You Are Invited June 10-12, 2013 Boston, Massachusetts

Transcription

1 Over Four Decades of Industry-led Collaborative Research You Are Invited June 10-12, 2013 Boston, Massachusetts Dear CAM-I Members and Guests, Please join us, members and first time guests, as the Consortium for Advanced Management International (CAM-I) hosts its summer meeting on June 10-12, 2013 at the Omni Parker House Hotel in Boston, Massachusetts. The Omni Parker House Hotel is located at: 60 School Street, Boston, Massachusetts As an industry-led collaborative research consortium, CAM-I continues to produce the best of the industry solutions, techniques, methods & tools for over 40 years in the field of Cost, Process and Performance Management. CAM-I offers a forum for public and private sector professionals to collaboratively develop solutions for today s biggest challenges, including the integration of solution sets. CAM-I Mission To serve as a collaborative forum of thought leaders who develop practical and effective management tools, techniques and methods to advance the way organizations manage costs, processes and performance. CAM-I Vision - To be recognized as the premier collaborative forum for innovative, leading edge management solutions that create lasting value. Our quarterly meetings enable participants to work in diversified interest groups developing leading-edge research, hear presentations by leading experts in our Tuesday General Session, and develop a network of contacts from industry, government, consultancies and academia. Monday all day, Tuesday afternoon, and Wednesday morning are dedicated to meetings on projects in which you can participate. A short description of each of the interest groups is listed below. If you have any questions, please do not hesitate to contact the group leader at the phone or provided. CAM-I will provide a Target Costing Training on Wednesday, June 12 th from 8:00am 3:00pm. The training will be led by Dresser-Rand. (Detailed information on page 3) There is no charge for a member company. For guests, there is a fee of $ to be collected when you register. Attendees will receive eight CPE credits for this training. The theme of the June meeting is Supply Chain Management. Speakers on Tuesday Morning, June 11th, Supply Chain Management for Competitive Advantage Dennis Lord, Executive Director, IMS Business Academy 2. Logistics Optimization & How It Drives Cost Out Carl Fowler, Senior Director, Menlo Worldwide Logistics 3. Implementing Effective Customer Supplier Interoperability John Gray, DEXcenter Product Manager, ITI TranscenData We offer a Newcomer Orientation Monday morning. Guest and first time attendees are encouraged to attend. Attendees also qualify for up to 20 CPE (Continuous Education) credit hours. Please REGISTER at and click on meetings and events at the top of the page. Please only select 2 Special Interest Groups to participate in when you are registering. The meeting agenda is also posted on this page. For additional information please contact Margarita Bagwell at margarita@cam-i.org or by phone at (512) You can also contact Ashok Vadgama, CAM-I President, at ashok@cam-i.org or by phone at (512)

2 MEETING AGENDA MONDAY, JUNE 10 TH Dress Code: Business Casual 7:30a 8:30a Registration / Continental Breakfast 8:00a 8:30a CAM-I Newcomer Orientation 8:30a 12:00p* Interest Group Sessions: Performance Management Target Costing Best Practices Environmental Sustainability Enterprise Risk Management Intelligent Data Quality Management Cost Management 12:00p 1:00p Members Forum Lunch & SPARKS Discussion (By invitation only) 1:30p 5:00p* Interest Group Sessions Reconvene TUESDAY, JUNE 11 TH Dress Code: Business Casual 8:00a 8:30a Continental Breakfast 8:30a 8:45a Welcome & Introductions Tony Adkins, SAS, Industry Chair CAM-I Ashok Vadgama, CAM-I President 8:45a 9:35a Supply Chain Management for Competitive Advantage Dennis Lord, Executive Director, IMS Business Academy 9:35a 9:55a Break 9:55a 10:50a Logistics Optimization & How It Drives Cost Out Carl Fowler, Senior Director, Menlo Worldwide Logistics 10:50a 11:10a Break 11:10a 12:00p Implementing Effective Customer Supplier Interoperability John Gray, DEXcenter Product Manager, ITI TranscenData 12:00p LUNCH (on your own) 1:30p 5:00p* Interest Group Sessions: Performance Management Target Costing Best Practices Environmental Sustainability Enterprise Risk Management Intelligent Data Quality Management Cost Management 5:30p 7:00p Networking Reception (Omni Parker House Hotel) WEDNESDAY, JUNE 12 TH Dress Code: Casual 8:00a 8:30a Continental Breakfast 8:30a 12:00p* Interest Group Sessions: Performance Management Target Costing Best Practices Environmental Sustainability Cost Management 8:00a 3:00p Target Costing Training (Optional) (detailed information below) *Coffee and lunch breaks to be determined by each interest group chair AGENDA SUBJECT TO CHANGE

