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.04JANUARY 2006
special issue
MESSIER-DOWTY & MESSIER SERVICES
StrategyFor Sustainable Growth
.04 special issueJANUARY 2006
INTERNAL MAGAZINE
To submit your ideas of articles for future issues of the One Team Mag, feel free to contact:Bidos, Hervé Nachbaur (6443) – Gloucester, Heidi Beal (1784) – Montreal, Anouk Rivard (191) – Toronto, FlorenceBaumassy (1371) – Seattle, Jeanette Stone (309) – Singapore, Susan Lam (220) – Suzhou, Tommy Fei (5075) –Velizy, Laurence Lysimaque (4534)
Internal magazine of Messier-Dowty for the sites of Bidos, Gloucester, Montreal, Toronto,Seattle, Singapore, Suzhou and Velizy:Director of Publication : Claude Mathieu – Chief Editor : Stephan Schwarz – Editorial Committee : Cécile Kaberry,Florence Baumassy, Heidi Beal, Gaëlle Busvel, Tommy Fei, Peter Hall, Susan Lam, Laurence Lysimaque, HervéNachbaur, Anouk Rivard, Stephan Schwarz, Jeanette Stone Printing : Siob – Creation, Design and Realisation : ColorsLab . +33(0)1 42 47 80 20 . www.colorslab.com(www.pulpmedia.fr)
Duplication and disclosure of articles and illustrations must have obtained the prior written authorization of theeditorial committee.
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MESSIER-DOWTY SPECIAL ISSUE . JANUARY 2006 . PAGE 02 PAGE 03 . JANUARY 2006 . MESSIER-DOWTY SPECIAL ISSUE”
Three questions forChristian KNAPP
1. Why have you decided to publish this OneTeam special issue on Strategy?I wanted to have this special issue published for one very simple reason. Firstly,a company needs a strategy to define its priorities and determine its objectivesand secondly it needs men and women within the company to implement it.However, it can only be implemented if everyone knows, understands and feelsmotivated by this strategy.
2. What will the main lines of our strategy be in the coming years? After winning a large number of promising programmes for which we havemade considerable technical and financial commitments, we now have twomain priorities: satisfying the needs of all our customers, whether they beaircraft manufacturers, airline companies or operators and maintaining oureconomic performance in an unfavourable environment where the declineof the dollar, dropping prices and raw material shortages are recurrent. Only by maintaining the right balance between these two priorities, will we beable to ensure sustainable growth for our company.
3. Why are services being associated with our strategy more closely? Customer satisfaction and economic performance are priorities that apply toeach stage of our products’ life cycle, from design to in service support. Onlyby mastering all these stages will we be able to position our company as a long-standing leader of landing gear systems. Therefore, it is essential that we allfocus on the same objectives. It is now up to each of us to take a more active and efficient role in our deve-lopment to ensure a bright future for ourselves and for our company.
The strategy indicates the direction to take – it is up to us to set out on the journey together.
“
CEO Christian Knapp
Christian Knapp, Chairman & CEO
Customer Satisfaction through full life cycle management
MESSIER-DOWTY SPECIAL ISSUE . JANUARY 2006 . PAGE 06 PAGE 07 . JANUARY 2006 . MESSIER-DOWTY SPECIAL ISSUE
CustomerSatisfaction
Economic Performances
1. Economic Environment l Raw material
costs increasesl $ Rate decrease l Price decrease
due to competition
2. Aerospace Environmentl New programs
not fundedl “Fit and Forget” l Disappearance
of niche markets
3. M-D + M S Business needsl Research
& Developmentl New
investments l Rotables l Recruitment
of new talents
EconomicPerformances
Achieved by :l Quality
l Delivery
l Cost
Requestedby customers
Messier-Dowty and Messier Services will be market leadersgenerating sustainable growth.Airframers and Airlines will consider us preferred Partnersand Providers.
Results
l the consequence of life cyclecustomer focus, providing valueby anticipating, identifying andsatisfying customer needs.
Satisfactionfor Airframers :
l the consequence of trouble freeoperation throughout the product life cycle at affordable costs.
Satisfaction for Airlines and Operators :
Results
In order to stay in business and for sustainable growth, we need a step change in efficiency.
MESSIER-DOWTY SPECIAL ISSUE . JANUARY 2006 . PAGE 08 PAGE 09 . JANUARY 2006 . MESSIER-DOWTY SPECIAL ISSUE
l Develop innovative contracts
l Pursue opportunistic hydraulic niches
l Develop partnerships
l Protect the Asian market from competitors
l Manage our entry strategy into the B777 and A330/340 271t markets
Messier-Dowty and Messier Services
Messier-Dowty key objectives
Keyobjectives
Messier-Dowty and Messier Services
Messier Services key objectives
KeyObjectives
Beat the competition
l Manage key customers
l Deliver on commitments
l Increase volume
l Begin US and FMS military penetration
Engage the customer
l Identify and develop skills to support business strategy
l Enhance employee perception of all elements of the business and so improve flexibility
l Live the mantra “Think global, act local”
l Encourage innovative behaviours
l Improve information sharing both internal and external
Vitalise people and culture
l Develop a worldwide rotables strategy
l Develop our engineering strengthsand capabilities
l Cost reduction
l Manage our cash situation
l Track profitability and return on investments
Drive internal efficiency
l Lean internal decision making processes
l Build on our relationships with Messier-Dowty and Messier-Bugatti
l Develop synergies with the Safran international network
l Reassess our joint ventures strategy
Enhance communication and synergies
l Maintain the long term profitability of Messier-Dowty despite currencyfluctuations and pricing pressure.
Sustain long term profitability
l Improve our customer’s confidence in Messier-Dowty and its supply chain to deliver quality technical solutions, products and services, on time.
Deliver customer expectations
l Adapt our business to win key targeted programs and offer innovativelanding gear solutions throughout the life cycle.
Implement innovative life cycle business solutions
l Develop our technological excellence and systems capability.
Enhance technological excellence
l Develop our people and program-driven organization, in order to improve team efficiency and progress towards a global lean enterprise.
Develop people and organization
MESSIER-DOWTY SPECIAL ISSUE . JANUARY 2006 . PAGE 10 PAGE 11 . JANUARY 2006 . MESSIER-DOWTY SPECIAL ISSUE
Messier-Dowty and Messier Services
Action V projects
Messier-Dowty
l Living without accident
l Lean Airbus single aisle
l EPMS implementation
l Design and specifications harmonisation
l Technical data integration
l Modelling and simulation
l Engineering offload
l Composite project
l Supply Chain management
l Supply Chain emerging sources
l Suzhou development
l Optimize product servicing- tech events / tech pubs
l Manage airline/operator relationship
l Step change in quality
Messier Services
l Strategy map - Balanced score card
l Messier Services Group intranet
l Develop our worldwide rotables strategy
l New MRO plant
Messier-Dowtyand Messier Services
l Develop innovative services
l Improve and integrate spares process
l Lean in operations
Messier-Dowty and Messier Services Action V initiative is focused on key business projects which have been selected to support our strategy and our key objectives.