Question: Please find attached the case study 2: A troubled Project at Modern Materials Inc. Page 498-505 for this assignment. You will critically analyze the attached
Please find attached the case study 2: A troubled Project at Modern Materials Inc. Page 498-505 for this assignment. You will critically analyze the attached case study: A troubled Project at Modern Materials Inc. Page 498-505, summarize the key ideas, discuss the IT challenges, and present your recommendations. This report will be organized as follows: 1. Introduction Short summary of the business problem. This section will also include a background of the organization. 2. Challenges Provide for a brief description of the challenges that the organization is facing and how they are planning to address them. This section will provide the audience with a picture of how the organization is planning to address some of the challenges. 3. Change Management Discuss how change is being managed by the organization. 4. Recommendations Discuss what you would have done differently and why. 5. Conclusions Discuss the lessons learned and the key messages that you would like the audience to take away.
The report should not be more than 1000 words.








Home Tools BUSI 2173 Case... X Sign In @ 1 / 3 (+) 80% CASE STUDY III-7 7 A Troubled Project at Modern Materials, Inc. Le = In 1994 MMTsutsourced its Is organization to STC, a major player in the IT outsourcing business. As a part of the contract, STC offered employment to all of MMIS IS people, and most of them accepted jobs with STC. Thus MMI IS stall was pretty much the same as hefore, but under new management. And the hardware and sollware were also taken over by STC. MMI reta small group of analysts concerned with problem defini tion and process Analysis. Modern Materials, Inc. (MMD) manufactures products that are used as raw materials by large manufactures and the con- struction industry. With yearly sales exceeding 33 billion, over 10,000 employees, and four large manufacturing facili- ties in the United Stalo, MMI is one of the giants in the man ufacturing materials industry. Two of the facilities produce busic products and collie Lwo process bus auterials que ther to produce products with special properties and shapes MMI was established onder another Dance in 1927 and grew over time through a series of small mergers and acquisitions notil 1991, when it took over a major comperi- 1 lor and the resulting excipany look the name MMI. Two at its marrafacturing Encilities come with this merger, which broadened MMI's product line The last several years have been difficult ones for the manufacturing natatals inclosty, with overcapacity, focien competition, and a depressed mulcturing cocinomy pul ting intense pressure on profits MMT has fared berterban most of its complikies, but as can be noted in Exiribil 1, MMI has lost money in rwo of the past five years. Furthermore, at this time it looks like the year 2003 will he worse than 20/02. MMI went through a wrenching down sizing in 1998 that has of the remaining workers succbod thin and working at a hectic pace. a 0 C Initiation of the Supply Chain Management System (SCMS) Project In 1995 Harvey Woodson was bleed on smaller og petitor to become executive vice president for quality at MMI Woodson brought with lui a passione vision of how to improve MMI's competitive position an: peolilahil ity through exemplary customer servicing able to take orders, produce the product, and get it to the cuski with the desired quality and package type when it was needed. Everyone in the industry liad similar products and similar quality, and Woodsan believed that outstanding customer service could make MMI stand apart from its competitica. Providing outstanding customer service depenus upon excellent supply-chain management, which imoves colering an order, creating a manufacturing order to guide it through the required manufacturing processes, scheduling it into productica, producing it, warehousing il, slapping and muting it so that it arrives at the proper time, invoicing and billing it and handling any testing issues or claims tbat might arise. This chain of events starts with the initial circler and carries all the way through the customer receiving and using the product in his manulucturing process. Woods understand that excellent supply chain management depends upon ellicient processes supported by appropriate information processing systems. MMES production processes were highly automata, with excep- tional computer controls, but the business processes and the supporting information systems were clearly inadequate to provide custanding customer service. As previously need, Information Services at MMI Lip until 1994 MMI bad a convential internal is struc- ture, with a small corporate IS group and decentralized organizations serving the two enjor division created with the meryer in 1991. Each premerger company hecame a division in MMI, and each division inherited the IS organi zation of the camputy from which it was formed. Each division had its legacy people and legacy systems modified to provide the necessary caterprise dala lo corporale IS. Copyright 2004 by F. W. Martin Alghicis based un pilie sus day, lessen laily disguised, ud father details thu. mials identity decanus cube disclosed 498 | Home Tools BUSI 2173 Case... X x Sign In @ 2 80% Case Stacy 10-7. A Troubled Project at Modern Materials, Lc. 499 Statement of Operations 1996 1999 200 2001 2002 Net sales $3,544 $3,142 $3,349 S3200 2837 $3,277 CITI 31.12 2,03 149 12 154 168 365 2:51 257 Cet of goodsald Depreciation Ciness margin Selling general & admin. Financing costs Downsizing costs Nation: 143 