suguta industry_automotive
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Oracle Industry SolutionsAutomotive OEMs
Information Age Applications
The Automotive Value Chain
Retail
Suppliers OEMs
DistributionDistributionHubs/CentersHubs/Centers
Tier N SuppliersTier N Suppliers
SystemSystemIntegratorsIntegrators
Automobile & TrucksAutomobile & TrucksAssemblers (OEMs)Assemblers (OEMs)
Post ProductionPost ProductionAssemblyAssembly
Tier 1 Suppliers andTier 1 Suppliers andSub-assemblersSub-assemblers
DealershipsDealerships
Automotive OEM Drivers
Revenue Management…to convert $74B of stagnantinventory into sales revenues
Cost ReductionOEMs spend $25B+
in incentives…
Efficiency & ProductivityCurrently, custom vehiclestake 60+ days to produce
Product QualityVehicle recalls continue
to plague consumers
Customer RetentionIncreasingly consumers expecttreatment as “market of one”
Product InnovationIt takes 3 years on averageto develop a new platform
• Alignment of vehicle production to real demand
• Collaboration for Fast Vehicle Development (18-24 months)
• Consumer preferences analyzed and shared by multiple orgs
• Streamlined, automated strategic sourcing & procurement
• Incentives to maximize profits vs. moving inventory
• Lean, highly utilized mixed model assembly plants
A Need for ChangeLeading Business Trends
Sales & MktgSales & Mktg
Information Information TechnologyTechnology
EngineeringEngineering
Supply Supply ManagementManagement
ServiceService
FinanceFinanceSales & Operational Sales & Operational
PlanningPlanning
ProductionProduction
Continually Improve Quality, Cost and Cycle Time
• Poor Quality & Excess WIP• High Material & Supply Costs• Lengthy ECO Approval Process• Error Prone Order Processing
• Incorrect Resource Dispatching• Conflicting Demand Signals• Duplicate & Erroneous Data• Isolated Departmental Systems
Common Areas of Waste
A Need for ChangeExtend Lean Initiatives Across the Enterprise
Oracle in AutomotiveDid You Know?
• More than 150 automotive companies run Oracle apps
• Over 1900 automotive companies run on Oracle technology
• 7 of the top 10 global automotive companies on Reuters run Oracle applications
• 9 of the top 10 automotive manufacturers on Industry Week's 2004 manufacturing companies run Oracle apps
• 4 out of the top 5 world’s largest tire manufacturers runOracle applications
• 33 of the top 39 automotive manufacturers on Industry Week's 2004 manufacturing companies run Oracle apps
Oracle in AutomotiveDid You Know?
• 10 of the top 10 motor vehicle and parts companies onFortune Magazine's 2004 global top 1000 run Oracle apps
• 15 of the top 15 companies on Fortune Magazine's 2004“Most Admired Automotive Parts Companies” run Oracle apps
• 18 of the top 26 world's largest automotive manufacturerson Reuters run Oracle applications
• 9 of the top 10 largest auto parts manufacturers on Reutersrun Oracle applications
• 19 of the top 20 OEMs from Automotive News 2004 runOracle applications
• 21 of the top 40 top Global Suppliers from Automotive News 2004 run Oracle applications
What Customers are Achieving…
100% of the Top 20 Automotive Companies Use Oracle
Oracle applications drive many core functions within the OEMs:
GM has signed an enterprise agreement to utilize Oracle technology globally and has extended the agreement to it’s joint ventures.
