LEAP-PTC Corporate Overview by John

7/30/2019 LEAP-PTC Corporate Overview by John

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PTC Corporate Overview

July 2012


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Our Mission: Delivering Product and Service Advantage

Technology solutions that transformhow products are created and serviced


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Optimized Strategy & Planning: Sources of Enterprise Value

The third industrial revolution:

The future of competitive advantage is in strategy and planning activities

Its about doing things better as opposed to doing better things

Through smarter decision-making about how you design, engineer andservice your products

The end of operationally-derived advantage:

Operational improvement is approaching its limit Reliance on operational improvement alone will lead to product

commoditization

Continued competitive advantage requires a strong connection betweenoperations and strategy

Operations and Execution

Strategy and Planning


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Strategy Coordination

Operational Coordination

PTC Optimizes Strategy & Planning Across the Enterprise

Hardware &

Software Engineering

Master Data

Project Accounting

Supply Chain &

Manufacturing

Purchasing

Logistics

Supplier QualityProduction Scheduling

Production Control

Sales & Service

Demand Generation

Pipeline Management

ContractsService Scheduling

Service Delivery

Parts Logistics

Systems Engineering

Hardware Engineering

Software Engineering

Product Validation

Supply Chain Design

Cost Management

Risk Management

ManufacturingProcess Engineering

Tooling Design

Requirements

Application Engineering

Service Engineering

Parts Planning

Service InformationFailure Analysis

PTCOptimizes

Strategy

ERPOptimizes

Operations


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Service Lifecycle

Management (SLM)Product Lifecycle Management (PLM)

Application Lifecycle

Management (ALM)

Supply Chain Management (SCM)

CAD

Optimizing resourceallocation

Managing teamsfor globalization

Increasing demandfor diversity

Cost of poorquality

Product & supplycomplexity

Pressure toreduce cost

Global regulations onrisk and compliance

Inaccurate serviceinformation

Service part accuracy

High warranty costs

Inefficient service processes

Missed service and partsrevenue opportunities

Rapidly changingcustomer requirements

Complexity of software inproducts

Coordination of software,mechanical & electrical design

Inefficientconceptdesign

processes

Costs of creatingdrawings from

designs

Excessivedesignre-work

Product and Service Advantage is Hard to Achieve

Electro-mechanicaldesign

complexity


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Unique Approach to Solving These Challenges

Industry leading softwaretechnology:

Industry-leading capabilitieswith breadth across thelifecycle

Best of breed organic andacquired innovations

Unmatched integral andscalable architecture

Customer engagement modelthat ensures value realizationthrough:

Value Identification

Technology roadmap planning

Governance model

Deep understanding ofbusiness process:

25 years of experience

An entire team dedicated toworking with customers

Developed comprehensive viewof key processes Processlandscape


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Opportunities for Process Transformation

DesignPlan Concept SupportValidate ProductionOrganization

Requirements Definition and Management

Application Engineering

Tooling Design and Manufacture

Manufacturing Process Management

Regulatory Compliance

Portfolio Management

Quality & Reliability Management

Change and Configuration Management

Program and Project Management

Concept Development

System Architecture Design

Detailed Development

Verification and Validation

Design and Manufacturing Outsourcing

Variant Design & Generation

Component and Supplier Management

Early Sourcing

Product Support Analysis & Planning

Technical Information Creation & Management

Equipment Lifecycle Management

Environmental Performance Management

P R O D U C T L I F E C Y C L E

Hardware &Software

Engineering

Management

Supply Chain&

Manufacturing

Sales & Service

Performance Analysis & Feedback

Product Support Information Delivery & Field Knowledge Management


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A System of Market Leading Software Applications

Enables a single source of rich, digital truth that represents a complete view ofyour product

Service LifecycleManagement (SLM)

Plan, manage, deliverand analyze service

information, parts andwarranty throughout the

service lifecycle.

Product Lifecycle Management (PLM)

Evolve the complete definition of a productover its entire life.

Application LifecycleManagement (ALM)

Manage productrequirements, system

models, softwareconfigurations, test plans

and defects.


Manage components and suppliers, measure and managecompliance, and analyze product cost.

Computer-aided Design

CAD, CAM, CAE, and calculations.


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PTC Markets and Anticipated Growth

Service Lifecycle

Management (SLM)

Product Lifecycle Management (PLM) Application Lifecycle

Management (ALM)


CAD

~$600M

5-8% Growth

~$90M

15-20% Growth

~$50M

15-20% Growth

~$90M

15-20% Growth

~$500M

10-15% Growth


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Engagement Model Focused on Product & Service Advantage

Value-centric Engagement

Transformation starts with people

Value: The payoff of transformation

Roadmap: The phases of the journey

Governance:Avoiding surprises


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Opportunities for Product and Service Advantage

Sources: Referenced in Notes Page

50%reduction in product development rework5

2Xquality improvement in product development

with increase to 15-20% in systemsengineering effort6

ALM

80%improvement in design and process reuse1

2Xprofit improvement opportunity by reducing

COPQ to 10% of sales

2

PLM

89%customer retention rate achieved by best-in-class service organizations9

40-80%of all company profit can be directly attributedto aftermarket services10

SLM

80%reduction in overall compliance program

costs 7

3-8%reduction in cost of goods sold8

SCM

19%increase in product revenue by employing

enterprise 3D product model best practices 3

32%shorter development cycle length by employingMulti-CAD best practices 7

CAD


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Ingersoll Rand Standardizes PD Processes WithPTC PLM

A market-leading diversified industrial company making environmentssafe, comfortable and efficient by serving global, commercial, industrial,and residential markets

This is the second fastest return oninvestment of any IT project weve had

in the company because this does

translate into efficiencies and gains onthe supply side and the COGS [cost ofgoods sold] side of our product.

