Leveraging Data Analysis Expertise for Commercial Growth

Palantir Kaiserslautern Consulting, through its expertise in data analysis, aims to achieve growth in the commercial sector by taking control of external subsidiaries, enhancing brand image, expanding product portfolio, and targeting a broader customer base. The company's key activities include creating unique software platforms for various applications and serving government and commercial clients with intelligence services. Notable customers like BP and Airbus have generated significant revenue for Palantir in 2021.

• Data Analysis
• Commercial Sector Growth
• Software Platforms
• Brand Image Enhancement
• Customer Base Expansion

addisynn Follow

Uploaded on Sep 21, 2024 | 0 Views

Download Presentation

Please find below an Image/Link to download the presentation.

The content on the website is provided AS IS for your information and personal use only. It may not be sold, licensed, or shared on other websites without obtaining consent from the author. Download presentation by click this link. If you encounter any issues during the download, it is possible that the publisher has removed the file from their server.

Presentation Transcript

1. Palantir Kaiserslautern Consulting Lukas | Theresa | Rida | Leon Kaiserslautern C onsulting

2. Kaiserslautern C onsulting Key Challenge How can we leverage the immense data analysis expertise to achieve growth in the commercial sector? 2

3. Kaiserslautern C onsulting Recommendation Take control of two external subsidiaries namely government and commercial services Division Commercial services as an independent subsidiary to enhance the perceived image by customers Brand image Expand product portfolio Reach a broader customer base by offering affordable products for SMEs . 3

4. Kaiserslautern C onsulting Today s Agenda 1. Analysis 2. Alternatives & Recommendations 3. Implementation 4. Financials 5. Risk & Risk Mitigation 4

5. Kaiserslautern C onsulting Palantir creates unique software platforms for several applications Value Proposition: Customer Relationship Key Activities Key Activities Palantir creates unique software platforms that become part of the institutions you serve Customer Segments Key Partner Key Partner Channels Key Resources Revenue Stream Cost Structure Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 5

6. Kaiserslautern C onsulting What are Palantir s main customers and how are they reached? Customer Relationship Key Activities Value Proposition: Palantir creates unique software platforms that become part of the institutions you serve Customer Segments Key Partner Channels Key Resources Revenue Stream Cost Structure Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 6

7. Kaiserslautern C onsulting Palantir offers intelligence services for government and large commercial organizations Focus on data security Focus on cost savings Government Gotham Commercial Foundry Data-driven techniques for governments, i.e., defence and intelligence agencies such as: - predictive policing - facial recognition - voice recognition Software platform for commercial clients: - Predictive analytics - Interactive data visualization - Palantir Unlock as a free software Successfully used by BP, Airbus, From those key customers you generated around $1 billion in revenue in 2021. Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 7

8. Kaiserslautern C onsulting Software industry has a high market potential Market share of industry $396.7 billion industry revenue in 2021 Government entities, 10.90% 29.8% Revenue growth of 12.6% due to Covid-19 pandemic average profit margins in 2020 Private households, 25.40% Businesses, 63.70% Annual revenue growth: 2.8% for next years Software industry has a high market volume, with a strong growth due to Covid-19 pandemic Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 8

9. Kaiserslautern C onsulting Palantir s market position in the software industry Palantir Palantir has a high focus on government projects, BUT due to the Covid-19 pandemic there was a huge growth in the commercial sector 2.7 % market share world-wide TAM = $119 billion High focus on government: 67% of revenue from top 20 government clients Only reaching small percentage of total addressable market 107% growth in revenue in U.S. commercial market in 2020 Market you reach right now Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 9

10. Kaiserslautern C onsulting Palantir is facing following core issues Bad brand image Products are used in problematic government projects Still making losses Only customers with high willingness & capability to pay for software Low sales and marketing activities High competition Incumbents rule the market like Amazon, IBM, Google, Microsoft Data protection concerns Increasing concern of data protection in the society Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 10

11. Kaiserslautern C onsulting To sum up Strengths Weeknesses Individual solutions for customers Strong government relations State of the art software solutions Bad brand image due to government projects Making losses Focus on government services Opportunities Threats Growing market Increased interest in AI Overseas government customers High competition in the software industry Data privacy issues How can Palantir overcome its weaknesses? Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 11

