Special Report For a more customer-centric branded business Brand News_09_EN.… · 06 2013 Delta...

32
Special Report For a more customer-centric branded business - Go To Market 2013 Delta Group’s Global Strategy Meeting Brand People From Thailand to the world: DET's road to transformation An interview with DET President Henry Shieh Delta Green Life Beijing to Paris: Eco-tour was not a bit difficult

Transcript of Special Report For a more customer-centric branded business Brand News_09_EN.… · 06 2013 Delta...

Special Report

For a more customer-centric branded business - Go To Market2013 Delta Group’s Global Strategy MeetingBrand People

From Thailand to the world: DET's road to transformationAn interview with DET President Henry ShiehDelta Green Life

Beijing to Paris: Eco-tour was not a bit difficult

From the Editor Special Report02 For a more customer-centric branded business – Go To Market06 2013 Delta Group’s Global Strategy Meeting

Brand Circle07 Delta demonstrates integrated power of energy solutions at Hannover Messe 201310 Delta wins awards across the Strait11 Delta teams up with Softstart UK to enter UK industrial automation market11 Computex Taipei 2013 preview12 Delta unveils new Ultron DPS series UPS with a power rating extension12 Delta's Modulon UPS series provides competitiveness, energy savings and emission reduction to China's telecom sector13 Delta demonstrates the datacenter infrastructure solutions in DatacenterDynamics Converged13 SLBU holds the 1st distributor annual conference14 Eco-tourism at Sun Moon Lake: Delta EV charging solution with Toyota hybrid cars14 DeltaPSU Introduces 24V 10W and 24V 100W Chrome DIN Rail Power Supplies15 Delta display & control system partner event held in Beijing 15 Delta (China) holds the 1st SMT production technology forum16 Great performance in PV system construction for Delta GreenTech China16 Delta enters the Zhongfa Electronics Market to cultivate industrial power supply sales 17 Delta IA roadshow to visit industrial centers south of Yangtze17 Delta wins three awards at CAIAC 201318 Delta GreenTech signs cooperation agreement with Anhui University18 Delta (Shanghai) begins the energy education volunteer recruitment

Brand People19 From Thailand to the world: DET's road to transformation

An interview with DET President Henry Shieh

Brand Academy23 Continuous customer communication: The road to branding

An interview with Dominique Xardel - Founder of marketing and branding master of leading brands in Europe

News Station27 News Station

Delta Green Life28 Living a brand new day on the 4.6 billion-year-old Earth28 Beijing to Paris: Eco-tour was not a bit difficult30 Delta Electronics Foundation supports for Earth Day30 Energy Education Land at Delta Foundation begins operation

CONTENTS Brand NewsJUNE 2013

127

Delta Brand News Bi-Monthly December 1, 2011 founded

Publisher: Ping Cheng Editor in Chief: Shan-Shan GuoEditorial Board: Andy Liu, CS Chang, Charlie Pai, Jack Lin, Jesse Chou, May Wu, Yiching Chang, Sherry Lin, Sonia Wang, Wim Chang, Yi-Wen WangEditor: Maggie Hsia, Milo Tseng, Shalom Hung, Thomas Chang

All rights reserved. For further information, please contact Brand Management Office: [email protected]

19232728

01Brand News

Early April, it snowed gently in Hannover, Germany. More than 70 Delta employees from all over the world joined our exhibition at the Hannover Messe, the world’s leading trade fair for industrial technology. It was the second time for Delta to attend this annual global event as a group. Through an exhibition consisting of more than 26 system integration solutions, we demonstrated the prowess of Delta in industrial automation, power supply, energy management, and system integration. Observing the scale of our participation this year, GM Simon Chang reminisced about the days when IABG participated in the trade fair alone. Starting from a small booth, IABG gradually established our reputation at Hannover after each presence. The exalted profile of Delta at Hannover Messe today owes much to the ground building effort IABG made over time. To celebrate this respectable perseverance, we invited IAPG to share with us pictures taken in the previous Hannover Messe. These pictures also show us how IABG grew from a start-up team into a global business group of Delta.

Following Hannover Messe, Computex Taipei 2013 will come next on June 4. This year we combine the themes of our corporate social responsibility initiatives with the branding businesses of Delta to present an integrated narrative of Delta Sunshine Elementary School. It is a setup designed to present the smart green lifestyle we advocate in a vivid campus setting. All employees are welcome to join us at Computex Taipei 2013.

In 2013, we started a series to cover the basic elements of branding. At the beginning of the year, we talked about "quality". Next we dealt with "innovation". In the Special Report of this issue, we discuss the "Go To Market Process" for BUs/BGs to better understand this key part in the branding business.

At the Global Strategy Meeting held in late May, CEO Ping Cheng outlined the focus of operation in the next five years. Executives of the management team, BGs, BUs, and Regions joined to review the annual outcome projections and their strategic plans. The meeting this year highlighted and focused on Management Diagnosis Panel sessions, designed for executives to fully exchange their opinions.

In the "Brand People" column, we interviewed DET President Henry Shieh. Under his leadership, DET won The Prime Minister's Industry Award three times and The Prime Minister’s Best Industry Award last year. Over the past decade or so, how Shieh successfully transformed DET twice and brought DET to the world is reported in detail in this issue.

In early May, I participated in the 9th Corporate Social Responsibility Prize Ceremony held by Global Views Monthly. Delta won the first prize in the "Overall Performance Category" and "Environmental Protection Category" for our total energy saving outcomes and the "Ring of Celestial Bliss" installation at the Taiwan Lantern Festival 2013. This double honor is unprecedented. It is also the third time for us to win the top overall CSR Award from Global Views Monthly since 2010. Founder Bruce Cheng and Chairman Yancey Hai attended the ceremony to receive the awards in person, underlining how we value our social responsibility within the overall corporate profile. In the current issue, we will share with you the story and the honor.

Shan-Shan Guo,Brand Management Office

From the Editor

02Brand News

< Text by Brand Management Office >

When Delta was establishing a solid foundation in the OEM/ODM business, its focus was on enhancing technical and manufacturing capacity. Periodic discussion with key accounts about their requirements was the main practice for capturing market movements and planning product roadmaps. When the branded business gradually became the organizational mainstream, it was necessary for employees to return to the product roadmap. The brand management process starts with the demands of end-users and distributors and the ability to successfully promote products and its end results include the brand mind share of customers and product end-users.

The go-to-market (GTM) timeframe is the simplest way to pinpoint the difference between the operational processes of the OEM/ODM and branded businesses. As shown below, components from top to bottom include product conceptualization, technology R&D, product manufacture, product marketing, product sales, channel development, and service support. The latter four components are collectively known as the "GTM process", which identifies the differences between OEM/ODM and branded business practices.

In this special report, we will share considerations and actions in the "GTM process" with a case study on MCISBU.

One after another: Collaboration

"What is the progress of the sales kit?"

"Are the press release, copy, and catalogue finalized? Is the campaign schedule updated?"

"When will the product and customer service training for distributors be completed?"

Before launching a new product, the MCISBU always reviews each part of the GTM preparation at periodic GTM meetings. Functional units participating in the meetings include the PJM (project manager) responsible for the entire product development project, the PM (product manager) responsible for the product strategy at the front end, the PMM (product marketing manager) responsible for the marketing and promotion of products at the back end, the AM (account manager) responsible for customer/distributor cultivation and management, and CS (customer service). The MCIS has already implemented the GTM process for a long time.

For the OEM/ODM business, the AM plays the key role in managing and enforcing customer requirements. For the branded business, the PM and PMM+AM are the key roles for product development and market promotion.

For a more customer-centric branded business – Go To Market

Special Report

1

Feedback from the targeted markets

OEM/ODM focus on technology R&D and product manufacture while branded business focus on the whole process.

Product Conceptualization

Product Marketing

Product Sales Service Support

ChannelDevelopment

Technology R&D

Product Manufacture

03Brand News

Special Report

The OEM/ODM business emphasizes compliance with the specifications and quality requirements of customers, punctual delivery, technical and manufacturing supremacy, capacity and efficiency enhancement, and cost reduction. The branded business adds NPI (new product introduction) at the front end, GTM preparation at the back end, sales and service after launch, market share and brand awareness, as well as product innovation and differentiation.

Each world-leading brand, such as Apple, Samsung, and Siemens, has its own management mechanism to differentiate products to fulfill the demands of consumers (customers) in different parts of the world. This is an important core competence of every branded business company. In addition, after capturing the individual demands of different markets and different groups in the world, front-line personnel of a branded business company externalize these selling points into ideas or specifications, and send them to an OEM/ODM company to manufacture the requested products. In this model, the role of an OEM/ODM company is the agent offering the best solution for a set of well-defined requirements. Basically, any OEM/ODM company providing solutions and results can score high (revenue). These solutions and outcomes can be production speed, production scale, cost reduction, quality management, production management, and more.

