P A R T N E R SFORMING PARTNERSHIPSTHAT LASTIn the past year, we signed MOUs with:•Clipsal Integrated Systems PteLtd to co-operate on business opportunities,delivering a range of nextgenerationsmart home technologies tocater to the demand for fullynetworked homes across Asia Pacific.•ILOG (S) Pte Ltd to serve escalatingdemands for mission-critical softwaresolutions in HK.•Infomatec IAS Asia Limited tojointly deliver innovative solutions forIntelligent Building ManagementSystems in HK, providing customerswith more flexibility in using informationappliances in homes and offices,enabling easy net surfing for everyone.•DRS <strong>Technologies</strong> to collaborate inthe US and Asia Pacific region in theareas of defence electronics systemsand communications and surveillancesystems.•User Technology Associates tojointly market each other’s products inthe US and Asia Pacific region. UTAhas a range of IT and softwaresolutions.We formed Joint Ventures with:•SMRT <strong>Engineering</strong> Pte Ltd to setup Transys Pte Ltd, to develop andmarket various rail related products in<strong>Singapore</strong> and the Asia Pacific region.•Grupo Ferrominero, S.A. de C.V. toset up GFM Electronics S.A. de C.V., ajoint venture company to promote,distribute and market our electronicand high technology products andservices (security systems for homes,offices, buildings and facilities; LEDtraffic lights, traffic management andradio communications systems) and tocarry out any other electronic systembasedprojects in Mexico.control and information systems. Itallows developers to focus uponsolving their customers’ businessproblems, rather than technical ones.The re-usable CAP helps cutdevelopment effort, schedules risk,and generally increases the competitivenessof SES in its key businessareas. Ready for use in early 2000,the CAP is today actively utilised ineight projects embracing a wide businessarea that includes defence, lawenforcement and international business.In February, SES was presentedwith Hewlett-Packard’s Top SystemIntegrator Award for 1999 in recognitionof its efforts in winning projectsin partnership for end-to-endintegration of large-scale projects.SES developed a used car auctionsoftware system for STA InspectionPte Ltd.The system allows the buyingand selling of used cars throughthe Internet via “juzclickcar.com.sg.”Our simulation capabilities wereshowcased at the Asian Aerospace2000 exhibition through our subsidiary,ST Training & Simulation PteLtd (STTS). STTS’ twin-seater fighteraircraft simulator was a hit withvisitors to the site.In March, STTS won two majorair-platform simulator contractsagainst big international defencesimulator players and continued toincrease its presence in the regionalmarket securing another two simulatormaintenance contracts.Our entry into the commercialtrain cab simulation market was ledby the successful delivery of threecab simulators to <strong>Singapore</strong> MRTLtd (SMRT) in October.This breakthrough is timely ascountries in Asia are gearing up toexpand their railway networks as themain mode of public transportation,thus presenting opportunities forfurther growth in the commercialsimulation and training arena.On the strategic collaborationfront, STTS established a tie-upwith Logicon International Inc., aNorthrop Grumman Corporationcompany, to pursue informationsystem/information technologyopportunities in regional and globalmarkets. STTS and British Aerospaceentered into a co-operation agreementwith the purpose of undertakingjoint research and developmentprogrammes.POSITIONED FOR THEE-ECONOMY AND THEWIRELESS WORLDWe seek to respond to real needs inthe e-economy, and have beenadvancing in this sector despite thetroubles it has seen in the past year.Our e-business initiatives include anoffice application on-tap designedthrough SES.This allows businessesand organisations to conduct internalsurveys, effectively manage humanresource, allocate resources andother in-company administration.With some minor configurations, anyorganisation becomes wired to experiencefreedom of office administration,at anytime and from anywherein the world within minutes.STTS established an e-businessunit in May. KnowledgeAlive.comwill concentrate on e-learningand knowledge management.Thesalient feature of this site is learningat one’s own pace anywhereand anytime, as long as one isconnected to the Internet. STTS isa strategic e-business partner withestablished companies like Oracleand Interwise.Our in-house designand manufacturingcapabilities providea full array ofsophisticated microwavecomponentsand communicationsystems to meetindustry standards.Another e-initiative we developedoffers an exciting and innovativedimension in online advertising andprovides more interaction and funin surfing experience to the onlinecommunity. Using steganographytechnologies, non-intrusive images,sound and video clips could be“hidden” in the image or sound fileof sponsors’ websites.JuzClickcal was launched inApril by the LSG. It is designed forour calibration services customers.JuzClickcal is a B2B portal thatprovides them with better servicesfor monitoring and maintenancescheduling of their inventory list.The emergence of severalwireless access protocols andstandards promises exciting newwireless communication applications,such as WAP, General PacketRadio Switch (GPRS) and Bluetooth.Realising the potential ofMobile Commerce especially inInformation CommunicationsTechnology (Infocomm) areas, weinvested in Metron CommunicationCorporation. Metron designs,develops and markets wirelesscellular data solutions and willinitially focus on GPRS for GlobalSystems for Mobile Communications(GSM) cellular networks throughthe development of a GPRS chipsetand related firmware.BUSINESS REVIEWAND OUTLOOKOur strategic tie-ups includeNatsteel Electronics with who