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Case Study - Energy Procurement Faurecia

This document provides a summary of Faurecia's energy procurement strategy and organization. It discusses Faurecia's position as a global automotive supplier with operations in multiple countries. It then describes Faurecia's non-production purchasing scope, with energy representing 11% of spending. The organization of Faurecia's energy procurement function is explained, with commodity teams responsible for developing strategy and managing key contracts globally. The document outlines Faurecia's approach to developing long-term energy contracts and implementing risk management strategies to stabilize budgets.

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Case Study Faurecia Energy Procurement Jaime MALO – Energy Commodity Leader 22/10/2014
PropertyofFaurecia-Duplicationprohibited  Faurecia at a glance  Non Production Purchasing  Faurecia data  Strategy  Best practices and Benchmarking Agenda Faurecia Energy Procurement – Barcelona – 22/10/2014 2 Faurecia Energy Procurement
PropertyofFaurecia-Duplicationprohibited World’s sixth largest automotive supplier Faurecia Energy Procurement – Barcelona – 22/10/2014 3 *including €13.7 billion of product sales 18 34 320 97,500 countries employees sites billion in sales* engineers R&D centers programs in development patents filed in 2013500 5,800 30 485
PropertyofFaurecia-Duplicationprohibited A strong presence in all automotive regions Faurecia Energy Procurement – Barcelona – 22/10/2014 4 NORTH AMERICA 6 21,000 41 SOUTH AMERICA 3 6,000 22 ASIA 6 13,500 45 EUROPE 15 55,000 160 54% sales 13% sales 5% sales 27% sales Plants R&D centers EmployeesSales
PropertyofFaurecia-Duplicationprohibited A diversified customer portfolio Faurecia Energy Procurement – Barcelona – 22/10/2014 5 In % of product sales 38% German 28% American 20.5% French 7% Asian 24.7% Volkswagen Group 7.1% BMW 6.1% Daimler 14.9% Ford 7.9% GM 5.0% Chrysler 1.3% Other Asian 1.6% Hyundai 4.2% Nissan 6.5% Renault 14% PSA Peugeot-Citroën 1.9% Commercial vehicles 4.9% Other
PropertyofFaurecia-Duplicationprohibited Faurecia well positioned on key technology trends Faurecia Energy Procurement – Barcelona – 22/10/2014 6 ENVIRONMENTAL PERFORMANCE  Emissions Control Technologies  NOx and particulate reduction for light and commercial vehicles  Renewable materials FUEL EFFICIENCY & CO2 EMISSIONS REDUCTION  Faurecia can offer weight reductions of up to 100 kg per vehicle, representing a reduction of 10g of CO2/km  Energy recovery  Composite systems LIFE ON BOARD  Decoration and premium quality  Human-Machine Interface (HMI)  Comfort and well-being
PropertyofFaurecia-Duplicationprohibited Non Production Purchasing Scope Faurecia Energy Procurement – Barcelona – 22/10/2014 7 Building Lease 120 11% Industrial Services & Supplies 497 45% Energy 124 11% HR - Temp Labor 162 15% HR & Consultants 57 5% IT 60 6% Travel 80 7% 1 100 M€ without Building Construction Purchases 60% SALES NPP 12% PURCHASES
PropertyofFaurecia-Duplicationprohibited Non Production Purchasing Scope Faurecia Energy Procurement – Barcelona – 22/10/2014 8 Electricity 95,8 77% Natural Gas 17,3 14% Industrial Gas 5,7 5% Propane 2,5 2% Water 1,9 2% Fuel Oil 0,6 0% Energy 124 M€
PropertyofFaurecia-Duplicationprohibited Key figures – Electricity and Natural Gas Faurecia Energy Procurement – Barcelona – 22/10/2014 9 Energy TO GROUP Germany France Iberia East Europe North America UK Electricity 95,8 27,6 21,6 14,9 15,6 13,8 2,3 Natural Gas 17,3 5,6 7,5 3,5 0 0,4 0,2 TOTAL 113 33,2 29,2 18,4 15,6 14,2 2,5 95,8 27,6 21,6 14,9 15,6 13,8 2,3 17,3 5,6 7,5 3,5 0 0,4 0,2 GROUP Germany France Iberia East Europe North America UK Natural Gas Electricity
PropertyofFaurecia-Duplicationprohibited  Reduce spend through consolidation and best practices deployment  Consolidate and source suppliers matching our specifications and manage the panel  Protect the company :  by consistent supplier contracts  by ensuring internal procedure application  Contribute to minimize the total cost of ownership (purchase to pay administrative process, e-procurement, working capital, …. ) NPP Mission Faurecia Energy Procurement – Barcelona – 22/10/2014 10
PropertyofFaurecia-Duplicationprohibited NPP – Position in the organization Faurecia Energy Procurement – Barcelona – 22/10/2014 11 CEO BG 2BG 1 •CFO HRBG 3 GS PP NPP FIN IT AUDITOperations ONE ORGANIZATION BY BUSINESS GROUP Non-Production Purchasing BUSINESs GROUPS SUPPORT FUNCTIONS PP Operations Production Purchasing ONE ORGANIZATION SERVING ALL BUSINESS GROUPS LEGAL COMM
PropertyofFaurecia-Duplicationprohibited NPP – Organization Chart Faurecia Energy Procurement – Barcelona – 22/10/2014 12 COMMODITIES COUNTRIES NON PRODUCTION PURCHASING GROUP DIRECTOR ENERGY, IT, TRAVELS HR & CONSULT. INDUSTRIAL SERVICES & SUPPLIES North Europe BUILDING CONSTRUCTION MEXICO Iberia & Africa France Eastern Europe CHINA & KOREA EUROPE US-CANADA SOUTH AMERICA AMERICA Controler & Analyst INDIA SYSTEMS & PROCESS
PropertyofFaurecia-Duplicationprohibited NPP – Roles and Responsibilities Faurecia Energy Procurement – Barcelona – 22/10/2014 13 GLOBAL COMMODITY TEAM TRAVEL ENERGY & UTILITIES INDUSTRIAL SERVICES & SUPPLIES HR BUILDING CONSTRUCTION & REAL ESTATE France REGIONSTEAMS GROUP DIRECTOR IT & OFFICES ENG. & CONSULTANTS 1. STRATEGY 2. METHODOLOGY, CONTRACTS TEMPLATE 3. TRANSVERSAL PROJECTS 4. GROUP CONTRACTS & PANEL 1. CONTRIBUTE TO COMMODITY PROJETS / IMPLEMENT CONTRACTS 2. TAKE IN CHARGE PARTS NOT YET COVERED BY COMMODITY 3. LEAD/CONTRIBUTE TO PROJECTS TO IMPLEMENT BEST-PRACTICES 4. RUN THE DAY-TO-DAY ADMINISTRATIVE PROCESS North Europe East Europe Ibery UK US-Canada Mexico SAO CHINA