Tier 1’s are using Oracle technology & applications to grow globally:
• GM – Online vehicle configuration• Nissan America – Warranty mgmt• Subaru – Financials & order mgmt
• Honda Motorcycle – Product dev’t• Fiat – HR & financials• ChangAn (China) – Manufacturing
• Delphi• Cummins (13 sites)
• Eaton (22)• ArvinMeritor (12)
• Dana (9)• American Axle
A Few Oracle Auto OEM Customers…
DevelopMarket
Sell
Order
Plan
Procure
MakeFulfill
Service
Maintain
Finance
HR
Projects
Contracts
Customers,Customers,
Suppliers,Suppliers,
Products,Products, ……
Oracle E-Business SuiteBuilt on a Unified Information Architecture
• Common data model enables a single source of truth
• Comprehensive suite of applications designed to work together
• Robust set of integration services based on open standards
• Modular deploymentby business flow
• Single global instance implementations
Intelligence
Technology
Tailored for Automotive OEMsSupport for Key Processes
ProcurementProcurement Planning &Planning &ManufacturingManufacturing
CollaborativeCollaborativeDevelopmentDevelopment
DealerDealerIncentiveIncentive
ManagementManagement
CustomerCustomerDemandDemandCaptureCapture
Enable Collaborative Vehicle Development
Source and Procure Globally for Best Value
Enable Lean, Flexible Manufacturing Environments
Sense and Respond to Customer Demand
Provide Targeted Dealer Incentives
Oracle AutomotiveOEM Solutions
Intelligence
Technology
ProcurementProcurement Planning &Planning &ManufacturingManufacturing
CollaborativeCollaborativeDevelopmentDevelopment
DealerDealerIncentiveIncentive
ManagementManagement
CustomerCustomerDemandDemandCaptureCapture
Product Lifecycle ManagementCollaborate and Make Profitable Choices
Portfolio Management
Product Intelligence
Phase-GateControl
ComponentSourcing
Design for SC& Compliance
SalesConfiguration
BOM Mgmt& ReleaseProduct
DataRepository
Issue/ChangeManagement
New
Product
Intro
Collaboration
RetireDesign
ReleaseRamp-up
MaintenanceMaintenancePrototype
& Test
VolumeVolumeProductionProduction
Concept
SpecificationsDrawingsSchedules
IssuesIdeas
ChangesServiceService FinanceFinance
Internal
External
Sales & MktgSales & Mktg PurchasingPurchasing
EngineeringEngineering ManufacturingManufacturing
SuppliersSuppliers CustomersCustomers
Utilize a Product Data Hub Achieve Complete Product Rationalization
Capture all product structures and configurations in a single location
List all products & related attributes with a hierarchical view of components
Manage complex, multi-dimensional data (item types, location, platform, etc.)
Share the same product information as products evolvethrough lifecycle
*Bill of Materials
EngrEngrBOMBOM
MfgMfgBOMBOM
SalesSalesBOMBOM
As MaintainedAs MaintainedBOMBOM
Design &Develop
Plan &Manufacture
Market, Sell,Fulfill
Service &Maintain
SingleVersionof Truth
ProductProductDataData
RepositoryRepository
Search and Find the Best ComponentIncrease Component Reuse Through Advanced Search
Browse CategoryHierarchy
BestComponent
Search Components by Specification Values
(and compare search results)
Choose Best Fitting Component
CategoryCategory SearchSearch
AttributesAttributesAttributeAttributeValuesValues
Share CAD DesignsCollaborate Through a Secure, Common Web Portal
• Streaming-Based CAD View & Mark-up– Structure hierarchy, parts lists & attributes– Product data queries– Mark-ups– Perspective and sectioned views– Animations– CAD format neutral– Spontaneous access without download– Integrated Change Mgmt with product info
• Web Conferencing– File sharing– Desktop sharing– Application sharing– Co-browsing– White boarding
Control the Product Change ProcessWorkflow Driven Process Automation
User-Defined Change Types Streamline Review and Approvals Facilitate Multi-Company Collaboration
ImplementImplementChangeChange
Test &Test &ApproveApprove
ReviewReview CreateCreateWork PkgWork Pkg Create
Change Order(ECO)
Workflow DrivenWorkflow Driven
ScheduleScheduleCostCost
DispositionsDispositions
QA / Engr
Alerts &Alerts &NotificationsNotifications
EngineerOrg 1, Org 2, …
ID IssueID Issue AssignAssign& Notify& Notify
AssessAssessImpactImpact
ReviewReview ApproveApproveor Rejector RejectCreate
Change Request
(ECR)Engineer
Consistent, Timely Info to StakeholdersObtain Personalized, Secure Access Anywhere, Anytime
GlobalProject
Repository
Information Inputs• Project Management Plans• Actual Effort and Costs• Issues and Changes• Documents• Customer Specifications
Project Managers
Team Members
Executive Mgmt
Customer / Sponsor
Rol
es
• Consistent Product & Project Info– Information entered once– Operational & acct views by role– Attribute-based searches
• Secure, Role-Based Access– Functions secured by role on
each project– Built-in security protocols
• Timely Information – Daily or weekly updates– Information entered via self-service,
batch entry and open interfaces
• Multi-Method Access– Internet browser-based UI– Workflow driven e-mail– Productivity tools (MS Project / Excel)
Enable Collaborative Vehicle Development
Source and Procure Globally for Best Value
Enable Lean, Flexible Manufacturing Environments
Sense and Respond to Customer Demand
Provide Targeted Dealer Incentives