wewill penetrate the US market forinformation appliances.Working withNEC of Japan, we will utilise its efficientmanufacturing network anddistribution channels to help usreduce costs and tap into its fieldsupport network for the mass market.Weare also developing newmarkets for our transportation businessin China.We were awarded the<strong>Singapore</strong> Marina MRT Line projectin December and will continue todevelop and deliver comprehensiverail and traffic management systems,helping our regional customersimprove their transportation servicesthroughout the region.New telco players like InternetApplication Service Providers (ASP)have emerged as a result of the liberalisationof the local telecommunicationsindustry that has leveled theplaying field.We have capitalised onopportunities and developed newproducts.We have also expanded ourtelco-related business, securing newbusinesses, such as the StarHub payphonemaintenance contract and theregional depot maintenance servicefor Nokia’s base station equipment.Train drivers are now trained in our CabinSimulators before they ride the tracks.We have created a critical mass ofsubscriber base and expertise bybeefing up our wireless networkSystem Integration capabilities,broadening our product range andleveraging the support of our regionaloffices.We have reduced ourreliance on existing service providersand diversified our marketing effortsto support new telco players in theindustry.Technical consultancy servicesallow us to share our in-housedesign and manufacturing capabilities.Weprovide a full array ofsophisticated communications solutionsand components, digitalmicrowave radio for point-to-pointcommunications and motion sensingradars for use in security and lightingcontrol, mobile real-time andsimulation solutions, intelligentbuilding management system andother system integration solutions.INNOVATIVE MINDSAND A CULTURE FORCONTINUOUS LEARNINGOur success has been made possiblethrough the creativity, diligence andactive participation of our staff andpartners.They are the innovativeminds behind the transformation ofbasic technology into successfulproducts for the marketplace.Our customers trust and consultus and many have worked with us todevelop applications that are useful,cost-effective, efficient and easy touse.We believe in the importance ofR&D, recognising that a conduciveenvironment is necessary to stimulateand nurture a spirit of entrepreneurshipand innovation. Buildingupon our resources and experiences,we believe we can stride forwardwith confidence into 2001 andbeyond.82 • visionre:view • 83
R E : V I E WLand SystemsBy Wu Tzu Chien, President and Teo Boon Swee, Chief Operating OfficerWHEN SINGAPORE<strong>Technologies</strong> Automotiveacquired CharteredIndustries of <strong>Singapore</strong>,the result was a new entity superiorto the sum of its parts.We gave it aname which is not merely descriptive,but is also a declaration of whatwe are determined to be.<strong>Singapore</strong> <strong>Technologies</strong> Kinetics(ST Kinetics) was established as theLand Systems sector of ST Engg inFebruary.The ‘Kinetics’ in our namereflects the dynamism of our drivetowards greater growth and globalisationas a total land systems solutionprovider of automotive, weapons andmunition products and services. Bycombining the resources of twowell-established companies, we havebrought about synergies and criticalbusiness economies of scale in areassuch as engineering, marketing andprocurement, enabling us to streamlineoperations and to optimise ourcapabilities.PLANTING THE SEEDS OFLEARNING AND GROWTHFor us, the highlight of this year wasour response to the US Army’s callfor tenders for a major project: itsacquisition of an air-deployableInterim Armoured Vehicle (IAV) aspart of its transformation requirementsfor the 21st century.Weseized this opportunity to introduce<strong>Singapore</strong>’s very own Bionix tothe world.With intensified marketing efforts, theSAR 21 Assault Rifle is going places.January 2000. Having emergedfrom the demonstration with flyingcolours, the Bionix Infantry CarrierVehicle (ICV), was submitted as a bidsample to the US Army for evaluationat the Aberdeen ProvingGround.The fact that our BionixICV was one of the four contendersselected to take part in the evaluationis a significant milestone in ourdevelopment.The mission also saw the BionixICV going on a series of road showsthat included appearances inHuntsville,Washington D.C., NewYork and Red River, where armypersonnel, Congressional staffers,strategic business partners andmembers of the media were givena first hand encounter with thevehicle.The Bionix was widelyreported in both local and US media,and on the Internet.Our experience in being a part ofthis programme – the Army’s largestin 10 years – gained kudos for theLand Systems sector, proving ourcredibility as a defence contractorwith a superior product which canstand up to the best in the world.While disappointed that wewere not awarded the contract, webelieve that we have made a significantimpact with our first forayinto the US. Our participation hasopened doors, which will help ourefforts in future large-scale projects.Indeed, the Bionix has put us onthe world map.ANOTHER STAR IN THE MAKINGThe Bionix is not the only landsystems product that is attractingattention. As today’s most up-to-dateand advanced assault rifle in service,the SAR 21 has drawn tremendousinterest from both military and lawenforcement users.The Bionix was among 36 vehiclesfrom 11 countries taking partin a Platform PerformanceDemonstration conducted in FortKnox from December 1999 toParticipating in the US IAV programmeopened doors of opportunity for the LandSystems sector in international marketingand acquisition of design capabilities.re:view • 85
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