Part 2: Executive summary 1. What is your business idea? Describe your product or service. (Suggested length: 250 words) o The Tripee Project is an initiative to catalyse collaborative action to nurture enterprise, employment and skill development at the bottom of the pyramid; to harvest frugal innovation to generate low-capex employment/income generation. o It is based on the production of an innovative range of pedal-powered trucks, up to 1.5 ton capacity, at a fraction of the cost of comparable solutions. It will offer an entry point to the delivery service business to many who currently lack the capital to establish a business in this segment. o The business is to provide low-capex, low-carbon foot print cargo transportation solutions via the Tripee and to encourage and support enterprise models around the Tripee in B2B, B2G, B2NGO and B2C segments o The Tripee vehicle:  Is pedaled by three persons, who also serve as cargo handlers  Is ergonomically designed with a gearing system and overhead weather proof protector for enhanced operating comfort and reduced relative effort  Carries loads up to 1.5 tons  Is a low-capex short-journey substitute to the 3 and 4 wheel LCVs, where the labour content in the delivery is high – i.e. gas cylinder/water distribution, etc  Is principally made from off-the-shelf or modified off-the-shelf auto/rickshaw industry components 2. What is the business model? Consider describing how you will develop and deliver your product or service through the whole value chain, up till the customer. (Suggested length: 500 words) o In terms of the business model:  The Tripee business is based on an outsourced production and distribution model  No initial capital investment is required for land and buildings  The business is operated on working capital which is a function of the business transaction cycle  This results in an early break even and lowers the business risk profile o In terms of the implementation of the project:  Production has been designed to minimize the use of custom designed parts and logistics costs  Only critical components like chassis, two axles and couplers are contract manufactured  Other components are ‘off-the-shelf’ standardized parts from auto/cycle/industrial OEM vendors and a couple of modified ones  Quality inspection is at the SKD production unit, vendors’ facility and on final assembly  The in-bound and out-bound supply chain shall be managed by a 3PL service provider 1

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Product will be assembled at select workshops by trained dealers’/ NGO nominated SHGs with the CKD/SKD kit, and other components delivered via buffer warehouses. Workshops shall be equipped with power tools and assembly manuals.

o In terms of sales and distribution:  With an outsourced production model, management of the supply chain is the key governance function  In Phase I, Tripee shall focus on businesses involved in logistics and vending for, with, or through PSUs, FMCGs, co-ops; NREGA; NRLM; etc.  NGOs and corporates shall be partnered for sales and distribution channels – Leverage existing networks of partners – Co–brand / white label / joint ventures – Partnerships for expansion in new and global markets  Active engagement with agencies for asset financing and banking (akin to the rickshaw bank in Assam)/micro-financing / crowd-funding of Tripee o Reaching the Customer:  For starters the chassis, machined components (part of the chassis) and axles shall be produced in Aurangabad  Buffer ware houses shall be set up at select locations in the states being targeted in the first phase of the roll out.  Custom produced items (CKDs/SKDs) shall be shipped to the buffer warehouses.  Bought-out components shall be ordered on a fixed quantity basis and shipped from/by the vendors to buffer ware houses.  ‘Ordered’ Tripee units shall be shipped as CKDs/SKDs with associated components to assembly workshops within the catchment towns of the buffer warehouses.  The logistics process shall be tracked through a custom designed mobile swipe app which will also be used for inventory control, production management & accounts.  The prime mover and trailer will be assembled at the assembly workshop for delivery. Customisation of the trailer will be offered through the assembly workshop. 3. Why do you think your product or service is needed in the marketplace? Describe your target market and evidence of market need. Consider including target market research data (if available), market segments, and any other relevant metric. (Suggested length: 500 words) o Coming from the logistics industry I have seen the acute need for a low-cost first and last mile delivery solution, particularly where manpower for loading, unloading, collection or delivery of cargo is an integral and significant part of the operation. o The typical ‘bottled LPG gas’ cart gave me the idea to design and engineer a better costeffective solution. o The emerging need for low-cost delivery of e-commerce sales, government encouragement to farm-to-fork sales through support to agri-producer groups, rising costs and surging demand for urban garbage and e-waste collection, mobile vending opportunities, etc offer the opportunity to meet the unfulfilled needs of these markets.

