trent blinkman international business process execution manager an overview of bep / hoshin kanri 3m...
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Trent BlinkmanInternational Business Process Execution Manager
An Overview of BEP / Hoshin Kanri
3M International OperationsBusiness Execution Process (BEP)
$35B INNOVATION POWERHOUSEDriven by 3M International
Approximately 15 minutes
© 3M 2011. All Rights Reserved. Confidential
2
Steve Jobs’ Perspective . . .
Businessweek, 1998 – “That’s been one of my mantras: focus and simplicity … Simple can be harder than complex. You have to work to get your thinking clean to make it simple. But it’s worth it in the end because once you get there, you can move mountains.”
Businessweek, 2004 – “It comes from saying ‘no’ to 1,000 things to make sure we don’t get on the wrong track or try to do too much. We’re always thinking about new markets we could enter, but it’s only by saying ‘no’ that you can concentrate on the things that are really important.”
3
$35B INNOVATION POWERHOUSEDriven by 3M InternationalOur “True North” Strategy Remains in Place
Strategic Thrust
Grow the Current Core Business
Build New Businesses
Complementary Acquisitions
International Growth
The Five Building Blocks
MarketingExcellence
Regionally Optimized Supply
Chain
Strategic Investment in High-Growth
Spaces
Marketing Excellence
Engaged World-Class
Talent
Accelerated R&D Capabilities & Localization
© 3M 2011. All Rights Reserved. Confidential
4
3M International Strategic Framework
$35B INNOVATION POWERHOUSEDriven by 3M International
Implemented with the Highest Levels of Compliance & Integrity
Accelerate Penetration & Localization in BRIC
Drive Innovation to Win in Developed Economies
Build Strength in High Priority Developing
Economies
2016 3M International Vision $35B Innovation Powerhouse: Winning Locally; Connecting Globally
Winning Strategies
Optimize Local/Regional Manufacturing & Supply Chain
Drive Growth through Local & Global R&D
Revolutionize Commercialization & Go To Market through Marketing Excellence
Win the War On Talent & Build a Diverse and Engaged Workforce
Create Space through Operational Excellence for Strategic Investments
5
The Five Building Blocks
Strategic Investment in High-Growth Spaces
EngagedWorld-Class
Talent
MarketingExcellence
Regionally Optimized Supply Chain
Accelerated R&D Capabilities & Localization
(1) Construct Optimized Manufacturing Footprint
(2) Construct OptimizedDistribution Footprint
(3) Standardize Plant Strategic Review Process
(4) Forward Looking Capex Process
(5) Expand Center of ExcellencePenetration
(1) Leverage Hoshin Kanri & LSS
(2) Implement COGS 5X5
(3) Drive Service Expectations By Channel Model
(4) SAP Implementation
Tactics
It's AboutProcess
(1) Process to Insure 3M Ethics & Culture Penetration
(2) Talent Acquisition & Retention
(3) Global LeadershipDevelopment
(4) Training & Development
Implement Winning Execution RhythmStrategies
Establish Regionally Optimized Footprint
Build & Retain World Class Team
The Five Building Blocks
MarketingExcellence
Regionally Optimized Supply Chain
Strategic Investment in
High-Growth Spaces
Marketing Excellence
Engaged World-Class
Talent
Accelerated R&D Capabilities & Localization
$35B INNOVATION POWERHOUSEDriven by 3M International
BEP Drives Execution
© 3M 2011. All Rights Reserved. Confidential
6
What is “Hoshin Kanri”?
Hoshin Kanri Defined: “compass” and “management”, respectively.
Hoshin Kanri Objective: Linking the employees of all levels to the long-term vision, direction, targets, and plans of the management team. It is designed to have people work on the “right” things . . .
© 3M 2011. All Rights Reserved. Confidential
7
What is the Business Execution Process (BEP) at 3M?
One of the ways that Hoshin Kanri is applied at 3M Rooted in FOUR simple steps:
PlanDoCheckAdjust (“Act”)
Consistency and simplicity of the model and recognize how it unifies cross-functional teams around common goals.
Drives Prioritized Focus and Execution
© 3M 2011. All Rights Reserved. Confidential
8
Hoshin Kanri Tools
Plan
Do
Check
Adjust(or “Act”)
Mgm’t Action Plan
X-Matrix4
5
6
7
8
910
11
12
13
14
15
16
A B C D E F G H I J K L M N O Pn nn n n n
n n nn nn nn n nn n n n
n 1 2 3 4 5 6 7 8 9 10n Core Sales
n Channel Sales & In/Out Boundnc Op Exc. Lab
"e"/MktShare
Targets to Improve
Long-Term
("Breakthrough") Strategic Objectives
Annual
Strategic Objectives
Top-Level
Improvement Priorities
A3Target to Improve:
US#1
10 OP 10 Actual 10 Proj Gap Owner J F M A M J J A S O N D10 Mo. YTD Goal X Y Z #######J 10,793$ 10,793$ 12,473$
F 11,567$ 22,360$ 25,082$
M 14,497$ 36,857$ 39,580$
A 13,933$ 50,790$ 53,736$
M 13,641$ 64,431$ 67,131$
J 14,487$ 78,918$ 81,865$ 4J #VALUE! 95,930$
A #VALUE! 110,953$ 5S #VALUE! 125,293$
O #VALUE! 139,199$ 6N #VALUE! 152,331$
D #VALUE! 163,493$ 7
8
9
10
11
Target to Improve Owner EOY Est J F M A M J J A S O N DA AB BC CD D
Target to Improve Owner EOY Est J F M A M J J A S O N DMo Sales to target of $ZZZ EYTD
1. Fast Growth, Penetration For Mkt Share In $X Space
B A Ongoing * Continue field work in support of intro. Stress new applications.
B JulyReview plan and progress with specialists
Item #5
Item #6
Item #9
D
D
BActivity Rating Key results and issues
Solutions Programs
$ D
Mkt/Sales Direction To Find New Dist.
Component Analysis
Item #8 Decline Of >Y% Resulted in Loss of Sales
OwnerA Continue launch awareness campaign
Issue Counter Measure / Activities / Resources / Help Required
A
F
$ F
B
E
E
3. Penetration With BBBB - Market Size >$CCC4 Repositioning strategy to restore growth
Follow-up / Unresolved IssuesRationale for Activity - Opportunity Assessment
A OngoingBy Date
2. Continued Fast Growth of ZZZZZ - Market Size >$AAA
D
StatusActivities & Tactics
A1
Item #1
Performance
Item #2
Item #3
Components of Performance
2
3
Item #4
B
C
Needs to find growth marketsItem #10Item #9
Item #7
Item #4
Needs to find growth markets
Item #6
Strategic Performance Dashboard
Head Winds
Time Line
Grow Sales from $X to $YGrow Core Sales from $X to $Y & Grow IATD Core Operating Income from $AA to $BB
Sales from $X to $Y
Performance, Gaps and Targets 2010 2010 Action Plan
Strategic Objective:
Top Level Priority:
YTD Performance
Target To Improve
Reflection on Last Year's Activities
Grew 14% in 09Sales 16% Growth > plan
New Products and Penetration
Item #2 Below Forecast, mixed successItem #1
v4g
Add distribution component to test market
Author / Date:
OngoingB
Item #8
Item #10
Item #11
Achieved Target, driven by
Item #3
C
Item #5
Item #7
Operational Excellence
Slow sales cycle, establish XXXX $ A $ B $ C
2010 YTD Info
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
J F M A M J J A S O N D
Y A
xis
Mo. Goal YTD
A3Target to Improve:
US#1
10 OP 10 Actual 10 Proj Gap Owner J F M A M J J A S O N D10 Mo. YTD Goal X Y Z #######J 10,793$ 10,793$ 12,473$
F 11,567$ 22,360$ 25,082$
M 14,497$ 36,857$ 39,580$
A 13,933$ 50,790$ 53,736$
M 13,641$ 64,431$ 67,131$
J 14,487$ 78,918$ 81,865$ 4J #VALUE! 95,930$
A #VALUE! 110,953$ 5S #VALUE! 125,293$
O #VALUE! 139,199$ 6N #VALUE! 152,331$
D #VALUE! 163,493$ 7
8
9
10
11
Target to Improve Owner EOY Est J F M A M J J A S O N DA AB BC CD D
Target to Improve Owner EOY Est J F M A M J J A S O N DMo Sales to target of $ZZZ EYTD
1. Fast Growth, Penetration For Mkt Share In $X Space
B A Ongoing * Continue field work in support of intro. Stress new applications.
