FORD_SRDE_2018

32 Digital Transformation Digital transformation is among the most important global trends that affect our sector. New trends such as autonomous and electric vehicles or sharing economy affect the sector and offer new opportunities. We move forward by taking these opportunities in line with our vision of “becoming the most valuable and most preferred industrial company in Turkey.” In this path we have taken up since 2015, we created a 5-year road map by reviewing all our processes and systems with the purpose of integrating digital transformation to our complete supply chain and products. As part of this digital transformation program we adopted a holistic approach, we have achieved a significant progress by collecting them under five main areas, i.e. customer experience, products, supply chain, production, and employees. Digitalisation also plays an important role for the Lean Transformation program that we initiated this year in addition to the innovation and digital transformation works to be successful. We are carrying out digital transformation under a separate unit called Chief Digital Officer. We are integrating digitalisation to the whole organisation through chief digital officers from all departments within the company. In 2018, we implemented several important projects that contribute to different fields, from improving customer satisfaction to enabling efficiency: CONNECTED PRODUCTION • We developed Digital Vertical Production system by making innovation in the production cell in the transition from steel material to aluminiummaterial in hood production. We used vertical and rapidly replaceable robot equipment that take up less space and modified all parts’ transfers to be done within the line by the robots. Thus, we saved 55% of space compared to classical production methods. Furthermore, we made production processes more efficient through real- time camera measurements and digital reporting over intranet. We are now using the space and the labour in the optimal way by using digital and robotic equipment instead of fixed and space consuming production We move forward by taking these opportunities in line with our vision of “becoming the most valuable and most preferred industrial company in Turkey.” Connected Customer & Dealer Analysis of customer and dealer requests on a 24/7 basis, customized products and services Connected Production Digitization of production through Industry 4.0 Connected Product Innovative design methods Connected Employee A digital work environment for employees Connected Supply Chain A central data and management center for a minimum level of stock and just-in- time ordering SUSTAINABLE AND PROFITABLE GROWTH

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