FORD_SRDE_2018

34 Innovation Management Our innovation strategy consists of offering innovative products and services that facilitate lives of our customers while also creating a difference in the sector by conforming to the trends of the future. Innovation has a big role in the Lean Transformation approach that we define as reorganising our resources to produce higher quality products in less time, with less energy and less space and more qualified labour. We consider innovation a means of transformation for our company to become not only a conventional vehicle manufacturer but offering services. We are investing in various fields including conformity to Industry 4.0, data analytics, 3D printer use in production, cyber security, coding and software. With all our projects and works related to innovation, we contribute to the areas of Sustainable Development Goals including Industry, Innovation and Infrastructure, Sustainable Cities and Communities, Responsible Consumption and Production. Ford Otosan identified the material issues in innovation through the works of Innovation Committee as Digital Transformation, Smart Production, Customer Experience, Interactive Vehicle and Autonomous Truck. We consider innovation a means of transformation for our company to become not only a conventional vehicle manufacturer but offering services. Digital Transformation Digital transformation is to use digital tools and methods to create efficiency and value by implementing these in a smart and sustainable way. Digital transformation directly supports other innovation areas. Smart Production Smart production consists of transformation of the existing processes in Ford Otosan factories to more competitive and flexible processes by making use of smart and efficient production, material, planning and logistics systems. It brings together technologies such as “Internet of Things,” “Smart Factories,” “Cyber/Physical Systems” and “Industrial Internet.” Customer Experience Customers’ preferences regarding transportation are changing and online communication channels are increasingly popular. The goal is to design mobile services created considering prior, during and after sales, innovative dealer and service structures, applications such as vehicle and journey sharing. Interactive Vehicle This refers to the interaction between the vehicles as well as the infrastructure of the city as part of a wider transportation ecosystem. It includes a wide range of services depending on internal/external connectivity systems such as navigation for a safer and efficient driving experience, smart engine systems integrated with mobile communication channels, fleet management systems, in-vehicle infotainment systems. Autonomous Truck This includes development of products based on advanced technologies such as advanced sensing systems, cyber-security systems, automated tests, aerodynamic gains via tailgating, sensitive mapping systems, and new solutions to be offered in the logistics sector thanks to these products. SUSTAINABLE AND PROFITABLE GROWTH

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