Glidepath

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Securing Our Future
-
Global Earnings
A Public/Private Partnership Government
Business
www.exportyear.co.nz
2
Ken Stevens

• Exporter 34 years
• Founder Glidepath
• Business Champion - Export Year 07
• Board/Trustee AsiaNZ Foundation

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Glidepath is

• Designer, manufacturer, installer of Baggage
  Handling Systems and related security products.

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Glidepath Does ..

• RD - Design
• Configuring of systems
• Manufacturer - Mechanical - Electrical
• Automation - Controls
• Software designer
• Installer integrator
• Operation Maintenance of Systems

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Glidepaths Globalization..
Baggage Handling Security Systems
Toronto
Dallas
Dubai
Kunshan
Lima
Santiago
Sydney

• Key
• Completed Projects
• Manufacturing
• Regional Office

Auckland
449 Projects 58 Countries
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The Export Trail Why ?

• Current scenario
• No future in jobbing work
• Needed a product to manufacture
• In an industry that would grow
• Result
• Niche product in commercial aviation

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Australia No Worries Mate!!

• Entered market 1978
• First job - Townsville
• Specialized from 1982
• Young market slow to grow
• Needed greater growth

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USA but why ?

• USA the largest market
• If we can make it here..
• Keen to measure up have a crack

Glidepath Baggage Handling Sites
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What Influenced the Decision ?

• 1982 decision to specialize in Airports
• Aussie market levelled off
• A taste - with a job in American Samoa
• Encouraged by pivotal US industry players
• A full suite of products accepted player

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Case HistoryGlidepath in USA

• USA first time Wichita Kansas 1983
• Sold to Fortune 500 company 1992
• Bought back Stevens family 1996
• USA 2nd time Dallas Texas 2003
• Full Manufacturing May 2004

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Planning - USA Adventure

• Personal issues children schooling
• Location - exploratory trips to USA
• Visa - social security - permits
• Commercial and technical literature
• Testimonials and references
• Mind the farm here - NZ

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USA Establishment

• Set about building the enterprise
• Tough pre-qualifications regime
• First bids 35 off the place
• Required redesign of product
• Took 9 months - win first job

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First steps hiring renting

• Tight budget no revenue for 15 months
• Local - offered his services for free
• On the road selling installing
• Staff joined US payroll issues
• Assembly factory - more space

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Weve Cracked It Market Acceptance

• 5 Years anniversary flipped calendar
• Raised bid prices 18
• Trucking on just fine
• Major corporate bought majority share
• Within 3 years we had it back again

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USA Second Time Around ..

• Started conducting USA work - from Canada office
• Buy US campaign - forced the issue
• The need to connect fully with market
• Manufacturing plant - sales projects -
  management
• Governance IP from NZ

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Overcoming the roadblocks ..

• Freedom of foreign staff movement ?
• Credit red tape local customs
• What opposition can you expect
• Spot the difference - governance
• Who can you trust ??

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Mistakes first time round .

• Wrong location undercapitalised
• Operated at low bid position in market
• Didnt truly localise our offerings
• Didnt appraise re-jig the plan regularly

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What worked - second time round

• Whats worked what hasnt
• Full manufacturing facility
• Created a point of difference
• Mined local help Unis Techs
• Much smarter with hindsight

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Lessons Learned ..

• Planning research
• Visa - social security - credit - permits
• Bonds sureties - guarantees
• Product service - qualification - acceptance
• Branding - trademarks - secure IP
• Become a disciple of our industry

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More Learning..

• Property can hasten acceptance
• Labour can be cheap - productivity good
• Unusually high amount of red tape
• Networking needs be of high level
• Some strange practices encountered

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Further Lessons ..

• Get full buy in from home
• Integration plan - continually refine it
• Conduct frequent to from visits
• Encourage free open interchange
• Put a local controller in soon as
• Build the culture - formalise the inter-activity

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So what makes a good exporter ?
A A A
The 3 As
A
spiration
- a strong desire to achieve something
A
ttitude
- the way a person views something
A
wareness
- having knowledge of
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Recommendations.

• Decide on build the culture - early
• Continually test your local advisors
• Network widely - industry groups
• Become a disciple of your industry
• Dive right into the local scene

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Further Recommendations .....

• Products that are in great demand
• All goods services market lead
• Continually refine the offering
• Build lasting relationships
• Based on trust integrity

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Must Dos .

• Plan research plan some more
• Share those plans widely get buy-in
• Test those plans in the market
• Find centres of support and utilise them
• Get out in the market Sell Sell - Sell

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Export Year 07..
Global Earnings
Securing Our Future
_
Growing our wealth
Delivering Govts Economic Transformat-ion
Export Offshore FDI
Path to growth innovation
Balancing our foreign deficit
Connecting trading effectively
There is lots of help available
27
Securing Our Future
-
Global Earnings
A Public/Private Partnership Government
Business
www.exportyear.co.nz
28

Thank yall !
www.glidepathgroup.com