AP I C S Ho us t o n C ha pt e r

S e p te m b e r 2 0 1 2 I s s ue

THE HORIZON
In today’s competitive landscape and commodity markets, all producers seek cost advantages, in many forms. Getting back to basics in how we manage our assets is one critical piece of the low cost producer equation.

“ I n s p ir in g M in d s, Sh a p in g L iv e s”
Tish Patel, President

“A S S E T L I F E C Y C L E M A N A G E M E N T ”
PDM WITH JIM STEPHANOU — SEP 20
Houston Chapter
INSIDE THIS ISSUE: Jim Stephanou is a graduate of Drexel University with a degree in Mechanical Engineering. Prior to joining Bayer, Jim was employed by ARCO Chemical Company.

Highlights President’s Message Event Calendar Certification Schedule New Student Chapter Optimize Distribution CPIM in a Year Successful Planner Series Why CSCP? APICS and KUHF New Chapter Members Job Bank Update Writing Cover Letters Principles of Inv. Mgmt Board of Directors List of CC What’s your Passion?

1 2 3 4 5 6 7 8 9 10 11 11 12 13 14 14 15

For the supply chain, a reliable upstream producer enables obvious optimization and low costs in the area of working capital and Stephanou joined Bayer Material Science in 2001 as Director customer satisfaction. West Virginia Maintenance and Engineering In addition, prudent Asset Life Cycle based in New Martinsville before he was Management therefore becomes a key to appointed Vice President, Production & Technology TDI, NAFTA. He is Head of Bayer success among all manufactures. Technology Services Americas since January 1, 2011. Join us at this PDM on September 20! Read more on Page 16

W E L C O M E S H S U, N E W STUDENT CHAPTER!
The APICS Sam Houston State University (SHSU) Student Chapter is happy to announce its inception. Looking back, the road to starting the student chapter was full of challenges. However, there was encouragement and support along the way. The APICS Houston Chapter provided us tremendous help and support in the process. President Tish Patel quickly responded to our request for help and guidelines. Eddie Whitfield, VP of student activities, is helping us, every step of the way. We could not have successfully started SHSU APICS without the support of APICS Houston Chapter. Read more on Page 10

ARE YOU OPTIMIZING YOUR DISTRIBUTION?
As fuel and transportation costs continue to rise, companies are seeking ways to minimize distribution costs. One tool many companies have turned to is a computer model that optimizes plant loading across the company’s production network in order to minimize shipping distances to distribution centers or customers, therefore resulting in the lowest total landed cost. After implementing these models, companies often find that their distribution costs do in fact decrease, however they do not achieve the decreases in total landed costs that the model predicted. Read more on Page 6

New Student Chapter on page 10!

Visit us at: www.APICS-Houston.org

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PRESIDENT’S MESSAGE
September has already arrived and we are really hoping for some cooler weather to dawn upon us soon. We are having record temperatures of heat this year so I hope that all of you are staying cool. Our board has been hard at work this past summer and we here at the APICS Houston Chapter have turned up the heat every step of way to bring you the best in supply chain education. We have jazzed up the fall venue with some great classes and plant tours not to mention that we will be at the international conference in Denver this October. Please be sure to request your companies to consider you to attend the conference as there are so many opportunities to network and learn about supply chain and operations. All the knowledge gained will in turn benefit you in your daily jobs and the company to attain their goals. More information can be found on our website at www.apics-houston.org under international events. I am delighted to say that Mr. Jim Stephanou who is the head of Bayer Technology Services—Americas will be our guest speaker at our September 20th, professional dinner meeting. He will speak on the topic of “Asset Life Cycle Management”. Jim will go back to the basics covering and examining the basics of Asset Life Cycle Management and provide us both root causes and solutions as people operate their facilities to gain the utmost advantage for their customer, while still maintain the basics in safety, reliability and environmental performance. I encourage you to come out and listen as I know that many of our members who work in the manufacturing space face some challenges in today’s competitive landscape and commodity markets to seek cost advantages in many forms. Please be sure to join us and register on our website at www.APICS-Houston.org While you’re online, join the APICS Houston LinkedIn group as well as our Facebook page. These sites are a means of information that we could leverage to bring our work issues, questions and expertise to share with the group. CLASSES: The Houston APICS Chapter strives to bring you the best that supply chain education has to offer. New this year — we are pleased to offer our new Principles of Inventory Management class which is designed to give a holistic view of inventory to understand the principles and techniques of inventory management, roles and responsibilities, and the impact that inventory can have on a business. Please be sure to take advantage of this opportunity. Classes begin on September 15th and registrations are open so please be sure to take advantage of this course. We have also started of the year with record CPIM registrations. Early registrations have ended and we are ready to start our full year of classes. CPIM is very well recognized in the industry and we continue to bring the best supply chain education to the Houston community. Please be sure to visit our website for more details at www.apics-houston.org JOB BANK: Please do take advantage of our job bank located on our website. This site has an array of supply chain opportunities for those of you on seeking opportunities. If you have any questions, please be sure to contact me at anytime. PLANT TOUR: We plan to have our next plant tour at National Oilwell Varco Rig solutions. More details to come so please stay tuned. HORIZON NEWSLETTER: Our “Horizon Newsletter” as you my have noticed has had a “face lift” if I may say. It is your “go to place” for all information pertaining to our upcoming events, classes, many interesting articles from recruiters and an array of information right at your fingertips. We have taken the survey feedback and have started to incorporate all the great ideas that “you” our members suggested. So please be sure to read it online, it only takes a few minutes and you might find something there that is of importance that you might like to read upon. Let us not forget to spread the word of “Supply Chain Education” to our companies and remember that everything we do everyday revolves in and around Supply Chain Management and Operations. Our chapter is one of the largest in the world, and with Houston being a global supply chain hub, the problem-solving and networking opportunities are vast. Experience the best of the best right here at THE APICS HOUSTON CHAPTER. I look forward to meeting you at an upcoming event. Respectfully submitted, Tish Patel President, 2012-2013, APICS Houston Chapter President@APICS-Houston.org

