Wednesday, September 29, 2010

Stuck in the Last Century?

Let's take a trip down memory lane. Lets go back to supply chain operations in the pre internet age. Yes I am old enough to remember back in the olden days, when we spent our time poring over greenbar paper reports, sent memo's, had secretaries. Faxes were new technology. The MRP arrived on our desk vs. on our screens. Everyone came to work at 8 and left at 5 and the hierarchy ruled. We had rooms full of data entry clerks who fed the beast of the mainframe. Telephones had wires and we were actually out of communication when we went home. Heck, on weekends, whole days would go by without any thought or intrusion from work.

Most of your suppliers were in town. Worst case your stuff was coming from across the country. Only the most exotic unobtainium was brought n from overseas. If you had a problem you could drive over to the supplier and fix it. Jobs were clearly defined and many times there were many people to do the same job, as many "labor saving" technologies were still a gleam in someone's eye.

Now fast forward to 2010. Today's supply chain would be unrecognizable to the average buyer or purchasing manager in the last century. For one thing most of the work they did has now been automated. Supply chains sprawl all over the globe. Complex logistics methods and multiple sales channels, sometimes shared with competitors, make just getting product from factory to customer a challenge.

With suppliers all over the world and instant communications via the internet and smart phones, work really never stops. The workweek starts Sunday night as the email from Asia starts to come in, and woe to the person who waits till Monday morning to get the lay of the land. Europe conference calls start at 5:00 AM west coast time.

The organization has been downsized and Kaizen'ed and 6 simga'ed to the point where there are very few people left. Repetitive tasks automated; non value added tasks eliminated; small scope jobs combined. Only complex thinking jobs are left here in the US. They are broad in scope and responsibilities change constantly. The line between "manager" and "worker" is blurred, as the level of decision making at the individual contributor level has risen drastically to accommodate the speed of business

Interestingly enough though, the organization and work rules are similar. We are still expected to be in our seats for certain hours each day, Our employee evaluations, though "improved" many times though different fads, still look much the same. Managers pick a ranking, like "meets requirements" and then write an evaluation to support that. Everybody follows that charade knowing it has nothing to do with what they do for a living. Titles and positions on the org chart live on like vestigial organs on an evolved species. Roles and responsibilities are assigned in homage to this obsolete model.

So what can we do? How do we pull the organization into the 21st century?

First we have to look at what we do, what are our key business processes.

Much of what was historically the buyer's job takes up a very small part of the work day. Nearly all of the buys are from a preferred supplier list. Quantities and schedule are set by the planning group through the ERP system. Actual negotiation are largely and annual affair when contracts come due. The part of Purchasing the stays with us is reacting to change and improving processes. Supply chain as little to do with purchasing and lots to do with scheduling – and rescheduling.

Most of the planning/scheduling work of those days is also gone, automated or offshored. The Key activity of the planning group today is to match supply with demand as best as possible, and provide "Purchasing" with the best and most accurate scheduling data possible.

The warehouse, is now the Logistics group, tasked with keeping the sea of product all over the world moving as closely as possible to the demand of these other groups.

Logistics contracts are maintained by purchasing, PO's are placed by purchasing even though they really have nothing to do with their actual content. Planning tries to maintain data element that they have no visibility of. All of these, of course, are operating using many of the same KPI's they used in the last century, and are evaluated using a process developed in the 60's.

Make the change

We need to reorganize, around our key business processes. Move role, responsibilities and resources so that they are aligned around managing a process. Align metrics with those processed and then base performance evaluations on just the same thing the executives use, results. Forget standard work hours and let your people decide when they need to work and when they need to be on the office.

If you really want to do more with less and be more effective take a look at these ideas. This is not a manual of how, but hopefully the start of a discussion. I would love to help you with the how and the what based on your organization.


 


 


 


 

Wednesday, September 8, 2010

Know When to Walk: and Be Ready


 

Negotiation is about winning. I definitively ascribe to the idea of "win win" in negotiations, but any combination that ends up with your side in the "lose" column needs to be avoided at all cost. In the worst case situation, that means walking away. It is important to remember that the point of negotiations is not to make the deal but the get a deal that works.

