Learn how Faurecia, a global leader in the automotive industry, delivered a multi-domain Master Data Management program across its business functions. Discover the benefits of MDM on top of a global SAP instance and multiple corporate systems.

1. Driving Multidomain MDM
simultaneously to ERP harmonization
Learn how Faurecia, a global leader in the automotive industry, delivered a multidomain Master Data Management program across its business functions. Discover
the benefits of MDM on top of a global SAP instance and multiple corporate systems.
Jose GASCON • February 7th, 2013

2. Agenda
Company overview
FCS a global SAP Program
Starting our MDM journey
Property of Faurecia - Duplication prohibited
Governance and Data Stewardship
Status and two use cases
Conclusion and Q&A
A global player in the automotive industry – February 2013
2

3. Agenda
Company overview
FCS a global SAP Program
Starting our MDM journey
Property of Faurecia - Duplication prohibited
Governance and Data Stewardship
Status and two use cases
Conclusion and Q&A
A global player in the automotive industry – February 2013
3

4. Faurecia a global footprint
The world's top automotive
equipment suppliers
(2011 revenues €bn)
2011 key figures
84,000 employees*
270 sites
1. Bosch
33 countries
2. Denso
3. Continental
Group revenues: €16.2 billion
4. Magna
5. Aisin Seiki
6.
40 R&D centers
5,000 R&D engineers and technicians
16.2
7. Johnson Controls
8. Hyundai
9. ZF
10. Delphi
Property of Faurecia - Duplication prohibited
11. Valeo
300 patents filed in 2011
12. TRW
Annual R&D budget: €600 million
(excluding programs): 4% of sales
14. Yazaki
13. Lear
15. BASF
16. Sumitomo
17. Toyota Boshoku
18. Calsonic Kansei
19. Cummins
20. Autoliv
N°6
°
worldwide
equipment
supplier
*4 BGs + HQ
A global player in the automotive industry – February 2013
4

5. Leading market positions in our four core business lines
#3 Worldwide
#1 Worldwide
Complete Seats
Frames & Mechanisms
(1): € 5.0bn
2011 sales
2011 sales: € 1.6bn
Property of Faurecia - Duplication prohibited
#1 Worldwide
2011 sales: € 5.8bn
26% global
market share
Others
12% global
market share(2)
Faurecia
15% global
market share
Others
Others
JCI
33%
36%
26%
15%
29%
7% 7%
Calsonic
Kansei
Yutaka Futaba
4% 12%
Eberspächer
19%
Lear
15% global
market share
28% market share
in Europe
Others
Faurecia
12%
JCI
12%
46%
Brose
A global player in the automotive industry – February 2013
21%
Rehau
7%
10%
Magna
Magna
28%
8%
19%
11%
IAC
Visteon
(1) "Complete Seats" sales include "Seat Components" sales
Faurecia
JCI
10%
Magna
Faurecia
Others
Faurecia
15%
6%
Tenneco
7%
#2 Worldwide
#1 in Europe
2011 sales: € 1.8bn
15%
67%
5%
#1 Worldwide
2011 sales: € 3.7bn
13%
Plastic
Omnium
Peguform
Source: Roland Berger analysis
5

6. Working for almost all carmakers
Audi A1
Audi A6
BMW 3-Series
Cadillac ATS
Chrysler 200
Ford Focus
Hyundai Sonata
Mercedes M-Class
Mini Coupé
Nissan Teana
Opel Zafira Tourer
Peugeot 208
Peugeot 508
Renault Latitude
Toyota Yaris
VW Magotan B6
VW Passat Alltrack
Volkswagen up!
Property of Faurecia - Duplication prohibited
Citroën DS5
Automotive seating
Emissions control technologies
Interior systems
Automotive exteriors
A global player in the automotive industry – February 2013
6

7. Working for almost all carmakers
Toyota 1.1 %
Hyundai 1.4 % Others
Geely-Volvo 1.6 %
4.1%
Daimler
4.7%
Fiat-Chrysler
5.8%
Property of Faurecia - Duplication prohibited
German
automakers
represent
38.8%
of revenues
BMW
GM
VW Group
25.3 %
Product
sales
€12.4 bn
8.4%
8.5%
16.6%
11.0%
PSA
Peugeot
Citroën
Premium brands
represent
28.2%
of revenues
11.5%
Ford
Renault-Nissan
A global player in the automotive industry – February 2013
7

