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EBI
         Your partner
            for all
           Strategy,
         Supply Chain
               &
           Change                               PRESENTATION
          solutions




                                                MAY 15TH, 2011



   CONFIDENTIAL AND PROPRIETARY
 Any use of this material without specific
    permission of Executive Business
Intelligence Pte. Ltd. is strictly prohibited



                                                                 EXECUTIVE BUSINESS INTELLIGENCE
EBI: Our expertise and realizations


EBI’s Mission:

Our team of practitioners uses a personalized approach to achieve its mission to:

o Advise and integrate innovative value-added solutions

o Encourage the development of its resources through collaboration, ongoing competency improvement, and
  involvement in the organization's day-to-day operations

o Develop a unique partnership with clients, based on quality, innovative and personalized services

o Ensure we transfer our best practice knowledge to ensure that all processes and systems are in line with current
  and future global standards




                        Our business is to support your business


November 14, 2011                                                    EXECUTIVE BUSINESS INTELLIGENCE           2
Our strategy and change solutions are focused around five key areas



 To inject into your team the core expertise                                             Determining where and how to invest
  required to keep the high standards you                                                  resources and leadership attention
  demand
                                                INTERIM                    BUSINESS
                                                RESOURCES                  STRATEGY




                                                             MAXIMISE
                                                               VALUE
 Determining the best                                                                                   Designing and
  Technology possibilities         TECHNOLOGY                                          OPERATIONS         implementing successful
  and realities of technology                                                                             operating models
                                   STRATEGY                                            STRATEGY



                                                            ORGANIZATION
                                                            CHANGE
                                                            MANAGEMENT
                                                            STRATEGY
                                                                                       Building the change architecture and
                                                                                        organizing the people enablers




  November 14, 2011                                                             EXECUTIVE BUSINESS INTELLIGENCE                  3
The Five service areas of EBI ensure an end-to-end service model for its clients.

  Business Strategy              Operations                     Change                     Technology            Interim Resources
                                  Strategy                    Management
 Assist clients to move     Assist clients to ensure       Assist clients with        Assist clients with        To inject into your
 from issue to              that their Supply Chain        implementing a             implementing & using       team the core
 outcome, with speed,       runs at maximum                company culture            the right IT solutions     expertise required to
 certainty, and strategic   efficiency and at              which is constantly        for their business         keep the high
 focus.                     minimum costs                  adaptable to new                                      standards you demand
                                                           directions.
 • Analytics                • Supply Chain strategy        • Change management        • Dashboard – KPI          • Rapid Reaction Team
 • Business process         • Stress test                  • Management               • Modernization &          • Interim Management
   management               • Cost analysis                  Information Systems &      Optimization             • Organizational structure
 • Operational Excellence   • Network Modeling &             Control                  • Delivery & sourcing        review
 • Process & Innovation       Simulation                   • Business process           systems                  • Talent & Organization
   Performance              • Supply Chain planning &        improvement              • CAST                       Performance
 • Customer Relationship      optimization                 • Stakeholder              • Warehouse management     • Database of 650
   Management               • (New) Facility design          Management                 Systems                    practitioners
  Performance              • Sustainability & Go-         • Modernization &          • Complaint Management
   Management                 Green                          Optimization               systems
  Strategic and Program    • Transport Planning &          Communications
   Planning                   optimization                    Strategy
  Finance & Performance    • Raw Material
   management                 Management
  Management               • Educate, train, facilitate
   Dashboard/ Scorecard       and implement up-to-
  Business Intelligence      date best practice
                              procedures




November 14, 2011                                                                    EXECUTIVE BUSINESS INTELLIGENCE                   4
EBI uses the six sigma DMAIC process as standard approach for its projects.




                                                 Define
                                                Define Project
                                             Document Processes




              Control      Control the
                          process with
                                                                       Measure how well
                                                                     existing process really    Measure
                           statistical                              fulfils existing customer
                            methods.                                           needs




                                                            Analyze process data & main
                            Improve & optimize              causes of defects / issues and
                            processes                        determine possible areas of
                                                                 improvement / gaps




                    Improve                                                  Analyze


November 14, 2011                                                  EXECUTIVE BUSINESS INTELLIGENCE    5
Our offices are spread across Europe, Asia & the Middle East ensuring close proximity to
  our clients.




