eads report

74
[Texte] EADS BRANDING AND COMMUNICATION STRATEGY IN INDIA BUSINESSPROJECT IMBA 2010 ESC PAU/NATIONAL SCHOOL OF BUSINESS OF BANGALORE Julia Cibot, Aurore Mouly, Olivier Beauval, Simon Pairo, Sofia Biju, Kunalsingh Rajput, Maxime Badon

Upload: olivier-beauval

Post on 13-Apr-2017

157 views

Category:

Documents


2 download

TRANSCRIPT

Page 1: EADS  report

[Texte]

EADS BRANDING AND COMMUNICATION STRATEGY IN INDIA

BUSINESSPROJECT IMBA 2010 ESC PAU/NATIONAL SCHOOL OF BUSINESS OF BANGALORE

Julia Cibot, Aurore Mouly, Olivier Beauval, Simon Pairo, Sofia Biju, Kunalsingh Rajput, Maxime Badon

Page 2: EADS  report

1 EADS Business Project 2010 ESC Pau – NSB Bangalore

Table of content Thank You Note .......................................................................................................................... 2

Executive Summary .................................................................................................................... 3

Abstract ...................................................................................................................................... 5

Indian Market Context ............................................................................................................... 6

Methodology .............................................................................................................................. 7

Presentation of EADS and BOEING ............................................................................................. 9

AIRBUS India Branding and Communication Benchmarking ................................................... 17

EUROCOPTER Branding and Communication Benchmark in India .......................................... 28

CASSIDIAN & BOEING DEFENCE AND SECURITY Branding and Communication Benchmarking in India ...................................................................................................................................... 35

EADS Astrium and Boeing Defense Space and Security (BDS) Benchmarking Branding and Communication Activities in India............................................................................................ 49

Recommendations ................................................................................................................... 62

CONCLUSION ............................................................................................................................ 72

Page 3: EADS  report

2 EADS Business Project 2010 ESC Pau – NSB Bangalore

Thank You Note We would like to thank the Ecole Supérieure de Commerce de Pau (ESC PAU) and the

National School of Business of Bangalore for providing us the opportunity work on this Business Project for EADS India Pvt Ltd in Bangalore.

We would like to thank specially Pr. Marie Hélène ABBO, Pr. Dominique BOUET and all

the MBA collaborators from ESC PAU for their help and their implication in the organization of this business project.

We would like to thank Pr Shriddar Murthy,Director of National School of Business to

give the opportunity to conduct this project during our stay in Bangalore . On behalf of the team we would like to thanks Mr Nakkirane PARY The Director of EADS

India Bangalore Office. We would like to thank all the EADS division representatives who received us during our

interviews phase.

We would like to thank all the other person who has contributed directly or not to the success of our Business project.

Page 4: EADS  report

3 EADS Business Project 2010 ESC Pau – NSB Bangalore

Executive Summary Introduction In the frame of the IMBA program between ESC PAU and National School of Business Bangalore (NSB), we conducted a business project for EADS India in Bangalore for ten weeks from the 10th of August to the 28th of October. Our team is composed of seven members. Among them, two Indian students from NSB and five French students from ESC PAU. We worked for the EADS branch office in Bangalore. EADS is the European Aeronautic Defense and Space Company N.V. and their core business is about developing civil and military aircraft, communications systems, missiles, space rockets and satellites. EADS is the leader on his market and has a long history of collaboration with India. Our mission has been assigned by Mr. PARY Nakkirane, Director of EADS India Bangalore Office who asked us to analyze EADS Marketing strategy in India and to focus on EADS communication and branding strategy in India. Issue In Europe, EADS is very famous, but comparatively unknown in India. Why are they unknown? Moreover, EADS would like to attract and retain talents. Which recommendations can we suggest to EADS India to become more visible to the engineers, the future engineers, the young active people, rich people who may be interesting in buying Private Jets or Helicopters and the general audience? Objectives The goal of this business project is to suggest recommendations to EADS in order to help them to improve their communication strategy performance. Methodology The methodology is about the benchmark of the main competitor of EADS in the aerospace industry which is Boeing. Indeed, Boeing is well established in India, and the benchmark analysis started with the comparison of the official websites of both. In order to have feeling and perceptions about EADS communication strategy, we decided to interview the representatives of each division and Mr. Pary as well. We chose a qualitative questionnaire of 44 questions based on main topics coming from BOEING website such as Corporate Social Responsibility, Company, Research & Developm

Page 5: EADS  report

4 EADS Business Project 2010 ESC Pau – NSB Bangalore

Results The recommendations we could do to EADS after analysis are the following:

Build up a brand identity communicating on performance, success and citizenship

involvement.

Build up a page or a link in each division website dedicated to activities in India.

About the press strategy:

o Create press advertising inserts for each division

o Hire a ‘Press Attaché ‘ for EADS India

o Create internet advertising inserts for each division

o Improve EADS presence on Indian exhibitions

o Develop Corporate Social Responsibility

Page 6: EADS  report

5 EADS Business Project 2010 ESC Pau – NSB Bangalore

Abstract As students in the international MBA LINK program caution by IBM between the Ecole Supérieure de Commerce PAU (ESC PAU), France and the National School of Business, Bangalore in India, we have the opportunity to study in a multicultural environment class of twenty Indian and 20 French students. The aim of this IMBA is to provide to the student a global vision and understanding on the enterprise of the future based on strong pillars such as Leadership, Innovation, Network and knowledge (LINK). In India, we worked in collaboration with the EADS branch Office, located in Bangalore. EADS is a The European Aeronautic Defence and Space Company N.V. (EADS) is a large pan-European aerospace corporation which develops and markets civil and military aircraft, as well as communications systems, missiles, space rockets, satellites, and related systems. EADS is a leader on its market and has a long history with India. Ten years ago Aerospatiale, DASA or CASA were very famous in India but it seems that, after 10 years, EADS is not very known by the Indian public and the market. Regarding this issue, Mr PARY Nakkirane, Director of EADS India Bangalore Office assigned us to analyze EADS Marketing strategy in India focused on communication, branding .

Page 7: EADS  report

6 EADS Business Project 2010 ESC Pau – NSB Bangalore

Indian Market Context According to Sir Siva Govindasamy article from Flight International Magazine (Indian aerospace industry opens up ,01/03/10) “For EADS and BOEING, India is a very strategic market for aerospace, Because of there is a huge demand from Indian Ministry of defense and the growth of Indian air travel industry. India is also a strategic location because of the geographical proximity with major markets in East Asia, the Middle East and Europe remains a strategic location to access neighbor markets. . According to Siva Govindasamy "India has the potential to service not just Indian aircraft, but also those from neighboring regions," This growth of the Indian aerospace sector has help India economy to get investment from international aerospace companies to India. Regarding the forecast of growth of air travel, the demand of commercial aircraft will grow for the coming years and will contribute to the development of support and services activities like maintenance facilities in the country . The Indian Government affirmed that aerospace will be one of the pillars of the growth of India's manufacturing industry. But numerous challenges need to be matched on the one hand, about the legal aspects regarding Indian firms and their foreign partners. The central and state government has to provide transparency in policy. On the other hand, infrastructure is another issue for India that will need to have the adequate infrastructure to keep up with India's economic growth of the last decade. To sum up this article, there is a huge potential for future growth of the Aerospace industry in India because of the expansion of air travel, both domestically and internationally. About the perspectives of development in India market, there is more positive than negative and the forecast for long-term growth will be important in the coming years. Source: www.flightglobal.com , Sir Siva Govindasamy ,Flight International Magazine (Indian aerospace industry opens up ,01/03/10

Page 8: EADS  report

7 EADS Business Project 2010 ESC Pau – NSB Bangalore

Methodology For the methodology of our business project, we decided to Benchmark BOEING branding and communication strategy in India, in order to identify BOEING best ideas and apply them to EADS. The reason why we selected BOEING it’s because BOEING is EADS major competitor in the aerospace industry. Our benchmark analysis was based on analysis of both EADS and BOEING websites to identify their communication and to complete our research; we interviewed all the representative of each division of EADS including Mr PARY Nakkirane, Director of EADS India Bangalore Office to have information about their feelings and perception of the communication strategy of EADS in India. These interviews were based on five qualitative questionnaire of 44 questions based on main topics coming from BOEING website such as Corporate Social Responsibility, Company ,Research & Development, Careers opportunities ,Business activities and Customer relationship. Benchmarking Practices Benchmarking according to an IBM executive " . . . the ongoing activity of comparing one's own process, product, or service against the best-known similar activity, so that challenging but attainable goals can be set and a realistic course of action implemented to efficiently become and remain best of the best.” “Benchmarking isn't just about data—culture and circumstances must be taken into account when you view the results” from Harvard Business Review article. Benchmarking works well when the process being benchmarked is essentially the same at the multiple units (either internal or external) participating in the exercise. Benchmarking is not informative when it is used to compare fundamentally different processes or products. In this project, we try to benchmark the branding and communication activities of EADS Astrium against Boeing. This gives and insight as to find out where EADS stands with respect to various activities , its efficiency and competiveness, which of them are best practiced, which are different , which can be improved, and give recommendations wherever applicable. Branding Process and Advantages The power of a brand resides in the mind of the customer. What the customer has seen, felt, learned and heard about the brand over time determines the brand value.

Page 9: EADS  report

8 EADS Business Project 2010 ESC Pau – NSB Bangalore

The below picture is taken from Kotler’s book ‘B2B BRAND’. This shows the sequence of brand building process.

“Only solid brand knowledge can create powerful leaders today unlike before when it used to be by luck. Brands require Clarity, Consistency and Leadership, Authenticity and Positive guidance from top management and contribution.”(Kotler’s B2B Brand). The measures of these five factors determine the strength of the brands. So where a brand stands w.r.t. these requirements, indicate, as to how well established the brand is. These 5 ingredients are in fact, an outcome of the careful execution of the activities related to branding and communication. Hence the activities are at the core of brand building. Before we consider these activities lets shortly take a look at the branding advantages and steps of brand building. Steps of Brand Building Brand Identity: Ensure identification of the brand in customer’s mind with a specific product, class or customer need. Brand Meaning: Establishing brand meaning in the minds of the customer by strategically linking a host of tangible and intangible brand associations. Brand Response : Elicit proper customers responses to brand identity and brand meaning Brand Relationship: Convert brand response to create an intense, active loyalty relationship between customers and brand. Advantages of building a strong brand Customer Loyality Less vulnerability to competitive marketing actions and marketing crisis Larger margins Favourable customer response to price variations Greater intermediatary support Increased marketing communication effectiveness Better licensing and brand-extension opportunities

Page 10: EADS  report

9 EADS Business Project 2010 ESC Pau – NSB Bangalore

Presentation of EADS and BOEING Global India

History Founded in july 2000

by merger of Aerospatiale Matra DASA (DaimlerChrysler

Aerospace AG) CASA( Construcciones

Aeronauticas SA).

Facts: CEO: Louis Gallois 120,000 employees Total revenue(2009):

43 billion €($60 billion)

EADS Today EADS operates in 48

Countries 10 year anniversary ( July

2010)

History Presence in India since

1960.

Facts: CEO: Yves GUILLAUME 300 employees Revenue: 3 billion € Customers: kingfisher Airlines Air India Jet Airways Air Deccan Indigo Airlines GoAir Indian Government Indian Ministry of

Defence other private companies

EADS India Today

N°1 in India 60-70% of market share(From order)

Airbus engineering center

Airbus Training Center

EADS Research & Technology center

Cassidian engineering center

Cooperation with engineering IISc

Page 11: EADS  report

10 EADS Business Project 2010 ESC Pau – NSB Bangalore

History Founded in 1916 in

Washington state Producer of military and

commercial aircraft Facts: CEO: W. James (Jim)

McNerney

158,000 employees Customers in 90

countries

Total revenue(2009): $68.3 billion

22,000 suppliers in the world

Research, design and

technology-development centers and programs all over the world

Boeing Today

Design, assemble and support commercial aircaft, defense systems,

satellites and launch vehicles networking

technology

History 60 years of strong

partnership in India.

Facts: Dr. Dinesh A. Keskar

President of Boeing India and Vice President of Boeing International

employees

Customers

Air India (since1960) Air India Express

Spice Jet,

Jet Airways,

Blue Dart Aviation.

Government of India

Total revenue(2009):

Boeing India Today Boeing Research and

Technology center in Bangalore (March 2009)

Industry Partnerships With companies, : HCL, Infosys, Wipro and Tata Consultancy Services (TCS)Hindustan Aeronautics Ltd (HAL)1991,Tata

Research partnership : The Indian Institute

of Science (IISc), Bengaluru.

Indian Institute of

Page 12: EADS  report

11 EADS Business Project 2010 ESC Pau – NSB Bangalore

Technology in Chennai, Kanpur, Kharagpur and Mumbai

Sources: www.Boeing.com; www.EADS.com, EADS Annual Report 2009, Boeing Current Market Outlook 2010-2029.

EADS & BOEING divisions’ organizations

BOEING Communication strategy As we have illustrate above BOEING is a company with two main divisions under the name of BOEING. It is a brand in itself as a group. Every division is named BOEING, either BOEING Commercial Airplanes or BOEING Defense and Security. They sell all their products under that brand and under the same logo. While collecting our data, we have noticed that BOEING is very ‘digital communication’ oriented. The company uses a lot the electronic communication means to deliver its messages. Their website is very complete and we have found a huge amount of information regarding their activities, products, services… but also, about their communication, their events, their plans…etc. They manage to deliver messages regarding BOEING image and reputation as a company.

Page 13: EADS  report

12 EADS Business Project 2010 ESC Pau – NSB Bangalore

In April 2010, they also launched three Twitter accounts and had a major website redesign. Indeed, BOEING seems to take the community networks as a very important way to communicate. “We wanted to create a reputational enhancement strategy that will better the opinion of Boeing amongst other audiences such as future employees and the general public” has explained the Boeing Communication Director, Todd Blecher. In their new website they focus on the people and customers of Boeing rather than just the technology it produces, by spreading stories telling by people from both Commercial Airplanes and Defense divisions. It is giving a better image, more “human” than the older one which was kind of cold, only communicating on the usual corporate aspects. We have also noticed that, after electronic communication technique, Boeing used very frequently the institutional communication. That way, the company promotes its ideas and political opinions. For example, in 2002, they launched an advertizing saying “Together we soar- we never underestimate the value of a good thought”, in order to promote the fact that Boeing wants to work with small, minority and women owned businesses; and enjoys working together with everyone. In a lesser extent, Boeing also used specialized press to communicate. It permits them to promote their products to their customers and mass market. EADS communication strategy EADS recently changed its visual identity. It was a will to reinforce the brand. With the group, all the divisions changed their logo. They adopted a new font and a characteristic logo. This change is a result of the company’s will to ban any national representation and get a trans-national identity.

