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“Sustainable & significant results”




                  “Change can only come from within!”




Bilthoven, October 2009                                 1
Value proposition of The Brown Paper Company

1. We do not advise; we deliver results! Split in our approach: 10% analysis and
   development of approach, 90% realisation on the shopfloor and lowest supervisory level


2. Significant results without any capital expenditure/investments. We make use of your
   current systems and organisation


3. We’ll work with your people until the results are delivered. No advise, nor reports, nor
   powerpoints, but short term delivery of durable results


4. Starting point of every single project is a mutual agreed sound business case, including
   timely non-negotiable financial and operational targets and imperatives


5. We work on shared risk base; we accept full accountability for the results (by means of a
   healthy split in fixed and variable payment


6. Our aim is to provide 300% ROI and substantial positive cashflow within the project




 Bilthoven, October 7th, 2009                                                                 2
The ultimate goal of a project: the people

The ultimate goal is that employees within all departments, teams and managers know
what they are working for, what their role and responsibilities are and work pro-actively on
these subjects: awareness!


Operational results will follow awareness consequently…..




Bilthoven, October 7th, 2009                                                              3
The Brown Paper Company approach




                        Passion, structure, results!
More than 10 years shared passion and eagerness with our clients for improvement and
                                      change
The Brown Paper Company approach




   We’re passionate about teamwork! Working together with you and
                           your employees


Bilthoven, October 7th, 2009                                        5
Imperative areas in improvement & change management

                                     Training, coaching & education



                                                     People

             Optimise and use                                                 Optimise



                                                     The
                            Management
                            Information             Brown               Processes
                                                    Paper
                                                   Company



                             Measurable, sustainable results, on time,
                               together with the client organisation
                                          capital investments not required

  Bilthoven, October 7th, 2009                                                       6
Potential improvements


                               Business acumen, sales culture, pro-activity
          People               Process ownership, commitment
                               Skills & competencies, meeting effectiveness & efficiency
                               Improvement of communication and good fellowship



       Management              Strong onetime & effective reporting across the organisation
       Information
                               Right key performance indicators on time at the right place
                               “lean” information provision (execution focused)



                               Shortening lead-times, reducing stocks (and WIP)
         Processes             Improving productivity, optimising delivery performance
                               Quality improvements; clear roles & responsibilities
                               Increase customer satisfaction


Bilthoven, October 7th, 2009                                                                 7
Key imperative areas in change & improvement projects


  • Training
  • Coaching                                                                                    People
  • Roles and
           responsibilities


                 Forecast
                  Forecast      Planning
                                 Planning           Uitvoering
                                                     Uitvoering    Rapportage
                                                                    Rapportage

               Fore-
                Fore-
                cast
                 cast
                                                                                    D
                    MEETING
  Maand/week
                                                                      MEETING    A KPI A
  Maand/week
   Niveau 3
    Niveau 3            Doel
                                                                           MWOR
                                                                                    B
                                                                                              Management      Changed               Sustaible
  Week/dag
  Week/dag
                               MEETING
                                                                      MEETING   A
                                                                                    D
                                                                                    KPI
                                                                                          A
                                                                                              Information   Way-of-working           results
                                                                                    B
  Niveau 2
   Niveau 2                          Plan
                                                                           DWOR




                                                                                    D
                                                                                A   KPI
                                                                      MEETING             A
   Dag/uur
    Dag/uur
                                                   MEETING
                                                                                    B
   Niveau 1
    Niveau 1                                Plan             SIC           DWOR




                                                                                               Processes            Strong emphasis on “human
                                                                                                                    engineering”; daily working with
                                                                                                                    and for your employees on the
                                                                                                                    shopfloor!