PropertyofFaurecia-Duplicationprohibited Faurecia - Energy Procurement Organization Commodity Director ENERGY CONSULTANTS PARTNERS (Strategic consultants) Commodity Leader Commodity Buyer Comodity Buyer - France - Germany - UK - Italy - Luxembourg - Austria - Netherland - China - Poland - Czech Rep - Slovakia - Hungary - USA - India - Spain - Portugal - SAO - Mexico - South Africa ENERGY COMMITTEE - EUROPE - NAO - SAO CONSUMPTION CONSULTANTS Used to reduce costs trough local analysis (contracted capacity, rates, exemptions, off peak consumptions,…) Faurecia Energy Procurement – Barcelona – 22/10/2014 14
PropertyofFaurecia-Duplicationprohibited Approach change - From forecasting to Risk Management  Actually we have markets that are giving us the price till 2018, and consequently we can have a CAP on the energy cost  So we can give a very good and real idea of future costs, as opposed to the normal way of trying to find out the future price of Brent and $/€  Forecasting is quite complex and as the markets are unpredictable, we have put in place risk management strategy in order to have a budget stability  Risk Management Strategy is not possible to be introduced on all the markets, as some of them are regulated and others are not fully mature Faurecia Energy Procurement – Barcelona – 22/10/2014 15 Market (16/10/14) 2015 2016 2017 2018 TTF 23,556 23,975 23,888 23,5 OMIP 48,11 48,11 48,51 - EEX 34,1 33,1 32,1 32,05 ICE Belgium 50,08 46,25 45 - ICE Netherland 44,19 41,23 40,35 39,93
PropertyofFaurecia-Duplicationprohibited  Strategy defined together with Group Finances with the following  Objectives  When possible realize a budget reduction  Take advantage of opportunity moments to fix low budgets  Avoid huge year-on-year budget jumps  Contracts  Electricity: Long term multi-click contracts, with a minimum of 4 clicks per year in order to allow split purchase spreading.  Natural Gas: Floating contracts based on Hub with the option to fix with a minimum of four clicks per year.  Horizon: Set to 3 years  Fixing moment  Risk management  Protective price fixing  No more than 5% upward deviation when a budget has been established Strategy on Energy contracts Faurecia Energy Procurement – Barcelona – 22/10/2014 16
PropertyofFaurecia-Duplicationprohibited  Ensuring flexibility in supply contracts in order to avoid take or pay penalties  Problem: in most countries energy procurement contracts have penalties for contractual volumes not used (take or pay)  Solution:  There is no “standard” solution  It depends on the Country, energy regulation and level of competitiveness changes  Some supplier are more flexible than others  Develop a “different” partnership with few suppliers (international) Flexibility on Energy contracts Faurecia Energy Procurement – Barcelona – 22/10/2014 17
PropertyofFaurecia-Duplicationprohibited 18 Flexibility of energy contracts No actions to do Negotiation of re-selling overcharges Monitoring of consumption More detailed forecast of consumption (RFQ) Regular monitoring of consumption Regular forecast consumption communication to suppliers Countries in which is possible to have contracts without take or pay clauses Countries in which is possible to have contracts with take or re-sell clauses Countries in which only take or pay contracts are available « full flexible » markets « semi-flexible » markets «not flexible » markets Faurecia Energy Procurement – Barcelona – 22/10/2014
PropertyofFaurecia-Duplicationprohibited Contracts coverage Faurecia Energy Procurement – Barcelona – 22/10/2014 19 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 23 plants ARENH 13 plants Regulated Germany 28 plants Deregulated 20 plants Deregulated HT 3 plants Deregulated LT UK 4 plants Deregulated Portugal 7 plants Deregulated MI - USA 4 plants Regulated (**) MI - USA 3 plants Deregulated (**) OH - USA 2 plants Deregulated USA (the rest) 13 plants Regulated Canada 1 plant Deregulated Poland 6 plants Deregulated Czech Republic 6 plants Deregulated Slovakia 5 plants Deregulated INDEXED MODEL RFQ ONGOING RFQ ONGOING INDEXED FIXED PRICE FIXED PRICE FIXED PRICE FIXED PRICE (100% purchased) FIXED PRICE (100% purchased) FIXED PRICE (70% purchased) FIXED PRICE (100% purchased) FIXED PRICE (70% purchased) FIXED PRICE (20% purchased) FIXED PRICE (100% purchased) FIXED PRICE (100% purchased) FIXED PRICE (60% purchased) FIXED PRICE (40% purchased) FIXED PRICE (40% purchased) FIXED PRICE FIXED PRICE (100% purchased) FIXED PRICE (100% purchased) FIXED PRICE FIXED PRICE (100 % purchased ) FIXED PRICE (100 % purchased ) INDEXED FIXED PRICE FIXED PRICE Spain FIXED PRICE ( 100 % purchased ) FIXED PRICE ( 90 % purchased ) 2014 FIXED PRICE BL and PL ( 100 % purchase ) + NOME 2015 FIXED PRICE BL and PL ( 100 % purchase ) + NOME FIXED PRICE BL and PL ( 25 % purchase ) FIXED PRICE ( 100 % purchased ) ELECTRICITY Market model 2013 France FIXED PRICE (0 % purchased ) FIXED PRICE (50 % purchased ) FIXED PRICE (0 % purchased ) 2016 FIXED PRICE BL and PL ( 25 % purchase ) FIXED PRICE ( 30 % purchased ) FIXED PRICE FIXED PRICE (40 % purchased ) Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 21 plants Big consumers Deregulated 14 plants Small consumers Deregulated Germany 29 plants Deregulated Spain 14 plants Deregulated Portugal 3 plants Deregulated 26 plants Deregulated 1 plant Regulated Canada 1 plant