Corporate Purchasing Evaluation et qualification des fournisseurs chez Thales Alain MONJAUX, Directeur de la Relation Fournisseurs Direction des Achats

Cor

p ora

te P

urch

asin

g

Evaluation et qualification des fournisseurs chez Thales

Alain MONJAUX, Directeur de la Relation FournisseursDirection des Achats Groupe

2

Ala

i n M

onja

ux- G

roup

Pur

c has

ing-

Clu

b Ir

i s-

2 6/0

1/20

11

Sommaire

•L’organisation et les enjeux achats

•La stratégie d’évaluation et de qualification des fournisseurs

•Les méthodes/outils mis en oeuvre

•Le “master data” associé au management du panel de fournisseurs

3

Ala

i n M

onja

ux- G

roup

Pur

c has

ing-

Clu

b Ir

i s-

2 6/0

1/20

11

Purchasing - Organisation Chart

3

Group Purchasing

C.Brabec-Lagrange

E.Harle (S1)

Y.Serre (S1)

P.Neel (S2-S8)Thales Corporate Services FR

Thales Corp UK

P.Lacroux – D.Talwar – KK NGIPOs

COUNTRIES

UK

P.Garnero

Germany

J.Stauss

NL

TBD

Australia

D.Hodkinson

A.Monjaux

P.Quesnel

P.Petit-Belleville

C.Brombeck

C.Carver

I.Centofanti

FONCTIONS

C.Victor

F.Levron

F.Monira

I.Quettier

TCF, TS, T3S ,…

TAV,TED,TXL, TSA, TUS,TMI……

TR6, TOSA, TDA, TRS, …

A.Musazzi

FRENCH ENTITIES

S4 (HW Dev-Manuf-Integration)

S5 (Components)

Suppliers Relationship Mgt

S1 (General Purchases)

S2 (SW Licences)

S3 (Equipments & Systems)

S6 (Systems & SW Engineering)

S7 (Support services)

S8 (Installations & Civil Works)

Thales Alenia Space

SEGMENTS (STRATEGIES)

Process, Methods & Tools

International

4

Ala

i n M

onja

ux- G

roup

Pur

c has

ing-

Clu

b Ir

i s-

2 6/0

1/20

11

Purchasing Segmentation PURCHASING SEGMENTS

PURCHASING FAMILIES

SYSTEM ENGINEERING & PROJECT MANAGEMENT

SW DEVELOPMENT

TEST SYSTEMS & SERVICES

LOGISTIC SUPPORT ANALYSIS

TECHNICAL DOCUMENTATION

CUSTOMERS TRAINING

CUSTOMERS MAINTENANCE & REPAIRS

INSTALLATIONS

CIVIL ENGINEERING AND WORKS

S8INSTALLATIONS & CIVIL WORKS

S6

SY

ST

EM

& S

W

EN

GIN

EE

RIN

G

S7

SU

PP

OR

T S

ER

VIC

ES

PURCHASING SEGMENTS

PURCHASING FAMILIES

MECHANICAL PARTS

MECHANICAL ASSEMBLY & INTEGRATION

MECHANICAL COMMODITIES &

C CLASS

PCB

PCBA & HOUSING INTEGRATION

MICROWAVE MANUFACTURING &

INTEGRATION (DESIGN included)

INTERCONNECTION

CABINETS & RACKS INTEGRATION

ELECTRONIC

MICROWAVES & RF

S5COMPONENTS

S4

HW

D

EV

EL

OP

ME

NT,

MA

NU

FAC

TU

RIN

G &

INT

EG

RA

TIO

N

5

Ala

i n M

onja

ux- G

roup

Pur

c has

ing-

Clu

b Ir

i s-

2 6/0

1/20

11

Thales Value ChainSYSTEMS

EQUIPMENTS

SERVICES

SU

PP

LIE

RS

&

SU

B-C

ON

TR

AC

TO

RS

External Internal

CU

ST

OM

ER

S

Purchasing Volume 2009Purchasing Volume 2009 # 6 G€# 6 G€

# 50% of Turn-Over

15 000 Suppliers

More than 20 countries

Win Bid

Manage Programme

Develop

Source, Make and Deliver

Provide Support and Service

BidNo Bid

EffectiveContract

Bid Reviews

Contractsigned

Bidapproval

Suppliers highly contribute

to the Value of Solutions

to Thales Customers

6

Ala

i n M

onja

ux- G

roup

Pur

c has

ing-

Clu

b Ir

i s-

2 6/0

1/20

11

A Panel of Strategic Suppliers delivering good performance & capable of offering Low Cost content

