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  • White Paper - Active Carbon Management Part 2 - The Outlook for Profit Impacts Related to Greenhouse Gas Emissions | Archstone Consulting
    to gain He continues Cutting carbon in the supply chain is the next critical stage in the business contribution to reduce carbon emissions to tackle climate change and represents a significant commercial opportunity Delivering low carbon products into the hands of consumers will not only reduce energy bills and enhance corporate and brand reputation but will open up new revenue streams and increases brand loyalty if properly communicated A review of typical responses by businesses to either of the two prongs we described earlier energy costs and GHG regulatory concerns shows that the vast majority of these are superficial reactive and for the most part scattershot A more systematic approach that recognizes the global growth driven reality we face is in order This creates an opportunity for many companies to capture improved profitability and identify new market opportunities Risks of Inaction From an investment perspective the size of a company s GHG footprint is now viewed as a potential investment risk The Carbon Disclosure Project CDP sponsored by more than 350 international financial institutions and banks has been tracking self reported CO 2 emissions by major global and regional companies for the last six years In its latest report CDP is actively reporting companies by segment that are reporting their CO 2 emissions footprint as well as highlighting those that do not respond Additionally companies are given a CDLI rating Climate Disclosure Leadership Index and further rated on their overall CO 2 emissions performance in a format strikingly similar to a bond rating It shows we are a few short steps away from having CO 2 emissions performance begin to impact access to capital The gap between levels of corporate carbon awareness and corporate action is shrinking In a 2007 survey conducted by the CDP an analysis of companies in the FT500 revealed that 95 of surveyed companies feel that climate change presents a commercial risk to their business And in response to this belief 76 of these companies say they have implemented some type of greenhouse gas reduction initiative The percentage of companies implementing initiatives is up from 48 the previous year The definition however of a GHG initiative is quite broad and suggests that these efforts are still not a true priority Political Regulatory Pressure Based upon the stated policy positions of President Obama U S government regulation of carbon emissions will be a priority for the new administration In fact at the state level government has already taken steps to hold companies liable for GHG reduction The Western Climate Initiative WCI is an agreement among states and provinces of the western rim of North America including California Arizona and Ontario to reduce 2005 GHG levels by 15 in 2020 Companies with annual emissions greater than 10 000 metric tons of CO 2 are subject to a cap on the maximum amount of carbon emissions allowed Participants then have the option to reduce carbon output through the trade or purchase of carbon credits on the open market to

    Original URL path: http://www.archstoneconsulting.com/industries/manufacturing/white-papers/active-carbon-management-part2.jsp (2016-04-24)
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  • White Paper - Delays, Delays: A roadmap for improving performance across the Aerospace and Defense supply chain | Archstone Consulting
    risk Increase visibility for the OEM to program progress Allow suppliers to benefit from OEM experience with key capabilities The shifting of responsibilities downward into the aerospace supply chain has dramatically increased the risks to program success faced by the OEMs Replacing troubled suppliers always a difficult proposition on A D programs has become almost unthinkable in all but the absolute worst situations It is simply too costly and too time consuming to switch out suppliers that are now providing complete subassemblies and components and the suppliers know this OEMs must have the ability to proactively identify and avoid problems at suppliers before they reach the point where program performance is jeopardized However despite the increased risks now built into their supply chains few OEMs have put in place anything other than rudimentary supply chain risk management programs Aerospace OEMs are not alone in this failing In a recent Supplier Relationship Management survey by Archstone Consulting over 93 of respondents reported challenges managing their suppliers and specifically that supply risk was increasingly a topic of concern and strategic focus However over 60 of those same companies believed that they did not have effective supply risk management practices in place Aerospace OEMs however are compounding their challenges by continuing to structure size and time programs as though they held significant vertical responsibilities on the program when this is in fact no longer the case They consistently underestimate the time required to execute work through a distributed supply chain and multiple partners and expose themselves to greater levels of risk then they are prepared for regularly resulting in missed schedules and cost overruns To address these shortfalls aerospace OEMs need to elevate the role of managing supply risk in the organization systematically identify risk exposures and adopt processes and tools to enable ongoing supply risk visibility and management Common shortcomings in supply chain risk management Supply risk management is reactive risks often get attention once they have already occurred and too much effort is expended on chasing past risks Most approaches stress supply risk tracking and not management leading to mitigation efforts that are often ad hoc and informal Inconsistent risk management approaches are applied across organization as a result of limited visibility across organization valuable approaches and tools often re invented or not utilized Multiple program touchpoints between OEMs and individual suppliers limit full understanding of risk exposures Frequent and inside lead time changes to program requirements and production schedules are major obstacles to successful cost and schedule attainment for most aerospace and defense programs The GAO report on Defense Acquisition points out that sixty three percent of the programs we received data from had requirement changes after system development began These programs encountered cost increases of 72 percent while costs grew by 11 percent among those programs that did not change requirements Clearly this is a major contributor to the headaches faced daily by program managers However the most common refrain heard throughout the industry on this topic is that

