1st Convention RARI05/02/2016

WELCOME TO RARI

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WELCOME,

We embrace new challenges with new

solutions

28 YEARS OF RARI – Logo Evolution

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28 YEARS OF RARI – Tribute to the founders

The beginning of the industrial era

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From left to right: Custódio Ramos,

Vítor Caçador and Gracinda

Caçador

R&C GROUP’S SCOPE

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1 – Group R&C's value proposition for Customers and Market is:

• Reliability

• Professionalism

• Sustainability

• Capacity

• Smart Solutions

2 – Group R&C is present in the following businesses:

• Mobility

• Environment

• Energy

• Additional areas such as HR and infrastructures.

RARI SA

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TEAM RARI SA

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RARI’S CLIENTS AND PARTNERS

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NEWSLETTER

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Contents:

• Relevant events

• What’s new at RARI

• Communications

WELCOME MANUAL

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Contents:

• Where are we

• Our clients

• Projects undertaken

• Mission

• Quality policy

• Values

• Company chart

• Glossary

RARI’s CORPORATE BOOK

Contents:

• Fundamentals

Identity Statement

Vision

Mission

Values

Quality Policy

• Management Process

Strategy

Strengths

Critical Success Factors

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RARI’S COMPANY CHART

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SPEECHES

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Theme Speaker

Equation of new methods in each work and continuous improvement in the production process

Henrique Adão

Quality and Self-control, a strategic challenge for 2016 Artur Miranda

Qualification and training of HRAna Borges

Hugo Madeira

Project management and team work João Santos

Our offer to the market based on continuous improvement Ricardo Pérez

The importance of financial control for the success of a project João Cêncio

Partners with RARI for 18 years Nuno Saraiva

RARI’S evolution inside Group Volkswagen since 2000 Cármen Aldino

HENRIQUE ADÃO – OPERATIONS DIRECTOR

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Equation of new methods in each work

and continuous improvement in the production process

“THE EQUATION RARI”

“In math, an equation is an equality that involves one or more variables” Why the equating?

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“ANALYSIS OF RARI’S VARIABLES”

Our capacity is

always

associated with

time!

The two fundamental variables

in operations are:

Time

Capacity

The time dilemma

cannot be

suspended.

It’s in Time that we

can have profit or

losses.

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“RARI’S CAPACITY”

“We are all valid to win! But it’s the leader’s responsibility to

put the right persons on the right races”!

The operations are based in capacity

management and their correct allocations!

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“THE CAPACITY’S EFFICIENCY”

The empirical variant to

solve the “RARI EQUATION”

is the Team!

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ARTUR MIRANDA – QUALITY DIRECTOR

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Quality and Self-control, a strategic challenge for

2016

PARADIGM OF QUALITY

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Think about qualityQuality conquers the trust of a client.

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FOCUS ON THE CLIENT

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STAFF INVOLVEMENT

SELF-CONTROL

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TREATMENT OF NON-COMPLIANCE

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CHALLENGE

Let’s make 2016 a year of quality improvement

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ANA BORGES / HUGO MADEIRA – HR

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Qualification and

training of HR

ANA BORGES / HUGO MADEIRA – RH

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HR MANAGEMENT

THE IMPORTANCE OF PEOPLE IN RARI

OBJECTIVES FOR 2016

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1º To assure the alignment of HR policies and practices with the organization’s strategy.

2º Attract and retain qualified workers.

3º To promote competencies return to Portugal by hiring qualified technicians.

4º Continuous qualification of our HR.

5º Facilitators of an “open and honest” communication, one of RARI’S pillars.

ACTION PLAN – RECRUITMENT & SELECTION

Requirements:. CHARACTERISTICS. QUALIFICATIONS. SPECIFIC SKILLS. EXPERIENCE…

ORGANIZATION’S NEEDS ANALISYS

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Tasks Model Competencies Model

Requirements:. Competencies. Organization

. Planning. Responsibility…

RECRUITMENT AND SELECTION MODEL

EVALUATION / FEEDBACK

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ACTION PLAN – PERFORMANCE EVALUATION

OBJETIVES

EVALUATION

- Previously

defined

objectives

TECHNICAL

COMPETENCIES

EVALUATION AND

OTHERS

- Evaluate the level

of accomplishment

of the

performance

critical

components

PERSONAL

ATTITUDE

- Evaluate

interest, effort,

commitment,

responsibility…

TEAM SPIRIT

- Collaboration,

commitment in

creating team spirit

- Commitment and

responsibilities in

the Group’s

objectives

IDENTIFICATION IN TRAINING AND DEVELOPMENT NEEDS

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ACTION PLAN – TRAINING NEEDS

BASED ON:

1. Company’s

objectives

2. Feedback

and

performance

evaluation

results

3. Annual

inquiry to

satisfaction

Who to train?

