Agenda

1. PLM PMO/CoE, Global Multi-Divisional DeploymentTano Maenza, PLM PMO, EmersonBob Christenson, PLM COE Lead, EmersonTom Arant, PLM PM, IBM Global Business Services 1

2. Agenda Emerson Overview The PLM PMO/CoE Goal System/Program Scope PLM Program Management Office PLM Center of Excellence Standards Divisional Deployments Partners – Emerson, IBM and Siemens 2

3. Agenda Emerson Overview The PLM PMO/CoE Goal System/Program Scope PLM Program Management Office PLM Center of Excellence Standards Divisional Deployments Partners – Emerson, IBM and Siemens 3

4. Emerson: Company Profile • Diversified global manufacturing and technology company serving industrial, commercial, and consumer markets around the world • Publicly traded (NYSE: EMR) • Headquarters in St. Louis, MO (USA) • Recognized for outstanding management processand record of consistent long-term performance • Manufacturing and/or sales presence in more than 150 countries • Founded in 1890 – in business for 117 years St. Louis, MO Headquarters

5. 2006 Emerson Summary 2006 Sales by Segment 2006 Sales $20.1B Employees 137K Appliance & Tools Process Management Industrial Consumer Climate Technologies Industrial Automation Network Power Electronics Locations 2006 Sales by Geography ROW Asia United States Europe

6. Emerson Brands $20.1 Billion in revenues with over 60 divisions

7. Agenda Emerson Overview The PLM PMO/CoE Goal System/Program Scope PLM Program Management Office PLM Center of Excellence Standards Divisional Deployments Partners – Emerson, IBM and Siemens 7

8. The PLM PMO/CoE Goal – Standard/Repeatable/Predictable Approach • The use of standard development and implementation methodologies to form a foundation for divisional deployment. • The development and implementation of standard software application modules that can be deployed at multiple locations. • The development and deployment of standard hardware and software configurations that can support multi-site implementations. • The development of a core team of experts available to support development and deployment.

9. The Benefits Scripted Deployment Incremental delivery Intellectual asset intensive Proven, consistent delivery Simplifying business process Industry leading practices • Reduced Development and Implementations Costs, including: • Lower training, support, and maintenance costs. • Lower project risk through Emerson standards and required compliant • Fully patched and tested • Rapid Divisional Deployment Model • Fixed scope and cost by the business requirements • Highly leveraged support model • Extensive PM training materials, documentation • Facilitate Implementation of the Emerson Global Engineering Strategy • Through the use of standard software implementations. • Divisional involvement guided by PLM CoE will insure their interest and ownership of the standards

10. Agenda Emerson Overview The PLM PMO/CoE Goal System/Program Scope PLM Program Management Office PLM Center of Excellence Standards Divisional Deployments Partners – Emerson, IBM and Siemens 10

11. Globalization Challenges • Divisions independently implementing processes that are not global in scope and can inhibit data sharing. • Increasing need to share technical information across divisions to support global development (Design/Source/Build Anywhere). • Global new product development saturated with multiple tool sets using independent processes. • No structured process for sharing large data files efficiently, slowing down the new product development process.

12. Standardized Solutions Division $ Division $ Division $ Centralized $$ Division $ Division $ Division $ Division $ Division $ Division $ • Makes IT costs more visible • Common solution reduces long term support costs for the corporation Division $ Division $ • Spending money multiple times for similar (customized) solutions • Need to consider lifecycle costs including future costs for upgrades Standardized Solutions Save Us Money & Reduce Risk

13. Agenda Emerson Overview The PLM PMO/CoE Goal System/Program Scope PLM Program Management Office PLM Center of Excellence Standards Divisional Deployments Partners – Emerson, IBM and Siemens 13

14. PLM Program Management Office Provides Corporate Funding, Project Mgmt, and Technical Teams to Support Standard Development Methodology Standard Funding Model Repeatable Best Practices Expedites, Coordinates, and Regulates Multiple CoE and Divisional Projects within a Standards Framework 14