170 160 15 155 169 163 166 CA 16 14 32 60 30 162 (5) 1X 62 (188) EXHIBIT 1 Selected MMI Financial Data (in Millions) 0 C the information systeins were mainly logacy systems from the premerger companies that had been jury-rigeed to par vide the necessary calcuprise inloustion, and each loca- tion had its in way of doing things and its cam systems. In 1996 Woodsou proposed that MMI undertake a massive effort to make a quantum leup in its supply chain management performance by reengineering its business processos corporatewide and providing adequate informa tion systems support for the new supply-chain management (SCM) Poss. A task force, composed of four scaior executives and chaired by Woods, was established to develop a proposal to present to the MMI board. MMI's senive management enthusiastically bought into the vision of gaining competitive advantage through QuLxlanding customer wevice. There was unanimous re- ment that making this vision in reality depended upon radical in provinces in bu SCM process by ragioning MMI's business processes and supporting these new processes with adequate information technology. The question wis bow to dk this, how long it would take, and what it would cost The company from which Woodson hnd come had completed reengineering and systems development for il SCM process, and Wondeon had been imolved in that colThe concluement of that systculad been outsouw to Cunited Consultants Associates (LCA). That system wa dewcloped for caly a single-plant operation and Woodson emisice a much more comprehensive system. bus UCA could be employed to begin with thar system and expand and enhance it to suit the needs of MMI. The task force estimated that the existing UCA-developed system con- tained about 50 to 60 percent of the functionality that MMI would require Hiring UCA to desclop a new SCMS for MMI 33 the major alternative de ekiped by the task force. The last Turce also considered the alternatives of chancing MMI'S existing systems to support the reengineered processes or aquiring ontorise sollware, but both alternatives were rejected us impractical The proposal cited the following business objectives of a new SCMS: Reduce inventories luxcase make sure Enhance profits + Reduce operating costs Increase customer satisfaction The new system would he haser upon reengineered prosses and replace to following cxisting MMI systems: Sales-order entry + Sales forecasting Order status Pricing + Scheduling and planning - Manufacturing data collection Inventory control Quality tracking Traffic Slaapplies Invoicing + Bulline . EDI UCA, the contractor who would provide the code for the system developed for MMI's competitor, would lead the requirements definition effort and develop the system design and program specifications for the new SCMS. LCA would also assist MMI people in | Home Tools BUSI 2173 Case... X X Sign In @ 38 80% 2 reengineering the business processes. Coding, testing, and installation of the system would be done by MMI's IS outsourcer, STC. The initial system provided by UCA did not include a production scheduling module, se an cxisting scheduling and ploning module would be pur- chased from another qualified vendor and integrated into the system by STC The SCMS project was planned to take three years at a cost of $60 million. This proposal was approved by the board of MMI in late 1997, and work albo projot bugan in early 1998, with completion scheduled for early 2001. CO In 1999 management realized that MMI bada eri ous problem with Y2K compatibility and decided that it was nessary to devoto most of the STC Is a MMI to dealing with that problem, sa the time spent on the SCMS project was substantially reduced during that can In 2000 Woodson, the driving force hehind the project, suddenly left for greener pastures, and the proj- ucl lost its original champion. The lask force that had been driving the project was reorganized, with senior managers replaced with middle-level managers, and Woodson replaced as its leader and de facto project man ager by George Leach, director of planning in the con- struction division Leach hnd no experience in an IS organization, but was very knowledgeable about bow lo rum the business, and had a great reputation as a sophisticated user of information technology. baring developed several prossive personal systems to assist management in running the division. These systems usod PC software such as Microsoft Excel and Access to manipulate and analyze data extracted from MMI's existing is systems, vart had no documentation and were environment meme builuductive of the is . Leuch was an athusiastic and forceful leader of the SCMS development effort and had a good understanding of the SCM process. When the requirements definition process for a system component fell hehind schedule, Leach would step into the breach and assist in defining the requirements and specifying appropriate processes. The first component of the system, order entry, was completed and ready for Linal testing in carly 2001, about the time the entire project was originally scheduled for com pletion. Final testing did not go smoothly. The various loca- tions insisted that the new uniform processes the system was based upon were not feasible and much reworks reyuired to make the system acceptable. It was early 2002 before the onder entry system was fully installed and in isse. Building the System The pruject was driven by Words, who headed a small steering committee of MMT managers. He was the pro- ject's champion, providing the carbusian and push within MMI. Woodson had been through this process before, and be he knew that radical regioning was 0058Aty to achieve the dramatie