1. Advancing Productivity, Innovation, and Competitive Success The Value of the Student Connection to Professionals Robert Vokurka SW District February 12, 2011

2. Advancing Productivity, Innovation, and Competitive Success The Value of the Student Connection to Professionals Perspectives Importance of Talent Industry Need SCM Competency Model SCTAI What Can You Do?

3. Advancing Productivity, Innovation, and Competitive Success Nothing endures but change Heraclitus (ca. 540 - ca. 480 B.C.) Greek philosopher

4. Advancing Productivity, Innovation, and Competitive Success How Old is Grandma? One evening a grandson was talking to his grandmother about current events. The grandson asked his grandmother what she thought about the shootings at schools, the computer age, and just things in general. The Grandma replied, "Well, let me think a minute, I was born before: –television, –penicillin, –polio shots, –frozen foods, –Xerox, –contact lenses, –Frisbees and –the pill.

5. Advancing Productivity, Innovation, and Competitive Success How Old is Grandma? Man had not invented: –pantyhose, –air conditioners, –dishwashers, –clothes dryers, –and the clothes were hung out to dry in the fresh air and –man hadn't yet walked on the moon. Your Grandfather and I got married first-and then lived together. Every family had a father and a mother. Until I was 25, I called every man older than I, 'Sir'- and after I turned 25, I still called policemen and every man with a title, "Sir.'

6. Advancing Productivity, Innovation, and Competitive Success How Old is Grandma? We were before gay rights, computer dating, dual careers, daycare centers, and group therapy. Our lives were governed by the Ten Commandments, good judgment, and common sense. We were taught to know the difference between right and wrong and to stand up and take responsibility for our actions. Serving your country was a privilege; living in this country was a bigger privilege. We thought fast food was what people ate during Lent. Having a meaningful relationship meant getting along with your cousins.

7. Advancing Productivity, Innovation, and Competitive Success How Old is Grandma? Draft dodgers were people who closed their front doors when the evening breeze started. Time-sharing meant time the family spent together in the evenings and weekends-not purchasing condominiums. We never heard of FM radios, tape decks, CDs, electric typewriters, yogurt, or guys wearing earrings. We listened to the Big Bands, Jack Benny, and the President's speeches on our radios. And I don't ever remember any kid blowing his brains out listening to Tommy Dorsey. If you saw anything with 'Made in Japan ' on it, it was junk. The term 'making out' referred to how you did on your school exam.

8. Advancing Productivity, Innovation, and Competitive Success How Old is Grandma? Pizza Hut, McDonald's, and instant coffee were unheard of. We had 5 & dime stores where you could actually buy things for 5 and 10 cents. Ice-cream cones, phone calls, rides on a streetcar, and a Pepsi were all a nickel. And if you didn't want to splurge, you could spend your nickel on enough stamps to mail 1 letter and 2 postcards. You could buy a new Chevy Coupe for $600 but who could afford one? Too bad, because gas was 11 cents a gallon.

9. Advancing Productivity, Innovation, and Competitive Success How Old is Grandma? In my day: –"grass" was mowed, –"coke" was a cold drink, –pot" was something your mother cooked in and –"rock music" was your grandmother's lullaby. –"Aids" were helpers in the Principal's office, –"chip" meant a piece of wood, –"hardware" was found in a hardware store and –"software" wasn't even a word. And we were the last generation to actually believe that a lady needed a husband to have a baby. No wonder people call us "old and confused" and say there is a generation gap... and how old do you think I am?

10. Advancing Productivity, Innovation, and Competitive Success People Just in case you weren't feeling too old today, this will certainly change things. Each year the staff at Beloit College in Wisconsin puts together a list to try to give the faculty a sense of the mindset of this year's incoming freshmen. Here's this year's list (Class of 2014):

11. Advancing Productivity, Innovation, and Competitive Success Feeling Old? The people who are starting college this past Fall across the nation were born in 1988……… Few in the class know how to write in cursive. Email is just too slow, and they seldom if ever use snail mail. Go West, Young College Grad has always implied and dont stop until you get to Asia…and learn Chinese along the way. With increasing numbers of ramps, Braille signs, and handicapped parking spaces, the world has always been trying harder to accommodate people with disabilities.

