Decision Resources, Inc.

1. Decision Resources, Inc. SyteLine Improvement Potential Assessment (SIPA) General Manufacturing Inc. Pittsburgh, PA

2. Goal of the SIPA • How is it performed? • Discovery • Executive and Goal Alignment • Collect data to build benefit case • Benchmark client business processes and use of CSI versus other industry peers • Opportunity Analysis • Review Key business processes • Document pain points • Identify opportunities to address pain points

3. SIPA Objective / Procedure • How is it performed? • Benefit Analysis • Identify specific value drivers • Quantify business impact by functional area/process • Business Case • Build business case to justify investment • Identify client champions for each benefit item • Present findings to client

4. SIPA How it Works • Two days of intense interviews with department leaders and experts • Data captured, logged and analyzed • Power point and report created & presented • Breaks down each area and a score for current • Results define next steps: • Short term improvements • Medium term improvements • Long term improvements

5. Decision Resources, Inc. Why Do It? To answer the following questions: • How well do we use our current system compared to others in our industry? • Where should we improve? • How do we improve? • What should we do first, second etc.? • Should we upgrade? • What benefits do we get with these improvements or upgrade? • How much effort does it take to make these improvemnts?

6. Areas for improvement MPS Forcasting Customer Orders Items BOM Routing MRP Capacity Planning AR Material Requirements Shipping Purchasing Planning Production Planning AP Purchasing Pre-/Post Costing Scheduling Data Coll RMA Receiving InventoryControl Reporting Production Warehouse

7. SIPA Interpreting the Results • Customer Assessment of Importance • Consultant Rating of Usage • Determine reached score (= assessment of importance * rating of usage) • Automatic comparison of the reached score with the maximum score • Graphical display of system usage per module and system total

8. SIPA Example of Results • Break down of each area • Groupings of consolidated numbers • Detail report of current state and improvements • Recommendations based on a number of factors • User perceptions (pain) • Similar companies in industry • Best business practices

9. SIPA Example Presentation Agenda • Project Overview – Objectives and Procedures • Results by Functional Area • Current State • Anticipated Improvement Areas • Next Steps • Questions & Answer

10. XYZ Inc. Data Sheet of Results

11. SIPA Section 3.1 Master Data • 45 of 118 points achieved (39%) • No defined policy for creation of new items • No use of pricing in the system • Addition of UET to describe/find Item • No event/workflow used • Planning data is incorrect

12. SIPA Section 3.2 Engineering BOM Management • 15 of 60 points achieved (25%) • Outside process is inefficient • Low trace ability of BOM creation • Secondary process weak controls • Need use events • No use of ECNs • No integration with Drawings

13. SIPA Section 3.3 Mfg Data Mgt / WC & Rout. • 58 of 90 points achieved (64.5%) • Operations structure needs detail • Capacity planning absent • Scheduling is manual on floor • Planning data inaccurate • Setup time and planning for • Use of setup matrix

14. SIPA Section 4.1 Costing • 75 of 126 points achieved (59.5%) • Training needed to gain understanding of STD Cost • More focus needed on variances as measurement • Actual cost improved with use of Barcode • Setup cost tracking is weak • Costing needs to be viewed • as company goal

15. SIPA Section 5.3 Organization and Training • 48 of 114 points achieved (42%) • Improve user feedback mechanism • Create continuous improvement culture • Process change improvement • No formal issue process

16. SIPA Section 1-3 Summary • 410 of 952 points achieved (43%) • 191 of 442 points achieved (44%) • 114 of 300 points achieved (38%)

17. SIPA % Utilization by Sub-Section

18. SIPA Section Utilization Summary

19. SIPA Section Total Summary • 715 of 1694 points achieved (42%)

20. SIPA Short Term Improvements • Communication logs • Outside process rework • Clean item planning data • Use of unit of measure conversion • Use Material Planner Workbench to execute • Validate planner data • Deactivate AP & AR transactions

21. SIPA Middle Term Improvements • Implement SyteLine 9 • Improved interface • Speed access to data • Shorten new user training • Reduce reliance on paper reports • Reduce software modifications needed and support • Reduce custom report generation and support • Workflow software solution (Event Management System) • Dramatically improve interdepartmental communication • Allow digital data flow to insure proper and timely communication • Implement CRM solution

22. SIPA Long Term Improvements • Implement advanced features of SyteLine • APSi • Planning • CRM • Develop highly flexible data analytics • Workbenches • Implement additional Infor products • Doc-Trak • Forecaster • Performance Management • Workbenches

23. Proposed Action Plan • Next Steps • Define Project Proposal • Formalize Scope • Submit Project Plan • Acquire Hardware • Execute Project Plan • Execute Post Go-Live phases

24. SIPA Report Example

25. SIPA Report Example

26. SIPA Customer Feedback • What do customers say about SIPA • Good when can we get these things fixed? • Can we start today? • We should have done this long time ago • Can we do this every year to track results? • We needed an outside look at what we do and how we do it.

27. SIPA Questions • ?