Steering Committee Presentation for SCITe project

1. Steering Committee Presentation for SCITe project 4 June, 2001

2. Agenda • Update • Evolution of SCITe Project • Issues impacting SCITe Project • Timeline • Working Rules • Key Resources • Programme Risks • Summary

3. Key Progress to date Progress Update : • Input from functional teams working on business scenarios and business requirements to be completed by mid June. Some teams will be completed earlier • Core team to be established from beginning of June to amalgamate all inputs from workstreams and create deliverable for software evaluation • Honeywell ‘Proof of Concept’ scheduled for end of May • Negotiations with i2 underway. Aiming to complete by mid June

4. High Level Route Map - pre Singapore End May Mid to end July Mid Aug Mid/end Aug Process and Time I2 Negotiation/validation i2 Specification Final review and sign off Deliver 502 Business Requirements Periodic Review Develop Business Case Output ‘As is’ position ‘To Be’ Business Scenarios ‘To Be’ Business Requirements Organisational Impact Functional team sign off Refined Business Case 502 i2 ‘specification’ Benefits Costs Implementation Plan • Core Shell Team • PWC • i2 tech reps Resources • SCITe Group • PWC • SCITE • Sponsors/ TLs • Core Team • PWC • SCITe Steering • CMD

5. What were the main issues after Singapore ? Work was progressing well but there were a number of gaps : • Pricing is complex and no workstream has dealt with it fully • Interfaces between some areas of the business were not well defined • ‘To Be’ position required further work • User perspective was not fully considered The Proposed Plan addresses these issues by : • Setting up pricing as a separate workstream • Interfaces between the areas being considered by the ‘Integrate’ team • Overall visioning session to be performed

6. Changes to be made to satisfy issues • Core team to be set up • Separate 502s for data management and SCITe to be delivered • Standard delivery documentation • GAP test to be performed • VISION test to be performed • Pricing team to be set up

7. Affect on High Level Activities May June July Aug Paris Business requirements design Sydney Business requirements alignment Demand Mgt Business Requirements design Primary Distribution Business requirements design Integrate Business Requirements design Consolidate workstream output GAP Test VISION Test Pricing Business Requirements design I2 Gap Analysis Set up & mobilise core team Benefits analysis 502 1st cut implementation plan Risks analysis Organisation impact 502 Data Management& 502 Complete collection of current data capabilities ODW design Data Gap analysis Technical architecture & Support Organisation Design Workstreams Cost estimates 502 New activities Data management activity Optimisation solution development

8. Core team to be set up Driver • Large scale business resource commitment ends June 01 but commitment is still needed from the business for success • Transforming the business requirement into a business case and a software specification is more efficiently served by a smaller, focused core team Description • Core Team comprises of resources from SHELL, PwC and i2 Output • 502, Case for change & i2 gap analysis

9. Separate 502s Driver • Data Management is the foundation for a successful supply chain decision support system • The benefits of having improved data and hence better decision support information is a ‘no regret’ move. It should therefore be seen as a ‘stand alone’ project from SCITe Description • Develop a separate 502 submission that can stand alone from the SCITe project Output • Separate 502 with data management specific cost/benefit analysis and implementation plan.

10. Standard delivery documentation Driver • The six SCITe functional teams have developed their business requirements separately • To form an end-to-end solution, we must get alignment of terminology, interfaces and output Description • Combine and align functional teams outputs into a single, solution baseline document which forms a significant part of the end-to-end solution Output • Uniform baseline document forming part of the end-to-end MSD supply chain solution • Uniform and recognisable framework to describe business requirements

11. GAP test Driver • Build a confidence level that the solution description reflects the end-to-end business requirements Description • Subject the baseline solution to a review of outstanding issues between and across functional teams and external areas of the business Output • Ensure that the solution represents a significant part of an end-to-end solution for the MSD supply chain

12. VISION test Driver • Does the proposed solution answer the questions that prompted the SCITe project ? • Is the solution truly visionary according to the project sponsor, SHELL standards, industry peers and shareholders? Description • Review the initial driving concerns of the SCITe project and stretch the solution Output • Final SCITe business requirement

13. Pricing Driver • Modelling such a complex pricing arrangement represents the highest risk of failure by the software provider in terms of capability to deliver • Pricing fundamentally impacts the business requirements right across the supply chain and is highly complex. Pricing parameters include transfer price, market price, volatility, timing, tax, freight, etc. Description • Set up a small, dedicated team to develop pricing model across the supply chain Output • Uniform and coherent description of ‘price’ across the solution.