Deregulated Poland 6 plants Regulated Czech Republic 6 plants Regulated Slovakia 5 plants Deregulated INDEXED (NCG) FIXED PRICE FIXED PRICE (100% bought) RFQ on going USA INDEXED PRICE NYMEX Some plants with fixed prices INDEXED (TTF) FIXED INDEXED (NCG) INDEXED PRICE AECO or EMPRESS INDEXED PRICE AECO or EMPRESS REGULATED REGULATED Preparation for RFQ Market is opening RFQ on going France INDEXED PRICE (to regulated one) FIXED PRICE (30% bought) FIXED PRICE (100% bought) FIXED PRICE (100% bought) FIXED PRICE (38% bought) SPOT INDEXED PRICE SPOT INDEXED PRICE NATURAL GAS Market model 2013 2014 INDEXED PRICE NYMEX Some plants with fixed prices 2015 INDEXED PRICE NYMEX Some plants with fixed prices INDEXED (TTF) (100% fixed for 2014 and 65% for 2015) INDEXED (TTF) (70% fixed for 2015) INDEXED PRICE (to regulated one) INDEXED PRICE
PropertyofFaurecia-Duplicationprohibited  To act “beyond price” and on the long term  On the normal day-to-day life  Bring expertise / initiative to support our costs optimization targets  Long term must be felt as a win-win partnership and not as a contractual constraint imposed by technical reasons with no visibility on the future  Other opportunities like  Purchase by tranche  Medium term consumption forecasting  Synergies  …. Flexibility and partnership with suppliers Faurecia Energy Procurement – Barcelona – 22/10/2014 20
PropertyofFaurecia-Duplicationprohibited Energy fundamentals ELECTRICITY COST – 5 Pillars  Commodity:  Forwards  Supply versus Demand / Speculation  Crude Oil  Production (Nuclear, Thermal, Hydraulic, Renewable)  Transport and distribution:  Capital spending program in forecast of the future needs + maintenance  Decision makers: Companies and/or the authorities  Taxes:  government and world environmental policy (Kyoto)  Usage Profile:  Base vs Peak hours  Capacity / Rate contracted  Consumption:  Volume Faurecia Energy Procurement – Barcelona – 22/10/2014 21
PropertyofFaurecia-Duplicationprohibited Drivers of electricity price  Price of electricity depends on several factors:  Type of production (nuclear, thermal, hydraulic, renewable…)  Brent oil quotation (impact is more and more relative)  Proportion between production and consumption (energy import vs export)  Availability of production resources (resources import vs export)  Cumulated energy deficit of each Country  Market speculation  International crisis or unexpected circumstances (as Japan earthquake) IMPORTANT: If Brent oil quotation decrease, it doesn’t mean that electricity price does the same or in the same proportion Faurecia Energy Procurement – Barcelona – 22/10/2014 22
PropertyofFaurecia-Duplicationprohibited 23 Drivers of electricity price Long term (in the past up to 2010) – Electricity “follows” the trend of Brent Since 2010 electricity price do not follows Brent trend, and even sometimes the trend is opposite. During short period of times a correlation can be found Electricity forwards Crude Oil Price €/$ ratio Faurecia Energy Procurement – Barcelona – 22/10/2014
PropertyofFaurecia-Duplicationprohibited Electricity futures price development (Europe) Markets: EEX, OMIP, ICE, PJM, MISO, NordPool, etc. Faurecia Energy Procurement – Barcelona – 22/10/2014 24 30 35 40 45 50 55 60 65 70 75 80 01/01/2012 01/02/2012 01/03/2012 01/04/2012 01/05/2012 01/06/2012 01/07/2012 01/08/2012 01/09/2012 01/10/2012 01/11/2012 01/12/2012 01/01/2013 01/02/2013 01/03/2013 01/04/2013 01/05/2013 01/06/2013 01/07/2013 01/08/2013 01/09/2013 01/10/2013 01/11/2013 01/12/2013 01/01/2014 01/02/2014 01/03/2014 01/04/2014 01/05/2014 01/06/2014 01/07/2014 01/08/2014 01/09/2014 01/10/2014 €/MWh European forward electricity prices NL Y+1 DE Y+1 BE Y+1 UK Y+1 FR Y+1 ES Y+1 IT Y+1 CZ Y+1 SK Y+1 HU Y+1 PL Y+1 (€/MWh)
PropertyofFaurecia-Duplicationprohibited Electricity Futures Price Development (USA) Y+1 Y+2 Y+3 Faurecia Energy Procurement – Barcelona – 22/10/2014 25
PropertyofFaurecia-Duplicationprohibited US Electricity Market Structure – short analysis  Market is state-oriented which means that law regulation, commodity suppliers, utility suppliers may vary state to state.  In comparison to European market, where on country level we have one legal regulation, in USA they are both federal & state regulation.  Depending on state & volumes we are in regulated or in deregulated market.  Deregulation in US is just starting (some stated decided to stop the deregulation process). It is like the process lived in Europe 10 years ago. US market is evolving.  It is not possible to compare US to a single European country. It must be compared with the whole Europe (big differences from one country to another in terms of regulation, prices,…) Faurecia Energy Procurement – Barcelona – 22/10/2014 26
PropertyofFaurecia-Duplicationprohibited Electricity overview – Price breakdown Electricity 40% 60% 55% 60% 50% 60% 60% 75% 60% 40% 45% 40% 50% 40% 40% 25% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Germany UK Spain Portugal Czech Rep France Poland USA Distribution + Taxes Commodity Electricity price (€/MWh) 59,6 76,3 57,5 62,0 48,9 49,6 48,2 33,9 89,4 50,9 47,0 41,4 48,9 33,0 32,1 11,3 0,0 20,0 40,0 60,0 80,0 100,0 120,0 140,0 160,0 Germany UK Spain Portugal Czech Rep France Poland USA Distribution + Taxes Commodity Faurecia Energy Procurement – Barcelona – 22/10/2014 27
