© The Delos Partnership 2007 page 1 Vision and Strategy Workshop Development of Vision 2010 for Land Instruments – the start of a Journey

© The Delos Partnership 2007 page 2 10 January, January, January, WHAT IS OUR VISION? We have a responsibility to our customers, our shareholders and our employees to deliver growth, profitability and productivity whilst being agile enough to meet the needs of the market place. We must nurture, develop and inspire our people.  By 2010 we must be planning to deliver £50m FY Sales  By 2010 we must be delivering world class customer service  By 2010 we must have a lean thinking organisation  By 2010 we must have a technically harmonised business  By 2010 we must have a complete people and communications focus In the next 12 weeks we must develop our vision, adapt it visually, communicate it to the workforce and produce a detailed plan to make the vision a reality.

© The Delos Partnership 2007 page 3 Your expectations ? This workshop will be valuable if ….. Discuss and present back in groups what your expectations are of this workshop.

© The Delos Partnership 2007 page 4 The plan for the workshop 1.Start to understand the journey, and begin to form the team 2.Build a vision and a strategy as a team 3.Put together a plan to communicate the vision and strategy

© The Delos Partnership 2007 page 5 Deliverables from the workshop Actual Status + & - Initial energy & myths History Vision Strategy Obstacles Future environment Opportunities & dangers Actio n plan Agreement on how to get from the past To the future Leverage our Product P and Product L assets Protect and expand our Product Family F franchise Grow our Product Family B business Develop / acquire innovative products and technologies Achieve a profitable leadership position in key countries  Derive 70% of company sales from top 10 markets by 2006  Maintain our leading position in S. America & France, Canada, UK, and Italy  Optimize public policy, regulator y, and communi cations to drive growth  Finalize Corea market strategy by 2003  Articulat e a new Branding strategy  Meet timeline s on bulk mfg. facility and packagi ng outsour cing for Bd  Acquire market knowled ge in key countrie s  Develop /acquire Product Bk  Ensure launch of Bd Child by 2008  Develop ATO strategy  Develo p Produc t P end- game strateg y that maximi zes Industr ial utilisati on  Accele rate the conver sion from extP to intP  Consol idate and optimiz e ATO strateg y to suppor t Produc t P end- game and extP conver sion  Slow compet itor XX uptake in US  Develop compreh ensive product delivery strategy  Institutio nalize the Technol ogy Visionin g process  Ensure appropri ate upstrea m / downstr eam balance  Ensure full alignme nt of Sales, Develop ment, Legal Affairs and Marketin g activities  Impleme nt Goodwill optimizat ion organiza tion  Maximi ze existin g assets for Produ ct Fa and Fc  Ensur e leader ship in Family F deliver y syste ms Ensure optimal capacity, quality and customer satisfaction  Develop/ Upgrade Quality systems to ensure 50% yearly reductio n in rejects and rebuild  Maximize utilizatio n of existing capacity  Achieve Delos Platinum level at all sites  Impleme nt Delos Global Integrate d Enterpris e Leaders hip  Explore continuo us improve ment approac hes Launch Product N and Product M in 2005; >50% of sales from new products by 2012  Achieve all critical path mileston es to ensure 2005 launches  Complet e Product N and product M pre- launch activities  Upgrade sales and marketin g compete ncies for adult markets  Develop trust and transpar ency between IO and R&D groups  impleme nt program s to accelerat e the product develop ment process. Maximize our key assets BOUNDARYLESS BEHAVIOUR Rapidly upgrade our technical and leadership competencies  Ag gre ssi vel y fill the co mp ete ncy and val ues gap  Bec om e a trul y glo bal org ani zati on  Em po wer thr oug h bro ad spa ns of con trol in a flat org ani zati on  Diff ere ntia te rew ard s and car eer opp ort unit ies bas ed on perf orm anc e An outline one page strategy An outline plan with responsibilities agreed

© The Delos Partnership 2007 page 6 A Change Model OVERCOMINGOBSTACLESOVERCOMINGOBSTACLES PROPELSPROPELS STEERSSTEERS ManagingTheChangesManagingTheChanges

© The Delos Partnership 2007 page 7 Delos ROCE model ROCE Profit Capital Sales Costs Material Labour Overhead Fixed Current Stocks Creditors Debtors Projects

© The Delos Partnership 2007 page 8

© The Delos Partnership 2007 page 9 The Delos Model For Business Integration Innovation Innovation Vision Strategy Prioritisation Prioritisation Demand Support Supply

© The Delos Partnership 2007 page 10 Change Management Actual Status + & - Initial energy & myths History Vision Strategy Obstacles Opportunities & dangers Action plan From: The Art of Visioning, Michael Doyle Michael Doyle Associates ©