As explained in the EADS website press release: “EADS is strengthening its branding; the Group logo has been modernized, and the new branding scheme better integrates and enhances the individual Division brands.

“This brand renovation embodies exactly the spirit of Vision 2020, our strategy for EADS’ next ten years: reinforce each of the four Divisions, give them the visibility they need to market their business and at the same time materialize the strength and unity of the Group,” said Louis Gallois, CEO of EADS.

The brand architecture has been revised for better integration within a common visual identity for the entire EADS Group. As the umbrella brand, EADS reinforces the four Divisions: Airbus, Eurocopter and Astrium, whose existing logo and image have been modernized; “Cassidian”, the newly named Division which previously operated as Defense & Security, introduces a new identity within this scheme. This new brand architecture and the consistent corporate image clearly illustrate the progress EADS has jointly made in bringing the Group together. The new identity will be progressively implemented across the Group from today.

Page 14: EADS  report

13 EADS Business Project 2010 ESC Pau – NSB Bangalore

Compared to Boeing, EADS does not use the institutional communication a lot. It seems that the company uses its corporate website as its main means of communication. Indeed, we have seen that EADS does not have any presence on community networks, meaning any official page, profile or account on Twitter, Facebook or LinkedIn; which are global community network with a huge potential of communication. EADS and BOEING brand identity According to the India’s leading MBA community portal: “The notion of the brand image focuses too much on brand appearance and not enough on brand essence. The identity concept is crucial for three reasons; brand needs to be durable, to send out coherent signs and to be realistic. According to J. Kapferer, brand identity could be de-fined by answering the following questions: - What is the aim and individual vision of a brand? - What makes a brand distinguished? - How satisfaction could be achieved? - What is brand’s equity? - What are brand competence, validity and legitimacy? - What are the features of its recognition? It could be claimed that the conception of brand identity includes the uniqueness, meaning, aim, values, and personality and provides a possibility to position the brand better, and, thus, achieve the competitive advantage.

Let’s have a reminder of what are the 6 facets: 1. Physical Facet: A brand has physical qualities. It is made up of a combination of either salient objective features or emerging ones. The brands physical characters are both the backbone and its tangible added value. 2. Personality: A brand has a personality of its own. By communicating, it gradually builds up the character. The way in which it speaks of its products or services shows what kind of person it would be

Page 15: EADS  report

14 EADS Business Project 2010 ESC Pau – NSB Bangalore

if it were human being. This is also called the personification of the brand and this helps in the instant product alignment with the target customers. 3. Culture: The brand has its own culture, from which every product derives. The product is not only a concrete representation of this culture, but also a means of communication. Here the culture means a set of values feeding the brand's inspiration. The cultural facets refer to the basic principles governing the brand in its outward signs like products and communication. This essential aspect is at the core of the brand. 4. Relationship: Brands are often at the crux of transactions and exchanges between people. This is particularly true of brands in the service sector and also in retails. Service is by definition is a relationship. 5. Reflection: Reflection is basically what the target customer thinks and perceives the product to be. This also helps to understand the utility derived by the customer. The process of reflection helps to understand the tacit or unexpressed desires by the consumers. The reflection is a strong factor for a good and strong brand image. That is the reason why the companies should control the reflection and should try to make it better. 6. Self image: A brand speaks of our self image. If the reflection is directed towards the external customers then the self image is directed towards the internal customers. Through our attitude towards certain brands, we indeed develop a certain type of inner relationship with ourselves and the brand image that we want to project. Thus this is of importance as is reflects what's the organization and its attitude are towards the product and the brand as a whole.” It appears that the identity of the brand is very important to know how the brand is perceived. We tried to adapt the Kapferrer brand identity prism to EADS Company and to BOEING. It is going to help us to understand what kind of aspects and messages those companies deliver.

Page 16: EADS  report

15 EADS Business Project 2010 ESC Pau – NSB Bangalore

EADS identity prism

PHYSICAL PERSONALIT

RELATIONSHI

REFLECTION SELF IMAGE

CULTURE

Requiring Ethical Responsible

attitude Organized

European Tradition

al Diversity Innovatio

n &

Driven by innovation & technology interest

Sucessful Open Minded

Pioneering

Eco Efficient

Grey / Blue

Metal / Sky

Trust Complian

ce Reliability

Page 17: EADS  report

16 EADS Business Project 2010 ESC Pau – NSB Bangalore

PHYSICAL PERSONALIT

RELATIONSHI

REFLECTION SELF IMAGE

CULTURE

Ethical Environment

respectful Willing to help /

interactive

American

Traditional

Performance

Results oriented Suopporting

worthy causes

EcoFriendly

Sustainable

Volunteer

Blue Globe

Trust –Compliance

Reliability Sympathy-

Support

BOEING identity prism

Thanks to that tool, we have seen that:

- EADS seems to be seen as a company which is driven by innovation and excellence. Healthy firm which contributes to the economic development and very compliant.

- BOEING seems to be seen as a company which is driven by performance and especially financial results. It is also a firm which seems to be very willing to help its employees and families, worthy causes; and very eco-friendly.

As our study is based on Boeing benchmarking, we chose to compare communication strategies each EADS division with the equivalent activities for Boeing (Airbus/Boeing Commercial Airplanes, Cassidian/Boeing DS…) in the following part.

Page 18: EADS  report

17 EADS Business Project 2010 ESC Pau – NSB Bangalore

AIRBUS India Branding and Communication Benchmarking Introduction – Airbus / Boeing Commercial presentation Airbus is EADS commercial aircraft division of EADS which represents 49.6% of revenues of the EADS Group. As described on its website (www.airbus.com) “Airbus”, an EADS Company, is a worldwide leader in civil and military aircraft manufacturing for two years and has customers around the globe.

In 2009, Airbus– with around 52000 employees worldwide – achieved revenues of € 45.4 billion (US$

62, 53). It is the largest division within the EADS Group.”

Airbus provides major airlines in the world a portfolio wide body and single-aisle aircraft. In October

2010, Airbus has 6074 airplanes from jetliner to freighter in service, with total order of 9840 and a

total of deliveries of 6378 airplanes.

Boeing Commercial Airplanes is a business unit Boeing Company which provides airplane models to

airline companies in more than 90 countries. This business unit represents 49.6% of Boeing total

revenues in 2009. Boeing Commercial Airplanes is described on their website (www.boeing.com).

In 2009, Boeing with around 60,000 people worldwide achieved revenues of $34 billion. Boeing

portfolio is composed of mid-range and long range aircraft including jetliners and cargo freighters.”

Today Boeing has more than 12,000 Boeing commercial jetliners in service in the world. Boeing

Commercial Airplanes operates in twelve countries.

The global civil aircraft context:

The market of air transportation is a growing market. According to analyst, in the coming 20 years the number of passenger is supposed to grow by 4.7% per year and the freight air transport will reach 5.2% per year.

This growth will contribute to create 50 millions of jobs in the world due to the development of airport infrastructure in the world.

The rapid growth of air travel in the world’s emerging country will contribute to stabilize the demand for airplanes in the world. The growth of civil aircraft will be driven by the tourism industry in developing countries where new middle class has more buying power and can now travel around the globe. As a result this increase of air travel will directly benefit to aircraft manufacturer which will find opportunities. But, about the forecast the air transportation will continue to grow

Page 19: EADS  report

18 EADS Business Project 2010 ESC Pau – NSB Bangalore

because people can travel faster and air transportation will contribute for the world GDP to grow to US$3.6 trillion by 2026.

Source: Boeing Current Market Outlook 2009-2028. The Indian civil aircraft market According to The Indian civil aircraft market, is a very fast growing sector driven by Travel and tourism. According to Boeing Current Market Outlook 2009-2028 "the Indian civil aircraft market will be driven by Travel and tourism industry”. Indeed, air travel will play a major role in the Indian economy. The growth will come from the new strong Indian middle class which will represent 600 million people in 2025.This category of the population will contribute to the growth of the airlines over the next 20 years. This will change the trends of Indian transportation. Indian regional airlines are a booming market .They, will offer to millions of Indians passengers a substitute from rail transportation. In terms of infrastructure India has 80 airports and about seven international gateways. India will need to develop adequate infrastructure to keep up with India's economic growth of the last decade.” Airbus and BOEING Commercial airplanes activities in India. Boeing Commercial airplanes According to Boeing Civil Aircraft website,”Boeing has a close relationship with India for 60 years. Air India is a Boeing Commercial Airplanes customer since 1960.

3,100%

3,200%

4,100%

4,900%

5,400%

Worldeconomy…

Airplanefleet

Number ofpassengers

Airline traffic

Cargo traffic

Market growth rates

Page 20: EADS  report

19 EADS Business Project 2010 ESC Pau – NSB Bangalore

Boeing commercial aircrafts are operated by Air India, Jet Airways and Spice Jet. These Indian airlines continue to tie the relation with the American Aircraft manufacturer by extended their fleet and the Indian Ministry of Defense.

In 2006, Boeing and Air India signed an order agreement for 68 Boeing commercial jets, the single largest commercial airplane order in India’s civil aviation history, with a value of more than $11 billion at list prices.

Boeing’s 2010, Current Market Outlook for India forecasts that the Indian aviation market will require 1150 commercial jets valued at approximately $130 billion over the next 20 years , a market representing more than four percent of Boeing Commercial Airplanes’ worldwide forecast.”

Airbus

According the latest press release in September 2010 in Bangalore, for Airbus,” India is one of the fastest growing markets in the world with a predicted annual increase in aviation traffic of above seven per cent up to 2028.

The impressive growth figures are primarily being driven by a huge expanding middle class coupled with renewed economic confidence.

Yet the sector still has some way to go before it reaches the levels seen in mature aviation markets such as the US, Australia and Europe.

Even so, by 2028, Airbus estimates that Indian carriers will need some 1000 new aircraft including over 60 the size of A380s, to meet passenger and freight demand.

India has around 80 airports and about seven international gateways, which includes Delhi, Mumbai, Kolkata, Chennai, Bangalore, Pune and Hyderabad. These entire airport will be A380 compatible.

The emerging gateways include Jaipur, Amritsar, Guwahati, Nagpur and Kochi. Airbus has fostered aviation partnership in India since the first aircraft, an A300B2 was delivered to Air India some 35 years ago in 1974.

Today, that partnership has grown to around 70 per cent of all commercial aircraft in the country. Airbus aircraft are today part of the fleet of all major Indian carriers including Air India, Kingfisher Airlines, Jet Airways, Go Air and Indigo Airlines. Note-able aircraft orders include 43 A320 Family aircraft from Air India, 100 A320s from Indigo Airlines, A350s and A380s from Kingfisher and A330s from Jet Airways.”

Source: Airbus India Press Release September 2010, Bangalore, India.

Page 21: EADS  report

20 EADS Business Project 2010 ESC Pau – NSB Bangalore

Envi

ron

men

tIn

dia

Bio

-Div

ersi

ty P

rogr

amm

e, A

irb

us

Co

rpo

rate

Fo

un

dat

ion

com

mit

ted

to

pro

tect

ing

the

glo

bal

eco

-

syst

em

Co

mm

un

ity

Gre

en

wav

e, A

irb

us

Co

rpo

rate

Fu

nd

atio

na

resp

on

sib

le b

usi

nes

s

com

mit

ted

to

co

mm

un

itie

s

Cu

ltu

res

Cre

ate

th

e b

est

and

th

e sa

fest

air

craf

t"O

ne

Par

ten

ersh

ip. E

nd

less

op

po

tun

itie

s."

Val

ues

Exce

llen

ce a

nd

Inn

ova

tio

n, "

No

thin

g is

take

n f

or

gran

ted

"

A D

iver

se a

nd

Inv

olv

ed T

eam

Go

od

Co

rpo

rate

Cit

izen

ship

Div

ersi

ty8

0 n

atio

nal

itie

s, 5

2.0

00

em

plo

yee

s,

com

bin

atio

n o

f d

iver

se b

ackg

rou

nd

70

nat

ion

alit

ies,

bu

sin

ess

par

tner

s an

d

com

mu

nit

y re

lati

on

ship

s

Inn

ova

tio

n4

0 y

ears

of

inn

ova

tio

n, I

nno

vati

on

= A

irb

us

DN

Ale

ad

ersh

ip in

res

earc

h a

nd

tec

hn

olo

gy

Un

iver

sity

rel

atio

ns

Pro

ject

s w

ith

Ind

ian

un

iver

siti

es a

nd

lab

ora

tori

es

6 u

niv

ersi

ties

.th

e In

dia

n I

nsti

tute

of

Tech

no

logy

(C

hen

nai

), I

ndia

n I

nsti

tute

of

Tech

no

logy

(K

anp

ur)

,

Job

Each

em

plo

yee

s m

ake

a d

iffe

ren

ce.

Engi

nee

rin

g jo

b o

pp

ort

un

itie

s

Peo

ple

are

Bo

ein

g’s

mo

st v

ital

ass

et. T

alen

t

hu

nti

ng

Inte

rnsh

ipA

pp

ren

tice

ship

s, c

om

bin

ing

wit

h t

heo

reti

cal

stu

dy

Bo

ein

g e

mp

ow

er n

ew g

ener

atio

ns

of

dre

am

ers

Un

iver

sity

rel

atio

ns

app

ren

tice

ship

s, c

om

bin

ing

wit

h t

heo

reti

cal

stu

dy

enh

ance

un

der

grad

uat

e cu

rric

ula

, su

pp

ort

con

tin

uin

g ed

uca

tio

n o

f B

oei

ng

emp

loye

es,

recr

uit

fo

r in

tern

ship

s an

d e

mp

loym

ent

Div

isio

ns

Pla

nes

sel

ling.

