SALES

Customer service further improved
In 2017, Porsche concentrated on improving customer service through a variety of different projects. In addition to strategically important external studies and comparisons with the competition, Porsche also conducts its own continuous measurement of customer satisfaction with sales and service processes. Real-time reporting has been set up that ­directly informs responsible parties within the system of customer feedback.

With the start of the “Excite! Driving Global Customer Culture” initiative, the company aims to further enhance its customer focus. The project is being introduced as a pilot project at Porsche Cars North America and Porsche AG in Germany. The project focusses on two key questions: How can the internal customer focus be further enhanced? And how can employees’ proximity to customers be further enhanced? Understanding, knowledge and empathy play a central role here. Based on comprehensive analyses of the customer culture, in 2017 top management defined customer-orientation guidelines. Training and coaching for the implementation of these guidelines have been successfully initiated and will be continued and expanded through innovative tools in the years to come.

Process and customer management
CRM@Porsche is the central process and customer management platform for all affiliated subsidiaries and their dealers and is integrated across all sales levels. The platform also includes all further customer-related applications. To ensure successful and efficient management of the customer journey, the continuous development of CRM@Porsche is essential. The goal is a fully integrated backend of the current and future customer ecosystem. The platform will therefore be further developed technically, functionally and visually in the coming years. In 2017 the emphasis of the project CRM@Porsche 2017+ was on technical readiness. The focus here was on preparing the implementation of new processes, functions and applications. There are also plans to develop a new user experience that guides and supports users through the processes and functions.

Porsche strengthened its digital customer presence yet again in 2017. With My Porsche, the Connect portal revised in 2016 was expanded as a personal interaction platform for the customer with Porsche and introduced in some initial markets. Customers and potential buyers now have access to the entire digital and service portfolio custom-tailored to their individual needs using their Porsche ID. The range is continuously being expanded and already includes numerous Connect services, remote vehicle information, after-sales functions and smart mobility products.

Recognition and prizes from all quarters
Numerous international studies have confirmed the positive effects of the customer service and customer satisfaction measures. In 2017, Porsche came out tops in the overall rankings of the Automotive Performance, Execution and Layout Study (APEAL) quality study by the US market research institute J.D. Power for the 13th straight year. Porsche thus remained the automobile brand with the highest attractiveness for customers in the US. Moreover, the Porsche 911, Cayenne and Macan models also topped their respective categories. The survey involved more than 69,000 new car owners, who rated 243 models from 33 manufacturers in ten categories. Also conducted in the US by J.D. Power, the Initial Quality Study (IQS) annually surveys new car customers regarding defects in their vehicles. With its repeat top ranking, the sports-car icon 911 led the tables for the sixth year in a row in the “Midsize Premium Sporty Car” category. US customers have thus rated the legend from Zuffenhausen as having the best quality every year since 2012. The Macan took top honours in the “Compact Premium SUV” segment. Since its survey debut in 2015, it has thus headed the category three times on the trot. The Porsche plant in Leipzig once again took gold and thus the top spot among all plants in Europe and Africa.

The US consumer magazine Kelley Blue Book handed out a total of four Brand Image Awards to the sports-car maker: the Porsche brand in the “Best Performance Luxury Brand” category, the Porsche Macan in “Best Resale Value – Luxury Compact SUV/Crossover”, the Porsche Panamera in "Best Resale Value – High-End Luxury Car”, and the Porsche 718 Cayman in “Best Resale Value – Sports Car”. Readers of the US car magazine Car and Driver placed the Porsche 718 Boxster and Cayman among the “10 Best Cars” and the Porsche Macan among the “10 Best Trucks/SUVs”.

APEAL and Kelley Blue Book: Macan

In Germany, over 120,000 readers of the trade magazine auto motor und sport gave top honours to Porsche 911 Carrera and the Porsche 911 Cabriolet – as in the previous year – in the “Best Cars 2017” rankings in the sports-car and convertible categories, respectively. The new Porsche Panamera, meanwhile, took victory in the luxury class in its debut year. Readers of sport auto named Porsche models best in class in four out of ten categories. The 718 Boxster S, 911 Carrera GTS, 911 Carrera GTS Cabriolet and the 911 GT3 all conquered their respective competitors. Porsche was the most successful manufacturer in the survey. The British magazine Top Gear honoured the Porsche 911 GT3 with its “Engine of the Year” award and the Porsche 911 GT2 RS with the Code Brown Award as the “Scariest Device of the Year".

