Caterpillar

CAT
By:
Haileab T.
Mussies T.
Teklezgi N.
 Caterpillar:

 Who We Are?
 Caterpillar:
  
 The company was originally organized as Caterpillar
Tractor Co. in 1925 in the State of California.
 For more than 85 years, Caterpillar Inc. has been making
progress possible and driving positive and sustainable
change on every continent. With 2009 sales and revenues of
$32.396 billion,
 Caterpillar is the world’s leading manufacturer of
 construction
 Mining equipment,
 Diesel and natural gas engines and
industrial gas turbines and diesel electric locomotives.
Employee More than 93,000 people around the world

200 cat dealers

Our global headquarters is located in peoria, Illinois.

  
What We Do?
. For more than 85 years, our solutions
have built
infrastructure that enables people
around the world to enjoy a better quality
of life and higher standard of living.
 We are a technology leader serving a wide
range of industries, including
 general and heavy construction, mining,
forestry, energy and electrical power
generation. In more than 200 countries
around the world, Cat® equipment is at work
on highways, rail lines, oceans and rivers, in
forests, quarries and oil fields.

 Today, more than 3 million machines

and engines are in active use around the
world.
Why it Maters?

By bringing together technologies,

services and solutions, we can help
our customers respond to their unique
business challenges.

Whether the goal is to improve jobsite

safety, to find beneficial uses for by-
products and commodities, to increase
material and energy efficiency or to
reduce greenhouse gas emissions,
caterpillar can deliver.
SUSTAINABILITY – INCLUDING
ECONOMIC, SOCIAL AND ENVIRONMENTAL
CONSIDERATIONS IN BUSINESS – MATTERS
 To Our Customers
Our products and services
provide
We help them increase
Revenue,
Increase efficiency,
Reduce cost and
 reduce environmental impact.

 To Our Business
 our shareholders
 Satisfying others is satisfying your self……..
 To Our Team
 because they want to work for a company that
demonstrates a commitment to safety and
sustainability.
develop new technologies and
processes, and educate customers on
the safest, most efficient ways to
operate equipment
To Our World
Our products, services and
solutions are used around the
world to provide access to clean
water and reliable power. They
make available the raw materials
on which society depends and
help improve quality of life by
building roads, airports, schools,
hospitals and homes
 Vision, Mission, Strategy
 Our Vision is a world in which all people’s basic
requirements – such as shelter, clean water,
sanitation and reliable power – are fulfilled in a way
that sustains our environment.

 Our Mission is to enable economic growth through

infrastructure and energy development, and to
provide solutions that protect people and preserve
the planet.

 Our Strategy is to provide work environments,

products, services and solutions that make efficient
use of the world’s natural resources and reduce
unnecessary impacts on people, the environment
and the economy.
  
 The Business in General
Principal Lines of Business / Nature of
Operations

We operate in three principal lines of

business:
1. Machinery
A principal line of business which includes the
design, manufacture, marketing and sales of
construction, mining and forestry machinery

2. Engines
A principal line of business including the design,
manufacture, marketing and sales of engines for Caterpillar
machinery; electric power generation systems; on-highway
vehicles and locomotives; marine, petroleum, construction,
industrial, agricultural and other applications; and related
parts.
3. Financial Products
Cat Financial also extends loans to
customers and dealers.
and lease of our equipment
Our products are highly
demanded for the following

businesses:.....
Agricultural
Demolition & Scrap
Forestry
General Construction
Governmental/Defense
Heavy Construction
Industrial
Landscaping
Marine
Mining
Oil & Gas
Paving
Pipeline
Power Generation
Quarry & Aggregates
Waste
Agricultural
 Backhoe
 Loaders
  

 Wheel
 Loaders
  
  
 Skid Steer
 Loaders
  
  
Demolition & Scrap

Forestry

Forest
Machines

Wheel
Loaders
General Construction

Articulated
Trucks

Wheel
Dozers
Governmental/Defense

 Heavy Construction

Off Highway
Trucks
 Excavators

 Front Shovels
 Demolition Excavators

Wheel
Material
Handlers
Track-Type
Tractors

 Pipelayers
Our products are ready to
offer a better life...
SWOT
 
Strengths
Company Strengths
Caterpillar is the leader in
construction and mining equipment, and
diesel and natural gas engines and
industrial gas turbines in our size
range
The company is also a leading services
provider through Cat Financial,
Caterpillar Logistics Services Inc.,
Caterpillar Remanufacturing Services
IncAnnual sales and revenues were $
44.95 billion
Financial Strength
 Our strong financial foundation has been
fundamental to capitalizing on opportunities
and challenge
 Record growth from 2004 to 2008 and a solid
balance sheet helped
 Caterpillar weather the severe downtown of
2009 and emerge with its profitability,
dividend and investment-grade status intact.
Quality Products
we are likely to have a product that
will fit any given job
The continuing evolution of theCat
Production System (CPS)

and 6 Sigma further ensures that

quality grows even stronger.

Analysis - Simulation - Test
These tools accelerate
testing, improve durability
and reduce development costs.
We have increasingly
integrated simulation and
modeling into our product
Customer Focus
Caterpillar businesses are
aligned with our customers’
needs.
 
We also support our
customers’ needs with our
global dealer network and our
commitment to continuous
technological innovation.
Strategic Partners
 
Our value chain
includes strategic
suppliers who are
integral to our
technological
innovation and new
product development
Dedicated Team
We have the right
team in place to
deliver results in
every region of the
world
 Sustainable Development
 By bringing together
technologies, services and
solutions, our sustainable
development initiatives can
help customers balance the
protection of natural
resources and the
environment
 Technology
development
  
 The Caterpillar advantage in
research and development is
our ability to marry
innovation with integration to
produce the business
solutions our customers need
to be successful.
 Patents and Trademarks
 Our products are sold
primarily under the brands
"Caterpillar," "CAT," design
versions of "CAT" and
"Caterpillar," "Solar Turbines,"
"MaK," "Perkins," "FG Wilson,"
"Olympian" and “Progress
Rail.”
  