                     London
                           Paris


                                                                                        Bangkok

                                                 Dubai

                                                Singapore



               Head Office

               Offices

               Associate Partners



November 14, 2011                                           EXECUTIVE BUSINESS INTELLIGENCE       6
The relevance of Supply Chains to Businesses has become far greater in recent years
 Some Reasons:
 •  Globalisation/Expansion Trade is Irreversible.
 •  Higher Expectations and Demands by Customers.
 •  Inefficient Supply Chains result in poor customer service and weaker financial results
 •  Companies Compete with Their Supply Chains
 •  Supply Chains Getting increasingly more complex
 •  More focus on order to cash cycle




 •        McKinsey estimates 85% of world’s GDP will be sold across int’l borders within 20 years




November 14, 2011                                                         EXECUTIVE BUSINESS INTELLIGENCE   7
Common supply chain problems at customers show the importance of proper Supply Chain
  management

  •       Lack of relevant SCM metrics: How to measure responsiveness?
           • How to measure efficiency, costs, worker performance, etc?
  •       Poor inventory status information
           •   Transaction errors & Misplaced inventory.
           •   Information delays, dated information, incompatible information systems
           •   Spoilage & theft.
           •   Product quality and yield
           •   Lack of visibility in Supply Chains
               – Do you know the inventory your distribution centers hold?
               – Do you know the inventory your fellow retailer holds?
  •       Poor delivery status information
           • Not knowing the order status
  •       Poor IT design
           • Unreliable, duplicate data
           • Security problems: too much or too little
  •       Ignoring uncertainties
           • “The flight from uncertainty and ambiguity is so motivated that we often create pseudo certainty. (source: Nitin Nohra, HBR February
               2006 issue, p.40.)
  •       Internal customer discrimination
           • Giving lower priority to internal customers than external customers
  •       Poor integration
  •       Elusive inventory costs
           • Accounting systems do not capture opportunity costs
  •       SC-insensitive product design




November 14, 2011                                                                          EXECUTIVE BUSINESS INTELLIGENCE                      8
Supply Chain Optimization as key success factor for companies

  Area for review:
                        To optimize storage sites and logistics processes
                              in order to reach world-class standard


  Typical Project Requests:
  o Storage site design & optimization
       Site assessment and capacity diagnosis
       Storage site design and optimization (MP, WIP, PF, MRO, etc.)
       Applicable technologies selection
  o Optimization of logistics processes
       Diagnosis of logistics operations using in depth analysis
       Optimization and reengineering of processes
       Development and implementation of labour standards
       Optimization of product positioning (slotting)

  Tools:
  o Diagnosis: Analytics, Dashboards, Auditing
  o Drawing: AutoCAD
  o Simulations: CAST DPM & CLASS (Warehouse Simulation)



November 14, 2011                                                       EXECUTIVE BUSINESS INTELLIGENCE   9
(New) Facility Design best practice is key in optimizing the supply chain and maintaining a
  low cost basis

  Area of review:
      To assist our customers in getting world-class buildings and facilities optimised
                               for their individual requirements

  Our consultants have experience in designing facilities for both warehouse and transport operations to
  ensure a safe and environmentally friendly workplace which is also cost effective to operate and provide
  maximum efficiency and flexibility.

  We have successfully designed and implemented Distribution Centres of up to 60,000 square meters,
  including Internal fit out, mechanical handling equipment and fully automated systems.
  Capability for delivery of Turn-Key Solutions and management of multiple contractors.

