2011 ACE Guide

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ACE 2011 Program GuideDemonstrating Automation & Control Excellence

IntroductionACE Program Guide

Dear ACE Distributor,

I hope you will agree that 2010 has been an exciting year for our Automation & Control Excellence program. In July, we

launched a completely refreshed version of our ACE program to our top Automation and Control distributors.

We achieved many new "rsts for our Industry Channel partners over the past six months, including setting record attendance

at ACE University, hosting our "rst two Industry Management Forums and our "rst three ACE Expo customer fairs, launching a

number of joint sales and marketing campaigns to help with your demand generation process, distributing cooperative market

development funds for re-investment in your Automation and Control business and providing the exact same solution selling

training and tools that we have provided to our own Industry sales force.

We also made signi"cant revisions to existing ACE program bene"ts such as the competency management tools, software

bundle, scorecard reporting, and the Automation Through Stock Rebate program.

As we move into 2011, we look forward to continuing to increase the differentiating bene"ts available to our ACE distributors

through the introduction of the ACE Opportunity Registration Process, the Solutions Business Process Support tools and

awarding our very "rst ACE Distributor of the Year honors in each of the ACE program tiers.

In addition, we will be launching a multi-faceted ACE Awareness campaign to your end-users and OEM customers to help

them understand why you are the best positioned Schneider Electric distributor to meet their requirements for Inventory and

Delivery, Technical Competence and Market Knowledge.

As momentum builds behind the latest evolution of our ACE program, it is imperative that you take full advantage of the

bene"ts and activities available to you as an Automation & Control Excellence distributor. In this program guide, you will "nd

the latest information about the program, including updated bene"ts, eligibility requirements, program policies and a number

of tools to assist in developing your Automation and Control business.

If you have any questions about the program, please do not hesitate to contact the ACE program manager, W. Jarrett Campbell,

or me personally.

We look forward to our mutual success.

Sincerely,

Jeff Jervah

Industry Business, Channel and Web Director

ACE 2011 Program Guide I 3

4 I ACE 2011 Program Guide

Program Mission .......................................................................... 6

Understanding the Needs of Our Customers .................................................... 6

Understanding the Needs of Our Distributors ................................................... 7

Program Structure ...................................................................... 8

ACE Product List .............................................................................................. 9

Program Benefits and Activities ............................................12

ACE Competency Management Tools ............................................................ 12

ACE Communication Tools ............................................................................. 13

ACE Scorecard............................................................................................... 13

ACE Channel Campaigns ............................................................................... 14

ACE Dollars .................................................................................................... 16

ACE Distributor of the Year Awards ................................................................ 20

ACE Industry Management Forum .................................................................. 21

ACE Expo....................................................................................................... 21

ACE University ................................................................................................ 22

ACE Automation Through Stock Rebate (ATS-R) ............................................ 22

ACE Distributor Demo Equipment .................................................................. 23

ACE Software & Support Package ................................................................. 25

ACE Opportunity Registration ......................................................................... 26

ACE Solution Business Process Support and Training .................................... 27

Program Eligibility ....................................................................28

Sales Requirements........................................................................................ 28

Training Requirements .................................................................................... 29

Minimum Performance Score ......................................................................... 29

Contact ........................................................................................ 30

Table of Contents


Program Mission

The mission of the Automation & Control Excellence (ACE) program is to create a local network of resellers and

solutions providers who share the key values of Schneider Electric, and help these distributors become trusted

advisors for their end-user and OEM customers so they are viewed as the preferred source for automation and

control products and solutions.

Shared Values of Schneider Electric and ACE Distributors

Passionate Open Straightforward Effective

Passionate about the automation and control business.

Open to new possibilities for solving their customers’ problems.

Straightforward in their approach to dealing with customers and with Schneider Electric.

Effective at leveraging the bene"ts and activities of the ACE program to drive results in their automation and control business.

Table 1: Shared values of Schneider Electric and ACE distributors

Schneider Electric’s intent is to develop automation and control excellence as close to our customers as

possible. Therefore, local branches of our distributors must qualify for ACE eligibility on an individual basis.

The foundation of the ACE program is built upon six pillars that our in-depth market research identi"ed as

most valued by our customers and distributors, including:

Inventory availability and delivery capability to the customer

Technical competence to support the customer

Market knowledge of the customer’s business

Market differentiation of the distributor

Assistance in the distributor’s demand generation activities

Assurance of the distributor’s return on investment in the automation and control business

Understanding the Needs of Our Customers

Schneider Electric solicited input from our customers directly on their needs as it relates to the support

provided by an electrical distributor of automation and control products.

A Voice of Customer study was conducted with both OEMs and end-users. The major conclusions from

the Voice of Customer study were:

1. In areas where these customers had the support of a strong Automation & Control Excellence (ACE)

distributor, the customers generally looked upon their distributor as a trusted advisor to their business.

2. Customers provided a consensus opinion that the three most important services a distributor provides

to their business around automation and control are:

Inventory and timely delivery of parts

Technical competence on the products and applications of interest

Market knowledge and insight about the customer’s business and industry

3. Customers told Schneider Electric that they equally value the local support provided by a distributor,

alongside the global support a manufacturer like Schneider Electric is capable of providing.


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Understanding the Needs of Our Distributors

Schneider Electric continuously solicits input from existing ACE members about their opinions of the current

program and what could be improved or modi"ed on an annual basis.

Distributors participating in the ACE program identi"ed three key areas that the program must address

to be successful:

1. Provide the distributor differentiation in the market place from their competitors, as well as their fellow

Schneider Electric distributors.

2. Assist the distributor in their demand generation process through a combination of marketing materials,

advertising, leads and sales technical support.

3. Ensure the distributor receives return on investment for the commitment they are making in highly technical

sales and application resources and the long lead time it takes to capture automation and control business.


Program Structure

To address the variations in distributor business models and focus, the original ACE program has now evolved

into a multi-tiered program that allows Schneider Electric to target activities and bene"ts at speci"c distributors

while rewarding their performance in their focused business area.