    Original URL path: http://www.archstoneconsulting.com/industries/manufacturing/white-papers/delays-roadmap-for-improving-performance.jsp (2016-04-24)
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  • White Paper - Lean Concepts for Aerospace and Defense MRO | Archstone Consulting
    the completion of scheduled routine inspections they may also present themselves as hidden damage found while conducting other repairs hence the tail on the discovery graph in Figure 1 If project managers can increase the slope and shorten the tail of the discovery curve by identifying non routine work requirements earlier they will allow more time to plan the work procure parts and turn wrenches Of course doing so requires a change in priorities for project managers who are often judged on metrics that measure their ability to complete the pre determined package of routine inspections Luckily a significant portion of the routine work has little to no critical path impact on overall project turnaround times allowing the flexibility to reprioritize it to a later point in the maintenance event Taking advantage of this fact to achieve effective discovery requires informed scheduling focused project management and targeted tracking Implementing the Discovery Approach To properly schedule a maintenance event with a focus on discovery planners must first understand the primary sources of non routine work and hidden damage Just as importantly they must quantify the lead times on those repairs and identify the sources of the long lead time work The planners and project managers then must work together to fully document the key activities that are necessary to facilitate the discovery of non routine work These activities could simply include the routine inspection but oftentimes there is a specific sequence of events that must occur before a non routine requirement can be discovered For example conducting discovery on aircraft wings requires open up washing flight control removal and routine inspection Additionally if particular non routine repairs are known to be sources of hidden damage mechanics that are properly focused on discovery may begin working on those repairs even before lower priority routine inspections are complete in order to pull forward requirements identification In order to do this the planners and project managers must also understand which routine inspections pose limited to no risks to turnaround times and can therefore be pushed later in the schedule Once the sources of non routine work and the sequencing of events are known the planners can rewrite the project plan with a focus on completing the key activities and discovering non routine requirements as soon as possible A common best practice goal is to identify 90 of all non routine requirements in the first 20 of the maintenance event Figure 2 shows the project sequence change from the traditional approach i e Before to the discovery approach i e After By starting non routine repairs even before the routine inspections are complete project managers enhance their ability to complete projects on time Figure 2 Timeline Traditional Approach vs Discovery Approach After finalizing the plan also known as the discovery roadmap successful execution depends upon project management Given that project managers often follow some form of a schedule today their job will not change significantly However they must actively manage the focus of their crew

    Original URL path: http://www.archstoneconsulting.com/industries/manufacturing/white-papers/lean-concepts-aerospace-defense-mro/ (2016-04-24)
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  • Research - Manufacturers Operational Business Intelligence Survey | Archstone Consulting
    programs the study also discovered several key challenges companies face when implementing successful Operational BI programs including Lack of data timeliness transparency and availability 92 of respondents Insufficient actionable data 85 of respondents Enterprise applications silo ed 77 of respondents Shortage of effective governance maintenance 69 of respondents Lack of analytic skill sets 62 of respondents The survey also uncovered other business trends that are occurring that are changing the