15. PLM PMO Strategy for Deployment • Collect and Validate the PLM Deployment Roadmap (Pre-Alignment) • Develop and distribute PLM Communication to all Emerson divisions • Develop and distribute PLM Survey to all Emerson divisions • Develop PLM Deployment Plan indicating the sequencing of Divisional PLM deployment projects • Confirm the Requirements and Business Case for each PLM Deployment (Discovery) • Perform Divisional Discovery (Requirements, Schedule, Business Case, AR) • Perform Gate Review and Approve Project and AR • Build Proof of Concept for Level 1 Validation and Reference Architecture • Execute Divisional PLM Deployment Projects (Deployment) • Determine Support Requirements, Add Division to PLM Support • Throughout – Continue CoE Corporate/Group Efforts

16. Disciplined Process Approach to PLM Step 1: Understand Business Priorities Step 2: Identify Causes of Waste Step 3: Develop Solution Roadmap Step 4: Validate Business Value Corporate Goals & Objectives PMO Phase Gate Review PLM Maturity Assessment Pre-Alignment Phase PLM ROI Calc (AR Assistant) Discovery Phase • PLM Survey • Method Adoption Workshop • Key Decision Matrix PMO Phase Gate Review AR Submittal Best practice PLM process templates are provided at each phase to help guide teams through the process. IBM & Siemens PLM partners are trained and available To assist throughout the process. Deployment Utilizing Emerson Best Practices to Streamline & Reduce Risk of PLM Deployments

17. PLM Project Template Phases/Activities 17 IBM Global Services Method | 16-Nov-14

18. PLM Maturity Assessment • Simple questionnaire to gauge site PLM maturity level in critical process areas. • PLM process area emphasis tied to corporate goals and objectives. • Can be used as a baseline and reassessed post-Deployment. Deliverables • Assessment Report – Spider Diagrams New Product Development • Cross Functional Collaboration • Single Part Master Definition • Project Management • Digital Prototyping • Requirements Traceability • Change Management Supply Chain Optimization • Saving Opp • Supply Market • Collab Design • Supplier Selection • Contract Management • Supplier Management

19. Pre-Alignment Phase • Repeatable process to quickly assess potential PLM objectives. • Quickly targets high value area. • Initial look at ROI/business value areas. Deliverables • Assessment Report • High-Level Scope Document

20. PLM ROI Calculator (AR Assistant) • Easy to use questionnaire template. • Automatically derives ROI numbers. • Will directly support future PLM AR business case considerations. • Has the potential to streamline AR process, through standardization. Deliverables • ROI/Savings Calculations • Potential inputs/data for AR

21. Resource Template Tool Deliverables

22. Discovery Phase • Standardized evaluation methodology that can be customized to local requirements. • More detailed analysis of Deployment strategy and requirements. • Alignment to PLM CoE standards evaluation. • Deployment cost estimate. • Key Decision Matrix to trace requirements to solutions Project Management • Project Plan • Weekly Status Reports Phase One • IT Environment Assessment • Assessment of Current State • Business Architecture Context • Data Migration Plan • IT Architecture Strategy • Current Organization Assessment • Change Readiness Assessment • Application Architecture Phase Two • Architecture Model • Future Business Process Design • High-Level Deployment Strategy • Deployment Education and Training Strategy • High-Level Solution Plans • Key Decisions Matrix • IT Operational Model • Security Requirements • Transition Management Strategy

23. Deployment • Standardized Deployment Activity Checklist. • Best-Practice Deployment Roles & Responsibilities. • Template MS- Project Deployment Schedule. Deliverables • Approved scope & project plan. • Budgeted & resource-loaded Project. • PLM CoE solution standards deployment.

