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About Me..Professional Supply Chain Solution Provider
eSupplyChainSupply ChainEnhancement
CompetitiveAdvantage
LEVERAGE
SupplyChain
Solution
Financial Orientation
eSupplyChainSupply ChainEnhancement
CompetitiveAdvantage
LEVERAGE
SupplyChain
Solution
Financial Orientation
2008-2009
MotorolaMotorola
3. Face Based Negotiation 3. Face Based Negotiation
2. Category Competitive Advantage 2. Category Competitive Advantage
4. eSupplyChain4. eSupplyChain
AvayaAvaya
1. Procurement Transformation1. Procurement Transformation
Help Avaya build Market intelligence and Cost Modeling capability
Market Intelligence
Cost Modeling
TeardownAnalysis
Face BasedNegotiation
Market intelligence
Market deflation
Supply Market update
Teardown analysis
Cost modeling
Setup negotiation target
Inventory analysis
Re-structure initiative
Key Accomplishments
• Build Avaya Category Market Intelligence capability in first 3 months.
• Build cost model covering 70% of spend during 6 months period.
• Implemented a fact-based negotiation using cost modeling, achieving an incremental 3% quarter-of-quarter takedown
• Achieved 3 point market competitive advantage by setting quantifiable goals.
• Teardown 25 IP phone, and analyze all aspects of cost saving oppertnity between Avaya products and those competitors.
• Provide inventory analysis report determining the optimum level of inventory
1989-2008
MotorolaMotorola
3. Face Based Negotiation 3. Face Based Negotiation
2. Category Competitive Advantage 2. Category Competitive Advantage
4. eSupplyChain4. eSupplyChain
AvayaAvaya
1. Procurement Transformation1. Procurement Transformation
The Secrets for Driving Motorola’s Unprecedented Turnaround in 2002
Develop, Prioritize and Execute Programs to Improve Capabilities for Competitive Advantage
To define, develop, and deploy standardized governance, skills, training, career paths, measurements, incentives, and electronic auctioning and negotiating tools that will maximize procurement
savings across the corporation.
Market intelligence
Value propositions
Goals
Benchmark competitors
Gap analysis
Targets
Scope
Cost
Results
Fit
Existing projects: accepted, canceled or redesigned
High-level business cases
Programs prioritized and scaled
Detailed program design and action plan
Metrics
Set Strategy
Identify Needed Critical
Capabilities
Assess Current
Programs
Select Program Portfolio
DesignImplementation
Plans
Execute and
MeasureResults
DecisionReview
Ph
ases
Ph
ases
Del
iver
able
sD
eliv
erab
les
Decision Review
ProgramManagement
Focal Points
1. Process
enhancement
2. e-business
Technology
3. Leadership
Empowerment
4. Skills and
Training
5. Metrics and Pay-
for-Performance
Incentives
Business
Operational
Systems
Technology
FOCAL
POINT
Tools and Matrices
1. Enterprise wide Tool used by all Commodity groups
2. Corporate wide common baseline measurement
3. Monthly performance comparison
4. Highlighting “best practices” and opportunities
5. Measure internal performance to the industry
6. Enterprise wide spend data
Business
Operational
Systems
Technology
TOOL
&
MATRICES
1. Process
enhancement
2. e-business
Technology
3. Leadership
Empowerment
4. Skills and
Training
5. Metrics and Pay-
for-Performance
Incentives
FOCAL
POINT
2000-2002 Job Key Accomplishments
1. Maximize company’s overall
procurement savings
2. Increase cross-sector
synergy & leverage supplier
spend
3. Optimize our supply base
4. Drive usage of industry-
standard parts
5. Capitalize on negotiation
opportunities provided by
short-term market changes
6. Contribute an additional $1
Billion in savings
2003- 2005
MotorolaMotorola
3. Face Based Negotiation 3. Face Based Negotiation
2. Category Competitive Advantage 2. Category Competitive Advantage
4. eSupplyChain4. eSupplyChain
AvayaAvaya
1. Procurement Transformation1. Procurement Transformation
Category Competitive Advantage
Triangulation Measurements
Market Intelligence
AbsolutePrice Competitive
Category Competitive Advantage
TechnologyRoadmap
MarketSupply
Price Inflation
Market Demand
FinancialAnalysis
CompetitiveAnalysis
Special research
2003-2005 Job Key Accomplishments
2006-2008
MotorolaMotorola
3. Face Based Negotiation 3. Face Based Negotiation
2. Category Competitive Advantage 2. Category Competitive Advantage
4. eSupplyChain4. eSupplyChain
AvayaAvaya
1. Procurement Transformation1. Procurement Transformation
Clean Sheet Negotiation
SupplierRFQCost
CleanSheetCost
30% gap
Raw MaterialCost
Overhead
Assembly
Profit
Other
Total
• Warranty costs
x
• Package Shipping
x
• R&D
x
• SG&A
x
x
x
Subtotal Equip. Labor
• Step 1: Front End(SMT)
• Step 2: Board Test
• Step 3: Frame Assembly x
• Step 4: Manual Assembly x
• Step 5: Package Shipping x
• Labor Cost
x
• Factory O/H
x
Material
• Margin x
• Yield
x• Step 5: Unit Test
• Step 5: System Integration Test
Join Multiple Rapid Sourcing Initiative (RSI) Projects
2006-2008 Job Key Accomplishments
• Develop a multi-year sourcing strategy to identify suppliers to be partners for the next 2 to 3 years, and allows a systematically optimized supply base to a set of quality suppliers while achieving significant bottom line savings with detailed implementation plans.
• Create and deliver cost targets using clean sheet price• Establish clean sheets as a core competence within the
supply chain organization• Create common clean sheets, conduct ‘how to build clean
sheet’ & ‘how to hold a fact based negotiation’ workshops • Support quarterly changes in the clean sheets, participate in
clean sheet reviews with suppliers and report clean sheet gaps and key metrics.
• Achieve incremental 10% direct material takedown
1989 - 1999
MotorolaMotorola
3. Face Based Negotiation 3. Face Based Negotiation
2. Category Competitive Advantage 2. Category Competitive Advantage
4. eSupplyChain4. eSupplyChain
AvayaAvaya
1. Procurement Transformation1. Procurement Transformation
1989 – 1999 Job Key Accomplishments
Supply Chain Execution
ERP (Oracle, SAP)Design to Manufacturing
Integration Warehousing and Physical
DistributionEnterprise Transportation
ManagementInternational Trade Logistics
Supply Chain Planning and Optimization
Factory Planning & SchedulingDC Planning and Scheduling
Demand ForecastingSales & Operations PlanningDemand and Supply Planning
Supply Chain Network AnalysisInventory Analysis
Management Consulting + Change Initiation + Change Acceleration
Business Process Analysis + Reengineering
Packaged Systems Integration + Copy Exact Deployment
Supply Chain Change Initiation &
Acceleration
SC System SelectionSteering Committee Support
SC Copy Exact Programs SC Program Initiation
I-Negotiations e-Auctions