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GROUP MEMBERS:AZLI ARIFFIN

PRABHU A/L CHANDRA SAGARANNORAZMI JUMALI

RATNA DEWI NURSALNUR EZRIN ABDOL RAHIM

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•Corporate InfoCorporate Info

COMPANY COMPANY ::INCORPORATION DATE INCORPORATION DATE : : May 1991May 1991BUSINESS ACTIVITIESBUSINESS ACTIVITIES : : Automotive Component ManufacturingAutomotive Component Manufacturing

: : Engineering, Procurement, Construction & Engineering, Procurement, Construction & Commissioning Commissioning

ADDRESS ADDRESS : : Lot 1M, 1Lot 1M, 1stst Floor, Floor, No. 2 Tasik Ampang,No. 2 Tasik Ampang, Jalan Hulu Kelang,Jalan Hulu Kelang, 68000 Ampang, Selangor Darul Ehsan68000 Ampang, Selangor Darul Ehsan

WEBSITEWEBSITE : www.ingresscorp.com.my: www.ingresscorp.com.myLISTED ON BURSA MALAYSIA KUALA LUMPUR ON 9th MAR 2001SHARE CAPITALSHARE CAPITAL : : RM 76,800,000RM 76,800,000

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The Ingress Vision is about creating aThe Ingress Vision is about creating a business business organizationorganization that combines athat combines a high-trust culturehigh-trust culture that enables Ingress to developthat enables Ingress to develop meaningful meaningful partnershippartnership, both inside and outside the , both inside and outside the organization - withorganization - with entrepreneurial and entrepreneurial and professional attributes.professional attributes.

Creating meaning in life and bringing harmony Creating meaning in life and bringing harmony to its surrounding is the embodiment of the to its surrounding is the embodiment of the Ingress VisionIngress Vision..

" To achieve" To achieve Total Customer SatisfactionTotal Customer Satisfaction, , we we shall strive forshall strive for Competitiveness, Continuous Competitiveness, Continuous ImprovementImprovement andand ExcellenceExcellence throughthrough Human Human Resource DevelopmentResource Development ””

•Corporate VisionCorporate Vision

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OPERATION

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OPERATION (CONT.)

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MARKETING

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The Agenda

Presentation Format

• The Background: One-Page-Strategy ‘3-Key Synergy’ Ingress – The Brand

• Key Results Area: The Balanced Scorecard Approach Target Sales Projection

• Key Activity Scheduling

• The TEAM

note• …

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The Background…

1

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The 1-Page Strategy

The Background

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The 1-Page Strategy

The Background

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Integrating Efficiencies…INGRESSing forward

… via The 3-Key Synergy

The Background

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Integrating Efficiencies…the 10-Point Plan

1. Integrate the marketing, technology and manufacturing strategies – and establishing the manufacturing performance necessary for market leadership (unit cost, quality, uptime, on-time deliveries etc.)

2. Establish performance benchmarks as the beginning of the process for achieving and sustaining manufacturing excellence in all operations. Compare all plants to this standard of excellence.

3. Measure uptime/OEE and losses from ideal performance. Establish root cause of losses from ideal, and use these losses as the basis for establishing improvement activities.

4. Develop a plan of action for minimizing these losses from ideal; and assuring best practices are applied. The culture of Ingress should be one of having to justify not doing best practice – best practice and manufacturing excellence are requirements not options; getting the basics right, all the time, is fundamental to making best practice an inherent behavior.

5. Establish and apply best practices, using models developed at successful plants (internal/external), for the way Ingress designs, buys, stores, installs, operates, and maintains its plants.

6. Vendors/Suppliers/Contractors will be held to the same high standards as the balance of the organization, and a policy will be established for the use of these.

The Background

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Integrating Efficiencies…the 10-Point Plan

7. Each unit will be expected to put forth its current performance relative to these benchmarks and best practices, its plan for improvement, along with anticipated value of these improvements and investment required to achieve them.

8. Organizational behavior and structure will be modified to facilitate teamwork for applying operational excellence principles.

9. A corporate strategic training plan will be established in cooperation with all units which supports continuous learning and operational excellence. Skill requirements will be established in each major elements for operational excellence.

10. Performance measurements that assure operations and business excellence be reviewed, modified if necessary, to assure Ingress measures, manages, and improves every step of the way. These measures must cascade from the senior management office to the floor in a mutually supportive manner.