B JulyReview plan and progress with specialists
Item #5
Item #6
Item #9
D
D
BActivity Rating Key results and issues
Solutions Programs
$ D
Mkt/Sales Direction To Find New Dist.
Component Analysis
Item #8 Decline Of >Y% Resulted in Loss of Sales
OwnerA Continue launch awareness campaign
Issue Counter Measure / Activities / Resources / Help Required
A
F
$ F
B
E
E
3. Penetration With BBBB - Market Size >$CCC4 Repositioning strategy to restore growth
Follow-up / Unresolved IssuesRationale for Activity - Opportunity Assessment
A OngoingBy Date
2. Continued Fast Growth of ZZZZZ - Market Size >$AAA
D
StatusActivities & Tactics
A1
Item #1
Performance
Item #2
Item #3
Components of Performance
2
3
Item #4
B
C
Needs to find growth marketsItem #10Item #9
Item #7
Item #4
Needs to find growth markets
Item #6
Strategic Performance Dashboard
Head Winds
Time Line
Grow Sales from $X to $YGrow Core Sales from $X to $Y & Grow IATD Core Operating Income from $AA to $BB
Sales from $X to $Y
Performance, Gaps and Targets 2010 2010 Action Plan
Strategic Objective:
Top Level Priority:
YTD Performance
Target To Improve
Reflection on Last Year's Activities
Grew 14% in 09Sales 16% Growth > plan
New Products and Penetration
Item #2 Below Forecast, mixed successItem #1
v4g
Add distribution component to test market
Author / Date:
OngoingB
Item #8
Item #10
Item #11
Achieved Target, driven by
Item #3
C
Item #5
Item #7
Operational Excellence
Slow sales cycle, establish XXXX $ A $ B $ C
2010 YTD Info
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
J F M A M J J A S O N D
Y A
xis
Mo. Goal YTD
A3Target to Improve:
US#1
10 OP 10 Actual 10 Proj Gap Owner J F M A M J J A S O N D10 Mo. YTD Goal X Y Z #######J 10,793$ 10,793$ 12,473$
F 11,567$ 22,360$ 25,082$
M 14,497$ 36,857$ 39,580$
A 13,933$ 50,790$ 53,736$
M 13,641$ 64,431$ 67,131$
J 14,487$ 78,918$ 81,865$ 4J #VALUE! 95,930$
A #VALUE! 110,953$ 5S #VALUE! 125,293$
O #VALUE! 139,199$ 6N #VALUE! 152,331$
D #VALUE! 163,493$ 7
8
9
10
11
Target to Improve Owner EOY Est J F M A M J J A S O N DA AB BC CD D
Target to Improve Owner EOY Est J F M A M J J A S O N DMo Sales to target of $ZZZ EYTD
1. Fast Growth, Penetration For Mkt Share In $X Space
B A Ongoing * Continue field work in support of intro. Stress new applications.
B JulyReview plan and progress with specialists
Item #5
Item #6
Item #9
D
D
BActivity Rating Key results and issues
Solutions Programs
$ D
Mkt/Sales Direction To Find New Dist.
Component Analysis
Item #8 Decline Of >Y% Resulted in Loss of Sales
OwnerA Continue launch awareness campaign
Issue Counter Measure / Activities / Resources / Help Required
A
F
$ F
B
E
E
3. Penetration With BBBB - Market Size >$CCC4 Repositioning strategy to restore growth
Follow-up / Unresolved IssuesRationale for Activity - Opportunity Assessment
A OngoingBy Date
2. Continued Fast Growth of ZZZZZ - Market Size >$AAA
D
StatusActivities & Tactics
A1
Item #1
Performance
Item #2
Item #3
Components of Performance
2
3
Item #4
B
C
Needs to find growth marketsItem #10Item #9
Item #7
Item #4
Needs to find growth markets
Item #6
Strategic Performance Dashboard
Head Winds
Time Line
Grow Sales from $X to $YGrow Core Sales from $X to $Y & Grow IATD Core Operating Income from $AA to $BB
Sales from $X to $Y
Performance, Gaps and Targets 2010 2010 Action Plan
Strategic Objective:
Top Level Priority:
YTD Performance
Target To Improve
Reflection on Last Year's Activities
Grew 14% in 09Sales 16% Growth > plan
New Products and Penetration
Item #2 Below Forecast, mixed successItem #1
v4g
Add distribution component to test market
Author / Date:
OngoingB
Item #8
Item #10
Item #11
Achieved Target, driven by
Item #3
C
Item #5
Item #7
Operational Excellence
Slow sales cycle, establish XXXX $ A $ B $ C
2010 YTD Info
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
J F M A M J J A S O N D
Y A
xis
Mo. Goal YTD
A3Target to Improve:
US#1
10 OP 10 Actual 10 Proj Gap Owner J F M A M J J A S O N D10 Mo. YTD Goal X Y Z #######J 10,793$ 10,793$ 12,473$
F 11,567$ 22,360$ 25,082$
M 14,497$ 36,857$ 39,580$
A 13,933$ 50,790$ 53,736$
M 13,641$ 64,431$ 67,131$
J 14,487$ 78,918$ 81,865$ 4J #VALUE! 95,930$
A #VALUE! 110,953$ 5S #VALUE! 125,293$
O #VALUE! 139,199$ 6N #VALUE! 152,331$
D #VALUE! 163,493$ 7
8
9
10
11
Target to Improve Owner EOY Est J F M A M J J A S O N DA AB BC CD D
Target to Improve Owner EOY Est J F M A M J J A S O N DMo Sales to target of $ZZZ EYTD
1. Fast Growth, Penetration For Mkt Share In $X Space
B A Ongoing * Continue field work in support of intro. Stress new applications.
B JulyReview plan and progress with specialists
Item #5
Item #6
Item #9
D
D
BActivity Rating Key results and issues
Solutions Programs
$ D
Mkt/Sales Direction To Find New Dist.
