ASSOCIATION OF EQUIPMENT MANUFACTURERS
TO: DATE: SUBJECT:
SERVING MANUFACTURERS OF CONSTRUCTION, AGRICULTURAL, FORESTRY, MINING AND UTILITY EQUIPMENT, AND INDUSTRY-SERVICE PROVIDERS.
AEM Official Company Representatives and Industry Friends May 5, 2003 Update: Actions at Recent AEM Board of Directors Meeting
Dear Members and Friends: The AEM Board of Directors recently concluded its April 30 meeting in Washington, DC. I’d like to update you on several key action items. All are targeted at fulfilling the goals of the AEM consolidation: increased services to enhance membership value, a stronger industry voice, improved cost efficiencies and representation for all segments.
AEM Office Consolidation
During the past year, we have rapidly integrated former EMI and CIMA programs and staffs into a single structure. A related issue has been the physical consolidation of the Chicago and Milwaukee offices. The Board has approved an accelerated timetable that will complete the merging of staff and services – including the office consolidation – by July 1. After a careful and complete review of the economics involved with both office operations, the Board has unanimously approved the Milwaukee location as headquarters office. This consolidation will allow us to (1) maximize the efficiency of the AEM office operations, including personnel, (2) achieve the office consolidation as soon as possible without adversely affecting services and programs to members and (3) avoid a transitional step in the office consolidation (i.e., a smaller Chicago office) in order to quickly move past the merger transition and operate as a single, unified staff in an efficient and productive operation. We have developed a plan to guide a seamless move of Chicago operations and staff to Milwaukee. Be assured that there will be no interruption of services to members. All programs will continue to fully function, and the interests of all segments of the membership will continue to be addressed.
Ag Action Plan
The Board has approved an action plan submitted by the Ag Advisory Committee which will strengthen and expand services to AEM’s agricultural equipment manufacturing members. We will take action to increase Ag Advisory Committee participation by current members as well as an expanded ag equipment manufacturing membership that includes a broader range of products and services specific to these manufacturers. We will develop a strategy to make AEM a leader in ag equipment trade shows and expand relationships with related ag-focused groups to advance mutual interests. We will also take a more active role to support members who have operations or do business in Canada. We have already integrated AEM ag member company representatives into executive committees of groups such as the Marketing Council and International Council to provide more focus for ag issues. We will also explore trade show activities in China as part of our ongoing effort to develop programs targeted to the ag-related membership. -more866.AEM.0442 • aem@aem.org • www.aem.org
AEM Official Company Representatives and Industry Friends May 5, 2003 Page 2
CFIEI Merger
In related action, our ag-specific plans include additional cooperative efforts with CFIEI – the Canadian Farm and Industrial Equipment Institute. At CFIEI’s request, the AEM Board has approved a plan to incorporate CFIEI into AEM to expand Canadian-focused services to CFIEI and AEM members in areas including legislation and regulations, technical standards, environmental issues, and trade shows. The plan will now be presented to CFIEI for approval.
Highway Initiative Matching-Fund Program
As part of the Association’s highway bill reauthorization effort, the Board has approved a plan to provide funds up to $1 million to match AEM member contributions in 2003 to the Transportation Makes America Work campaign which is being spearheaded by ARTBA. (The plan will include matching funds for contributions already made by members in 2003.) The plan underscores the commitment of AEM and its members to the effort to obtain necessary funding to maintain a quality transportation system. The campaign will use a wide array of informational and research tools in a nationwide grassroots effort. (These funds will come from AEM’s CE Restricted Fund, not its annual operating budget.)
AEM Priorities Issues
The highway initiative mentioned earlier is an example of increased public policy activity to strengthen the equipment manufacturing industry’s “voice” on important issues which affect the production and marketing of members’ products. Public Policy is a key element of the “priority issues” plan guiding Association action in 2003. Expansion of Ag Services as noted earlier in this memo is another priority issue. In other priority areas, for Statistics, AEM has developed an implementation plan to integrate the statistical reporting programs of AEM’s two predecessor groups and resolve program policy differences. In the Technical area, we are working with EPA and industry groups to ensure manufacturers’ views are taken into account as proposed off-road engine emissions regulations (Tier 4) are finalized. We are also broadening the scope of the Supplier Council and improving its services and activities. Other initiatives focus on Education, International Marketing Support and Trade Shows. We will be surveying the membership later this year to help guide our activities and keep them targeted to member needs. In the meantime, please feel free to contact me with any questions. Thank you! Sincerely,
Dennis J. Slater, President