24. Agenda Emerson Overview The PLM PMO/CoE Goal System/Program Scope PLM Program Management Office PLM Center of Excellence Standards Divisional Deployments Partners – Emerson, IBM and Siemens 24

25. PLM Center of Excellence (CoE) Governing Body Develops and Promotes the Development of Corporate PLM Standards Develops Reference Environment based on Proofs of Concept Owns and Manages PLM Assets Maintains PLM Community Site 25

26. Governance & Oversight Model • Ongoing Activities • Leadership/Direction/Strategy/Coordination • Business initiatives, standards, technology • Approvals, Waivers • Leverage Evolving Best Practices • Standards Change Management • Data, Process, Technology, Configurations • Marketing/Promoting/Messaging/Educating • Division/Project Assessments • Before, During, After Deployments

27. PLM Architecture and Functional Roadmap • Define Architecture • All potential functions and integrations • PDM • Portfolio/Project Mgmt • Requirements Mgmt • ERP • Procurement/Parts/Supplier Mgmt • Mechanical/Electrical/Software Lifecycle Mgmt Integration • Applications, Data and Process Models • Multi-Site, Network Design • Revisions/Versions • Define Functional Roadmap • Deployment strategy

28. Goal: Integrated Supply Chain Master Data Catalogs Suppliers, Items, Locations Emerson Transaction Hub Design Automation Partners/ Customers Innovation Management MCAD Teamcenter Collaboration ECAD Rqmts, Compliance, PPM, Mfg Process Software LCM Suppliers Core Document, CAD, Change, BOM Mgmt Emerson (Oracle) Systems Supply Chain Management Supplier Portal Material Information Network Logistics Information Network Logistics Providers

29. CoE Organization Exec Team: TBLs, PBLs, Corp Inform and Advise Tano Maenza, Emerson PMO Bob Christenson, CoE Lead Sub-Teams (As Needed) Dynamic membership for limited time … … NPD Alignment Oracle Interface Parts Management Master Parts Catalogue Compliance Chief Technology Officer VP Supply Chain Chief Information Officer Partners: Siemens & IBM CoE Core Team Membership Climate Technologies Industrial Automation MAC Network Power Embedded Power and Computing Process Management Tools & Storage Corporate

30. PLM CoE Sub-Team Program Plan FY08 OCT DEC MAR JUN SEP Parts Classification • Parts classification schemas • Tc Proof of Concept Master Parts Catalogue • IT tool selection • Standard functions/schema • Tc Proof of Concept • Design/Build/Deploy AR Export Compliance • Standard functions • Tc Proof of Concept Tc-Oracle Integration NPD Process Alignment • Standard integrations • Tc Proof of Concept • NPD Templates • Tc Proof of Concept • Design/Build/Deploy AR Environmental Compliance • Standard functions • Tc Proof of Concept Design/ Build/ Deploy AR Parts Mgmt Process • Create, release, select/reuse, obsolete • Parts Mgmt Tc Proof of Concept • End-to-End Proof of Concept

31. Community Site • Provides central single source of truth for CoE documents through vaulting • Adds asynchronous collaboration through discussion boards, Issues lists • Demonstrates commitment to recommended PLM approved technology • Provides management of CoE team members PLM roles and responsibilities • Improves communication to CoE team members

32. PLM CoE Activities Schedule CoE Team Members List CoE Sub-Team Activity Special Projects Hosted Solution Issues Tracking PLM ROI Calculator CoE Discussion Board CoE Surveys PLM CoE Announcements PLM CoE Monthly Newsletters Support Center Emerson Help Desk Siemens Support Siemens Teamcenter Information Teamcenter Suite info links Siemens CAD/CAM/CAE Design Engineering Solutions Community Site Contents

33. Agenda Emerson Overview The PLM PMO/CoE Goal System/Program Scope PLM Program Management Office PLM Center of Excellence Standards Divisional Deployments Partners – Emerson, IBM and Siemens 33

34. Standards Data Model Process Model Functional Capabilities Global Engineering Strategy Reference System Architecture Corporate Application Architecture Reference Environment Configuration 34

