1. A revolutionary price
benchmarking service
for the electronics
industry
“A tool like Freebenchmarking.com is what
purchasing professionals dream about”
- Commodity Manager, Leading OEM
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2. What is Freebenchmarking.com?
A revolutionary electronic component price benchmarking
service – enabling millions of dollars in savings for many of
the world’s leading electronics companies
Component cost analysis unavailable from any other source
in the industry
The only benchmarking report that delivers part-specific
cost analysis for your entire component spend
A full range of commodities can be captured in the analysis
The ideal supplier negotiation tool that delivers real bottom
line savings with actionable target pricing
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3. Why Freebenchmarking.com?
The recognized global leader in component cost analysis
The world’s largest independent database of electronic
component pricing
Supporting many of the largest OEM and EMS companies
in the industry
 No more guessing if your component pricing is competitive
 Fast turnaround on reports – usually 5-7 business days
 Industry-leading ROI for component price benchmarking data
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4. Lytica Inc. Overview
Lytica Inc. is the developer of Freebenchmarking.com
We are a leading supply chain services and consulting
company focused on electronic component cost reduction
Based in Ottawa, Canada
Founded by seasoned electronics industry executives
We serve a wide range of OEM and EMS customers
worldwide
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5. Lytica’s Five Key Differentiators
Freebenchmarking.com
- The global leader in electronic component cost analysis.
- The world’s largest independent database of current component pricing.
Advanced Component Engineering
- Alternate component sourcing and qualification
- End-of-life identification and recommendations
- Component database management and restructuring
- Component and mechanical design optimization
- Device failure analysis
Proven Cost Reduction Methodologies
- Fine tuned methodologies for engaging with Contract Manufacturers and OEM’s to deliver
accelerated cost reduction
Supplier Metrics & Risk Assessment
- Proprietary supplier metrics programs and risk assessment processes identify vulnerabilities, reduce
risk and enable cost savings
Independence
- We accept no fees or commissions from suppliers – our independence allows us to be completely
objective and uncompromised in our supply chain recommendations
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6. Lytica Leadership Team
Ken Bradley, President
- Former Chief Procurement Officer, Nortel Networks
- Board of Directors, Powerwave Technologies, SynQor Inc.
Tom McLeod, Vice-President, Engineering Services
- Former Head of R&D, Mitel Networks
Michel St. Jacques, Vice-President, Operations Services
- Former Vice-President, Supply Management, Nortel Advanced
Components
Rob Griffin, Vice-President, Sales & Marketing
- Former Global Sales/Business Development, Maxim Integrated
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7. Freebenchmarking.com
Freebenchmarking.com
The Global Leader in
Component Cost Analysis
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8. Unique Methodology
Analysis is based on exact MPN part matching of the entire
customer spend
Part matching against the world’s largest independent
database of current industry pricing
Confidential, contract based service
Customer data is never revealed and only used in aggregate
Each report contains:
- Detailed spend analysis by commodity
- Actionable target pricing specific to your bill of materials
- Complete EOL analysis and alternate source substitutions
- Component duplication analysis and savings
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9. Free Silver Report
Risk free way to “try before you buy”
– Total spend analysis by commodity against best-
in-class pricing
– Potential savings by eliminating coding
duplications
– Spend competitiveness rating
– Total number of single-source risks
– Total number of recommended substitutes for
single-source components
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10. Gold Report – Key Features
Price competitiveness
- Spend comparison against best-in-class and average pricing
- Spend comparison by commodity
- Detailed, actionable part specific Target Pricing
- Regional analysis – Americas, EMEA, Asia
- Price factors and negotiating leverage
- Detailed part specific Coding Duplication savings
Risk Assessment
- Full listing of single-source risks and recommended substitutions
Fees
- Single report - $5K
- 4 Report package (no time limit) - $18K
- Higher volume discounts – please contact sales
- Full money-back guarantee
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11. Example – Gold Report Executive Summary
Pricing Competitiveness Client Submitted Data Freebenchmarking.com Results
(Section 2.0)
Analyzed annual spend $502,817,702
Analyzed client parts 3,364
Matched parts 2535 (75.36%)
Commodity groups 9
Ranking 80 percentile
Price rating Competitive
Identified target price savings $25,153,652
Potential savings at “Best in Class” $61,408,364
Commodity Group Potential Savings by Commodity Extrapolated Savings at 100% Match
at “Best in Class” (Section 2.3)
CAPACITORS $34,843,820 $66,391,117
TRANSISTORS $9,936,487 $17,378,657