  Bilthoven, October 7th, 2009                                                                                                                   8
Our approach: in 4 phases to the final result


In order to accomplish durable changes in way of working we distinguish 4 project phases




    Phase 1                    Phase 2                  Phase 3            Phase 4
  Awareness:                Creating the new           Intensive          Safeguard
Sense of urgency                 reality              ‘coaching’         sustainability

                                    Project management

                 Ca. 4-8 weeks                       Ca. 4–6 months          Ca. 1-3 months


                “Off the job”                                 “On the job”

                                          Go/No-Go




 Bilthoven, October 7th, 2009                                                              9
Phase 1 Awareness & sense of urgency

Activities                                                                       1         2        3   4

   Preparation and Kick Off – comprehensive communication start project
   Brown Paper sessions current way of working: to build maximum momentum, sense of
   urgency and need for change and improvement
   Brown Paper sessions current management systems and control cycles
   Communications towards entire organization to create commitment and ownership
   through all organizational layers
   Rudimentary data analysis
   Impact matrix of all critics and bottlenecks, including classification and prioritization


Results:
   Overview all improvements items per process; split into short-, mid- and long-term
   Insight and understanding of current management information, control and decision
   making, including improvements items
   Complete identification of improvement opportunities, to realize savings potential
   Feasibility of an implementation program, providing a non-negotiable minimal return on
   investment of 300%

Bilthoven, October 7th, 2009                                                                   10
Brown Paper of key business proces




    Overview of entire process and -flow              Substantial reduction of lead-times (from 47
    View on lead times and impact                     to 9 working days)

    Clear view on roles & responsibilities            Significant reduction of rework of 82%

    Engagement & commitment of key owners             Clear roles & responsibilities
    Maximum impact on all key owners                  Lean implemented MCC (acknowledged by
                                                      key process owners)
    Creates huge energy, passion and fun at all
    layers (particularly at shopfloor!) while going   Lead-time entire project 5 months
    through and in-depth analysis!

Bilthoven, October 7th, 2009                                                           11
Management Control System: current situation


                  Prognosis         Planning                      Control                Reporting


   Year


   Month


   Week


   Day




 Personal               Add, moves &      Disconnect between             Waste of                 Critics on
  critics                 Changes      Interfaces, lack of structure ineff. documents
                                                                                             information system
          planning       production
            non-                    Daily plan          Many meetings/          Financial rather than
          existent                  production              no actions          operational reporting

Bilthoven, October 7th, 2009                                                            12
Phase 2: Create a new way of working
Activities:
   Brown Paper sessions, create and define new way of working                  1        2   3   4
   Design an effective, efficient management system & control (KPI’s included)
   Detailed data-, route cause- and impact analysis
   Opportunity Framing: detailed and comprehensive overview (item- and issue-level) of
   savings potential
   Feasible “SMART” implementation plan including ROI projection and “zero-verification”
   Presentation of analysis results and implementation plan; discuss and constitute fixed
   and variable payment against financial and operational targets
   Comprehensive communication towards entire organization to sustain commitment and
   ownership through all organizational layers
Results:
   Clear, coherent, efficient and transparent new way of working (process and system)
   Clear and coherent definition of roles and responsibilities related to processes
   Robust and coherent management system and control, safeguarding maximum results
   Proud ownership new way of working (process and system) from “shopfloor” up to MT
   Detailed “Opportunity Framing”, with balanced business case, providing challenging but
   realistic and feasible measurable results, including ROI, buy-in entire organization
   Detailed implementation plan phase 3, with clear executables and milestones
   Thorough change & improvement awareness at all levels

Bilthoven, October 7th, 2009                                                        13
Management Control Cycle

                               Example Management Control Cycle




Bilthoven, October 7th, 2009                                      14
Management Control Systeem: new situation

                       Prognosis   Planning   Control   Reporting


                                                                    Effective management
                                                                    decisions
  Year                                                              Results/target based
                                                                    Structured & coherent
  Month
                                                                    Clear, lean overview
                                                                    Understanding
  Week
                                                                    Recognized
                                                                    Proactive based
                                                                    Lean meeting culture; right
  Day                                                               number of people, with
                                                                    right format at right place,
                                                                    on time
                                                                    Planning & control




Bilthoven, October 7th, 2009                                                   15
Phase 3: Implementation & intensive support

