Process Excellence

“Sources for improvement

projects, what to use”

NOT FOR BROAD DISTRIBUTION

Agenda

Opening and Objectives

Steps in Continuous Process Improvement

Sources of potential Improvement Project

Case Studies

Closing and Questions

Opening and Objective

Introducing the Speakers Objective of the session

Create awareness about the topic

Inspire you in identifying opportunities

Learn from each other

Four Steps of Continuous Improvement
Do the
Right things

CPI projects

Do the
things Right
Sources of Opportunities

Top-down
Strategic
Business Priorities Industry Trends

Business Challenges
Competitiveness

Operational
Performance issues Control issues

Incremental productivity
Complexity vs
Compliance issues simplicity
Quality issues

Bottom-Up
SOURCES OF POTENTIAL PROJECTS
EverGreen Bold Moves
OpCo / Function strategy
Performance Indicators

• Based on Performance dashboard you can identify potential CPI project

Process Mining
Findings from Global Audit Reports

• Based on recommendation from Global Audit Report look at the Risk findings and see if
these can be improved
Introduction | State year end 2020
Status year end 2020

Open Issues Overdue (%)

OPEN ISSUES YE 2020

ASP AMEE
43% 19%

41%
NSA Europe
51% 47%

Trend total High Risk Overdue

HIGH RISKS OVERDUE

Top 5 # of Risks Overdue Entity top 5 Overdue Function top 5 Overdue

Safety Risk Assessment 18 Digital & Technology 21 Global Supply Chain 37
Physical & Logical Access (Information Sec.) 11 Heineken do Brasil 16 Digital & Technology 35
Property Safety Scorecard (Insurance) 11 Heineken Spain 13 Global Human Resources 29
IT Asset Inventory 9 Jamaica 12 Global Finance Process & Services 19
Human Rights Policy 6 Lagunitas 12 Global Treasury & Insurance 12
Source: BWise, status 3 January 2021
Employee

• Use a Brainstorm session to collect ideas from employees what is currently going wrong
within the processes! They are often the process experts and know what is going wrong!
• Discuss, prioritize them and link them to the OPCO / Department strategy.
Customer Satisfaction Surveys

• Within Lean it’s all about Voice of the Customer.

• The feedback from your customer on processes is very important, so use that to select the
right processes which needs improvement.
Benchmark

 OPCO Benchmark: Share & Replicate best practices from other OPCO’s.
 External Benchmark: Look outside Heineken at other companies in order to learn and
improve our processes.
CASE STUDIES
Sources of Improvements for the OpCo HMEX
The Ambition of Cost Create and develop the Sources for Improvements as
Empowered by CPI / PX
& Value as an OpCo a partner for the Business Functions.

90M€ 6M€ (6%)

We have 6 Building Blocks ->

Control 15 20 5
Champions Process Excellence
Improvements
Champions is a CPI Delegate within the Process Excellence will be mainly focused in Celonis Process Mining tool to find
Sources: Business Functions. potential opportunities in the Order to Cash process.
The 1st Report Out came out in March with 4 Real Use Cases called: Loss Mining
• Global Audit Results They share with us in Q1 the projects to be run Reports.
• Bwise with CPI methodology.

• ICFR Improvements Champions support in the follow up, deadlines 4

• Monitoring Activities and communication with their teams. Customer Centricity
• Speak Ups Champions may participate as CPI Hero's in 2021.
CPI is connected to one of the most important programs within the OpCo.
Customer Centricity includes the implementation of Heishop, New Sales Rep role
and activities, Improvements to the distribution, and Digital Workstreams.
Prioritization of Projects / 6
Rising
Improvements are connected Stars 20
to the P&CI STIs to assure the HR Development Program sponsored by CPI Share Service Center
methodology.
execution with methodology. Share Service Center has a strong development in CPI. They own an individual
Coordinators and Leaders may participate from Finance
Functions receiving special trainings and a project CPI program that includes training curricula, special templates and an internal
assignment. challenge.
Improvement Sources in HGSS
Driving Outstanding Performance
 CPI Team - organisational chart
Malgorzata Sowa-
Glodek
Head of Operational
Excellence

75 CIAs Dawid Porowski

CPI Manager

Carlos
Garcia Rubio Anna Jaskółka
CPI Specialists Acting as Junior Automation
Automation Team Leader
Team Leader

Alvaro Anna Szumełda-

Rodriguez Morales Automation
Cardenas Senior CPI Specialist Specialists
CPI Senior Team Coordinator
Specialist

Duccio Wiktoria Wojciech Krzysztof

Tongiani Katarzyna Slomiany Wójcik Kolacz
CPI Specialist Włodarczyk Junior
CPI Specialist
Automation Automation
Automation
Specialist
Specialist Specialist