8. Agenda
Company overview
FCS a global SAP Program
Starting our MDM journey
Property of Faurecia - Duplication prohibited
Governance and Data Stewardship
Status and two use cases
Conclusion and Q&A
A global player in the automotive industry – February 2013
8

9. Faurecia clearly invests in worldwide ERP harmonization
FCS Project launched in April 2007, first go live in July 2008.
Property of Faurecia - Duplication prohibited
FCS is based on SAP (FI/CO/MM/SD/PP/PS …) and fully build on FCP
standards (=Faurecia Core Procedures) and FES (=Faurecia Excellence
System)
Objectives :
o End-to-end solution to manage manufacturing, finance & programs.
o Support the development of Finance Shared Services.
o Common IT system so we have only one system to maintain.
o Unique master data referential for all Faurecia functions
A global player in the automotive industry – February 2013
9

10. Faurecia SAP global footprint
100%
90%
80%
70%
60%
Property of Faurecia - Duplication prohibited
Initiated
In progress 2013
In Plan
NORTH AMERICA
Canada
United States
Mexico
50%
40%
30%
20%
10%
0%
WESTERN EUROPE
German
Luxembourg
Belgium,
Netherlands
Spain,
Portugal
France,
UK
Hungary,
Sweden
Italy
SOUTH AMERICA
Argentina
Brazil
Uruguay
A global player in the automotive industry – February 2013
124
86
82
470
474
2014
2015
207
300
387
527
479
556
432
Not Done
Done
349
256
169
29
2008
77
2009
2010
2011
2012
2013
TBD
EAST EUROPEAN
Poland
Czech Republic
Romania
Russia
Slovakia
AFRICA &
MIDDLE EAST
South Africa
Iran
Morocco
Tunisia
Turkey
ASIA
China
South Korea
India
Japan
Thailand
… but yet up
to 6 major
legacy ERP
to deal with
10

11. Agenda
Company overview
FCS a global SAP Program
Starting our MDM journey
Property of Faurecia - Duplication prohibited
Governance and Data Stewardship
Status and two use cases
Conclusion and Q&A
A global player in the automotive industry – February 2013
11

12. How did our MDM journey start?
Property of Faurecia - Duplication prohibited
A first MDM Project was initiated in 2010 with some difficulties:
o Workflow capabilities depending on 3rd party systems
o Lack of flexibility in data model evolution
March 2011, we launched a MDM market assessment
May 2011, decision is made to launch an RFQ
July 2011, three editors are short listed
September, a POC is submitted and final decision made for CGI (fka
Logica) as integrator and EBX from Orchestra Networks as MDM
software
A global player in the automotive industry – February 2013
12

13. Objectives and Foundations
1
Create a single “point of truth”
2
Share up-to-date Master Data across operational and decisional applications
3
Put in place Master Data Governance processes
4
Replace CMMS (sure, we also have a legacy Master Data system)
Property of Faurecia - Duplication prohibited
Develop a dedicated enterprise MDM solution
Implement workflows within the MDM solution
Interface master data only with key applications
Create a "data stewardship" organization to take care of data quality
A global player in the automotive industry – February 2013
13

14. Multi-domain needs and too many teams
Corporate Models
FCS Legacy ERP
Organization
Suppliers NPP
Programs
Customer
Supplier
Suppliers PP
Suppliers PP
Reporting
Customers
Property of Faurecia - Duplication prohibited
Chart of Accounts
Banks
Cost Centers
Customers
Organization
Programs
Chart of Accounts
Banks
Customer
Cost Centers
Legend:
Program
Brand
Vehicle
Material
Engine
Program
Brand
Vehicle
Engine
Material
Data Steward Team
Central Team
Local Plant
Mixed Plant/Shared
Corporate
A global player in the automotive industry – February 2013
14

15. Initial scope = 4 data models
Customer
Property of Faurecia - Duplication prohibited
Organization
Programs
Suppliers
A global player in the automotive industry – February 2013
15

16. We need to be flexible and adapt quicker
Sales
Purchasing
Finance
First let’s cover as much as
possible but just doing the
minimum transformation
Sales
Property of Faurecia - Duplication prohibited
Purchasing
Kaizen
Finance
Sales
We can then start
reengineering of processes
and increase efficiency
A global player in the automotive industry – February 2013
Purchasing
Finance
16

