<Name> <Title> Agenda Siebel Systems Corporate - - PowerPoint PPT Presentation

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Siebel Systems Corporate and A & D Industry Solution Overview

Agenda

• Siebel Systems Corporate Overview
• Proven Solution for Aerospace & Defense
• Broad Industry Adoption & Proven Customer Success
• “One” Company Demo – Customer-Centric Business Transformation
• Business Value of CRM - “Making it Easier to do Business”
• Business Analytics – Digital cockpit for managing the business
• Account Management
• Life-cycle Service & Support Management
• OEM / Aftermarket Sales Management
• Air Show Event Management
• The Siebel Advantage
• Q&A

Agenda

• Siebel Systems Corporate Overview
• Proven Solution for Aerospace & Defense
• Broad Industry Adoption & Proven Customer Success
• “One” Company Demo – Customer-Centric Business Transformation
• Business Value of CRM - “Making it Easier to do Business”
• Business Analytics – Digital cockpit for managing the business
• Account Management
• Life-cycle Service & Support Management
• OEM / Aftermarket Sales Management
• Air Show Event Management
• The Siebel Advantage
• Q&A

Mission

Siebel Systems aspires to be our customers’ most valued partner in helping them achieve

• utstanding customer-driven business results.

Customer

Division A Division B Division C

Unsynchronized channels Product-focused divisions Inconsistent business processes Unaligned employees Numerous disconnected applications

Challenges Facing Many Aerospace & Defense Companies

Order Order Mgmt Mgmt HR HR Custom Custom Mktg Mktg Data Data SCM SCM ERP ERP Partner Partner Data Data Sales Sales Data Data Custom Custom

A Customer-Centric Enterprise empowers employees with customer data and insight through end-to-end business processes to ensure the best decisions are made for both… …at any customer moment of truth while providing a seamless customer experience.

…Requires a New Approach

Become a Customer-Centric Enterprise

…the company

• and -

the customer…

Provide a seamless, unified customer experience for all customer interactions regardless of internal organization Transform customer data into actionable information by providing the right information to the right person at the right time Extend customer understanding throughout the enterprise thus enabling all functional areas to make informed, customer-based decisions

The Customer-Centric Enterprise

Key Imperatives

Customer-Facing Solutions Represent the Next Frontier of Business Value

$3,069.5 B 11.1% $661.9 B Customer-Facing Solutions $2,311.8 B WW Projected Spend, 2004-2014 5.9% Growth Rate (CAGR), 2004-2014 $1,177.0 B WW Investment, 1980-2003 Back Office Solutions

Sources: Siebel analysis and estimates based on data from IDC, Gartner and AMR Research.

Improving Customer-Facing Capabilities

Leads to Leveraging the Enterprise and Operational Excellence

Decrease Call Waiting Times Decrease Request Solution Time Reduce Customer Service Costs Decrease Service Response Times Increase Customer Retention Increase Customer Service Productivity Accelerate Lead Maturation Increase Marketing Sourced Revenue Decrease Lead Generation Cost Improve Targeted Prospecting Decrease Customer Acquisition Cost Increase Campaign Response Rate

Account Mgmt / Sales Marketing Service

Increase Conversion Rate Increase Revenue per Customer Increase Average Order Size Increase Close Rate Increase Revenue per Sales Rep Shorten Sales Cycle

The Front Office Is Siebel’s DNA

Industry-specific CRM Marketing Automation CRM Customer Service and Support Sales Force Automation Multichannel CRM

Siebel Systems founded Works w/charter customers to develop product Acquires Scopus, merging SFA and CSS into CRM category Launches Siebel CRM OnDemand Siebel introduces first industry specific CRM (for Consumer Goods) Acquires Paragren, extends CRM with integrated marketing automation

Hybrid CRM:

• n demand/
• n premise

Acquires nQuire, making CRM smarter with customer analytics Acquires Eontec,

• ffers next-

generation bank teller systems Ships first product (Siebel Sales 1.0) Introduces Universal Application Network

1993 1995 1999 2001 2003 2004 1998 2000 2002 CRM Analytics Standards-based Integration Master Data Management

Launches Universal Customer Master

Leading Companies Across Industries Use Siebel

The Largest Customer Centric Businesses Run Siebel

8,000 13,000 10,500 13,000 14,900 9,570 8,700 16,000 13,800 11,030 10,630 16,000

Users Users Company Company

31,650 20,000 16,300 35,000 39,100 41,335 18,000 30,000 25,000 24,300 63,600 63,797

Users Users Company Company

SAP Largest ERP References Siebel Global CRM References

SAP Customers Choose Siebel CRM

What Analysts are Saying…

Customer-centric strategies in general (and CRM in particular) enable organizations to improve their customer service — and increase their chances of retaining customers — by providing them with all of the information they need to make planning, product and service decisions throughout the customer life cycle. This, in turn, can increase customer loyalty and retention, as customers' requirements and expectations are met.

