Free Staffing Company Agreements Templates by eok30690

VIEWS: 321 PAGES: 17

Free Staffing Company Agreements Templates document sample

More Info
									               W. P. Carey School of Business
         MBA Supply Chain Management Specialization
               2006-2007 Corporate Projects
1. Avnet Logistics: Avnet Logistics Transportation Business Improvement and Market
2. Black & Decker: Inventory Management Strategy Model
3. Diageo: Wine Grape Supply Analysis
4. The Hartford Financial Services Group: Variable Staffing Strategy
5. Honeywell Aerospace – Global Strategic Sourcing: Supply Chain Services Tool-kit
6. Jazz Semiconductor: Freight Cost Reduction Program
7. Motorola, Inc.: Direct To Retail Strategy
8. Pulte Homes Inc., and Pulte Building Systems, LLC: Supplier Measurement Strategy
9. Raytheon Space & Airborne Systems: SAS Logistics Outsourcing Strategy
10. Temple-Inland: Should-Cost Model Analysis
11. VF Corporation: Free Trade Zone Analysis

Company/Division            Avnet Logistics
Project Title               Avnet Logistics Transportation Business Improvement and Market Opportunities
Project Problem or          Avnet, Inc., a Fortune 500 company (NYSE: AVT), is one of the world's largest B2B
Opportunity                 distributors of semiconductors, interconnect, passive and electromechanical components,
(Describe the “value        enterprise network and computer equipment, and embedded subsystems from leading
proposition” for this       manufacturers. Serving customers in 70 countries, Avnet markets, inventories, and adds
project. That is, explain   value to these products and provides supply chain management and engineering services.
why it is worth doing.)
                            NOTE: See Avnet_First.pdf and Avnet-Vertical_Markets.pdf for additional information.

                            Avnet Logistics has a large transportation spend ($100M) across an established group of
                            transportation providers, customer clearance brokerages, trade compliance and freight
                            audit activities. Avnet needs ideas to drive substantial savings in the internal
                            transportation spend and would like to also develop a line of revenue from managing
                            transportation services for others.
Project Objectives           Identify main areas of potential to reduce transportation related costs
(for example, financial      Evaluate the potential of turning freight spend into a proactive market offering
improvements, quality        Identify transportation service customer requirements and gap analysis versus Avnet
improvements, supply           capabilities to deliver those services.
chain innovations,
improvements in
customer service).
Primary Project             We are looking for your recommendations for how to reduce transportation related costs
Activities/Tasks            and develop transportation services management as a line of revenue. Therefore, you
                            have flexibility in exactly what aspects of this you will focus on depending on what
                            appears to have the best prospects based on your initial analysis. We anticipate that you
                            will need to conduct the following activities:
                            1. Gather, analyze and characterize our current transportation spend in North America.
                                 This will be done based on analyzing currently available Avnet data and interviewing
                                 our people and possibly also some of our transportation providers. We will facilitate
                                 access to our transportation providers.
                            2. Evaluate and make recommendations on including a standard freight offering free
                                 with all Avnet shipments to customers.
                            3. Survey Avnet transportation vendors to characterize the services available, how those
                                 services are delivered and any customer expectations that are typical for the industry.
                                 We will facilitate access to our vendors for this survey.
                            4. Review available literature, web resources, and experts to identify potential
                                 opportunities for transportation cost savings and transportation management services
                                 that we could provide
                            5. Based on Tasks 1 through 3, assess in detail Avnet capabilities to deliver
                                 transportation management services. This will include identification of potential
                                 opportunities for transportation management services, metrics for assessing our
                                 competitiveness with respect to providing these services, and an assessment with
                                 respect to these metrics of our potential competitiveness in providing these services.
                            6. Based on Tasks 1 through 4, provide recommendations for transportation cost
                                 reduction and management services that we could provide. Prepare a high-level
                                 implementation plan for your recommendations.
Anticipated                  Report on Avnet transportation spending, areas for potential expense reduction and
Deliverables                   recommendations regarding incorporating freight into our standard market offerings.
                             Report on transportation services available from Avnet vendors, anticipated customer
                               requirements or differentiation points, Avnet capability strengths and gaps, and
                               specific recommendation for Avnet market entry as a transportation management
                               service provider.

Special Requirements         Non-disclosure agreement
for Student Team

Company/Division            Black & Decker Hardware and Home Improvement Group
Project Title               Inventory Management Strategy Model
Project Problem or          Black & Decker is a global manufacturer and marketer of quality power tools and
Opportunity                 accessories, hardware and home improvement products, and technology-based fastening
(Describe the “value        systems. Our products and services are marketed in more than 100 countries, and we have
proposition” for this       manufacturing operations in eleven countries. The Black & Decker Hardware and Home
project. That is, explain   Improvement Group (BDHHI) is a $1.2B Division of Black & Decker comprised of
why it is worth doing.)     Kwikset, Price Pfister, Baldwin Hardware and Weiser Lock.

                            BDHHI currently uses sku segmentation according to the APICS recommended model: A
                            80%, B 15%, C 5%. Current model dictates sku’s safety stock required levels to avoid
                            stock outs resulting in either fill rate or lead time customer issues.