Component Analysis
Item #8 Decline Of >Y% Resulted in Loss of Sales
OwnerA Continue launch awareness campaign
Issue Counter Measure / Activities / Resources / Help Required
A
F
$ F
B
E
E
3. Penetration With BBBB - Market Size >$CCC4 Repositioning strategy to restore growth
Follow-up / Unresolved IssuesRationale for Activity - Opportunity Assessment
A OngoingBy Date
2. Continued Fast Growth of ZZZZZ - Market Size >$AAA
D
StatusActivities & Tactics
A1
Item #1
Performance
Item #2
Item #3
Components of Performance
2
3
Item #4
B
C
Needs to find growth marketsItem #10Item #9
Item #7
Item #4
Needs to find growth markets
Item #6
Strategic Performance Dashboard
Head Winds
Time Line
Grow Sales from $X to $YGrow Core Sales from $X to $Y & Grow IATD Core Operating Income from $AA to $BB
Sales from $X to $Y
Performance, Gaps and Targets 2010 2010 Action Plan
Strategic Objective:
Top Level Priority:
YTD Performance
Target To Improve
Reflection on Last Year's Activities
Grew 14% in 09Sales 16% Growth > plan
New Products and Penetration
Item #2 Below Forecast, mixed successItem #1
v4g
Add distribution component to test market
Author / Date:
OngoingB
Item #8
Item #10
Item #11
Achieved Target, driven by
Item #3
C
Item #5
Item #7
Operational Excellence
Slow sales cycle, establish XXXX $ A $ B $ C
2010 YTD Info
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
J F M A M J J A S O N D
Y A
xis
Mo. Goal YTD
Bowler 2010 Strategic Performance Dashboard
Priority Owner
Starting Point EOY
This Year: JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC
A Plan 12.5 25.1 39.6 53.7 67.1 81.9 95.9 111.0 125.3 139.2 152.3 163.5B Actual 10.8 22.4 36.9 50.8 64.4 79.3C Plan 12.6 25.5 36.1 55.5 61.4 74.9 98.1 113.3 127.8 141.8 155.0 166.3D Actual 13.7 26.6 40.9 53.9 65.9 80.5E Plan 34.0 68.3 107.8 146.4 182.9 223.1 261.5 302.5 341.6 379.5 415.3 445.6F Actual 29.6 62.1 100.6 137.3 173.3 213.2G Plan 60.7 121.4 182.1 242.8 298.0 364.2 424.9 485.6 546.3 607.0 667.7 728.4H Actual 52.6 107.1 174.0 236.0 297.0 365.0I Plan 60.7 121.4 182.1 242.8 298.0 364.2 424.9 485.6 546.3 607.0 667.7 728.4J Actual 52.6 107.1 174.0 236.0 297.0 368.0K Plan 14.0 29.0 45.0 61.0 77.0 93.0 109.0 126.0 143.0 159.0 174.0 188.2L Actual 13.9 28.6 45.0 64.8 78.2 94.0M Plan 0.15 0.35 0.55 0.85 1.25 1.80 2.50 3.60 5.00 6.50 8.50 10.00N Actual 0.10 0.23 0.37 0.48 0.62 1.2O Plan ##### ##### ##### ##### ##### ##### ##### ##### ##### ##### ##### #####P Actual 4.9 9.6 16.7 21.8 27.8Q Plan 0 0 0 0 25 60 100 145 195 250 295 339R Actual 0 0 0 0 14 50S Plan 1.8 3.5 5.6 7.3 9.1 11.0 12.7 14.5 16.3 19.1 22.0 24.9 T Actual 2.1 4.3 6.9 9.2 11.5 13.0U Plan 59.2% 59.1% 58.1% 57.9% 57.9% 57.4% 57.4% 57.2% 57.1% 56.9% 57.0% 57.4%V Actual 54.4% 54.6% 55.4% 54.4% 55.1% 54.7%W Plan 88.0% 89.0% 90.0% 92.0% 92.0% 92.0% 92.0% 92.0% 92.0% 92.0% 92.0% 92.0%Z Actual 90.7% 90.1% 90.7% 90.2% 89.6% 91.0%Y Plan 4.0 8.0 12.0 16.0 20.0 24.0 28.0 32.0 36.0 40.0 44.0 48.0Z Actual 3.7 6.9 11.1 15.1 19.5 24.5A Plan ##### ##### ##### ##### ##### ##### ##### ##### ##### ##### ##### #####B Actual 0.8 2.9 4.6 4.8 5.7 6.7
F
G
H
Item #11
JA
$0M
C
$0M
$0M
N
K
M
L12
Item #12 B
A
B
C
D
E
11
14Item #14 $0M
13Item #13 $0M
6Item #6
5
10Item #10
8Item #8
7
9Item #9
$0MItem #5
1Item #1
2
3
4
Item #2
Item #3
Item #4
0 I
$0M
$0M
$0M
Item #7
Deliverables and Measures
$0M
Date:Author:
RED items on A3 Root Cause Description Brief Description of Action Owner of ActionTgt Date to Complete
Expected Benefits/ImpactStatus {R-Y-G}
Power Line Sealants from $3.7M to $6.5M
* Some Portfolio gaps identified (higher "green" strength)*Won accounts and channel from 2010 are off-plan (Elkhart).*Overall current channel isn't ideal for penetration
* 550 Price promotion 4.1* 1Q Distributor Sample Program extended* Feb New 20 Case Price Bracket to lower hurdle new distribution* April 1 demo Promo and Applicator Program Initiated* B&C / Roofing test sale with 540 color 3Q*755 New Hybrid Test Market Aug 1* Develop SV Channel Merch Plan*Jump Smart Meeting Completed 6.14* 3 Zone Blitzes with Sales Coach support*End -User value/Customer Insight/ Adapted Conjoint study with Corp Marketing
Weiner April - onward
* PowerLine Sku's At $3.7M YTD. Up 30% YTD, but behind plan by $450k* Sealants total up 14.8% YTD (99.5% of OP)
CR-20 Sales to $3.5M * Sales off plan* Lack of OEM approvals to pull through sales
Aug 8 - Jump Start/Root cause meeting with B&C, Global and US teams
Goy/O'Hara August Key account/OEM spec resource needed.
7000 Series Epoxies to $0.5M * Have run as test market ytd* Several opportunities in progress, requires full evaluations
*Will take learning from test market (price, product additions, successes) and build launch for 1Q with focus on large structure assembly and composite/honeycomb panel assembly.
DeLaForest Dec Clear, concise launch package targeted to markets/zones with opportunity
L.O.T. at 92% & Product Availability at 96.5%
25JM Hot-Melt Family Hot-Melt broad RM Allocation - RM Supply issues
Allocation Team Meeting weekly Wilke/Morrill/DeLaforestField notified on Mar 21Suspended all demand generation activitesMoving internal Customer (Filtrete) to other sourcesWax RM Substitiuions underwaytackifier resin reformulations underway
Morrill / Wilke Ongoing YTD Business is up 9.4%%, 8.6% is price. Supply Chain has done EXCELLENT job keeping customers running! We are not out of the woods yet.
L.O.T. at 92% & Product Availability at 96.5%
25EE DP-420 Backorders Strong Demand Globally, Unforecasted APAC demand. Brady / DeLaForest/Wilke
August Code red Action team formed
L.O.T. at 92% & Product Availability at 96.5%
25DM (Vettec)6 OZ Cartridges * 6 oz Cartridge tooling and mold issues* Corrective actions underway.
Brady / DeLaForest/Wilke
August Early august backorder cleared target
BEP Management Action PlanA3 #1: US Bonding Business
9.13.2011Buss
9
BEP Process Map with Tools
1. Strat. Direction(Business &
Market Opportunities)
2. Develop Operational & Specific Action Plans
4. MeasureProgress to Targets
5. Solve Problems& Improve System
Hoshin Kanri
3. Deploy Op. & Action Plans
Plan
Plan
Check
Adjust
A3Target to Improve:
US#1
10 OP 10 Actual 10 Proj Gap Owner J F M A M J J A S O N D10 Mo. YTD Goal X Y Z #######J 10,793$ 10,793$ 12,473$
F 11,567$ 22,360$ 25,082$
M 14,497$ 36,857$ 39,580$
A 13,933$ 50,790$ 53,736$
M 13,641$ 64,431$ 67,131$
J 14,487$ 78,918$ 81,865$ 4J #VALUE! 95,930$
A #VALUE! 110,953$ 5S #VALUE! 125,293$
O #VALUE! 139,199$ 6N #VALUE! 152,331$
D #VALUE! 163,493$ 7
8
9
10
11
Target to Improve Owner EOY Est J F M A M J J A S O N DA AB BC CD D
Target to Improve Owner EOY Est J F M A M J J A S O N DMo Sales to target of $ZZZ EYTD
1. Fast Growth, Penetration For Mkt Share In $X Space
B A Ongoing * Continue field work in support of intro. Stress new applications.
B JulyReview plan and progress with specialists
Item #5
Item #6
Item #9
D
D
BActivity Rating Key results and issues
Solutions Programs
$ D
Mkt/Sales Direction To Find New Dist.
