Published on September 22, 2014
2014 a YOUR ESSENTIAL EXECUTIVE TOOLKIT Sheraton Stockholm Hotel, February 5th - 6th, Stockholm, Sweden Find out more at @ www.sparepartseurope.com PLUS OPTIMIZING SPARE PARTS FOR FASTER DELIVERY Building on the success of last year’s inaugural event - Thomas Igou, Editor Presents a event Partners The World of Manufacturing event
2 Spare Parts Business Platform 2014 Conference at a Glance Day 1 - February 5th 13.30 Registration 14.15 The challenges of Spare Part channel development in Grundfos 15.00 Increasing availability and reducing stock levels of spare parts 15.30 Networking Break and 1-to-1 meetings 16.00 Transforming to a Strategic Service Organization 16.30 Unlocking the hidden supply chain potential by re-engineering your data, planning, and logistics processes 17.00 Networking Drinks Reception and 1-to-1 meetings 19.00 Dinner Day 2 - February 6th 08.00 Spare Parts Café 09.00 Service Chain Segmentation & Optimization 09.30 How to design a world class sparepart supply chain and distribution setup 10.15 Networking Break and 1-to-1 meetings 10.45 - 12:00 Focus Sessions 10.45 How to improve profitability in your aftermarket business - Strategies and examples from the Automotive and Manufacturing industry 11.15 New Pricing Culture: from cost based to value based pricing in B2B scenario 10.45 How to optimize parts availability by integrating the extended supply chain 11.15 How to optimize millions of prices on a global scale, manage complexity, define the right process and choose the right infrastructure for pricing 12.00 Networking Lunch and 1-to-1 Meetings 13.00 - 14:30 Executive Circles 14.30 Networking Break and 1-to-1 meetings 15.00 How to deal with competitive pressure from non-genuine parts and OE suppliers to retain margins and growth 15.30 The emergence of e-channels in the Automotive Aftermarket 16.00 Balancing global operations/local presence regarding pricing, parts availability and inventory management 16.30 Conference Ends Editorial Director Thomas Igou, firstname.lastname@example.org, Creative Director and Website Development Robert Dahlqvist, robert. email@example.com, Marketing Director Malin Petterson, +46 8 500 092 91, firstname.lastname@example.org, Senior Business Advisor Åsa karphammar, +46 8 120 505 53, email@example.com, Copperberg AB, St Eriksplan 11, 2tr, S-113 20 Stockholm, Sweden, Tel: +46 8 651 11 90, Fax:+46 8 441 07 93, Email: firstname.lastname@example.org, www.copperberg.com Copyright© Copperberg 2014. All rights Reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without the prior permission of the copyright owner. All views expressed in this journal are those of the respective contributors and are not necessarily the opinions of the publisher, neither do the publishers endorse any of the claims made in the articles or the advertisements. Printed in Sweden
Spare Parts Business Platform 2014 3 “the most cited priority within the next 12 months was to have an incremental growth at a higher profit By: Thomas Igou What is your pressing issue for 2014? It is evident that a lot of work has to be done in regards to spare parts optimization. Most companies are managing their global inventory by centralizing, yet customers, sometimes in remote locations, are requiring more parts to be available sooner. The dilemma lies in how to accomplish the first in a cost efficient manner (especially when it comes to logistics and transport) all the while meeting (and exceeding) customer demands. However, the actual logistics of parts distribution is not the only, or even major, challenge facing manufacturers. Spare parts, and the after-market in general, is now a proven profit center for many organizations due to the higher profit margins. The objective of manufacturers in 2014 is how to increase revenue from spare parts sales. According to a recent study we conducted with 200+ manufacturers, the most cited priority within the next 12 months was to have an incremental growth at a higher profit. And the key for growth is pricing. According to that same survey, over 80% of the respondents mentioned pricing was of high importance to them. Unsurprisingly, there is a growing challenge among manu-facturers on how to best capture the market price of spare parts, and how to assure market prices when you have such a big variety of parts (from small to big, steel to rubber, mechanic to electronic…). What is your organization currently doing when it comes to Pricing? Are you on your way to achieve pricing excellence? Continue the conversation with me on LinkedIn or Twitter. This is why there is an internal struggle between centralizing and decentralizing. We saw at last year’s Spare Parts Business Platform, for example, a presentation from CLAAS which outlined their parts logistics solutions, modelled with a multi-level distribution network combining the benefits of both centralization and decentralization. Sincerely, http://www.linkedin.com/in/thomasigou https://twitter.com/tomigou Thomas Igou The Editor “