35. Standards Data Model Process Model Functional Capabilities Global Engineering Strategy Reference System Architecture Corporate Application Architecture 35

36. PLM CoE Level 1 Data Model (RDA)

37. Standards Data Model Process Model Functional Capabilities Global Engineering Strategy Reference System Architecture Corporate Application Architecture 37

38. PLM CoE Level 1 Process Model (Example)

39. New Part/Change Management Level 1 New Part and Change Management processes– Investigation Request, Chance Request, Change Order, Change Notice

40. Standards Data Model Process Model Functional Capabilities through Subteams Global Engineering Strategy Reference System Architecture Corporate Application Architecture 40

41. CoE Subteams • Parts Classification • Parts Management • Environmental Compliance • Technology Export Compliance • New Product Development Alignment • ERP-PLM Integration • Master Parts Catalogs

42. CoE Subteams • Parts Classification • Parts Management • Environmental Compliance • Technology Export Compliance • New Product Development Alignment • ERP-PLM Integration • Master Parts Catalogs

43. Parts Classification Scope • Establish enterprise-wide part classification schema for catalog parts with divisional hierarchy road map for build to print parts and sub assembly • Develop common part definitions to enable part re-use at a site, division and corporate level. • Leverage industry standards in part classification and attributes. • Define data requirements to enable future design collaboration, part cataloging and new part introduction process. • Define data load strategy. • Solutions must be able to be implemented within Teamcenter. • Prototype classification schema for integration between Teamcenter and MIN • Define Governance between Data Model and Part Classification

44. CoE Subteams • Parts Classification • Parts Management • Environmental Compliance • Technology Export Compliance • New Product Development Alignment • ERP-PLM Integration • Master Parts Catalogs

45. Key Parts Management Elements Business Benefits Key Elements Development Efficiency • Expense • Cycle Time Management System • Teams Procurement Cost • Volume Purchases • Price Takedown Advantage Common Tools • Teamcenter • Oracle • Material Selector • MIN Process • P/N selection/reuse • Preferredness • Custom or Catalog • Classification Mfg Cost • Logistics • Inventory Warranty • Repair Action Expense • Field Inventory Common Metrics

46. CoE Subteams • Parts Classification • Parts Management • Environmental Compliance • Technology Export Compliance • New Product Development Alignment • ERP-PLM Integration • Master Parts Catalogs

47. Key Project Activities • Defined Environmental Compliance requirements • Must manage compliance data effectively and efficiently • Must integrate with any type of PLM or part management system that exists in the Divisions • Must address existing and future environmental legislation to be useful in the long term (especially REACH) • REACH, EU RoHS, China RoHS, WEEE, etc. • Must have a user friendly interface so that staff “use the software” instead of shelving it because it is “too hard to use” • Evaluated and Selected Teamcenter Environmental Compliance (TcEC) • Currently Developing Deployment Strategy in support of REACH

48. CoE Subteams • Parts Classification • Parts Management • Environmental Compliance • Technology Export Compliance • New Product Development Alignment • ERP-PLM Integration • Master Parts Catalogs

49. Technology Compliance Team • All U.S. origin technology is subject to the various U.S. export regulations • Regardless of where in the world the technology resides • Regardless of how exported (hardcopy, electronic, oral, etc.) • Team will review requirements and advise regarding International Trade Compliance • Requirements include: • Regulatory Jurisdiction (EAR, ITAR, etc.) • Export Classification to determine license requirements • Determination of access controls required • Define technology, technical data potentially requiring export licenses, e.g. • EAR controlled technology licensing depends on country, recipient nationality • ITAR controlled technology data restricted to any foreign national, even if Emerson employee, even if in U.S. • Best practices Technology Control Plans (TCP)

50. CoE Subteams • Parts Classification • Parts Management • Environmental Compliance • Technology Export Compliance • New Product Development Alignment • ERP-PLM Integration • Master Parts Catalogs