International Business Assignment

Singapore Technology Engineering

UNNGKU NURUDDIN

MASTER OF MANAGEMENT
INDEX

No Content Page
1 Company Profile 1
Board of Director 2
2 Business Plan 3
ST Engineering subsidiaries
ST Engineering company profile 4
History of ST Engineering 5
3 Financial Report 6
Financial Report 7
4 IB Strategy Background 8
Business Strategy 9
Group Level Planning 10
ST Engineering Strategic Planning 11
Top to Down Business Deployment 12
Information Management for Global Business Sector 13
5 Competitive Market Analysis 14
Product of Mitsubishi Heavy Industries 15
History of Mitsubishi Heavy Industries 16
Comparison of ST Engineering and Mitsubishi Heavy Industries 17
ST Engineering Advantage Over Mitsubishi Heavy Industries 18
6 IB Brand Statement 19
7 Product of ST Engineering 20
8 Contract and Achievement 21
9 ST Engineering Award 22
ST Engineering Award
10 Conclusion 24
Milestone of ST Engineering 25
11 Video 26
COMPANY PROFILE

1. Overview
ST Engineering are a Singapore-homegrown engineering group specializing in innovative
solutions and services in the Aerospace, Electronics, Land Systems and Marine sectors. ST
Engineering was formed in 1997 and we are today one of Asia's largest defense and
engineering groups. STE are among the largest companies listed on the Singapore Exchange,
and a component stock of the FTSE Straits Times Index and MSCI Singapore. A leader in each
of our sectors of business, we offer integrated and advanced solutions for customers across
multiple industries. STE customers are both commercial and defense organizations in over 100
countries. STE serve them through a global network of over 100 subsidiaries and associated
companies in 46 cities across 24 countries in the Americas, Asia, Europe and the Middle East.
Around the world, STE have about 23,000 employees.

2. Vision
To be a global defense and engineering group.

3. Mission
STE are an integrated engineering group, we bring value to our customers and partners through
our delivery of total, integrated quality solutions and supports strategy is underpinned by STE
values: Integrity, Value Creation, Courage, Commitment and Compassion. STE values shape
our motivations as STE approach increasingly complex needs in STE business environment.

4. Value System
Integrity
Value Creation
Courage
Commitment
Compassion

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Board of Director

2016 Board of Director

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BUSINESS PLAN

1. ST Engineering subsidiaries

ST Engineering have 5 main subsidiaries which focus on weapon manufacturing and

heavy industries like oil rig building.

1. ST Kinetics
Main focus on weapon like tank
2. ST Aerospace
Main focus on spare part of aircraft and aircraft building like Boing 777 spare
part
3. ST Marine
Main focus on shipbuilding like naval petrol ship for Oman Navy
4. ST Electronics
Main focus on electronic component like satellite system
5. ST Dynamics
Main focus on advanced energy storage systems

2. ST Engineering Main Address

Office Location

24 Ang Mo Kio Street 65

Singapore 569061

Tel: (65) 6481 8888

Fax: (65) 6482 1079

(Regn. No.: 196900084E)

Website: www.stee.stengg.com

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3. ST Engineering company profile

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 4. History of ST Engineering

CIS was originally incorporated on 27 January 1967, when it started out by producing
ordnance for the CIS' first product was the 5.56×45mm NATO around and other CIS
products include the license-built Colt M16S1 (equivalent to the M16A1), and locally
designed weapons such as the Ultimax 100 SAW, the SAR-80 and the SR-88 assault rifles.
Several other companies were formed under CIS over the span of the next 2 decades, with
the expansion of the defense business, such as Unicorn International (UI) in 1971,
Ordnance & Development Engineering (ODE) in 1973, Singapore Test Services (STS) in
1980 and Chartered Chemicals (CCI) in 1982.

Shortly after the formation of CIS, the Defense Minister, Dr Goh Keng Swee, went on to
set up several other government-linked defense industries to provide indigenous support
for the SAF. One of them was Singapore Automotive Engineering (SAE). SAE was to
support automotive-related services for the SAF, and its first immediate task was to service
and maintain a fleet of V200 armored vehicles. By 1982, amidst a young, thriving
Singapore economy and having built up its capability in automotive servicing and
standards, SAE saw the potential in the commercial sector and decided to incorporate SAE
Inspection Centre for vehicle inspection and servicing. The following year, Singapore
Commuters, a taxi service, was formed.

