Transitional Growth

Executive summary

Transitional Growth

Transitional Growth changes your level difference with respect to your values, your resources and your mission and transport you in the heart of your vision. At the Eve of the 3rd Millennium, Companies have to concentrate on profits, move the needle from red to black, be ready for the restart with new ideas and seductive products. And this not only to ensure their survival on the market but also to imagine a florid future and be ready to respond to the call for growth that will replace the stall of the global crises. Mr Chinaglia has demonstrated a brilliant business acumen that allows him to analysis the totality of a Company and understand its strong points and its dysfunctional areas, find sustainable solutions and immediately apply them to have a drastic impact on growth. Cooperation and partnership are amongst the key words with which Mr Chinaglia plans and shows the necessary changes to reach final success.

Business development can be carried on through two parallel though different train tracks. In the first case we need to potentiate the reference markets through actions that are aiming at acquiring new targets of consumers and /or clients, modify the distribution methods or the present resources. In the second case, we have to work on the development of new and unexplored markets with actions that are determined by the analysis of the territory and the competitors, of demand and offer. According to Mr Chinaglia, when we talk about growth we need to enlarge the horizon of our own vision, because there are strategies that, if well inserted in the analyzed context, bring positive consequences on more front’s : optimize supply chain can generate an enlargement of the market of unexplored countries, a business partnership is the key through which many scenarios can open up in new nuances and infinite growth opportunities.

Amongst the many experiences of Mr Chinaglia that we can quote, we can remember the one in Linde where business development has brought an increase of 100% in revenues in three years, moving from a negative EBITDA to a positive one. In LHTD Mr Chinaglia has also modified the organization by creating a new sales model made of nine independent geographical areas, in which sales and aftersales cooperated in a very tight way, having the same regional responsibilities. At the same time we cannot forget the success that OM had in Italy where Mr Chinaglia has translated negative results into positive (from -14 Mio euros to +7 Mio euro in EBITDA in five years).Turnover doubled and production costs have reduced dramatically thanks to a strategic choice of partnership with China.

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Service Methodology

Every project must start with the will to listen and understand deeply the Company vision, its dream, without preconceptions and constraints. Once aspirations and intents are clear, we can proceed with the analysis on the existent, taking a snap shot of the detailed of processes, relations, successes, difficulties, markets and competition. Starting from here, we can imagine all possible scenarios fit to reach the level of growth we want. The solid experience matured in years and the constant updating with respect to markets and their peculiar characteristics guarantee the creation of concrete and applicable solutions, based on real needs, on the readiness to invest and the necessity of a return of investment. Given my complete skills and brilliant business acumen I am able to objectively understand and interpret complex situations and produce a strategy compatible with the objective and in line with the ideas of the Company.

The methodology of my service is bases on partnership with the Company and its Board of Directors. If we identify together the key profiles of the changing process, normally amongst the first line managers, we can proceed without generating tensions, actually creating a fertile under layer that can allow us to reach a spontaneous and sincere engagement from Human Resources. The Growth Team will support me during the preliminaries and will guarantee to the growth project a total adherence to the Company values and the maintenance of the untouchable pillars representing the name and its brands. Reaching the objectives will be ensured by a detailed monthly planning that will clearly define all steps, their impact and the expected results in the medium and long term, the inter-functional correlations and the repercussions at the level of image, reputation and revenues. In case of structural reorganizations, I design with the Company their new dimension and the new scenarios, I support the Human Resources function in the unpleasant task of getting rid of unnecessary staff/personnel.

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Service Options

Companies can elect whether they just require Appleton Greene for advice and support with the Bronze Client Service, for research and performance analysis with the Silver Client Service, for facilitating departmental workshops with the Gold Client Service, or for complete process planning, development, implementation, management and review, with the Platinum Client Service. Ultimately, there is a service to suit every situation and every budget and clients can elect to either upgrade or downgrade from one service to another as and when required, providing complete flexibility in order to ensure that the right level of support is available over a sustainable period of time, enabling the organization to compensate for any prescriptive or emergent changes relating to: Customer Service; E-business; Finance; Globalization; Human Resources; Information Technology; Legal; Management; Marketing; or Production.

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Service Mission

I aim to transfer all my knowledge to the Company, through an accurate and detailed analysis of their aspirations, objective, needs, priorities and aiming at welding a partnership based on transparency and condivision, I can imagine growth path’s characterized by a courageous will that doubts and changes existing processes to adopt innovative solutions, adapted to answer to the changing needs of complex situations in a transaction phase and in structured international environments. Considering that every big change in life takes place through people’s engagement and commitment, I drive growth thanks to the commitment of HR in the process of evolution that can affect various departments.

I operate in respect to the values of the Company and strive to emphasize the areas of strength and work only on dysfunctional factors, that guarantees a continuity in business and the sustainability of any project. What I guarantee to the Company is the certainty to be able to go on autonomously, with knowledge of the processes and the competences towards the medium and long term objectives, reinforced by a slim and dynamic structure. Hitting with passion and determination the common objective, I work side by side the change promoters by sustaining and spurring them until we can reach not only a business success but also an increase in motivation and dedication, unique indicators of personal affirmation and efficient and effective cooperation between teams.

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Service objectives

The following list represents the Key Service Objectives (KSO) for the Appleton Greene Transitional Growth service.

