Procter & Gamble Jim Sexton Section Head Family Care Construction Management October 6, 2016

About Procter & Gamble...

$65B Net Sales

70 Countries of Operations

21 Billion Dollar

Brands

180 Countries Where Our Brands are

Sold

32 Leadership

Brands

This document contains proprietary, confidential and copyrighted materials of The Procter & Gamble Company (P&G).

Baby, Feminine, and Family Care Fabric and Home Care

Beauty Health and Grooming

Industry-Based Sectors

Copyright 2015 Procter & Gamble (Unpublished). All rights reserved.

Six Selling and Marketing Operations

40% of net sales

NORTH AMERICA

10% of net sales

LATIN AMERICA 8% of net sales

INDIA, MIDDLE EAST, AND AFRICA (IMEA)

8% of net sales

ASIA PACIFIC

8% of net sales

GREATER CHINA

26% of net sales EUROPE

Copyright 2015 Procter & Gamble (Unpublished). All rights reserved.

About P&G Supply Chain

>130 Plants

40 Customization

Centers

>65K Employees

1.5B Truck

km’s/year

250 Shipping Locations

>60K External Partners

About Our Supply Chain...

About P&G Construction Types of Projects - Production Facilities - Distribution Centers - Tech Centers/Offices - Chemical processing - Packing and Converting lines - Precision Assembly and Molding - Robotics and Automation - Regulated/cGMP facilities - R&E and Savings Projects - Utility systems/CoGen

Copyright 2015 Procter & Gamble (Unpublished). All rights reserved.

Turkey O

hio, USA

Japan

~4% of NOS

$1.5B Construction

Controlled Spending

~13,000 construction

workers on site

0.22 Construction

TIR

~27MM effort hours

per year

Copyright 2013 Procter & Gamble (Unpublished). All rights reserved.

What is it? The adaption of Lean principles & practices to project delivery

Size of Opportunity 15% lower cost & 30% faster schedules by focusing on value, waste, and flow

Lean IPD

What we’re already doing to support Lean IPD

1. Strategic Partners2. Standardization (PLCM)3. Modularization 4. Continuous Improvement5. Digital Technologies (BIM, 4D)6. Lean Manufacturing (IWS)

What we need to do to fully leverage Lean IPD

1. Conditions of Satisfaction 2. Collaborative Design Sessions 3. Target Value Design 4. The Big Room5. Last Planner System 6. Incentive-Based Contracts

What we’re already doing to support Lean IPD

Strategic Partners

Standardization (PLCM)

Modularization

Continuous Improvement

Digital Technologies (BIM, 4D)

Lean Manufacturing (IWS)

Already doing a lot of things that support Lean IPD.

1

What we need to do to fully leverage Lean IPD

Conditions of Satisfaction

Collaborative Design Sessions

Target Value Design

The Big Room

Last Planner System

Incentive-Based Contracts

What is it? • BIM, 4D/5D/6D, Laser Scanning, Animated Work

Instructions, etc.

Leverage Digital Tools

Lea

Note: Lean IPD provides environment to maximize ROI on Digital Tools

Leverage Modularization • What is it? Types of Modularization

(PPMSOF) • Pre-fabrication • Pre-assembly • Module • Skid • Off site Fabrication

• Size of Opportunity/Benefits • $$$$ • Takes hours off the site = > Safety,

Quality, Speed • 1 hour off site – 4 hours on site

Modular Installation

Help we Need • Innovation

• Partnership → Together We Are Better

• Safety

• Quality

• Cost

• Speed

• Capability Where We Need It

• Make Construction “COOL” Again

Procter & GambleSlide Number 2Industry-Based SectorsSix Selling and Marketing OperationsAbout P&G Supply ChainAbout P&G ConstructionSlide Number 7Slide Number 8Leverage Modularization�Modular InstallationHelp we Need