Best Cars 2017: Panamera 4S

And in winning the “Golden Steering Wheel” from Bild am Sonntag and Auto Bild, the Panamera Sport Turismo was named the best sports car of 2017, securing one of the most important European automobile awards. The Golden Steering Wheel has been awarded by the publications of the Axel Springer publishing house since 1976 and is regarded as the Oscars equivalent for cars, with its exceptional international renown.

Golden Steering Wheel: Panamera Turbo Sport Turismo

For the 14th time, Auto Bild and Schwacke named their “Value Champion”. The award compares all models sold in Germany in 13 vehicle segments and names the vehicle with the most stable value in each class. With a value loss of just 34.7 per cent after four years, the Porsche Macan S Diesel again took the title as the most stable-valued car in Germany. In total, Porsche scored four class wins: in addition to the Macan, the 718 Cayman S PDK won the sports-car class, the Panamera 4S Diesel the luxury class and the Cayenne Diesel the SUV class.

Dealership Sustainability Initiative
With its Dealership Sustainability Initiative, Porsche supported the planning, construction and operation of environmentally sustainable Porsche Centres. One innovative example was the development of a photovoltaic carport that is now being used at Porsche dealerships worldwide. Specially designed for Porsche vehicles, the carport enables the charging of plug-in hybrid and electric vehicles with locally generated renewable energy. It also protects against weather conditions. The elegant support structure with integrated Porsche universal chargers (AC) features a roof structure made of semi-transparent glass-glass photovoltaic modules. For two parking places, for example, they generate more than 3,000 kilowatt-hours of energy per year – enough electricity for over 200 battery charges for a Panamera 4 E-Hybrid, which corresponds to an electronic range of roughly 10,000 kilometres. The photovoltaic carport celebrated its premiere on the North Sea island of Sylt. Plug-in hybrid vehicles hired out by Porsche Drive can be charged there. Further locations are already in the pipeline.

Porsche was also honoured worldwide for sustainable construction in 2017. In China, the Porsche Centre Shanghai Waigao-qiao received the “LEED Gold” certification. In the US, the Porsche Experience Centre in Los Angeles was rated “LEED Certified”.

New corporate identity
New design for the Porsche brand presentation: Porsche changed its corporate identity for the first time in roughly 20 years. The in-house font, colours and image presentation that the sports-car maker now uses in its communications, such as publications, catalogues, ads, signs, online media and even the displays in its vehicles, have been fundamentally reworked. The result is a significantly modernized and even more emotional presentation. Porsche had been resolutely applying its previous corporate identity since 1996 and with it had given the brand an unmistakable appearance. With the growing importance of digital channels, the new design effort placed great importance on establishing a brand presentation that would work online as well, and unmistakably stand for Porsche. In the future, the colour scheme will focus in the colour white, accompanied by four grey tones, black and a new, brilliant Porsche red. The colour Acid Green was retained as the communications colour for the E-Performance area. The Porsche Next in-house font was also redesigned.

Porsche and Microsoft
Virtual driving pleasure for real: Porsche and Microsoft plan to collaborate more closely in the future. At the 2017 New York International Auto Show, the two companies agreed to a six-year partnership in the field of racing games and electronic gaming competitions. In the future, sports cars from Porsche will have a greater presence in the racing game series Forza Motorsport and Forza Horizon. One central element of the partnership is the growth field of eSports – i.e. competitions in which players compete in virtual gaming contests. The kick-off for the engagement was the Forza Racing Championship (ForzaRC), the leading eSport racing series with the largest online racing community worldwide. Based on the current Xbox racing game Forza Motorsport 6, in which Porsche has been involved with over 20 cars since 2016, the ForzaRC 2017 season provided a motor racing championship for all Porsche fans.

Aftersales: professional service
The Aftersales department also focussed on the market launch of the new Cayenne in the reporting year as well as securing the worldwide replacement parts supply for the third SUV generation. In addition to the definition and provisioning of replacement parts, new digital, interactive Driver’s Manuals and an app for customers were developed. Aftersales also achieved a very strong insurance rating for the Cayenne. New repair concepts continued to be developed. For example, a procedure that enabled particularly rapid testing for wear on the new PSCB brake utilising a paint-thickness measuring device was introduced. This enabled more cost-effective and simultaneously higher-quality service both for the customer and the Porsche Centre.