How?

In what?

When?

Who will give

the training?

Program

Application

Measure results

Compare the

results with the

objectives

SITUATION DIAGNOSIS

ELABORATION OF THE TRAINING PLAN

EXECUTION OF THE TRAINING PLAN

TRAINING AND EVALUATION

CONTROL

INSTITUTIONAL PROTOCOLS – TEACHING

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RARI has been materializing several partnerships with teaching institutions that will give potential to the company’s future, we highlight the following:

• Protocol with “Escola Profissional da Moita” – Welding Course

• Approval of two degrees with “Instituto Politécnico de Setúbal”

• Protocol with the “University of Chemnitz” to receive trainees (Germany)

• “ATEC” – Training Academy

• “Instituto de Emprego e Formação Profissional”, IP

• CENFIM

• FCTUNL – “Faculdade de Ciências e Tecnologia da Universidade Nova de Lisboa”

• “Escola Profissional Bento de Jesus Caraça” – Barreiro

• “Estaca – École D’ Ingénieurs”

FINAL POINT

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The Future of RARI is depending on our team workWe’re counting on you, our success depends from all of us

Thank you

JOÃO SANTOS – PROJECT DIRECTOR

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Project management and team work

CONCEPT

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THE MAIN PURPOSE OF “PROJECT MANAGEMENT” IS TO GUARANTEE THE

SUCCESS OF A PROJECT

A successful project is the one that meet the CLIENT and STAKEHOLDERS expectations

CONCEPT

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Project Management it’s not just the timing and planning of a Project

CONCEPT

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Project Management incorporates Processes, Systems, Planning, People…

It’s always, and is 1st place, a TEAM WORK

This TEAM WORK has to be TRANSVERSAL TO ALL THE COMPANY

CHALLENGES FOR 2016

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OUR PRINCIPLE:

“ALL PROJECTS ARE IMPORTANT”

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1º – To guarantee the Satisfaction and Expectations of CLIENTS

We can guarantee Success satisfying our CLIENTSneeds with expertise

“A satisfied client is the best business strategy” Michael LeBouef

CHALLENGES FOR 2016

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2º – Deepen a culture of collaboration between all the company departments (Sales, Production, Engineering,

Purchase, Quality, HR, Finance) and our Suppliers/Partners

We know that the success of the Project depends on a team work culture, commitment and responsibility of all

the team

“Our TEAM is RARI”

CHALLENGES FOR 2016

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3º – To add value to the Project through constant contact with the CLIENT

4º – To guarantee to the TEAM the maximum level o stability and good communication because each member has

objectives, commitments, responsibilities and his/hers engaging in the Project is relevant and important since the

beginning

CHALLENGES FOR 2016

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5º – To promote a “Proactive” culture among the members of the Team

BEING REACTIVE IT’S NOT PART OF THE SOLUTION

CHALLENGES FOR 2016

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6º – To be more and more rigorous in Processes.Bigger detail in Project Planning (Sales, Production,

Purchase, Finance, Engineering) and PROJECT MONITORING

• Without a good planning there cannot be good control, without control there is no management

• Without this, the only thing that’s left for us is to be reactive, that is a culture that we want to ban

CHALLENGES FOR 2016

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7º – Lessons Learned: Evaluate, Discuss and Learn not to commit the same mistakes

How?