Oracle AutomotiveOEM Solutions
ProcurementProcurement Planning &Planning &ManufacturingManufacturing
CollaborativeCollaborativeDevelopmentDevelopment
DealerDealerIncentiveIncentive
ManagementManagement
CustomerCustomerDemandDemandCaptureCapture
Intelligence
Technology
Advanced Procurement SolutionAddress Direct / Indirect Materials and Service Needs
DemandDemandCollectionCollection
IndirectIndirect& MRO& MRO
DirectDirectMaterialsMaterials
EngineeredEngineeredProductsProducts
ServicesServices
ApprovalRouting
TouchlessBuying
Automated Payment
Enforce Policy Compliance
Budget-BasedProcurement
ContractManagement
SupplierPerformance
Reduce Spend on Goods and Services
CategoryManagement
OnlineSourcing
SpendAnalysis
Streamline Procurement Processes
SupplierSupplierCollaborationCollaboration
SettlementSettlement
OrdersOrders
ProfileProfileManagementManagement
SupplierSupplierNetworkNetwork
LogisticsLogistics
SupplierSupplierPortalPortal
Complete Procure-to-Pay Automation Integrate Sourcing through Execution
Send ElectronicSend ElectronicPO to SupplierPO to Supplier
Receive ElectronicReceive ElectronicInvoiceInvoice
CreateCreatePurchase OrderPurchase Order
Identify & QualifyIdentify & QualifyVendorsVendors
EvaluateEvaluateBidsBids
Create & ApproveCreate & ApproveRequisitionRequisition
Author & NegotiateAuthor & NegotiateContract or MPA*Contract or MPA*
Pay SupplierPay Supplier(EFT)(EFT)
AnalyzeAnalyzePerformancePerformance
Receive Goods or Receive Goods or Services; InspectServices; Inspect
Select VendorSelect Vendor AdjustAdjustContractsContracts
SourcingStrategy
PurchasingExecution
Add structure to strategic activities & execute routine transactions automatically
*Master Purchase Agreement
Support Any Negotiation TypeFlexible Methods Address YOUR Sourcing Strategy
Good orService
Example
Duration
Focus
Well-DefinedWell-DefinedAttributesAttributes
Furniture, Components Furniture, Components
HoursHours
NegotiateNegotiateBest PriceBest Price
Standard Standard CommoditiesCommodities
Paper, Pens, FastenersPaper, Pens, Fasteners
VariesVaries
Best Terms:Best Terms:Price, Delivery, PaymentPrice, Delivery, Payment
Complex,Complex,Engineer to OrderEngineer to Order
Buildings, EquipmentBuildings, Equipment
Days or WeeksDays or Weeks
Meet Need forMeet Need forMany AttributeMany Attribute
Auction /Bid
RFQ / RFP / RFI / Quote
Offer /Counter Offer
• Multi-round negotiations with partial bid, minimum, increment, and auto-extend
• Change attributes between rounds
• Multi-attribute bidding• Real-time bid monitoring• Threaded discussions
Collaborative Contract AuthoringImprove Accuracy and Productivity
• Automatically create contract based on quote details
• Compare revisions & communicate changes to multiple parties
• Flag non-standard clauses for additional legal approvals
• Attach supporting documents to contracts
• Produce PDF contracts with personalized look and feel
BuyerPO / Revisions
Approver
Legal Supplier
Purchase Contract
Contract Creation Seamlessly Integrated into Sourcing Process
T’s & C’s Quote
v.2v.1
Efficient Self-Service RequisitioningAutomate and Control Employee Buying
Self-service orderingin a familiar webshopping interface
Smart Forms tostructure non-catalog orders
Configurable approvalflows with accountingenforcement
Self-service ordertracking and order changes
Change quantity, Change quantity, date, price or date, price or
cancel linecancel line
• Change request approvalChange request approval• Buyer review and PO updateBuyer review and PO update• Automatic supplier notificationAutomatic supplier notification
Retroactive Price ChangesEnsure Latest Agreement Prices are Utilized
Activate Activate MPA w/ MPA w/ Interim PriceInterim Price
Finalize Finalize PricingPricingfor MPAfor MPA
Issue Blanket Issue Blanket ReleaseRelease(or PO)(or PO)
Retro-Adjust Retro-Adjust BlanketBlanketReleaseReleasePricingPricing
IssueIssueAdjustment Adjustment Invoice*Invoice*
Adjust Adjust Accrued Accrued LiabilityLiability
AlreadyReceived
AlreadyInvoiced
• Enable retro-pricing of Master Purchase Agreements (Blanket Agreements)
• Automatically update orders with latest pricing (references modified agreement)
• Update prices on orders even if therehas been receiving or invoicing activity
*Requires Payables (Financials)
Enable Collaborative Vehicle Development
Source and Procure Globally for Best Value
Enable Lean, Flexible Manufacturing Environments
Sense and Respond to Customer Demand
Provide Targeted Dealer Incentives
Oracle AutomotiveOEM Solutions
ProcurementProcurement Planning &Planning &ManufacturingManufacturing
CollaborativeCollaborativeDevelopmentDevelopment
DealerDealerIncentiveIncentive
ManagementManagement
CustomerCustomerDemandDemandCaptureCapture
Intelligence
Technology
Multi-Tier Supplier CollaborationSynchronize Planning Across Multiple Tiers
Runplan
Demand‘vehicle’
Supplyforecast
Consensus forecast
Run plan
Forecast‘brake’
Supply commit ‘chassis’
Supply commit‘brake’
Forecast‘chassis’
Tier NSupplierDealers Tier 1
SupplierOEMs
Provide Cost-Effective Visibility – Communicate requirements to all suppliers– Supports multiple communication methods
as lower cost alternatives to EDI (XML, etc.)