improvements in customer service that MMI was seeking He also understood that radical reengineering was terribly hard to accomplish because it would require enthasincric participation by workers who would have lo make radical changes in low they did tvit jobs, and that degree of change is hard for most people. Furthermore, one of the first things business process , reengineering involves is looking for work that des mx contribute to what is being accomplished. Eliminating that work may eliminate people, perhaps some of the same people being asked to participate in the reengineering process. So Woodson devoted a lot of time and energy to . cheerleading generating enthusiasm and support for the project throughout the company. He spot a lot of time out at the plants explaining how important the project was to the future success of the company, encouraging people to give their best etiars, and using his clout as an executive vice president to coerce people when necessary Early in Early in 1998, just as the project was yelling started, the industry was hit by a serious conturn, and MMI was forced to roduce its workforce by more than 8 peccat. Morale plummeted, and as the remaining workers had to assume the cuties of those who were downsized, it was dif- ficult for them to find the time to get involved in reengi- neering and defining requirements of the system. In order o not allow far behind the schedule, UCA peuple began to design the system and develop program specifications on the basis of what they thought the losses and 10- quirements should be. This resulted in huge problems later, when the code bad boon wittee and the systems were to be tested and installed, requiring much expensive and time consuming rework, so the project fall farther and further behind cardule. 0 C New Chief Information Officer Hired By early 2002 it was obvious that the SCMS project was seulously belund schedule and over budget, and MMI'S xenior management became more and are incerned with perceived problems with the projecr. In March 2002 Charles Hastings was brought in us chief in urmalin oli cer (CIO) and given the mission of straightening out the problem. Hastings was a long-Lite MMI manager whose been director of TS at one of the plants here becoming plant manager Matthew West, MMT Financial vide president, had served in that position for many years. Before MMI establisbed the CIO position. I had reported to Weslu Home Tools BUSI 2173 Case... X Sign In @ 4 5 80% le 2 Cax: SU 10-7. A Troubled Project al Mocken Malurials, Lx. 501 West had some familiarity with IS projects. Shortly after 584 million. Given the importance of a supply chuin Hasrings became CIO, West expressed concem bont the management process to MMI's future, there is no project: question in my mind that we should vonplete the project as planned We ow to adunit but the supply-clisin ang pozject is a failure, minimize ciur losses by killing it. Wishing to get a more comprehensive picture of the And move cu. I seslize that it is hard to abandona health of the project, Hastings previled upon STC to bring project that we have invested so much time and in an experienced consultant, Carol Young, lo study the sit effort in, at times are so tough for MMI that we untion and mnke recommendations about how to deal with canol continue lo pour nocy down a rabole. any resininy problems. It took only two tonts for Hastings lo agroal the project was in serious trouble. Although MMT senior management continued to believe in the vision of improved xmpetitiveness through better customer service and the need for a new SCMS to support reengineered processes, the project had lost much of its drive when Woodson left MMI. Due to other serious business con- CCLLLS, borc bu been no consistent personal invol concett on the part of any senior manager. Consequently, there had been no top management clout to enforce the project's in- tent to make radical changes in hua MMI did business. Furthermore, although people from MMI and at least three different outside contractors were working on the project, there was no averall project management responsibility Hastings found a lot of lingee-pointing with, for example, peciple from TCA saying "I'm waiting for MMI pexpleto complete this and MMI poople saying "I'm waiting for STC" They were all extect hecause there was little aver all coordination of what they were doing Hastings expressed concern about the project lo George Lench, and Lech maintained that, although the project was well behind bodule and over budget, the wi- derlying problems had been wercome and the project was Dow under control Young's Findings Carol Young was an experienced project manager who was brought in from a different STC location to conduct the study at MML. Young had just completed an STC assign- ment as the project manager of a large system decipient project that was completed on time and on budget. The first thing young did was to run a quick "heale check" of the project using a questionnaire that STC has used in many places. On a scale of 1 to 10. it evaluates bow the project is doing in seven critical areas such as risk manngement, financial management, and schedule management. A ce of 1 or 2 is in intensive care, 3 4 is critical condition, and so on. When she analyzed the results, the average soore was 3.1, wo be project was in deep, deep truhle (se exhibit 2). Thea Young cand the owest version of the schedule that each as would get the project cum pleted in 18 months at a cost of an additional $20 million She reported: 9 SPgo As We have had some serious problems to overcom the downsizing that slowed down Wur requirements definition effort, the Y2K problem that