Activities:                                                                 1        2       3   4
  ‘Support’ new processes and management control cycle:
  implement new way of working
  Implement new operational management information, ‘support’ managers and
  employees, based on short interval control (SIC)
  Analysing and discussing results based on set standards, planning results on daily /
  weekly basis
  Coaching en supporting managers and employees involved
  Mindset: Data, Analyse, Decide, Action
  Communication to the rest of the organisation, ‘celebrating successes’
  Monthly evaluation of the project results with key players and decision makers

Results:
  Increasing quality and decreasing of rework
  Control on process per employee (address to responsibilities)
  Leadership with operational focus
  Direct sense of the numbers: “short interval control” en result driven organisation



Bilthoven, October 7th, 2009                                                            16
Phase 4: Safeguard sustainability & transition

                                                                           1       2    3   4
Activities:
  Monthly support operational processes and management system
  Supporting all involved managers
  Monitoring assurance structural results
  Communication to the rest of the organization, ‘celebrating successes’
  Monthly evaluation of the project results with key players and decision makers




Bilthoven, October 7th, 2009                                                       17
Why working with The Brown Paper Company


  No voluminous reports
  Business case driven
  Shared risk, payment by results
  90% “on the job”
  “Shop floor” implementation (bottom-up approach)
  We work on the project until the results are delivered


  Change passionist and specialist, delivering clear results, focusing on awareness,
  commitment and ownership rather than top down pushing the envelope
  Wealth (10 years+) of experience and expertise in change by effective human
  engineering connected to down-to-earth daily way of working
  Safeguard sustainable changes in human behavior (skills, attitudes and competencies)
  of employees and MT, contributing to an overall improvement culture
  Working on the project is not training, but implementation of a durable change in an
  effective and efficient way of working.




Bilthoven, October 7th, 2009                                                             18
Key elements of our projects are:


Typical elements of a successful projects are:
  Create awareness and sense of urgency
  Teambuilding
  Change reactive into pro-active culture
  Develop coherent processes: “new reality”
  Implement coherent management control system
  Clear roles & responsibilities
  “Lean” operational meeting practise
  Enhance performance coaching skills
  Improve sales skills and quality
  Results (not consensus) bases culture
  Commitment to non-negotiable targets and imperatives
  Effective and efficient short interval control
  on teams and individual employees




Bilthoven, October 7th, 2009                             19
Projects based on mutual agreed business case & ROI



                                                  break even




                                 results

                                                                      pay back


                                                               time




     start of project            out of pocket   costs    end of project


  Bilthoven, October 7th, 2009                                               20
Contact


The Brown Paper Company


Landgoed “Berg en Bosch”
Professor Bronkhorstlaan 10, gebouw 92
3723 MB Bilthoven


