1. ©MIT jrice@mit.edu ISCM Sponsor Meeting October 16, 2002 James B. Rice, Jr. Director - Integrated Supply Chain Management Program Massachusetts Institute of Technology

2. ©MIT jrice@mit.edu Today’s Agenda Recap February Key Contact Planning Meeting Choices Recap August AudioConference Update Review progress on SC Response to Global Terrorism GT Team - Deena Disraeli, Don Lowtan, Federico Caniato, Jonathan Fleck, Jim Rice, Yossi Sheffi (unavailable today) Introduce SC Partners Program Jonathan Fleck Program Planning Jim Rice Adjourn @ 5:30 pm Dinner at MIT Faculty Club Kickoff Auto-ID Event

3. ©MIT jrice@mit.edu Recap February Key Contact Meeting Developed plans for 2002 Events Identified dates, locations Research Funding for Yossi Sheffi & SC Response to Global Terrorism Began ‘Harvesting Discussion’ Harvesting is at the heart of sponsors leveraging benefit from investment in our work Financial Plans Group agreed to the need for additional funding from new sponsors

4. ©MIT jrice@mit.edu Harvesting Discussion Initiated by Jim Kellso of Intel Recognized as important topic for the entire group Harvesting represents the process for the ISCM sponsors to take the learnings from our research and exchange and apply them within the sponsor firms IEEE Harvesting Paper Authored by Joe and Jim “A Job Fit For Evel Knievel: Jumping the Canyon of Academia-to-Industry Knowledge Transfer” What are the known best practices for harvesting? From research investments From events From exchange with other sponsors/companies Consider new ways to harvest using technology (WebEx, NetMeeting?)

5. ©MIT jrice@mit.edu Harvesting Research We need a quorum to have a meaningful discussion about this topic We will plan time for this at the next ISCM event See following slides for reference back to the origins of the discussion This topic gets at the heart of ISCM and the potential value for sponsors Basically, how can our sponsors and ISCM harvest the research learnings for application?

6. ©MIT jrice@mit.edu Harvesting: Meeting Comments Want to change the way that the company does business based on what we learn here (from the research and events) Have had to ‘go underground’ to do the work without the support of the business unit, but the results are not supported How can we get the results embedded into the company? Some suggestions: Recognize that the research can create some ideas that are part of an evolution (JRo) Have Charlie Fine do a Clockspeed session to lead the change (JB) Create a ‘Strategy to action’ team that studies and plans how to move good ideas into execution (JK) Identify the purpose and objectives of the research, use that to drive how the learnings are built into the business (JK) Success that previous key contact created at Intel was by enlisting support from non-SBU personnel (JK) Corporate organization leads with investment, provide incentives ($, resources) for SBUs to adopt it (BS)… ‘resource sharing’ Corporate maintains some standard processes and expectations that should be followed by SBUs, if not penalties are assessed (JB) Have researchers make site visits (BS) Engage the SBUs by giving them input to direction-setting, provide corporate resources that are made available to SBUs to utilize the research… (BS, RM) Obstacles – no single business owner, there are many parties involved, research not involved with ‘today’s solution’

7. ©MIT jrice@mit.edu Recap August AudioConference Update Update some changes at the Center Center name and leadership ISCM Director Role Change New initiatives SC Education Partners SC Response to Global Terrorism Research Project

8. ©MIT jrice@mit.edu Changes at our Center New name: Center for Transportation and Logistics Center for Transportation Studies did not reflect breadth of our work in logistics and supply chain It only took 10 years! New leadership Now have two Co-Directors Prof. Yossi Sheffi Prof. Cindy Barnhart Yossi will be on sabbatical 9-02 through 6-03 in the UK Impact of these changes? Limited direct impact on ISCM Name change communicates our focus more effectively, potentially making ‘marketing’ more productive

9. ©MIT jrice@mit.edu Changes for ISCM Jim Rice will take on running APIL in addition to ISCM APIL – Affiliates Program in Logistics: a CTL consortium that hosts a series of executive educational events for members ISCM and APIL will share some common events May ISCM event was an example of this 1 day with ISCM and APIL sponsors, 1 day with ISCM only ISCM will have some completely separate events Impact on ISCM? ISCM Director’s work is more coordination, less personal research Cost of Director now shared with APIL, meaning more funds to support ISCM research But we still need to build the base funding level

10. ©MIT jrice@mit.edu SC Response to Global Terrorism

11. ©MIT jrice@mit.edu SC Response to Global Terrorism ISCM agreed to fund this work Pending available funding Work To-Date Largely started late summer, fast start Sept. 1 SC Response to GT Team started up early Sept., 2002 Focusing on response from Government, Risk Mgt/Insurance Industry, Corporations, and learning from past disasters In progress of developing ‘Situation Scan’ to be completed end of Oct. 2002 Today we share our work in-progress and solicit input and feedback Next steps Develop refined research questions to penetrate Identify methodology to utilize in various domains

12. ©MIT jrice@mit.edu SC Response: Researcher Updates Deena Disraeli Government Response Don Lowtan Risk Mgt and Insurance Industry Response Federico Caniato Corporate Response Discussion

13. ©MIT jrice@mit.edu ISCM Program Planning

14. ©MIT jrice@mit.edu ISCM Program Planning 2002 Events Dec. 4 – ISCM Key Contacts Planning Meeting Dec. 5 – SC Response to Global Terrorism Symposium Dec. 6 – SC Response to GT Initiative Discussion 2003 Preliminary Planning ISCM Meeting at Intel in 1Q 2003? Clockspeed Project Communications Industry Roadmap Initiative New Case Requests Search for opportunities Review your SC issues… a la Monsanto Seed

