Diversity Procurement Looking to Build on Outstanding Year

Diversity Procurement Leader Michelle Taylor (foreground) with her team at a recent trade show to network with diverse suppliers.

It’s hard to imagine a way 2016 could have been a better year for the diversity procurement program at Cummins.

In April, the company was recognized by the National Business Inclusion Consortium in its inaugural 2016 NBIC Best-of-the Best Top 30 Corporations for Inclusion.

Then in August, Cummins was inducted into the Billion Dollar Roundtable, a prestigious advocate for best practices in corporate supplier diversity. Members must have exceeded $1 billion in annual spending with diverse suppliers. There are only 22 corporations in the group, which includes Ford, P&G and Microsoft.

Finally in October, the company won its first national award from the National Minority Supplier Development Council (NMSDC) since that group’s creation in the 1970s. Cummins was named Corporation of the Year in the Top Performers category, one of 11 companies recognized for rapid growth in Minority Business Enterprise (MBE) spending at NMSDC’s annual meeting in Chicago.

“It was a tremendous honor to be included with so many outstanding companies, and the result of a lot of hard work by people across Cummins,” said Michelle Taylor, Diversity Procurement Director at the company. “But we can’t rest on our laurels. 2017 presents many challenges and we must keep moving forward.”

By working with diverse suppliers, Cummins increases competition for its business, which ultimately results in lower costs and improved service. At the same time, diversity procurement develops economic growth in all of the communities where Cummins employees live and work, consistent with the company’s Corporate Responsibility value to “serve and improve the communities in which we live.”

Despite tough market conditions, Cummins once again topped $1 billion in diverse spend in 2016, reaching $1.1 billion in spending with diverse and small business suppliers in the United States. That compares to $1.3 billion in 2015 and $1.2 billion in 2014.

The company’s diversity procurement efforts outside the United States, meanwhile, continued to grow. Diverse procurement connected to Cummins Area Business Organizations (ABOs) outside the U.S. reached $402 million in 2016, compared to $320 million in 2015. That pushed total spending with diverse suppliers both inside and outside the United States to more than $1.5 billion in 2016.

Looking ahead, Taylor sees the sustainability of the diversity procurement program as its biggest challenge. The initiative has built broad support within the company over the last decade, from the executive suite to purchasing managers across the company. She says it’s imperative that continue.

“The diversity procurement staff is too small to make this happen alone,” said Taylor, who is taking a new position with the company as Director of North America Defense and Government Sales in the Distribution Business Unit. “The engagement across the enterprise has been incredible and that must continue. The work is too important for anything less.”

[popovernew title="Spending on Diverse Suppliers: 2009-2016" button_text="Spending on Diverse Suppliers (Click to expand)" trigger="click" style="top" size="" type="btn-default" ]Here’s a look at the total amount of money Cummins spent in the U.S. with diverse suppliers in eight categories*.

2009 - $433 million
2010 - $545 million
2011 - $810 million
2012 - $890 million
2013 - $990 million
2014 - $1.2 billion
2015 - $1.3 billion
2016 - $1.1 billion

*The eight categories are: Minority Business Enterprises, Women Business Enterprises, Veteran Owned Businesses, Service-Disabled Veterans; Lesbian, Gay, Bisexual and Transgender (LGBT) Suppliers; SBA Small Disadvantaged Businesses; HUBZone Small Business Concerns and Philanthropic Suppliers.[/popovernew]

blair claflin director of sustainability communications

Blair Claflin

Blair Claflin is the Director of Sustainability Communications for Cummins Inc. Blair joined the Company in 2008 as the Diversity Communications Director. Blair comes from a newspaper background. He worked previously for the Indianapolis Star (2002-2008) and for the Des Moines Register (1997-2002) prior to that. [email protected]

 

Cummins Recognizes Our Veterans Who Make Our Countries and Company Better

On the 11th hour of the 11th day of the 11th month of 1918, World War I came to end when the armistice took effect. One hundred years later, we still commemorate that momentous day when after four years of constant shelling and gunfire, silence ensued. 

