1. technology and computing
2. electronic components

Investor Presentation
October 2014
Forward Looking Statements
This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may be
preceded by, followed by or include the words “believes,” “expects,” “anticipates,” “intends,” “plans,” “estimates” or similar expressions. These statements are based on the
beliefs and assumptions of our management. Generally, forward-looking statements include information concerning our possible or assumed future actions, events or results
of operations. Forward looking statements specifically include, without limitation, the information in this presentation regarding: projections; efficiencies/cost avoidance; cost
savings; forward loss reserves; income and margins; earnings per share; growth; economies of scale; the economy; capital expenditures; future financing needs; future
acquisitions and dispositions; litigation; potential and contingent liabilities; management’s plans; and integration related expenses.
Although we believe that the expectations reflected in the forward-looking statements are based on reasonable assumptions, these forward-looking statements are subject to
numerous factors, risks and uncertainties that could cause actual outcomes and results to be materially different from those projected. We cannot guarantee future results,
performance or achievements. Moreover, neither we nor any other person assumes responsibility for the accuracy and completeness of the forward-looking statements. All
written and oral forward-looking statements made in connection with this presentation that are attributable to us or persons acting on our behalf are expressly qualified in their
entirety by “Risk Factors” and other cautionary statements included herein.
The information in this presentation is not a complete description of our business or the risks. There can be no assurance that other factors will not affect the accuracy of
these forward-looking statements or that our actual results will not differ materially from the results anticipated in such forward-looking statements. Factors that could cause
actual results to differ materially from those estimated by us include, but are not limited to, those factors or conditions described under “Risk Factors” in the Annual Report on
Form 10-K for the year ended December 31, 2013 and the following: the cyclicality of the aerospace market and the level of new commercial aircraft orders, customer
concentration, production rates for various commercial and military aircraft programs, the level of U.S. government defense spending, competitive pricing pressures, start-up
costs and possible overruns on new contracts, technology and product development risks and uncertainties, product performance, increasing consolidation of customers and
suppliers in the aerospace industry, price erosion within the marketplace, the risk of environmental liabilities, possible goodwill or other asset impairments, compliance with
applicable regulatory requirements and changes in regulatory requirements, including regulatory requirements applicable to government contracts and sub-contracts,
imposition of taxes, export controls, tariffs, embargoes and other trade restrictions, economic and geopolitical developments and conditions, our ability to service our
substantial indebtedness, our ability to manage and otherwise comply with our covenants with respect to our significant outstanding indebtedness, unfavorable developments
in the global credit markets, which may make it more difficult to incur new indebtedness or refinance our outstanding indebtedness, our ability to retain key employees, our
inability to maintain current customer and supplier relationships , and risks associated with other acquisitions and dispositions of businesses by us.
We caution the reader that undue reliance should not be placed on any forward-looking statements, which speak only as of the date of this presentation. We do not
undertake any duty or responsibility to update any of these forward-looking statements to reflect events or circumstances after the date of this presentation or to reflect actual
outcomes.
This presentation includes certain non-GAAP financial measures, such as EBITDA and free cash flow. Tables reconciling such non-GAAP financial measures are available in
this presentation.
2
Agenda
• Introduction
• Company Overview
• Key Company Strengths
• Capitalization
• Investment Merits
• Appendix
3
Investment Highlights
• Customer focused leading global provider of
engineering and manufacturing services to aerospace,
defense and diverse technology-driven markets
• Expanded capabilities move us up the value chain to
more sophisticated, higher value-added products
• Well positioned to benefit from increasing market
demand for more advanced integrated systems
• Long-term relationships with blue chip customers
• Sizeable backlog
• Consistent cash flow
4
Ducommun Goal: Expand Capabilities to
Provide More Value-Added Products
Driving the business to become a higher-level integrator
Tier 3
Tier
Components or
detailed parts
5
Tier 2
Tier
Tier 1
Tier
OEM
Manufacture
subassemblies
Manufacture
aircraft sections
and purchase
assemblies
Final
assembly,
finish and
delivery
The “One Ducommun Platform” Forms the Basis for
Achieving Sustainable Profitable Growth
6
Strategic Business Unit Structure
Aligns Capabilities & Creates Synergies
Ducommun LaBarge
Technologies
Ducommun
AeroStructures
(Electronic Solution)
57% of LTM Q2 2014 Sales
(Structural Solutions)
43% of LTM Q2 2014
Electronic
Systems Group
7
Advanced
Systems Group
Structural
Systems Group
Innovative Electronic Solutions
Ducommun LaBarge Technologies (57% of LTM Q2 2014 Sales)
Designs, engineers and manufactures high-reliability products used in worldwide technology-driven markets,
including aerospace and defense, natural resources, industrial, and medical.