1. Change Management
   In order to grow we must change, change in a moment of big ferment, like in this particular historical and economical time is a must. For many years a Darwin thought has been a big part of my philosophy of life and business: it is not the strongest species to survive, but the one that is the most adaptable. Too rigid structures, sales model unfit for new markets, slow response, excessive procurement and distribution costs that do not permit to survive in a complex, ever changing and constantly in transition context. A structural, distributing or organizational change has to bring the Company to a more flexible and elastic in front of the demands of the market that are always different and modified by the quickest impulses of this liquid society. For this reason I take the Company by the hand through a revision that can have a perimeter as large as the need of this change. An offer that does not match the markets fuels a challenge made of innovation, inventions and rejuvenation. The excessive slowness in responding will determine the need of questioning and restructure the whole chain of procurement, production and distribution. It will touch eventually also marketing and sales, will face global themes and will give substantial answers based on innovation, the replicas of winning models and the adoption of new instruments. The need to cover always bigger areas without going bankrupt because of unbearable costs will determine other changes: distribution model, local partnership, roles empowerment and people‘s growth in the fields. These are only examples of possible changes, born out of the spur towards modern formulas, evolve the Company vision and live thanks to the realization of structured strategic plans well defined in time; they involve people, recognizing them a determinant role for the success of the plan, conquer step by step relevant target, spread motivation and enthusiasm. Change to grow means to add up, never to take away. There are six sequential passages with which I take Companies out of their dysfunctional comfort zone towards a new zone of profitable and safe action: Change definition, Scenario planning, Organizational structure, Employee involvement, Change deployment & review.
2. Business Development
   To grow in constantly changing and complex environments cannot just be considered pure destiny. The factors to keep in mind are various and difficult to understand and separate. Only an international experience and an operational exposure in multinational Companies allows you to have a strategy that can became a winning tactics in the field. Starting from a matrix analysis of the present situation, I develop a tight cooperation with the Company aiming at to analyse all the possible scenarios. The strategic approach varies according to whether we need to develop a business in a geographic area where we are already present or we have to start afresh. If already present, the analysis weigh the penetration level, the quality of the territory coverage, the type of present model and correlated aspects whether successful or not. If we have to face the development of unknown geographies, the market will be the first source of information, then the analysis of competition and demand, the definition of Value proposition and the drafting of the business plan. The type of channel to use (direct or indirect) will be one of the difficult questions to be answered, pros and cons for each one, depending on each case; we need to take into consideration also a third channel, the Key Account one. One of the fundamental discriminant factor to take into consideration is to see whether we refer to new products and / or existing ones.
3. Mergers & Acquisition
   Sometimes growth goes through strategic mergers and / or acquisitions that can send the Company shares to the moon or directly to hell. So to handle with care, we have learned to be extremely conscious with these kinds of operations because giants like HP and Compaq can make a major mistake and create a disaster. The creation of an Acquisition/Merge Team is one of the most delicate choices and is at the beginning of the whole process. It is a group of people chosen on the bases of how much they are able to support me by giving me precious internal information that I need to lead the Due Diligence Team. At first I need representative of every function so that together we will be able to analyse the general picture and the details that follow. Then having made all the due considerations on the bases of the Due Diligence, we will write a programme regarding either the merger or the acquisition process and we start the first internal communication campaign, aiming at realigning and programs. The first actions will have as a focus the internal climate of the Company, in particular the acquired company where the change process must be supported by actions, the objective of which is to consolidate the cooperation between the companies, pick up the contact points and facilitate the creation of a network that will function also from an interpersonal relations point of view. Supported by a favourite climate, the program towards the outside and the markets can start, following a roll out based on the capacity of a precise internal reply, the accessibility of resources and the return on the investment. In any operation of merger and acquisition my objective has been that of generating positive environments where the subject “us” is pivoting in the creation of a new reality.
4. Re-engineering
   Many are the reasons for which a Company may have the need of start a process of re-engineering, whether it comes from a request liked to the financial or fiscal asset or whether it is a case of merger and acquisition, or there is an ongoing process of structural change or the starting of new procedures. In any of these cases the approach that we have to follow is strongly objective, extremely practical and destined to re-start to inject vital energies in the Company. Very often the complexity of contex and the uncertainty of the scenarios impose to the Company structure to transform and to adapt. The perimeter of impact of a re-engineering process varies accordingly to the need that we have to satisfy: it could touch only a part or extend to the whole. Firstly I decide to coordinate a detailed analysis of any department and/or function, inter-functionality, efficient barriers and points of discontinuity, pointing out repeated processes, expandable roles and reduce able ones. The answers we obtain from this analysis must be harmonized, verified critically in a way that enables us to see the bud of the rebirth, in the respect of the potentiality of the resources, giving importance to the centers of excellence and the talents of the individuals. The conclusions that we draw must have an absolute pertinence with the values and mission of the Company, nevertheless ensuring the reaching of the separate targets of growth. The re-engineering proposition will be analysed in partnership with the Management and the Trade Unions or the BOD. The planning of the roll out and the training will be carried out with the support of the HR Department, and joints will be constantly monitored and revised till a complete re-start towards a maximum production capacity.
5. Start-ups
   The start-up of a new business cannot be left to Fate, we cannot hope that having a good product or a great motivation success will be assured. The new companies have to face every decision being aware of the real opportunities and the present risks. In fact any start up represents a certain margin of risk, thus it is wise to evaluate attentively the dander factors and the real success probabilities. The risk analysis and the relation between cost and benefits, require serious technical and operative instruments. Planning and programming are the first two indispensable factors, while the tool is that of the Business Plan. A business Plan embeds a fundamental role in the life of the Company. This document summarizes, describes and justifies the strategies set up for the growth of the Company and defines its modality of realization. The document of economic programming aims at: informing in a transparent and clear way, orientating the Management choices, foreseeing the future development of the entrepreneurial project, evaluating carefully the risk factors. A Company is successful only if its founders have studied carefully the market, evaluated the competition, conducted a detailed analysis and planned with care the different phases of the launch and put in place of the project, calculating the necessary resources and possible profits. A Business Plan must also emphasize Key Resources and Value Propositions, indispensable for information and for the project well-being. It is fundamental to recognize the key resources so that we can protect them, evaluate them well and reduce the risk of losing them. To clarify the Value Proposition is also important to face the market at any time. Together with this, the magical ingredients for a successful star up are the presence of a strong leadership recognized by the team, a concentration of competences in that particular sector, high elasticity e lateral thinking, and last but not least, the ability of solving problems, mediate conflicts and renegotiate objectives.