12. Advancing Productivity, Innovation, and Competitive Success Feeling Older? Had it remained operational, the villainous computer HAL could be their college classmate this fall. John McEnroe has never played professional tennis. Clint Eastwood is better known as a sensitive director than as Dirty Harry. Fergie is a pop singer, not a princess. They never twisted the coiled handset wire aimlessly around their wrists while chatting on the phone. DNA fingerprinting and maps of the human genome have always existed.

13. Advancing Productivity, Innovation, and Competitive Success Feeling Real Old? Doctor Kevorkian has never been licensed to practice medicine. Colorful lapel ribbons have always been worn to indicate support for a cause. Korean cars have always been a staple on American highways. Woody Allen, whose heart has wanted what it wanted, has always been with Soon-Yi Previn. Leasing has always allowed the folks to upgrade their tastes in cars.

14. Advancing Productivity, Innovation, and Competitive Success Feeling Real Old? Unless they found one in their grandparents closet, they have never seen a carousel of Kodachrome slides. Computers have never lacked a CD-ROM disk drive. Theyve never recognized that pointing to their wrists was a request for the time of day. Reggie Jackson has always been enshrined in Cooperstown. Second-hand smoke has always been an official carcinogen.

15. Advancing Productivity, Innovation, and Competitive Success Feeling Real Old? Once they got through security, going to the airport has always resembled going to the mall. Bud Selig has always been the Commissioner of Major League Baseball. Pizza jockeys from Dominos have never killed themselves to get your pizza there in under 30 minutes. American companies have always done business in Vietnam. Russians and Americans have always been living together in space.

16. Advancing Productivity, Innovation, and Competitive Success Feeling Real Old? The dominance of television news by the three networks passed while they were still in their cribs. They may have assumed that parents complaints about Black Monday had to do with punk rockers from L.A., not Wall Street. A purple dinosaur has always supplanted Barney Google and Barney Fife. Having hundreds of cable channels but nothing to watch has always been routine. The U.S, Canada, and Mexico have always agreed to trade freely.

17. Advancing Productivity, Innovation, and Competitive Success Feeling Real Old? Ruth Bader Ginsburg has always sat on the Supreme Court. They have never worried about a Russian missile strike on the U.S. The nation has never approved of the job Congress is doing. One way or another, Its the economy, stupid and always has been. Honda has always been a major competitor on Memorial Day at Indianapolis.

18. Advancing Productivity, Innovation, and Competitive Success Things do not change; we change. Henry David Thoreau (1817-62) American naturalist and writer

19. Advancing Productivity, Innovation, and Competitive Success Its hard for me to get used to these changing times. I can remember when the air was clean and sex was dirty. George Burns American actor and author

20. Advancing Productivity, Innovation, and Competitive Success Technology Adoption InventionDateWidespread Use Button13 th C.400 years Bicycle1818 50 years Telephone1876 35 years Television 26 years PC 16 years ??? ? years

21. Advancing Productivity, Innovation, and Competitive Success Technology Adoption Years to Reach 150,000,000 users Telephone89 years Television38 years Cellphone14 years IPod 7 years Facebook 5 years

22. Advancing Productivity, Innovation, and Competitive Success Products – The Explosion of Choice earlylate Item19701990s Breakfast cereals160340 Pop-tarts 3 29 Soft drink brands 20 87 Colgate toothpastes 2 17 Magazine titles339790 New book titles 40,530 77,446 OTC pain relievers 17141 Frito-lay chip varieties 10 78

23. Advancing Productivity, Innovation, and Competitive Success Technology - When and What? The economy is stuck in the doldrums, thanks largely to the broken promises of technology. Dazzled by seemingly limitless returns, bankers had funded hundreds of companies, all going after the same dubious markets. Heedless, individual investors clamored to get into the stock market, driving share prices to unheard-of levels. Soon the overheated market crashed, turning the new heroes of business into goats and scoundrels. Now, disillusionment reigns, and nobody knows whats going to happen next.

24. Advancing Productivity, Innovation, and Competitive Success Who and When? … Cycle Time –One of the most noteworthy accomplishments in keeping the price of our products low is the gradual shortening of the production cycle. The longer an article is in the process of manufacture and the more it is moved about, the greater is its ultimate cost. Process Improvement –Our own attitude is that we are charged with discovering the best way of doing everything, and that we must regard every process employed in manufacturing as purely experimental.

25. Advancing Productivity, Innovation, and Competitive Success Who and When? Quality –We shall never reach the point where we cant improve. –… which incidentally proves that there is nothing incompatible between quality and mass production. Factory Focus –We believe that no factory is large enough to make two kinds of products.