17. Agenda
Company overview
FCS a global SAP Program
Starting our MDM journey
Property of Faurecia - Duplication prohibited
Governance and Data Stewardship
Status and two use cases
Conclusion and Q&A
A global player in the automotive industry – February 2013
17

18. MDM Organization & Governance
Data entry for master data
consuming applications
Stewardship Team
GPS
Process / Workflow Data Update
XPPS
Roles & Authorizations
PLM
Region
Business Group
Country
FCS
Expertise Categ.
Area of expertise
Division
Legal entity
Sub Division
Reporting Unit
Property of Faurecia - Duplication prohibited
Métis
X Reference
Traceability
History log
Data access to authorized persons
A global player in the automotive industry – February 2013
Monitoring
QAD
Etc.
18

19. Data Governance
Doing an MDM Project is launching a continuous improvement process
Data Governance defines:
o
o
o
Property of Faurecia - Duplication prohibited
o
Roadmap for data usage and quality improvement
Data management rules and procedures
People (and their organization) in charge and their roles
Data Access Rights
Data Governance objectives:
o
o
Control data acquisition, quality and validation
Monitors the over all data management process performance
A global player in the automotive industry – February 2013
19

20. Data Stewards = Data Quality + Continuous Improvement
Property of Faurecia - Duplication prohibited
America
EMEA
Asia
2013
S1 2012
Simplify access rights
Process control alignment
Takes care of to data quality
Supports master data update
around the globe: 1 team “followthe-sun” and “follow-the-calendar”
Lead continuous process
improvement tracked thru KPI
S2 2012
Problem solving, A3,
QRCI, PDCA, …
A global player in the automotive industry – February 2013
20

21. Agenda
Company overview
FCS a global SAP Program
Starting our MDM journey
Property of Faurecia - Duplication prohibited
Governance and Data Stewardship
Status and two use cases
Conclusion and Q&A
A global player in the automotive industry – February 2013
21

22. Planning
03/12
04 /12
05 /12
06 /12
07 /12
08 /12
09 /12
10/12
11/12
12/12
01/13
02/13
03/13
04/13
05/13
Phase 1: Supplier, Customer, Program
Program v1.1
Program
Validate
Configure
NPP Supplier Roll-out
Validate
Dec11th
Marketing
Set-up
Roll-out
preparation
Key-User
Training
Dec11th
April 9th
Pilot validation
(solution
readiness)
GPS
Cut-over
Supplier v1.1
Validate
Supplier Pilot
Design / Configure
Test
Validate
Validate
Configure
May 15th
July
18th
Data load
Tests
Supplier Data Migration
Data Migration Tool Preparation
March
NPP Data
readiness
Finance Roll-out
Property of Faurecia - Duplication prohibited
Plan and
preparation
Key-User
Training
Key-User
Training
Customer
Test
Design / Configure
Phase 2 : Organization
A global player in the automotive industry – February 2013
OCM
Design / Configure
Test
Validate
Train
Validate
May
February
22

23. MDM to manage corporate Supplier database
Approvers
Requester
Creation & update workflow
GPS
Legacy ERPs
Data Quality
Data Stewards
Core Master Data
Functions
Property of Faurecia - Duplication prohibited
Data Quality
MPM
QSS
Import
PSS
SVM
Export
Faurecia Middleware
Data Warehouse
FCS
A global player in the automotive industry – February 2013
23

24. Corporate MDM with multiple SAP instances
Step1 – before physical split
Step 2 – after physical split
PDM
PDM
Part + BOM
Property of Faurecia - Duplication prohibited
Part + BOM
Prod
FC1
BI & Reporting Tools
A global player in the automotive industry – February 2013
Prod
FC2
Prod
FC1
Prod
FC3
America
EMEA
Asia
BI & Reporting Tools
24

25. Agenda
Company overview
FCS a global SAP Program
Starting our MDM journey
Property of Faurecia - Duplication prohibited
Governance and Data Stewardship
Status and two use cases
Conclusion and Q&A
A global player in the automotive industry – February 2013
25

26. Wrap-up
Workflow definition and maintenance flexibility
Data Model easy to evolve
Cornerstone to support corporate projects
Property of Faurecia - Duplication prohibited
Reduce errors due to wrong data (payment terms, …)
A tool for process improvement and governance
A global player in the automotive industry – February 2013
26

27. Property of Faurecia - Duplication prohibited
A global player in the automotive industry – June 2012
A global player in the automotive industry – April 20122013
A global player in the automotive industry – February
27
27 27