Michael MarcieVP, IT Architecture & StrategyIngersoll Rand


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Microsoft Uses PTC CAD Solutions for NewProduct Introduction

Microsoft is a global technology leader that develops, manufactures,licenses, and supports a wide range of products and servicespredominantly related to computing ranging from their Windowsoperating system to their Xbox 360 gaming device.

The incredible speed and flexibilityof

direct modeling has enabled us to achieveresults that would not have been possible witha parametric approach. Each method hasunique advantages, so the blending of thesecapabilities in Creo enables users to access the extended capabilities of both. The resultis a toolset that ispowerful, flexible and very fast.

Michael Baseflug

Mechanical Engineering Manager, Kinect Microsoft


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Continental Uses PTC ALM Solutions to Achieve ValueFrom Systems Engineering

Continental is a tier one automotive supplier of brake systems, chassiscomponents, vehicle electronics, tires and technical elastomer products

We have seen significantimprovementsin product developmentefficiencyas well as improvements inwarranty claims. It has a real bottom lineeffect.

Andr RadonContinental


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Nikon Implements PTC SCM Solutions for SingleSource of Service Information

Consolidated data sources intoa single-source of serviceinformation forimproved fieldperformance.

Mitigated financial penaltiesrelated missed SLA aroundequipment uptime

Nikon provides maintenance and repair information forcustom photolithography equipment


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Great Success Stories

Service Lifecycle

Management (SLM)

Product Lifecycle Management (PLM) Application LifecycleManagement (ALM)


CAD


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AutomotiveAerospace &

DefenseIndustrial

Electronics& High Tech

MedicalDevices

Retail &Consumer

Unmatched Expertise in Multiple Vertical Markets
http://www.newellrubbermaid.com/newellco/index.jhtmlhttp://www.baesystems.com/index.htmhttp://www.gsk.com/index.htmhttp://www.trw.com/home/main/1,,,00.htmlhttp://www.abb.com/global/abbzh/abbzh251.nsf!OpenDatabase&mt=&l=ushttp://www.lockheedmartin.com/index.html


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PTC: Recognized as a Global Leader

6,000employees

27,000+active customers

1,950employees in R&D

1,375service professionals

1,186,000+active Windchill Seats

800+partners(including VAR, software,hardware, service and training)

10 millionstudents trained worldwide through thePTC Global Academic Program

100+sponsored FIRST Teams(For Inspiration and Recognitionof Science & Technology)


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$100

$125

$150

$175

$200

$225

$250

$275

$800

$900

$1,000

$1,100

$1,200

$1,300

2009 2010 2011 **2012Guidance

8%

16%

9%

Solid Business Results

NA: 37%

FY 2011 REVENUE BY REGION

Europe: 40% AP: 23%

FY 2011 REVENUE BY VERTICAL

Life Sciences:

4%

Industrial Products:

29%

Federal, Aerospace& Defense:

19%

Electronics &High Tech:

16%

Automotive:

12%

Retail &Consumer:

7%

Other:

12%

* This presentation contains non-GAAP financial measures. A reconciliation betweenthe non-GAAP measures and the comparable GAAP measures is located in theFinancial and Operating Metrics document on the Investor Relations page of our

website at www.ptc.com. ** Represents FY12 guidance range.

Total Revenue ($ millions)

Total non-GAAP operating profits* ($ millions)

% = YOY growth


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Workforce Development

WORKFORCE DEVELOPMENT

Preparing and inspiring the next generation STEM professionalsOver 3000 Customers

4thGrade:

Design &technologyin primaryschools

5thGrade:

STARBASE

MiddleSchool:

STARBASE2.0

FIRST

Scalextric forSchools

HighSchool:

FIRST

RWDC

University/College:

ModernProduct

DevelopmentEducation

SAECollegiate

DesignCompetitions

PTC DesignChallenge

AuthorizedTrainingCenters:

120hours ofin facilitytraining

AuthorizedAssessment

Centers:

Assessmentbased on

PTCUniversity

PTCGlobalTalentHub:

Linkingstudents to

careerswith 27,000

PTCcustomers
http://www.whirlpool.com/home.jsp


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Q2 Review: India

Competitive Displacements/Wins:India FY12-Q2 *

1. ADAMAS2. Bengal Engineering College3. Central Institute of Plastics and Engineering4. Christ University

5. Dhamangaon College of Engineering6. DY Patil Institute of Technology7. Ganapathy Chettiyar College8. JSPM9. Gogte Institute of Technology10. KSR Institute11. Lyola College of Engineering12. MRK Institute

13. Nadar Saraswati14. Raisoni College15. Sai Spoorthi Institute16. St. Michales College17. Osmania University

* 12 wins v. Solidworks

Job postings for Pro/E in India compared to 2011 has increased by 66%

Job postings as of 5th April, 2012 (source: www.indeed.com)

0 500 1000 1500 2000 2500 3000

Pro/E

Autocad

Inventor

Solidworks

Catia

Solidedge

UG

2248

2604

250

453

959

271

390

Job Postings (India)


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Documents

LEAP-PTC Corporate Overview by John