PropertyofFaurecia-Duplicationprohibited Drivers of Natural Gas  Price of natural gas depends on several factors:  Brent oil quotation (effect on long terms)  Availability of production resources (resources import vs export)  Type of source of reseller (spot market or long term contracts)  Market speculation  Shale gas exploration and exploitation uncertain. Shale gas will change energetic market structure IMPORTANT: The price of natural gas is more sensible to Brent oil quotation than electricity one, but not strictly correlated (effect in medium term) Faurecia Energy Procurement – Barcelona – 22/10/2014 28
PropertyofFaurecia-Duplicationprohibited Natural gas futures price development (European Hubs) Markets: TTF (NL), NCG (GE), Zeebruge (BE), NBP (UK) and PEG (FR) Faurecia Energy Procurement – Barcelona – 22/10/2014 29 23 24 25 26 27 28 29 30 31 01/01/2012 01/02/2012 01/03/2012 01/04/2012 01/05/2012 01/06/2012 01/07/2012 01/08/2012 01/09/2012 01/10/2012 01/11/2012 01/12/2012 01/01/2013 01/02/2013 01/03/2013 01/04/2013 01/05/2013 01/06/2013 01/07/2013 01/08/2013 01/09/2013 01/10/2013 01/11/2013 01/12/2013 01/01/2014 01/02/2014 01/03/2014 01/04/2014 01/05/2014 01/06/2014 01/07/2014 01/08/2014 01/09/2014 01/10/2014 €/MWh European forward gas prices TTF Y+1 NCG Y+1 Zee Y+1 NBP Y+1 (€/MWh) PEG N Y+1
PropertyofFaurecia-Duplicationprohibited Natural gas futures price development (WW Comparison) USAEuropeFaurecia Energy Procurement – Barcelona – 22/10/2014 30
PropertyofFaurecia-Duplicationprohibited Natural gas overview- Price breakdown Faurecia Energy Procurement – Barcelona – 22/10/2014 31
PropertyofFaurecia-Duplicationprohibited « Basic purchasing » « Organize information » « Act beyond price » A general strategy based on 3 steps  PANEL CONSOLIDATION, INTERNALLY or WITH OTHER COMPANIES  Focus on : PRICE  CONTRACT MANAGEMENT & STANDARD REPORTING ARE FACILITATED BY A REDUCED PANEL  Focus on : DATA CAPTURE and KNOWLEDGE MANAGEMENT  BENCHMARK PROCESS = 2nd SOURCE OF COST OPTIMIZATION  Focus on : BEST PRACTICES DEPLOYEMENT CONSOLIDATE TO REDUCE PRICES = VOLUME LEVERAGE •STRUCTURE •TO BETTER MANAGE •= •STANDARD •REPORTING •OPTIMIZE COSTS & CONSUMPTION •= •BENCHMARK •BEST PRACTICES To compensate weak points compared to PP situation (lack of relevant data captured n our IT systems) As NPP spend does not always vary with plants activity, other levers must be activated to optimize costs More particular to NPP Similar to PP Faurecia Energy Procurement – Barcelona – 22/10/2014 32
PropertyofFaurecia-Duplicationprohibited Working process for cost savings action plans  agreed upon action plans TOP-DOWN  STRATEGY & MARKET ANALYSIS  SPEND & SUPPLIER PORTOFOLIO ANALYSIS CROSS PLANTS  BENCHMARK (PRICES, KPI, …)  BEST PRACTICES BOTTOM-UP  REVIEW WITH PLANTS MANAGERS  PLANT NEEDS & PRIORITIES PROJECTS LIST NPP COMMODITY team OPERATIONS + NPP REGIONAL team NPP REGIONAL team Costs saving actions identified by . . . CONSOLIDATION  CONSISTENCY CHECK by COMMODITY team versus the PURCHASING STRATEGY  COST SAVINGS ACTION PLANS  ROLLING PLANS UPDATED ON SEMESTER BASIS Faurecia Energy Procurement – Barcelona – 22/10/2014 33
PropertyofFaurecia-Duplicationprohibited  The purpose of the benchmark is to  Define average ratio that can be considered as standard values  Identify plant best practices that explain performance better than the average  Help the plants above this average to improve their costs by informing them about best practices and achievable targets  The first benchmark is based on 2006 data from European plants, to create energy consumption KPIs of sites within the same product group  Following the benchmark, it’s been decided in which plant to launch energy audit, in order to go in depth and analyse differences of consumption. Results of energy audits used to identify new best practices to apply to other plants Benchmarking Energy Consumption KPIs Faurecia Energy Procurement – Barcelona – 22/10/2014 34
PropertyofFaurecia-Duplicationprohibited 35 Benchmarks highlight potential savings EXAMPLE : Energy  Physical driver = activity in [Worked Hours] [consumption in MWH]  Site KPI = [worked hours]  Average of SUM of [consumption in MWH] the category = SUM of [worked hours] POTENTIAL SAVINGfor sites above average : [site KPI – Average] = 50% x x [SPEND] [site KPI] 50% 0% 33% 66% 100% 0% 5% 10% >10% 7,6 M€ Faurecia Energy Procurement – Barcelona – 22/10/2014
PropertyofFaurecia-Duplicationprohibited  KPIs used  Electricity  MWh / worked hours  MWh / m2 – Building surface  MWh / Employee (direct + indirect)  Natural Gas  MWh / m2 – Building surface  MWh / Employee (direct + indirect)  Industrial Gas  Spend in % of sales Energy Consumption KPIs Faurecia Energy Procurement – Barcelona – 22/10/2014 36
PropertyofFaurecia-Duplicationprohibited 37 Best-Practices process : Organization PLANTS EXPERTS BUSINESS GROUPS GROUP BENCHMARK P1 P2 Pn BEST-IN-CLASS BEST PRACTICE BG STEERING COMMITTEE = OPERATIONS + EXPERTS (+ NPP when relevant) GROUP STEERING COMMITTEE = BG Manufacturing VP’s + NPP Director INTRANET DEPLOYMENT TOP - DOWN BY EXAMPLE BEST PRACTICES BENCHMARK KPI  EXCHANGE INFO / LAUNCH WORKSHOPS ON COMMON SUBJECTS / TRACK DEPLOYMENT / CONSOLIDATE REPORTING / DEFINE STANDARD KPI  DEFINE SCOPE EVALUATION PUBLISH  VALIDATE  DEPLOY FINE-TUNE KPI KPI Faurecia Energy Procurement – Barcelona – 22/10/2014
PropertyofFaurecia-Duplicationprohibited Develop benchmarks and best practices Faurecia Energy Procurement – Barcelona – 22/10/2014 38
PropertyofFaurecia-Duplicationprohibited Faurecia Energy Procurement – Barcelona – 22/10/2014 39 Thank you very much for your attention
Case Study - Energy Procurement Faurecia

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Case Study - Energy Procurement Faurecia

  • 1.