                            Given that BDHHI is a high sku business with variables as finished goods sourced from
                            Asia v. made in North America resulting in lead times differences, low seasonality,
                            volatility in demand volume and mix and frequent new product introduction (NPI)
                            scenarios; this project requires development of an inventory management / safety stock
                            model (powerful analytical skills) strategy that will lead to 20% inventory reduction
                            opportunities and Distribution Centers (DC’s) space freed up while maintaining fill rate
                            flat at 98% across the business.

Project Objectives          This project addresses an inventory/safety stock strategy analysis for Kwikset, Price
(For example, financial     Pfister and Weiser with benefit analysis of the current inventory strategy versus
improvements, quality       alternatives resulting in inventory safety stock reduction.
improvements, supply        Results are expected to improve level of inventory/safety stock while maintaining fill rate
chain innovations,          flat a 98%.
improvements in             Areas to be considered include: sku segmentation, forecast volatility (volume and mix),
customer service).          different lead time for sourced finished goods (SFG) v. make items.

Primary Project             1.   Review the BDHHI current inventory/safety stock strategy. This will be based on
Activities/Tasks                 interviewing appropriate BDHHI personnel and reviewing any written policies.
                            2.   Collect, analyze, and summarize representative sales, customer requirements by
                                 channel, ordering pattern, lead time, fill rate, inventory financial reports, safety stock
                                 reduction impact on total inventory hypothesis. This will be done by interviewing
                                 BDHHI personnel, and reviewing internal reports and other documentation. We
                                 anticipate that this will result in maps of our overall sales, sku mix, sku segmentation,
                                 lead times and fulfillment process.
                            3.   Review literature, web resources, and experts to identify best practices/tools that are
                                 relevant to inventory optimization strategies.
                            4.   Based on Tasks 1 through 3, identify sku segmentation opportunities that would
                                 impact inventory levels positively.
                            5.   Develop inventory recommendation model showing alternatives or improvements to
                                 the sku segmentation currently used. This will be done by comparing practices
                                 identified in Task 4 in terms of their impacts to inventory metrics, as well as
                                 implementation issues and feasibility
                                      a. Estimate the approximate value propositions (impact and effort) for each
                                           improvement opportunity,
                                      b. Prioritize the opportunities based on potential impact relative to the effort to
                                      c. Perform a more detailed analysis of the impact and implementation effort
                                           for the highest priority opportunities identified in Tasks 5a and 5b.
                            6.   Prepare recommendations for those opportunities identified in Task 5, including a
                                 recommended implementation order and high level implementation plans.
                            7.   As time permits, implement attractive “quick hits” or perform pilots where feasible.

Anticipated               Summary and map of the current state of BDHHI’s inventory management process,
Deliverables               including a summary of safety stock, fill rate, lead time and any other metric
                           anticipated to change as a result of this project
                          Inventory management model that can be run based on the sku family characteristics
                           described above and that is capable of being refreshed as volume, mix, order
                           variability and lead times change.
                          Overall list of inventory reduction and process improvement ideas
                          Prioritized list of opportunities with supporting analysis
                          Recommendations with implementation plans
                          Preliminary results of quick hits and pilots where implemented
Special Requirements      Possible non-disclosure agreement
for Student Team          Approximately two trips will be made to Lake Forest, CA (Orange County/Los
                           Angeles area.

Company/Division            Diageo, Chateau & Estate Wines, Napa, CA
Project Title               Wine Grape Supply Analysis
Project Problem or          Diageo is the world's leading premium drinks business with an outstanding collection of
Opportunity                 alcohol beverage brands across spirits, wine and beer categories. These brands include:
(Describe the “value        Smirnoff, Johnnie Walker, Guinness, Baileys, J&B, Captain Morgan, Cuervo, Tanqueray,
proposition” for this       Crown Royal and Beaulieu Vineyard and Sterling Vineyards wines. Diageo is a global
project. That is, explain   company, trading in over 180 markets around the world. The company is listed on both
why it is worth doing.)     the London Stock Exchange (DGE) and the New York Stock Exchange (DEO). We
                            employ over 20,000 people worldwide with offices in around 80 countries. If you would
                            like to find out more about Diageo please check out the following links:

                            Year-to-year grape crop fluctuations often create an oversupply of wine across the
                            industry. Long-term grape supply contracts place the wine companies in an oversupply
                            position after large harvest years. The losses associated with the excess wine have a
                            significant impact on financial performance. The challenge is to take a potential liability
                            in oversupply and convert it to a business advantage, as well as build a strategic plan to
                            hedge against future oversupply risk.
Project Objectives          1. Recommend the most cost effective sourcing strategy that allows Diageo to meet our
(for example, financial          sales forecast requirements while hedging against oversupply risk.
improvements, quality       2. Recommend the most cost effective strategy to deplete current oversupply.
improvements, supply
chain innovations,
improvements in
customer service).

