National Winter Association of 2013 Purchasing the Management Peach State Purchaser

ISM–, Inc.

Join us for the ISM-Atlanta February Professional Development Meeting Travel Procurement as a Managed Category Featuring ISM Atlanta President, Richard Angel

Thursday, February 7th Country Club of Roswell - 6:00 p.m.

Join us for the February Professional Development Meet- with Oldcastle Materials, Inc. as national program manager ing featuring Richard Angel as he discusses Travel Procure- for various indirect spend categories. It is with Oldcastle ment as a Managed Category. where Richard’s procurement responsibilities first included travel as a managed category. Please note that we will be meeting on February 7th, Richard is the current president of ISM Atlanta, a profes- one week earlier than our normal meeting date. sional organization focused on the continuing education and growth of supply management professionals. About the Speaker: Richard Angel is a 30+ year procurement professional Don’t forget to arrive early and be part of our new starting his career with Shell Oil Company in Houston, Texas. Power Networking Sessions! In the mid 1980’s Richard moved his family from Texas to At- Get the most out of your ISM evening by attending a lanta, to accept a position with Cabot Corporation. power quarter hour networking session held immediately Each of these assignments concentrated on procurement preceding the dinner during our Professional Monthly meet- related categories within the petroleum sector. ing! This will be a fast-paced 15 minutes of introductions that In 2009 Richard accepted a strategic sourcing position will cover many topics.

INSIDE THIS ISSUE From the President’s Pen

Welcome New Members...... 2 The website committee, co-chaired by Adriana de Oliveira and Frank Kosakowski, has been reviewing various Scenes From Our Past Meetings...... 3 proposals these past few months and is close to a rec- Georgia Purchasing Manager’s Index...... 5 ommendation. Your ISM Atlanta board is committed to NEW! Power Networking Sessions ...... 7 improving the chapter website content and ease of use. Look for an announcement at an upcoming professional Career Corner: How To Avoid Job Interview Brain development meeting. Freeze...... 8 Any professional organization cannot be effective with- ISM-Atlanta Directory ...... 10 out the support of its membership. Thanks to those of you who regularly attend our monthly meetings and especially the ones who have volunteered their time and energy in support of ISM. I want to take this opportunity to thank the Country continued on page 2 From the President’s Pen Continued from previous page

Club of Roswell for providing a great place for us to meet be held April 28 through May 1, 2013 in Grapevine (Dallas), each month. ISM Atlanta has used CCR for some time now Texas. Attending from the Atlanta chapter board will be as its venue for professional development meetings. We are Debra Howington, Scott Callan, Lauchlin McKinnon, David planning to continue holding our monthly meetings at this Lister and Richard Angel. location through June 2013. Each Pro-D meeting generally There is much to be learned from starts with registration and networking from 6:00 to 6:30pm, your supply management peers, both followed by dinner and a supply management speaker until in networking and for education. If you 8:00pm. I look forward to seeing you at the Country Club of have not been to an ISM Atlanta meet- Roswell. ing, come try us out. I look forward I encourage you to pursue CSM, CPSM or CPSD creden- to seeing you at the Country Club of tials this year. Our library offers study materials for self paced Roswell and at the International Con- review. Also, look for classroom style education sessions to ference in Texas. be organized. I hope to see you at the ISM 98th Annual International Sincerely, Supply Management Conference & Educational Exhibit to Richard Angel, C.P.M. Welcome new members! NAME COMPANY/ORGANIZATION NAME PRIMARY JOB TITLE Can Cetegen AGCO Corp Thomas Campbell Aflac Manager, Supplier Management Vanessa Lane Supplier Diversity Progr Jodi Black Buyer I Vicki Alvin Georgia Power Co Sr Buyer Kurt McGarry Georgia Southern Student Justin Parrish Shirley Fox Honeywell Comm Mgr Tom Mahaffey Hussmann Corp Buyer Emily Sornberger Hussmann Corp Buyer Daniel White Hussmann Corp Supply Chain Mgr Camille McDonald Hussmann Corporation Buyer Marilyn Harris Racetrac Petroleum Inc Director, Procurement & David Stokes Siemens E & A Purch Agent Bryan Schmitt Suntrust Inc Group VP David Braxton Suntrust Banks Inc Yvonne Chambliss Suntrust Banks Inc Rebecca Dowling Suntrust Banks Inc Jason Goede Suntrust Banks Inc Tia Hinton Suntrust Banks Inc Kim Johnson Suntrust Banks Inc Doug Langley Suntrust Banks Inc Heinrick Louis-Pierre Suntrust Banks Inc Susan Olmstead Suntrust Banks Inc Wayne Porter Suntrust Banks Inc Alex Robinson Suntrust Banks Inc Michael Sroka Suntrust Banks Inc Barry Norton Suntrust Banks Inc Strategic Sourcing Commodity Mgr Paul Kurtz Suntrust Banks Inc Supplier Performance Mgr John Thompson Suntrust Banks Inc Mirjam Wit Tyco International Mgr of Quality Randall Janecek Tyco International Planner and Buyer Myriam Lopez Tyco International Supply Mgmt Michael Fowler Tyco International Supply Planner Edmund Addae Konadu Tyco International Mgr Brian Deshon ZF Industries Buyer Sabrina Mello Purch Analyst M. Ellison Sr. Contracts Analyst Ronald Roquemore

