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Group 6:

Tuan NguyenGordon

DiWillie

Rae

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Contenty Introduction

y Business Model

y Input-Output Processy Distribution Strategy

y Facilities Design

y Customer Service

y Conclusion

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Introductiony Taiwan-based multinational corporation.

y No.1 Laptop Supplier

y Revenue 2009: 17.9 billion US dollarsy Shipment 2009: 39.8 millions units

y Laptop Market share Q1 2010: 19.4%

yYear over Year Growth: 55%

y Employee: 7500

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Business Model

Contract Manufacturers

Outside

Suppliers

Dealers,

VARs,

Retailers

OEM

Customer/

Other PCMakers

FINAL CUSTOMER

Small and medium

corporate, leader in

developing countries

Component

Laptop Assembly

Distribution

Final Sales,

Service,

Support

ACER

(Indirect)

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Type of Process

y Type of process:y Batch production

y Degree of Automation:y

High Automation Machine

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The major steps of Manufacturing a laptop

y Laptop circuit board manufacture

yAssembly

y Testing and inspection machine

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Major steps of input, transformation,

output.The suppliers of

Printed Circuit Board,Wire resistor, capacitor

The suppliers of professional mold

The suppliers of CPU, memory, harddisk , Liquid crystal display

specialized manufacturing equipments +manufacturing experience

+Production Technology Management

esearch anddevelopment

outsourcing

produce by

themselves

Input (suppliers) transformation (process of manufacturing) output (to customers)

Sale to

customers

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Sourcing strategiesy In 2009, Asian suppliers made up the highest

proportion .

y Quantay Compal

yWistron

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Supplier code of conducty Collecting and reviewing valid EICC audit reports

y On-Site Audit:

y Third party auditsy In-house audits

y SER performance assessment

y Increase the number of supplier audits

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Distribution strategiesy Sells its products through distributors

y Multi-brand strategy

y Competitive and efficient global operationsy Customer-focused and complete marketing capability

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Sells its products through distributorsy Never sell its products to customer directly

yWhere to buy

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Multi-brand strategyy Acquisition

y Gateway

y

Packard Belly eMachines

y Developed to differentiate the design of products tomeet different consumer groups

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Competitive and efficient global operations

y Simplifiedy Reduce operating costs

y

Focusy Focus resources on core business

y Focus on main product

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Customer-focused and complete marketingcapability

y Understand the real needs of customersy Bring new products to market quickly

y Listening to customers feedback

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Product designy Green product design

y Easy Disassemble Design

y Ferrari design

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Green product designy materials

y avoids using hazardous materials from design phase of a productsuch as mercury, cadmium and lead

y energy efficiencyy Based on the life cycle concept, we offer high-quality products that

are energy and resource efficient, low in pollutants and hazardoussubstances, and easy to recycle

y recyclingy include the recycling of discarded products, Minimized the risk

of the pollution and hazards on the product life cycle.

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Easy Disassemble Designy Convenience for user to upgrade and replace

y Convenient maintenance

y Easy to disassemble and recycle end-of-life computers

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Ferrari designy Ferrari one 200

A Ferrari is not just about speed.It is an expression of beauty,power, excitement, and pleasure.A Ferrari exudes from the originalconcept to the finished product.

And the Ferrari one 200 offers thesame sensation down to thefinest detail.

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Facilities selection and design

Facilities make a difference. They can providea competitive edge by enabling and leveragingthe latest process concepts.

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Location Selectiony The components of Acer are mainly produced and

processed by Foxconn

y

Acer America Corporation, headquartered in San Jose,California, is a member of the Acer Group. Acer's R&D,engineering, manufacturing and marketing operationsin the United States and Canada are handled by Acer

America.y The Australian subsidiary of Acer is Acer Computer

Australia (ACA)

yAcer's subsidiary in India is Acer India (Pvt) Lt.

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DesignyAcer Integration Centre

yWarehouse facilities

yAcer Onsite Service Engineersy National call centre

y Technical support department

yAcer provides many facilities about their products,Service & support and where you can buy the Acerproducts. You can buy online Acer products and

Accessories at Acers store.

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Design (cont.)

y Green Office

Acer considers the office an important arena forits to demonstrate its commitment to environmentalprotection, include: Electricity Conservation WaterConservation Waste Management

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Quality assurance

Each Acer product passes through up to three qualitycontrol checkpoints before being shipped to thecustomer.

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Customer serviceAnswers by Acer

y What is Answers by Acer?

Answers by Acer is a 24/7 support service designed to giveyou smart comprehensive solutions to all of yourtechnology questions.

y We can help you

Acers industry experts are available round-the-clock tohelp you resolve any issues related to your PC, peripheraldevices, software and networking.

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(1)Watch TV on your Media Center PC

(2)Learn more about Windows

(3)Set up a wireless network at home

(4)Configure your universal remote

(5)Set up your e-mail

(6)Configure parental controls on your PC

y How it works

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Product RecycleAcer are committed to providing our customers with sound

avenues to responsibly manage Acers branded products that

have reached the end of their useful life.

y Individual Producer Responsibility

y Recycling Performance

y

Recycle Your Old Technology(1)Review State Legislation

(2)Acer Recycle Program

(3)Asset Management Services

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Fix My AcerIt is a web application to facilitate the repair of Acer Notebook.

Acer Service Centre

y

The 1st level of service and support includes:(1)Hotline service to customers.

(2)Technical problem reporting and solving.

(3)Provides carry-in and/or on-site service to customers.

y The 2nd level of service and support includes:(1)Repairs for both warranty and Out-of-Warranty Acer

hardware products.

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International Travelers Warranty

Scope: The ITW is a separate program from the local warranty

ITW cannot be interchanged with the local warranty. ITW does not apply in the country of purchase.

ITW is only applicable where there are ITW service locations.

To comply with Microsoft's licensing regulations,the ITW does

not cover software-related issues. You are responsible forproviding recovery and software backup discs if required.

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ConclusionChallenges:

y Increasing competition

y

Decreasing profitabilityy Fast changing technology

Acers strategies:

y Channel business model

y Multi-brandy Lean operation

y Focus in research and development