diverted escurces to be project, and Woodson's leadership was lost. We have also had some coordination prob Ieens between the four organizations that have been working on the project. We are now well paxt the planned completion date of the project and $4 million wver the initial budget of $60 million, which is not surprising given the probleme we have had. On the oil land, we have successfully installed the underentry system and many of the rest of the composcuts are almost completed. We are ing with the coundination oblems, have recently redone the project plans, and I am confident that we can complete the system in 18 mathesal a lotal costo I louk two additional people and interviewed every functional person and every end user person that had anything to do with the next phase of the schedule, which was planned to take three months. All of these people said that the project was in the toilet. The major problees were that the requirements had dal heen correctly identified, so they were going to have to do a lot of work to get the requarciuculs right, and the users were terrified because there was almost no testing in the schedule-only a little time for user acceptance testing. There was no unit testing and no integration testing. The users know that installing the system would be udisaster. Talso carefully reviewed the project plan and found that it does not take into account stalling Deeds. Often more work is scheduled over a time period than a bere are prople available to do the excessiry work Thus the schedule is not feasible. Furthermore, the new systems do not have the documentation and controls necessary in a production environment. It is a mess. 1- Home Tools BUSI 2173 Case... X X Sign In @ 5 78 80% la 2 502 Pari II. Acquiring Information Systems Hair Good Excellent 7 9 | 10 Intensive Critical C PM l'unctional Area 1 1 2 3 4. 4. Communication Management X Risk Management Sepe Management Schedule Management Quality Managent Financial Contractual Management Resource Management Note: The average score is 3.1, which means the project is in critical conditice X Cc = 0 EXHIBIT 2 Project Health Check by Carol Young When we included the time to deline the to quirements, make the bossnry changes, spande ibo controls and documedalion, and adequately lost and install the system, the time to complete that pbase wacat from the months to six mollis. All of the succeeding phases had the sume problems, so the time to complete the project weat from 18 months to at least 3 years, assuming that it is done right. If MMI doesn't define the requirements and do the needed testing, the project will be a complete disas ter, Burleach is still planning to complete and con- veut to the use of cacl new system in about half time it will actually take. Because MMT is burning Donc a this project at over $1.2 million a mouth the cast goes from $20 millicin Lo S40 million. In summary, the current schedule that convi- siunx the cultipletion of the project in 18 sats al total cost of S84 million is totally unrealistic. The minimum time and cost that will be required for Leach to complete the system is three more years at a total cost of $104 million C wasted time waiting in my her lo ximplele some thing. During this wniting time the workers continue to work and draw their pay we bough they are al accomplishing anything, wasring MMT's money as well as c Although Leach is an enthusiastic, hard working, dedicated manager who knows MMI and its supply chain management problems, unfortu- narely he has no concept of how to develop an TS system of this complexity. His experience is in user development, where he has done an outstanding job. But is user development, where data are extracted from an existing system and manipulated with PC tools, one can get away with just building a system without much concem for the require menrs because you can easily modify it until you yet il right. One does not need thorough durumen- tation because the user is also the developer and understands the details of the system. You don't have to worry about security, risk management controls, configuration management controls, data capture issues, t. And you knot have to cordi , ce nate the activities of various groups that are all working on the project So Leach las tried his bust to lead this project without understanding any of these crucial aspects of project management Turthermore, the MMi legacy systems had little usable documentation, so the developm.cat team did not know the details of what these systems did ar how they did it. When the downsizing came about and the users did not bave time to participate in the reagi- neering and defining the requirements, TICA and Leach assumed that byundstood the requivals When Hastings asked why the project was in such deep trouble, Young replied: In the first place, there luas boon to overall project management in the professional IS sense. No one has been ginca overall project management responsibility and authority. What little project management the project has had has been by Lench As head of the project storing contenee. There has been laule condination berween the various contractors who are working on be projet so one cool actor has often Home Tools BUSI 2173 Case... X X Sign In @ 6 / 3 + 80% 2 Cc = Case Stacy 10-7. A Troubled Project at Modern Materials, Lc. 503 and beyan defining the system and writing program Leach's Reaction specs without really understanding the requiremeats er volaining buy-in from the users. They did not real- In response to Young's critique of the project and its man ize they had serious problems woril they tried to install agement, George Lench made the following points the systems