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Achievements

Ikea SpA

Responsible for back office operational services. Monthly reporting, budgeting and controlling of IT, Logistics, Procurement, HR, Management Service Contracts, 3rd Party Consultants i.e. Insurance. HR management including recruitment, retention and dismissal, plus Trade Union negotiation. Cost Budget $US 100 m. Direct reports 15. In Ikea start-up of HQ and first 4 stores in Italy: implementation of the correct processes and overhead costs down from 19% to 8%.

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Olivetti SpA

P&L responsibility for the Office Automation Business in the EMEA region (7 subsidiaries) including IDS and OEM’s (International Direct Sales & Original Equipment Maker). Co-ordination and management of all Marketing & Sales activities within the division. Division reorganization from loss making (losing €10m) to profitability. Improved business performance through sales expansion and cost cutting. Turnover €300 m, FTE’s 300, Direct reports 10. Within 12 months was promoted from General Manager for Direct International Sales to Vice President of Sales and EMEA Director. In Olivetti he restored business profitability in 2 years; merged different country markets; opened new subsidiaries in emerging markets and closing some in WE and implementation of a strict cost cutting program in the Division.

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OM SpA

Board Chairman for the portfolio of subsidiaries representing the German, French, Spanish, English and Chinese companies. Divisional P&L responsibility, subsequently promoted to General Manager with P&L responsibility for all OM Brand. Turnover €400 m, FTE’s 1,300, Direct reports 9. OM turn over grew from 180 m to 390 m euros while EBITDA from -14m to + 7m euros: led and implemented Six Sigma to the manufacturing facilities in Italy and China; incorporated and established a China distribution system and a sales network; enhance presence and sales channels in MENA and East Europe and South America and restructured product portfolio to better match the needs of emerging market.

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LHTD Ltd

As Managing Director, responsible to carry out a business turnaround for the heavy trucks division. Cost optimization of the China operations though integration. Cost optimization of UK R & D to exploit potential in the EU & USA market. Direct reporting to the Board of Directors of the Kion Group. Turnover €200 m, FTE’s 400, Direct reports 7. LHTD UK: increased revenues from 96 to 210 million pounds and shifted EBITDA margin from negative to positive in 3 years; increased productivity from 45% to 65%; inventory optimization with WIP at – 15% and fixed costs at 5%; integration of supply chain, production and design; implementation of four different kind of Forklift trucks and expansion of the Chinese factory and APAC business.

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Salice Ltd

Established the Asian business model (legal and operational) to conduct business in Hong Kong, South East Asia, China and India focusing on the China market. Selection and screening of distribution agents. Implementation of performance targets. SAliceDirect reporting line to the owner and CEO of the business. Turnover $50, FTE’s 35, agents in 10 countries, 3 office3, own plant in China South with 100 employees. Direct reports 10. In Hong Kong start-up of an operational and commercial company: creation of the Asian sales force and opened a China-based manufacturing facility.

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More detailed achievements, references and testimonials are confidentially available to clients upon request.

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Industries

This service is primarily available to the following industry sectors:

Automotive

The industry is more than 100 years old. It started in Germany and France, and came of age in the U.S. in the era of mass production. Vehicle volumes, efficiency, safety, features and choice have grown steadily throughout the industry’s history. It is so synonymous with 20th century industrial development, and so intertwined with its twin marvels, mass production and mass consumption, that it has been called the “industry of industries.” The automotive industry is a major industrial and economic force worldwide. It makes 60 million cars and trucks a year, and they are responsible for almost half the world’s consumption of oil. The industry employs 4 million people directly, and many more indirectly. Despite the fact that many large companies have problems with overcapacity and low profitability, the automotive industry retains very strong influence and importance. The industry also provides well-paying jobs with good benefits, has heavy linkages with supplier industries (which gives it an oversized role in economic development), and has a strong political influence.

All is not well in the automotive world. Worldwide, average margins have fallen from 20% in the 1920s to 5% now, with many companies losing money. This poor profitability performance is reflected in the industry’s market capitalization: despite its huge revenues and employment, the automotive industry accounts for only 1.6% of the stock market in Europe, and 0.6% in the U.S. There is a big contrast between the industry’s lackluster financial success and its oversized social role, share of employment and political influence. The overall performance of the industry can be traced to overcapacity and mature markets in developed countries. In the U.S., Europe and Japan, which account for 80% of world sales, growth has been stalling for many years. The natural response to slowing growth and increasing productivity is to reduce capacity. However, existing plants are very painful to scrap: mass production confers a strong cost advantage, which has traditionally encouraged very large and expensive plants. The result is excess capacity worldwide. Even continuing consolidation in the industry is not resulting in capacity reduction.

