PRTODAY / NewswireToday Free press release distribution service network

Written by / Agency / Source: ValueNotes Database (P) Ltd

Check Ads Availability|e-mail Article


Are you the owner of this article?, Turn it PREMIUM with your LOGO instead - and make it 3rd party Ads-Free! within the next hour!

Automobile Design Offshoring to Witness Accelerated Growth - “Auto design and engineering services is a huge emerging opportunity that India is well positioned to exploit – given the growing maturity of its automobile industry and proven offshoring capabilities”, says Arun Jethmalani, CEO of ValueNotes
Automobile Design Offshoring to Witness Accelerated Growth

 

NewswireToday - /newswire/ - Pune, Maharashtra, India, 2006/07/06 - “Auto design and engineering services is a huge emerging opportunity that India is well positioned to exploit – given the growing maturity of its automobile industry and proven offshoring capabilities”, says Arun Jethmalani, CEO of ValueNotes.

   
 
Your Banner Ad Here instead - Showing along with ALL Articles covering Automotive/Trucking/RV Announcements

Replace these Affiliate Programs at ANYTIME! Your banner here within the next hour. Learn How!


 

The automobile industry, especially in the US and Europe is facing intense competitive pressures - rising labour costs, shorter product cycles, dropping profitability and rapid growth in emerging markets. This has created a set of enabling factors, or drivers, that are forcing Original Equipment Manufacturers (OEMs) and auto ancillaries to explore outsourcing and offshoring options.

Offshore Indian vendors stand to gain substantially, as outsourced engineering and design is set to witness double-digit growth for the next five years. According to a latest report by ValueNotes, revenues from automotive design and engineering offshoring are expected to cross US $1 billion by 2010, from US $270 - $300 million in 2005. Estimates also show that the industry employs 12,000 people in India and is likely to see 30 per cent growth every year for the next three years.

Offshore Indian vendors can be categorized into four groups:

- Captives - GM, Delphi, Ford
- Subsidiaries of Indian auto OEMs - Mahindra, Hero, Eicher
- Independent engineering design firms - Plexion, DC Design, Neilsoft
- Indian IT services firms - TCS, Wipro, Infosys

Of these vendor groups, apart from the captives, subsidiaries of Indian auto OEMs are best positioned to offer end-to-end design and engineering services. This is on account of their domain knowledge, and financial muscle to invest in organic and inorganic growth to build capabilities. Rather than piecemeal sub-contracting of design, engineering and manufacturing jobs, auto companies would prefer vendors offering end-to-end services or complete solutions in future. This provides an entry point for more Indian auto ancillaries to move from pure manufacturing to providing the complete range of solutions – from design to manufacture to delivery.

Analyst Niranjan Natu of ValueNotes says that “IT firms will gain too, as they will be well poised to marry their expertise in embedded systems with the rising share of electronics in auto”. However, it will become imperative for Indian service providers to move up the value chain because other countries such as China will provide tough competition for low-end services.

Independent engineering and design firms will be hot targets for mergers and acquisitions as companies with greater financial strength, primarily IT firms, subsidiaries of Indian OEMs and ancillaries look to acquire capabilities and clients.

The report “Offshoring Of Automotive Design And Engineering Services To India” is based on extensive interviews with key people at various automotive design outsourcing companies in India.

 
 
Your Banner Ad Here instead - Showing along with ALL Articles covering Automotive/Trucking/RV Announcements

Replace these Affiliate Programs at ANYTIME! Your banner here within the next hour. Learn How!


 

Written by / Agency / Source: ValueNotes Database (P) Ltd

 
 

Availability: All Regions (Including Int'l)

 

Traffic Booster: [/] Quick Newswire Today Visibility Checker

 

Distribution / Indexing: [+]

 
 
# # #
 
 
  Your Banner Ad showing on ALL
Automotive/Trucking/RV articles,
CATCH Visitors via Your Competitors Announcements!