Su

pp

ort

ser

vice

s->

cost

un

itP

lan

es s

ellin

g. S

up

po

rt s

ervi

ces

-> p

rofi

t

un

it

Pro

du

ct p

ort

ofo

lio4

fam

ilies

wit

h t

he

A3

80

sta

r p

rod

uct

Bo

ein

g 7

37

/74

7/7

67

/77

7 &

th

eir

new

78

7

Dre

am

liner

Med

iaN

o lo

ng-

term

co

mm

un

icat

ion

Pre

ss r

eale

ase

an

d a

rtic

les

in n

ews

pap

er/

Ad

vert

izin

g in

Air

po

rt

Ad

vert

isin

gN

o lo

ng-

term

co

mm

un

icat

ion

, Kin

gfis

her

rela

tio

nsh

ip

"Ou

r ad

vert

isin

g ca

mp

aign

s cl

ose

th

e g

ap

be

twe

en

cu

rre

nt

pe

rce

pti

on

s o

f B

oe

ing

and

ou

r tr

ue

sco

pe

as

a gl

ob

al a

ero

spac

e c

om

pan

y"

Even

tsId

erab

ad A

ir S

ho

wA

ero

Ind

ia /

Hyd

erab

ad A

irsh

ow

Go

vern

men

t

Op

erat

ion

sA

irb

us

Ind

ia S

afet

y P

lan

Stat

e o

wn

ed A

irlin

e: A

ir I

ndia

Bo

th c

om

pan

ies

hav

e ac

tivi

ties

wit

h N

GO

s an

d h

ave

char

ts t

o h

elp

Ind

ia a

nd

at

the

sam

e ti

me

to h

ave

the

bes

t in

tern

al e

mp

loye

e

po

licy.

Bu

t w

hat

we

no

tice

d w

ith

ou

r st

ud

y is

th

at, t

od

ay, B

oei

ng

is

do

ing

mo

re a

ctiv

itie

s an

d m

akin

g m

ore

co

mm

un

icat

ion

th

an A

irb

us

Air

biu

s an

d B

oei

ng

has

th

e sa

me

cust

om

ers

and

par

tner

ship

s, b

ut

they

hav

e d

iffe

ren

t cu

ltu

re a

nd

dif

fere

nt

way

s to

co

mm

un

icat

e

abo

ut

it. A

irb

us

just

giv

e it

s gl

ob

al v

isio

n, c

on

trar

y to

Bo

ein

g w

hic

h

dev

elo

p it

fo

r th

e In

dia

n m

arke

t, t

hey

dve

lop

a s

pec

ific

slo

gan

fo

r

Ind

ia

Inn

ova

tio

n is

a c

riti

c is

sue

in t

his

ind

ust

ry, a

nd

bo

th f

irm

s w

ork

har

d

on

th

is t

op

ic, b

ut

they

hav

e a

dif

fere

nt

visi

on

, Bo

ein

g ai

ms

is t

o

bec

om

e th

e le

ad

er in

Res

earc

h a

nd

Tec

hn

olo

gy, a

nd

fo

r A

irb

us

it’s

no

t an

ob

ject

ive,

it’

s a

way

of

wo

rkin

g

Bo

ein

g an

d A

irb

us

nee

d t

o f

ind

new

en

gin

eers

, new

man

ager

s,

bec

ause

th

eir

mar

ket

is g

row

ing,

esp

ecia

lly in

dev

elo

pin

g co

un

trie

s

like

Ind

ia. B

oth

co

mp

anie

s h

ave

care

er

op

po

rtu

nit

y al

l ove

r th

e

wo

rld

, bu

t B

oei

ng

has

a s

pec

ific

web

site

pag

e fo

r In

dia

n jo

b

op

po

rtu

nit

ies,

in w

hic

h it

ap

pea

rs s

om

e jo

b o

ffer

like

BC

A B

usi

nes

s

dev

elo

pm

ent

Dir

ecto

r in

Ind

ia.

Tho

se c

om

pan

ies

hav

e t

he

sam

e t

ype

of

pro

du

ct, e

xce

pt

the

A38

0 an

d

the

787

dre

amli

ne

r, w

hic

h a

re p

rod

uct

wit

h c

om

ple

tely

dif

fere

nt

stra

tegy

. Bo

th c

om

pan

ies

com

mu

nic

ate

ab

ou

t th

eir

pro

du

ct a

nd

esp

eci

ally

ab

ou

t th

eir

last

inn

ova

tio

n. A

irb

us

as a

str

on

g ad

van

tage

,

wit

h it

s cu

sto

me

r K

ingf

ish

er,

wh

ich

is, l

ike

an

d A

irb

us

sho

wro

om

, bu

t

the

re n

ot

com

mu

nic

atin

g ab

ou

t it

.

Co

rpo

rate

So

cial

Re

spo

nsa

bili

ty

Co

mp

any

Re

sear

ch &

De

velo

pm

en

t

Car

ee

rs

op

po

rtu

nit

ies

Bu

sin

ess

act

ivit

ies

Cu

sto

me

r

rela

tio

nsh

ip

Bo

ein

g is

mu

ch m

ore

pre

sen

t th

an A

irb

us

in n

ewsp

aper

or

on

Ind

ian

spec

ializ

ed w

ebsi

te.

They

dev

elo

p a

glo

bal

ind

ian

co

mm

un

icat

ion

thro

w t

he

Inte

rnet

, th

e tr

adit

ion

nal

med

ia a

nd

th

ere

are

pre

sen

t o

n

each

maj

or

Even

ts. A

irb

us

has

no

sp

ecif

ic in

dia

n c

om

mu

nic

atio

n,

and

mo

re n

o c

om

mu

nic

atio

n in

Ind

ia. T

hey

are

pre

sen

t in

so

me

even

ts, b

ut

Bo

ein

g st

and

ou

t. F

urt

her

mo

re b

oei

ng

has

a lo

ng

term

rela

tio

nsh

ip w

ith

th

e in

dia

n g

ove

rnm

ent

An

alys

is

CIV

ILA

IRC

RA

FT C

OM

MU

NIC

ATI

ON

FR

AM

EWO

RK

Table – Framework.

Page 22: EADS  report

21 EADS Business Project 2010 ESC Pau – NSB Bangalore

Analysis and comments

Corporate social responsibility

In our days, corporate social responsibility is a serious challenge, and more especially in occidental

countries.

Boeing is deeply committed to protecting the global eco-system. As a technology leader, the

company continues to pioneer environmentally progressive products and services.

Boeing is also working with its suppliers and customers around the world to address environmental

concerns. Boeing gave its company the obligation to improve the quality of life for the communities

in which they operate.

Boeing has contributed and continues to support various health and human services in India like the

Save the Children India (STCI) program. This organization works towards the empowerment of

unprivileged women and children, through its health, vocational training and education programs.

Several thousand children have benefited from the comprehensive school program run by STCI.

Boeing helps other programs like Mobile Crèches or AIDS Health care Foundation (AHF) India.

Since 40 years Airbus has adhered to its philosophy of increasing the number of passengers (or

amount of freight) per flight, while reducing overall energy consumption and perceived noise. This

philosophy is written in the Airbus vision, so it is a real important issue for this company.

Airbus developed different product and system to reduce energy consumption, for their planes but

also for their company functioning over forty years and it is still a priority in the innovation process.

European aircraft manufacturer created a programme to find alternative fuel and process to recycle

planes.

Today with Pamela (Process for advanced management of end of life of aircraft) programme Airbus

can recycle 80% of their plane, after 30 years of utilisation. Airbus Corporate Foundation is working

with Indian NGOs, in order to improve the Indian standard of living, with different initiatives like the

Bio-Diversity Programme. Airbus brings volunteer employees from all sites around the world to build

ovens in rural Indian communities that use waste for fuel instead of firewood.

Both companies have activities with NGOs and have charts to help India and at the same time to

have the best internal employee policy. But what we noticed with our study is that, today, Boeing is

doing more activities and making more communication about this policy throw Internet, news-

papers and Airbus have just a global communication, but it not speaking about their activities in

India.

Company

Boeing philosophy is that they design and built the earliest biplanes and today they are creating and

supporting today's supersonic aircraft and spacecraft but and Boeing still working, because they think

Page 23: EADS  report

22 EADS Business Project 2010 ESC Pau – NSB Bangalore

that a company of their size and scope “doesn't succeed by resting on its laurels; they are constantly

re-examining their capabilities and processes to ensure that the company is as strong and vital as

their heritage.”

Boeing culture is a mirror of the heritage of aviation itself, built on a foundation of innovation,

aspiration and imagination.

Boeing as a set of core values, and employees have to follow them, because they are guideposts to

help the company to become like they would like to be. Diversity and inclusion are part of Boeing's

values at the highest level.

Having diverse employees, business partners and community relationships is vital, for Boeing to

create advanced aerospace products and services for diverse company’s customers around the

world.

The company's commitment to diversity means providing a work environment for all employees that

is welcoming, respectful and engaging, with opportunities for personal and professional

development. This in turn increases productivity, quality, creativity and innovation.

Airbus promotes values of excellence and innovation among its culturally-diverse employees and

considers its customers, contractors and suppliers to be partners working in the interests of safety,

quality and performance.

Airbus develops a new aircraft, like the A380, only in response to market needs and in close

consultation with airlines and operators, suppliers and aviation authorities. The company's

philosophy is always to listen to its customers and to maintain its vision: “Nothing is taken for

granted.”

Airbus takes pride in the diversity of its employees, and values the special experience and expertise

that come from more than 80 nationalities represented among its 52,000 employees.

Diversity is the essence of Airbus. With its global presence growing Airbus is now an even bigger

international family. For an Airbus employee it is usual to work side by side with people from another

country.

Boeing and Airbus are both leader of the world aerospace market, and they’re dealing with same

customers and same stakeholder, so they have same objectives, even if they have different solutions.

Airbus has a good global online communication about those topics, but it seems to be really

impersonal and they didn’t develop those philosophies and this company culture in India, or they are

not communicating about it.

Boeing has the same king of culture, but they express it in a different way. They develop their culture

about India and with Indian examples. They developed also a news-paper communication about their

culture and the way their working. On global website of both companies, it is possible to find the

Page 24: EADS  report

23 EADS Business Project 2010 ESC Pau – NSB Bangalore

same information about company culture and diversity, but Boeing has a special part for India, in

opposition to Airbus, which has only a global part, with none Indian example.

Research and development

Boeing wants to be the leader in research and technology and they are investing in R&D all over the

world Boeing had some magazine ads in India about innovation in the company.

At the same time they want to invest in university partnerships to leverage and enhance India’s and

global aerospace capability and skill. With those partnership, Boeing can has they say leverage Indian

engineers skills but also it’s a way to promote their company to students that will work for Boeing

customer and partnership.

This sponsorship permits in another way to find employees and to find talents to rent.

For example in 2005, Boeing entered a research partnership with the Indian Institute of Science

(IISc), Bengaluru. The Boeing-IISc partnership focuses on research in nanotechnologies, structural

alloys, composites, smart materials and structures, process modelling and simulation, manufacturing

technologies, prototyping through substructure fabrication and testing.

Boeing has also reached out to four other Indian universities to explore opportunities in research and

development. These universities are the Indian Institute of Technology (Chennai), Indian Institute of

Technology (Kanpur), Indian Institute of Technology (Kharagpur) and Indian Institute of Technology

(Mumbai).

Innovation is not just an objective for Airbus; it’s in the philosophy of the company. Innovation is

implemented in every part of the company.

Over the past 40 years, Airbus has played a key role in the international air transport industry’s

evolution. They improve plane but also manufacturing techniques, they develop global cooperation,

and reduce aviation’s environmental impact.

For Airbus innovations are not only for profit, it’s a way to give the best answer to customer

expectations and to help employee to do their job in a more comfortable and efficient way. Work

worldwide with the best university, not really implanted in India. Aerospace School Bangalore, Airbus

help. Fly your ideas by Airbus.

Airbus Company is working worldwide with the best universities in order to promote their company

and to have another point of view about their problems. But today in India Airbus is not really

implanted in big engineering university. They are starting the project in India, with universities in

biggest Indian cities, but there is no public communication about it except the 12th Friday, 2010, with

a press conference in Bangalore of Thomas Enders.

Innovation is a critic issue in this industry, and both firms work hard on this topic, but they have a

different vision, Boeing aims is to become the leader in Research and Technology, and for Airbus it’s

Page 25: EADS  report

24 EADS Business Project 2010 ESC Pau – NSB Bangalore

not an objective, it’s a way of working. Boeing communicate throw its global website, and also on the

Indian one. It also develops a newspaper campaign about innovation. Airbus has just communication

on its global website, and in the Indian article, Airbus speak about research project in India, but

without highlight.

India is today engineer’s factory, and those companies need to find new engineers to develop their

activities in India and all over the world. Boeing started working with famous Indian university early,

and today can develop programs with those colleges. Airbus just starts its partnership with Indian

university. Boeing explains those programs on its website, but there is no communication about

university partnership for Airbus.

Career opportunity

“People are Boeing’s most vital asset”; this sentence is the best summary of Boeing vision of their

employees. Boeing believes that the individual and collective contributions of employees are

essential to the success of the Company.

“At Boeing, we’ll give you the resources and vision to go farther, faster”. The company always want

to be the first, want to go forward in innovation, so they need new employees, to bring new ideas,

new solutions and at the same time new questions in order to keep employees’ reflexion aware.

On Indian Boeing web site, a page gives some information of job people can apply for. Boeing as

Airbus is making promotion in news-papers in employment pages, in order to reach all talents.

Boeing trusts that one talent can leverage all the company, so their working deeply with university,

and in parallel with its research activities, Boeing promotes its company in Indian university to

employ talent when they are graduate.

Airbus wants to have different type of employees, coming from different countries, with different

background, in order to create an exchange between all their employees. It’s, for them, the best way

to create new ideas, new solutions and to have new expertise about Company’s issues. Airbus is a

community, a group with the same goal, but they know that new employees can help, and the

company give a chance whether you are an experienced professional, new graduate, student or

school leaver.

Airbus is one of the world’s leading aircraft manufacturers; Airbus believes it has a vital role to play in

informing and inspiring young people about these industries and about this company. Airbus

proposes paid apprenticeships for student and for new graduate, combining theoretical study with

extensive on-the-job training.

They organise tours of their manufacturing sites and regularly visit schools and colleges to give talks

and advice. For those wanting to gain a more in-depth understanding and they are running different

programmes designed to meet national curriculum requirements.

Page 26: EADS  report

25 EADS Business Project 2010 ESC Pau – NSB Bangalore

This policy is true for Europe, but in India, with few employees, there are less job opportunities and

even no internship for Indian engineers or managers. Airbus has communication in news-papers to

find new employees.

Boeing and Airbus need to find new engineers, new managers, because their market is growing,

especially in developing countries like India. Today, India is the engineering country, with each year

260 000 new engineers. Those companies have to develop their communication in India to reach this

talent pool of engineers and to develop their activities.

Both companies have career opportunity all over the world, but Boeing has a specific website page

for Indian job opportunities, in which it appears some job offer like BCA Business development

Director in India.

Business activities

Current Market Outlook for India forecasts that the Indian aviation market will require 1150

commercial jets valued at approximately $130 billion over the next 20 years.