4 Spare Parts Business Platform 2014 Program 2014 We start with Day 1 - February 5th 13.30 Registration 14.15 The challenges of Spare Part channel development in Grundfos Grundfos is a global organization operating in over 50 countries across the globe. The Logistics network currently operates 13 regional Distribution Centers and 2 Regional Spare Parts Distribution Centers worldwide. The ambition of the Group Spare Parts is to build another 3 DC’s and separate the entire parts distribution channel from others in the Group supply chain structure. Discussion Points: + • What type of distribution network to set up when operating on a global scale? • How to use Change Management as a tool • The journey: how it started? Where are we? Learning point: good to repeat/better to avoid Zoltán János Szabó Group Logistics Director Grundfos Paul McLoughlin Manager - DC & Operations Grundfos
5 Spare Parts Business Platform 2014 Program 2014 15.00 Increasing availability and reducing stock levels of spare parts How can manufacturers follow through on their promise to deliver the right parts at the right time? Service excellence becomes a tool for competitive advantage. As such, efficient forecasting is critical in order to efficiently increase availability and reduce stock levels of spare parts. 15.30 Networking Break and 1-to-1 Meetings 16.30 Unlocking the hidden supply chain potential by re-engineering your data, planning, and logistics processes To reach full potential, it is essential for manufacturers to reduce the complexity of their service supply chains, which can be quite costly between activity costs, material costs, and 3rd party costs. In order to do so and essentially reach the holy grail of increasing parts availability, some areas are key to focus on: data cleaning, dynamic planning, and process optimization. Discussion Points: + + • Drive your data, drive your business • Reduce stock, improve availability • Activity cost, the hidden gold • Optimize processes, not departments Nic Cunliffe Director of Regional Spares Centres Vaillant Group 16.00 Transforming to a Strategic Service Organization • The 7 Forces of Transformation in Manufacturing • How are Manufacturers planning to differentiate? • How will goods be bought and sold - and spares managed? Mark Brewer Presales Manager SLM EMEA PTC 17.00 Networking Drinks Reception & 1-to-1 Meetings This two hour period is dedicated to networking, and is your opportunity to catch up with speakers, discuss your issues with your peers, or look for solutions with business partners. 19.00 Dinner Discuss and evaluate your experiences from the first day of conferencing during our Evening Networking Programme. During the evening, you will also enjoy an exclusive dinner together with your peers in the lovely city of Stockholm. Discussion Points: • Commitment to Service Excellence • Kill dummy items • Calculate forecast/safety stock • Stock Management Norbert Bitschi Stores/Materials Manager Liebherr-Werknenzing GmbH Filip Stål Sales Director SLM PTC
6 Spare Parts Business Platform 2014 Program 2014 Day 2 - February 6th 08.00 Spare Parts Café – the best ideas come with a “good cup of coffee.” Don’t you think so? We do! The opening session consists of small round tables with speakers, business partners and attendees where the participants will revisit the key themes of Day 1 and develop further on the cutting edge topics discussed by giving their point of view, in a relaxed atmosphere. 09.00 Service Chain Segmentation & Optimization Manufacturers feel an increasing pressure on their supply chains to support growing global & complex spare parts operations. The challenge lies in how to reduce the costs and complexities of their service chain all the while improving the operational speed of their parts supply chain. Discussion Points: + • Strategies to improve your service and parts metrics for • Service chain segmentation • Setting segment-specific targets • Optimization of service levels versus optimization of availability • Case Study: reducing inventory and service levels using global service parts optimization approach 10.15 Networking Break and 1-to-1 Meetings Ulrich Thonemann Professor Supply Chain Management University of Cologne 09.30 How to design a world class spare part supply chain and distribution setup In this presentation, Knud will go through how Alfa Laval has designed its sparepart supply chains and distribution setup related to KPI’s, location of distri-bution centers, and optimal organizational setup. Discussion Points: + • Where do we locate our DC’s • What should be stocked and how do we optimize it? • How do we define an optimal organization? • KPI’s and how to improve the operational performance Knud Midtgaard Vice President Group Operations Alfa Laval Delegates are welcome to choose the sessions they want to attend. 