1. Workforce Development Panel Presentation ENERGY DYNAMICS Sept 2012

2. Accelerating Supply Chain Performance  ED - Located in Rockford, Illinois  Since 1980  26 employees  AS 9100 and ISO 9001  CNC machine shop driven by Lean Thinking  RAEDC / RAAN  SEA  RRVTMA  TMA  Techworks

3. Accelerating Supply Chain Performance Process Overview ✈ 2.2.1 Work Area Continuous Improvement Process Work Area Continuous Improvement Process – How is continuous improvement supported in all work areas? How are improvement projects linked to work area goals? How does the work area integrate continuous improvement into their daily operations? How are problem-solving and corrective action methods standardized in all workgroup processes? How are work areas and cells reviewed by senior management? How are statistical methods integrated into the standard work for appropriate managed processes? How are process control plans developed and implemented? How are statistical methods reviewed and their application improved? 3

4. Accelerating Supply Chain Performance Our Key Practices 4 ✈ Company Dashboard/ Scoreboard OTD, PPM, Turns, Sales / EE, plus financial ratios ✈ Scrap Parts Flip Chart. Parts, operator, date, weekly review ✈ Lead Operator training Lean, Disc Indra, Keyne link ✈ Cell Communication Boards Next Job, Days in Shop

5. Accelerating Supply Chain Performance 5 Culture

6. Accelerating Supply Chain Performance 6 Let’s talk about this picture.

7. Accelerating Supply Chain Performance Things We Did Right 7 ✈ Spent most of our time on culture Four years so far ✈ Let people have input ✈ Communication eg Weekly update ✈ Keep an open mind ✈ Kicked me out of my office! Now our training room!

8. Accelerating Supply Chain Performance Things We Learned 8 ✈ Did not act quick enough on people who were not going to get on the bus. ✈ Even when you think it is so clear someone did not understand. Lego Moments.

9. Accelerating Supply Chain Performance Questions Thank you Patrick Bye President, Energy Dynamics 815-877-1410 patbye@energy-dynamics-inc.com www.energy-dynamics-inc.com 9