For Boeing, we find lots of similitude, with same type of activities. They have five families of plane

which start at 100 seats with the 737 to 500 seats with the 787 Dreamliner. Between we find the 747,

the 767 and the 777. Those planes are direct concurrent to Airbus families. The 787 Dreamliner is the

last innovation of Boeing, and is a competitor of the A380, but Boeing think that plane business will

change, that the Airbus plane is too big for the future, and their product which is smaller but can

reach far place will answer in a better way demand of their customers. Like Airbus the other part of

their activities is services, and they provide the same range of service than Airbus, but Boeing is also

selling them to other customers. To sell those services Boeing bought Flight Safety Company. The

best customer of Boeing in India is Air India which is the government airline company with 25 Boeing

planes and they ordered three Boeing 777 and 27 Boeing 787.

Airbus has two major activities. One is selling airplane and the other it is services that they provide

for their customer. Airbus jetliners have become the choice for more than 320 operators including

from low-cost companies and full-service airlines. Today, Airbus registered more than 9,600 orders,

and all its portfolio is flying all over the world. It exists four families in Airbus range the first one is

A320 Family which “is the undisputed leader in the single-aisle category”, the second one is A300 and

A310 family which are plane of 222-inch fuselage wide body cross-section. The third one is the

“A330/A340 Family of twin-engine and four-engine aircraft cover all long range requirements”, and

the last product in Airbus portfolio is the A380, the double-deck plane and the last innovation of

Airbus. The second part of their activities is services they provide to customers when they are selling

a plane, like training pilot or mechanic. In India the best customer of Airbus is Kingfisher airline with a

100 % Airbus fleet, with every plane of the Airbus range. Today Kingfisher holds 66 Airbus planes and

had order 130 planes including five A380.

Those companies have the same type of product, except the A380 and the 787 Dreamliner, which are

product with completely different strategy. Both companies communicate about their product and

Page 27: EADS  report

26 EADS Business Project 2010 ESC Pau – NSB Bangalore

especially about their last innovation. In India the market is growing, we can see that with the order

of the last plane by Kingfisher and Air India, but the communication is only online, and both

companies have big customer but only Boeing use those customer to promote their planes, Airbus is

not speaking about Kingfisher, and it’s maybe the best worldwide Airbus customer.

Customer relationship

Media/Advertising:

There is little information about this topic for both companies. They both using Internet and have a

complete global website, but the major difference is the Indian website of Boeing. This is a major

difference because this website is dealing with Boeing activities in India. Airbus has just a page about

their activities but without upgrade and it is only general information. In Boeing website, it’s possible

to find for example orders of Indian customer, or some job opportunities.

Boeing is also using news-papers, to deliver some general ads, and they are not especially targeting

engineers, it’s a way to be known in India, by customers and by the mass market. Airbus uses news-

papers only for recruitment, but there is no offline communication.

Events

In India there are some big events, but it could be difficult for Boeing and Airbus to participate to

those events because, they have little representative offices in India, and often those events are in

priority for Indian company in order to let them opportunities to develop their business. One major

event was the Hyderabad Air show, and both were present.

Government operation

The Indian Ministry of Defence (MOD) operates four 737-200 airplanes. In December 2005, the MOD

ordered three new Boeing 737-Boeing Business Jets. Airbus has no real relationship with the Indian

government.

Page 28: EADS  report

27 EADS Business Project 2010 ESC Pau – NSB Bangalore

Conclusion

As we seen with this benchmarking of Airbus and Boeing, is that those companies have a strong

online communication, the difference is that Boeing develop an Indian website, in which it is possible

to find all the information about Boeing global, but also, information about Boeing activities in India.

Boeing has ads on specialized Indian website. The American company has a strong presence on the

Internet, and especially on Indian website.

Boeing is doing also more traditional communication, with newspaper and specialized press. Airbus

has no traditional communication, but we can give a limit of newspaper ads, because it’s really

difficult to target with this media.

After three month of study of both companies, we feel that Boeing has a real strong communication,

but Airbus acting more. For example both companies speaking about CSR and both have programs to

develop activities in India in order to leverage the Indian standard living. The difference is that Boeing

develop with those activities a strong communication, but we feel that there are much more CSR

activities in Airbus company. Boeing develops, in majority, external activities, with support to Indian

NGOs. Airbus has same type of programs, but its help come also from the company, innovations they

develop, the way they are working in India. We feel that Boeing has more communication that

actions and for Airbus it is the contrary.

Boeing is doing much more communication than Airbus, but we saw that Airbus has more actions.

Airbus has the chance to be a leader, with more proof of its values Airbus has a competitive

advantage and with a good Indian web site Airbus can show how the company is working and how

the can be better, with more added values than Boeing. Boeing has a long term relationship with

universities, and airbus starting those relationships, but they need to develop them and to promote

them.

An important point is Kingfisher. This company is not a customer but a real partner, and it is

important to develop this relation. It’s a big company, famous in India, and it can help Airbus to have

more legitimacy in India, and more visibility

Page 29: EADS  report

28 EADS Business Project 2010 ESC Pau – NSB Bangalore

EUROCOPTER Branding and Communication Benchmark in India “Established in 1992, the Franco-German-Spanish Eurocopter Group is a Division of EADS, a

world leader in aerospace, defence and related services. The Eurocopter Group employs

approx. 15,600 people. In 2009, Eurocopter confirmed its position as the world’s No. 1

helicopter manufacturer in the civil and parapublic market, with a turnover of 4.6 billion

Euros, orders for 344 new helicopters, and a 52 percent market share in the civil and

parapublic sectors.

Overall, the Group’s products account for 30 percent of the total world helicopter fleet. Its

strong worldwide presence is ensured by its 18 subsidiaries on five continents, along with a

dense network of distributors, certified agents and maintenance centres. More than 10,500

Eurocopter helicopters are currently in service with over 2,800 customers in more than 140

countries. Eurocopter offers the largest civil and military helicopter range in the world.”

(From the Eurocopter official website)

The 20/10/2010, Eurocopter has inaugurated an Indian subsidiary, located in New Delhi,

with an existing facility in Bangalore for "the management of industrial activity", says

Eurocopter. In 2012, an engineering facility will be established in Bangalore, and a

commercial office in Mumbai. The company now employs 30 people in India.

Concerning the methodology, contrary to the other divisions, it is not relevant for

Eurocopter to compare it with Boeing. Boeing only deals with military helicopters, and does

not represent a major competitor we can benchmark for Eurocopter. Eurocopter is the world

leader, and the main competitors are Bell Helicopter Textron, AgustaWestland and Lockheed

Martin. It has to be noted that AgustaWestland and Tata Sons have signed a Shareholders’

Agreement for the formation of an Indian joint venture company which will establish in India

a final assembly line for the AW119 helicopter for the worldwide market. The joint venture

company will be responsible for AW119 final assembly, completion and delivery while

AgustaWestland will retain responsibility for worldwide marketing and sales.

CORPORATE SOCIAL RESPONSIBILITY:

According to Eurocopter’s official website,“Eurocopter Global is fully committed to adopting

sustainable environmental business practices. To this end, Eurocopter has developed a

twofold green strategy that focuses on harnessing innovation to protect the environment as

well as introducing eco-friendly design and manufacturing processes. Eurocopter has

conducted extensive research on reducing the noise levels and gas emission of its

helicopters, and its production sites in France, Germany and Spain have been awarded ISO-

Page 30: EADS  report

29 EADS Business Project 2010 ESC Pau – NSB Bangalore

14001 certification.

Eurocopter is a founding member of the European Clean Sky initiative aimed at sustainable

air travel. In addition, the Group has introduced an action plan in response to the European

REACH regulation concerning the use of hazardous substances, to be fully compliant by the

specified dates.”

Eurocopter Global’s initiative in “going green” is an exemplary model for all its competitors

(except Boeing, which is a co-signee) which will allow it to increase its advantage and further

its technological reach to allow it to continue being the premier conglomerate in the

Helicopter (Civil and Military) industry.

With the deadline of 2020 set by the European Commission in mind, Eurocopter has set out

with an agenda to meet its objectives:

1) Create revolutionary technology being able to not only be able to reduce gas emissions

and be environmentally friendly, but also be cost-effective for today.

2) Implement and use this technology in current technologies to be able to utilize them

efficiently, keeping in mind the current environment.

3) Develop and retest the technology to able to handle challenges in knowledge and

technology.

With this agenda in mind, Eurocopter has implemented a number of projects in progress at

the moment that aim in order to reduce emissions of CO2 and NOX to regulate itself in the

future environmental regulations.

Eurocopter research engineers have been working extensively to develop new engines, new

blades and newer methodologies to increase its efficiency and be able to be be

environmentally friendly, both simultaneously.

The Eurocopter EC135 is a model example, implemented under the Eurocopter’s European

Clean Sky initiative used amongst police and ambulance services and executive transport.

COMMUNITY (PARTNERSHIPS):

According to Eurocopter’s official website,

“With reference to both the Indian military and civil markets, Eurocopter currently holds a

leading position achieved through strong partnerships. In the military space, Eurocopter has

had a fruitful association with India for over 4 decades through two co-operation

agreements with Hindustan Aeronautics Limited (HAL).

Page 31: EADS  report

30 EADS Business Project 2010 ESC Pau – NSB Bangalore

The relationship started with a license production enabling HAL to manufacture more than

600 helicopters of the Alouette 3 and Lama type (Cheetah/Chetak). In 1984, HAL associated

with Eurocopter in the development of the Advanced Light Helicopter.

The cooperation with HAL has been further strenghtened with Eurocopter outsourcing

metallic and composite work packages and today, HAL is part of Eurocopter global supply

chain by producing Ecureuil/Fennec airframes, joining the ranks of very few select tier one

suppliers.

In the civil space, Eurocopter has successfully formed partnerships in both public and private

sector with Pawan Hans Helicopter Limited and Indocopters. These partnerships cover the

entire spectrum of helicopter activities, from manufacturing to operations, maintenance and

product support.”

Eurocopter, as a major supplier and partner of the Indian Government, currently has a fleet

of 72 civil helicopters flying in India. Eurocopter has about 50 percent of the oil & gas

segment with a majority of its aircrafts being used by Pawan Hans and Indocopters.

Eurocopter officially inaugurated its Indian division (Eurocopter India) in New Delhi on Oct

20, 2010. This was a monumental occasion for Eurocopter as it allows them to cement their

place in the highly demanding and resourceful Indian market. Despite having a rich history in

India, due to a 40-year old collaboration with Hindustan Aeronautical Limited (HAL),

Eurocopter has never been in the limelight, always preferring to work in the shadows. This

step in going official announces Eurocopter’s intentions in a highly productive market like

and will definitely have positive confluences on the rest of the subcontinent.

Eurocopter India CEO Marie-Agnès Veve, during the inauguration of Eurocopter India:

"Eurocopter is the world's first major helicopter manufacturer to establish a subsidiary in

India, which underscores our objective of being a key player in this very important

marketplace."

Page 32: EADS  report

31 EADS Business Project 2010 ESC Pau – NSB Bangalore

Eurocopter Subsidiaries in World (India to be included shortly):

INNOVATION According to Eurocopter’s official website,“For more than 50 years, Eurocopter has been at

the forefront of innovation. With approximately 2,300 patents registered to date―and no

less than 85 patents registered in 2009―Eurocopter continues its innovation policy, and its

success is evident: Eurocopter helicopters fly faster, farther, more safely, with more

passengers and greater comfort, while fuel consumption, noise levels and particle emissions

have been reduced. These advantages have made Eurocopter the world’s number one

helicopter manufacturer and have allowed its helicopters to set impressive records.”

EADS’ 2nd most successful division, Eurocopter, today has prima facie no direct competitors.

With its technological prowess and a huge research & development division, investment has

fructified resulting major technological advances such as the Tiger and NH90 (fly-by-wire

controls, composite fuselage, etc). The latest models of Eurocopter, Tiger and the NH90 are

currently at-least half a generation ahead of their American and European rivals.

The process of innovation is fast-paced development process with a view to develop

products of high quality.

Eurocopter’s simulation experts of the Airframe and Equipment Stress Department employ a

powerful FEA solution (Finite Element Analysis) solution to conduct expensive simulations

and analysis on a continuous basis. Its professional application reduces the number of cost-

Page 33: EADS  report

32 EADS Business Project 2010 ESC Pau – NSB Bangalore

intensive prototypes as well as physical tests. At the same time, the software supports the

administration of comprehensive analysis results as well as the expensive documentation

obligations to the various testing institutions in the aerospace and defense industry.

Eurocopter has been at the forefront of product innovation for more than 50 years. With

approximately 2,300 patents registered to date―and no less than 85 patents registered in

2009―Eurocopter continues its innovation policy, and its success is evident: Eurocopter

helicopters fly faster, farther, more safely, with more passengers and greater comfort, while

fuel consumption, noise levels and particle emissions have been reduced.

UNIVERSITIES RELATIONS

There is no educational institutions sponsoring in India, but agreements have already

been signed with higher education institutions in China, Malaysia and Singapore. It will be

signed the Memorandum of Understandings (MOU) with three Singapore educational

institutions: Ngee Ann Polytechnic, Republic Polytechnic and the Institute of Technological

Education. The company has also extended overseas training opportunities at its facilities in

the Philippines for students at Ngee Ann Polytechnic. Moreover, in Canada, Eurocopter

Canada Limited and École nationale d'aérotechnique (ÉNA) signed a Memorandum of

Understanding today to provide helicopter industry professionals and aircraft maintenance

students entering the helicopter industry with enhanced technical and maintenance training

in the Province of Quebec.

In India, It will form an Indian subsidiary and set up an engineering center in Bangalore next

year to support its global design and development work. Eurocopter also is working with

Indian institutions, companies and associations to develop new markets such as law

enforcement, helicopter emergency medical services (HEMS), disaster management and

utility.

Sources: http://www.marketwire.com/press-release/Eurocopter-Canada-Ecole-Nationale-

daerotechnique-Jointly-Provide-Enhanced-Helicopter-1277364.htm

http://www.eurocopter.com/site/FO/scripts/myFO_publication.php?news_id=653&lang=EN

http://www.eurocoptersea.com.sg/comm/downloads/Press_2010_0302_Eurocopter%20So

utheast%20Asia%20bullish%20about%20opportunities%20in%202010.pdf

CAREER OPPORTUNITIES

There is no event, no trade show in India like “EADS Internship Days” (from

07/10/2010 to 12/11/2010 in France and Germany, 5 events, the four divisions are

represented during each event). They communicate online (online facilities: possibility to

apply for this event on the website and then take part in the show). But there is nothing in

India.

http://www.eads.com/eads/int/en/work-for-eads/events/EADS-Internship-Days-LV.html

Page 34: EADS  report

33 EADS Business Project 2010 ESC Pau – NSB Bangalore

CUSTOMER RELATIONSHIP

Media and advertising support

Online communication: official website www.eurocopter.com , Eurocopter online

review “Rotor Journal”, specialized websites www.rotor.com , newsletters.

