ISCM Sponsor Meeting

1. ISCM Sponsor Meeting October 16, 2002 James B. Rice, Jr. Director - Integrated Supply Chain Management Program Massachusetts Institute of Technology ©MIT jrice@mit.edu

2. Today’s Agenda • Recap February Key Contact Planning Meeting Choices • Recap August AudioConference Update • Review progress on SC Response to Global Terrorism • GT Team - Deena Disraeli, Don Lowtan, Federico Caniato, Jonathan Fleck, Jim Rice, Yossi Sheffi (unavailable today) • Introduce SC Partners Program • Jonathan Fleck • Program Planning • Jim Rice • Adjourn @ 5:30 pm • Dinner at MIT Faculty Club • Kickoff Auto-ID Event ©MIT jrice@mit.edu

3. Recap February Key Contact Meeting • Developed plans for 2002 • Events • Identified dates, locations • Research • Funding for Yossi Sheffi & SC Response to Global Terrorism • Began ‘Harvesting Discussion’ • Harvesting is at the heart of sponsors leveraging benefit from investment in our work • Financial Plans • Group agreed to the need for additional funding from new sponsors ©MIT jrice@mit.edu

4. Harvesting Discussion • Initiated by Jim Kellso of Intel • Recognized as important topic for the entire group • Harvesting represents the process for the ISCM sponsors to take the learnings from our research and exchange and apply them within the sponsor firms • IEEE Harvesting Paper Authored by Joe and Jim • “A Job Fit For Evel Knievel: Jumping the Canyon of Academia-to-Industry Knowledge Transfer” • What are the known best practices for harvesting? • From research investments • From events • From exchange with other sponsors/companies • Consider new ways to harvest using technology (WebEx, NetMeeting?) ©MIT jrice@mit.edu

5. Harvesting Research • We need a quorum to have a meaningful discussion about this topic • We will plan time for this at the next ISCM event • See following slides for reference back to the origins of the discussion • This topic gets at the heart of ISCM and the potential value for sponsors • Basically, how can our sponsors and ISCM harvest the research learnings for application? ©MIT jrice@mit.edu

6. Harvesting: Meeting Comments • Want to change the way that the company does business based on what we learn here (from the research and events) • Have had to ‘go underground’ to do the work without the support of the business unit, but the results are not supported • How can we get the results embedded into the company? Some suggestions: • Recognize that the research can create some ideas that are part of an evolution (JRo) • Have Charlie Fine do a Clockspeed session to lead the change (JB) • Create a ‘Strategy to action’ team that studies and plans how to move good ideas into execution (JK) • Identify the purpose and objectives of the research, use that to drive how the learnings are built into the business (JK) • Success that previous key contact created at Intel was by enlisting support from non-SBU personnel (JK) • Corporate organization leads with investment, provide incentives ($, resources) for SBUs to adopt it (BS)… ‘resource sharing’ • Corporate maintains some standard processes and expectations that should be followed by SBUs, if not penalties are assessed (JB) • Have researchers make site visits (BS) • Engage the SBUs by giving them input to direction-setting, provide corporate resources that are made available to SBUs to utilize the research… (BS, RM) • Obstacles – no single business owner, there are many parties involved, research not involved with ‘today’s solution’ ©MIT jrice@mit.edu

7. Recap August AudioConference Update • Update some changes at the Center • Center name and leadership • ISCM Director Role Change • New initiatives • SC Education Partners • SC Response to Global Terrorism Research Project ©MIT jrice@mit.edu

8. Changes at our Center • New name: Center for Transportation and Logistics • Center for Transportation Studies did not reflect breadth of our work in logistics and supply chain • It only took 10 years! • New leadership • Now have two Co-Directors • Prof. Yossi Sheffi • Prof. Cindy Barnhart • Yossi will be on sabbatical 9-02 through 6-03 in the UK • Impact of these changes? • Limited direct impact on ISCM • Name change communicates our focus more effectively, potentially making ‘marketing’ more productive ©MIT jrice@mit.edu