• - Gartner - Ten Secrets for Creating a Customer-Centric Enterprise - Dec 2005

Organizations should realize that CRM is a companywide, rather than a departmental, initiative, and begin to evaluate all aspects of the

• rganization based on how customers perceive them.
• - Gartner - Ten Secrets for Creating a Customer-Centric Enterprise - Dec 2005

Siebel CRM Ranked #1 by Analysts on Vision and Ability to Execute

Field Service B2B CRM Customer Service & Support B2C CRM Sales

Agenda

• Siebel Systems Corporate Overview
• Proven Solution for Aerospace & Defense
• Broad Industry Adoption & Proven Customer Success
• “One” Company Demo – Customer-Centric Business Transformation
• Business Value of CRM - “Making it Easier to do Business”
• Business Analytics – Digital cockpit for managing the business
• Account Management
• Life-cycle Service & Support Management
• OEM / Aftermarket Sales Management
• Air Show Event Management
• The Siebel Advantage
• Q&A

• Leading CRM Vendor in Aerospace &

Defense

• Dedicated Business Unit
• Engineering & QA
• Product Marketing & Alliances
• Sales & Sales Consulting
• Service and Support
• Focus on Complete Solutions
• Partnerships
• Services
• Leading aerospace and defense

companies guide product specifications

• Strategic partners validate design and

perform testing

Siebel Systems’ CRM Leadership in Aerospace & Defense

Partners Customers

Customer-Driven Development Process

Customer Input Customer Input Competitive Surveys Competitive Surveys Market Input Market Input Product Specifications Product Specifications Human Factors Expertise Prototype Human Factors Expertise Prototype Final Product Final Product Partner Input Partner Input Customer Input Customer Input

  Defining Potential Charter Customer Accounts & Creating Informal Advisory Council for A&D Defining Potential Charter Customer Accounts & Creating Informal Advisory Council for A&D

The Aerospace & Defense Industry Landscape

Customer Service Differentiation Organizational Complexity

Stagnant Revenue Growth

Profit Margin Pressure

Customer-Centric Strategies

To Meet Increasing Customer Expectations

‘Changing Face of the Customer’ “Today, the industry is under pressure to adapt to the 'changing face of the customer'. Governments and airlines alike have increasingly become more cost-conscious and are demanding higher standards of services. It is no longer sufficient to offer the best product; instead, companies must offer the best product at the best price with superior levels of service.”

Deloitte Consulting

The Industry’s Biggest Growth Engine – Aftermarket Parts & Service "The driving force behind CRM is the vast amount of services-related work A&D companies are currently doing. The industry's biggest growth engine today lies in selling additional services to existing customers, rather than selling new aircraft. In general, the industry's services revenue is growing at about 40 percent to 50 percent, while its sales are growing at less than 5

• percent. In order to maintain and enhance their valuable relationships with

existing customers, A&D companies need to streamline customer data and the sharing of this data.“

BearingPoint

Creating Organizational Silos…

Customer

Legacy Legacy

OSS OSS HR HR

Custom Custom

CIF CIF ERP ERP CIF CIF SCM SCM

Custom Custom

SAP SAP ERP ERP

Custom Custom

ERP ERP

Legacy Legacy

Airframe Systems Engine Systems Electronic Systems

• Disconnected channels
• Fragmented data:

No total view of the customer

• Inconsistent, inefficient

customer-facing business processes

• Lack of real-time

business and customer insight

• Un-integrated systems:

No single face to the customer

Legacy Legacy

OSS OSS HR HR

Custom Custom

SAP SAP ERP ERP CIF CIF SCM SCM

Process and Data Integration Airframe Systems Engine Systems Electronic Systems

…To The Customer Centric Enterprise “Leveraging the Enterprise”

Business Intelligence and Analytics Sales, Marketing, Service Best Practices Multichannel

Customer

ONE COMPANY

Shift To Include Customer Centric Model

Product-Centric

Source: Harvard Business Review, and Siebel Systems, Inc.