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o In terms of problem resolution, Tripee offers:  Cost-effective solutions for collection, transport, temporary storage and distribution  Low-capex, high labour, short-journey substitute to the 3 and 4 wheel LCVs  Addresses first and last mile collection/delivery of cargo  Provides decentralized employment in production, assembly, operation and after sales service through individual/co-op/SHG ownership or through entrepreneurs and/or fleet owners or service providers  Reduces carbon emissions, avoids the use of fossil fuels and lends itself to fitment of electric assisted power o Commissioned market research has not been undertaken as the cost was too high and the expressed need for a ‘show-and-tell’ prototype as a prerequisite for such research studies. Concept and product images were presented to potential B2B customers and Ministries who responded positively. o In addition to the urban market, principally tier-2 and tier-3 towns, (besides tier-1 towns where the Tripee may be permitted to ply during night hours for garbage collection), a significantly larger rural market is anticipated. 4. What have you done so far, and what are your next steps? Consider describing your success stories and learnings (Suggested length: 500 words) o Activities completed:  Completed the product design  Applications for the product patent and design patent have been registered  Successfully tested the proof-of-concept prototype with a 1T load  Conducted static and dynamic load simulation tests for various load limits and road conditions  Based on CAE analysis design/ manufacturing drawings have been revised  Identified and acquired the required off-the-shelf components and parts  Modification of off-the-shelf parts where required, has been completed  Developed required dies for prototyping of the chassis. Fabricated chassis shall be delivered by 20th March 2016.  All machined components for the chassis and customised axles have been produced.  Business model has been developed along with projected financials  Advisory team is on board and start up team members have been identified  NGOs, corporate and channel partners for the field testing of the prototypes have been identified and preliminary discussions held  Proposals and applications for funding are under preparation o Next steps:  Refine business models and pursue funding options  Finalise partners for product testing and field acceptance tests of the prototypes  Finalise and engage start up team  Finalise phase wise assembly, market roll out and targeting of key customers  Finalise production, supply chain management, and budgets o Success Stories and Learnings:  Support of a strong Advisory Team with significant relevant domain experience 3

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Identified very competent and experienced vendors and fabricators Successfully tested the proof of concept prototype Identified branded off-the-shelf products for virtually all key components Successful with cost reduction through lateral and innovative component substitutions - including the brake splitter, brake wires and free wheels for the differential rear axle Pursuing a collaborative and co-operative model to harvest resources and expertise of partner organisations/vendors, experts, etc that has allowed for frugal product development. Significant market opportunities (that had not been initially considered) have been identified by a network of local agencies Need to focus on product improvement, R&D, widening of product application base, component sourcing efficiencies, channel development, etc. to ensure sustainable competitiveness and market share growth

5. What challenges (operational, team, industry, competition, or regulatory) do you anticipate? Describe the challenges you have encountered in the sector and what is keeping you from expanding the idea (Suggested length: 500 words) o End User Considerations:  Potential end user resistance to non-motorised vehicles  Time as factor in determining cost and means of transportation  Labour content in collection & delivery service  Sustaining pedaling effort o Entry Barriers:  Local regulation may prevent slow moving vehicles in metro / cities  The product is easy to re-engineer and can be copied by others  Cost structure has to be continually optimized, to keep the vehicle cost low o Competition:  Engine powered / electric vehicles / animal powered vehicles  Existing unorganized players may compete on similar / copied products o Extraneous:  Presently no specifications, quality and or safety standards exist for the operation of non-motorised vehicles in the country  In the event Tripee becomes successful and is widely used, it is likely that the Government may introduce norms to license and or govern the operation of Tripee-type vehicles  Ideally, we would welcome the introduction of standards which will give the Tripee-type market the legitimacy to attract innovators, entrepreneurs and manufacturers to broaden product offerings at lower delivered prices, while affording Tripee first mover advantages So far we have not experienced any challenge save for funding of the product development which has slowed down the time line from concept to product development and validation.

