2008 Commissary Council

Issue Oriented . . . Solution Driven

2008 Commissary Council Overview

Manufacturer Company Distributor Company Broker Company Media/Data CompanyTim Atwood P & G Craig Murphy SuperValu Dennis Black D & S Tim Brown EMPOWER ITJoe Kovac Alder Foods Ron Ritchie MDV-NF Don Goetz Highplains Tom Fehily CommExTim Buchanan Cadberry Schweppes Randy Hardee DixonFrank Glotfelty General Mills Chris Lee C.Lloyd Jim Herring John Morrell Paul Keating Elite FoodsBob Hybki ConAgra Joe Kovac Alder FoodsMarvin Kenan Johnson & Johnson Kent Blue WebcoBilly Mahanes Nestle Pete Murphy S & KDavid McMurtry Kraft Tommie Draper OSCMark Orzolek Pepsi Co.Phil Richardson Coca ColaLarry Roush Masterfoods

% to TotalManufacturer 13 48%Distributor 2 7%Broker 10 37%

ALA CHAPTER REP Data 2 7%27 100%

2008 Commissary

Council

Randy ChandlerMarvin Kenan

David McMurty

CATBill MehlerShelia Linn

Consumer TrendsIndustry Trends

InnovationsOutreach

Ops/SystemsGordon Jones

Ron RitchieData Accuracy

System ChangesSystem Updates

Virtual Com.

Cat. Mgt / Plan-o-grams

Randy ChandlerRandy Hardee

Cat ReviewsTraining

Standards –Templates

PerishablesDave ShawJoe Kovac

MeatProduce

Freeze/ChillDairy

Deli-Bakery

Store SupportBob HaydenDennis Black

Vendor StockingExecution

Swell AllowanceCategory ResetsSpeed To Shelf

PromotionsCharlie Dowlen

Pete Murphy

Club PacksDisplays

HBCShippers

ComplianceNew Items

Co-Chair:Paul Keating

Co-Chair:Jim Herring

2008 Consumer Awareness Team (CAT)

Committee Members:

Industry*Sheila Linn – Campell’sLance Batson – HersheyJohn Bradbury – Military MediaKaren Chin – AC NeilsenJeff Erickson – P&GAinsley Everhart – Dunham & SmithChristine Huie-Roy – KraftDeborah Kalas – Empower ITSheila Linn – Campbell’sGinesa Madar – NestleSteve Stella – Maxi SaverKris Stranko - ConAgra

DeCAWilliam MehlerEdna HoogewindJay HudsonSallie Crauthers

2008 Consumer Awareness Team (CAT) Update

• Consumer Awareness Month – 77 locations participating; Cyber Zone computers

• Insights – Karen Chin- Bill Mehler• Outreach – DeCA wants give away items for convention

attendance use; CAT replacing DeCA outreach displays• Marketing – 50% off Case Lot Ad• DeCA recommending new channels for advertising the

benefit; Selected three URL response winners• Commissary Specials Base Newspaper Circular• Coupon Booklets – July 2008 booklet yet to be

distributed; 2009 booklets and target marketing• Pentagon Channel – Grill Sergeants Cooking Show – San

Diego store • CAT Golf Tournament – September 8, 2008, Country Club

of Petersburg

2008 Ops/Systems Committee

Members:IndustryRon Ritchie – MDV/Nash FinchTim Brown – EmpowerITJanel Dunn – P & GLauren Elkin – L&M MarketingRaven Farr – Highplains Marketing Mike Hatfield – S&KJan Hellmann– Dunham & SmithPat Johnson – Grocery Supply CompanyLarry Lemma – Bethel EckertCraig Murphy – SupervaluMark Orzolek - PepsiCoPhil Richardson – Coca-ColaMike Skinner - EurpacRon Smith – Coastal PacificBrenda Steinberg – MDV/Nash FinchDon Stickles – BisekLaura Thompson – KraftRob Whitmore– Empower IT Chairman

* Co-Chairman

DeCAGordon JonesSharon Rahe*Carol Ricker*Ivey BeresRon FreemanDarlene Gofigan Larry Hahn Tim HokeJohn Madar Larry PeckKris OgdenValerie RobilliaCorinta RussellFred Stein Terry Sorrell Eric SwayzeShelia WaltonWayne Webb Gary Williams