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Telecommunication

The world economy has experienced an enormous growth in telecommunication sector during the past 50 years. Yet the gap between the richest and the poorest countries has increased. There have been several attempts to explain the increased differences. Proponents of the endogenous growth theory claim that a technological revolution has created a new growth paradigm. Following the information technology revolution seen in the industrialised world in the 90s, information and communication technology has often been launched as a possible remedy for the slow or decelerating growth developing countries have faced. We need to explore the relationship between telecommunications development and economic growth by performing an econometrical analysis. By estimating a simultaneous equation model where telecommunication infrastructure investments are indigenised into the aggregated economy and country specific fixed effects are included, simultaneous causality and spurious correlation are recognised.

Analysis indicate that there is a significant correlation between telecommunication and GDP growth. Overall, there seems to be larger growth effects from telecommunication development in developing countries than in developed countries, a result that contradicts earlier findings and the notion of network externalities. The report suggests that the indirect effects, i.e. the gain in productivity that other sectors experience as a result of development in the telecommunication sector, are more significant in developing countries, and this might explain the large growth effects found in these countries. The demand, supply and production equations in the simultaneous equation estimation have the same tendencies throughout the analysis, with only small variations. That is comforting. I also ran the system for the early nineties and late nineties separately, and the trends were the same independent of time. Even though there are differences between the single and simultaneous equation estimations, the tendencies are the same: There are some growth effects from telecommunications, and these effects are highest in developing countries.

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Manufacturing

Manufacturing remains a critical force in both advanced and developing economies. But the sector has changed, bringing new opportunities and challenges to business leaders and policy makers. The global manufacturing sector has undergone a tumultuous decade: large developing economies leaped into the first tier of manufacturing nations, a severe recession choked off demand, and manufacturing employment fell at an accelerated rate in advanced economies. Still, manufacturing remains critically important to both the developing and the advanced world. In the former, it continues to provide a pathway from subsistence agriculture to rising incomes and living standards. In the latter, it remains a vital source of innovation and competitiveness, making outsized contributions to research and development, exports, and productivity growth. But the manufacturing sector has changed—bringing both opportunities and challenges—and neither business leaders nor policy makers can rely on old responses in the new manufacturing environment. Manufacturing’s role is changing. The way it contributes to the economy shifts as nations mature: in today’s advanced economies, manufacturing promotes innovation, productivity, and trade more than growth and employment. In these countries, manufacturing also has begun to consume more services and to rely more heavily on them to operate. Globally, manufacturing continues to grow. It now accounts for approximately 16 percent of global GDP and 14 percent of employment. But the manufacturing sector’s relative size in an economy varies with its stage of development. We find that when economies industrialize, manufacturing employment and output both rise rapidly, but once manufacturing’s share of GDP peaks—at 20 to 35 percent of GDP—it falls in an inverted U pattern, along with its share of employment. The reason is that as wages rise, consumers have more money to spend on services, and that sector’s growth accelerates, making it more important than manufacturing as a source of growth and employment. Manufacturing is not monolithic. It is a diverse sector with five distinct groups of industries, each with specific drivers of success. No two manufacturing industries are exactly alike; some are more labor- or more knowledge-intensive. Some rely heavily on transportation, while for others, proximity to customers is the critical issue. We have identified five broad manufacturing segments and analyzed how different production factors influence where they build factories, carry out R&D, and go to market.

The largest segment by output (gross value added) includes industries such as autos, chemicals, and pharmaceuticals. These industries depend heavily on global innovation for local markets—they are highly R&D intensive—and also require close proximity to markets. The second-largest segment is regional processing, which includes industries such as printing and food and beverages. The smallest segment, with just 7 percent of global manufacturing value-added, produces labor-intensive tradables. By 2025, a new global consuming class will have emerged, and the majority of consumption will take place in developing economies. This will create rich new market opportunities. Meanwhile, in established markets, demand is fragmenting as customers ask for greater variation and more types of after-sales service. A rich pipeline of innovations in materials and processes—from nanomaterials to 3-D printing to advanced robotics—also promises to create fresh demand and drive further productivity gains across manufacturing industries and geographies. These opportunities arise in an extremely challenging environment. In some low-cost labor markets, wage rates are rising rapidly. Volatile resource prices, a looming shortage of highly skilled talent, and heightened supply-chain and regulatory risks create an environment that is far more uncertain than it was before the Great Recession. A critical challenge for manufacturers will be to approach footprint decisions in a more nuanced way. Labor-intensive industries will almost always follow the path of low wages, but others, with more complex needs, must weigh factors such as access to low-cost transportation, to consumer insights, or to skilled employees. The result could very well be a new kind of global manufacturing company—a networked enterprise that uses “big data” and analytics to respond quickly and decisively to changing conditions and can also pursue long-term opportunities. Two key priorities for both governments and businesses are education and the development of skills. Companies have to build their R&D capabilities, as well as expertise in data analytics and product design. They will need qualified, computer-savvy factory workers and agile managers for complex global supply chains. In addition to supporting ongoing efforts to improve public education—particularly the teaching of math and analytical skills—policy makers must work with industry and educational institutions to ensure that skills learned in school fit the needs of employers.