Working with SME as providers of Technology & Innovation

An absolute need for improved competitiveness (> 20% for certain Business segments)

Local Content to be seen as a Sourcing opportunity in India, China , Brazil... Where business opportunities exist

A 1300 Buyers organised by Segment and involved in Bid / Programs and Product Policy

A Group referential of Purchasing process & Practices integrated with the other main processes

The impacts on Purchasing

The opportunities

7

Ala

i n M

onja

ux- G

roup

Pur

c has

ing-

Clu

b Ir

i s-

2 6/0

1/20

11

1. Move up the Purchasing Value Chain by involving Buyers as well as Suppliers in our BIDs in order to secure our Solutions & manage Risks at early stage

2. Capture Innovation from the external Market (incl SMEs); improve Practices in Supplier involvement at conception stage

3. Develop competitive Sourcing outside our boundaries, thus leveraging Thales multi-domestic presence in China, India, Asia …

4. Leverage Thales Buying Power by pooling volumes for common Purchases & by aligning purchasing Policies with common Suppliers

5. Improve relationships with our Suppliers in order to strive continuous Performance & Lean end to end processes

6. Boost (web) tools to foster the process flows & reduce non value added tasks for the Purchasing people

7. Raise Purchasing skills & develop leaders capable of leading Sourcing Strategy & Risk Management within Bid & Programs

Purchasing - Key Strategies

8

Ala

i n M

onja

ux- G

roup

Pur

c has

ing-

Clu

b Ir

i s-

2 6/0

1/20

11

Preferred SuppliersPreferred Suppliers

Active SuppliersSuppliers

No New BusinessNo New Business

To be disengagedTo be disengaged

StrategicStrategic

Challengers

Thales Supplier Management

Improve relationships towards a higher Performance

SRM

Appoint S. Account Managers SAM

Strategic Business Review SBR

Relationship measurement questionnaire : supplier feedback

Map Strategies - Opportunities for collaborations (Offset, engineering ..)-

Competitiveness - Corporate Responsibility

Strategic / TargetPerforming Suppliers with proven track record –established ContractsBring innovation – Technology leaderGlobal or Regional scopeImpact on our cost competitivenessMutual interest to grow Include all Targets (= Preferred)

2%

From outside

SPM

Measure On Time Delivery On Conformity –

Review performance against targets - Set-up action plans

Collaborative approach in daily Operations

ChallengerAttractive supplier with good performance Potential to become a future S/T supplier if continuous improvement.

SD (Development)Diagnosis of Supplier

processes & interfaces

Commitment to improve performance on both sides

Apply root cause, 5S, 8D, Lean approach

<1000

9

Ala

i n M

onja

ux- G

roup

Pur

c has

ing-

Clu

b Ir

i s-

2 6/0

1/20

11

Sommaire





10

Ala

i n M

onja

ux- G

roup

Pur

c has

ing-

Clu

b Ir

i s-

2 6/0

1/20

11CHORUS 2.0 : Head Process map

10

Manage Bids & Projects

Design, Develop and Qualify the solution

Source and Make *

Prepare and Deliver Customer Service

Support operational processes

Govern & Organize

Cu

sto

mer

an

d f

inal

use

r n

eed

s

Cu

stom

er and

final u

ser satisfactio

n

Define the strategy

Manageand Control

Manage Competences

Continuous Improvement

Level 0 - 9 ProcessesLevel 0 - 9 Processes

7.1 – Manage Acquisition 7.1 – Manage Acquisition and Offsetsand Offsets7.2 - Procure, Make & Deliver

11

Ala

i n M

onja

ux- G

roup

Pur

c has

ing-

Clu

b Ir

i s-

2 6/0

1/20

11

CHORUS 2.0 acquisition process overview

ACQUISITION PROCESS

SUPPLIER ASSESSMENT & QUALIFICATION

SUPPLIER PERFORMANCES

Deployment Acquisition strategy for all purchases (segment incl. Gexp, product , bid, project ,.)