Page 2 ISM-ATLANTA PEACH STATE PURCHASER Scenes from our past meetings

Page 3 ISM-ATLANTA PEACH STATE PURCHASER Page 4 ISM-ATLANTA PEACH STATE PURCHASER Georgia Purchasing Manager’s Index Report Furnished by Don Sabbarese, Ph.D., Kennesaw State University Econometric Center February 1, 2013

An analysis of the January PMI Report: National PMI Report: New Orders: The National January PMI increased 2.9 points to 53.1 as New Orders’ increased 21.6 points to 59.6. New Order a result of the following: new orders increased 3.6 points to increase resulted from 26.3% more respondents reporting 53.3; production increased 1.0 points to 53.6; employment in- higher new orders for a total of 42.3% and 16.9% less respon- creased 2.1 points to 54; supplier delivery time increased 0.1 dents reporting lower new orders for a total of 26.9% of a point to 53.6; and finished inventory increased 8.0 points to 51. Commodity price increased 1.0 points to 56.5. Production: Exports decreased 1.0 points to 50.5. Backlog orders de- Production increased 19.8 points to 55.8. Production’s creased 1.0 point to 47.5. increase resulted from 26.5% more respondents reporting Of the 18 manufacturing industries, thirteen are reporting higher Production for a total of 38.5% and 13.1% less respon- growth in January. The thirteen industries include: Plastics & dents reporting lower production for a total of 26.9%. Rubber Products; Textile Mills; Furniture & Related Products; Employment: Printing & Related Support Activities; Apparel, Leather & Employment increased 1.9 points to 51.9 based on 7.2% Allied Products; Electrical Equipment, Appliances & Compo- more respondents reporting higher employment for a total of nents; Miscellaneous Manufacturing; Fabricated Metal Prod- 19.2% and 3.4% more respondents reporting lower employ- ucts; Transportation Equipment; Petroleum & Coal Products; ment for a total of 15.4%. Machinery; Primary Metals; and Food, Beverage & Tobacco Products. Supplier Delivery Time: The four industries reporting contraction in January are: Supplier Delivery Time increased 5.8 points to 55.8 based Nonmetallic Mineral Products; Computer & Electronic Prod- on 3.5% more respondents reporting slower delivery time ucts; Wood Products; and Chemical Products. for a total of 11.5% and 8% less respondents reporting faster delivery for a total 0%. Industrial Production Report: The December Industrial Production Report recorded Finished Inventory: a 0.3% increase following a 1.0% increase for November. Finished Inventory decreased 0.1 of a point to 51.9 based Manufacturing recorded a 0.8% increase following a 1.3% on 6.8% more respondents reporting higher finished inven- increase for November. December durable goods recorded a tory for a total of 30.8% and 6.9% more respondents report- 1.0% increase following 2.1% increase for November. Motor ing lower finished inventory for a total of 26.9%. vehicle and parts recorded a 2.6% increase down from a 5.8% Commodity Price: increase for November. Business equipment recorded a 1.3% Commodity Price increased 9.4 points to 65.4 based on increase down from November’s 2.0% increase. High-tech 14.8% more respondents reporting higher commodity price recorded a 0.4% increase up from November’s 0.2% increase. for a total of 30.8% and 4% less respondents reporting lower Manufacturing excluding motor vehicle recorded a 0.7% commodity price for a total of 0%. increase down from November’s reading of 0.9% increase. Mining recorded a 0.6% increase up from a 0.3% increase for Survey Question: November. Utilities recorded a 4.8% decrease down from a Fifty seven percent expected higher production in the next 0.2% increase for November. 3-6 months versus fifty six percent in December. Zero percent November and December’s manufacturing increases of respondents expected production to be lower than their helped offset October’s 0.9 percent decrease and helped the current production. The index is 79. 4th quarter to finish the year with a 0.2 percent annualized Overview: growth rate. January’s PMI jumped 9.8 points based on strong increases Georgia versus the Southeast Survey: for new orders and production in January. Twenty six percent Georgia’s 9.8 point increase to 55 and the Southeast’s 5.5 more respondents reported higher new orders and produc- point increase to 51.9 moved in the same direction based tion in January. It may be the resolution of the fiscal cliff freed on improvement for their same underlying components up some delayed new orders. only Georgia’s numbers were higher. The Georgia underly- continued on next page

