Contact Information: Press and Analyst Contacts: John Howlett DemandPoint 720-890-2800 ext. 160 john.howlett@pelionsystems.com Adrienne McGarr Ruder Finn 312-329-3907 mcgarra@ruderfinn.com
Pelion Systems and JCIT International Merge to Form Company Focused on Enabling Demand-Driven Fulfillment
Merger Pairs Pelion's Industry-Leading Lean Technology With JCIT's Demand Flow Consulting and Education Expertise to Help Companies Streamline the Value Chain and Collapse the Order-to-Cash Cycle
| Source: DemandPoint
ENGLEWOOD, CO -- (MARKET WIRE) -- April 18, 2007 -- Pelion Systems, a market leader in Lean
Manufacturing Operating Systems, and JCIT International, the pioneer of
award-winning Demand Flow® Technology (DFT), have entered into an
agreement to merge companies and create a new organization focused on
enabling Demand Flow Fulfillment for customers. The combined entity will be
known as DemandPoint. Terms of the deal were not disclosed.
DemandPoint leverages Pelion and JCIT's combined expertise in operational
excellence and business process optimization driven by Lean and Flow
principles. The objective of the combined company is to dominate the market
for demand-driven fulfillment strategies that improve cash flow and working
capital by streamlining the value chain and collapsing the order-to-cash
cycle.
Together, Pelion and JCIT offer a proven methodology and technology
framework for tying an organization's business model to its operating
platform and linking all operational activities to customer demand. This
involves not only manufacturing but all of the functional units involved in
executing an order, including sales, marketing, procurement, distribution,
logistics and finance.
"As global competition intensifies, enterprises are continually driven to
improve operational performance in order to reduce costs, preserve margins,
and increase cash flow," states the Aberdeen Group in a forthcoming
research study titled "The Order to Cash Cycle: Integrating Business
Processes to Improve Operational Performance."
"The lifeblood of a company flows through the order-to-cash cycle whether
in a manufacturing, distribution or service provider environment," the
study continues. "In order to preserve the health of a company, it must
flow freely and unobstructed, and not fall short of the goal." To request a
copy of this report once it is published, contact
cindy.jutras@aberdeen.com.
DemandPoint delivers education, assessments, engagements and tools and
technology in a comprehensive, integrated offering designed to help a
company take control of its value chain and enable perfect order
performance. The focus is on empowering executives in all aspects of the
business with the right strategies, tools and incentives to facilitate the
most flexible and lowest cost method of meeting customer requirements.
More than 3,500 organizations have leveraged DemandPoint's consulting and
technology capabilities since 1984 and over that same period, more than
100,000 students in over 50 countries have benefited from DemandPoint's
training and educational expertise. DemandPoint brings an unparalleled
track record of driving business process change and performance
improvements for such industry leaders as General Electric, American
Standard and Flextronics.
Former GE CEO Jack Welch has heralded the company's DFT approach as an
"absolute business discipline for every one of us from the factory floor to
the office. It is another way to simplify the business. It is a way to put
order into everything you do."
That strong foundation provides the basis for helping companies implement
demand-driven fulfillment strategies today.
DemandPoint will benefit from a highly experienced management team
comprised of executives from both companies that average more than 20 years
industry experience. Pelion's Chief Executive Officer Kevin Fallon will
serve as CEO of DemandPoint, while JCIT's Chief Executive Officer Tony
Gorski will serve as president of the merged entity.
Other members of the executive team include Dean Gilliam, who was
previously chairman of JCIT, will drive the Operational Excellence practice
of DemandPoint as executive vice president of Strategic Accounts. Darrell
Beitel, a renowned supply chain expert who served as head of client
services for JCIT, will assume the role of chief operating officer for
DemandPoint.
Dave Gleditsch, who drove several very successful Demand Flow
implementations during a previous tenure at JCIT and architected a software
platform based on Flow principles over the past six years as Chief
Technology Officer for Pelion, will lead the company's Education arm as
dean of the Demand Flow Institute. The Assessments and Engagements and
Tools and Technology arms will be led by Jeff Lane and Justin Griep,
respectively, both long-term veterans of JCIT and Pelion.
"We are excited about the uniquely talented team and comprehensive offering
we are able to provide as a result of this union," Fallon said. "Many
companies have made strides in improving operations, but this work is still
being done in a far too granular manner. Our goal is to help companies
evolve from a tactical operational improvement mindset to strategic,
coordinated programs with predictable results that tie back to the business
model and impact the bottom line significantly."
"There is much common DNA between our two organizations that enable us to
hit the ground running immediately in delivering new value for our
customers and the broader market," Gorski added. "Demand Flow has been the
hallmark of JCIT and Pelion for many years, and both companies have proven
its value as a low risk path for executives to enable responsive,
cost-effective value chains. We look forward to building on the heritage of
education, consulting and technology excellence as DemandPoint."
About DemandPoint
DemandPoint empowers companies to streamline the value chain, achieve
perfect order performance and collapse the order-to-cash cycle, leveraging
deep roots in operational excellence and business process optimization. We
architect and implement demand-driven fulfillment strategies that bridge a
company's business model to its operating platform, resulting in improved
cash flow and working capital. DemandPoint is headquartered in Englewood,
CO, with executives located throughout North America, Europe and Asia. To
learn more, please visit www.demandpointinc.com.
About Pelion Systems
Pelion Systems provides Lean Manufacturing solutions that drive flexibility
to help companies with complex processes and production environments to
achieve rapid transformations and continuous improvements in areas such as
labor, inventory and shipping costs while simultaneously improving cycle
time and delivery capabilities. Pelion's technology integrates easily with
and extends the value of existing ERP, SCM, and plant-floor systems.
Solutions are able to scale from a single facility to an extended
enterprise implementation, applying Lean and Flow principles to synchronize
production, supply, and distribution and form a true
demand-driven network. For more information, please visit
www.pelionsystems.com.
About JCIT International
JCIT International is a technology transfer company committed to the
development and delivery of the highest quality educational and engagement
programs within the manufacturing industry. Founded in 1984, JCIT has
trained more than 100,000 students and 3,500 companies worldwide in the
tools and technology of Demand Flow® Technology (DFT), a patented,
mathematically-based, business strategy that enables companies to respond
faster and more efficiently to customer demand. Current clients include:
GE, Ingersoll Rand, NACCO, American Standard, John Deere, and Boeing. For
additional information, please visit www.jcit.com.