adm sevilla: aerolia sourcing strategy 2014

Enhance trust and tied collaboration with suppliers to reach Competitive Partnerships

Aerolia Sourcing Strategy,

Serge ANGEVINHead of Parts and Services Procurement & Quality SupplyChainAEROMART SEVILLE – 3rd June 2014

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Aerolia, A Sustainable Development in 4 years

Aerolia Sourcing Strategy - AEROMART Séville - 03/06/2014

+ 74 %1950 3400Staff

2009 2013

Turnover(in million dollars)

2009 2010 2011 2012 2013

926 9961184

1400 1500+ 62%926 M$ 1500 M$$

3 (France) 10 (worldwide) 4 continentsPresence

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France

87%

Rest of Europe

5%

Asia4%

Amer-icas4%

Procurement Turnover Geographical Distribution

Elementary Parts309

Material262 WP

235SubCont

(Prod + Eng)170

Others204

Procurement Turnovers M$

Procurement TO = 1,2 Md$

Aerolia TO = 1,5 Md$

Aerolia Procurement Turnover 2013


2010 2011 2012 2013

85% 80% 71% 69%

15% 20% 29% 31%

Distribution € / $

€

$

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Aerostructure Market (Bn$)

5,4

2,62,51,9

1,5

0,60,50,4

Leader on the French Aerostructure market…

… Aerolia faces the great challenge of integrating the world’s top 3 Aerostructures


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AEROLIA Vision

Join the top 3 Aerostructure Supplier in the world by offering the best of the

composite and the metallic solutions

SOURCING VISION KEY STRATEGY

ELEMENTS IMPLEMENTATION

A supplier of excellence can enter into a:

« Competitive Partnership » with AEROLIA

On the contrary, a supplier that has consistently failed to deliver will be restricted from any new business

New type of Supplier Relationship Management4 Key Strategy Elements

to set up Targets and Requirements

Lean Supply Chain

Total Cost Of Ownership

Ethics & Performances

Global Sourcing


Aerolia Sourcing Strategy

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BlackList

PACTAgreement to Work On

Performances

Recovery Plan

Long Term ContractsExcellence in Performances

StrategyAdherence

LOW --

--- P

erfo

rman

ces

Level

----

HIGH

LOW ----- Partnership Level ---- HIGH

Market Requirements

Contract Requirements

OPEN Competition

SLA Negotiationfor

Support


CompetitivePARTNER

COMPETITIVE Partnership

VISION

EES

Aerolia Sourcing Strategy

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Thanks to EES, the Competitive Partnership will enable Aerolia and its suppliers to improve and grow together

Upstream Supply Chain

Single location and mutual sourcing Strategy• Tunisian park• North American SC• …

Downstream Supply Chain

Joint commercial prospection• Bombardier• Aero Vodochody• Ogma• …


Common effort to improveoperationnal, economical and financial

performance of partners

This approach is consistent with Airbus Supplier Quality Improvement Program (SQIP)

Competitive Partner

Extended Excellence System

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Extended Excellence System Projects


2010 2011 2012 2013 2014

Agilité & Confiance(Midi-Pyrénées)

Performances Industrielles(national)

Dinamic & Space(Pays de la Loire)

Aerolean’k(Midi-Pyrénées)

Réussir EnsembleTunisian park

SHARED PROJECTS

Logistics Exchange

Forum

Aerolia Supplier Excellence Awards

Program

6-month firm commitment

World Café

PROJECTS

Extended ExcellenceSystem

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Excellence Extended System ProjectLogistics Exchange Forum


• Strategic vision presentation

• Demonstrations and debates about AES processes

SQCDP Worstation CNQ Workshop execution plan Overall Equipment Effectiveness

• Workshops on logistic topics Forecast Demand Management Execution planning Physical flows Administration Supplier Cascade Management Production milestones interfacing

First edition : 2014/02/06

Organised at Aerolia, Saint-Nazaire

Second edition : planned for june 2014

Focused on Forecast Demand Management

Organised at

• Strengthen operational links

• Engage the emergence of an expert community

• Enhance collaboration on shared issues

Objectives

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The Tunisian Aeronautical Park: best in class Lean Supply Chain Concept


Logistics

Manufacture & maintenance of tooling

Raw Mat Providing

Mechanical Detail Parts Surface Treatment

Sheet Metal Composite Sub assemblies

7 PARTNERS – 1000 employees

Global surface : 200 000 m²

Staff 2015 : 1500

Lever for competitiveness

Optimized logistics

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AEROLIA GOING GLOBAL…

Key take away :

• Aerolia is on its way to reaching the top 3 Aerostructure in the world, going from 1 to 3 Bn$ by 2020

• 70% of Aerolia Turn Over is outsourced

• Aerolia Supply Chain and Aerolia Market are global


Thank you for your attention

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adm sevilla: aerolia sourcing strategy 2014

Technology

aerolia procurement

supplier of excellence

aerostructure supplier

global key

procurement turnovers

tunisian aeronautical

employees global surface

serge angevin head of