To ensure that vehicles could be rapidly and competently serviced or repaired, a comprehensive training programme for the employees of Porsche Centres was initiated worldwide. The focus of the training programme was new technologies and systems used in the Cayenne. The qualification of the dealer organisation as well as the further development of the course and training methods were core themes in the effort to prepare dealers optimally for coming vehicle generations.

The advancing electrification of the vehicle models also took on a central role in the aftersales context. In particular, this included the development of a powerful charging infrastructure at the Porsche locations that would allow the recharging of vehicle batteries at currently unimaginable speed – independent of the capacity of the available connection lines. In the reporting year, a clear course was charted for these new technologies, and the requisite infrastructure and processes are in development. At the same time, the Sales department and the Volkswagen Group were hard at work on “intelligent home charging”. With automatic consideration of the electricity price and the current electricity needs of all consumers in the household, the system enables rate-optimised charging.

The Porsche vehicles of the future will, more­over, be “always online”. In 2017, the Aftersales department worked on various over-the-air (OTA) functions. In the future, these capabilities will enable one-click purchasing of new vehicle functions in the Porsche navigation system. Analyses and troubleshooting will also be possible without the customer having to visit a Porsche Centre.

The Aftersales department also worked on Service Packages offering customers all-­inclusive comprehensive services. All costs for maintenance or replacement of high-wear components, for example, would be covered by a single price. This would then ensure optimal care for the vehicle.

To make day-to-day work in the Porsche Centres more efficient and pleasant, all Aftersales systems were modernised in 2017. In the future, roughly 30 systems will be united in a single frontend.

2018 TÜV Report: quality at Porsche
In the 2018 TÜV Report published in November 2017, the 911 models from Porsche once again demonstrated their superior long-term quality. Among the six- to seven-year-old models as well as the eight to nine-year-old and ten to eleven-year-old models, the 911 topped the list in each category. The 2018 TÜV Report was based on the results of the main study. In the study period between July 2016 and June 2017, the results from nearly nine million vehicles were evaluated.

Collaboration project in battery recycling
In Aftersales, Porsche is collaborating with the Swedish company Box of Energy. The joint project involves the recycling and further use of lithium high-voltage batteries. A prototype for a second-life energy storage unit is in progress. The unit is comprised of two used Panamera batteries installed in a stationary energy storage unit with 18 kilowatt-hours of capacity. Depending on market and customer demands, specific solutions for the storage of solar power generated in-house or cheap purchased electricity for later use will be developed. In conjunction with renewable energy sources, the project makes an important contribution since the need for temporary storage of electricity is continuing to rise. The use of used vehicle batteries as energy storage units significantly reduces waste and the consumption of raw materials.

Porsche Classic expands offerings
In addition to current vehicles, classic Porsche models continue to enthuse fans worldwide. Porsche Classic handles all vehicles whose production period lies more than about ten years in the past. This includes all aspects, from technical literature to the provision of 52,000 original parts and even complete vehicle restoration. New additions to the replacement parts assortment included the brake drum for the Porsche 356 A and the Porsche Classic Vehicle Tracking System, which provides an additional anti-theft protection measure for classic sports cars. For the optimal maintenance of the vehicles and to provide an expert point of contact for classic Porsche enthusiasts, the international dealer and service network was further expanded in 2017. Locations were added in Australia, Hong Kong and Norway. Customers and potential buyers therefore now have a total of 60 Porsche Classic partners worldwide, including three Porsche Classic Centres. The Porsche Classic Centres now bring together services, auto repair and sales of classic sports cars under one roof for the first time. Porsche has thereby integrated the care and value preservation of modern classic and older classic cars in a single service concept that honours tradition and innovation in equal measure.

Porsche Classic Centre in Norway

PRODUCTION

In the 2017 financial year, Porsche produced a total of 255,683 vehicles. This constitutes an increase of about seven per cent compared with the previous year. All vehicles in the 911 (33,820 units), 718 Boxster (12,900 units) and 718 Cayman (5,081 units) model ranges came off the production line at the Zuffenhausen plant. Thus, Porsche produced a total of 51,801 cars at its headquarters in Zuffenhausen. A total of 156,439 vehicles were manufactured at the Leipzig plant, amounting to around 61 per cent of Porsche’s total production. 98,763 units in the Macan model range came from Leipzig, plus 20,071 Cayennes and 37,605 Panameras. 5,286 units of the third-generation Cayenne were produced in Bratislava (Slovakia). Porsche produced 33,711 Cayennes at the Volkswagen Group’s multi-brand site in Osnabrück and 8,446 units of the 718 Cayman.