Page 5 ISM-ATLANTA PEACH STATE PURCHASER ing components of new orders, production, employment, tional’s components, respectively. supplier delivery time, and finished inventory are 4.4, 4.9, National’s employment was 2.1 points at higher at 54 than 0.2, 2.3, and 3.7 points, respectively higher than Southeast’s Georgia’s employment. Georgia’s commodity price reading components. Georgia’s commodity price is 3.1points higher of 65.4 was 8.9 points higher than for the national commodity than Southeast’s reading of 51.9 points. price reading of 56.5. Georgia versus the National Survey: Comment: In January the Georgia PMI increased 9.8 points to 55 ver- Georgia’s January PMI increase of 9.8 points suggests re- sus the National PMI’s increase of 2.4 points to 53.1. Georgia’s spondents were in a wait and see strategy regarding a resolu- new orders, production, supplier delivery time, and finished tion of the fiscal cliff and the disruption of hurricane Sandy. inventory were 6.3, 2.2, 2.2, and 0.9 points higher than Na-

Change In Percent of Georgia Participants Reporting Higher, Same and Lower JANUARY - DECEMBER

Higher Same Lower New Orders 26.3 -9.4 -16.9 Production 26.5 -13.4 -13.1 Employment 7.2 -10.6 3.4 Deliveries 3.5 4.5 -8.0 Finished Inventory 6.8 -13.7 6.9 Commodity Prices 14.8 -10.8 -4.0

PMI Georgia, PMI Southeast, and PMI National

Aug-12 Sep-12 Oct-12 Nov-12 Dec-12 Jan-13 Jan-Dec PMI GA 50.4 52.0 51.7 46.4 45.2 55.0 +9.8 PMI Southeast 50.0 54.2 49.8 46.2 46.4 51.9 +5.5 PMI National 49.6 51.5 51.7 49.5 50.7 53.1 +2.4

COMMENTS FROM SURVEY PARTICIPANTS REGARDING CONDITIONS THAT AFFECT PURCHASING OPERATION: COMMENTS FROM SURVEY PARTICIPANTS REGARD- all wood products, stainless steel, acetone, corrugated, ING CONDITIONS THAT AFFECT PURCHASING OPERA- miscellaneous supplies, some steel, some plastic resins, meta- TION: silicate pentahydrate, natural gas, commodity chemicals are up about 2%, Specific commodities UP IN PRICE were: metal fabrication, adhesive (Propylene base chemicals)” “Ocean freight, beams, angles, channels, bars, plate, electri- cal, polypropylene, red oak, white oak lumber and corrugated, Specific commodities DOWN IN PRICE were: plastic resins, logistics, crude Oil, natural rubber, carbon black, “Cold finished bar and Tubing, hickory lumber, Zinc Oxide, continued on next page