For the branded business, however, apart from the basic OEM/ODM requirements, it needs extra abilities. Although Europe is a regional market, user habits and demands in different countries and industries varied and diverse, and distributor management must not be overlooked. It is necessary to ensure product development and market promotion before entering the branded business market. This is the only way to promote circulation and help businesses solve different challenges.

Communications synchronization and synergy generated

Take the GTM process of MCIS for example: The PM is responsible for the GTM preparation from NPI to EVT (engineering verifications test). After the EVT, the PM hands the project over to the PMM to plan and implement the GTM work, including capturing the schedule of the DVT (design verifications test) and PVT (production verifications test) to the GTM for individual markets, and implementing GTM with local market AMs.

The GTM preparation is the high point for a branded business company. In general, the PMM needs to hold the GTM kick-off meeting six to eight weeks before launch. As the launch date approaches, the number of GTM kick-off meetings also increases. Apart from the PMM, other units include project planners like the PJM, PM, and AM, and customer service. The complicated GTM review procedures helping the PMM to confirm the completion of each checkpoint can be categorized in terms of the 4P's, namely: product (degree of completion of verification tests), place (establishment of distribution strategies), price (confirmation of pricing strategy), and promotion (planning of launch promotional activities). The GTM meeting is an interdepartmental communication and control platform. The departments working

The consistent communications messages were synchronized by GTM meeting.

04Brand News

Special Report

individually will now review each work item with a magnifying glass. Besides combining strengths, this platform ensures the synchronization of internal GTM work and the coherence of external communication after GTM.

What is coherence in communication? The Delta Ultron HPS Series to be launched by MCIS is a good example: If the product communication concept is defined as "power and cost efficiency", this will be the only message that appears in press releases, ads, catalogues, and sales techniques for sales reps. With this message, all parties are on the same channel.

More knowledge is required to determine when to give the "go" for the GTM process. Perhaps a product was launched, publicity materials were in position, AMs and sales reps aggressively cultivated customers and accepted orders, but the final DVT/PVT was not complete, and personnel failed to consider the production and delivery lead-times after mass production. As a result, sales reps brought in as many orders as they could, but the factory was unable to supply products as scheduled.

From this lesson, MCIS learned how to adjust its pace and its need for forming a full GTM review panel to ensure all parts of the GTM are completed before product launch.

Market orientation and feedback

"Is the product easy to use?" "What services do consumers need?" "What are the potential services?" "What post-delivery services are needed to enrich user experience?" These are the standards observed by all consumer brands, and the same as industrial brands such as Siemens, Schneider, Emerson, ABB, and more. The end requirement of customers or the user experience is usually a very important source of NPI.

Instead of the only source of revenues, product sales are merely the beginning, as service subscription fees and generative or derivative opportunities count for more. Customer service is the key to ensuring a good user experience and increasing revenues. This includes the training of sales reps on the front end and customer service systems on the back end. After a product arrives in the hands of customers, questions relating to installation and use arise immediately. If we cannot provide real-time and professional customer service, this will bring severe damage to the brand. By contrast, if we can capture the potential demands for post-delivery service of customers and provide corresponding services, we can enhance brand loyalty and customer coherence to create more opportunities.

At the Strategy Meeting 2013, Mr. Ping Cheng emphasized that Delta's missions in 2013 included: consolidating existing ODM leadership, developing the branded business and system solutions, capturing market timing and profits in new businesses, and continuously cultivating and developing regional markets. The continuous cultivation and development of regional markets are the core missions of the branded business. Instead of the surface-level customer cultivation and achievement of revenue targets, true market cultivation and development refers to thorough market localization, investigation of market and customer demands, SWOT analysis, and real-time feedback to headquarters.

With over forty years of manufacturing experience, Delta Electronics has established a positive and quality brand image in the minds of customers. When transforming from an OEM/ODM to a branded business, it is necessary to first improve the ability to capture customers and markets of sales reps and strengthen the connection between the business units and the marketing department. This helps develop the core value of the own brand and to provide customers with system integration plans and solutions. Although Delta Electronics is an outstanding OEM/

05Brand News

1︱ New products launch event are held to earn media exposure and more promotional events will be introduced afterwards

2︱ Jack Lin, MCIS Sales & Marketing manager, talks about the New Product Launch

1

2

Special Report

ODM service provider, on the road to becoming a branded business Delta must insist that actions speak louder than words. Instead of delivering products that comply with all specifications and requirements, we must spread a brand style, demonstrate a brand philosophy benefiting society, and touch people with our brand.

When running a branded business, marketing personnel must understand customer problems and the providers of solutions for these problems. In discussions with the marketing department, the product R&D department should explore all technical possibilities and show the marketing department how to influence the market, so as to attract potential customer demands. With mutual understanding true communication begins between both departments, and full communication is the only way to clearly identify market opportunities.

Continuous learning and process improvement

According to Jack Lin, MCIS Sales & Marketing manager, the GTM process for industrial brands is more or less the same, but the important things are: value positioning of the new product; market segmentation for target customers; optimization of the 4P strategies for individual markets; careful review of all GTM checkpoints; and systematic follow-up of implementation. As they say, every juggler has his own tricks. As for MCIS, we have planned the most suitable GTM process for organizational operation and have reached an understanding across departments on the same market and operating goals. For Delta's road to becoming a branded business, this is a valuable plus from MCIS.

Lin added that since the business environment and product sales in different parts of the world differ, such as sales through distributors or direct-selling to end-users, the same set of SOPs may not be applicable to all Delta BUs. Many SOPs cannot even be compared on the same grounds. However, he believes that the spirit and operating procedures of the NPI to GTM management process of the MCIS can be a good reference for other BUs.

06Brand News

Special Report

2013 Delta Group’s Global Strategy Meeting

< Text by Brand Management Office >

The Global Strategy Meeting, the most important annual event of Delta Group, began at Delta's Headquarters in Taipei on May 27. Executives from BGs, BUs, and regions across the world discussed the strategic focus and target plan of Delta at this four-day meeting. Delta management team and three independent directors all participated to express their valuable opinions for development of Delta in the next stage.

Based on 2012's consensus, CEO Ping Cheng further elaborated four strategic aspects for the next five years: (1) strengthen ODM market leadership, (2) develop branding and system integration solutions, (3) encourage cross-functional collaboration, and (4) cultivate and expand regional markets, with Power, Industrial Automation, Infrastructure, Process Management, and Building as the five main segments. He also encouraged BGs/BUs/Regions to work in unity, so as to create a new height for Delta.

Unlike past global strategy meetings which were one-session-oriented, the conference this year was divided into two sessions. The first was held in May, emphasizing "regional integration" and "product integration". BGs, BUs, and regions presented reports in turns. Through mutual exchange, a region can better understand what products and services BGs and BUs can supply and render. In return, BGs and BUs can plan different development targets for individual regions. In doing so, new business units presenting reports in July can follow the track more easily. This also allows corporate functional units to make constructive planning and suggestions with reference to the strategies and targets proposed by BGs, BUs, and Regions.

There was another change for this year. Executives were encouraged to make in-depth communication and discussions. After the 1.5-hour presentation, each BU prepared a 1.5-hour Q&A session. The management team, BG/BU executives, and independent directors formed a management diagnosis panel of sixteen to ask questions on the presentation to promote exchange and interaction with respect to market, businesses, technology and operation. This lively session also effectively helped BGs/BUs/regions to develop their business.

The four-day strategy meeting ended smoothly after heated discussions of executives. After exchanging opinions, executives from different parts of the world have a better understanding of the group's future development. Executives are looking forward to more interaction and communication in the second session held in July, so as to make the best demonstration of the group's synergy through mutual cooperation.

Executives from the world exchanged their opinions at the four-day meeting

07Brand News

Hannover Messe 2013, the world-leading trade fair for industrial technology, began on April 8. Delta displayed a full range of industrial automation solutions and building application systems with better energy-saving and smarter performance under the cooperation of ten business units, three corporate functional departments, and the EMEA team. Members of the Delta management team also participated in the fair. These included Chairman Yancey Hai, Vice Chairman Mark Ko, CEO Ping Cheng, Senior VP Simon Chang, DNI Chairman Victor Cheng, EMEA President & GM Jackie Chang, and EMEA CTO Basile Margaritis.

Industrial automation from Delta in pace with the world

At the Industrial Automation Area, the largest in Delta booth, a total of 16 industrial automation solutions and building application products were displayed. These included plant automation, elevator and door control, and the latest industrial grade automatic vision inspection systems. Delta also displayed an interactive dynamic demo system combining with precision products such as the lineal motor and AC servo drive to demonstrate the multiple axis control and drive capacity of Delta products for visitors to witness the high performance, high precision, and high efficiency of industrial automation solutions from Delta.

According to Mr. Hai, after participating in two Hannover Messe fairs, Delta observed some trends: (1) World leading manufacturers such as ABB and Kuka displayed different kinds of robotic arms at the fair, and Delta also displayed robotic-arm-related solutions and deployed business development towards this direction; (2) The importance of software is increasing, and the software engineer to hardware engineer ratio at IABU is 1:1, the highest at Delta, suggesting that Delta keeps pace with the world in industrial automation development.

