Kinaxis, Inc. · TSX:KXS

Kinaxis — Investor Presentation (2011)

21 slides from Kinaxis's investor presentation, Sep 25, 2011

Slide 3: Companies can't predict the future
Companies can’t predict the future, …build organizations that will survive and flourish under …any possible future. Source: McKinsey Quarterly, Dynamic management: Better decisions in uncertain times, December 2009 Copyright © 2011 Kinaxis Inc. All Rights Reserved. 3
Slide 4: Supply chains as hedges against uncertainty
... they are treating their supply chains as hedges against uncertainty by reconfiguring their manufacturing footprints to weather a range of potential outcomes Source: McKinsey Quarterly, Building the supply chain of the future, January 2011 Copyright © 2011 Kinaxis Inc. All Rights Reserved. 4
Slide 5: A volatile economy makes traditional budgets obsolete
A volatile economy makes traditional budgets obsolete before they’re even completed. New approaches: 1. Scenario planning with trigger events 2. Zero-based budgeting 3. Rolling forecasts 4. Quarterly budgeting Source: McKinsey Quarterly, Just-in-time budgeting for a volatile economy, Spring 2009 Cop
Slide 6: Fixed annual planning is antithetical to timely decision making
…fixed annual planning and budget processes are antithetical to timely strategy setting and decision making. Source: McKinsey Quarterly, Dynamic management: Better decisions in uncertain times, December 2009 Copyright © 2011 Kinaxis Inc. All Rights Reserved. 6
Slide 9: The web will change nothing until we use it for that purpose
…[technology] … the web will change nothing until we use it for that purpose … Source: http://www.euansemple.com/theobvious/2011/1/20/does-the-web-change-everything.html Copyright © 2011 Kinaxis Inc. All Rights Reserved. 9
Slide 12: Technology choice means different skills, processes, results
• Technology choice means – Different skills/people – Different processes – Different results Copyright © 2011 Kinaxis Inc. All Rights Reserved. 12
Slide 13: S&OP – Balancing Competing Goals
S&OP – Balancing Competing Goals Goal: Make the financial budget. Top-down focus. Wants: Control and predictability of operations Forecast: The budget/annual operating plan Finance Goal: Maximize Goal: Minimize supply revenue and market chain costs, often Demand share Side inventory Sales and Operat
Slide 14: S&OP – Balancing Competing Goals
S&OP – Balancing Competing Goals Goal: Make the financial budget. Top-down focus. Wants: Control and predictability of operations Forecast: The budget/annual operating plan Finance Goal: Maximize Goal: Minimize supply revenue and market chain costs, often Demand share Side inventory Sales and Operat
Slide 15: S&OP in the Overall Planning Process
S&OP in the Overall Planning Process Business Tactical Strategy Planning S&OP Planning Execution Financial Degrees of Freedom Capacity Sourcing Scenario Planning Inventory Product Demand Copyright © 2011 Kinaxis Inc. All Rights Reserved. 15
Slide 16: S&OP in the Overall Planning Process
S&OP in the Overall Planning Process Business Tactical Strategy Planning S&OP Planning Execution Financial Degrees of Freedom Capacity Information Sourcing Scenario Planning “black Inventory holes” Product Demand Lack of visibility Copyright © 2011 Kinaxis Inc. All Rights Reserved. 16
Slide 17: Integrated business planning the goal
Integrated business planning the goal Integrated Business Planning Business Tactical Strategy Planning S&OP Planning Execution Transaction (ERP) Layer Finance Scenario Planning Degrees of Freedom Capacity Sourcing Inventory Product Demand Copyright © 2011 Kinaxis Inc. All Rights Reserved. 17
Slide 18: If I had asked people what they wanted, faster horses
“If I had asked people what they wanted, they would have said faster horses” - Henry Ford Copyright © 2011 Kinaxis Inc. All Rights Reserved. 18
Slide 19: Continuous and Collaborative S&OP
Continuous and Collaborative S&OP AND, not OR Collaborative, not linear Event-driven, not calendar-driven Effective, and efficient Copyright © 2011 Kinaxis Inc. All Rights Reserved. 19

Kinaxis — Investor Presentation (2011) on 6ix

Kinaxis — Investor Presentation (2011)

Slide 1: Copyright © 2011 Kinaxis Inc. All Rights Reserved.

Slide 2: Continuous and Collaborative S&OP

Slide 3: Companies can't predict the future

Slide 4: Supply chains as hedges against uncertainty

Slide 5: A volatile economy makes traditional budgets obsolete

Slide 6: Fixed annual planning is antithetical to timely decision making

Slide 7: Process, People, Technology

Slide 8: Process, People, Technology

Slide 9: The web will change nothing until we use it for that purpose

Slide 10: Copyright © 2011 Kinaxis Inc. All Rights Reserved.

Slide 11: Copyright © 2011 Kinaxis Inc. All Rights Reserved.

Slide 12: Technology choice means different skills, processes, results

Slide 13: S&OP – Balancing Competing Goals

Slide 14: S&OP – Balancing Competing Goals

Slide 15: S&OP in the Overall Planning Process

Slide 16: S&OP in the Overall Planning Process

Slide 17: Integrated business planning the goal

Slide 18: If I had asked people what they wanted, faster horses

Slide 19: Continuous and Collaborative S&OP

Slide 20: Thank you! Questions?

Slide 21: Copyright © 2011 Kinaxis Inc. All Rights Reserved.