26. Advancing Productivity, Innovation, and Competitive Success When? … Quality Purchasing –Too often the question of price is the determining factor in buying. Little consideration is given to other phases of the transaction. The buyer must consider price and quality together. For ones special and particular needs, the highest quality may be the cheapest. Profit Purchasing –This country has traditionally solved the problem of getting more profit by making more sales. Conservation of natural resources and competition have forced a realization. An increase in advertising and marketing will not increase profits in proportion to the increase in expenses; hence, the need for reducing costs.

27. Advancing Productivity, Innovation, and Competitive Success When? Strategic Purchasing –The purchasing department makes a large proportion of the expenditures for a business. The success of a business is a function of the amount of thought given to this department and the judiciousness with which the purchases are made. The success or failure of a business may be the direct result of good or bad buying. Just-in-Time Purchasing –The buying function should furnish the goods and materials at the time and in the quantity required. Buying at inopportune times or in excess of requirements is liable to entail severe losses. An accumulation of goods and suppliers beyond what is required means the following losses are incurred: depreciation, insurance, value of space occupies, and loss of interest on investment.

28. Advancing Productivity, Innovation, and Competitive Success That which hath been is that which shall be; and that which hath been done is that which shall be done; and there is no new thing under the sun. Ec 1:9

29. Advancing Productivity, Innovation, and Competitive Success To change and improve are two different things. German proverb

30. Advancing Productivity, Innovation, and Competitive Success Good to Great Jim Collins (Built to Last - 2004) Eleven pairs of companies –Abbot – Upjohn –Circuit City – Silo –Fannie Mae – Great Western –Gillette – Warner-Lambert –Kimberly-Clark – Scott Paper –Kroger – A&P –Nucor – Bethlehem Steel –Philip Morris – R.J. Reynolds –Pitney Bowes – Addressograph –Walgreens – Eckerd –Wells Fargo – Bank of America

31. Advancing Productivity, Innovation, and Competitive Success Good Results to Great Results First Who … Then What –We expected that good-to-great leaders would begin by setting a new vision and strategy. We found instead that they first got the right people on the bus, the wrong people off the bus, and the right people in the right seats --- and then they figured out where to drive it. The old adage People are your most important asset turns out to be wrong. People are not your most important asset. The right people are.

32. Advancing Productivity, Innovation, and Competitive Success First, Break All the Rules Subtitled: What the Worlds Greatest Managers Do Differently (1999) Marcus Buckingham and Curt Coffman Sequel: Now, Discover Your Strengths Based on in-depth interviews by the Gallup Organization Over 80,000 managers in 400 companies

33. Advancing Productivity, Innovation, and Competitive Success What Great Managers Do Select for Talent –Select the person Define the Right Outcomes –Set expectations Focus on Strengths –Motivate the person Find the Right Fit –Develop the person

34. Advancing Productivity, Innovation, and Competitive Success Good people will make any organizational structure work. John G. Breen

35. Advancing Productivity, Innovation, and Competitive Success Supply Chain Management 2010 Research project supported by APICS E&R Foundation, Michigan State University, and SAP Where the field was expected to be in the next 4-5 years, then gaps that needed to be filled

36. Advancing Productivity, Innovation, and Competitive Success Major Gaps Strategic visibility and alignment Talent management and leadership Supply chain models including optimization, risk, and cost Process measures including measures, information, and integration Relationships and trust Supply chain architecture and structure

37. Advancing Productivity, Innovation, and Competitive Success Talent Management and Leadership There is a need to develop competency models for the types of talent that [are] needed now and into the future. Previous talent needs were more functional in nature, requiring training in a specific discipline. Supply chain employees are now needed who are more generalists and can integrate with various disciplines. Today, there is a lack of sufficient supply chain graduates and demand outstrips supply. There are insufficient ties between industry and educational institutions to foster the development of talent. Finally, there is a dearth of student (at the undergraduate, graduate and doctoral levels) and faculty internships to provide a training ground and experience base. There are too few students who understand strategic SCM. There are far too few faculty [members] who can teach strategic SCM.

38. Advancing Productivity, Innovation, and Competitive Success AMR Research, Inc. Investments in AMR Supply Chain Top 25 would achieve investment returns far in excess of DJIA (2008) Found firms faced a giant obstacle in achieving the goal –Shortage of trained SCM professionals at all levels

39. Advancing Productivity, Innovation, and Competitive Success State of Supply Chain Education Many firms struggle to find managers capable of executing strategies and creating value across organizational and national borders (2009) We can find great entry-level peoplethe ones with strong functional skills. But finding people who can bring everyone together to work as a cohesive team is a real challenge. Theyre just not out there.

