chris stecki. phm technology - an sme perspective on supply chain initiatives

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An SME Perspective on the GSC Program Presented at: ADM DSC December 2013

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Chris Stecki, Chief Executive Officer, PHM Technology delivered this presentation at the Defence Supply Chains Summit. This Summit focuses on supply chain perspectives from Defence primes, leaders within the DMO, case studies from SMEs, risk and cost mitigation strategies, preparation strategies, and network with an array of Defence stakeholders. Find out more at http://www.admevents.com.au/DSC2013

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Page 1: Chris Stecki. PHM Technology - An SME perspective on supply chain initiatives

An SME Perspective on the GSC Program

Presented at:

ADM DSC

December 2013

Page 2: Chris Stecki. PHM Technology - An SME perspective on supply chain initiatives

Presentation Structure

An SME perspective on supply chain initiatives Who is PHM Technology

What is MADe?

Why the GSC?

Targeted sales opportunities

Supplier advocacy

Organisational Development

Do you really have the solution they need?

The responsibility of the SME

How long does it take?

Optimal GSC engagement for an SME

ADM DSC - December 13

Page 3: Chris Stecki. PHM Technology - An SME perspective on supply chain initiatives

PHM Technology (PHMT) is a Melbourne

based company that develops the

Maintenance Aware Design environment

(MADe).

MADe is a suite of engineering modeling,

analysis and decision support tools for the

design and support of mission / safety critical

systems.

The development of MADe has been

supported by US programs (JSF, DARPA,

NAVAIR) and the ADF (NACC).

MADe is engaged with a number of the GSC

primes and this is leading to paid trials and

contracts.

ADM DSC - December 13

Who is PHM Technology?

Page 4: Chris Stecki. PHM Technology - An SME perspective on supply chain initiatives

What is MADe?

Identify & understand key „engineering‟ degraders (risks) during design and operations

Analyse potential impact of alternate design / maintenance on system performance and availability

Configuration management of analysis based on design modifications, engineering changes and operational / maintenance data

Overview: an integrated set of tools to model and

analyse reliability , safety and logistics support for

complex, mission-critical systems.

Reliability Block Diagram RBD

Fault Tree Analysis FTA FMEA

Reliability Centred Maintenance RCM

Testability V&V

Fault Detection & Isolation

Diagnostic Design Sensor Set selection

Physics of Failure

Functional Block Diagram

Value: optimize system availability and

supportability, reduce risks / costs across

the product lifecycle from concept to LOTE

Reporting

ADM DSC - December 13

Page 5: Chris Stecki. PHM Technology - An SME perspective on supply chain initiatives

Why the GSC?

Elephants mate with elephants (engagement model is crucial to understand and adapt to)

Elephants are herd animals (sales to one OEM increases the probability of sales to other OEMs)

The performance metrics of GSC programs are based on your tangible and demonstrable success

GSC includes Australian opportunities

Summary: involvement with the GSC program

increases the probability of sales to OEMs

Outcomes: targeted sales activities, strong and

consistent supplier advocacy, organisation

development

ADM DSC - December 13

Page 6: Chris Stecki. PHM Technology - An SME perspective on supply chain initiatives

Targeted sales opportunities

Your perspective of the needs of an OEM varies according to the nature and level of your engagement

Insight into the key current business issues (pain points) of the customer is extremely valuable

An introduction to the key influencers and

decision maker/s can significantly accelerate the sales process and improve the probability of success

Summary: knowing who to talk to and getting

access to them at the right time is crucial to a

successful marketing and sales campaign

Outcomes: engagement with key decision

makers at appropriate levels of the project /

division / organisation at the right time

ADM DSC - December 13

Page 7: Chris Stecki. PHM Technology - An SME perspective on supply chain initiatives

Supplier Advocacy

Getting an introduction and visible support from „inside‟ the organisation means the opportunity for a better „first impression

Change must be effected from within the organisation – speaking to the people that can effect that change is a significant element of getting a sale

In order for a GSC program to introduce you to their organisation they are effectively endorsing you

Observations: having an internal supporter with

a ‘back channel’ leads to a far more efficient basis

of communication

Outcomes: more direct and effective

communication with the appropriate audience

ADM DSC - December 13

Head of a Woman Pablo Picasso

Page 8: Chris Stecki. PHM Technology - An SME perspective on supply chain initiatives

Organisational Development

Its difficult to link analogue with digital – you

must make sure you have the appropriate systems to engage with their infrastructure (procurement, delivery, QA, etc.)

Understanding the factors that drive the customer decision process

Consistency of requirements for OEMs

Industry support programs – DIIC (SC21)

Summary: the ability to address any relevant

structural issues before they impact any purchase

decision is invaluable

Outcomes: increased organisational maturity

(systems, processes, engagement model) that is

optimised for your target customer/s

ADM DSC - December 13

Page 9: Chris Stecki. PHM Technology - An SME perspective on supply chain initiatives

The responsibilities of the SME

GSC doesn‟t mean any less effort in the sales process – often it will mean more as you are customising your activities and processes specifically for the customer

GSC opportunities cost money before they make money

Have and demonstrate the capability to meet prospective orders

Deliver when given the opportunity

Summary: still a lot for the SME to do!

Outcome: better understanding of the sales

process enables better planning / budgeting

ADM DSC - December 13

Page 10: Chris Stecki. PHM Technology - An SME perspective on supply chain initiatives

Do you really have the solution they need?

A cat with feathers and a beak does not become a duck (Are you really global best value? How do you know?)

Its difficult to effect change in any organisation

with a large bureaucracy – is your value proposition good enough? How best to demonstrate this?

Are you able to effectively articulate your value proposition

Summary: if you don’t have a significant

differentiator you cant expect to make the sales

Outcomes: a well defined point of difference that

is relevant to the purchaser and described in

terms that they understand

ADM DSC - December 13

Page 11: Chris Stecki. PHM Technology - An SME perspective on supply chain initiatives

How long does it take?

The “Sales” process never changes - nothing beats wearing out your shoes

Communication (mode and frequency) must be managed by the SME

Consistently persistent – with the message and the people that deliver it

Relationship management – first with the individual and then with the organisation

Hurry up and wait

Summary: the duration of any transaction increases

with the scale and complexity of the opportunity

Observation: the basics of the sales process don’t change just because it is a GSC opportunity

ADM DSC - December 13

Page 12: Chris Stecki. PHM Technology - An SME perspective on supply chain initiatives

Optimal GSC engagement for an SME

Provide clear materials on the value your capabilities / benefits provide – the more clearly you communicate, the more effectively you can be marketed

Know who to target – where your potential customer sits in the organisation will determine the best approach based on their requirements (validation / procurement)

The “Sales” process never changes - nothing beats wearing out your shoes

Requirement: define, identify and engage the

target customers and decision makers

Outcome: how best to engage with the OEM

and then be introduced and endorsed to the

‘right’ people and groups

ADM DSC - December 13

Page 13: Chris Stecki. PHM Technology - An SME perspective on supply chain initiatives

What has the GSC done for PHM Technology?

Leveraged / focused approach to sales and marketing to different departments and decisions makers

Targeted organisational development (for PHMT) that will improve the probability of a transaction

Insight into the customer mind-set

Credibility with the identified decision makers

increased level of opportunity with a significantly higher likelihood of success

Summary: involvement with the GSC program

continues to generate substantial opportunities for

PHMT and improve our ability to win them

Outcomes: paid trials, sales and an expanding

pipeline of opportunity

ADM DSC - December 13

Questions?