ap shared services newsletter q1 2012
TRANSCRIPT
INTRODUCTION
Dear Colleagues,
Welcome to our first newsletter for the year. 2011 has been a fruitful year,
you will find updates on our teams, accounts and achievements for Q4.
In 2012, we have re-organized our Key Account Support team as Century
Customer Management to drive more focus on our century accounts, I
am confident the team will deliver better performance under Siva’s
leadership.
Our focus for first half of 2012 is to support retention and grow our 7
critical accounts in AP: GM, WD, Apple, Nokia, HP, TE and Nike. We look
forward to helping AP achieve success despite the challenging market
outlook – together we can make a difference!
Issue 4, Quarter 1 2012
Inside this issue
Introduction Page 1
Global Support Center Page 1
Updates
Global Tender Page 2
Management Updates
Century Customer Page 3
Management Updates
Technology Accounts Page 4 - 7
Updates
Automotive Accounts Page 8
Updates
Industrial Accounts Page 9 - 10
Updates
Consumer and Retails Page 11
Accounts Updates
AP Shared Services AP Shared Services Quarterly Quarterly NewsletterNewsletter
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Regards,
Andrew Hong
Director, Shared Services AP
GLOBAL SUPPORT CENTER UPDATES
New Staff Onboard
Akhilesh Airen and Jacob K Reju have joined as Business Support
Analysts as part of Business Support Team.
Achievements
In Q4, the team took on additional responsibilities, following are the key
ones:
•Global Service Offerings (GSO) Compliance Project
•GPS support for Matrix implementation in Asia Pacific
•C-View Opportunity Report
•Additional reports (e.g. 3M US to Germany daily report)
COMPLIMENTS:
J. Guilherme Rodrigues Silva,
Senior Global Service
Offerings & Pricing Analyst:
“I would like to thank you for
the vital support to re-launch
this auditing initiative. It is a
learning process that takes
more than a couple of weeks,
but you certainly did a great
job! I am confident that we
will help the organization
reach the desired level of
standardization for our service
offerings with these reports.”
Alex Ho, Senior Key Account
Manager: “Vatsala, great job
with the report! Good to see
all information fully completed
and the reporting fully covered
with response from all. Quality
of information is there. Please
keep up the excellent piece of
work.”
AP Shared Services Quarterly Newsletter
Teambuilding
GSC team had an outing on Christmas Eve, it was a time of fun and
teambuilding for the team after a year of hard work!
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GLOBAL TENDER MANAGEMENT UPDATES
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GLOBAL TENDER MANAGEMENT UPDATES
Achievements
In Q4, the team achieved the following major wins:
•Continental Air
•Henkel Thailand DC & Freight
•GM Prototype Air
•Celestica Air
•Eaton Ocean
•LSA AP Air & Ocean
•Molex Air & Ocean
There is increasing number of bids as we go into our usual peak season for
bids in Q4 and this will continue in Q1. The team aims to achieve more
and significant wins to boost our freight volumes in 2012.
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AP Shared Services Quarterly Newsletter
CENTURY CUSTOMER MANAGEMENT UPDATES
New Staff and Team Structure
On 1 Nov 2011, we have a new team member, Vivian Qiu onboard the
team as Key Account Executive in Singapore. She is tasked to support
Nokia and HP, 2 major technology accounts.
With effect from Jan 2012, the team has been re-organized under one
leader and renamed as Century Customer Management to drive better
customer support management and focus on our Century customers. Siva
Indran leads this team as the General Manager.
Following is the new organization chart.
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AP Shared Services Quarterly Newsletter
TECHNOLOGY ACCOUNTS UPDATES
Western Digital
Account Management Changes
Janet Ang joined CEVA as of 24 Oct 2011 as the Global KAM for Western
Digital. She is replacing John McDonald on his Western Digital role. She
will be based in Los Angeles. A Singaporean native, she brings along with
her 17 years of logistics to CEVA and is looking forward to the challenges
of handling one of CEVA’s largest account.