Primary Project             1.   Analyze current bulk wine and grape market for key grape varietals. This will be
Activities/Tasks                 done by analyzing data and forecasts available from public sources or that we
                                 provide, supplemented by interviewing our internal experts
                            2.   Review existing grape supply agreements and current wine inventory. We will
                                 provide the necessary reports to do this, or will provide you access to our records and
                                 systems so that you can develop the necessary information
                            3.   Review available literature, web resources, and experts to develop potential
                                 alternative approaches to meeting our forecast requirements while hedging against
                                 oversupply. As part of this task, develop appropriate metrics for assessing how good
                                 the different approaches are.
                            4.   Based on Tasks 1 through 3, develop a recommended approach to balance our future
                                 requirements vs. current supply. Ideally, we want an approach that will deplete our
                                 current oversupply while ensuring that we will meet future requirements and not
                                 have a significant oversupply or undersupply. Your recommendation should include
                                 an analysis of the expected NPV and risks associated with your approach.

                            5.   Develop a high-level implementation plan for the recommended approach.

Anticipated                 - Analysis of the current bulk wine and grape market for key grape varietals.
Deliverables                - Review of our existing grape supply agreements and current wine inventory.
                            - Recommended strategic options for sourcing grapes and bulk wine to meet market
                              demand, including a NPV and risk analysis of each option that is considered.
                            - High-level implementation plan for your recommendations
Special Requirements        Non-disclosure agreement; one or two trips to Napa, California
for Student Team

Company/Division            Company
                            The Hartford Financial Services Group

                            Founded in 1810, The Hartford Financial Services Group, Inc. (NYSE: HIG) is one of the
                            largest investment and insurance companies based in the United States, with offices in
                            Japan, Brazil, Ireland, England, and the United States. With nearly 30,000 employees and
                            $2.3 billion in income in 2005, The Hartford was ranked 78th on the 2006 Fortune 100
                            list. The Hartford is a leading provider of investment products – annuities, mutual funds,
                            college savings plans – as well as life insurance, group and employee benefits,
                            automobile and homeowners' insurance, and business insurance.

                            Enterprise Commodity Management

                            Enterprise Commodity Management (ECM) is a centralized department that manages
                            various Indirect Spend commodities that The Hartford purchases to support the on-going
                            business. The ECM group is engaged in leveraging the organization’s buying power to
                            obtain goods and services at better terms and conditions over the life cycle of those goods
                            and services. ECM currently has about $220 million in annual spend including the major
                            categories as follows: Staff Augmentation ($75 million), Postage ($75 million), Print
                            Procurement ($35 million), Office Services ($35 million)

Project Title               “Variable Staffing Strategy”
Project Problem or          Opportunity
Opportunity                 Develop an effective Variable Staffing model for The Hartford
(Describe the “value
proposition” for this       Description
project. That is, explain   The Hartford spends more than $200MM annually on Staffing category. Staffing refers to
why it is worth doing.)     hiring people to supplement the manpower needs of the organization.

                            The Hartford would like to conduct an in-depth review of the Staffing spend and its
                            related practices to allow for flexible or variable staffing strategy whereby The Hartford
                            can quickly add manpower to implement projects and reduce staffing when project is
                            completed. The Hartford has four channels through which staffing happens – In-house
                            consultancy services, Contract agency staffing, Offshore and Full-time hire. The Hartford
                            would like to develop an effective variable staffing strategy to determine which type of
                            labor to use among the four channels. Variable Staffing shall be limited to the IT space
                            and shall not include staff augmentation (clerical, admin jobs etc).

Project Objectives          The Hartford would like to explore and develop Variable Staffing strategies to:
(for example, financial
improvements, quality       1.   Create cost savings by streamlining the staffing operations to affect at least 10% of
improvements, supply             the overall spend
chain innovations,          2.   Create an environment for Staffing managers to pick resources from the four
improvements in                  channels based on TCO analysis
customer service).          3.   Reduce the overall cycle time and total cost associated with staffing from the
                                 Contract agencies
                            4.   Develop a decision model for choosing manpower from the four channels

Primary Project             1.   Identify and understand the four channels of spend. This will be done by
Activities/Tasks                 interviewing personnel from The Hartford, and possibly also staffing contractors.
                                 We anticipate that the result will be process maps that describe how staffing is done
                                 through the four channels.
                            2.   Collect and analyze data on the four channels. We will provide the data, and the
                                 analysis will be used along with the results from Task 1 to identify gaps in our
                                 current variable staffing processes, and potential improvements.
                            3.   Based on Tasks 1 and 2, review and standardize job templates and descriptions to be
                                 used as a basis for improving our variable staffing processes. As part of this task,

                            review literature, web resources, and experts to identify best practices for this type of
                       4.   Using your results from Tasks 1 through 3, develop and prototype a Total Cost of
                            Ownership model to allow decision making for variable staffing. We anticipate that
                            this will include a recommended process flow and a prototype spreadsheet analysis
                       5.   Develop a high-level implementation plan for your Task 4 process and tool.

Anticipated            1.   Description of our current process flow for variable staffing.
Deliverables           2.   Analysis of industry best practices
                       3.   Prototype Total Cost of Ownership model
                       4.   Decision process to support improved variable staffing
                       5.   Recommendations for how to put the recommended variable staffing process into

Special Requirements   1.   Non-Disclosure Agreement
for Student Team       2.   Students do need to travel approximately 2-3 times to The Hartford based in
                            Hartford, Connecticut to do interviews, collect data, understand the process flow, and
                            make presentations. Students have the flexibility to start the project early and finish
                            early so that the travel requirement does not affect the school work. For example,
                            students can visit the company during the winter break and spring break.

