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1、Improving Supply Chain Management Relationships,Mary Simmerman Vice President, Materiel,April 23, 2003,Acquisition & Logistics Excellence Conference,2,Copyright 2003 Northrop Grumman Corporation,Agenda,Introductions Supplier Management What Does It Mean? The Defense Business Whats Driving the Transf
2、ormation? Northrops Model “Strategic Relationships, Strategic Alliances” Key Success Factors Future Vision Where Do We Go from Here? Questions and Answers,3,Copyright 2003 Northrop Grumman Corporation,Mary Simmerman, VP, Materiel,Oversee Domestic and International Procurement and Subcontract Managem
3、ent VP, Supplier Management and Procurement at Boeing Space and Communications Co-Lead Supplier Mgmt. Process Council at Boeing Past Life at Northrop in Advanced Systems Division and Grumman Aerospace SME for Material Operations of Boeing Airlift and Tanker 1998 Malcolm Baldridge Award MBA, Keller G
4、raduate School, BA in Business Mgmt., University of Phoenix,4,Copyright 2003 Northrop Grumman Corporation,Cost-Based Adversarial “Vendor” “Tug of War” Non-Evaluative Short-Term Event-Based,Collaboration Joint investment Sophisticated Evaluation Tools Long-Term Focus Continuous improvement True Partn
5、erships,Quality Issues,Poor Communic.,TQM,6 Sigma,Metrics,Integrated Systems,New Tech.,SCM Focus,Past,Present,Supplier Management What Does it Mean?,5,Copyright 2003 Northrop Grumman Corporation,What Do We Mean Today?,A Formal Process by Which Suppliers Are Evaluated and Categorized by Their Ability
6、 to Add Value to Our Business Via Investment, Collaborative Planning & Design, Risk-Sharing and Product Enhancement,Supplier Management Is Enabling Relationships with Providers of Goods and Services to: Attain Business Objectives Expand Business Opportunities Reduce / Transfer Business Risks,6,Copyr
7、ight 2003 Northrop Grumman Corporation,Market Share,Significantly Enhanced revenue,Benefits from Supplier Management,New Products/ Items,Broader Name Recognition,Reduced Costs,New Distribution Channels,New Customers,Why Manage Suppliers?,60-70% of What We Build Is Procured!,Customer Satisfaction,7,C
8、opyright 2003 Northrop Grumman Corporation,Industry Consolidation War Tactics Cultural Issues Enhanced Communications Weapons Technology,The Genesis,The Defense Business Whats Driving the Transformation?,“Integrated Network” True Partnerships “Systems, Services, Support” Precision Weapons & “Real-Ti
9、me” Communications,Goals,Collaboration,8,Copyright 2003 Northrop Grumman Corporation,The Northrop Model Supplier Engagement,Possess Technology That Would Be Beneficial to Our Future Business Aspirations Align with Our Future Strategies (e.g. NHA, JIT) Have R&D Expenditures That Are Relevant to Techn
10、ologies We Believe Are Gaps in Our Portfolio Select Potential Strategic Partners (Industry / Geography) with Characteristics That Would Be Critical Differentiators for Us in Future Competitions (e.g. Skills, Political Strengths, Technologies),9,Copyright 2003 Northrop Grumman Corporation,The Northro
11、p Model Hawkeye Case Study,Issues: Radar Approach & Team Solidified Within the Navy (NAVAIR, OPNAV, CNO, ASN) Navy Funding Profiles to Support RMP SD&D and Post Multiyear Production RMP SD&D Proposal Submission in June and Contract Award by December FY 2004 NTE Production Proposal Submission in Nove
12、mber and AAC Award by December (3 Hawkeye 2000 Aircraft),Strategies: Preserve FY 2003 Budget for SD&D and Production and Preservation in POM-04 Continue Hawkeye 2000 and Advanced Hawkeye/RMP Advocacy Campaigns Work with the Customer for Post MYP Production Via Affordability Options FY 2004-2005 (Haw
13、keye 2000) FY 2006-TBD (RMP LS / TAMD),Hawkeye Industry Team,Tactics: Leverage the Strength of a “Team” in USN, OSD, Congress and the Media Propagate “Value of RMP” as Highest Priority of Advocacy Campaign Stress “Value of Hawkeye 2000/CEC” to Nearterm Fleet Operations Develop Affordability Posture
14、on RMP SD&D and Post Multiyear Production Target Key OPNAV Flags Promote Team Accomplishments,Strategic Intent: Joint Marketing of the E-2C Hawkeye and USN AEW&C Roadmap,10,Copyright 2003 Northrop Grumman Corporation,The Northrop Model F-35 Case Study,Strategic Intent: Collaborative Design and Engin
15、eering while pursuing “Best Value”,Issues: Cost containment is key for the program Investment structure requires sourcing strategy for participating countries RFB/RFQ are “model” based Design and production specs are evolving as the bid process progresses,Strategies: Exploit technologies which suppo
16、rt collaborative design and engineering to address weight and configuration challenges Employ “ePMO” for document and data sharing for global team Deploy common engineering standards (CATIA),F-35 Global Team,Tactics: Developed JSL “Virtual PMO” for global project management support Balance “best val
17、ue” and collaborative engineering capabilities to meet cost and design challenges Develop specific incentives for team to address center fuselage and weight challenges.,11,Copyright 2003 Northrop Grumman Corporation,Continuous Review Process Based on Performance Measures Reflecting Total Cost of Own
18、ership Must Be in Place to Provide Ongoing Monitoring of the Suppliers Effectiveness “Platinum Source” Case Study,Key Success Factors Supplier Relationship Management,12,Copyright 2003 Northrop Grumman Corporation,Key Success Factors Supplier Relationship Management, Platinum Source,13,Copyright 200
19、3 Northrop Grumman Corporation,Key Success Factors Supplier Benefits,14,Copyright 2003 Northrop Grumman Corporation,Key Success Factors Supplier Relationship Management,Suppliers / Contractors Are Selected Strategically, with a Long-Term Focus, Rather Than Historic Short-Term, Transaction-Based. Org
20、anization Must Commit the Resources to Develop Mutually Beneficial Relationship. Demands on Suppliers Requiring Capital Investments Necessitates the Sharing of Plans and Schedules Utilize Suppliers As a Knowledge Source and Share Benefits of Expanding Into New Markets, Assessing Value-Based Opportun
21、ities, Discovering New Cost Savings, and Extending Current Functionalities,15,Copyright 2003 Northrop Grumman Corporation,Key Success Factors Supplier Relationship Management (Cont),Involve Key Suppliers in Long-Term Strategic Alliances, Where Specific Capabilities May Need to Be Developed. MWBEs Ma
22、y Be a Good Source for This. Align Suppliers, IR&D to Technology Maps,16,Copyright 2003 Northrop Grumman Corporation,Business Partners,World,Enterprise Group,SAP R/3,Business Warehouse,Order Entry, ILS, CS,Financials,HR,Fulfillment,.,E-Procurement,Strategic Enterprise Management,Portal,.,Extending S
23、cope (New Dimensions & Add-Ons),COLLABORATION,Internet,Extranet,Intranet,ENTERPRISE,Knowledge Warehouse,Supplier Relationship Mgt,Collaborative PLM,APO,CRM,Customer Relationship Mgmt,MFG, QA,Procurement,Billing,Complete,IES III/IV,FoF,Key Success Factors Technology Blueprint,17,Copyright 2003 Northrop Grumman Corporation,Direct,Indirect,Supplier Collaboration, Management, Improvement,Specification Development,Supplier / Part / Category Master Data Detailed Cost Element D
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