Chorus - Thales Reference System February, 2006

1. Chorus - Thales Reference SystemFebruary, 2006

2. Why • Obsolescence of existing Group and Units Reference Systems : • Group transverse improvement initiatives: IS Convergence, Customer Commitment, Bid process improvement… • Group’s changing organisational structure • Need to support the set up of Divisional Management • Need to foster convergence in newly created entities and across Divisions Decision of the Group Operations committee to set up a common Group Reference System : CHORUS

3. Expected benefits • Give a way of doing business that is consistent and that everybody understands • Improve common efficiency • A common way of working across Thales • Facilitated operations between Divisions and Countries • Consistency towards customers and partners • Reduce risks & non quality costs • Facilitate the understanding of rules, methods and best practices • Provide the user with simplified processes for ‘simple activities or programmes’ • Discard obsolete content and suppress redundancies Speed, agility, operational performance

4. Transition to a common reference system : Chorus From 2000 …to 2005 Core Reference System adapted / completed by Divisions A Group baseline Vision Values Rules and Entity baselines supposedly compliant with Group baseline … a common tool accessed via Intranet More than 100 baselines

5. A common process organisation

6. A user-friendly access to the new common Reference System : Group Organisation, Rules, Practices & knowledge … Common elements adapted and completed by Divisions/entities with their local context Pragmatic approach emphasising critical points of the processes Tailored processes according to size & stakes/risks levels Chorus - Key features

7. Architecture of Chorus Reuse of Group Content Level 0 General elements • Vision / Values / Group organisation • Process map • For each process: • Purpose / Key Success Factors / Performance criteria & indicators • Process overview • Respective roles / Key Roles • Directives • Tailoring • Country Specificities • Summary description of activities and reviews Level 1 Key elements for each process Adapt / Expand Group Content • Methodologies • Guides • Models • Forms • Tools • Examples • Methodologies • Guides • Models • Forms • Tools • Examples • Methodologies • Guides • Models • Forms • Tools • Examples Level 2 & below Activities and reviews • For each process: • Detailed description of activities / sub-activities and reviews • Reference practices & tools • Access to knowledge bases

8. ARIS to support Chorus Management Why a tool ? Why ARIS ? Key Features • Guarantee consistency, currency and maintainability of Reference System • Allow modular architecture to fit group organization • Give ability to model processes when needed • Best fit with requirements • Market leader for business process engineering software • Positive feed back from previous users within and outside the Group • Ease of use for process modelling • Ability to manage various instances with a common core • Object based approach facilitating modelling, updates and maintenance • Ability to automatically generate Intranetsite • Part of a “business suite”, ability to link with other applications

9. A drastic simplification: volume divided by 4 Today Tomorrow • More than 100 different Baselines~ 200 000 pages • Of which about 50% (100 000) similar pages • In different process architecture • Various tools • Significant share of obsolete documents • 1 Reference System ~ 1 000 pages40 instantiations ~ 50 000 pages • No duplication (use of unique database) • Single process architecture • Unique tool • Enhanced maintainability Benefits • Reduction of ‘administrative’ work for quality teams allowing them to better focus on customer improvement • Reduction of acquisition & understanding of practices in a context of higher mobility and organizational changes • Reduction of certification costs • Synergies with Internal Control Common core Business Case shows 9 months ROI

10. Chorus – Implementation Master planning 2005 2006 S1 S2 S1 S2 1st Chorus Group Release 1st Chorus Divisional Releases 1st Chorus Entity Releases Deployment complete Initial Content Release 30/06 15/11 27/02 30/04 31/12 Definition of Group Processes – Batch 1 Definition of Group Processes – Batch 2 Definition of Group Processes – Additional deliveries Solution Definition Implementation & Pilot Full features release Operational Coaching (1 coach/Div) ARIS Training (100 p trained) Thales University Training Deployemnt in Divisions / Entities Deployment: 20% done

11. Support provided by Group to secure deployment Operational coaching Training Communication& Tools • Experienced & trained resources • Dedicated resources aimed at actively contributing to delivery of Reference Systems of Division / Entities • Operational assignments : direct integration in local deployment teams • ARIS training • Provided by IDS • Web designer & Toolset • Around 100 staff trained • Processes: Thales University • Toolbox for Key Processes • Specific training courses • E-learning • Upgrade of existing courses • Deployment Seminars • Reference documents • Communication supports • Training material • Guiding Principles… • Tools : • Gap Analysis template • Progress Monitoring dashboard • Good examples…

12. Deployment major learning • Opportunities confirmed by divisions • Give consistency to newly created Divisions and Entities and enlarge Process Convergence between entities (sites, BL’s…) • Clean and update reference documents • Value added by new set of processes that didn’t exist (“Manage Customer Account”, “Capture and develop Opportunities”,…) • Reinforcement of role of process owners, tool to facilitate fulfilment of their missions DEMO

13. Back-up

14. Division XX deployment dashboard