Product Localization

Global OEMs looking to fully realize the potential of new markets are increasingly challenged to adapt their products for emerging geographies and at the same time, meet target product cost. A balanced adaptation strategy requires the right product localization mix to achieve the cost imperatives. Global OEMs, especially new market entrants, are often less familiar with country specific requirements, regulatory compliances, cultural trends and the local supply base. An improper balance which does not conform to customer requirements will lead to missed opportunity and/or a loss of market share.

Localization Requires a Different Approach
Localization is more than making your product comply with local regulations and standards. A holistic localization strategy also must account for differences in available materials, local usage customs, and local market pricing; it even needs to support differences in the climate in which the product will be used. How does a Global OEM know if they can source locally while meeting market demand, maintaining quality and costs, and delivering against product requirements? Rely on the wrong suppliers and you risk not only loss of opportunity, but also loss of your investment.

You don’t have to localize alone. Geometric, leveraging its deep understanding of local market dynamics and ecosystems, has helped many OEMs achieve their regional business growth targets while maintaining competitiveness.

Geometric’s localization strategy is divided into two main categories, Product Design (or redesign) and Sourcing (or supply base).
Product redesign for local market and regulations:
  • Product Customization- re-content (increase or decrease content) the global product for the local market to address usage differences and local market pricing requirements
  • Product Regulation- adapt the global product to meet local standards and regulations for safety, environmental quality, sustainability and other legislated requirements
  • Local Manufacturability- change the global product to address local design-for-manufacturability requirements which enables the global OEM to manufacture locally, leverage local cost structures, and reap benefits of “made local” brand equity

Components sourcing from local supply base:
  • Economic Viability- analyze ability to source components locally while meeting volume needs, demand fluctuations, component criticality, technology requirements and inventory capacity
  • Vendor Identification- assess and select high quality locally manufactured components

The Geometric Advantage:
  • Six decades of industry knowledge gained through association with top fortune 500s
  • Localization program support for diverse industry customers leveraging local design, process manufacturing and sourcing experience
  • Technology enabled solutions for accelerated localization trade-off analysis and requirement mapping
  • Investment in state-of-the-art physical infrastructure for reverse engineering and equipment analysis
  • Strong alliance ecosystem comprising testing agencies, standardization organizations, material analysis labs and educational institutes

 

 

      

      

      

      

      
 
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