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CompetitivenessCompetitiveness and Innovationand Innovationof of AeroSpaceAeroSpace IndustryIndustry

EuropeanEuropean Aerospace Digital Hub Aerospace Digital Hub BoostAeroSpaceBoostAeroSpace

http://www.boostaerospace.comhttp://www.boostaerospace.com

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International A&D International A&D contextcontext withwith regards to regards to BoostAeroSpaceBoostAeroSpace initiativeinitiative

The international Aeronautical, Space and Defense industry (A&D) context more competitive than ever

The euro/dollar exchange rate is directly impacting the European A&D industry As a consequence, this situation gives advantages to our competitors who can strengthen their technological position The significant rise of the energy costs push our customers to delay or even retrieve orders.

→ It is vital to speed up our efforts to reduce costs, improve our productivity as well as our quality processesBoostAeroSpace becomes a major asset for an improved competitiveness

Base line of the digital extended enterprise approachA clear response to the needs of our suppliers in terms of standards across the industryCross sharing of the development costs

→ therefore, this project is of strategic importance for our community

It means an important effort from each and every company Define and agree on a common set of functionalities Commitment for financing by each companyCommitment on further usage of the Hub services to secure its profitability.

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Digital integration of the supply chain is a key success factor of competitiveness

It is vital to play as a team at the European level

Relationships between the Hub and the subscribers must rely on standards to guaranty interoperability between various IT systems.

The Hub must rely on secure collaboration for Product Lifecycle Management (PLM) and Supply Chain Management (SCM) including the "Multi-Tier" sequence.

The project can be divided in 2 folds Phase 1 (2009) : Common shared infrastructure (financed by all investors)Phase 2 (2010 and beyond) : operational deployment

BoostAeroSpaceBoostAeroSpaceCommon principlesCommon principles to all to all membersmembers

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SC

M

(e2O

pen)

Security

Collaboration(Microsoft)

e-so

urci

ng

PLM

(DS

) S

CM

(Airb

us S

@W

, i2)

Security

Collaboration(Microsoft, IBM ?)

e-so

urci

ng

CR

M/M

RO

Exostar

Aerospace Supply Chain

PLM, e-supply chain, CRM/MRO and securityaerospace international exchange standards :Suppliers are not imposed specific software

Boeing

LockheedMartin

Raytheon

BAE Systems

Rolls Royce

BoostAeroSpaceBoostAeroSpace and and ExostarExostarInvolvedInvolved actorsactors, , proposedproposed services, services, technologicaltechnological partnerspartners

Airbus

Dassault

EADS

…

Finmeccanica

Safran

Thales

Interoperability

Exchange Hub, hosted Customer Portal

Exchange Hub, hosted Virtual Plateau

Exchange Hub, hostedSupplier PortalExchange Hub, hosted

Supplier Portal

BoostAeroSpace

Worldwide SuppliersUS/UK Prime contractors

European Prime contractors

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Proposal for Governance of European Proposal for Governance of European eBusinesseBusiness Standards Standards ((validation in progress)validation in progress)

DIN-NLDIN-NL BSIBSI

AFNORBNAE

AFNORBNAE

Experts ofGerman Industry

Experts ofUK Industry

Experts ofFrench Industry

Experts of… Industry

AENOR...AENOR...

Experts ofSpanish Industry

PLMHub

PLMHub

LOTAR, ...

LOTAR, ... S2000MS2000MBoostAeroBoostAero

Domain leader 1Domain leader 1

ISO

Domain leader 2Domain leader 2 Domain leader ...Domain leader ...

Strategic Standardisation GroupTechnical Architecture

Framework (TAF) coordination:Domain leader 1, Domain leader 2…

Strategic Standardisation GroupTechnical Architecture

Framework (TAF) coordination:Domain leader 1, Domain leader 2…

ProjectsProjectsgovernance governance

and and executionexecution

3

OrientationOrientation& & ValidationValidation

1

General General governancegovernanceTechnical Technical coordinationcoordination(Architecture(ArchitectureFramework Framework ……))

2

EuropeanA/D Companies

EuropeanA/D Companies

€

European A/DManuf. Associations

European A/DManuf. Associations

€

MoU

€Specific

Founding for projects

InternationalA/D CompaniesInternational

A/D Companies

ProStep

ASD E3AGReviewed

Representation of all major A&D companies

ASD E3AGReviewed

Representation of all major A&D companies

eBSG

OASIS

AIA Groups

Basic ASDFounding

RegistrationMoUVote

CEN

Specific Founding

from interested

stakeholdersor from ASD

Financial Processing by

ASD Secretariat

DIN-NLDIN-NL

AFNORBNAE

AFNORBNAE

AENOR...AENOR...BSIBSI

Project Secretariats

AFNet

PrioritisedProjects

Steering BoardRepresentation

of all major A&D companies

Steering BoardRepresentation

of all major A&D companies

ASD STAN

BoostAeroStandard

BoostAeroStandard

Projects governance

UN/CEFACT

ATA

General governance

BAI BoardBAI Board

Participation of Airbus & EADS

EuropeanIT editors

EuropeanIT editors

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BoostAeroSpaceRoad Map 2009-2012 and Business Model (M€)

2009Q1 Q2 Q3 Q4

2008Q4 Q1 Q2 Q3 Q4 Q2 Q3 Q4 Q1 Q2 Q3 Q4Q1

2010 2011 2012Q1 Q2 Q3

V1 : Secured collaboration

V3 Usine Numérique ?