    Case Study Faurecia EnergyProcurement Jaime MALO – Energy Commodity Leader 22/10/2014
  • 2.
    PropertyofFaurecia-Duplicationprohibited  Faurecia ata glance  Non Production Purchasing  Faurecia data  Strategy  Best practices and Benchmarking Agenda Faurecia Energy Procurement – Barcelona – 22/10/2014 2 Faurecia Energy Procurement
  • 3.
    PropertyofFaurecia-Duplicationprohibited World’s sixth largestautomotive supplier Faurecia Energy Procurement – Barcelona – 22/10/2014 3 *including €13.7 billion of product sales 18 34 320 97,500 countries employees sites billion in sales* engineers R&D centers programs in development patents filed in 2013500 5,800 30 485
  • 4.
    PropertyofFaurecia-Duplicationprohibited A strong presencein all automotive regions Faurecia Energy Procurement – Barcelona – 22/10/2014 4 NORTH AMERICA 6 21,000 41 SOUTH AMERICA 3 6,000 22 ASIA 6 13,500 45 EUROPE 15 55,000 160 54% sales 13% sales 5% sales 27% sales Plants R&D centers EmployeesSales
  • 5.
    PropertyofFaurecia-Duplicationprohibited A diversified customerportfolio Faurecia Energy Procurement – Barcelona – 22/10/2014 5 In % of product sales 38% German 28% American 20.5% French 7% Asian 24.7% Volkswagen Group 7.1% BMW 6.1% Daimler 14.9% Ford 7.9% GM 5.0% Chrysler 1.3% Other Asian 1.6% Hyundai 4.2% Nissan 6.5% Renault 14% PSA Peugeot-Citroën 1.9% Commercial vehicles 4.9% Other
  • 6.
    PropertyofFaurecia-Duplicationprohibited Faurecia well positionedon key technology trends Faurecia Energy Procurement – Barcelona – 22/10/2014 6 ENVIRONMENTAL PERFORMANCE  Emissions Control Technologies  NOx and particulate reduction for light and commercial vehicles  Renewable materials FUEL EFFICIENCY & CO2 EMISSIONS REDUCTION  Faurecia can offer weight reductions of up to 100 kg per vehicle, representing a reduction of 10g of CO2/km  Energy recovery  Composite systems LIFE ON BOARD  Decoration and premium quality  Human-Machine Interface (HMI)  Comfort and well-being
  • 7.
    PropertyofFaurecia-Duplicationprohibited Non Production PurchasingScope Faurecia Energy Procurement – Barcelona – 22/10/2014 7 Building Lease 120 11% Industrial Services & Supplies 497 45% Energy 124 11% HR - Temp Labor 162 15% HR & Consultants 57 5% IT 60 6% Travel 80 7% 1 100 M€ without Building Construction Purchases 60% SALES NPP 12% PURCHASES
  • 8.
    PropertyofFaurecia-Duplicationprohibited Non Production PurchasingScope Faurecia Energy Procurement – Barcelona – 22/10/2014 8 Electricity 95,8 77% Natural Gas 17,3 14% Industrial Gas 5,7 5% Propane 2,5 2% Water 1,9 2% Fuel Oil 0,6 0% Energy 124 M€
  • 9.
    PropertyofFaurecia-Duplicationprohibited Key figures –Electricity and Natural Gas Faurecia Energy Procurement – Barcelona – 22/10/2014 9 Energy TO GROUP Germany France Iberia East Europe North America UK Electricity 95,8 27,6 21,6 14,9 15,6 13,8 2,3 Natural Gas 17,3 5,6 7,5 3,5 0 0,4 0,2 TOTAL 113 33,2 29,2 18,4 15,6 14,2 2,5 95,8 27,6 21,6 14,9 15,6 13,8 2,3 17,3 5,6 7,5 3,5 0 0,4 0,2 GROUP Germany France Iberia East Europe North America UK Natural Gas Electricity
  • 10.
    PropertyofFaurecia-Duplicationprohibited  Reduce spendthrough consolidation and best practices deployment  Consolidate and source suppliers matching our specifications and manage the panel  Protect the company :  by consistent supplier contracts  by ensuring internal procedure application  Contribute to minimize the total cost of ownership (purchase to pay administrative process, e-procurement, working capital, …. ) NPP Mission Faurecia Energy Procurement – Barcelona – 22/10/2014 10
  • 11.
    PropertyofFaurecia-Duplicationprohibited NPP – Positionin the organization Faurecia Energy Procurement – Barcelona – 22/10/2014 11 CEO BG 2BG 1 •CFO HRBG 3 GS PP NPP FIN IT AUDITOperations ONE ORGANIZATION BY BUSINESS GROUP Non-Production Purchasing BUSINESs GROUPS SUPPORT FUNCTIONS PP Operations Production Purchasing ONE ORGANIZATION SERVING ALL BUSINESS GROUPS LEGAL COMM
  • 12.
    PropertyofFaurecia-Duplicationprohibited NPP – OrganizationChart Faurecia Energy Procurement – Barcelona – 22/10/2014 12 COMMODITIES COUNTRIES NON PRODUCTION PURCHASING GROUP DIRECTOR ENERGY, IT, TRAVELS HR & CONSULT. INDUSTRIAL SERVICES & SUPPLIES North Europe BUILDING CONSTRUCTION MEXICO Iberia & Africa France Eastern Europe CHINA & KOREA EUROPE US-CANADA SOUTH AMERICA AMERICA Controler & Analyst INDIA SYSTEMS & PROCESS
  • 13.
    PropertyofFaurecia-Duplicationprohibited NPP – Rolesand Responsibilities Faurecia Energy Procurement – Barcelona – 22/10/2014 13 GLOBAL COMMODITY TEAM TRAVEL ENERGY & UTILITIES INDUSTRIAL SERVICES & SUPPLIES HR BUILDING CONSTRUCTION & REAL ESTATE France REGIONSTEAMS GROUP DIRECTOR IT & OFFICES ENG. & CONSULTANTS 1. STRATEGY 2. METHODOLOGY, CONTRACTS TEMPLATE 3. TRANSVERSAL PROJECTS 4. GROUP CONTRACTS & PANEL 1. CONTRIBUTE TO COMMODITY PROJETS / IMPLEMENT CONTRACTS 2. TAKE IN CHARGE PARTS NOT YET COVERED BY COMMODITY 3. LEAD/CONTRIBUTE TO PROJECTS TO IMPLEMENT BEST-PRACTICES 4. RUN THE DAY-TO-DAY ADMINISTRATIVE PROCESS North Europe East Europe Ibery UK US-Canada Mexico SAO CHINA
  • 14.
