Caterpillar Confidential: Green ME 290 – 4/21/11 Ron Smith – 3500 Platform Engineering Mgr - Caterpillar.

Caterpillar Confidential: Green

ME 290 – 4/21/11Ron Smith – 3500 Platform Engineering Mgr - Caterpillar

In countries around the world where we turn on the lights, build the roads, and bring the financing, the technology, and the experience to create lasting change–what we’re really doing is making sure the world will always be better tomorrow…because of the work we’re doing today.

CATERPILLAR IS…MAKING PROGRESS POSSIBLE

World’s largest manufacturer of construction and mining equipment, diesel and natural gas engines and industrial gas turbines

Technology leader in construction, transportation, mining, forestry, energy, logistics and electric power generation

#1 or #2 in each industry we serve with a 2010 goal of market leadership for every major product group on every continent

CATERPILLAR IS…MAKING PROGRESS POSSIBLE

The most technologically advanced products and services

A passion for exceeding our customers’ expectations

A long history of financial strength

Most important … a global team of more than 240,000talented individuals–including employees, dealers and suppliers–committed to enabling progress and opportunity.

THE HISTORY OF OUR PROGRESS: 1925

Holt and Best tractor companies merged into Caterpillar in 1925

First diesel tractor model built in October 1931 in East Peoria, Illinois

Cat machines served in World War I and II

World headquarters in Peoria, Illinois

93,813 Employees and 178 Dealers Across Six Continents

WORLD-CLASS PRODUCTS AND SERVICES

Three principal lines of business:

Machinery/Industries

Engines

Services – Logistics– Financial Products– Remanufacturing– Rail-related

WORLD-CLASS PRODUCTS

Articulated Trucks Backhoe Loaders Compactors Forest Machines Hydraulic Excavators Material Handlers Motor Graders

PipelayersPaving EquipmentOff-Highway Trucks Track-Type TractorsTrack LoadersScrapers Skid Steer Loaders

Wheel Excavators Wheel LoadersWheel DozersUnderground Mining

Electric Power Engines Generator Sets Turbines

Industry leader

WORLD-CLASS SERVICES

Cat Remanufacturing: Since 1970

Advanced form of recycling. Returns end-of-life components to same-as-new condition

142 million pounds of material recovered in 2008

Full line of Cat Reman parts for Cat machines and engines

Remanufacturing services for OEMs and others

INDUSTRY LEADERSHIP

Mining Quarry & Aggregates Large Contractor Waste Industrial Local Contractor Agriculture Forestry Government Pipeline

COMMITMENT TO PROGRESS

A legacy of innovation…

More than $6 million invested in research and development each working day - $1.7 billion in 2008

350 Ph.D. scientists and engineers

More than 2,000 patents in last five years

Recognized for developing ACERT® Technology

THE POWER BEHIND THE PROGRESS:OUR EMPLOYEES

Nearly 94,000 worldwide members of Caterpillar Inc.

– Values-based culture– Global network of people committed to sustainable progress– Dedicated to quality– Committed to serving customers

6 Sigma is the way we will achieve our strategy

- First company to globally launch 6 Sigma and deliver benefits that surpassed first-year implementation costs

- In 2008, 6 Sigma was a key enabler to achieving $51.32 billion in sales and revenues

THE FUTURE OF PROGRESS - SUSTAINABILITY

We strive to meet the needs of the present without compromising the ability of future generations to meet their own needs

More value, less impact

Environmental improvements that yield economic benefits

THE FUTURE OF PROGRESS - SUSTAINABILITY

SD is in practice in four main areas at Caterpillar

Energy

Materials

Mobility

Development

Education and Career

’87 BS AAE, ‘89 MSME – Purdue University

Allison Gas Turbine – Co-op and GM Scholar – ‘83-’87

Caterpillar Engineering Training Program ‘90 – Peoria, IL

Wheel Loader Axles – ’91-’95 – Aurora IL

Large Machine Engines – ’95-02 – Lafayette, IN

Engine Installation in Trucks – ’02-’03 – Decatur, IL

Large Diesel Engines – ’03-present – Lafayette, IN

Personal Experiences with Global / De-centralized Engineering

Daily work with people from Romania, India, China in the office

On the phone daily with team in Peoria, IL

Off-site and on-site managers and staff

Interact with suppliers in US, France, Germany, China, India, Mexico, California, Brazil, Canada

Production development partners in Singapore, Japan, Belgium, France, China

Support customers in Canada, Peru, Columbia, Brazil, Indonesia, Australia, Sweden

Personally traveled to Canada, France, Indonesia, Germany, Ireland, Great Britain, Belgium, Peru

Key take-aways with Global / De-centralized Engineering

Not wrong, just different

Take the initiative

Attitude of learning

Take advantage of multi-cultural opportunities at school

Embrace diversity

Questions?