Page 6 ISM-ATLANTA PEACH STATE PURCHASER fuel, resin” “Cautiously optimistic and need to achieve a price increase” “China inflation and logistics costs are causing us to look Items in Short Supply - Specific commodities, materials or more locally for some items” finished products I buy that were in short supply last month “Business will improve starting January 2013” are: “Business seasonally slower. No expected improvement “Power transmission products, acetone, phenol, sodium until March” sulfate” “Housing looks for real, a gradual increase out of this ter- Buying Policy- Report here any change during the last rible recession. All signs look better, if Washington doesn’t month, versus the prior month, in the number of days ahead screw it up; I think construction may start to fuel a real recov- you are committing for purchases of production materials, er y.” MRO supplies and capital spending: “Slow growth” “We plan to increase inventory over the next couple of “In the next 3 months, we will begin our seasonal peak for months” prebuilding inventories and taking customer orders.” “We are reducing our commitment window to no more “Cautiously optimistic” than 90 days” “We have work scheduled thru the fall ‘13” “Lowered safety stock to low inventory for 4th quarter” “Government changes” “Up beat” General Remarks - Give your frank opinion on any condi- “We are in a cyclical (seasonal) business but it is currently tions, local, national or international, that affect your purchas- flat” ing operation or your company’s outlook “Expecting 3% increase in sales for 2013.” “There appears to be more stability in prices for the first “Companies are running lean. They are still catching up for time in several months” the time they were shut down for Christmas & New Year’s” “High Way bill” “Tepid growth for next few myths”

NEW! Power Networking Sessions! Get the most out of your ISM evening by attending a power quarter hour networking session held immediately preceding the dinner during our Professional Monthly meeting!

This will be a fast-paced 15 minutes of introductions that will cover many topics.

Where: Roswell Country Club When: 6:00 – 6:15 p.m. preceding each monthly dinner session What: Networking! Who: All Professionals with something to offer and/or obtain Why: For you to see and be seen How: By being on time

Who should attend? • Professionals in need of real-world solutions! • Individuals seeking their professional certification and credentials! • Management who seek top-notch organizational talent! • Professionals searching for career growth! • People who are in need of professional friends! • The curious!

Don't miss this months Power Networking session — register now to attend the February 7th Professional Dinner Meeting by visiting http://www.ism-atlanta.org/calendar-of-events/index.php/reservations/51

Page 7 ISM-ATLANTA PEACH STATE PURCHASER Career Corner

How To Avoid Job Interview Brain Freeze by Deborah Walker

Have you ever experienced brain freeze during candidate, including a candidates ability to think fast a job interview? You are asked a question and your on their feet. Given that interviews are inherently mind goes blank—it’s horrifying. You lose composure stressful, many job seekers find it extremely difficult as well as confidence. Your interview goes down hill to think fast during interviews. Here are four steps from there. Brain freeze most often happens as a re- that will help you prepare for any interview question. sult of behavioral or situational interview questions that are not anticipated before hand. As a career 1. Take inventory of your accomplishments. coach, this is the most common interview problem This requires more than a cursory mental note of I hear about from my clients. With the right prepara- the good stuff you’ve done in the past year. Take a tion you can avoid the nightmare of brain freeze and systematic approach by asking yourself what chal- improve your interview performance greatly. lenges you’ve faced in each of your positions over the First of all, it’s important to understand what a be- past five or more years. Try asking yourself: havioral or situational interview question is. It is any • What processes have I improved? question that start with: • How have I made work easier for others? • Tell me a time when … • What did I do to save my company money? • Give an example of … • When did I find a solution to a departmental • Describe a situation when … problem? • How did I save time? Employers ask these types of questions with the • When did I go beyond the call of duty to solve a assumption that past behavior indicates future customer problem? performance. These questions reveal a lot about a

Page 8 ISM-ATLANTA PEACH STATE PURCHASER Write out your answers to these questions. Remem- Describe a situation when you had to fire a friend. ber to include the quantitative details when appro- How would you go about repairing a relationship priate. Include dollars saved, hours cut, percentage with a disgruntled client? increased etc. 4. Use your list of accomplishments to answer 2. Study the job description. your behavioral questions. With your list of accomplishments in hand you are Ask a friend to help you role play your interview ready to turn your attention to the job description. answers. You should feel very comfortable com- Study the requirements to determine the all possible municating your success stories. The more time you challenges involved with the job. If the actual job practice actually talking about your accomplishments description is skimpy in details, look to other similar the faster you’ll be able to recall your stories in your positions listed to help fill in the blanks. Addition- next interview. ally, ask others who hold similar positions what their With interview performance more important than greatest challenges of the job are. Write out your list ever before it pays to prepare, prepare, prepare. There of anticipated challenges. is no such thing as over preparation when it comes to interviews. Use this 1,2,3,4 approach to interview prep 3. Create a list behavioral questions. and you’ll be surprised at how much more confident Turn your list of challenges of the position into a list you’ll feel in your next interview. The better you inter- of questions that start with: view the faster you’ll be at your new job. • Tell me a time when you …