14. Working Rules • Smaller, more focussed teams • Emphasis on virtual teams where possible • Supplementing Shell effort with consultancy support where applicable

15. Business requirements VISION Test GAP Test I2 Gap Analysis 1st cut implementation plan Benefits analysis 502 Complete collection of current data capabilities Risks analysis Organisation impact ODW design Data Gap analysis Technical architecture & Support Organisation Design Cost estimates 502 Demand Mgt - 7 people, 1 workshop for 3 days ;2 people, 15 days at 30% Core team of 8 people (2 per workstream), 35 days at 100% VISION 7 key people,3 days, 100% Integrate - 5 people, 15 days at 30% Pricing - 2 people, 15 (30%) Current situation - 6 people, 20 days at 50% ODW design, 2 people,45 days at 100%; data gap analysis, 2 people, 100%; tech architecture & support organisation design, 1 person 50%; cost estimates, different people, 50 % Resource outline May June July Aug Business requirements design Business Case Consolidate workstream output GAP Test VISION Test Business requirements alignment I2 Gap Analysis Benefits analysis 1st cut implementation plan 502 Data Management Complete collection of current data capabilities Risks analysis Organisation impact ODW design Data Gap analysis Technical architecture & Support Organisation Design Cost estimates 502 Shell Resource Shell Resource - Data Mgt

16. Resource outline (Summary) May June July Aug Business requirements design Business Case Consolidate workstream output GAP Test VISION Test Business requirements alignment I2 Gap Analysis Benefits analysis 1st cut implementation plan 502 Data Management Complete collection of current data capabilities Risks analysis Organisation impact ODW design Data Gap analysis Technical architecture & Support Organisation Design Cost estimates 502 Demand Mgt - 7 people, 1 workshop for 3 days ;2 people, 15 days at 30% Shell Resource Core team of 8 people (2 per workstream), 35 days at 100% VISION 7 key people,3 days, 100% Integrate - 5 people, 15 days at 30% Pricing - 2 people, 15 (30%) Shell Resource - Data Mgt Current situation - 6 people, 20 days at 50% ODW design, 2 people,45 days at 100%; data gap analysis, 2 people, 100%; tech architecture & support organisation design, 1 person 50%; cost estimates, different people, 50 %

17. Detailed Resource Map Resource Teams Core Price Vision Data • Frans Dumoulin - SEOP • Femke Scholten - SEOP • Jos Reekers - SEOP • Chan Siew-Weng - SGSI • Assari Mohamed - SGSI • Fred Muller - SOPE • George Pierce - SOPE • Thierry Habert - SEOP • Nicola McClymont - SEOP • Kevin Bradshaw - SEOP • Ruth Cairnie • Mark Shortal • Steven Taylor • Howard Shields • Frank Willsdon • Piet Hein Daverveldt • John Abbott • Kevin Bradshaw • Paul Bennett • Marianne Van de Velde • Peter Harvey • Walter Reekers • Femka Scholten • John Hyde • George Pierce • Steven Taylor • Frans Dumoulin

18. Programme risk • Overlapping activities -critical activities • Fulfilment and secondary distribution interfaces • Timeline is tight • Dilution of knowledge and momentum as functional team members return to regular work • Urge to take short cuts to control cost or reduce scope may yield an unusable solution • Expectations are too high for what the system is capable of performing

19. Summary • A number of changes have affected SCITe project timeline since start of May • Current schedule indicates 502 delivery at end of August, but timeline is tight • Four teams required to deliver 502s - • Core team • Vision team • Data management team • Pricing team