NON-EXHAUSTIVE Complexity Reduction Program “Funnel” Selection of improvement topics (page 1 of 3) Legend for status column: Priority 1: Topics prioritized by the CR Representatives team* as high-priority Priority 2: Topics prioritized by the CR Rep. team to be reviewed at a later time in order to respect/ accommodate timelines of current stakeholder efforts Qualified: Topics selected by the CR Core team as company-wide high-impact items Unqualified: Various improvement topics collected from Bayer employees world-wide Dismissed: Topics dismissed by the CR team on a case-by-case basis Claim1 (summarized) # Topic Status 1 Self-service/ selfadministration Time spent on self-service tasks, could be better spent on performing critical business functions, e.g., strategic and conceptual work by senior managers. 2 Effective onboarding A quality onboarding process is key to the “onboardee” quickly adjusting to his/ her new role and becoming productive from day 1. Priority 1 Developed success factors, high-level business case, etc.; Initiative currently led by HROTM 3 “Inflation” of Intranet sites/ Intranet User Experience (UX) Over the years at Bayer, there has been an “inflation” of intranet sites, i.e., a large number of sites have been created, all requiring valuable resources for design, ongoing operation, and periodic refresh. These resources can be saved by optimizing the number of intranet sites. Priority 1 Developed success factors, high-level business case, etc.; Initiative not yet launched 4 "Inflation" of online tools Reduction in number of online tools and applications, may result in improving the user-experience for the end customer. Priority 1 Topic addressed as part of #1 ("Self-service/ selfadministration“) 5 Customer satisfaction survey Time could be saved and response rate increased if satisfaction survey was included in the closing ticket from the helpdesk. Priority 1 Topic addressed as part of #1 ("Self-service/ selfadministration“) 6 Parking @ KaiserWilhelm-Allee Visitors can't find suitable parking within expected timeframe, therefore, ultimately may find themselves parking illegally or at the S-Bahn stop, which is far away and may compromise on-time arrival for scheduled meeting(s). Priority 2 Expansion and upgrades already in-progress; To be reviewed in Q1 2014 7 Ease of Procurement Procurement of items not listed in the standard catalogue is seen as unnecessarily difficult and time-consuming. Priority 2 To be reviewed in Q1 2014 Priority 1 Comments Developed success factors, high-level business case, etc.; Initiative currently led by CIO office * Rep. team including BCS, BHC, BMS, BBS, BBTS, BAG (Holding), and Regional Coordination Page 1 • Complexity Reduction Program • October 2013 1 - Summarized and paraphrased, based on numerous mentions in proposal collection from NON-EXHAUSTIVE Complexity Reduction Program “Funnel” Selection of improvement topics (page 2 of 3) Legend for status column: Priority 1: Topics prioritized by the CR Representatives team* as high-priority Priority 2: Topics prioritized by the CR Rep. team to be reviewed at a later time in order to respect/ accommodate timelines of current stakeholder efforts # Topic 8 RAF model 9 Golden Rules book ("Knigge") 10 Master data management 11 End-to-end process ownership and effectiveness (e.g., M&A, Mobility, Procure-to-pay) 12 Accountability 13 Interface improvement (e.g., BAG - TKs or Inter/ Intra TKs) 14 Review Badge Security and Access Protocols for Global access - especially at Bayer HQ Leverkusen (and Cologne sites) Qualified: Topics selected by the CR Core team as company-wide high-impact items Unqualified: Various improvement topics collected from Bayer employees world-wide Dismissed: Topics dismissed by the CR team on a case-by-case basis Claim1 (summarized) RAF model is rarely used in peer companies to Bayer, difficult to understand, and leads to significant confusion and workload (e.g., need for alignment, work-around to HR policies and systems). Comprehensive, consolidated, and easy-to-access repository of golden rules (e.g., conventions, best practices, desired behaviors, checklists, etiquettes) will lead to more effective work through less confusion or misunderstandings. Lack of diligent master data (Stammdaten) management causes need for frequent manual data validation, adjustments, and corrections. Reduction in the number of duplicate and manual data entries can help avoid potential errors. Several cross-functional “mega*” processes contain a lot of complexity which could be overcome through harmonization and standardization. (*”Mega” deliberately kept vague for now, so not to interfere with “global”) Fragmented accountability is created by multitude