Company profile

Mazda motor corporation Founded january 30, 1920 Head office in hiroshima japan global sales volume 1,3 Million units 2.692 net sales (billion yen)

Main Production facilities

JAPAN: Hiroshima Hofu THAILAND: Pleukdang MEXICO: Salamanca CHINA: Chonqing

MAZDA VISION

■ Vision To create new value, excite and delight our customers through the best automotive products and services. ■ Mission With passion, pride and speed, we actively communicate with our customers to deliver insightful automotive products and services that exceed their expectations.

MAZDA VALUE

■ Value We value integrity, customer focus, creativity, and efficient and nimble actions. We respect highly motivated people and team spirit. We positively support environmental matters, safety and society. Guided by these values, we provide superior rewards to all people associated with Mazda.

1.8 mil.

1.6 mil. 1.3 mil.

Mid-term Ambition 1.7 mil.

TOYOTA

BMW Group MB

Cars

Source: Manufacturer annual reports

9-10 mil.

2014 Global Sales

VW

UNITS

Global 1.293.000

Japan 206.000

N America 391.000

Europe 207.000

CHINA 196.000

other 293.000

2014 mazda Global sales SPLIT

The products

PRODUCT LINE-UP

MAZDa’s philosophy

Tsuneji Matsuda

(1895-1970)

Mazda 787B – 1991 ONLY JAPANESe BRAND TO WIN LEMANS

Challenging Convention…Our History

Challenging Convention…RECENT EXAMPLE

SKYACTIV components

Engine: low fuel consumption and low CO2, combined with greater driving pleasure - compression ratio 14:1 for both diesel/gasoline - improved exhaust system Chassis: lightweight high performance chassis and body ensuring a stable ride -WEIGHT REDUCTION OF 100 KG ON EVERY NEW MODEL TRANSMISSION: lightweight transmissions providing swift shifting response and sports car-like driving pleasure

Mazda motor logistics europe

Mission statement

We’ll deliver vehicles & parts on time, in perfect condition and in a cost-effective manner and provide selected back office services to our customers in line with agreed service levels. We’ll achieve our mission through quality-oriented processes & projects, highly motivated, skilled and trained personnel, excellent application and IT-infrastructure and a flexible organization.

European responsibilities

Vehicle logistics management Parts supply and logistics Information systems and technical development Accounting and treasury purchasing

Key figures

TURNover fy148 (€ 000) 3.049.466 Warehouse surface 50.000 M2 Parts & accessories items in stock 79.833 FIRST FILL RATE 95.7 % UNITS WS VEHICLES 207.000 HEADCOUNT 371 Nationalities 14

Vehicle distribution network

ANTWERP zEEBRUGGE BARCELONA ZARUBINO

parts distribution network

Mle direct to dealer Rdc austria Rdc russia

Challenges within IT/Logistics

- Home grown wms system without transport management module. - Complex logistics inbound: new logistics flow PCC Outbound: direct dealer deliveries - Customer experience: there is a customer behind every parts order. FULl Visibility is needed through the supply chain. - Importance of on-time deliveries:

- Customer loyalty/retention - non-genuine parts threat

Mazda strategy

- mazda HQ acquired oracle licenses:

- Oracle offers global support and flexible solutions to support our challenges

- Mazda wants to Create competence centres (OTM in europe)

- Solution design can be used across the mazda world

Solutions overview + oracle components

- PCC (Parts consolidation centre):

- EBS: order + inventory management - WMS: unloading, staging, loading operations - Otm: transport management, container load plan

- SPE (Service parts export)

- Otm: transport management, settlement, track &

trace - SOA: used for all interfaces

PCC INTEGRATION POINTS

PCC project

- Mazda japan orders parts for production sites in japan/mexico to european suppliers - Mazda europe arranges the pickup at supplier: - Air order: mle arranges pickup at supplier and sends the goods by air to japan via the nearest airport - sea order: mle arranges pickup at supplier, consolidates the goods in Willebroek and ships them weekly per container to japan/mexico - Project was implemented end 2013

PCC lessons learned

- Choice of oracle partner is very important

- Availability of resources:

- Business owner: needs sufficient free time, not possible to take this on top of daily job

- Testing: sufficient time needs to made available for people to test

- Waterfall project:

- Final solution did not always meet original

business requirements

SPE PROJECT

The goal is to implement an efficient and effective transportation management solution that provides transparency, visibility and accurate calculations as well as decision making for the optimal logistic solution for transporting goods across the MLE network.

