Institute of Industrial Engineers. 2007-08 Annual Report Institute of Industrial Engineers 2007-08 Annual Report May 2008 Ken Musselman Don Greene President Executive Director 2007-08 was a very good year for IIE. This will simply be an overview.

Vision To be the premier organization that advances, promotes and unites the industrial engineering profession globally It all starts with the association’s Vision. The Vision focuses on the industrial engineering profession. IIE has a broad vision, choosing to serve industrial engineers in every niche, as well as those professionals who are doing IE work (IE-types) The Vision also has a Global component. It’s important to recognize that IIE serves the growing industrial engineering community worldwide.

Strategic Plan “A Framework for Success” Image of the IE Profession Academic Involvement Industry Participation Education, Training & Knowledge International Presence Network of Effective Volunteers Over the last two years, IIE has developed and implemented a new Strategic Plan. The work was led by the BOT in partnership with key staff leaders. Through this process, the group defined six strategic areas of focus. You see them listed on this slide. The plan is very operational in nature, with a multitude of activities supporting these our goals in these six areas. IIE structures its operation and organization around these six areas. Basically, IIE is working the Plan…and it is leading to success.

Measures of Success Image – IE Bachelors Degrees Academia – Professor IIE Members Industry – Industry Touches Education – People Days International – Non-US Website Hits Volunteers – # of Active Volunteers IIE has defined metrics of success in each of the six strategic areas of focus. You see listed some of the most visible measures.

Website Applications www.iienet.org Improved Image ▪ Webcasts Digital Publications ▪ Banner Ads Career Center ▪ Blogs Spanish Translation IIE recently redesigned it’s website. Response has been extremely positive from members and customers. The new site is having a positive impact on the association’s image. The improved capabilities of the site are also providing IIE with many opportunities to improve customer service. Items such as digital publications and webinars are proving to be valuable to our members and customers. Digital publications are often the cornerstone of corporate membership packages due to the flexibility they provide in costs and delivery. They are also an important tool in international outreach. One way IIE remains current and relevant with its younger members is through the introduction and use of IIE blogs as a means of communicating. They are really taking off and getting widespread usage. IIE also has the capability of translating many of the pages into Spanish. The association is investigating expanding this service and other language translations. The website is proving to be an excellent way of reaching the profession. www.iienet.org

Corporate Alliances Building Relationships Corporate Training Membership Industry Advisory Board Employment Assistance Flexible Models Success at Many Companies Another of IIE’s defined areas of strategic focus is industry relevance. This year, IIE continued to have success in building corporate alliances with many companies. These alliances are flexible, by design. IIE strives to deliver what the company needs. In many cases, this includes a training package. IIE has had very strong growth in its corporate training offerings the past few years. In some cases, companies are seeking corporate memberships, group discounts to conferences, publications, and other services. The most public success has been an alliance with Boeing, but there are many others that take different approaches. IIE is talking with several other companies about their interests and how to best meet their needs.

CIE and CIEADH IERC Development & Support Sponsorship of Events Enterprise Management Forum Strategic Direction & Operational Input Partnership – CIEADH/CIE/IIE Two groups that IIE has had a close relationship with for many years are the Council on Industrial Engineering and the Council of Industrial Engineering Academic Department Heads. Both groups are working successfully on various initiatives. CIEADH continues to lead the development of the successful and growing IE Research Conference. This is proving to be a key service for many in the academic community, and IIE took steps to be more responsive to their needs this year. Additional improvements are planned for the future. CIE co-sponsors the Enterprise Management Forum. They had very positive and progressive meetings this year, and continue to provide IIE with strategic direction and leadership. IIE successfully strengthened its partnerships with both of these groups this year.

Conferences Annual Topical Focused Growth 1,300 Attendees SHS – Successful AEC – Growing Lean – Changes are Planned for Improvement IIE manages four conferences. These conferences have been relatively successful in recent years. The Annual Conference in Nashville was well attended and blended the research community, industry and IE students. The SHS Conference in Orlando in February 2008 was successful. The Applied Ergonomics Conference made some dramatic changes in its offering with new leaders and new topics in its program. In addition, the Ergo Cup grew again in 2008. These changes led to a successful conference, with modest growth from the past 2 years. The Lean Conference is struggling somewhat. Attendance is not growing. IIE is making some changes in 2008. The event will move to Minneapolis. It will also be re-titled and refocused in an effort to differentiate it from the multitude of Lean training events. The event will be the Operations Excellence Conference in 2008, reaching out to new markets.