  •   Green-Field or site improvements
  •   Data Analysis to confirm sizing etc
  •   “Floor Up” Design evaluations
  •   Internal Fit Out:
  •   Racking evaluation and design
  •   M.H.E.
  •   Conveyors and sortation equipment
  •   Operational office layout
  •   Lighting
  •   Safety equipment


November 14, 2011                                                   EXECUTIVE BUSINESS INTELLIGENCE          10
There are many different areas in (New) Facility Design that need to be taken into
  consideration




                                     EBI / Customer/ Contractor Joint Project Team

                    Our Consultants are experts in considering all factors in new warehouse designs such as:
                      • Capacity              • Future use flexibility   • Pedestrian access            •   Special needs
                        maximization          • Goods vehicle                and walkways               •   Staff movement
                      • Communications          parking                  •   Piling                     •   Staff vehicle access
                      • Construction costs    • Government               •   Plot coverage              •   Staff welfare
                      • Construction            regulations              •   Pillar positions           •   ISO & GMP
                        timescale
                                              • Green image              •   Power locations            •   Storage equipment
                      • Corporate standards
                      • Culture & religion    • Health & Safety          •   Power usage                •   Sustainability
                      • Customer              • Hygiene                  •   Prevailing weather         •   Temperature
                        requirements          • IT Systems               •   Process flows                  regulation
                      • Damage limitation     • Integration of           •   Product flows              •   Transport
                      • Driver movement         handling equipment       •   Product protection             management plan
                        control
                                              • Location & Aspect        •                              •   Vulnerable traffic
                      • Durability                                           Productivity
                      • Environmental         • Low cost lighting            management                 •   Vehicle access,
                        factors               • Maintenance and          •   Risk protection                egress and parking
                      • Fire protection         upkeep                   •   Seasonality factors        •   Ventilation
                      • Floor flatness        • Natural lighting                                        •   Visitor movement
                                                                         •   Security & CCTV
                      • Floor strength        • Peak handling                                               control


                                      Strength in Operations from Secure Foundations

November 14, 2011                                                                         EXECUTIVE BUSINESS INTELLIGENCE          11
Appendix I
         PARTNER IN MIDDLE EAST




November 14, 2011                 EXECUTIVE BUSINESS INTELLIGENCE   12
Our Associate partner in Dubai - Logistixware

  Logistixware specializes in supply chain and logistics - consulting, software solutions, systems integration and
  performance analysis. In today’s complex supply chain environments, Logistixware understands the challenges
  and provides its clients with solutions keeping their unique needs in mind.

  Logistixware’s business model is based on successfully leveraging our association with internationally renowned
  partners such as Manhattan Associates, Cubiscan, Psion Teklogix, Symbol.. for supply chain execution solutions to
  ultimately provide its customers a fulfilling experience using world-class technology solutions with a local flair.
  Headquartered in Dubai, Logistixware covers projects in the region encompassing the GCC (UAE, Qatar, Saudi
  Arabia, Oman, Bahrain and Kuwait) and the greater Middle East.




                                       Logistixware Customers



  Mr. Hemal Shah MBA hemalshah@logistixware.biz www.logistixware.biz
  P O Box 2 Dubai, United Arab Emirates
  Tel: + 971 4 3311605 Fax: + 971 4 3317088
  info@logistixware.biz



November 14, 2011                                                       EXECUTIVE BUSINESS INTELLIGENCE              13
Appendix II
         SAMPLE OPERATIONAL ASSESSMENT TOOLS




November 14, 2011                              EXECUTIVE BUSINESS INTELLIGENCE   14
Sample Operational Assessment Tools -1

    Assessment Overview                                                                                         Checklist
    The purpose of this overview is to define the                                                               The detailed Operational Assessment checklist contains 8
    steps required for conducting Operational                                                                   chapters split in 29 sub chapters with a total of 700 questions.
    Assessments on Logistics warehouse sites. The
    Operational Assessments will look at various
    components such as Safety, Health, Environment,
    Operations, Performance, Systems, People,
    Finance, and Risk Management.

                                                                                                        Audit

                   Sample scope of Operational Assessment :

        Safety, Health, and Environment                 Operations             People

        Environment                                     Inbound                Communication                    Audit
        Facility Infrastructure                         Outbound               Training

        Safety                                          Inventory Management   Qualification                    The Audit Summary will show the overall score per chapter/sub-
        Security                                        Returns Management     Attendance / Retention           chapter, including a spider-web graph for visual understanding.
        MHE & Pallets                                   Housekeeping           Health & Safety Policy
                                                                                                                                         15
        Material Storage & Handling                     Office

                                                                               Finance

        Performance                                     Additional Services    Budget & Margin

        KPI’s                                           Transportation         Debit & Credit