Company/Division            Honeywell Aerospace – Global Strategic Sourcing
Project Title               Develop a Supply Chain Services tool-kit that will enable sites Honeywell-wide to
                            implement best-in-class supplier service models
Project Problem or          Honeywell International is a diversified technology and manufacturing leader, serving
Opportunity                 customers worldwide with aerospace products and services; control technologies for
(Describe the “value        buildings, homes and industry; automotive products; turbochargers; and specialty
proposition” for this       materials. Honeywell (NYSE: HON) is one of the 30 stocks that make up the Dow Jones
project. That is, explain   Industrial Average and is also a component of the Standard & Poor’s 500 Index.
why it is worth doing.)     Honeywell Aerospace delivers a diverse range of commercial and defense and space
                            products, systems and services across the aerospace industry.

                            Of Honeywell’s over 200 site locations, less that 10% are taking advantage of no or low-
                            cost supply chain services offered by our strategic suppliers. Specifically, Electronics
                            Distributors such as Arrow and Avnet offer consignment programs, bonded inventory,
                            electronic data interchange systems (EDI), in-plant stores, etc., at no or minimal cost to

                            We do not take advantage of these services partly due to the lack of understanding at the
                            site level as to what services are available and what dollar value, part mix, site support,
                            etc. are required for a given supply chain service.

                            With limited site level resources to manage material, using suppliers to drive the supply
                            chain becomes increasingly important. Better supply chain management will lead to
                            significant cost reductions and improvements in cash flow.
Project Objectives          Implementing a Supply Chain Services tool-kit will enable our sites to use supply chain
(for example, financial     services offered by our strategic suppliers at little or no cost leading to:
improvements, quality       1. Significant cost reductions by minimizing broker buy and expedite fees
improvements, supply        2. Significant Cash Improvements due to less material held in Honeywell inventory and
chain innovations,               more material held on consignment by our suppliers
improvements in
customer service).
Primary Project             1.  Work with our 5 strategic electronics distributors to understand what supply chain
Activities/Tasks                services are available, and to identify the business/site attributes required for each
                                service type. Honeywell will facilitate the necessary access to these distributors, and
                                it is anticipated that this activity will requiring interviewing and/or surveying
                                representatives of the distributors.
                            2. Review available literature, web resources, and experts to help assess the advantage
                                and disadvantage of utilizing the various no or low-cost services.
                            3. Assess the needs of Honeywell sites for the various available no or low-cost services,
                                and the types of process changes that would be necessary to take advantage of these
                                services. It is anticipated that this will require interviewing and/or surveying
                                appropriate people at selected Honeywell sites.
                            4. Based on Activities 1 through 3, make develop a tool-kit for Honeywell sites that
                                will guide them to the best supply chain service for their business. It is anticipated
                                that this tool-kit will consist of process descriptions, checklists, and/or spreadsheet
                                tools that can be used at a site to assess the available services, determine which ones
                                should be used, and guide users through the process of obtaining the services.
                            5. As time permits, launch the tool-kit in webinars and through documentation on our
                                internal website.
Anticipated                 1. Assessment of available no or low-cost supply chain services, and their potential
Deliverables                    value to Honeywell sites.
                            2. Stand-alone, documented tool-kit that will enable any site across Global Honeywell
                                to efficiently and effectively choose the best supply chain service for their business.
                            3. As time permits, webinars and website documentation to launch the use of the tool-
Special Requirements        non-disclosure agreement
for Student Team

Company/Division            Jazz Semiconductor / Supply Chain Management
Project Title               Shipping/Transportation Cost Reduction
Project Problem or          Jazz Semiconductor is a pure-play semiconductor wafer foundry that serves customers
Opportunity                 targeting wireless, optical networking, power management, storage, aerospace/defense
(Describe the “value        and other high-performance applications. Headquartered in Newport Beach, California,
proposition” for this       Jazz is a privately held company with over 800 employees and is located at the center of a
project. That is, explain   thriving high-tech region in Newport Beach, California, that includes Conexant Systems,
why it is worth doing.)     Mindspeed Technologies, and Skyworks Solutions with the University of Southern
                            California, Irvine and the John Wayne Airport nearby. Jazz is merging with Acquicor
                            Technology Inc., and further information about the merger and other aspects of Jazz is at

                            With more than fifteen years of expertise operating a world-class certified wafer
                            fabrication facility (ISO9001, ISO14001, ISO 27001), Jazz is well-positioned as a top
                            player in the high-performance foundry marketplace. Our expansive facility occupies
                            100,000 square feet and supports state-of-the-art Class 1 and Class 10 cleanrooms. The
                            foundry is capable of producing more than twenty thousand 8-inch wafers per month and
                            supports the manufacturing of process technologies down to 0.13-micron geometries,
                            while focusing on high performance technologies for mixed-signal and RF applications,
                            such as silicon germanium (SiGe), BiCMOS and RFCMOS, which accompany its
                            industry-standard CMOS offerings.
                            Jazz maintains low-cost manufacturing partnerships in Shanghai, China, with Advanced
                            Semiconductor Manufacturing Corporation (ASMC) and Hua Hong NEC Electronics
                            Co., Ltd (HHNEC), expanding its capacity as well as its process offerings, providing
                            outstanding dual-sourcing. The opportunity for this project relates to material arriving and
                            shipping off to Jazz Semiconductor. The company is currently spending over $1.3 Million
                            a year on shipping costs alone (domestic and international). There is need of a freight cost
                            reduction program that could save the company at least 10%, and we believe this is
                            realistically achievable.
Project Objectives          Project Objectives with Respect to our Supply Chain:
(for example, financial     - Compare company's costs, operations, and services against industry benchmarks to
improvements, quality          find the segments of our logistics services that should be improved
improvements, supply        - Reduce shipping costs
chain innovations,          - Identify hidden costs of transportation
improvements in             - Improve vendor compliance routing guide
customer service).          - Improve shipment visibility, freight tracing, and freight tracking
                            - Monitor carrier performance with respect to time in transit, service failure, and billing