2

Brand Circle

Delta demonstrates integrated power of energy solutions at Hannover Messe 2013< Text by Wendy Shih, Corporate Communications >

Delta demonstrated 26 subsystems / system integration for industrial application within energy management sector

Industr ia l automat ion systems by speci f ic application

08Brand News

Brand Circle

Energy management solutions from Delta fulfill multiple industrial applicationsThe real-time industry monitoring and visualized application blending system based on iPEMS™ based on the IoT (Internet of Things) was another highlight in Delta booth. At the fair, Delta demonstrated the iPEMS™ by transferring real-time images with an IP network over a distributive vision control system (DVCS) and displaying the monitoring data of the display area, such as temperature and humidity. During the fair, the official publication Messe Daily of the fair reported the iPEMS™ in German, allowing Delta additional exposure to the world.

Excellent performance from interdepartmental and inter-regional cooperation With the concerted effort of all units participating in the fair, Delta did a great job again at the Hannover Messe 2013. Apart from attracting thousands of professionals to enquire about Delta products, and cultivating more than 350 sales opportunities, Delta was successfully exposed in the English, German, Russian, and Chinese media through the pre-fair and in-fair media publicity during the 5-day fair. Within half a month, Delta was reported in more than 500,000 news reports. Moreover, the international press conferences, interviews with officers, and guided tour service during the fair attracted more than 50 international reporters and analysts impressed by the depth and breadth of our involvement in energy management and our brand promise "Smarter. Greener. Together."

One set of DVCS system was sold on the 1st day of exhibition

Delta management team and employees participated in Hannover Messe 2013

Outdoor advertising has drawn everyone's attention and strengthened the distribution partners and customers' impression to Delta. From left is Mr. Victor Cheng, Mr. Mark Ko and Mr. Simon Chang

09Brand News

Brand Circle

Once upon a time

Over a decade ago, led by IABG General Manager Simon Chang, a few Delta pioneers gradually introduced Delta to the market from scratch, at the same time, Delta brand value was accumulated steadily.Starting from 2012, Delta identified integrated systems and advanced technologies in energy management sectors and demonstrated our capability in Industrial Automation application as well as Power Systems. The booth size, 10 times larger than before, showed our commitment of entering European market with own branded products and systems.IABG colleagues shared us precious photos taken in the past years. Now let them take you back to Hannover of the past.

1︱ Delta booth was 36 m² back in 2001, only one tenth of 2013 booth size

2︱ Simon Chang took a picture at Delta booth with IA staff in 2003

3︱ In 2004, Delta booth was 60 m², a bit bigger than before

1

2

3

Once, there was only a small and simple booth with 36 square meterIABG team participated exhibition step by step with limited resourcesWhen Delta brand was not fully recognized by European market

10Brand News

Brand Circle

Delta wins awards across the Strait

< Text by Wendy Shih, Corporate Communications >

This April and May, Delta won a series of awards from China and Taiwan. These included the China's Top 100 Green Companies 2013 and Top 10 Private Enterprises from China and the CSR Award for Overal l Per formance and Environmental Protection from Global Views Monthly of Taiwan. In fact, Delta is the first company to win the CSR Award for two categories in the same Global Views Monthly.

Af ter winning the CSR Award from Global Views Monthly in 2010, Delta won the award for three consecut ive years. Mr. Bruce Cheng, Delta's founder and honorary chairman, and chairman Mr. Yancey Hai attended the prize presentation ceremony together to express Delta's concern about corporate social responsibility.

According to Cheng, during 2010-12, energy-saving products from Delta saved up to 9.1 billion kWh of electricity, equivalent to 4.9 million tons of CO2. Also, Delta's five certified green factory/office buildings worldwide saved up to 10 million kWh of electronic in 2012; particularly the LEED-certif ied Taoyuan R&D Center which integrated the building energy management solutions from Delta, the energy-saving performance was up to 53%.

Hai added, during the Taiwan Lantern Festival 2013, the Ring of Celestial Bliss built by Delta, with its display and LED lighting solutions, is the first building in Taiwan to pass the "carbon audit of buildings". Apart from emitting nearly 80% less CO2 than ordinary RC buildings, all the construction materials are recyclable and reusable. Delta also demonstrated the origin of the universe, civilization development, climate change, and the beauty of Taiwan in the four seasons with two videos: Sun and Moon and Four Seasons. With such, Delta urged the 12 million viewers to rethink the crises provoked by civilization. By awarding the first prize of the Environmental Protection Category for the Ring of Celestial Bliss, this is recognition of the effort of Delta.

In addition, Delta was rated China's Top 100 Green Companies 2013 and Top 10 Private Enterprises, and even the top private enterprise in China in web poll. This is the fourth consecutive year for Delta to be rated in the Top 100 Green. Executive VP Daryl Liao of Delta China received the award at the ceremony.

Delta innovative energy products win Taiwan Excellence Award

Founder Bruce Cheng (left) and Chairman Hai attended the Global Views Monthly CSR Award ceremony to receive the awards

Delta was rated China's Top 100 Green Companies 2013 and Top 10 Private Enterprises. Executive VP Daryl Liao of Delta China received the award

11Brand News

Brand Circle

The six outstanding energy-saving products designed and built by IABG, SLBU, and CMBD won the Taiwan Excellence Award, the highest honor of Taiwanese brands. Chief Brand Officer Shan-Shan Guo attended the ceremony and shared the branding efforts and outcomes of Delta employees over the past three years.

The six award-winning products included; CNC controller, programmable logic controller (AH500 series), integrated elevator drive (IED), DMV system, EV AC charger, and LED F omnidirectional bulb. These products have gone through months of assessments in R&D, design, quality, marketing, and MIT (made in Taiwan) terms, and won the award for innovation, design, and world-class quality.

Delta teams up with Softstart UK to enter UK industrial automation market

< Text by Claire Ou, IABG >

In order to further cultivate the European industrial automation market, Delta recently launched a cooperation with SoftStart UK, the leading motor control and automation equipment supplier in the UK, aiming to establish industrial automation sales channels in the UK.

Discovering the industrial automation potential of Delta at Hannover Messe 2012, Executive Director Stuart Harvey of SoftStart UK approved the energy-saving performance of industrial automation solutions from Delta. According to him, these solutions are like "hidden treasures". Harvey also appreciates the environmental protection and energy-saving corporate culture of Delta. He believes that SoftStart UK will open up more channels in Europe and the Middle East for Delta, and this will improve the industrial automation capacity of SoftStart UK at the same time to create a win-win result.

According to Harvey, drives and motors are the most common products in industrial automation, and drives and motors with inverters will be the most efficient and most effective ways to enhance energy-saving performance in the long run. Therefore, SoftStart UK will first introduce Delta's AC motors/drives, PLCs, and HMIs to the UK market. Harvey predicts 23% growth this year with Delta products.

Computex Taipei 2013 preview

< Text by Brand Management Office >

The Computex Taipei 2013 will be held from June 4-8. At the show, Delta will display applications and energy solutions relating to smart green life in the theme of "Delta Sunshine Elementary School". With the world's smallest LED projector Qumi Q7, technology-leading super short throw projector D755/751, and personal energy solutions from Innergie, we will demonstrate the future digital lifestyle for environmental protection and energy saving.

As the leader of global energy and thermal solutions, Delta voluntarily assumes its social responsibility and commitment. Over the past four decades or so, we have committed to providing innovative, clean, and energy-efficient solutions. Extending the brand commitment disclosed last year: "Smarter. Greener. Together.", apart from presenting the future smart and eco-friendly lifestyle, we will display a wide range of green products at the Computex Taipei 2013, including advanced display systems, interactive whiteboards, networking applications, LED lighting, EV charging solutions, etc. It is expected that these will become the focus of the Computex Taipei 2013.

Delta displays applications and energy solutions for smart green life in the theme of "Delta Sunshine Elementary School"

12Brand News

Brand Circle

Delta unveils new Ultron DPS series UPS with a power rating extension

< Text by Judy Wu, MCISBU >

Delta MCISBU has unveiled its new Ultron DPS Series three phase UPS with an added power rating extension from 60-120kVA, completing the series' power rating from 60-400kVA. Customers who chose the Ultron DPS Series UPS saw greater benefits due to its exceptional power performance and high system availability. With this successful worldwide launch, Delta has delivered to the market a new range of power ratings in response to a growing market.

Outstanding features are what make the Ultron DPS Series competitive, including a state-of-the-art Triple Level Inverter (TLI), three phase Power Factor Correction (FPC) topology, industry leading AC-AC efficiency, input power factor > 0.99, output power factor of 0.9, and low iTHD <3%. The Ultron DPS Series UPS is set to achieve the highest availability possible. In addition, Delta has included special enhancements for better battery management, hot-swappable fans and ease of maintenance along with the signature compact footprint. These design achievements bring a more stable power supply, higher power efficiency for a low capital investment and even lower operational costs.