Production in Zuffenhausen
On May 11, the millionth Porsche 911 came off the production line in Zuffenhausen: a ­Carrera S in the individual colour Irish green, reminiscent of the first original 911s from 1963. The 911 remains the most strategically important model in the product range, and contributes significantly to Porsche’s position as one of the most profitable carmakers in the world. A significant element of Porsche’s success is the production site at its head­quarters in Zuffenhausen. All the 911 models are built here. An ingenious production principle now enables the assembly of all the sports cars on one production line – the 911, 718 Boxster and 718 Cayman, including their numerous derivatives.

The one-millionth 911

Approval for restructuring in Zuffenhausen
A milestone on the road towards production of the first purely electric sports car was achieved in 2017 when, following a seven-month application review, immission control approval was issued for the restructuring of the traditional site in Stuttgart-Zuffenhausen, with no reservations. The documents submitted comprised 365 files weighing around one tonne in total. The complex procedure included public involvement and determined all the environmental effects of the construction project: for example, the effects on humans, flora and fauna as well as on the landscape and on cultural assets. Over 15 environmental assessments were drawn up for air, noise, water protection and environmental protection. The authorities approved the plant extension, which will result in a capacity of 100,000 vehicles per year. The saddlery, the new engine plant and the vehicle assembly department can also be expanded. Porsche maintained on-going, proactive dialogue with its neighbours during the process.

The first Baden-Württemberg industry week
In June, Porsche participated in the first Baden-Württemberg industry week, organised by the Ministry for Economics, Labour and Housing. The company gave an insight into sports-car production as well as into the training developments necessitated by operational changes. Instructors learned how trainees can be involved at an early stage in topics such as digitalisation, electromobility and smart mobility, and the learning methods that can be used for this.

Minister President praises Porsche production
During his visit to Zuffenhausen in July, Minister President of Baden-Württemberg Winfried Kretschmann learned about the company’s future direction with regard to electromobility and the associated restructuring of the Stuttgart-Zuffenhausen site. He praised the new engine plant as a role model. “The careful and far-sighted management of urban areas exemplifies sustainability, and the involvement of residents conveys transparency. All these are important steps towards being a role model for climate-friendly mobility,” said Kretschmann.

Winfried Kretschmann visit

Porsche plant particularly sustainable
Porsche is setting standards in terms of sustainability with the expansion and renovation of its headquarters in Zuffenhausen. Plant 4, with the new engine plant, central workshops and additional office space, was given platinum certification by the German Society for Sustainable Construction (Deutsche Gesellschaft für nachhaltiges Bauen, DGNB) in October. This makes Porsche a pioneer in this area. The award honours economic, ecological, socio-cultural, functional and technological process quality in the restructuring and conversion of industrial districts. At the pre-certification in 2015, Plant 4 had already been considered for gold certification, which was the highest award category at that time.

In future, the electric drives of the Mission E will also be produced at the new engine plant, as well as V8 engines. A new building will also be built for the central workshops in Zuffenhausen, which will be located on the premises of the former Mercedes transmission plant. A particular advantage here was that assessments of inherited liabilities and pollutants had already been drawn up in advance of the demolition work and that the renovation recommendations were not only implemented but also supervised by surveyors.

In addition, Porsche set considerably more horticultural plants than is actually prescribed for ecological compensation. The award also acknowledged the future energy mix, including a biogas component, the generous relaxation rooms with adjacent green spaces and park-like areas for employees, and the quality of the entire project management.

Porsche engine plant

Efficient resource use
In Zuffenhausen, Porsche participated in the Federal State of Baden-Württemberg’s project 100 Companies for Resource Efficiency in 2017. In the paint shop, the optimisation of operation in the pre-treatment process for vehicle bodies enable a saving of around 60,000 kilograms of chemicals (e.g. tensides, cleaning agents, pH regulators) per year, in addition to 5,500 cubic metres of fresh water. The procedure is applied in order to remove adhesions and lubricants from the bodywork surface in preparation for the painting process.

The second project that Porsche submitted was the energy optimisation provided by use of drier exhaust heat in the wet chemical waste air purification plant in the Zuffenhausen paint shop. The optimisation enables the necessary separating agent to be heated by the waste heat flow from the paint drier in the waste air purification plant. This achieves electrical energy savings of 750,000 kilowatt hours per year, which corresponds to an emission of 319 tonnes of CO₂.