12. Kaiserslautern C onsulting We have developed following alternatives to overcome your lack of digital presence Abandon the commercial sector Boost your growth by partnering with more governments that generate your solid revenue stream. Product diversification Devote your expertise to offer a wide range of affordable products for SMEs to increase your customer base Division of company Enhance your brand image with a widespread presence on both government and commercial sectors Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 12

13. Kaiserslautern C onsulting Evaluation of the alternatives to overcome the key issues Abandon the commercial sector Product diversification Criteria Weight Division of company Growth of revenue of 40% yearly 30% 6 7 8 Customer base increase of yearly 30% 25% 2 8 8 Brand image 20% 1 9 5 Long term impact 15% 4 7 7 Company synergies 10% 2 3 3 Decision 100% 3.3 7.6 6.3 1 - 3 4 - 6 7 - 9 Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 13

14. Kaiserslautern C onsulting Evaluation of the alternatives to overcome the key issues Abandon the commercial sector Product diversification Criteria Weight Division of company Growth of revenue of 40% yearly 30% 6 7 8 Customer base increase of yearly 30% 25% 2 8 8 Brand image 20% 1 9 5 Long term impact 15% 4 7 7 Company synergies 10% 2 3 3 Decision 100% 3.3 7.6 6.3 1 - 3 4 - 6 7 - 9 Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 14

15. Kaiserslautern C onsulting As a solution to your key issues, we recommend following measurements Take control of two internal subsidiaries namely government and commercial services Division Commercial services as an independent subsidiary to enhance the perceived image by customers Brand image Expand product portfolio Reach a broader customer base by offering affordable products for SMEs . Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 15

16. Kaiserslautern C onsulting Establish a parent company with two subsidiaries one for the governmental service and the other for commercial service Palantir Governmental service Commercial service Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 16

17. Kaiserslautern C onsulting Create a subsidiary for governmental service to get rid of image problems that hinder you to fully succeed in commercial market WHAT Create a subsidiary for governmental service WHY Palantir Governmental service Commercial service HOW Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 17

18. Kaiserslautern C onsulting Create a subsidiary for governmental service to get rid of image problems that hinder you to fully succeed in commercial market WHAT Create a subsidiary for governmental service It is your major market so far, that hinders you from expanding into promising commercial market due to image problems WHY Palantir Create short content on social media Governmental service Commercial service HOW Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 18

19. Kaiserslautern C onsulting Create a subsidiary for governmental service to get rid of image problems that hinder you to fully succeed in commercial market WHAT Create a subsidiary for governmental service It is your major market so far where most revenues comes from, but hinders you from expanding into promising commercial market WHY Palantir Create short content on social media Governmental service Commercial service Product portfolio: - Highly priced - Customized to governmental use Core values & activities: - Data security - Trustful partnerships - Democratic countries - Focus on engineering - Minimal marketing HOW Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 19

20. Kaiserslautern C onsulting Create a subsidiary for governmental service to get rid of image problems that hinder you to fully succeed in commercial market WHAT Create a subsidiary for governmental service It is your major market so far where most revenues comes from, but hinders you from expanding into promising commercial market WHY Palantir Create short content on social media Governmental service Commercial service Benefits: Product portfolio: - Highly priced - Customized to governmental use Core values & activities: - Data security - Trustful partnerships - Democratic countries - Focus on engineering - Minimal marketing - Leveraging growth due to high revenues HOW - Focus on needed core values - Independent image (Siemens vs. Siemens Healthineers) Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 20

21. Kaiserslautern C onsulting Create a subsidiary for commercial service to fully yield from a new market and establish an independent image WHAT Create a subsidiary for commercial service WHY Palantir Governmental service Commercial service HOW Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 21

22. Kaiserslautern C onsulting Create a subsidiary for commercial service to fully yield from a new market and establish an independent image WHAT Create a subsidiary for commercial service It is a huge market with great potential for future growth and a greater customer base than in the governmental sector WHY Palantir Create short content on social media Governmental service Commercial service HOW Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 22