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Retail

Retail involves the process of selling consumer goods or services to customers through multiple channels of distribution to earn a profit. Demand is identified and then satisfied through a supply chain. Attempts are made to increase demand through advertising. In the 2000s, an increasing amount of retailing began occurring online using electronic payment and delivery via a courier or via postal mail. Retailing as a sector includes subordinated services, such as delivery. The term “retailer” is also applied where a service provider services the small orders of a large number of individuals, rather than large orders of a small number of wholesale, corporate or government clientele. Shops may be on residential streets, streets with few or no houses, or in a shopping mall. Shopping streets may restrict traffic to pedestrians only. Sometimes a shopping street has a partial or full roof to create a more comfortable shopping environment – protecting customers from various types of weather conditions such as extreme temperatures, winds or precipitation. Forms of non-shop retailing include online retailing (a type of electronic commerce used for business-to-consumer (B2C) transactions) and mail order. Shopping generally refers to the act of buying products. Sometimes this is done to obtain final goods, including necessities such as food and clothing; sometimes it takes place as a recreational activity. Recreational shopping often involves window shopping (just looking, not buying) and browsing: it does not always result in a purchase. The retailing strategy is a marketing plan abstractly designed to offer its products and services in a way that will optimize customer satisfaction. Service quality and marketing mix strategy have significant and positive association on customer loyalty. The marketing strategy effectively outlines all key aspects of firms targeted audience; demographic and preference. Throughout a highly competitive market, the retail strategy sets up long-term sustainability. It focuses on customer relationships, stressing the importance of added value and customer satisfaction. The retail mix is designed to complement the retail strategy through theoretical tools such as the product, its quality and value, the promotions, place, and price.

The design of a retail store is critical when appealing to its intended market, as this is where first impressions are made. It can influence a consumer’s perception of the quality of the store, visually communicating value. Certain techniques are used to create a consumer brand experience, which in the long run drives brand loyalty. The front of the store is paid close attention too, known as the “decompression zone” This is usually an open space in the entrance of the store to allow customers to adjust to their new environment. An open planned floor design is effective in retail as it allows customers to see everything. Depending on what side of the road cars drive on in the country, determines what way the store will direct its customers. New Zealand retailer stores for instances would direct customers to the left. Brands are now recognizing that human nature has a conceptual profile and a sensory profile. Through the notions of sensory stimulation retailers can engage maximum emotional impact between a brand and its consumers by relating to both profiles; the goal and experience. By achieving so it can influence purchasing behavior maximizing outcomes. This is done through the relation of touch, smell, sight, taste and noise. It is common for a retailer store to play music that relates to their targeted market. Jewellery stores like Michel Hill have dim lighting to creating a sense of intimacy. Super markets offer taste testers. Clothing garments are at arm’s reach, allowing customers to feel the different textures of clothing. Wooden floors also contrast with the carpeted fitting rooms, which is designed to create a sense of homeliness when trying on garments. ‘Peter Alexandra’ is renowned for their scented candles. These aspects outlined add to the sensory experience put in place to strategically achieve customer satisfaction and retention. This will create future opportunity and help a brand stand out in amongst the competitive market.

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Consumer Goods

Fast-moving consumer goods (FMCG) or consumer packaged goods (CPG) are products that are sold quickly and at relatively low cost. Examples include non-durable goods such as soft drinks, toiletries, over-the-counter drugs, processed foods and many other consumables. In contrast, durable goods or major appliances such as kitchen appliances are generally replaced over a period of several years. FMCG have a short shelf life, either as a result of high consumer demand or because the product deteriorates rapidly. Some FMCGs, such as meat, fruits and vegetables, dairy products, and baked goods, are highly perishable. Other goods, such as alcohol, toiletries, pre-packaged foods, soft drinks, chocolate, candies, and cleaning products, have high turnover rates. The sales are sometimes influenced by some holidays and season. Though the profit margin made on FMCG products is relatively small (more so for retailers than the producers/suppliers), they are generally sold in large quantities; thus, the cumulative profit on such products can be substantial. FMCG is probably the most classic case of low margin and high volume business.

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Locations

This service is primarily available within the following locations:

Milan IT

Italy is the 4th-largest national economy in Europe, the 8th-largest by nominal GDP in the world, and the 12th-largest by GDP (PPP). The country is a founding member of the European Union, the Eurozone, the OECD, the G7 and the G8. Italy is the eighth largest exporter in the world with $514 billion exported in 2015. Its closest trade ties are with the other countries of the European Union, with whom it conducts about 59% of its total trade. The largest trading partners, in order of market share, are Germany (12.6%), France (11.1%), United States (6.8%), Switzerland (5.7%), United Kingdom (4.7%), and Spain (4.4%). In the post-war period, Italy was transformed from an agricultural based economy which had been severely affected by the consequences of the World Wars, into one of the world’s most industrialized nations, and a leading country in world trade and exports. According to the Human Development Index, the country enjoys a very high standard of living, and has the world’s 8th highest quality of life according to The Economist. Italy owns the world’s third-largest gold reserve, and is the third net contributor to the budget of the European Union. The country is also well known for its influential and innovative business economic sector, an industrious (Italy is the second largest manufacturer in Europe behind Germany) and competitive agricultural sector (Italy is the world’s largest wine producer), and for its creative and high-quality automobile, naval, industrial, appliance and fashion design. Italy is the largest market for luxury goods in Europe (third in the world). Milan is the financial centre of Italy. Despite these important achievements, the country’s economy today suffers from many and relevant problems. After a strong GDP growth in 1945–1990, the last two decades’ average annual growth rates lagged below the EU average; moreover, Italy was hit particularly hard by the late-2000s recession. The stagnation in economic growth, and the political efforts to revive it with massive government spending from the 1980s onwards, eventually produced a severe rise in public debt. In addition, Italian living standards have a considerable North–South divide: the average GDP per capita in Northern and Central Italy significantly exceeds the EU average, whilst some regions and provinces in Southern Italy are dramatically below. In the Index of Economic Freedom 2015, the country ranked only 80th in the world, in particular due to the slow legal system, an excessive taxation, and a strong labor law.