40. Advancing Productivity, Innovation, and Competitive Success MIT Center for Transportation & Logistics A critical shortage of supply chain talent is looming at a time when the demands on the profession have never been greater. Supply chain has become a pivotal corporate function in a world where markets change with unprecedented speed and companies are expanding in unfamiliar territories. As well as proving the tactical know how that enterprises need in the competitive environment, the supply chain is increasingly being called upon to contribute strategic expertise. But this wider role requires skills that are in short supply, and there is an urgent need to build a more effective talent pipeline (October 2010).

41. Advancing Productivity, Innovation, and Competitive Success SCM Competency Model APICS 2009 Future Leaders Competency model using model used by the U.S. Department of Labor Released late in 2009 Materials Manager Competency Model - 2010

42. Advancing Productivity, Innovation, and Competitive Success SCM Competency Model

43. Advancing Productivity, Innovation, and Competitive Success SCTAI The Supply Chain Talent Academic Initiative (SCTAI) is an international not for profit consortium of industry, academia, and professional associations with a mission to increase the depth and breadth of the global supply chain talent pool by: 1.Identifying industry competency requirements for supply chain talent, and providing forecasts of those requirements for university program planning. 2.Assisting universities and other educational institutions in building programs to meet those requirements by providing material and other collateral. 3.Marketing the supply chain profession as a career of choice.

44. Advancing Productivity, Innovation, and Competitive Success The Problem Supply Chain Management has an Identity Crisis

45. Advancing Productivity, Innovation, and Competitive Success Supply Chain: Not a Well Defined or Recognized Career 45 Audiologist Biomedical equipment technician Clergy Curriculum/training specialist Engineer Firefighter Fundraiser Genetic counselor Ghostwriter Government manager Hairstylist/Cosmetologist Health policy specialist Higher education administrator Landscape architect Librarian Locksmith/Security system technician Management consultant Mediator Occupational therapist Optometrist Pharmacist Physical therapist Physician assistant Politician/Elected official Registered nurse School psychologist Systems analyst Urban planner Usability/User experience specialist Veterinarian Top Jobs for 2009 - Fast Company 1. Nursing & Medical Services 2. Computing & Engineering 3. Education 4. Green Jobs 5. Energy 6. Infrastructure 7. The New Finance 8. Self-Employment & Small Business 9. Retirement Reconsidered 10.Telecommuting Occupational Outlook Handbook, 2010-2011 Edition (DoL) Material moving occupations Motor vehicle operators Office & Administrative: Material recording, scheduling, dispatching, and distributing The 30 Best Careers for 2009 – U.S. News's annual list of 30 Best Careers

46. Advancing Productivity, Innovation, and Competitive Success Problem Statement Most university students do not realize SCM careers and programs are available until their sophomore or junior year Secondary school counselors do not realize SCM as a field of study and career Department of Labor does recognize SCM as an occupation No common industry definition of SCM Supply and demand of SCM talent is not aligned Hence, university SCM graduates are unprepared for day one success in their new jobs 46

47. Advancing Productivity, Innovation, and Competitive Success Supply Chain Management Career Path Models 47 How would you represent the field, functions, and roles of Supply Chain Management? Under discussion: How do we package a simplified model for students? Whats missing? How do we standardize terms and titles? DRAFT

48. Advancing Productivity, Innovation, and Competitive Success 2010 Student Research Qualtrics on-line survey Undergrad (78%) and graduates (22%) March – October 2010 435 Responses 20 Universities

49. Advancing Productivity, Innovation, and Competitive Success 2010 Student Research Who was the first person to tell you about Supply Chain Management? (n=427) –34% - professor, only 8% high school counselor –19% - college career advisor –18% - family member –21% - other (work colleague, friend, other student) What did they say that influenced your decision? (n=95) –Career opportunities and in demand (over 75%) –Breadth of role