Business Agenda

Vertical Integration To Control Costs and Sourcing Superior Product Research & Development Economies of Scale

Operational Excellence

Cost Advantage & Scale Barriers Modest Margins Achieved Asset Intensive with Unpredictable Cyclical Demand

Service-Centric Business Agenda

Redefine Value Chain Superior Service & Support Offerings Forward Integration Along Value Chain

Customer Allegiance

Customer Loyalty & Profit Advantage Higher Margins Achieved Steady Revenue Streams That Are Counter-Cyclical

Market Maturity Dynamics Market Maturity Dynamics

Expanding Install Base Stagnant Product Demand Longer Product Life Cycles Increasing Ratio of Install Base to New Products

20-30:1 Machinery/Capital Equipment

Downstream Service Exceeding Product Sales

“Providing services is now more lucrative than making products…Smart manufacturers are creating new business models to capture profits at the customer’s end of the value chain”

AMR Research’s Solution Sets within A&D

Source: AMR Research

Not evaluating

• r using

29% Total

• perational

30% Implementing 19% Currently evaluating 22%

CRM Dynamics in Aerospace & Defense

30% 40% 50% 50% 50% 60% 70% 90% 80% 70% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Sell-Side Content, Catalog and Personalization Sales Force Automation Field Service Marketing Automation Sell-Side Order Management Partner Relationship Management Customer Data Analytics Product Configuration/Guided Selling Contact Center W eb Self-Service Application Areas Most Prevalent for Future Consideration

Source: AMR Research

71% of A&D Companies Evaluating or Implementing CRM

Sales & Ecommerce 23% Marketing & Analytics 10% PRM 5% SFA 21% Customer Service 41%

A&D CRM Apps Consideration A&D CRM Apps Consideration A&D CRM Distribution A&D CRM Distribution A&D CRM Adoption in 2002 A&D CRM Adoption in 2002

Multichannel CRM Enables

Organizations to Better Sell, Market, and Serve Customers

Customers Customer Customer Information Information Back Office Independent Service Organizations / Suppliers Web and Email Field Customer Support Center Air Show Event Marketing ‘Voice of Customer’ Analytics

Customer-Centric Strategic Imperatives for the Aerospace & Defense Industry

Streamline Streamline the Buying the Buying Experience Experience Improve Improve Effectiveness Effectiveness

• f Marketing
• f Marketing

Events Events Maximize Maximize Employee Employee Productivity Productivity Improve Improve Sales Sales Effectiveness Effectiveness Optimize Optimize ISO/Supplier ISO/Supplier Channels Channels Deliver Deliver World World-

• class

class Customer Customer Service Service

Customer Customer

Siebel A&D Solution Sets Enable the Customer Centric Enterprise

Consultative Consultative Solution Solution Selling Selling Closed Closed-

• loop

loop Air Show Air Show Event Event Marketing Marketing Improved Improved Workforce Workforce Knowledge Knowledge Transfer Transfer Collaborative Collaborative Sales Sales ISO/Supplier ISO/Supplier Network Network Optimization Optimization World World-

• class

class Lifecycle Lifecycle Service & Service & Support Support

Customer Customer

• Collaborative service network

management

• Efficient partner lifecycle

management

• Collaborative sales execution
• Context-sensitive

product configuration

• Complex pricing, quote,

and approval mgmt

• Knowledge-driven

customer service

• Field service delivery
• Closed-loop campaign

management

• Integrated event

marketing

• Corporate

communications

• Alignment of employee

goals & objectives

• Methodology-based sales

planning

Siebel A&D Solution Sets Enable the Customer Centric Enterprise

Customer Customer

Consultative Consultative Solution Solution Selling Selling Closed Closed-

• loop

loop Air Show Air Show Event Event Marketing Marketing Improved Improved Workforce Workforce Knowledge Knowledge Transfer Transfer Collaborative Collaborative Sales Sales ISO/Supplier ISO/Supplier Network Network Optimization Optimization World World-

