Cost - cutting at Erstaunliche Autos

1. Cost-cuttingatErstaunliche Autos Tompkins & Kosters RemcoWesterbeek Thijmen van der Marel 12-01-2012

2. Table of contents • About Tompkins & Kosters • Main problems& recommendations • Forecast Introduction | Improvements& recommendations | Conclusion

3. Tompkins & Kosters • Financial consultants • Founded in 1953 • Experience in the car branch Introduction |Improvements & recommendations | Conclusion

4. Main problems • Lowproductivity • High labor costs • High supplier costs • Not enough focus on non-European countries: China Introduction | Improvements& recommendations | Conclusion

5. Introduction | Improvements& recommendations| Conclusion

6. Moving to China In Euros Cars per year Introduction | Improvements& recommendations| Conclusion

7. Supplier costs Because of the move to China, the costs of the supplierswillbesignificantlylower, simplybecause the suppliersasklowerprices, as a result of lowlaborcosts and cheap rawmaterials in China. Introduction | Improvements& recommendations| Conclusion

8. Focus on new markets • Currentlyoverlyfocused on Europe • Emergingmarkets: China • Adapt car models to the relativelypoor population • Engage in a joint venture with a Chinesecompany to securemarketknowledge Introduction | Improvements& recommendations| Conclusion

9. Productivityforecast Introduction | Improvements& recommendations | Conclusion

10. Conclusion • Move manufacturing centres fromBelgium to China • This move causes lowerlaborcosts, higherproductivity and lower supplier costs • A focus on new markets, such as China, will cause significantlyhigher sales, due to the higherproductivity and largermarket Introduction | Improvements& recommendations | Conclusion

11. Thanks for your attention!Are thereany questions? Tompkins & Kosters RemcoWesterbeek Thijmen van der Marel 12-01-2012