The Background

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The Background

INGRESS Branding??!…

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Strategic Branding…

Company Projection of the Corporate / Product BRAND

ACTUAL DELIVERY

BRAND PROPOSITION

Features & Services

Employees DeliverCompany Image

BrandImage

• Values• Trusts• Confidence• Customer Relationship

Preference Loyalty

Operations & Organisational Structure & Philosphy

Company MISSION

CEO VISIONSTRATEGIC BUSINESS

OBJECTIVES

The Background

Employees Deliver

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Key Results Area…

2

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Balanced Scorecard GSP 2006 - 2010

Key Results Areas

COMMERCIAL / FINANCIAL

CUSTOMER

BUSINESS PROCESSES

LEARNING & GROWTH(People & Culture)

Double present turnover of RM250Mil to RM500Mil – through 1. Normal business expansion2. Strategic Merger n Acquisition

Achieved and Maintain Gross Margin of min 20% and Profitability of min 10%

perspectives to BE in 2010… so, must DELIVER in 2006/07…

Attained ‘First-to-Customers-Mind’ Status

Established and consistently maintain B2B branding of: 1. Right Quality (QCD)2. Winning Partnership3. Creative Solutions

Market Intimate “Intimate and timely knowledge of industry and customers present needs and future trends”

World-class management, marketing, sales, and operations efficiency and effectiveness (PDCA)

“Right Skills, Correctly Implemented”

“Motivating Environment and Clear Structure”

Build platform to attained ‘First-to-Customers-Mind’ Status

To develop, establish and consistently maintain B2B branding of: 1. Right Quality (QCD)2. Winning Partnership3. Creative Solutions

Build Market Intimacy “Intimate and timely knowledge of industry and customers present needs and future trends”

Establish world-class management, marketing, sales, and operations efficiency and effectiveness (PDCA)

“Right Skills, Correctly Implemented”

“Motivating Environment and Clear Structure”

Min 10% increase over 2005/06 turnover – through: 1. Normal business expansion

To achieve and maintain Gross Margin of min 20% and Profitability of min 10%

Min 5% increase over 2005/06 turnover – through: 2. Strategic Merger n Acquisition

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Balanced Scorecard – GSP 2006/07

Key Results Areas

COMMERCIAL / FINANCIAL

CUSTOMER

BUSINESS PROCESSES

LEARNING & GROWTH(People & Culture)

Min 10% increase over 2005/06 turnover – through: 1. Normal business expansion

Min 5% increase over 2005/06 turnover – through: 2. Strategic Merger n Acquisition

To achieve and maintain Gross Margin of min 20% and Profitability of min 10%

Aggressive & Focused Marketing Drive & Activities

Strategic M&AStrategic &

Effective Integration

Benchmarking

Overall Efficiencies

and Effectivene

ssNew

ProductsNew

CustomerNew

MarketDefend

Turf

Identify

Quantify

Implement

Build platform to attained ‘First-to-Customers-Mind’ Status

To develop, establish and consistently maintain B2B branding of: 1. Right Quality (QCD) 2. Winning Partnership 3. Creative Solutions

Strategic Relationship MarketingStrategic & Effective Integration

(3-Key Synergy)

Ensure and Demand ‘Actual Delivery of Our Promises –

Consistently’

Build Market Intimacy “Intimate and timely knowledge of industry and customers present needs and future trends”

Establish world-class management, marketing, sales, and operations efficiency and effectiveness (PDCA)

“Right Skills, Correctly Implemented” “Motivating Environment and Clear Structure”

Alive & Current Business Intelligence Database (Industry,

Customers, Competitors)

Intimate Understanding of OEM Strategy & Plans

Best Practices & Benchmarking

Balancing ‘Developmental’ and ‘Operational’ works

Identify ‘Skill Gap’ – Technical, Professional,

Personal

Training & Development to fill GAPS

Proper application of

Skills

Clear structure, scope,

responsibilities

Mutually beneficial and

effective teamwork

Clear performance management and

feedback

6 KEY ACTIVITY GROUP (ADP)

Marketing Drive

/Relationship Marketing

Integration & Synergy

Sales Operations Efficiencies

New Market Development

(& M&A)

Learning & Growth

Control & Measure

Market Intimacy Initiatives

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Target New Sales Projection 2007 - 2012

Key Results Areas

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The Key Activities…

3

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Key Activity Schedule…

Marketing Drive / Relationship Marketing

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Key Activity Schedule…

Market Intimacy Initiatives

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Key Activity Schedule…

Integration and Synergy

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Key Activity Schedule…

Sales Operations Efficiencies

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Key Activity Schedule…

New Market Development

Learning & Growth

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Key Activity Schedule…

Control and Measure

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The TEAM to carry it out…

4

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We are a team of dedicated, committed, positive and successful individuals who are always striving to be balanced, integrated and honest. We will work within our 4+10 points of culture to make sure that everyone who touches or is touched by the ACM Group Sales & Project (GSP) team will benefit greatly and in some way move closer to becoming the person they want to be or achieve the goals they want to achieve.

Note: Roles and responsibilities to be reviewed together with the ADP/BSC of each unit/position.

The TEAM

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1. Truthful: Siddiq. I will always speak the truth, what I promise is what I deliver. I will only make agreements that I am willing to keep. I will communicate any potential broken agreements at first opportunity, and I will clear up all broken agreements immediately.

2. Trustworthy: Amanah. I will only act in benefit of the team collectively, and will never ever harm the team or any of the team member in any way. I will always speak positively of my team members, INGRESS Group and GSP both in public and private.

3. Communication: Tabligh. I will speak with good purpose using empowering and positive conversation. I will take responsibility for responses to my communication. I will always apologize for any upsets first, and then look for solution. I will only discuss concerns in private with the person involved.

4. Wisdom: Fatanah. I will always use wisdom and intellectual capability all the time. I refuse to be controlled by negative emotions.