This commitment was honoured during Baden-Württemberg’s 6th Resource Efficiency and Circular Economy Congress: in the presence of Minister President Winfried Kretschmann, Environment Minister Franz Untersteller presented two certificates to Head of Production Albrecht Reimold. Furthermore, both measures were included as examples of excellence in the book “100 Companies for Resource Efficiency”, which is being published to accompany the federal state project.

The pre-treatment process in paint shop

New training centre in Leipzig
Porsche’s success story is predominantly attributable to its highly qualified and motivated team. In April, the company therefore set an important milestone for excellent vocational training: the newly opened training centre in Leipzig represents a far-sighted investment in the next generation of skilled employees. Covering 2,300 square metres, the new building provides modern workshops and seminar rooms, innovative training tools and thus the ideal infrastructure for vocational training.

Training centre in Leipzig

Gold for the Leipzig plant
In June, the Porsche 911 won first place in its segment for the sixth time in succession in the Initial Quality Study by U.S. market research institute J. D. Power. This makes it a serial winner in the “Midsize Premium Sporty Car” category since 2012. The Macan also took first place again, for the third time in succession. In the factory ratings for Europe/Africa, Porsche took first place with the Leipzig plant and was thus presented with the Gold Award. Over 77,000 private citizens took part in the survey, evaluating 243 models by 33 carmakers.

Gerd Rupp new head of Porsche plant in Leipzig
On 1 July, Gerd Rupp took over the chairmanship of the Executive Board of Porsche Leipzig GmbH. Rupp succeeded Siegfried Bülow, who had built up and developed the production site over the course of 17 years as plant director. Before moving to Leipzig, Rupp had been director of tool construction for the Volkswagen brand in Wolfsburg for seven years, and had previously worked for Audi AG in Ingolstadt and Barcelona. Siegfried Bülow retired on 1 July. He will continue to be available to the company as a consultant.

New photovoltaic systems at the Leipzig plant
Three photovoltaic systems are currently in operation at the Porsche Leipzig GmbH site. The system in the new body shop achieves particularly high performance. The 15,240 modules produce 4.2 megawatts of electricity. Another 0.6 megawatts are contributed by the system in the body shop which produces the Macan. The roof surfaces of the training ­centre, which was opened in April, are also equipped with photovoltaic modules. In full sunshine, the system generates a substantial proportion of the electricity requirement. The energy saving provided by the photovoltaic systems is therefore an important factor on the way towards resource-efficient production.

Photovoltaic systems at Leipzig plant

Starting signal for the new Panamera Sport Turismo
In July, series production of the new Panamera Sport Turismo began in the Porsche factory in Leipzig. Porsche has expanded the Leipzig site with a new body shop building for the Panamera model family. As part of the 500-million-euro investment, an in-house quality and pilot centre was also created to accompany the transition from prototype to series production. Porsche has invested more than 1.3 billion euros in the Leipzig plant from the laying of its foundation stone to the present day.

New Panamera Sport Turismo

Resource-efficient body building
The bar has been raised again for resource-efficient production in the planning and construction of the body shop in Leipzig. This includes numerous new, energy-efficient production procedures and the intelligent control of lighting.

A further example is provided by the over 400 robots used in body building. Up to now, functionality and productivity had played an essential role for the robots deployed in production. In cooperation with the Fraunhofer Institute, Porsche examined the robots’ motion sequences and routes: How quickly do they accelerate? When do they brake? How long do they apply the brake? When do they actually switch to energy-saving mode? As a result, the robots’ processes were optimised to enable them to perform sequences that also maximize energy savings. For example, the robots now only accelerate as fast as is necessary. This enables evaluation of each individual robot and the entire process sequence that also takes into consideration the energy aspect.

With this development, body building is raising the bar for efficient internal processes. Previously, the energy efficiency as certified on the device was decisive: now, it is important that the device is optimally adjusted to the work process. This optimisation produces energy savings of approximately 12 per cent.

Leipzig body shop

Pilot project for environmentally friendly logistics
The eJIT project was launched at the Leipzig site in June. The pilot testing, which will take three years, tests a truck with a purely electric drive in logistics traffic. Porsche is the first automobile manufacturer in Europe to deploy a motorway-suitable, fully electric 40-tonne vehicle. In Leipzig, more than 600 trucks arrive at the plant every day – the eJIT is the first truck with a purely electric drive to be used for transport between the logistics centre and the assembly supply centre. In a second development stage, the vehicle is to be highly automated from 2018.