React Faster to Constraints– Get visibility to supplier capacity– Reallocate key components– Make alternate sourcing decisions
Reduce Non-Value Added Costs and Exception Overload– User-configurable exceptions– Automated exception handling via workflow
Reduce Obsolescence – Understand impact of BOM changes to
your suppliers and customers
Inventory OptimizationReduce Inventory Levels to Support the Lean Enterprise
Safety stock with Postponement
Initial Safety Stock Levels
• Determine inventory levels across the entire supply chain
– End products– Subassemblies– Components
• Coordinate policies to reduce inventory across the entire supply chain, including customer consigned inventories
• Postpone value-add activities until actual demand pull
DC 1 /Customer
Consignment
Manufacturing /Assembly
RawMaterials
DC 2
Aftermarket
Suppliers
Dealerships
Supply Chain Exception ManagementBridge Gap Between Collaborative Planning & Execution
Dealers / Consumers
You
Suppliers
PlanningPlanningRunRun
Next PlanningNext PlanningRunRun
Delayed Delayed outbound outbound shipmentshipment
Unplanned Unplanned spike in spike in
after-market after-market demanddemand
DelayedDelayedinboundinboundshipmentshipment
Dealer Dealer changes changes
orderorder
! !!!
Workflow-Driven Automated Exception Handling Role-Based Alerts and Notifications Real-Time Information Exchange
Execute on Exceptions
AdjustAdjustProductionProductionSequenceSequence
ToToAccommodateAccommodate
CustomCustomConfig-Config-urationsurations
Build Vehicles that Customers Want Minimize Inventories & Increase Customer Satisfaction
Customers /Customers /DealersDealers
ForecastForecast
UniquelyUniquelyConfiguredConfigured
VehiclesVehiclesConfigureConfigure
Create MfgCreate MfgBOM &BOM &RoutingRouting
Check Check Avail-Avail-abilityability(LTO*)(LTO*)
Global ATP and Pricing Production Plan
AssembleAssembleVehicleVehicle
Receive
Ship
Invoice
DCs
Automated:• Creation of Orders
and Schedules• Creation of BOMs• Routing Assignments• Materials Allocation
WebWebConfigConfig
DealerDealerOrderOrder
*Three Scenarios:• MTS – Make to Stock• LTO – Locate to Order• BTO – Build to Order
MTS*
BTO*
PopularPopularConfig-Config-urationsurations
Comprehensive Manufacturing SolutionIntegrated
IntelligenceCostCost
AnalysisAnalysis ProductivityProductivity
Planning
• Planned Orders• Schedule Changes• Component
Substitutes• Resource
Substitutes
ProductProductLifecycle MgmtLifecycle Mgmt
Warehousing / Warehousing / TransportationTransportation
ServiceService
AssetAssetMaintenanceMaintenance
VIN Genealogy Tracking
Quality Management
DiscreteDiscrete FlowFlow
ProjectProject Lot-BasedLot-Based
BTOBTOMTSMTS
Mixed Mode Real-TimeWIP Visibility
Model ShopFloor
AnalyzeAnalyze AdjustAdjustSampleSample
EnterpriseShop Floor
MES APIs,Direct
Access
Customer Suppliers
SuppliersSuppliers
• Demand Schedules• Sequenced Release
Schedule• Optimized Schedules
via iLOG Toolkit• Configured Order
• Material Availability• Mfg Capacity• Schedules / Changes• Production Status• Ship Notices• Scheduled Pickup• Invoices / Payments
PartnerCollaboration
Support Lean Manufacturing Practices to Reduce Cycle Time and Waste
Demand(Orders/Forecasts)
Dealers
Suppliers
Production LineSequenced
POs
Inventory
Bin 1Bin 1 Bin 2Bin 2
PaintPaint
Feeder Plant Feeder Line
SynchronizedProduction
Bin 1Bin 1 Bin 2Bin 2
Seat AssySeat Assy
Bin 1Bin 1 Bin 2Bin 2
Door AssyDoor Assy
Bin 1Bin 1 Bin 2Bin 2
AccessoriesAccessories
KanbanReplenishment
Flow ManufacturingBuild a Mix of Configurationson the Same Line
Facilitated OutsourcingIncrease Visibility Across
Outsourced OperationsOEMs Send:• Purchase Orders• Schedules• Bill of Materials (BOMs)• Operation Instructions• Drawings & Attachments
Suppliers Send:• Adv Ship Notifications (ASNs)• Quality Results• PO Acknowledgements
Auto Supplier PortalAuto Supplier Portal
Enable Collaborative Vehicle Development
Source and Procure Globally for Best Value
Enable Lean, Flexible Manufacturing Environments
Sense and Respond to Customer Demand
Provide Targeted Dealer Incentives
Oracle AutomotiveOEM Solutions
ProcurementProcurement Planning &Planning &ManufacturingManufacturing
CollaborativeCollaborativeDevelopmentDevelopment
