Presentation at the Gartner Master Data Management Summit Europe, Barcelona, February 7th, 2013
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.
Driving Multidomain MDM simultaneously to ERP harmonization
1. Driving Multidomain MDM
simultaneously to ERP harmonization
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.
Jose GASCON • February 7th, 2013
2. Property
of
Faurecia
-
Duplication
prohibited
A global player in the automotive industry – February 2013 2
Agenda
q Company overview
q FCS a global SAP Program
q Starting our MDM journey
q Governance and Data Stewardship
q Status and two use cases
q Conclusion and Q&A
3. Property
of
Faurecia
-
Duplication
prohibited
A global player in the automotive industry – February 2013 3
Agenda
q Company overview
q FCS a global SAP Program
q Starting our MDM journey
q Governance and Data Stewardship
q Status and two use cases
q Conclusion and Q&A
4. Property
of
Faurecia
-
Duplication
prohibited
A global player in the automotive industry – February 2013 4
l 84,000 employees*
l 270 sites
l 33 countries
l Group revenues: €16.2 billion
l 40 R&D centers
l 5,000 R&D engineers and technicians
l 300 patents filed in 2011
l Annual R&D budget: €600 million
(excluding programs): 4% of sales
Faurecia a global footprint
2011 key figures
N°6
worldwide
equipment
supplier
18. Calsonic Kansei
17. Toyota Boshoku
14. Yazaki
13. Lear
12. TRW
10. Delphi
11. Valeo
9. ZF
8. Hyundai
7. Johnson Controls
6.
5. Aisin Seiki
4. Magna
3. Continental
2. Denso
1. Bosch
20. Autoliv
19. Cummins
15. BASF
16. Sumitomo
The world's top automotive
equipment suppliers
(2011 revenues €bn)
*4 BGs + HQ
16.2
5. Property
of
Faurecia
-
Duplication
prohibited
A global player in the automotive industry – February 2013 5
Source: Roland Berger analysis
#2 Worldwide
#1 in Europe
2011 sales: € 1.8bn
#1 Worldwide
2011 sales: € 3.7bn
#3 Worldwide
Complete Seats
2011 sales(1): € 5.0bn
#1 Worldwide
Frames & Mechanisms
2011 sales: € 1.6bn
12% global
market share(2)
15% global
market share
15% global
market share
28% market share
in Europe
Magna
Peguform
Others
Rehau
Faurecia
Plastic
Omnium
28%
Faurecia
Others
Visteon
IAC
JCI
12%
15%
Faurecia
46%
7%
10%
10%
12%
15%
21%
8%
11%
13%
19%
67%
Magna
JCI
Lear
Faurecia
Magna
Others
29%
19%
36%
JCI
12%
Brose
6%
Others
4%
Leading market positions in our four core business lines
(1) "Complete Seats" sales include "Seat Components" sales
#1 Worldwide
2011 sales: € 5.8bn
26% global
market share
Tenneco
Faurecia
26%
Calsonic
Kansei
Others
33%
Yutaka
Eberspächer
Futaba
7% 7%
7%
15%
5%
6. Property
of
Faurecia
-
Duplication
prohibited
A global player in the automotive industry – February 2013 6
Audi A1 Audi A6 BMW 3-Series Cadillac ATS Chrysler 200
Automotive seating
Interior systems
Automotive exteriors
Emissions control technologies
Working for almost all carmakers
Citroën DS5 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!
7. Property
of
Faurecia
-
Duplication
prohibited
A global player in the automotive industry – February 2013 7
Working for almost all carmakers
Ford
Daimler
Others
Hyundai
Fiat-Chrysler
BMW
Renault-Nissan
1.1 %
Toyota
1.4 %
GM
16.6%
11.5%
4.7%
11.0%
8.4%
4.1%
VW Group
1.6 %
Geely-Volvo
25.3 %
German
automakers
represent
38.8%
of revenues
Premium brands
represent
28.2%
of revenues
8.5%
Product
sales
€12.4 bn
5.8%
PSA
Peugeot
Citroën
8. Property
of
Faurecia
-
Duplication
prohibited
A global player in the automotive industry – February 2013 8
Agenda
q Company overview
q FCS a global SAP Program
q Starting our MDM journey
q Governance and Data Stewardship
q Status and two use cases
q Conclusion and Q&A
9. Property
of
Faurecia
-
Duplication
prohibited
A global player in the automotive industry – February 2013 9
Faurecia clearly invests in worldwide ERP harmonization
FCS Project launched in April 2007, first go live in July 2008.