Component Analysis
Item #8 Decline Of >Y% Resulted in Loss of Sales
OwnerA Continue launch awareness campaign
Issue Counter Measure / Activities / Resources / Help Required
A
F
$ F
B
E
E
3. Penetration With BBBB - Market Size >$CCC4 Repositioning strategy to restore growth
Follow-up / Unresolved IssuesRationale for Activity - Opportunity Assessment
A OngoingBy Date
2. Continued Fast Growth of ZZZZZ - Market Size >$AAA
D
StatusActivities & Tactics
A1
Item #1
Performance
Item #2
Item #3
Components of Performance
2
3
Item #4
B
C
Needs to find growth marketsItem #10Item #9
Item #7
Item #4
Needs to find growth markets
Item #6
Strategic Performance Dashboard
Head Winds
Time Line
Grow Sales from $X to $YGrow Core Sales from $X to $Y & Grow IATD Core Operating Income from $AA to $BB
Sales from $X to $Y
Performance, Gaps and Targets 2010 2010 Action Plan
Strategic Objective:
Top Level Priority:
YTD Performance
Target To Improve
Reflection on Last Year's Activities
Grew 14% in 09Sales 16% Growth > plan
New Products and Penetration
Item #2 Below Forecast, mixed successItem #1
v4g
Add distribution component to test market
Author / Date:
OngoingB
Item #8
Item #10
Item #11
Achieved Target, driven by
Item #3
C
Item #5
Item #7
Operational Excellence
Slow sales cycle, establish XXXX $ A $ B $ C
2010 YTD Info
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
J F M A M J J A S O N D
Y A
xis
Mo. Goal YTD
X-Matrix4
5
6
7
8
910
11
12
13
14
15
16
A B C D E F G H I J K L M N O Pn nn n n n
n n nn nn nn n nn n n n
n 1 2 3 4 5 6 7 8 9 10n Core Sales
n Channel Sales & In/Out Boundnc Op Exc. Lab
"e"/MktShare
Targets to Improve
Long-Term
("Breakthrough") Strategic Objectives
Annual
Strategic Objectives
Top-Level
Improvement Priorities
Bowler 2010 Strategic Performance Dashboard
Priority Owner
Starting Point EOY
This Year: JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC
A Plan 12.5 25.1 39.6 53.7 67.1 81.9 95.9 111.0 125.3 139.2 152.3 163.5B Actual 10.8 22.4 36.9 50.8 64.4 79.3C Plan 12.6 25.5 36.1 55.5 61.4 74.9 98.1 113.3 127.8 141.8 155.0 166.3D Actual 13.7 26.6 40.9 53.9 65.9 80.5E Plan 34.0 68.3 107.8 146.4 182.9 223.1 261.5 302.5 341.6 379.5 415.3 445.6F Actual 29.6 62.1 100.6 137.3 173.3 213.2G Plan 60.7 121.4 182.1 242.8 298.0 364.2 424.9 485.6 546.3 607.0 667.7 728.4H Actual 52.6 107.1 174.0 236.0 297.0 365.0I Plan 60.7 121.4 182.1 242.8 298.0 364.2 424.9 485.6 546.3 607.0 667.7 728.4J Actual 52.6 107.1 174.0 236.0 297.0 368.0K Plan 14.0 29.0 45.0 61.0 77.0 93.0 109.0 126.0 143.0 159.0 174.0 188.2L Actual 13.9 28.6 45.0 64.8 78.2 94.0M Plan 0.15 0.35 0.55 0.85 1.25 1.80 2.50 3.60 5.00 6.50 8.50 10.00N Actual 0.10 0.23 0.37 0.48 0.62 1.2O Plan ##### ##### ##### ##### ##### ##### ##### ##### ##### ##### ##### #####P Actual 4.9 9.6 16.7 21.8 27.8Q Plan 0 0 0 0 25 60 100 145 195 250 295 339R Actual 0 0 0 0 14 50S Plan 1.8 3.5 5.6 7.3 9.1 11.0 12.7 14.5 16.3 19.1 22.0 24.9 T Actual 2.1 4.3 6.9 9.2 11.5 13.0U Plan 59.2% 59.1% 58.1% 57.9% 57.9% 57.4% 57.4% 57.2% 57.1% 56.9% 57.0% 57.4%V Actual 54.4% 54.6% 55.4% 54.4% 55.1% 54.7%W Plan 88.0% 89.0% 90.0% 92.0% 92.0% 92.0% 92.0% 92.0% 92.0% 92.0% 92.0% 92.0%Z Actual 90.7% 90.1% 90.7% 90.2% 89.6% 91.0%Y Plan 4.0 8.0 12.0 16.0 20.0 24.0 28.0 32.0 36.0 40.0 44.0 48.0Z Actual 3.7 6.9 11.1 15.1 19.5 24.5A Plan ##### ##### ##### ##### ##### ##### ##### ##### ##### ##### ##### #####B Actual 0.8 2.9 4.6 4.8 5.7 6.7
F
G
H
Item #11
JA
$0M
C
$0M
$0M
N
K
M
L12
Item #12 B
A
B
C
D
E
11
14Item #14 $0M
13Item #13 $0M
6Item #6
5
10Item #10
8Item #8
7
9Item #9
$0MItem #5
1Item #1
2
3
4
Item #2
Item #3
Item #4
0 I
$0M
$0M
$0M
Item #7
Deliverables and Measures
$0M
Mgm’t Action PlanDate:Author:
RED items on A3 Root Cause Description Brief Description of Action Owner of ActionTgt Date to Complete
Expected Benefits/ImpactStatus {R-Y-G}
Power Line Sealants from $3.7M to $6.5M
* Some Portfolio gaps identified (higher "green" strength)*Won accounts and channel from 2010 are off-plan (Elkhart).*Overall current channel isn't ideal for penetration
* 550 Price promotion 4.1* 1Q Distributor Sample Program extended* Feb New 20 Case Price Bracket to lower hurdle new distribution* April 1 demo Promo and Applicator Program Initiated* B&C / Roofing test sale with 540 color 3Q*755 New Hybrid Test Market Aug 1* Develop SV Channel Merch Plan*Jump Smart Meeting Completed 6.14* 3 Zone Blitzes with Sales Coach support*End -User value/Customer Insight/ Adapted Conjoint study with Corp Marketing
Weiner April - onward
* PowerLine Sku's At $3.7M YTD. Up 30% YTD, but behind plan by $450k* Sealants total up 14.8% YTD (99.5% of OP)
CR-20 Sales to $3.5M * Sales off plan* Lack of OEM approvals to pull through sales
Aug 8 - Jump Start/Root cause meeting with B&C, Global and US teams
Goy/O'Hara August Key account/OEM spec resource needed.
7000 Series Epoxies to $0.5M * Have run as test market ytd* Several opportunities in progress, requires full evaluations
*Will take learning from test market (price, product additions, successes) and build launch for 1Q with focus on large structure assembly and composite/honeycomb panel assembly.
DeLaForest Dec Clear, concise launch package targeted to markets/zones with opportunity
L.O.T. at 92% & Product Availability at 96.5%
25JM Hot-Melt Family Hot-Melt broad RM Allocation - RM Supply issues
Allocation Team Meeting weekly Wilke/Morrill/DeLaforestField notified on Mar 21Suspended all demand generation activitesMoving internal Customer (Filtrete) to other sourcesWax RM Substitiuions underwaytackifier resin reformulations underway
Morrill / Wilke Ongoing YTD Business is up 9.4%%, 8.6% is price. Supply Chain has done EXCELLENT job keeping customers running! We are not out of the woods yet.
L.O.T. at 92% & Product Availability at 96.5%
25EE DP-420 Backorders Strong Demand Globally, Unforecasted APAC demand. Brady / DeLaForest/Wilke
August Code red Action team formed
L.O.T. at 92% & Product Availability at 96.5%
25DM (Vettec)6 OZ Cartridges * 6 oz Cartridge tooling and mold issues* Corrective actions underway.