50. Advancing Productivity, Innovation, and Competitive Success 2010 Student Research Why did you choose SCM as a major? (n=427, Σ=1479) –Matched my strengths = 283 (66%) –Long term career opportunities = 251 (59%) –Current job availabilities = 239 (56%) –It is different = 169 (40%) –Professors influence = 139 (33%) –Family member recommendation = 84 (20%) –Fellow students influence = 64 (15%) –Career services advice = 64 (15%) –Co-worker/mentor = 20 (5%) –Other (reputation- internal & external, choice available, experience, more interesting than accounting!) = 33 (8%)

51. Advancing Productivity, Innovation, and Competitive Success 2010 Student Research Why have you chosen to stay or switch to SCM major? (n=409, Σ=1379) –69% - Internship and career opportunities –60% - Reputation of college SCM program –47% - Professors –38% - Available options –35% - interaction with SCM professionals –28% - Challenging coursework –16% - Peers in program – 8% - Available student organizations – 6% - Other (hard to switch, easy coursework, new major)

52. Advancing Productivity, Innovation, and Competitive Success 2010 Student Research When did you decide to follow a supply chain major? (n=409) –78% - Once at university 53% - During second or third year at university 19% - During first year at university 4% - At start of final year at university 2% - during internship –11% - During job (graduate students) – 6% - Before leaving high school – 5% - Just sort of fell into it

53. Advancing Productivity, Innovation, and Competitive Success Completed Actions Industry Supply Chain Talent Survey (SCTAI sponsored initial survey, and AMR sponsored follow-on research) Survey results articles, conference presentations, and webinars Establish network infrastructure on LinkedIn Establish information website on Supply Chain Council web RFQ for SCM simulation for college tuition grant competition Sponsorship and exhibit at American School Counselor Association (ASCA) annual conference in July 10 Marketing to high-impact ASCA regional chapters

54. Advancing Productivity, Innovation, and Competitive Success Completed Actions Survey university students as to when and how they learned about, and why they entered SCM programs Establish as a project under APICS E&R Foundation 501(c)(3) Engage key professional associations APICS The Association for Operations Management Council of Supply Chain Management Professionals (CSCMP) Institute for Supply Management (ISM) Supply Chain Council (SCC)

55. Advancing Productivity, Innovation, and Competitive Success In-work Actions Development of SCM model and competency set for use in marketing and education (includes I.P. contributions from APICS, CSCMP, ISM, and others) Development of high school counselor information kit for local deployment by industry and professional associations Contract for development and management of SCM simulation game for scholarship competition Joint industry, university and professional association symposiums Webinars and web-based round table events

56. Advancing Productivity, Innovation, and Competitive Success Web site: www.supply- chain.org/groups/talent/committeewww.supply- chain.org/groups/talent/committee LinkedIn Group: http://www.linkedin.com/e/vgh/1261977/ http://www.linkedin.com/e/vgh/1261977/ e-mail: sctai@supply-chain.orgsctai@supply-chain.org

57. Advancing Productivity, Innovation, and Competitive Success We make a living by what we get, we make a life by what we give. -Winston Churchill

58. Advancing Productivity, Innovation, and Competitive Success What You Can Do Contribute to the future of your career –Expand your personal network –Post and pray –Reverse mentoring Contribute to the future of the profession –Industry need Contribute to the future of APICS –Future members and LEADERS

59. Advancing Productivity, Innovation, and Competitive Success Thirty Years Makes a Difference 1970s: Long hair Now: Longing for hair 1970s: KEG Now: EKG 1970s: Acid rock Now: Acid reflux 1970s: Moving to California because it's cool Now: Moving to California because it's warm 1970s: Growing potNow: Growing pot belly 1970s: Killer weedNow: Weed killer

60. Advancing Productivity, Innovation, and Competitive Success Thirty Years Makes a Difference 1970s: Seeds and stems Now: Roughage 1970s: Hoping for a BMW Now : Hoping for a BM 1970s: Going to a new, hip joint Now : Receiving a new hip joint 1970s: Rolling Stones Now : Kidney Stones 1970s: Being called into the principal's office Now : Calling the principal's office

61. Advancing Productivity, Innovation, and Competitive Success Thirty Years Makes a Difference 1970s: Screw the system Now : Upgrade the system 1970s: Disco Now : Costco 1970s: Parents begging you to get your hair cut Now : Children begging you to get their heads shaved 1970s: Passing the drivers' test Now : Passing the vision test 1970s: Whatever Now : Depends

62. Advancing Productivity, Innovation, and Competitive Success Be the change you want to see in the world. Gandhi

63. Advancing Productivity, Innovation, and Competitive Success Thank you for being a part of APICS!