Deployment Acquisition strategy for all purchases (segment incl. Gexp, product , bid, project ,.)

Purchasing Contract assessment

(PVet 5)

Upstream phaseUpstream phase Contractual phaseContractual phase

Purchasing contract Kick-off(PVet 4)

Strategy setting(PVet 1)

Short list & Nego strategy(PVet 2)

Contract approval(PVet 3)

Quality & Purchasing in close relationship to improve supplier quality assurance & performances challenges

12

Ala

i n M

onja

ux- G

roup

Pur

c has

ing-

Clu

b Ir

i s-

2 6/0

1/20

11

Supplier assessment & qualification process

1 This document is the intellectual property of the Thales Group and may not be reproduced or communicated without Thales' express written permission.

V4-3– 1/10/2010 ASSESS AND QUALIFY SUPPLIERS ANDASSESS AND QUALIFY SUPPLIERS AND

MANAGE THEIR PERFORMANCE MANAGE THEIR PERFORMANCE

THALSIS

33

Assess suppliers:identify structural risks

Approve the introduction of a supplier into the supplier

portfolio

11

Pre-assessment pack

Audit summary file (list of structural risks)

Buyer REQUESTER / ATS AQM BUSINESS UNIT

THALSIS

THALSIS

Buyer REQUESTER / ATS AQM

Buyer

•PPurchasing and Corporate Responsibility Chart•pPre-assessment questionnaires

Qualify the purchased product / supplier pair

44

55

AQM Buyer REQUESTER / ATS

Report on acceptance of testorder

List of suppliers whoseperformance is being

monitored

Guide to conducting audits

Pre-assess potential suppliers

22

Measure operationalperformance with the

suppliers

Improve the supplier's(operational and competitive)

performance

Review summary with supplier

Buyer AQM

Buyer AQM

66

Operational performance consolidation

UP

ST

RE

AM

UP

ST

RE

AM

DO

WN

ST

RE

AM

DO

WN

ST

RE

AM

THALSIS

THALSIS

Instruction N°5 : Suppliers' operational performance

Processus under Buyer’s responsibility with a strong support of Assurance Quality Manager (team approach)

Qualification of “purchased product / supplier “ is the result of acceptance procedure phase to be validated by AQM

A single process at Group level Mutualise supplier assessment results

Explore opportunities for sharing audit resources

13

Ala

i n M

onja

ux- G

roup

Pur

c has

ing-

Clu

b Ir

i s-

2 6/0

1/20

11

Sommaire





14

Ala

i n M

onja

ux- G

roup

Pur

c has

ing-

Clu

b Ir

i s-

2 6/0

1/20

11Pre-assessment detailed phases & associated questionnaires (step 1)

SOURCING 1st list of suppliers

Selected suppliers listACTIVITIES

•General information

•Supplier Corporate Responsibility

•Techno

+Financial rating

•Maturity self assessment

•Techno(detailed means)

PACK 1 PACK 2

RFI

(PVet 1)

ONLY 1 PACK, if relevant

Non Technical aspects

Pre-assessment = Self-assessment

Technical aspects

Financial aspects

Ethics & Corp. Resp.

15

Ala

i n M

onja

ux- G

roup

Pur

c has

ing-

Clu

b Ir

i s-

2 6/0

1/20

11

General information questionnaire content

Activités principales / Core business

Forme juridique et actionnariat / Legal status & main shareholders

Principaux managers & effectif / Management & Staff

Principales implantations / Main plants

Paramètres économiques et financiers / Economical & Financial parameters

Répartition de l’activité par domaine / Main activities

Références Clients / Customer references

Principaux produits et réalisations / Main products & realizations

Certifications qualité / Quality certificates

16

Ala

i n M

onja

ux- G

roup

Pur

c has

ing-

Clu

b Ir

i s-

2 6/0

1/20

11

Maturity self assessment questionnaire content o Management du Système qualité et de la satisfaction de ses Clients,

Quality management system and Customers satisfaction

o Management de projets et des risquesProjects & risks management

o Gestion des compétences et des ressources humainesHuman resources & skills management

o Maîtrise des phases de conception et développement, s’il y a lieu,Design & development phases maturity, if relevant

o Maîtrise des achats,Purchasing maturity

o Maturité environnementaleEnvironmental maturity

o Maîtrise du processus produit, s’il y a lieu Product process maturity, if relevant

17

Ala

i n M

onja

ux- G

roup

Pur

c has

ing-

Clu

b Ir

i s-

2 6/0

1/20

11

Supplier Corporate ResponsibilitySigned by THALES the 3rd June 2003

Human Rights• Principle 1: Businesses should support and respect the protection of internationally

proclaimed human rights; and• Principle 2: make sure that they are not complicit in human rights abuses.