DealerDealerIncentiveIncentive
ManagementManagement
CustomerCustomerDemandDemandCaptureCapture
Intelligence
Technology
Rich Product Catalog for Guided Selling Create Compelling Interactions via Dynamic Content
ProvideProvideimmediateimmediateaccess toaccess to
assistanceassistance
Easily Easily customizable,customizable,
targetedtargetedcontentcontent
ComprehensiveComprehensiveresearch research
capabilitiescapabilities
Intuitive Guided Intuitive Guided Selling ProcessSelling Process
Sophisticated Vehicle Configurator Allow Customer to Independently Define Configuration
Define configuration rules for any order Allow customer to select base model Recommend vehicles and accessories
based on customer analysis Price configured vehicles, including
personalized, applicable discounts Verify vehicle location / availability and
delivery time Push configured vehicle specifications to
dealers and place customers in contact with sales representatives
Vehicle Locator SystemEnable Customers to Locate Exact Configurations
Vehicle Inventory• Provide real-time
inventory visibility• Verify vehicle location
& availability• Provide alternate
configurations when exact vehicle is unavailable
Dealer Order Tracking• Enable customers
to track shipped orders• Notify customers when
vehicle ships and arrives at dealership
• Alert customers about delivery status
Web StoreOrders
Capture Interest-Level DataUse Channel Data to Influence Marketing & Planning
SecureDatabase
• Marketing, Sales, Dealers– Demographic information– Consumer preference– Targeted campaigns– Refined analysis
Capture Click Stream• From website, kiosk, or
dealer sales interface• Vehicle / model
preference• Options selection
& combinations• Style & color popularity
Analyze & Report Data• Dynamic analyses (query nesting,
pivoting, multi-level drill down)• Pre-integrated web portal and
report builder• Simple export to XML, HTML,
Excel, text files
• Planning, Mfg, Suppliers– Demand for styles– Popular configurations– Increase forecast accuracy
• Product Development– Popular models & features– Innovations– Product differentiators
Disseminate Information
Data cleanse& de-duplicate
Store All Customer Data In One PlaceLeverage a Common Data Model
Build Customer Profiles by Relating all Relevant Information
Customers,
Suppliers,
Products, …
• Contact Information• Interaction History• Sales Channel Usage• Pending Quotes / Orders• Order History• Contract Terms• Shipment Status• Issue History• Payment / Credit History• Campaign Responses
Sense & Respond to Consumer Preference
Refine Interest-Level Data via Targeted Campaigns
Leverage Growing Data
ImprovePredictive
Capabilities
Optimize Incentive
Spend
Consumer data accumulates with time and experience
Better predictive capabilities increases likelihood consumer will purchase via incentive
More available data helps improve the quality of predictions
Past Consumer BehaviorPast Consumer Behavior
CollectCollectResponsesResponses
PredictPredictResponsesResponses
CreateCreatePersonalizedPersonalized
IncentivesIncentives
RunRunCampaignCampaign
Analyze &Analyze & Flow Data Flow Datato Planningto Planning
Analyze& Report
CaptureInitial
Interest
Improve Data Quality and Planning Over Time (Best Vehicle Mix)
PlanFollow-Up
CaptureCaptureRefinedRefined
PreferencePreference
ExecuteTarget
Campaign
Track Costs to Revenue GenerationMeasure Performance, Rigorously Rationalize Spending
Create & LaunchCreate & Launch Campaign Campaign
AA GenerateGenerateInterestInterest
AA PursuePursueOpportunityOpportunity
AA
SettleSettleClaimsClaims
AA
Map campaign activities and spend to revenue
AnalyzeAnalyzeResultsResults
AATrackTrackSalesSales
AA
ActivityIdentifier
AA
Enable Collaborative Vehicle Development
Source and Procure Globally for Best Value
Enable Lean, Flexible Manufacturing Environments
Sense and Respond to Customer Demand
Provide Targeted Dealer Incentives
Oracle AutomotiveOEM Solutions
ProcurementProcurement Planning &Planning &ManufacturingManufacturing
CollaborativeCollaborativeDevelopmentDevelopment
DealerDealerIncentiveIncentive
ManagementManagement
CustomerCustomerDemandDemandCaptureCapture
Intelligence
Technology
Integrated Trade Management