T 030 – 2290838




I www.brownpapercompany.nl
E l.gimberg@brownpapercompany.nl




Mobiel Lodewijk Gimberg         +31 6 24 66 85 87



Bilthoven, October 7th, 2009                        21

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Company Profile BPC

  • 1. “Sustainable & significant results” “Change can only come from within!” Bilthoven, October 2009 1
  • 2. Value proposition of The Brown Paper Company 1. We do not advise; we deliver results! Split in our approach: 10% analysis and development of approach, 90% realisation on the shopfloor and lowest supervisory level 2. Significant results without any capital expenditure/investments. We make use of your current systems and organisation 3. We’ll work with your people until the results are delivered. No advise, nor reports, nor powerpoints, but short term delivery of durable results 4. Starting point of every single project is a mutual agreed sound business case, including timely non-negotiable financial and operational targets and imperatives 5. We work on shared risk base; we accept full accountability for the results (by means of a healthy split in fixed and variable payment 6. Our aim is to provide 300% ROI and substantial positive cashflow within the project Bilthoven, October 7th, 2009 2
  • 3. The ultimate goal of a project: the people The ultimate goal is that employees within all departments, teams and managers know what they are working for, what their role and responsibilities are and work pro-actively on these subjects: awareness! Operational results will follow awareness consequently….. Bilthoven, October 7th, 2009 3
  • 4. The Brown Paper Company approach Passion, structure, results! More than 10 years shared passion and eagerness with our clients for improvement and change
  • 5. The Brown Paper Company approach We’re passionate about teamwork! Working together with you and your employees Bilthoven, October 7th, 2009 5
  • 6. Imperative areas in improvement & change management Training, coaching & education People Optimise and use Optimise The Management Information Brown Processes Paper Company Measurable, sustainable results, on time, together with the client organisation capital investments not required Bilthoven, October 7th, 2009 6
  • 7. Potential improvements Business acumen, sales culture, pro-activity People Process ownership, commitment Skills & competencies, meeting effectiveness & efficiency Improvement of communication and good fellowship Management Strong onetime & effective reporting across the organisation Information Right key performance indicators on time at the right place “lean” information provision (execution focused) Shortening lead-times, reducing stocks (and WIP) Processes Improving productivity, optimising delivery performance Quality improvements; clear roles & responsibilities Increase customer satisfaction Bilthoven, October 7th, 2009 7
  • 8. Key imperative areas in change & improvement projects • Training • Coaching People • Roles and responsibilities Forecast Forecast Planning Planning Uitvoering Uitvoering Rapportage Rapportage Fore- Fore- cast cast D MEETING Maand/week MEETING A KPI A Maand/week Niveau 3 Niveau 3 Doel MWOR B Management Changed Sustaible Week/dag Week/dag MEETING MEETING A D KPI A Information Way-of-working results B Niveau 2 Niveau 2 Plan DWOR D A KPI MEETING A Dag/uur Dag/uur MEETING B Niveau 1 Niveau 1 Plan SIC DWOR Processes Strong emphasis on “human engineering”; daily working with and for your employees on the shopfloor! Bilthoven, October 7th, 2009 8
  • 9. Our approach: in 4 phases to the final result In order to accomplish durable changes in way of working we distinguish 4 project phases Phase 1 Phase 2 Phase 3 Phase 4 Awareness: Creating the new Intensive Safeguard Sense of urgency reality ‘coaching’ sustainability Project management Ca. 4-8 weeks Ca. 4–6 months Ca. 1-3 months “Off the job” “On the job” Go/No-Go Bilthoven, October 7th, 2009 9
  • 10. Phase 1 Awareness & sense of urgency Activities 1 2 3 4 Preparation and Kick Off – comprehensive communication start project Brown Paper sessions current way of working: to build maximum momentum, sense of urgency and need for change and improvement Brown Paper sessions current management systems and control cycles Communications towards entire organization to create commitment and ownership through all organizational layers Rudimentary data analysis Impact matrix of all critics and bottlenecks, including classification and prioritization Results: Overview all improvements items per process; split into short-, mid- and long-term Insight and understanding of current management information, control and decision making, including improvements items Complete identification of improvement opportunities, to realize savings potential Feasibility of an implementation program, providing a non-negotiable minimal return on investment of 300% Bilthoven, October 7th, 2009 10
  • 11. Brown Paper of key business proces Overview of entire process and -flow Substantial reduction of lead-times (from 47 View on lead times and impact to 9 working days) Clear view on roles & responsibilities Significant reduction of rework of 82% Engagement & commitment of key owners Clear roles & responsibilities Maximum impact on all key owners Lean implemented MCC (acknowledged by key process owners) Creates huge energy, passion and fun at all layers (particularly at shopfloor!) while going Lead-time entire project 5 months through and in-depth analysis! Bilthoven, October 7th, 2009 11