Solution Specialists

Automation Specialists

Control Specialists

General Line Distributors

Benefits Based on Performance in Three Areas

ACE Distributor Program

Figure 1: Three tiers of the ACE program

Members of the three tiers of the ACE program are typically characterized by:

Control specialist

Focuses on selling industrial control products. Control Specialist distributors generally stock industrial control

products in a ratio of approximately 4:1 when compared to General Line distributors. An ACE control specialist

is responsible for maintaining both inside and outside sales staff who can consultatively assist industrial

control customers in the selection and purchase of appropriate control devices. Control products include

Schneider Electric products in the following categories:

Control and signaling

Sensors

Contactors

Automation specialist

Focuses on selling automation products and is staffed with the technical specialists to support automation

products. Automation Specialist distributors generally stock industrial automation products in a ratio of

approximately 10:1 when compared to general line distributors. An ACE Automation Specialist is responsible

for maintaining both inside and outside sales staff, as well as product application engineering staff, who

can consultatively assist industrial automation customers in the selection, purchase, startup and

commissioning of integrated automation systems. Automation products include Schneider Electric

products in the following categories:

Human machine interfaces

Motion control

High-end control and PLCs

OEM safety and controllers

Speed drive systems

Variable speed drives


Solution specialist

Demonstrates competency as an automation specialist and adds the necessary technical resources to provide

customers with value-added co-engineering and co-design assistance, as well as turnkey services such as

system integration, control panel building and project management. Solutions include Schneider Electric

offerings in the following categories:

End-user Level 2 solutions

OEM Level 2 solutions

Industry Level 3 solutions

Industry services

A distributor may be a member of one or more tiers of the ACE program simultaneously.

ACE Product List

The products of the ACE program fall into two categories: Control and Automation. Depending on the level of

your company in the program, your sales of these core products are used as one measure of your performance

throughout the year.

The list below represents the major product families of each group and new products are added to these

ranges as they become available.

Control

Contactors & Starters

Power Supplies

Terminal Blocks

Electronic Sensors

Push Buttons

Tower Lights & Beacons

Limit Switches

Relays & Timers

Automation

AC Drives, Engineered Drives & Soft Starts

Motion Control

Software

Repair & Exchange Services

Human Machine Interfaces

PLCs

Distributed I/O and Interfaces

Application Engineering

Machine Safety

SCADA

Networks and Communications

Table 2: 2011 ACE product list

Learn more about recently available new products

Keeping up-to-date with all the new products from Schneider Electric is never easy. Fortunately, you have a

resource in the new Channel Guide website (www.schneiderelectricchannelguide.com) to "nd information on

new products released, as well as access to information on future products.



Program Structure

Below are a few of the truly innovative new products introduced in 2010.

The Magelis® STU HMI

With its one-of-a-kind design that easily mounts, without tools, directly onto your control panel through a

standard 22 mm push button opening, the Magelis STU HMI gives you a crystal clear display and control

of all that is happening within your control panel – without even opening the door.

The Altistart™ 22 soft start/soft stop

The new Altistart 22 compact soft starter with integrated bypass is now available. The Altistart 22 completes

Schneider Electric’s range of soft starters and delivers added customer value by:

Reducing wiring cost and installation time

Decreasing valuable mounting space

Improving machine performance

The Altivar® 32 drive

The Altivar 32 variable speed drive’s slim, book-style footprint, side-by-side mounting capability and ability

to accept a self-protected disconnect reduces panel space, commissioning time and machine cost while

maximizing machine performance. It can also be the heart of your control system because it integrates simple

control functions right into the drive using the SoMove™ PC software.

The Harmony™ Biometric switch

The Harmony Biometric Switch is the only industrial switch of its kind utilizing "ngerprint recognition technology

to provide simple, reliable and ef"cient operation to restrict access to sensitive zones and machine functions.

The Harmony multiple-headed push button

As the "rst multiple-headed 22 mm push button available for use in harsh environments, the Harmony XB4/5

push button is ideal for use in harsh wash down environments like food and beverage applications. Available

in plastic or metal, it offers two or three functions in the same physical space as a single-function device for

simple applications.

The TeSys® U self-protected combination motor starter

The TeSys U NEMA-rated self-protected combination motor starter uses a patented modular design that

simpli"es selection, reduces inventory and minimizes wiring to deliver energy ef"ciency, protection and savings

for you and your equipment. Just two product bases cover the entire range of overload current protection up

to 32 A or NEMA size 1 and control voltage. Simply choose your base module and snap together the short

circuit protection, overload relay and contactor you need. It’s that simple.

The Magelis

STU HMI

The Altivar 32 drive

The Harmony Biometric switch

The Altistart 22 soft start/soft stop

The Harmony multiple-headed push button

The TeSys U self-protected combination motor starter


Program Benefits and Activities

For 2011, the ACE program expands the bene"ts and activities available to distributors based on their level of

program membership. Some bene"ts are available to all members, some are pro-rated based on membership

level, and some are exclusive to certain levels of the program.

The following table summarizes each bene"t and its availability by program level. Descriptions of each

bene"t follow.

Control Specialist

Automation Specialist

Solution Specialist

ACE Competency Management Tools

ACE Communication Tools

ACE Scorecard

ACE University

ACE Expo

ACE Demo Equipment

ACE Industry Management Forum

ACE Distributor of the Year Award

ACE Channel Campaigns

ACE Dollars $2.5K $10K $10K

ACE Software & Support Package —

ACE Automation Through Stock Rebate —

ACE Opportunity Registration Process —

Solutions Business Process Support — —

Exclusive Solutions Training Opportunities — —

Table 3: 2011 ACE benefits by program level

ACE Competency Management Tools

With the evolution of the ACE program, Schneider Electric is maintaining a higher expectation of competency

and training for its ACE member distributors. To facilitate this training and to provide learning paths for the

development of technical and sales personnel, Schneider Electric is providing competency management tools

and training curricula for ACE members, including a new series of technical and commercial training webinars

to improve competency and capabilities around automation and control products.