Core Capabilities
From prototype development to complex
assemblies:
 Turnkey design, engineering, assembly
and test
 Cable assemblies, wire harnesses and
interconnect systems
Interconnect Systems
 PCB assemblies and
microelectronics/hybrid circuits
 Box-build, electromechanical and
mechanical systems
 Illuminated panels, microwave switches,
and motors and resolvers
Design, Engineering
and Test
Printed Circuit
Board Assemblies
 Systems integration
 Logistics
 After-market support
Integrated Electronic
Assemblies
8
Integrated
Mechanical
Assemblies
Complete System
Builds
Innovative Structural Solutions
Ducommun AeroStructures (43% of LTM Q2 2014 Sales)
Designs, engineers and manufactures large, complex contoured structural components/assemblies, and
composite and metal bonded structures/assemblies for aerospace and defense.
Core Capabilities
Commercial Aircraft
•
Fuselage skin panels & assemblies
•
Flight control surface assemblies
•
Leading edges
Composite Winglets
Military Fixed Wing Aircraft
•
Fuselage skin panels & assemblies
•
Flight control surface assemblies
•
Various door panels
•
Leading edges
•
Engine ducts
Rotor Blade
Assemblies
Fuselage Skins
and Assemblies
Exhaust Systems
and Engine Ducts
Flight Control Surface
Assemblies
Military and Commercial Rotary Wing
Aircraft
9
•
Main & tail rotor blade assemblies
•
Leading edges
•
Firewall exhaust assemblies
•
Sub-assemblies
Ducommun’s End Markets
Offer Growth Opportunities
(Results for the Twelve Months Ended 6/30/14)
(34% of Sales)
Commercial
Aerospace
Defense Structures
(30% of Sales)
Defense Technologies
Industrial
Natural Resources
Medical & Other
(6% of Sales)
(6% of Sales)
(5% of Sales)
(19% of Sales)
• Radar systems
• Flight control
assemblies
• Engine ducts
• Rotor blade assemblies
• Shipboard systems
• Fuselage assemblies
• Rotor blade assemblies
• Leading edges
• Missile systems
• Composite winglets
10
• Glass container
electronic
manufacturing systems
• Electronic test
equipment
• Semiconductor capital
equipment
• Oilfield services
equipment
• Mine automation
systems
• Agricultural control
systems
• Surgical systems
• Patient monitoring and
therapy devices
• Respiratory care
devices
• Biodecontamination
equipment
Diversified End Markets and Platforms with
Strong Industry Fundamentals
Natural Resources
6%
Industrial
6%
Medical/Other
5%
Defense Structures
19%
$736 Million
LTM Q2 2014
Sales
Commercial
Aerospace
30%
$623 Million
Backlog as
of 6/30/14
Defense Technologies
34%
Natural Resources
4%
Medical/Other
3%
Industrial
3%
Defense Structures
18%
Commercial
Aerospace
40%
11
End Use Markets
Commercial Aerospace
Defense Technologies
Defense Structures
Natural Resources
Industrial
Medical & Other
Weighted Average Growth Rate
Defense Technologies
32%
Highly diversified portfolio in low volume, high mix & high margin
businesses
Annual Expected
Growth Rate
4% - 6%
1% - 2%
(5%) - (3%)
1% - 2%
1% - 2%
1% - 2%
1% - 2%
Key Growth Drivers Allowing Ducommun to Expand
Market Presence and Service Capabilities
DAS
• Overall A&D structures market to grow 0-2% over the long-term
• Programs continue to benefit from increased shipments to support the higher
build rates in large commercial aircraft
– Boeing 737NG, 747, 777 and 787 programs
– Airbus A320, A330, A340, A350 and A380 programs
• New commercial opportunities – 737 MAX and A320 NEO
• Expect solid performance on our largest military program - Black Hawk Helicopter
DLT
•
12
Overall low volume, high mix defense technologies market growing 1-2% over