    PropertyofFaurecia-Duplicationprohibited Faurecia - EnergyProcurement Organization Commodity Director ENERGY CONSULTANTS PARTNERS (Strategic consultants) Commodity Leader Commodity Buyer Comodity Buyer - France - Germany - UK - Italy - Luxembourg - Austria - Netherland - China - Poland - Czech Rep - Slovakia - Hungary - USA - India - Spain - Portugal - SAO - Mexico - South Africa ENERGY COMMITTEE - EUROPE - NAO - SAO CONSUMPTION CONSULTANTS Used to reduce costs trough local analysis (contracted capacity, rates, exemptions, off peak consumptions,…) Faurecia Energy Procurement – Barcelona – 22/10/2014 14
  • 15.
    PropertyofFaurecia-Duplicationprohibited Approach change -From forecasting to Risk Management  Actually we have markets that are giving us the price till 2018, and consequently we can have a CAP on the energy cost  So we can give a very good and real idea of future costs, as opposed to the normal way of trying to find out the future price of Brent and $/€  Forecasting is quite complex and as the markets are unpredictable, we have put in place risk management strategy in order to have a budget stability  Risk Management Strategy is not possible to be introduced on all the markets, as some of them are regulated and others are not fully mature Faurecia Energy Procurement – Barcelona – 22/10/2014 15 Market (16/10/14) 2015 2016 2017 2018 TTF 23,556 23,975 23,888 23,5 OMIP 48,11 48,11 48,51 - EEX 34,1 33,1 32,1 32,05 ICE Belgium 50,08 46,25 45 - ICE Netherland 44,19 41,23 40,35 39,93
  • 16.
    PropertyofFaurecia-Duplicationprohibited  Strategy definedtogether with Group Finances with the following  Objectives  When possible realize a budget reduction  Take advantage of opportunity moments to fix low budgets  Avoid huge year-on-year budget jumps  Contracts  Electricity: Long term multi-click contracts, with a minimum of 4 clicks per year in order to allow split purchase spreading.  Natural Gas: Floating contracts based on Hub with the option to fix with a minimum of four clicks per year.  Horizon: Set to 3 years  Fixing moment  Risk management  Protective price fixing  No more than 5% upward deviation when a budget has been established Strategy on Energy contracts Faurecia Energy Procurement – Barcelona – 22/10/2014 16
  • 17.
    PropertyofFaurecia-Duplicationprohibited  Ensuring flexibilityin supply contracts in order to avoid take or pay penalties  Problem: in most countries energy procurement contracts have penalties for contractual volumes not used (take or pay)  Solution:  There is no “standard” solution  It depends on the Country, energy regulation and level of competitiveness changes  Some supplier are more flexible than others  Develop a “different” partnership with few suppliers (international) Flexibility on Energy contracts Faurecia Energy Procurement – Barcelona – 22/10/2014 17
  • 18.
    PropertyofFaurecia-Duplicationprohibited 18 Flexibility of energycontracts No actions to do Negotiation of re-selling overcharges Monitoring of consumption More detailed forecast of consumption (RFQ) Regular monitoring of consumption Regular forecast consumption communication to suppliers Countries in which is possible to have contracts without take or pay clauses Countries in which is possible to have contracts with take or re-sell clauses Countries in which only take or pay contracts are available « full flexible » markets « semi-flexible » markets «not flexible » markets Faurecia Energy Procurement – Barcelona – 22/10/2014
  • 19.
    PropertyofFaurecia-Duplicationprohibited Contracts coverage Faurecia EnergyProcurement – Barcelona – 22/10/2014 19 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 23 plants ARENH 13 plants Regulated Germany 28 plants Deregulated 20 plants Deregulated HT 3 plants Deregulated LT UK 4 plants Deregulated Portugal 7 plants Deregulated MI - USA 4 plants Regulated (**) MI - USA 3 plants Deregulated (**) OH - USA 2 plants Deregulated USA (the rest) 13 plants Regulated Canada 1 plant Deregulated Poland 6 plants Deregulated Czech Republic 6 plants Deregulated Slovakia 5 plants Deregulated INDEXED MODEL RFQ ONGOING RFQ ONGOING INDEXED FIXED PRICE FIXED PRICE FIXED PRICE FIXED PRICE (100% purchased) FIXED PRICE (100% purchased) FIXED PRICE (70% purchased) FIXED PRICE (100% purchased) FIXED PRICE (70% purchased) FIXED PRICE (20% purchased) FIXED PRICE (100% purchased) FIXED PRICE (100% purchased) FIXED PRICE (60% purchased) FIXED PRICE (40% purchased) FIXED PRICE (40% purchased) FIXED PRICE FIXED PRICE (100% purchased) FIXED PRICE (100% purchased) FIXED PRICE FIXED PRICE (100 % purchased ) FIXED PRICE (100 % purchased ) INDEXED FIXED PRICE FIXED PRICE Spain FIXED PRICE ( 100 % purchased ) FIXED PRICE ( 90 % purchased ) 2014 FIXED PRICE BL and PL ( 100 % purchase ) + NOME 2015 FIXED PRICE BL and PL ( 100 % purchase ) + NOME FIXED PRICE BL and PL ( 25 % purchase ) FIXED PRICE ( 100 % purchased ) ELECTRICITY Market model 2013 France FIXED PRICE (0 % purchased ) FIXED PRICE (50 % purchased ) FIXED PRICE (0 % purchased ) 2016 FIXED PRICE BL and PL ( 25 % purchase ) FIXED PRICE ( 30 % purchased ) FIXED PRICE FIXED PRICE (40 % purchased ) Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 21 plants Big consumers Deregulated 14 plants Small consumers Deregulated Germany 29 plants Deregulated Spain 14 plants Deregulated Portugal 3 plants Deregulated 26 plants Deregulated 1 plant Regulated Canada 1 plant Deregulated Poland 6 plants Regulated Czech Republic 6 plants Regulated Slovakia 5 plants Deregulated INDEXED (NCG) FIXED PRICE FIXED PRICE (100% bought) RFQ on going USA INDEXED PRICE NYMEX Some plants with fixed prices INDEXED (TTF) FIXED INDEXED (NCG) INDEXED PRICE AECO or EMPRESS INDEXED PRICE AECO or EMPRESS REGULATED REGULATED Preparation for RFQ Market is opening RFQ on going France INDEXED PRICE (to regulated one) FIXED PRICE (30% bought) FIXED PRICE (100% bought) FIXED PRICE (100% bought) FIXED PRICE (38% bought) SPOT INDEXED PRICE SPOT INDEXED PRICE NATURAL GAS Market model 2013 2014 INDEXED PRICE NYMEX Some plants with fixed prices 2015 INDEXED PRICE NYMEX Some plants with fixed prices INDEXED (TTF) (100% fixed for 2014 and 65% for 2015) INDEXED (TTF) (70% fixed for 2015) INDEXED PRICE (to regulated one) INDEXED PRICE
  • 20.