 Research and
Development
 We have always placed strong
emphasis on product-oriented
research and development
 In 2007, 2006 and 2005, we
spent $1,404 million, $1,347
million and $1,084 million
 Market Acceptance of
Products
 Our business relies on continued
global demand for our brands and
products
 Failure to continue to deliver
quality and competitive products
to the marketplace, or to predict
market demands for, or gain
market acceptance of, our
products, could have material
impact on our business.
 Technical Center, Training Centers,
Demonstration Areas, and Proving
Grounds

 Weakness
 Limited manufacturing Areas
 Dealers do not deal exclusively our
products
 The sales and service agreements are
terminable
 Costly and time taking of employee
training
  
Opportunities
 Significant Opportunity In emerging markets,
 large populations and rising incomes are creating demand for
new infrastructure,
 the equipment necessary to tackle major projects.
 Our operational footprint and dealer support in markets provide
us with a competitive edge in markets such as China and India.
 .We render distinguish services from competitors.
 .Suitable government policy for our business.
 .Fewer competitors in the industry.
  
Threats

 The competitive environment for

Caterpillar’s machinery business
consists of some global competitors.
Some of our competitors are
  
 Komatsu Ltd.,
 Volvo Construction
 Hitachi Construction Machinery Co.
 Terex Corporation, J.C. Bamford Ltd.
 Doosan Infracore Co., Ltd
 John Deere Construction and
Forestry Division
Environmental
regulations
our facilities and
operations are subject
to increasingly
stringent environmental
laws
laws and regulations
governing emissions to
air
discharges to water and
the generation
handling, storage
transportation
non-hazardous and
Changes in economic conditions
of industries we serve
the energy and mining
industries are major users of
our machines and engines
prices of commodities in these
industries are frequently
volatile and change in
response to economic growt
commodity inventories and any
disruptions in production.
The rates of infrastructure
spending, housing starts, and
commercial construction, play
a significant role in our
results
Changes in price and
significant shortages
of component products
increases in the
prices of steel and
other commodities
likely would boost
costs higher than
expected, negatively
impacting profits
 
Currency
fluctuations
the reporting currency
for our financial
statements is the U.S.
Dollar. Certain of our
assets, liabilities,
expenses and revenues,
are denominated in
currencies other than the
U.S. Dollar.
 
 Dealer/Original Equipment Manufacturers
Sourcing Practices
   Natural Disasters
Examples:
 
 floods
 earthquakes
 hurricanes,
4P`S

 Product
 Our products are:-
 The Caterpillar equipment product line, consisting of
more than 300 machines, sets the standard for our
industry
  
  
 Found world wide locations
 As the only manufacturer of trucks 180 tones/ 200 tons
and over that offers both mechanical and electric drive,
Caterpillar is truly unique.
Productivity solutions—
like minestar™
fleetcommander,
computer aided
earthmoving system and
AQUIL
 
 
drill& dragline systems—
focus on fleet
management. They increase
accuracy, optimize fleet
utilization, drive
efficiency and improve
safety—delivering value
to the bottom line.
Health systems—such as
mine star health and
VIMS™ application—
gather important
machine data that can
be managed and
analyzed to improve a
mine’s efficiency,
lower operating costs,
reduce failures,
extend component life
and improve
maintenance practices.
 Many new ways to protect the environment
 Governments, regulatory agencies and our own
Code of Conduct mandate that we establish and
follow environmentally sound policies and practices
in the way we design, engineer and manufacture our
products. But we’re committed to doing much more
than that.To help educate the public on the
importance of protecting the world in which we live
while meeting the need for mined materials
 Price: The price of the products what we are
offering are fair and reasonable and attached at
www.cat.com/www.caterpillar.com
  
  
 Promotion: We are to use the following
advertisement system : Web based advertisement,
yellow page, brouchers, sponsorship(sport and
community participation)
  
 Sponsorship:
 Sponsorship opportunities afford us
additional ways to connect with our
customers, give back to communities,
and improve the quality of life in a
more efficient, environmentally
sensitive manner. We carefully select
these partnerships to ensure they
positively reflect our brand values,
showcase our technology solutions,
and support our long-term
environmental, economic, and social
commitments.
 Distribution
 Dealers
 Caterpillar products are distributed to
end-users in nearly 200 countries
through Caterpillar's worldwide dealer
network 220 dealers. Caterpillar's
dealers are independently owned and
operated businesses with exclusive
geographical territories. Dealers
provide sales, maintenance and repair
services, rental equipment, and parts
distribution
  
 CAT RENTAL STORE
Equipment for rent by
concrete & paving,
landscaping, general
construction, governmental,
and industrial businesses. 24/7
service through 1-800 RENT-
CAT. The Cat Rental Store has
the solution to get the job
done.
  
AWARDS & RECOGNITION
 Caterpillar’s sustainability efforts span the
enterprise and the globe. The company
consistently recognizes and has been
recognized for efforts to promote
sustainability in our industry and within our
company.
  
 The Environmental Excellence Award
 The Similar Exposure Group Award
 The Ergonomic project Awards
 The Hero's Award
 The Facility of Distinction
 The Safety Star
 The Ergo Medal
 CAT Ambassadors
Mussie

Teklezgi

Haileab
 Your
Country
Need You…