the long-term
– Commercial aerospace and industrial markets will drive growth
– Electronics upgrades and retrofit market fits strategy
A&D Market Forecasted to Grow Steadily through 2019
Driven by Strong Builds in Large Commercial Aircraft
Forecast Deliveries (US$bn)
250
200
Other
Trainers/Light Attack
150
(US$bn)
Regional Aircraft
Military Transports
Rotorcraft
100
Fighters
Commercial Jetliners
Business Aircraft
50
0
2014
2015
2016
Source: Teal Group, January 2014
13
2017
2018
2019
2020
2021
2022
2023
Steady Growth Anticipated for Boeing and Airbus
Driven by Global Demand
Commercial Aircraft Build Rates
Recovery (2013-2017 CAGR = 4%)
Trough
1,600
Recovery
Trough
Peak
1,189
Aircraft (No.)
1,200
800
400
684
303
605
668
894
434
453
483
858
972
1,011
498
510
534
1,355
1,399
1,426
1,471
634
670
695
626
649
588
305
320
378
462
477
762
776
481
751
290
375
648
285
398
601
281
441
721
381
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014E
2015E
2016E
2017E
0
Source:
586
832
979
1,274
Boeing and Airbus and Wall Street research
Boeing Deliveries
Airbus Deliveries
Global Passenger Traffic and Capacity
Y-o-Y Change (%)
20
15
10
5
0
(5)
(10)
(15)
May-09
Source:
IATA
Data as of May 2014
14
Massive flight cancellations due to the Iceland volcano
May-10
May-11
Capacity Growth / (Decline)
May-12
Traffic Growth
May-13
May-14
Defense Spending Forecasted to Decline,
But Remains Above Historic Averages
800
Vietnam
War
Reagan
Buildup
War on Terror
Forecast
700
600
($bn)
500
400
300
200
100
0
’62 ’64 ’66 ’68 ’70 ’72 ’74 ’76 ’78 ’80 ’82 ’84 ’86 ’88 ’90 ’92 ’94 ’96 ’98 '00 ’02 ’04 ’06 ’08 ’10 ’12 ’14 ’16 ’18
Source: Department of Defense April 2014
15
We expect defense technologies to grow at 1–2% annually
Our Strategy for Growth
• Establishing Ducommun as an innovative
solutions provider
– Delivering a compelling value proposition to our
customers
– Expanding capabilities to provide more advanced
integrated systems
• Leveraging our portfolio of broad,
complementary capabilities
– Electronic, engineered and structural solutions
– High-performance products and high-cost-offailure applications
– Reorganized into strategic business units to align
capabilities and create synergies
16
Targets for Growth
• Commercial aerospace – Well positioned on key programs
– Boeing 737, 777 & 787; Airbus A320, A330/340, A350 & A380
– New commercial opportunities – 737 MAX and A320 NEO
– Focused on expanding presence with Boeing, Airbus and Spirit
• Jet engines – Growth expected on key commercial and military
fixed-wing aviation programs should drive increased demand in the
engine market
– Established relationships with leading engine manufacturers
– Marketing efforts to expand our customer base
17
Targets for Growth (continued)
• Defense – Focusing on opportunities resulting from military
realignment
– Modifications, foreign military sales and expanded use of electronics
• Energy and Industrial – Our high-mix/low-volume capabilities are in
demand in several niche sectors
– Long-term outlook is brightening; increased order activity
18
Goal to Reduce Leverage to 2.75-3.0x by 2015
Net Debt / LTM EBITDA1
Acquisition
of LaBarge
4.5
2015 Goal
4.2
4.0
3.2
3.5
(x)
3.0
2.75-3.0
2.5
2.0
1.5
1.0
0.5
0.0
Notes:
1
2
19
4/2/2011
6/30/14
12/31/2013
Adjusted for non-recurring items and pro-forma for acquisition of LaBarge
Based on Company Management estimates
12/31/2015 ²
Goal to Reduce Net Leverage from
Current 3.2x to 2.75-3.0x by 2015
($ i n mi l l i ons )
6/30/14
Cash
Cap.