The single most important issue in a negotiation on the buy side is the ability to have options. This is what gives you the ability to negotiate from a position of strength; any negotiation where you know you have to make the deal is not a negotiation at all. It is bickering, at worst it is begging. Even if you are dealing with "Supplier of Choice", it is important to be able to talk to them in a competitive environment. So how do you get there?

Do Your Homework

First you must understand your options in the market place. As you come into yearly negotiations for example. Engage a competitor (or 2) in serious discussions. This will give you real data to use in your negotiations to know what really is a competitive position. Your current supplier will no doubt hear about it as well and likely sharpen their pencils. If things don't go well, you have a real back up to bring in.

Look closely at your stock positions on the product. Insure that you can stand a short interruption of supply or a transition in service. This will also help you if you are forced to accept a price hike. Your incumbent will also likely notice this as well.

Notify your Sr. Management of what you are doing. They will then see your actions as a strategic process in the best interests of the company and not ask you why you "blew the deal" in the event that you do have to back out.

Meet with your team and talk through the issues of what may happen if you do back away from the table and insure that contingencies are in place to deal with other issues.

Set the stage

Relationships are important, you are about to go into a position where you want to appear prepared to walk away from what might be a long term relationship. This can be difficult to do and it can also put unneeded strain on personal relationships that you count on all year. For this you need new hats. What? In a negotiation you need "White Hats" and "Black Hats" (apologies for the cowboy analogy)

A designated Black Hat needs to have approval authority over the deal and be at least somewhat removed from the day to day management of the relationship. This is typically a very highly placed executive in the company who can become involved where needed. He not only serves as a guy who can say no without damaging the personal relationships, but she can also serve as a coach and reviewer of the negotiation. From here the White Hats can conduct the heavy lifting of the discussions. They have the mastery of the details and understand the subtleties of the issues involved and can recommend compromise positions to the Black Hat.

At the same time everyone in the room knows that whatever deal they make has to get past the Black Hat, which keeps both sides aware of the deliverables. To a degree it also puts everyone on the same side, trying to win over the Black Hat, which can result in some very creative solutions to sticky problems.

Taking these actions will position you well to walk away. More importantly, they put you in a very strong position at the table. A good supplier will see that you are well prepared and serious about achieving your goals. Don't be shy about discussing the "homework" you have done. Present this to suppliers as meeting the requirements of an internal process.

Be ready to walk so you really don't have to…


 

Monday, August 16, 2010

Gender Gap in Supply Chain Leadership?

I read a blog the other day by a smart lady named Sarah Lim. It was called "Take the Lead in Fairness". She commented on women in procurement and the lack thereof in the top ranks. She implied a lack of opportunity due to gender bias, and a failure by Corporate America to "keep pace with the changing needs of modern day living". The implication of her point was that most workplaces are not flexible enough to meet the needs of working women, mothers in particular.

She goes on with a list of recommendations for a more flexible workplace, most of which I wholeheartedly agree with, though most of these are not really gender specific. She then implies that somehow if we resolved these workplace issues, we would achieve gender parity in the executive suite. Well… maybe not.

Certainly my experience will support the idea of gender bias in Corporate America. I agree as well that this issue is not as severe as when I started in the workplace, but it is still there for sure. Over the years, I have come to count on finding a group of talented hard working women operating significantly below their talent and earning potential at each new job I have accepted. I have yet to be disappointed.

Given the opportunity, I have found these women were able to move into positions of far greater responsibility (and pay), and achieve great results for the company, and themselves. These women were invariably very hard workers and would readily go above and beyond the call of duty at a moment's notice. Many of my management teams ended up with gender parity earlier than the statistical norm.