    PropertyofFaurecia-Duplicationprohibited  To act“beyond price” and on the long term  On the normal day-to-day life  Bring expertise / initiative to support our costs optimization targets  Long term must be felt as a win-win partnership and not as a contractual constraint imposed by technical reasons with no visibility on the future  Other opportunities like  Purchase by tranche  Medium term consumption forecasting  Synergies  …. Flexibility and partnership with suppliers Faurecia Energy Procurement – Barcelona – 22/10/2014 20
  • 21.
    PropertyofFaurecia-Duplicationprohibited Energy fundamentals ELECTRICITY COST– 5 Pillars  Commodity:  Forwards  Supply versus Demand / Speculation  Crude Oil  Production (Nuclear, Thermal, Hydraulic, Renewable)  Transport and distribution:  Capital spending program in forecast of the future needs + maintenance  Decision makers: Companies and/or the authorities  Taxes:  government and world environmental policy (Kyoto)  Usage Profile:  Base vs Peak hours  Capacity / Rate contracted  Consumption:  Volume Faurecia Energy Procurement – Barcelona – 22/10/2014 21
  • 22.
    PropertyofFaurecia-Duplicationprohibited Drivers of electricityprice  Price of electricity depends on several factors:  Type of production (nuclear, thermal, hydraulic, renewable…)  Brent oil quotation (impact is more and more relative)  Proportion between production and consumption (energy import vs export)  Availability of production resources (resources import vs export)  Cumulated energy deficit of each Country  Market speculation  International crisis or unexpected circumstances (as Japan earthquake) IMPORTANT: If Brent oil quotation decrease, it doesn’t mean that electricity price does the same or in the same proportion Faurecia Energy Procurement – Barcelona – 22/10/2014 22
  • 23.
    PropertyofFaurecia-Duplicationprohibited 23 Drivers of electricityprice Long term (in the past up to 2010) – Electricity “follows” the trend of Brent Since 2010 electricity price do not follows Brent trend, and even sometimes the trend is opposite. During short period of times a correlation can be found Electricity forwards Crude Oil Price €/$ ratio Faurecia Energy Procurement – Barcelona – 22/10/2014
  • 24.
    PropertyofFaurecia-Duplicationprohibited Electricity futures pricedevelopment (Europe) Markets: EEX, OMIP, ICE, PJM, MISO, NordPool, etc. Faurecia Energy Procurement – Barcelona – 22/10/2014 24 30 35 40 45 50 55 60 65 70 75 80 01/01/2012 01/02/2012 01/03/2012 01/04/2012 01/05/2012 01/06/2012 01/07/2012 01/08/2012 01/09/2012 01/10/2012 01/11/2012 01/12/2012 01/01/2013 01/02/2013 01/03/2013 01/04/2013 01/05/2013 01/06/2013 01/07/2013 01/08/2013 01/09/2013 01/10/2013 01/11/2013 01/12/2013 01/01/2014 01/02/2014 01/03/2014 01/04/2014 01/05/2014 01/06/2014 01/07/2014 01/08/2014 01/09/2014 01/10/2014 €/MWh European forward electricity prices NL Y+1 DE Y+1 BE Y+1 UK Y+1 FR Y+1 ES Y+1 IT Y+1 CZ Y+1 SK Y+1 HU Y+1 PL Y+1 (€/MWh)
  • 25.
    PropertyofFaurecia-Duplicationprohibited Electricity Futures PriceDevelopment (USA) Y+1 Y+2 Y+3 Faurecia Energy Procurement – Barcelona – 22/10/2014 25
  • 26.
    PropertyofFaurecia-Duplicationprohibited US Electricity MarketStructure – short analysis  Market is state-oriented which means that law regulation, commodity suppliers, utility suppliers may vary state to state.  In comparison to European market, where on country level we have one legal regulation, in USA they are both federal & state regulation.  Depending on state & volumes we are in regulated or in deregulated market.  Deregulation in US is just starting (some stated decided to stop the deregulation process). It is like the process lived in Europe 10 years ago. US market is evolving.  It is not possible to compare US to a single European country. It must be compared with the whole Europe (big differences from one country to another in terms of regulation, prices,…) Faurecia Energy Procurement – Barcelona – 22/10/2014 26
  • 27.
    PropertyofFaurecia-Duplicationprohibited Electricity overview –Price breakdown Electricity 40% 60% 55% 60% 50% 60% 60% 75% 60% 40% 45% 40% 50% 40% 40% 25% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Germany UK Spain Portugal Czech Rep France Poland USA Distribution + Taxes Commodity Electricity price (€/MWh) 59,6 76,3 57,5 62,0 48,9 49,6 48,2 33,9 89,4 50,9 47,0 41,4 48,9 33,0 32,1 11,3 0,0 20,0 40,0 60,0 80,0 100,0 120,0 140,0 160,0 Germany UK Spain Portugal Czech Rep France Poland USA Distribution + Taxes Commodity Faurecia Energy Procurement – Barcelona – 22/10/2014 27
  • 28.
    PropertyofFaurecia-Duplicationprohibited Drivers of NaturalGas  Price of natural gas depends on several factors:  Brent oil quotation (effect on long terms)  Availability of production resources (resources import vs export)  Type of source of reseller (spot market or long term contracts)  Market speculation  Shale gas exploration and exploitation uncertain. Shale gas will change energetic market structure IMPORTANT: The price of natural gas is more sensible to Brent oil quotation than electricity one, but not strictly correlated (effect in medium term) Faurecia Energy Procurement – Barcelona – 22/10/2014 28
  • 29.