Delta's Modulon UPS series provides competitiveness, energy savings and emission reduction to China's telecom sector

< Text by Judy Wu, MCISBU >

Delta's MCIS China team had provided China Mobile's Zhejiang branch and China Unicom's Hebei branch with UPS solut ions. Both organizations needed a UPS solution which could fulfill their entire operation requirements and also meet China government's energy savings and emissions reduction policies.

China Unicom's datacenter, the largest of its kind in Hebei, required ten 240kVA UPS systems for its server racks' power protection and future business development plans. For the solution, Delta provided 20 Modulon NH Plus UPS systems and 40 Power Distribution Cabinets, providing China Unicom with a fully isolated dual bus solution, an organic input/output cabinet combination, and N+X redundancy for the highest reliability and protection. Its 94% efficiency can also deliver a remarkably low total cost of ownership in terms of operating expense.

China Mobile's Zhejiang branch was looking for a UPS system to meet its requirements for 94% efficiency. Delta provided them with nine sets of the Modulon DPH Series, with full positive maintenance, fully rated power (kVA=kW), and AC-AC efficiency of 96%, which exceeded their requirements.

Delta's new Ultron DPS series UPS with a power rating extension

Delta's Modulon UPS series provides power solutions to China's telecom sector

13Brand News

Brand Circle

Delta demonstrates the datacenter infrastructure solutions in DatacenterDynamics Converged

< Text by Judy Wu, MCISBU >

Delta MCISBU par t ic ipated in DatacenterDynamics Converged for the first time in Mumbai on 23rd May, which is the world's leading peer-led datacenter conference and expo. Delta demonstrated its expertise and solutions for datacenter infrastructure with IT managers of datacenters across the globe.

Datacenters are facing three main challenges today: mission critical operations, data proliferation, and soaring energy costs. How to meet datacenter demands - high availability, high scalability and high power performance - has become an important issue in sustaining the competitiveness of business operations. In the face of such concerns, Delta demonstrated at the event the ability to provide a power management solution that meets the demand for availability, scalability and power performance.

Through modular configurations in power management perspectives, uninterruptible power supplies (UPS) and power distribution systems, datacenters can achieve different levels of reliability (Tier 1 to tier 4, TIA-942 standards). In addition, modularity is the key to rightsize - the datacenter, effectively mapping a full and complete solution to an optimal capital investment.

Delta MCIS will be demonstrating more solutions that support our clients' mission critical applications in upcoming DatacenterDynamics Converged events. Delta is committed to being the power behind your datacenter's competitiveness.

SLBU holds the 1st distributor annual conference

< Text by Julia Chiang, SLBU >

At the end of April, Solid State Lighting Business Unit (SLBU) held the first distributor annual conference at Delta Yang-Kuang Building in Taipei. This is the first time in the past three years for SLBU to invite distributors and retailers to the annual conference and was well received.

Product circulation promotion and new production introduction were the two main subjects of the annual conference this year. Attendees expressed their ideas and discussed enthusiastically. The planning and positioning of next-generation products were brain-stormed through experience sharing of distributors and retailers. The well-planned event agenda shortened the communication gap among attendees. In the next annual conference, SLBU will strengthen the connections between nationwide distributors to create higher customer satisfaction.

Delta demonstrated its expertise and solutions for datacenter infrastructures

Distributors are highly interested in the new lighting products from Delta

14Brand News

Brand Circle

Eco-tourism at Sun Moon Lake: Delta EV charging solution with Toyota hybrid cars

< Text by Brand Management Office >

The EV Sharing Pilot Project pioneered by Taiwan officially started recently at Sun Moon Lake Scenic Area. Teaming up with Toyota, which supplied its intelligent EV iQ EV and plug-in hybrid car Prius PHV, Delta set up one rental center with 28 charging stations in the scenic area to encourage EV development in Taiwan and promote eco-tourism in Sun Moon Lake. In this project, Delta deployed a total of thirty-two 7kW AC chargers and 50kW quick DC chargers and one smart charging management system. Chairman Yancey Hai attended the opening ceremony in person.

In the Sun Moon Lake e-Car Project, Delta provided EV charging equipment with ingress protection rating up to IP55 (protection against dust, water, etc) and high-rigidity casing design to ensure product availability and durability in humid and rainy environments. In addition, the smart charging management system integrating card-reader and network communication functions provides domestic and foreign visitors with convenient, efficient, and safe charging service in Sun Moon Lake.

DeltaPSU Introduces 24V 10W and 24V 100W Chrome DIN Rail Power Supplies

< Text by Delta Electronics Thailand >

Delta's Chrome DIN Rail Power Supply series is designed for use in compact cabinets which are widely adopted in home automation and Food & Beverages industries. Current available specifications are with 24V output voltage for power ratings of 10W and 100W.

Delta's Chrome Power Supply series offers double isolated input that eliminates the need for Earth connection, thus, resulting in low leakage current. The Chrome series features universal AC input range and is certified to safety standard according to IEC/EN/UL 60950-1 Information Technology Equipment (ITE) and UL508 Industrial Control Equipment (ICE).

The series is also fully compliant with RoHS Directive 2011/65/EU for environmental protection. NEC Class 2 and Limited Power Source (LPS) approval are available for the above models.

1︱ Delta's Chairman Yancey Hai charges an EV with the 7kW AC charger2︱ EV charging solutions from Delta provide domestic and foreign visitors

convenient, efficient, and safe charging service at Sun Moon Lake

1

2

Chrome DIN Rail Power Supplies

15Brand News

Brand Circle

Delta display & control system partner event held in Beijing

< Text by DGC Video Wall System Department >

On April 10 Delta held the 2-day display & control system event at Delta Beijing office. Delta demonstrated the latest display units and solutions for power plants, traffic control, and public safety.

The brand new display units for 2013 displayed at the exchange included three major ranges: 16:9 Full HD DLP, 3*6 redundant LED DLP, and the latest LED backlight LCD display. Full HD (1080p) display, ultimate color, and super-high brightness are the highlights of new LED DLPs this year. Two revolutionary DVCS solutions were also displayed: the DVCS suitable for large splicing systems and the MiniCon for small and medium splicing systems.

With Delta's innovative design, extraordinary performance, and reliable quality, excellent solutions for power plants, traffic control, and public security applications were displayed at the venue through scenario demonstrations.

Delta (China) holds the 1st SMT production technology forum

< Text by Vera Chen, Delta (China) >

From May 15th to16th, Delta (China) held its 1st SMT Production Technology Forum in Wujiang plant. Delta's management and SMT experts from Taiwan, Thailand, Dongguan, Wuhu, Tianjin and Wujiang attended meeting for Delta's SMT technology refinement.

SMT Production Technology Forum is an impor tant plat form for Delta SMT technology improvement and comprehensive development. Delta's COO Mr. Johnson Lee, Executive VP of China region Mr. Daryl Liao, GM of Wujiang plant Mr. Jimmy Yiin, Mr. Vichai Saksuriya, Mr. Bobby Lai and Mr. JP Wang delivered speeches and reached the direction on the topic of SMT equipment utilization rate improvement with SMT experts after two days and one night lively discussion for SMT development in the future: promoting the excellent examples which listed as PTU items, leading in the proposal of SMT equipment utilization rate improvement, SMT technical committee leading the shop floor system integration as well as 81 conclusions of SMT management, technology, logistics, information, etc.

The Delta display & control system partner event held in Beijing office

Mr. Liao and SMT experts exchange opinion at SMT site

16Brand News

Brand Circle

Great performance in PV system construction for Delta GreenTech China

< Text by DGC Energy Technology Management Solution BU >

Delta GreenTech China (DGC) has recently achieved excellent performance in PV system construction projects, as witnessed by the 18.6MW PV inverter in the PV system demo project for the Golden Hongye Paper Group of Suzhou.

Through market exploration and field practice over time, DGC has accumulated rich experience in PV project operation and launched a strategic cooperation alliance with customers. In this project, DGC fully demonstrated its strength in the PV domain. In terms of technology, DGC is providing Golden Hongye Paper with technical support regarding engineering, procurement, and construction, including the provision of project items such as inverters, PV array smart combiner boxes, and gearboxes.

The Golden Hongye Paper Group PV System Demo Project has been included as one of the PV demo projects of Suzhou Province in 2012. The success of this project indicates the leadership of PV technology and success of the concentric diversification of DGC in China's new energy domain. This has also set a solid foundation for DGC to conquer China's PV market and to accumulate rich experience in PV EPC projects.

Delta enters the Zhongfa Electronics Market to cultivate industrial power supply sales

< Text by DGC Industrial Control System Department >

Delta announced in late April the opening of a local store at the New Zhongfa Electronics Market and joined the power supply channel of the cecb2b network in Beijing to cultivate the market for its self-branded industrial power supply. During the 3-day promotional activity, the Delta local store attracted thousands of professional buyers and competitors. Products displayed at the store include the DVP & CLIQ DIN rail power supply, PMC & PMT panel mounting power supply, and related innovative products. In the future, Delta will display all new industry power supply products at this store immediately after their launch.