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
10. Property
of
Faurecia
-
Duplication
prohibited
A global player in the automotive industry – February 2013 10
SOUTH AMERICA
ü Argentina
Brazil
ü Uruguay
NORTH AMERICA
ü Canada
ü United States
ü Mexico
EAST EUROPEAN
ü Poland
ü Czech Republic
ü Romania
ü Russia
Slovakia
WESTERN EUROPE
ü German
Luxembourg
Belgium,
Netherlands
ü Spain,
ü Portugal
ü France,
ü UK
Hungary,
ü Sweden
ü Italy
AFRICA &
MIDDLE EAST
ü South Africa
Iran
Morocco
Tunisia
Turkey
ASIA
ü China
ü South Korea
ü India
Japan
ü Thailand
Faurecia SAP global footprint
ü Initiated
In progress 2013
In Plan
29
77
169
256
349
432
470 474
556
527
479
387
300
207
124 86 82
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2008 2009 2010 2011 2012 2013 2014 2015 TBD
Not Done
Done
… but yet up
to 6 major
legacy ERP
to deal with
11. Property
of
Faurecia
-
Duplication
prohibited
A global player in the automotive industry – February 2013 11
Agenda
q Company overview
q FCS a global SAP Program
q Starting our MDM journey
q Governance and Data Stewardship
q Status and two use cases
q Conclusion and Q&A
12. Property
of
Faurecia
-
Duplication
prohibited
A global player in the automotive industry – February 2013 12
How did our MDM journey start?
A first MDM Project was initiated in 2010 based on SAP MDM.
This initiative did not succeed due to:
o Poor workflow capabilities or 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
13. Property
of
Faurecia
-
Duplication
prohibited
A global player in the automotive industry – February 2013 13
Objectives and Foundations
Develop a dedicated enterprise MDM solution
Define & support, with workflow, data management processes
Interface master data referential with key applications
Create a "data stewardship" organization to take care of data quality
Create a single “point of truth”
1
Share up-to-date Master Data across operational and decisional applications
2
Put in place Master Data Governance processes
3
Replace CMMS (sure, we also have a legacy Master Data system)
4
14. Property
of
Faurecia
-
Duplication
prohibited
A global player in the automotive industry – February 2013 14
Multi-domain needs and too many teams
Corporate Models
Legacy ERP
FCS
CMMS
Suppliers PP
Suppliers NPP
Customers
Organization
Customer
Supplier
Programs
Chart of Accounts
Banks
Program
Cost Centers
Vehicle
Brand Engine
Suppliers PP
Customers
Chart of Accounts
Banks
Program
Cost Centers
Vehicle
Brand Engine
Central Team
Local Plant
Corporate
Data Steward Team
Legend:
Material Material
Mixed Plant/Shared
Reporting
Organization
Customer
Programs
16. Property
of
Faurecia
-
Duplication
prohibited
A global player in the automotive industry – February 2013 16
We need to be flexible and adapt quicker
Sales
Purchasing
Finance
Sales
Purchasing
Finance
Sales
Purchasing
Finance
First let’s cover as much as
possible but just doing the
minimum transformation
We can then start
reengineering of processes
and increase efficiency
Kaizen
17. Property
of
Faurecia
-
Duplication
prohibited
A global player in the automotive industry – February 2013 17
Agenda
q Company overview
q FCS a global SAP Program
q Starting our MDM journey
q Governance and Data Stewardship
q Status and two use cases
q Conclusion and Q&A
18. Property
of
Faurecia
-
Duplication
prohibited
A global player in the automotive industry – February 2013 18
MDM Organization & Governance
Reporting Unit
Legal entity
Country
Region
Sub Division
Division
Business Group
Expertise Categ.
