Handpicked by Henkel/Loctite leadership for expertise in achieving significant customer service level and operational improvements as Vice President of Operations for Latin America. Led manufacturing, supply chain, project management, quality, safety, health, and environmental activities for all operations for the adhesive technologies business unit in the Asia Pacific region, the largest and most profitable Henkel business unit in Asia. Overall responsibility encompassed 30 production sites, $126M in total inventory, and a total supply chain cost* of over $120M that supported $1.08B in regional sales. Core member of the Henkel Asia Pacific IT Development Council for all business units. * (Supply Chain Cost = Processing + Freight & Warehousing + Stock Obsolescence Costs)
Following promotion and a major company merger in 2003, challenged with 1) developing a strategy for reengineering the supply chain, 2) rebuilding the relationship between operations and sales/marketing, and 3) managing the Loctite transition to a direct shipping model from a centralized distribution model. In response, built a team of 16 direct reports that merged three disparate business models and designed a supply chain model that encompassed all 30 plants.
Consolidation and Integration
§Led consolidation and transitioned Henkel operations from a “silo” to a “regional focused” entity, physically as well as culturally, attaining best in class. Eliminated costly plants (Japan and Australia) and reorganized supply chain operations across the region. Overcame language/cultural differences and promoted open exchange between sales, supply chain, and operations.
§Optimized the production sourcing strategy in the region resulting in a reduction of eight plants over a three-year period. Merged the consumer adhesives operations in 2007 taking over an additional 7 plants. Cemented plans for future consolidations.
§Focused on new Sales and Operations planning and MRP procedures. Hired experienced supply chain professionals who first drastically reduced inventory, then exploited previously underutilized SAP technologies and identified root issues and implemented transparency, standard IT processes/reporting to further enhance service levels while continuing reductions in inventory.
§Dropped lead times to anywhere in Asia from three months to two weeks by revolutionizing the supply chain for the Loctite business identifying key drag in Loctite lead times and transferring complex and proprietary business from Europe and the USA to Asia.
§Captured over $5M by selling all owned warehouses and outsourcing across all regions bringing control to distribution costs, reducing freight and warehousing from 3.8% of total sales to 3.3% despite significant increases in fuel prices.
Supply Chain and Manufacturing Initiatives
§Implemented $130M capacity expansion program to ensure sufficient capacity for mid term growth (5 years).
§Managed building of new regional headquarters ($50M) at Zhangjiang High Tech Park in Shanghai in 2007. Relocated 600+ employees from Henkel China and Asia Pacific sites to new location. Closed and divested all former seven sites.
§Resolved Asian safety issue that led to the creation and integration of standard and company benchmark safety operating procedures, effectively reducing accident and lost production time.
§Certified all plants to ISO9000 and ISO14000 and on plan to certify all plants to OSHAS 18000 by 2008.
§Rotated key talent between manufacturing and supply chain to gain cross-functional experience across units and countries.
As Henkel transitioned to a successful world class organization (2007/2008), charged with 1) further reductions of net working capital 2) improved operational excellence, and 3) integration of major acquisitions.
§Implemented lean concepts (2007/2008) and rolled out 5s across regions, evolving a more structured culture to that of continuous improvement within all operational units which included supply chain activities.
§Brought a culture of change within the sales organization to reduce inventory. Attained lower lead times, and improved service levels while ultimately lowering balance of inventory through sales efforts. Developed online demand solutions software to ensure improved forecast monitoring and control (currently in pilot stage).