Industrial Power LOB manager Eric Chen and DGC's Northern China IABU Director Stan li attended the grand opening of the store. According to Chen, "Delta has set up a local store in Zhongfa Electronics Market to cope with the fast-growing (30-50% YoY) industrial power supply market." Li added, "Zhongfa Electronics Market is located at the heart of Zhongguancun targeting higher education establishments and major electronics companies in northern China, it has far-reaching influence on the IT market and industrial electronics terminal market in northern China. Besides strengthening the influence of Delta industrial power supply products in northern and northeastern China markets, this facilitates Delta to promote products in all parts of China."

Scene of the demo project under construction

Delta store in New Zhongfa Electronics Market attracts thousands of buyers

17Brand News

Brand Circle

Delta IA roadshow to visit industrial centers south of Yangtze

< Text by DGC Industry Automation BU >

In 2013, Delta GreenTech China (DGC) renovated the industrial automation roadshow car. The roadshow itinerary started from Hangzhou to spread the latest industrial automation information and technology to 30 industrial centers south of the Yangtze and to demonstrate the industrial automation power of DGC in Zhejiang, Jiangsu, and Anhui.

The roadshow car falls into three main sections: industrial solutions, dynamic demonstration, and plant integrated energy solutions. Exhibits include solutions for the machine tool, electronics, printing, lifting, and textile industries; high-speed motion control systems; and double DOF robotic arm motion control systems. In the in-depth integrated application and solutions developed for different industries, DGC has arranged specific technology exchanges, case sharing, onsite technical consultation services, and a lucky draw. Over the past month, the roadshow has attracted thousands of professionals from dozens of plants, science and technology research institutions, and higher-level educational establishments.

Delta wins three awards at CAIAC 2013

< Text by DGC Industry Automation BU >

The China Automation Industry Annual Conference (CAIAC) 2013 and the 8th China Automation Industry Event (CAIE) were held on April 18 in Beijing. Delta was recognized for Top Ten Most Competitive Innovative Products, Top Ten Enterprises of the Year, and Top Ten Papers of the Year. DGC's Northern China IABU Director Stan Li received the awards at the ceremony.

The CAIAC and CAIE were organized by the Chinese Association of Automation (CAA). Delta has won different awards from both events over the past eight years. This suggests that the continuous growth and technical innovation of Delta have won the high recognition of 2012 China's automation industry. In recent years, Delta has launched a

series of industrial integrated solutions, par ticular ly for the texti le industry. Apart from the high-protective variable-frequency CT2000 drive for looms, we have helped textile plants to improve information management and energy quality control, earning critical acclaim from both the textile and automation industries. The high-protective variable-frequency CT2000 drive was awarded as a Top Ten Most Competitive Innovative Products and the Textile Applications of Delta Active Power Filters published by senior technologist Luping Liang was awarded as a Top Ten Paper of the Year by the CAIAC.

The integrated solution for machine tools attracted a good deal of attention

DGC's Northern China IABU Director Stan Li (first left) received the awards at the ceremony

18Brand News

Brand Circle

Delta GreenTech signs cooperation agreement with Anhui University

< Text by DGC Marketing Communication Department >

Delta GreenTech recently signed with China's Anhui University a Delta Automation Laboratory Co-construction and University Student Probation Cooperation Agreement to kick off industry-academia cooperation in automation research and high-level professional training between the parties.

The content of this cooperation project includes co-construction of a Delta Automation Laboratory in Anhui University. The laboratory will include two laboratories, a basic laboratory and an automation laboratory, for students and faculty members to get acquainted with Delta products at an earlier point in time and to learn and capture the features and applications of Delta automation products.

Formed in 2008, the Delta Industrial Automation Industry-Academia Cooperation Project Team has since initiated material and curriculum development, laboratory co-construction, and interactive instruction in more than a dozen universities and institutions. These include Xiamen University of Technology, Nanjing Institute of Technology, University of Jinan, University of Shanghai for Science and Technology, Shenyang University of Technology, Nanchang University, Xijing University, and Chengdu University of Information Technology.

Delta (Shanghai) begins the energy education volunteer recruitment

< Text by Nancy Chang, Delta (Shanghai) >

On April 26, the presentation of the energy education volunteer recruitment was held at Delta Shanghai R&D Center. This recruitment was promoted by Delta Environmental & Educational Foundation (DEEF) and the Human Resources department of Delta (Shanghai) and Delta GreenTech China together. At the presentation attracted nearly a hundred employees, a short f ilm on "energy education", produced by Delta's founder Mr. Bruce Cheng, officers of the management team, and employees, was broadcasted. At the end, more than 80 employees enrolled in the energy education team.

Since promoting the "energy education volunteer" program in Taiwan in 2008, Delta Electronics Foundation has recruited

nearly 400 volunteers. This year, DEEF officially began energy education program in China to extend this tradition, with Shanghai Pudong Gonglu Center Grade School as the pilot runner. Director Charles Chen of Delta (Shanghai) and Headmaster Zhongming Cai of Gonglu Center Grade School signed the Agreement on the Co-construction of a Social Realization Base for Students. Apart from sending Delta volunteers to give energy education courses at the school, Delta (Shanghai) will plan the plant site and showroom into an off-campus realization base for elementary school students to learn more about environmental protection and energy saving knowledge.

Delta GreenTech General Manager Donald Yu and Anhui University President Xiannun Du sign the industry-academia cooperation agreement

Nearly 80 employees enrolled in the energy education volunteer team at the presentation by attaching the registration form to the Tree of Hope

19Brand News

From Thailand to the world: DET's road to transformationAn interview with DET President Henry Shieh

Brand People

On 30 November 2012, representatives from Thailand's industry participated in the Prime Minister's Best Industry Awards, an important annual event held at the Office of the Prime Minister (OPM) of Thailand. Henry Shieh, President of Delta Electronics Thailand (DET), attended the event personally to receive an award. After winning three past awards, it was the first time DET qualified for the Best of the Best. The Thai government showed its appreciation that Delta's Thai engineers have displayed a lot of innovative ideas on design, production automation, quality improvement, energy saving and factory management. The engineers demonstrated their passion by coming up with many innovative ideas on their own. In addition, DET's program to develop "global management capabilities" sent Thai people to Europe and India; and conversely, European and Indian people were sent to Bangkok for expatriate assignments. The uniqueness of DET's efforts stood out from over 10 global companies, including Toyota and SP. Shieh strode proudly forward to receive the award from the hands of H.E. Ms. Yingluck Shinawatra. For Shieh, every aspect of the past decade at DET seemed to culminate in this moment.

1︱ DET President Shieh with the Prime Minister's Best Industry Award presented by Prime Minister Ms Yingluck Shinawatra

2︱ Mr. Henry Shieh, DET's Executive Director Mr. Anusorn Muttaraid took a photo with DET staff at the Delta booth

1

2

20Brand News

Brand People

Industrial migration crisis: The first DET transformationEstablished in 1989 and beginning official production in 1990, DET is among the top electronics company in Thailand today. DET was established as the center to bring capacity up and cost down for Delta Electronics before Delta GreenTech was established in Shanghai. When the China market began to mature after 2000, many world leading manufacturers migrated to China. After HP, Dell, and Compaq gradually withdrew their switching power supply, fan, monitor and TV assembly lines from Thailand, the revenues of DET were reduced by nearly 50%. Delta's management team began thinking of transforming DET by strengthening its sales power. The management team decided to send Shieh, then head of Delta's PCBG, to direct the DET transformation.

After joining Delta in 1998, Shieh was in charge of the adapter business, which grew quickly during that period. He said, "At that time, the market share of Delta adapters grew from 17% to nearly 50% in 2002, and revenue quadrupled from US$70 million in 1997 to US$288 million in 2002. It was an honor being onboard during this leap. Although the sense of achievement filled my mind, the work also filled my time." Shieh was always away on business trips. When the management team made the decision, Shieh decided to try something different for DET in 2002, as his mission was accomplished in the adapter business, which was well established in terms of design, quality, and sales. He saw it as an opportunity to learn and try something new.

Acquiring ASCOM for strategic deployment

With the critical situation in Thailand and just six months after Shieh's coming onboard, DET acquired Ascom Energy Systems of Europe and merged DET's telecom energy system business and locations to establish Delta Energy Systems (DES) in Europe. Apart from carrying out Delta's strategic plan, this move allowed Shieh to gradually adjust DET's revenue structure. At the time, the management team was considering building two growth drivers: First, to complete a system comprising design in Europe, manufacturing in Thailand, and sales markets in India and the European developing countries; second, to fulfill "engineered to order" demands with manufacturing by DET and regional customer deployment by integrating the R&D, sales, and service networks of DES.