10.45 How to improve profitability in your aftermarket business - Strategies and examples from the Automotive and Manufacturing industry • Profit and growth potentials in the aftermarket on the market side • Differentiated pricing: product segments, customers and countries • Design a systematic value and price driver approach in your pricing • Selected pricing tools for a successful aftermarket pricing • Case study: a roadmap to successful parts pricing Bernhard Ebel, Managing Partner, EbelHofer Strategy & Management Consultants Thomas Bard, Client & former Executive, German Automotive Premium OEM 10.45 How to optimize parts availability by integrating the extended supply chain • Finding the win-win situation between OEM’s and distribution partners • How data challenges and integration can be minimized • Success factors for increasing Service to the end customer and implementing RIM solutions Tomas Wennerstein Managing Director Syncron US + 10.45 – 12.00 Focus Sessions
7 Spare Parts Business Platform 2014 Program 2014 12.00 Networking Lunch and 1-to-1 Meetings + 13.00 Executive Circles The Roundtable Discussions are your opportunity to get your voice heard. In a stimulating work atmosphere, The Roundtable Discussions are your opportunity to get your voice heard. In a stimulating work atmosphere, the partici-pants discuss new perspectives and ideas. After 40 minutes the discussions end and the participants move on to the next table. You will experience intensive discussions, share innovative ideas and identify practical solutions. Some of the topics that will be discussed (subject to change): Managing Aftermarket Dealers Stefan Küster After Sales Manager, Diesel Motor Nordic AB Service Chain Segmentation & Optimization Ulrich Thonemann, Professor Supply Chain Management, University of Cologne How can a 3PL match your specific requirements in the long term? Ruben Coetsier, Head Business Line Aftermarket Logistics, Katoen Natie Grab the full potential of the spare part offering through pricing Karl Larsson, VP System Solutions, Navetti Spare Part Channel Development Zoltán János Szabó, Group Logistics Director, Grundfos Paul McLoughlin, Manager - DC & Operations, Grundfos 11.15 New Pricing Culture: from cost based to value based pricing in B2B scenario • Cost based pricing: risks • Value based pricing: opportunity • VBP is not only IT implementations • Customers reactions Marino Roberto Director After Sales & Spare Parts Carraro Drive Tech 11.15 How to optimize millions of prices on a global scale, manage complexity, define the right process and choose the right infrastructure for pricing • Why Global Pricing is necessary and beneficial for companies • How to develop and implement a Global Pricing operation • How to define the right processes • How to choose the right software Paul Glenn Head of Global Pricing Systemservice Heidelberg
8 Spare Parts Business Platform 2014 Program 2014 14.30 Networking Break and 1-to-1 Meetings 15.00 How to deal with competitive pressure from non-genuine parts and OE suppliers to retain margins and growth • Optimizing your spare parts value proposition as the main differentiator to competition • Emphasizing the service level guarantees and safety reliability of your spare parts • Pricing strategies to remain competitive against non-genuine parts while remaining profitable 15.30 The emergence of e-channels in the Automotive Aftermarket The internet has revolutionized many businesses over the years. The manufacturing industry, and its aftermarket sector in particular, is finally catching up to the hype and now able to use tools such as e-commerce as opportunities for global growth, increased sales, and higher profit margins. Listen in on Tenneco’s journey with e-commerce, one of the first in the industry. Discussion Points: + • How to use the internet as a new channel to increase parts sales • The importance of real time integration with order management and distribution systems • Ta-direct.com journey: building one of the first online aftermarket order management systems Alex Gelbcke VP General Manager Europe Aftermarket Tenneco 16.00 Balancing global operations/local presence regarding pricing, parts availability and inventory management Spare parts is for many manufacturers, a global affair. This creates the dilemma of building a model or process that can be applied cross-markets, but that is customized to the specifications of each markets. The three key issues when dealing with global operations are pricing market segmentation; ensuring parts availability across markets, and keeping a balanced stock level. Discussion Points: + • How to balance availability with global inventory management • How to manage local market pricing whilst maintaining global price levels and avoiding arbitrage • How to work with field service in developing more advanced spare part services Juha Pankakoski Head of BU Parts Konecranes 16.30 Conference Ends Carl Möller Director Aftersales Bromma