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London UK

The United Kingdom has the fifth-largest national economy (and second-largest in EU) measured by nominal GDP and ninth-largest in the world (and second-largest in the EU) measured by purchasing power parity (PPP). The UK economy currently makes up 4% of world GDP. The UK has been the fastest growing economy in the G7 for four consecutive years with 2.1% year on year growth in Q1 2016. In 2014 the UK was the ninth-largest exporter in the world and the fifth-largest importer, and had the second largest stock of inward foreign direct investment and the second-largest stock of outward foreign direct investment. The UK is one of the world’s most globalised economies. The UK economy comprises (in descending order of size) the economies of England, Scotland, Wales and Northern Ireland. The service sector dominates the UK economy, contributing around 78% of GDP; the financial services industry is particularly important and London is the world’s largest financial centre. The British aerospace industry is the second- or third-largest national aerospace industry depending on the method of measurement. The pharmaceutical industry plays an important role in the economy and the UK has the third-highest share of global pharmaceutical R&D. The automotive industry is also a major employer and exporter. The British economy is boosted by North Sea oil and gas production; its reserves were valued at an estimated £120 billion in 2011.There are significant regional variations in prosperity, with the South East of England and southern Scotland the richest areas per capita. The size of London’s economy makes it the largest city by GDP in Europe. In the 18th century the UK was the first country to industrialise and during the 19th century it had a dominant role in the global economy. From the late 19th century the Second Industrial Revolution was also taking place rapidly in the United States and Germany, this presented an increasing economic challenge for the UK. The costs of fighting World War I and World War II further weakened the UK’s relative position. However, as of 2016 it remains a great power with global strengths and an influential role in the world economy. In 2008, the UK entered a recession during the financial crisis of 2007–08, its first for nearly two decades, and initially experienced a deeper downturn than all of the G7 except Japan. However, since 2013 the UK has been in a nascent economic recovery and is firmly in expansion territory. The UK economy is now (Q1 2016) 7.3% bigger than its pre-crisis peak and 14.2% bigger than its lowest point in 2009. Since 2010, the Government has been pursuing an austerity program aimed at cutting the budget deficit. In the financial year 2009–10 this was 12.1% of GDP, it was 3.9% in the financial year 2015–16. Government involvement in the British economy is primarily exercised by HM Treasury, headed by the Chancellor of the Exchequer, and the Department for Business, Innovation and Skills. Since 1979 management of the UK economy has followed a broadly laissez-faire approach. The Bank of England is the UK’s central bank and its Monetary Policy Committee is responsible for setting interest rates. The currency of the UK is the pound sterling, which is also the world’s third-largest reserve currency after the US dollar and the euro, and also the fourth-most-valued currency in the world, behind the Kuwaiti Dinar, Bahraini Dinar, and Omani Rial, and the most valued currency outside the Middle East. The UK is a member of the Commonwealth of Nations, the European Union, the G7, the G8, the G20, the International Monetary Fund, the Organisation for Economic Co-operation and Development, the World Bank, the World Trade Organisation, Asian Infrastructure Investment Bank and the United Nations.

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Sao Paulo BR

Brazil has the world’s seventh largest economy by nominal GDP, and the seventh largest by purchasing power parity. The Brazilian economy is characterized by moderately free markets and an inward-oriented economy. Brazil’s economy is the largest of Latin America and the second largest in the Western Hemisphere. From 2000 to 2012, Brazil was one of the fastest-growing major economies in the world, with an average annual GDP growth rate of over 5%, with its economy in 2012 surpassing that of the United Kingdom, making Brazil the world’s sixth largest economy. However, Brazil’s economy growth has decelerated in 2013 and had almost no liquid growth throughout 2014, and the country’s economy is expected to shrink by 4% in 2015. According to the World Economic Forum, Brazil was the top country in upward evolution of competitiveness in 2009, gaining eight positions among other countries, overcoming Russia for the first time, and partially closing the competitiveness gap with India and China among the BRIC economies. Important steps taken since the 1990s toward fiscal sustainability, as well as measures taken to liberalize and open the economy, have significantly boosted the country’s competitiveness fundamentals, providing a better environment for private-sector development. In 2012 Forbes ranked Brazil as having the 5th largest number of billionaires in the world, a number much larger than what is found in other Latin American countries, and even ahead of United Kingdom and Japan. Brazil is a member of diverse economic organizations, such as Mercosur, Unasul, G8+5, G20, WTO, and the Cairns Group.