Increase Promotional ROI
Lower Claim Costs
Control Promotional Liability Risks
Budget Managemen
t
Trade Promotion Management
Claims Managemen
t
PerformanceMonitoring
Products
Customers
Promotions
Claims
• General Ledger• Inventory Mgmt
• Order Mgmt• Advanced Pricing
• Marketing• Partner Mgmt
• Receivables• Payables
Marketing Sales FinanceSupply Chain
CommonCommonInformationInformationRepositoryRepository
ExecuteExecuteMonitorMonitor
SettleSettle
PlanPlan
AnalyzeAnalyze
• Create budgets• Allocate budgets
to saleshierarchy
• Track expensesand accruals
• Analyze ROI andsell-thru effect
• Create offers• Validate
dealereligibility
• Approve &settle claims
• Updatefinancials
Enterprise Integration
Inputs
Stakeholders
Incentive Management FlowGet Dealerships to Participate in Your Campaigns
Establish Establish campaign campaign objectivesobjectives
LaunchLaunchincentive incentive
campaigncampaign
Qualify / grade /Qualify / grade /route leadsroute leads
Dealerships
Agree on leadAgree on leadfulfillmentfulfillment
Review /Review /accept optyaccept opty
Place or fill Place or fill order & order & submit claimsubmit claim
Ship itemsShip items& pay claims& pay claims
OEM Develop, execute and manage dealer-specific incentive campaigns
Reduce potential lost sales by tracking status of opportunity to fulfillment
Continuously measure incentive campaign effectiveness & performance
Increase dealer participation via faster resolution of claims
Work / closeWork / closeopportunityopportunity
• Create closed-loop marketing plans integrated withincentive compensation
• Monitor success and make mid-campaign changes• Evaluate purpose and impact of all trade funding
PromotionsDrive
Better Results
• Consolidate historical data• Validate OEM and dealership promotions• Shorten time to research, validate and settle all
deductions, charge backs, and claims
ClaimsReduce Costs
• Use budget mgmt to gain complete funds visibility• Control allocation and eligibility of all promotions
(including marketing budgets)• See at-a-glance all the current and potential liabilities
LiabilitiesPredict and AvoidTrade Expenses
Impact Your Bottom LineImprove Promotions and Reduce Expenses
Business Intelligence
Corporate Governance
Integrated ThroughoutIntegrated ThroughoutEntire Offering…Entire Offering…
and
Deliver Daily Business IntelligenceReal-Time Access to Complete Business Information
– Objective: Set institutional targets – Fact: Provide performance-based metrics– Exception: Continuously evaluate performance
Manage By…
How can I best adjust to planning exceptions?
How are supplier deliveries impacting on-time delivery capability?
What are the schedule & budget impacts of design changes?
How do my production costs this period compare with the prior period?
How should I allocate production resources to meet variable demand?
Business Intelligence: Timely, Accurate, Relevant
• Daily updates on key performance indicators
• Actionable infoon cost savingsand incremental revenue opportunities
• Role-based views:- Product Development- Project Management- Planning- Purchasing- Manufacturing- Order Management- Warehouse Mgmt
LinksLinks
ReportsReports
Real-TimeReal-TimeResultsResults
GraphsGraphs
Flexible Flexible Time PeriodsTime Periods
Flexible Flexible ComparisonsComparisons
PerformancePerformanceMeasuresMeasures
Corporate GovernanceA heightened business focus on accuracy in reporting to investors A heightened business focus on accuracy in reporting to investors
brought on by recent fraudulent practices of several major corporationsbrought on by recent fraudulent practices of several major corporations
Oracle Helps Drive Compliancethrough Visibility, Control, and Efficiency
• Senior mgmt personal liability for financial result accuracy
• Senior mgmt and outside auditor attestation to the effectiveness of internal controls
• Accelerated SEC filing deadlines
Sarbanes Oxley Act (SOX) EU Anti-Fraud Directive (Mar 2004)
• Collective Board liability for financial result accuracy
• Senior mgmt and outside auditor attestation to the effectiveness of internal controls
• Select Corporate Governance Code
For all U.S. companies and companies issuing securities in the U.S.