• Feedback from Client

• Project evaluation of the team, its performance and Results

• Openly discuss, in a proper local, the work developed by each Company Department and the Team

• Lessons for the FUTURE

CHALLENGES FOR 2016

PROJECT DEVELOPMENT

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Good relationship with the CLIENT, Suppliers and Partners

CONTROL PROACTIVITY

TEAM WORK

Budget Planning Engineering

SubcontractsPurchasing

Production Expedition Assembly

Delivery

After Sales

FINAL POINT

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IT’S IMPORTANT TO RECOGNIZE THE SIGNS OF CHANGE

Thank You

RICARDO PÉREZ – SALES DIRECTOR

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Our offer to the market based on continuous improvement

IMPROVEMENT AND INNOVATION

CONTINUOUS IMPROVEMENT TO SATISFY OUR CLIENTS

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OFFER

OUR OFFER TO THE MARKET AND TO OUR CLIENTS

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RELIABILITY

PROFESSIONALISM

SUSTAINABILITY

CAPACITY

SMART SOLUTIONS

MARKETS

But in which markets are we going to offer all of this? In which markets we want to focus our efforts?

● MOBILITY

● ENERGY TECH

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VALUE OFFER

How are we going to present our offer to our clients?

PRODUCTIVE CAPACITY

OUR MANAGEMENT

OUR ENGINEERING

OUR KNOWLEDGE OF THE PROCESS

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PRODUCTS

AND OUR PRODUCTS

PRODUCTS FOR THE AUTO SECTOR (TRs, ME, EL, AP, DIAG, SKIDS…)

MACHINE TO POLISH PISTON RINGS

PHOTOVOLTAIC STRUCTURES

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SALES PROJECTION

AND FINALLY: OUR SALES OBJECTIVES FOR THE NEXT TRIENNIUM

2015: 20M

2016: 21M

2017: 22M

2018: 23M

CONSOLIDATION!

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TEAM

ALL IS POSSIBLE THANKS TO:

Clients

Partners

Innovation

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JOÃO CÊNCIO – FINANCE DIRETOR

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The importance of financial control for the

success of a project

• Foundation of RARI

1988

• Foundation of CEDI

1990

• Foundation of R&C Group

• Joint Venture between ESE and R&C,creation of a new society called OTTOMultiservei S.A. New facilities at Moita.

2009

• Foundation of RARI GMBH (Germany)

2012

• OTTO Multiservei changes its name to OVO Solutions and its shareholder structure belongs 100% to R&C and its partners.

2013

HISTORY

• Foundation of RARI UK Ltd (United Kingdom)

• Foundation of R&C Spain SL (Spain)

2014

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COMPANY CHART R&C SGPS

R&C, SGPS

80%

RARI SA

100%

RARI Gmbh

80%

CEDI Lda

85%

OVO Sol. SA

100%

R&C Spain SL

100%OTTO Provider

80%

VSD 100%

RARI Uk Ltd

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ORGANIZATION RARI SA

Portugal• Accounts & Project

management• Product development• Engineering• Production• Purchase• Turnover: €13,9M

Germany• Accounts & Project

management• Purchase• Turnover: €3,7M

United Kingdom• Accounts & Project

management• Turnover: €1,5M

Spain• Accounts & Project

management• Purchase• Turnover: €2,8M

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RARI SA EVOLUTION

2008 2009 2010 2011 2012 2013 2014 2015

Vol. Direct Exports 1.107.159 1.413.968 1.534.998 1.707.329 9.622.255 5.298.695 6.804.333 6.255.023

Vol. National Businesses 7.241.345 8.342.490 6.483.243 6.169.286 2.924.740 4.405.486 4.669.414 7.645.027

Vol. TOTAL 8.348.504 9.756.458 8.018.241 7.876.615 12.546.995 9.704.181 11.473.747 13.900.050

% Vol. Exp. Im comparison to VN.

13% 14% 19% 22% 77% 55% 59% 45%

EBITDA 510.362 1.205.512 888.474 684.814 1.142.803 825.665 873.909 1.142.518

0

2.000.000

4.000.000

6.000.000

8.000.000

10.000.000

12.000.000

14.000.000

16.000.000

2008 2009 2010 2011 2012 2013 2014 2015

Vol. Negócios TOTAL

Vol. de exportaçõesDirectas

EBITDA

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Vol. Total

Vol. Direct Exports

Data 2009 Data 2015

Sales per sector

55%27%

3%3%

3%

9% Nacional

Alemanha

França

Mexico

Espanha

Reino Unido

72%

6%

6%

1%

2%

3%

11%Automovél

Ambiental

Energia

Firbas sinteticas

Outros

Vidreira

T.Informação

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RARI SA EVOLUTION

Environmental

industry

Automotive industry

and other vehicles

Public and

semipublic entities

Glass industry

IT

Others

National

Germany

France

Mexico

Spain

United

Kingdom

Automotive

Environment

Energy

Synthetic fibers

Others

Glass

IT

THE IMPORTANCE OF FINANTIAL CONTROL

The growth of RARI has to be followed with the bestmanagement skills, we highlight financial management withthe purpose of:

* Set goals to motivate the organization and set benchmarks for performance evaluation.