Expected ACE distributor competencies

Inside Sales End-User/OEM

Outside Sales Control

Outside Sales Automation

Outside Sales Solutions

Product Specialist Control

Product Specialist Automation

Solutions Specialist

Control Products

Competent Advanced Basic Basic Expert Competent Competent

Automation Products

Competent Basic Advanced Advanced Competent Expert Advanced

Solution Offers

Competent Basic Competent Advanced Basic Advanced Expert

Table 4: Expected ACE distributor competencies


Product knowledge and application de"nitions

Knowledge and application of Schneider Electric control products, features and advantages.

Understanding of competitors’ control products. Typical product lines include control and signaling,

sensors, and contactors products.

Knowledge and application of Schneider Electric automation products, features and advantages.

Understanding of competitors’ automation products. Typical product lines include PLCs, HMIs, VSDs,

SCADA/MES, Motion Control and input/output (I/O).

Knowledge and application of Schneider Electric automation solution offers, features and advantages.

Understanding of competitors’ capabilities to offer similar solutions. Typical solution offers include TVDAs,

turnkey control panels, system integration, co-engineering and co-design services, migration services and

Schneider Electric industry-speci"c solution capabilities.

Visit the ACE section of the Channel Guide website for recommended course offerings for each competency

level. For additional information, please see the Competency Management brochure 0190BR0501R11/08

available from literature ful"llment.

ACE Communication Tools

Schneider Electric will provide exclusive

communication tools to ACE distributors to provide

access to information and sales tools relevant to the

ACE program and the Automation & Control business.

Access to these communication tools will

be via the Channel Guide website (www.

schneiderelectricchannelguide.com/ace).

Channel Guide is Schneider Electric’s web-based,

strategic planning tool that maximizes the bene"ts

of planning by providing the ability to see and

communicate in a whole new way. Effective business plans are created, accountability is assigned and

progress is tracked – all in an incredibly powerful yet easy-to-use tool. Access to meaningful information is

always at your "ngertips and the %uid nature of the tool affords the %exibility to quickly adapt your plans to the

changing business environment. In 2011, the power of Channel Guide is expanding beyond its current planning

and reporting capabilities. New additions to Channel Guide will provide the ability to:

Claim Premier points and Co-op fund reimbursement upon completion of action items

Access a list of marketing programs, events and activities relevant to plan objectives

Register for marketing programs, track progress of the program implementation and measure

the success of each program

Simplify the selection and purchase of marketing collateral

Effectively target and manage customer accounts in a whole new way

ACE Scorecard

Each ACE distributor will be provided a monthly assessment of their participation and achievement of

expectations within the ACE program. The ACE Scorecard will be a valuable tool to ACE distributors for

tracking progress against training and sales dollars requirements of the ACE program, as well as the utilization

of other activities and bene"ts of the program.

The ACE Scorecard will provide distributors with a single quantitative measure by which annual progress

can be measured. This measure will be one of the key metrics for annual membership re-quali"cation and

Distributor of the Year awards.



ACE Channel Campaigns

ACE Channel Campaigns are a framework in which Schneider Electric’s product, segment and solution

marketing teams bring well-de"ned demand generation activities to the channel. These activities are carried

out jointly between the distributor and the sales and marketing organization of Schneider Electric. Campaigns

are intended to be interactive business development activities executed in a cooperative manner using sales

and technical resources from both Schneider Electric and the distributor.

Campaigns are opt-in activities for the distributor and are targeted at speci"c tiers of the ACE program.

A campaign is offered to an ACE member based on their availability to support the campaign with technical

resources, as well as customer viability in their authorized territory.

A library of campaign options is available to distributors, allowing them to tailor their time and investment

towards the campaigns that are expected to produce the greatest result in their market. For a complete list

of available campaigns, visit the ACE Campaigns section of the Channel Guide website.

A closer look at a campaign

Each campaign is unique to the product or solution that is being targeted, and Schneider Electric is dedicated

to providing the resources to make each campaign easy-to-implement and effective at driving customer

interest and sales. To do this, we are focusing on building campaigns that are both appealing to the customer

and provide a clear path for making a sale. This includes having the right collateral, incentives, inventory and

promotional messaging to drive action.

On the right is a brief description of a current campaign and the elements that are available to help make it

a success. This framework, while not identical for all campaigns, can be used as a guide to what is included in

a typical campaign. And best of all, these campaigns can be completely paid for through Co-op dollars.

Other campaigns available in 2011

Schneider Electric is committed to creating new campaigns throughout the year. Below is a list of campaigns

that are currently scheduled to be available as of January 2011. For a complete list of campaigns that are

available at anytime, please visit the Campaign Section of the ACE Channel Guide website.

Planned 2011 campaigns

MachineStruxure™ campaign

The Magelis STU HMI campaign

The Vijeo™ Designer software/Magelis HMI campaign

The Altivar 32 drive campaign

The Lexium 32 motion campaign

The industrial end-user migration campaign

The Biometric switch campaign

The pumping equipment campaign

The food and beverage industrial campaign

Each campaign is unique to the product or

solution that is being targeted.


The Magelis STU HMI CampaignOne of the 2011 current campaigns

With its one-of-a-kind design that easily mounts, without tools, directly onto your control panel through a

standard 22 mm push button opening, the Magelis STU HMI gives you a crystal clear display and control

of all that is happening within your control panel — without even opening the door.

Get a free Magelis STU HMI

As part of this campaign, we are providing you with ten Magelis STU HMI units to distribute to your customers

that respond to the campaign.

Direct mail, three emails, ten hardware units and 100 free software trial disks

This campaign features multiple elements to help promote the free hardware offer to your customers. Each

of these is designed to drive responders to a form online that pro"les their HMI usage as it relates to type,

quantity, need and current project requirements. All of this information is then delivered to you to help pro"le

your customers’ needs and to deliver the free hardware units. The 100 free software trial disks are for the

customers who do not receive the free hardware.