Customer News
Flood inflicted by heavy monsoon rains and back to back tropical storms
since July had caused 70% of Bangkok district to be submerged with rains
waters in the last 2 months. The flooding affected many computer and
electronics components makers that depend on supply chains that come
out of Bangkok. Western Digital and other HDD suppliers factories were
also affected with flood water that caused temporarily factories shut
down. This had caused the supply of HDD in the global market to fall short
whilst the price of computer to skyrocket by 10-20% of the normal price.
Western Digital - 40% of global HDD supplier had committed on getting
both factories to run in full capacity in this coming March.
Achievements
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Achievements
During Thailand flood, CEVA staff globally had been putting in extra time
to assist Western Digital and last minutes change of directions.
Western Digital had instructed CEVA to hold all the WD shipments from
uplift or delivery. All the shipments that were not uplifted were returned
back to the factory while shipments that were uplifted were put on hold
at destination station or gateway until further notice. Furthermore, Ceva
also provided supply chain options and solutions to Western Digital in
order to support on the current shipments hold issues.
Continuous Improvement
During the last few months of 2011, WD increased their Ocean shipments
in order to offset price increases from higher fuel costs.
To support WD Ocean business in future months, we have enhanced the
Ocean screen function in RRAW Portal which enables the user to submit
rate request, trace the status of rate request, give visibility of rates
approval and a function button for WD to approve new rate submission.
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AP Shared Services Quarterly Newsletter
Nokia
Customer News
Nokia has launched the Lumia 800 and 710, powered by the latest version
of Windows OS. The phone covers can be replaced by different colors
everyday and Nokia included some exclusive Apps in them.
Account Management Changes
In Beijing, Joanna Zhou has taken on the role of Key Account Manager for
North China. Xu Jing has joined CEVA on 28 Nov as Nokia Performance
Manager for overall China.
RFQ Awards
CEVA has been awarded new lanes from Kun Ming, West China to the US
and Brazil, this will support Nokia in delivering raw material from Kun Ming
suppliers to Nokia factories in Mexico and Brazil.
Implementation
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Implementation
Nokia continues to develop new lanes for their B&S program, which are ICN-
CAN, PEN-NKG, HKG-BJS and HKG-NKG. Implementation is going on as
scheduled. Kun Ming is a new origin for Nokia; we are currently preparing
for the implementation of the new business by providing intensive training
to respective stations.
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Lenovo
Account Management Changes
Jocelyn Ng has taken on AP Performance Management role for Lenovo
account since Oct 2011.
Continuous Improvement
With combined effort from BKK/SIN/KUL operations team and IS&S, we
have gathered information on overall operation process versus the EDI
process. This has helped us to identify some issues & we are in the midst
of improving it.
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AP Shared Services Quarterly Newsletter
Seagate
Customer Update
On 19 Dec 2011, Seagate corporate office in Cupertino, California, USA,
announced the closing of the transaction to acquire the hard disk drive
(HDD) business of Samsung Electronics Co., Ltd., a world leader in digital
consumer electronics and information technology.
Under the terms of the transaction, Seagate has gained selected
elements of Samsung's HDD business, including assets, infrastructure
and employees that enable Seagate to drive scale and innovation. These
assets include Samsung's leading M8 product line of high-capacity, 2.5-
inch HDDs.
Seagate is supplying disk drives to Samsung for PCs, notebooks and
consumer electronics devices. Samsung is supplying its market-leading
semiconductor products for use in Seagate's enterprise solid state drives
(SSDs), solid-state hybrid drives and other products. The companies have
also extended and enhanced their existing patent cross-license
agreement and have expanded cooperation to co-develop enterprise
storage solutions.
Supplier Scorecard
CEVA beat 2 other top competitors to emerged as Seagate’s top global
logistics partner in the Q3’11 Global Supplier Scorecard. This is a very
significant milestone for us considering that CEVA had only began
operating SEAGATE’s business mid July 2011.