(%)
Cumulative
Cons. EBITDA
Multiple
Amount /
Multiple (x)
$43.8
$60 million Revolver (1)
Term Loan B(1)
Sr. Notes (2)
Other
Total Debt
Equity (Book Value)
Total Capitalization
–
117.6
200.0
0.1
$317.7
252.6
$570.3
Net Debt
$273.9
–
20.6%
35.1%
–
55.7%
44.3%
100.0%
–
1.4x
3.7x
3.7x
3.7x
LTM Q2 2014 Consolidated EBITDA(3)
LTM Q2 2014 Capital Expenditures
LTM Q2 2014 Interest Expense
Consolidated EBITDA / Interest Expense
(Consolidated EBITDA – CapEx) / Interest Exp.
3.2x
Notes:
(1) Sr. credit facility terms are L+3.75%, with a 1.00% LIBOR floor. Revolver unused at 6/30/14.
(2) Sr. Notes issued at 9.75% due 2018; first callable on 7/15/15 at 104.875
(3) See reconciliation of net income to Consolidated EBITDA in appendix.
20
We expect to pay down $30M of debt annually
$84.9
13.1
28.8
2.9x
2.5x
Sound Strategies for Profitable Growth
• Customer focused both internal and externally
• Leverage “One Ducommun” platform
• Execute on market demand to deliver more
integrated solutions
• Accelerate organizational development to
support growth
• Drive cash flow
21
Ducommun’s Focus
• Business development
– Provide a compelling value proposition as an innovative
solutions provider
• Strengthen balance sheet further
– Pay down debt, reduce interest expense
• Expand margins through improved efficiencies
– Adapt organizational structure to ensure operations and support
functions are in sync
– Drive operational excellence through lean, quality and supply
chain initiatives
• Develop our people
– Support our workforce to become more nimble and able to
respond to change more quickly
22
Why Invest in Ducommun?
• Well positioned in large growing markets for both A&D and
other key technology-driven applications
• Well organized to take advantage of key growth drivers
– Steady growth in commercial aircraft build rates for large
commercial aircraft for Boeing and Airbus
– Customers are increasingly using more integrated electronic
content on their platforms
– Solid, profitable market diversification
– Customers consolidating supply base to companies with expanding
capabilities
• Solid backlogs
• Consistently strong cash flows
23
Appendix
24
Ducommun’s Facilities Locations
Ducommun AeroStructures (DAS)
Ducommun LaBarge Technologies (DLT)
Miltec
Thailand
25
Primarily U.S.-based with access to low-cost domiciles
Ducommun Headquarters
Consolidated EBITDA Reconciliation
For the Twelve Months Ended 6/30/14
($ in thousands)
Net income
Depreciation and amortization
Interest expense, net
Income tax provision
Stock-based compensation
Asset impairment
Other (1)
Consolidated EBITDA
$
$
11,233
31,878
28,772
2,776
2,921
6,975
297
84,852
(1) Incl udes i nteres t for the La Ba rge Ma na gement Reti rement Sa vi ngs Pl a n a nd
La Ba rge Ma na gement Deferred Compens a ti on Pl a n.
26
Ducommun: History of Successful Acquisitions
• Founded in 1849
1849
• May 2001:
Acquisition of
Composite
Structures
1946
• Went public in
1946
27
2001
• August 2003:
Acquisition of
DBP Microwave
2003
2005
• May 2006:
Acquisition of
WiseWave
Technologies
2006
• January 2006:
Acquisition of
Miltec Corporation
2007
• December 2008:
Acquisition of
DynaBil Industries
2008
• September 2006:
Acquisition of
CMP Display
Systems
Ducommun has a history of successful integration and
deleveraging post acquisition
2011
• June 2011:
Acquisition of
LaBarge
Goal Deployment Process (GDP) Flow and X-Matrix
Site Goals
Facility 12 & 3 o'clock Goals
Metric
Definition
Engineered Products All KPI's / TTI's Q1
Functional
Owner
Site GM /
Marketing &
Sales
Metric/TTI
Ducommun "Division Name", Inc.