    Original URL path: http://www.archstoneconsulting.com/industries/manufacturing/research/manufacturers-operational-bi.jsp (2016-04-24)
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  • Research - Manufacturing Executive Agenda For 2008 | Archstone Consulting
    265 manufacturing executives surveyed in Archstone s Manufacturing Executive Agenda for 2008 felt that the current market pressures including sharply rising commodity prices a sluggish economy and foreign competition may be triggering significant transformational changes within manufacturing organizations Over 80 of manufacturers have responded to the current economic climate by devising aggressive agendas to boost sales and cut costs Two of the four most common ways that executives plan to bolster performance in 2008 depended upon the capabilities of supply chain An interesting pattern emerged in that manufacturers across the board have high expectations for their supply chains to both boost revenues and reduce costs The four executive agenda items shared by manufacturers in all industries include Increasing revenue growth by leveraging supply chain capabilities to add value to products and services Reducing costs with supply chain efficiency improvements Improving product innovation Controlling direct material costs Archstone also identified several major industry trends in its Manufacturing Executives Agenda for 2008 survey including Aerospace Defense Nearly 70 plan to simultaneously increase revenues and reduce costs by 3 or more Consumer Packaged Goods Nearly 90 anticipate cost reductions of 3 or greater CPG executives cited managing direct material and commodity costs as

    Original URL path: http://www.archstoneconsulting.com/industries/manufacturing/research/manufacturing-executive-agenda-2008.jsp (2016-04-24)
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  • Research - Archstone Study Shows New Job and Cost Reduction Opportunities Emerge as Manufacturers Contemplate Migration Back to the U.S. | Archstone Consulting
    of any supply chain manager looking to cut costs Now amid volatile oil prices and an uncertain global economic future this analysis no longer is a certainty Furthermore companies that will commit to domestic manufacturing can spur much needed improvements in customer service innovation and job creation especially when servicing the large domestic market A Wake up Call for Manufacturers The Archstone study revealed that in the last three years manufacturers have seen a significant increase in costs related to off shoring manufacturing for export purposes rather than in country demand which include Ocean freight costs have increased 135 highlighting risks and cost volatility The global commodity price index has risen by 27 The Chinese Yuan has gained 18 in value compared to the U S dollar Chinese manufacturing wages have risen by 44 The True Cost of Off shoring In addition to the rising costs of conducting business on a global basis the study found several soft cost issues which affect the true cost of off shoring including Slower Cycle Delivery Time 59 of respondents Reduced Supply Chain Flexibility and Responsiveness 56 of respondents Lost Visibility Coordination and Control Over the Supply Chain including Quality 50 of respondents Bottlenecks in Logistics Networks e g ports transportation 50 of respondents The perceived 25 40 cost savings associated with off shoring has previously been made possible by low labor costs cheap commodities and favorable exchange rates factors that no longer exist in today s marketplace A New Opportunity Emerges The study found that almost 90 of the companies surveyed are considering changing or have begun changing their manufacturing and supply strategy and are being more and more selective in making off shoring decisions U S manufacturers have become increasingly aware of the need for a more sophisticated total cost model that

    Original URL path: http://www.archstoneconsulting.com/industries/manufacturing/research/new-job-cost-reduction-opportunities.jsp (2016-04-24)
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  • Leadership Team | Archstone Consulting
    People Our leaders which include some of the industry s foremost consultants are directly involved in day to day consulting assignments contributing their expertise and ensuring that engagements run smoothly When they are not in the trenches with clients they are conducting research corresponding with the global business community authoring studies on current topics and lecturing in their areas of expertise around the world When you engage Archstone Consulting a

    Original URL path: http://www.archstoneconsulting.com/about-us/leadership-team/ (2016-04-24)
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  • Global Offices | Archstone Consulting
    59 60327 Frankfurt am Main Hyderabad Plot 6 1 55 4 RP L1 W1 W2 Raja Prasadam Kondapur Hyderabad 500084 India TEL 91 40 4488 4000 FAX 91 40 4488 4224 London Martin House 5 Martin Lane London EC4R 0DP TEL 44 20 7398 9100 FAX 44 20 7398 9200 Montevideo WTC Free Zone Dr Luis Bonavita 1294 Office 1701 Montevideo Uruguay 11300 TEL 1 305 433 2973 x3500 New

    Original URL path: http://www.archstoneconsulting.com/about-us/global-offices.jsp (2016-04-24)
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