Brady / DeLaForest/Wilke
August Early august backorder cleared target
BEP Management Action PlanA3 #1: US Bonding Business
9.13.2011Buss
Do
10
4
5
6
7
8
910
11
12
13
14
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A B C D E F G H I J K L M N O Pn nn n n n
n n nn nn nn n nn n n n
n 1 2 3 4 5 6 7 8 9 10n Core Sales
n Channel Sales & In/Out Boundnc Op Exc. Lab
"e"/MktShare
Targets to Improve
Long-Term
("Breakthrough") Strategic Objectives
Annual
Strategic Objectives
Top-Level
Improvement Priorities
X-Matrix
Connects the relationship of two sections.
1. Long-Term Strategic Objectives• Define the 3-5 year Objectives• What is or will be our competitive advantage?
2. Annual Strategic Objectives• Areas of focus / improvement for the
coming year.• Building blocks to 3-5 year strategic
objectives.• Industry, market, competition, new
product opportunity & analysis driven
3. Top-Level Improvement Priorities• Key initiatives to accomplish the Annual Strategic Objectives.• Actions based (Improve, Reduce, Grow, etc.)
4. Targets to Improve• Metrics to track
performance. • From X (current) to Y
(target).• These become A3’s so these
statements are the “What”; The A3 will define the HOW, WHO, and WHEN.
11
1
2
3
4
5
6
7
8
910
11
12
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B C D E F G H I J K L M N O P Q R S T U V
X-Matrix 2010 Strategy Deployment n n n
n n on n n on n n n n
n n n nn n nn n on n n on n n n n
Jim
Fa
ll
n 1 2 3 4 5 6 7 8 9 10 11 12 13 14 Resources - "Who"n Core Sales
n Channel Sales & In/Out Boundn
Op Exc. Lab
P
rio
rity
Ow
ner
s
"e"/MktShare
Targets to Improve
Long-Term
("Breakthrough") Strategic Objectives
Annual
Strategic Objectives
Top-Level
Improvement Priorities
From X-Matrix
to A3
Each Target moves to its own A3
A3
Target to Improve:
US#1
10 OP 10 Actual 10 Proj Gap Owner J F M A M J J A S O N D
10 Mo. YTD Goal X Y Z #######J 10,793$ 10,793$ 12,473$
F 11,567$ 22,360$ 25,082$
M 14,497$ 36,857$ 39,580$
A 13,933$ 50,790$ 53,736$
M 13,641$ 64,431$ 67,131$
J 14,487$ 78,918$ 81,865$ 4J #VALUE! 95,930$
A #VALUE! 110,953$ 5S #VALUE! 125,293$
O #VALUE! 139,199$ 6N #VALUE! 152,331$
D #VALUE! 163,493$ 7
8
9
10
11
Target to Improve Owner EOY Est J F M A M J J A S O N DA AB BC CD D
Target to Improve Owner EOY Est J F M A M J J A S O N DMo Sales to target of $ZZZ EYTD
1. Fast Growth, Penetration For Mkt Share In $X Space
B A Ongoing * Continue field work in support of intro. Stress new applications.
B JulyReview plan and progress with specialists
Item #5
Item #6
Item #9
D
D
BActivity Rating Key results and issues
Solutions Programs
$ D
Mkt/Sales Direction To Find New Dist.
Component Analysis
Item #8 Decline Of >Y% Resulted in Loss of Sales
OwnerA Continue launch awareness campaign
Issue Counter Measure / Activities / Resources / Help Required
A
F
$ F
B
E
E
3. Penetration With BBBB - Market Size >$CCC4 Repositioning strategy to restore growth
Follow-up / Unresolved IssuesRationale for Activity - Opportunity Assessment
A OngoingBy Date
2. Continued Fast Growth of ZZZZZ - Market Size >$AAA
D
StatusActivities & Tactics
A1
Item #1
Performance
Item #2
Item #3
Components of Performance
2
3
Item #4
B
C
Needs to find growth marketsItem #10Item #9
Item #7
Item #4
Needs to find growth markets
Item #6
Strategic Performance Dashboard
Head Winds
Time Line
Grow Sales from $X to $YGrow Core Sales from $X to $Y & Grow IATD Core Operating Income from $AA to $BB
Sales from $X to $Y
Performance, Gaps and Targets 2010 2010 Action Plan
Strategic Objective:
Top Level Priority:
YTD Performance
Target To Improve
Reflection on Last Year's Activities
Grew 14% in 09Sales 16% Growth > plan
New Products and Penetration
Item #2 Below Forecast, mixed successItem #1
v4g
Add distribution component to test market
Author / Date:
OngoingB
Item #8
Item #10
Item #11
Achieved Target, driven by
Item #3
C
Item #5
Item #7
Operational Excellence
Slow sales cycle, establish XXXX $ A $ B $ C
2010 YTD Info
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
J F M A M J J A S O N D
Y A
xis
Mo. Goal YTD
A3
Target to Improve:
US#1
10 OP 10 Actual 10 Proj Gap Owner J F M A M J J A S O N D
10 Mo. YTD Goal X Y Z #######J 10,793$ 10,793$ 12,473$
F 11,567$ 22,360$ 25,082$
M 14,497$ 36,857$ 39,580$
A 13,933$ 50,790$ 53,736$
M 13,641$ 64,431$ 67,131$
J 14,487$ 78,918$ 81,865$ 4J #VALUE! 95,930$
A #VALUE! 110,953$ 5S #VALUE! 125,293$
O #VALUE! 139,199$ 6N #VALUE! 152,331$
D #VALUE! 163,493$ 7
8
9
10
11
Target to Improve Owner EOY Est J F M A M J J A S O N DA AB BC CD D
Target to Improve Owner EOY Est J F M A M J J A S O N DMo Sales to target of $ZZZ EYTD
1. Fast Growth, Penetration For Mkt Share In $X Space
B A Ongoing * Continue field work in support of intro. Stress new applications.
B JulyReview plan and progress with specialists
Item #5
Item #6
Item #9
D
D
BActivity Rating Key results and issues
Solutions Programs
$ D
Mkt/Sales Direction To Find New Dist.
Component Analysis
Item #8 Decline Of >Y% Resulted in Loss of Sales
OwnerA Continue launch awareness campaign
Issue Counter Measure / Activities / Resources / Help Required
A
F
$ F
B
E
E
3. Penetration With BBBB - Market Size >$CCC4 Repositioning strategy to restore growth
Follow-up / Unresolved IssuesRationale for Activity - Opportunity Assessment
A OngoingBy Date
2. Continued Fast Growth of ZZZZZ - Market Size >$AAA
D
StatusActivities & Tactics
A1
Item #1
Performance
Item #2
Item #3
Components of Performance
2
3
Item #4
B
C
Needs to find growth marketsItem #10Item #9
Item #7
Item #4
Needs to find growth markets
Item #6
Strategic Performance Dashboard
Head Winds
Time Line
Grow Sales from $X to $YGrow Core Sales from $X to $Y & Grow IATD Core Operating Income from $AA to $BB
Sales from $X to $Y
Performance, Gaps and Targets 2010 2010 Action Plan
Strategic Objective:
Top Level Priority:
YTD Performance
Target To Improve
Reflection on Last Year's Activities
Grew 14% in 09Sales 16% Growth > plan
New Products and Penetration
Item #2 Below Forecast, mixed successItem #1
v4g
Add distribution component to test market
Author / Date:
OngoingB
Item #8
Item #10
Item #11
Achieved Target, driven by
Item #3
C
Item #5
Item #7
Operational Excellence
Slow sales cycle, establish XXXX $ A $ B $ C
2010 YTD Info
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
J F M A M J J A S O N D
Y A
xis
Mo. Goal YTD
A3
Target to Improve:
US#1
10 OP 10 Actual 10 Proj Gap Owner J F M A M J J A S O N D
10 Mo. YTD Goal X Y Z #######J 10,793$ 10,793$ 12,473$
F 11,567$ 22,360$ 25,082$
M 14,497$ 36,857$ 39,580$
A 13,933$ 50,790$ 53,736$
M 13,641$ 64,431$ 67,131$
J 14,487$ 78,918$ 81,865$ 4J #VALUE! 95,930$
A #VALUE! 110,953$ 5S #VALUE! 125,293$
O #VALUE! 139,199$ 6N #VALUE! 152,331$
D #VALUE! 163,493$ 7
8
9
10
11
Target to Improve Owner EOY Est J F M A M J J A S O N DA AB BC CD D
Target to Improve Owner EOY Est J F M A M J J A S O N DMo Sales to target of $ZZZ EYTD
1. Fast Growth, Penetration For Mkt Share In $X Space
B A Ongoing * Continue field work in support of intro. Stress new applications.