Product brochures and sales briefing documents

These materials are available to help support your sales of these products. There are speci"c brochures

developed for the Magelis STU HMI, as well as literature for our entire family of Magelis HMI products.

Additionally, to help support your understanding of the campaign, a sales brie"ng document is available to

help you identify the correct target audience, sales messaging, product/solution value and resource materials.

What do you need to do to participate in this campaign?

As a valued ACE distributor, we’ve designed all our campaigns to require a minimum of your time. Once you

decide to participate in a campaign, we will execute the promotional elements of the program for you and

return to you the leads. To get started, all you need to do is:

Sign up for a program on the Channel Guide website

Provide us a customer database to send the promotional elements*

Participate in an HMI Sales & Marketing workshop held at your location

Insure your technical team has completed the latest Vijeo Designer training

Follow up on leads and deliver free hardware/software

Report back to us the results of the program and leads

Stock the necessary product to support customer sales

* Distributor’s data does not become part of Schneider Electric’s database and remains exclusive to your organization.

Why it’s important

The incentive

Promotional items

Sales materials

Your involvement



ACE Dollars

ACE Dollars are an annual stipend of market development Co-op funds paid to an ACE member distributor for

automation and control business development activities. ACE Dollars are administrated in the same fashion

and under the same regulations as Premier Funds.

Appropriate use of Co-op funds for reinvestment examples include:

Purchase of Schneider Electric software and support licenses

Purchase of product demos

Pay tuition for training classes

Pay for marketing communications support for marketing campaigns

Fund Innovation Center visits for customers and distributor staff

Cover cost of hosting an ACE Expo event

Tuition and travel costs associated with ACE University

Each eligible activity has a pre-determined reimbursement level, up to 100% of the total cost. Distributors

should consult their local Schneider Electric business plan owner prior to any Co-op fund expenditures.

Co-op funds expire on December 31 in the year they are awarded. To maximize the value of your Co-op funds

throughout the year, consider opportunities for using Co-op funds during your business planning process. You

can view your current Co-op fund balance online at www.sqdsepremier.com.

The following Co-op fund guidelines apply:

All expenditures of Co-op funds must be Schneider Electric focused and designed to drive sales or improve

customer service. We reserve the right to exercise discretion in reimbursement of Co-op expenditures that

are not in the best interest of Schneider Electric.

Co-op funds are valid until December 31 of the year they are awarded. All claims must be received by

NSI (formerly CoAMS) within 90 days of activity being completed and no later than January 10 of the

following year in order to be processed with the previous year’s funds.

Merchandise apparel that is not directly part of a promotion must be purchased by September 30 of

the current year, and must also be received by NSI by January 10 of the following year.

The Schneider Electric business plan owner responsible for the branch location must approve all claims

submitted to NSI. The online claim form must be used to submit claims for Co-op fund expenditures and

the business plan owner will automatically be noti"ed for approval after the claim is submitted.

ACE Dollars must be

spent in the program

year they are awarded.

Any remaining ACE

Dollars at the end of

the program year are

forfeited. ACE Dollars

do not “roll-over.”

Co-op funds are valid

until December 31

of the year they

are awarded.


Advertising

Eligible advertising activities include newspaper and television advertising, Yellow Pages and local directory

advertisements, point-of-purchase material and outdoor signage. Advertising is intended to be a customer-

focused activity, and does not include general business costs, such as business cards, company vehicles or

staff uniforms. The reimbursement guidelines are as follows:

100% reimbursement for any advertising that promotes Schneider Electric only. For example, signage or

advertising that features only Schneider Electric products.

Pro-rated reimbursement (100% ÷ X) for any advertising that features more than one company. For example,

a trade publication advertisement that features four different companies, including Schneider Electric, is

eligible for 25% reimbursement (100 ÷ 4 companies). All advertising must be approved by Schneider Electric.

Customer promotional activities

Eligible promotional activities include all elements of an overall sales promotion, including expenses related

to communication, promotion administration, giveaways and prizes. Examples of these elements include

producing customer mailings, processing sales contest entries and awarding customer prizes. Guidelines for

promotion reimbursement follow:

100% reimbursement for all elements involved in any promotions in which Schneider Electric is the sole

bene"ciary and more speci"cally, the activity is directly related to improving the sales of Schneider Electric

products in the local market. An example is a direct mail campaign or sales contest. In some cases,

Schneider Electric promotional elements can be automatically deducted from Co-op funds after enrollment.

Pro-rated reimbursement (100% ÷ X) for all elements involved in any sales focused promotion in

which multiple companies are involved. For example, if you hold a sales contest featuring four different

companies, including Schneider Electric, all elements of the promotion are eligible for 25% reimbursement

(100 ÷ 4 companies).

Customer relationship activity

Eligible customer relationship activities include customer golf events, trade shows or counter days

(with a sales client). Guidelines for relationship activity reimbursement include:

50% reimbursement for customer relationship activities capped at 25% of annual Co-op funds.

All promotions should be discussed with and approved by your local Schneider Electric business

plan owner in advance of the event. Merchandise purchased for promotional activities is not included

in the 15% merchandise cap and may be eligible for reimbursement under the merchandise guidelines.

Contact your local Schneider Electric sales representative for details.

Distributor-funded internal incentive

Eligible expenses include all elements of an overall incentive program, including expenses related to

communication, administration, giveaways and prizes. Guidelines for incentive program reimbursement follow:

100% reimbursement for all elements involved in any incentive program in which Schneider Electric is

the sole bene"ciary and more speci"cally, the activity is directly related to improving the sales of

Schneider Electric products in the local market.



Merchandise

Eligible merchandise expenses include items featuring Schneider Electric brand logo(s). Merchandise may be

produced as part of an advertising or promotional campaign, such as a customer sales contest, or may be

used independent of a marketing campaign. Examples of eligible merchandise expenses include customer

giveaways such as golf balls and t-shirts or items used in counter displays such as banners, menu boards

or counter mats. All merchandise with logos must be approved by Schneider Electric to ensure it meets

brand guidelines.