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APICS HOUSTON CHAPTER E V E N T C A L E N DA R — N E X T M O N T H S
Sep-12
Date
20-Sep

Event
PDM: Asset Life Cycle Management Coaching Driven Managers to Become Respected Leaders: Developing the Leader Within You

Speaker
Jim Stephanou

Location
Hess Club

21-Sep

John D. Nguyen

Hess Club

Oct-12
Date
25-Oct

Event
PDM: Lean Six Sigma at MD Anderson Cancer Center

Speaker
Jeremy Meade, Diane Schaub

Location
Hess Club

Nov-12
Date
15-Nov

Event
S&OP in a Process Industry

Speaker
Shari Ruelas

Location
Hess Club

For more information, go to www.APICS-Houston.org, under Events

STUCK?
S E T H G O D I N , G U E S T AU T H O R
Stuck? It might not be because you can't find the right answer. It's almost certainly because you're asking the wrong question. The more aggressively you redefine the problem, the more likely it is you're going to solve it. The most successful people I know got that way by ignoring the race to find the elusive, there's-only-one-and-no-one-hasfound-it right answer and instead had the guts to look at the infinite landscape of choices and pick a better problem instead. Seth Godin, Best selling author and speaker http://sethgodin.typepad.com/ Reproduced with permission of Seth Godin

FUN SPOT “THE OPPOSITE OF GREED”

THE

Courtesy of Jessica Hagy, Www.ThisIsIndexed.com

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APICS EDUCATION AND CERTIFICATION 2012- 2013 COURSE SCHEDULE
Principles of Inventory Mgmt
Class Schedule Days Time Location Early Reg Ends

Principles of Inventory Mgmt

Sept 15 to Nov 10

Saturday

8:00am to 12:00pm

TSP

7-Sep

Certified Supply Chain Professional (CSCP)
Class Schedule Days Time Location Early Reg Ends

Winter CSCP

Jan 15 to Apr 16

Tuesday

6.00pm to 9.00pm

TBD

7-Jan

Certified in Production and Inventory Management (CPIM)
Class Schedule Days Time Location Early Reg Ends

CPIM in a Year (All Five Modules) - Save $350 By Committing to All Five Modules Fall 2012 Program Winter 2012 Program
Class

Sep 8 to June 1 Jan 15 to Nov 14
Schedule

Saturday Tue and Thu
Days

8.00am to 12.00pm 6.00pm to 9.00pm
Time

Baker Norriseal
Location

24-Aug 7-Jan
Early Reg Ends

Fall 2012 Individual Classes Basics of Supply Chain Strategic Mgmt of Resources Master Planning of Resources Sep 8 to Oct 6 Oct 23 to Nov 15 Nov 10 to Dec 8 Saturday Tue and Thu Saturday 8.00am to 12.00pm 6.00pm to 9.00pm 8.00am to 12.00pm Baker Norriseal Baker 24-Aug 8-Oct 26-Oct

Winter and Spring 2013 Individual Classes Detailed. Sched. & Planning Basics of Supply Chain Execution & Control of Ops. Master Planning of Resources Strategic Mgmt of Resources Detailed. Sched. & Planning Jan 12 to Feb 2 Jan 15 to Feb 14 Mar 9 to Mar 30 Mar 19 to Apr 11 May 4 to June 1 May 14 to June 11 Saturday Tue and Thu Saturday Tue and Thu Saturday Tue and Thu 8:00am to 12:00pm 6.00pm to 9.00pm 8:00am to 12:00pm 6.00pm to 9.00pm 8:00am to 12:00pm 6.00pm to 9.00pm Baker Norriseal Baker Norriseal Baker Norriseal 4-Jan 7-Jan 1-Mar 4-Mar 26-Apr 30-Apr

COURSE AND EVENTS LOCATIONS
Location
Baker Hughes (Beltway 8 and 290 area) Hess Club (Galleria area) Norriseal (Beltway 8 and West Little York area) TSP (Northwest corner of 610 Loop)

Address
9100 Emmott Road 5430 Westheimer Road 11122 West Little York 3303 West 12th St