and the uscas rebelled Carol went out and talked to a number of malexin Hastings asked young what she would suggest that tcuts who do not know what is currently going on in MMI do, and this was ar reply the development process and my understand the I have devoted A good deal of time to determining qanlity that we are now building into the system, what needs to be done, how it uk best be accom Carol basa't worked on Lluis project, knows little plished, and how it should be managed. The hnd about conditions in MMI, and just represents the news is that the best plan could come up with would vicu point that nobody who is not an IS professional take 2 years for completion of the system. The good can manage a systems development project. Caral news is that the total cost would only S84 million be heard wat Carol wanted to hear. I suspect that My suggestion would he fixe MMI to designate Carolis influenced by the desire to develop more me as the overall project manager and make sure that business for STC and criticizing me is the way for the entire project, including all the contractes and STC to Lake over to project. MMI personnel, would be directly responsible to me. I would argue that given the obstacles we have Leach would continue to bude saring counce faood, the project luas been rematkably successful. and provide vision and knowledge of MMT's supply Remember that we last a year to clownsizing and a chain managemet process, but I would have direct year to Y2K. The downsizing has made it much more responsibility for managing the project. The $84 mil. dillicult to reengineer the processes and to deline Bon cost includes STC's fee for managing the project. requirements because the users are so busy trying to I have rewucked Leach's schedule to eliminate keep production going. Als, we low Woudson's low- the inefficiencies, do things in the proper sequence, ership of accial time. provide the time meded to perform the nossary Secondly, it looks like we are Barcler behind activities with the people available, invalve the users than we really are. Although we have only installed in roguirements definitica and systemu testing, and so tbc oder enty system, quite a number of additional on. It will take 2 years to complete the wirk. systems are almost complele and ready to go into The project bottleneck was the rate at which final testing. So we are set to make a loc of progress the users and functinal people could define the in the next low months. requirements. Everyone on the project had been Finally, experience has taught us a lot about spending a lot of useless time waiting for the users managing developitont. I have thoroughly feworked and for each other sir writing onde on the basis of our development approach, project plan, and incomplete requirements. They were busy working, schedule to make it more effective. I am now hus they were not csing anything productive. When conducting weekly meetings with the managers of Icogtbcned the schedule to what was feasible and nil the contractors to discuss and dent with our assigned the work properly, I was able to drastically coordination problems. I am conlidenl thal we can rotace the staffing on the project, so we would only be complete the system in 18 months for only an addi- spending S800.000 a month rather than $1.2 million. ) Local S20 million. Lench had been using a "highing approach wbize they workoal simultaneously on all live of the Young was quick to respond to Leach's accusation remaining phases. I plan to use a "rolling wave that she was criticizing his lcadeskip in akr to get more approach where we will concentrate on defining the husiness for STC: requirements of the first phase. When that is com pleted, we will move on to programming on that If my proposal to manage the project is accepted it pbase. The people who were defining requirements will result in less, not more, revenue for STC than if for the first phase conthen move on to the same task I had tocomm.caded that the promo contiene under for the second phase, and so on. Tlus way we will its present management. Our people are working work at the place at which they can define require Steadily on the project and would continue to do ments and everyone working on the project will be so ler at least 3 years. Under my proposal, the sun doing useful work all the time her of our people working on the project would be 0 C D pending Soon | Home Tools BUSI 2173 Case... X X Sign In @ + 80% la 2 7/8 504 Par: III. Acquiring Inommation Systems 1995 1999 2000 2001 2002 $X 241 $193 $215 $160 410 205 300 350 Cash & cashqaivalents Working capital Stoholders' ply Stock War 109 500 B15 69 7:10 752 27.25 14.00 17.75 11.50 EXHIBIT 3 Selected MMI End-of-Year Financial Data (Dallars in Millions) RU 2006 Projections 2004 2005 53.250 (50) Sales 53.516 Net Income Stuckholders' equity 53.217 (287) 343 180 511 350 s SPxo AF 6 EXHIBIT 4 Selected MMI Projections, End of Year (in Millions) reduced and our people would only be on the project for 2 years, so our total revenue would be substan- Lally less. If I were trying to maximize STC'S revenue laculd have let things go on as they are. cur projections turn out to have been lexi apli mistic, Borrowing more money to cover cash-flow delicits will be exceedingly difficult. It is not responsible management to spend $20 million on y project in our present situation evca il that amount would not hankrupt us. There are too many better ways to use those resources for example, that would be $20 million we would not have to birror and $20 million less in asces. Also, we may have to do size again in the near future, and $20 million would Save the job of some people we desperately