Primary Project             1.   Analyze our shipment activities including: traffic lanes and shipment volumes,
Activities/Tasks                 transportation characteristics of the materials and products that are shipped and
                                 received, and freight terms The information used for this analysis will be from our
                                 internal systems, from interviewing company personnel, or from other publicly
                                 available information (for example, from carriers). This analysis will include:
                                      a. Measure transportation costs, which provide the basis for ongoing rate
                                           analysis and better results in negotiation with carriers.
                                      b. Analyze commodity flows between domestic origins and destinations,
                                           exports between domestic origins and foreign destinations and imports
                                           between foreign origins and domestic destinations.
                                      c. Conduct research on commodity flows and related freight transportation
                                           activities for large items including: chemicals, semiconductor wafers and
                            2.   Clarify appropriate metrics for us to use to assess carrier cost and performance. This
                                 will be based on interviewing company personnel, as well as reviewing literature,
                                 web resources, and experts. This will include assigning weighted values to service
                                 and cost points that are most important to the company to assess service/cost
                                 tradeoffs and help assure that the most appropriate and cost-effective carriers and
                                 other service providers are identified to handle our business.

                       3.     Using the results from Tasks 1 and 2, utilize Supply Chain Management Tools /
                              Methodologies to analyze and identify the best carriers for us to use based on our
Anticipated            -    From Task 1, provide benchmarking analysis that compares shipping rates, discounts,
Deliverables                surcharges and other factors to current competitive standards in each transportation
                       -    Report results to Senior Management, with carrier rankings that show the amount of
                            projected savings that can be realized with each carrier’s services, and provide
                            recommendations for improvements that will reduce cost while maintaining important
                            performance metrics.
                       -    Identify specific areas where rate freight improvements can be made and determine the
                            amount of money the company can potentially save. That is, we are looking for
                            specific recommendations that we can act on.
Special Requirements   -    A non-disclosure agreement must be signed by each student
for Student Team       -    Approximately two trips to Newport Beach, CA, for information collection or
                       -    Students from the following embargoed countries are not eligible to participate on this
                            project: Sudan, Cuba, Iran, North Korea, Syria & Libya.

Company/Division            Motorola, Inc., Integrated Supply Chain
Project Title               Best in Class Direct To Retail Strategies
Project Problem or          With the launch of the RAZR cell phone, Motorola was put on the consumer map as a
Opportunity                 hot, innovative consumer products company. Leveraging this image, Motorola desires to
(Describe the “value        get a closer, more accurate sense of end-customer demand and trends by developing and
proposition” for this       using new channels to market. Primary among these “disruptive channels” is direct-to-
project. That is, explain   retail, which will initially focus on distributing directly to retailers warehouses, but will
why it is worth doing.)     eventually encompass direct-to-store delivery and even direct-to-end consumer delivery.
                            Since Motorola is a relative new comer to direct-to-retail, we would like to understand
                            best-in-class examples of how companies developed and deployed completely new direct-
                            to-retail distribution channels, and strategies, tactics, and organizational alignments used
                            to get best results out of the new distribution channels.
Project Objectives          Increase market share, maximize revenue, and better forecast future demand and trends
(for example, financial     by deploying a successful direct-to-retail distribution channel. For this project, the
improvements, quality       primary focus should be bricks and mortar distribution. If time permits, we would love
improvements, supply        your thoughts on e-commerce based distribution to individual or enterprise end-
chain innovations,          consumers.
improvements in
customer service).
Primary Project             We recognize that this is a broad topic area, and that the project scope may need to be
Activities/Tasks            sharpened to focus on specific project lines or customer classes. We anticipate that such
                            focusing will be done during Activities 1 and 2:
                            1. Gain an understanding of Motorola’s current distribution channels to retail
                                customers. This will be based on a review of written materials provided by Motorola
                                and selected interviewing of Motorola, and possibly partner, personnel.
                            2. Paint the landscape for direct to retail – what categories of companies use this model,
                                which companies have businesses models complementary to Motorola, what are
                                Motorola’s competitors doing in this space. This analysis will be based on literature,
                                web, and other publicly available information, plus any additional more proprietary
                                information that Motorola provides.
                            3. Using your results from Activity 2, define best in class within this space (i.e. is it
                                based on revenue, foot traffic, brand name proliferation…) and identify best in class
                            4. For these companies, research and present their successes and lessons learned.
                            5. Based on Activities 1 through 4, determine recommendations to Motorola as to how
                                best to succeed with the direct to retail business model with a high-level description
                                of the activities that will be necessary to implement your recommendations.
Anticipated                  A set of business case analyses of the direct to retail experiences of other companies.
Deliverables                 A presentation, with supporting documentation, that includes an overview of the
                                direct to retail landscape, an analysis of what it takes to succeed, and
                                recommendations for Motorola.
Special Requirements         Signed non-disclosure agreement (NDA)
for Student Team             1-2 trips to Chicago (one to develop background understanding and meet the
                                Motorola team; and one to present the findings)
                             Regular (probably once every two week) phone conferences with the Motorola
                                Project Champion for status updates