Facility Name*
EP Bookings ($)
CAR/NBP/D
TT
Bookings 3-UP
EP Sales ($)
Sales 3 UP
EP Operating Income ($)
Op Income 3 UP
EP Gross Profit ($)
Goal Deployment 2013 - Execution & Growth
Gross Profit 3 UP
NPD Sales ($)
NPD 3 UP
l
m
m
m
m
m
QMAT Roadmap > (Plan %)
l
l
m
l
m
m
Quality Rating (xxx%)
l
l
m
m
l
m
m
m
l
l
l
l
Review site KPIs and continual
improvement actions with
applicable team members.
CAR/NBP/D
TT
Site GM
CAR/NBP/D
TT
Site GM
CAR/NBP/D
TT
Site GM
New
Products
NPD/BD
YTD
JAN
$24,908,635
Plan
$26,510,101
l
l
m
m
l
m
On-Time Delivery > (x.0%)
l
m
l
m
m
l
m
m
m
m
m
l
l
Bookings >$xxK
l
l
m
l
m
m
l
l
l
Cost Reduction by x%
m
l
m
l
l
m
Quote OTD (%) from X to 100%
m
m
l
Labor Utilization & efficiency (%) above aa & bb%
l
l
Manufacturing Overhead (%) reduction
m
Scrap from x to y% of Sales
l
l
Material Efficiency improve from xx to yy%
l
l
l
Win $ > $xxM & win rate from xx% to yy%
l
l
Sales > $xxK
Past Due Backlog < 2 days of sales
m
m
l
Bookings ($xxxK)
m
Operating Income $x.xK
l
Sales ($xxxK)
Gross Profit > $xxK (xx%)
m
l
Operating Income ($xxK)
m
m
l
CFFO ($xxK)
m
l
m
On-Time Delivery > xx.x%
l
l
m
Product integrity improvement
l
m
l
m
l
m
l
m
m
m
l
m
m
m
m
m
m
m
m
Direct or Major Correlation
Operational Excellence: Supply Chain Mgt.
m
Direct or Minor Correlation
Operational Excellence: Lean Enterprise
Little to No Correlation
Operational Excellence: Product Integrity
JUL
4,209,102
$
AUG
3,904,836
$
SEP
4,223,433
$
OCT
4,313,502
$
NOV
4,885,458
DEC
4,029,977
$
3,120,005
$
2,356,213
$
4,054,754
$
4,150,769
$
4,045,068
$
3,937,597
$
4,551,191
$
4,087,989
$
3,851,745
$
$
4,593,799
$
3,387,585
$
3,731,564
$
4,029,687
869
$
900
$
814
$
802
$
824
$
851
$
766
$
Actual
$
472
$
62
$
1,352
$
550
$
883
$
Plan
$
$8,199
Actual
$
$2,821
Plan
$
$2,601
Actual
$
1,254
947
628
$
1,145
$
740
$
723
$
1,141
$
$
1,343
$
237
$
150
$
1,200
796
$
1,445
$
393
$
252
$
1,364
$
1,030
$
1,447
$
353
$
330
$
1,548
$
$
1,478
$
407
$
383
$
1,999
$
1,495
$
189
$
175
$
1,061
$
1,380
$
271
$
346
$
1,373
1,402
$
$
$
-
2011 Baseline
4,157,522
$
-
4,510,926
(327)
895
$
231
242
$
$
4,653,082
$
4,146,276
$
$8,112
-
$
$
4,073,712
$
867
$
1,429
$
697
$
1,344
$
300
$
1,549
1,485
484
$
404
$4,181
406
Plan
119
119
116
113
108
114
112
110
107
Actual
118
120
122
115
112
117
117
117
120
90.0%
90.0%
90.0%
90.0%
90.0%
90.0%
90.0%
90.0%
107
109
107
90.0%
90.0%
90.0%
90.0%
83.10%
93.1%
85.7%
94.1%
95.3%
80.5%
82.5%
90.4%
78.8%
0.0%
0.0%
0.0%
Plan
96.0%
96.0%
96.0%
96.0%
96.0%
96.0%
96.0%
96.0%
96.0%
96.0%
96.0%
96.0%
99.85%
99.85%
99.85%
Customer
acceptance
as a % of
shpmts.
