1. How to grow Asian business for European customers
Presented by Gauthier Siau, 19 November 2016

2. Group Structure (Commercial)
Who is Alsico?
Group Structure (Commercial)
Alsico Belgium
Alsico France
Alsico UK
Altreva (Czech Republic)
Alsico High Tech (EU + USA)
Cindico (Morocco)
Alsico Asia-Pacific (Thailand)
Diep Vu (Laos)
Union Micronclean (Thailand)
Priontex (South Africa)
General Information
Start = 1934.
Family-owned Group of companies: FAMINATIONAL
Supplier in Europe, Asia, Africa and USA of industrial workwear and professional garment.
T/O = € 230 millions
FTE: 8.000
Production facilities in Morocco, Tunesia, Thailand, Laos, Ukraine, Bulgaria, USA, Madagascar…
----- Meeting Notes (26/03/15 11:05) -----
Mission & Vision
To be a provider of professional workwear and cleanroom clothing worldwide.

3. (Aelvoet Siau Confection)
Family history
: First generation Mr. L. Aelvoet : Second generation Mr. G. Siau today: Third generation Mr. P. Siau & Mr. B. Siau
today: Fourth generation Mr. V. Siau & Mr. G. Siau
(Aelvoet Siau Confection) 3

4. Expansion history 1934 Alsico NV - Belgium 140 FTE 2005 UTE - Thailand
1975
Inter Coupe - Tunesia
500 FTE
2007
Manorvos - France
7 FTE
1992
Altreva – Czech Republic
200 FTE
2007
MDH - France
70 FTE
1993
Halbout - France
65 FTE
2007
PMC – South - Africa
70 FTE
1993
MC Worldwide – Taiwan, Thailand, Singapore
200 FTE
2008
Alsico UK - UK
60 FTE
1995
Cindico - Marocco
2200 FTE
2010
Diep Vu - Laos
830 FTE
1996
La Vie en Pro - France
5 FTE
2010
Alsico Duitsland - Germany
3 FTE
2000
Ukrakov - Ukaine
550 FTE
2011
Vestilab - Spain
45 FTE
2001
Beltex - Bulgaria
220 FTE
2013
Molinel - France
77 FTE
2001
Mamo/Proabi - Tunesia
150 FTE
2013
Meltemi - UK
60 FTE
2004
Gruson - France
10 FTE
2014
E-toile – Madagascar
300 FTE
2004
S.V.S. – France
20 FTE
2015
Euclid Vidaro – USA
80 FTE

5. Our products PPE garment:
Hi Viz, FR, Chemical Protection, ESD, Military
Workwear:
Coats, Shirts, Coveralls, Trousers
Basics:
T-shirts, Polos, Socks, Caps
Image garment:
For professionals in Horeca and service sector. Made to measure service.
Medical Garment:
For all services of medical sector or Operating theater
Cleanroom and cleanarea garments:
For pharmaceutical, micro-electronic companies 5

9. WE CARE FOR YOUR CLEANLINESS

10. Our Customers Split by Type Split by Continent Laundries = 60%
Distributors = 30%
Direct customers = 10%
Split by Continent
EU = 70%
Asia – Pacific = 20%
Africa = 7%
USA = 3%

11. Our Core Strategy Type Basic garment Technical garment
Corporate Identity
Main key to success?
Cost
Technical Know-How
Creativity
How to excell?
Supply Chain
Human Capital

12. Our Supply Chain Proposal to our Customers
Sampling and express deliveries (repairs): in country
Quick and small runs: close-by delocalisation.
Max 1 to 2 weeks transport
Magreb countries/Eastern Europe for EU
Wages = medium
Flexibility
Leadtimes: 5-8 weeks
Bulk volume : far-away delocalisation.
5- 6 weeks transport
Asia and Madagascar for EU
Wages = low
Less flexible
Leadtimes: weeks

13. From defensive to offensive delocalisation
Defensive delocalisation:
MUST
Need for cheaper production
Tunesia in 1975, then Eastern-Europe, Morocco, Thailand, Laos, Vietnam and Madagascar.
Next one is Mexico for USA
How to choose a good country?:
Duty regime for import back to EU
Labor wage
Logistical flow, easy access of raw material and easy exit of finished goods.
Offensive delocalisation:
Selling into the localLY
Production company must be mature
Rising wages in country, but ALSO RISING MIDDLE CLASS!! --> Opportunities!
NO choice : Czech Republic and Thailand

14. Case study Thailand 1996: start Thailand as defensive delocalisation.
Production of workwear and cleanroom garments.
700 FTE
2012: big problem
Minimum salary from 167 THB/day to 300 THB/day
Strong THB vs EUR
TOO EXPENSIVE
2013: start offensive delocalisation
Start looking for local sales in Asia Pacific
Start build up sales team + backoffice
Work closely with fabric suppliers to find customers
2017:
Cleanroom garments sales in India, China, Thailand, Malaysia, Singapore, Australia
Workwear and PPE garment sales in Thailand, Malaysia, Australia and Middle East.
FTE = 1200
Sales Asia Pacific = 35 million USD.

15. Our last 6 years have been challenging but great!!
Number of employees of Alsico

16. Our last 6 years have been challenging but great!!
Number of pieces produced per week

17. Our last 6 years have been challenging but great!!
Turnover of Alsico

18. Lean Management and JUST DO IT!
Our key filosophy
Lean Management and JUST DO IT!

19. Thank you!