9. Changes for ISCM • Jim Rice will take on running APIL in addition to ISCM • APIL – Affiliates Program in Logistics: a CTL consortium that hosts a series of executive educational events for members • ISCM and APIL will share some common events • May ISCM event was an example of this • 1 day with ISCM and APIL sponsors, 1 day with ISCM only • ISCM will have some completely separate events • Impact on ISCM? • ISCM Director’s work is more coordination, less personal research • Cost of Director now shared with APIL, meaning more funds to support ISCM research • But we still need to build the base funding level ©MIT jrice@mit.edu

10. SC Response to Global Terrorism ©MIT jrice@mit.edu

11. SC Response to Global Terrorism • ISCM agreed to fund this work • Pending available funding • Work To-Date • Largely started late summer, fast start Sept. 1 • SC Response to GT Team started up early Sept., 2002 • Focusing on response from Government, Risk Mgt/Insurance Industry, Corporations, and learning from past disasters • In progress of developing ‘Situation Scan’ to be completed end of Oct. 2002 • Today we share our work in-progress and solicit input and feedback • Next steps • Develop refined research questions to penetrate • Identify methodology to utilize in various domains ©MIT jrice@mit.edu

12. SC Response: Researcher Updates • Deena Disraeli • Government Response • Don Lowtan • Risk Mgt and Insurance Industry Response • Federico Caniato • Corporate Response • Discussion ©MIT jrice@mit.edu

13. ISCM Program Planning ©MIT jrice@mit.edu

14. ISCM Program Planning • 2002 Events • Dec. 4 – ISCM Key Contacts Planning Meeting • Dec. 5 – SC Response to Global Terrorism Symposium • Dec. 6 – SC Response to GT Initiative Discussion • 2003 Preliminary Planning • ISCM Meeting at Intel in 1Q 2003? • Clockspeed Project • Communications Industry Roadmap Initiative • New Case Requests • Search for opportunities • Review your SC issues… a la Monsanto Seed ©MIT jrice@mit.edu

15. Dec. 5 Symposium: SC Response to GT • Three sections • Situation Scan • Government Response • Corporate Response • Speakers include • MIT • MIT President Chuck Vest, Prof. Yossi Sheffi (CTL), MIT Institute Prof. John Deutch (ex-CIA chief), Prof. Richard DeNeufville (Sloan, Real Options & SC Design) • Industry • Steve Lund – Intel Corporate Security Americas • Bob Bergstrom – UPS VP • Government & Others Invited include • Commandant of US Coast Guard, CEO BT Wholesale, EAD FBI Counterterrorism Division, Director of National Infrastructure Protection Center, Director of US Customs ©MIT jrice@mit.edu

16. 2003 Preliminary Planning • 1st Quarter Meeting Plans • Dates, Venue, Topic • Balance of 2003? • Dates, Topics • Theme for 2003? • Research Projects to Engage • SC Response to Global Terrorism • Clockspeed • Seeking new sponsor cases ©MIT jrice@mit.edu

17. Program Planning Reference Slides ©MIT jrice@mit.edu

18. Events – Evolution of process & purpose • 1995-1997 • Focused on learning about the sponsor supply chains (supply chain reviews at sponsor sites) • 1998 • Shifted to theme-based, topic-focused (plan, make, source, deliver) events targeted to non-supply chain groups • Focused on sharing learnings among sponsors, identifying best practices on several supply chain topics • 1999 • Shifted to topic-focused events on mixture of supply chain and business management topics, leverage events with other MIT consortia and research groups, open discussion sessions • No central theme identified, sponsor-driven event topics • 2000-2001 • Events and audioconferences to balance travel & interactions • Heavier emphasis on research ©MIT jrice@mit.edu

