Supply Chain Risk Leadership Council (SCRLC) June 6-7, 2007 NYC Presentation_ID © 2006 Cisco Systems, Inc. All rights reserved. Cisco Confidential 1 Agenda Introduction & Welcome Governance & Next Steps Day 1 Review / Day 2 preview Wrap up Presentation_ID © 2006 Cisco Systems, Inc. All rights reserved. Cisco Confidential 2 Introduction & Welcome Presentation_ID © 2006 Cisco Systems, Inc. All rights reserved. Cisco Confidential 3 Introduction & Welcome New members Univ. of Michigan - Ravi Anupindi TSMC – BC Chen, SS Fu Jabil – Frederick Hartung Local venue (NYC) Financial Markets Emergency Response Agenda Review Steve Dreyer – S&P Yossi Sheffi – MIT David Ortiz – Rand Corp. (TSA Sponsor) Track progress (Day 2) Presentation_ID © 2006 Cisco Systems, Inc. All rights reserved. Cisco Confidential 4 Governance and Next Steps Presentation_ID © 2006 Cisco Systems, Inc. All rights reserved. Cisco Confidential 5 Agenda SCRLC commitment, participation and formation External communications SCRLC Mtg. #4 Presentation_ID © 2006 Cisco Systems, Inc. All rights reserved. Cisco Confidential 6 Commitment and Formation Presentation_ID © 2006 Cisco Systems, Inc. All rights reserved. Cisco Confidential 7 Council Ground Rules Revisited Commitment Regular attendance at major meetings (Academic best effort) Active participation in one or more tracks Material contribution Participation Tag Team approach Succession Planning Maintain consistency Formation period closing (1yr.) Expand within your org. for tracks (SME) Presentation_ID © 2006 Cisco Systems, Inc. All rights reserved. Cisco Confidential 8 Council Membership - Changes Current Level - 14 members (Industry 9, Academic 3, Govt. 2) Academic Northwestern –> U of Michigan MIT – Assessment Government – Customs, Intl. Govt./Trade Agency Industry HP – declined Nokia? New members - Financial, NEC, Caterpillar, Non-profit, others? Presentation_ID © 2006 Cisco Systems, Inc. All rights reserved. Cisco Confidential 9 Draft External Talking Points for post - Oct 07 Release Presentation_ID © 2006 Cisco Systems, Inc. All rights reserved. Cisco Confidential 10 Communication Proposal Communication Plan Reqd. Mutual respect – Council vs Company Consistency of purpose, level of detail & appropriate timing External communication after October 2007 Content to focus on moving the discipline of SCRM forward rather than specific deliverables and unique make up of the Council Potential methods of “going public” to choose from: Press tour, press release, exclusive interview to selected source, etc. Cisco will provide PR resource – accountable to Council Presentation_ID © 2006 Cisco Systems, Inc. All rights reserved. Cisco Confidential 11 Draft - Objectives Manufacturing Supply Chain Risk Management is an important field worthy of attention at the highest level SCRLC objectives include: Bringing together a unique group of industry, academic and government leaders together to advance the discipline of SCRM Providing Council members with actionable ideas and recommendations to integrate into their own risk management strategy Creating a collaborative environment that inspires members to initiate scope and lead new initiatives and projects. Encouraging proactive supply chain risk management planning from a 3-5 year perspective The SCRLC will not only benefit its members but also their customers and suppliers by improving supply chain resilience in many economic sectors Presentation_ID © 2006 Cisco Systems, Inc. All rights reserved. Cisco Confidential 12 Draft - Achievements To Date The council is changing the way the industry looks and thinks about risk management. The council is exploring regional and global issues related to supply chain risk management though meetings held in key locations around the world Agreement on a risk management framework to analyze risks across diverse industries Agreement on a set of risk metrics for adoption by supply chain companies Presentation_ID © 2006 Cisco Systems, Inc. All rights reserved. Cisco Confidential 13 SC Risk Leadership Council (SCRLC) Members High tech manufacturing Component suppliers Public Sector Aerospace Universities Contract Manufacturers Transportation and logistics Retail Consumer Electronics Insurance Presentation_ID © 2006 Cisco Systems, Inc. All rights reserved. Cisco Confidential Finance Energy 14 SCRLC Meeting #4 Save the Date! Presentation_ID © 2006 Cisco Systems, Inc. All rights reserved. Cisco Confidential 15 SCRLC Meeting #4 Proposed October 3-4, 2007 Hosted by TSMC, Hsinchu Science Park, Taiwan Presentation_ID © 2006 Cisco Systems, Inc. All rights reserved. Cisco Confidential 16 Day 1 Review Day 2 Overview Presentation_ID © 2006 Cisco Systems, Inc. All rights reserved. Cisco Confidential 17 Day 1 Review / Day 2 Overview Great speakers and tour OEM Questions – follow-up Feedback on forms including TSMC topics/speakers Agenda mods. Need to close on Governance today Howard on phone / e-mail on board Track direction appropriate? Deliverables meet our needs? Is level of intensity appropriate? Are there Gaps / Overlap? Terminate / redirect / merge / add tracks? Presentation_ID © 2006 Cisco Systems, Inc. All rights reserved. Cisco Confidential 18 SC Risk Leadership Council (SCRLC) Track Track Leaders Ely Kahn, TSA Andrew Cox, TSA 1 Risk Framework Track Members to Date* Craig Babcock, P&G Brent Meyers, FedEx Tim Astley, Zurich Linda Hightower, Cisco SS Fu, TSMC Tony Aloise, P&G 2 Supplier Reliability Hau Lee, Stanford Joe McGee, Jabil Erik Stewart, Cisco 3 Supply Chain Infrastructure Brent Meyers, FedEx Howard Horsman, ExxonMobile Joe McGee, Jabil Erica Agiewich, Cisco 4 Quantifying Risk / Metrics Feryal Erhun, Stanford Edward Erickson, Cisco Hau Lee, Stanford Ely Kahn, TSA Andrew Cox, TSA Tim Astley, Zurich Lance Solomon, Cisco 5 Regulatory / Security Ken Konigsmark, Boeing Ely Kahn, TSA Andrew Cox, TSA Amy Hamilton, Cisco Wes Frye, Cisco Future Consideration: 1) Risk structuring; 2) BCP Presentation_ID © 2006 Cisco Systems, Inc. All rights reserved. Cisco Confidential 19 Wrap Up Presentation_ID © 2006 Cisco Systems, Inc. All rights reserved. Cisco Confidential 20 Wrap Up Participation Respect Communication Plan Next meeting Survey Presentation_ID © 2006 Cisco Systems, Inc. All rights reserved. Cisco Confidential 21