Describe a situation when … • Deborah Walker, Certified Career Management Coach • Have you ever had to … Read more career tips and see sample resumes at: www.AlphaAdvantage.com Your list will look something like: email: [email protected] Tell me a time when you had to cut costs out of your 360-260-4965 annual budget. Twitter: http://twitter.com/DebWalkerCCMC

Page 9 ISM-ATLANTA PEACH STATE PURCHASER ISM-Atlanta Directory President Secretary Director/Professional Develop- Director/College Reachout Richard Angel, C.P.M. Debra Howington, C.P.M., A.P.P. ment - Speakers Bureau Don Sabbarese, Ph.D. 2641 Fontainebleau Drive SKF USA Inc. Allen N. Podratsky CPSM; C.P.M. Director of Econometric Center Atlanta, GA 30360 5385 McEver Road Global Supply Chain Partners, Inc. Kennesaw State University Phone: 770-757-4222 Flowery Branch, GA 30542 3651 Cape York Trace 1000 Chastain Road E-mail: [email protected] Phone: 770-967-5309 Alpharetta, GA 30022 Burruss Bldg., Room 323 Fax: 770-967-4258 Cell: 678-984-3344 Kennesaw GA 30144-5591 1st Vice President E-mail: [email protected] E-mail: [email protected] Phone: 770-423-6094 Natalie Blankenship, CPSM, C.P.M. E-Mail: [email protected] Cell: 678-431-2202 Professional Development Chair Director/Librarian - Webmaster E-mail: [email protected] – Certification Splendora R. Motley Immediate Past President Scott Callan Plug-In Operations Manager Lauchlin McKinnon, C.P.M. 2nd Vice President E-mail: [email protected] AT&T Telecommunications UCB, Inc. Dolapo Famakinwa, CPSM [email protected] Smyrna, GA 30080 NCR Corporation Membership Chair Phone: 678-656-3928 Phone: 770-970-2360 Suwanee, GA 30024 William Howell, C.S.C.P. E-mail: lauchlin_m@.net Phone: 678-808-7997 CAT Switichgear Supply Chain Mgt. Director/Newsletter Editor E-mail: [email protected] Alpharetta, GA Adriana De Oliverira MCIPS, CPSM, CPM At Large – Affiliate Services Phone: 404-319-4423 [email protected] J. David Lister, CPSM; C.P.M. Treasurer E-mail: [email protected] Phone: 678-983-5162 1325 Badingham Drive Frank Kosakowski, CPSM; C.P.M. Cumming, GA 30041 Johnson Outdoors Director / Employment Develop- Director/ Public Relations Phone: 678-746-5050 Alpharetta, GA 30005 ment Services Dolapo Famakinwa, CPSM Fax: 770-664-6302 Phone: 770-888-6292 Ext. 1068 Thomas G. Alexander, C.P.M., CPIM NCR Corporation Email: [email protected] E-mail: frank.kosakowski@johnson- The Clorox Company Suwanee, GA 30024 outdoors.com 3655 Brookside Parkway, Suite 300 Phone: 678-808-7997 Dinner Meeting Reservation Alpharetta, GA 30022 E-mail: [email protected] Information Phone: 678-893-8916 Web site: ism-atl.org E-mail: [email protected] E-mail: [email protected]

ISM-Atlanta Peach State Purchaser Institute for Supply Management-Atlanta Winter 2012 Edition ISM-Atlanta c/o Frank Kosakowski Newsletter Editor Adriana De Oliveira 1308 Cobblestone Lane Woodstock GA 30189 Contributors ISM—Atlanta, Inc. Richard Angel, Don Sabbarese, Deborah The PEACH STATE PURCHASER is the official publication of the Walker Institute for Supply Management - Atlanta, Inc. Designer ISM-Atlanta is an affiliate of the Institute for Supply Management Seth Brown - SLAB Interactive, LLC (ISM) The PEACH STATE PURCHASER is published quarterly and www.slabinteractive.com carries articles and notices regarding ISM-Atlanta activities. Articles and photos from ISM-Atlanta members are welcome and will be consid- All editorial notices for publication in the PEACH STATE ered for publication as appropriate and as PURCHASER must be submitted to the editor by the third Monday space permits. Submissions should be in of the month preceding publication. form of a word document or pdf file and should be sent to Adriana De Oliveria at ISM-Atlanta cannot be held responsible for the content or [email protected]. opinions expressed in editorial material published herein.

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