1 © The Delos Partnership 2003

Global Strategic and Operations Global Strategic and Operations PlanningPlanning

Initial Site Education

2 © The Delos Partnership 2003

Involves Customer Services, Operations, Engineering,…,Commercial Much of our cost is in the supply chain, we have to work closely with our suppliers

Taken for granted by all our Customers : • Reliable Quality : Right First Time

– Hardware : Spares, OE equipment,...– Data & Documentation : drawings, specifications,

prices,...– Services : answer to a request, phone,…

• Dependable Deliveries : On Time Deliveries…– Of the above. – Respect our commitments !

• Strong Competitiveness : Continuous Price Reduction

Customers' General Key ExpectationsCustomers' General Key Expectations

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Customers ExpectationsCustomers Expectations

• Acceptance of business risk and development costs

• Lower acquisition cost

• Higher level of responsiveness

• Flexibility in scheduling and Operations

• Open communication

• Aggressive innovation– UCAV customers : blank piece of paper to delivered gears < 12 months

• Hunger for improvement

Implies some radical changes in the way we think and work

4 © The Delos Partnership 2003

‘‘As Is’ Planning ProcessAs Is’ Planning Process

Business Demands/PIC

S&OP/MPS/PDP

MRP

Good Luck!

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Delos Business ModelDelos Business Model

Strategy

PrioritisationPrioritisation

Changes

Vision

Demand Supply

Support

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Global Strategic and Operations Global Strategic and Operations PlanningPlanningKey points• One set of numbers• Supply and Demand Balance based on

realism• Identifies gaps against strategy to enable

action to be taken• Recognises Global demand and supply – a

global business

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Master SchedulingMaster Scheduling

Key Points• Detailed statement of what company can do• Based on realistic material and capacity plans• The basis for promises that customers can rely

on• Translates detailed forecasts and customer

orders and makes them into the Company Game Plan

8 © The Delos Partnership 2003

Objectives of ProjectObjectives of Project

The objective is to design and implement a robust, drumbeat Global Strategic & Operations Planning Process for Messier-Dowty, which:

• Outputs one set of agreed numbers & Operations Policies

• Facilitates proactive not reactive planning and decision making: “Prevention rather than cure”

• Is fed by and feeds back to the Business Units and Manufacturing Strategy

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BenefitsBenefits

• One set of agreed & realistic numbers will be used to drive operations

• Balanced load & capacity• Plan will be realistic & stable• Customer deliver dates will be achievable• Shared decision making with Business Units & Customer Services• Proactive not reactive planning• Regular closed loop feedback• Earlier feedback to customers of any changes to the plan• Greater ability to deal effectively with non-routine or unanticipated

situations• Wider understanding of the business & operations plans• Routine reviews & reporting (with standard formats)

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• Strong co-ordination team with a representative from each BU/Site

• Workshop based design process

• Sites/BU’s grouped to perform workshops

• Consultants to support co-ordination team to ensure their skills are enhanced

ApproachApproach

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TimescaleTimescale

ID Task Name

1 GS&OP IMPLEMENTATION

2 Project Pre-Launch/Buy-In

3 IMPLEMENT 6 TO 24 MONTH HORIZON S&OP

4 Initial Assessment

5 Review Issues

6 Design Best Fit Process

7 Core Team Pilot

8 Education & Training

9 'Go Live'

10 IMPLEMENT MPS/PDP

11 Initial Assessment

12 Review Issues

13 Design Best Fit Process

14 Education & Training

15 Conference Room Pilot

16 'Go Live'

17 IMPLEMENT 3 TO 5 YEAR HORIZON S&OP

18 Project Completion

Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul2003 2004

12 © The Delos Partnership 2003

Objectives of these two daysObjectives of these two days

• Get all site core development team to a common level of understanding

• Understand the Messier specific Top Level design process

• Prepare the way for work on localising process

• Prepare for pilot of process