Precision Castparts Corp. (PCC) is a leading worldwide, diversified manufacturer of complex metal components and products. It serves the aerospace, power, and general industrial markets. PCC is the market leader in manufacturing large, complex structural investment castings, airfoil castings, and forged components used in jet aircraft engines and industrial gas turbines. The Company is also a leading producer of highly engineered, critical fasteners for aerospace and other general industrial markets, manufactures extruded seamless pipe, fittings, forgings, and clad products for power generation and oil & gas applications, and supplies metal alloys and other materials to the casting and forging industries. PCC is a high quality business with dominant positions in most segments of the markets in which it serves. The company has a history of superior earnings growth and was the fourth best performing stock in the S&P 500 during the last decade, up 1580%.
Headquartered in Portland, Oregon, this over 10 billion dollar company employs more than 29,500 people worldwide. PCC has over 160 plants and has a presence in twenty-six states in the US and in over a dozen countries. PCC is relentless in its dedication to being a high-quality, low-cost and on-time producer; delivering the highest value to its customers and shareholders while continually pursuing strategic, profitable growth.
Effective early February 2016, Berkshire Hathaway, led by chairman and CEO Warren E. Buffet, acquired Precision Castparts Corp. Mr. Buffet stated, "I've admired PCC's operation for a long time. For good reasons, it is the supplier of choice for the world's aerospace industry, one of the largest sources of American exports. Berkshire's Board of Directors is proud that PCC has joined Berkshire."
"We are very pleased to be joining forces with Berkshire Hathaway," said Mark Donegan, PCC's chairman and chief executive officer. "We see a unique alignment between Warren's management and investment philosophy and how we manage PCC for the long-term. We believe that as part of Berkshire Hathaway, PCC will be exceptionally well-positioned to support our customers' needs into the future. This transaction offers compelling and immediate value for our shareholders, and allows PCC's employees to continue to operate in the same manner that has generated many years of exceptional service and performance to our customers."
PCC Aerostructures is a leading supplier of complex components and assemblies to the global aerospace industry.
PCC Aerostructures now includes more than 39 plants in the North America, Europe and Asia with over 5500 employees and has ambitious growth plans. Businesses within PCC Aerostructures include Primus International, SPS Aerostructures, Centra, Avibank and AVK, Klune, ProCoat, Southwest United Industries, Progressive Incorporated, Noranco, Synchronous, and Kalistrut. Plants locations include Washington, Utah, California, Oklahoma, Kansas, Texas, Ohio, Canada, Mexico, the UK and China.
The Commodity Manager is responsible for overall strategy development and execution of assigned commodities. As a Leader in the organization, this individual will be responsible for driving and implementing competitive commodity and category supply strategies to achieve lowest total cost of ownership, reduced working capital through effective negotiation planning and execution. Manage supplier performance to support the respective commodity and region and ensure supply continuity.
Primary Duties & Responsibilities:
- Abide by all PCC policies on safety, ethics and regulatory compliance.
- Ensure compliance to all business controls as it relates to supply chain / strategic sourcing
- Source and purchase machined components primarily from bar stock, necessary for operation of various factories within Engineered Products and Aerostructures and, where relevant, across multiple PCC businesses.
- Compiles and analyzes spend data to develop appropriate strategies to align with annual operating plans and strategic plans to establish productivity objectives.
- Prepares bid packages, manages RFI and RFQ processes, reviews proposals, negotiates prices, selects or recommends suppliers
- Identify and grow capable and competent suppliers to meet PCC objectives, and effectively exit non performing suppliers without supply disruption
- Project Manage transition of work between suppliers through phase gate process, and insure zero disruption of supply to sites
- Ownership of supplier first article process for NPI or resourcing products to new suppliers within or outside existing supply base
- Negotiates long term contracts and manages supplier performance to agreed contract. Maintains and manages effective supplier relationship and partnership at key supplier executive leadership levels
- Reviews and analyzes macro trends and commodity indices to insure proactive communication to businesses on potential, near and long term, impact.
- Develop, coordinate, implement, monitor, and update long-range plans by translating Executive Team goals and objectives into actionable programs and initiatives
- Work with other Directors/Managers to coordinate and align operations and activities; Plan and establish work schedules, assignments, and resources to meet Division goals
- Key metrics will be Cost (net savings), Quality (PPM), Delivery(SOTD), Cash - Working capital (Spend on VMI, WAPT etc)
- Required Skills:
- In depth knowledge of strategic sourcing, supplier identification and development, commodity management with expertise in Aerospace and Defense segment
- Knowledge of machined components, raw materials, production processes, quality controls, costs and domestic and global sources of supply for aerospace products
- Excellent analytical, problem resolution, presentation skills. Strong MS Excel skills required.
- Strong experience in negotiating win-win long term supplier LTA's / contracts and ability to negotiate customer contractual flowdowns into supplier contracts as they relate to supply liabilities and requirements
- Strong experience and track record in delivering year over year supplier cost reductions through strategic sourcing for long term benefits
- Good working knowledge of ITAR, export / import regulations and associated logistics and regulatory requirements
- Strong understanding and experience working with suppliers in best cost countries, from supplier identification to part qualification
- Strong bias for action towards driving on going cost reductions and focus on alternate supplier sourcing where appropriate, requires good project management skills.
- Able to work effectively within the EPD & Aerostructures team, cross functionally within the business and across the PCC enterprise to deliver exceptional results.
- Able to keep team members well informed and to draw on other's expertise when required
- Must be a proactive communicator who can clearly articulate results and needs across all levels
- Ability to travel as required – upto 50%
- Experience & Education
- BA/BS or equivalent
- Significant experience in strategic sourcing, contract negotiations
- 7-10 years of experience of which 5-7 years in directly related strategic sourcing experience and 3-5 years experience in Aerospace and Defense Supply Chain disciplines preferred