The merchandise reimbursement guidelines are as follows:

Merchandise apparel expenditures that are not directly tied to a promotion are capped at 15% of annual

Co-op funds and must be purchased prior to September 30. Other merchandise, such as calendars, pocket

digests and slide charts are not included in the September 30 deadline or the 15% cap.

All claims must be received by NSI (formerly CoAMS) within 90 days of expenditures and no later than

January 10 of the following year in order to be processed with this year’s funds.

100% reimbursement for merchandise purchased from a Schneider Electric preferred vendor.

100% reimbursement for merchandise purchased from a non-Schneider Electric preferred vendor, in

instances where our preferred vendors cannot provide the item.

50% reimbursement for merchandise purchased from a non-Schneider Electric preferred vendor.

Pro-rated reimbursement (50% ÷ X) for merchandise that features more than one company. For example,

golf shirts that feature four different companies, including Schneider Electric, are eligible for 12.5%

reimbursement (50 ÷ 4 companies).

Preferred vendors for Schneider Electric merchandise

Summit Marketing provides general logo merchandise including apparel, sporting goods and business tools.

Visit the online catalog at http://Schneider-Electric.summitmg.com or call 800-367-2828.

We recommend you work with a preferred vendor to ensure the quality of merchandise and appropriate

use of Schneider Electric and distributor logos, as well as the 100% Co-op reimbursement. If working with

another vendor, please obtain current logo "les and usage guidelines from the My Schneider Electric website,

accessible through www.schneider-electric.us.

For additional consultation on merchandise and logo usage, contact your local Schneider Electric business

plan owner.

Operational/infrastructure

Eligible infrastructure expenses include Electronic Data Interchange (EDI) development, computer purchases

and Schneider Electric demo equipment. Infrastructure expenses are intended to invest in a distributor’s

business to increase overall operational ef"ciency and pro"tability. They are not intended for general, ongoing

business expenses.

The reimbursement guidelines are as follows:

100% reimbursement for the development of EDI transaction sets between Schneider Electric and the

distributor network. However, the fees for sending EDI data sets are not Co-op reimbursable.

100% reimbursement for all Schneider Electric demo equipment. This equipment cannot be resold.

25% reimbursement for computer equipment purchases. Computer equipment is de"ned only as computer

units, monitors, modems and printers only. All other peripheral devices (e.g., scanners, CD writers, PDA,

TVs, projectors) are not eligible for reimbursement. Non-Schneider Electric software is not eligible for

reimbursement. You may purchase computer equipment from any vendor. For Co-op reimbursement, include

a copy of the invoice with the claim form.


Training

Due to the importance of training in developing distributor and customer competencies, it is expected that

training activity will be a primary use for Co-op funds awarded under the ACE program. This training is not

limited to Schneider Electric provided training programs, but must be in the best interest of Schneider Electric.

For example, if a member of the distributor’s staff requires training in the use of Microsoft® Excel in order to

monitor Schneider Electric orders, this training would be eligible for reimbursement at the 50% reimbursement

rate for non-Schneider Electric training courses. However, employee training for general accounting

competency would not be reimbursable. Training reimbursement guidelines are as follows:

100% reimbursement for any training courses sponsored by Schneider Electric. This includes training

provided through the Schneider Electric Distributor Training Program; instructor-led, self-paced courses and

InFocus “Lunch and Learn” training. In cases where Schneider Electric does not offer an equivalent course,

non-Schneider Electric training may be approved for 100% reimbursement. Consult the Schneider Electric

training department for more details.

100% reimbursement for travel expenses incurred while attending Schneider Electric instructor-led courses

only. Claims for airfare, lodging and meals are no longer limited to any maximum as they were in the past.

50% reimbursement for non-Schneider Electric sponsored training courses. Consultation with our training

department is required before the course is taken. Claims submitted for completed courses without

pre-approval will not be reimbursed. Your Co-op funds will be automatically deducted for courses completed

through Schneider Electric Distributor Training based on your course registration. Co-op reimbursement

claims for other training courses must be submitted using the Co-op Claim and Activity Reporting Form.

As with all Co-op Claims, supporting invoices must be attached.

Product and customer conversions [New]

To help minimize cost associated with converting to Schneider Electric, Co-op funds are now available for

product conversions and customer conversions. Conversion funding opportunities include, but are not

limited to, software conversions (preferably by system integrator partner), hardware conversions, architecture

conversions, drawing and spec updates. Conversion costs that have already been reimbursed by other

Schneider Electric programs are not eligible.

NSI concierge services [New]

NSI (formerly CoAMS) now offers their marketing expertise as a service that you can purchase with your Co-op

dollars. If you need assistance in planning and running your marketing programs, such as a promotion, an

internal incentive, an advertising campaign or a customer event, NSI can help. They can assist in the selection,

planning, execution, follow-up and reimbursement of these programs. If you need more than just assistance or

questions answered when entering your claims, NSI is available to perform this function for you for a fee that

can be automatically deducted from your Co-op budget.

For more information, contact NSI at 877-213-0679 or email: [email protected]

Submitting a Co-op Claim

All Co-op Claims must be approved by the Schneider Electric Business Plan Owner (BPO). Once the distributor

completes and submits a claim online, the BPO will receive noti"cation. The BPO will then review and approve

the claim prior to routing on to NSI (formerly CoAMS) for reimbursement. This condition is strictly enforced.

Every claim, even repeat activities that have been approved in the past, must be approved individually. Co-op

Claims must be submitted within 90 days of activity completion as outlined on the following page. Distributors

cannot deduct Co-op expenses from Schneider Electric invoices. The distributor will receive a reimbursement

check within 60 days of submittal.


Before making an expenditure of Co-op funds

1. Consult your local Schneider Electric business plan owner prior to conducting the activity. Your business

plan owner will be able to advise on all activities related to the use of Co-op funds, including recommending

appropriate training, sponsoring customer events and consulting on promotions. The business plan owner

can also con"rm that the planned activity is eligible for reimbursement. Co-op fund expenditures should be

in the best interest of Schneider Electric and the distributor.

