By Hanskurt Lubberstedt, VP, ANSYS
ANSYS (NASDAQ:ANSS) founded in 1970, develops and globally markets engineering simulation software and technologies used by engineers, designers, researchers and students across a broad spectrum of industries and academia. Headquartered in Canonsburg, Pennsylvania, the company has a market cap of $6.76 billion.
In the near future, Simulation software will play a bigger role in almost every product or device. This is plainly due to the fact that every device requires /needs some sort of mechanical simulation technology mainly to ensure safety, productivity and performance. This can be explained by taking a Smartphone as a case in point. The antenna of the phone needs to have just the right frequency for adept communication. A strong signal can cause radiation, whereas a weak signal can bring down the performance of the device. Similarly the weight of the phone needs to be set accurately; a light phone is prone to breakage while a heavy phone is not sought after by the consumer. There are many other aspects to consider such as air flow to remove heating, antenna's interference with the normal functioning of other chips in the phone and many other minute aspects critical to the Smartphone's proper working.
An additional problem is with the on-market release time of two years that has come down to six months per release. If a company does not utilize this time frame, their market share takes a beating. A proper working phone needs to be 99 percent certified to have just the right signal, weight and air flow. Such aspects can only be counteracted with simulation software.
The above example is for a Smartphone. The same simulation principle when applied in the aerospace industry (for example, proper aerodynamics and functioning of a passenger aircraft) can make the difference between a life and death situation. Hence every device requires /needs some sort of mechanical simulation technology mainly to ensure safety, productivity and performance of the respectable device.
The next big question to be addressed is the precision of the software. At ANSYS many of the complexities in the market and in simulation techniques are counteracted by methodologies that have taken over forty years to perfect. This vast experience is complimented by the strategic acquisitions of niche players in the industry. These expert niche acquisitions have been integrated into the portfolio of ANSYS to combat situations in almost any area of simulation software requirements. Since 1970, the company has been using complex algorithms to solve critical issues related to simulation in products. These algorithms have gone through a long process of perfection. But level of skill in mathematics and physics ultimately rests on the individual’s prowess.
Asian Growth and its Indian Influences
The Asian market is a fast growing maturing market, while the European market is matured and moving at a slow growth rate. Asia provides special opportunities as changes happen drastically owing to the fast growth rate. A third of the global revenue of Ansys originates from the Asian countries. India plays a significant role in this growth with 390 out of the 700 employees in Asia employed in India. Ansys, known in the industry for reinvesting 15 percent of revenue back into research, entrusts a good amount of the money on Indian talent.
Indians are sought after in the Industry specifically for their pragmatic approach. India has a traditionally good academic system which procures and develops individuals who are very knowledgeable. Culture has a strong influence on the working methodologies of an individual and India excels due to its cultural influences.
However the Asian market poses a challenge in finding well qualified, knowledgeable and experienced talent in the simulation software space. In the Asian context they are a small group of talented and experienced individuals who are very much sought after, even by ANSYS’s own clients. The competition is about getting these small groups of individuals onboard. ANSYS is combating this challenge by partnering with academic institutions to support the staffing of talented fresh graduates in our domain. In India, ANSYS works with institutes on different agendas that revolve around recognizing raw talent available in IITs' and IIMs'. The company recently sponsored an IIT Delhi student on a research topic to simulate how blood flows in the capillaries of the brain. India will continue to form a big part of this global academic program that is extended to Asia and South America.