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6. How do you see your business impacting the sector (i.e. society, environment, economic)? What innovation does your business bring to the transport industry? (Suggested length: 250 words) o Social Benefits:  Inculcating trust, interdependence, community well-being, besides spreading income generation opportunities through a collaborative & distributed value-addition social enterprise  Enables skill development & enterprise opportunities  A potential development driver in unlocking socio-economic, self-provision and livelihood opportunities o Economic Benefits:  Has potential to grow employment at the Bottom of the Pyramid  Opportunity to employ unskilled labor force, for operations  Lends itself to entrepreneurial multiplier models via franchising/SHGs/co-ops/Cos  Can serve the distribution and procurement system to bridge the farm-to-market supply chain  Will catalyse a ‘jugaad’ ecosystem at the grass roots for customization of hybrid vehicles and other applications for pedal technology o Environmental Benefits:  Reduction in manufacturing carbon footprint through use of existing capacities, components and networks, rather than developing new ones  No consumption of fossil fuels in operations  Use of rethreaded tyres therefore contributing to the reuse of materials o Transport Benefits:  Meets needs for clean and green transport solutions for sustainable development  Offers a low capital investment and operating solution as compared to motorised alternatives with similar load carrying capacities (for short distance) o Innovations to the Transport Industry:  Product design where 1.5 tons of cargo can be transported in a non-motorised vehicle with enhanced operator comforts and reduced drudgery  No fossil fuels are consumed despite carriage of a 1.5T load  Principally ‘off-the-shelf’ tried and tested parts and components are utilized to guarantee product quality, competitive pricing and after sales availability  Localised assembly of the product to reduce logistics costs, to facilitate distributed value addition & creation of localized after-sales maintenance capacity 7. Introduce yourself and your team. Describe your team’s background and tell us how your skills and experience are relevant to make your initiative to be a success? How long you have known each other, and what you have worked on together? (Suggested length: 500 words) o Am keenly interested in the development of socio-economic transformation models, particularly those based on the new age ‘economics of happiness’ philosophy and 5

through such models to tackle the challenges of access to local opportunity and of unemployment in India and like countries. In this context I worked on an income generation capacity building PPP model project in Bhose Village, Panchgani, Satara District of Maharashtra. I have also taken five pedal powered projects up to prototyping, of which Tripee is being taken to the market. o Have 25 years’ experience in the areas of marketing and business development in logistics and logistics infrastructure; significant exposure to joint ventures and collaborations, strategic planning and corporate change. o Have done a PGDIR&W (MBA) from XLRI, Jamshedpur, 1982; an MBA from IMEDE (IMD), Lausanne, Switzerland, 1987; Post-graduate studies in Development Planning and Policy, Institute of Economic Growth, Delhi, 1993 and in Global Political Economy, 1998, University of Hull, UK o Have access and goodwill to organise the required team to execute the project. The fulltime team will be brought on board post the project financial closure. o A competent group of vendors and service providers have been engaged and or have been identified for engagement. o The team members and partners have either been ex-colleagues or business associates or long standing friends and include: • Anupam Bhatnagar – fmcg & auto logistics service professional • Deep Goel – design & production engineering and manufacturing specialist • Vivek Pai – Architect-Urban Planner-Transportation Consultant • Alok Prusty – corporate finance, m & a, venture funding specialist • Paromita Ukil – monitor and documenter of social initiatives • Raj Bhat – NEN entrepreneurship trainer and strategy consultant • KS Gopal – rural development, NREGA, farm innovation, livelihoods practitioner • Kumar Rao – administration and project co-ordination services • Transinov Engitech, Mumbai – design engineering • Time Tooth Technologies, Noida – CAE dynamic load testing • Shubneeel Industries, Aurangabad – prototype manufacture • MART, Noida/Rural Relations, Pune – rural market research and support • Development Alternatives/Pradhan/CEC – prototype & application field testing • Via Edge Software Technologies, Thane – 3pl tracking & CRM mobile app • freeDUM Ventures, Mumbai - strategic and financial advisors to startups

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