1. TE Connectivity Kati Boyst, Mickey Holt, JeffPasour, Berto Sanchez, John Willis

2. Overview of TE Connectivity TE connectivity is an independent, publicallytraded company that specializes in thePower, Electronics, Communications and Dataconnectors and circuit protection. TEsproducts are used inAerospace, Automotive, Energy, Industrial andConsumer applications. These technicalmarkets require very dynamic productdevelopment and placement. 3. TE Connectivity Structure TE connectivity is not a highly formalizedcompany. Upper management allowsemployees to take actions that do not alwaysstrictly adhere to formal policies when it isneeded to accomplish the needed tasks. TE allows its employees to work over broadareas with few boundaries. This fosterscreativity in problem solving. 4. TE Connectivity Structure Authority is hierarchal with strongcentralization of authority. Strong boundaries exist betweenmanagement levels with key decisions madeon a high level and lower value decisionsmade on descending levels. 5. Environment TE operates in a Complex yet Stableenvironment with 60% of sales in industrialmarkets. This is a global environment. Thecomplexity of the business has led tochallenges that are being addressed withmore changes needed. Within the currentframework more local leadership authority isneeded and a more hybrid structure shouldbe developed. 6. Strategy TE connectivity is focused on a differentiationstrategy. TE is faced with increasing low cost globalcompetition. Niche and captive markets are key to TE strategyto remain competitive. We use both a defender strategy through costcontrol and an Analyzer Strategy to expand corecapabilities to offer a full package of solutions tothe customer. 7. Competition TE uses internal sourcing and long term supplyagreements with external suppliers to maintain acompetitive edge TE has very strong competition from companiessuch as ABB and Molex for high profile customerssuch as Toyota, ATT, Apple and Siemens. The competitive environment is complex withsome both competitive and symbioticrelationships. 8. Core Technologies Lean Manufacturing of Data and electricalconnectors. Strong design and Intellectual Propertycontrol. Flexibility to customize and simultaneouslyserve large volume customers 9. Life Cycle TE is currently in the formalization stage. Thisis being moved towards the elaboration stagewith increasing levels of bureaucracy. There are many formal procedures, but stillretention of some informal ability to workoutside these processes. The performance measurement systems arevery standardized. There is heavy focus on improving efficiency. 10. Recommended strategies for TEConnectivity Continue to strengthen the bureaucraticstructure. Deploy some elements of the mission style inorder to maintain the flexibility needed as aninnovator Encourage creativity and new idea creation inthe very dynamic connector markets 11. Recommended strategies for TEConnectivity Increase diversity within the organization withthe freedom for employees to experimentwith new concepts. Establish coalitions to guide the adoption ofchange. Form innovation teams to meet newchallenges. 12. Recommended strategies for TEConnectivity Train employees on decision making andproblem solving skills. Increase goal compatibility with divisionalstructure, particularly in respect to corefunctions such as R&D, operations andproduct management. Develop a shared performance measurementand reward system.