1. CMAA 2010 Owners Forum Joe P. Gionfriddo May 3, 2010 Corporate Engineering Global Construction Manager The Procter & Gamble Company

2. Agenda: Business Success Drivers Practices Leveraging scale Innovation / Breakthrough In touch & connected Questions We build the business, safely!

3. Global Consumer Products Industry Leader 76.7 Billion Sales Employees: 135,000, Engineers: 2000 Operations: >80 countries Trusted Brands touch the lives of consumers >180 countries. 22 - Billion dollar brands w/ > $1Billion in sales. Global Business Unit Structure

4. Success Drivers Power of People, Mind, & Agility Purpose, Values, & Principles (PVP) Promote & develop internally. Horizontal Work Process. Internal / External Skill Development. Rotational Assignments. Technical / Managerial Career Paths.

5. Capital Management More with less. > $3.0 Billion Capital 40 % Construction Highest Growth in P&G History

6. Safety Nothing we do is worth getting hurt for! Global Total Incident Rate:.38 TIR P&G / Contractor Safety Networks. Principle based behavioral focused. Safety Blue print foundation. (CURT Construction User Round table) Raising the expectation bar globally. Going Beyond Zero.

7. Best Practices P&G Construction: Touching >600 practitioners/yr. Foundation – Built from CII best practices. –Workshops –Networks –Community of Practice –Mentoring / Coaching –Instructor Lead Face to Face –Web based Challenges: –Knowing your people –Virtual interface. –Travel budget reductions

8. Leveraging Scale Engineering – Global Equipment – Global Labor – Local / Regional Raising the global bar in expectations – Safety – Quality – Schedule – Cost

9. Innovation Journey Opportunities: –Focus on optimizing the whole. –Getting back to basics. –Integration of new emerging technologies. – Attraction of the future generations. Challenges: –Rapidly moving a company our size on a dime. –Mging. continuous work flow. –Less Mobile workforce.

10. Constructability Modularization E-Technologies Loss Elimination Analysis Peer Reviews Lean Project Delivery (LPD) Principles Focus Areas Modularization (PPMSOF) = Preassembly – Prefabrication – Module – Skid – Off site Fabrication 1 Increased project participants interactions Projects are networks of commitments Optimize the project, not the pieces Tightly couple learning with the continuous improvement cycle P&G and Supplier Collaboration 2 345 Our Journey to Competitive Advantage! (End 2 End) VSU Construction Driven Engineering Concepts

11. Where to play? Deliver Specific Projects w/LPD Horizontal Transformation Expand Knowledge Via Regional COPs Award Contracts to Innovative Proposal Options applying LEAN Tools & Concepts Project Loss Analysis Work Process Simplification TARGETED LEAN STRATEGY APPROACH to Delivery System Improvement Productivity Savings of Capital Project Cost Drive Supplier Relation Collaboration top to top Discussions.

12. CII + CMAA Alliance “Best Practices & Best Practitioners” Networking Trusted Communication CII Leading Industry Research Leadership & Professional growth via Certified Construction Mgrs.(CCM) certification technical competence. Body of knowledge combination breadth. Access to best practices, information forums, events, & more….. “In touch & connected”

13. Questions

14. CMAA Owners Forum