need. Furthermore, I doubt that ilus project can be completed as proposed under either Leach's in Young's proposals Suce the dowosizing we do bot have the user manpower lo define the requirements well enough, and we also have serions political prob- leans that are holding us back. Young will find that the lack of project management is not the only seri Ous problem that we face in completing this project Dut more importantly, even if it were to be completed it would not achieve the purpose that motivated the project in the first place, namely providing competitive advantage by a quantum jump in customer service. We mighl gel marginally improved data processing systems, but we have not done the reengineering to obtain the radical changes in how we des business that would set us apart from our competitors. This project was never justified on the basis of quantitative returns, only on strategic grounds, and it has been doomed ever since our downsizing and the departure of Woodson. We should have killed it years non However, in bo final analysis it doesa't matter whether or not the project is a complete failure. Tiven if it would be a moderate socooss. In those dificult times we cannot afford the huge drain on our re sonrees that ir involves. Perhaps we could mothball it so that it conditions improve itxuld be resumed, but we need to get rid of it for now. West's Concerns Vice President of Finance West believed that MMI was in such dire financil condition that the SCMS project should be shut down imunediately. He asserted We are losing substantial amounts of money, and it this continues for taking we will be in big trouble. We hope things turn around before long and are tak- ing every passible measure to make sure that it does. Our stock has ranked, Onr stockholders equity, cash, and working capital have declined significantly over the last 5 years, and they will S continue to decline this you. Su Exhibli 3. We are horrowing money to cover deficits in cur cash flow. We project that this year will be very tough, hul we expect the economy telurn around and our position to begin to improve during 2003. (See Exhibit 4.1 Although we are not in imediale dan- ger af bankruptcy, we will he in desperate strits if | Home Tools BUSI 2173 Case... X Sign In @ 80% 2 C: SU 10-7. A Troubki tujul al Modkrn Malurials, Lx. 505 Leach contested Won's assertion that the new system Furthermore, with this integrated system, man would not provide the competitive advantage originally ngement information will he wynilnbla in real time canvisioned Taller than that all the lat. We will be able to determine the profitability of each product and focus We have only installed one subsystem, and you can our marketing clots on the most profitable prod- not expect overall performance to be improve much ucts, and we will be able to plan cur prxduction and wortil the cutic system is installed and working. The load it on our facilities 50 ns to minimize the cost of results of this effort will be appren when the full production. Not only will we be able to radically systein is completed and installed improve customer service, but we will also be able to Our legacy systems that run production at the improve the profitability of what we produce. plants are stand-alone systems that are not integrated I admit that the project has had its problems, with other production systems or with the support but I am sure that we can complete it in 18 months for systems administrative financial, personnel, etc. an additional $20 million. Although our financial The new system will integrate everything from the condition is not good, this is a strategic project that time the customer calls in an under through ondering will greatly improve our competitiveness. It repro the raw materials, scheduling and following through sents a chicinl top management vision, and I can't the production process, entering it into inventory believe that we would also it because of learpo shipping it, hilling it, and handling any problems rary difficulties. MMT's future depends upon it! will ile use of the product. As a result, the customer will be able to get Mary J. Ellis, the construction division's represen cxactly what he wants in the shortest possible tative on the project steering committee, believed that time. When the customer calls with an order, it the project should be continued and that Leach should can be entered, scheduled, and the delivery inte , continue to lead it. She asserted: determined while the customer is on the phone. Changes to an order can be made quickly and ens- Admittedly our financial condition is not the best, ily. The load time to deliver i order will be but $20 million is not going to make or break us. We reduced from today's 120 days to 45 days, which must not let shut range problems cause us to lose is just a little more than a chuid of what it is today! to vision that can make such an important contribu- That will be a huge improvement in customer Lun MMI's long term success service. No onc clac in our industry will be able to George has the vision, the enthusiasm, and the Inalch this. caperience needed to complete the project. George Also, this reduction in the time to deliver an order has provided outstanding leadership, fighting throagh will result in trdous savings for MMI because in difficulty after difticulty. Without Cicorge's drive and process inventory will be reduced a dramatically. And enthusiasm the project would have fuiled long ago. It time is money for us as well as for our customers. We would be disastrons to change kadership tow when will he saving huge amounts of money. the project is close to completion. SOI 9 SPgo As 6 |