SAP Innovation Awards 2018 Entry Pitch Deck

L3 Technologies, Inc.

Transforming Business with the Digital Boardroom

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L3 Technologies, Inc.

— Chris Kubasik, CEO & President, L3 Technologies

Sumo is L3’s integrated platform based on SAP’s Digital Boardroom solution. Introduced in October 2017, Sumo provides L3 with

the real-time business intelligence and analytics necessary to develop and execute its growth strategy. By leveraging a full suite of

SAP offerings, L3 created a customized portal that aggregates critical data across every business unit to provide real-time

transparent situational awareness, enabling the company to accelerate its business objectives.

Transforming Business with the Digital Boardroom

SAP Digital Boardroom

SAP Cloud Platform

SAP Cloud Analytics

SAP HANA

Reduced preparation time for the quarterly business

review from one month to several days.

Adopted as principal tool for strategic planning and

real-time operational status by L3 business segments.

Utilized for market Intelligence for strategic

opportunities by L3 business development teams.

Global (U.S. Headquarters) Aerospace & Defense

“As we execute our long-term vision for L3, we are implementing

initiatives like Sumo to better enhance our responsiveness in an ever-

changing world. We are focused on consistently delivering world-

class solutions to our customers. Sumo provides real-time, critical

business insights that enable us to adapt, make faster, well-informed

decisions, and monitor progress across the enterprise, including R&D

investment, capital expenditures, financial key performance indicators

and supply chain management.

With greater visibility, we can achieve higher levels of operational

efficiency. Our management team can more quickly identify and

pursue emerging growth opportunities that align with our strategy and

produce measurable results. Our partnership with SAP has resulted

in a powerful, transformative tool that sharpens our competitive edge,

accelerates our innovative and collaborative efforts, and enables us to

reach a higher level of performance.”

SAP Secure Cloud by NS2

SAP Data Services

SAP GRC Access Controls

Products

Benefits

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Participant Information

Heidi Wood

Senior Vice President of

Corporate Strategy &

Technology

Headquartered in New York City, L3

Technologies is a Fortune 500 top ten

Aerospace & Defense company.

With operations in 45 countries, 2017 sales of

~$10 billion and approximately 31,000

employees, L3 is a leading provider of a broad

range of communication, electronic and sensor

systems used on military, homeland security and

commercial platforms. The company is also a

prime contractor in aerospace systems, security

and detection systems, and pilot training.

John Finegan

Senior Director of

Enterprise Applications

& Strategy

Partner: SAP

Website: www.L3T.com

Industry: Aerospace & Defense

L3 Technologies – Transforming Business with the Digital Boardroom

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Solution OverviewSumo is the primary platform for a single source of truth for board meetings, quarterly business reviews,

market research, strategic pursuits, and all other planning activities. The system was launched on February 14,

2018, and follow-on deployments have enhanced L3’s ability to undertake important efficiency initiatives and

improve operations.

Before its implementation, L3’s 65+ businesses maintained separate systems to keep track of relevant data in

major functional areas, including HR, Finance, Supply Chain and R&D. This lack of common processes made

routine reporting and data-gathering for analysis time-consuming, which made it difficult to have productive

discussions around making decisions.

Through Sumo, L3 brings key business information from various sources into a single system on SAP HANA.

Sumo easily consolidates data from SAP, non-SAP and external sources, vastly simplifying a process that

previously required weeks of manual labor to just hours. The executive team is now able to get a true, real-

time enterprise view and unify strategies by analyzing critical information to identify and monitor trends,

accelerate efficiency initiatives, improve collaboration across businesses, track technology investments and

evaluate M&A. Users can also track progress on HR, M&A, organic growth, financials, ethics policy, supply

chain and R&D investments.

Sumo was designed to meet U.S. Department of Defense data security requirements. Its unique hybrid

architecture also supports the use of hybrid data for government and defense applications, where data resides

in the SAP NS2 Secure Cloud HANA, while using SAP’s Digital Boardroom and SAP’s Analytics Cloud to

provide an outstanding user experience.

L3 is one of the first companies to deploy Digital Boardroom enterprise-wide, actively collaborating with SAP’s

product management teams on features and functionality.

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Solution Details

Sumo is a multi-layer solution that utilizes a number of new and innovative SAP technologies.

To maximize the user experience, Sumo relies on Digital Boardroom’s (DiBo) elegant user interface (UI)

to provide a clear and engaging presentation of information.

L3 has deployed a three-touchscreen setup in its Corporate HQ Strategy War Room and other offices

across the country to fully leverage the solution’s interactive UI. Users can also interact via desktops and

tablets. Top executive leadership can now meet and make data-driven decisions with confidence and

secure fast agreement since there is a single source of truth.

Mid-2018, L3 intends to enhance the DiBo interface through its partnership with SAP on Project E-Quill

(see video on slide 11).