I did learn that accommodations had to be made. Yes, these women did take more time off than their male counterparts. A lot of this time was unscheduled as well. I also noticed occasionally, their children occupying their office or cube when child care issues came up. As I tacitly allowed for these, I also noticed them, back in the day, carrying reports home with them, and later, emails at all hours. In nearly every case, I got at least as much as I needed from these women and many times, more than I expected. I learned that, right or wrong, these women were carrying a bigger or at least different burden than their male counterparts, and had different demands on their time. However, if given flexibility, they could produce at least as much

This experience caused me to rethink a lot of my methods. I learned to define and measure job performance by specific deliverables and results, assigning work by ownership of a specific function or process rather than by hours worked or other more conventional measures. I found that these changes were not really an accommodation, but actually a more effective way of getting the job done. This has become even more true as the procurement function really goes global, requiring communication nearly 24/7. If I am on the phone with Asia from 8 to 10 PM, why do I need to be in the office from 8 to 10 AM? This also served me well later when I began to manage people remotely or who worked from home

OK, so why did I say "Maybe not" about these changes affecting the top echelon positions?

In the end the organization is a pyramid. There are a whole lot of lower positions and only a handful of top ones. This means competition, and very tough competition. The folks who win those slots are those willing to do whatever it takes to get them. That includes a near singular focus on the job and that precludes the sort of "flexibility" discussed above. You went to your kid's soccer game and someone else did not. She gets an opportunity you missed. Most really successful women I know who have made it to the higher ranks in procurement, are either single or have a partner who handles a lot of the details of the household, allowing for the sort of focus required.

This may not be fair or pleasant, but until we do away with hierarchical organizations or promotion decisions based on competitive performance, folks who chose for work life balance will lose. As more women than men tend to take this route, I believe that parity is a long way off…


 

Thursday, August 5, 2010

So Who Cares About Supply Chain?

Well, nobody really, and why should they? I was in an online discussion group recently (that is where I get a lot of my ideas for blog posts) and our group members were discussing how our chosen career seems only to get press when things go wrong. Save money? That's expected. Everything get here on time? Expected. Miss that shipment? Now we get attention!

So as managers, how do we insure that our group gets the recognition it deserves? This is not just a question of morale. When resources are allocated (or eliminated) the company needs to understand our value add. Supply chain also needs a seat at the table when key decisions are made, as we really can have a big effect on cost and customer satisfaction. Let's look at how to do that.

Step 1: Get out much?

I am a self confessed supply chain/logistics nerd. I love to look at the latest data, understanding what fuel surcharges are doing to cost per kilo out of Bangkok, how many PO lines were placed last week per buyer, looking at the S&OP data. Being on top of that data makes for better decisions for sure. (or maybe it means I need to get a life).

I dont kid myself though. This information, even a great improvement on one metric or another, is only mildly interesting to my peers or my boss. My monthly review may have all my personal hot button issues, and I may have automated that report so that it automatically gets sent to my Blackberry at 12:00 midnight on the 1st. If my boss and peers don't need that information, I might just want to keep that to myself.

So we need to get out. We need to insure that we understand 2 key things.

One is that we "get" all of my business unit's goal's, objectives and metrics. The key is that all of my reporting needs to be put into terms that show how what I am doing affects our success as a group. This is not just numbers. What are your strategic goals? What is your boss getting pushed about right now?

Two is to spend time with our customers. Find out what your competitive issues are. Take a salesman to lunch. You will be surprised at what you find out. Find out the things your internal customers are struggling with. It is information? Cycle time?

Make sure every one of your staff understands these issues as well and know this is why they show up every day.

Step 2: Get Relevant

Is cash an area of focus? Then I need to be able to talk about what I am doing for inventory reductions. Is the group trying to break into a specific account? Show how your new 3PL contract can save money on their shipping lanes. Let's face it, we are here to add value, and that value is in how well we support the team. Let's make sure we do that.

Any projects or programs you start or work should be based upon these issues and presented as such to your group. Once you are "aligned", your routine reports will be your best sales tool. It will be easy to garner attention from your customers and management, because you will be talking about things they care about, and if you are good, you will be able to show progress in support of their goals.

Focus on cost, quality and efficiency is good, but it is also expected. Show your group as a key part of the solution to meet the company's goals and objectives. You will be looked upon as a key player, because you will be one. People want to support you if they think you are there to support them.