As we near the 11th and mark Remembrance Day in countries around the world and Veterans Day in the United States, I want to recognize all of our veterans at Cummins who bring a diverse skill set and experiences to our company, customers and communities.  On behalf of the Cummins Leadership Team, thank you for your dedication, sacrifice, service and commitment to your country.  We are also deeply grateful that you are sharing your talents and skills as part of the Cummins team.

Veterans Day and Remembrance Day give those of us who have benefited from the service of our brave women and men in the armed forces the opportunity to pause and reflect on the sacrifices made on our behalf in service to their country. As the proud father and nephew of Marines, I have the privilege of spending time with both active duty and veteran members of the military and learning from their experiences.   

Last year, Cummins was officially recognized as a Military-Friendly Employer, joining a group of 180 companies who put significant time and resources into recruiting and retaining military personnel, as well as implementing policies to support our employees who continue to serve. We want the number of veterans at Cummins to continue to increase, and we can all play a role in making that happen. 

To our veterans, I want to reiterate our deep gratitude for your service, and for sharing your unique abilities and experiences with Cummins. You make us all, and the company, better. To all employees, I would ask that on this day you truly exemplify our value of caring, and take the time to recognize our veterans who have given so much of themselves to their country and to Cummins. 
 

Thad Ewald

Thad Ewald is the Vice President of Corporate Strategy and Business Development for Cummins Inc. In this capacity, he is responsible globally for the formulation of strategy, developing and coordinating both functions, Enterprise Risk Management, starting new growth businesses and all activity for partnerships, mergers, acquisitions and divestitures.

A profile on Cummins Juarez

Cummins plant in Juarez

Celebrating the contributions of our Latino and Hispanic employees.

  • 2018 is forecasted to be the highest-revenue year in Cummins Juarez’s 33-year history – a testament to the importance of NAFTA.
  • Employees volunteered 30,000 hours of community service over the past five years.
  • Cummins Juarez won a 2018 Global Impact Award for a project that will generate enough green power to reduce site carbon emissions by 204 tons per year.
  • Three grants totaling $1 million were approved in 2018, which will fund impactful and sustainable projects for improving the community of Juarez and El Paso.

In honor of Hispanic Heritage Month, Cummins is celebrating the dedication and contributions of its Hispanic and Latin American employees and communities. This recognition extends to the manufacturing and supply chain employees who support Cummins on the front lines. With approximately 20 plants or sites supporting all business units located across the region, Cummins’ presence in Latin America is significant and increasingly important.

Cummins Juarez, located in the binational community of Juarez, Mexico, and El Paso, Texas, is just one example. As Cummins’ largest manufacturing site for the Components business segment, Cummins Juarez produces more than 3.8 million components each year and is on target to achieve its highest-revenue year in its 33-year history.

One of the cornerstones of Cummins’ success in the region is NAFTA – the single most important trade agreement to Cummins which has helped grow the economies of the US, Mexico and Canada. Prior to the agreement, Mexico was one of the most protectionist countries in the world, with automotive imports into Mexico facing tariffs as high as 20 percent. NAFTA brought down trade barriers and allowed Cummins to avoid duplication of manufacturing capacity to take care of Mexico engine and components demand.

Cummins continues to advocate for a modernized NAFTA that incorporates trade, investment and related regulatory reforms. A renegotiated NAFTA could continue to help produce benefits across the three countries and continue to help Cummins grow in the NAFTA countries and contribute to continued growth and success at its sites across Mexico, like Cummins Juarez.

Cummins Juarez is home to Cummins Electronics and Fuel Systems (CEFS) and Cummins Emission Solutions (CES). CEFS manufactures new and legacy XPI products, such as fuel injectors, and is home to a joint venture between Cummins and Scania, a major manufacturer of commercial vehicles. CES manufactures Urea dosers and pumps.

Using several advanced salvage processes, CEFS Juarez also remanufactures electronic control modules and sensors and Cummins-designed fuel systems, and they’re proud of their remanufacturing focus. Remanufacturing is the ultimate form of recycling, as it helps reduce costs for customers and offers environmentally friendly manufacturing solutions.