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5. Commitment: I will be committed to the Mission, Objectives, Goals, Rules and SUCCESS of INGRESS Group and GSP, its current and future team, and its stakeholders at all times.

6. Ownership: Accept that I, as an individual am truly responsible for my actions and outcomes and own everything that takes place in the activities of INGRESS Group and GSP and my life.

7. Excellence: I will always deliver work of exceptional quality that add value to all involved in the long term. I will always look for ways to do more with less and stay on the path of constant and never-ending improvement and innovation.

8. Success: I will focus my attention on the successful outcome of whatever I am doing. I have the willingness to win and allow others to win…win/win.

9. Education: I will always be willing to learn from my mistakes. I will always be striving to learn, grow and master so I can help fellow team members and stakeholders learn, grow and master too. I will impart practical, useable knowledge rather than just theory.

10. Teamwork: I will be willing to do whatever it takes to stay together and achieve team goals. I will focus on cooperation and always come to a resolution, not a compromise. I will be flexible in my work, able to change if what I am doing is not working. I will ask for help when I need it and be compassionate to others who ask me.

11. Balance: I will have a balanced approach to life remembering that my spiritual, social, physical and family aspects are just important as my financial and intellectual.

12. Fun: I view life as a journey to be enjoyed and appreciated and will help to create an atmosphere of fun and happiness so all around me enjoy it as well.

13. Systems: I will always look to the system for a solution. If a problem arises I will look for a system correction before I look for a people correction. I will look for a system solution in my innovation rather than a people solution. I will follow the system exactly until a new system is introduced. I will suggest system improvements at my first opportunity.

14. Consistency: I will be consistent in my actions so that my customers can feel comfortable in dealing with me at all times.

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MOHD SORIHAN MOHAMADSenior GM

Group Sales & Project

NIK MOHD ZAIMSenior Manager

Marketing and Sales

RABIAN A RAHMANAsst. ManagerBMW Project

M MAZLAN MALEKManager

New Business Development

NEW BUSINESS MARKETING & SALES BMW PROJECT

FAIZAL SAMIRONEngineer

New Business Development

M SALIHIN DAUDAsst. Manager

Nilai Operations

YUSRI M KAMALAsst. Manager

Beruntung Operations

RABIAN A RAHMANAsst. Manager

Planning & Control

NILAI OPERATIONS BERUNTUNG OPERATIONS PLANNING & CONTROL

A ZAKI ABDULLAHClerk

Planning & Control

AMIR RIZALExecutive

Nilai Operations

M BOKHARI YUNUSExecutive

Beruntung Operations

M BADRI ABDULLAHExecutive

Nilai Operations

NORAZRIL M NORSupervisor

Beruntung Operations

SITI ROHAYU ROSLIClerk

Nilai Operations

NORHAZREEN ADDENAN

ClerkBeruntung Operations

NAZA

MMM

YMK

SLD

YMK

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Issues & Challenges of Industry

• outsourcing of non-core development and products• increasing integration and life-cycle responsibilities

Changing OEM – Supplier Role

• expansion to new markets • increasing global sourcingGlobalization…

• increasing vehicle differentiation • shorter product development cycle-time

Product Proliferation/ Time Cycle

• warranty management• more investment in SCM• stringent JIT requirements

On-going QCD Pressure

• increasing need for innovation• increasing needs for electronics capabilitiesTechnology

Revolution

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Mitigating the Challenges

• Design-In Programs• Active Involvement, and Ever Ready for More Major Role

Changing OEM – Supplier Role

• Follow OEM Location • Operations in Thailand, Indonesia…Globalization…

• Low Volume Production Capability • Low Volume Tooling – lower cost

Product Proliferation/ Time Cycle

• SAP / TPS (Kanban)• VA/VE – Cost Reduction – KaizenOn-going QCD

Pressure

• Training / Homegrown Talent• R&D FocusedTechnology

Revolution

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Local Industry Environment

OEMs’ LRPP/LRVP• What does it mean to us?

• OEMs’ Strategic Direction• Proton

• National pressure to perform / show to perform• 2006 – Consolidation of Suppliers• 2007 – Global Sourcing Program

• Perodua• Toyota/Daihatsu controlled – TPS• Cost Reduction Approach

• Naza• Private company, small volume, possible to be BIG?

“Can we really depend on Automotive Industry (Local/International)?”

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1. Strategic Vulnerability Areas• Technology

• Sash: Not for all cars – the ‘perennial’ question• Door-in-white: Easily acquired technology

• Resources• Lack of ‘global citizen’

• Legislation• Government protection may end – Open Market competition.

2. Industry Outlook• Restricted growth in domestic market

• Heavy dependence of ‘creative’ financing for end-buyers• Ever diminishing margins (manufacturers and vendors)• Crowded market

• Too many players in a low-growth industry (OEM and Vendors)• Vendors e.g.: 380 vendors for Proton (200,000 unit/yr – local)

150 vendors for Toyota (1,000,000 unit/yr – global)

• NAP – Tax Restructuring

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One Last Note…

…to GROW, we have to

G.R.O.W

Get Rid Of Waste

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Thank you…the End