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Continuous Improvement
CEVA has embarked on a KAIZEN project to achieve better POD
Timeliness performance. This project is driven globally by our Global
Account Lead, Joaquin Pineda, and will bring close to 100% POD
provision to Seagate through EDI in less than 2 days from delivery date.
Currently on trial, truckers are to send a text message back to CEVA
operations personnel once the delivery milestone has been fulfilled and
even before POD is returned to the office. CEVA ops personnel will
update the reports in real-time instead of waiting for all the PODs to be
back in CEVA office.
Rates Revision Exercise
We are undergoing a bench-marking exercise which Seagate conducts
on a 6-month basis. This exercise commenced in December 2011 and
will end in January 2012. The 3 main service providers of Seagate are
DHL, UPS and CEVA.
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AP Shared Services Quarterly Newsletter
FCI
Customer Update
On 20 Oct 2011, Astorg, a French private equity firm, completed the
acquisition of FCI Microconnections (FCI MIC) division. With that a new
name, LINXENS, was born from this newly formed and stand-alone
organization.
LINXENS is the largest manufacturer of flexible etched circuits (FEC) for
smart cards in the world. In 2010, the company generated sales of 200
million Euros. LINXENS has a total of 3 manufacturing sites, 2 R&D centers
and 770 employees.
Today, a large proportion of the world’s smart cards include a FEC
manufactured by LINXENS.
Rates Revision Exercise
FCI 2012 RFQ is in progress and we have been shortlisted for Round 2.
Continuous Improvement
Number of damages reached all -time low towards the closing of 2011.
In the last quarter of the year, CEVA attended a training conducted by FCI
for their new EAGLE system. The EAGLE system is FCI’s in-house tool to
monitor the 8D process for any mishandling that may occur during transit.
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monitor the 8D process for any mishandling that may occur during transit.
We have provided the appropriate feedback and made some adjustments
accordingly in order to go live with the global system in the following
quarter.
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AUTOMOTIVE ACCOUNTS UPDATES
Delphi
Continuous Improvement
A global FSC/SSC matrix have been implemented for Delphi. Benefits
include:
•Simplified FSC & SSC process for Delphi EU and AP
•Centralized the control power on Delphi FSC & SSC approval to Delphi AP
•Reduced workload for both CEVA origins and GSC team
Customer QBR and SOP training
On 20 Oct 2011, CEVA held the Q2 QBR for Delphi in Delphi Packard
Shanghai plant. From 28 Nov to 1 Dec 2011, CEVA held the Q3 QBR for
Delphi at the Delphi Guangzhou plant and provided SOP training session for
Delphi plants in Wuhan and Guangzhou. The meetings achieved the
following:
•Reviewed and confirmed CEVA performance during Q2 and Q3
•Shared latest marketing trends and analysis with Delphi
•Provided Delphi local plants with better understanding of SOP
•Strengthened relationship among CEVA, Delphi AP and Delphi local plants
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Customer Project
CEVA intends to start the project of part number level shipment visibility
solution for Delphi . We will initiate follow-up meetings with Delphi to
obtain agreement on following at the beginning of 2012:
•System solution and proposal for Delphi materials moved by CEVA
•Support & resources needed from CEVA & Delphi
•Target timeline for implementation
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INDUSTRIAL ACCOUNTS UPDATES
3M
Rates Revision Exercise
The bi-annual rates review exercise for 2012 was launched in November.
The current lanes have been our main focus. We have aligned our freight
rates with the transit time in order to stay competitive in the market.
Besides that, we are also tapping into new opportunities and re-visiting
the 3M-US inbound lanes where CEVA might be able to regain some air
freight business from the incumbent.
Continuous Improvement
We have further improved the 3M Air Dashboard. The Dashboard will
include Year-on-year data (e.g. tonnage/ freight spend), and OTP %, and
this will also serve as a useful tool for data analysis and presentations.