    PropertyofFaurecia-Duplicationprohibited Natural gas futuresprice development (European Hubs) Markets: TTF (NL), NCG (GE), Zeebruge (BE), NBP (UK) and PEG (FR) Faurecia Energy Procurement – Barcelona – 22/10/2014 29 23 24 25 26 27 28 29 30 31 01/01/2012 01/02/2012 01/03/2012 01/04/2012 01/05/2012 01/06/2012 01/07/2012 01/08/2012 01/09/2012 01/10/2012 01/11/2012 01/12/2012 01/01/2013 01/02/2013 01/03/2013 01/04/2013 01/05/2013 01/06/2013 01/07/2013 01/08/2013 01/09/2013 01/10/2013 01/11/2013 01/12/2013 01/01/2014 01/02/2014 01/03/2014 01/04/2014 01/05/2014 01/06/2014 01/07/2014 01/08/2014 01/09/2014 01/10/2014 €/MWh European forward gas prices TTF Y+1 NCG Y+1 Zee Y+1 NBP Y+1 (€/MWh) PEG N Y+1
  • 30.
    PropertyofFaurecia-Duplicationprohibited Natural gas futuresprice development (WW Comparison) USAEuropeFaurecia Energy Procurement – Barcelona – 22/10/2014 30
  • 31.
    PropertyofFaurecia-Duplicationprohibited Natural gas overview-Price breakdown Faurecia Energy Procurement – Barcelona – 22/10/2014 31
  • 32.
    PropertyofFaurecia-Duplicationprohibited « Basic purchasing » «Organize information » « Act beyond price » A general strategy based on 3 steps  PANEL CONSOLIDATION, INTERNALLY or WITH OTHER COMPANIES  Focus on : PRICE  CONTRACT MANAGEMENT & STANDARD REPORTING ARE FACILITATED BY A REDUCED PANEL  Focus on : DATA CAPTURE and KNOWLEDGE MANAGEMENT  BENCHMARK PROCESS = 2nd SOURCE OF COST OPTIMIZATION  Focus on : BEST PRACTICES DEPLOYEMENT CONSOLIDATE TO REDUCE PRICES = VOLUME LEVERAGE •STRUCTURE •TO BETTER MANAGE •= •STANDARD •REPORTING •OPTIMIZE COSTS & CONSUMPTION •= •BENCHMARK •BEST PRACTICES To compensate weak points compared to PP situation (lack of relevant data captured n our IT systems) As NPP spend does not always vary with plants activity, other levers must be activated to optimize costs More particular to NPP Similar to PP Faurecia Energy Procurement – Barcelona – 22/10/2014 32
  • 33.
    PropertyofFaurecia-Duplicationprohibited Working process forcost savings action plans  agreed upon action plans TOP-DOWN  STRATEGY & MARKET ANALYSIS  SPEND & SUPPLIER PORTOFOLIO ANALYSIS CROSS PLANTS  BENCHMARK (PRICES, KPI, …)  BEST PRACTICES BOTTOM-UP  REVIEW WITH PLANTS MANAGERS  PLANT NEEDS & PRIORITIES PROJECTS LIST NPP COMMODITY team OPERATIONS + NPP REGIONAL team NPP REGIONAL team Costs saving actions identified by . . . CONSOLIDATION  CONSISTENCY CHECK by COMMODITY team versus the PURCHASING STRATEGY  COST SAVINGS ACTION PLANS  ROLLING PLANS UPDATED ON SEMESTER BASIS Faurecia Energy Procurement – Barcelona – 22/10/2014 33
  • 34.
    PropertyofFaurecia-Duplicationprohibited  The purposeof the benchmark is to  Define average ratio that can be considered as standard values  Identify plant best practices that explain performance better than the average  Help the plants above this average to improve their costs by informing them about best practices and achievable targets  The first benchmark is based on 2006 data from European plants, to create energy consumption KPIs of sites within the same product group  Following the benchmark, it’s been decided in which plant to launch energy audit, in order to go in depth and analyse differences of consumption. Results of energy audits used to identify new best practices to apply to other plants Benchmarking Energy Consumption KPIs Faurecia Energy Procurement – Barcelona – 22/10/2014 34
  • 35.
    PropertyofFaurecia-Duplicationprohibited 35 Benchmarks highlight potentialsavings EXAMPLE : Energy  Physical driver = activity in [Worked Hours] [consumption in MWH]  Site KPI = [worked hours]  Average of SUM of [consumption in MWH] the category = SUM of [worked hours] POTENTIAL SAVINGfor sites above average : [site KPI – Average] = 50% x x [SPEND] [site KPI] 50% 0% 33% 66% 100% 0% 5% 10% >10% 7,6 M€ Faurecia Energy Procurement – Barcelona – 22/10/2014
  • 36.
    PropertyofFaurecia-Duplicationprohibited  KPIs used Electricity  MWh / worked hours  MWh / m2 – Building surface  MWh / Employee (direct + indirect)  Natural Gas  MWh / m2 – Building surface  MWh / Employee (direct + indirect)  Industrial Gas  Spend in % of sales Energy Consumption KPIs Faurecia Energy Procurement – Barcelona – 22/10/2014 36
  • 37.
    PropertyofFaurecia-Duplicationprohibited 37 Best-Practices process :Organization PLANTS EXPERTS BUSINESS GROUPS GROUP BENCHMARK P1 P2 Pn BEST-IN-CLASS BEST PRACTICE BG STEERING COMMITTEE = OPERATIONS + EXPERTS (+ NPP when relevant) GROUP STEERING COMMITTEE = BG Manufacturing VP’s + NPP Director INTRANET DEPLOYMENT TOP - DOWN BY EXAMPLE BEST PRACTICES BENCHMARK KPI  EXCHANGE INFO / LAUNCH WORKSHOPS ON COMMON SUBJECTS / TRACK DEPLOYMENT / CONSOLIDATE REPORTING / DEFINE STANDARD KPI  DEFINE SCOPE EVALUATION PUBLISH  VALIDATE  DEPLOY FINE-TUNE KPI KPI Faurecia Energy Procurement – Barcelona – 22/10/2014
  • 38.
    PropertyofFaurecia-Duplicationprohibited Develop benchmarks andbest practices Faurecia Energy Procurement – Barcelona – 22/10/2014 38
  • 39.
    PropertyofFaurecia-Duplicationprohibited Faurecia Energy Procurement– Barcelona – 22/10/2014 39 Thank you very much for your attention