3 Target Costing Training Definition*: The Target Costing process is a system of profit planning and cost management that is price led, customer focused, design centered and cross-functional. Target Costing initiates cost management at the earliest stages of product development and applies it throughout the product life cycle by actively involving the entire value chain. Why do Target Costing? Some Realities: New products account for an ever-increasing percentage of sales and revenues. Product life cycles in many industries continue to shorten. Product turnover is quicker. Customers are demanding more customized better quality products at affordable prices. Global competition is making speed and customer satisfaction competitive weapons. New competitors make market share maintenance/enhancement a difficult proposition. Bottom Line: Companies need a systematic approach of providing customer driven product requirements and features, while still being able to produce an acceptable return for the company and their shareholders. Target costing is the management system that can ensure both customer satisfaction and company profitability. Successes: Boeing & Chrysler (prior to the merger with Daimler): Boeing Program Development Cost Initial Estimate Actual 29% - 40% Reduction! Success Stories - Chrysler ($ Mils) Better 0 Investment Old System New System ($ cost / Old System New System unit) Better Variable Cost 0 Worse Worse Program 1 Program 2 Program 3 Program 4 Program Size in the Hundreds of Million $ B / (W) Than Target (46%) B / (W) Than Target (2%) B / (W) Than Target (13%) B / (W) Than Target (2%) Other prominent companies utilizing target costing for successful product development and maintaining targeted market share include: Toyota, Honda, Caterpillar and Harley-Davidson. * From Target Costing: The Next Frontier in Strategic Cost Management, Ansari/Bell and the CAM-I Target Costing Interest Group. Irwin Press 1996.

4 Target Costing: Enhancing Revenues through Effective Product Development D Keith Hallin Director Jeff Wainwright Senior Analyst, Jennifer Henry Senior Analyst Program Management Office Program Mgmt. Best Practice Leader Target Costing Leader From corporate growth strategies, to enhancing shareholder value companies with an effective product development process have a definite competitive advantage in the new millennium. As product life cycles shorten and "time to market" becomes crucial, a reliable method of delivering the right product - at the right time - for the right price is essential. Target Costing is a proven method that leading-edge organizations are using to reduce the inherent risk of new product development by providing "best value" products to their customers while, at the same time, increasing profits. In this interactive workshop, Keith Hallin, Director of the Program Management Office at Dresser-Rand, along with PMO Leaders Jeff Wainwright and Jennifer Henry share their knowledge and implementation experiences, from high profile companies such as The Boeing Company, Whirlpool Corporation and Dresser-Rand. Using a case study approach with focused discussion, you will learn how to apply the fundamentals of Target Costing to your organization s product development processes. Specific topics to be covered include: Target Costing principles and process Key core tools Product definition alignment with customer value Target allocation Product life cycle management Multi-year product, profit and cost planning Implementation realities The focus of instruction is a hands-on interactive case study, by which the participants experience practical application of the Target Costing process, through construction of an actual product. The case study participants will develop the necessary information to employ Target Costing and seek to optimize the case study design, in terms of customer requirements and the company s internal cost objectives.

5 Message to First Time Attendees Upcoming Meeting Schedule Over the past forty years CAM-I has enabled changes in the way companies manage their business. Recognized as the world s leading forum in advancement of cost, process and performance management, CAM-I s programs and interest groups draws upon its extensive international network of subject matter experts, academia and leading managers to provide participants the opportunity to develop and utilize leading-edge cost and resource management processes in their organizations. The implementation/utilization of these advanced concepts provides participating organizations a tremendous competitive advantage in their business practices and knowledge acquisition well in advance before they go public. Quarterly meetings allow all participants to: Leverage their knowledge through interaction with leading experts by collaborative work, June 10 12, 2013 Boston, Massachusetts September 9 11, 2013 Naperville, Illinois December 9-11, 2013 Austin, Texas March 10 12, 2014 Alexandria, Virginia Compare and benchmark their organization s practices and performance against those of world class competitors, and Develop implementable solutions which incorporate leading-edge cost and resource management methods from CAM-I s existing applied research. CAM-I hosts four Cost, Process & Performance Management meetings each year. These three day events enable participants to engage in collaborative work, hear presentations by leading experts in all areas of cost management and to develop an invaluable network of professional contacts from industry, government, SME s, consultancies and academia. Please review this meeting notice for insights into the work underway in our existing interest groups. If you have any questions, or need further information please contact: Ashok Vadgama, CAM-I President ashok@cam-i.org