Offline communication: specialized magazines (Rotorhub, Up to EADS Planet,

Defence Helicopter), events (in India: Defexpo, Helipower , India Aviation).

Intern com: intranet, official website, newsletters.

Events

This year, Eurocopter participates in 50 events and shows (USA, France, Germany,

UK, Australia, Brasil, Chile, Colombia, Singapore, China), and three of whom are in India (2 in

New Delhi, 1 in Hyderabad). So they are very present and visible all over the world. But no

event about recruiting people for Eurocopter is organized.

Recommendations

EADS is present in a lot of events under the form of air shows all over the world, 3 times this

year in India (2 in New Delhi, 1 in Hyderabad). At the same time, “Internship Days” take

place in Europe (France and Germany, October 2010).

But both are organized independently. If EADS combines in one event exhibition and

recruitment, this could be an occasion to be more visible to the target (engineers, future

engineers, young active people…), offering to people a stand to communicate about career

perspectives and recruitment during the event, with each division represented.

Each year, Eurocopter could visit some educational institutions (colleges, institutes of

technology, universities…) and after a presentation of the division/EADS, they could offer

business pass to students to enter major Indian air shows.

To attract this new generation of engineers, a previous communication on site (that is to say

universities, institutes, etc.) has to be done in an interactive way, with discussion in face to

face or small groups, and make them sensitive to their potential future with EADS.

Moreover, Eurocopter has a strong partnership with HAL (Hindustan Aeronautics Limited).

The concept of co-communication could be judicious here. They could leverage the

recognition of HAL, its networks and communication efficiency.

Page 35: EADS  report

34 EADS Business Project 2010 ESC Pau – NSB Bangalore

EnvironmentSelf projects for gas and noise emissions, European Commission auditing

standards for greenhouse gases, European Clean Sky initiative, Eurocopter EC135Implement standards in India in the near future

Community A 40-year old solid and strong partnership with HAL (for Pawan Hans, Indocopter) Develop a strong community and partnerships using Eurocopter global

InnovationNH90 and Tiger, innovative technologies (fiber materials, composite twin-shaped

rotor blades), FEA solution, EC120B implementing JAR27

Utilize Eurocopters technological prowess and ability to innovate and develop in

India

University

relations

Memorandum of Understandings (MOU),

future engineering center in Bangalore 2012Increase collaborations and awareness to attract talent from India

Job/Internship EADS Internship Days” (from 07/10/2010 to 12/11/2010 in France and Germany Supplement employment opportunities to attract best employees and engineers

Media and

advertising

Online com: official /specialisedwebsites, Rotor Journal

Offline com: magazines (Rotorhub, Up to EADS Planet)

Create increased visibility and awareness to general public through all media

available

Events Defexpo, Helipower , India Aviation Continue with current events

Corporate

Social

Responsability

Research &

Development

Careers

opportunities

Customer

relationship

Comments

COMMUNICATION FRAMEWORK

Eurocopter Communication framework

Page 36: EADS  report

35 EADS Business Project 2010 ESC Pau – NSB Bangalore

CASSIDIAN & BOEING DEFENCE AND SECURITY Branding and Communication Benchmarking in India Introduction

First EADS changed its division EADS D&S to Cassidian within the new communication

strategy framework. “The new name CASSIDIAN comes from the Latin terms "cassida"

(helmet) and "meridian" (imaginary line running north and south). It symbolizes worldwide

protection and security, thus reflecting the CASSIDIAN claim – Defending World Security,”

has explained Annette Füllenbach, Head of CASSIDIAN Communications.

Together with the name, CASSIDIAN has also introduced a new logo. The globe with hands

surrounding and protecting it symbolizes the company's commitment to support those

whose mission is to protect the world.

The global Defense and Security market context:

We have found very interesting figures and information about the Indian Defense

Market in the KPMG ‘Opportunities in the Indian Defense Sector’ survey.

According to this survey, the factors driving growth in world military spending include

countries’ foreign policy objectives, real or perceived threats, armed conflict and policies to

contribute to multilateral peacekeeping operations, combined with the availability of

economic resources.

Eastern Europe has recorded the highest regional growth in the world in military

expenditure over the past decade, followed by North America. The main contributors to the

Page 37: EADS  report

36 EADS Business Project 2010 ESC Pau – NSB Bangalore

increase in expenditure in these regions are Russia and the United States of America (US or

United States) respectively.

Largest Defense Companies in the World:

No Company Country of origin Annual Defense Revenue 2008 (US bn)

1 Lockheed Martin US 42.7

2 Northrop Grumman US 33.8

3 Boeing US 32.1

4 BAE Systems UK 30.5

5 General Dynamics US 29.3

6 Eurocopter & Typhoon EU 23.4

7 Raytheon US 23.2

8 Finmeccanica Italy 23.2

9 Thales France 18.5

10 L3 Communications US 14.9

Source : www.indiainbusiness.nic.in (KPMG survey)

Page 38: EADS  report

37 EADS Business Project 2010 ESC Pau – NSB Bangalore

The Indian Defense and Security market

Indian market overview from CII National Committee on Defense and Aerospace:

According to the CII National Committee on Defense and Aerospace: The opening up

of the Indian economy during the early nineties heralded an era of unprecedented industrial

growth in India. The growth rates seen match those of the fastest growing economies. A

confident and resurgent Indian Industry is making forays into almost all the sectors of

manufacturing. Lately, the huge opportunities for growth within the domestic and global

defense and aerospace industries have attracted the attention of Indian industry.

The current profile of equipment held by the Indian Armed Forces with regards to

‘State of the Art’, ‘Matured’ and ‘Obsolescent’ equipment is 15, 35 and 50 percent

respectively. This suggests that the Government will have to make serious efforts towards

upgrading its defense resources either by developing or procuring defense equipment and

systems. Moreover, modernization, upgradation and maintenance of the existing equipment

will also provide immense opportunities to the industry. India is one of the largest global

military spenders. The defense budget for 2009- 10 has increased by 34.19 percent over the

previous year’s budget estimate (BE) of INR 1,056 Bn.

The huge opportunity has attracted the attention of not only a few large players but

also a large number of Micro, Small and Medium Sized Enterprises (MSMEs) which visualize

this unprecedented opportunity as a gateway towards entering into the domain of defense

production. The slowing down/saturation of markets in other sectors has also been

responsible for the directing their interest towards the unexplored defense sector which

promises sustained business opportunities.

The private sector is enthusiastic about its ability to play a larger role in contributing

to the total defense related production both within the country, as well as looking at export

markets once sufficient experience has been gained in particular areas. The need of the hour

is to combine the skills of Public and Private sector, developing this into a partnership with

the aim of achieving self-reliance in defense production. The armed forces and the Ministry

of Defense worked towards achieving maximum indigenization.

At the policy level as well, there is a clear support for achieving the long cherished

goal of self reliance in defense sector. The Government has been receptive to suggestions

and has been willing to make the required policy changes whenever required. Initially

promulgated in December 2002, Defense Procurement Procedure has already undergone

five revisions. The recent amendments in DPP 2008 (Amendments 2009) are a welcome

Page 39: EADS  report

38 EADS Business Project 2010 ESC Pau – NSB Bangalore

step. Various provisions have been laid down to ensure industry participation at various

levels.

Our findings:

India has a particularly large and sophisticated defence industry in comparison with

the rest of the developing world.

India's defence expenditure has been raised to INR 147,344 Crore for 2010-11,

+8,13% from previous year. The country's forthcoming defence modernization program will

make it the second highest defence spender in the Asia Pacific region within the next five

years, and the seventh largest globally by 2016.

Indian Defense Offsets are a key market driver for the broadening of the Indian

Defense Industrial base. They are derived from the "Make and Buy" and "Buy" segments of

the purchase of defense weapons and equipment, over USD 75 million-order value.

Defence offsets offer immense opportunity for the local Indian Industry to partner

with the best-in-class, in terms of technology and provide a platform for the indigenous

industry for sourcing of products and services. This can be achieved in three ways Direct

Purchase of or executing export orders for defence products or components manufactured

by the Indian Industry; Direct Foreign Investment in Indian Defence for defence industrial

infrastructure, co-development, Joint Ventures and co-production of defence products; and

by Direct Foreign Investment in defence R&D as approved by Ministry of Defence (MoD).

The MoD has now allowed for banking of defence offsets, which makes the landscape

interesting and also opens avenues for greater Indian private sector industry participation

apart from the Defence Public Sector Undertakings (PSUs). That the Industry trade bodies

are interlocuting with the MoD, for greater participation and the FICV project, is testimony

to the MoD's commitment to gradually but surely broaden the military industrial base in

India. India is set to source a major portion of its defence requirements, worth USD 100

Billion, based on its current equipment retirement, from foreign sources. Other

opportunities exist in military aviation, naval systems and land systems.

Apart from Defence, the Indian Homeland Security Market (HLS) is also witnessing a

surge and is set to grow on the back of the phenomenal growth in the industrial,

manufacturing and infrastructure sectors.

The other segments that have immense potential are Airport Security, Mass

Transport Security, Infrastructure Protection, Seaport Security and Maritime Security.

Page 40: EADS  report

39 EADS Business Project 2010 ESC Pau – NSB Bangalore

The increased participation of the Indian private sector industry and relatively less

proliferation of the Indian Defence PSUs in the Homeland Security market makes this

opportunity exciting and unique, in terms of Defence and Security markets. These growth

segments are set to put the Indian HLS market, on an exciting growth trajectory and open a

relatively new business segment. Indian companies can operate as standalone, as well as

form relationships with foreign product and service providers or Systems Integrators.

However, as there is a huge potential in these markets, the challenges are equally

high in both the Defence Offsets and HLS markets as they come in the form of budgetary

constraints. Most HLS segments still remain manpower intensive and it is a fragmented

market, with varied spending patterns across domains.

(source : India-defense.com, Frost & Sullivan study)

Market Potential

Source : www.indiainbusiness.nic.in (KPMG survey)

As we found in the website of a famous defense exhibition in Delhi (Source: www.indesec-expo.com), there a big potential in the Indian market:

Page 41: EADS  report

40 EADS Business Project 2010 ESC Pau – NSB Bangalore

Growth Market:

- $10 billion to be spent on India’s homeland security requirements within the next 2 – 3 years.

- $30 billion to be spent on the Indian armed forces’ modernization programme within the next 5

years.

Resource Allocation:

To strengthen its capability against terror, India is investing massive resources on creating a

dedicated homeland security department, developing net-centric information command structure,

and maritime security upgrade.

No Recession:

The Indian Government has indicated no slowdown in homeland security & defence spend despite

the global meltdown.

Easing Procurements:

The Indian Government has stated that it is committed to removing bottlenecks and fast tracking

homeland security equipment purchases by State and Central police forces

Factors likely to influence growth

According to CII’s Defense and Aerospace members (KPMG ‘Opportunities in the Indian

defense sector’ Survey) , the defense industry in India is poised at an inflection point in its

expansion cycle driven by the three Services’ modernization plans, the increased focus on

homeland security, and India’s growing attractiveness as a ‘home market’ defense sourcing

hub. There are 3 types of factors that are likely to influence the future growth trajectory of

India’s defense industry:

- The Defense Procurement Process: relating to the clarity of the defense spending

pipeline, the speed and flexibility of the procurement process and the costs involved

for bidders through aspects such as ‘no cost, no commitment’ trials.

- Defense Industrialization Strategy: relating to the need for a comprehensive

industrialization strategy and, within this, the roles of offsets, multipliers, transfer of

technology regulations, FDI, and different industry players.

- Taxation Regime and Incentives: relating to the role of the taxation regime in

supporting the industrialization strategy by providing a fiscal environment that

incentivizes and supports the long term risk taking, investment and R&D by

businesses required to build the industry.

Cassidian and BOEING D&S activities Global and in India

Page 42: EADS  report

41 EADS Business Project 2010 ESC Pau – NSB Bangalore

Boeing Global Defense and Security activities

According to Boeing.com “Boeing DS combines manned and unmanned airborne capabilities,

intelligence and security systems, communications architectures and extensive large-scale

integration expertise across several diverse business areas.”

Boeing DS registered $34 billion revenues in 2009 with 68,000 employees worldwide.

Leadership

- Dennis A. Muilenburg

Executive Vice President of Boeing and President & CEO BDS

- Christopher M. Chadwick

President of Boeing Military Aircraft, BDS

- Darryl W. Davis

President, Phantom Works, BDS

- Roger A. Krone

President, Network and Space Systems, BDS

- Richard D. Baily

Vice President, Engineering and Mission Assurance, BDS

- Maureen P. Cragin

Vice President, Communications, BDS

Boeing Military Aircraft

This division is composed of tactical and airlift aircraft, missiles, surveillance and

engagement programs and unmanned airborne systems. This is the new organizational

structure (took effect on October 1, 2010) :

- Global Strike (Apache, Growler, Super Hornet, Strike Eagle, Silent Eagle)

- Mobility (Globemaster III, Chinook, U.S. Air Force Tanker Program, International Tanker

Page 43: EADS  report

42 EADS Business Project 2010 ESC Pau – NSB Bangalore

Programs, Osprey)

- Surveillance and Engagement (737 Airborne Early Warning and Control,

Airborne Warning and Control System, Poseidon)

- Missiles and Unmanned Airborne Systems (Harpoon Block II, Joint Direct Attack

Munition, Patriot Advanced Capability-3 Missile, Small Diameter Bomb, Standoff Land Attack

Missile-Expanded Response, A160T Hummingbird, ScanEagle, Integrator)

Global Services & Support

This business offers total support solutions. Operating in 264 locations worldwide, it sustains

aircraft and systems with a large spectrum of products and services: aircraft maintenance,

modification and upgrades, engineering and logistics support, supply chain management,

pilot and maintenance training, and other defense and government services.

These services are classified as follow: Boeing Energy; Defense & Government Services;

Integrated Logistics; Maintenance, Modification and Upgrades; Training Systems and

Services.

Network and Space Systems

This business includes intelligence and security systems, network and tactical systems,

strategic missile and defense systems, space and intelligence systems, and space exploration

systems of which we will not discuss here.

Boeing Phantom Works

According to Boeing.com : “Boeing Phantom Works is responsible for capabilities-based

development and capture of advanced programs in support of the three Boeing Defense,

Space & Security businesses. To accomplish this, Phantom Works partners with Boeing

Research & Technology, leverages enterprise innovation, and sources "best-of-industry"

capabilities to deliver integrated, affordable solutions that meet customer needs and

address emerging market opportunities.”

