RD / Business Excellence / FCE

1

The outcomes of Toyota Production System

TPS

Clients satisfaction

People satisfaction

Society satisfaction

Shareholders satisfaction

“A proven system, still unsurpassed, serving the most efficient company on earth”

source: Pr Yamashina’s conference, July 2005

RD / Business Excellence / FCE

2

JIT zero stock (demand fluctuation)

TQC zero defect (quality)

TPM zero breakdown (availability)

TIE minimal cost (productivity)

Clients satisfaction

People satisfaction

Society satisfaction

Shareholders satisfaction

The content of Toyota’s black box

source: Pr Yamashina’s conference, July 2005

RD / Business Excellence / FCE

3

Deliver O7up, O11pu

Deliver O7dwn,

O11dwn

Cli

en

ts s

ati

sfa

cti

on

Cli

en

ts n

ee

ds

& e

xp

ec

tati

on

s

Management Committee

Set the vision, prepare strategic moves, plan and deploy strategy M1

Create customer value, define and manage commercial strategy M2

Set targets, pilot Transformation, manage improvement and change M4

Ma

na

ge

in

no

va

tio

n,

pro

vid

e

ste

el

so

luti

on

s O

2,

O3

Downstreamproduction O8, O9, O10

Upstream production O8, O9, O10

Plan Upstream and downstream production

O9u-09d

Arcelor Flat Europecurrent Process

mapping(V3)

En

su

re c

om

pla

ints

ha

nd

lin

g O

12

En

su

re t

ec

hn

ica

ls

erv

ice

O6

Ste

er

cu

sto

me

rs

ati

sfa

cti

on

O1

Order Intake O5

Pu

rch

as

e a

nd

s

up

ply

S4

Ste

er

ex

tern

al

gro

wth

an

d c

on

tro

l re

late

dC

ap

ex

M

3

En

su

re m

ain

ten

an

ce

an

d r

eli

ab

ilit

yo

f e

qu

ipm

en

t S

1u

/d

Imp

rov

e o

ur

pe

op

le,

ca

pa

bil

itie

sa

nd

ta

len

ts

S3

u/d

Ma

na

ge

fin

an

cia

lre

so

urc

es

(c

as

h,

WC

R…

) M

7

En

su

re s

ec

uri

tya

nd

sa

fety

of

pe

op

lea

nd

pro

pe

rty

S9

Ma

na

ge

th

ein

form

ati

on

sy

ste

ms

S1

2

Ma

na

ge

th

eP

ers

on

ne

lD

ev

elo

pm

en

t p

oli

cy

M

6

Ma

na

ge

M

as

ter

Pla

nn

ing

O4

AcronymsM stands for ManagementO stands for Operational

S stands for Support

Ste

er

tec

hn

ica

lc

ha

ng

e a

nd

co

ntr

ol

ind

us

tria

l C

ap

es

M

5

De

ve

lop

an

din

du

str

iali

se

ne

wp

roc

es

se

s

S2

u/d

RD / Business Excellence / FCE

4

Claiming that the customer is the only beneficiary of all company activities as ISO and TS do and impose us

is mere hypocrisy and not in line with Arcelor corporate communication

Steel solutions for a better world

Arcelor Flat Steel Europe

RD / Business Excellence / FCE

5

Ensure Product Quality (site)

Manage environment andcommunity issues (site)

Manage Performance

Manage Product and Quality

Ensure Technical Excellence

Manage Personnel Development

Ensure customer Satisfaction, Manage the Supply Chain, Deliver

Ensure maintenanceand reliability of equipment

Ensure security and safety ofPeople and property (UF, DF)Safety

Site

Autonomous Maintenance

Professional Maintenance

Losses elimination

Education and training

Product design

Product quality

Customer Service

Safety

Environment

Equipment designGeneral

Organisation

Cost D

eploymentF

CE

KP

Is

Cor

pora

te K

PIs

Cost Deployment and site KPIs

Desired outcomes

The system is now comprehensiveand able to process all kind of requirements

coming from the management Committee

It corresponds to an observable reality in most plants

Clients satisfaction

People satisfaction

Society satisfaction

Shareholders satisfaction

Arcelor Flat Steel Europe

Corporate, FCE and site MT/LT KPIs derive from their respective detailed LT vision