• class

class Lifecycle Lifecycle Service & Service & Support Support

Siebel A&D Solution with Six Sigma Enable the Customer-Driven Enterprise

Consultative Consultative Solution Solution Selling Selling Closed Closed-

• loop

loop Air Show Air Show Event Event Marketing Marketing Improved Improved Workforce Workforce Knowledge Knowledge Transfer Transfer Collaborative Collaborative Sales Sales ISO/Supplier ISO/Supplier Network Network Optimization Optimization World World-

• class

class Lifecycle Lifecycle Service & Service & Support Support

Customer Customer

6 6 6 6 6 6

• Define business objective/metrics, product and process map
• Measure, quantify and analyze defined output metrics
• Improve, control and standardize processes through

automation, digitization and use of best practices

• Institutionalize six sigma methodology into corporate culture

Siebel Supports Six Sigma Methodology for Service Processes

Six Sigma Methodology for Service Processes using DMAIC or DFSS (e.g., DMADV)

Define Objectives & Processes Measure & Quantify Analyze Performance Improve Processes Control Standards Six Sigma Project DMAIC

Define Objectives & Processes Measure & Quantify Analyze Performance Improve Processes Control Standards Six Sigma Project DMAIC

Define Objective and Map, Improve & Control Processes

Domain Expertise in Customer Service Metrics Industry-Specific Best Practice Processes Best Practice Processes Digitized in Siebel CRM

Define Objectives & Processes Measure & Quantify Analyze Performance Improve Processes Control Standards Six Sigma Project DMAIC

Measure & Analyze Key Metrics to Gain Insight

Pre-Built Analytics to Measure & Analyze Metrics

Why Low Customer Satisfaction? Slow Resolution Rates? Why Slow Resolution Rates? Service Types? Products? Why Products of This Type? Parts Inventory? Defects?

y = f (x) y = f (x)

Sales

• Real time pipeline / business visibility

Real time pipeline / business visibility

• Intelligent cross sell / up sell

Intelligent cross sell / up sell

• Opportunity prioritization

Opportunity prioritization

• Improve win rates

Improve win rates

Marketing

• Increase campaign ROI

Increase campaign ROI

• Increase customer profitability

Increase customer profitability

• Intelligent segmentation and targeting

Intelligent segmentation and targeting

• Improve closed

Improve closed-

• loop event success

loop event success

Service

• Reduce the cost of service

Reduce the cost of service

• Increase customer satisfaction

Increase customer satisfaction

• Reduce response and resolution cycle times

Reduce response and resolution cycle times

• Manage service levels to contract / entitlement

Manage service levels to contract / entitlement

Voice of Customer Analytics Enhances CRM Effectiveness & Value

Universal Application Network

Universal Application Network is standards-based integration architecture to integrate business applications:

• Siebel Systems provides

prepackaged integration applications that eliminate the need for custom software development

• Siebel Systems provides pre-built

integrations to Oracle, SAP, Siebel,

• ther packaged applications, EDI

and RosettaNet

• Built on scalable Web services

architecture

• Runs on industry-leading

integration servers

CRM CRM ERP ERP Custom Custom Legacy Legacy SCM SCM OSS OSS Billing Billing PLM PLM UCM UCM

UAN UAN

Universal Application Network Architecture

Siebel Siebel

Legacy Legacy Siebel Siebel Universal Universal Customer Customer Master Master Oracle Oracle Partners Partners

Adapter / Web Service

Transport Layer

Adapter / Web Service Adapter / Web Service Adapter / Web Service Adapter / Web Service

Firewall Firewall

SAP SAP

Transformations Transformations Transformations Transformations

Siebel Business Integration Applications Siebel Business Integration Applications

Integration Server Integration Server Integration Processes Integration Processes Common Common Objects Objects

“Siebel is the only vendor to deliver vertical applications to date. Siebel has tailored the usability of its suite for key roles in targeted verticals and has built out required industry functionality through development and

• partnership. Other vendors have only made minimal investments to

verticalize their [CRM] products."

Analyst Confirmation of Leading Industry-Specific CRM Solution

AMR Research

Insurance/Healthcare

Siebel’s Industry Capabilities vs. Its Competitors Siebel’s Industry Capabilities vs. Its Competitors

Siebel Offers the Most Comprehensive Industry CRM Solutions

Through 2004, Siebel will continue to deliver the most-complete CRM solution in the industry, and it will have the most-comprehensive industry footprint in the market (0.7 probability).