 

Its easy

Monday, July 26, 2010

SIOPS and the Gulf Oil spill

I have been lucky in more than one of my previous lives to be involved in the creation or overhaul of several Sales inventory Operations Planning Systems (SIOPS) I love being involved in this activity as it is what I like to do best; work with complex puzzles involving both processes and people.

Recently I saw a discussion posted on LinkedIn from a consultant asking if anyone has used SIOPS type tools to forecast the ability to meet a month end target. Clearly this guy had never been in a line management role in his life. After making a mental note never to engage this company's services, I pondered how many real deliverables are expected from this process.

Sr. Management expects this process to both protect the company and to optimize both revenue and inventory. However they are generally not close to the real compromises and risks taken in the process. The detail required to really understand the process is really not available to them, usually by design. They really have to take the recommendations they are given in most cases.

The real operating managers, people in Sales, Manufacturing and Supply Chain, have grown up in the pressure cooker of competing goals and objectives, insufficient resources and crazy time constraints. They are used to working in this environment and usually do an amazing job of keeping the race car in the lead of the race while overhauling it. SIOPS to them is the dashboard, Ouija board and a place to find whatever wiggle room is left after everything has been "optimized".

Folks at the working level expect this process to provide them with a workable plan. Given the dynamic nature of most operations, the plan agreed to does not generally survive intact too long, and they find themselves reacting to what is coming up in their e-mail in boxes, making decisions sometimes at odds with the plan.

This (finally) brings me to the Gulf spill. I keep imagining this same sort of a dynamic. Senior managers looking at data at a macro level, do not consider the crazy statistical outlier that is what happened in this case, and push on a macro level to reduce costs putting processes and incentives in place to accomplish this

From here, operating managers to try to save money on inspections, with all their data showing that this type of spill had never happened, and the models show risks are low (though consequences catastrophic) They find a way to keep hitting their targets, more with less, what they get paid to do…

Our lesson? Let remember that the models are just that and that they are still really just tools to aid human judgment.


 


 

Monday, July 19, 2010

The Incredible Shrinking Supply Chain

When I talk with colleagues, everyone talks about how long and complicated their supply chains are. Stretching across the globe, through multiple distribution nodes and stocking points, tracking and managing product flow can be a nightmare. While the game of “Who’s Supply Chain is Bigger” is fun to conduct over a beer, it is the opposite in terms of cost, lead time and overall value to the customer.


I recently conducted a 3PL survey for a client and I walked away amazed at the “Control Tower” war rooms at the major 3PL’s. Multiple flat screen displays can track shipments and point out trouble and potential trouble anywhere on the planet. Very impressive.

However if we want to be more competitive, we should be asking how we can be less impressive.

The Physical Supply Chain

I might be time to ask some “stupid” questions. Why is the company really operating in all of the countries and regions it is, at least on the supply side? Is it really necessary to be in 3 countries in Asia? Is it (heaven forbid) necessary to be in Asia at all? The State of Tennessee is touting itself as the New China, showing that with current levels of taxation and logistics costs it can be cheaper to manufacture there than in China.

Next, has anyone in Operations spoken to anyone in Sales about distribution strategy? I have seen product take several stops on the way to the customer from the factory that existed only to accommodate the organizational silos between Sales and Operations. Someone has to pay for those warehousing and logistics costs, and in the end it affects the company’s competitiveness.

The Virtual Supply Chain

Less obvious, and more insidious, is the process and data flow required to support this impressive supply chain. How many steps does it take to get an order from the customer to and actual order on an internal factory? How many people? How many approval steps? How about the same questions to status an order? In terms of cost and lead times this can be the biggest opportunity to improve.

In a recent study I was part of, a major B to B company, who’s name you would know, requires 3 approvals, 2 transcriptions of an order 3 emails and a phone call to enter an order. Statusing an order took a similar ordeal. We estimated that 25% of the headcount was caught up in non value added activity. Customer deliveries were 3 days to 1 week longer than required. Payback on the technology investment was measured in weeks.

