AkzoNobel is a global paint and coatings company looking for ways to enhance their operations through automation. The challenge? Moving from isolated areas with different functions to a place where different company interests could align and execute a new business model that would enable their overall goals. Hear how Celonis enabled them to build a business case for improvement — ultimately eliminating low-value-add manual tasks, introducing more process stability and saving time and money with a digital workforce. In this session you’ll learn how the right investment in technology can support your journey to operational excellence.

1. The role of RPA and
Celonis in AkzoNobel

2. A global paints and coatings company
2017 key figures
€9.6 bn revenue
€1.2 bn EBITDA
€0.9 bn EBIT
9.4% ROS
13.9% ROI
35,700 employees
Business activities
Decorative Paints
Powder Coatings
Marine and Protective Coatings
Automotive and Specialty Coatings
Industrial Coatings
North America
12%
Mature Europe
33%
Asia Pacific
32%
Other countries
5%
Emerging Europe
9%
Latin America
9%

3. Our journey to GBS
GBS
launched with the
introduction of global
standardization & policies,
focus on end-to-end
processes
3-Tier-Model within
Functions
Business partners,
specialist centers of
expertise, and shared
services centers
Decentralized
functions
Function reporting
and alignment
Three-Tier
Business Model
Global Business
Services
First stepStarting point Today
Centralizing functionsDecentralized functions
& inefficient processes
Shared
Service
Centers
Centers of
Expertise
Business
Partners

4. What?
Executing business supporting
processes on an end-to-end
process basis
How?
Achieving operational excellence
OUR MISSION
“GBS will be essential to the business and functions to free up time and to reinvest in customer-centric, revenue-
generating opportunities, by improving process, cost, quality and cycle time with transparency and excellent
customer service.”
Why?
Create an organization that is
more globally integrated, agile and
standardized
GBS in a nutshell
Same business model adopted by
CEO
GBS
COO
Chief Supply Chain
Officer
General Counsel CFO CHRO
Chief Corporate
Development Officer

5. Our locations and services
5 Captive Delivery Centers & 2 BPO Centers
Warsaw
SMO
Pune
SMO
Nashville
SMO
SMO Service Mgmt. People Services
Finance Services
Sourcing Services
IM Services
HML Cost for the Region
HML Cost Worldwide
RAC, CCT & Controlling
Customer Analytics
RPA
BPO Business
Process Outs.
FP&A Reporting
São Paulo
SMO
Suzhou
SMO
BPO Łódź
BPO Pune

6. GBS to focus on 5 key
areas
Competitive
pricing
Continuously finding new &
innovative ways to lower cost of
our services for you
Reliable
delivery partner
Developing best-in-class end-to-
end processes & services. We
never stop looking for better quality
Preferred partner for
growth & innovation
Inspiring you with value creating
opportunities & breakthrough
changes
An inspiring GBS
community experience
A community where we can all
learn, grow, contribute and excel
Space to focus on
your core activities
Making your life easier by
allowing more effective time
management
We are making investments in new technology to support our journey
Celonis – Insights into process variation and compliance
Robotic Process Automation – Reduce our cost to serve and increase our quality and compliance
ServiceNow – Central system for query and workflow management, project portfolio and benefit
management

7. Digital Workforce is an inevitability and companies should start
preparing as early as possible
The model of a Center of Automation (CoA) in a GBS is currently
the most successful
The Center of Automation creates the guidelines, rules, policies,
methodology and define the appropriate partners for the company
CEB/Gartner estimates 10-15% of FTE cost reduction by using
automation
Average rate of each robot is around $8K per year compared
to $35k per year for an FTE
The role of robotics in our
journey

8. Building a RPA funnel through multiple
idea channels
Employee ideation
Process (re-)design
Market information
and benchmarking
Selection and
prioritization
Process mining
Ideation Execution
Lean Six Sigma
projects
Transformation
Kaizen
Robotics
Celonis can be one of the key sources for RPA ideas
Process mining
Robotics

9. Reflecting on our Celonis experiences
Ownership of the tool lies within GBS and execution responsibility lies with Global
Process Owners
Training on Celonis requires much less time than training a user on the process
Many ERP systems and custom activities resulting in a lesser ability to benchmark
processes internally (SAP+ MFG PRO+ AX) led to landscape harmoznization (one
ERP
Once Celonis was connected with the project demand pipeline, visibility was there
on the achieved value and ability to prioritize projects
Strong insights in how we truly execute our processes, highlighting a high range of
process variations and improvement areas
Celonis implementation started with one key domain, helping to build a better
understand of the tool and its abilities

10. Celonis Process Discovery
(Live Demo)
First time Right (Happy Flow) as crucial
component of process stability
Elimination of Non Value adding manual
activities
Building of business cases to support process
optimization

11. Conformance rate to First Time Right or the “Happy Flow” in invoice processing was av. 54% in
2017, equivalent to 24 FTE working full time in one year on resolving deviations

12. Conformance rate to First Time Right or the “Happy Flow” in invoice processing was av. 54% in
2017, equivalent to 24 FTE working full time in one year on resolving deviations
20072
17051
18945
16057 16696 17331 17227
16388
15601
14826
13137
10366
0
5000
10000
15000
20000
25000
Number of variants
Number of variants

13. Removing non value
adding activities

14. Business Cases for Improvement
Transitions
Projects that move work from one place to
the other e.g. from a business into GBS
Phase 1 –
“Initiation”
Phase 2 –
“Project
Justification”
Phase 3 –
“Detailed
Planning”
Phase 4 –
“Project
Execution”
Phase 5 –
“Support
& Optimize”
ePMO projects
Projects where the solution is already known
Continuous improvement projects
Projects where the solution is not known yet
Project to first identifying the root causes
before suggesting improvements

15. The pyramid of improvements
Volume
Break-
through
projects
Improvement
initiatives
Daily improvements
• Larger scale project to improve or
define global processes – CI lead
• Duration >3 months
• Trained facilitator
• CI-focused improvements
• Duration 1 to 3 months
• Trained facilitator
• PIMT team focused
improvements
• Duration < 2 week
• All employees

16. Project selection in alignment with our
process governance boards
1
2
3
Process network meeting
• Process Managers*
Process Change & CI Board
• Chair: Global Process Owner
• Global Process Delivery Leads
• Process Managers*
Process Sponsor Board
• Chair: CFO
• Global Process Owners
CI –Level 3:
Major programs &
Transformations
CI –Level 2:
Project & Big
initiatives
CI –Level 1:
Operational CI &
Minor initiatives
Example
Effort Impact
Project cost > 500k Over 12 months
IM cost > 250k Cross process
Capex > 500k
Effort Impact
Project cost = 50 -
500k
3 to 12 months
IM cost = 25 - 250k Limited cross-process
Capex = 100 - 500k Process lvl >= 4
Effort Impact
Project cost < 50k Up to 3 months
IM cost < 25k Process lvl < 4
Capex < 100k No cross-process

17. Value Realization Workstreams examples

18. THE FUTURE
 Machine Learning / RPA
 Scale up to other processes (Service Now, PP, MDM)
 Preventive/ Predictive/Prescriptive analytics