Notes
Outline
Slide 1
Contents
The Construction Industry - Past - Present - Future?
HOCHTIEF - a brief introduction
IT as a must for the construction business
Strategic initiatives within the HOCHTIEF group

IT-synergies within an international group of companies
Aristoteles - SAP-based business information system
eAECglobal - e-business scenarios
Web-enabled collaboration on construction sites
DM@C - Web-enabled business planning
e-accounting
Outsourcing concepts for IT-services
IT-security
Internationally scaled basic projects (Windows 2000)
What has the construction industry experienced?

Rapid Change driven by external forces
Rising customer expectations of quality and service
Need for supply chain integration  and partnering
Adaptation of Information Technology
 … and how have we reacted?
Irrational competition in the core business
Unsuccessful vertical integration - upstream and downstream
Advanced approaches to project management

Rapid Change driven by external forces
Rising customer expectations of quality
Need for supply chain integration  and partnering
Adaptation of Information Technology
 … and what does that mean for our strategy?
Irrational competition in the core business
Unsuccessful vertical integration - upstream and downstream
Advanced approaches to project management

Rapid Change driven by external forces
Rising customer expectations of quality
Need for supply chain integration  and partnering
Adaptation of Information Technology
HOCHTIEF’s approach is based on the Vision
Total Project Leadership
Contents
The Construction Industry - Past - Present - Future?
HOCHTIEF - a brief introduction
IT as a must for the construction business
Strategic initiatives within the HOCHTIEF group

IT-synergies within an international group of companies
Aristoteles - SAP-based business information system
eAECglobal - e-business scenarios
Web-enabled collaboration on construction sites
DM@C - Web-enabled business planning
e-accounting
Outsourcing concepts for IT-services
IT-security
Internationally scaled basic projects (Windows 2000)
The evolution of HOCHTIEF
HOCHTIEF’s reputation for large, complex
projects around the world started with its
two founders - the Helfmann brothers -
in 1875.
Their goal was to be among the best, most
innovative builders in Europe.
Today, we are one of the few companies in
    the world able to undertake a project from
design through facility management
to operation in almost all relevant
construction markets.
We are committed to constantly improving
our total project leadership approach in
    order to meet our clients’ needs.
HOCHTIEF Participating Interests
HOCHTIEF Group Performance
HOCHTIEF: The Structure
Contents
The Construction Industry - Past - Present - Future?
HOCHTIEF - a brief introduction
IT as a must for the construction business
Strategic initiatives within the HOCHTIEF group

IT-synergies within an international group of companies
Aristoteles - SAP-based business information system
eAECglobal - e-business scenarios
Web-enabled collaboration on construction sites
DM@C - Web-enabled business planning
e-accounting
Outsourcing concepts for IT-services
IT-security
Internationally scaled basic projects (Windows 2000)
Construction is well suited for State-of-the-Art IT ...
“It is estimated that up to 30% of the cost of construction are costs due to inefficiencies, mistakes, delays, and poor communications.” 

The Economist: January, 2000
... however, the construction industry has been slow to adopt new Technology
The impact of IT-technologies on the value chain
Contents
The Construction Industry - Past - Present - Future?
HOCHTIEF - a brief introduction
IT as a must for the construction business
Strategic initiatives within the HOCHTIEF group

IT-synergies within an international group of companies
Aristoteles - SAP-based business information system
eAECglobal - e-business scenarios
Web-enabled collaboration on construction sites
DM@C - Web-enabled business planning
e-accounting
Outsourcing concepts for IT-services
IT-security
Internationally scaled basic projects (Windows 2000)
IT-synergies within an international group of companies
Project work as organisation principle
IT is an integral element of world-wide project related work
IT is a management task in the decentralized core business
Knowledge management
IT facilitates access to technical and marketing know-how
Open communication
IT sets standards throughout HOCHTIEF
Clustering and scale effects
IT supports best practice in all divisions
Client orientation
IT makes contemporary market oriented instruments available
Aristoteles - SAP-based business information system
Aristoteles is our universal information Management
and Controlling System based on SAP / R3
It supports all operative units
in achieving state-of-the-art
management information support
It permits timely management of
both the company and all its projects
Aristoteles: The All-in Approach
eAECglobal: based on initial thoughts and observations ...
E-Business will have an enormous impact on the construction industry
our projects need more support from IT
communication needs in construction processes are enormous
integration with suppliers needs to be developed
document management is needed to cope with information flow in projects
Re-use of data needs to be increased
information transfer between phases in the construction
process must be improved
eAECglobal: Skanska + HOCHTIEF/Turner + ?
A true win-win situation: The solution will help you to sell, buy and administrate your company
Web-enabled collaboration on construction sites: Partnership Meridian + HOCHTIEF/Turner
DM@C: Intranet-based three-stage set up
E-accounting: electronic workflow and document management
IT enabled automation of the business process
Co-developed with KPMG and CGE&Y
The electronic workflow:
Incoming invoices are scanned, classified and distributed electronically
Predefined document flow takes place
Implementation of an electronic archive
Benefit:
Reduce throughput time of all invoices
Optimize business process
Making the Accounting organization more flexible
Reduction of filing costs
IT-security: The security policy
One standardized security policy (Project together with Turner)
Intranet application for all employees
German and English version
IT-controlling / internal audits
Maintenance will be done in cooperation with Secunet
Windows 2000 - International Project
Outsourcing of the main IT services
IT operation is  not a core business area of HOCHTIEF, thus establishing an IT-partnership with Cap Gemini Ernst & Young
Reducing overall IT costs (TCO perspective) is a must
Unloading of individual tasks and functions, which do not belong to the actual core business of the company
Concentration on own process know-how and co-development
Further development of the IT services in conformity with market trends
Outsourcing: Advantages
More transparent price models for IT services
Regular benchmarking of the prices
Identification of improvement potential by reputable, internationally established IT service providers
Implementation of the measures for increasing efficiency
Assurance of service level agreements on:
- Availability
- Performance
- Reaction time of the User Help Desk
- Time for error rectification
Slide 30