The tools for simplification and process improvement have been around for a long time. Let’s use them to build an incredible shrinking supply chain.

Sunday, July 11, 2010

Are you ready for the upturn?


 

We all know how deep the cutbacks were at all points in the supply chain in the past 2 years. Inventories, headcount, system and upgrades have been slashed, made redundant and delayed respectively. We have all seen pictures or personally witnessed all of the decommissioned cargo ships and aircraft in Asia.

The good news is that in many sectors, business is starting to pick up. With this pick up of business come some of the problems we have not seen for a while. Delivery issues, missed commitments, stock outs at distributers and allocations. This of course comes at a time when staffing needed to deal with these issues is really not available. Here are some things to do that can help that don't take lots of extra time from your already stretched staff.

Forecast:

We all make them; how well have we communicated them? Of course we have been talking to our key suppliers, but the funny thing is that the product cannot be built if it is missing even one part. Your friends in IT can help sending out an e mail to every supplier with a forecast. Show them your optimistic one and ask them to respond with information regarding their ability to meet your needs. You may actually flush out issues, or at the very least, you have let them know your intentions.

Supplier Checkup

Those of who will admit it will tell you that there are suppliers of current material that they have not placed an order with for more than a year (sometimes longer). In some cases tooling will be disposed of, or worst case the supplier is no longer in business, a victim of the recession. How many PO's will you have difficulty placing? These suppliers need a little extra attention right now. Get a list of these and other low volume suppliers as well as those with historical delivery issues. These should be contacted with some specific questions. Have any products gone obsolete? Plants shut down or consolidated? Locate your tooling at these suppliers. Suppliers with issues here merit a visit, as there is nothing better to gain visibility and priority than this.

Internal Review

Most companies have been working with a mind set of, "how can we get by with as little as possible". Some have no doubt pushed a lot on their current people with the bet that business would be slow and they could cope. The best and the brightest are most vulnerable here; as they probably have the biggest loads and are most likely to get offers from other companies as the business comes back. These will be even more tempting if they fell overwhelmed and unappreciated.

It is time to look at how work is allocated and review processes. Let keep in mind folks are already working hard and may not take kindly to a lot of new projects or meetings. Instead, a lunch meeting or 2 to ask for ideas on work simplification and process improvements. Meet informally with individual to understand workload and get ideas on better distribution, as well has hiring ideas for that magical day when hiring is possible again. This may bring some issues into the open in time to more easily address them. It will also help your team to feel appreciated and listened to. This is something that also may have been in short supply due to your overstretched work life.

Upturn? Bring it on……

Thursday, July 8, 2010

How to make an American job before its too late - Andy Grove

Please see the link below for words of wisdom from an American icon. His focus here is on start ups, but it applies everywhere.


I have spent a big chunk of my career sending things overseas. Each one of the decisions to do so made perfect sense in its own right. In the end, thousands of guys just like me ended up each making small individual decisions to eviscerate the US manufacturing infrastructure

http://www.bloomberg.com/news/2010-07-01/how-to-make-an-american-job-before-it-s-too-late-andy-grove.html

Friday, July 2, 2010

Is China the new Saudi Arabia?

How China may have the US over a rare earth barrel... Read this!

http://online.wsj.com/article/SB10001424052748704898504575342663977842890.html?mod=e2tw

Global Logistics - Supply Chain Management - Manufacturing and Distribution - Six Sigma - Lean Systems - Process Improvements - Product transitions - Global Sourcing - Asian Manufacturing - Developing Effective Teams - ERP - MRP Implementation - Kanban - Reverse Logistics - Consulting - Organizational Development - Six Sigma - Contract negotiation - Product Development - Change Management - Quality Management, Facilties Management Medical Devices

Thursday, July 1, 2010

Changing the addresses of comfort zones

It is a truism that stagnation is the one sure road to irrelevance and failure. Today’s supply chains would be virtually unrecognizable to procurement people even 10 years ago, and change is coming even faster today. So why is that that is can be so difficult to create change in an organization?