The e-truck is charged up at the supply centre during the regular waiting time while being loaded up. The battery is charged using a 150-kW quick charger. This enables it to be used in three-shift operation. The range on a full electrical charge is around 70 kilometres, and the maximum speed is 85 kilometres per hour. A second e-truck is currently being tested by Volkswagen Saxony at the Zwickau plant. In Zuffenhausen, the use of an e-truck to supply production from the nearby distribution point is planned for 2018. This will enable a considerable reduction of emissions in the plant environment.

Alongside Porsche Leipzig as associated partners, IAV GmbH, Schnellecke Logistics, Volkswagen Saxony and the Network of Automotive Suppliers are participating in the eJIT research project. The partners have been working together on truck electrification since the beginning of 2016. The project is part of the programme “IKT III [Information and Communications Technology for Electromobility III]: integration of electric commercial vehicles into logistics, energy and mobility infrastructures”. With this programme, the Federal Ministry for Economics and Energy is continuing its research activities into the commercial use of electromobility.

eJIT pilot project

CROSS-SITE SUSTAINABILITY PROJECT

“Green Logistics” for environmentally ­sustainable logistics
In the last few years, Porsche has advanced diverse projects to promote environmentally sustainable logistics. Their implementation was continued in 2017 in order to achieve the targets set out in the new Green Logistics strategy. Among other things, a method was developed to enable comprehensive capturing of Porsche CO₂ emissions in transport logistics according to the greenhouse gas protocol for the first time. The calculation method will continue to be refined and checked for feasibility in the next few years in order to achieve more detailed evaluations.

Given the increasing traffic load, particularly in built-up areas, it is important to Porsche to make a contribution to the avoidance of emissions. For this purpose, three CNG gas trucks were deployed for daily transport in 2017. This enabled up to 20 per cent of previous CO₂ emissions to be saved – around 119 tonnes of CO₂ per year. The CNG gas trucks emit 80 per cent fewer soot particles and 90 per cent less carbon monoxide. They are also quieter. The additional deployment of LNG gas trucks is planned for the next few years, because of their greater range and promising technological development. The prerequisite for this is a comprehensive expansion of the LNG filling station network.

Green Logistics also means that, in future, new Porsche vehicles are to be transported by rail using green electricity to the seaports for shipping. The conversion to green electricity was prepared and coordinated with the transport service providers in 2017. As a result, approx. 6,194 tonnes of CO₂ will be saved per year in future. This corresponds to around three per cent of total emissions by Porsche AG in the area of transport in 2016.

CO₂ neutrality in production
Porsche is aiming at CO₂-neutral production of its vehicles in future. A first step will be the production of the first purely electric vehicle – this is to be manufactured CO₂-neutrally at the Zuffenhausen site from the end of the decade. To this end, Porsche AG and its subsidiaries Porsche Leipzig GmbH and Porsche Logistik GmbH switched to 100 per cent green electricity at the start of 2017, thus providing all the production sites in Germany with an ecologically viable energy supply. This will be supplemented by the future use of biogas at the Zuffenhausen site. In cooperation with a local municipal facility, the energy mix will be optimised by fermentation of organic waste.

Porsche saves resources in diverse ways
At Porsche, careful handling of the environment and resources is not only regulated in numerous principles and guidelines, it is also practised every day. In 2017, a wide range of measures contributed to enabling Porsche to achieve its long-term goal of saving a million euros per year through the optimised and careful use of resources in production.

At the Zuffenhausen site, shortening the duration of GT3 engine testing by 15 minutes on the heat testing bench enabled a saving of almost 38,000 litres of fuel per year – without sacrificing any of the engine testing quality. As well as the approx. 101 tonnes of CO₂ saved annually, this also has a positive effect beyond direct operation: the reduction in consumed fuel contributes to a reduction in the logistics outlay in general.

The body building experts achieved considerable energy savings by optimising the extraction of the smoke generated during welding. This enables Porsche to save almost 400,000 kilowatt hours of electricity per year. For comparison, this resource saving would enable 45 Porsche 911 Carreras to clock up around 30,000 CO₂-neutral kilometres per year. As well as the ecological advantage, optimised plant management also achieves added value in the improved working conditions for employees on site.