Spare Parts Business Platform 2014 9 Speakers 2014 Alex Gelbcke, VP General Manager, Europé Aftermarket, Tenneco Alex Gelbcke, vice president and general manager, Europe aftermarket, is responsible for the company’s after-market business in Europe, the Middle East, and Africa, (EMEA) which includes sales, marketing, engineering, strategic planning, and business development. He also works closely with the aftermarket organizations in the International regions to integrate product offerings and marketing support programs. Mr. Gelbcke was named to his current position in July 2007. Prior to that, he had been vice president of aftermarket sales and marketing in Europe since 2005. His previous assignments also included sales and marketing director for Central and East Europe, Middle East and Africa (2004); and sales and marketing director for Central and East Europe (2002). He joined Tenneco in 1998 from the mining company BIA, where he was general manager for North Africa in charge of sales, services and maintenance of mining and construction equipment. Nic Cunliffe, Director of Regional Spares Centres, Vaillant Group Nic is the Director of Regional Spares Centres including UK, Spain, Slovakia & China. He is an internal consultant and optimisation expert in systems, process, data and related supply chain. His experience includes Sales at Director level, Multi-national SAP imple-mentation, field service supply chain optimisation and M&A projects. Nic is 50 years old and has been working for Vaillant Group last 13 of them in following capacities: Sales Director; Glowworm Boilers; Logistics Director, UK; Steering & Perfor-mance Director, European Spares. Currently, Di-rector Regional Spares Centres & Group logistics process owner, Spares & Service. Previously, he was Head of Corporate Data and process manage-ment, Caradon Plumbing Solutions. He was also Divisional Sales Manager, Ideal Boilers and Export Sales Manager - Aerospa whirlpool systems. Marino Roberto, After Sales & Spare Parts Director, Carraro SpA Marino is the After Sales and Spare Parts Director at Carraro Group (www.carraro.com), multinational global leader in the production of power transmission systems, where he has worked since May 2008. He is responsible for after sales & spare parts manage-ment and to develop the growth of spare parts business all over the world. Marino reports to the Chief Executive Officer. From August 2006 to April 2008, he has been the Spare Parts & Service Manager at Global Garden Products Group, with responsibility for spare parts and after sales. GGP is a European garden equipment company manufacturing lawnmowers, tractors, chain saws, brush cutters, snow plow professional machines. From 1996 to 2005 a long experience in After Sales & Spare Parts in motorcycles business (Aprilia and Piaggio), covering different roles (last responsability in Piaggio Group was: Spare Parts & Accessories worldwide Sales Manager, for every brand of Piaggio). Chairman: Ulrich Thonemann, Professor Supply Chain Management, University of Cologne Ulrich Thonemann is Professor for Supply Chain Management at the University of Cologne and Director of the Department of Supply Chain Management. He started his academic career as a Professor for Supply Chain Manage-ment at Stanford University and also holds Master and Ph.D. degrees from Stanford. Before joining academia, he worked as a management consul-tant at McKinsey & Company in Cologne. His publications have appeared in journals such as Management Science, Operations Research, Har-vard Business Manager and the European Journal of Operational Research. His current research focuses on Supply Chain Management, Service Management, and Behavioral Operations and on the application of state-of-the-art approaches in industry. Norbert Bitschi, Stores/Materials Manager, Liebherr-Werknenzing GmbH Norbert has been working at Liebherr since 2004. He is currently the stores/materials manager, where he works with stock management, forecasting, Liebherr’s commitment to service excellence. He was previously in charge of strategic purchasing, and has worked in waste management for the Local Authorities Association Voralberg. He spent his academeic studies at the University of Vienna and the Vienna University of Economics and Business. Juha Pankakoski, VP Head of BU Parts, Konecranes Juha