B JulyReview plan and progress with specialists
Item #5
Item #6
Item #9
D
D
BActivity Rating Key results and issues
Solutions Programs
$ D
Mkt/Sales Direction To Find New Dist.
Component Analysis
Item #8 Decline Of >Y% Resulted in Loss of Sales
OwnerA Continue launch awareness campaign
Issue Counter Measure / Activities / Resources / Help Required
A
F
$ F
B
E
E
3. Penetration With BBBB - Market Size >$CCC4 Repositioning strategy to restore growth
Follow-up / Unresolved IssuesRationale for Activity - Opportunity Assessment
A OngoingBy Date
2. Continued Fast Growth of ZZZZZ - Market Size >$AAA
D
StatusActivities & Tactics
A1
Item #1
Performance
Item #2
Item #3
Components of Performance
2
3
Item #4
B
C
Needs to find growth marketsItem #10Item #9
Item #7
Item #4
Needs to find growth markets
Item #6
Strategic Performance Dashboard
Head Winds
Time Line
Grow Sales from $X to $YGrow Core Sales from $X to $Y & Grow IATD Core Operating Income from $AA to $BB
Sales from $X to $Y
Performance, Gaps and Targets 2010 2010 Action Plan
Strategic Objective:
Top Level Priority:
YTD Performance
Target To Improve
Reflection on Last Year's Activities
Grew 14% in 09Sales 16% Growth > plan
New Products and Penetration
Item #2 Below Forecast, mixed successItem #1
v4g
Add distribution component to test market
Author / Date:
OngoingB
Item #8
Item #10
Item #11
Achieved Target, driven by
Item #3
C
Item #5
Item #7
Operational Excellence
Slow sales cycle, establish XXXX $ A $ B $ C
2010 YTD Info
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
J F M A M J J A S O N D
Y A
xis
Mo. Goal YTD
A3
Target to Improve:
US#1
10 OP 10 Actual 10 Proj Gap Owner J F M A M J J A S O N D
10 Mo. YTD Goal X Y Z #######J 10,793$ 10,793$ 12,473$
F 11,567$ 22,360$ 25,082$
M 14,497$ 36,857$ 39,580$
A 13,933$ 50,790$ 53,736$
M 13,641$ 64,431$ 67,131$
J 14,487$ 78,918$ 81,865$ 4J #VALUE! 95,930$
A #VALUE! 110,953$ 5S #VALUE! 125,293$
O #VALUE! 139,199$ 6N #VALUE! 152,331$
D #VALUE! 163,493$ 7
8
9
10
11
Target to Improve Owner EOY Est J F M A M J J A S O N DA AB BC CD D
Target to Improve Owner EOY Est J F M A M J J A S O N DMo Sales to target of $ZZZ EYTD
1. Fast Growth, Penetration For Mkt Share In $X Space
B A Ongoing * Continue field work in support of intro. Stress new applications.
B JulyReview plan and progress with specialists
Item #5
Item #6
Item #9
D
D
BActivity Rating Key results and issues
Solutions Programs
$ D
Mkt/Sales Direction To Find New Dist.
Component Analysis
Item #8 Decline Of >Y% Resulted in Loss of Sales
OwnerA Continue launch awareness campaign
Issue Counter Measure / Activities / Resources / Help Required
A
F
$ F
B
E
E
3. Penetration With BBBB - Market Size >$CCC4 Repositioning strategy to restore growth
Follow-up / Unresolved IssuesRationale for Activity - Opportunity Assessment
A OngoingBy Date
2. Continued Fast Growth of ZZZZZ - Market Size >$AAA
D
StatusActivities & Tactics
A1
Item #1
Performance
Item #2
Item #3
Components of Performance
2
3
Item #4
B
C
Needs to find growth marketsItem #10Item #9
Item #7
Item #4
Needs to find growth markets
Item #6
Strategic Performance Dashboard
Head Winds
Time Line
Grow Sales from $X to $YGrow Core Sales from $X to $Y & Grow IATD Core Operating Income from $AA to $BB
Sales from $X to $Y
Performance, Gaps and Targets 2010 2010 Action Plan
Strategic Objective:
Top Level Priority:
YTD Performance
Target To Improve
Reflection on Last Year's Activities
Grew 14% in 09Sales 16% Growth > plan
New Products and Penetration
Item #2 Below Forecast, mixed successItem #1
v4g
Add distribution component to test market
Author / Date:
OngoingB
Item #8
Item #10
Item #11
Achieved Target, driven by
Item #3
C
Item #5
Item #7
Operational Excellence
Slow sales cycle, establish XXXX $ A $ B $ C
2010 YTD Info
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
J F M A M J J A S O N D
Y A
xis
Mo. Goal YTD
12
12
Target to Improve:
US#1
10 OP 10 Actual 10 Proj Gap Owner J F M A M J J A S O N D10 Mo. YTD Goal X Y Z #######J 10,793$ 10,793$ 12,473$
F 11,567$ 22,360$ 25,082$
M 14,497$ 36,857$ 39,580$
A 13,933$ 50,790$ 53,736$
M 13,641$ 64,431$ 67,131$
J 14,487$ 78,918$ 81,865$ 4J #VALUE! 95,930$
A #VALUE! 110,953$ 5S #VALUE! 125,293$
O #VALUE! 139,199$ 6N #VALUE! 152,331$
D #VALUE! 163,493$ 7
8
9
10
11
Target to Improve Owner EOY Est J F M A M J J A S O N DA AB BC CD D
Target to Improve Owner EOY Est J F M A M J J A S O N DMo Sales to target of $ZZZ EYTD
1. Fast Growth, Penetration For Mkt Share In $X Space
B A Ongoing * Continue field work in support of intro. Stress new applications.
B JulyReview plan and progress with specialists
Item #5
Item #6
Item #9
D
D
BActivity Rating Key results and issues
Solutions Programs
$ D
Mkt/Sales Direction To Find New Dist.
Component Analysis
Item #8 Decline Of >Y% Resulted in Loss of Sales
OwnerA Continue launch awareness campaign
Issue Counter Measure / Activities / Resources / Help Required
A
F
$ F
B
E
E
3. Penetration With BBBB - Market Size >$CCC4 Repositioning strategy to restore growth
Follow-up / Unresolved IssuesRationale for Activity - Opportunity Assessment
A OngoingBy Date
2. Continued Fast Growth of ZZZZZ - Market Size >$AAA
D
StatusActivities & Tactics
A1
Item #1
Performance
Item #2
Item #3
Components of Performance
2
3
Item #4
B
C
Needs to find growth marketsItem #10Item #9
Item #7
Item #4
Needs to find growth markets
Item #6
Strategic Performance Dashboard
Head Winds
Time Line
Grow Sales from $X to $YGrow Core Sales from $X to $Y & Grow IATD Core Operating Income from $AA to $BB
Sales from $X to $Y
Performance, Gaps and Targets 2010 2010 Action Plan
Strategic Objective:
Top Level Priority:
YTD Performance
Target To Improve
Reflection on Last Year's Activities
Grew 14% in 09Sales 16% Growth > plan
New Products and Penetration
Item #2 Below Forecast, mixed successItem #1
v4g
Add distribution component to test market
Author / Date:
OngoingB
Item #8
Item #10
Item #11
Achieved Target, driven by
Item #3
C
Item #5
Item #7
Operational Excellence
Slow sales cycle, establish XXXX $ A $ B $ C
2010 YTD Info
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
J F M A M J J A S O N D
Y A
xis
Mo. Goal YTD
Telling the Story with the A3: Action Plan Execution, Results, and Adjustments
1
Current performance Where are we,
Where are we going?