* To ensure the profitability of the company's projects through timely reporting and management tools.

* To provide useful and crucial information to support decisions.

* To support the financing decision and investment policy.

* To ensure national and international tax rules.

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INVESTMENT IN I&D

The investment in I&D activities is crucial for the sustainable development of the company and its placement in the global market. In this process we highlight:

* Patent registration for the functionalism and software of the Polish Ring Machine.

* To obtain of a internationalization subsidy of this functionalism.

* Creation of an I&D autonomous department.

* Application of 2 projects under the program “Portugal 2020”, for two more projects (individual project – lifting tables, consortium project – automatic unloading platform.

* To obtain two new patents for 2016.

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NUNO SARAIVA – SEW EURODRIVE

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Partners with RARI for 18 years

A SET PAST, A SHARED SUCCESS

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1998• Beginning of

partnership

2002• VW AE – 3A

system, layout change

2007• VW AE –

Transp. CP8

2011• VW AE –Painting line

2013• Audi Ingolstadt –

transp. and elevators

• BMW Regensburg – transp.

2015• BMW

Oxford transp.

• VW AE –transp. and elevators

2000• VW AE – 23

bench system

2005• VW AE – SKID

Lines

2010• VW AE –

transp. cockpits

2012• BMW

Oxford –Skillet Lines

2014• BMW Munich

– transp. • Audi

Neckarsum –elevators

RARI NEWS AT SEW’S NEWSLETTER

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FOR SEW RARI IS TECNOLOGY…

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…KNOW HOW TO DO…

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…CHALLENGE…

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…DEMAND…

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…AND EVOLUTION…

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SPECIALIZATION

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RARI has highly specialized and qualified technicians that develop in partnership with SEW EURODRIVE PORTUGAL technicians complex solutions integrating electro mechanic drivers.

For instance: RARI was the 1st Portuguese company to install the decentralized system for SEW’s model MOVIPRO® in the automotive industry.

THE FUTURE OF RARI SA

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Just like SEW, RARI is a family company which was founded over 30 years ago and has more than 15 years of experience as suppliers for the automotive industry.

The strength of RARI consists on the capacity of production which is supported in highly qualified personnel, being specialists in management and implementation of turnkey projects fully adapted to the client’s needs.

O FUTURO DA RARI SA

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Therefore, RARI is a company with a large margin of progression inside the internal and external markets, it’s solidly based in a sustainable growth.

The strength of RARI consists on the capacity of production which is supported in highly qualified personnel, being specialists in management and implementation of turnkey projects fully adapted to the client’s needs.

Currently, RARI is recognized and respected internationally by all players of the automotive industry.RARI has a team highly specialized and motivated to whom the obstacles represent always a challenge to be overcome and learning opportunities.

With a dynamic leadership and a medium-term strategy, RARI will be a fundamental partner for SEW to consolidate its brand as key player in the automotive industry.

CARMEN ALDINO – VOLKSWAGEN

RARI’S evolution inside Group

Volkswagen since 2000

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RARI evolution in Volkswagen Group since the year 2000

• Rari is a supplier for Volkswagen Autoeuropasince the beginning.

• It is a reliable supplier commercially andtechnically, recognized by VW Engineering.

• During the crisis period, Rari preparedthemselves for the internationalization.

• In the year 2012, Rari became a very importantsupplier for other plants of the group, namelyAudi (Ingolstadt) and SEAT (Barcelona).

• Rari is now a well-known supplier for the group,biding processes at the same level than majorinternational companies of the sector.

• It was fundamental for this growth inside VWgroup, that the “Project Manager” strategy wasadopted, this was part of the success.

Cármen Aldino 05/02/2016

CARMEN ALDINO – VOLKSWAGEN

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THANK YOU

THANK YOU ALL FOR YOUR PRESENCE

The Future of RARI is depending on our team work

We’re counting on you, our success depends from all of us