Production
90.0%
Production /
Quality
99.29%
Overall
QMAT
Score
QMAT
QMAT 3 UP
Actual
90.1%
95.0%
91.6%
95.0%
95.0%
95.0%
96.0%
96.0%
95.0%
Plan
99.85%
99.85%
99.85%
99.85%
99.85%
99.85%
99.85%
99.85%
99.85%
Actual
99.50%
99.71%
98.45%
98.34%
99.67%
99.50%
99.41%
99.59%
99.53%
90.0%
99.30%
2.21
Plan
Site GM
2.21
2.21
2.71
2.71
2.71
2.71
2.71
2.71
3.21
3.21
3.21
2.57
2.21
2.21
Actual
Labor Efficiency
2.21
92%
Plan
2.21
92%
2.57
92%
2.57
92%
2.57
92%
2.57
92%
2.57
92%
2.57
92%
92%
92%
92%
92%
Production
76.0%
Actual
Labor 3 UP
Material Efficiency
83.0%
94.4%
97.0%
100.0%
100.2%
95.0%
99.0%
98.0%
$
755,000
Plan
$
25,000
$
35,000
$
45,000
$
50,000
$
55,000
$
60,000
$
75,000
$
82,000
$
82,000
$
628,931
Actual
$
76,688
$
11,954
$
147,663
$
56,491
$
59,912
$
60,046
$
65,378
$
88,007
$
62,792
$
82,000
$
82,000
$
82,000
SCM
Material 3 UP
Scrap (% Sales)
Scrap 3 UP
Rework (% Sales)
Rework 3 UP
Safety (Lost Time Incident
Rate)
Production
scrap as a
% of Sales
Production /
Quality
Pending
data
developmen
t and
Production /
Quality
Plan
0.47%
0.47%
0.47%
0.46%
0.46%
0.46%
0.45%
0.45%
0.45%
Actual
0.13%
0.33%
0.16%
0.10%
0.28%
0.31%
0.30%
0.38%
1.01%
0.44%
0.44%
0.44%
0.36%
0.48%
Plan
Actual
0
Plan
0
0
0
0
0
0
0
0
0
0
0
179
179
179
Site GM
Safety 3 UP
Actual
3
0
0
0
0
0
1
0
0
Productivity
Plan
179
179
179
179
179
179
179
179
179
Production
187
Actual
Productivity 3 UP
Past Due $
Production /
Purchasing
Pasr Due 3 UP
$
1,414
Plan
$
Actual
$
204
1,750 $
1,414
204
1,500 $
$
5
Plan Days
1,431
194
219
1,000 $
$
1,577
$
900
$
1,494
$
220
850
$
1,063
$
182
800
$
1,009
$
192
750
$
690
$
202
700
$
776
$
0
650
0
$
650
0
$
650
$
650
1,138
5
5
5
227
389
244
250
327
199
201
275
51
62
19
4
2
2
11
2
98.43%
99.39%
99.0%
95%
99%
YTD Avg.
289
#OT
Bidding Tier I/II
#PD
91%
Quote OTD
Quote OTD 3 UP
€
32.00
OT %
90.03%
81.65%
86.25%
92.78%
Plan
17
17
17
16
#DIV/0!
#DIV/0!
#DIV/0!
YTD Avg.