"The challenge grew even bigger after acquiring Ascom," said Shieh. "In Delta's strategy, DET was in charge of the 'engineered to order' energy products, integrating the DES and DET teams and targeting the India market with a population of 1.2 billion people. Those were tough challenges. The DES team had leading sales and technical concepts. The DET team was good at manufacture, design, and cost reduction, and familiar with the management rules in the past integration with the Delta. Finding out the complementary points of both teams was the prime mission."

Breaking barriers for greater synergy

Shieh explained the challenges during the integration with the example of BOM part numbers. "At that time, the officer integrating 15,000 part numbers of Delta HQ, DET, and DES resigned three times in one year. First, part

Mr. Henry Shieh, President of DET, shares DET's transformation process

21Brand News

Brand People

numbers used in Germany were collated and submitted to DET for further review, and DET had to convert them into Taiwan part numbers forward to the DCC at Delta HQ for final review. The whole process took weeks to complete. Suddenly, the customer made an engineering change. Also, DES was accustomed to the DIN standard, while DET was familiar with the JIS standard. Both teams needed a long time to communicate and confirm the definition of even simple words such as 'arc'." There were other issues regarding sales, administration, finance, manufacture, procurement, and IT. Both teams needed to continuously communicate and negotiate to establish standard operating procedures accepted by both sides. It was a tough task for DET employees, and it took two to three years for both teams to 'team up' with each other. They even needed time to communicate in English." Shieh said jokingly, "Both sides were tense at the beginning. Who should listen to whom? No one wanted to be second. Gradually, they were able to relax and lighten up at their meetings."

Regional business development: The second DET transformationSynergies began to develop five years after acquiring ASCOM. "Morale was lowest in 2004. That year EPS was only 1.03 THB," said Shieh pointing out revenue figures for that year. DET gradually transformed from a manufacture-focus model through diversification and globalization to connect with the world. Ten years later, DET has today become a mature company that establishes its own strategic and developmental goals.

Following the group's strategy, DET began regional integration and expansion. Apart from improving organizational structure and expanding business in India, DET initiated local business development by establishing Dgit (Delta Green Industrial Thailand) to further connect with local agents for promoting green products. "DET focused on manufacture and export in Thailand. By establishing Dgit, we began cultivating the local market, providing energy-saving solutions, and branding Delta. The Prime Minister's Best Industry Award will be a powerful plus," said Shieh.

Shieh has always valued the India market. "With a population of 1.2 billion people, there are superb benefits as India can become a market as tremendous as the China market. But, Delta should act cautiously when cultivating

By constantly communicating with each other, the DET and DES teams finally successfully integrated (photo taken in 2009)

22Brand News

Brand People

the Indian market." Shieh reminded the management team, that although the scale of the India market could bring tremendous growth to Delta, it is necessary to deal with business expansion problems associated with language, religion, culture, and province issues. For example, although better results for UPS sales are seen through local distributors, local grid quality problems and product use in extreme environments will be technical problems Delta will need to solve through product design. Regarding brand awareness enhancement in India, Shieh expressed his insights, "Efficient resource use will be the key to branding success in the huge and complex India market, and a stronger link with the target customers or markets should be established. The cause-and-effect between business expansion and marketing investment should be reviewed in detail to find out the right approach to prime targets."

Recruiting local talent and capturing market essentials

Over the past decade, Shieh has directed DET to transform step by step. Now, it is heading toward system solutions. Compared with other regions, Shieh has more experience in talent recruitment. "ODM was DET's major business model. Under this model, employees made changes according to the requirements of ODM customers. After business localization, more and more customers are locals, and we need local experts to give us advice on local user habits. Take the solar inverter for Australia for example; when such industrial products have different applications in different regions, we need 'professional' salespersons that are familiar with local power supply specifications and grid requirements."

In Australia, Delta hired experts in establishing the Australian grid protocols to assist the installer in developing small system assembly capacity. This is the key to local success. "This type of talent is exceptionally important for Delta to develop its system solution business. Besides recruiting to Delta, we can hire them as consultants or team up with them in other ways to make smarter use of local talent." How can we recruit such important talent? Shieh said with full confidence, "Delta has a good corporate image that helps in talent recruitment. Also, Delta is an enterprise allowing the self-growth and self-actualization of employees. When the clustering effect begins, Delta can find and retain talent."

The kindhearted can’t be leaders: Share the rewards with teammatesFrom the head of PCBG to DET president and general manager of PSBG, Shieh has had a unique experience among Delta officers. He values the power of "teamwork". "I like playing basketball and I enjoy the moment when we gain a point through teamwork. However, I don't want to see a one-man show in a match, as if no one else can touch the ball. Everyone deserves a stage and participation, and the rewards should be shared among teammates."

Shieh commented modestly about being "kindhearted and emotional" and that he was not a good manager. Maybe this is the influence of the Delta corporate culture: respect and fusion. At the start of his second decade at DET, Shieh, the captain, will gradually become a coach as he continuously shares the glory with the DET team and achieves better performance with enthusiasm.

23Brand News

Brand Academy

Continuous customer communication: The road to brandingAn interview with Dominique Xardel - Founder of marketing and branding master of leading brands in Europe

Who is the master and professor that can at t ract the chairpersons of some of the world's top 500 companies, such as France Télécom, Coca-Cola France, Ferrari, to sit in the same classroom taking notes?

Marie Yang, Yizhi Wang, Shihan Wang, Yichen ZhuText: Reprinted from Brand Special Issue 2013 under

permission of Global Views MonthlyPhoto: Courtesy of Global Views Monthly

In mid-April, European marketing master Dr. Dominique Xardel visited Taiwan. Apart from meeting President Ma, Dr. Xardel participated in the InnoBrand Forum. In his speech, Dr. Xardel emphasized the importance of "innovation" and "communication". He mentioned it is wise for some enterprises to add taglines to their logo. However, it is necessary to allow customers to feel the spirit and meaning of these taglines and brands through different ways of continuous communication. Since introducing "Smarter. Greener. Together." last April, Delta has continuously communicated this new brand promise to the public through exhibitions, advertising, websites, and various publicity materials, coinciding with the suggestions of Dr. Xardel.

The Brand News editing team has reprinted this interview with Dr. Xardel from Global Views Monthly (GVM) to share his valuable insights on branding with all Delta employees.

Known to the world as the "marketing master of Europe", it is no surprise that Dominique Xardel has dominated European marketing circles for more than half a century. Dr. Xardel is French, aged 82, with complete experience in marketing. A graduate of ESSEC in Paris and Columbia University in New York, and with a doctorate from Université Paris-Dauphine, Xardel is still active in a marketing career that spans nearly six decades. He is no doubt a true walking encyclopedia on the development of French and European brands.

When Dr. Xardel was in charge of the European

marketing of Time four decades ago, he introduced direct marketing and direct selling concepts to Europe, many of which are still in use today.

According to Dr. Xardel, in the 1980s European enterprises did not understand customers at all. Therefore, he wrote a book Service Compris (Service Included) to emphasize that "good marketing should touch the hearts of customers". It became a bestseller immediately after publication in 1986, with a circulation of half a million copies. More importantly, the concept of "customer relations management" (CRM) has since become popular across Europe. So far, Dr. Xardel has published more than two dozen books.

24Brand News

Brand Academy

Energetic: around the world at 82

In practice, Dr. Xardel has helped such leading brands as Nestle and Uniliver draw up marketing strategies and he has been the marketing advisor of a host of European luxury brands. He has been the dean of ESSEC for one decade. In the 2011 global business school ratings of the Financial Times, ESSEC was ranked 8th in the world.

At ESSEC, Dr. Xardel established the first International Luxury Brand Management MBA Program in history. At the same time, he was the editor-in-chief of Harvard L'Expansion (the French version of the Harvard Business Review).

Still vigorous at 82, Dr. Xardel travels extensively across the world to share his rich branding experience and to show why he is known as the founder of European marketing.

In addition to his favorite country, China, where he has travelled more than a hundred times, this April Dr. Xardel will give a 7-day course on Luxury Brand Management in Taiwan for 20 students. It is said that the higher-level Asia-Pacific officers of Gucci, Dior, Swatch, and others have booked flight tickets to Taipei to take this course.

Dr. Xardal will also deliver a speech at the InnoBrand Forum held in Taipei on April 15th to discuss the key to successful branding. Before his departure for Taiwan, Dr. Xardal accepted an interview with Global Views Monthly (GVM). An extract of this interview follows:

Bringing dreams to consumers with creativity

GVM: What is the key to successful branding?

Xardel: "Relationships" are the first thing. You must find the relationship between you and your customers, the relationship between you and your competitors, the relationship between you and your suppliers. Apparently, "relationships" today are different from those of 20 years ago. Today, we have the Internet and technology allows us to communicate with all parts of the world and establish relationships in an instant. There is also "social media".

"Communication" comes next. Communication is very important. This includes the mode, the frequency, the

content, what can be said, what can't be said. These are the main points in planning branding strategies. Communication is exceptionally important in my area of specialization: international luxury brand management. The mode of communication varies significantly in cultural and environmental terms. Even the same brand will need different communication strategies for customers in Taipei, Paris, New York, and Shanghai. "Relationships" and "Communication" is the key. You must make your decision and know "who you are", "who you want to be", and "who you will want to be". Next, plan the communication channels and strategies. Problems arise from inadequate communication.