2
What Worked & didn’t?What have we learned?
3What’s the High
Level Plan?Opportunities / Barriers
4
Action PlanWho, when, how much
5
Act / Adjust if Off PlanActions to obtain Target
13
2010 Strategic Performance DashboardPriori
ty OwnerStarting
Point EOYThis Year: JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC
A Plan 12.5 25.1 39.6 53.7 67.1 81.9 95.9 111.0 125.3 139.2 152.3 163.5B Actual 10.8 22.4 36.9 50.8 64.4 79.3C Plan 12.6 25.5 36.1 55.5 61.4 74.9 98.1 113.3 127.8 141.8 155.0 166.3D Actual 13.7 26.6 40.9 53.9 65.9 80.5E Plan 34.0 68.3 107.8 146.4 182.9 223.1 261.5 302.5 341.6 379.5 415.3 445.6F Actual 29.6 62.1 100.6 137.3 173.3 213.2G Plan 60.7 121.4 182.1 242.8 298.0 364.2 424.9 485.6 546.3 607.0 667.7 728.4H Actual 52.6 107.1 174.0 236.0 297.0 365.0I Plan 60.7 121.4 182.1 242.8 298.0 364.2 424.9 485.6 546.3 607.0 667.7 728.4J Actual 52.6 107.1 174.0 236.0 297.0 368.0K Plan 14.0 29.0 45.0 61.0 77.0 93.0 109.0 126.0 143.0 159.0 174.0 188.2L Actual 13.9 28.6 45.0 64.8 78.2 94.0M Plan 0.15 0.35 0.55 0.85 1.25 1.80 2.50 3.60 5.00 6.50 8.50 10.00N Actual 0.10 0.23 0.37 0.48 0.62 1.2O Plan ##### ##### ##### ##### ##### ##### ##### ##### ##### ##### ##### #####P Actual 4.9 9.6 16.7 21.8 27.8Q Plan 0 0 0 0 25 60 100 145 195 250 295 339R Actual 0 0 0 0 14 50S Plan 1.8 3.5 5.6 7.3 9.1 11.0 12.7 14.5 16.3 19.1 22.0 24.9 T Actual 2.1 4.3 6.9 9.2 11.5 13.0U Plan 59.2% 59.1% 58.1% 57.9% 57.9% 57.4% 57.4% 57.2% 57.1% 56.9% 57.0% 57.4%V Actual 54.4% 54.6% 55.4% 54.4% 55.1% 54.7%W Plan 88.0% 89.0% 90.0% 92.0% 92.0% 92.0% 92.0% 92.0% 92.0% 92.0% 92.0% 92.0%Z Actual 90.7% 90.1% 90.7% 90.2% 89.6% 91.0%Y Plan 4.0 8.0 12.0 16.0 20.0 24.0 28.0 32.0 36.0 40.0 44.0 48.0Z Actual 3.7 6.9 11.1 15.1 19.5 24.5A Plan ##### ##### ##### ##### ##### ##### ##### ##### ##### ##### ##### #####B Actual 0.8 2.9 4.6 4.8 5.7 6.7
F
G
H
Item #11
JA
$0M
C
$0M
$0M
N
K
M
L12
Item #12 B
A
B
C
D
E
11
14Item #14 $0M
13Item #13 $0M
6Item #6
5
10Item #10
8Item #8
7
9Item #9
$0MItem #5
1Item #1
2
3
4
Item #2
Item #3
Item #4
0 I
$0M
$0M
$0M
Item #7
Deliverables and Measures
$0M
1
2
3
4
5
6
7
8
910
11
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13
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B C D E F G H I J K L M N O P Q R S T U V
X-Matrix 2010 Strategy Deployment n n n
n n on n n on n n n n
n n n nn n nn n on n n on n n n n
Jim
Fa
ll
n 1 2 3 4 5 6 7 8 9 10 11 12 13 14 Resources - "Who"n Core Sales
n Channel Sales & In/Out Boundn
Op Exc. Lab
P
rio
rity
Ow
ner
s
"e"/MktShare
Targets to Improve
Long-Term
("Breakthrough") Strategic Objectives
Annual
Strategic Objectives
Top-Level
Improvement Priorities
From X-Matrix to
BowlerAll Targets
move directly into a single
bowlerTrack
Against Plan by month
Traffic LightsWhat is a Bowler?
It is the CHECK Step in the
process
14
Periodic Review
The periodic review is the most important and distinguishing factor in BEP.
It answers the questions “Are we on course?” and “Do we need to make adjustments?”
15
Periodic Review
• This is typically done monthly, in a “War Room”
• The key steps in the review process are:▫ Identify what is Red & Anticipate what will be▫ A3 Owners DISCUSS their “Adjust” plans in the
“Management Action Plan” tool Analyze the deviation – Actual vs. Expected Describe the corrective actions Define WHO will do WHAT by WHEN Identify the expected results of the adjustments
• Discuss “RED” items with “How Can WE Help” mindset• Agree upon the Actions and Refine the A3 / Action Plans
16
Date:Author:
RED items on A3 Root Cause Description Brief Description of Action Owner of ActionTgt Date to Complete
Expected Benefits/ImpactStatus {R-Y-G}
Power Line Sealants from $3.7M to $6.5M
* Some Portfolio gaps identified (higher "green" strength)*Won accounts and channel from 2010 are off-plan (Elkhart).*Overall current channel isn't ideal for penetration
* 550 Price promotion 4.1* 1Q Distributor Sample Program extended* Feb New 20 Case Price Bracket to lower hurdle new distribution* April 1 demo Promo and Applicator Program Initiated* B&C / Roofing test sale with 540 color 3Q*755 New Hybrid Test Market Aug 1* Develop SV Channel Merch Plan*Jump Smart Meeting Completed 6.14* 3 Zone Blitzes with Sales Coach support*End -User value/Customer Insight/ Adapted Conjoint study with Corp Marketing
Weiner April - onward
* PowerLine Sku's At $3.7M YTD. Up 30% YTD, but behind plan by $450k* Sealants total up 14.8% YTD (99.5% of OP)
CR-20 Sales to $3.5M * Sales off plan* Lack of OEM approvals to pull through sales
Aug 8 - Jump Start/Root cause meeting with B&C, Global and US teams
Goy/O'Hara August Key account/OEM spec resource needed.
7000 Series Epoxies to $0.5M * Have run as test market ytd* Several opportunities in progress, requires full evaluations
*Will take learning from test market (price, product additions, successes) and build launch for 1Q with focus on large structure assembly and composite/honeycomb panel assembly.
DeLaForest Dec Clear, concise launch package targeted to markets/zones with opportunity
L.O.T. at 92% & Product Availability at 96.5%
25JM Hot-Melt Family Hot-Melt broad RM Allocation - RM Supply issues
Allocation Team Meeting weekly Wilke/Morrill/DeLaforestField notified on Mar 21Suspended all demand generation activitesMoving internal Customer (Filtrete) to other sourcesWax RM Substitiuions underwaytackifier resin reformulations underway
Morrill / Wilke Ongoing YTD Business is up 9.4%%, 8.6% is price. Supply Chain has done EXCELLENT job keeping customers running! We are not out of the woods yet.