23. Kaiserslautern C onsulting Create a subsidiary for commercial service to fully yield from a new market and establish an independent image WHAT Create a subsidiary for commercial service It is a huge market with great potential for future growth and a greater customer base than in the governmental sector WHY Palantir Create short content on social media Governmental service Commercial service Product portfolio: - Priced on the companies' size - Customized + standard products Core values & activities: - Cost savings for customers - Trustful partnerships - Focus on engineering & marketing + sales HOW - New product: Production failure prediction tool Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 23

24. Kaiserslautern C onsulting Create a subsidiary for commercial service to fully yield from a new market and establish an independent image WHAT Create a subsidiary for commercial service It is a huge market with great potential for future growth and a greater customer base than in the governmental sector WHY Palantir Create short content on social media Governmental service Commercial service Benefits: Product portfolio: - Priced on the companies' size - Customized + standard products Core values & activities: - Cost savings for customers - Trustful partnerships - Focus on engineering & marketing + sales - Increasing customer base HOW - Yield from new market - Marketing improves image - New product: Production failure prediction tool Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 24

25. Kaiserslautern C onsulting Establish cross-subsidiary engineering teams for new product development to leverage synergies between the subsidiaries Reduced cost of programming due to increased learning Governmental service Commercial service Increased revenue per product due to multi purpose use of software Cross-subsidiary teams Sharing of capacity for new product development Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 25

26. Kaiserslautern C onsulting Timeline for implementation 2021 2022 2023 2024 H1 H2 H1 H2 H1 H2 H1 H2 Establishment of new organizational structure Division in two subsidiaries Hire sales & marketing people Start of marketing & sales for commercial services Hire new software developer for new product development Development of new product Build cross-subsidiary teams Build teams Alternation of team engineers Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 26

27. Kaiserslautern C onsulting Currently the business is losing money every year Income statement(in mil. US $) 9000 8000 7000 6000 5000 4000 3000 2000 1000 0 -1000 -2000 2020 2021 2022 2023 2024 2025 Revenue 1089 1,433 2,006 3,009 4,725 7,560 Operating Income/Loss Net income/Loss -1285 -1413 -407 -505 -508 -521 237 218 689 659 1541 1493 Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 27

28. Kaiserslautern C onsulting Achieving first Net Profit by the year 2023 Income statement(in mil. US $) 9000 8000 AARG: 43% 7000 6000 5000 4000 3000 2000 1000 0 -1000 -2000 2020 2021 2022 2023 2024 2025 Revenue Operating Income/Loss 1089 1,433 2,006 3,009 4,725 7,560 -1285 -1413 -407 -505 -508 -521 237 218 689 659 1541 1493 Net income/Loss Leveraging the huge commercial market to continue to grow revenue significantly Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 28

29. Kaiserslautern C onsulting Increased focus on commercial businesses Revenue split in % 100 90 33 40 80 47 70 61 70 76 60 50 40 67 60 30 53 20 39 30 24 10 0 2020 2021 2022 2023 2024 2025 Goverment Buisness Using better scalability and bigger market size of commercial businesses to secure long-term success Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 29

30. Kaiserslautern C onsulting Key Performance Indicator KPIs Current:2021 Target:2025 Net profit / loss First Profits in 2023 -505 1541 Customer x11 935 85 Annual revenue growth 48% 40% +8% AI-market share #5 Worldwide 3.1% 2.7% Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 30

31. Kaiserslautern C onsulting Risks 1. New data security threats high 2. 3. Push of public against company increases Increase in regulations regarding personal data 2. Probability 3. 1. Low minor major Impact Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 31

32. Kaiserslautern C onsulting Risks Mitigation 1. New data security threats high 2. 3. Push of public against company increases Increase in regulations regarding personal data Mitigation 1. Significant Investments in R&D to continue providing highest level security 2. Help governments in handling global crisis by leveraging data expertise 3. Consider new indicators to analyze 2. Probability 3. 1. 2. 1. 3. Low minor major Impact Analysis | Alternatives | Implementation | Financials | Risk & Risk Mitigation 32

33. Kaiserslautern C onsulting Take control of two external subsidiaries namely government and commercial services Division Commercial services as an independent subsidiary to enhance the perceived image by customers Brand image Expand product portfolio Reach a broader customer base by offering affordable products for SMEs . 33