GVM: Why are international luxury brands all from France, such as Louis Vuitton and Hermès?

Xardel: Louis Vuitton, Christian Dior, and Hermès are all century-old luxury brands. In fact, the luxury goods business in France still leads the world. Why? More than a century ago, the founders of these brands had wonderful ideas and all kept "quality" in mind. Instead of mass production, they emphasized handcrafted items and created the idea of "craftsmanship". This is what Hermès does. If you go to a Hermès store, they never talk about "luxury goods", because they don't know what "luxury goods" means. They just keep making and finishing each piece manually and insist on the best quality until perfection. Just like that. When I was a student, I was lucky enough to have met the founder of L'Oréal. About five to six decades ago, he told me that he was creating a different brand for women to "have dreams". Next, he exerted his creativity to develop new products, very successfully. He told me, "If you don't work hard enough and long enough, 3,000 hours a year, you will never succeed." Besides L'Oréal, the founders of Christian Dior and Hermès emphasized the same principles and concepts. Although they have passed away, you can still hear similar ideas today at Christian Dior and Hermès. These principles have been there for more than a century. The same values and attitudes will never change and will continue from one generation to another.

For more than a century, these brands have been communicating with others and making changes and innovating in service and customer relations. On the other hand, they insist on the basic values of tradition and craftsmanship while accepting new ideas. This is how these brands came to occupy leading market positions.

GVM: What are the marketing strategies of these brands, such as Hermès or Christian Dior?

25Brand News

Brand Academy

Xardel: Imagination! For example, when interviewing applicants, L'Oréal will ask, "If you want to join, what idea, imagination, and creativity do you have? What new creativity and ideas will you bring us? What new changes will you bring us? These are the key points these brands consider when recruiting new employees.

New information every day maintains brand popularity

GVM: What marketing tactics can Asian brands like Giant and Acer learn from international European luxury brands?

Xardel: Speaking frankly, in Asian brands or the Asian market, I haven't seen the "continuous communication" attitude and spirit as found in these century-old European brands.

These international European luxury brands will advertise continuously in fashion magazines like Vogue, and they will continue to do so every week, every month, every year, and even every decade. If you have time to take a look at these magazines, it is no surprise that they are all there.

Advertising is one way of communication, and you can't stop advertising. If you want success, you need to advertise your products and brands. Once you stop, decline and death will come.

If you shop at Carrefour or other supermarket chains in France, you will see European brands communicate with consumers every day through advertisements, telling them there are new products and new discounts. Day after day, they never stop. No matter what the products are, they manipulate communication in the same way.

L'Oréal is my favorite example. They market more than one hundred new products each year. When they launch new products, they will advertise them on all media every day, every week, and every month. I don’t see such enthusiasm, willfulness, and energy in Asian brands and markets.

Allow me to repeat, never spare communication if you want to survive and find a place in the luxury goods business. Also, if you want the best effect and have consumers get the message instead of forgetting it immediately, you can't use the same ads all the way through. You need to innovate in ads or find new

communication media and new advertising strategies.

You also need to know the exact target customer group. If the target customer group has changed, the marketing methods must change accordingly. You need to clearly capture what is on their minds and know what they want. When I visited Dior Singapore the other day, the chairperson there showed me a notebook, telling me they keep a full record of those who have bought Dior products in Singapore. The record includes who, when, and what was the purchase. When they return home, they will receive a letter of appreciation, informing them that Dior Singapore is pleased to have them join the Dior club, and they receive members-only mail each month.

This is the "relationship" I keep telling people about, the way Dior Singapore does it is similar to the concept of international European luxury brands.

GVM: So, besides continuous communication of product quality and information, we need to continuously innovate communication strategies, right?

Xardel: Innovation! Creativity and new ideas at all times! However, we need to be loyal to the brand's basic values. Next, we allow consumers to dream.

It takes at least a decade to emerge!

GVM: We are in a time when "social media" is thriving. In this environment, what are the tactics of new marketing strategies? What is your opinion about digital branding?

Xardel: This is absolutely true! In this era, no one can escape social media, and its influence is increasing. There is new development and change every day. I believe that this will continue over the next few years. Although social media is thriving for the young generation, its influence on other consumer groups is less effective, particularly the target customer group or potential customers of the top luxury goods we have just mentioned.

GVM: You have been to China more than 50 times?

Xardel: I began giving classes in China in 1984, at least once a quarter. Now, I have been there more than a hundred times! I like China a lot, and the way Chinese people work. I ran a campus in Tokyo 30 years ago for

26Brand News

Dominique Xardel

Age: 82

Education: MBA, Columbia University, USA

Experience: Dean of ESSEC; Editor-in-Chief of Harvard L'Expansion; Marketing Advisor of Unilever; EMBA Chair Professor of Beijing Tsinghua University and Fudan University (Shanghai).

Current Status: Senior Advisor, International Luxury Brand Management MBA Program, ESSEC

Publications: More than 20 books translated in different languages, including Service Compris and Marketing Management.

Brand Academy

more Asian students to join ESSEC. Today, we have alumni in China, Japan, Korea, and Taiwan. I have a class at Tsinghua University, Beijing University, and Fudan University, and I have a deep relationship with China.

GVM: What do you think about the quality of Asian brands?

Xardel: Asian brands are very young. In Europe or the USA, it usually takes about ten to twenty years for a brand to emerge. That is, it takes one to two decades for consumers to gradually understand the quality and service of a brand. This means, fame will not come overnight. Even for famous French brands, it takes about fifty to sixty years to earn recognition from worldwide consumers.

Take the famous 150-year-old Swiss watch brands for example, they have spent decades on branding to come to this point.

GVM: Besides time, what about money? Does it require a lot of money to develop an international brand?

Xardel: Of course! It takes a lot of money to market a brand and a product. When branding Taiwan, we need to find out Taiwan's characteristics first.

GVM: What plans do you have for your trip to Taiwan in April? What are the branding concepts you want to share most with Taiwan?

Xardel: I think they are the concepts I always emphasize. We need understanding and realization if we want to be ahead of others in branding. We also need a lot of time to operate a brand. Besides product quality and service, we need innovative ideas and continuous communication with consumers, so as to find the most intimate "relationship" with consumers. In my opinion, there is no chance if we can't fulfill the above.

GVM: What is your advice for branding Taiwan?

Xardel: I live in Paris. My friends talk a lot about Bali and want to travel there for fun. However, I hardly hear people want to travel to Taiwan for fun, because we know nothing about Taiwan. Parisians don't know how great Taiwan is, and they don't even know where Taiwan is. When visiting India, I will think of "incredible India". When traveling to Spain, I will think of "sunny

Spain". When going to Thailand, "amazing Thailand" will come to mind. Paris, it is always "romantic Paris".

Taiwan, what are the characteristics of Taiwan? What makes Taiwan different from other countries? I keep emphasizing the importance of the "deck" in ads. For example, the deck of the ESSEC's ads is "Creates future business leaders", which makes our point with "keywords". Therefore, what deck should be used to brand "Taiwan"? How can we point out the uniqueness and attractions of Taiwan with only one word? This is the first question.

GVM: You have published more than two dozen books, which one do you recommend to Asian readers the most?

Xardel: Marketing Management is a great textbook. In this book, I have gathered the essentials and insights about the branding market of different countries from global scholars, including scholars from Indonesia, China, and the US. If Taiwan wants success, it should jump out of Taiwan and brand itself worldwide. Therefore, it must understand the global market first.

Delta Group officially launched its Shanghai Operations Center and R&D Building in November, 2011. It is a significant milestone in greater China region. The new building serves as a hub to integrate Delta’s marketing and services networks, to rapidly respond to market demand and to further

27Brand News

The 3rd Industrial revolution: 3D Printing Known for his 2004 article entitled The Long Tail, Chris Anderson, who was with The Economist for seven years, recently surprises the US technology for he resigned the commission at WIRED magazine as editor-in-chief since 2001. Anderson is currently the cofounder and the CEO of the 3D Robotics, a drone manufacturing company.

In his new book, Anderson reveals a new industrial revolution with entrepreneurs, using open source design and 3D printing, to bring manufacturing to the desktop. You can copy all kinds of items, from the precision mechanical parts, mugs, dolls, or even a bicycle, in a magic machine.

Anderson believed 3D Printing will bring more influence than Internet did and will trigger the next Industrial Revolution.

IEA: Energy as dirty as 20 years ago on slow climate effortAccording to the International Energy Agency (IEA), the level of carbon emitted in global energy supplies has barely changed in 20 years. The average unit of energy produced today is basically as dirty as it was 20 years ago.

Among the "lights in the dark" were hybrid-electric vehicle sales, which rose 43 percent last year to 1.2 million led by the U.S. and Japan. Solar photovoltaic systems were installed at a record pace with capacity growing 42 percent in 2012 as the cost of the technology fell.