        Continuous Improvement                          Value-added Services

        Best Practice                                                          Risk Management

        Customer Relation                               Systems                Contingency Plan

                                                        WMS                    Operational Assessment

                                                        Network                Legal




November 14, 2011                                                                                                               EXECUTIVE BUSINESS INTELLIGENCE
Sample Operational Assessment Tools -2

    Rating System                                              Documentation Review
    A binary rating system will be used to complete the        Example of documents (procedures, work instructions, records etc)
    Operational Assessment form. For each topic of the         which will be reviewed during the Operational Assessment.
    Operational Assessment checklist, the auditor will
    assign a rating: either 1 or 0, depending on whether       Minutes of meeting, both internal and external (with Roles &
    the site satisfies the criteria in question. The ratings   Responsibilities / job description documents
    will be used in trend analysis and total performance
    calculation.
                                                                       Safety, Health, and
    Should an area mentioned in the Operational                        Environment                Operations
                                                                                                  SOPs (min. Inbound, Outbound,
                                                                                                                                  Systems
                                                                                                                                  Sample manual processing
    Assessment form be irrelevant for the Assessed site,               Safety Training Manual     Cycle Count)
                                                                                                  Inventory check results /
                                                                                                                                  forms

    the auditor has to indicate a ‘NA’ so that this                    Accident Records           variance reports                (in case WMS fails)

                                                                       Fire Certificate           Records of exception handling
    component will not be taken into account when                      Equipment Insurance
                                                                       Certificate                                                Finance
    calculating the performance.                                       MHE Safety Operating
                                                                       Certificate                Additional Services             Contract

                                                                       MHE Maintenance records    Transport delivery schedule     Operating Budget

                                                                       MHE checklist              Vehicle maintenance forms       Billing SOP

                                                                       MHE downtime log           Driver’s checklist
                                                                                                  SOP / Work Instruction for
                                                                       ESD handling instruction   Value-added services            Risk Management
                                                                                                                                  Contract (max liability
                                                                                                                                  clause, SLA etc)

                                                                       Performance                People                          Operating licenses
                                                                                                                                  Proof of Operational
                                                                       KPI Reports (QBR etc)      Organization chart              Assessments (forms)
                                                                                                  Records of staff
                                                                                                  attendance/absenteeism &        Records of corrective action
                                                                                                  turnover                        plan
                                                                       Continuous improvement /                                   Business Continuity Plan /
                                                                       best practice example      HR Manual                       Emergency Response plan
                                                                                                                                  Manual back-up plan
                                                                                                  Health & Safety Policy          (sample forms)




November 14, 2011                                                                      EXECUTIVE BUSINESS INTELLIGENCE                                           16
Sample Operational Assessment Tools -3

    Detailed Checklist                                        Detailed Checklist
    In addition to the binary rating system, the auditor is   The idea behind the “Green the Wheel” principle is to use a very
    encouraged to document the observations made during       visual method to give the status of a project, sector or anything
    the Operational Assessment: Detailed Operational          else. The simple goal is to get all boxes colour green…
    Assessment Checklist.
                                                              Each section will be colour Green if the corresponding
    Operational Assessment Findings including Best            chapter/sub-chapter scores above 85%, Yellow (low risk) if
    Practices & Recommendations.                              between 60%-85% and Red (high risk) if below 60%.




    Recommendations                                           Consolidation Report
    Operational Assessment Findings including Best            Consolidated summary report / graphs assist to visualize the weak
    Practices & Recommendations.                              area for improvement




November 14, 2011                                                           EXECUTIVE BUSINESS INTELLIGENCE
                                                               Consolidation