City
Houston Houston Houston Houston

State
TX TX TX TX

Zip
77040 77056 77041 77008

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NEW ! PTER CHA

SHSU APICS STUDENT CHAPTER — OFF & RUNNING

The APICS Sam Houston State University (SHSU) Student Chapter is happy to announce its inception. Looking back, the road to starting the student chapter was full of challenges. However, there was encouragement and support along the way. At the end of spring semester of 2012, Dr. Charles Capps and I initiated the idea of establishing an APICS student chapter to better serve our students in the College of Business Administration at SHSU. We are very excited about the benefits that our students could obtain through APICS. With great enthusiasm, we began the initiation and The campaign proved to be effective, even though there are not many students enrolled in summer school. We now have development of SHSU APICS. 15 student members. SHSU APICS is officially off and A minimum of 15 student members is one critical running. requirement to start a student chapter. It would not be a difficult issue if the recruiting would have been in a regular APICS Houston Chapter provided us tremendous help and spring or fall semester. However, we only have one short support in the process. President Tish Patel quickly summer semester to recruit if we wish to promptly start the responded to our request for help and guidelines. Eddie chapter in the coming fall. To successfully fulfill the minimum Whitfield, VP of student activities, is helping us, every step of member requirement and promote SHSU APICS, we the way. He explains procedures, answers our questions, conducted a recruiting campaign, with the following provides us resources, and most importantly, gives us moral support and encouragement. We could not have successfully activities: started SHSU APICS without the support of APICS Houston  Presented and discussed APICS’ benefits to the students Chapter. in the summer Operations Management (OM) classes.  We also wish to thank the support from the Management and Marketing department, as well as the College of Emailed and informed graduate students and previous Business Administration at SHSU. They have provided us students in OM classes. administrative and financial support during the recruiting campaign. Displayed SHSU APICS posters in strategic locations throughout the college. We are looking forward to our first official meeting with APICS







professional members led by Eddie on September 06. We Flashed a SHSU APICS flyer on the display screen in the are excited about our chapter events and activities in the College of Business Administration everyday. coming fall semester. We anticipate a bright future for SHSU APICS. Created a SHSU APICS face page to share with Kunpeng Li, Faculty advisor of SHSU APICS, Sam Houston interested students. State University, kli@shsu.edu

WHAT WOULD YOU DO WITH A 13% RAISE ?
EARN
THE

APICS CPIM

TO FIND OUT

According to the Operations Management Employment Outlook, APICS CPIM designees, on average, earn 13 percent more than their counterparts. Distinguish yourself and enhance your marketability by earning the internationally recognized APICS Certified in Production and Inventory Management (CPIM) designation.

Join nearly 100,000 operations management professionals who have earned the highly respected APICS CPIM designation. Contact Chuck Connelly, VP of Professional Development, VPprofessionaldevelopment@APICS-Houston.org or 713-256-7500

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AR E YOUR EF F ORTS TO OP TI MI ZE D I S TR IBUTI ON COSTS DELIVERING EXPECTED RESULTS ?
As fuel and transportation costs continue to rise, companies are seeking ways to minimize distribution costs. One tool many companies have turned to is a computer model that optimizes plant loading across the company’s production network in order to minimize shipping distances to distribution centers or customers, therefore resulting in the lowest total landed cost. After implementing these models, companies often find that their distribution costs do in fact decrease, however they do not achieve the decreases in total landed costs that the model predicted. In most cases, this is because the models do not dynamically account for the cost of the complexity that is forced on plants when the number of distinct products they produce increases. increased the number of products produced in the plant. While they would likely have achieved the decreased distribution costs they set out to capture, the total landed costs would have been significantly higher than the model predicted. The real costs of increasing complexity in the plant extend well beyond setup times and direct labor. Increasing the number of products produced will have similar impacts on inventories of raw materials, work in process, and finished goods. It will drive increased overhead costs in the form of production planners, maintenance schedulers, and similar resources as the additional complexity requires more complex processes and systems to manage it. Most importantly, increased complexity results in increased risk. Although we are always striving to design reliable processes that deliver predictable results, the fact always remains that the more frequently a human has to interact with the process, the more likely an error is to occur.

To demonstrate the issue, let’s consider the impact that increasing the number of products produced has on the set-up time in a production system. To simplify the example, we will Why do our models fail to make the following assumptions: accurately predict these costs? They fail because they assign  All products require a set-up time of 1 hour. costs to “things” rather than  The production cycle repeats every 24 hours. “interactions”. While complexity  Demand for all products is equal. is driven by the number of things in a system, the costs of The illustration below demonstrates the impact of increasing the complexity occur at the link, or number of products on the productivity of the plant. point, at which these items interact. As the illustration to the right demonstrates, the number of links between items increases geometrically, not linearly.

While most accounting systems and models seek to allocate the cost of a setup to a specific product, the cost of the setup is really driven by the interaction between two products. The cost of the setup between Product A and Product B is not driven by either product alone, but rather, by the fact that we have to change the line over from Product A to Product B. In our simplified example, we assumed that all products had the same Increasing the number of products produced from three to six setup time. The reality is that the time required to change the decreases productivity by 12.5%, and increasing from six to nine line over from Product A to Product B is likely to be very different decreases productivity by another 1 2 . 5 % . than changing from Product C to Product B. In order to better model production systems and distribution networks, companies need to account for these complexity costs. 6 1,800 $ 5.56 16.7% Doing so requires thinking about costs differently than in the 9 1,500 $ 6.67 40.0% past. Using a “peanut butter spread” unit costing methodology will not accurately assign complexity costs. Rather, modelers The impact on direct labor cost per unit is even more significant. must understand the drivers of the complexity, and allocate costs If we assume the production rate for all products is constant at 100 units per hour of production time, and there is $10,000 per as a function of those drivers. day in labor costs, we can determine the direct labor cost per unit for each of the scenarios above. If the company in our Chris Seifert, consultant with Wilson Perumal & Company, example used a direct labor cost of $4.76 per unit for Product A cseifert@wilsonperumal.com. Reproduced with permission of as an input to their model for optimizing distribution costs, they Chris Seifert would be very surprised by the actual performance once they
Products Produced 3 Units Produced 2,100 Direct Labor Cost per Unit $ 4.76 % Change from base case