2008Ops/Systems Committee

Initiatives:

• Data Accuracy• New item presentations• Promotions• Plan-o-grams• Global Data Synchronization• Measuring Performance, reports• Random Weight Items• New Item Form For Distributors

• Automating Processes • CRV – Container Deposits• Plan-o-gramming• Promotions• Presentation • Swell Allowance Program• Wide Area Work Flow

• Virtual Commissary

• Systems• Base Contractor Access Project

(Working with Black Belt Team)• Commissary Advanced Resale

Transaction System – (CARTS)• Computer Assisted Ordering –

(CAO)• Data Warehouse • DeCA Enterprise Business System -

(DEBS) • DeCA Interim Business System -

(DIBS)• Radio Frequency Identification -

(RFID)

Product Support Applications

• Current Issues/Status– Global Data Synchronization (GDS)

with a Product Information Manager (PIM)• Request for Proposal is in legal review prior to release

– Container Redemption Value• Waiting for updated IMPACT Document from ManTech• Addresses impact on CRV and transfers store-to-store and items

issued by CDC’s

– Fort Worth Grand Opening• PSA providing Training and Support on site for DIBS/DSD/DSD-S• CAO will be implemented in April

Product Support Applications

• Current Issues/Status (Cont.)– DEBS

Still in Source Selection

• Met with NEXCOM to Review Their RITECH Solution

• Reviewed and Streamlined the Operational Values for Process Flow Documentation

– CAO• Awaiting for update from Mantech on Daily Forecasting

– Random Weight• Finalizing the requirements for standardizing random weight

items.

Product Support• Virtual Commissary

– Focus is now on modifying VC to support Guard/Reserve Location Sales

• Case Level versus Unit Level• Reduce DeCA labor associated with on-site sales• Pre-Sold/Pre-Paid

– Europe working concept for possible DeCA Fulfillment VC model

• Case and unit level• Conventional Internet Shopping Model• Open to authorized patrons

* Chairman

IndustryRandy Hardee*– DMIDon Goetz – HighplainsChris Lee – C.Lloyd JohnsonBilly Mahanes – NestleBob Hybki – ConAgraMark Orsolek – PepsiTim Brown – Empower ITJoe Herbst – P&G

2008 Category Management / Plan-o-gram Committee

Members:

DeCARandy ChandlerSteve ArlandAngel RamosBill Wood

2008 Category Management / Plan-o-gram Committee

Initiatives:• Training

• Quantify Industry Resources• Develop Generic Training Program • Establish Who Attends (buyer, Cat. Mgr., Plan-o-grammers, etc.)• Establish Frequency of Training

• Store Section/Footprint Space Reallocation• Ft. Bragg North

FY 2008 Perishable Committee Members

Industry Members• Joe Kovac - Alder Foods• Andrea Masch – US Nestle• Steve Lamkin – D & S• Randy Meador – Kraft • Jim Herring – Morrell• Julian Stovall – S & K• Keith Eubank – Sara Lee• Kent Blue – Webco• Milt Ackerman – Elite Foods• Paul Blocker – General Mills• Rusty Crenshaw – OSC• Sandy Ferguson – CLJ• Bob Hill – Sarvis• Dave Linder – Produce Group• Chris Obst – Land O Lakes

DeCA Members

• Dave Shaw

• Alan Flowers

• Jon Sanders

• LaRue Smith

• Leslie Simpson

• Max Goldfarb

• Regina Johnson

• Renee Mayo

FY 2008 Perishable Committee Focus

Areas

• Elevate Perishable Promotions– Investigate increasing perishable Power Buys,

Primaries, & Manager Specials and recommend the best mix for effectively increasing sales.

– Seek to improve perishable promotions and categories to Patrons.

• Club Pack & Case Lot Promotions– will recommend perishable club pack promotional

structure– Seek opportunities to increase perishable

participation in case lot sales

FY 2008 Perishable Committee Focus Areas

• Industry Promotions/Cross Merchandising– Group will research available industry funding for promoting

perishable categories and recommend how DeCA can take advantage of these industry programs.