Below are just a few additional highlights for Cummins Juarez.

OVERALL SITE STATISTICS

Site Location: Juarez, México, and El Paso, Texas (warehouse).
Year opened: 1985
Site size/plant sizes (acreage/square footage): 260,000 Sq. Ft. + 70,000 Sq. Ft. for warehouse.
Business Unit: Components Business Segment
Site Leader: Robert Rivas
Site employee count: 2,593 employees
Products manufactured: Fuel systems, electronic control modules, sensors and dosing systems
Customers: Rocky Mountain Engine Plant, Jamestown Engine Plant, Seymour and San Luis Potosi Engine Business Unit plants and all aftermarket plants
Product applications: 
On-highway – semi cabs, pick-up trucks, school and public buses, RVs, fire trucks
Off-highway – marine, military vehicles, construction equipment

COMMUNITY INVOLVEMENT

  • Cummins Juarez employees contributed 30,000 hours of community service in the last five years.
  • Cummins Juarez has three strategic community partners that feature impactful and sustainable projects (more than 800 children are being impacted):
    • Ojos de Dios (God’s eyes) – Priority areas include the environment and equality of opportunity
    • Carlos Urquidi Elementary School – Priority areas include education and the environment
    • Ciudad del Nino (City of the Child) – Priority area includes equality of opportunity 
  • 2018 has been an exceptional year for the Cummins Juarez Community Involvement Team, receiving three grants from the Cummins Foundation.
  • The Cummins Juarez Scholarship Program provides 15 middle school students with a monthly scholarship funded by Juarez plant employees through an innovative vending machine program (started on 2011).

CAREER OPPORTUNITIES

  • Operations 
  • Electronic Engineering
  • Quality Engineering
  • Industrial Engineering
  • Manufacturing Engineering
  • Product Engineering
  • Supply Chain – Planning and Logistics
  • Information Technology
  • Finance
     
Cummins Office Building

Cummins Inc.

Cummins is a global power leader that designs, manufactures, sells and services diesel and alternative fuel engines from 2.8 to 95 liters, diesel and alternative-fueled electrical generator sets from 2.5 to 3,500 kW, as well as related components and technology. Cummins serves its customers through its network of 600 company-owned and independent distributor facilities and more than 7,200 dealer locations in over 190 countries and territories.

Lisa Yoder posthumously honored with Lifetime Achievement Award

Last week, Lisa Yoder, former Vice President of Global Supply Chain at Cummins, was posthumously honored with the Lifetime Achievement Award during the Central Indiana Supply Chain Awards (CISCA).

DLisa Yoderuring the event, it was also announced the Lifetime Achievement Award would be named after Lisa in honor of her commitment and dedication to her work and the time she invested in supporting her supply chain leaders and colleagues. 

More than 200 supply chain professionals came together on Sept. 13 to recognize 37 nominees and 9 winners during the first-annual CISCA event, powered by BCforward. The event, organized by the Institute for Supply Management – Central Indiana (ISM) and the Mid-States Minority Supplier Development Council (Mid-States MSDC), is the first of its kind in Central Indiana.

Thad Ewald, Vice President of Corporate Strategy at Cummins, accepted the award in Lisa’s honor. Members of Lisa’s immediate family and several of her former Cummins colleagues were also in attendance to celebrate Lisa’s accomplishments.

“It was an honor to accept this award on Lisa’s behalf,” said Thad Ewald, Vice President of Corporate Strategy at Cummins. “She was a good friend and a valued colleague, and she left a lasting legacy at Cummins.”

Thad Ewald, Vice President of Corporate Strategy, accepts the award in Lisa's honor.

Lisa led Cummins’ Global Supply Chain and Manufacturing functions from 2011 to 2017, when she passed away after a long-fought battle with cancer. Through her tenure, she courageously led Supply Chain operations for Cummins locations across the globe. Lisa successfully pulled each supply chain function and operation under one umbrella and established the strategy for the supply chain transformation in 2012. This was no small feat, as this transformational work applied to and affected 190 countries in which Cummins does business, thousands of employees, and hundreds of work streams and processes. Lisa’s vision was instrumental in driving the current transformational journey within the Supply Chain, and her impact can still be felt today.