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CPIM IN
Register at:
www.APICS-Houston.org Dates: Saturdays See schedule below Times: 8:00am to 12:00pm Location: Baker Hughes 9100 Emmott Road Houston, TX 77040 Pricing Members: Early: $2,050 Late: $2,200 Non-Members: Early: $2,250 Late: $2,400 Does NOT include testing fees. Early Registration Deadline: August 24, 2012

A YEAR PROGRAM FA L L 2 0 1 2
Save MONEY by signing up for All 5 CPIM Modules

Start in September 2012 & Finish in June 2013

Since 1973, the CPIM program has educated more than 75,000 manufacturing professionals on essential terminology, concepts, and strategies related to demand management, procurement and supplier planning, material requirements planning, capacity requirements planning, sales and operations planning, master scheduling, performance measurements, supplier relationships, quality control, and continuous improvement. APICS CPIM PROGRAM BENEFITS
Increase your functional knowledge of production & inventory management. Improve  efficiency  of  your  organization’s  supply  chain. Streamline operations through accurate forecasting. Predict outcomes more accurately. Maximize ROI on systems and technologies. Increase  profitability  by  optimizing  your  organization’s  inventory  investment. Enhance your credibility among peers, employers, and customers

PROGRAM SCHEDULE
Start End 10/06/12 12/08/12 02/02/13 03/30/13 6/1/13 5/25 11/24 No Class Test

Contact Chuck Connelly CFPIM, CSCP and CPA
VP of Professional D e v e l o p m e n t VPprofessionaldevelopment@ APICS-Houston.org

Basics of Supply Chain Management Master Planning of Detailed Scheduling and Planning Execution and Control of Operations Strategic Management of Resources

09/08/12 11/10/12 01/12/13 03/09/13 05/04/13

713-256-7500

Students should schedule exams between classes.

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THE SUCCESFUL PLANNER SERIES W I T H M I K E J O N E S , PA R T 2 O F 3
This is the second article in a series describing the important qualities a planner should possess in order to be effective. systems can operate and the importance of having a foundation of accurate information. With this knowledge the planner knows what to expect and can evaluate information. It is so desirable to have a planner who can review the MRP system to make sure it is properly generating planned orders with the right quantities and lead time offsets, and to confirm that these are in line with the master schedule. Planners must be sure when new part numbers are set up that all the fields in the item master are correct so that material is planned properly. This is a common problem area when determining why material didn’t get ordered properly.

One of the most important of many qualities you would want to have in a planner is the knowledge and appreciation of a formal planning process. Once a planner has been to the “mountain top” and understands the benefits of operating in a “Class A” MRP environment, they will likely work hard to support and maintain it. They may remember Computers will never replace people to interpret and validate the old days of keeping “hot lists” and of having to expedite information and that is why systems have evolved with the ability to peg or trace requirements to higher level plans. the majority of the material needed for production. Planners who understand how MRP works are also essential This was the world of the informal system that was stressful for any new software implementation and can serve as and that didn’t achieve the desired results. It was a never subject matter experts to prove out functionality in class ending struggle of reacting to one shortage after the other. room pilot sessions. Typically there was no time or energy left for proper planning and therefore it was self perpetuating. Companies don’t So knowledge of systems and the motivation to make them need “heroes” to jump through hoops and get a few “hot” work is invaluable in a planner and will help establish a orders shipped as a way of doing business. They need formal culture that acknowledges and rewards disciplined disciplined planners operating a system that results in performance. The goal is to remove the drama and heroics consistent and high levels of on time deliveries. and replace them with consistent execution. A formal system that is set up correctly and is operating with accurate information gives the planner a fighting chance in that it can provide most of the material needed most of the time. I say “most of the time” because plans can be good and better but are never perfect because of a dynamic environment. The smart planner will use and protect the formal system and then will have the time and energy to adjust to changes and contingencies as they arrive. I will talk more about this very important attribute later. APICS provides the knowledge of how formal planning We will conclude this series next time when we will discuss more about the planner’s skills in problem solving and managing change. -- Stay tuned. Mike Jones, Director of Production and Inventory Control for Stewart and Stevenson, APICS qualified instructor for the past 22 years, Contact at M.Jones@ssss.com Reproduced with permission of Mike Jones

CALL FOR CONTENT
Want to contribute content for our Horizon monthly Newsletter? We are looking for:

CALL FOR SPEAKERS
Do you want to propose a speaker for our Professional Development Meetings (PDMs)? Although topics related to supply chain and operations management are preferred, recommended speakers could cover any kind of subject, as long is relevant to the development of our members. Please contact Bill Cure, Director of Programs, Programs@APICS-Houston.org

 

Article(s) relevant to supply chain and operations, written by yourself or that you have permission to publish Any other ideas or suggestions about content to include in the newsletter, relevant to our members Please contact Santiago Velasquez, Editor@APICS-Houston.org

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C E RT I F I E D S U P P LY

CHAIN PROFESSIONAL

(CSCP)

The APICS CSCP designation is for professionals who are interested in increasing their knowledge and expertise in the field of global supply chain management. This program is ideal for individuals and organizations that are:
     

