apics board of directors january 2015 q4 meetings update

APICS Board of Directors

January 2015

Q4 Meetings Update

2 © APICS Confidential and Proprietary

APICS Vision/Mission

Vision statement:

APICS—the world’s leading community for end-to-end supply chain excellence.

Mission statement:

Fostering the advancement of end-to-end supply chain management through a body of knowledge, innovative research, systems, and methods to create value for customers, members, and organizations.


October BOD Meeting: Motions Approved

The Board approved the following motions: – The Officer Nominating Committee’s selections of Bill

Bickert as Chair-Elect, Steve Georgevitch as Treasurer-Secretary of the APICS Board of Directors and Joanne Gorski as the 2015 Certification Committee Chair were approved.

– The Director Nominating Committee’s selection of Clark Ponthier and Ginny Youngblood to serve as directors on the 2015 APICS Board of Directors.

– Plante Moran has been chosen to be APICS’ independent auditors for the fiscal year 2014.


December BOD Meeting: Motions Approved

The Board approved the following motions: – The 2015 – 2017 Budget as presented with additional

risk assessments reported back to the Finance Committee.

– APICS SCC Director Nominating Committee selection of Marco Ugarte, Rocky Newman, Shari Ruelas, Ray Ernenwein and Douglas Kent (guest board member) to serve on the 2015 APICS SCC Board of Directors.

– Revision to the APICS SCC Bylaws.– The North American chapter model as presented.


2015 APICS Board of Directors

Alan G. Dunn, CPIM – ChairGDI Consulting

William E. Bickert – Chair-ElectNAVSUP Global Logistics

Steven Georgevitch – Treasurer-SecretaryBoeing

Keith Connolly AT&T

Sonia DaviaudDecision Value

Erica Dickson, CPIM, CSCPIntel

Bhaskar Majee, CSCPGeneral Electric Company

Steven Melnyk, PhDMichigan State University

Clark Ponthier, CPIMIngersoll Rand

Colin M. Seftel, CFPIM, CSCPPSQ

Peter VandermindenMicrosoft Corporation

Ginny Youngblood, PhD, CSCP, CPIM, SCOR-PDuPont


2015 APICS Supply Chain Council Board of Directors

Lars Magnusson – President Ericsson AB

Shari Ruelas, CPIM, CSCP – Vice PresidentChevron

Michael Wasson, CSCP – Secretary-TreasurerTosca

Ray Ernenwein Hewlett-Packard

Barbara Flynn Indiana University

Katie FowlerSchlumberger

Antonio Galvao, CSCP Sealed Air Corporation

William Rocky Newman, PhD, SCOR-S Miami University

Marco Ugarte, PhD, CPIM, CSCPMillerCoors

Douglas Kent, SCOR-P, GuestPwC

William Bickert, Ex-OfficioNAVSUP Global Logistics

Financials and Budget


2014 Financial Performance

$000s Omitted

YTD Nov-14

YTD Nov-14B

VarianceFavorable/

(Unfavorable)

Change %

Revenue 22,129 25,249 (3,120) (12%)

Operating Expenses

23,257 25,504 2,246 9%

Net OperatingIncome / (Loss)

(1,128) (254) (874) (344%)

APICS continues to be in a strong financial position.


2015 – 2017 Budget: Making a Difference2015 will be a year of investment. We plan to invest in further development of key legacy Supply Chain Council programs and services and build out the APICS Supply Chain Council. The organization anticipates a significant return in the future years. In addition, capacity is being created within the organization to serve an ever increasing number of professional and corporate customers either directly or through our strong network of channel partners.

In the 2016 and 2017 budgets, the return on these investments will start to be realized, However, maximizing the return related to the SCC integration and strategic priorities will not be fully realized until beyond this budget period. Without continued investment in our products, services and channels, it will be impossible for APICS to meaningfully contribute to the expanding world of supply chain and support the mission of the organization.

