Periodic Reporting for period 1 - FANVIS (Development of new optical absorption filters for application in Night Vision Imaging Systems)
Période du rapport: 2018-12-01 au 2019-05-31
PROBLEM: Night Vision Imaging Systems (NVIS) compatibility is vital to pilots while using night vision goggles (NVG). Illuminated control panels integrated in cockpits include optical filters to make them compatible with the NVGs. Currently, there is a scarcity of NVIS-compatible optical filters’ suppliers, and they hold the know-how for the exclusive manufacture of their own products. Manufacturers of NVIS-compatible equipment are tied by the suppliers of these essential intermediate products, who impose them almost unilateral conditions. The problem is worsened as filters manufacturers are mainly US firms. Any future change in commercial regulation, as it is happening with many other goods, may lead to supply shortages at European level, with increased costs and loss of competitiveness of EU companies.
BUSINESS OPPORTUNITY: FANVIS filters will be the first EU-manufactured NVIS-compatible optical absorptive filters (Green-A type) for any cockpit lighting element, which will allow Europe’s non-dependence and will strengthen the EU aeronautics industry.
THE STRATEGY: Born in 2001, GRABYSUR (www.grabysur.es) is a European leader firm in the design and manufacture of all types of Human Machine Interfaces (HMIs) for aviation, naval and land vehicles. Currently, we are a reference in Southern Europe in the development of robust solutions for the compatibility of instrument’s lighting with NVIS conditions. FANVIS will position Grabysur as the first EU producer of NVIS-compatible filters, enabling us also to gain the total control of our illuminated panels manufacturing process through vertical integration. This fact will let us shorten our delivery times, reduce costs and achieve versatility in the elaboration of the final products to enable an almost complete customization to each customer’s particular needs.
OBJECTIVES: This Feasibility Study has a three-fold objective: to analyse the commercial, technical and financial viability to get FANVIS business line into market.
BUSINESS OPPORTUNITY: FANVIS filters will be the first EU-manufactured NVIS-compatible optical absorptive filters (Green-A type) for any cockpit lighting element, which will allow Europe’s non-dependence and will strengthen the EU aeronautics industry.
THE STRATEGY: Born in 2001, GRABYSUR (www.grabysur.es) is a European leader firm in the design and manufacture of all types of Human Machine Interfaces (HMIs) for aviation, naval and land vehicles. Currently, we are a reference in Southern Europe in the development of robust solutions for the compatibility of instrument’s lighting with NVIS conditions. FANVIS will position Grabysur as the first EU producer of NVIS-compatible filters, enabling us also to gain the total control of our illuminated panels manufacturing process through vertical integration. This fact will let us shorten our delivery times, reduce costs and achieve versatility in the elaboration of the final products to enable an almost complete customization to each customer’s particular needs.
OBJECTIVES: This Feasibility Study has a three-fold objective: to analyse the commercial, technical and financial viability to get FANVIS business line into market.
During 6 months we have performed the following work:
Task 1 - Market study and segmentation: To properly assess FANVIS’ market conditions, we first addressed the global environment in which FANVIS is involved: the aerospace industry, due to its particular structure and functional flows. We analysed the complex network of interconnected firms in the aerospace value chain and finally defined FANVIS’ specific value chain and key actors. We updated our information related to market trends, market barriers, segments (by end user, application, geographic area and customer), customers’ profiles and their preferences. Competitors were studied and our superior offer contrasted.
Task 2 – Freedom to Operate Analysis and IPR Strategy: A thorough patents search was performed to guarantee the commercial exploitation of FANVIS filters, with no existing patents being a serious barrier to our innovation.
Task 3. Technical Work Plan: A detailed plan of the activities to get FANVIS business line into market was deployed. Subcontracting requirements in all the project phases were identified. We will need 24 months to achieve the final results. The budget for this project amounts for €0.9M.
Business Plan: FANVIS business line is integrated by the complete portfolio of FANVIS filters formats and our illuminated panels. Based on the updated market prospects, we estimated our market size, defined our objectives and the commercialisation plan with target segments, the marketing strategy, analysis of resources (equipment, human resources and funding needs), key risks analysis with mitigation actions, and updated our financial prospects to determine FANVIS impact on Grabysur’s business.
Conclusions: All information supports to pursue FANVIS project. The forecasts for our related markets are optimistic; all market trends show positive data, both from the original equipment, and the maintenance, repair and operations (MRO) segments, and market barriers are easily overcome by Grabysur as an insider in the market. Most important competitors are mainly circumscribed to the American market, so we could easily gain a dominant position in Europe. The novelty of FANVIS features is not protected by any published patent and the Technical Work Plan designed is appropriate to achieve FANVIS’s goals. External financial support will be required to afford it. GRABYSUR has decided to submit a proposal for an EIC Accelerator instrument.
Task 1 - Market study and segmentation: To properly assess FANVIS’ market conditions, we first addressed the global environment in which FANVIS is involved: the aerospace industry, due to its particular structure and functional flows. We analysed the complex network of interconnected firms in the aerospace value chain and finally defined FANVIS’ specific value chain and key actors. We updated our information related to market trends, market barriers, segments (by end user, application, geographic area and customer), customers’ profiles and their preferences. Competitors were studied and our superior offer contrasted.
Task 2 – Freedom to Operate Analysis and IPR Strategy: A thorough patents search was performed to guarantee the commercial exploitation of FANVIS filters, with no existing patents being a serious barrier to our innovation.