Interested in more depth of knowledge and understanding in the areas of supplier and customer relations, international trade, the use of information technology to enable the supply chain, and physical logistics Facilitating operational and financial improvement both within and across supply chain functions Interested in increasing knowledge and expertise in the field of global supply chain management. Mastering the tools to effectively manage global supply chain activities that involve suppliers, plans, distributors and customers located around the world Implementing new or modifying their existing Enterprise Resources Planning (ERP) system(s) Desiring to create a common standard of understanding, vocabulary, best practices and frameworks within your company to address your supply chain challenges and seize opportunities

The CSCP learning system includes:  Approximately 800 pages of printed learning materials  Interactive Web based study tools:  Pre and Post tests  Module specific tests  Glossary, E-flashcards and Information Center Candidates must apply for eligibility in order to register and take the exam. Eligibility requirements for the APICS CSCP designation are listed below:
  

APICS CPIM, CFPIM, or CIRM, and C.P.M. designations plus two years of related business experience, or Bachelor's degree or equivalent plus two years of related business experience, or Five years of related business experience.

A candidate must pass just the ONE exam. Please consult www.APICS.org for additional information
Class Winter CSCP Schedule Jan 15 to April 16 Days Tuesdays Time 6:00pm to 9:00pm Location TBD Early Reg Jan 7

** No class on 10/13 due to APICS International Conference
Class Member Price Early Winter CSCP <Price Subject to Increase> $1,850 Late $1,950 Early $2,050 Non-Member Price Late $2,150

Contact Chuck Connelly CFPIM, CSCP, CPA, VP of Professional Development at VPprofessionaldevelopment@ APICS-Houston.org For more information on our programs or to register, please visit our website at www.APICS-Houston.org

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AN EVENING

AT

KUHF NEWS

G O Z D E C A PA R , A P I C S H O U S T O N C H A P T E R
As a KUHF Silver Circle Contributor, APICS Houston was invited to an exclusive behind the scenes view of KUHF News on July 26, 2012. The event was held at the LeRoy and Lucile Melcher Center for Public Broadcasting on the University of Houston campus. The recently renovated building houses KUHF 88.7 and Classical 91.7 studios. The event started with a mini tour of the studio. During the tour, Capella Tucker, Program Director KUHF News, and Paul Pendergraft, Producer of Engines of our Ingenuity, answered questions about the KUHF news and broadcasting in general. APICS Houston Board members were able to get an insider look at the news operation, meet the journalists and on air talent we all hear during the local broadcast of ‘All Things Considered’. In addition, board members met fellow supporters of Houston Public Radio. As a Silver Circle Contributor, APICS Houston is recognized twice every month on KUHF. Don't be surprised if you hear APICS Houston name next time while you are stuck in the rush hour traffic! Did you know? KUHF was founded in 1950.

Left to Right: Steve Hasson (APICS Houston Ex-Officio), Tom Chambers (APICS Houston VP Membership), Ed Mayberry (KUHF Midday Host), Tish Patel (APICS Houston President), Keith Myles (KUHF Afternoon Traffic Reporter), Gozde Capar (APICS Houston VP Marketing), Jack Williams (KUHF News Director & Houston Anchor) Gozde Capar, VP Marketing APICS Houston Chapter VPMarketing@APICS-Houston.org

‘CHUCK’ NELSON STUDENT PAPER COMPETITION
2 0 1 2 G R A D UAT E C O N T E S T F I R S T P L AC E W I N N E R S
FROM

U

OF

H

The Terra Grande (Region VI) and Heartland (Region V) Azhar and Kritihika graduated this past spring and earned Districts have sponsored the Charles K. ‘Chuck’ Nelson their MBA degree and the Supply Chain Management student paper contest since 2008. The contest is open to all Certificate. student APICS members within the districts and consists of two categories undergraduate and graduate. Student submissions were from universities in the US and Mexico. I’m pleased to announce that Azhar Mohammed and Krithika Krishnan have won 1st place in the graduate division. Their paper “Efficient Reverse Logistics Implementation in the Retail Industry” received high praise from the judges. The students will share a cash award of $650. Azhar and Krithika were MBA students at Bauer College taking the Global Supply Chain Management MBA elective that I taught during spring semester of 2012. One assignment for the course was to develop a research topic Left to Right: Krithika, Azhar, Dr. Gordon Smith and write a ‘white paper’ to be presented to senior managers that will help them extend their current knowledge about the chosen topic. The focus is to provide useable and actionable information and knowledge that the managers may then Gordon D Smith, Ph.D., C T Bauer College of Business decide to further pursue. University of Houston, gsmith@bauer.uh.edu

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NEW CHAPTER MEMBERS
APICS Houston Chapter welcomes it’s new chapter members:

New Members Information
Type Professional Member Student Associate Enterprise Professional (E) Enterprise Professional Young Professional (E) Total Number 23 34 2 1 5 65

To view the detailed list of new members, go to www.APICS-Houston.org/recognition/default.aspx

CAREER CENTER
J O B B A N K U P DAT E F O R S E P T E M B E R 2 0 1 2
The APICS Houston Chapter is pleased to highlight the following new opportunities for our members.     Forecast Analyst, Forum Energy Technologies Supply Planner, Univar Production Planner, TAS Energy Raw Material Planner, Prodigy Staff Advisors More information about job opportunities can be found at www.APICS-Houston.org under Job Board. If you have additional questions please contact: Marisa McNevin, Director of Job Bank, jobbank@APICS-Houston.org or 832-643-5415

HOW

TO RU N A P ROB LE M - S OLV I NG SETH GODIN, GUEST AUTHOR

MEETING

This is a special sort of get together, similar to the meeting  where you organize people to figure out the best way to take advantage of an opportunity. In both cases, amateurs usually run the meetings, and the group often fails to do their best  work. Ignore these rules at your peril:  

All the needed data provided to all attendees, in advance, in writing. At least one person, perhaps the host, should have a point of view about what the best course is, but anyone who comes should only be invited if they are willing to change their position. Agree on the structure of a deliverable solution before you start.