Source: Gartner Research, Siebel Systems: CRM Leader Outpaces ERP Vendor Rivals, M. Maos, August 15, 2002

Banking/Brokerage Retail Telecommunications Automotive Pharmaceuticals High- Technology Manufacturing Siebel’s capabilities in the industry Competitors’ industry average

Agenda

• Siebel Systems Corporate Overview
• Proven Solution for Aerospace & Defense
• Broad Industry Adoption & Proven Customer Success
• “One” Company Demo – Customer-Centric Business Transformation
• Business Value of CRM - “Making it Easier to do Business”
• Business Analytics – Digital cockpit for managing the business
• Account Management
• Life-cycle Service & Support Management
• OEM / Aftermarket Sales Management
• Air Show Event Management
• The Siebel Advantage
• Q&A

Select Siebel Customers in Aerospace & Defense

9 of the top 10 Global 500 Aerospace & Defense* Companies Have Chosen Siebel CRM

*Note: Global 500 for 2003 ACSI (Air Command Systems International)

Delivering Competitive Advantage

“We have taken technology and literally leap-frogged it in two years from being comparable and sustainable in the industry to being one that both OEMs and customers say is far superior – all to make our customer’s life easier and better and more efficient in doing business.”

• Aviall Services

“The new system, which will cost several million dollars, will mean support staff can access customer information from a single screen, instead of having to flip through multiple ones, cutting response times to support questions. We are very focused on speed to market for our answers. And an airplane on the ground is a very expensive asset.”

• The Boeing Company

“We're making customer support available 24x7 across our shops and On Wing Support, Leasing and Spare Parts businesses through our Customer Support Center. We've "blown up" our issue resolution process, implementing [Siebel] CRM software globally, as well as a new issue escalation process that's driving "daily connectivity" across our business and that's delivered a 2.5x improvement in closure speed.”

• GE Aircraft Engines

“[Now after Siebel CRM], today, one common customer information system is used by sales reps, field service engineers, product line personnel, and response center agents across [the company's] three main business units. As a result, everyone using the system can see which Honeywell products a client owns, as well as the status of parts being serviced, and can identify additional sales opportunities.”

• Honeywell Aerospace

“Prior to the Siebel rollout, there was no formal CRM system in place at Raytheon Aircraft. We identified that we didn't have any type of customer memory, and we cleaned up our act. Raytheon Aircraft has already recovered $1.4 million of its investment through increased sales. The Siebel applications were installed for 13% less than originally budgeted and were in use four weeks ahead of schedule.”

• Raytheon Aircraft Company

Delivering Tangible ROI & Strategic Value

Driving Measurable Business Results

38% increase in

customer satisfaction

100% increase in

service productivity

200% increase in sales

productivity; order step

reduction of 80% $5 million in cost

savings from sales / mktg headcount reductions

Down from 14 days to 1 day in

AOG resolution times

Drastically reduce 10:1 ratio of

maintenance to flight time

$84 million in NPV

estimated on cost savings alone

50% increase in

service productivity

• Increased service productivity in the call center by 50%
• Increased sales lead handling by reps by 45%
• Reduced lost sales leads by 25%
• Improved service request closure rate from 45% to 83%
• Increased aftermarket spare parts sales by 100% in first year
• Improved customer satisfaction by 38%
• Reduced service request cycle time by 60% (2.5x improvement)
• Reduced proposal (quote-to-contract) turnaround time by 85%
• Achieved $5 million in annual cost savings from headcount reduction
• Reduced annual IT costs by 30%
• Projected Net Present Value (NPV) of $84 million over 10 years
• Projected 25% increase in service productivity
• Projected 25% decrease in annual IT costs
• Increased revenue run rate by 100% and sales productivity by 200%
• Improved sales productivity by 200% and reduced order steps by 80%
• Improved customer satisfaction by 30%
• Generated $1.4 million in after-market spare parts revenue
• Facilitated shortening of AOG time from 14 days to 1 day as part of

entire CRM application suite and strategy

• Projected 100% increase in service productivity

Business Benefits Sample Customers

Delivering Tangible ROI to Aerospace & Defense

Impact of Total Cost of Ownership (TCO)

