Shared Service Center – Rising cost pressure and drive for automation Shared Service Center established themselves as a valuable growth opportunity for multinational companies by reducing personnel expenses as well as embracing standardization and harmonization within complex global company structures. However, the Covid-19-pandemic, rising costs due to high inflation rates and more advanced automation solutions shuffled the playing field and its environmental conditions. For instance, home office demands have become common practice for Shared Service Center (SSC) in Central and Eastern European (CEE) countries.Poland stands out as the largest player for SSC in CEE commanding a 69% market share, with …
Charting China’s Course: A Journey Towards Openness
Charting China’s Course: A Journey Towards Openness In 2023, China witnessed a commendable growth in its Gross Domestic Product (GDP), achieving a 5.2% expansion for the year. This growth not only aligned with the government’s annual target but also showcased a robust performance, especially in the fourth quarter, where the year-on-year GDP surged to 5.3%, surpassing the 4.9% recorded in the third quarter. Despite these positive indicators, the Chinese government is gearing up to provide additional support to its economy and trade in 2024. In this EAC Executive Briefing, we will delve into the significant developments that unfolded in the …
The Future: India’s Construction Equipment Industry thrives on Sustainability and Innovation Trends
Building the Future: India’s Construction Equipment Industry thrives on Sustainability and Innovation Trends The construction equipment industry in India is about to undergo a significant transformation. An expanding economy, rising urbanization, and large-scale infrastructure projects have all contributed to an increase in the need for construction equipment. The industry recorded the sales of 107 thsd units in FY’23 and is expected to grow at 7% CAGR during FY23-30. It is world’s 3rd largest market and is currently valued at 6.1 bln EUR with earthmoving equipment segment being the majority contributor at 72% share.Key Growth Drivers: Infrastructure Development Projects: Large-scale government …
Outsourcing of non-core activities to developing Innovation hubs
Outsourcing of non-core activities to developing Innovation hubs: The new Shared Services concept in practice To focus on core business competencies without impeding the flow of non-core activities while achieving cost efficiencies, businesses have been setting up shared services centers (SSCs) since 1980s but over the years, the model has evolved to adapt better to changing business requirements. From Shared Services Centers (SSC) to Global Competence Centers (GCC) and Global Business Services (GBS), service delivery model encompassing outsourcing, captive shared services as well as centers of excellence (COEs) for serving various business units have been the guiding pillars to offer centralized …
Indian Biodiesel Industry Outlook
Indian Biodiesel Industry Outlook: Navigating Growth, Policy Dynamics, and Investment Opportunities India is the 3rd largest crude oil consuming nation globally accounting for 262 mio tons in FY 2023 with 89% demand met by imports from Russia, Iraq, and Saudi Arabia. High speed diesel consumption is estimated at 39.3 mio tons in FY 2023 of which ~87% is used by transport industry and rest 13% by industry, agriculture, and power generation. Diesel consumption is expected to reach ~105 mio tons by FY 2030 mainly driven by increased industrialization, urbanization, infrastructure development, and rising vehicle sales.To reduce dependency on imports and …
Global Wind Turbine Manufacturing & Supply Chain Challenges
Global Wind Turbine Manufacturing & Supply Chain Challenges How to boost competitiveness and balance risks? Wind energy it one of the fastest-growing energy sources in the world driven by supportive legislations in the US, the European Union, India and China yet spare capacity is limited and will likely disappear by 2026.Wind energy is one of the best source to alleviate the pain and challenges of climate change. With the increasing demand of global electricity, which is forecasted to grow by 25% and reach ~30k TWh1) by 2030, development and utilization of wind plus other renewable energy sources are indispensable and …
Agricultural Mechanization (beyond tractors) – focusing on the Indian Agri-Machinery Industry
Agricultural Mechanization (beyond tractors) – focusing on the Indian Agri-Machinery Industry India, with its vast and diverse agricultural practices, plays a pivotal role in global food production. It is the second-largest producer of rice, wheat, sugarcane, cotton, and groundnuts, as well as the second-largest fruit and vegetable producer. The farm equipment industry, a cornerstone of this sector, which was traditionally dominated by tractors, is undergoing a transformative phase fueled by technological advancements, localization efforts, policy shifts, and changing consumer preferences.EAC has observed key trends shaping today’s Indian agri-machinery industry. The key trends are: Small agri-machinery segment transitioning towards localisation: The …
Electrifying India: Accelerating the Passenger Electric Vehicle Revolution
Electrifying India: Accelerating the Passenger Electric Vehicle Revolution By 2030, India will emerge as the 2nd largest manufacturer of passenger electric vehicles in APAC region following China with a surge of +74% in the vehicle production volume.India is currently amongst the prominent hubs for automotive manufacturing across globe, however, the Indian EV industry is still in its early stages of development and is expected to exhibit significant growth over the next decade. By 2030, India will emerge as the 2nd largest manufacturer of passenger electric vehicles in APAC region following China with a surge of +74% in the vehicle production …
Seizing the EV Lithium Battery Market
Seizing the Opportunities on the EV Lithium Battery Market Electrification of transportation has also witnessed fierce competition within the lithium battery sector, requiring industry players to act proactively and position themselves strategically to capture a significant share of this burgeoning market.The shift to e-mobility is picking up speed quickly, and disruption to traditional automotive industry is taking place stronger and sooner than previously expected. To be prepared of the trend it involves strategic planning and actions aimed at capitalizing on the growing electric vehicle market. Get insights from EAC’s investigation on how to position your business to thrive in the …
Indian Chemical Distribution Sector: Imminent Growth Opportunity
Indian Chemical Distribution Sector: Imminent Growth Opportunity The fast-growing Indian chemical industry, projected to reach 288 bln EUR by 2025 (163 bln EUR in 2019), boasts the presence of both international leaders and local champions. The industry is experiencing rapid growth in both domestic and export trade. To keep pace with increasing demand while ensuring cost-efficient operations, it requires a specialized, safer, more innovative, and flexible transport system for faster and more efficient transportation. Chemical distribution – Overview The Indian chemical distribution sector is primarily driven by the growth of the chemical industry and government initiatives that promote local manufacturing. …
China’s New 24 Points Policy
China’s Vow to Attract Foreign Investment China’s New 24 Points Policy: Opinions of the State Council on Further Optimizing the Foreign Investment Environment and Increasing the Attractiveness for Foreign Investment.Chinese government has re-emphasized its propositions to further optimize the foreign investment environment and increase the attractiveness for foreign investment: Establish a more favorable investment climate for foreign investors Re-bolster foreign enterprises’ confidence in investing in China. In our teaser we explain what the 24 individual directives mean and what opportunities they present for you. You would like to discuss the 24 Point Policy? Then contact our expert & partner, John …
Production Linked Incentives (PLI) of India – Reviewing the Impact
Production Linked Incentives (PLI) of India – Reviewing the Impact The Indian government’s Production Linked Incentive (PLI) scheme is a performance-based incentive scheme. It rewards companies for increasing domestic sales of their manufactured goods. The overall aim of the scheme is to strengthen the manu-facturing sector and reduce dependence on imports. Its objectives include promoting the „Make in India“ initiative, attracting foreign manufacturers to set up production in India, and motivating domestic manufacturers to expand production and exports.Launched in March 2020, the PLI scheme initially targeted sectors heavily dependent on imports, such as mobile manufacturing, electrical components, critical pharmaceutical materials …