One of the many reasons is that despite folks understanding of the above, they like the way things are. They have their comfort zones. Even if their relationships are less than effective, they understand and can manage within them. I once started work at a new company to find that my Materials manager made our sales forecast each month because she could not get one from Sales.

When I found this out I immediately went to work with our Sales group to get an effective forecast that they could be accountable to. After some time we established a SIOPS style group process to have Sales, Marketing, Product Development and Ops agree on a monthly material plan for the company. After going through this process, I discovered that my Materials Manager still made her own forecast! She claimed that it “helped her to understand the demand” I was dismayed at the time wasted, and even more dismayed when she tried to load the MRP with it.

So how do we get folks out of the comfort zones? We don’t, we move them. People at all levels need to have a clear understanding of how their actions affect the bottom line. If we are advocating change it should be in alignment with company objectives. If not why are we changing? In effect if we do not change, our company’s objective will not be met and that can be very “uncomfortable” for everyone. In each case, we need to spend the time at all levels to help people to understand that “why’s” of the change and how this is both necessary and beneficial. In the process we can see that the “new world order’ is actually the comfortable place to be.

This process is time consuming and sometime difficult, but is can be the difference between success and failure in your next change initiative, When the comfort zone is moved, the team is pulling the direction of the change, adding ideas, insights and energy to the change process, and owning the result!


Global Logistics - Supply Chain Management - Manufacturing and Distribution - Six Sigma - Lean Systems - Process Improvements - Product transitions - Global Sourcing - Asian Manufacturing - Developing Effective Teams - ERP - MRP Implementation - Kanban - Reverse Logistics - Consulting - Organizational Development - Six Sigma - Contract negotiation - Product Development - Change Management - Quality Management, Facilties Management

Wednesday, June 23, 2010

3PL Dating and Marriage Issues

3PL Marriage Advice



Some of us have entered into those treacherous waters that contain the transfer of in house operations to a 3PL. We know that this is a fairly big deal. You can’t really get the benefits of a 3PL relationship without betting some significant part of your business, and in this case, mistakes and problems show up at the customer in most cases. Many times it also means taking away business (read jobs) from internal folks, some of whom can act like jilted ex-boy or girl friends, waiting to bring as much attention as possible to problems that may come up.


Since logistics companies seem to be last companies on the planet that still have an entertainment budget, the “dating” process can be pleasant, but there is a lot of detail that needs to be covered in this phase for the relationship to work. Many times real issues between the partners are not discussed out of laziness, or yes, fear of not being as attractive to the other side as we would like to be. A lot of time is spent on the contract, but as with a “pre nup” it only really deals with what happens after the relationship goes south.




Like a marriage, the key issues in making the relationship work are communication, trust, and flexibility. Inevitably there are things that are going to come up after the fact, during implementation (oh – you guys have an office in Botswana?) on both sides (your IT system has EDI, but you have never actually used it….) that need to be worked out (these rates were based on your forecast volume… which is 3X what we are actually getting) and crises need to be managed on an ad hoc basis. (no - we don’t know where the container is)

It is critical that all the parties involved go into the venture with the idea that things will change and that the overall objectives of the project are what is paramount. Modifications of these types of agreements are inevitable. If each side can keep his head as the inevitable issues come up and both parties learn to live under the same roof, a solid relationship can be formed.

There is of course a lot that can be handled in the “Dating” process, and the implementation can be managed to minimize spats and disagreements. But I will address that in later blogs….



Till then…….





Who is this guy anyway - My Resume

Thomas C. Dannemiller

tcdannemiller@yahoo.com


Professional Profile


Experienced Logistics and Program Management professional with expertise in the following areas:
• Implementation of program management tools
• Development of tools and methods for operating cross functional teams
• Analysis and optimization of logistics systems and processes
• Implementing lean methods to improve company performance
• Building successful business relationships in China, SE Asia, Japan, US and Europe
• Structuring, staffing, managing and optimizing supply chain systems
• Recruiting and developing or restructuring effective teams
• Inventory management and planning
• Success in running programs across companies, languages and borders
Global Logistics - Supply Chain Management - Manufacturing and Distribution - Six Sigma - Lean Systems - Process Improvements - Product transitions - Global Sourcing - Asian Manufacturing - Developing Effective Teams - ERP - MRP Implementation - Kanban - Reverse Logistics - Consulting - Organizational Development - Six Sigma - Contract negotiation - Product Development - Change Management - Quality Management, Facilties Management