The paint shop is also saving considerable resources. In Zuffenhausen, paint material amounting to almost 67,000 euros was saved in 2017, simply by optimising the application technique to the vehicle body. In Leipzig, electricity consumption is to be reduced by more than 740,000 kilowatt hours per year on average, by reducing the fresh air component in the recirculated air sections of the paint shop. This corresponds to an annual CO₂ emissions total of around 427 tonnes – which would enable 84 Porsche 911 Carreras to travel 30,000 kilometres CO₂-neutrally each year.

Zuffenhausen paint shop

Porsche aims to achieve a continual reduction in the consumption of fresh water. On the testing track at Leipzig, rain and well water will be used in future on the “dynamic surface” to test vehicle behaviour on wet roads. This will enable an average annual saving of 2,092 cubic metres of fresh water.

Leipzig testing track

PROCUREMENT

In reporting year 2017, Porsche AG once again increased its deliveries – to more than 246,000 vehicles. Procurement had its own contribution to make to the success and, thanks to a close cooperative partnership with the supplier industry, was able to guarantee a reliable supply of high-quality components.

The focus in 2017 was on products of key strategic importance and topics for optimising Porsche’s value chain. That is why Procurement continued to intensify its supplier networking throughout the reporting year. Cooperation based on partnership will continue to grow across company boundaries in the future, and there will also be more strategic partnerships. Classic commissioning of suppliers will no longer be the only form of cooperation. Porsche AG has already taken action to ensure that it can develop new technologies and products in future using smart cooperation models, and to ensure that they are future-ready.

At the same time, there are some tangible examples of digitalisation in practice and in day-to-day working life: Procurement has come up with a range of ideas for new apps, and has integrated new ideas into already functioning apps.

Model start-ups
For Procurement, the focus of the reporting year was on the production start-ups for the new Cayenne, the Panamera Sport Turismo and the 911 GT2 RS – the fastest and most ­powerful road 911. For all models, Procurement purchases a wide range of new parts and guides the vehicles – in tandem with the suppliers – to series maturity.

The Cayenne, as a model for success, is now in its third generation and is being completely redeveloped, tangibly and visibly improved and perfected. The Cayenne is also comprehensively digitalised and networked. Within the Panamera family, the new chassis version known as the Panamera Sport Turismo celebrated its premiere in the reporting year. With its large tailgate, low loading sill, enlarged boot volume and 4+1 seat concept, the new four-door vehicle fulfils high standards of both day-to-day usability and variability.

Motor racing
The outstanding motor racing season was another highlight of 2017. At the 24 Hours of Le Mans, the 919 Hybrid took Porsche’s 19th overall victory and, as early as November in Shanghai, the sports-car maker took its third World Championship title in the manufacturers’ ranking since 2015. The racing teams were able to rely on Procurement: shoulder to shoulder with all specialist units involved, Procurement was able to get the right partners on board to make these victories possible.

Strategy 2025
Porsche Strategy 2025 and global trends in procurement markets have given rise to various strategic aims for Procurement. Firstly, top quality at competitive terms and conditions thanks to active design of technical and ecological innovations. Secondly, efficiency across the products’ entire service life. Thirdly, reliability due to constant availability, consistent high quality of purchased parts and stable, efficient goods flows. Fourthly, an increase in attractiveness as an employer of talented people and high employee satisfaction by creating optimum working conditions.

During the reporting year, Procurement implemented a range of projects as part of the strategic initiative. The exchange of ideas with suppliers will continue to intensify and the issue of sustainability within the supply chain will move more into focus. Furthermore, Procurement will expand its marketing in order to get students, graduates and professionals interested in the complex topics surrounding procurement.

During the reporting year, Procurement cooperated with third-level education institutions such as the University of Mannheim. This gives Porsche employees new insights while also offering students a look at how the company works by means of excursions, lectures and practical work placements.

