Forum Vietnam
May, 2013
Agenda
 Datalogic at a glance
 Datalogic Vietnam ADC overview
 Why Vietnam?
 Milestones
 Key Results
 New products Engineering Goals
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Datalogic at a glance
 Founded in 1972 in Bologna, Italy by Romano
Volta, and listed on the STAR Segment of the
Italian Stock Exchange since 2001.
 Global leader in Automatic Identification with a
specific focus on Automatic Data Capture and
Industrial Automation markets.
 World-class total solutions provider in retail,
manufacturing, and transportation & logistics
industries and producer of bar code readers,
data collection mobile computers and vision
systems.
 2012 Revenues at 462 M € (+8,6% vs 2011) of
which 69% in the ADC Market and 23% in the
Industrial Automation Market.
 Over 2,400 employees – 350 in R&D.
 Direct presence in 30 countries worldwide selling
to +100 countries.
 +1,000 partners worldwide.
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Datalogic Vietnam ADC Overview
 Established: 8-Jan-2009
 Factory land area:
2 Lots ~20,000m2 each
Building area: 10,000m2
Production area occupied:
4,500m2
1,750 m2 office in 1st floor for
R&D
 550 employees (Feb 2012)
 Focus: Product Design and Test,
Manufacturing, Fulfillment, and
Service Repair (2012)
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Datalogic Vietnam ADC Open
Ceremony
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Datalogic Vietnam ADC Open
Ceremony
Opening Ceremony – Meeting with S.E. Le Hoang Quan, Major of Ho Chi Minh City, July 10th, 2009
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Background
 50% of our components come from Asia.
 Increase our penetration in Asia among our main
goals.
 Technological components such as customized
displays and batteries not available in Europe.
 Critical mass: improved efficiency thanks to the
concentration of 80% of the production in one
plant.
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Why Vietnam?
 Highest Global Growth Generators Index among the 11
major economies.
 Vietnam focus on high mix – low volumes (we have around
600/700 codes).
 Open culture with affinity to the Italian one: very good
interpersonal relationship.
 Incentives on production and investments and lower cost of
labor compared to China.
 No taxation for the first four years from profit realization
and very low taxation afterwards (5% from 5th to 13th year
, 10% for 14th and 15th year and then “ordinary tax rate”,
currently = 25%).
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C
hi
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In a
di
a
Vi
et
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Th am
ai
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M and
al
ay
Si si
ng a
S apo
K
or r e
ea
Why Vietnam?
Governance Stability
English Proficiency
Overall Labor Force Attributes
Loaded Semi-Skilled DL Wages
Domestic Political Risk
Best
Medium
Poor
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Why Vietnam?
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Milestones
 2009: decision making, recruiting of a local
General Manager (Mr Phat), location selection
(High Tec Park HCMC).
 2010: first production lines dedicated to less
complicated products and test & assembly.
 2011: introduction of others manufacturing lines,
engineering services, planning and logistics.
 2012: run at top revs. Total saving: -15% of total
cost of goods sold (€ 12 M).
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2010
12
Today
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Revenues
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Headcount
Average age:
Direct : 26.8 year old
Indirect : 34.2 year old
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Direct
Indirect
Total
© 2012 Datalogic ADC, Inc. • Confidential Proprietary Information
40
43
83
15
92
71
163
412
140
552
350
148
498
Production Efficiency
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Datalogic Vietnam ADC Organization
GD:
Brad West
GM:
Phat Tran
Deputy GM
Phong Ho
SECRETARY
Production
(CHUNG)
PP
(HIEU)
PCBA
PLANNIN
G
ASSY
PURCHASIN
G
FFC
ME
Q&R + Logistics
(CANG)
Logistic
(VINH)
Warehouse
Import/
export
FC
(NGUYEN)
(Cang)
FA & IT
(LE NA)
HHS R&D
(FABIO)
AME
FA
Develop
I/I
Testing
IT
Testing
Quality
System
Process
Q&R
Lab/
regulatory
QC
17
HR & Admin
FRS R&D
(Supervisor: Trân)
(supervisor: Nam
Mr Phat video
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New Products Engineering
800m2 , a big lab and, in term of numbers, the biggest
Design Center in Datalogic ADC!
Engineering resources in VN
 eager to know, motivated,
available for travelling abroad,
skilled with practical abilities;
 cost competitive (from 3/4 times
less then in western countries).
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New Products Engineering Goals
 To bring into new products ideas, design and
innovation from the hand and brains of Asian
Engineers and a frontline on-site support for our
Operations.
 To be closer to the Asian Market and Asian
Supply Chain starting from Design.
 To continually improve SW quality.
 To increase efficiency of R&D investments: having
the right resources at the right cost for the
right task.
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New Products Engineering Organization
Hired 39 staff
(around 3-4% on the total assessed,
in line with VN industry stats):
 26.9 years old average; most
graduated from top VN
universities.
 5 Working Teams.
 5 Supervisors, 4 Team Leader.
 Mostly focused on Embedded
Software Development,
Software Test, PCB Layout.
 Good Skill Matrix and many
achievements.
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Thank you
This presentation contains statements that are neither reported financial results nor other historical information. These statements are forwardlooking statements. These forward-looking statements rely on a number of assumptions and are subject to a number of risks and uncertainties,
many of which are outside the control of Datalogic S.p.A., that could cause actual results to differ materially from those expressed in or implied by
such statements, such as future market conditions, currency fluctuations, the behavior of other market participants and the actions of
governmental and state regulators
© 2013 Datalogic S.p.A. - All rights reserved. • Protected to the fullest extent under U.S. and international laws. • Copying, or altering of this
document is prohibited without express written consent from Datalogic S.p.A. Datalogic and the Datalogic logo are registered trademarks of
Datalogic S.p.A. in many countries, including the U.S.A. and the E.U. All other brand and product names may be trademarks of their respective
owners.
Datalogic S.p.A.
Via Candini, 2
40012 Lippo di Calderara di Reno
Bologna – Italy
Tel. +39 051 3147011
Fax +39 051 3147205
E-mail corporate@datalogic.com
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