Company/Division            Pulte Homes Inc., and Pulte Building Systems, LLC, Purchasing Department
Project Title               Utilize Manufacturing Resource Planning System (MRP II) Information to Improve
                            Vendor Management at Pulte Building Systems
Project Problem or          Pulte Homes, Inc., (NYSE: PHM), based in Bloomfield Hills, Mich., is a FORTUNE 200
Opportunity                 company with operations in 53 markets and 27 states. In 2005, the company delivered
(Describe the “value        45,630 homes in the U.S. and generated consolidated revenues of $14.7 billion. During its
proposition” for this       56-year history, the company has constructed more than 450,000 homes. Pulte Building
project. That is, explain   Systems (PBS) is one of the nation's largest wood framing and concrete foundation
why it is worth doing.)     companies with extensive operations in Arizona and Nevada. This wholly owned
                            subsidiary provides material and labor for concrete foundations, concrete flatwork,
                            framing and trim for all Pulte houses built in Arizona and Nevada

                            We are currently implementing an Oracle MRP II system within PBS, and there is an
                            opportunity to develop a data-based supplier management system based on this system,
                            and analyze information generated by the system to drive supplier performance and cost
                            reduction initiatives.
Project Objectives          Efficiently utilize new data and capabilities from the MRP II system in PBS to improve
(for example, financial     vendor management, resulting in a significant cost savings estimated to be approximately
improvements, quality       $1 million, as well as optimized vendor performance.
improvements, supply
chain innovations,
improvements in
customer service).

Primary Project             There are a variety of ways that our MRP II system could potentially be used to improve
Activities/Tasks            vendor management. One of the first activities on this project will be to determine
                            potentially high payoff approaches, which will then be analyzed in more detail to provide
                            us with specific actionable recommendations for how we can implement your
                            recommendations. The following set of activities are based on our initial assessment of
                            high payoff approaches, but this is subject to modification as you analyze this
                            opportunities in more detail.
                            1. Review our MRP II system and our current vendor management processes and
                                contracting approaches based on information provided by PBS.
                            2. Assess potential options for using the MRP II system to improve vendor
                                management based on your results from Activity 1, as well as review of literature,
                                web resources, and possibly interviewing experts. We anticipate that potential
                                improvements will be possible in a variety of areas because of our improved ability
                                to forecast needs, track performance, and conduct electronic data interchange. Thus,
                                potential sub-activities under this activity include such things as:
                                a. Develop a negotiating strategy to improve vendor terms given that we can
                                     provide them a superior forecast
                                b. Create an implementation plan to drive major vendors to build EDI interfaces
                                     with PBS
                                c. Design and implement fair, objective supplier performance metrics.
                            3. There are also potential improvements in manufacturing and transportation that could
                                be implemented using the MRP II system. As time permits, or if your initial analysis
                                indicates the potential for high payoff from these improvements, then you can
                                investigate such operational issues as:
                                a. Analyze shipping of wall panels to mitigate the increase in shipping costs due to
                                     going from shipping lumber packages to fully-formed walls
                                b. Generate linear programming model to optimize vehicle loading/routing based
                                     on forecast shipping schedule.
                            4. Based on Activities 1, 2, and 3, develop specific recommendations, including a high-
                                level implementation plan, for ways to utilize our MRP II system to improve vendor
                                management, manufacturing, and transportation, resulting in increased revenues,
                                reduced costs, and improved vendor performance.
Anticipated                 Specific recommendations for ways to utilize our MRP II systems to increase revenues,
Deliverables                reduce costs and improve vendor performance. If potential improvements in

                       manufacturing and transportation are identified and analyzed, then recommendations
                       regarding these will also be delivered.
Special Requirements   Non-disclosure agreement, drug testing. International students may be required to
for Student Team       document that they have a valid student visa.

Company/Division            Raytheon Space & Airborne Systems, El Segundo
Project Title               SAS Logistics Outsourcing Strategy
Project Problem or          Space & Airborne Systems (SAS), the largest business unit within Raytheon with nearly
Opportunity                 $2 billion in revenue for 2005, is currently in the midst of several reorganizations and
(Describe the “value        transformations. Supply Chain Logistics, specifically, has experienced several big
proposition” for this       changes, including the consolidation of multiple warehouses into a single, consolidated
project. That is, explain   distribution center and the outsourcing of the receiving dock to a third party logistics
why it is worth doing.)     provider.

