| Juan Pablo Bernal, Director de Servicios Compartidos | | | | main innovations leverage automation, as automation in |
| FEMSA in Mexico City - gives insight on how one of | | | | shared services is the most effective lever for |
| Latin America's leading beverage companies operates | | | | increasing productivity and growth.SSON: What are |
| its 3 shared services centers. | | | | some of the greatest challenges you have run into? |
| SSON: Mr. Bernal, as one of Latin America's leading | | | | How have your operations been impacted by the |
| beverage companies, exporting across the region as | | | | tremendously difficult markets we have all faced? |
| well as North America, Europe and Asia, could you | | | | Juan Pablo Bernal: The key challenge we have faced |
| please describe to us FEMSA's shared services | | | | was to manage the growth of the SSC while at the |
| operations? How did you decide on where to locate | | | | same time supporting the transformation of the |
| the center and which regions do you service? | | | | business units we serve. We have been fortunate, |
| Juan Pablo Bernal: FEMSA operates in nine Latin | | | | however, that the industry we operate in is a |
| American countries, which are all serviced through | | | | 'defensive' one, which has enabled us to limit the |
| shared services centers. We run three Shared | | | | impact of the economic crisis. |
| Services Centers. First, in Monterrey, Mexico, where | | | | SSON: Is outsourcing on your agenda? What kind of |
| we operate a finance center servicing Mexico and | | | | discussions have you had? If you were to choose this |
| part of Central America. Then we have a site in | | | | route, would you look to global providers or choose a |
| Mexico City, Federal District, which provides HR | | | | regional partner? |
| services for approximately 85,000 employees in the | | | | Juan Pablo Bernal: The scale of FEMSA is such that |
| region. And finally, in Jacare', Brazil, from which we | | | | we are able to operate efficiently with our own |
| provide finance and HR for Brazil only. We chose our | | | | resources. Although in the short term we have struck |
| locations strategically, to support a change | | | | some strategic alliances with key players (banks), we |
| management project underway. | | | | don't foresee evaluating outsourcing options in the |
| SSON: To what extent is innovation driving your | | | | short term. |
| strategy? How does automation play a role? | | | | SSON: What is FEMSA's strategy in the medium |
| Juan Pablo Bernal: Innovation is the main strategy that | | | | term? |
| maintains our competitive edge, in shared services. Our | | | | |