VMG Consulting, LLC David M. Vernon Director Indiana University SCOOP January 24, 2006

VMG Consulting, LLC

David M. VernonDirector

Indiana University SCOOPJanuary 24, 2006

VMG Consulting, LLCO: (312) 836-1155F: (312) 836-1295One IBM Plaza330 N. Wabash Ave.Suite 3400Chicago, IL 60611

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David M. Vernon – Director

• Earned Bachelor of Arts degree in Economics from Indiana University in 1997

• Led engagements targeting value enhancement in raw materials, manufacturing components, finished products, and corporate/value-added services

• Managed sourcing projects for clients facilities in North America, South America, Europe, Asia, and Africa

• Focused on international manufacturing and private equity portfolios

• Worked previously as a supply chain manager at Gibson & Associates, Alaris Consulting, and Eli Lilly and Company

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VMG Consulting Background

• Over 25 years in operational consulting focused on supply chain execution

– Strategic sourcing

– Low-cost country sourcing

– Logistics optimization

– Lean manufacturing

– Skill-based training

• Over 300 years of combined experience in the partner group

• Clientele ranging from $50 Million to $10 Billion + in sales

• Prompt results with a long term strategic approach

• Implementation-focused – committed until savings are delivered

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Strategic Sourcing

• Leverage supplier base

• Obtain global market benchmark intelligence

• Realize annualized, quantifiable savings

• Reduce ongoing hidden operational costs

• Streamline processes to improve efficiency

• Support the implementation process

Increase client productivity by enhancing core assets,

improving business processes and building strategic relationships.

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Step 1Diagnostic

Review

Timeline

The Strategic Sourcing approach consists of the following Process Steps…

6 – 10 Month

Step 2

ConductSupplier Research

Step 3

Develop Supplier Profile

Step 4

Web-Cast / Supplier Communication

Step 5

Profile Analysis and/or Auction

Step 6

Supplier Negotiations

Step 7

Supplier Site Visits

Step 8

Final Selection

Steps for Strategic Sourcing Process

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Low - Cost Country Sourcing

• Provide all-inclusive approach

• Develop international procurement strategies

• Aid in implementation

• Work with local suppliers to eliminate surprises

• Identify areas for significant cost savings

• Ensure a streamlined and successful process

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Transportation and Logistics

• Analyze current strategies to discover weak points

• Realize significant savings in shipping and freight

• Differentiate market leaders by streamlining shipping process

• Optimize mode and distribution methods

• Identify low cost and high quality providers

• Gain a competitive edge by partnering with suppliers abroad

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Training• Executive training

– Build critical skills, create sustainable results – Introduce clients to methodology

• New hire training– Facilitate immersion training by creating real-world scenarios– Encourage strong, positive relationships among colleagues

• Career training– Allow consultants to become qualified instructors– Maintain and improve company-wide skill sets

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Consultant (Associate) Position

• Begin a career in a fast-paced industry

• Experience a variety of industries

• Earn a very competitive salary

• Manage data used in strategic analysis

• Generate savings figures and reports

• Research potential suppliers

• Gain expertise in a given commodity area

• Bridge the communication gap between clients and suppliers

• Facilitate commodity teams

• Work together with top management of client and suppliers

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Skills and Qualifications

• Bachelors in a business discipline

• Advanced analytical and quantitative skills

• Strong interpersonal and communications skills (verbal and written)

• Highly proficient computer skills (knowledge of databases is recommended)

• Research and problem solving skills

• Team-oriented

• Leadership ability or capability

• Willingness to travel 80 – 100% of the time

• Creativity, imagination, motivation, professionalism, and self-confidence

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Consulting Lifestyle

• Common Obstacles

– Travel away from “home base” each week

– Act in an unpredictable environment with a fluctuating schedule

– Work long hours to complete tasks during peak times

– Take ownership of possibly very ambiguous tasks

• Significant Advantages

– Work in several industries on a wide variety of stimulating tasks

– Interact in a young, fast-paced environment

– Realize perks associated with the travel schedule

– Gain the opportunity to travel internationally and to be exposed to unique business practices

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Typical Career Path

Associate

2-3 YearsIn Position

Senior

3-4 Years

In Position

Partner

Life TimeManager

5-8 Years

In Position

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Indiana University Recruiting Schedule

• Spring 2006 Recruiting Schedule (On-Campus)

– Roundtables Informational Sessions

January 24th – Finance and Accounting

January 25th – Marketing and Management

January 26th – Operations Management and ODT

– Interviews by Invitation Only (Summer 2006 Positions)

• Fall 2006 Recruiting Schedule (On-Campus)

– Full-time (Aug 2007) & Internship Positions (Jun – Aug 2007)

October 16th – Full-time First Round Interviews

October 17th – Internship First Round Interviews

October 18th and 19th – Second Round Interviews

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Contact Us

Please feel free to contact us if you have any questions regarding career opportunities.

We would be happy to hear from you.

Mailing Address:One IBM Plaza330 North Wabash AvenueSuite 3400Chicago, IL 60611

Phone:General: (312) 836-1155David Vernon: (312) 821-4519

Email:campusrecruiting@vmgconsulting.comdvernon@vmgconsulting.com