APICS Develops People

People Improve Supply Chains

Supply Chains Improve Economies

Improved Economies Improve Lives


2015-2017 Budget Overview

22,90124,031 23,707

25,461

29,568

33,039

35,926

+22.4%+4.9% -1.3%

+6.0%

+16.1%

+11.7%

+8.7%

-10.0%

-5.0%

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

20,000

22,500

25,000

27,500

30,000

32,500

35,000

37,500

40,000

2011 2012 2013 2014 LBE 2015B 2016B 2017B

Revenue Trends

Revenue ($000s) % change vs. prior year


2015-2017 Budget Overview

$2,878 $2,904

$976

($1,112) ($1,556)

$474

$1,869 12.6%

12.1%

4.1%

-4.4%-5.3%

1.4%

5.2%

-8.0%-6.0%-4.0%-2.0%0.0%2.0%4.0%6.0%8.0%10.0%12.0%14.0%

-6,500

-5,000

-3,500

-2,000

-500

1,000

2,500

2011 2012 2013 2014 LBE 2015B 2016B 2017B

Net Operating Income (Loss) Trends

Operating Income ($000s) Operating Margin


Key Programs/Areas of Investment

Integration ProgramsASCC SupportPublic TrainingSCOR-P education, endorsementM4SC Strategy educationASCC research/benchmarkingASCC publicationsStrategic ProgramsMembership app/report developmentAoL exam developmentStudent membershipStudent programmingCareer centerCore Products and ServicesCPIM/CSCP certificationAPICS CoursewareCorporate TrainingConferencesCapacity BuildingCorporate ServicesRegional staffDBDMsWebsite improvementsOnline Training

SCC Integratio

n Member

Workforce Developme

ntInternation

alNorth

AmericanCorporat

e Millennial

x x xx x x x x Xx x x x xx x x x xx x x xx x x x x X

x x x x x Xx x X

x x x x Xx x x x Xx x x x x X

x x x x Xx x x x x x Xx x x x x x Xx x x x x X

x x x x x xx x x

x xx x x X

X X X X X X

Individual Customers

CorporateCustomers

STRATEGIC PRIORITIES

Strategic Priorities


Five Strategic Priorities

1. Enhance capabilities to sell to corporations

2. Increase focus on international markets

3. Optimize and enhance the current North American chapter model

4. Address workforce development opportunities

5. Ensure relevance to millennials globally

In addition to the strategic priorities, the Board asked the staff to develop a new membership strategy and complete the operational and strategic integration of the APICS SCC.


Corporate: Strategic Intent Address a full range of benefits that advance corporate

supply chain performance delivered both by APICS and via the APICS partner network

Tailor benefits delivered based on specific corporate needs Increase value proposition to individual corporate customers

as they increase their engagement with APICS Firmly establish APICS as the preferred partner enabling

supply chain success for corporations across the globe

Strategy tenets: Value: Improve value to proposition to corporation Flexibility: Provide flexibility in the way corps engage Access: Ensure adequate access across the globe Input: Give corps a greater voice to impact APICS programs


International: Strategic Intent

Situation Summary Though difficult to quantify, significant untapped international

opportunity exists for APICS products and services APICS international infrastructure, focus and support has continued

to mature SCC merger opened access to international and global customers

and partners 2014 major strategy revision increased investment, commitment,

focus and effort in international markets Current momentum but distance yet to go to execute strategy

Strategic Intent: Strengthen APICS position globally as the leading association for

supply chain and operations management Grow international APICS footprint through prioritized and focused

approach Capture and leverage international value of SCC merger


North American Channel: Strategic Intent

Build a North America channel to meet needs of end-customers and Fulfills unmet market potential Ensures coverage across current and future APICS

product and services Incentivizes channel partners (chapters) based on

their market success Enables channel partner and end-customer flexibility

in working with APICS Simplifies and standardizes business models


North American Channel Strategy: Objectives

Implement a tiered channel structure based on behavioral and financial performance– Expected Impact: Tier structure will incentivize high performing chapters to do more

and motivate low performing chapters to improve or make alternative decisions.