                            Logistics comprises warehousing, trucking, expediting, receiving, packaging, and
                            shipping at manufacturing sites in California, Texas, and Mississippi. Because these
                            various processes are highly integrated with each other as well as with our other supply
                            chain, manufacturing, and engineering processes, it is crucial that any changes to the
                            organization be understood thoroughly and that any negative impacts to Raytheon’s
                            business be minimized or eliminated. Too often decisions to outsource processes are
                            made without adequately determining the total impact to the greater organization. As the
                            Logistics organization moves forward, it is imperative that the company have a robust
                            and well-articulated process for determining which processes should be outsourced and
                            which should be developed in-house.
Project Objectives          The primary project objective is to provide a process/tool for evaluating the costs, risks,
(for example, financial     and opportunities associated with outsourcing various Logistics processes.
improvements, quality
improvements, supply        A successful project will:
chain innovations,              Allow Raytheon to make outsourcing decisions that reduce costs while also
improvements in                    maintaining customer service
customer service).
                                Compare Raytheon to benchmarks for the Aerospace and Defense industry and
                                   best in class companies
                               Reference recent academic literature as well as industry references
Primary Project             1. Understand SAS Supply Chain Logistics at a high level, potentially requiring site
Activities/Tasks                visits to Texas and California
                            2. Perform literature reviews regarding outsourcing of similar processes
                            3. Interview managers at multiple sites
                            4. Perform benchmarking for Aerospace and Defense Industry and best in class
                                companies. Raytheon will provide access to benchmarking information for the
                                Aerospace and Defense Industry, and the team will supplement this with information
                                available from literature, web resources, and experts.
                            5. Develop a cost model to quantify TOTAL impact to Raytheon based on different
                                outsourcing decisions
                            6. Produce a process/tool for evaluating the costs, risks, and opportunities associated
                                with outsourcing various Logistics processes. We anticipate that the team will
                                prototype the tool in Excel and provide a process handbook for how to use the tool.
Anticipated                 - An overview of industry best practices and summary of literature review in related
Deliverables                  industries
                            - A process/tool for evaluating the costs, risks, and opportunities associated with
                              outsourcing various Logistics processes.
Special Requirements        US citizens, Non-disclosure agreement, 2 trips to CA, possible 1 trip to TX & MS.
for Student Team

Company/Division            Temple-Inland/Corporate Supply Chain
Project Title               A Should-Cost Model for Direct Materials

Project Problem or          Company Information:
(Describe the “value        Temple-Inland Inc. (NYSE:TIN) is headquartered in Austin, TX. We are working
proposition” for this       together as one company to create superior and sustainable value for shareholders,
project. That is, explain   customers and employees. We have made significant progress implementing major
why it is worth doing.)     initiatives to lower costs, improve operational efficiency, increase asset utilization and
                            drive return on investment. We are performance-driven, and our goal is to have the
                            highest ROI in our industry.

                            We have four core operations at Temple-Inland - corrugated packaging, forest products,
                            real estate and financial services.

                            Our Corrugated Packaging operation has six containerboard mills and can effectively
                            serve our customers through our integrated - nationwide system of converting facilities.
                            Corrugated Packaging is the largest segment of the paper market.

                            The Forest Products operation manufactures a diverse line of products for new home
                            construction and for repair and remodeling markets. This group manages the company's 2
                            million acres of forestland. Temple-Inland is the largest private landowner in Texas and
                            the fifth largest corporate forestland owner in the U.S. South. The Company's 2.0 million
                            acres of forestland are certified as managed in compliance with ISO 14001 and in
                            accordance with the Sustainable Forestry Initiative Standard of the Sustainable Forestry
                            Board to ensure forest management is conducted in a scientifically sound and
                            environmentally sensitive manner.

                            Temple-Inland's real estate segment, which operates under the name Forestar Real Estate
                            Group, is focused on real estate investment and development activities which include
                            single-family residential, commercial, mixed-use and multi-family housing projects.

                            The Financial Services operation includes two major operations: Guaranty Bank, with a
                            network of over 149 banking centers in Texas and California; and Guaranty Insurance
                            Services, Inc., ranked nationally in the top one percent of independent insurance agencies.

                            Our business philosophy is focused - we are a company on a journey to be the best by
                            consistently exceeding customer expectations, maximizing assets, lowering operating
                            costs and improving efficiency.


                            Temple-Inland total annual spend is $3.5B, of this, approximately $300MM is spent on
                            very strategic, critical direct materials. However, very little is in place for should-cost
                            models. We have limited information about the underlying cost drivers of each of these
                            major direct material categories. This puts us at a great disadvantage when it comes to
                            negotiations, price increase requests from the suppliers, and forecasting. We are more
                            reactive to the markets versus being pro-active.
Project Objectives          Effective should-cost models and increased understanding of the cost drivers for these
(for example, financial     direct materials should drive an additional savings of 1-3% or ~ $3MM-9MM.
improvements, quality
improvements, supply
chain innovations,
improvements in
customer service).