AGILE APPROACH

MLE INTEGRATION ARCHITECTURE

SPE INTEGRATION POINTS

SPE FLOW

4. Confirm

Resources

Carrier

1. SO/VOR Orders

Dealer/RDC

3. Secure

Resources

c

13. Self Billing

review

OTM

7. Confirm Load

MLE

2. Pick Order Lines

9. Proof of

collection

5. Dock Door

Scheduling

10. Proof of

arrival

9a.

Transport

Status

8. Transport

Documents

MLE

11. Approve

Costs

12. Financials

14. Self Billing

MLE 6. Close Case

= Carrier portal

= OTM UI plus

= P&A interface

= SAP interface

Solution OVERview - release 1 (PLANNING)

Planning and Actuals

Dealer / RDC Warehouse Transport Carrier

LPN

Shipping

Mark

Process Cut-

off

Secure

Resources

Confirm

Resources

Confirm

Loads by

W number

Ordering

Transport

Planning

Dock

Door

Planning

Order

Management

Load Confirm

In Progress

New Ship

Unit

Confirm Load

Close Case

Order Management

P&A

OTM

Key

SAP

DIGIC

MR

Interface

1

2

4

Transport Planning

Secure Resources

Dock Door Planning

Shipment Id

3

Load Confirm

CompleteFinal Load

OTHER

MAIN DELIVERABLES- release 1 (PLANNING)

OTM

1.Order Management:

• Planning Orders: insert/update/delete OR/OM via

interface from P&A

• Cargo Ready: insert/delete OR/OM via interface

from P&A

• Manual orders

2.Transportation Planning

• Static Shipments

• Ad-Hoc Shipments

3.Transportation Booking

• Tendering

• Spot Bid

4.Dock Door Planning

5.Confirm Load: update shipments actuals from P&A

6.Rates management via eVolv Data Loader

7.Hazardous materials + items managed with eVolv

Data Loader

SOA

1.P&A-OTM Planning Orders

(insert/update/delete

OR/OM)

2.P&A-OTM Cargo Ready

(insert/update/delete

OR/OM)

3.OTM-P&A Shipment ID

4.P&A-OTM Load Confirm

5.OTM-P&A

Acknowledgement

Solution OVERview - release 2 (execution & settlement)

MAIN DELIVERABLES- release 2 (execution & settlement)

OTM

1.Next Leg

• Create OM from Load Confirm

• Rates Management

• Create Shipment

2.Transportation Documents

• CMR (interface)

• Hazmat Truck

• Hazmat Ferry

• Shipping Instructions

3.Tracking Events

4.Transport Settlement (AP)

• Self Billing

• Invoicing

• Assign GL Codes

• Calculate VAT

5.Intercompany Recharge (AR)

SOA

1.OTM-OTM Next Leg Cargo Ready

2.OTM-DigiCMR

3.OTM-Sundry Self Billing Invoice

4.OTM-SAP GL Voucher

5.OTM-Sundry Intercompany Recharge

6.EMAIL-OTM Tracking Events

Spe project status

- release 1 delivered: go live mid january 2015

- Release 2 ongoing

- Original Project timing is still valid

- Project budget: currently slightly under budget

- Full solution foreseen to be completed by mid may 2015

Spe project lessons learned

- Good cooperation between IT/Business/mavenwire has positive impact on the final solution. Having a fixed project team on site is very important

- Agile approach: - Building the solution already starts in an

early phase of the project - Impediments/issues are raised at a very early

stage due to the daily scrums

- Avoid over-customisation: - Requires flexibility from business to do things

differently - Requires a partner with good knowledge of

standard otm functionality

Spe project lessons learned

- Sufficient manpower is needed for testing and project follow-up both on business side as on iT side. Managing a project on top of your daily business is tough.

Spe project benefits

- Transport optimisation

- Next to the working solution we have created a platform for further growth

- Reduced manual effort: this manpower will be used to strenghten our customer focus and follow-up

- It only has to support one system instead of multiple applications

- Sourcing option due to historical data

- Setup is future proof due to the use of SOA

Next steps

- Look into further use of the oracle system within mle (WMS)

- Use the competence centres experience to further roll-out oracle within mazda