 

Only the minimum number of people should participate. Don't invite anyone for political reasons. Don't invite  Deliver on that structure when you finish. anyone to socialize them on the solution because they were part of inventing it--people don't need to be in the Seth Godin, Best selling author and speaker kitchen to enjoy the meal at the restaurant. http://sethgodin.typepad.com/ No one participating by conference call... it changes the Reproduced with permission of Seth Godin tone of the proceedings. A very structured agenda to prevent conversation creep. You are only here to do one thing.

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HOW TO WRITE

A

P ERF EC T C OV ER L ETTER
want to know if you qualify as a viable candidate. Use the job posting as a guide to know exactly what qualifications to mention in your cover letter. 3. Don't try to get fancy. Job seekers get frustrated writing cover letters because they try to make it into a creative writing exercise. That's not necessary. It's much more important that you keep your ideas clear and easily understood. When writing about your qualifications do use the same verbiage to describe your skills as the job posting. You'll make the resume screener's work much easier and they will recognize you as a perfect candidate match much quicker. Using this simple approach will allow you to take a customized approach with each cover letter you send. Generic cover letters usually sound canned no matter how much time was spent writing them. Worse, a one-size-fits all cover letter looks like it was borrowed off the page of a sample cover letter book. Would you take the time to read a mass-produced letter?

DEBORAH WALKER, GUEST AUTHOR
Your cover letter has only one job. It is meant to entice the reader to open and read your resume. Sounds simple, but job seekers often stress as much over their cover letter as they do the resume. If this sounds like you, relax, there is a simple approach to cover letters that will streamline your application process and give you confidence every time you send out your resume. Just keep these three cover letter tips in mind and you'll never stress over writing them again. 1. Keep it short. More often than not you'll send your cover letter via email or some other electronic system. Your reader won't be looking at a piece of paper, but at their computer screen. Ever notice how short your reading attention span is when you're reading text on your computer? That's why online articles are typically shorter than print articles. The same holds true for email messages. If you've got 60 messages in your inbox you don't have the patience for lengthy text. Now imagine you're a recruiter or resume screener and you must get through a couple hundred resumes in a day. If you want your cover letter read keep it short, concise and to the point. 2. Focus on qualifications.

I'm often asked if cover letters are still relevant in today's fastpaced job market. While the form has changed from paper to electronic they are still a vital part of your job-search Most job seekers freeze up when writing cover letter because marketing materials. Cover letters provide your first they don't know what information recruiters want to see. The opportunity to make a good impression on your potential new first person in an organization to read your resume is a employer. It pays to write them with clarity and simplicity. recruiter or HR professional who acts as a screener. They are interested only in identifying candidates who match their set Deborah Walker, Certified Career Management Coach of qualifications. The better the match the higher the interest. Read more career tips at www.AlphaAdvantage.com. Don't worry about explaining why you are interested in the position, the screener probably doesn't care. He/she only Reproduced with permission of Deborah Walker

WANT

T O B E C O M E A C O M PA N Y C O O R D I N A T O R ?
other APICS literature to interested parties and key personnel Posting schedules of APICS seminars and review courses and assisting with the registration process by maintaining updated registration forms and directions to the facilities where the programs are being offered Provide feedback to the Board of Directors regarding areas of improvement and your company's educational needs

Company Coordinators act as liaisons between the Houston Chapter Board of Directors and fellow employees to help their companies derive maximum benefit from its APICS membership. The Company Coordinator promotes APICS within their own  Company by:

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Defining the benefits of membership participation and be a key source of information regarding APICS within your organization 

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Explaining the certification programs and how achieving CPIM or CSCP certification is both professionally and For more information about the company coordinator program, personally rewarding please contact James Nolan, Director of Company Coordinators, CompanyCoordinators@APICS-Houston.org Circulating the monthly Professional Development Program announcement To see the list of current company coordinators, go to Promote and distribute newsletters, seminar brochures, and www.APICS-Houston.org/recognition/default.aspx

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NEW S! CLAS

P R I N CI P L E S O F I N V E N TO RY MANAGEMENT
We are pleased to offer our NEW Principles of Inventory Management class. This class is designed to give a holistic view of inventory. The goal of this course is to impart an operational knowledge and understanding of inventory management principles and techniques, roles and responsibilities, and the impact that inventory can have on a business. Key Topics 

Houston Chapter
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Registration www.APICS-Houston.Org Under Calendar of Events Class Information Day: Saturdays Dates Sept 15 to Nov 17 Time 8:00am to 12:00pm Location TSP

