30 min presentation – with attitude!

ALL subjects included

SET A PRICE for solution

Info:

- 4th of 9 competitors on the market (western auto and just in time automotive before it)- 9% Return of Capital (ROT)- Western auto -> Higher value with technology -> Higher price

Problems:

- No more product in the last 3 years- Concentrated on cost -> No technology upgrades -> Increasing downtime -> No flexibility ->

Produce to stock- MANUFACTURING:

o RAW material income -> Lower the costs -> Supplier pipelineo Process improvements -> NO MORE COST CUTTINGo NO AGILITY -> Customer needso DOWNTIMES -> PREVENTIVE maintainance -> Premium price for being agile

- DISTRIBUTION:o Infrastructure tools -> NO capital investments?????o Department is large and geographically dispersedo No formal communication within department -> Training maybe????

- MARKETING AND SALES:o Distribution improvement to gain customer intimacyo 69% of the customers bring the 90% of profit -> ALL THE direct and wholesale want

products IN TIME AND ON SPEC -> Spec means the exact product that means communication -> In time: Communication WITHOUT mistakes

o Focus on long term and risk-free -> Maintaining???- Research and development:

o Not enough marketing -> They do not spend enough time to realize what are the values for the customers they develop

o GOOD EMPLOYEEs (no need to change)

SCENARIO:

- MINIMUM 12% Return On Capital Employed -> Bigger growth rate than industry’so cooperate among departments, quality improvement, cmmunication with parent

companyo Cooperation -> Quality -> Customer intimate -> Grow o They try:

top-line revenue increase to 50% through innovation and customer relationships

65% old asset Need 90% utilization of NEW ASSETS -> Lower expenses