Labour Standards• Principle 3: Businesses should uphold the freedom of association and the effective

recognition of the right to collective bargaining;• Principle 4: the elimination of all forms of forced and compulsory labour;• Principle 5: the effective abolition of child labour; and• Principle 6: the elimination of discrimination in respect of employment and

occupation.

Environment• Principle 7: Businesses should support a precautionary approach to environmental

challenges;• Principle 8: undertake initiatives to promote greater environmental responsibility;

and• Principle 9: encourage the development and diffusion of environmentally friendly

technologies.

Anti-Corruption• Principle 10: Businesses should work against corruption in all its forms, including

extortion and bribery.

18

Ala

i n M

onja

ux- G

roup

Pur

c has

ing-

Clu

b Ir

i s-

2 6/0

1/20

11

Technical questionnaires overview for pre- assessment phase

Subjects

Mechanical parts & Integration

Electronic PCA , built box integration & equipped cables

Installation

Civil Works & Construction

Customer support services

HW Engineering

SW Engineering

Programme Management

Local logistic support

Extract

19

Ala

i n M

onja

ux- G

roup

Pur

c has

ing-

Clu

b Ir

i s-

2 6/0

1/20

11

Assessment & qualification detailed phases (step 2)

RFP Offer analysis

Short list Final list

(Pvet 2)

Final negotiation

(Pvet 3)

product/supplier (or techno/supplier )

Qualification

AUDITS*TEST

PURCHASE ORDER

STRUCTURAL RISKS

THALSIS REGISTERED

FINANCIAL ASSESSMENT

+

*Non Technical + Technical

20

Ala

i n M

onja

ux- G

roup

Pur

c has

ing-

Clu

b Ir

i s-

2 6/0

1/20

11

Thèmes d’audits non techniques Système de Management par la Qualité et de l'amélioration continue

Maturité industrielle et de la supply chain (y.c. les capacités programmatiques et gestion de projet ainsi que le management de

leurs propres fournisseurs)

Maturité de l'organisation et du processus d'ingénierie & développement

(y.c. les capacités de R&D et la maturité technique, ainsi que le système de gestion de configuration)

Politique et Performance achats

Système de Management environnemental (y.c. l'application des règlements relatifs à REACH, WEEE, ROHs,…)

Système de contrôle des exportations

Système de gestion des compétences et des ressources humaines

21

Ala

i n M

onja

ux- G

roup

Pur

c has

ing-

Clu

b Ir

i s-

2 6/0

1/20

11

Thèmes d’audits techniques

MAITRISE DES PROCEDES , DES TECHNOLOGIES et VERIFICATION DES MOYENS/COMPETENCES

Les thèmes concernés sont directement issus de la segmentation achats et des familles et “commodités” associées

22

Ala

i n M

onja

ux- G

roup

Pur

c has

ing-

Clu

b Ir

i s-

2 6/0

1/20

11

Règles d’évaluation et de qualification des fournisseurs

Un fournisseur qui ne s’engage pas à signer formellement la Charte Achats et de Responsabilité d’Entreprise ne doit pas être retenu dans la liste des fournisseurs potentiels.

L’audit est réalisé pour le(s) site(s) concerné(s) du fournisseur.

La décision de ne pas conduire un audit est du ressort de la Qualité, en liaison avec l’Acheteur (cf conditions permettant de s’affranchir d’un audit : Ex sur le management du système qualité si le fournisseur présente une certification officielle ISO 9001, EN 9100 ou AQAP 2110,..).

Si un dossier complet d’audit mené par un tiers chez le fournisseur sur un thème à auditer est présenté par ce fournisseur, il est laissé à l’appréciation de la qualité de considérer cet audit comme représentatif.

