Autodesk 2015 Annual Report Download - page 183

2015 Form 10-K 91
13. Segments
Autodesk reports segment information based on the “management” approach. The management approach designates the
internal reporting used by management for making decisions and assessing performance as the source of the Company’s
reportable segments. Autodesk has four reportable segments: AEC, PSEB, MFG, and M&E. Autodesk has no material inter-
segment revenue.
The AEC, PSEB, and MFG segments derive revenue from the sale of licenses for software products and services to
customers who design, build, manage, or own building, manufacturing, and infrastructure projects. Autodesk's M&E segment
derives revenue from the sale of products to creative professionals, post-production facilities, and broadcasters for a variety of
applications, including feature films, television programs, commercials, music and corporate videos, interactive game
production, web design, and interactive web streaming.
AEC software products help to improve the way building, civil infrastructure, process plant, and construction projects are
designed, built, and managed. A broad portfolio of solutions enables greater efficiency, accuracy, and sustainability across the
entire project lifecycle. Autodesk AEC solutions include advanced technology for BIM, AutoCAD-based design and
documentation productivity software, sustainable design analysis applications, and collaborative project management solutions.
BIM, an integrated process for building and infrastructure design, analysis, documentation, and construction, uses consistent,
coordination information to improve communication and collaboration between the extended project team. AEC provides a
comprehensive portfolio of BIM solutions that help customers deliver projects faster and more economically, while minimizing
environmental impact. AEC’s revenue primarily includes revenue from the sales of licenses of Autodesk Building Design
Suites, Autodesk Revit, Autodesk Infrastructure Design Suites, AutoCAD Civil 3D, and AutoCAD Map 3D.
PSEB includes Autodesk’s design product, AutoCAD. Autodesk’s AutoCAD product is a platform product that underpins
the Company’s design product offerings for the industries it serves. For example, AEC and MFG offer tailored versions of
AutoCAD software for the industries they serve. Autodesk’s AutoCAD product also provides a platform for Autodesk’s
developer partners to build custom solutions for a range of diverse design-oriented markets. PSEB's revenue primarily includes
revenue from sales of AutoCAD and AutoCAD LT, the AutoCAD Design Suite and many other design products, including
consumer design products, as well as from sales of licenses of other Autodesk's design products.
MFG provides the manufacturers in automotive and transportation, industrial machinery, consumer products and building
products with comprehensive digital prototyping solutions that bring together design data from all phases of the product
development process to develop a single digital model created in Autodesk Inventor software. Autodesk’s solutions for digital
prototyping enable a broad group of manufacturers to realize benefits with minimal disruption to existing workflows. MFG’s
revenue primarily includes revenue from the sales of licenses of Autodesk Product Design Suites, Autodesk Inventor, AutoCAD
Mechanical, and Autodesk Moldflow products.
M&E consists of two product groups: Animation, including design visualization, and Creative Finishing. Animation
products, such as Autodesk 3ds Max, Autodesk Maya, and the Autodesk Entertainment Creation Suites, provide tools for digital
sculpting, modeling, animation, effects, rendering and compositing, for design visualization, visual effects, and games
production. M&E products are also included in a number of PSEB, AEC, and MFG focused suites. Creative Finishing products,
such as Autodesk Flame, Autodesk Smoke, and Autodesk Lustre, provide editing, finishing, and visual effects design and color
grading.
All of Autodesk’s reportable segments distribute their respective products primarily through authorized resellers and
distributors and, to a lesser extent, through direct sales to end-users.
The accounting policies of the reportable segments are the same as those described in Note 1, “Business and Summary of
Significant Accounting Policies.” Autodesk evaluates each segment’s performance on the basis of gross profit. Autodesk
currently does not separately accumulate and report asset information by segment, except for goodwill, which is disclosed in
Note 1, “Business and Summary of Significant Accounting Policies.”
2015 Annual Report