For all E.U. companies and companies issuing securities in Europe
Corporate Governance:Visibility, Control, Efficiency
Automate Processes and Extend to Customers & Suppliers
YourCompany
Customers& Suppliers
• Identify issues early• Enable real-time
information access & performance mgmt
• Consolidate global financials
• Unify corporate reporting
• Consolidate and reconcile information rapidly
• Automate business processes and broaden use of self-service
• Simplify IT infrastructure• Leverage best practices from
different groups / regions
Visibility
Efficiency
Provide Single Source of the Truth Centrally Manage Policies and Procedures
• Integrate and centralizebusiness operations
• Document processesand support compliance
• View, test and certifyinternal controls
• Manage corporatecommunications
Control
Orders
Invoices
Payments
Requisitions
All Built on Leading Technology
DatabaseServer
ApplicationServer
Oracle Automotive OEM SolutionsEnable Collaborative Vehicle Development
Source and Procure Globally for Best Value
Enable Lean, Flexible Manufacturing Environments
Sense and Respond to Customer Demand
Provide TargetedDealer Incentives
…Integrated Business Intelligence & Corporate Governance
Collaborative design, integrated BOM, resource & knowledge mgmt
Unified Internet sourcing tools, procurement contracts, requisition-to-payment automation w/ retro-pricing
Collaborative planning integrated with mixed mode manufacturing – discrete, flow, and outsourced mfg
Online vehicle configuration, pricing,& locating service; web and campaign analysis for improved planning
Integrated trade management for dealer-specific incentive campaigns
Cha
lleng
esC
halle
nges
Services:Services: Consulting, IT Outsourcing, Education, Support Consulting, IT Outsourcing, Education, SupportIT Infrastructure:IT Infrastructure: Database Server, Applications Server, Systems Management, Development Tools, Collaboration Suite Database Server, Applications Server, Systems Management, Development Tools, Collaboration Suite
Enterprise Infrastructure:Enterprise Infrastructure: Financials, Human Resources, Projects Financials, Human Resources, Projects
Driv
ers
Driv
ers
Ora
cle
Enab
lers
Ora
cle
Enab
lers
Enable Collaborative Vehicle Development
Product Lifecycle MgmtProduct Lifecycle MgmtProduct Data MgmtProduct Data MgmtCADView-3DCADView-3DConfiguratorConfiguratorSourcingSourcingProject ManagementProject ManagementProj Portfolio AnalysisProj Portfolio AnalysisProject CollaborationProject CollaborationProj Resource MgmtProj Resource Mgmt
• Inability to involve partners early during design process
• Globally dispersed R&D resources
Footprint: Automotive - OEM
Trade ManagementTrade ManagementMarketingMarketingTrade ManagementTrade ManagementAdvanced PricingAdvanced PricingOrder ManagementOrder ManagementFinancialsFinancials
• Dependence on tiered sales channels (e.g. distributors, dealerships, e-tailers)
• Low conversion of browsers to buyers
• OEMs spend up to 33% of revenues in incentives
Provide TargetedDealer Incentives
Demand CaptureDemand CaptureiStoreiStoreConfiguratorConfiguratorOrder ManagementOrder ManagementInventory Mgmt Inventory Mgmt Global Ord. PromisingGlobal Ord. Promising
Data Mgmt & AnalysisData Mgmt & AnalysisCust Data Hub / SpokeCust Data Hub / SpokeCust Data LibrarianCust Data LibrarianDiscovererDiscovererMarketingMarketing
• Understand consumers’ needs and desires to improve alignment of supply and demand
• Currently only 0.01% of demand signals are captured & used
• Decreasing brand loyalty
Sense and Respondto Customer Demand
PlanningPlanningCollab PlanningCollab PlanningDemand PlanningDemand PlanningAdv SC PlanningAdv SC PlanningInventory OptimizationInventory Optimization
Production / AssemblyProduction / AssemblyMfg Scheduling Mfg Scheduling Discrete MfgDiscrete MfgFlow MfgFlow MfgiSupplier PortaliSupplier PortalInventory MgmtInventory MgmtEnterprise Asset MgmtEnterprise Asset Mgmt
• Inflexible mfg operations (60+ days for custom vehicles)
• Global excess assembly capacity
Enable Lean, Flexible Manufacturing Environments
ProcurementProcurementSourcingSourcingPO ContractsPO ContractsiProcurementiProcurementPurchasingPurchasingServices ProcurementServices ProcurementiSupplier PortaliSupplier PortalPayables (Financials)Payables (Financials)
• Race to reconfigure supply chain to dramatically reduce vehicle order cycle times
• Poor visibility into global operations
• Disparate legacy purchasing systems
Source and Procure Globally for Best Value
Corporate Governance:Corporate Governance: Internal Controls Manager, Financials, Tutor, iLearning Internal Controls Manager, Financials, Tutor, iLearningPerformance Management:Performance Management: E-Business Intelligence, Balanced Scorecard, Enterprise Planning & Budgeting E-Business Intelligence, Balanced Scorecard, Enterprise Planning & Budgeting
• Downward consumer price pressure