19. 2002 ISCM Event Schedule February 5-6 ISCM Key Contact Planning Meeting 2001 Research Review and 2002 Research/Event Planning May 20-21 Joint ISCM & Affiliates Program in Logistics Symposium “New Era of Customer Service Management” May 21-22 ISCM Research Review and Best Practices Collaborative Meeting at MIT October 16-17 Joint ISCM & Affiliates Program in Logistics Symposium “Auto-ID Technology: Defining Logistics Applications” December 3-4 ISCM Key Contact Planning Meeting 2002 Research Review and 2003 Research/Event Planning December 5 Joint ISCM & Affiliates Program in Logistics Symposium “Supply Chain Response to Global Terrorism” ©MIT jrice@mit.edu

20. 2002 ISCM Support Activities Schedule January 9-10 Affiliates Program in Logistics Symposium “Dynamic Pricing in the Supply Chain” August 22 ISCM AudioConference – ISCM Sponsors Program Update December 12 Guest Speaker Symposium Warren Bennis MIT ©MIT jrice@mit.edu

21. 2001 ISCM Event Schedule February 1 ISCM Best Practices Collaborative Meeting at MIT “Innovations in Sponsor Supply Chains” February 2 Joint ISCM - Leaders for Manufacturing Program at MIT LFM Intern Research Knowledge Review June 19-20 eClockspeed Research Visit to Helix (Prof. Charlie Fine) ISCM Exchange Meeting & Research Review at MIT Oct. 30 “Innovations in Supply Chains” ISCM Event Hosted by P&G, Cincinnati, Ohio (P&G’s Consumer Innovation Center) Oct. 31 sClockspeed Research Visit to P&G Prof. Charlie Fine & Customer Service Supply Chain ©MIT jrice@mit.edu

22. 2001 ISCM Support Activities Schedule February 20 ISCM AudioConference Review of Innovations by ISCM Sponsors (Intel) March 1 Clockspeed Research Visit to Siemens Prof. Charlie Fine May 14 Supply Network Coordination Symposium Sponsored by KLICT Research – The Netherlands May 15 ISCM AudioConference Prof. Ellen Christiaanse – Univ. of Amsterdam “From Static Supply Chains to Dynamic Supply Webs” Nov 2 ISCM AudioConference “Global Terrorism and the Impact on Supply Chain Mgt” Prof. Yossi Sheffi, Prof Barry Posen, and Dr. Jonathan Byrnes ©MIT jrice@mit.edu

23. 2000 ISCM Event Schedule January 27-28 “Managing Change in the Supply Chain” and Leaders For Manufacturing (LFM) Knowledge Review June 12-13 “Future of Supply Chain, E-Business and the Internet ISCM Event Hosted by Intel, Chandler, Az. (Fine - MIT, Lee - Stanford, Cohen - Wharton) Sept. 13-15 ISCM Research Review and Workshop Research Colloquium with LFM Nov. 28-29 ISCM 2001 - Program Planning Sponsor Key Contacts & MIT Researchers ©MIT jrice@mit.edu

24. 2000 ISCM Support Activities Schedule February 15 ISCM AudioConference ‘eClockspeed’ Project Planning – Prof. Charlie Fine April 18 ISCM AudioConference “Smart Practice Knowledge Network” – Lucent Tech. “Fireball Initiative” – P&G June 1 Research Visit to P&G – Prof. Charlie Fine June 5 Research Visit to Lucent – Prof. Charlie Fine October 17 ISCM AudioConference Dr. Fred Hewitt – MIT CISR “Why Demand Pipelines are better that Supply Chains” ©MIT jrice@mit.edu

25. Consortia Current Best Practices • Take active role giving input on deployment of Director • Deploy to meaningful work that sponsors desire • Play a role in recruiting • Peer companies • Suppliers, customers, service providers • Provide contacts, introduce to other party, identify a desirable outcome from having the other party join ISCM • Engage broad set of parties at your firm • Participation in ISCM events • Participation in ISCM research • Connect with and explore possibilities with researchers ©MIT jrice@mit.edu