This document discusses Continental AG's supplier connectivity strategy. It begins with an overview of Continental, including its divisions, key figures, and vision. It then discusses trends in mobility and Continental's path to automated driving. The next sections focus on the development of Continental's e-inbound supply chain and connectivity with partners over time. It identifies current limits as high onboarding costs for suppliers, manual processes, and limited use of media. Continental's requirements for the future are stated as accelerated solutions, a focus on new markets, efficient processes, simple onboarding, flexibility, and use of new media to link information and people. The presentation concludes by noting Elemica's role in developing Continental's e-inbound supply chain.

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Continental AG at inSIGHT conference
Supplier Connectivity – Purchasing Rubber Divisions
www.continental-corporation.com Rubber Divisions

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Michael Okon – Inbound Supply Chain Management
Agenda
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Continental – Megatrends2
Continental – facts and figures1
Rubber Divisions – Supplier connectivity development3
Today’s limits and our requirements4
October 8, 2013
Michael Okon, © Continental AG

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Our Vision
Your Mobility. Your Freedom. Our Signature.
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› Highly developed, intelligent technologies for mobility, transport and processing
make up our world.
› We want to provide the best solutions for each of our customers in each of our markets.
› All of our stakeholders will thus come to recognize us as the most value-creating,
highly reliable and respected partner.
Michael Okon, © Continental AG

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Continental Corporation
Overview 2012
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Chassis &
Safety
21%
Powertrain
19%
Interior
20%
Tires
29%
ContiTech
11%
Sales by division in %
›Since 1871 with headquarters in Hanover, Germany
›Sales of €32.7 billion
›169,639 employees worldwide
›291 locations in 46 countries
›One of the top 3 in the automotive supplier industry
Status: December 31, 2012
Michael Okon, © Continental AG

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Continental Corporation
Five Strong Divisions
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Chassis & Safety
Vehicle Dynamics
Hydraulic
Brake Systems
Passive Safety &
Sensorics
Advanced Driver
Assistance Systems
(ADAS)
Powertrain
Engine Systems
Transmission
Hybrid Electric
Vehicle
Sensors &
Actuators
Fuel Supply
Interior
Instrumentation &
Driver HMI
Infotainment &
Connectivity
Body & Security
Commercial Vehicles
& Aftermarket
Tires
PLT,
Original Equipment
PLT, Repl. Business,
EMEA
PLT, Repl. Business,
The Americas
PLT, Repl. Business,
Asia Pacific
Commercial
Vehicle Tires
Two Wheel Tires
ContiTech
Air Spring Systems
Benecke-Kaliko
Group
Compounding
Technology
Conveyor Belt
Group
Elastomer Coatings
Fluid Technology
Power Transmission
Group
Vibration Control
PLT – Passenger and Light Truck Tires
Michael Okon, © Continental AG

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Michael Okon – Inbound Supply Chain Management
Continental Corporation
Key Figures for the Divisions in 2012
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Sales
in € millions
EBIT*
in € millions
Adjusted EBIT**
in € millions
Employees
Continental Corporation 32,736.2 3,073.4 3,522.4 169,639
Automotive Group 19,505.1 1,068.8 1,544.7 98,619
Chassis & Safety 7,052.5 638.5 686.8 34,517
Powertrain 6,134.8 29.5 278.6 31,028
Interior 6,434.2 400.8 579.3 33,074
Rubber Group 13,261.7 2,077.8 2,064.1 70,734
Tires 9,665.0 1,635.4 1,620.0 42,524
ContiTech 3,711.8 442.4 444.1 28,210
*Earnings before interest and taxes.
**Before amortization of intangible assets from PPA, changes in the scope of consolidation, and special effects.
Michael Okon, © Continental AG

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Michael Okon – Inbound Supply Chain Management
We Shape the Megatrends in the Automotive Industry:
Safety, Environment, Information, Affordable Cars
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Doing more.
For safe mobility.
Doing more.
For intelligent driving.
Doing more.
For global mobility.
Doing more.
For clean power.
Michael Okon, © Continental AG

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› We are convinced that automated driving will be a key
element of future mobility, as it will enhance the safety,
efficiency and comfort of individual mobility even further.
› Automation will lead to a significant decrease in the number
of road traffic casualties and it allows drivers to use their
time in the car in other ways and therefore more efficiently.
› Our path to automated driving:
› Partially automated driving by 2016.
› Highly automated driving from 2020.
› Fully automated driving from 2025.
› In 2012, we became the first automotive supplier to
be granted a test license for automated driving on public
roads in the U.S. state of Nevada.
Mobility of the Future: Automated Driving
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 Connectivity as one key element
Michael Okon, © Continental AG

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2005 20092006 2012< 2005
Email/fax
Communication
O2I
Implementation
Delfor
Implementation
VMI
Implementation
Sea Freight
Tracking
E-Inbound Supply Chain of the Rubber Divisions
Connectivity between Continental and its partners
October 8, 2013
Michael Okon, © Continental AG

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› Costs of on-boarding suppliers
› Manual efforts to on-board
suppliers
› Having the majority of the
suppliers connected, the benefit
of an additional connection is
decreasing
› Anonymous way of
transmitting information
› Limited media used for
receiving information
› Multiple media used for
problem solving
› Regional imbalance of
connectivity
E-Inbound Supply Chain of the Rubber Divisions
Today‘s limits
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Infrastructure
Operational
efficiency
Connection
› Speed of implementation of enhancement
› Not all solutions are linked
October 8, 2013
Michael Okon, © Continental AG

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Accelerated evolution of solutions
Focus on new and fast growing markets
Efficient processes and infrastructure
Simple and automated on-boarding
Full flexibility of solutions
Use of new media and link the information AND the people
E-Inbound Supply Chain of the Rubber Divisions
Our requirements
October 8, 2013
Michael Okon, © Continental AG

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Accelerated evolution of solutions
Focus on new and fast growing markets
Efficient processes and infrastructure
Simple and automated on-boarding
Full flexibility of solutions
Use of new media and link the information AND the people
E-Inbound Supply Chain of the Rubber Divisions
Elemica‘s developement
October 8, 2013
Michael Okon, © Continental AG

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Michael Okon – Inbound Supply Chain Management
for your attention!
Thank you
October 8, 2013
13Michael Okon, © Continental AG