IC - MEMORY $6,120,568 $8,873,025
RESISTORS $3,810,015 $4,985,898
DIODES $2,545,168 $2,984,980
IC - LINEAR $1,625,028 $4,760,282
IC - STANDARD LOGIC $1,116,860 $2,654,862
BATTERIES $937,804 $2,031,286
CIRCUIT PROTECTION $472,612 $674,659
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12. Example – Gold Report Executive Summary
Coding Duplication Client Submitted Data Freebenchmarking.com Results
(Section 4.0)
Total duplicate coded parts 2,012
Potential savings by eliminating coding $47,851,541
duplications
Risk Assessment Client Submitted Data Freebenchmarking.com Results
(Section 5.0)
Analyzed client parts 3,364
Single sourced 2,072
Drop-in replacement devices 1,242
Unnecessary risk level - 59.9%
Replacement devices vs. total single
source
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13. Actionable Target Pricing
• We identify your least competitive pricing that represents the majority of cost
reduction opportunity
• We provide target prices that are set to ensure actionable, achievable savings
Commodity Customer Part Number Client Current Freebenchmarking Target
Minimum Price Recommended Price Savings
Target
Price
TRANSISTORS SAMPLEA1 $0.176800 $0.104926 $2,716,837
CAPACITORS SAMPLEB2 $0.015300 $0.009179 $2,578,165
CAPACITORS SAMPLEC3 $0.285760 $0.008119 $2,341,013
IC - MEMORY SAMPLED4 $0.660000 $0.262576 $2,050,708
CAPACITORS SAMPLEE5 $0.081100 $0.035744 $1,825,488
TRANSISTORS SAMPLEF6 $1.054900 $0.109019 $1,096,465
CAPACITORS SAMPLEG7 $0.087264 $0.052221 $820,006
CAPACITORS SAMPLEH8 $0.170910 $0.012650 $766,580
CAPACITORS SAMPLEI9 $0.001000 $0.000649 $674,369
DIODES SAMPLEJ10 $0.014000 $0.004954 $671,666
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14. Pricing Database - Cross Section
Worlds largest independent database of component pricing
Current pricing information from many industry-leading
OEM and EMS companies
Average age of data is 3 months, maximum age is 6 months
Over 40% of companies have revenues >$1B
All electronics commodities – Semiconductor, Passives,
Magnetics, Interconnect, Opto, Batteries and more
5000+ component suppliers
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15. Client Mix
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16. Client Mix – End Market Segment
13% Communications &
Networking
5% Computing & Storage
5% Medical
7% Automotive
58%
Industrial
12%
Consumer
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17. Client Revenue Distribution
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18. Global Interest in Freebenchmarking.com
• 116 Countries
• 1,203 Cities
Source: Google analytics, November 22, 2011
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19. Client Results – Single Gold Report
Client 1: Tier 1 EMS Client 2: Tier 1 OEM
Results: $191M in potential savings Results: $43M in potential savings
Client 3: Tier 2 EMS Client 4: Tier 2 OEM
Results: $11.8M in potential savings Results: $12.8M in potential savings
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20. iSuppli Feature Comparison
Freebenchmarking.com™ iSuppli
Gold Report Component
Price Tracker™
Detailed line by line
price analysis
Price tracking by
sample part descriptions
World’s largest independent
database of component pricing
External monthly market price
surveys
Detailed price analysis by
Manufacturer Part Number
Price ranges High/Average/Low
Actionable recommended Target
Pricing
Separate spend and price
analysis
Regional analysis
Detailed customer specific
regional analysis
Savings from customer
coding duplications
Analysis against best-in-class
and average pricing
Annual service – Monthly
surveys
Fully flexible report based
service – 7 day delivery
Risk assessment includes:
-Second Source alternatives
-End-Of-Life risks
Price factors & negotiating
leverage
Full money-back guarantee
Industry leading ROI
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21. Wide Industry Exposure & Media Interest
"This is a great methodology, and a very useful tool
for procurement professionals." More on Pricing:
Can Benchmarking Help End the Secrecy?
Kevin Melia, Former VP Operations & CFO November, 2010
Sun Microsystems
Freebenchmarking.com - A Revolutionary
Price Benchmarking Service for Electronic
Components – October 2010
"Your team has hit a home run with
Freebenchmarking.com. Long time coming
and worth the wait from my perspective." Lytica Gives Product Designers a Hand
With Electronic Component Cost Estimator – January 2012
Steve Smith, Senior Director
Supply Chain Management Component benchmarking service for OEMs
gauges price competitiveness – October 2010
Enabler Tech, Paxcell and Cariken to drive major
"Lytica and the services offered through market expansion of Freebenchmarking.com
Freebenchmarking.com are effective in driving cost across North America – January 2011
reduction. Lytica has helped Mitel improve margins by
enabling significant cost reduction in our supply chain
over the last several years" BusinessWire - Lytica Inc. to exhibit at 2012
International CES
Michel Leduc, VP Operations
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22. Contact Us
Freebenchmarking.com is For sales & support:
a division of Lytica Inc. Canada & USA
200-308 Legget Drive 1.877.330.9698
Kanata, Ontario, Canada International Calls:
K2K 1Y6 1-613.270.9698
Rob Griffin Email:
Vice-President support@freebenchmarking.com
Sales & Marketing
rob_griffin@lytica.com
+613.271.1414 ext. 236
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