Boeing DS in India

Boeing’s history with India starts in 1923, and business in the country began in the 30’s.

Boeing DS first came to India for the 2005 Aero India air show in Delhi.

Leader :

Vivek Lall, is the Vice President of Boeing India, and Head of Boeing DS India. He came to this

position after serving as Managing Director of Boeing Commercial Airplanes in India and now

Page 44: EADS  report

43 EADS Business Project 2010 ESC Pau – NSB Bangalore

offers significant broad India market and customer insights on the emerging needs of the

Indian customer

Head Quarters :

Boeing International Corporation India Pvt Ltd

3rd Floor, DLF Centre,

Sansad Marg

New Delhi-110001India

Customers :

According to Boeing’s newsletter of febuary 2010 called “Boeing Frontiers” :

“In 2009, Boeing won the biggest U.S. defense deal with India with the multi-billion-dollar

sale of the eight Boeing P-8I long-range anti-submarine aircraft, with more sales possibly on

the way. Al- though a BDS product in name, the P-8I is a derivative aircraft based on Boeing’s

737 passenger aircraft, which Lall knew from his Commercial Airplanes days.

• Last january, India sent the U.S. government a request for information on a potential

purchase of 10 Boeing C-17 Globemaster III military transports, a deal industry analysts say

could exceed $3 billion.

• The F/A-18 Super Hornet has become a strong contender in India’s fighter competition,

which is worth as much as $10 billion. The Super Hornet completed the India phase of the

all-important flight trials in August.

• In October, Boeing submitted bids for India’s Heavy Lift and Attack helicopter

requirements, offering the CH-47 Chinook and AH-64D Apache.

• India selected BDS to maintain the three Boeing Business Jets operated by the government

of India. These, and other potential India defense requirements, represent a $31 billion

market opportunity for Boeing over the next 10 years, according to Mark Kronenberg, vice

president of International Business Development for BDS.”

Partnerships :

According to “Boeing Frontiers” :

“Boeing is forging partnerships with Indian companies that will inject new talent and

processes into Boeing, making it a leaner company with lower costs that can win new sales

and preserve jobs. “In this new world, partnerships are the only way to go, and we’re

building them,” said Vivek Lall.

Boeing has placed work packages with large, government-owned HAL that include F/A-18

gun bay doors and wire harnesses and is sharing Lean+ and program management principles

with HAL.

BDS also is exploring partnerships with numerous other Indian companies and has begun

signing contracts to satisfy work placement requirements from the P-8I sale. Boeing and

India’s Bharat Electronics Limited are jointly developing an analysis and experimentation

Page 45: EADS  report

44 EADS Business Project 2010 ESC Pau – NSB Bangalore

center in Bangalore and New Delhi to assist the service branches in understanding how to

satisfy future defense and security needs.”

CASSIDIAN Global Defense and Security Activities According to Cassidian.com : “Cassidian is a worldwide leader in global security solutions and systems, providing lead system integration and value-added products and services to civil and military customers around the world. Their portfolio ranges from air systems (aircraft and unmanned aerial systems) and land, naval and joint systems through intelligence and surveillance to cyber security and secure communications as well as test systems, missiles, services and support solutions. Cassidian achieved revenues of € 5.4 billion in 2009, with about 21,000 employees worldwide. It is the second largest division in the EADS Group. Leadership Cassidian - under the direction of the CEO Dr. Stefan Zoller - combines the activities of three integrated Business Units: Cassidian Electronics: CEO – Bernd Wenzler Cassidian Systems: CEO – Hervé Guillou Cassidian Air Systems: CEO – Bernhard Gerwert

In addition, shares in MBDA – the world leading missiles company as well as Eurofighter

GmbH are part of the activities of the Division.

Page 46: EADS  report

45 EADS Business Project 2010 ESC Pau – NSB Bangalore

CASSIDIAN Systems

Cassidian Systems offers its military and paramilitary customers comprehensive and tailored

solutions, combining the know-how to design, develop and implement Lead System

Integration (LSI) and to link the widest possible range of individual platforms and subsystems

into a single effective network.

With its joint venture Atlas Elektronik, Cassidian Systems provides integrated solutions

covering all domains (underwater, surface, shore, air, space) for naval warfare and maritime

security.

In order to make integrated solutions tangible and demonstrate the strengths of this new

security paradigm, Cassidian Systems has created the simulation centre NetCOS (Network

Centric Operations Simulation system).

CASSIDIAN Electronics

Cassidian Electronics develops and manufactures sensors, avionics and electronic warfare

systems for military and security applications.

All solutions are adapted to meet the changing priorities of security and military forces:

command and control capability, reconnaissance, mobility, efficiency in operation,

protection of own forces.

Its aim is to provide the customer with high-end products based on key technologies and

reliability.

CASSIDIAN Air Systems

Cassidian Air Systems bundles competencies and skills in the areas of combat and manned

mission aircraft. Cassidian Air Systems is also active in the field of high-performance

Unmanned Aerial Vehicles (UAVs). For the systems of the above-mentioned areas, Cassidian

Air Systems also offers accompanying training programmes and facilities as well as

comprehensive system support throughout the in-service phase.

In this way, Cassidian Air Systems meets the requirements of modern air forces throughout

the service life of military air systems. Beginning with design and development, Cassidian Air

Systems handles everything from engineering, production and systems integration to

comprehensive product support during operation. That includes maintenance, repair and

upgrades.

Cassidian Air Systems combines classic technological capabilities in the construction of high-

performance military aircraft with know-how and experience in the area of “ISTAR”

technologies (Intelligence, Surveillance, Target Acquisition and Reconnaissance) and data

transmission. Cassidian Air Systems is thus capable of offering integrated air systems that

meet the requirements of network centric operations.”

CASSIDIAN DS India

Page 47: EADS  report

46 EADS Business Project 2010 ESC Pau – NSB Bangalore

Leader :

Shadman Andleeb,

Head of Cassidian India and head of engineering India.

Head office :

Cassidian, legal entity EADS DS India Pvt Ltd

EADS DS India Pvt Ltd India Private Limited

Teri University CampusPlot No.10,

Vasant Kunj Institutional Area,

Vasant Kunj, New Delhi - 110070INDIA

Engineering center :

A Cassidian engineering center will open in November in Bangalore

Customers :

The main customer is the government’s Ministry of Defence.

Partnerships :

We do not have any information on Cassidian’s partnerships in India.

Summary:

Worldwide, Boeing DS has more than three times more employees than Cassidian : 68,000

compared to 21,000. We don’t have much information regarding the employees in India.

Boeing DS is making more than six times more revenues out of its global activities than

Cassidian ($34 billion vs. $5,4 billion).

Page 48: EADS  report

47 EADS Business Project 2010 ESC Pau – NSB Bangalore

Table framework

CA

SS

IDIA

NB

OE

ING

DS

en

vir

on

me

nt

Eth

ics,

resp

on

sib

ilit

y a

nd

su

sta

ina

bil

ity

infl

ue

nce

ho

w t

he

y c

on

du

ct

an

d

tra

nsfo

rm t

he

ir b

usin

esse

s (

EA

DS

)

Bo

ein

g i

s d

ee

ply

co

mm

itte

d t

o p

rote

cti

ng

the

glo

ba

l e

co

-sy

ste

m.

As a

te

ch

no

log

y

lea

de

r, t

he

co

mp

an

y c

on

tin

ue

s t

o p

ion

ee

r

en

vir

on

me

nta

lly

pro

gre

ssiv

e p

rod

ucts

an

d

se

rvic

es.

Bo

ein

g i

s a

lso

wo

rkin

g w

ith

its

su

pp

lie

rs a

nd

cu

sto

me

rs a

rou

nd

th

e w

orl

d

to a

dd

ress e

nv

iro

nm

en

tal

co

nce

rns

Ind

ia c

orp

ora

te

cit

ize

nsh

ip

So

me

org

an

iza

tio

ns t

he

y s

up

po

rt:

Sa

ve

Th

e

Ch

ild

ren

In

dia

(S

TC

I) /

Mo

bil

e C

rèch

es /

AID

S H

ea

lth

Ca

re F

on

da

tio

n (

AH

F)

Ind

ia

Ca

res

sa

fety

an

d h

ea

lth

at w

ork

su

sta

ina

bil

ity

cu

ltu

re

an

d v

alu

es

De

live

r th

e b

est

of

Eu

rop

ea

n

tech

no

log

y t

o s

erv

e t

he

ne

ed

s f

or

mo

bil

ity a

nd

se

cu

rity

wo

rlw

ide

(E

AD

S)

No

t o

nly

th

ink

ab

ou

t sa

les b

ut

in I

nd

ia f

or

lon

g t

erm

an

d c

om

mit

ted

to

sh

are

Kn

ow

led

ge

,Re

so

urc

es a

nd

Te

ch

no

log

y w

ith

pa

rtn

ers

fo

r b

en

efi

t o

f In

dia

n i

nd

ustr

y

div

ersit

y

su

sta

ina

bil

ity

un

ive

rsit

y r

ela

tio

n

Pa

rtn

ers

hip

wit

h :

IIT

s (

Bo

mb

ay

, M

ad

ras,

Ka

np

ur…

) a

nd

th

e m

ost

str

ate

gic

wit

h t

he

Ind

ian

In

sti

tute

of

Scie

nce

s (

IIS

c)

of

Ba

ng

alo

re.

re

se

arch

an

d d

ev

elo

pe

me

nt

Fo

rth

co

min

g o

pe

nin

g o

f th

e C

assid

ian

En

gin

ee

rin

g C

en

ter

in B

an

ga

lore

In 2

00

9,

Bo

ein

g o

pe

ne

d i

ts B

oe

ing

Re

se

arc

h

& T

ech

no

log

y-I

nd

ia c

en

tre

in

In

dia

. It

wil

l

wo

rk w

ith

str

ate

gic

re

se

arc

h a

nd

tech

no

log

y p

art

ne

rs t

o d

ev

elo

p h

igh

-en

d

tech

no

log

y,

pa

rtic

ula

rly

in

th

e a

rea

s o

f a

ero

str

uctu

res a

nd

av

ion

ics.

inn

ov

atio

nin

te

rn

sh

ip

un

ive

rsit

y r

ela

tio

n

Job

an

d e

ve

nts

No

co

mm

un

ica

tio

n,

recru

itm

en

t b

y H

R

co

nsu

lta

nts

- M

ore

ab

ou

t g

ett

ing

th

e r

igh

t p

ers

on

wit

h

rig

ht

kn

ow

led

ge

an

d v

ery

re

lia

ble

(V

ive

k

La

ll h

ea

d B

DS

)

Div

isio

n

Pro

du

cts p

ortfo

lio

Fo

cu

s o

n E

uro

fig

hte

r.•

Ric

h p

ort

foli

o o

f p

rod

ucts

an

d s

erv

ice

s t

o

off

er

to I

nd

ia /

• P

rov

ide

r o

f a

ero

sp

ace

su

pp

ort

sy

ste

ms a

nd

Ne

two

rk-C

en

tric

Op

era

tio

ns s

yste

ms

ad

ve

rtis

ing

an

d b

ra

nd

ing

"C

assid

ian

" s

ym

bo

lise

s w

orl

dw

ide

pro

tecti

on

an

d s

ecu

rity

. -C

laim

"D

efe

nd

ing

th

e w

orl

d s

ecu

rity

".

An

ou

nce

s f

ocu

s o

n I

nd

ia,

Bra

zil

, M

idd

le

Ea

st

(Ste

ph

an

Zo

lle

r)

go

ve

rn

me

nt o

pe

ra

tio

ns

• In

dia

n M

inis

try

of

De

fen

se

op

era

tes a

lo

t

of

Bo

ein

g p

rod

ucts

. / P

rov

ide

de

fen

se

se

rvic

es t

ha

t h

av

e h

igh

re

lev

an

ce

to

In

dia

’s

req

uir

em

en

ts

Me

dia

Off

lin

e :

pa

rtic

ipa

tio

n t

o D

efe

xp

o 2

01

0

On

lin

e :

To

tal

ab

se

nce

Communication keys factors analysis

Ca

re

ers o

pp

ortu

nit

ies

Bu

sin

ess a

ctiv

itie

s

Cu

sto

me

r r

ela

tio

nsh

ip

Co

rp

ora

te

So

cia

l

Re

sp

on

sa

bil

ity

Co

mp

an

y

Re

se

arch

& D

ev

elo

pm

en

t

Page 49: EADS  report

48 EADS Business Project 2010 ESC Pau – NSB Bangalore

Analysis and comments

As the table shows, we found much more informations about Boeing activities and

communication in India than about Cassidian. Indeed, it was very difficult for us to find any

information about Cassidian in India, partly due to the fact that the division recently changed

name. So there is a real lack of communication online and offline of Cassidian. The main part

of the informations about Boeing we found online was on their own website dedicated to

activities in India.

On the global website, people can find : a description of the activities, the job

opportunities, a press centre (nothing about India) and the locations in the world. About

that, the only thing mentioned for India is the address of the head quarter in Delhi…

Our interview with Mr.Andleeb proved us that Cassidian has all the material needed

on its intranet (news, press releases, events…) to set up a Indian website, but Cassidian’s

communication is managed by a person in Paris, which is not the best way to adapt to a local

environment, nore being reactive.

Regarding partnerships, Boeing communicates a lot about it, they are willing to show

India who much they are committed to transfer knowledge and technologies to Indian

companies for the benefit of the Indian Industry. They want to prove that the offset

obligation is perceived by them as an opportunity to establish strong partnerships with local

companies.

Page 50: EADS  report

49 EADS Business Project 2010 ESC Pau – NSB Bangalore

EADS Astrium and Boeing Defense Space and Security (BDS) Benchmarking Branding and Communication Activities in India EADS Astrium

Astrium, a wholly owned subsidiary of EADS, is dedicated to providing civil and defense

space

systems and services. Astrium has a turnover of €4.8 billion and more than 15,000

employees in France, Germany, the United Kingdom, Spain and the Netherlands. Its three

main areas of activity are Astrium Space Transportation for launchers and orbital

infrastructure, Astrium Satellites for spacecraft and ground segment and Astrium Services

for the development and provision of secure and commercial satcoms and networks, high

security satellite communications equipment, information products and services, and

navigation services.

Boeing Defense Space and Security (BDS)

Boeing Defense, Space & Security provides end-to-end services for large-scale systems that

combine sophisticated communication networks with air-, land-, sea- and space-based

platforms for global military, government and commercial customers.

Whereas Astrium is a Space based EADS company BDS is a division in Boeing for Defense,

Space and Security.