Add new channels; APICS direct, consulting firms or training organizations.– Expected Impact: New channel partners will improve coverage, give

companies alternative ways to buy and provide (healthy) competition in the marketplace.

Allow APICS qualified instructors to affiliate with multiple channels – Expected Impact: Instructors affiliating with multiple channels increases

access and allows all channels to use APICS qualified instructors to deliver training.


Workforce Development: Strategic Intent

To create pathways for high demand supply chain management careers; partner to prepare individuals for those careers in the most effective way possible; and ultimately give them the knowledge they need to do strategic work and advance.

Strategy tenets:

Grow the number of individuals pursuing careers in supply chain and operations management.

Assure that graduating students are able to apply their education on the job.

Certify professionals to validate their knowledge and skills. Advance professionals throughout their careers by offering

content and programming individuals need to move into more strategic positions.


Millennials: Strategic IntentClosely aligned with our membership and workforce strategies, our aim is to clearly differentiate our products, ensure the relevancy of our marketing and experiences, and fuel growth and continued organizational success by meeting the need of this key – and growing – customer segment.

Strategy tenets:

Increase millennial engagement with APICS Grow the number of millennial members Leverage new membership strategy to better define

millennial value proposition Offer more meaningful content and experiences to create

lifelong members and advocates Apply previously defined guideposts across product plans

Objectives and metrics related to this strategy measure our progress on successfully executing the strategy tenets.


Membership: Strategic IntentThe strategic intent of the membership strategy is to build a customer-centric membership strategy that

Demonstrates we understand what our individual and corporate members are seeking to accomplish

Enables APICS and our affiliated organizations to be their partner in success.

Delivers a membership benefits package that can be customized to meet specific individual and corporate member needs; and evolves as the member advances in his or her career

The membership strategy is highly dependent on having in place the technology that allows APICS to mass customize membership benefits to meet the specific needs of each individual member.

The strategy will be implemented over the course of the next two years.

Supply Chain Council Integration


About APICS SCC

APICS SCC advances supply chain and operations management and innovation through research process frameworks benchmarking publications

APICS SCC maintains the Supply Chain Reference model (SCOR®), the supply chain management community’s most widely accepted framework for evaluation and comparing supply chain activities and performance.


Go to Market Product managers for Certification, PD, Research,

and Events have incorporated SCOR into their 2015 product plans.

Legacy SCC Chapter Taskforce – Staff compared the legacy SCC volunteer structure,

including the chapters, to the APICS committee and governance structure.

– A recommendation was made to the task force on the best assimilation strategy to maximize volunteer enthusiasm, eliminate overlap, and leverage best practices from APICS and legacy SCC Chapters.

– Next steps include task force approval, mapping current volunteers to appropriate committees (both in APICS and APICS SCC), and initiating an off cycle call for volunteers to populate research project task forces.


Merger Milestones

Communicate new website address and access information to legacy SCC members

Communicate the new APICS SCC Affiliate Model to key stakeholders via• Email• Webinar• 1-1 Phone calls• Presentation• Website

Complete marketing collateral to support new affiliate model

Finalize new SCORmark benchmark process


Website Integration: Complete


New APICS SCC Affiliate Model

Upcoming Events


2015 APICS Events

We hope to see you at an APICS event in 2015.

APICS 2015 São PauloMarch 12−13 | São Paulo, Brazil

APICS 2015 ShanghaiApril 16−17 | Shanghai, China

Best of the Best S&OP Conference 2015June 18–19| Chicago, Illinois

APICS 2015October 5–7| Las Vegas, Nevada

Please visit apics.org/events for more information.

http://apics.org/events

Thank you!

apics board of directors january 2015 q4 meetings update

Documents

apics confidential

apics scc board of directors

apics board of directors

apics scc bylaws

apics independent auditors

budget slide

scorp dupont slide

cscp millercoors douglas