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EBI Presentation 2011

  • 1. EBI Your partner for all Strategy, Supply Chain & Change PRESENTATION solutions MAY 15TH, 2011 CONFIDENTIAL AND PROPRIETARY Any use of this material without specific permission of Executive Business Intelligence Pte. Ltd. is strictly prohibited EXECUTIVE BUSINESS INTELLIGENCE
  • 2. EBI: Our expertise and realizations EBI’s Mission: Our team of practitioners uses a personalized approach to achieve its mission to: o Advise and integrate innovative value-added solutions o Encourage the development of its resources through collaboration, ongoing competency improvement, and involvement in the organization's day-to-day operations o Develop a unique partnership with clients, based on quality, innovative and personalized services o Ensure we transfer our best practice knowledge to ensure that all processes and systems are in line with current and future global standards Our business is to support your business November 14, 2011 EXECUTIVE BUSINESS INTELLIGENCE 2
  • 3. Our strategy and change solutions are focused around five key areas  To inject into your team the core expertise  Determining where and how to invest required to keep the high standards you resources and leadership attention demand INTERIM BUSINESS RESOURCES STRATEGY MAXIMISE VALUE  Determining the best  Designing and Technology possibilities TECHNOLOGY OPERATIONS implementing successful and realities of technology operating models STRATEGY STRATEGY ORGANIZATION CHANGE MANAGEMENT STRATEGY  Building the change architecture and organizing the people enablers November 14, 2011 EXECUTIVE BUSINESS INTELLIGENCE 3
  • 4. The Five service areas of EBI ensure an end-to-end service model for its clients. Business Strategy Operations Change Technology Interim Resources Strategy Management Assist clients to move Assist clients to ensure Assist clients with Assist clients with To inject into your from issue to that their Supply Chain implementing a implementing & using team the core outcome, with speed, runs at maximum company culture the right IT solutions expertise required to certainty, and strategic efficiency and at which is constantly for their business keep the high focus. minimum costs adaptable to new standards you demand directions. • Analytics • Supply Chain strategy • Change management • Dashboard – KPI • Rapid Reaction Team • Business process • Stress test • Management • Modernization & • Interim Management management • Cost analysis Information Systems & Optimization • Organizational structure • Operational Excellence • Network Modeling & Control • Delivery & sourcing review • Process & Innovation Simulation • Business process systems • Talent & Organization Performance • Supply Chain planning & improvement • CAST Performance • Customer Relationship optimization • Stakeholder • Warehouse management • Database of 650 Management • (New) Facility design Management Systems practitioners  Performance • Sustainability & Go- • Modernization & • Complaint Management Management Green Optimization systems  Strategic and Program • Transport Planning &  Communications Planning optimization Strategy  Finance & Performance • Raw Material management Management  Management • Educate, train, facilitate Dashboard/ Scorecard and implement up-to-  Business Intelligence date best practice procedures November 14, 2011 EXECUTIVE BUSINESS INTELLIGENCE 4
  • 5. EBI uses the six sigma DMAIC process as standard approach for its projects. Define Define Project Document Processes Control Control the process with Measure how well existing process really Measure statistical fulfils existing customer methods. needs Analyze process data & main Improve & optimize causes of defects / issues and processes determine possible areas of improvement / gaps Improve Analyze November 14, 2011 EXECUTIVE BUSINESS INTELLIGENCE 5
  • 6. Our offices are spread across Europe, Asia & the Middle East ensuring close proximity to our clients. London Paris Bangkok Dubai Singapore Head Office Offices Associate Partners November 14, 2011 EXECUTIVE BUSINESS INTELLIGENCE 6
  • 7. The relevance of Supply Chains to Businesses has become far greater in recent years Some Reasons: • Globalisation/Expansion Trade is Irreversible. • Higher Expectations and Demands by Customers. • Inefficient Supply Chains result in poor customer service and weaker financial results • Companies Compete with Their Supply Chains • Supply Chains Getting increasingly more complex • More focus on order to cash cycle • McKinsey estimates 85% of world’s GDP will be sold across int’l borders within 20 years November 14, 2011 EXECUTIVE BUSINESS INTELLIGENCE 7
