1. Marion Mathison Primex Feb. 2002 Marion Mathison Supply Chain Management February 2002 Primex ‘02

2. Marion Mathison Primex Feb. 2002 Definitions: A Place to Start Supply Chain Management The supply chain encompasses every effort involved in producing and delivering a final product or service. From the forest to the end-user’s front door Is about much more than paper Customer’s Customers Supplier’s Suppliers

3. Marion Mathison Primex Feb. 2002 But It’s Not That Simple… The supply chain is made of many functional chains. The common focus on manufacturing is narrow. Bridges between chains are mission-critical. We need 360-degree spectacles.

4. Marion Mathison Primex Feb. 2002 What Has Changed Recognition that we are in an information business, different than hard asset manufacturing The power driving supply chains is moving upstream: - from production and manufacturing toward content creation and management - from back-end to front-end Availability of outsourced and virtual portions of the chains Movement: From: Paper media sufficient unto itself To: Paper is required but must be accompanied by Internet & electronic media

5. Marion Mathison Primex Feb. 2002 Business Dynamics Realization is dawning that cost reduction is not enough Customers are perhaps even more important than suppliers Most organizations do not know who their customers are and what they want

6. Marion Mathison Primex Feb. 2002 How Did This Happen? Printing & publishing industry traditionally relied on manufacturers such as Heidelberg, Kodak, Dupont, paper manufacturers and, more recently, Adobe, Quark, Microsoft, Sun, IBM, etc. to do R&D and Marketing. R&D and Marketing historically create growth through new products, market development, and demand generation. Sales & Manufacturing fulfills against this demand, and Finance measures backward & forward. Incomplete understanding of printers’ and publishers’ position in the overall food chain. Underestimating impact and risk of what’s beyond peripheral vision.

7. Marion Mathison Primex Feb. 2002 An Example of the Food Chain Customers Corporate Advertisers Agencies Subscribers Book Stores Book Distributors Libraries Consumers Service Providers Prepress Digital Services Printer Fulfillment/Distribution House Industry Manufacturers/Suppliers E-commerce Paper Ink Presses DTP Film Publisher -Telecommunications & Networks -Internet & ISP -Computers (all sizes) -Application Software -Servers -Database Software -System Integrators -Enterprise Systems 2002 Infrastructure Manufacturers/Suppliers

8. Marion Mathison Primex Feb. 2002 Follow the Money to the Owner of the P & L Who is Your Customer?

9. Marion Mathison Primex Feb. 2002 Management Direction: Faster, better, cheaper Get more from less CUSTOMERS Digital Content Management Outsourcing Digital Page Layout Internet Digital Workflow E-business Brokering Digital Photography PDF & Acrobat Non-print Media … and many more Stock Photo Libraries Technology Opportunities & Confusion

10. Marion Mathison Primex Feb. 2002 Types of Supply Chains Content Creation & Management Marketing Promotion Selling & Collaborating Manufacturing & Delivery Administration & Financial Management

11. Marion Mathison Primex Feb. 2002 Connection of Supply Chains Information Company Model Customer’s Supply Chains Customer’s Supply Chains Suppliers’ Supply Chains Content Creation & Management Administration & Financial Management Marketing Promotion Manufacturing & Delivery Selling & Collaboration

12. Marion Mathison Primex Feb. 2002 Sales Supply Chain Example: Commercial Printer Sales Cycle Find Prospect Prospect learns about company Close Customer Sell Ongoing Support Cycle/Steps: Support: Lead Generation Direct Mail PR Business-Line specific promotions Radio Door Openers Letters Telling the Story & Presentation Image Brochure Datasheets Case Studies Presentation Samples Proposing & Selling RFQ/RFP Mega Response Program Contracts Thank you letters Ongoing Customer & Prospect Programs Seminars Training Newsletters CEO Comm. PR Direct Mail Web Site Foundation: Service/Product Definition & Database Development Sales & Production Briefing/Training Website Customer Database development

13. Marion Mathison Primex Feb. 2002 CAPTURE Photography Documents Text Audio Video Marketing Content Management System Marketing Promotion Workflow CONNECTIVITY Data Input Daily Updates ADMINISTRATION Tools & Program in all media: Print on demand- ”One- to-One” -Print -Internet -CD/DVD -Video Direct Mail Collateral Material Training Web Site Kiosk Marketing Reports : -Tracking -Inventory -Vendor retrieval info -Update reminders -Response levels COLLABORATION (Users) Marketing Finance Creative Legal Vendors Production Purchasing

14. Marion Mathison Primex Feb. 2002 Digital Content Management aka Media Content Management MAM Market: $1.2 B in ’99 $5 B in 2004 Source: Gistics An integrated system of processes, technology and tools that enables an organization to manage and re- purpose information assets digitally.

15. Marion Mathison Primex Feb. 2002 §Text §Graphics §Images §Whole pages §Publications §Music §Film §Radio announcements §TV broadcasts Metadata - the information about the assets & the key to making money. Information Assets

16. Marion Mathison Primex Feb. 2002 Digital Content Management Mapping the Model of the “Next Big Thing” Digital Asset Library/Archive Tracking & Reporting Communication Links Page Production Transaction Processing

17. Marion Mathison Primex Feb. 2002 The Value of Content Management Strategic competitive advantage for growth Incremental new revenue streams Faster development of new offerings Reduced time to market New sales channel on the internet Effective brand management Increased valuation Tactical cost reduction in production cycle

18. Marion Mathison Primex Feb. 2002 People Change ??!! Technology Challenges and Barriers

19. Marion Mathison Primex Feb. 2002 Two Things to Consider About money and value - it is unwise to pay too much, but it is worse to pay too little. About learning - we can choose to never stop

20. Marion Mathison Primex Feb. 2002 Expect Nothing Blame Nobody Do Something