Innovation Management
Porsche operates in an environment that is shaped by rapid change. The progress of globalisation, demanding customers, increased competition for time and knowledge as well as contrasting ways of thinking and working in the IT and automobile sectors are just some of the challenges that the company needs to face. In order to recognise trends and developments early, Porsche takes its cue from the supplier sector. As part of the Porsche Supplier Innovation Days, the aim is to tie suppliers’ new concepts to the company at an early stage. That is why, for example, Innovation Management for Procurement and Development organises a Porsche Supplier Innovation Day dedicated to the topic of Alternative Materials and Lightweight Construction. At this event, selected suppliers present their innovative manufacturing concepts to Porsche experts from various specialist departments. For the Innovation Day on the topic of ‘Well-being in a Porsche Vehicle’, the Porsche departments Procurement, Development and Distribution contact selected suppliers and start-ups in advance and ask them to submit their developments as part of the open innovation approach. The more than 200 innovation ideas suggested are evaluated by interdisciplinary Porsche teams. 60 well-being innovations make it into the final selection and are then presented to Porsche experts in Weissach by suppliers and start-ups from all over the world. At the Porsche Supplier Tech Day, the sports-car maker is a guest at the world’s second-largest automobile supplier, ZF Friedrichshafen AG. The Innovation Management team in the Procurement department and the Advance Chassis Development team organise presentations, specialist lectures and an exchange of ideas. The topic here is: What are the latest innovations from Porsche suppliers? How does Porsche put them into practice? The promising series of Porsche Supplier Innovation Days will continue to be expanded in the future.

Sustainability workshops with suppliers
Sustainability aspects within the supply chain are already important today, and will inevitably become more and more significant as time goes on. Porsche is among those companies that take sustainability projects and the implementation thereof into account. In order to intensify our exchange of sustainability-related ideas with suppliers, Porsche developed a concept for supplier workshops during the reporting year, organising two events. Within the workshops, shared approaches to implementing sustainability aspects are identified and possible topics are defined for future cooperation. Supplier audits are already being carried out to ensure that sustainability requirements are observed, which lays the foundation for future cooperation. In doing this, Porsche is implementing an additional measure as part of the Procurement Strategy 2025. The observance of sustainability requirements will continue to be a focus of Porsche Procurement.

Procurement of production materials and non-production materials
As in previous years, material costs per vehicle were further optimised in the 2017 financial year. Close cooperation and early inclusion of economic partners in various cost and production workshops led to significant savings. In 2017, Porsche AG’s material costs were 4,985 million euros (2016 financial year: 4,129 million euros).

Even in services and non-production materials, Procurement made a significant contribution within the reporting period to achieving the company’s aims. Due to another large number of infrastructure projects, investments in the 2017 financial year amounted to 1,684 million euros. This development reflects Porsche’s continued growth (2016 financial year: 1,695 million euros).

 

718 Boxster S: Fuel consumption combined 8.1 – 7.3 l/100 km; CO₂ emissions 184 – 167 g/km
718 Cayman: Fuel consumption combined 7.4 – 6.9 l/100 km; CO₂ emissions 168 – 158 g/km
718 Cayman S: Fuel consumption combined 7.3 l/100 km; CO₂ emissions 167 g/km
911 Carrera: Fuel consumption combined 8.3 – 7.4 l/100 km; CO₂ emissions 190 – 169 g/km
911 Carrera Cabriolet: Fuel consumption combined 8.5 – 7.5 l/100 km; CO₂ emissions 195 – 172 g/km
911 Carrera GTS: Fuel consumption combined 9.4 – 8.3 l/100 km; CO₂ emissions 212 – 188 g/km
911 Carrera GTS Cabriolet: Fuel consumption combined 9.4 – 8.4 l/100 km; CO₂ emissions 214 – 190 g/km
911 Carrera S Kit: Fuel consumption combined 9.4 − 8.3 l/100 km; CO₂ emissions 214 − 188 g/km
911 GT2 RS: Fuel consumption combined 11.8 l/100 km; CO₂ emissions 269 g/km
911 GT3: Fuel consumption combined 12.9 – 12.7 l/100 km; CO₂ emissions 290 – 288 g/km
Cayenne: Fuel consumption combined 9.2 – 9.0 l/100 km; CO₂ emissions 209 – 205 g/km
Macan: Fuel consumption combined 7.4 – 7.2 l/100 km; CO₂ emissions 172 – 167 g/km
Panamera 4 E-Hybrid: Fuel consumption combined 2.5 l/100 km; CO₂ emissions 56 g/km; electricity consumption (combined) 15.9 kWh/100 km
Panamera Turbo Sport Turismo: Fuel consumption combined 9.5 – 9.4 l/100 km; CO₂ emissions 217 – 215 g/km 
Panamera Sport Turismo: Fuel consumption combined 9.5 – 6.7 l/100 km; CO₂ emissions 217 – 176 g/km