Pankakoski has been working for Konecranes, the world-leading com-pany in lifting business, since 2004. Prior to that he has held various executive-level posi-tions in international telecommunications, IT, and medical companies. Most recently, Juha Pankako-ski has been responsible for the aftermarket parts business at Konecranes. Konecranes has for over 50 years been actively pursuing service market, which currently comprises approximately forty percent of its total revenue. Zoltan Janos Szabo, Group Logistics Director, Grundfos Zoltan has a college degree mechanical engineering and post graduated econo-mist. His career started in automotive 7+ years. He has spent it in more than one field as of finance, quality, manufacturing and project manage-ment. Transferring production lines across European factories founded his knowledge in logistics. He has been working in last 12 years in logistics area, with a 2 years break of being General Manager in a manufacturing plant in Mexico. Since 2 years He is heading Grundfos Group logistics function, his area of responsibility are logistics infrastructure and order to delivery process of Operations at Grundfos Group. The yearly transportation spending is 100+ mil EUR. It covers raw materials, WIP, finish goods and spare parts distribution networks. Grundfos Logistics net-work operates 13 regional Distribution Centers and 2 Regional Spare Parts Distribution Centers worldwide. Grundfos runs ERP systems in all units under SAP. The Group Spare parts distribution ambition is to build another 3 regional Distribution centers, and separate the entire spare part distribution channel from others in the Grundfos Group supply chain structure. Dr. Paul Artur Glenn, Head of Global Pricing Service and Parts, Heidelberger Druckmaschinen AG Paul Glenn has extensive pricing experi-ence, which he acquired during the last ten years both from working with companies as a consultant and more than seven years in industry responsibilities. As a pricing expert he has wide practical and inter-national pricing experience in Europe, Americas and Asia-Pacific. Paul Glenn leads the Pricing of Services and Parts at Heidelberger Druckmaschinen AG. In his role he developed and implemented new pricing strategies, methods, processes, manages the change from a decentralized to a global pricing organization and set-up and implemented a global pricing-system in record time. Dr. Paul Glenn has a background in in-dustrial engineering and management and business administration. He is lecturer of Business Dynamics at the Karlsruhe Institute of Technology (KIT) and Pricing at the University of Aachen. He has published books and articles and is getting involved in research advisory. Paul McLoughlin, Manager - DC & Operations, Grundfos Paul has worked for Grundfos now for over 10 years and specifically for Grundfos Distribution Service which is the Company set up by Grundfos to manage the After Market (Spare Parts) Supply chain as a Core business. They plan, purchase, stock and distribute Pump Spare Parts worldwide. Paul also manages an additional Regional DC in Singapore, supporting Asia and the Pacific and have plans for further Regional DCs in other parts of the world. Previously, Paul worked for Dell Computers for 11 years, the last 6 of which were specifically engaged in “Service Logistics” and included managing 3PLs setting up & managing regional DC’s, Forward Stocking Locations and Pudos (Pick Up/Drop Off) points.
10 Spare Parts Business Platform 2014 Bernhard Ebel, Managing Partner, EbelHofer Strategy & Management Consultants Bernhard Ebel is Managing Partner at EbelHofer Strategy & Management Consultants in Cologne. He is specialized on growth and profit improvement on the market side, in particular on sales, pricing, marketing and strategy/organizational topics. Bernhard has a broad experience for over 20 years in industry and consulting. He has carried out numerous projects e.g. in companies in the automo-tive and manufacturing/supplier industry, in service and aftersales organisations in Europe, US/Canada, South America, China, Japan as well as other Asian countries. He holds a degree in industrial engineering (University of Karlsruhe) and a PhD in engineering. Carl Möller, Director Aftersales, Bromma Mr. Carl Moller is Director, AfterSales, and a member of the management team at the world leader in crane spreaders, Bromma. Mr. Moller previously held several positions in the Services segment at Bromma. Prior to joining Bromma, Mr. Moller worked for Cargotec (Kalmar) for more than 10 years based in Stockholm and Hong Kong, holding various Sales and Marketing & Com-munications positions. Mr Moller is currently based at Bromma headquarters in Stockholm, Sweden. Stefan Küster, After Sales Manager, Diesel Motor Nordic Stefan