  • 12. Management Control System: current situation Prognosis Planning Control Reporting Year Month Week Day Personal Add, moves & Disconnect between Waste of Critics on critics Changes Interfaces, lack of structure ineff. documents information system planning production non- Daily plan Many meetings/ Financial rather than existent production no actions operational reporting Bilthoven, October 7th, 2009 12
  • 13. Phase 2: Create a new way of working Activities: Brown Paper sessions, create and define new way of working 1 2 3 4 Design an effective, efficient management system & control (KPI’s included) Detailed data-, route cause- and impact analysis Opportunity Framing: detailed and comprehensive overview (item- and issue-level) of savings potential Feasible “SMART” implementation plan including ROI projection and “zero-verification” Presentation of analysis results and implementation plan; discuss and constitute fixed and variable payment against financial and operational targets Comprehensive communication towards entire organization to sustain commitment and ownership through all organizational layers Results: Clear, coherent, efficient and transparent new way of working (process and system) Clear and coherent definition of roles and responsibilities related to processes Robust and coherent management system and control, safeguarding maximum results Proud ownership new way of working (process and system) from “shopfloor” up to MT Detailed “Opportunity Framing”, with balanced business case, providing challenging but realistic and feasible measurable results, including ROI, buy-in entire organization Detailed implementation plan phase 3, with clear executables and milestones Thorough change & improvement awareness at all levels Bilthoven, October 7th, 2009 13
  • 14. Management Control Cycle Example Management Control Cycle Bilthoven, October 7th, 2009 14
  • 15. Management Control Systeem: new situation Prognosis Planning Control Reporting Effective management decisions Year Results/target based Structured & coherent Month Clear, lean overview Understanding Week Recognized Proactive based Lean meeting culture; right Day number of people, with right format at right place, on time Planning & control Bilthoven, October 7th, 2009 15
  • 16. Phase 3: Implementation & intensive support Activities: 1 2 3 4 ‘Support’ new processes and management control cycle: implement new way of working Implement new operational management information, ‘support’ managers and employees, based on short interval control (SIC) Analysing and discussing results based on set standards, planning results on daily / weekly basis Coaching en supporting managers and employees involved Mindset: Data, Analyse, Decide, Action Communication to the rest of the organisation, ‘celebrating successes’ Monthly evaluation of the project results with key players and decision makers Results: Increasing quality and decreasing of rework Control on process per employee (address to responsibilities) Leadership with operational focus Direct sense of the numbers: “short interval control” en result driven organisation Bilthoven, October 7th, 2009 16
  • 17. Phase 4: Safeguard sustainability & transition 1 2 3 4 Activities: Monthly support operational processes and management system Supporting all involved managers Monitoring assurance structural results Communication to the rest of the organization, ‘celebrating successes’ Monthly evaluation of the project results with key players and decision makers Bilthoven, October 7th, 2009 17
  • 18. Why working with The Brown Paper Company No voluminous reports Business case driven Shared risk, payment by results 90% “on the job” “Shop floor” implementation (bottom-up approach) We work on the project until the results are delivered Change passionist and specialist, delivering clear results, focusing on awareness, commitment and ownership rather than top down pushing the envelope Wealth (10 years+) of experience and expertise in change by effective human engineering connected to down-to-earth daily way of working Safeguard sustainable changes in human behavior (skills, attitudes and competencies) of employees and MT, contributing to an overall improvement culture Working on the project is not training, but implementation of a durable change in an effective and efficient way of working. Bilthoven, October 7th, 2009 18
  • 19. Key elements of our projects are: Typical elements of a successful projects are: Create awareness and sense of urgency Teambuilding Change reactive into pro-active culture Develop coherent processes: “new reality” Implement coherent management control system Clear roles & responsibilities “Lean” operational meeting practise Enhance performance coaching skills Improve sales skills and quality Results (not consensus) bases culture Commitment to non-negotiable targets and imperatives Effective and efficient short interval control on teams and individual employees Bilthoven, October 7th, 2009 19
  • 20. Projects based on mutual agreed business case & ROI break even results pay back time start of project out of pocket costs end of project Bilthoven, October 7th, 2009 20
  • 21. Contact The Brown Paper Company Landgoed “Berg en Bosch” Professor Bronkhorstlaan 10, gebouw 92 3723 MB Bilthoven T 030 – 2290838 I www.brownpapercompany.nl E l.gimberg@brownpapercompany.nl Mobiel Lodewijk Gimberg +31 6 24 66 85 87 Bilthoven, October 7th, 2009 21