Kovovyroba Hoffmann Fosters Collaborative Innovation With Global Automotive OEMs Using PLM Solutions From IBM and Dassault Systèmes

The Supply Chain Becomes a Key Innovation Driver

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PARIS - 23 May 2006: IBM and Dassault Systèmes (DS) (NASDAQ: DASTY) (PARIS: 13065) (PARIS: DSY) today announced that Kovovyroba Hoffmann, a leading automotive supplier based in the Czech Republic, has chosen their PLM solutions to foster innovative collaboration with global automotive OEMs and achieve higher quality, faster time-to-market and overall cost savings. Kovovyroba Hoffmann is leading the way by leveraging the collaborative power of PLM in a global industry where more than 65% of a vehicle's value is created in the supply chain and by automotive suppliers that are true 'innovation engines.'

In IBM's latest survey, CEOs across several industries worldwide confirmed that most of their company's new ideas and innovations are being sourced from external partners. In the study, the ability to collaborate with external partners, regardless of their location, has shown a large correlation with improving a company's financial results.

Marek Hoffmann, CEO of Kovovyroba Hoffmann, explains, "Thanks to these PLM solutions we can improve our collaboration with our customers and increase the profitability of our accounts. We also are able to engage in a greater number of business opportunities and be an even more innovative partner to our clients." Kovovyroba Hoffmann, a key supplier to global OEMs, is a Czech company which produces and supplies prototype mold and die tools, automotive parts, data-control models and subassembly prototypes. One of Kovovyroba Hoffmann's strategic objectives is to extend its design and production capacity, in order to improve its competitiveness in the prototype production of small series, and to achieve a competitive advantage in foreign markets.

Kovovyroba Hoffmann chose to optimize key company processes by implementing PLM supply chain collaboration solutions from IBM, including ENOVIA SmarTeam for collaboration management and CATIA V5 for 3D product design. Hervé Rolland, vice-president PLM solutions, IBM Europe, explains: "The automotive industry is highly competitive, with suppliers focused on becoming innovation partners to OEMs not only by offering high quality execution but also by demonstrating seamless and controlled processes aligned with the processes and toolsets of their customers and prospects. Our PLM solutions deliver a key competitive advantage to automotive suppliers."

Denis Senpéré, general manager PLM North Europe for Dassault Systèmes, adds, "Kovovyroba Hoffmann's decision reflects the business benefits derived from our integrated PLM solutions, which are proven enablers for more innovation, more quality and flexibility. As well, it perfectly illustrates how new ways of collaboration can bring benefits to the whole automotive industry."

Thanks to the use of IBM and DS' PLM solutions, Kovovyroba Hoffman's employees can prepare their prototypes and production within efficiently controlled processes, smoothly supporting numerous changes, and quickly approving decisions, with immediate communication to all related company departments, such as sales & marketing, purchasing, and manufacturing. Through ENOVIA SmarTeam's Workflow and Data Management, digital product information is made automatically available, reducing internal iterations and increasing value-based exchanges with the OEMs.

About Kovovyroba Hoffmann

Kovovyroba Hoffmann is 100% privately owned Czech company established in 1996 in South Moravia, which develops sheet metal parts of car prototypes and the tools for their production, as well as for mass production. Amongst their OEM customers are Skoda Auto, BMW, Audi, Ford, Volvo, and Daimler Chrysler, to name but a few. The company is constantly investing in innovation, in the improvement of its products' quality, in business processes and environmentally safe production. In 1999 the company was ISO 9001 certified and in 2003 was ISO 14001 certified.

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