2. Verify your available Co-op funds on www.sqdsepremier.com.

3. Verify the reimbursement rate for each activity. See the reimbursement guidelines on pages 17–19 to verify

reimbursement levels for eligible expenses.

Submitting a Co-op Claim for reimbursement

1. Complete the Claim section of the online Co-op Claim and Activity Reporting Form, which can be found at

www.sqdsepremier.com. Include any required attachments.

2. Submit the claim within 90 days of activity completion.

3. When the completed form is submitted, your local Schneider Electric business plan owner will be noti"ed,

at which point they will either approve or deny your claim and contact you with any questions. Include any

attachments and keep a copy for your records.

4. All online forms that are approved will be forwarded to NSI (formerly CoAMS) for processing.

5. All claims for this year’s Co-op funds must be submitted within 90 days of activity completion, and received

and approved by NSI before Jaunary 10 of the following year.

Receiving payment for Co-op Claims

1. Co-op Claims are processed at the beginning of each month. Claims submitted before the 20th of the month

will be paid at the beginning of the next month. Claims submitted after the 20th will be paid at the beginning

of the month after next.

2. Submitting an incomplete or unapproved claim form may result in a delay in payment.

3. Schneider Electric reserves the right to refuse payment on any claims that are not in its best interest.

ACE Distributor of the Year Awards

The ACE Distributor of the Year awards seek to recognize the ACE distributors whose automation and control

business practices best exemplify Schneider Electric’s four key values – passionate, open, straightforward and

effective. Schneider Electric recognizes one distributor at each level of the program.

The ACE Distributor of the Year will be recognized in a number of ways, including special training opportunities

at Schneider Electric’s design centers in Europe and with Co-op investments by Schneider Electric for

incremental technical resources.

The ACE Distributor of the Year will be:

Passionate about the Automation & Control business

Open to new possibilities for solving their customers’ problems

Straightforward in their approach to dealing with customers and with Schneider Electric

Effective at leveraging the bene"ts and activities of the ACE program to drive results in their

Automation and Control business



The Distributors of the Year will be announced in the "rst quarter of the following year and recognized in various

ways throughout the remainder of the year. The branch locations named Distributor of the Year at each level of

the program will receive the following awards:

Plaque recognizing their achievement and branding consent to use the recognition in their own

marketing efforts.

A celebratory dinner with Industry Business Management for the branch location.

All-expenses paid trip for two employees to visit select design or engineering centers in Europe or USA for

information exchange and education. Additional resources may participate through the use of Co-op funds.

Co-investment funds for the hiring of an incremental technical resource to support the distributors’

automation & control business. Schneider Electric will match the distributor’s incremental investment

in the immediate following year to a maximum amount of:

» Control specialist – $20K

» Automation specialist – $40K

» Solution specialist – $60K

ACE Industry Management Forum

Twice a year, Schneider Electric holds an executive management forum for ACE member distributors.

Attendance at the Industry Management Forum is by invitation only and each ACE distributor will be given

a chance to participate based on their level within the ACE program and focus of the individual forum event.

Schneider Electric bears the cost of lodging and providing meals during the event. There is no per-person

cost to attend the summit.

These bi-annual conferences focus on providing business intelligence, market trends, and the latest ACE

program updates to the executive sponsors of the ACE member locations. This event is a key opportunity to

share vision, business strategy and feedback between Schneider Electric’s executive management team and

the distributor.

ACE Expo

ACE Expo is a customer trade show event available exclusively to ACE members. ACE members utilize

Schneider Electric kiosks and educational exhibits to host a customer event at a location of their choosing.

With the support of Schneider Electric personnel, the distributor demonstrates product capabilities and

solutions to customers.

Schneider Electric helps distributors promote ACE Expo events by managing a campaign that consists of three

electronic invitations, one direct mail invitation and post event follow up emails. Distributors will have access to

an online campaign management tool to view live status of registrations.

To register for an ACE Expo, download the request form at the ACE section of the Channel Guide website.


ACE University

ACE University is the premier training event for Schneider Electric’s Industry Business unit, and is available

exclusively to ACE members.

Curriculum for the ACE University event is split between sales and technical tracks and covers both Control

and Automation topics. ACE members can achieve a signi"cant portion of their annual training requirement by

attending ACE University.

ACE Automation Through Stock Rebate (ATS-R) [New]

The Automation Through-Stock Rebate bene"t rewards distributors that maintain automation inventory by

allowing those distributors to rebate orders for automation project jobs that are ful"lled from the distributor’s

stock inventory.

The ability to submit a Small Project Job Rebate (SPJR) request for automation-centric projects is limited to

only those ACE members in the Automation and Solution tiers of the ACE program.

The ATS-R process provides Automation & Solution level distributors within the ACE program a means of

ful"lling Automation project jobs out of stock at a rebated price rather than requiring them to drop ship the

products in such a job in order to negotiate the price.

Here are the "ve steps which must be followed by a distributor to complete the ATS-Rebate:

Step 1

Distributor uses eWay Quote Management (EQM) to generate a Bill of Material (BOM) based on Customer requirements.Proposal must be labeled ATS-R

Step 2

BOM is submitted to Schneider Electric for pricing

Step 3

BOM is authorized by a Price Manager and supplied from Distributor’s stock

Step 4

Distributor "les Rebate on EQM for the difference between stock price and the negotiated net price

Step 5

Schneider Electric processes rebate and issues credit to Distributor

Figure 2: Five steps to complete ATS-R

ATS-R project requirements

Project contains products listed on the ATS-R restricted list

At a customer where another distributor does not hold a SPA

Negotiated net price is between $500 and $25,000

Minimum requested rebate amount is greater than $100

Inventory must be in-stock

Quotes subject to audit under same processes as SPAs



ATS-R restricted products

The following product categories are restricted to ATS-R participants for the purposes of Small

Project Job Rebates:

High-end control and PLCs

OEM controllers

HMI advanced panels

Motion control products

SCADA and MES products

Engineered drives

For a detailed list of products restricted to ATS-R participants, please visit the ACE section of the Channel

Guide website.