Professional Accomplishments
International Logistics
Most Recent:
• Revamped logistics routes and consolidation points for lead time and cost savings
• Established Asian hub operation to consolidate US-inbound freight
• Reduced cost and lead time by managing deliveries from source to customer receipt
• Designed and implemented automated information sharing system to reduce data entry and time spent on e-mails and expediting.
NET RESULTS: 25% cost savings, 3-week lead time savings, 25% headcount savings
• Bid and negotiated multiple 3PL contracts
• Managed specialize shipment of large, high value, fragile cargo
• Shipped a complete factory from San Diego to Gotemba Japan and started it up in 9 days
• Set up global service logistics network with hubs in Amsterdam, San Francisco, and Tokyo in 90 days.
• Designed customized logistics program for customers to include VMI, Kan Ban, Safety Stock and Order to Forecast processes
• Featured speaker at Interlog in San Diego 2009 - 2010


Program Management
• Headed up logistics cost reduction program to cut overall freight by 35%
• Installed Team Room information sharing process for projects that increased communication efficiency, improved problem tracking, and faster resolution to improve project on time performance
• Authored and implemented an explosive growth plan that took the company from $12 Million run rate to $220 Million in 18 months.
• Established new factories in the US, Europe, and Asia. Set up contract operations in Asia and the US.
• Selected, leased, and built out multiple facilities for factory, lab, and general office use
• Recertified the company for ISO9001
• Developed and managed programs with Tier 1 customers to reduce product cost and improve logistics efficiency


Supply Chain Management
Coordinated of the activities of 2 design centers, 5 internal and 3 contract factories located in Japan, China, Malaysia, Singapore, Hong Kong, Israel, the US, and the UK.
• Facilitated the successful transfer of several product lines from internal manufacturing to contract manufactures in China and SE Asia.
• Defined, modeled and set raw material inventory target levels for all multiple factory sites
• Instituted and managed a synchronization meeting with sales, marketing and plants to set master plan to meet revenue, inventory, and lead time targets
• Created planning and forecast analysis tool to combine historical data and forecast to reduce lead times and inventories
• Created new supply chains from scratch for specialty components and materials that did not exist for volume production.
• Designed and implemented global source supply chain for 3 separate factories in the US Japan.
• Negotiated and managed many VMI, Kan Ban and other purchase contracts
• Performed outsourcing survey/analysis and managed subsequent outsourcing program to completion. RESULTS: 70% reduction in cycle time, 25% reduction in direct headcount, 25% improvement in delivery lead time.


Operations & Manufacturing
• Installed Lean-style production methods; installed Kan Ban style material movement system that decreased average inventory in work centers by 60% and improved inventory accuracy to over 99%
• Organized factory into work-center-based cross functional teams – Reduced WIP by 20$ and eliminated a layer of management.
• Started new manufacturing lines in China Thailand, and Switzerland as well as several in the US
• Automated repetitive step in the order fulfillment process, reducing headcount by 20% and eliminating data entry errors
• Installed statistics-based,quality tracking system used to improve yields from 65% to 96%

Work History
Director, Engineering  - TDK Lambda Americas, Inc. - San Diego, CA 2009 - Present
Director, Operations -  TDK Lambda Americas, Inc. - San Diego, CA 2004 - /2009
Owner - Elite Fitness Spas - Carlsbad, CA 2002 -
Business Unit/VP/ MfgVP Delta Design, Inc. - Poway, CA 2000 - 2002
VP, Manufacturing  - Cymer, Inc. - San Diego, CA 1995 -
Director, Logistics  - AG Associates - San Jose, CA 1991 - 1995
Director, Operations -  KLA Tencor - San Jose, CA 1988 - 1991


Education
BSEET DeVry Institute of Technology, OH 1982