risk Management, Maintaining the Service Charges ,Creating an Added Value ( Competitive advantage)
Eligible Functions
Its not limited to conventional service support , but Finance and IT functions can be enhanced to service Providers
Charging of Services
Each function will develop its own Pricing Structure which will accommodate the service standard been offered
Professional Professional Services Services
Firm ModelFirm Model
Professional Professional Services Services
Firm ModelFirm Model
Professional Professional Services Services
Firm ModelFirm Model
Conclusion
1.The Main focus Sectors are Education ( 25.7Billion US$), Health Sector (10.5 Billion US$) , Banking Sector Construction ( 17.2 Billion with 6% annual Growth ),IT Sector ( 3.06 Billion US$)2.412 B US$ of Projects3.Construction Workload will be the maximum by 2008 end4.B&W Sales will have normal growth from 2007 to 2008 ,but will show an improvement 2009 due to expected completion of some development Projects5.Color Sales will have an improvement 2007 to 2008 due to new lineup + penetration to more principle markets6.LFP will be another main area of focus 8.Professional Printing Solution area will be the key Value generation prospects. 7.In order to be competitive & improve existence counter balance strategy needs to be adapted
Thank you