is the aftersales manager at Diesel Motor Nordic. He is responsible for the complete after sales process, with control of multinational dealer networks and dealer development, as well as aftersales marketing. He held previous roles at Deutz Ag as Head of After Sales Middle East and Head of After Sales Central Europe, where he increased market shares in after sales with key accounts of the dealers, end users and OEMs. Thomas Bard, former Executive, German Automotive Premium OEM Thomas Bard has extensive automo-tive and aftermarket experience, having worked over more than two decades as both a Senior Executive and as a Consultant on numerous strategic projects in the Automotive Industry, in Consumer Goods and Retailing. Having lived and worked in various European geographies, in both North and Latin America, he is keenly aware of industry- and location-specific aspects as well as the cultural and institutional setting that impact successful and profitable pricing strategy and policy. Recently, in his role as Director for Global Parts Sales, he initiated and led a major pricing and incentive system redesign for the global parts business of a German automotive premium OEM. Tomas Wennerstein, Managing Director, Syncron US Tomas joined Syncron in 2001 as a business consultant. Mr. Wennerstein has since been involved and responsible for a number of global implementation projects of the Syncron applications and has a wide experience of Supply Chain Management from many different assignments in a variety of industries. Mr. Wennerstein has also held several senior management positions during his career within Syncron. Today, in addition to managing the Syncron US operation, Tomas functions as an expert in helping clients to set up and implement programs for managing their extended Supply Chain from an Inventory Management aspect. Speakers 2014 Knud Midtgaard, Vice President Group Operations, Alfa Laval Knud Midtgaard is Vice President Group Operations at Alfa Laval. He is responsi-ble for all Logistics activities in the Group and Supply Chain Responsible for the Spare Parts. Before joining Alfa Laval he has held a number of positions as Logistics Executive in Scandinavian Companies and he has more than 20 years experi-ence within the field.
Spare Parts Business Platform 2014 11 Welcome To Our Company – A World Of Manufacturing Copperberg’s goal is to accelerate growth and progress within organizations and across the global manufacturing industry. So, how do we actually do that? Thomas Igou Content Director Phone: +46 8 50 25 5239 E-mail: email@example.com LinkedIn: www.linkedin.com/in/thomasigou Twitter: twitter.com/tomigou Herbert Spencer once said: “The great aim of education is not knowledge, but action”. “As long as no human, On a daily basis we work hard to improve, develop and innovate our conference concepts in order to ensure the best hand-on, real life strategies for all our attendees. When you exit the door after attending one of our events our ambition is that you should know how to convert the ideas, networking and thought leadership sessions into real life action and organizational growth, and that you have created a network of industry peers that lasts a lifetime. Our team is headquartered in Stockholm, Sweden, or as one of our key note speakers once said – “the epicenter of Industrial manufacturing”. The Copperberg team is characterized by its experienced members with great knowledge who design events to make a difference. no organization, is 100% satisfied, our strive to create the best business platforms continues “ And we do make a difference. It is a privilege to work with all the organizations that are in our network and for every day we grow more and more humble to the fact that there is so much to learn. As long as no human, no organization, is 100% satisfied, our strive to create the best business platforms continues. Sincerely, Lisa Bergström Managing Director Copperberg Lisa Bergström Managing Director Phone: +46 8 676 01 40 E-mail:firstname.lastname@example.org LinkedIn: se.linkedin.com/in/lisabergstrom Twitter: www.twitter.com/LisaBergstroem Åsa Karphammar Senior Business Advisor Phone: +46 8 120 505 53 E-mail: email@example.com http://LinkedIn: se.linkedin.com/in/lisabergstrom Twitter: www.twitter.com/LisaBergstroem Copperberg S:t Eriksplan 11, 2 tr 113 20, Stockholm, Sweden Phone: +46 8 650 02 70 Fax: +46 8 441 07 93 Email: firstname.lastname@example.org www.copperberg.com
Copperberg S:t Eriksplan 11, 2 tr 113 20, Stockholm, Sweden Phone: +46 8 650 02 70 Fax: +46 8 441 07 93 Email: email@example.com www.copperberg.com © 2014 Copperberg. All rights reserved. For more information, email firstname.lastname@example.org or visit www.copperberg.com. a event
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