• n ROI

Proven Rapid Deployments

SAP Largest ERP References Siebel Global CRM Customers

SAP’s Largest A&D Customers Run Siebel in the Front Office

SAP Global ERP Customers

Proven SAP/Back-Office Integration

Agenda

• Siebel Systems Corporate Overview
• Proven Solution for Aerospace & Defense
• Broad Industry Adoption & Proven Customer Success
• “One” Company Demo – Customer-Centric Business Transformation
• Business Value of CRM - “Making it Easier to do Business”
• Business Analytics – Digital cockpit for managing the business
• Account Management
• Life-cycle Service & Support Management
• OEM / Aftermarket Sales Management
• Air Show Event Management
• The Siebel Advantage
• Q&A

The Company of Old - Organizational Silos

…Across Customers, Markets, Business Units, and Groups

Confusing to Customer / No Clear Owner “Difficult to do Business With”

Company of New

Leveraging the Enterprise as One Company

Customer 1 Customer 2 Customer 3 Customer 4 Customer 5

Military & Space Commercia l & Civil Regional & Business Helicopter

Airframe Systems Engine Systems Electronic Systems

“We’re simplifying our interface with customers to make it easier for them to do business with us. Whether it’s one contact at multiple businesses or multiple contacts at one business, we’ll make it as easy as possible for our customers.”

• Tom Mepham, President, Customer Services, Goodrich
• 3 SBU’s Containing 14 Strategic Business Groups
• Single Account Management Model
• Common Shared Customer Knowledge
• Complete, Current Perspective Across Markets,

Business Groups, Customers and Competitors

• Collaborative Forum to Leverage the Company
• Making it Easier To Do Business

“One” Company Product Demo Overview

Southwest Airlines (Customer) Boeing CAS (Partner) Company Airframe SBU / Landing Gear SBG Company Southwest Airlines Client Team Company Executive Team Cross SBU / SBG Business Analytics Account Management Lifecycle Service Mgmt Sales Management Air Show Event Mgmt Report Management Functionality Role / Visibility

Executive Feels the Pulse

• f the Business

Aware of SWA Exec Mtg Executive Preps for SWA Executive Meeting via Briefing Paper CSM Assesses 360 degree view of SWA for Executive Meeting CSM Reviews AOG / Flight Ops Service Issues Product Support Team Initiates AOG Resolution Support Team Collaborates with OEM on Joint Solution Extends Visibility of Service Status to SWA via Self-Service Portal CSM Reviews Top Parts / Service Oppties for SWA; Flags Execs for Air Show Landing Gear Sales Team Develops SWA Oppty Event Manager Plans the Upcoming Paris Air Show Extends Invitations SWA Executive Registers for Air Show on Self- Service Events Portal CSM Reviews Updated SWA Account Profile & Prints Executive Briefing Paper for Exec Review

Account Management

Account Analytics

VOC Summary Account Summary Order & Service Summary

Account Management 360 degree view

Enterprise Account Planning Consolidated Hierarchy Contact Management Assets Assessment VOC Activities Executive Briefing Opportunities Service Issues

Siebel Customer - Honeywell Aerospace

Company

• $9 billion in revenues
• 32,000 employees
• Leading global

supplier of aircraft equipment, engines, avionics, and services to the commercial and regional air transport, general aviation, and military markets.

• Ranked #1 Most

Admired Aerospace Company in America

Solution

• Live in fall of 1998
• Deployed to 3,000 users

by mid 2003 across sales reps, field engineers, product line personnel, and response center agents

• Leveraging Siebel Call

Center, Field Service, eMail Response, Sales, Quotes, Orders, & Analytics

• SAP integration late 2003
• Full upgrade to Siebel 7.5

in early 2004

Issues Customer

• Difficult for customers to

do business with Honeywell across business units, products, and functions

Employee

• Limited sharing of

information across silos

• No common sales and

service processes/tools in place

“Today, one common customer information system is used across [the company's] three main business units.” —Pruitt Layton, VP of Sales & Marketing, Honeywell Aerospace

Siebel Impact on Honeywell Aerospace

Improved by 30% overall Customer Satisfaction Improved by 80% On-time Service Request Closure Rate Reduced by 27% on average Service Request Response Time Increased by 15% Sales Win Rate Increased by 40% Number of Identified New Opportunities Increased by 300% providing greater insight Customer Information Increased coordination and collaboration across teams and business units by 40% Organizational Coordination Increased by 100% from $45 to $100 million in the first year. 20% of growth attributable to Siebel Aftermarket Spare Parts Revenue Improvement Operational KPIs