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Moscow RU

Russia has a high-income mixed economy with state ownership in strategic areas of the economy. Market reforms in the 1990s privatized much of Russian industry and agriculture, with notable exceptions in the energy and defense-related sectors. Some sources estimate that Russia contains over 30 percent of the world’s natural resources. The World Bank estimates the total value of Russia’s natural resources at $75 trillion US dollars. Russia relies on energy revenues to drive most of its growth. Russia has an abundance of oil, natural gas and precious metals, which make up a major share of Russia’s exports. As of 2012 the oil-and-gas sector accounted for 16% of the GDP, 52% of federal budget revenues and over 70% of total exports. Russia has a large and sophisticated arms industry, capable of designing and manufacturing high-tech military equipment, including a fifth-generation fighter jet, nuclear powered submarines, firearms, short range/long range ballistic missiles. The value of Russian arms exports totalled $15.7 billion in 2013—second only to the US. Top military exports from Russia include combat aircraft, air defence systems, ships and submarines. In 2014, the Russian economy was the sixth largest in the world by PPP and tenth largest at market exchange rates. Between 2000 and 2012 Russia’s energy exports fueled a rapid growth in living standards, with real disposable income rising by 160%. In dollar-denominated terms this amounted to a more than sevenfold increase in disposable incomes since 2000. In the same period, unemployment and poverty more than halved and Russians’ self-assessed life satisfaction also rose significantly. This growth was a combined result of the 2000s commodities boom, high oil prices, as well as prudent economic and fiscal policies. However, these gains have been distributed unevenly, as the 110 wealthiest individuals were found in a report by Credit Suisse to own 35% of all financial assets held by Russian households. Poor governance means that Russia also has the second-largest volume of illicit money outflows, having lost over $880 billion between 2002 and 2011 in this way. Since 2008 Forbes has repeatedly named Moscow the “billionaire capital of the world”. The Russian economy risked going into recession from early 2014 – mainly as a result of the falling oil prices, the 2014 Russian military intervention in Ukraine and the subsequent capital flight. However, the 2014 GDP growth remained positive at 0.6%. In 2015, the Russian economy shrunk by 3.7% and is expected to shrink further in 2016. However, the World Bank and the IMF estimate that Russia’s economy will begin to recover by 2017. In January 2016, the US company Bloomberg rated Russia’s economy as the 12th most innovative in the world, up from 14th in January 2015 and 18th in January 2014. Russia has the world’s 15th highest patent application rate, the 8th highest concentration of high-tech public companies, such as internet and aerospace and the third highest graduation rate of scientists and engineers. Alexei Kudrin, the ex-finance minister said that Russia needs to reduce geopolitical tensions to improve the economic conditions.

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Hong Kong CN

China’s socialist market economy is the world’s second largest economy by nominal GDP, and the world’s largest economy by purchasing power parity according to the IMF, although China’s National Bureau of Statistics rejects this claim. Until 2015 China was the world’s fastest-growing major economy, with growth rates averaging 10% over 30 years. Due to historical and political facts of China’s developing economy, China’s public sector accounts for a bigger share of the national economy than the burgeoning private sector. China is a global hub for manufacturing, and is the largest manufacturing economy in the world as well as the largest exporter of goods in the world. China is also the world’s fastest growing consumer market and second largest importer of goods in the world. China is a net importer of services products. China is the largest trading nation in the world and plays a vital role in international trade, and has increasingly engaged in trade organizations and treaties in recent years. China became a member of the World Trade Organization in 2001. China also has free trade agreements with several nations, including Australia, South Korea, ASEAN, New Zealand, Switzerland and Pakistan. On a per capita income basis, China ranked 72th by nominal GDP and 84th by GDP (PPP) in 2015, according to the International Monetary Fund (IMF). The provinces in the coastal regions of China tend to be more industrialized, while regions in the hinterland are less developed. As China’s economic importance has grown, so has attention to the structure and health of the economy. To avoid the long-term socioeconomic cost of environmental pollution in China, it has been suggested by Nicholas Stern and Fergus Green of the Grantham Research Institute on Climate Change and the Environment that the economy of China be shifted to more advanced industrial development with high-tech, low carbon emissions with better allocation of national resources to innovation and R&D for sustainable economic growth in order to reduce the impact of China’s heavy industry. This is in accord with the planning goals of the central government. Xi Jinping’s Chinese Dream is described as achieving the “Two 100s”: the material goal of China becoming a “moderately well-off society” by 2021, the 100th anniversary of the Chinese Communist Party, and the modernization goal of China becoming a fully developed nation by 2049, the 100th anniversary of the founding of the People’s Republic. The internationalization of the Chinese economy continues to affect the standardized economic forecast officially launched in China by the Purchasing Managers Index in 2005. At the start of the 2010s, China became the sole Asian nation to have a GDP (PPP) above the $10-trillion mark (along with the United States and the European Union). As China’s economy grows, so does China’s Renminbi, which undergoes the process needed for its internationalization. The economy of China has recently initiated Asian Infrastructure Investment Bank in 2015. China has been criticized by Western media for unfair trade practices, including artificial currency devaluation, intellectual property theft, protectionism, and local favoritism due to one-party oligopoly by the Communist Party of China with Socialism with Chinese characteristics. As of 2015 there was talk of a “slowing” Chinese economy, but that referred to a slowing of the rate of economic growth, not to a recession. The slowdown manifested in industrial regions as excess capacity in basic industries such as coal, steel, and cement, in the auto industry as reduced sales.