Supporting the UI is a sophisticated HANA data mart that assimilates both real-time and periodic data from

numerous SAP and non-SAP systems, as well as a third-party market intelligence data source.

Data extraction and loading is achieved using SAP data management tools.

The environment is a combination of both public and U.S. DoD secure cloud environments: SAP’s Cloud

Platform and Cloud Analytics are public and provide the UI; and the SAP NS2 Secure Cloud hosts

HANA and connects securely to L3’s On-Premises systems.

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Benefits

Business value:

Human empowerment:

Increased efficiency in financial and business reporting − Sumo significantly reduces the hours required

to create reports for management review. In the past, it would take 20 people more than a month to compile

data for the Quarterly Business Reviews. L3 can now pre-populate 90% of this data in one day. Similarly,

other specialized reports previously required multiple data calls across the company, which took weeks. With

Sumo, this information can be accessed in minutes.

Increased transparency and reliable data − L3 Digital Boardroom helps executives make data-driven

decisions using real-time information from a single source of truth. This improved visibility of operational

performance allows management to adapt and respond more proactively and more in unison.

Improved decision-making and strategic planning − Sumo allows users to leverage market intelligence

and model scenarios using data for improved market and competitor awareness, sharpening L3’s ability to

evaluate potential growth opportunities. It also is used to evaluate M&A candidates that will increase

capabilities and strengthen our portfolio. This further enhances the innovative edge, producing solutions our

customers need most.

Improved real-time access to multiple data chains − L3’s 65+ divisions are organized into sectors, which

report into segments, each having multiple processes that require hundreds of concurrent calculations. With

Sumo, L3’s management team has access to the same data in real time via hybrid Live Data analytics.

Operational and functional managers are empowered by a single source of truth and a consolidated,

coordinated strategy. Work activity becomes more thoughtful and less “data assembly.”

Increased collaboration across the enterprise − Sumo helps users collaborate and work across segments

on strategic opportunities leveraging expert knowledge and using interactive data visualizations.

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Architecture

8

Illustration

L3 Digital Boardroom

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Quotes from L3 Stakeholders

“L3 and SAP’s collaboration on Sumo was instrumental in creating a breakthrough technology that

transforms how we run the company, use our valuable human resources more effectively, and execute

and sharpen our ability to be aware and responsive. By integrating L3’s knowledge base across the

enterprise, and armed with accurate, real-time or near real-time data, our leaders can make faster, yet

more informed decisions. Sumo accelerates L3’s ability to use data-driven analytics and key

performance indicators to drive decisions. This added capability allows us to better optimize operations,

more effectively capitalize on growth opportunities and work together more collaboratively as a team.

We called it Project Sumo because we wanted to encourage people to wrestle with the data…and not

with each other.”

— Heidi Wood, Senior Vice President of Corporate Strategy & Technology

“L3 is proud to be an innovative

technology partner with SAP in building a

solution that will help us adapt and

change as our data needs evolve. Sumo

leverages our combined expertise to

maximize the public and DoD secure

cloud environments, from Proof of

Concept through System Implementation.

This continued collaboration will deliver

advanced data analysis tools that will help

L3 achieve its business goals.”

— John Finegan, Senior Director of

Enterprise Applications & Strategy

— Andy C. Ivers, Senior Vice President and

President of Communication Systems

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Deployment Details

• Proof of Concept (April-June 2017): L3 and SAP established

the infrastructure for Sumo and iteratively developed Digital

Boardroom stories that included HR, Finance and IRAD

expenditures.

• Security Workshop (April 2017): L3 and SAP reviewed SAP

security concepts, SAP Cloud and On-Premises integration

architecture, and NS2 Cloud Infrastructure in preparation for

Sumo hosting at SAP NS2.

• Phase 1 Build (May-Dec 2017): L3 built out the initial six

stories for the Digital Boardroom, expanding to include third-

party market data, Customer Ratings and M&A (leveraging

SAP’s templates).

Design Thinking Session with L3 Leadership

• Aug 2017: SAP led a Design Thinking session with L3 executives

to develop the Digital Boardroom stories to support the quarterly

business review process. This was a co-innovation project where

SAP planned to create templates and make them available as

demo stories for other customers.

• Sept 2017: Deployment Best Practices workshop with SAP’s

internal Digital Boardroom team.

• Oct 2017: Unveiling of Sumo at the L3 annual strategy meeting.

• Dec 2017: Sumo deployed to the Corporate Strategy team.

• Phase 2 Build (Dec 2017-Feb 2018): L3 expanded to nine stories.

• Feb 2018: Wave 1 deployment to segment leadership on Feb 14.

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Additional Information

The L3 and SAP partnership has extended beyond the Digital Boardroom, with our

collaboration on Project E-Quill, a handwriting recognition software for the iPad®,

which is being integrated into the Digital Boardroom to help deliver a portfolio

solution for executive analytics.

E-Quill TechEd interview with L3