1. Capital Markets Day
14 March 2017

2. Agenda and presenters Aspocomp’s global supply chain
Antti Ojala, VP Business Development
Aspocomp’s Strategy
Mikko Montonen, CEO
Aspocomp’s customer
segments and solutions
Tero Päärni, VP Sales
Financials
Jouni Kinnunen, CFO
Capital Markets Day

3. GLOBAL SUPPLY CHAIN
Antti Ojala
VP Business Development

4. Mission and vision behind our global supply chain strategy
To supply cost effectively PCBs with the right quality for customers’ demands
To be aware of the Chinese supplier market in order to be able to offer solutions to customers’ requirements in the future
Vision
Aspocomp to have a stable, balanced and reliable low-cost volume supplier base in China
Capital Markets Day

5. Global supply chain with nine factories in Asia
Since 2011, Aspocomp has started to put emphasis on volume supply services
Today, Aspocomp has 9 audited and approved factories
Dedicated logistics and quality assurance organization in Finland and in China
SHANGHAI
LONGCHUAN
QINGYUAN
GUANGZHOU
ZONGSHAN
SHENZHEN X 4
VOLUME FACTORIES IN CHINA
Capital Markets Day

6. Challenges that customers are facing in the global PCB markets
Price as a differentiating factor in the competition
Customer’s customers more and more interested in the price
 Clear cost pressure from many directions
Competition, products and legislation becoming more complicated
Tightening reliability requirements
Common challenge is the combining of affordable unit costs with high quality and reliability requirements
Capital Markets Day

7. Aspocomp brings added value to electronics supply chain
Commercial aspects
Logistics services
Supplier management
Technical support
Quality assurance & control
Commercial aspects
Logistics services
Supplier management
Technical support
Quality assurance & control
Capital Markets Day

8. Quality assurance & control
1. Commercial aspects
Aspocomp offers a single point of contact for all technologies
Support in combining affordable unit costs with high quality and reliability requirements
According to Aspocomp’s customer satisfaction survey, 100% of Aspocomp’s customers recommended Aspocomp
Global supply chain
Commercial team in Europe and China
Lean and efficient organization
Commercial aspects
Logistics services
Supplier management
Technical support
Quality assurance & control
Capital Markets Day

9. Quality assurance & control
2. Logistics services
Single point of contact for all logistics related issues
Provision of detailed information about shipments in advance
Multi-model transportation possibilities (air, sea, truck and their combinations)
Optimization of logistics brings cost savings
Commercial aspects
Logistics services
Supplier management
Technical support
Quality assurance & control
Capital Markets Day

10. Quality assurance & control
3. Supplier management
Carefully drafted agreements and negotiations in Asia
Carefully selected and audited factories
As a PCB manufacturer, Aspocomp has excellent expertise and experience in managing and training volume factories
We are making PCBs – our customers (or traders) aren’t
Excellent relationship with the factories
Commercial aspects
Logistics services
Supplier management
Technical support
Quality assurance & control
Capital Markets Day

11. Quality assurance & control
4. Technical support
Aspocomp’s technical expertise and technical support are world class
Local technical support organization both in Europe and in China
One point of contact for all technologies
All possible technologies available
Commercial aspects
Logistics services
Supplier management
Technical support
Quality assurance & control
Capital Markets Day

12. 5. Quality assurance & control
Long experience in manufacturing demanding PBCs
Global perspective: Own quality personnel in Asia doing close cooperation with the European quality organization
Single point of contact for all quality related issues
Smooth process for handling potential reclamations
Commercial aspects
Logistics services
Supplier management
Technical support
Quality assurance & control
Capital Markets Day

13. Volume supply partner profiles
Layer count, complexity
HDI, ML (Shenzhen)
Small to medium Volumes
TS16949 Certified
Advanced HDI, high layer count ML, flex
High capability & volume
TS16949 certified, 2 plants in China (Shanghai and Guangzhou)
18-L / HDI
DS, ML
(Shenzhen)
Very small volumes
TS16949 Certified
(Qingyuan)
Standard ML, 2 factories
(Shenzhen and Longchuan)
Medium volume
TS16949 certified
Standard ML 2-12L
(Zhongshan)
High volume
TS16949 certified
8-L
4-L
2-L
STH, SCO, CPTH (Shenzhen) TS16949 certified
1-L
0 m2
10 m2
20m2
30m2
40m2
Batch size
Capital Markets Day

14. Purchasing portfolio analysis
Difficult to change
Bottleneck technologies
Strategic technologies
Ordinary technologies
Volume technologies
Aspocomp’s focus
Low volume
High volume
Focusing on
Easy to change
Oct 8, 2014
Presentation to ACG Board

15. Aspocomp’s supplier selection process
Identification of potential partners
Questionnaire
NDA and request for quotation
Preliminary auditing
Sample PCBs
Approval auditing
SUPPLIER APPROVED
Process initiated by Aspocomp’s volume supplier strategy and/or customer’s technology need
Used Standard: VDA 6.3 German Automotive Standard
Suppliers assessed every two years
Capital Markets Day

16. Strategic targets for supply chain management
Taking price, quality, delivery accuracy and environmental & social issues into account, most economical total landed cost sourcing
Balanced supplier base
Avoiding single sourcing situations, risk management
Not too many suppliers, we must have convincing purchase power at each supplier
Rightness of the offered technologies
Oct 8, 2014
Presentation to ACG Board

17. Summary of Aspocomp’s strengths in supply chain management
Wide technology portfolio Strong partners in portfolio Local organization in China Technical and commercial knowledge Own production strengthens our credibility Cross-trading logistics routines with existing customers Performance, DA and DQ
Bringing added value to electronics supply chain
Capital Markets Day