1. Operations Management Lessons From Operation Iraqi Freedom For Your Operations Joseph L. Walden Colonel, US Army, Retired Executive Director Supply Chain Leadership Institute

3. Today’s Session Objectives  Apply the lessons learned in establishing the first Theater Distribution Center in a Theater of War in almost 60 years  Understand the similarities between military distribution operations and your distribution operations  Learn and Laugh

4. Questions  What is a Theater Distribution Center?  “The Army’s distribution system is totally different from my operations, how do these lessons apply to me?”  “Is there anything really new to learn?”  “So What?”

5. Is there a difference between Military and Commercial Logistics?  Absolutely  Maybe  No Difference  Not Sure

6. The only real difference between Military and Commercial Supply Chains The potential results of a Military Supply Chain stockout

7. Agenda  Background – how I got there  Moving 150 Wal-Mart Super Centers  Establishing the Theater Distribution Center  Lessons Learned  Applications  Questions and Answers  Conclusion

12. March 10, 2003 March 18, 2003

13. What is important in distribution?  Right products?  On time delivery?  Visibility?  All of the above?  Other criteria?

14. Focus on the important issues  What is important?  How do you determine?  Sun Tzu  Patton  What else is important?  Family, friends – balance between work and family

15. Distribution Planning and Execution  Plan  “Rock” Drills  Execute – FAS  Frustrated Cargo  Secure areas  Security  Evaluate

16. Layout Implications  Layout  Visibility  Customer Support

17. Is it important to know the manual steps behind the automation?  Yes  Maybe  Not Sure  No

18. Automation vs. Manual  Do you need to know the manual steps behind the automation? Have you experienced either of these?  What if your automation fails?  What if you need to change your automation package?

22. MHE  What  Where  Training  Maintenance  Layout

23. Clearly Stated Vision/Communications  Yogi Berra  Forklifts  RFID Tags

26. Frustrated Cargo/Returns  Why  What  Cross level

28. Returns/Reverse Logistics is…?  A problem?  An opportunity?  An irritant?  Someone else’s problem?

29. Jane’s Defence Weekly “Recent report (Aug 2003): There is a 40 hectare (~100 acres) area in Kuwait with items waiting to be retrograded back to the US.”

31. Security  New Problem?  Important?  Risk Assessment  Risk Management

32. Training/Preparation/Planning/People  Training and Preparation – foundation for success  Pre-Combat Checks/Pre-Combat Inspections and their application to you!

33. Temporary Labor  Language Barriers – new problem?  Future problem?  Dealing with it How many of you use Temporary Labor?

34. People  REGARDLESS OF WHAT BUSINESS YOU THINK YOU ARE IN – YOU ARE IN THE PEOPLE BUSINESS!!!!!!!!!!

35. Leadership  Vision  Communications  Respect, Honesty, Integrity  Set the example

36. Conclusion  Motivation of employees is key  Preparation  Planning  Customer support  Security  People  Leadership

38. Please look under your chair There is one chair with my business card taped underneath; bring it to me for a copy of the book The Forklifts Have Nothing To Do! – Lessons in Supply Chain Leadership.

39. There is no problem too big to overcome – no matter how big it seems in the beginning! Final Thought

40. Contact Information Joe Walden 5559 NW Barry Road, #110 Kansas City, MO 64154 (760) 447-3651 joewalden@supplychainresearch.com www.supplychainresearch.com