• Increasing demand for custom vehicles with high volume mfg
• Best-in-class OEM platform dev is 1.5 yrs (most take 3-4 yrs)
• Consumers plagued by vehicle recalls
Automotive Capabilities
• Direct Ship from WIP• Flow Sequencing • Enhanced Blanket Orders
and Releases• Global Purchase Agreements• Consigned Inventory • Supplier Change Orders &
Order Acknowledgments• Product Data Management• Integrated Maintenance and
Production Planning• Multiple Instantiation for
Configurations at Quote/Sale
Base Differentiators…• Flow Manufacturing• Release and Cumulative
Management • Product/Vehicle Configuration• Container Management• Warehouse Management• Collaborative Planning• Supply Chain Exception Mgmt• Inventory Postponement and
Optimization• Supplier Collaboration & VMI• Supplier Scheduling• Internet Based Sourcing
New in 11i.10…• Automated Retro-Pricing• Enhanced Retro-Billing• Flow Line / Supplier
Synchronization• Customer Consigned Inventory• Partner Integration for Global
Trade Management • Transportation Planning• Configurator Effectivity Dates• Single Row Self-Service Entry
of Quality Results• Procurement Contracts• Product Data Hub• Create / View CAD-Assembly
Structure• Project Portfolio Analysis• Enhanced Service
Evolution of Oracle Applications in Automotive
New in 11i.9…
Lower Total Cost of Ownership (TCO)Run on a Single Global Instance
Consolidate Data Centersand Databases
E-Business On Demand
Low Cost Linux Hardware
App Admin
DB/AS Admin
Sys Admin
HW Admin
Production Midtiers 100% LinuxProduction DB RAC Cluster (Unix)Demo Environments 100% Linux Development 100% Linux Outsourced Customers 70% Linux
Oracle’s Experience with Linux
3x Faster, 5x CheaperEasy to Automate en MassHighly Reliable
Needs:Needs:Roles:Roles:OracleOracle
Manages:Manages:
50% Lower Cost50% Lower Cost
50% Better Svc50% Better Svc
Core CompetenceCore Competence
Predictable CostPredictable Cost
YouYouManage:Manage:
AvailabilityAvailability
SecuritySecurity
PerformancPerformancee
ChangeChange
ProblemsProblems
Standardized Open Integration Platform
• Business Events Infrastructure• Industry Standard Protocols• Centralized Integration Repository
Simplify B2B Integration, Application Connectivity,
and Process Management
Customers,Customers,
Suppliers,Suppliers,
Products, …Products, …
Lower Total Cost of Ownership Run on a Single Global Instance
30 Languages
Multiple Currencies
Customers in 100+ Countries
All Languages Installable in Same Unicode Instance
Support for Statutory and Customary Local Requirements
Support Global Operations
CustomerCustomerCase StudiesCase Studies
Oracle Commitment to AutomotiveApplications & Functionality for Your Specific Needs
Flow Mfg
Procurement& Sourcing
Supplier ReleaseManagement
Supply Chain Exchange
Advance Planning & Scheduling
High VolumeConfigurator
Warehouse Management with Mobile RF
Asset MgmtTransportationManagement
PLM Suite
Supplier Portal
1998 1999 2000 2001 2002 200320042003
TransportationPlanning
$2.5B automobile manufacturer with over 20,000 employees– Fourth largest auto manufacturer in China with 400,000 vehicles
produced and exported to more than 20 countries (2003)– 28 distribution centers supporting 200 sales & 600 distributors in China
Live on 11i – Discrete Manufacturing, Inventory Management, Order Management,
Procurement, Financials– Increased visibility, tracking, and reporting of operational & financial data
Saved $23M through better inventory management Improved production capacity by 25% Recovered Oracle investment in 4.5 months
Chang AnAuto Group
“Not only did our Oracle solution bring fiscal savings to ChangAn, but also the perception of transparent and professional management, which I think is more influential over the long term.” -- Ma Jun, Deputy President
3.5 million visits per month, 1500 leads per day Over 1 million vehicle configurations available
$186B world leader in automobile manufacturing– World’s largest provider of transportation products and related services– Sells products in more than 200 countries– Manufacturing operations in 140 facilities in 50 countries
Chose Oracle over SAP, Baan, Selectica, i2, Trilogy, and Firepond Live on Configurator 11i
– Performance – exceeds target of 300 transactions per second– Deployed in 42 countries with 97,000 unique visits per day
“With Oracle Configurator, we have a robust tool that has been able to handle a lot of diversity, including vehicle configurations from around the world.”
-- Cherri Musser, CIO Supply Chain
Enable Collaborative Vehicle DevelopmentEnable Collaborative Vehicle Development
Source and Procure Globally for Best ValueSource and Procure Globally for Best Value
Enable Lean, Flexible Manufacturing EnvironmentsEnable Lean, Flexible Manufacturing Environments
Sense and Respond to Customer DemandSense and Respond to Customer Demand
Provide Targeted Dealer IncentivesProvide Targeted Dealer Incentives
Oracle Automotive OEM Solutions
Information Age Applications