Honors & Awards Increased Awards to Industry Distinguished Achievement Captains of Industry, Medallion, Fellow Accenture, DuPont, Disney, FedEx, Philips, Subaru, NAVSEA Increased Scholarship Offerings IIE set a goal to increase the industry presence in its honors and awards program. IIE has been very successful in this effort over the past 2-3 years. IIE has generated renewed interest and enthusiasm for the Captains of Industry Award, as well as the Medallion and Fellow Awards. You see listed the names of just some of the companies whose representatives have won awards in 2007 and 2008. In addition, IIE increased its solicitation for scholarships, resulting in two new scholarships. Recently, the Presidents Scholarship and the Hal & Inge Marcus Scholarship were created.

Flexible Membership Market-Driven Value-Driven International and Corporate Members Serving the Profession Redefining the Term “Member” New Service Delivery Capabilities IIE is always considering its business model. For almost 60 years, the Institute has practiced the “one-size-fits-all” for most of its members and customers. IIE now has capabilities that enable them to deliver much more flexible packages. The membership packages delivered so far are just the tip of the iceberg of what can and will be done in the future. The keys are to be market-driven – deliver only what the customer needs and wants; And to be value-driven – price the service based on its value to the end user. International and corporate members are two areas that are targeted as high potential growth areas. In the end, the term, “member” may be redefined. Different members may receive different arrays of products and services that meet their needs. This process is at an early stage. This will be a key initiative in the coming year.

Regional Service Delivery NLC Managed and Driven Regional Support Improved Member Service Networking & Training Better Use of Resources Piloted in Western Region and Implemented More Fully in 2007-08 Over the past 18 months, IIE has worked to address the matter of member service from senior chapters. Many chapters do not provide a great deal of service to members. The root of many of the problems is a lack of critical mass – among members and leaders. The NLC and IIE staff developed a model to provide regional support and service to members who are poorly served by chapters. This will result in a more effective use of resources: volunteer as well as staff time, in addition to financial resources. Most importantly, it will yield improved service to IIE members. The implementation has gone relatively smoothly. It is very volunteer-driven. Basically, we want to enable and facilitate networking, not force it. Will continue through the NLC in the coming year in this process.

Latin American Office Opened in June 2007 in Monterrey First Satellite Office in IIE History Student Membership Growth Service Opportunities 2010 Annual Conference in Mexico One of the most significant accomplishments for IIE in 2007-08 was the opening of the Latin American Office in Monterrey, Mexico. This is the first time in its history that IIE has had a second office. The international strategy is based on realistic outreach. There is a strong base of student members and chapters in Mexico. IIE has experienced significant growth throughout Latin America in its student membership. This office provides a basis to take advantage of the many opportunities for expanded service throughout Latin America. Current plans are to hold the 2010 IIE Annual Conference in Cancun, Mexico.

Brand Analysis Institute of Industrial & Systems Engineers Encompass Breadth Broaden Appeal Gathering Input Membership Vote Required IIE is considering a name change that will expand the Institute’s brand. In August 2007, the Board of Trustees discussed changing the name to the Institute of Industrial & Systems Engineers. Since then, IIE has sought the input of many stakeholder groups. This effort is continuing with many public discussions at the Conference, including a Town Hall Meeting at the Annual Conference. Basically, the Institute is attempting to encompass the breadth of the profession while broadening our appeal to the many professionals doing IE-type of work. Ultimately, a vote of the membership will be required to change the association’s name.

Foundation for Success Focus on Serving the Profession Serve the Growing IE Community Broaden IIE Reach Change the Institute’s Business Model Concentrate on Six Strategic Areas Measure our Progress This year, IIE has continued in its mission to focus on serving the profession of industrial engineering. The profession of IEs and IE-types is rapidly growing, worldwide. The focus as an association is to meet the needs of this emerging global community. This is being accomplished by concentrating on the six strategic areas that the Board and staff have defined. IIE has a good Plan, and it is yielding prominence, stability and growth. The organization is on the right path and properly focused. In 2008 and beyond, IIE will continue to reach out to new markets with innovative products and strategies. The association is building a strong foundation for future success.

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