– Group will look at how we increase DeCA’s participation in industry merchandising contests to increase sales and promote these categories.

– Group will also research ways to formalize cross merchandising efforts between perishable & semi perishable categories

• Merchandising Investments– Group will research ways for DeCA to improve the quality and

quantity of perishable display cases.– Group will use financial discipline in order to qualify any possible

recommendations

2008 ALA Chapter News

ALA Board Member / East Chapter Representative – Tommie DraperALA Board Member / West Chapter Representative – Craig Murphy

• 23 Local Chapters• Work with all chapters on issues & local events• Attend all POD meetings• Chapter of Excellence Awards coming back – East & West• Working to make Far East chapters stronger thru realignment• Communicating / Updating chapters on base access• E&C News running article on all Chapter Presidents• Shirts being issued to all Chapter Presidents

Chairman

IndustryDennis Black – Dunham & SmithLarry Roush – MasterfoodsTommie Draper – OverseasBill Whaley – KelloggsTom Fehily – CommexCraig Murphy – SupervaluHarry Ledgerwood – Sara LeeMark Carpenter – P&GRhonda Arnold – Dunham & Smith

2008 Store Support Committee

Members:DeCABob HaydenEdna HoogewindMary DeSantisValerie RobilliaChris Burns

2008 Store Support Committee

Initiatives:

• Vendor Stocking – Emphasize Current Policy• Execution – Improved Store Support on All

Merchandising Programs throughout entireDisplay Period.

• Resets – Develop Process To Set Sections Quicker & Maintain These Sets Once Reset.

• Swell Allowance

Chairman* CoChair

IndustryPete Murphy – S&K Sales*Paul Keating – Elite FoodsBilly Mahanes – NestleFrank Glotfelty – General MillsChris Lee – C.LloydGary Duell – CommexTim Atwood – P&GCindy Dulik – QuakerJD Fennessy – Del MonteJoe Kimosh – ConAgraLaura Thompson - Kraft Sharon Slettebo - DMI

2008 Promotions Committee

Members:DeCACharlie Dowlen

2008 Promotions TeamInitiatives:

• Signage Program – New look for EDLP & Extra $avings, Multiples, Colored labelsThemed multiple purchase programs

Investigating “Green” Sign savings initiative• Presentation Form – Completed and New form does include a section for item selection for AK, HI, Far East & Europe. It also includes a section to identify items with bottle deposits. Industry feedback on this updated form has been very positive.

DeCA has added price module which will lock in offered price made on 40-15, if deal is accepted. This will flag if prices send EDI or Web do not match offered & accepted 40-15 price

• Shipper/OTB Promotions – Review process to allow time for industry to provide the stores with information on the promotions before submitting quantities back to the MBU

Pursue a data-based, store-specific ordering strategy to ensure appropriate quantitiesShould we go to the region for quantities or the store or the zone manager??

• Promotional Strategies – Develop a plan to educate new buyers about the current promotional strategies being used by the MBU & Industry – including current, emerging categories (CFL Bulbs, Reusable Bags, Green Products & Recycled Products)

Impact of Club Pack on categoryPromotional Matrix updates – there will be a 3/08 NTT for input to update Promotional Matrix & Calendar Web Site- Commissaries.com review how we are communicating promotions to shoppers

• Price Changes – Work to eliminate $.01-$.02 price changesPursue solution for reduction of price changes – price increases should be updated at next regular price cycle not during a VPR period.

• Promotional Planning – Long term, display ready units, pallets, cases• Future Meeting Dates – 9:00 a.m. @ D&S office in Hopewell, VA

April 29th, July 15th, September 24th & November 19th

2008 Commissary CouncilVendor Stocking Committee

David McMurtryMickey McDonaldDon GoetzJohn MeranaPete MurphyTim AtwoodJim HerringKent BlueRuss Moffett

"DeCA is currently internally re-evaluating the initiative needs.  As this evaluation is given due diligence, DeCA's stance today is to not aggressively pursue until this process can be completed. In the interim, Mr. Chandler is developing a store-level scorecarding process which will address incidences where there are issues with Vendor Stocking. This scorecarding will be utilized for Industry benchmarking...........more to follow"

Vendor Stocking Committee Update