Task 3. Technical Work Plan: A detailed plan of the activities to get FANVIS business line into market was deployed. Subcontracting requirements in all the project phases were identified. We will need 24 months to achieve the final results. The budget for this project amounts for €0.9M.
Business Plan: FANVIS business line is integrated by the complete portfolio of FANVIS filters formats and our illuminated panels. Based on the updated market prospects, we estimated our market size, defined our objectives and the commercialisation plan with target segments, the marketing strategy, analysis of resources (equipment, human resources and funding needs), key risks analysis with mitigation actions, and updated our financial prospects to determine FANVIS impact on Grabysur’s business.
Conclusions: All information supports to pursue FANVIS project. The forecasts for our related markets are optimistic; all market trends show positive data, both from the original equipment, and the maintenance, repair and operations (MRO) segments, and market barriers are easily overcome by Grabysur as an insider in the market. Most important competitors are mainly circumscribed to the American market, so we could easily gain a dominant position in Europe. The novelty of FANVIS features is not protected by any published patent and the Technical Work Plan designed is appropriate to achieve FANVIS’s goals. External financial support will be required to afford it. GRABYSUR has decided to submit a proposal for an EIC Accelerator instrument.
PROGRESS BEYOND THE STATE OF THE ART: Currently, the dominance of US companies in the NVIS-compatible filters industry is absolute. Most of these manufacturers comply with the strictest standard requested at the aerospace level and all their features are similar. Thus, our greatest competitive advantages over them are cost-efficiency, customization, delivery-terms and no minimum order required. With regard to the panels, the situation is quite the same, so we must leverage the advantage of eliminating the dependence on a filters’ supplier to increase agility and efficiency in our production processes and to provide enhanced added value to our panels.
POTENTIAL IMPACTS
COMPANY: With FANVIS we aim at eliminating a supplier in our value chain by a vertical integration. A new business unit will be devoted to the manufacture of FANVIS filters. The filters will be also integrated in our HMI products, thus allowing us to manufacture more competitive products in costs terms and to provide higher quality and flexibility to customers. Grabysur therefore will play a double role: first, as a manufacturer of NVIS-compatible illuminated panels, and second as manufacturer and marketer of NVIS-compatible filters. As a summary, the entire FANVIS line (filters and panels) will generate a business opportunity for GRABYSUR of €19.8M of accumulated turnover and a net profit of €6.7M in the five years after market introduction (2022-2026). This project will lead us to pursue our vision and become a technological reference and a world leading company in the field of HMIs and NVIS conversion. FANVIS will allow us to increase our presence in the international markets and become a European partner of reference for the top international OEMs in the aerospace and naval sectors.
CUSTOMERS: Our priority targeted customers are OEMs (mainly aerospace, naval and simulators) and medium-sized panels manufacturers in the new equipment segment; and NVIS retrofitting/upgrading services providers and Part 145 repair shops, in the MRO segment. Their main benefits from FANVIS will be an improvement of integration and customization possibilities, a reduction of delivery times with no minimum order required, a cost-reduction in new equipment development and easiness to redesign/improve products in an agile way. All these benefits lead to a lower cost of ownership, better control of their manufacture/services processes, and revenues/profit margin increases for our customers.
ENVIRONMENTAL AND SOCIETAL IMPLICATIONS: Environmentally, FANVIS aims to significantly reduce the carbon footprint of the final product, due to the local production of the filters. In addition, by manufacturing on customers’ demands we will avoid wasting material. With regard to social benefits, we will positively influence European economy and job creation, by boosting the competitiveness of relevant European industries (aerospace, shipbuilding).
POTENTIAL IMPACTS
COMPANY: With FANVIS we aim at eliminating a supplier in our value chain by a vertical integration. A new business unit will be devoted to the manufacture of FANVIS filters. The filters will be also integrated in our HMI products, thus allowing us to manufacture more competitive products in costs terms and to provide higher quality and flexibility to customers. Grabysur therefore will play a double role: first, as a manufacturer of NVIS-compatible illuminated panels, and second as manufacturer and marketer of NVIS-compatible filters. As a summary, the entire FANVIS line (filters and panels) will generate a business opportunity for GRABYSUR of €19.8M of accumulated turnover and a net profit of €6.7M in the five years after market introduction (2022-2026). This project will lead us to pursue our vision and become a technological reference and a world leading company in the field of HMIs and NVIS conversion. FANVIS will allow us to increase our presence in the international markets and become a European partner of reference for the top international OEMs in the aerospace and naval sectors.
CUSTOMERS: Our priority targeted customers are OEMs (mainly aerospace, naval and simulators) and medium-sized panels manufacturers in the new equipment segment; and NVIS retrofitting/upgrading services providers and Part 145 repair shops, in the MRO segment. Their main benefits from FANVIS will be an improvement of integration and customization possibilities, a reduction of delivery times with no minimum order required, a cost-reduction in new equipment development and easiness to redesign/improve products in an agile way. All these benefits lead to a lower cost of ownership, better control of their manufacture/services processes, and revenues/profit margin increases for our customers.
ENVIRONMENTAL AND SOCIETAL IMPLICATIONS: Environmentally, FANVIS aims to significantly reduce the carbon footprint of the final product, due to the local production of the filters. In addition, by manufacturing on customers’ demands we will avoid wasting material. With regard to social benefits, we will positively influence European economy and job creation, by boosting the competitiveness of relevant European industries (aerospace, shipbuilding).