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INDUSTRIAL CO-OPERATION– a tool for industrial growth and economical development
Peter SjöströmMarch 23 2011Saab AB Global Value Chain Seminar, Halifax Canada
A PARTNERSHIP OF EQUALS AIMING AT:
Enhancing national defence technology industrial base
Promoting micro-economic development
Contributing to macro-economic advancements
MEETING REQUIREMENTS- EXCEEDING EXPECTATIONS
Saab’s offset and industrial co-operation programmes are designed to:
Provide up to 100% or more of the sales contract value
Meet national policies and laws
Generate real value through business-driven initiatives
Offer a transparent, flexible and adaptable business model
Economic Effect of Different Approaches
Traditional approach Forced or subsidized business
Fully controlled by defence supplier
Dies once obligation is fulfilled
Limited national economic contribution
Economic Effect of Different Approaches
The market oriented SAAB approachUtilizes business interest within the industrial network
SAAB can operate as commercial risk sharing partner to the projects
Once initiated projects grow on their own commercial merit
Economic Effect of Different Approaches
GDP = Gross Domestic Product
Long term National Economic contribution State budget contribution (tax revenues)
Industrial expansion
GDP growth
Additional jobs
REAL JOBS, REAL INVESTMENTS AND THE KNOWLEDGE TO CHANGE THE FUTURE
Genuine investments creating real job opportunities
Transfer of unique know-how and state-of-the-art technology to local industry
TEN THOUSAND NEW JOBS DUE TO FIGHTER PROGRAM IN HUNGARY
Commitment to deliver 110% value of the lease/purchase cost of 14 Gripen aircraft
June 2009, seven years ahead of schedule, all obligations were fulfilled
Investments made by Electrolux, Haldex, Halton Clean Air, Ericsson, Astra Zeneca
To date, more than 10 000 new jobs have been created as a result of Saab’s commitment
Electrolux production plants – represent 5% of HU total industrial export
THE FIGHTER PROGRAM A CATALYST FOR GROWTH IN SOUTH AFRICA
Investments focusing on projects with real strategic and commercial potential
Formation of Saab South Africa to support the transformation and development of the SA defence industry
Industrial participation projects such as the build-up of a Flight Test Centre and manufacturing capabilities
More than one hundred industrial co-operation projects have been implemented
WITH SAAB, BUY NEVER MEANS BYE
Our commitment is always long-term and focusing on creating business opportunities that go beyond traditional offset obligations:
Spinouts and joint ventures together with partners
Product development programmes in close co-operation with local industry
Establishing Saab companies on local markets
Supporting social programmes on local markets
MEET YOUR PARTNER’S PARTNERS
Two centuries on the global arena means that we can provide the products, the business models and the support you need to meet your challenges and fulfill your visions
Building the future together – our industrial co-operation programmes provide access to knowledge and technologies that will have a significant influence on the future you’re building
Trustworthiness is our industrial heritage, a tradition characterized by strong commitments, honesty and the ambition to bring benefits to both our customers and ourselves
Industrial Cooperation in Canada
Due to the HCM FELEX Program Saab AB has built up an MRO capability in Halifax with the aim to grow further (GVC)
Cooperation with Lockheed Martin Canada leading to co-development of 9LV CANACCS Command & Control system
Contributing to Canadian industries like ammunition production at GD-OTS.
Industrial Cooperation in Canada
Saab AB and ABB are long-term partners and also parts of the Investor Holding group
Cooperation with ABB Canada within the HCM FELEX Program is bringing more business into Canada (GVC)
Saab / ABB relationship could bring new business to Dorval, Quebec, for Canadian CCV program; with aim to contribute to overall GVC
Industrial Cooperation in Canada
SAAB and IBM are team members on the HCM project.
Successful relations have led to exploration of a global partnership.
Saab & IBM are working towards a strong, growing business relationship in Canada, and globally, where there was a relatively insignificant relationship prior to the HCM project.
In part, the industrial cooperation relationship between SAAB and IBM helped support a significant R&D contribution by IBM to the University of Toronto Scinet Consortium to build Canada’s most powerful and energy-efficient supercomputer.
The computer is being used for ground-breaking research in aerospace, astrophysics, bioinformatics, chemical physics, climate change prediction, computational biology and medical imaging and as part of the global ATLAS project, which is investigating the forces that govern the universe.
HOW CAN MY COMPANY BENEFIT FROM SAAB IRBs?
Saab AB is continually seeking out innovative companies in Canada as IRB recipients
Focus on Small Medium Enterprise to large corporations in all regions across Canada
Encourage companies to demonstrate corporate capabilities during one-to-one discussions
Looking for companies to offer innovative ways to generate Canadian IRBs within Saab’s Global Value Chain
Focus on providing Saab IC with a strong value proposition