1. Systems, Design and Manufacturing Kernel Company Profile Rev 5.1 Dec, 2014

2. Engineered For Excellence www.sdmkgroup.com Company Background Industries Served Our Services & Solutions Digital Systems Solutions Design Solutions Manufacturing Solutions Process Development Solutions Our Values in The Industry Business Values to Improve Customer Current Situation Our Vision Agenda for the day

3. Engineered For Excellence www.sdmkgroup.com Company Background Year Founded : 2011 Paid Up Capital : RM300,000 Total Employees : 22 (updated Sept 2014) Business segments : Digital System Solutions Design Solutions Manufacturing Solutions Process Development Solutions Subsidiaries Owned : STEP Engineering Solutions Sdn. Bhd. 9, Jalan Putra Mahkota 7/8B, Putra Heights, Subang Jaya, 47650 Selangor, Malaysia $

4. Engineered For Excellence www.sdmkgroup.com AutomotiveAerospaceMedicalEnergy, oil & gas General Engineering 31245 Industries served We focus to contribute and drive the metal cutting divisions for the following industries: Current customers include:

5. Engineered For Excellence www.sdmkgroup.com Our Services & Solutions SDMK, Systems, Design and Manufacturing Kernel, was founded in year 2011. The company focuses in providing design and engineering solutions to optimize customers’ manufacturing capability. We offer 4 types of services: Digital Systems Solutions Design Solutions Manufacturing Solutions Process Development Solutions

6. Engineered For Excellence www.sdmkgroup.com Digital Systems Solutions

7. Engineered For Excellence www.sdmkgroup.com Digital Systems Solutions Create visibility to measure shop floor performance Create total productive maintenance culture Create Digital Tool Data & System Oriented Inventory Management SDMKSystems

8. Engineered For Excellence www.sdmkgroup.com Digital Systems Solutions Work Flow Workshop to gather customer requirement Create implementation plan & deployment plan Accepted by Customer? System installation & configuration Commissioning & testing System user & administrator training Job Done! 1.Define objective 2.Define success criteria 3.Define implementation scope 1.Define project team 2.Schedule 3.Implementation phases Issue found No issue Not Accepted

9. Engineered For Excellence www.sdmkgroup.com Design Solutions

10. Engineered For Excellence www.sdmkgroup.com Customer Requirement Raw Casting Material Required Finish Product Customer Available Machine SDMK DESIGN METHODOLDY SDMK offers design services to design clamping solution to machine from raw material to what customer require Design Solution Design Solutions

11. Engineered For Excellence www.sdmkgroup.com Design Solutions Work Flow Customer Provides Requirement & Specifications Customer Provides Expectations Accepted by Customer? SDMK Provides Detailed Design Customer needs manufacturing service? SDMK Provides Completed Manufactured Product Job Done! 1.Total Weight of final design 2.Setup time on machine allowed 3.Total time allow to load/unload using the designed tooling 4.Expected Cost of Manufacturing of the complete Design 1.Completed Assembly 3D 2.Detailed 3D models 3.Engineering Technical Drawings No Not Accepted 1.Raw material information 2.Finish Product Specifications 3.Available Machine SDMK Design Provides Concept 1.SDMK Design Guidelines Accepted Yes

12. Engineered For Excellence www.sdmkgroup.com Design Solutions - continue 1.Today there are plenty of manufacturers in Malaysia that provide manufacturing services to customer with a readied design from customer (Copy & Paste method) 2.SDMK Design offers a technical services to investors who is looking for “Out-Of-The-Box” solutions instead of copying the old days technology. 3.SDMK Design creates a new ground of improvement to customer to offer a more productive solutions with a lower cost of manufacturing. 4.SDMK Design adopts true engineering philosophy in providing new design solutions. Our work is submitted with technical specification and drawings, which can be manufactured in any facility. Our design solutions are robust and this allows flexibility and agility when transferring “know-how” to customers.

13. Engineered For Excellence www.sdmkgroup.com Manufacturing Solutions

14. Engineered For Excellence www.sdmkgroup.com Manufacturing Solutions We offer manufacturing solutions to customers who require the total manufacturing design. The information is transferred to manufacturing through technical drawings generated to ensure quality and requirements are met. Engineering technical drawing Manufactured to product requirement

15. Engineered For Excellence www.sdmkgroup.com Manufacturing Solutions – Standard Product Partners

16. Engineered For Excellence www.sdmkgroup.com Process Development Solutions

17. Engineered For Excellence www.sdmkgroup.com Process Development Solutions Raw Material Product (Customer’s need) How to clamp work piece in machine? What machine to use? How to cut to the final product? What cutting tools to use?

18. Engineered For Excellence www.sdmkgroup.com Process Development Solutions Customer Provides Requirement & Specifications Process Definition Does customer require proof out? Handover to customer for repeatedly produce Job Done! 1.Define number of operation 1.Raw material information 2.Finish Product Specifications 3.Component specification documents 4.Technical drawing information Cutting concept. Development for metal cutting 1.Institution knowledge preservation 2.Training Yes Design of clamping solution Cutting tools selection Develop Work instruction Job Done! SDMK DESIGN METHODOLDY Fail Pass No Test Cut

19. Engineered For Excellence www.sdmkgroup.com Our Values in The Industry 2 Move up the manufacturing value chainReduce dependency on low skill labor intensive manufacturing 31 Creates “institutional knowledge” 4 High skilled design and engineering jobs creation

20. Engineered For Excellence www.sdmkgroup.com Business Values to Improve Customer Current Situation Consistent manufacturing process Independent on machinist skills Matching manufacturing sites with development SDMK Business Current Situation Dependency on machinists Jobs are highly dependent on machinist; causing process inconsistency Slow production ramps Knowledge dependency on machinists Slow learning curve due to improper knowledge transfer Poor manufacturing control Lost traceability in the changes made Knowledge transfers failure. When machinist leaves the position, knowledge transfer fails. Difficult to sustain high skill machinists Faster production ramp Development done by engineers helps production to ramp up faster with proper documented SOP Improve manufacturing control Changes coordinated through joint engineering teams Knowledge transfer All engineering knowledge are proper documented. Smooth knowledge transfer to any staff within the organization.

21. Engineered For Excellence www.sdmkgroup.com SDMK Vision “To be the leading total solutions provider in industries with metal cutting technology” Managing Director – Yew Seik Wai

22. Engineered For Excellence www.sdmkgroup.com Thank You!

23. Systems, Design and Manufacturing Kernel