15. ©MIT jrice@mit.edu Dec. 5 Symposium: SC Response to GT Three sections Situation Scan Government Response Corporate Response Speakers include MIT MIT President Chuck Vest, Prof. Yossi Sheffi (CTL), MIT Institute Prof. John Deutch (ex-CIA chief), Prof. Richard DeNeufville (Sloan, Real Options & SC Design) Industry Steve Lund – Intel Corporate Security Americas Bob Bergstrom – UPS VP Government & Others Invited include Commandant of US Coast Guard, CEO BT Wholesale, EAD FBI Counterterrorism Division, Director of National Infrastructure Protection Center, Director of US Customs

16. ©MIT jrice@mit.edu 2003 Preliminary Planning 1 st Quarter Meeting Plans Dates, Venue, Topic Balance of 2003? Dates, Topics Theme for 2003? Research Projects to Engage SC Response to Global Terrorism Clockspeed Seeking new sponsor cases

17. ©MIT jrice@mit.edu Program Planning Reference Slides

18. ©MIT jrice@mit.edu Events – Evolution of process & purpose 1995-1997 Focused on learning about the sponsor supply chains (supply chain reviews at sponsor sites) 1998 Shifted to theme-based, topic-focused (plan, make, source, deliver) events targeted to non-supply chain groups Focused on sharing learnings among sponsors, identifying best practices on several supply chain topics 1999 Shifted to topic-focused events on mixture of supply chain and business management topics, leverage events with other MIT consortia and research groups, open discussion sessions No central theme identified, sponsor-driven event topics 2000-2001 Events and audioconferences to balance travel & interactions Heavier emphasis on research

19. ©MIT jrice@mit.edu 2002 ISCM Event Schedule February 5-6 ISCM Key Contact Planning Meeting 2001 Research Review and 2002 Research/Event Planning May 20-21Joint ISCM & Affiliates Program in Logistics Symposium “New Era of Customer Service Management” May 21-22ISCM Research Review and Best Practices Collaborative Meeting at MIT October 16-17Joint ISCM & Affiliates Program in Logistics Symposium “Auto-ID Technology: Defining Logistics Applications” December 3-4ISCM Key Contact Planning Meeting 2002 Research Review and 2003 Research/Event Planning December 5Joint ISCM & Affiliates Program in Logistics Symposium “Supply Chain Response to Global Terrorism”

20. ©MIT jrice@mit.edu 2002 ISCM Support Activities Schedule January 9-10Affiliates Program in Logistics Symposium “Dynamic Pricing in the Supply Chain” August 22ISCM AudioConference – ISCM Sponsors Program Update December 12Guest Speaker Symposium Warren Bennis MIT

21. ©MIT jrice@mit.edu 2001 ISCM Event Schedule February 1ISCM Best Practices Collaborative Meeting at MIT “Innovations in Sponsor Supply Chains” February 2Joint ISCM - Leaders for Manufacturing Program at MIT LFM Intern Research Knowledge Review June 19-20 eClockspeed Research Visit to Helix (Prof. Charlie Fine) ISCM Exchange Meeting & Research Review at MIT Oct. 30 “Innovations in Supply Chains” ISCM Event Hosted by P&G, Cincinnati, Ohio (P&G’s Consumer Innovation Center) Oct. 31sClockspeed Research Visit to P&G Prof. Charlie Fine & Customer Service Supply Chain

22. ©MIT jrice@mit.edu 2001 ISCM Support Activities Schedule February 20ISCM AudioConference Review of Innovations by ISCM Sponsors (Intel) March 1Clockspeed Research Visit to Siemens Prof. Charlie Fine May 14Supply Network Coordination Symposium Sponsored by KLICT Research – The Netherlands May 15ISCM AudioConference Prof. Ellen Christiaanse – Univ. of Amsterdam “From Static Supply Chains to Dynamic Supply Webs” Nov 2ISCM AudioConference “Global Terrorism and the Impact on Supply Chain Mgt” Prof. Yossi Sheffi, Prof Barry Posen, and Dr. Jonathan Byrnes

23. ©MIT jrice@mit.edu 2000 ISCM Event Schedule January 27-28“Managing Change in the Supply Chain” and Leaders For Manufacturing (LFM) Knowledge Review June 12-13“Future of Supply Chain, E-Business and the Internet ISCM Event Hosted by Intel, Chandler, Az. (Fine - MIT, Lee - Stanford, Cohen - Wharton) Sept. 13-15 ISCM Research Review and Workshop Research Colloquium with LFM Nov. 28-29ISCM 2001 - Program Planning Sponsor Key Contacts & MIT Researchers

24. ©MIT jrice@mit.edu 2000 ISCM Support Activities Schedule February 15ISCM AudioConference ‘eClockspeed’ Project Planning – Prof. Charlie Fine April 18ISCM AudioConference “Smart Practice Knowledge Network” – Lucent Tech. “Fireball Initiative” – P&G June 1Research Visit to P&G – Prof. Charlie Fine June 5Research Visit to Lucent – Prof. Charlie Fine October 17ISCM AudioConference Dr. Fred Hewitt – MIT CISR “Why Demand Pipelines are better that Supply Chains”

25. ©MIT jrice@mit.edu Consortia Current Best Practices Take active role giving input on deployment of Director Deploy to meaningful work that sponsors desire Play a role in recruiting Peer companies Suppliers, customers, service providers Provide contacts, introduce to other party, identify a desirable outcome from having the other party join ISCM Engage broad set of parties at your firm Participation in ISCM events Participation in ISCM research Connect with and explore possibilities with researchers