Graco 2013 Annual Report Download - page 17

17
Newell Rubbermaid | 2013 Annual Report
Supply Chain
What was the objective behind redesigning
Customer Service operations?
Supply Chain focused on customer and consumer service to redesign
our service operations because it’s an area where Newell Rubbermaid
has a tremendous opportunity to drive effi ciency through simplifi cation.
Most importantly it’s an opportunity to move away from our previous
segmented customer service model to a more centralized model that
cuts across all our businesses and improves effi ciency and effective-
ness. We now have fi ve functional teams: Strategic Corporate Accounts
for key customers, Key Segment Accounts for business-specifi c
concerns, Account Services, Customer Administration, and Consumer
Care for consumer call activities. In addition, the company has made
a signifi cant investment in Salesforce.com, which will drive integration
with the Customer Development organization and enhance the overall
customer and consumer experience.
Where did you see the biggest results in 2013?
The biggest accomplishment for 2013 was the delivery of targeted
savings through restructuring initiatives, enhanced sourcing and
productivity improvements. We established a monthly productivity
process that coordinates activities across the Delivery and Develop-
ment organizations. We also created a quarterly
supply chain forum, keeping everyone on the
same page and executing against the same
metrics. Our focus on Every Day Great
Execution resulted in improved service
levels of 97 percent. We initiated a
VA/VE program to help drive bigger
savings projects and improve product quality. During the year, we
also established an integrated supply chain community that enables
talent development and enhances career paths for all of our people.
We have attracted terrifi c talent to our organization, which will help
accelerate performance. We also created a fi ve-year strategic plan
that gives us a road map for the people, processes and technology
necessary to achieve our Supply Chain ambition.
What are your priorities for 2014?
2013 was mostly about establishing the pillars and strategic plans
that will enable us to deliver accelerated performance. 2014 is about
driving our plans into action. Our work to unlock costs across the
entire supply chain will help fuel brand investments to enable the big
ideas that will fl ow through Newell’s signifi cantly enhanced innova-
tion funnel over the next several years. We expect signifi cant savings
from our direct sourcing organization, building on our initiatives to
reduce indirect spending across the company. The Deliver and Serve
pillars of the organization will work to complete the operational
consolidations in Europe and North America. The S&OP process will
improve working capital, and the Monthly Productivity Forum, Quality
Management programs and VA/VE efforts will drive an enhanced pool
of cost savings opportunities. Lastly, our strategic manufacturing
initiatives in key areas will start to deliver in the latter part of the
year. I feel very confi dent about our plan and our progress.