Un fournisseur qualifié pour une ou des technologies par une Société du Groupe est réputé qualifié pour toutes les autres sociétés sauf cas particulier d’exigences spécifiques nouvelles pour lesquelles un complément d’audit éventuel doit être effectué.

Un fournisseur qualifié pour une technologie donnée n’est pas a priori qualifié pour d’autres technologies.

23

Ala

i n M

onja

ux- G

roup

Pur

c has

ing-

Clu

b Ir

i s-

2 6/0

1/20

11

Revue des résultats du fournisseur

ACQUISITION PROCESS

Purchasing Contract assessment

(PVet 5)

Upstream phaseUpstream phase Contractual phaseContractual phase

Purchasing contract Kick-off(PVet 4)

Strategy setting(PVet 1)

Short list & Nego strategy(PVet 2)

Contract approval(PVet 3)

• Pendant l’exécution du contrat d’achat, l’acheteur organise un bilan de l’acceptation des fournitures et des résultats du fournisseur dans l’exécution de ce contrat d’achat.

• Le demandeur, le Responsable Technique de l'acquisition, le Responsable Assurance qualité et tout métier concerné contribuent à ce bilan.

• Ce bilan de résultats fait l’objet d’une information partagée ou d’une revue formelle avec le fournisseur (Pvet 5) avant la date prévue de terminaison du contrat d’achat.

• Le compte-rendu de cette revue est un enregistrement formel archivé par l’acheteur

• Il permet de mettre à jour les données de performances opérationnelles globales et d’évaluation du fournisseur.

24

Ala

i n M

onja

ux- G

roup

Pur

c has

ing-

Clu

b Ir

i s-

2 6/0

1/20

11

Define a multi year Purchasing Strategy

PURCHASE VET (PV)PV Gate 1

PurchasingContractSigned

Phase 1

Requirements

Define an adapted Sourcing Strategy

Consult & Pre-Select

Suppliers

Negotiate , Select

and Contract

Assess Suppliers

Phase 2

Manage & Improve Suppliers Performance

Supplier Perf. Reviews

PurchasingContract

Review (*)

PurchaseOrder

SupplyReceipt

Supplier InvoicePayment

P.O. R PCR

Procure

SBP1&2



12

3

Re- Assess Suppliers

5

6

Environment aspects : At each stage of the PROCESS we must ensure our Suppliers understand & comply with our Standards

Elaborate specificationsIntegrate Environment requirements

Source Suppliers

RFI incl Charter & Questionnaire

Audit Supplier SitesCheck Supplier practices /Environment

4

Select Suppliers Value Envir. : 5% weight

Evaluate risks

Audit Supplier SitesMeasure progress

Introduce Environment ClausesAudit - Damages for default - Annex the Charter…

Business reviews Share Improvement plans - set targets

25

Ala

i n M

onja

ux- G

roup

Pur

c has

ing-

Clu

b Ir

i s-

2 6/0

1/20

11

Sommaire





26

Ala

i n M

onja

ux- G

roup

Pur

c has

ing-

Clu

b Ir

i s-

2 6/0

1/20

11 From Purchasing Family Managers

•Definition of segment/families

•Definition of commodity codes & associated technology

•Definition of strategic suppliers

•Definition of target suppliers

•Definition of critical suppliers

Units/families data

• Introduction of new assessed & qualified suppliers(under Purchasing family Responsibility)

• Quarterly Commitmentsby Purchasing commodity codes

• Suppliers quality data SCR commitment

Quality certificates Audit summary files

Structural risk list Operational Perf.

Financial rating….

SBR pres. & reports

Input

ThalSISSupplier status

• Strategic • Target• CriticalVolumes View

• by segment/family• by unit• by country/legal entity• by supplier• by currency• by technology • …..

Assessment View

• Quality Reports• Financial Reports• Operational perf

consolidation• Commitment rate….

Sharing

ThalSIS Overview : Suppliers portfolio master data management

Thalsis managed by a dedicated team with Service Level Agreement (SLA)

Documents

Corporate Purchasing Evaluation et qualification des fournisseurs chez Thales Alain MONJAUX, Directeur de la Relation Fournisseurs Direction des Achats