  • 8. Common supply chain problems at customers show the importance of proper Supply Chain management • Lack of relevant SCM metrics: How to measure responsiveness? • How to measure efficiency, costs, worker performance, etc? • Poor inventory status information • Transaction errors & Misplaced inventory. • Information delays, dated information, incompatible information systems • Spoilage & theft. • Product quality and yield • Lack of visibility in Supply Chains – Do you know the inventory your distribution centers hold? – Do you know the inventory your fellow retailer holds? • Poor delivery status information • Not knowing the order status • Poor IT design • Unreliable, duplicate data • Security problems: too much or too little • Ignoring uncertainties • “The flight from uncertainty and ambiguity is so motivated that we often create pseudo certainty. (source: Nitin Nohra, HBR February 2006 issue, p.40.) • Internal customer discrimination • Giving lower priority to internal customers than external customers • Poor integration • Elusive inventory costs • Accounting systems do not capture opportunity costs • SC-insensitive product design November 14, 2011 EXECUTIVE BUSINESS INTELLIGENCE 8
  • 9. Supply Chain Optimization as key success factor for companies Area for review: To optimize storage sites and logistics processes in order to reach world-class standard Typical Project Requests: o Storage site design & optimization  Site assessment and capacity diagnosis  Storage site design and optimization (MP, WIP, PF, MRO, etc.)  Applicable technologies selection o Optimization of logistics processes  Diagnosis of logistics operations using in depth analysis  Optimization and reengineering of processes  Development and implementation of labour standards  Optimization of product positioning (slotting) Tools: o Diagnosis: Analytics, Dashboards, Auditing o Drawing: AutoCAD o Simulations: CAST DPM & CLASS (Warehouse Simulation) November 14, 2011 EXECUTIVE BUSINESS INTELLIGENCE 9
  • 10. (New) Facility Design best practice is key in optimizing the supply chain and maintaining a low cost basis Area of review: To assist our customers in getting world-class buildings and facilities optimised for their individual requirements Our consultants have experience in designing facilities for both warehouse and transport operations to ensure a safe and environmentally friendly workplace which is also cost effective to operate and provide maximum efficiency and flexibility. We have successfully designed and implemented Distribution Centres of up to 60,000 square meters, including Internal fit out, mechanical handling equipment and fully automated systems. Capability for delivery of Turn-Key Solutions and management of multiple contractors. • Green-Field or site improvements • Data Analysis to confirm sizing etc • “Floor Up” Design evaluations • Internal Fit Out: • Racking evaluation and design • M.H.E. • Conveyors and sortation equipment • Operational office layout • Lighting • Safety equipment November 14, 2011 EXECUTIVE BUSINESS INTELLIGENCE 10
  • 11. There are many different areas in (New) Facility Design that need to be taken into consideration EBI / Customer/ Contractor Joint Project Team Our Consultants are experts in considering all factors in new warehouse designs such as: • Capacity • Future use flexibility • Pedestrian access • Special needs maximization • Goods vehicle and walkways • Staff movement • Communications parking • Piling • Staff vehicle access • Construction costs • Government • Plot coverage • Staff welfare • Construction regulations • Pillar positions • ISO & GMP timescale • Green image • Power locations • Storage equipment • Corporate standards • Culture & religion • Health & Safety • Power usage • Sustainability • Customer • Hygiene • Prevailing weather • Temperature requirements • IT Systems • Process flows regulation • Damage limitation • Integration of • Product flows • Transport • Driver movement handling equipment • Product protection management plan control • Location & Aspect • • Vulnerable traffic • Durability Productivity • Environmental • Low cost lighting management • Vehicle access, factors • Maintenance and • Risk protection egress and parking • Fire protection upkeep • Seasonality factors • Ventilation • Floor flatness • Natural lighting • Visitor movement • Security & CCTV • Floor strength • Peak handling control Strength in Operations from Secure Foundations November 14, 2011 EXECUTIVE BUSINESS INTELLIGENCE 11
  • 12. Appendix I PARTNER IN MIDDLE EAST November 14, 2011 EXECUTIVE BUSINESS INTELLIGENCE 12