Aerospace VOC Red Out

Bob Johnson Aerospace CEO

December 13th 2002

• Quarterly Aerospace Reviews - CEO
• Monthly Business Reviews - VP/GMs
• Weekly Business Reviews - Product Line
• Daily Reviews - Customer Support

Importance = Behaviors Behaviors = Actions Actions = Results Results = Growth

Siebel Impact on Honeywell Aerospace

Executive Reviews by Bob Johnson / Rob Gillette

Life-cycle Service & Support Management

Service Request Management

Leverage knowledge base Capture key information Communicate action plans

Asset History

Schedule Maintenance Review SRs and actions Understand components

Self Service Portal

Extend knowledge Automate SR updates Push relevant content

Partner Collaboration

Access key information Service partners Service joint customers

Siebel Customer Case Study—Boeing

Company

• $28 billion in

revenues

• 65,800 employees
• 11,700 Boeing

airplanes in service today at more than 850 customer

• perators
• Leading aircraft

manufacturer offering a broad portfolio of airplanes and aviation services

Solution

• Go live planned for

October 2003

• 6 month prototype

deemed wildly successful – 25% under budget and 15% ahead of schedule

• Deploying Siebel 7

gradually to 1,500 total users – 400 field service engineers and 1,100 service engineers

• Leveraging Siebel Service

and Siebel eMail Response

Issues Customer

• No customer self-service

to collaborate or check status themselves

• Lack of customer

visibility causing satisfaction problems

Employee

• Excessive case closure

time and limited re-use of solutions knowledgebase

• Multiple case handoffs
• Nonscalable architecture

“Boeing expects the [Siebel] rollout to boost customer satisfaction and improve the flow of product info to the field service personnel.” —Gabe Hanzeli, IS Director, Boeing

Siebel Impact on Boeing’s Business

Projected to reduce costs by 25% upon deployment Pilot project came in 25% under budget 15% ahead

• f schedule

IT Cost Savings Expected NPV of $84 million over 10 years (Boeing’s confidential business case) Project Net Present Value (NPV) Reduced case response and closure time through fewer internal handoffs Case Cycle Time Projected to increase by 25% through intelligent routing, solutions and customer self-service Service Productivity Improvement Operational KPIs

OEM / Aftermarket Sales Management

Reduce Complexity with Selling Methodology

Ensure Opportunity Closure Opportunity Planning Contact & Relationship Strategy

Opportunity Management

Forecasting Activity Best Practices Proposal Generation

Mobile Clients

Outlook Integration Blackberry Wireless Remote Synch

Siebel Customer - GE Aircraft Engines

Company

• $11.1 billion in

revenue

• 26,000 employees
• ~3,000 customers

with 16,000 commercial engines in service

• World's leading

producer of large and small jet engines for commercial and military aircraft

Solution

• Live in early 2001
• Re-deployed Siebel 7.5 in

July 2003

• Deployed to 1,850 total

users – 550 call center service engineers and 1,300 sales worldwide

• Leveraging Siebel Call

Center, Sales, Quotes, Orders, and Configurator

• 90% out-of-the-box

functionality used in Siebel 7.5 redeployment

• Supported Six Sigma

Issues Customer

• Requests not addressed

as quickly or as well as expected

• Lengthy process to

receive a quote

Employee

• Lengthy sales cycle from

quotes and approvals to configurations & orders

• Lack of an integrated

system for quality service

“Implementing [Siebel] CRM software globally has delivered a 2.5x improvement in closure speed.” —Kevin McAllister, GM of Customer Support, GE Aircraft Engines

Siebel Impact on GE Aircraft Engine’s Business

$5M in annual savings from reduced headcount Cost Savings Reduced by 50% Proposal Cycle Time Achieved first pass proposal accuracy in 80% of documents Proposal Accuracy Increased by 50% Service Productivity Decreased by 60% Service Closure Time Decreased by 50% Service Response Time Improvement Operational KPIs

Air Show Event Management

Event Planning

Activity Planning eMail Invitation Goals Revenue / Expenses

Session Management

Invite & Register Sessions & Chalet Speakers Executives

Self Service Portal

Self Registration eMail Invitation Event Portal

Event Follow-up

Contact Events & Sessions Actual vs. Goal Results

Siebel Customer Case Study—Airbus

Company

• $20 billion in revenue
• 46,000 employees in

2002

• 3,300 Airbus aircraft

in service today at more than 190 customer operators, representing ~25% of the world’s fleet