In 1997 ST Engineering was born and it the main weapon developer for Singapore Arm
Force and ST Engineering currently have 100 subsidiaries with over 40 cities and 23
countries around the world like US, Japan, Brazil and Malaysia.

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FINANCIAL STATEMENT

Financial Report of 2015

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7
IB STRATEGY BACKGROUND

ST Engineering internationalization efforts have grown its global footprint to include over 100
subsidiaries and associated companies in 24 countries and 46 cities, spanning the US, Europe,
Asia, Middle East and Australasia. In the Americas, ST Engineering has established significant
presence, with operations in locations across the US, Canada and Central America. Its operations
in China span major cities, including Beijing, Shanghai and Guangzhou.

ST Engineering global business on the world map

ST Engineering offers a comprehensive breadth of services and products through its four strategic
business sectors
1. Aerospace
2. Electronics
3. Land Systems
4. Marine

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Business Strategy

ST Engineering have 3 stage of business startegy target that the company use that is short term,
long term and anually.

Strategic Planning Process

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Group Level Planning

ST Engineering Level Group Planining

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ST Engineering Strategic Planning

ST Engineering Strategic Planing on global scale and global network expansion to maximize profit
on global stage.

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Top to Down Business Deployment

The top to down business deployment ST Engineering use for it global busines plan

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Information Management For Global Business Sector

ST Engineering collecting data and information management process for its global business sector
that than be use in ST Engineering global activities.

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COMPETITIVE MARKET ANALYSIS

Competitive market analysis is an assessment of the difference between a firm's performance and
that of its competitors, and detection and examination of the factors that cause the difference. ST
Engineering have some competitor either indirect or direct. One of the company that have similar
type of business venture as ST Engineering Is Mitsubishi Heavy Industries.

Mitsubishi is known for its car manufacture but the company also heavy industries that product
heavy product like oil rig, weapon like tank and aircraft. Mitsubishi heavy industries main
customer is Japanese government.

Mitsubishi Heavy Industries Global Position

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Product of Mitsubishi Heavy Industries

TYPE 10 MBT X2 FIGHTER JET CRUISE SHIP

Type of product that Mitsubishi Heavy Industries focusing into

There are 12 categories that Mitsubishi Heavy Industries venture in like train manufacture, space
shutter and cargo ship.

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History of Mitsubishi Heavy Industries

In 1884, Yataro Iwasaki, the founder of Mitsubishi, leased the Nagasaki Seitetsusho from the
Japanese government, renaming it the Nagasaki Shipyard & Machinery Works and entering the
shipbuilding business on a large scale. ... The Mitsubishi Heavy Industries - Shimonoseki Shipyard
& Machinery Works was established in 1914.

Mitsubishi Heavy Industries History Chart

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Comparison of ST Engineering and Mitsubishi Heavy Industries

St Engineering Mitsubishi Heavy Industries

Origin
Singapore Japan
Main Business
Heavy Industries Heavy Industries
Main Product Buyer
Singapore Government Japan Government
Global Business Expansion
Export to Other Nation Like Oman Export to Other Nation Like Malaysia
Main Product Export
Weapon and Electronic Component Mainly Car, Electronic Component and
Ship but No Export on Weapon
Product That the Company Focus Globally
Weapon and Electronic Component Car and Electronic Component

Both company have the same business venture but the separation is Mitsubishi Heavy Industries
have car manufacture where ST Engineering lack. Both company main focus is on weapon
development for their respective government and army.

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ST Engineering Advantage Over Mitsubishi Heavy Industries

Reason
ST Engineering
1. Focus on international market and
local market
2. Make product that can be use either
local user or international user
3. Got a contract from international
company like Airbus and Boing
4. Focus more on small product for
export like assault rifle, and
computer electronics component
5. Sending worker for development
program in other company like
boing and Airbus
6. Sell product under license mean
assemble by local company example
license to PT Pindad Indonesia for
assemble Terrex APC in Indonesia
for Indonesia Army
7. Have more countries collaboration
with 24 countries and with main
global of 100 company
Mitsubishi Heavy Industries
1. Focus more toward local market
rather than international market
2. Focus more product for local user
than international user
3. Got more contract from a local
company and government less from
international company
4. Focus more on large product for
export like car and ship building
5. Focusing worker on more home-
grown product and original product
6. No product under license mean
assemble in Japan and no local
company given license to produce
any Mitsubishi Heavy Industries
product
7. Have less countries collaboration
with 13 countries and with main
global of 245 company

Beside car most of the product from Mitsubishi Heavy Industries are for local market like aircraft
carrier program but even do Mitsubishi Heavy Industries is focusing more on local business and
contract from Japanese government but still have contract from other countries like US on space
shutter program and car manufacturing collaboration program.