ACE Distributor Demo Equipment

Schneider Electric makes available limited quantities of demonstration products and software at a signi"cantly

subsidized cost to ACE members to support their demo room, sales tools and sales campaign requirements.

Purchase of demo products and software may be paid with Co-op funds.

Below is a sampling of some available demos. ACE Expo is a great way for Schneider Electric to showcase all

available software and demos to distributors’ customers.

“Take Control with You” display

This display holds 14 unique control plates on custom boards for distributors to

use in a counter area or training room. Plus, the plates can be easily removed

from the boards and placed in the carrying case for transport. The cost of the

“Take Control with You” display is $1,500.

This kit contains:

14 control plates; featured products include timers RE, Zelio plug-in relays;

IEC relays and contactors; de"nite purpose contactors; 16 mm, 22 mm and

30 mm push buttons; OsiSense® compact and miniature limit switches;

Square D industrial limit switches; AB1 terminal blocks; manual starter and

protectors; and U-Line starters

2 slatted boards

Hangers and signage for each of the 14 plates

A carrying case

Place your order via EDI or My Schneider Electric using part number TCWYKIT. As new enhancements to the display become available, display owners will be noti"ed.

The “Take Control with You” display is 100% Co-op reimbursable.


Demo kits

Demo kits are an effective way to demonstrate product capabilities at yours or at a

customer’s location. Kits are available for a broad range of Schneider Electric

automation, motor control and machine control products. The following products

have related demonstration kits:

Product Product Number

Advantys™ STBC STBXSM4800 & STBXSM5800

Altivar 21 ATV21DC

Altivar 31 ATV31DC

Altivar 61 ATV61DC

Altivar 71 ATV71DC

230 V Drives Control Box 230CB

230 V Cable Kit 230CK

Drives Demo Motor 230MC

Modicon® M340™ BMX XDP PAK 2030

Modicon Quantum™ 140XSM40010 & 140XSM40020

“Take Control with You” TCWYKIT

Twido TWDXDPSDC

Vijeo Citect™ Additional USB Key VJC109921

Vijeo Citect Demonstration License VJC109500

Vijeo Designer End User VJDSCLEUPV45M

XC Limit Switch Training XCTRAINKIT01

Zelio® Plug-in Relay RXZREQ3979G1

Table 5: Products with demonstration kits

Orders must be placed with a catalog number.

Demo kits are 100% Co-op reimbursable.



ACE Software & Support Package [New]

All ACE Automation level distributors will be required to purchase a yearly software and support package as

part of their membership in the ACE program.

The Alliance Software Pack

More than a DVD box

This box contains the main software tools customers need to engineer their industrial automation projects:

Engineering, SCADA, HMI, Networks, Control, Distributed I/O, Controllers, Application Libraries and Drives.

Online software content

Other software tools are available for ACE members to download whenever and wherever they need them.

When members receive their Alliance Software Pack, they will also receive all details needed to authorize their

company’s copy of any software tool in this pack, including those on the DVD or downloaded from the web.

12-month subscription

Software Tools in the pack come with a 12-month software update subscription. Any new releases*,

patches or hot"xes will be published online. Members can "nd out about the newest software releases

in our monthly newsletter.

* Except for Vijeo Designer and Sycon Software, for which the rights for new releases are not included.

The Alliance Software Pack in a nutshell

Variable Speed Drive

PowerSuite Online

Distributed I/O Advantys Con"gulator

Ethernet IP Con"gulator

Advantys PLC Image Generator Tool

Advantys CANopen Symbol Export Tool

Sycon Software 10

DVD

DVD

Online

Online

Online

Controllers TwidoSuite

ZelioSoftware2

TwidoSoft

ZelioSoftCOM

ZelioAlarm2

Online

Online

Online

Online

Online

Application Libraries for Unity™ Pro and sg2

TeSys Library

HVAC Library

Fuzzy Control Library

Devices and Process Library

Online

Online

Online

sg2 DVDControl Unity Pro XL

Legacy – PL7 Pro

Legacy – ConceptXL

Legacy – ProWORX

10

10

10

10

DVD

Online

Online

Online

Engineering Tools sg2 DVD

Networks

HMI Web Designer

Vijeo Designer

Legacy – XBTL1000

1

DVD

Online

Online

SCADA Vijeo Citect (Buildtime)

Vijeo Historian (Buildtime)

12h HW Runtime License for Vijeo Citect and Vijeo Historain x 4

(#)

DVD

Online

In DVD box

(#) Each of the 2 HW licenses for Vijeo Citect, Vijeo Historian has following characteristics:

12h runtime1 x 42,000 point Full server1 x 42,000 point Manager client1 x 42,000 point Web Manager client1 x 42,000 point Display client2 x OPC Server connectivity

10 x OLEDB connectors1 x 42,000 point countsReports connectors (SQL, Oracle, OPC)Event and Historian services allowedConnectors (Ampla, OPC HDA)

Licenses LicensesLocation Location

* Engineering tool sg2 is not available in the United States

Figure 3: Alliance Software Pack characteristics



ACE Opportunity Registration [New]

In order to boost ACE Automation & Solution members’ pro"tability by providing an economic incentive

that ultimately rewards the distributor for its value and insures its presales investment in new speci"cations,

Schneider Electric will offer members in select tiers of the ACE program an opportunity to register projects for

which they drive the speci"cation.

Opportunity registration process

Step 1: Detect an opportunity. Prior to registration, a distributor must qualify the project, engage decision

maker(s), quantify budget, de"ne requirements and complete a high-level design.

Step 2: Distributor completes and submits a registration application via the ACE Opportunity

Registration portal.

Step 3: Schneider Electric Industry Sales veri"es application contents, provides approval on the application,

and assigns a sales liaison to the distributor for the opportunity.

Step 4: Final approval is documented by the ACE Program Manager and of"cially recorded with

Price Management.