L.O.T. at 92% & Product Availability at 96.5%
25EE DP-420 Backorders Strong Demand Globally, Unforecasted APAC demand. Brady / DeLaForest/Wilke
August Code red Action team formed
L.O.T. at 92% & Product Availability at 96.5%
25DM (Vettec)6 OZ Cartridges * 6 oz Cartridge tooling and mold issues* Corrective actions underway.
Brady / DeLaForest/Wilke
August Early august backorder cleared target
BEP Management Action PlanA3 #1: US Bonding Business
9.13.2011Buss
16
2010 Strategic Performance DashboardPriori
ty OwnerStarting
Point EOYThis Year: JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC
A Plan 12.5 25.1 39.6 53.7 67.1 81.9 95.9 111.0 125.3 139.2 152.3 163.5B Actual 10.8 22.4 36.9 50.8 64.4 79.3C Plan 12.6 25.5 36.1 55.5 61.4 74.9 98.1 113.3 127.8 141.8 155.0 166.3D Actual 13.7 26.6 40.9 53.9 65.9 80.5E Plan 34.0 68.3 107.8 146.4 182.9 223.1 261.5 302.5 341.6 379.5 415.3 445.6F Actual 29.6 62.1 100.6 137.3 173.3 213.2G Plan 60.7 121.4 182.1 242.8 298.0 364.2 424.9 485.6 546.3 607.0 667.7 728.4H Actual 52.6 107.1 174.0 236.0 297.0 365.0I Plan 60.7 121.4 182.1 242.8 298.0 364.2 424.9 485.6 546.3 607.0 667.7 728.4J Actual 52.6 107.1 174.0 236.0 297.0 368.0K Plan 14.0 29.0 45.0 61.0 77.0 93.0 109.0 126.0 143.0 159.0 174.0 188.2L Actual 13.9 28.6 45.0 64.8 78.2 94.0M Plan 0.15 0.35 0.55 0.85 1.25 1.80 2.50 3.60 5.00 6.50 8.50 10.00N Actual 0.10 0.23 0.37 0.48 0.62 1.2O Plan ##### ##### ##### ##### ##### ##### ##### ##### ##### ##### ##### #####P Actual 4.9 9.6 16.7 21.8 27.8Q Plan 0 0 0 0 25 60 100 145 195 250 295 339R Actual 0 0 0 0 14 50S Plan 1.8 3.5 5.6 7.3 9.1 11.0 12.7 14.5 16.3 19.1 22.0 24.9 T Actual 2.1 4.3 6.9 9.2 11.5 13.0U Plan 59.2% 59.1% 58.1% 57.9% 57.9% 57.4% 57.4% 57.2% 57.1% 56.9% 57.0% 57.4%V Actual 54.4% 54.6% 55.4% 54.4% 55.1% 54.7%W Plan 88.0% 89.0% 90.0% 92.0% 92.0% 92.0% 92.0% 92.0% 92.0% 92.0% 92.0% 92.0%Z Actual 90.7% 90.1% 90.7% 90.2% 89.6% 91.0%Y Plan 4.0 8.0 12.0 16.0 20.0 24.0 28.0 32.0 36.0 40.0 44.0 48.0Z Actual 3.7 6.9 11.1 15.1 19.5 24.5A Plan ##### ##### ##### ##### ##### ##### ##### ##### ##### ##### ##### #####B Actual 0.8 2.9 4.6 4.8 5.7 6.7
F
G
H
Item #11
JA
$0M
C
$0M
$0M
N
K
M
L12
Item #12 B
A
B
C
D
E
11
14Item #14 $0M
13Item #13 $0M
6Item #6
5
10Item #10
8Item #8
7
9Item #9
$0MItem #5
1Item #1
2
3
4
Item #2
Item #3
Item #4
0 I
$0M
$0M
$0M
Item #7
Deliverables and Measures
$0M
Management Action Plan
“Reds” from Bowler to
Mgmt Action Plan tool
Root Cause & Corrective Action if Metric is “Off
Target”
Mgm’t Action PlanDate:Author:
RED items on A3 Root Cause Description Brief Description of Action Owner of ActionTgt Date to Complete
Expected Benefits/ImpactStatus {R-Y-G}
Power Line Sealants from $3.7M to $6.5M
* Some Portfolio gaps identified (higher "green" strength)*Won accounts and channel from 2010 are off-plan (Elkhart).*Overall current channel isn't ideal for penetration
* 550 Price promotion 4.1* 1Q Distributor Sample Program extended* Feb New 20 Case Price Bracket to lower hurdle new distribution* April 1 demo Promo and Applicator Program Initiated* B&C / Roofing test sale with 540 color 3Q*755 New Hybrid Test Market Aug 1* Develop SV Channel Merch Plan*Jump Smart Meeting Completed 6.14* 3 Zone Blitzes with Sales Coach support*End -User value/Customer Insight/ Adapted Conjoint study with Corp Marketing
Weiner April - onward
* PowerLine Sku's At $3.7M YTD. Up 30% YTD, but behind plan by $450k* Sealants total up 14.8% YTD (99.5% of OP)
CR-20 Sales to $3.5M * Sales off plan* Lack of OEM approvals to pull through sales
Aug 8 - Jump Start/Root cause meeting with B&C, Global and US teams
Goy/O'Hara August Key account/OEM spec resource needed.
7000 Series Epoxies to $0.5M * Have run as test market ytd* Several opportunities in progress, requires full evaluations
*Will take learning from test market (price, product additions, successes) and build launch for 1Q with focus on large structure assembly and composite/honeycomb panel assembly.
DeLaForest Dec Clear, concise launch package targeted to markets/zones with opportunity
L.O.T. at 92% & Product Availability at 96.5%
25JM Hot-Melt Family Hot-Melt broad RM Allocation - RM Supply issues
Allocation Team Meeting weekly Wilke/Morrill/DeLaforestField notified on Mar 21Suspended all demand generation activitesMoving internal Customer (Filtrete) to other sourcesWax RM Substitiuions underwaytackifier resin reformulations underway
Morrill / Wilke Ongoing YTD Business is up 9.4%%, 8.6% is price. Supply Chain has done EXCELLENT job keeping customers running! We are not out of the woods yet.
L.O.T. at 92% & Product Availability at 96.5%
25EE DP-420 Backorders Strong Demand Globally, Unforecasted APAC demand. Brady / DeLaForest/Wilke
August Code red Action team formed
L.O.T. at 92% & Product Availability at 96.5%
25DM (Vettec)6 OZ Cartridges * 6 oz Cartridge tooling and mold issues* Corrective actions underway.
Brady / DeLaForest/Wilke
August Early august backorder cleared target
BEP Management Action PlanA3 #1: US Bonding Business
9.13.2011Buss
17
Date:Author:
RED item on A3 Root Cause DescriptionBrief Description of
Action Owner of Action
Tgt Date to Complete
Expected Benefits/Impact
Status {R-Y-G}
BEP Management Action PlanA3 # & Description:
1 What’s the Gap to Plan?
2 What Really Happened? Get HARD Data. No Guessing
3 Develop Specific, Actions (ST & LT)
4 WHO owns the ACTION?
5 Completion Date
Expected Outcome
Changes the discussion from the “Reasons why” to the “Recovery Plan”
18
Why BEP Works . . .
It SIMPLIFIES the Complex Execution Environment
Achieved by PRIORITIZATION
Focus on the “Vital Few”
BEP cascades objectives down the management hierarchy
It helps convey a vision and build engagement across the organization
Its primary benefit is to focus activity on the key things necessary for success
It Saves Time!!
3M International OperationsBusiness Execution Process (BEP)
$35B INNOVATION POWERHOUSEDriven by 3M International