1 © The Delos Partnership 2003 Global Strategic and Operations Planning 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 Expectations

3 © The Delos Partnership 2003 Customers 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 Process Business Demands/PIC S&OP/MPS/PDP MRP Good Luck!

5 © The Delos Partnership 2003 Delos Business Model Strategy Prioritisation Changes Vision DemandSupply Support

6 © The Delos Partnership 2003 Global Strategic and Operations Planning Key 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

7 © The Delos Partnership 2003 Master 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 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

9 © The Delos Partnership 2003 Benefits 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)

10 © The Delos Partnership 2003 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 Approach

11 © The Delos Partnership 2003 Timescale

12 © The Delos Partnership 2003 Objectives 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