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Operations Management and Inventory Fundamentals  Key Trends  Key Definitions and Classes of Inventory  Balancing Demand and Supply Objectives Purpose and Functions of Inventory  Inventory Decisions, Ordering and Replenishment  EOQ and Lot Sizes  Cycle Inventory, Safety Stock, Seasonal Inventory  Carrying, Stock out and Capacity Costs  Surplus / Obsolete Inventory  Inventory Valuation and Performance Advanced Inventory Management Techniques  Supplier Lead Time Uncertainty  Time Phased Order Point  Inventory and Financial Statements  ABC Inventory  Year End Physical and Cycle Counting Lean Inventory Concepts and Practice  JIT and Lean  Inventory Flow and Reduction  Kanban Flow and Calculations Fundamentals of Purchasing  Definitions, Responsibilities, and Strategy  Buyer / Planner Concept  Systematic View and Relationship with Inventory Sourcing Strategies  Strategic Sourcing Objectives, Activities  Make versus Buy  Spend Analysis  Supplier Relationship Management (SRM) vs Traditional Purchase Order Management and Performance Measurement  Process and Order Flow  MRP, VMI, Kanban, e-Procurement  Purchasing Performance Management

For everyone that manages, orders, buys and/or controls inventory
Contact Chuck Connelly CFPIM, CSCP, CPA, VP of Professional Development at VPprofessionaldevelopment@ APICS-Houston.org For more information on our programs or to register, please visit our website at www.APICS-Houston.org

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APICS HOUSTON CHAPTER
B OA R D O F D I R E C T O R S 2 0 1 1 – 2 0 1 2
The Houston APICS Chapter Board is a dedicated team of people that work to provide relevant events and services to chapter members. Your feedback is essential for continuous improvement, so please contact us with comments, suggestions and improvement ideas.
Position Name Contact President@APICS-Houston.org President Tish Patel Secretary@APICS-Houston.org Secretary Reid Garrett Treasurer@APICS-Houston.org Treasurer Ron Klein, CSCP, PCFM Ex-Officio@APICS-Houston.org Ex Officio President Steve Hasson, MBA, CSCP VP of Professional Development Chuck Connelly, CFPIM, CIRM, CSCP, CPA VPprofessionaldevelopment@APICS-Houston.org VPStudentActivities@APICS-Houston.org VP of Student Activities Eddie Whitfield, CPIM, CIRM, CSCP, MBA, PE Membership@APICS-Houston.org VP of Membership Tom Chambers , CSCP, PMP VPmarketing@APICS-Houston.org VP of Marketing Gozde Capar, MS, CSCP, CSSBB VPCommunications@APICS-Houston.org VP of Communications Santiago Velasquez Programs@APICS-Houston.org Director of Programs Bill Cure, CFPIM, CIRM, CSCP, PMP Education@APICS-Houston.org Director of Education Michael Cole CPIM, CSCP CompanyCoordinators@APICS-Houston.org Director of Company Coordinators Jim Nolan MBA, CSCP Seminars@APICS-Houston.org Director of Seminars Mauricio Hernandez, MBA, CPIM, CSCP CRM@APICS-Houston.org Director of Membership Duane Chandler, CSCP, CPIM JobBank@APICS-Houston.org Director of Job Bank Marisa McNevin CompanyCoordinators@APICS-Houston.org Director at Large Chris Agner

If you want to get involved with the Houston APICS Chapter, please contact your company coordinator. You can also contact our President or board members for assistance. Thank you for your support.

LIST
Company Coordinator
Chris Agner Arnold Aguilar Rob Bytheway Peter Cayea Prasanth Chakra Duane Chandler Madhavi Chiruvolu Lana Forrest Bob Gardner Chongkol Graunke Steven Hasson Chuck Hayes Kevin Helm Mauricio Hernandez Mark Hoffman Jeff Hoke Tracy Hughey Ken Jamison Bob Kirkpatrick

O F C O M PA N Y C O O R D I N A T O R S

Below, a list of the company coordinators that are currently working with the APICS Houston Chapter. Please contact your local company coordinator for more information about Chapter services and events. Company
National Oilwell Varco - Westchase Aker Solutions Baker Hughes Cameron International Bayer Weatherford International Toshiba Baker Hughes Pathfinder/Schlumberger Akzo Nobel Functional Chemicals TSP Cameron - Flow Control Oceaneering Shell Cameron Drilling Systems Wyman Gordon Akzo Nobel Weatherford - Gulf Bank National Oilwell Varco - Bammel

Company Coordinator
Austin Klein Lisa Leroux Larry McClellan Gary Mundell Jim Nolan Patrick Paro Giovanni Ramirez Angelina Rodriguez Chaitanya Saha Ram Santhanavaradan Don Thomas Mary Timko Kevin Tye Amy Walla Nick Webster Tony Xu Robert Yagel Cathy Hernandez Ed Khundmiri

Company
National Oilwell Varco - Sugarland Weatherford Schlumberger – HPC National Oilwell Varco - FM 529 FMC Technologies Del Packaging National Oilwell Varco - Galena Park National Oilwell Varco - Air Center Blvd National Oilwell Varco - West Little York National Oilwell Varco - Conroe Unisource Schlumberger – SPC Weatherford International - Northwoods Hewlett-Packard National Coupling Company Foxconn Goodman Manufacturing Halliburton Energy Services American Frac Fluids