We will be able to focus on the delay contributors from the dashboard,
and to proactively improve the overall service delivery performance for
3M. We will be setting the OTP % at 95%, as a target for 3M AP.
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AP Shared Services Quarterly Newsletter
Cummins
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Cummins
Commercial Opportunity
2 Opportunities upcoming for CEVA:
•Xiangyang entity FM project to Russia and Brazil on Air and Ocean service.
Annual GR of this project is around EUR600K and they will begin the RFQ
in mid-2012
•Second potential project is FCL imports from the UK. Annual GR of this
project is estimated to be EUR300K. Cummins has already completed their
internal evaluation and preparation; they may start in beginning of 2012
Continuous Improvement
With joint efforts of all the stations, we have improved the KPI on
milestones entry in Navigator (ETD/ETA/ATD/ATA and SDN process).
Proactive monitoring will be done every Monday to keep track of our
Cummins AP teams’ performance.
Achievements
We have continued the monthly meetings with Country Key Account
Managers. The main agenda is to review Cummins’ KPI performance, to
provide updates on the key Cummins projects, initiate new business
opportunities and to discuss the challenges and feedback from each
station. This will act as a very good platform for our KAM team to
communicate and cooperate with one another, whilst continuously
providing excellent service to the customer.
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AP Shared Services Quarterly Newsletter
Tyco Connectivity
SNMS Application Program
TE Connectivity has developed a Supplier Network Management System
( SNMS) Application Program. This program has been designed to help us
( as TE supplier) to work more easily and effectively with TE. With the
help of SNMS, we can now submit 8D- Corrective Action Plan
electronically to the respective TE entities.
Supply Chain Solutions (SCS ) Project Status
The SCS project is to bring a SMART End-to-End Solution for TE
Connectivity. The Project Manager for AP is Ms Wendy Deng from the SCS
Project implementation team.
The project is divided into 4 phases ; classified by the different trade-lanes.
Currently, TE connectivity is at phase 2 where they are implementing all
shipments from AP/ EU/ SA to EMEA Destinations.
Following is project status update of SMART End-to-End implementation
for TE Connectivity.
Phase 1 Pilot-Air From US to EMEA Nov 2011
Phase 2 All Origins to EMEA Dec 2011
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Phase 3 All Origins to AP Plan to Kick off during
Jan 2012
Phase 4 All Origins to NA and SA Plan for Feb 2012
AP Shared Services Quarterly Newsletter
CONSUMER & RETAIL ACCOUNTS UPDATES
Nike
Customer News
(20 Dec 2011) NIKE, Inc. reported financial results for its fiscal 2011
second quarter ended November 30, 2011. Earnings per share for the
quarter rose 6 percent as a result of continued strong demand for NIKE,
Inc. brands, SG&A expense leverage and a lower average share count,
which more than offset the impact of a lower gross margin.
“Our strong second quarter results demonstrate that the NIKE, Inc.
portfolio is a powerful engine for growth,” said Mark Parker, President
and CEO, NIKE, Inc. “We’re able to accomplish this by staying focused on
what we do best – deliver innovative products and experiences that serve
athletes, inspire consumers and reward our shareholders. Going forward
we’ll continue to use the unique power of our portfolio to drive growth,
manage risk and connect with consumers.”
Results highlights :
•Revenues up 18 percent to USD5.7 billion
•Diluted earnings per share up 6 percent to USD1.00
•Worldwide futures orders up 13 percent
•Inventories up 35 percent
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•Inventories up 35 percent
Upcoming Annual RFP/RFQ
NIKE’s annual Air freight RFP has been pushed forward to January 2012 vs.
Feb/March 2012 which was the usual timing in the past. We aim to retain
existing business, and also gain back previously lost lanes.
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CONTACT
Your feedback and suggestions are valuable, please share by sending
them to [email protected],
[email protected] and [email protected].
Next newsletter will be published in Quarter 2, 2012.
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AP Shared Services Quarterly Newsletter
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