4
#OT
2
14
4
8
3
5
3
6
Bidding Tier III/IV
#PD
OT %
$
1
0
89%
$
Win/Loss Ratio
100%
44,255,755.00
Quote $
$
34,418,922.00
Actual $
$
2
67%
4,110,389.00
$
3,569,595.00
$
1
88%
6,759,931.00
$
4,146,952.00
$
0
80%
5,227,974.00
$
4,022,563.00
$
0
100%
4,688,435.00
$
4,276,896.00
$
0
100%
4,521,048.00
$
4,495,590.00
$
0
100%
8,057,155.00
$
4,653,082.00
$
0
100%
3,507,105.00
$
3,120,005.00
$
100%
3,588,842.00
$
2,356,213.00
$
#DIV/0!
#DIV/0!
#DIV/0!
3,794,876.00
3,778,026.00
$ Won/$Quoted
Win/Loss 3 UP
Cost Reduction ($000)
Finance / OE
Cost Red. 3 UP
YTD Avg.
Plan
50%
50%
50%
55%
55%
55%
60%
60%
60%
79%
Actual
86.84%
61.35%
76.94%
91.22%
99.44%
57.75%
88.96%
65.65%
99.56%
* Does not
include DTT
Plan
$
Actual
$
Labor Utilization
Plan
1,208
$
1,225
$
79.0%
1,208
$
1,231
$
79.6%
1,449
$
1,464
$
83.0%
1,159
$
1,102
$
83.0%
1,159
$
1,237
$
84.0%
1,449
$
1,467
$
84.0%
1,159
$
1,226
$
84.5%
1,159
$
1,261
$
65%
1,449
$
65%
1,159
$
65%
1,159
$
1,449
1,453
84.5%
86.0%
86.0%
86.0%
88.0%
17.0%
17.0%
17.0%
391.9%
390.5%
393.6%
99.0%
99.0%
99.0%
98% (DEC)
99.0%
99.0%
99.0%
98% (DEC)
98.9%
98.9%
98.9%
93%
100.0%
100.0%
100.0%
Production
Labor Utilization 3 UP
Actual
86.5%
87.2%
87.7%
87.9%
88.5%
87.6%
88.6%
86.4%
87.9%
Material Overhead (%)
Plan
17.0%
17.0%
17.0%
17.0%
17.0%
17.0%
17.0%
17.0%
17.0%
Actual
17.1%
20.3%
16.9%
17.9%
15.5%
17.2%
17.7%
17.0%
17.4%
SCM
Finance /
Production
Manu. Overhead 3 UP
18.9% (AOP)
17.00
Mat. Overhead 3 UP
Supplier OTD (%)
Plan
391.1%
391.6%
394.3%
391.8%
391.7%
393.8%
391.2%
391.6%
394.0%
Actual
362.7%
353.5%
320.7%
309.9%
326.2%
348.9%
396.5%
383.5%
365.0%
Plan
99.0%
99.0%
99.0%
99.0%
99.0%
99.0%
99.0%
99.0%
99.0%
SCM
Supplier OTD 3 UP
KPI
Supplier Quality (%)
Actual
98.0%
98.8%
99.1%
98.2%
96.2%
99.2%
99.1%
98.9%
99.0%
Plan
99.0%
99.0%
99.0%
99.0%
99.0%
99.0%
99.0%
99.0%
99.0%
SCM
Supplier Quality 3 UP
Inventory Accuracy (%)
Inventory 3 UP
QMAT Road Map
% of action
items
completed
QMAT 3 UP
Purchasing /
Production
95%
Quality
67%
Training Plan / Actuals
Actual
97.0%
97.0%
98.4%
98.4%
97.6%
98.7%
98.0%
97.2%
92.0%
Plan
97.0%
97.0%
97.0%
97.0%
97.0%
98.0%
98.0%
98.9%
98.9%
Actual
92.0%
89.0%
93.0%
93.0%
88.0%
91.0%
95.0%
93.0%
95.0%
Plan
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
70.0%
80.0%
90.0%
Actual
14.0%
21.0%
23.0%
30.0%
35.0%
40.0%
48.0%
54.0%
67.0%
Plan
TBD
TBD
TBD
TBD
TBD
TBD
55%
55%
55%
60%
60%
60%
51%
43%
N/A
HR/Quality
47%
0%
0%
0%
Plan
51
49
47
45
43
43
40
40
40
40
40
40
Actual
51
46
41
44
39
44
41
39
41
4%
3%
2%
28
28
28
Actual
Training 3 UP
15% LPL
Mfg LT
Reduction:
from 51 to
Cycle time reduction
Cycle Time 3 UP
Planning
E & O Inventory
