1. Collaborative Venture to Drive Economic Development Wisconsin Manufacturing Extension Partnership

2. Heat map

3. Manufacturing is vital to Wisconsin ► 9,600 Manufacturing firms* ► 409,220 jobs (direct)* ► Payrolls of $21 Billion +* ► In 2011, WI manufacturers spent $91 Billion on materials & $4 Billion on capital expenditures** ► 15.4% of Total Non-Farm Employment in 2011*** ► $51.3 billion GSP ** (19% of state GSP) ► In 2000, Manufacturing was 20% of employment, 2011 just over 15%*** *US Census Bureau, 2010 County Business Patterns ** Annual Survey of Manufactures, United States Census Bureau, 2011 data released in 2012. *** Moody’s Economy.com

4. About WMEP Wisconsin Manufacturing Extension Partnership helps Wisconsin manufacturers succeed Since 1998, WMEP has…  Served more than 4000 Wisconsin manufacturers  Generated more than $2.7 billion in reported economic impact  Helped create and save more than 22,000 jobs 4

5. Next Generation Manufacturing 6 Success Attributes

6. To create new and better products and services faster than the competition. Rapid and recurring deployment of commercial roll-outs and world- class speed-to-market; systemic innovation across the enterprise in products, services and business processes and practices, including staff and partners Utilizes unique customer solutions driven by robust market intelligence Focuses staff, metrics and investment on product research, development and deployment Customer-Focused Innovation

7. To maximize workforce performance and improve business outcomes. Mines talent and skill recruitment from diverse sources; leverages diversity as a business asset Commits to continuous investment in training and education of employees and partners Pushes decision-making authority and accountability down through the organization to drive continuous improvement and employee engagement Focuses staff, metrics and investment on human capital development and retention Advanced Talent Management

8. To manage diverse supply chains and partners. Breaks apart and rebuilds value chains to create better products/ services at lower cost while creating new business capabilities Establishes a trusted network of partners and suppliers primed to capitalize on opportunities faster than the competition Maintains open and continuous communication across the extended enterprise Engages suppliers and partners in strategic planning, sharing of customer and competitor information, and response to new opportunities Institutes and utilizes metrics and processes for improving extended enterprise performance Extended Enterprise Management

9. To gain competitive advantage and reduce environmental impact. Understands that free market mechanisms reward environmentally sound business practices Invests in technologies, production methods and business processes that create resource/cost savings and drive market share Builds green and sustainable practices that are best insurance for business continuity and also gain community, employee and social support Anticipates and responds proactively to future regulation that penalizes inefficient and wasteful resource use Invests in training and technology that reduces material and energy use Sustainable Products & Process Development

10. To drive marketing diversification and develop new sources of demand and growth through exporting. Anticipates the threats and opportunities presented by globalization and creates offensive/defensive capabilities in response Engages in multiple foreign markets for export, sourcing and partnership opportunities Develops and utilizes processes that identify global opportunities and threats Engages staff and develops partnerships capable of successfully operating in foreign markets Leverages partnerships/alliances for maximum market penetration, complementary business capabilities, business intelligence and opportunity identification Global Engagement

11. To achieve world-class productivity through Lean manufacturing and other methods. Continuously measures performance against world-class benchmarks Builds an enterprise-wide culture of a continuous improvement methodology Measures continuous improvement at every level and throughout the extended enterprise Invests in technology and training to drive continuous improvement Systemic Continuous Improvement

12. Culture Quick Changeover Standardized WorkBatch ReductionTeams Quality at Source 5S SystemVisualPlant Layout POUS Cellular/FlowPull/KanbanTPM Value Stream Mapping Continuous Improvement Culture

13. NGM Key Performance Indicators Handout Benchmarks

14. World Class Performance Benchmarks

15. NGM 6 Indicator Scorecard Handout Scorecard

16. What Does It Mean for Wisconsin?

17. Q&A

18. WMEP Provides a Wide Range of Services  Advanced Talent Management Mid-level Leadership Development and Skills Certification  Customer Focused Innovation Rapid Innovation and Growth / Marketing Needs  Systemic Continuous Improvement Lean, Quality, Six Sigma and Certification Needs  Extended Enterprise Management Developing Suppliers and Partners for Long-term Growth  Sustainable Product and Process Development Profitable Conservation of Energy and Resources  Global Engagement ExporTech™ and Global Growth Opportunities 18

21. THANK YOU WMEP Mark Hatzenbeller North Regional Account Manager: 920-246-0051 hatzenbeller@wmep.org David York South Regional Account Manager : 414- 403-6698 york@wmep.org Madison Office 608-240-1740

22. WMEP is Measured by Our Clients’ Impact  WMEP state and federal funding depends on the quantified impact and ROI each client reports  Last year nearly $600 million in impact was reported by the small and mid-sized manufacturers we served  In the past five years, more than $1.2 billion in impact and more than 4,000 new and retained jobs have been reported by WMEP clients as a result of successful project work 22

23. Wrap Up Take Aways: NGM6 Attributes NGM6 Performance Benchmarks NGM6 Indicator Scorecard worksheet Let us be your First Call