Delivering results

Leadership Delivering Results

A progressive, bilingual and bicultural, sales and service operations leader with national and

international experience in managing world class, sales, distribution and industrial service

operations.

Applies an industrial automation and business administration education to capture market,

production and administrative opportunities. Possesses strong communication, strategic

and analytical skills to deliver effective decision making for business and operations planning

and budgeting.

Recognized as a customer and results oriented leader focused on operational effectiveness,

accountability and team work to deliver customer and corporate commitment.

Rick Leroux

Executive and General Operations Management

Sales, Service & Distribution

Capabilities and experience

Executive and General Management

Strategic and Process Planning

Mergers and Consolidations

Directing Sales and Marketing

Operations and Product Management

Executive and General Management Profitability increased year over year 51% &

45% in a declining market

Reversed a declining profitability trend.

Reduced delivery capacity to seasonal demand

Eliminated non productive fleet assets

Improved margin levels with market segmentation

Restructured, aligned sales force to growth markets

Adjusted inventory levels to J.I.T.

Optimized national accounts

$3.0 MM in profit recovery

51

45

0 20 40 60

Dec. 2011

Jul.-2012YTD

% YOY ProfitIncrease

Executive and General Management Expanded Division product offering for growth

Synergy of product lines to accelerate high profit sales Standardized ON and QC machine product offering

3 new lines in ON, 4 in QC

National and major account growth realized

Sales growth of 7% with Allied, high G.P. sales in 12 months Declining market condition: 2%

Positioned dealership for continued machine and product support growth.

Added $3.5MM of new sales in

declining conditions.

Allied Sls $K

0

5000

2006 2007

Executive and General Management Introduced demand driven inventory purchases

Linked inventory purchases to market demand levels Initiated monthly machine 3rd party sales prospect reporting

Machine models and quantities

Probability and month of customer order

Identified internal machine requirements Long and short term rental

Inventory minimum requirement

Leveraged extended terms on machine inventory

Increase machine inventory

turns 26%.

0

0.5

1

1.5

2

2.5

3

3.5

4

2006 2007

Executive and General Management Reduced cost of goods sold

Turned around manufacturing facility

High % ‘Make’ activity for plant labor absorption

‘Make’ or ‘Buy’ process reviewed and reversed

Changed plant operations leadership

Drove accountability & structure changes

Optimized ‘Make’ product mix

$6.5 MM in profit recovery

0 10 20 30 40

Jun-99

Jan-00

% Margin

Executive and General Management Improved liquidity and reduced A.R. risk

Reduced overdue A.R. level from 15% to 0,5% of sales

Implemented dedicated collections process

Fast complaint resolution process

Average days sales outstanding (DSO) from 109 to 45 days

Overdue A.R. position from $26M to $800K

Recovered $25.3MM in declining

industry.

Overdue A.R. $K

0

5000

Q1 2001 Q2 2006







Strategic and Process Planning Optimized pricing, sales, inventory & operating

capacity

Developed and applied key business processes

Conducted quarterly competitive price point analysis

Increased margin yield

Reduced customer loss

Restructured inside and outside sales force

Centralized customer call center to dispatch center

Aligned sales force to growth and core markets

Adjusted inventory system to seasonal ‘just in time’ demand

Introduced demand driven capacity adjusted planning

Optimized business to generate

$3.0MM in additional profitability.

Strategic and Process Planning Increased Parts volume and profitability

Developed and applied a Strategic Pricing module

Conducted competitive price point analysis

Standard parts basket market comparison

Segmented parts business into four key segments

Price point, Core, Visibility, Customer

Identified value added delivery channels

Applied tailored price factors to each segment

Aligned parts business to generate

$1.5MM in additional profitability.

Strategic and Process Planning Assessed vulnerability to protect profitability

Delivered a study to define impact of industry trends

Identified customers with weak market position

64 of 150 paper mills identified as being at risk (42%)

Measured revenue loss of decreasing customer base

Product segment sales volume (20%)

Gross profit dollars by product segment (37%)

Proposed management actions and changes

Protect and grow lucrative segments

Adjust overhead cost structure

Proactive management to needed

decision making. 0

10

20

30

40

50

60

70

80

Sales Earnings

2006

2015

Strategic and Process Planning Launched operations effectiveness surveys

Targeted operational improvement with customer input.

Identified customer expectations by business activity

Capital versus aftermarket

Sales and service functions

Activity based operational effectiveness was measured

Sales process and customer interaction

Parts, repair, service and project delivery departments

Set priorities management actions in mission critical areas

Align needed improvements with core operational areas

Realize changes as part of the 5 year plan.

Adopted in North America to strengthen operations,

ensure customer loyalty and grow revenue.







Mergers and Consolidations Consolidated triple site operation

Integrated 3 Divisions into single site operation

Metso Paper, Minerals and Automation

Separate under-utilized sites

Consolidation launched to support common operating unit

Centralized administration, H.R., I.T.