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EVER FELT YOUR JOB ISN’T WHAT YOU WERE M E A N T T O D O ? D A N P I N K , G U E S T AU T H O R
The idea is that if we simply acknowledge what fires our soul, if know it, you are your own boss and making a living from doing we just pull out our metaphysical arthroscope and examine our what you do." hearts, the path will reveal itself. This is how people find their way. Instead of endless selfSo – with a voice that quavers in expectation and an inflection examination and the search for some inscrutable holy emotional that italicizes the final word – they ask us again: grail, they act. "What's your passion?" Sometimes the answer that emerges from the action isn't fully formed, says Marci Alboher, author of One Person/Multiple Ladies and gentlemen, I detest that question. When someone Careers. "Often that thing 'on the side' becomes a slash that gets poses it to me, my innards tighten. My vocabulary becomes a tacked on after an answer to the 'What do you do?' question. palette of aahs and ums. My chest wells with the urge to flee. That's why we're seeing so many lawyer/chefs and Oh my. The answer better be amazing – not some fumbling, dentist/massage therapists. And these slash careers are often feeble reply. But I know the responses I've formed in my head pit stops on the way to full-blown career shifts. aren't especially good. Worse, they're probably not even accurate. And I'm not alone. So, as the economy comes back, Of course, passion isn't bad. But business can be a bit like love. and people begin pondering new opportunities, maybe we can When people first fall in love, they experience that woozy and take a break from this daunting and distracting question and ask besotted feeling that verges on obsessiveness. That's passion, a far more productive, one: what do you do? and it's great. But as couples bond more enduringly, that fiery intensity can give way to a calmer warmth. That's true love – and I learned the wisdom of this alternative from Gretchen Rubin, that's where the magic is. who lives and works in New York City. After graduating from law school in the early 1990s, Rubin served as a law clerk for the US So, next time you're on either the giving or receiving end of Supreme Court. This job is perhaps the sweetest plum in the advice, skip the hot and steamy passion and go for the calm and American legal orchard. It practically guarantees a career of high- deeper love. Ask questions like: level positions in law firms and government. But during her stint, Rubin's eyes wandered away from the law.  What did you do last Saturday afternoon – for fun, for yourself? "When I had free time, I never wanted to talk about cases or read law journals, the way my fellow clerks did. Instead, I spent hours  What books do you read or blogs do you visit, not for work, reading, taking notes and writing my observations about the but just because you're interested in them? worldly passions – power, money, fame and sex," Rubin says. "Finally, I realized, 'Hey, I'm writing a book.' And it dawned on me that some people write books for a living. This project didn't have  to be my hobby; it could be my job."

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What are you great at? What comes easily to you? What would you do – or are you already doing – for free?

As it happens, I can testify to the power of de-emphasizing She wrote her first book – Power Money Fame Sex: A User's passion and re-emphasizing doing. Beginning about two decades Guide – and soon she realized that she wasn't a lawyer. She was ago, I worked in some very demanding, intensely stressful jobs in a writer. Now she has four books to her name, including her American politics and government. But throughout – on the side, latest, The Happiness Project. usually for no money – I wrote magazine articles about business and work, and formulated ideas for books. At one level, it was Rubin might have felt an occasional bolt of passion while writing. foolish. I lost sleep, sacrificed leisure, and probably distracted But that didn't offer much guidance. Instead, she took a step myself from my paid employment. back and watched what she did. But after many years, it finally hit me: This – not politics – is what Emma Jones is the founder of Enterprise Nation, a London I did. And now, as a result, that's what I do. company that supports small businesses. She has discovered that people who notice what they do when nobody is watching Am I passionate about it? Sure, I guess. Maybe. Some days. But them, or even paying them, often end up as entrepreneurs. passion isn't something I much ponder. I'm too busy doing what I do. "I'm seeing quite an increase in the number of people turning a hobby into a business," she says. "You start innocently by making cakes or taking photos in your spare time. Friends and family Dan Pink, author and business leader, www.danpink.com Reproduced with permission of Dan Pink admire the results and recommend you to others. Before you

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JOIN US AT THE NEXT PDM EVENT — SEP 20TH, 2012
“A S S E T L I F E C Y C L E M A N A G E M E N T ” , J I M S T E P H A N O U
In today’s competitive landscape and commodity markets, all producers seek cost advantages, in many forms. Getting back to basics in how we manage our assets is one critical piece of the low cost producer equation. For the supply chain, a reliable upstream producer enables obvious optimization and low costs in the area of working capital and customer satisfaction. Jim Stephanou is a graduate of Drexel University with a degree in Mechanical Engineering. Prior to joining Bayer, Jim was employed by ARCO Chemical Company (now Lyondell Basell Industries) from 1987 through 2000 in various engineering and manufacturing roles with increasing r e s p o n s i b i l it y . T h es e d i v e r s e assignments were in several locations within the U.S., including Philadelphia, Pittsburgh, and Lake Charles Louisiana as well as Rotterdam (the Netherlands).

In addition, prudent Asset Life Cycle Management therefore becomes a key to success among all manufactures. This presentation examines the basics of Asset Life Cycle Management and provides both root causes and solutions as people operate their facilities to gain the utmost advantage for their customers, while still maintain the basics Stephanou joined Bayer MaterialScience in 2001 as Director West Virginia Maintenance and Engineering based in New in safety, reliability, and environmental performance Martinsville before he was appointed Vice President, Production & Technology TDI, NAFTA. He was based in Join us on September 20th, 5:30 PM to 8:30 PM Baytown from 2002 to 2005. In 2005, he was appointed at 5430 Westheimer Rd, Hess Club Vice President, Propylene Oxide Global Asset Management $25 members, $30 non members, $10 students for Bayer MaterialScience in Pittsburgh. Jim Stephanou is Late fees apply Head of Bayer Technology Services Americas since January 1, 2011. For more information, go to: Don’t Miss this Event! www.APICS-Houston.org, under Events

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