INDIA LPO

YourLOCAL PURCHASING OFFICE

InINDIA

INDIA LPO

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• Most assembly manufacturing organizations spend over 50% of theirrevenues to procure goods and services

• With so much at stake, purchasing is no longer a function. It has becomean important strategy element

• Sourcing from LCC (Leading Cost Countries) is increasingly becoming a keycomponent of this strategy

• India is one of the most popular locations for LCC sourcing for manyAutomotive OEM & Tier-1/Tier-2 companies

LCC Sourcing

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India : Automotive sourcing hub

Auto components IndustryAuto components Industry

• US$ 35 Bn Sales. 14 % CAGR.

Auto components exportAuto components export

• US$ 10 Bn. 19 % CAGR

“We are looking at export of critical parts fromIndia. India has inherent advantages of low-cost

sourcing- Yoshiyuki Matsumoto, Dev & Purchase- APAC

region, Honda Motorand manufacturing.“

“At Volvo, we strongly believe India is increasinglybecoming the global hub of auto components

sourcing,“-Eric Leblanc, MD Volvo India

"India is now one of the cheapest places in theworld”

-Vincent Cobee, VP Nissan ( Datsun BU)

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Why India ?

CostCompetitiveness

• Low cost• Frugal engineering

High Quality• Quality benchmarked with similar companies across

globe• Most Deming award winning suppliers are in India

Manpower • Highly skilled English speaking technical manpower

Low Risk • Democratic government• Better protection of IPR

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Key Sourcing Challenges• To identify the right source

- preferably a no. of options• To assess their actual capability• To negotiate the best contract• To manage product development• To manage any quality / logistics

concerns in serial supply

Key Sourcing Challenges• To identify the right source

- preferably a no. of options• To assess their actual capability• To negotiate the best contract• To manage product development• To manage any quality / logistics

concerns in serial supply

Why you need a Local Purchasing Office?

Solution :LOCAL PURCHASE OFFICE

(LPO)

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Your Advantages from our outsourced India LPO

Expertise & Experience- Team of Professionals with long experience- Expertise across varied areas like sourcing, SQA, Program management,

Component Development- Familiar with various commodities as well as finishing operations

Expertise & Experience- Team of Professionals with long experience- Expertise across varied areas like sourcing, SQA, Program management,

Component Development- Familiar with various commodities as well as finishing operations

Low Set up Time- You benefit from our ready to use set upLow Set up Time- You benefit from our ready to use set up

Lower Costs- Shared resources reduce your costs- Possible to engage other domain experts as & when needed on project

basis- No fixed cost & saving on the Balance Sheet

Lower Costs- Shared resources reduce your costs- Possible to engage other domain experts as & when needed on project

basis- No fixed cost & saving on the Balance Sheet

INDIA LPO

Our Service Offerings as your LPO in India

SupplierIdentification

SupplierIdentification

Series SupplyManagementSeries SupplyManagement

ComponentDevelopmentComponent

Development

• Supplier Database• Wide network• On Site Audits &

Assessment

• Logistics coordination• CAPA & 8D support• Forecast & capacity

tracking

• Time line integration• Preventive PQM• On Site visits for

witnessing ISIR, PPAP

INDIA LPO

Flexible Engagement models

Select a Model based on your needs & situation

Complete Suite ofservices

OrOnly specific services

Complete Suite ofservices

OrOnly specific services

Long term engagementOr

Short Term Projects

Long term engagementOr

Short Term Projects

Shared ManpowerOr

Dedicated resources

Shared ManpowerOr

Dedicated resources

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About Quanzen

• Market Support & Business Services organisation• Location - Pune in India.• Services in India to International Automotive Supplier companies from

all over the world :

Outsourced Local Purchasing Office Outsourced local sales & service office Localisation support

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Quanzen Team

• Each member is an engineer with 15- 25 years industry experience withrenowned multinational and Indian Automotive organisations likeMahindra, Tata Motors, Behr, TACO, Saint Gobain, Tenneco, 3M,Eicher,Kinetic etc.

• Expertise across varied areas like sourcing, SQA, Program management,Component Development, business development, projectmanagement, operations, sales etc

• Experienced in various commodities like casting, forging, stamping, diecasting, machining, plastics, rubber etc

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Quanzen Principal Team

• A Postgraduate inEngineering

• Over 25 years ofexperience in Automotiveindustry

• Held senior positions atBehr, Advance TechnologyDevices, Hitachi Metals,Eicher etc

Harsh Joglekar

• Mechanical engineer• 30 years experience in

Automotive industry• 20 years in Tata Motors• 10 years as Dy Director of

ACMA

• Electrical Engineer• 25 years of experience in

Automotive industry• Held senior positions at

Mahindra, Hitachi Metals,Cincinnati Milacron

• President & CEO atQuanzen

Rajiv MandkeSudhir Nerurkar

• A Graduate in Engineering• Over 28 years of

experience in Automotiveindustry

• Wide exposure in theAuto components Sectorwith MNC organisationslike SKF, 3M, Saint GobainSekurit, Tenneco, TATAYazaki etc.

PrashantGajendragadkar

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Client Reference - 1

Globally leading Automotive Latch & Lock system co in Europe• Quanzen supports their purchasing in India• Presently we are in supplier selection stage for two commodities : Stamped parts

and Assembled electronic PCBs• We completed supplier search and on site assessment visits for 5 potential

suppliers for each of the 2 commodities.• We also obtained quotes for 3 items each for stamping & PCBs and completed

techno commercial discussions as per the guidelines & target prices of ourprincipals.

• We have succeeded in getting attractive cost saving for the client as per the finallynegotiated prices.

Items for this client : Stampings, Assembled electronic PCBs, Machined forgings,Aluminium die casting, plastic moulding

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Client Reference 2

European Trading company, based in Spain• They are sourcing various components on behalf of European Automotive &

Industrial products manufacturers• Quanzen is their purchasing support partner in India since April 1st 2014• Based on their requirements, we search & identify potential suppliers and assess

them. We then send RFQs to them and handle techno commercial discussions withsuppliers.

• If needed, we also make a visit to the suppliers plants for initial assessment.• Based on our feedback and the quotes, our European client selects one of the

suppliers and releases order on them.• We manage the product development cycle including APQP, ISIR samples, PPAP

samples, witnessing sample inspection until final approval is received• Once the serial production begins, we coordinate with suppliers for timely

shipments, supplier quality issues etc

Items Handled : Iron castings, Iron forgings, Aluminium die casting, Investmentcastings, SS profiles, Fabricated parts