Step 5: Distributor is provided with a Project Registration Number that will be used to receive the approved

bene"t at the time of order of the registered project.

Project registration requirements

The project must be a Schneider Electric channel-led opportunity.

The project must be a new opportunity for Schneider Electric, one that has no visibility inside of

Schneider Electric, at a customer where no other distributor holds an SPA, and no other distributor

has registered the project.

The project meets the minimum expected requirements:

1. The project is a new business opportunity where the distributor is the only entity that is presently in%uencing the end customer.

2. Must be de"ned as a customer-speci"c site or project (application must include end-user name and location).

3. Project must be registered in the ACE Opportunity Registration portal prior to being quoted.

4. Additional projects or sites will require additional approval.

Eligibility

The following channel entities are eligible to participate in the Opportunity Registration Process:

Schneider Electric ACE solution specialists

Schneider Electric ACE automation specialists


Project conditions

Projects will be registered for a maximum of 180 days. Once the "rst order is placed against the registered

project, the pricing shall remain in effect for the duration of the end-user project, not to exceed one year.

Only ONE distributor can be registered for a project at any one time.

Project must be identi"ed through submission of a fully completed Registration Form. Formal registration

will only be granted when all required information is provided.

Project submission will require a high level list of Schneider Electric materials that will be required by the

job (this list must be representative of the project at completion, within 10-15%).

A $25,000 minimum order value (this is the order value to Schneider Electric at distributor’s normal

pricing level).

Opportunity registration bene"ts

In return for creating this incremental demand for Schneider Electric products, Schneider Electric will extend

priority commercial and technical support to the distributor for the sales, marketing and speci"cation effort that

they have provided for the subject end-user opportunity.

ACE Solution Business Process Support and Training

As Schneider Electric evolves our products business into a products plus solutions business, we are

developing a number of business process support tools and exclusive training opportunities for distributors

who share interest in developing this solutions business model.

Distributors in the Solutions tier of the ACE program will have unique access to solutions project management

tools, customer contracts, technical resources and documentation, engineering tools, and training courses not

available to other distributors.

Solutions distributors will be included in internal Schneider Electric training events and receive promotional

support in Schneider Electric events and communications designed to promote our joint solutions capabilities.

Key Training Resources

Visit http://tms.beeline.com/SCHNEIDERTMS for details on Schneider Electric Distributor Training courses,

including training schedules, course descriptions, or to register for training or order self-paced courses.

For additional questions about Schneider Electric training, contact your local Schneider Electric business

plan owner.

You may also contact the Schneider Electric training department. Contact Norma Lutz at 919-217-6450 or

email [email protected] for product related training. For sales skills training, contact

Judi Rounsavall at 847-922-2458 or [email protected].


Program Eligibility

Distributors are eligible for the ACE program based on individual branch locations as de"ned by the account

numbers in the Schneider Electric purchasing system. A member’s standing in the program is reviewed on an

annual basis.

Eligibility requirements are reviewed and modi"ed annually based on economic conditions, market growth and

offer expansion. Following is a summary of the 2011 eligibility requirements. A detailed explanation of each

requirement follows.

Control Specialist

Automation Specialist

Solution Specialist

Minimum Yearly Control Training* 2 x 24 — 1 x 24

Minimum Yearly Automation Sales Training* — 2 x 24 2 x 24

Minimum Yearly Automation Technical Training* — 2 x 40 2 x 40

Minimum Yearly Solutions Selling Training* — — 1 x 16

Minimum Yearly Solutions Technical Training* — — 1 x 40

Minimum Yearly Sales Control$600K

($400K if Premier)— $250K

Minimum Yearly Sales Automation — $500K $1000K

Minimum Yearly Performance Score 5.0 5.0 6.0

* Number of trainees multiplied by number of hours each

Table 5: ACE 2011 eligibility requirements

Sales Requirements

Sales dollars make up one aspect of eligibility in each of the three categories de"ned in the program structure.

Sales dollars are de"ned as purchase price from Schneider Electric less any applicable rebates.

Control specialist

Required to maintain $400,000 per year in control product sales if the distributor also is a member of the

Premier program. Non-Premier program members must maintain $600,000 per year.


Required to maintain $500,000 per year in automation product sales.

Solution specialist

Required to maintain $1,000,000 per year in automation product and solution sales plus $250,000 per year

in control product sales.


Training Requirements

To ensure the competency and capability of an ACE distributor, each branch is required to meet a minimum

training requirement in each category they are a member. These requirements must be met by direct

employees of the branch location which is an ACE member and are as follows:

Control specialist

Minimum of two individuals are required to complete 24 hours each of combined technical and sales training

on control products.


Minimum of two individuals are required to complete 40 hours each of technical training on

automation products.

Minimum of two individuals are required to complete 24 hours each of sales/commercial training

on automation products.

Solution specialist

Must meet all training requirements of an Automation Specialist de"ned above.

Minimum of one individual is required to complete 40 hours of technical training on solutions.

Minimum of one individual is required to complete 16 hours of sales/commercial training speci"c to

the area of solution selling competency and solutions offer.

Minimum of one individual is required to complete 24 hours of combined technical and sales training

on control products. (Distributors also meeting the Control Specialist training requirement in the same

year are exempt from this additional control training requirement.)

Minimum Performance Score

A distributor must maintain a minimum score of 5.0 on the ACE Scorecard in order to continue participation

in the ACE program at the Control Specialist or Automation Specialist level of the program. Solution level

distributors are required to maintain an annual performance score of 6.0.


Contact

For More Information

For more information about the ACE program, including membership, sales tools,

requirements and expectations, please contact:

W. Jarrett Campbell, Ph.D.

Manager, Automation & Control Excellence Program

[email protected]

(919) 217-6463


Schneider Electric USA, Inc.

Automation and Control Center of Excellence

8001 Knightdale Blvd.

Knightdale, NC 27545

Tel: 919-266-3671

www.schneider-electric.us

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Document Number 8000SM1006R09/10

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2011 ACE Guide