Activities

We broadly classify the activities to be compared

1. Communication

Electronic

Company Website

Press releases

Other websites

Electronic News Letters

Social Networking websites

Non Electronic

Events and Sponsorship

Print Media

Television and Movie

Hoardings and Posters

Culture

Page 51: EADS  report

50 EADS Business Project 2010 ESC Pau – NSB Bangalore

Community and Society

Employees

Customers and Partners

Name/Logo/Slogan

Branding Division

Branding Activity Benchmarking Chart

In the following benchmarking analysis chart we take look at the branding activities and

mainly focus on the Astrium’s activity in comparison with Boeings BDS Activity. We focus

more on what is present in Boeing and to what extend the how the same is present in EADS

for a comparison purpose. There may be other activities present at EDAS which are anyway

its strength. Thereon we build a comparative inference and give recommendations.

Activity BOEING BDS EADS Astrium Comparison and Inferences

Recommendation

Communication Communication is the direct means of brand building. It is the factor which can be directly controlled and fine tuned for building the brand

Electronic(Online) Electronic or online communication is a major way of communication for companies today big or small because of its various advantages over the traditional offline communication. Because of its timeless and locationless qualities and its reachness effects which are incomparable

Company Website Boeing Website characteristics: Simple and integrated theme and look and feel Subtle colors Well organized links menus with lots of drop down menus which are highlighted only when required. Shows India as Location Simple and

EADS Astrium Website characteristics: Enriched look and feel and elaborate website with lots of useful information. Looks a little cumbersome with dark colors and lots of links on the website. Does not have links to employee and ethics The website follows all theme in Blue and white conveying

Advantage of single brand and ripple effect of the parent brand. Links to Employees and Ethics can add to brand factor on website showcasing its values and culture effect. While content is very rich. Presentation is a little overwhelming. Astrium opens in a separate browser The partner

While EADS looks at integrating all the divisions into a single company, the Astrium website can be made to open in the same browser. EADS and Astrium website should add India as a location as there are partners and activities

Page 52: EADS  report

51 EADS Business Project 2010 ESC Pau – NSB Bangalore

well organized with graphicas wherever required The website opens in the same browser of Boeing

a oneness and reflecting intgrity

list also does not show ISRO with which it has done lots of projects. Some mistakes: “Astrium, an EADS Company, is a leading space manufacturer” this as it appears in the website slogan is incorrect. “Careers@Astrium” the pointer at @ shows something not apt. Careers appears twice in the website.

being done as part of India business activities. Website is a major way of communicating the brand image of the company. There are certain mistakes in the link, which has to be rectified to increase credibility. Simplicity in communicating can be very effective , which has been studied by the Boeing’s independent branding division. Partner list can be updated as ISRO is a big way of increasing its tie up with india and gaining from branding image of partner

Press Releases and Newsletters

News of any operations with India (like ISRO , HAL etc.) appears

EADS is publishing its news of Indian activities in major electronic

Identification of major electronic newsletters in India, as

Page 53: EADS  report

52 EADS Business Project 2010 ESC Pau – NSB Bangalore

in major electronic newsletters Boeing website shows online news in its website itself

business newsletters. Astrium activities with ISRO is available in a few newsletters.

Indian readers are getting more and more electronic way and publishing articles and news can be useful ways of increasing the awareness and brand identification in India

Other websites Boeing appears as a partner in

Astrium appear in the ISRO website press release section

EADS has less associations with other authentic websites

Astrium should take advantage of the brand image of its Indian counterparts by ensuring the press releases and media section is updated with information of its activities in India

Social Networking websites

Twitter is there on the company website. Even news flash is being done The careers link even has a “Share this Page “graphical link to major social networking

Not capitalizing on the recent emerging ways of connecting and communication whoich can impact branding in a big way

Secured social networking for careers, events etc. can be introduced, as it’s the biggest way to add to branding in todays internet world.

Page 54: EADS  report

53 EADS Business Project 2010 ESC Pau – NSB Bangalore

sites like facebook, linkedIn ,twitter, Blogger and even more. “The world is a different place today. “ - VP SPACE , Craig R cooning

The positive effects of social networking on branding and other advantages can not be far ignored. Need to find out a secured way filtered communication option.

Non Electronic(Offline) This is offline mode of communication. It has its own advantages in building the brand like restricting the reach, cost , localizing the needs, other making use of secondary sources like forums and associations etc.

Events and Sponsorship

Events are publicized in website

EADS Astrium has its own exhibition centre. All upcoming events are well presented in its website exhibitions in India ( DEF EXPO,AERO INDIA )

Popularize the exhibition centre by distributing pamphlets Can add these events in popular websites of events in the city where it is organized. Run campaign for these exhibitions Road shows and public exhibitions once in a while can be advantageous.

Print Media (Press Releases/ Articles/Advertisement)

Use of Newpapers for local and country based associations

Astrium Interview:” with only general corporate advertizing but

These kind of appearances are good. Print media is famous in

Through specialized press the company can even

Page 55: EADS  report

54 EADS Business Project 2010 ESC Pau – NSB Bangalore

and specialized press is advantageous. Recently there was big press release in Times of India print , about Boeing providing technical knowhow for human spaceship program to ISRO.

no press communication “ EADS recently appeared in a small advertisement in Times of India organizing a HR based conference, though it was very small .

India currently and can be a big was to increase brand awareness and brand indentity in India Brand associations and co-branding is being used by Boeing through print media

advertise technical specifications of some of its commercial satellites and space programs to its corporate clients. The main advantage of using certain specialized press for Boeing is the ability to directly reach the company’s target audience. Write articles based on sponsored events in Major Newspapers. Advertise about sponsoring the events and gain from co-branding Advertise in print media( Times of India/Indian Express/ The Hindu etc.) about the major developments with Indian Counterpart.

Television( News Boeing is EADS is currently Trying to sell Once in a

Page 56: EADS  report

55 EADS Business Project 2010 ESC Pau – NSB Bangalore

channels/Advertisements)

currently not using this as much like other ways of communication.

not using this method of communication. Astrium interview: “About Space , Astrium do not go for open communication. Most of communication remain confidential because of government and private company policy.”

multimillion dollar satellites and spaceship programmes to aeronautical companies, it would make little sense to advertise over the airwaves as would be the popular choice with most pure Business to Consumer companies.

while advertising or advertising the sponsorship programmes can be beneficial on the air in TV or Radio to bring in public awarenesss (in India) and increase popularity. Programs on discovery channel on special products can be also a way to communicate and reach the mass

Posters/Pamphlets/Hoardings

Used for internal communication and at sponsorship venues. Visualization being used.

Internal posters and pamphlets being used

Not much used Sponsorship hoardings and posters and website banners can be used

Culture Culture is a major aspect of Brand building.

Culture at Boeing is a top priority. The company website has a link to culture which particularly emphasizes on Diversity and Unity. Boeing allows

Astrium Interview: “like any big company ,we have a strong corporate culture of engineers and innovation inside the company” “Yes , diversity is important to

Strong corporate culture at EADS and communicate about values

Culture is a an integral part of brand. If the culture is right, then most of the other ingredients of branding falls in place automatically

Page 57: EADS  report

56 EADS Business Project 2010 ESC Pau – NSB Bangalore

interaction of employees across divisions to aid cultural integrity , awareness and oneness. Boeing has a strong cultural message of ‘One Company’ and Integrated Company in its awareness and branding and communication campaigns. It is exemplified in the way Boeing employees are skilled and recruited form different backgrounds with varied skills and culture.Boeing employs people in 70 countries around the world.Its website has India as one of its 14 locations in the careers link. “Our philosophy is one of diversity.

attract talent for EADS, but for our division in India which is more a business division than a production division, all of the employees except my self come from Europe.”

. Indian employees in India and other parts of Asia can bring cultural diversity and benefits to Indian associations and negotiations and bring about cultural advantages of branding.

Page 58: EADS  report

57 EADS Business Project 2010 ESC Pau – NSB Bangalore

Diversity in markets served, diversity in technology, and diversity in product.“-VP SPACE , Craig R cooning.

Community and Society

“We will provide a safe workplace and protect the environment. We will promote the health and well-being of Boeing people and their families. We will work with our communities by volunteering and financially supporting education and other worthy causes.” From Boeing official external website

Astrium Interview:” Yes Eads as his on foundation “the EADS foundation” which is involved into many CSR issues & eco friendly actions.” ”EADS is involved into environmental responsibility strategy and eco efficiency. Environmental issues are integrated in the company via several measure (ISO 14001).”

Community activities are being organized

CSR can be a major source of brand popularization in India to build credibility and genuineness.

Employees ‘Employee/Retiree’ link in website at the top of the website is an indication of how important employees are. Boeing had a negative impression

For my division most of the people working with me are expatriates for a short period of time. They come from Europe (visiting employees) There is very few people working

Diversity is less at EADS , in India. Employee link not present in Astrium website.

Add a link for employees in the website Employees are major source of branding and communication. Identify ways to use 15,000

Page 59: EADS  report

58 EADS Business Project 2010 ESC Pau – NSB Bangalore

about employee management some years back, which they have recently worked upon to improve its public perception and talent retension. “We value the skills, strengths and perspectives of our diverse team. We will foster a participatory workplace that enables people to get involved in making decisions about their work that advance our common business objectives.”

in my division in Bangalore All employees are engineer specialized in Aerospace.

employees to boost the brand image

Customers and Partners

Boeing has India listed in its website as its partner Brand equity based on customer is a top priority at Boeing” “We have the right products at the right time, and as we continue

Astrium Interview:” We work jointly with the Ministry of defense which is our major customer in India.We are considered in India as the premier partners of ISRO.”” Our business partners and

Has strong partners and customers in India. Customers are a major source and motivation for branding.

Partner list of Astrium does not list India partners currently. Can benefit from co-branding and association branding

Page 60: EADS  report

59 EADS Business Project 2010 ESC Pau – NSB Bangalore

to develop relationships with customers new and old” - VP SPACE , Craig R cooning

competitor will recognize Astrium because of its notoriety.”

Name/Logo/Slogan Boeing operates on the principle of Oneness in its name, logo and slogan reflects its identity and its vision to be a single integrated company. The space division is merely a divison at EADS and the branding and communication efforts are not different from that of Boeing Company itself. An enterprisewide team has worked to ensure that the brand stays current, represents Boeing as one company,and properly supports the work Boeing employees are

Astrium is the name given to the EADS space company. Its logo is different from that of EADS and each division has spate logo and slogans. While it has its own advantages , and political corporate reasons , it bring about more chaos in brand identification, brand building and brand consolidation efforts. EADS introduced one more name recently for its defese division.

“A name that doesn't mean anything to your clients and customers isn't very useful, and having too many names for subdivisions that customers can't tell apart just undermines your primary brand name.“

EADS should put more efforts in establishing the parent company brand to take advantage of the branding efforts by the subsidiaries , which can bring about lots of advantages including costs. Boeing may be capitalizing on this aswell.

Page 61: EADS  report

60 EADS Business Project 2010 ESC Pau – NSB Bangalore

doing to fulfill promises and work toward being the world’s best and best-integrated aerospace company. Look at the words “ Boeing as one company” “ best-integrated aerospace company” , these have been the focus of Boeing’s enterprise wide team working on brand at Boeing.

Branding Division Boeing has an Independent Branding division which was given complete authority when branding was set as a top priority at Boeing in 2006. It has come up with a plan for branding and effective ways of branding , including a new visualization technique

Is there a division for branding at EADS? Any tools for brand perception?” No tool existing in the company”

Branding like any other activity has to be a top priority as it has added advantages which can boost the company revenues. A division inside the company or a third party association for branding activity can bring a lot of difference. “Often convincing the top

Page 62: EADS  report

61 EADS Business Project 2010 ESC Pau – NSB Bangalore

which it claims has since then been used for its branding strategies.

management for spending on branding is seen as a challenge( Kotler)

References: http://www.boeing.com/news/speeches/2010/cooning_100908.html http://www.investorcalendar.com/includes/PRNPressRelease.asp?ID=1795752

http://www.finchannel.com/Main_News/Business/71998_Boeing_Submits_Final_Bid_for_International_Space

_Station_Cargo_Contract/

Page 63: EADS  report

62 EADS Business Project 2010 ESC Pau – NSB Bangalore

Recommendations

After all the analysis we have done above, we have tried to make practical and

suitable recommendations for EADS in India. First, you will find global recommendations for

the entire group in India that can be apply for all the divisions mixed up. Then we have done

a second part in which we detail specific recommendations for each division. Notice that we

have made those recommendations without any communication budget planned.

Global recommendations EADS India.

While setting up a communication strategy, the first thing we have to define is: which

audience the message has to be addressed to?

We have seen that EADS is known with its consumers, but the company wants to be

known to the general audience / mass market. Therefore, it has to define the relevant target

to work on.

We have selected 3 types of segments:

- Engineers, future engineers, young active people.

- Rich people who may be interesting in buying Private Jets or Helicopters.

- Rest of the market – general audience, including very young people to whom EADS can

create passion for the aerospace industry.

Because India is a huge country for hiring engineers, it seems that the main target should

be that kind of population. Indeed, EADS brands need to get people aware about them, not

only willing to sell their product. India is the biggest market to hire engineers over the world,

thus target should be engineers, future engineers, young active people…Once this target is

aware of EADS brands, it will be easier to be known with the rest of the market. Indeed, the

idea is to focus on the engineer population but we also have to think about the other targets

as rich people and mass market.

As the target is defined, we have to think about which kind of message that population is

sensitive to.

1. Build up brand identity – communicate on Performance, Success and Citizenship

involvement.

Indeed, as we showed in the first part of our analysis, the brand identity prism will be a

good tool to build the image of some EADS brands, especially those very new to the

audience (Cassidian,…), and be perceived as the firm wants to be. In order to improve that

prism and get the branding more effective, we can also use the 4 dimensions branding

model (T.Gaed) in which a good brand strategy is built on four dimensions: the functional,

Page 64: EADS  report

63 EADS Business Project 2010 ESC Pau – NSB Bangalore

the mental, the spiritual and the social dimension. The functional dimension concerns the

perception of benefit of the product or service associated with the brand, the social

dimension concerns the ability to create identification with the group, the spiritual

dimension is the perception of global or local responsibility and the mental dimension is the

ability to support the individual mentally.

It seems that Indians are not very sensitive to the environmental issues but much more

on the economic development, wealth / revenue, R&D, performance. Moreover, EADS has

to be ‘Glocal’, being global while acting local. They need to adapt with local culture and

values.

