October 8, 2012 Strategic Planning SEA Roadmap Process 1.1.1 Andrea Korfin NTS Vice President - Human Resources.

October 8, 2012

Strategic Planning

SEA Roadmap Process 1.1.1

Andrea Korfin

NTS Vice President

- Human Resources

www.nts.com

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NASDAQ: NTSC $169 MM

Revenue (FY2013)

25 Locations Worldwide

Corporate HQ Calabasas, CA

1200+ Employees

Founded 1961

Company Profile

ServingMultiple Markets

www.nts.com

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• Source Inspections

• Test Witnessing

• Quality Engineering

• Quality Audits

• Delivery Expediting

• Corrective Actions

• Supplier-Funded Programs

Supply Chain Management

• Environmental

• Dynamics

• EMC/ESD

• Product Safety

• Wireless Radio

• Hardware/Software

• Industry Specific Services and Certs

Testing & Certification

• Design Engineering

• System Engineering

• Managed Services

Engineering Services

Three Pillars of Expertise

www.nts.com

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Industries Served

Aerospace Defense Telecom Commercial Transportation

Energy

www.nts.com

“Cool stuff we do…” Gen Y Employees

www.nts.com

NTS Strategic Culture & Personality

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Mission Statement – Helping our clients navigate a short course to global markets through an integrated engineering service offering.

NTS is a forward-thinking company that never rests on its past success.  We are always eagerly looking around the next turn in the road  to prepare ourselves for the various challenges and opportunities that lie ahead.

We are also a growth-oriented company, and we actively seek growth organically, via acquisition and through constant innovation.

As a service-oriented company our greatest assets are our people.  We hire and retain the best and brightest individuals in their respective fields of specialization. Our company leaders are diverse, experienced and fully committed to the future of this great company.

www.nts.com

and

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• Engaged with SEA for 5+ years.

• SEA Certified in Fullerton, CA and Boxborough, MA locations, with more planned.

• Winner of SEA’s 2011 Leadership and Culture Award.

• Our CEO and COO both sit on SEA’s Supplier Advisory Council (SAC).

www.nts.com

Strategic Planning 1.1.1 - Criteria

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How do your senior leaders accomplish strategic planning?

Quarterly meetings review the company’s strategic plan and core tenants. We take a deeper dive annually.

www.nts.com

Strategic Planning 1.1.1 - Criteria

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What are the key process steps and who are the participants?

Senior officers and leaders of the company review and discuss prepared inputs and generate revisions and actions as outputs. (Communicated via 1.1.2 Leadership Comm.)

www.nts.com

Strategic Planning 1.1.1 - Criteria

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How do you ensure that the process addresses strengths, weaknesses, opportunities, and threats; major shifts in technology, markets, and competition?

Formal and informal SWOT analyses as well as feedback from clients, suppliers, industry and more are points of discussion.

www.nts.com

Strategic Planning 1.1.1 - Criteria

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What are your key strategic goals, measureable targets, and timetables?

We have a documented 5-year financial plan, defined Corporate Strategy Map and quantitative targets for company wide improvement initiatives.

www.nts.com

Strategic Planning 1.1.1 - Criteria

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How are goals and metrics deployed throughout the organization?

We leverage our Leadership Communication (1.1.2), Organizational Performance Review (1.1.3) and Continuous Improvement Processes (1.1.4)

www.nts.com

Linkage of L&C Processes

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Plan

Do

Check

Act

www.nts.com

SOP COR LDC 01 Flowchart

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Deployment

Communicate Strategy at all levels of organization (in accordance with SOP COR LDC 02– Leadership Communication).

Ensure employees are trained and skilled to execute strategy (in accordance with SOP COR LDC 05 – Workforce Development Integration).

Inputs & Preparation

Attributes & Horizons

NTS Attributes• Capability – Dominate • Customer Service – Differentiate• Price – At parity• Access (Easy to do Business With) – At parity• Experience – At parity

NTS HorizonsHorizon 1: 0 - 1 years (Operations)Horizon 2: 1 - 3years (Innovations)Horizon 3: >3 years (Acquisitions)

Confirm participants and assignments

Current State of NTS Attributes, Horizons, Core Values, Vision, Mission Statement, Strategy Map

Any information related to the four perspectives on the Balanced Scorecard:• Client• Processes• People• Success

Feedback, Interviews, Workshops, Surveys• Customers/Clients • Employee• Supplier

Core Values• “Conscious Capital” & “Soulful Purpose”Leadership DevelopmentVision/Mission StatementStrategy MapKey performance indicators/Balanced ScorecardValue StreamsPIPELine process• Gate Review/Process Maturity• Team Charters• Champions• Process OwnersHorizons 1, 2, & 3 • Short/Mid/Long-termSignificant business SWOT’sWorkforce Development

Area

s Ad

dres

sed

Outputs

New or Revised:Vision/Mission StatementCore ValuesStrategy MapValue StreamsPIPELine Initiatives• Teams & Team ChartersHorizons 1, 2, & 3 InitiativesStrategic Assignments

PLANNING SESSION

Review & Revise

www.nts.com

Strategic Planning Drivers

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CORE VALUESCORE VALUES ATTRIBUTESATTRIBUTES HORIZONSHORIZONS STRATEGY MAPSTRATEGY MAP

www.nts.com

Core Values

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• Organizational Integrity

• Respect for the Individual

• Quality Customer Service

• Stewardship – “Obligations to Stakeholders”

• Embrace and Drive Change

• One Enterprise

• The Best People Make the Best Teams

• Personal and Organizational Growth

www.nts.com

Attributes

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• Cohesive Strategy Meeting February 2006

• Commitment to long-term success

• Guiding decisions

The Myth of Excellence by Fred Crawford & Ryan Mathews

“Great Companies Never Try to be the best at Everything”

www.nts.com

Horizons

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Horizon 3: Long Term2 – 5 Years

Development GrowthAbstract Concepts

Horizon 2: Mid Term6 Months – 2 Years

Development GrowthEarly Implementation

Horizon 1: Short Term1 Year

Organic GrowthOperational Excellence

•Acquisitions•Innovations•Partnering & Positioning

•Enhance Existing Capabilities•Enhance Existing Capacity•Integrate New Developments•Automation•Dual Citizenship

•Acquisitions•Innovations•Start-ups•Technology Transfer•Partnering & Positioning

www.nts.com

Strategy Map

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www.nts.com

Lessons Learned

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1. Steadfast & Resolute

2. Commitment by management to:

– Manage through chaos

– Dedicate Resources

– SEA

3. Willingness to try different approaches while being guided by the pillars

www.nts.com

Questions?

Andrea [email protected]

THANK YOU!