Andrii Maciej
Malokhatko Piotr Jurczak Matysiak
Senior Jr Automation Jr Automation
Automation Specialist
Specialist
Specialist

Mateusz
Myszka
Jr Automation
Specialist

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 CPI Roadmap in HGSS and TOM
Creating conditions for Process Excellence in HKR and our Partners

Identify

ENABLE BUSINESS OUTCOMES

Process Excellence
• CPI Team Acting as CoE Share Plan
• Process Excellence Capability in place
• Competitive Capability Embedded
2021 - 2023
E2E CPI • Competitive agenda (TD)
ENHANCE PRODUCTIVITY • Virtual Visual Management
• E2E Governance
• CPoS Governance
• Data Driven CPI initiatives Closure Execute
2019 - 2021 • CPI Organization (People)

FIX THE BASICS • CPI Team set up • WoW and Governance Metrics
Internal Projects, QWs • R&R strategy • Visual Management
• CPoS Platform • Bottom Up approach Organisation & Governance
• CIA Community • Automation Team Set up
Change Management & Communication
• Training Model
2018 - 2019

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Demand generation through Ideas Generation & Process Analysis
Using ideas generation and process analysis to identify the Smart initiatives -“Be proactive not reactive”

Audit
Value Stream
Mapping

Ideas
Shadowing Generation
OpCos
Feedback Root Cause
Analysis Capture Ideas in
VVM & Rituals Prioritize Follow up and
CPoS closure

PS Inputs
Process Mining
KPI Tree

Global Inputs
• All improvements • Prioritization of “Smart • QW and Projects realization
opportunities are recorded in initiatives” , taking into monitoring and following up
Automation a common platform, assessed consideration the SHARP-X system
HeiFlow in terms of feasibility/ Agenda • Benefit assessment and
replication possibilities and realization reporting
Process classified as QW or projects
Analysis
Luminum CIAs, CPI Team, Automation Team, Process Specialist, PMO

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 KPI Tree as key enabler to HEINEKEN strategy

Set of PtP, RtR and OtC metrics based on standard definitions and calculation
systems
and applications  Defining and implementing HEINEKEN strategic
Strategic direction for the processes

 Translate strategic business outcome into

Functional operational actions

 Enabling Root Cause Analysis and actions to

Operational improve process performances and efficiency
 Driving day to day operational excellence
 Running transformation agenda and supporting
standardization

Internal controls  Ensuring processes compliance

Process Performance Management

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Virtual Visual Management
To guide the teams into the right discussion for process improvements in the easiest way

Connect Dashboards Leverage on Automation

to MT/LT level to Sanity checks and drive
provide reports and actions with the CIAs to
trigger improvements increase usage

Continue with the Agile WoW to add functionalities and facilitate

improvements (CpoS, Lumminium, Heiflow, KPI Tree)

♦ To effectively collaborate and communicate, build trust and team spirit

♦ To address right problems right here, right now (not tomorrow )
■ Management by Metrics
♦ To save time spent on excessive meetings/calls
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 True North Strategy (Hoshin-kanri)
CPI Driving Outstanding Performance

DATA

Discover
Develop

Define

Deliver

Discover A deep dive into the problem we are trying to solve

Define Synthesizing the information from the discovery phase into a problem definition
Develop Think up RCA and solutions to the problem
Deliver Pick the best solution and build that.
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Digital Agenda
PtP Maintenance &
reporting | Vendors
reconciliation
Maximizing coverage of existing automation Celonis use in identifying
OtC Sundry Billing – Virtual Visual RtR GL Postings OtC Billing &
continuation of a rollout Management automation – further automation
HeiFlow / Outsystems Pricing
further 40% of opportunities
catalogues
RPA OtC Sundry Billing scope automation Discussions in
automation progress

Qualitative
2019 2020 2021

PtP
RtR Fixed Assets Maintenance &
RtR GL Postings automation reporting | GRIR
automation – 40%
of scope PtP Intelligent PtP Intelligent OtC Collection
PtP Invoice Enabled by LSS
e-mail Assistant e-mail Assistant Cash Clearing
processing | FO standardization projects
automation
invoice posting

Highlights
Enablers
• Agreed approach • Lean Six Sigma standardization & optimization projects
• Eliminate, Simplify, Standardize, Automate • KPI Tree
• Governance established • Celonis process mining in 2 streams (PtP, OtC)
• Pipeline for next months built
• Building further automation competences in-house Risks
• Utilization of Process Mining • SHARP-X (avoid overlap with SHARP-X MVP scope)
• OpCo specific non-standard system setup
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