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IB BRAND STATEMENT

ST Engineering Brand Statement

ST Engineering Brand Statement that the company use to enhance its global image on big scale
and to become the leading in engineering company in the world.

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PRODUCT OF ST ENGINEERING

Some of ST Engineering product and its subsidiaries produce for local and export

BIONIX 2 AFV SKYBLADE UAV FRIGATE SHIP

ST KINETICS ST AEROSPACE ST MARINE

TERREX 2 APC SECURITY SYSTEM COASTAL RADAR

ST KINETICS ST ELECTRONICS ST ELECTRONICS

All ST Engineering product are for Singapore army usage and also building for other nation like
Oman Royal Navy and US Marine Corp. Other ST Engineering product under ST Marine project
are oil tanker vessel, large fishing vessel and cargo vessel. Under ST Aerospace product like
surveillance unman aircraft, aircraft seat and aircraft spare part. Under ST Electronics are ID
reader, radar surveillance system and satellite telecommunication system.

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CONTRACT AND ACHIEVEMENT

Contract that ST Engineering and subsidiaries are currently engaged

1. ST Kinetics have a contract with Brunei Royal Army to modernize Brunei Royal Army
2. ST Marine have a contract with Oman Royal Navy to build offshore petrol ship
3. ST Kinetics have a contract with US Army to build Terrex 2 APC for US Marine Corp
4. ST Aerospace have a contact of build Boing 747 and 777 spare part with Boing
5. ST Aerospace have a contact of build Airbus A320 spare part with Airbus
6. ST Aerospace have a contact to service all AirAsia plane Airbus A320 for 10 years

ST Engineering have many contract around the world including South America and European
Union.

ST Engineering Achievement since 2010

1. ST Aerospace develop spare part for Boing 747 and Airbus A320 aircraft
2. ST Aerospace have license to modified Airbus A330 into freighter aircraft
3. ST Electronic develop security system for airport usage all around the world
4. ST Marine have license to produce Frigate class naval ship from DCNS France
5. ST Marine have license to develop Corvette class naval ship from DCNS France
6. ST Kinetics have a contract to upgrade and develop all Brunei arm forces
7. ST Aerospace have 10 years’ contract of service and repair all AirAsia aircraft
8. ST Electronic and ST Aerospace have contract to upgrade all Singapore airport
9. ST Kinetics have a contract with US Army to build Terrex 2 APC for US Marine Corp

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ST ENGINEERING AWARD

Award that ST Engineering and its subsidiaries had won in year 2014

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23
CONCLUSION

ST Engineering is company that are based on Singapore but have make on global stage as one of
the main heavy industries company in the world. Even do ST Engineering main product are based
on weapon development due to Singapore government movement on reducing weapon import and
produce locally so that money on buying weapon can be reduce so that the money can be use on
other sector like health and education but still ST Engineering had focus on another sector like
telecommunication, electronics component that don’t involve military sector. The most advance
breakthrough is winning a contract with US Army to build Terrex 2 APC for US Marine Corp
which US known for technology in weapon development and General Dynamics is US most top
company in weapon development especially in tank and aircraft development. ST Engineering
now is focus on telecommunication sector and satellite telecommunication sector with the
breakthrough is when the company had built an costal satellite surveillance radar system that can
detect any unwanted ship movement like any pirate or terrorist ship try to land on any beach. The
new system can determine what kind of ship and how many people on board the ship by using
satellite system. The system is also being develop to detect tsunami or to detect forest burning in
South East Asia or anywhere in the world. ST Engineering had been nominate as one of the
powerful company in the world 2015 by Forbes.

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Milestone of ST Engineering

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VIDEO

Video of ST Engineering at Singapore Defense Show 2016

YouTube video link on ST Engineering product at Singapore Defense Show 2016 and ST
Engineering is one of the active weapon developer that go to any Asian defense exhibition. The
company will showcase the latest weapon system like light weight combat suit and latest combat
vehicle for potential buyer

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