  • 13. Our Associate partner in Dubai - Logistixware Logistixware specializes in supply chain and logistics - consulting, software solutions, systems integration and performance analysis. In today’s complex supply chain environments, Logistixware understands the challenges and provides its clients with solutions keeping their unique needs in mind. Logistixware’s business model is based on successfully leveraging our association with internationally renowned partners such as Manhattan Associates, Cubiscan, Psion Teklogix, Symbol.. for supply chain execution solutions to ultimately provide its customers a fulfilling experience using world-class technology solutions with a local flair. Headquartered in Dubai, Logistixware covers projects in the region encompassing the GCC (UAE, Qatar, Saudi Arabia, Oman, Bahrain and Kuwait) and the greater Middle East. Logistixware Customers Mr. Hemal Shah MBA hemalshah@logistixware.biz www.logistixware.biz P O Box 2 Dubai, United Arab Emirates Tel: + 971 4 3311605 Fax: + 971 4 3317088 info@logistixware.biz November 14, 2011 EXECUTIVE BUSINESS INTELLIGENCE 13
  • 14. Appendix II SAMPLE OPERATIONAL ASSESSMENT TOOLS November 14, 2011 EXECUTIVE BUSINESS INTELLIGENCE 14
  • 15. Sample Operational Assessment Tools -1 Assessment Overview Checklist The purpose of this overview is to define the The detailed Operational Assessment checklist contains 8 steps required for conducting Operational chapters split in 29 sub chapters with a total of 700 questions. Assessments on Logistics warehouse sites. The Operational Assessments will look at various components such as Safety, Health, Environment, Operations, Performance, Systems, People, Finance, and Risk Management. Audit Sample scope of Operational Assessment : Safety, Health, and Environment Operations People Environment Inbound Communication Audit Facility Infrastructure Outbound Training Safety Inventory Management Qualification The Audit Summary will show the overall score per chapter/sub- Security Returns Management Attendance / Retention chapter, including a spider-web graph for visual understanding. MHE & Pallets Housekeeping Health & Safety Policy 15 Material Storage & Handling Office Finance Performance Additional Services Budget & Margin KPI’s Transportation Debit & Credit Continuous Improvement Value-added Services Best Practice Risk Management Customer Relation Systems Contingency Plan WMS Operational Assessment Network Legal November 14, 2011 EXECUTIVE BUSINESS INTELLIGENCE
  • 16. Sample Operational Assessment Tools -2 Rating System Documentation Review A binary rating system will be used to complete the Example of documents (procedures, work instructions, records etc) Operational Assessment form. For each topic of the which will be reviewed during the Operational Assessment. Operational Assessment checklist, the auditor will assign a rating: either 1 or 0, depending on whether Minutes of meeting, both internal and external (with Roles & the site satisfies the criteria in question. The ratings Responsibilities / job description documents will be used in trend analysis and total performance calculation. Safety, Health, and Should an area mentioned in the Operational Environment Operations SOPs (min. Inbound, Outbound, Systems Sample manual processing Assessment form be irrelevant for the Assessed site, Safety Training Manual Cycle Count) Inventory check results / forms the auditor has to indicate a ‘NA’ so that this Accident Records variance reports (in case WMS fails) Fire Certificate Records of exception handling component will not be taken into account when Equipment Insurance Certificate Finance calculating the performance. MHE Safety Operating Certificate Additional Services Contract MHE Maintenance records Transport delivery schedule Operating Budget MHE checklist Vehicle maintenance forms Billing SOP MHE downtime log Driver’s checklist SOP / Work Instruction for ESD handling instruction Value-added services Risk Management Contract (max liability clause, SLA etc) Performance People Operating licenses Proof of Operational KPI Reports (QBR etc) Organization chart Assessments (forms) Records of staff attendance/absenteeism & Records of corrective action turnover plan Continuous improvement / Business Continuity Plan / best practice example HR Manual Emergency Response plan Manual back-up plan Health & Safety Policy (sample forms) November 14, 2011 EXECUTIVE BUSINESS INTELLIGENCE 16
  • 17. Sample Operational Assessment Tools -3 Detailed Checklist Detailed Checklist In addition to the binary rating system, the auditor is The idea behind the “Green the Wheel” principle is to use a very encouraged to document the observations made during visual method to give the status of a project, sector or anything the Operational Assessment: Detailed Operational else. The simple goal is to get all boxes colour green… Assessment Checklist. Each section will be colour Green if the corresponding Operational Assessment Findings including Best chapter/sub-chapter scores above 85%, Yellow (low risk) if Practices & Recommendations. between 60%-85% and Red (high risk) if below 60%. Recommendations Consolidation Report Operational Assessment Findings including Best Consolidated summary report / graphs assist to visualize the weak Practices & Recommendations. area for improvement November 14, 2011 EXECUTIVE BUSINESS INTELLIGENCE Consolidation