Automobile Design Offshoring to Witness Accelerated Growth

Company website links NOT available to basic submissions
It is OK to republish and/or LINK any newswire for any legitimate media purpose as long as you name Newswire Today and LINK as the source.
 
  Is this your article?
Activate ALL web links and social stream by Upgrading to Press Release PREMIUM Plan Now!

|
Publisher Contact: Arpita Bedekar - ValueNotes.com 
 
Newswire Today - PRZOOM / PRTODAY disclaims any content contained in this article. If you need/wish to contact the company who published the current release, you will need to contact them - NOT us. Issuers of articles are solely responsible for the accuracy of their content. Our complete disclaimer appears here.
IMPORTANT INFORMATION: Issuance, publication or distribution of this press release in certain jurisdictions could be subject to restrictions. The recipient of this press release is responsible for using this press release and the information herein in accordance with the applicable rules and regulations in the particular jurisdiction. This press release does not constitute an offer or an offering to acquire or subscribe for any ValueNotes Database (P) Ltd securities in any jurisdiction including any other companies listed or named in this release.

Automotive/Trucking/RV via RSSAdd NewswireToday - PRZOOM Headline News to FeedBurner
Find who RetweetFollow @NewswireTODAY



Are you the owner of this article?, Turn it PREMIUM with your LOGO instead - and make it 3rd party Ads-Free! within the next hour!


Read Latest Articles From ValueNotes Database (P) Ltd / Company Profile


Read Automotive/Trucking/RV Most Recent Related Newswires:

First Transports in Networked Trucks - DB Schenker and MAN Agree on Platooning Project
MAN Truck & Bus Are Placing the New MAN TGE Under Static Scrutiny As Part of A Van Bodybuilders’ Day Today
MAN Lion's Intercity is Russia’s Intercity Bus of the Year
Enel and Nissan Present First All-inclusive Electric Mobility Solution
MAN Truck & Bus Korea Launched MAN Lion’s Touring - The First and Only Cabriolet Bus for Sightseeing Tours in Korea
Influx of Cheap Imports Floods the Automotive Filter Aftermarket Says Frost & Sullivan
BASF Introduces Latest Robust Connectors for Automotive Wire Harnesses
Man Group Announces 100 NEOPLAN Skyliner Coaches for Rome
BASF Introduces Synthetic Leather Made with Elastollan® - Makes Car Seats More Comfortable
Frost & Sullivan Acclaims Federal-Mogul Motorparts' Visionary Solutions and Growth Strategies for the North American Automotive Aftermarket
Borealis and Borouge Showcase Lightweight Solutions with the 2016 European Car of the Year At K Fair
BASF - Charge Air Duct Made from The High-temperature Polyamide Ultramid® Endure BM for Blow Molding
MAN Announces First Major Order from Tbilisi
BASF and Hyundai Motor Showcase RN30 Concept Car At K Fair
750th MAN D2676 Engine for Alstom’s Coradia Polyvalent Delivered in Time for Innotrans 2016

Boost Your Social Network
& Crowdfunding Campaigns


LIFETIME SOCIAL MEDIA WALL
NewswireToday Celebrates 10 Years in Business


PREMIUM Members


Visit  NAKIVO, Inc.

Visit  JobsWare.com





 
  ©2016 Newswire Today — Limelon Advertising, Co.
Home | About | Advertise/Pricing | Contact | Investors | Privacy/TOS | Sitemap | FRANCAIS
newswire, PR free press releases distribution service magazines engine news alert newsroom press room breaking news public relations articles company news alerts newswiredistribution ezine bizentrepreneur biznewstoday digital business report market search pr firms agencies reports distri-bution today investor relation successful internet entrepreneurs newswire distribution prtoday.com freenewswiredistribution asianewstoday bizwiretoday USA pr UK today - NOT affiliated with PRNewswire as we declined their partnership offer in 2013
 
PRTODAY & NewswireTODAY are NOT affiliated with USA TODAY (usatoday.com)