SUZLON ENERGY

GLOBAL WIND INDUSTRY

 Demand for renewable source of energy.

 Rising oil and Gas prices.

 Rising worldwide demand for energy especially in
developing countries.

 Social shift towards “GREEN” thinking has
positioned wind as a major source for future.

 Strong growth for the coming 10-15 years at a
CAGR of 15-18%.

 The global installed wind power capacity grew by
28.8% to reach 120.8 GW.
SUZLON OVERVIEW..
 SuzlonEnergy Ltd. Founded by the “Wind man”
Tulsi Tanti, in 1995 .

 Company of over 14,000 people, operations
across the America, Asia, Australia and Europe,
fully integrated manufacturing units on three
continents.

 Provides end to end wind power solutions.

 Amongst the top three Wind turbine
manufacturers globally with revenues of $
8.85 Bn.

SUZLON VISION..
 To be the technology leader in the wind energy industry.

 To be among the top 3 wind energy companies in the
world.

 To be the most respected brand and preferred company for
all stakeholders.

 To be the best team and best workplace.

 To be the fast growing and most profitable company in the
sector.
SUZLON MISSION..





 Minimum 20% Net Margin

 Minimum 50% Asian market share

 Minimum 60% Indian market share

 Minimum 25% Global market share

 Minimum 40% Growth
GROWTH STORY..


§ Began at the backdrop of high energy price &

frequent power hits.


 Started with the first wind farm project in Gujarat

(3MW) in 1995


 It had its first sale in the US in the year 2003.


 By the end of 2007 it supplied 6000mw of energy
worldwide.

 By the end of FY07, grew more than 100%
annually and registered a 108% growth. It was
twice the industry average.
PRODUCT PROFILE
 R&D
§ High focus on innovation, development of climate
 specific solutions.


 Wind Turbines
§ Product range from 350 KW to 2.1 MW.
§ customized versions for variety of climate ranging from hot,
dry deserts to humid coasts, to near-freezing plains.


 Wind Farms
§ World’s largest wind farm in the Dhule district of
Maharashtra, India, with installed capacity of 1100 MW.
§ Suzlon has a wind farm installed in Sanganeri in the state of
Tamil Nadu with a planned capacity of over 500 MW .
Suzlon has made an entry into the state of Kerela as well.
§ Suzlonhas developed wind farms for EMG, in Texas, for AGL
in Australia etc.

SPECTRUM OF SERVICES

§ Design & Development.



§ Manufacturing.
§
§ Operations.
§
§ Wind farm project developer and operator.
§
§ Maintenance of wind Turbine generators.
§
§ EPC project delivery.
GLOBAL PRESENCE
GLOBAL MARKET SHARE
INDIAN MARKET

§ India-The 4th largest installed wind power capacity in the

world and the wind energy leader in the developing
world.
§
§ 52% market share in India.
§
§ Domestic policy support for the wind power.
§
§ Rise of a leading global wind turbine manufacture.
§
§
 SUZLON POSITIONING
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MARKETING STRATEGIES

 TURNKEY SOLUTIONS


 VERTICAL INTEGRATION



 GLOBAL INTEGRATION


 CORPORATE SOCIAL
RESPONSIBILITY
Suzlon Marketing
Strategy  Vertical integration – End to End Solutions

Components Locations
Benefits
Rotor India : Daman, Maharashtra
blades Gujarat, Pondicherry §Technology leadership
USA : Minnesota §
China : Tianjin §Cost leadership
§
§Control over supply
Gearboxes Belgium chain
(Hansen Transmissions) §
§Improved quality
Generators India : Maharashtra control
(JV with Elin, Austria) §
Control India : Daman, Pondicherry §Improved service
support
systems
§
Towers India : Gujarat, §Reliability
Maharashtra
Suzlon Marketing Strategy
Vertical Integration- End to End
Solution
 MAIN COMPONENETS

Castings and
Generators

Controls

Forgings
Gearbox
Blades

Vertical integration provides a unique opportunity to

leverage
on R & D capabilities throughout the entire component
chain
Suzlon Marketing
Strategy
Turn key Solutions

§ Suzlon’s turnkey services range from complex front-end

engineering design, construction, installation and
commissioning to long-term operations and maintenance as
well as the length, breadth and depth of customer
requirements across the wind energy value chain.
§
§ Key benefits they offer clients range from development, to
construction to operations. Manufacturing-driven supply
chain strengths and global expertise help offer customers
the best in quality services.
§
§  Suzlon is well placed to assist clients in overall wind power
Suzlon Marketing
Strategy
SUZLON TURNOVER..
GREEN TECHNOLOGY
 The term of "green technology" encompasses a
continuously evolving group of methods and materials,
from techniques for generating energy to non-toxic
cleaning products.

 Suzlonmeets the requirement of Green Technology

through:


§
Ø Source Reduction
Ø
Ø Viability
Ø
Ø Innovation
CORPORATE SOCIAL
RESPONSIBILITY
 Initiated an integrated approach in
designing Corporate Social Responsibility
(CSR).

 Launched “ The Suzlon Foundation” in
December 2007.

 Suzlon is committed to practice sustainable
development for “Powering a Greener
Tomorrow”.

 The Foundation will ensure that business
policies and practices support
CSR MISSION

The Suzlon Foundation is aligned to the vision of



the Suzlon Group of Companies-


 Having a minimal impact on the natural
environment.

 Enabling local communities to develop their

potential.

 Empowering employees to be responsible civil

society members.

 Committing ourselves to ethical business

practices that are fair to all the stakeholders.

MERGERS AND AQUISITIONS
MERGERS AND
AQUISITIONS
COMPETITIVE ADVANTAGE

 Skill Amalgamation
§ Cost Reduction
§ Reverse outsourcing
§
 End to End Solutions


 Vertical Integration and Amalgamation



 Market leadership in India and Global Presence



 Growth


 Integrated Business Model



 Human Resource


 The Electricity Act, 2003

SCOPE OF IMPROVISATION

 Management Structure


 Capital Intensive


 Overseas Business


 Operational Risk
§ Cash Conversion
§ Growth in Assets overweighting Growth
in Profits
§
 Basic Infrastructure


 Local Units
GROWTH PROSPECTS
 Environmental and Government initiatives

 Favourable tax exemptions

 Untapped offshore Market

 Steady source of demand

 Green Power
CHALLENGES

 Intense competition

 Over dependence on US

 Foreign Exchange Risk

 Technology Risk

 Decreasing Price of crude

 Interest rate increase

 Further Cancellation of orders-
FUTURE STRATEGIES

 Continuing rapid growth.


 Being in the profitable sectors-US and Euro.

 Manage risks of over dependence.

 Improve value to share holders.

 Improve operational efficiency.

 Manage backlogs.

 Improve industrial relationships.


 AWARDS AND RECOGNITION..
§ Company was awarded Golden Peacock National Training
Award, 2008.
§
§ The Company received the first prize for Best Manufacturer
and the second prize for the Best Service Provider among
Manufacturers (2006-2008).
§
§ The globally renowned Harvard Business School concluded a
case study labelled 'The Suzlon Edge‘
§
§ The Company was awarded the ISO/IEC 27001:2005
certification by Bureau Veritas Certification (India) Pvt. Ltd.
§
§ The Company was one of the winners of India's first
infrastructure awards - KPMG-Infrastructure .
IN FOCUS

 Positive growth path


 Prudent investments

 Focus on Research and development

 Strategic alliances

 Strengthening brand image

 Scope of diversification

 Maintain profitability