Lisa invested countless, selfless hours in recruiting and promoting the supply chain profession as a career choice. When Lisa became ill, she found inspiration from mentoring and teaching others the importance of the supply chain industry and living life to the fullest.

We at Cummins – those who knew her well and those who witness her legacy – couldn’t be prouder and are thrilled to see her impact live on through the CISCA Lisa Yoder Lifetime Achievement Award. 
 

Cummins Office Building

Cummins Inc.

Cummins is a global power leader that designs, manufactures, sells and services diesel and alternative fuel engines from 2.8 to 95 liters, diesel and alternative-fueled electrical generator sets from 2.5 to 3,500 kW, as well as related components and technology. Cummins serves its customers through its network of 600 company-owned and independent distributor facilities and more than 7,200 dealer locations in over 190 countries and territories.

I am a Collaborative Robot. I am Manufacturing.

I am Manufacturing: Collaborative Robots

Advancements in technology, the internet of things and the power of big data are driving innovation across all industries – and the manufacturing industry is no different. This next wave of technological advancement in manufacturing is being dubbed Industry 4.0.

From more powerful, secure networks and universal connectivity, to advanced technologies and enterprise-wide data hubs, manufacturing’s technological future has many facets and possibilities. Today, we’re seeing examples of technological advancements within Cummins’ 90-plus Manufacturing plants across the globe. 

One example is the Collaborative Robot.

What is a collaborative robot (Cobot for short)?

Simply put, a Cobot is a robot built to safely work with and around people. They’re meant to enhance the work of humans, working side-by-side with operators to perform low-risk tasks, which is a paradigm shift for the industry.

While Cobots were first designed in the 1990s, they didn’t become an industry option until just a few years ago. The primary difference between a robot and Cobot, aside from scale, are built-in sensing systems that provide Cobots the ability to monitor a path and determine, within milliseconds, if it needs to stop due to an obstruction in its path. Traditional robots are tasked with heavy duty jobs and are locked in a secure area away from humans.

CTP Cobot

Why cobots?

There are many advantages to using Cobots today:

  • While Cobots do not replace humans, they can take over dull or repetitive tasks that would often pose ergonomic risks to operators, such as uncomfortable wrist or shoulder rotations, and allow for easier quality and process control.
  • Cobots can eliminate the required safety perimeter and safely share workspace with operators, resulting in a safer work environment and efficiencies in plant design. (Safety protocols will still exist.)
  • Cobots are typically less expensive, due to built-in safety features, and result in a lower total cost of ownership.
  • Cobots are easier to program, and allow for hands-on programming and operator involvement

Where does Cummins use Cobots today?

Cummins has two active Cobot applications, one at the Charleston Turbo Plant (CTP) in Charleston, South Carolina, and one at the Darlington Engine Plant (DEP) in Darlington, U.K. Cummins Filtration and Cummins Emission Solutions are also developing new applications utilizing Cobot technology and plan to have Cobots active within their facilities by early 2019.

The CTP Cobot, dispenses a retaining compound and has operated for more than two years without any safety or downtime issues. This application allows operators to perform quality and process inspections within the same operating space as the Cobot and has solved many concerns including safety, ergonomics, quality and downtime issues. 
 
The DEP Cobot was installed in early 2018 and has a 2D barcode reader that scans and extracts fuel injection trim codes. This application has solved many quality issues, as the scans must be completed in a sequential order for successful programming. 

Cummins Office Building

Cummins Inc.

Cummins is a global power leader that designs, manufactures, sells and services diesel and alternative fuel engines from 2.8 to 95 liters, diesel and alternative-fueled electrical generator sets from 2.5 to 3,500 kW, as well as related components and technology. Cummins serves its customers through its network of 600 company-owned and independent distributor facilities and more than 7,200 dealer locations in over 190 countries and territories.

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