V2 : IAM, PLM V2, SCM V2, CRM V2

V4Planning of entry into services of main on line

services

Pre-project

Montagestructure

PiloteHub

Q1 Q2

2013

Hub Entry In Service

Cumulative revenues including DGE contributionTotal investment costs+ recurringCumulative results

Investment V1 : 25 M€

Foundation (Secured collab, envt Devt/Test) : 9.2 M€PLM : 6.5 M€SCM : 9.3 M€

Investment V2 : 16 M€

PLM : 8.5 M€SCM : 7 M€Budget 2008 :

1 M€

DGE contribution 8.6 M€

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2004 2005 2006 2007 2008 2009 2010 2011 2012

Standards developmentPrime-Tier 1 deployment

Deployment of digital tools in the suppliers

DevtDevt

DevtDevtStandards,Tools, …

Extensions, Tools Extensions, Tools

SCM(BoostAero) PilotsPilots

PLM (SEINE)Security, Quality, CRM, e-administration, …

PilotsPilots PLM SEINE PlatformPLM SEINE Platform

European Aerospace Digital Hub

Standardizationorganization

Experts BoostAeroAssociation

Gouvernance and maintenance of the SCM, PLM, security, CRM standards

Companies, regions Europe

Supplier deployment

e-Aeroe-Aero

Tier 2 - Tier 3Tier 2 - Tier 3

Tier 1 e-business Strategye-business Projects

Tier 1 -Tier 2Tier 1 -Tier 2Prime - Tier 1Prime - Tier 1

Funding Companies

EuropeanEuropean Aerospace Digital Aerospace Digital StrategyStrategy* : * : Standards, Standards, toolstools, collaborative , collaborative platformsplatformsand digital and digital integrationintegration of the of the supplysupply chainchain

* December 6 GIFAS Board presentation

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BoostAeroSpace : Secured collaborative SCM, PLM and CRM HubCollaborative Digital Mockup, Exchanges between heterogeneous PDM, Applications for PME

Mutualized Supplier Portal, logistic applications, secured collaborationMutualized Customer Portal, MRO applications

Exostar : Secured collaborative SCM Hub : 6 customers, 13 000 suppliersMutualized Supplier Portal, logistic applications, secured collaboration

Homogeneity of the PLM environments of

the customers, standards

5% development cost reduction ?

1 % cost reduction ?

20 Prime 20 000 Tier 2 to Tier n200 Tier 1

Goals : "MultiGoals : "Multi--TierTier" PLM and SCM collaboration" PLM and SCM collaboration

Civil and Defence

Customers

EADS

Dassault

Finmeccanica

Boeing

BAE Systems

Safran

Thales

20-30% of the value 70-80% of the value

Latécoère

Lockheed Martin

⇒⇒ StrategicStrategic advantageadvantage, cycles and , cycles and costscosts reductionreduction, , global global visibilityvisibility and and masteringmastering of the of the supplysupply chainchain

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European Aerospace Digital HubEuropean Aerospace Digital Hub

SME SME CollaborativeCollaborative Regional Regional PlatformPlatform

OEM OEM VirtualVirtual PlateauPlateau

BoostAeroSpaceBoostAeroSpace locationslocationsInfrastructureInfrastructure European, national and regionalEuropean, national and regional

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BoostAeroSpaceBoostAeroSpace Secure PrinciplesSecure Principles

In order to create the necessary level of trust between the BoostAeroSpacesubscribers, the Secure Collaboration environment will rely on 4 key business drivers…1. No anonymous connection possible. Strong identification and authentication (role based

access control) are a prerequisite to get access to the collaborative services. Different levels of assurance will allow necessary agility but no exception to the rule.

2. Independence of BoostAeroSpace. This fully enabled legal entity is an industry community service provider with the full capacity of Certification Authority. The protection of the collaborative platform is ensured through a policy management authority and an independent European encryption capability.

3. A&D Service provider to all subscribers. 1. First, to the companies which are willing to install a proprietary infrastructure compliant

with the BoostAeroSpace rules in order to get cross certified. 2. Second, to the Small and Medium Business actors, by providing processes and lean

business practices in order to punctually comply with the collaborative rules (mainly certificates providing services).

4. Services Oriented Architecture (SOA) technical principles. This is the rule to create the technical environment to install interoperability between all subscribers, both within the BoostAerospace realm and concurrently with the other A&D actors following other bridges' rules, i.e. Exostar and any official bridges.

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……which depend on the identity proofing which depend on the identity proofing and on internationally recognized secure and on internationally recognized secure collaborative standardscollaborative standards

Companies depend on the local authorities where business is operated to be provided with the proof of identity for the IT users. The first and final element of truth stands in the capacity to proof that one is the person he or she pretend to be. The company has no legitimacy to control this identity, but it has the responsibility to get equipped with the means to check the validity of this identity. The US regulatory authorities have set the basis for secured collaboration within A&D industry.The Homeland Presidential Directive n°12 (HSPD 12 - FIPS 201), have imposed for all public biddings involving the US government the standards for identity proofing and vetting rules. Boostaerospace is taking into account this standards in order to ensure competitiveness and interoperability.

The European industry needs officially recognized Secure collaboration standards.It is a key decision to establish European collaborative Standards to sustain independence and sound cooperation on the international A&D scene.