of committees, councils, and communities. Stronger accountability would lead to faster decision-making, allow managers to put a stake in the ground, and then also defend their decisions (and/ or draw lessons learned). Greater harmonization and synchronization would help speed up decision-making, reduce process cycle time, reduce errors, and free up resources. This would allow visiting employees (e.g. senior executives) to avoid spending time at the visitor center for signing in each time they visit a different global location. Specifically in LEV, badges are deactivated even though you visit frequently for Business. Status Comments Priority 2 To be reviewed in Q1 2014 Qualified To be reviewed by the CR Representatives team for prioritization Qualified To be reviewed by the CR Representatives team for prioritization Qualified To be reviewed by the CR Representatives team for prioritization Qualified To be reviewed by the CR Representatives team for prioritization Qualified To be reviewed by the CR Representatives team for prioritization Qualified To be reviewed by the CR Representatives team for prioritization * Rep. team including BCS, BHC, BMS, BBS, BBTS, BAG (Holding), and Regional Coordination Page 2 • Complexity Reduction Program • October 2013 1 - Summarized and paraphrased, based on numerous mentions in proposal collection from NON-EXHAUSTIVE Complexity Reduction Program “Funnel” Selection of improvement topics (page 3 of 3) Legend for status column: Priority 1: Topics prioritized by the CR Representatives team* as high-priority Priority 2: Topics prioritized by the CR Rep. team to be reviewed at a later time in order to respect/ accommodate timelines of current stakeholder efforts Qualified: Topics selected by the CR Core team as company-wide high-impact items Unqualified: Various improvement topics collected from Bayer employees world-wide Dismissed: Topics dismissed by the CR team on a case-by-case basis Topic Efficient internal/ intercompany orders, contracts and billing Claim1 (summarized) Reduce cycle times and avoid extra effort by standardizing the Contract and Billing process across TKs, while reducing the number of hand-offs and non-critical steps to create a more efficient process. 16 Integrating IT Inflation of IT organizations (O&I, BBS, Local IT, etc.) creates much confusion and potential duplication. 17 Controlling & Reporting (i.e. Standardized reporting/ single version of the truth) 18 Invoicing at Bayer Gastronomie 19 Harmonized and synchronized budget process 20 Ease of doing business with Bayer/ Customer Centricity 21 Introduction of "P-Card" (i.e., dedicated company credit card for small department purchases) # 15 Reporting through the various levels of hierarchy at Bayer is duplicative and very time-consuming. It requires a lot of resources, and may even invite errors along the way. Standardized and consolidated reporting can help free-up time that can be used for creation of insights and additional recommendations for helping the businesses. Incorrect/ inaccurate invoicing results in a lot of inefficient use of employees' time. Budget process at Bayer is viewed by many as complicated, timeconsuming and involves too many people. By harmonizing, streamlining and synchronizing the Budget process across Bayer, the organization could save valuable resources and focus on other critical business functions. Bayer is seen by large, big box retailers as well as other customers as one of the more difficult suppliers to do business with. A streamlined approach could generate more sales, while simpler administrative processes could allow sales personnel to focus on customer needs. Introduction of "P-Card" globally can effectively replace the error-prone handling of petty cash and the time-consuming "Your Docs" system (only compliant method as of today). Status Unqualified Unqualified Dismissed Dismissed Dismissed Dismissed Dismissed Comments To be reviewed by the CR Core team for qualification To be reviewed by the CR Core team for qualification Dismissed with understanding that Business Intelligence project is a first step taken by GAC to address this topic Dismissed as it is being addressed already Dismissed as the Budget Process has actually been simplified over the past year or so – see separate communication Dismissed with the understanding that this should be addressed by the business (sub-groups) Dismissed with the understanding that this is a core task of Procurement and availed, when feasible * Rep. team including BCS, BHC, BMS, BBS, BBTS, BAG (Holding), and Regional Coordination Page 3 • Complexity Reduction Program • October 2013 1 - Summarized and paraphrased, based on numerous mentions in proposal collection from