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Clients

This service’s current clients or employers include:

IKEA

Inter IKEA Systems B.V. was established in 1983 in the Netherlands. It was founded to conceptualise the IKEA business model into what today has become the IKEA Concept. Inter IKEA Systems B.V is the owner of the IKEA Concept and the worldwide IKEA franchisor. Inter IKEA Systems B.V. is owned by Inter IKEA Systems Holding B.V. and is a company within the Franchise Division of Inter IKEA Group. The Franchise Division also includes service companies and companies selling IKEA products to franchisees on certain markets. Inter IKEA Systems B.V. works with a number of global partners that contribute to the IKEA Concept and support the IKEA franchisees. IKEA of Sweden AB is commissioned by Inter IKEA Systems B.V. to create the IKEA home furnishing offer by setting the IKEA product range. IKEA Food Services AB is commissioned by Inter IKEA Systems B.V. to set the IKEA Food & Beverage range. IKEA Supply AG has been granted the right to purchase and, together with Inter IKEA Distributors, sell the IKEA product range to IKEA retailers on certain markets. The parent company of the Inter IKEA Group is Inter IKEA Holding S.A. based in Luxembourg. The overall purpose of the Inter IKEA Group is to, through Inter IKEA Systems B.V., secure continuous improvement and a long life of the IKEA Concept. As this will require investments in both good and bad times the group strives to be financially independent. The Franchise Division with Inter IKEA Systems B.V. is the core of the Inter IKEA Group business. Inter IKEA Holding S.A. is fully owned by Interogo Foundation, based in Lichtenstein.

IKEA – Click Here

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Olivetti

With one hundred years of research and innovation behind it, Olivetti has been the Telecom Italia Group’s information technology equipment specialist since August 2003. Headquartered in Ivrea, Olivetti offers products and services for SMBs, for the Retail sector and solutions for Large Accounts. Since August 2003, it has been part of the Telecom Italia Group. Olivetti is on the market as a global solutions provider, with a range of products and advanced services, acting as a partner able to develop customized solutions for processes automation and business activities. The industrial and technological heritage of Olivetti is included in a proposal made of: products & solutions and software & services. Olivetti is on the market following directly its Large Accounts and following indirectly the SMEs segment through the dealer channel; it is a vital asset for the company, there are about 400 dealers and resellers in Italy and more than 600 distributors in Europe and local partners in the rest of the world (mainly in South America, East Europe and the Middle East). The Olivetti organization provides full service coverage in Italy and Europe, through the Olivetti dealer network and through direct logistics and technical centers (more than 2,500 in Italy). Olivetti is also able to offer customer care services for direct customers and Telecom Italia through Advanced Caring, the department dedicated to the planning and delivery of services and solutions in specialized caring.

Olivetti – Click Here

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Telecom Italia Group

We develop new generation infrastructures with the goal of ensuring that 84% of Italians have coverage via the new fixed ultra-broadband network and 98% via the new mobile network by the end of 2018. By the end of 2015, the fixed network has already reached 42% of the population and the mobile network 88%. As we believe digital technologies are the basis for a smart, sustainable and inclusive growth. To simplify the daily life there are new solutions: electronic payment systems, smart homes, electronic medical records and certified electronic mail in the healthcare and government sectors, for the schools interactive multimedia whiteboards and web-based learning environments. For businesses, advanced platforms for cloud computing for the virtualization of applications and infrastructures, a vast selection of applications for storing and managing data or controlling energy consumption, products and software to enhance the use of digital signatures. For everyone, digital technology means to be always connected and access services and digital content – games, e-books, music and films, all constantly enriched with premium contents – with ease and safety: Of course all of this seamlessly on smartphones, tablets or other devices. Through the Telecom Italia Foundation we promote a vision of innovation and technology as social enablers, supporting projects in the fields of digital education and cultural innovation. As a result of the company’s social and environmental commitment, we have been included among the most important and selective stock market Sustainability indexes worldwide, for the last eleven years.

Telecom – Click Here

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Vodafone

True to our origins, Vodafone has always committed to deliver useful and inspiring innovation. In 1991 we enabled the world’s first international mobile roaming call. In 2002, with Vodafone Live! we set a new standard for mobile communications with internet access on the move. Fueled by the desire for sustainable innovation, we recently introduced Vodafone Money Transfer which allows customers in emerging markets to send and receive money safely and easily using their mobile phone. We’ve also caused a stir in the industry with the Vodafone 150 – our most affordable ultra-low cost handset yet. We’re a brand that loves change – if it’s not happening naturally then we’re creating it ourselves. It’s in our DNA to push forward, to create a better future, to never rest and find new ways that help people communicate. That’s the lifeblood that runs throughout Vodafone. We are driven to empower people. To find that spark that empowers you is why we are in business. That’s what we mean when we say ‘power to you’.

Vodafone – Click Here

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Linde

Linde Material Handling ranks among the world’s foremost makers of forklift trucks and warehouse handling equipment. In addition, the company today offers its know-how, gained during decades of developing and manufacturing electric drive systems, to external customers for a wide variety of applications. As an international company, Linde Material Handling operates nine production and assembly plants in all important regions worldwide, and has a global sales and service network with offices in over 100 countries. The name of Linde Material Handling stands for quality. And this claim is also reflected in the design of our vehicles. Industrial trucks by Linde – whether diesel lift trucks, electric forklift trucks or warehouse handling equipment – stand out because of their innovative technology aimed at greater cost-effectiveness in logistics. Linde Material Handling offers expertise in material flow and carefully conceived functionality combined with maximum economy. Even if you decide for a used truck, a hire truck, for leasing or hire purchase, you will find the right balance between price and performance from the outset. Linde to host second “World of Material Handling” customer event in 2016 : Looking into the future of intralogistics.

Linde – Click Here

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Benefits

Bronze Service

Monthly cost: USD $1,500.00
Time limit: 5 hours per month
Contract period: 12 months

Bronze service includes:

01. Email support
02. Telephone support
03. Questions & answers
04. Professional advice
05. Communication management