Shared facility with autonomous operations

Leveraged synergies and common services

Aligned infrastructure to industry trends

Pulp & Paper in decline – reductions foreseen

Minerals, mining – expansion capabilities

Reduced infrastructure costs $650M/Yr.

Mergers and Consolidations Merged 3 sales & service organizations

Integrated 3 operating Divisions to a $70MM unit

Reorganized divisions to single structure

Consolidated Sales and Field Service teams

Reduced I.T, H.R., administration redundancies

Applied shared services, finance and administration model

Reduced operating costs 13%

2700

2800

2900

3000

3100

3200

3300

3400

3500

1999 2000Op. Exp.

Mergers and Consolidations Combined 4 common customer sales teams

Merged 4 separate sales groups into a common team

Focused on complimenting skill and expertise sets

Capitalized on sales competencies to drive results

Leveraged customer relationships

Improved sales reporting processes

Reduced redundancies

Improved sales effectiveness

Reduced sales costs 48%

0 200 400 600 800

1999

2000Op. Exp.







Directing Sales and Marketing Sales force restructuring

Increased field sales 17% in a declining market.

Optimized field sales representation in 5 of 7 markets

Introduced a weekly, sales rep level prospect review

Increased key opportunity sales support and yield

Implemented a quarterly market price survey

Established 3rd party alliances to grow new sales segments

Mining, Automotive, Residential

Grew national account propane margin, service sales

Grew field sales revenue and market share.

Directing Sales and Marketing Organized a division level promotion plan

High margin sales growth with focused marketing

Combined publicity campaigns across ON and QC regions

Common market segments for the Division

Improved consistency of corporate message and image

Feature product business developed simultaneously

Promotion schedule linked to business segment cycles

Publicity synchronized to high buying activity

Increased sales to meet capacity

Grew sales in high margin product

segments. 940960980

10001020104010601080110011201140

2006 2007

Sales $K

Directing Sales and Marketing Growing key account sales and loyalty

Developed key account plans for major accounts

Established 12 month strategic account plans

Complemented by sales management follow-up and support

Improved client relationships

Grew sales in low share, high margin product segments

Quarterly action plan reviews

Formalized team sales approach

Good to outstanding results!

0

200

400

600

800

1000

1994 1997

Sales $K

Directing Sales and Marketing Developed high margin service sales volume

Decentralized & upgraded sales force

Turned 60% of sales force to entrepreneurial model

Relocated field sales to regions of high client concentrations

Automated and computerized sales force

Focused sales force to aftermarket segment

Established new product category sales objectives

Revenue growth of 80% over

3 years.

0

5

10

15

20

25

30

35

1994 1997Sales $M







Operations Management Reduced operating costs in a declining market

Recovered $8MM or 23% in operating efficiencies

Adjusted technical service and delivery capacity to demand

Eliminated non productive assets

Optimized inventory levels to just in time

Centralized asset purchasing

Reduced overtime costs

Increased delivery efficiency

Reduced operating costs $8MM

over 3.5 years.

0

5

10

15

20

25

30

35

40

End 2009 YTD 2012

OperatingExpense$MM

Operations Management Increased Fleet Maintenance Efficiency

Increased service capacity 12%

Recovered $638M/Yr. in maintenance costs

Updated maintenance schedule to manufacturers standard

Increased preventive maintenance intervals

Reduced parts and consumables costs

Increased service technician capacity

Reduced $638M/Yr. in excess

maintenance costs.

Operations Management Automated quote process to increase sales

Reorganized quoting process to price list format

Rationalized product offering

Eliminated pre-quote engineering for standard products

Quote lead times dropped from 28 day average to same day

Created electronic price list

Issued to inside sales to allow immediate quoting.

Easy quotes with standard templates

Consistent value proposition of product

1 day quotes versus 28 days

Sales up 164% within 12 months!

0

5

10

15

20

25

30

Before After

Days

Sales $M

Product Management Realized mature product growth

Revitalized mature product segment

Innovated a dedicated product management plan

Transferred control from the foundries to manufacturing

Reduced critical component lead times 6 to 8 weeks

Repositioned brand and product attributes

Developed new promotion material

Calibrated pricing to market levels

Significantly cut quote times

Revenue up $2.5MM to $4.1MM

0

0.5

1

1.5

2

2.5

3

3.5

4

4.5

Jul-97 Jul-98

Million $

Leadership Profile

A progressive, bilingual and bicultural, sales and service operations leader with national and

international experience in managing world class, sales, distribution and industrial service

operations.

Applies an industrial automation and business administration education to capture market,

production and administrative opportunities. Possesses strong communication, strategic

and analytical skills to deliver effective decision making for business and operations planning

and budgeting.

Recognized as a customer and results oriented leader focused on operational effectiveness,

accountability and team work to deliver customer and corporate commitment.

Rick Leroux

Executive and General Operations Management

Sales, Service & Distribution

Business

Delivering results