Area of expertise
Stewardship Team
Process / Workflow Data Update
XPPS
QAD
Etc.
Data entry for master data
consuming applications
Data access to authorized persons
PLM
FCS
Métis History log
Traceability
Roles & Authorizations
X Reference Monitoring
GPS
19. Property
of
Faurecia
-
Duplication
prohibited
A global player in the automotive industry – February 2013 19
Data Governance
Doing an MDM Project is launching a continuous improvement process
Data Governance defines:
o Roadmap for data usage and quality improvement
o Data management rules and procedures
o People (and their organization) in charge and their roles
o Data Access Rights
Data Governance objectives:
o Control data acquisition, quality and validation
o Monitors the over all data management process performance
20. Property
of
Faurecia
-
Duplication
prohibited
A global player in the automotive industry – February 2013 20
Data Stewards = Data Quality + Continuous Improvement
EMEA Asia
America
l Simplify access rights
l Process control alignment
l Takes care of to data quality
l Supports master data update
around the globe: 1 team “follow-
the-sun” and “follow-the-calendar”
l Lead continuous process
improvement tracked thru KPI
S1 2012 S2 2012
2013
Problem solving, A3,
QRCI, PDCA, …
21. Property
of
Faurecia
-
Duplication
prohibited
A global player in the automotive industry – February 2013 21
Agenda
q Company overview
q FCS a global SAP Program
q Starting our MDM journey
q Governance and Data Stewardship
q Status and two use cases
q Conclusion and Q&A
22. Property
of
Faurecia
-
Duplication
prohibited
A global player in the automotive industry – February 2013 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
Validate
Set-up
April 9th
Validate
Validate
Test
Validate
Test
Program
Marketing
May 15th
Supplier Pilot
Design / Configure
Customer
Design / Configure
July
18th
May
Supplier v1.1
Validate
Configure
Program v1.1
Validate
Configure
Dec11th
Pilot validation
(solution
readiness)
NPP Data
readiness
Data Migration Tool Preparation
NPP Supplier Roll-out
March
Supplier Data Migration
Key-User
Training
Roll-out
preparation
GPS
Cut-over
Data load
Tests
Finance Roll-out
Plan and
preparation
Key-User
Training
Key-User
Training
Phase 2 : Organization
Design / Configure Test Validate
OCM
February
Train
Dec11th
23. Property
of
Faurecia
-
Duplication
prohibited
A global player in the automotive industry – February 2013 23
Data Warehouse
MDM to manage corporate Supplier database
Core Master Data
Functions
Import Export
Data Quality
Faurecia Middleware
Requester Approvers
Creation & update workflow
GPS
FCS
Data Stewards
Legacy ERPs
PSS
QSS
MPM
SVM
Data Quality
24. Property
of
Faurecia
-
Duplication
prohibited
A global player in the automotive industry – February 2013 24
Corporate MDM with multiple SAP instances
BI & Reporting Tools
Step1 – before physical split Step 2 – after physical split
Part + BOM
PDM
Part + BOM
PDM
Prod
FC1
Prod
FC1
EMEA
Prod
FC3
Asia
Prod
FC2
America
BI & Reporting Tools
25. Property
of
Faurecia
-
Duplication
prohibited
A global player in the automotive industry – February 2013 25
Agenda
q Company overview
q FCS a global SAP Program
q Starting our MDM journey
q Governance and Data Stewardship
q Status and two use cases
q Conclusion and Q&A
26. Property
of
Faurecia
-
Duplication
prohibited
A global player in the automotive industry – February 2013 26
Wrap-up
R Workflow definition and maintenance flexibility
R Data Model easy to evolve
R Cornerstone to support corporate projects
R Reduce errors due to wrong data (payment terms, …)
R A tool for process improvement and governance