Thus, we suggest an EADS positioning map that can be used for each brand to better

understand how the brand has to be perceived and then, get known easier with the target

which will be more sensitive to those messages that seem to be important for them. We put

the current position of Boeing as we perceived it. We feel that Boeing is doing well in

communicating on those fields, but we also think that EADS has much more concrete actions

even if they are not communicating very well on those topics.

In order to get the engineer population aware of EADS brands, we have to think about

the Employer Brand Equity concept. Moreover, we have been told that the turnover in EADS

divisions is very high, it is also an issue that can be tackle with this concept.

According to Hashim Fadzil Ariffin (Study of the relationship between employer branding,

employer attraction and employee productivity): “ brands are among a firm’s most valuable

assets and as a result, brand management is a key activity in many firms. The application of

branding principles to human resource management has been termed “employer branding.”

Increasingly, firms are using employer branding to attract recruits and assure that current

employees are engaged in the culture and the strategy of the firm. The employer brand puts

Volunteer in fostering development

No technology and K transfer

Poor community involvement

Knowledge and ressources shared

EADS

BOEING

Page 65: EADS  report

64 EADS Business Project 2010 ESC Pau – NSB Bangalore

forth an image showing the organization as a good place to work (Sullivan, 2004). The

interest in employer branding is evident by numerous articles on the topic in the business

and practitioner press (Frook, 2001; Eisenberg et al., 2001). Internet searches using Google

and Yahoo! each yield over 3,000 hits for the term “employer branding” (Backhaus and

Tikoo, 2004). Firms appear to be expending considerable resources on employer branding

campaigns, indicating that they are finding value in the practice. According to the

Conference Board report on employer branding (Conference Board, 2001), organizations

have found that effective employer branding leads to competitive advantage, helps

employees internalize company values and assists in employee retention. “

The perception of faculties, students, job seekers, about the company reputation and

their beliefs regarding aspects of the job (pay, chances for development…) is very important.

It is moreover critical that it can impact EADS employee’s efficiency, productivity and get the

turnover lower.

EADS company, as a firm which wants to be part of the country, needs to innovate in

terms of human resources / recruitment. Indeed, we advocate that the company

communicate on its jobs aspects and, above all, say that they hire women as men, no

discriminations; that they will have same chances for career development, etc…

Once the message that EADS wants to deliver is defined, it needs to be spread through

media.

2. Build up a page / link in each division website dedicated to activities in India.

We have seen that BOEING built a website entirely dedicated to their activities in India

all divisions mixed up. As EADS did not choose the same communication strategy, it could be

relevant to add a page/ link in each EADS division website about what happen in India.

Important aspects as to be highlighted:

- Locations over the country

- Latest news

- Activities & Services

- Employee Interviews

- Press center / events

- Career opportunities

EADS Brand Equit

Employer Brand

Association

Organization Identity

Organizational Culture

Employer Brand

Loyalty

Employer Image

Employer Attraction

Employee Productivi

Page 66: EADS  report

65 EADS Business Project 2010 ESC Pau – NSB Bangalore

Another point to be fixed, is that there is no recall of company’s culture and values, at

least in the global website of each division.

3. Press strategy

A) Create press advertising inserts for each division.

Advertising is a very efficient way to communicate but it can be synonymous of leakage if

it is not well targeted. However, we define the target being engineers, future engineers,

young active people…

Therefore, EADS divisions need to communicate trough business magazines, newspapers,

specialized press, etc… by putting corporate advertizing inserts, spreading messages about

their image and their projects in India.

Indeed, the use of that kind of press and above all, specialized press is advantageous

as the readers will more than likely be involved in the industry or at least have an interest in

the industry. Through specialized press the company can advertise more in-depth as the

readers will be educated in the industry. Through that means to communicate the company

can even advertise technical specifications of some of its commercial airplanes to its

corporate clients.

See in the section below, which kind of press can be chosen for promoting each brand.

B) Hire a ‘Press Attaché ‘ for EADS India

That person will have to make the company / brand famous as a main goal. He/she will

be in charge of the Press Relations and will have missions like:

- Send information about brands to Indian newspapers.

- Answer journalist’s questions.

- Organize press conference over the country.

- …

4. Create internet advertising inserts for each division.

EADS wants to be known with its customers but also with general audience. Therefore,

advertising inserts on relevant websites could permit EADS brands to get a wide visual

impact and be known with new people.

See in the section below, which website can be chosen for promoting each brand.

5. Improve EADS presence on Indian exhibitions.

We advocate that EADS has to build a new plan for the exhibitions they want to be in.

What we suggest as an EADS exhibition stand:

Page 67: EADS  report

66 EADS Business Project 2010 ESC Pau – NSB Bangalore

- The usual stand with EADS sign and emphasized division signs.

- A representative for each brand.

- A module dedicated to career opportunities at EADS.

It could also be a good way to get known, if the company offers some invitations to visit

the exhibition, targeting students from big local universities.

6. Develop Corporate Social Responsibility.

We have said before that it seems that Indians are not currently very sensitive to the

environmental issues, thus we think that it is not the main point to communicate on right

now. EADS is not only doing business in India but also participate in developing the

economy. They have to communicate on this aspect and moreover on the local adaptability

by respecting the Indian culture, values and traditions. The company has to show its

involvement in the community and be seen has an Indian citizen.

As Boeing is doing, it could be relevant to create a corporate citizenship in India, under

the name of EADS or under division’s names. A sponsorship with local associations may help

the company to be known while improving its brand image and reputation. Trough that kind

of action, EADS can stress on the affective and relationship aspect of their brand identity by

appearing a ‘willing to help’ / volunteer company. If EADS is already doing so, there is an

evident need to communicate better on this field

Example: sponsorship with SDD (Society for the Development of the Depressed) and help

children to access the education, to develop a passion for the aerospace sector by offering

little model planes, a visit on production site, or why not, a short flight over one city for

some children who have never taken off… This list of ideas is not exhaustive. (-> see the

appendix for more information about SDD)

Specific recommendations for each division.

AIRBUS

After the benchmarking, we understand that Boeing is doing much more communication

than Airbus in India, but Airbus has more competitive advantage, because Boeing

communication is not always the reality in India or inside their company.

The first recommendation for Airbus is to create dedicated website for India. India is a big

country, so airline traffic will increase, and at the same time India is the new engineer pool.

Airbus has to develop this website, and it has to be upgraded in order to speak about

activities of Airbus in India, to promote some event where Airbus is and to propose jobs and

internship in India. This website can be link with social network and more especially tweeter,

Page 68: EADS  report

67 EADS Business Project 2010 ESC Pau – NSB Bangalore

in which lots of Indians are present and it is possible to create some events. For social

network, linkedin.com is also a good platform to recruit, and to promote the brand. It could

be useful to develop an Indian Airbus Linkedin profile, in order to find new employees and to

create a community around Airbus in India.

Airbus starting to develop relationship with Indian universities, and has to carry on, but at

the same time, to develop an human resource communication, to explain what they is doing

Airbus in those universities, and to catch talent, for their company. Universities are useful for

research project, but also for recruitment, because students know the company, how they

are working, and which type of jobs are available. At the same time, engineers who are

working in other company, will know Airbus, and if they have initiative they can promote

Airbus solutions for their company.

Another important point is to develop the relationship with kingfisher airline. This company

holds 66 Airbus planes and had order 130 planes including five A380. Kingfisher is not a

customer; it is a real showroom for Airbus, a real partner and Kingfisher is a famous

company in India, and Airbus can profit of Kingfisher notoriety, and both companies can

develop some events for customers. For example, Airbus and Kingfisher can develop an

event in 2014 for the first delivery of the A380 in India, and the first A380 of Kingfisher.

Airbus and Kingfisher can make a turn in each big city in India, with the promotion of

traveling in India and abroad in a famous Indian company, with the bigger and the most

innovative plane. Everybody has to be involved in this event, in order to develop notoriety of

Airbus in India and at the same time, to show the CSR policy of Airbus, they are doing

business in India, but also helping India.

CASSIDIAN

During our interview, we have been told that the brand ‘Eurofighter’ is too much

emphasized; it needs to be more on Cassidian brand. As we have applied the brand identity

prism to EADS, it should be necessary to use it for Cassidian in order to create an image and

build the message they want to communicate on. The interviewee also said that the

positioning for the brand was very difficult because it was named ‘EADS D&S’, now Cassidian

is a brand new name and starts from zero regarding the communication strategy. Therefore

it is very important that this brand communicate now.

a) Web and Press advertizing inserts:

The idea of the engineering center coming opening could be use to stress on figures,

employment, etc… Need to communicate on the economic impact for the country.

Online advertizing inserts:

Page 69: EADS  report

68 EADS Business Project 2010 ESC Pau – NSB Bangalore

Here you will find some relevant website address that can be interesting in posting

advertizing but the list is not exhaustive:

- www.india-defence.com

- www.indiadefence.com

- www.indiadefencereview.com

- …

Press advertizing inserts:

Here you will find some relevant newspaper in which Cassidian can put advertizing

inserts (list is not exhaustive):

- The times of India

- Business standard

- Financial Express

- Deccan Herald (Bangalore)

- The Hindu

- The new Indian Express

- …

b) Events:

As we have been said during the interview, Cassidian sponsored for the first time a

conference with the Aeronautical Society of India in Bangalore in October 2010. This kind of

action is a good way to show to the audience how important is Cassidian in the Indian

economy, that it is a big actor in the business places. Therefore, the company should

definitely keep on sponsoring that kind of event.

EADS/ Cassidian was present at the DEFEXPO 2010 (New Delhi). We recommend that the

company think about the INDESEC Expo (New Delhi) which is international and welcomes a

lot of exhibitors and visitors; it is supported by the Ministry of Home Affairs and Government

of India.

Visitor Profile:

Central Government

• Ministry of Home Affairs

• Ministry of External Affairs

• Ministry of Shipping

• Ministry of Civil Aviation

• Ministry of Defence

Page 70: EADS  report

69 EADS Business Project 2010 ESC Pau – NSB Bangalore

• Central Police and Paramilitary Forces

• Border Security Force

• Bureau of Police Research and Development

• Central Bureau of Investigation

• Central Industrial Security Force

• Central Reserve Police Force

• Indo-Tibetan Border Police Force

• Narcotics Control Bureau

• National Security Guard

• Special Protection Group

• Railway Protection Force

• Sahastra Seema Bal

Ministry of Defence (MOD)

• Indian Navy

• Indian Coastguard

• Indian Air Force

• Indian Army

• Central Government Departments

• Department of Defence Production

• Department of Space

• National Disaster Management Authority

• Ordnance Factory Board

• The Bureau of Civil Aviation Security

• Defence Research and Development - Organisation

Institutes and Colleges

• Centre for Air Power Studies

• Centre for Joint Warfare Studies

• National Civil Defence College

• The Institute for Defence Studies and Analysis

• The United Services Institute of India

State Government and Police

Ports and Shipping Companies

International Delhi-based Embassies

Some exhibitors:

• BAE Systems

• ERICSSON

• Wipro

Page 71: EADS  report

70 EADS Business Project 2010 ESC Pau – NSB Bangalore

Cassidian needs to participate in the next AeroIndia Airshow and keep on participating in

that kind of event.

c) Sponsorship:

Cassidian plans to open an Engineering Center in Bangalore area, as airbus did. It is an

event that is very important to communicate on, but also to use. Indeed, it is an opportunity

to get Cassidian known with its target. It has to approach universities for its recruitment and

collaborative research. Just like Boeing, it should create partnership whit strategic

institutions that can permit Cassidian to be present in students and other stakeholder minds

as well as getting a faster development of the brand.

EUROCOPTER

- The Indian subsidiary should engage in JVs/collaborations with major players like

Tata/Kingfisher to gain a stronger foothold in the private market

- They should utilize all available media platforms (TV, Newspapers, Indian magazines,

other Internet sites, blogs, SNS etc) to increase awareness and visibility

- They could conduct visits to major educational institutions (institutes of space

technology, universities), make brief presentations about the Division/EADS and offer

passes for students to attend major Indian air shows organized by Eurocopter.

- Implement scholarships/internships and tieups with IITs and other universities across

India to attract and retain the best talent (engineers, physicists, scientists)

ASTRIUM

Website –

• Avoid visual clutter

• Add more drop downs and sub menus

• Avoid mistakes

• sober colors and simple and integrated look and feel

• India location and partnership (and career)

Social Networking –

• This is the latest marketing and communication strategy.

• Adding secured links of social networking in the pages where it is useful can be good

for communication

Page 72: EADS  report

71 EADS Business Project 2010 ESC Pau – NSB Bangalore

• Figure out ways of making secured networking and filtered communication and make

using these tools which are strategically advantageous

• Develop own networking and communication tools but this cannot be neglected.

Print Media and advertising In India –

• Non electronic communication cannot be neglected

• News papers and specialized print and press is a big way of mass communication

• Featured advertisement , programs in discovery channel , National channels.

• 5.9 % - Internet ; 58.6% mobile , 80 % Television (national channels)

Branding and Communication Division –

• New brand building, new division or third party for branding.

• Clear understanding of the branding and communication strategy to be made in

India ( e.g. cultural differences ) can save a lot of bucks before investing.

• Can build themes for communication (Boeing – oneness ; Unity in Diversity -EADS)

• Build the parent brand in a strong way to fetch multiplying effects of the branding

activities.

• Work on Brand identification and penetration into the masses.

Page 73: EADS  report

72 EADS Business Project 2010 ESC Pau – NSB Bangalore

CONCLUSION

Along this report, we have tried to compare BOEING and EADS communication strategy in India regarding their divisions. Indeed, our methodology was based on qualitative study, interviews and discussions with EADS collaborators. Thus, we retranscripted our feelings about what found, what we learnt and what we observed.

Our results showed that BOEING as a better communication strategy than EADS but

while having deeper research and study, it seems that EADS has much more concrete actions over the country.

Therefore, the company and its divisions have to make an effort in communicating on

those actions. We have seen that it has got all the tools and means in order to create a good communication strategy. As we advocate in our recommendations, there are 2 important point to work on:

- Create a page or a link in each division website dedicated to their activities in

India. - Set up strong and strategic partnership with local universities and institutions. As we have explained in the first part of our report, EADS has a new communication

strategy. Indeed, EADS is now a guarantee brand for Airbus, Cassidian, Astrium and Eurocopter. EADS brand divisions are not very famous in India but airbus which is the most famous, and it worth for all over the world. We have been told that EADS is not very famous (but in Europe) or even not well perceived like not having a good image and reputation sometimes.

Knowing that, it is difficult to forecast if EADS will work as a guarantee brand in India.

Here, could the guarantee brand have been Airbus that is the famous brand and lead the brand portfolio of EADS ?

Page 74: EADS  report

73 EADS Business Project 2010 ESC Pau – NSB Bangalore