1 © The Delos Partnership 2004 Integrated Performance Measurement and Control Increasing Shareholder Value Through Effective Performance Measurement

2 © The Delos Partnership 2004 Agenda 1.The Problems with Today’s Measures 2.A Modern Framework for Measurement 3.Linking Measures to the Organisation 4.The Seven Core Measures 5.Linking the Seven Core Measures to detailed Operational Measures 6.Developing the Reward and Measurement systems 7.Implementing the new set of measures

3 © The Delos Partnership 2004 Since 1991 Richard has operated his own education and consulting firm, which specialises in the understanding and implementation of Integrated Enterprise Planning. As such he has helped many companies including Cray Valley (part of the Total Group), GlaxoSmithKline, British Nuclear Fuels Limited, GEC Marine- VSEL, Sandoz Pharmacuticals, Van Leer Metallizing, Cooper Bussmann, Rizla Ltd., Aventis, Quest International, and Levi Strauss EMEA. All of these companies have made significant gains in improving profitability and customer service through the implementation of the concepts supporting Integrated Enterprise Planning. In this he was associated with Mike Salmon’s Manufacturing Resource Planning Limited from , and with Oliver Wight associates from All of this was achieved through a mixture of Education and Consulting. Richard Watkins’ experience with Business Excellence in manufacturing industries started in 1986, when the ICI Agrochemicals’ Business (now Syngenta) started the first global implementation of an Integrated Supply Chain planning system. Richard was a member of the core Project Team that radically transformed the way the business operated, leading the Forecasting and Demand Management Task Force. This highly successful project led to a 20 % plus reduction in inventory, and service levels in excess of 95 % worldwide. All of this involved implementing a new way of forecasting and planning across the whole division around the world, which Richard led. This included the development of a global Integrated Enterprise Planning process, which enabled a monthly financial review of the business, and a long term strategic decision- making process. Richard joined the Project Team from the Product Management group, responsible for the development and marketing of new products into the Public Health and Agrochemical markets. Prior to joining ICI, Richard had gained an MBA from the London Business School,; before this he had worked for Tube Investments Ltd, who manufactured Steel Tubes for the automotive, sports goods, nuclear and food processing industries. He gained his first degree in PPE from Oxford. RICHARD WATKINS

4 © The Delos Partnership 2004 ROD CLARKE Rod Clarke provides guidance, advice and support to businesses in successfully applying IS/IT in support of their business goals. He brings a pragmatic and business focused approach to the development of IS/IT strategy and the evaluation, selection, implementation and exploitation of information systems that underpin World Class performance. Rod created his own independent consultancy company (Rickinghall Executive Consulting Limited) in 1999 and his clients include a global life science company, an MOD agency, a major consumer products company, a global IS & Strategy consultancy company and a major manufacturing software package vendor. Rod has worked in supply chain management and IS/IT since the mid-1980’s. In this time he has held senior management, project leadership and operational management roles in the three of the world’s largest chemical and pharmaceutical companies. Rod was a key player in the ICI Agrochemicals International MRPII Project and then led the achievement of Class A in Subsequently, he had a leadership role in all the continuing business and system improvements within ICI (and then Zeneca) Agrochemicals in the UK, North America (where he spent three years) and globally. In the late 1990’s. Rod was Chief Information Officer for Glaxo Wellcome’s Worldwide Manufacturing & Supply organisation. During this time he led the move to a single integrated application package (SAP R/3) for all manufacturing sites worldwide, as well as being executive sponsor of the global MRPII programme. Rod is a Chartered Secretary by profession and also a member of the Institute of Operations Management and the Institute of Management Consultants. He speaks at many events in the UK and worldwide on IS issues, supply chain trends and change management.