51
Plan
TBD
TBD
TBD
TBD
TBD
TBD
TBD
TBD
TBD
TBD
8%
7%
6%
5%
8.60%
8.30%
6.60%
2.70%
TBD
28
28
28
17
20
20
11
14
14
Finance
Actual
Plan
HR/Quality
Matrix
T Plan
n/a
Name
Name
Reduce $30M of Debt Every Year
l
Name
Improve Customer Intimacy Continuously
m
Name
m
l
Name
> $24.5M of Net Income by 2015
m
Name
CFFO < 25.5% of Sales by 2015
m
Name
l
m
l
Name
l
l
Name
l
m
l
Booking at or above 110% of sales
Name
l
m
l
l
Name
m
m
Name
l
m
$815M of Sales by 2015
Name
m
l
$
4,403,866
$
3,700,619
$
Plan
Competency Matrix/
Department Training Plan
Name
l
m
l
JUN
4,647,411
$
4,143,618
$
765
Actual
Manufacturing Overhead (%)
$96M of EBITDA by 2015
Name
l
m
m
$
5,196,342
$
4,015,428
$
Site GM
Training 3 UP
l
MAY
4,625,956
$
3,932,123
$
567
A/R 3 UP
E & O Inventory
l
$
4,265,690
$
3,335,002
$
On-Time Delivery (96%)
Quality Rating (99.85%)
m
m
APR
4,231,917
$
3,376,415
$
614
$4,340
(Current A/R + 5 Days) as % of
Total Net A/R
Define and
standardize Key
Performance
Indicators (KPI) and
their goals.
m
$
4,169,455
$
3,196,426
$
Site GM
m
Defect Parts per Units (xxx)
m
MAR
3,660,827
$
3,650,695
$
Plan
Inventory 3 UP
m
m
Employee Training Average > 40 hours per year
l
Current A/R + 5 days as (xxx%) < 10% over 5 days past due
m
Days Sales of Inventory < xxx days
Safety (Lost Time Incident Rate) at or below 2.5
CFFO ($xxK)
Sales per Employee from $xxk to $yyk
m
Supplier Quality (%) from xx to xx%
l
Inventory reduction > = xx%
AOP
l
Supplier OTD (%) from xx to xx%
l
l
$
3,821,667
$
Actual
$4,582
Inventory days on hand
Quality Rating 3 UP
l
FEB
3,533,422
$
Plan
$22,987,550
OTD 3 UP
l
$
Actual
$23,327,332
<Facility> Sales ($)
Organizational Development: Purpose - Driven Performance
Profitable Growth: Execution Customer Expectations
Sustained Financial Performance: Value Created
LRP
Sales
Plan
Sales by PL
Actual
$5,000,000
$3,000,000
$4,500,000
$4,000,000
$2,500,000
$3,500,000
$2,000,000
Use site tracking center and 3-up charts
to trend KPI performance, identify key
drivers and track continual
improvement actions.
28
GDP links goals from LRP to individual performance plans
$2,500,000
$2,000,000
$1,500,000
$1,000,000
$500,000
$-
Issue
HMI and RF sales below AOP
$
$3,000,000
$1,500,000
$1,000,000
$500,000
$-
HMI
MCD
RF
DTT
Plan
$2,425,295
$583,302
$735,000
$194,000
Actual
$2,265,120
$695,590
$603,792
$174,204
Action to be taken
Bookings and Backlog have not support Sales AOP in Q3. Key
forecasted customers/NPD problems: Tektronics, ESS, IMAX.
Past Due Backlog is also growing because of LPL execution
issues. Cutomer visits scheduled at coming months.
Owner
Sales/OPS
Due Date
11/30/2012
Established 1849
29