Primary Project        1.   Analyze our current spend data for key direct materials (see list below) using our
Activities/Tasks            data warehouse (spend cube). The team will work with the e-sourcing manager and
                            the commodity manager to obtain the necessary reports and receive training and
                            access to the spend cube so that you can extract the data yourself.
                       2.   Research and identify the cost drivers and related indices for the following direct
                            materials: Urea Formaldehyde Resins, Caustic Soda, Ink, Pearl Starch, Wax,
                            Adhesives, and Specialty Chemicals. Research will consist of consulting internal
                            resources, such as data and subject matter experts, as well as material that we make
                            available to the team via subscriptions and services
                       3.   Based on the results of Tasks 1 and 2, build should-cost models for these specific
                            direct materials. These models will be implemented in an Excel spreadsheet
                       4.   Using the model developed in Task 3, determine the correlation between our spend
                            data and the cost drivers/indices. The primary intent of this task is to identify which
                            direct materials have the highest impact related to cost drivers and volumes and
                            which direct materials have highest potential for possible spend reduction based on
                            the cost drivers/indices.
                       5.   Identify and recommend tools or services that should be used for on-going support of
                            this activity. We will subscribe to trial subscriptions, where relevant, to allow the
                            team to evaluate these service.
                       6.   Interaction of team with key Temple-Inland personnel will include VP of Strategic
                            Sourcing, Director of Sourcing (Direct, Capital, & MRO), e-Sourcing Manager, and
                            Commodity Manager of Direct Material.
Anticipated                Cost driver and related indices identification
Deliverables               Should-cost models for the strategic direct materials
                           Recommendation of how to obtain costing information on an on-going basis – what
                            tools or services should we subscribe to or purchase?
                           Optional if time permits: The executive management reporting that is required for
                            monthly tracking. This would be in the form of charts and graphs using Excel and
                           Optional if time permits: The layout of the information, models, or recommended
                            links for this tracking system that can be published on our Strategic Sourcing web

Special Requirements   Non-disclosure agreement. Approximately two trips to Austin, TX, for information
for Student Team       collection and management presentations.

Company/Division                  VF Corporation (All U.S. Coalitions: VF Imagewear, VF Intimates, VF
                                  Jeanswear, VF Outdoor, VF Sportswear) See “NOTE” below for further
                                  information, about VF Corporation brands.
Project Title                     Free Trade Zone (FTZ) Benefit and Cost Analysis
Project Problem or                VF Corporation (NYSE:VFC) is one of the world’s largest apparel companies.
Opportunity                       For over 100 years, we’ve grown by offering consumers high quality, high
                                  value branded apparel. Our leading brands in jeanswear, intimate apparel,
                                  outdoor and specialty apparel span virtually every channel of distribution.
                                  Our brands are segmented into five coalitions: Jeanswear, Intimates,
                                  Imagewear, Outdoor, and Sportswear.

                                 With the 2006 opening of VF Outdoor’s Visalia, CA distribution center (DC)
                                 (where a capability will be established as a free trade zone facility), coupled
                                 with the very aggressive growth strategy of VF Corporation and the resulting
                                 increasing imports from Asia, there is an opportunity to utilize the free trade
                                 zone (FTZ) in Visalia for benefits of entry processing for the VF Outdoor
                                 coalition and potentially other VF coalitions.
Project Objectives               Our objective for this project is to analyze potential benefits and costs of
                                 utilizing the new Visalia, CA Distribution Center FTZ for entry processing for
                                 the VF Outdoor coalition, and potentially for other VF coalitions.
Primary Project                   Analyze potential benefits and costs of utilizing the new Visalia, CA DC FTZ
Activities/Tasks                  for entry processing:
                                  1. Determine and document U.S. Customs documentation, financial
                                       reporting, and process flow requirements for FTZ processing. This will
                                       be done by reviewing Customs documentation and interviewing VFC
                                       personnel or other experts.
                                  2. Perform a cost-benefit analysis of utilizing the Visalia FTZ for entry
                                       processing for the VF Outdoor coalition. This will require developing
                                       cost and benefit metrics, understanding our current entry processing,
                                       developing possible modifications to this processing based on using the
                                       Visalia FTZ, and assessing the costs and benefits of this relative to the
                                       current processes and other potential alternatives at Long Beach.
                                  3. Examine the opportunity for FTZ/Bonded Entry processing benefits to
                                       other VF Coalitions via Visalia or in close proximity to the LA ports of
Anticipated Deliverables          1. Documentation of all requirements for FTZ entry processing.
                                  2. Benefits and costs of utilizing the Visalia, CA FTZ for entry processing
                                       for VF Outdoor and potentially other Coalitions, including a comparison
                                       with the current processes or other potential alternatives in close
                                       proximity to the LA ports.
Special Requirements for         One site visit to Long Beach, CA, and possibly to our Visalia, CA DC.
Student Team                     Potential on-site meeting with VF Corporate Transportation/Logistics
                                 Management at CA location, or they may visit Phoenix.
NOTE: VF Corporation brands include the following: Jeanswear (Wrangler, Lee, Riders, Rustler, Brittania,
Timber Creek, Chic, Gitano, 20X, Hero, Maverick, H.I.S., Old Axe); Global Intimates (Vanity Fair, Vassarette,
Bestform, Lily of France, Tommy Hilfiger, Curvation, Gemma, Lou, Bolero, Intima Cherry, Variance, Belcor);
Imagewear (Red Kap, Bulwark, Penn State Textile, Horace Small, Lee Sport, CSA, Chase Authentics, NFL Red,
NFL White, VF Solutions, E.Magrath); Outdoor (The North Face, JanSport, Eastpak, Napapijri, Kipling, Vans,
Reef); Sportswear (Nautica, John Varvatos)


To top