• Leading aircraft mfr
• ffering a broad

portfolio of airplanes in capturing around half of all orders for airliners with more than 100 seats

Solution

• Live in Q4 2003
• Deploying Siebel Service

7.5 as ‘Number 1’ project with a gradual wave 1 rollout consisting of 400 users in France – scaling to 1,000 users across Europe in 2004

• Planned integration in

wave 2 between Siebel and SAP systems

• Rapid 8 month

deployment of Siebel using 80 – 90% OOTB

• Retiring 5 service and 3

sales applications

Issues Customer

• Felt service level was

secondary to Boeing with reactive approach and limited service history

• Lack of customer

visibility into service requests

Employee

• Need system to scale to

meet 100% growth in fleet over next 8 years

• Cases handled

reactively and via Lotus Notes email system

Siebel Impact on Airbus’ Business

Projected optimal preparation and outcome of sales and business planning visits with customer history Sales & Business Planning Visits Projected increase in service quality and customer communication through improved visibility into service requests and routing on severity, product and service history Service Quality and Customer Satisfaction Improved coordination and less cost in management and execution of air shows and special events (e.g. Launch of A380) Event Management Projected reduction in case response time and closure time through intelligent routing and solutions knowledgebase Service Case Closure Time Projected to increase by 100 percent to meet a 100 percent increase in Airbus’ aircraft fleet over the next 8 years (3,300 new aircraft) while holding staffing levels constant Service Productivity Improvement Operational KPIs

Features Features Benefits Benefits

Automated invitation Process Online Registration site Customer Meeting Tracking

Less cost/time spent managing invites Customer Self-Service Centralized Activity Coordination

A single process for managing key events

Siebel Impact on Airbus’ Business (Event Management)

Agenda

• Siebel Systems Corporate Overview
• Proven Solution for Aerospace & Defense
• Broad Industry Adoption & Proven Customer Success
• “One” Company Demo – Customer-Centric Business Transformation
• Business Value of CRM - “Making it Easier to do Business”
• Business Analytics – Digital cockpit for managing the business
• Account Management
• Life-cycle Service & Support Management
• OEM / Aftermarket Sales Management
• Air Show Event Management
• The Siebel Advantage
• Q&A

Siebel Value Proposition:

Help Organizations Optimize Everything Around the Customer

The Customer Experience Blueprint

Siebel’s Experience with 4,000+ Customers and 3M Users

• Siebel’s recommendation: what to do and when to achieve business results
• Based on experiences with 4,000+ customers and 3 million users
• Only plan specific to customer-facing solutions

Continual Focus on the Building Blocks

• f Success

Align Processes with Strategy Measurements Process Leadership Customer Experience Adopt Out-of-the-Box Processes Documentation

PROCESS

Development Infrastructure & Security Functionality & Usability Integration Testing & Performance Operations

TECHNOLOGY

Culture & Change Management Training & Communications Create Real User Value Measurement & Reward Data Quality Support & User Feedback

PEOPLE

Vision Value and Metrics Governance Structure Principles Executive Sponsorship Program Management

GOVERNANCE

The Siebel Advantage:

Why We Are Best Qualified to Be Your Partner

Unrivaled Domain Experience and Expertise

1

Proven Industrial Manufacturing Industry-Specific Solutions

2

Multiple Deployment Options: Hosted, On Premise, Hybrid

4

Broad Manufacturing Industry Adoption

5 3

Acknowledged Product / Technology Vision and Leadership Proven Customer Success in Driving Strategic Value

6

Agenda

• Siebel Systems Corporate Overview
• Proven Solution for Aerospace & Defense
• Broad Industry Adoption & Proven Customer Success
• “One” Company Demo – Customer-Centric Business Transformation
• Business Value of CRM - “Making it Easier to do Business”
• Business Analytics – Digital cockpit for managing the business
• Account Management
• Life-cycle Service & Support Management
• OEM / Aftermarket Sales Management
• Air Show Event Management
• The Siebel Advantage
• Q&A

You Provide We Engage

Next Steps: Discovery Process

• Access to:
• Business

executives

• Process owners
• Finance team
• Analyze existing

processes

• Develop

recommendations for solution

• Executive report on

existing business processes

• Recommendations on

high-impact Solution Sets

• Quantified business

value of recommendations

You Receive