Presentation to graduate class at PSU

1. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Strategic Planning
Thinking Ahead
Working Together
Making the Right Choices
Having the Right Partners
Monday, January 7, 13

2. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Strategy Future
Monday, January 7, 13

3. Confidential and Proprietary, © 2013, Tech-I-M, LLC
3 Topics to Cover Tonight
• My View of Daimler Processes
• What I Have Learned Over the Years
• How I Applied it to Tech-I-M
Monday, January 7, 13

4. Confidential and Proprietary, © 2013, Tech-I-M, LLC
My View of
Daimler Processes
Monday, January 7, 13

5. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Alignment--Top to Bottom
• Daimler (>200,000 employees)
• Daimler Trucks
• Daimler Trucks North America (>20,000 employees)
• Research & Product Development
• Mechatronics Engineering
http://www.daimler-trucksnorthamerica.com/inside/quick-facts.aspx
http://ar2011.daimler.com/management_report/profitability/employment
125+ Years
Monday, January 7, 13

6. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Daimler Pyramid
Monday, January 7, 13

7. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Daimler Trucks Global Excellence
Daimler Trucks at a Glance 2012
• Management of Market
Cycles
• Operational Excellence
• Growth and Market
Penetration
• Future Product
Generations and
Technologies
Monday, January 7, 13

8. Confidential and Proprietary, © 2013, Tech-I-M, LLC
0
75
150
225
300
1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020
-5.00
-3.75
-2.50
-1.25
0
1.25
2.50
3.75
5.00
10 Years with 2 Down Cycles
US GDP Data from http://data.worldbank.org/indicator/NY.GDP.MKTP.KD.ZG
Class 8 Retail Sales from ATA American Trucking Trends 2012 and WardsAuto.com © copyright 2011
Ward's Automotive Group, Southfield, MI 48075 USA (A division of Penton Media, Inc.)
170K
average
Class 8 US GDP
Slow
growth trend
4-7 years between peaks
5-6 years between troughs
Trucking now
lags GDP by 1-2
Quarters?
Monday, January 7, 13

9. Confidential and Proprietary, © 2013, Tech-I-M, LLC
0
100
200
300
400
1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020 2022 2024 2026 2028 2030
-5.00
-3.75
-2.50
-1.25
0
1.25
2.50
3.75
5.00
If history repeats, then
170K
average
Slow
growth trend
Class 8 US GDP
193K
average
Monday, January 7, 13

10. Confidential and Proprietary, © 2013, Tech-I-M, LLC
7+ Years and Being “Extended”
Wendy Leavitt, Fleet Owner October 19, 2010
http://www.daimler.com/dccom/0-5-7171-1-1505873-1-0-0-0-0-0-36-7164-0-0-0-0-0-0-0.html
Monday, January 7, 13

11. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Global Excellence Roadmap
Monday, January 7, 13

12. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Underpinnings of the Strategy
• Shaping Future Transportation (2007)
• CleanDrive
• SafeDrive
• ValueDrive
http://media.daimler.com/dcmedia/0-921-657319-1-1333437-1-0-0-0-0-1-11702-656174-0-1-0-0-0-0-0.html
Monday, January 7, 13

13. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Cascading to Business Units
Monday, January 7, 13

14. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Cascading to a Department
Mechatronics combines mechanical engineering,
controls engineering, software design, electronic
hardware, brakes, sensors, pneumatics and
electrical harnesses and makes sure
– It Just Works!!!
Monday, January 7, 13

15. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Cascading to Everyone
• Timing
• Level 1 goals in November/December
• Level 2 goals in December
• Level 3 and below goals in January
• Goals categorized and captured per the pillars
• Spreadsheet with cross department goals
• Special leadership assignments
Monday, January 7, 13

16. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Cadence to Strategic Planning
• Q1 Goals, Performance Reviews, Operating Plan Final
• Q2 Succession Planning
• Q3 Capital Plan, Product Plan, 3-5 Year Strategic Plan
• Q4 Operating Planning, Performance Appraisals
• Quarterly Purchasing Strategy
• Sales/Marketing, Aftermarket, Finance, Operations (IT), Engineering, HR
Monday, January 7, 13

17. Confidential and Proprietary, © 2013, Tech-I-M, LLC
What I Have Learned Over
the Years
Monday, January 7, 13

18. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Powerful Tools Guide Planning
• Analysis--Action--Assessment (A3)
• Michael Porter 5 Forces Analysis
• Plan -- Do -- Check -- Act
• Define -- Measure -- Analyze -- Improve -- Control (DMAIC of 6 Sigma/Lean)
• Supplier -- Inputs -- Process -- Outputs -- Customer (SIPOC of 6 Sigma/Lean)
• Decision Analysis
• Gap Analysis
• Spider Diagrams
Monday, January 7, 13

19. Confidential and Proprietary, © 2013, Tech-I-M, LLC
4 Square--the Most Powerful Tool
WS
O T
Risk
Reward
New/Existing
Product
New/Existing
Customer
3 Dimensional
Too Confusing for Many
Monday, January 7, 13

20. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Fever Curve
-- - 0 + ++
Criteria 1
Criteria 2
Criteria 3
Criteria 4
Criteria 5
Criteria 6
Criteria 7
Criteria 8
Criteria 9
Criteria 10
0
0
0
0
0
0
0
0
0
0
X
X
X
X
X
X
X
X
X
X
Monday, January 7, 13

21. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Waterfall Charts
Monday, January 7, 13

22. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Product Roadmap--Transmissions
1960-Present 1991-Present 2002-Present
Monday, January 7, 13

23. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Product Roadmap--Engines
Monday, January 7, 13

24. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Product Roadmap and Gate Process
Monday, January 7, 13

25. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Engineering Support Roadmap
Monday, January 7, 13

26. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Navistar -- February 2012
Monday, January 7, 13

27. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Navistar -- December 2012
$3 Billion loss
Carl Icahn puts 3 people on board
High Level Management Replaced
Focus on the short term
Cummins Engine brought back
Monday, January 7, 13

28. Confidential and Proprietary, © 2013, Tech-I-M, LLC
It’s all about people -- working together
• Forming -- Storming -- Norming -- Performing
• Meyers-Briggs Type Indicator
• Introversion/Extroversion, Intuition/Sensing, Feeling/Thinking, Perceiving/Judging
• Birkman First Look®
• Wilson Learning®
• Social Styles
• Analytical, Driver, Amiable, Expressive
• Profilor®
• Communication, Buy-In
Monday, January 7, 13

29. Confidential and Proprietary, © 2013, Tech-I-M, LLC
How I Applied it to
Tech-I-M
Monday, January 7, 13

30. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Logo/Vision/Mission Development
People free to do what they do best,
supported by
technology savvy people, products and
services from
Strategic management and business
consulting focused on the forecast,
selection, deployment and maintenance
of electronic technology for commercial
vehicle, automotive, industrial, retail and
service industries
Monday, January 7, 13

31. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Logo and Name Background
Tech-I-M comes from a couple of thoughts. I am a technical person. Poetically, you can say
that as Tech I am. That gets shortened to Tech I M. Tech I M was not available as a URL two
years ago. I found Tech-I-M was. I made the logo such that the dashes are not too obvious. I
want the name TIM to show through the logo to some extent. As Tim is, maybe, the name of
someone you would trust to ask technical questions of. Someone you would not be afraid to
speak with. (Tim also happens to be the name of a guy in ROTC that tried to horn in on my girl
in high school. He gave her a bookmark. Not to be outdone, I went home and made a brass
sheet bookmark where the top was a petalled flower. That gal is my wife of 35 years!!!) The
colors in the logo are from my college. The black/gray are the official colors. The maroon is
not. I preferred the maroon in the sweatshirt that I have. "Tech" is also what people at my
college called the college itself. MIT is where I went to school. TIM is MIT backwards. I felt
a logo, at least as a startup, needed to say something about the business. Using the main letters
TIM, I came up with Technology Is Manageable™. The logo is a rectangle with shadow and
rounded corners. Turns out that all things Apple follow the curved-corner, rectangle theme. I
would like to create that image, as I am expecting, right now, to concentrate on the application
of Apple products and software in at least part of the business. The theme of a friendly,
reputable, trustworthy guy/company that can help with your technical needs is an image or
feeling I want to portray in the logo, on the web sites, etc.
Monday, January 7, 13

32. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Some Definitions I Used
■ Vision: outlines what the organization wants to
be, or how it wants the world in which it operates
to be (an "idealised" view of the world). It is a
long-term view and concentrates on the future. It
can be emotive and is a source of inspiration. For
example, a charity working with the poor might
have a vision statement which reads "A World
without Poverty."
■ Mission: Defines the fundamental purpose of an
organization or an enterprise, succinctly
describing why it exists and what it does to
achieve its vision. For example, the charity above
might have a mission statement as "providing
jobs for the homeless and unemployed".
Monday, January 7, 13

33. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Started with Free Thoughts
• I want to build a brand image around Tech-I-M and the
concept of making technology easy for those that are
inclined in other ways. Technology should serve.
• Integrated, vertical solutions for different markets
• Shorter term I have the consulting in the trucking
industry
• To be sustaining in the future, will need to move from a
one man consulting operation, to several people doing
consulting, to a group providing custom design or other
services, to one providing off the shelf product
Monday, January 7, 13

34. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Kept working on Vision Statement
Monday, January 7, 13

35. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Tried Making Vision more Visual
Technology
Productive
Thriving
Businesses
Satisfied
People
Is
Manageable
Rejected
this idea
Monday, January 7, 13

36. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Vision/Mission
Savvy Technology Powerful Results
Helping Companies Succeed
by
Leveraging Technology
in
Products and Processes
Monday, January 7, 13

37. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Services
• Strategic Management
• Understanding your customers’ needs, both now and in the future
• Selecting tomorrow’s winning technologies
• Choosing the best suppliers to help you succeed
• Creating and managing strategic plans for success in the marketplace
• Business Consulting
• Focus teams on continually improving the business internally
• Manage quality to eliminate waste
New Product
Development
Cost
Control
Monday, January 7, 13

38. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Tech-I-M enVISIONing Process™
ision long term, emotion, inspiration, what drives you
nnovation, Unique Selling Proposition,Value
trategy
perations, Operating Plan, Expenses
et Income before or after (EBITDA)
Tech-I-M trademark approach to Strategic Management and Business Consulting
ncome, Marketing, Selling, Product/Placement/Price/Promotion
Strategic
Management
Business
Consulting
V
I
S
I
O
N
Monday, January 7, 13

39. Confidential and Proprietary, © 2013, Tech-I-M, LLC
Future Structure
• Tech-I-M Consulting
• www.318.com, www.brightstone.com, http://jobs.apple.com business leader
• Tech-I-M Trucking
• Tech-I-M Home
• Tech-I-M Retail/Restaurant
• Dinerware, ISISPOS, POSLAVU, mobileposrestaurant.com, Amber app
• Tech-I-M Education
• Tech-I-M Sales
Monday, January 7, 13