IEA reiterated that $5 trillion of investment is needed worldwide by 2020 to switch to a clean energy system. "The data is a wake-up call if nations are to avoid potentially catastrophic warming," said Maria van der Hoeven, IEA Executive Director. "We cannot afford another 20 years of listlessness."

ABB acquires Power-One for $ 1 billion

ABB Ltd. agreed to acquire Power -One Inc. for about $1 billion, giving the world's biggest electricity-networks builder inverters that allow solar power to be fed into grids. The company will be integrated into ABB's Discrete Automation and Motion unit which produces robots, motors and drives.

ABB is looking to tap a market forecast to grow by more than ten percent annually, driven by a need for affordable energy and declining costs of producing solar power. IHS indicated that the PV Inverter market size was near $7 Billion in 2012. ABB predicts the year growth rate will reach 10% after 2012.

News Station

< Text by Sammy Sun, Corporate Marketing Office >

Living a brand new day on the 4.6 billion-year-old EarthA speech from Dr. Takashi Kuroishi

< Text by Michael Hsieh >

Appointed as President of M.H.I. Digital System, the subsidiary company of Mitsubishi Heavy Industries, Dr. Takashi Kuroishi has been contributing his expertise in planning for thermal power plant and energy management. In Late May, Delta Electronics Foundation invited him to share his observations on global climate change, environmental issues and energy use. In his speech, Dr. Kuroishi condensed the 4.6 billion-year history of Earth into just one year, so that human beings did not show up until 2 pm on the very last day, Dec. 31st. Yet, after Agricultural Revolution and Industrial Revolution, the sources of fossil fuels used to be abundant were almost used up in such a short time. Therefore, Dr. Kuroishi encouraged all of us to develop renewable energy and looked forward to a low-carbon society and environmental sustainability in the nearly future.

Delta's founder Bruce Cheng thanked Dr. Takashi Kuroishi for the great sharing

Delta Green Life

28Brand News 28Brand News

Beijing to Paris: Eco-tour was not a bit difficult< Text by Tali Wu, Delta Electronics Foundation >

"Anyone interested in driving from Beijing to Paris this summer?"

The famous 1907 "Le Martin" Challenge aimed to prove the circumnavigation capacity of motor cars. In that event, a total of 11 contestants in six motor cars departed from Beijing for Paris via Mongolia, Russia, and Europe. In about two months and after traveling 12,000km, Italian Prince Scipione Borghese arrived in Paris first, proving that the motor car could bring people across the world.

A century later, a group of cyclists had a differing opinion, believing that motor cars have caused countless serious road accidents and accelerated petroleum consumption; and the construction of motorways has damaged the habitat of a wide variety of species, causing increasing endangered species. In 2007, New Zealander Olly Powell and Taiwanese Yi-ting Wu initiated the Beijing to Paris Carefree Exploration and set up a website (www.beijingtoparis.com) to recruit supporters across the world. There are many ways one could reach Paris, by train, by ship, by cycling, and even by riding, but car driving is strictly prohibited. Lastly, contestants coincidentally selected the same vehicle: the bicycle.

On 10 June 2007, 16 supporters from six countries gathered in the Tiananmen Square in Beijing. After greeting one another and saying, "Take care, see you in Paris," they started their journey to Paris in six routes. I was one of them and my route covered the following eight countries: China, Kazakhstan, Russia, Finland, Sweden, Germany, Luxemburg, and Paris. Why did I choose this route? My choice was simple: the ease of applying for a visa (only four countries). My motivation was equally simple: I didn't want to miss this bicycle revolution and to prove to the world that the bicycle can also reach all parts of the world!

On a bicycle equipped with more than 20 kilo of gear, I stepped on the peddles, setting out of my journey. Despite the extreme heat of the Gobi Desert that dizzied me, the ride of over 3,000km in China was pleasant! Entering Kazakhstan in Central Asia, however, such kind of eco-tour seemed incredible to the Kazakhs, because it is at least 100km on average between two towns in this extensive country (2,717,300km2). Therefore, cyclists must carefully calculate the distance between towns in the map, and see if there was enough food and water until the next supply station. It was torture beyond comparison. During my journey in Kazakhstan, I also discovered that it is a country without any taxis, and so hitchhiking is the alternative. When thumbing a ride, people bargain the 'fare'

After meeting at Beijing, cyclists from six countries promise to see each again in Paris

Delta Green Life

29Brand News

7

29Brand News

with the driver for the ride. When I read other travel information, I realized that hitchhiking is very common in ex-soviet states. This may be a habit left over from communism.

The route extended to Russia before entering Scandinavia, the most comfortable part of the journey. I rode across five Scandinavian countries, and each has dedicated bikeways. Strangely, pedestrians in these countries will not run across these bikeways, not will their drivers trespass onto these bikeways. It was so relaxing that I nearly fell asleep on my ride, several times! From Finland to Sweden and from Sweden to Germany, I rode my bike and sailed on a ship. On the ship, after packing everything in the cabin, I began chatting with other passengers, always relaxed, and appreciated the wonderful views on the Baltic Sea.

After 133 days, I eventually arrived at the Eiffel Tower. Calmly I lifted my head toward the tip of the tower, assured that 'With a bicycle, I can travel everywhere!'

If the Beijing to Paris Challenge of 1907 started the four-wheel lifestyle, I hope the Beijing to Paris Eco-tour of 2007 can encourage people to support 'energy saving and carbon reduction'. In daily life and travel, there are many ways to approach transportation, and cars and motorcycles are not necessarily the first and only choice. My eco-tour was not a bit difficult, and has brought me many more surprises!

'Have you reduced carbon today?'

Carbon Reduction TipsIn Europe, public transport is usually formed by different transport systems. By selecting transport in terms of walking, there are many choices: (1) destinations within 30 minutes' walk—walk; (2) destinations within an hour's walk—bicycle; (3) destinations within two hours' walk - underground; (4) destinations within three hours' walk - train; and (5) destinations without public transport - driving. Just spend a little bit of time on planning the transit from one form of transport to another, and you can always reduce carbon and save money!

Delta Green Life

30Brand News 30Brand News

Aerial photographer Polin Chi invited six citizens to witness the environmental changes in Taiwan in a helicopter

Delta Electronics Foundation supports for Earth Day< Text by Pamela Huang, Delta Electronics Foundation >

Delta Electronics Foundation (DEF), an advocator of environmental education, planned the Across Taiwan: Environmental Aerial Film and Photo Exhibition last May to display the environmental aerial films and photos taken over the past two decades by Polin Chi, a Taiwanese aerial photographer. The exhibition, aiming to reawake the public's concern about environmental changes, attracted more than 80,000 audience members. On the eve of Earth Day this year (April 21), DEF specifically invited Chi and six citizens to film an aerial view of Taiwan to witness the environmental changes in Taiwan in a helicopter.

The route extended from Danshui to Guandu along the twisting Danshui River and the great green Guandu Plain to explore Taipei from a different angle, as well as to discover the aversive effect on waterfront soil and water conservation due to over development along the Danshui River and waterfront space privatization. DEF encourages citizens to go to the frontier and check on environmental changes or share with the public what they have seen through documentaries for more people to know the truth, so as to watch and protect our home.

Energy Education Land at Delta Foundation begins operation< Text by Pamela Huang, Delta Electronics Foundation >

At the opening of the Energy Education Land in April, Delta Electronics Foundation (DEF) specifically planned the "Listen and See: Tuvalu" Seminar. DEF staff Tali Wu, who has been an international environmental protection volunteer in Tuvalu during 2009-11, and Xinrao Huang, director of Sinking Island—a documentary on Tuvalu, took attendees to explore this country that will be the first to sink 50 years later as sea levels continue to rise, according to expert estimates.

With beautiful coconut trees, white beaches, and blue seas, Tuvalu occupying an area of 26km2 is located south of the Pacific Ocean. Most importantly, the average elevation of the entire island is only 2m. In the filming process, Huang discovered that the area north of the capital of this internationally famous island is only 10m wide. During high tide, this area became a natural "flooded area". Rethinking how people in Hukou Township, Yunlin, Taiwan, struggle land with seawater when local streets and buildings are flooded due to severe land subsidence, we should

learn from Tuvalu. Apart from the crisis of global warming, as Tuvalu cannot process waste itself, the island is buried by a huge amount of imported plastic products, according to Wu. "Tuvalu is a miniature of the entire earth!" exclaimed Wu. Out of greed, we are depositing our material waste in all parts of the world.

According to the IPCC Report (2009, March), the sea levels will rise one meter across the globe at the end of the century, and Taiwan is one of the ten countries with the biggest impact. When the sea level rises one meter, 10% of the land in Taiwan, including the Taipei Basin, will be flooded. DEF will keep track on issues relating to climate change and will organize different seminars.

Delta Green Life

DEF staff Tali Wu (left third, front row) shares with the audience the papa mat made with screw pine leaf and sulu costume