6 Omni Parker House Hotel 60 School Street Boston, MA PH: CAM-I has reserved a block of rooms at the Omni Parker House Hotel. The room rate is $ per night for a single/double room or $ per night for an executive suite. You can make your reservations directly with the hotel and advise you are attending the CAM-I meeting to receive the preferred group room rate or online through our personalized webpage: erhouse/meetingfacilities/camimeeting6.aspx The cut-off date for our room block is May 8th, Any reservations made after this date will be at the prevailing room rate, subject to availability. LOCATION: The Omni Parker House is located on the Freedom Trail in the heart of Boston, within walking distance of Faneuil Hall and just minutes from Beacon Hill, Boston Common and the Financial District. NASBA NATIONAL REGISTRY OF CPE SPONSORS This 3-day program qualifies for 20 credit hours. Course Level: Intermediate Prerequisite: Basic knowledge of Cost and/or Process & Performance Management. No advanced preparation is necessary All Study is Group - Live CAM-I is registered with the National Association of State Boards of Accountancy as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on acceptance of individual courses. Complaints regarding sponsors may be addressed directly to NASBA, th Avenue N., Suite 700, Nashville, TN The hotel is 10 minutes from Logan International Airport, 5 minutes from the Amtrak Station and 1 block from all subway lines. AMENITIES: Parker s Restaurant & Bar serving breakfast, lunch & dinner Wireless internet throughout the hotel 2 Full service business centers Whirlpool Sauna Fitness Center For more information check out the hotel website at: Contact Information: For more information regarding administrative policies such as complaints, cancellations and refunds, please contact the CAM-I office at

7 PARTICIPATING ORGANIZATIONS Alta Management Japan Arkonas Bank of America Brushfire, Inc. CALIBRE Systems CPA Canada Chrysalis BTS Decimal Definitive Logic Dresser-Rand Grant Thornton LLP Institute of Cost & Works Accountants of India Navistar Pilbara Group Inc. Royal Australian Navy SAS Institute Stellargy Services LLC Targeted Financial Solutions, LLC The Boeing Company U. S. Air Force U. S. Army U.S. Department of Agriculture U. S. Marine Corps U. S. Patent & Trademark Office Whirlpool Corporation

8 Current CAM-I Working Groups & Projects Target Costing Best Practices To provide a vehicle for sharing target costing best practices among a diverse group of business sectors. The group Target Costing Best Practices Interest Group is working on an article on managing budget cuts in a smart way that protects the customer priorities. The group is also working on an article on Commodity Volatility. As well as documenting how to apply target costing to services. Chair: Elaine Jones, Phone: (260) or elaine.jones@comcast.net Cost Management This is a new group in its formative phase. The objective is to build on the existing CAM-I cost management base of tools and techniques. Specific areas of work could include standards for cost management models, case studies, new tools and techniques for reducing and optimizing costs, and developing methods for large scale cost reduction. The focus and scope will be defined by the group. They will also define a framework for best practices in implementing the most appropriate costing solution corresponding to the organization s needs while ensuring the long term value. Leadership is subject to determination by the group. Chair: Tony Adkins, Phone: (919) or tony.adkins@sas.com Intelligent Data Quality Management Envision efforts to develop valuation methods (i.e., assigning quantitative costs to data quality, opportunity costing), analytics, maturity models, end-toend lifecycle analysis, and best practices research ultimately to develop a framework that provides an intelligent means for managing data quality, thus reflecting the management of an important organizational asset. Chair: Jeff Lawton, Phone: (202) or jeff.lawton@us.gt.com Performance Management The group has developed a practical framework that will enable any organization to assess their level of performance management maturity. In addition, the framework provides guidance on the most appropriate improvement techniques while taking into consideration the organization s capability to affect change. Phase I research is complete and now published jointly with CMA as an Emerging Issues Paper. Phase II research continues and will bring a more practical and concrete application of the framework by developing industry specific case studies. Chair: Derek Sandison, Phone: (905) or derek.s@decimaltechnologies.com

9 Environmental Sustainability Interest Group Going forward the ESIG is looking at pursuing two avenues of study: 1. Case studies to supplement our ABCM greenhouse gas article. We have no identified candidates at this point so it could be some time before we can get a case study underway. I plan to contact john Miller to ask for some suggestions on how he conducted the Customer Profitability case studies. Any input/guidance you could provide would be greatly appreciated. 2. Risk as it applies to environmental management. We believe that risk is a huge issue when it comes to Environment. Management and there are some unique aspects to applying risk in this arena. So we were thinking of looking at this area. We have very few risk experts in our group but I plan on touching base with Keith to see if he has any input or suggestions. Chair: Anthony Pember, Phone: (757) or anthony.pember@pilbaragroup.com Enterprise Risk Management Review previous work by the former ERM group, review recently released Performance Management Deliverable (Derek Sandison), and the Value Quest Integrated Performance Management section. Work to integrate ERM with Performance Management and perhaps other dimensions (i.e. Crises Management). Determine scope and form project plan, with interim deliverables by December 2012 meeting. Chair: Keith Hallin, Phone: (716) or khallin@dresser-rand.com