In 2008 I joined Vestas Wind Systems, where I experienced first hand the rise in Local Content Requirements and the challenges associated with understanding and adapting to them. After a few challenging experiences, Vestas did adapt, and went on to secure a leading position in Local Content Markets around the world, including Russia, Ukraine, Turkey, South Africa, and Canada (Ontario, Quebec).
Having the opportunity to lead the localization effort in these markets made me appreciate how trade-barriers and the risks and economic inefficiencies they create can be overcome and turned into a competitive advantage for Businesses. They also made me appreciate the qualities of an effective Local Content Requirement regime from one that companies are better off walking away from.
In a world where Local Content Requirements continue to proliferate, and with no best practice or standardization in sight, there is a need for both Governments and Industry to adapt. Local Content Now was started in 2018 to participate in this process and help drive sustainable, profitable localization.
ESTABLISHING GLOBAL & MARKET SPECIFIC STRATEGIES
With Local Content Requirements in effect in almost every renewable energy growth market, it can be challenging to decide where to focus your efforts. Localizing a supply-chain can take significant organisational resources and therefore having a strategy in place that ensures you are competing in the right markets with the right localization plan is invaluable.
We can help with establishing a market prioritization framework & Governance, or feed-in to your existing process. We can work with your procurement organisation to drive the development of a market-specific and global localization strategy, or you can outsource the full process to us.
ESTABLISHING NEW FACTORIES
Deciding to invest in a new factory in a new market is a significant strategic decision. We can handle the business case & manufacturing footprint analysis, with consideration given to your factory & product cost drivers, market demand, skilled employee availability, infrastructure, and investment incentives.
We can provide the Business Development & Commercial Project Management to mature the project from idea to closure of all major contracts, and ensure professional engagement with Government officials.
IDENTIFYING SUPPLIERS IN NEW MARKETS
Part of the challenge of entering new markets is the time required to screen the market for potential suppliers. We can provide you with the initial market screening to identify suppliers and will work with your Procurement organisation to identify components for localization. If your resources are constrained we can also have a Procurement Manager/Purchaser embedded in your organisation to support the procurement activities in new markets.
CREATING & IMPLEMENTING A BID LOCALIZATION PLAN
If you have already determined that you are bidding in a specific market with local content requirements, we can help you with preparing a professional localization plan for submission with your bid documents. We can follow the process through from bid submission, firm order-intake, financial close, through to installation & commissioning. In this regard, you can count on us for both the analytical and Project Management expertise as required.
PROVIDING PROJECT MANAGEMENT OF THE LOCALIZATION PLAN
Counting on your line organisation to establish a new supply-chain in an emerging market can result in losing the overview, timelines not being kept, and significant risks going unidentified and unmitigated. We can help you avoid this by organizing a lean Project team which includes your line organisation, but where the Project Management is provided by Local Content Now so your new supply-chain is set-up on time and at the agreed cost level.
CREATING & FACILITATING MARKET ENTRY GOVERNANCE
Strategies and Plans are valuable to align your business priorities and decision drivers, but they are only valuable if they are regularly updated & implemented effectively. We can support you in designing, implementing, and facilitating Market Entry Governance to ensure your business stays aligned between Sales, Procurement, Manufacturing, and Construction.
ENSURE LOCAL CONTENT REQUIREMENT COMPLIANCE
Do you know if your organisation is compliant to the local content requirements in any given market? We can support you with understanding the Local Content Requirements, translating them into terms your organisation can relate too, and review your organisation compliance to these requirements. Options also exist for ongoing follow-up and auditing support to ensure you don’t fall out of compliance.