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To leverage this new capability and manage the growing complexity of the busiAvon put in place a ness, Avon put in place a regional planning group empowered to make decisions about regional planning service levels, inventory, and costs based on group empowered a bird s-eye view of the whole supply chain Other decisions regarding the new organito make decisions zation, roles, and responsibilities were put about service levels, on hold until later The next critical step was to redesign inventory, and costs the entire supply chain in a way that made sense operationally Using the Supply-Chain Operations Reference-model (SCOR), the team identified the key changes to plan, source, make, and deliver the supply chain processes that were most integral to Avon s business Avon kept a manufacturing plant in Germany but consolidated other production into its plant in Poland This helped in two ways.

aware of the difference. Because people can follow their own learning paths they can learn according to their own particular ways of learning. No two consumers will ever follow the same path through the streaming media available. The advantage of streaming media over other forms of audiovisual media is the fact that search engines and metadata descriptions can help us match streaming media items to our own interests, just as we can now find text items to satisfy our own information demands on the Web, with the more comprehensive search engines. If digital television programming were available on demand and indexed with a search engine similar in power to www.google.com, with hyperlinks from program to program and within a program, it would be streaming media. Indeed, once most television programs are repurposed in streaming formats and indexed by media search engines, much of the streaming media we view from archive will be old television shows.

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Streaming media will be a tool par excellence for self-actualization. It will be possible to access the very best teachers on whatever subject you choose; you may even interact with them. Some will demand a fee for access (using digital rights management) or else some may offer their knowledge free or in exchange for other knowledge. The medium may even foster information exchanges or clearinghouses for intellectual property as teachers find ways of imparting what they know. With streaming media, companies may pay consultants to encourage and guide their staffs using telepresence. Management guru Tom Peters, for example, may never have to board a plane again. Companies could pay for his virtual presence and his mentoring online, as a rolling videoconference.

First, it expanded manufacturing capability in the heart of Avon s emerging markets And second, it delivered major cost efficiencies, mainly due to the lower cost of labor Avon also created a centralized inventory hub in Poland near the production facility to service the company s branches throughout Europe..

Monthly Return 0.30% 0.67% 0.87% 0.97% 1.04% 1.17% 1.30% 1.44% 1.50% 1.59% 1.92% 1.83% Annualized Return 3.60% 8.04% 10.44% 11.64% 12.48% 14.04% 15.60% 17.28% 18.00% 19.08% 23.04% 21.96% Avg. Number of Stocks 89 98 209 222 226 230 235 237 239 239 120 117 2261 Weighted Avg. Return 14.99% 14.99% 14.99% 14.99% 14.99% 14.99% 14.99% 14.99% 14.99% 14.99% 14.99% 14.99% Difference in Return 11.39% 6.95% 4.55% 3.35% 2.51% 0.95% 0.61% 2.29% 3.01% 4.09% 8.05% 6.97%

Every company has one salesperson who sells the product with more passion and more conviction than his or her colleagues. These salespeople often turn in the best results as a consequence of their facility in selling to consumers. However, even the best salesperson has some days better than others. Some days, he or she just cannot reproduce the enthusiasm or verve, for whatever reason. With streaming media, the

best salesperson s best sales pitch could be recorded and used either in direct sales situations, or else as training material. Founders of startup companies often complain that the burden of speaking to yet another stony-faced and unreceptive audience about their passion for their enterprise greatly taxes them. Investor relations often drain the life from entrepreneurs wishing to spend their precious time on developing their ideas, rather than convincing the unconvinced. It is a truism that if an entrepreneur s idea is any good, he won t have to fear its being stolen, because he will almost literally have to ram that idea down the throats of all and sundry. Smarter entrepreneurs will have video made, capturing them in full flourish, for replay at later dates. Streaming media will be a great conduit for people s passion and commitment. Seeing the most motivated person on screen, via streaming media, in a variety of business-related scenarios, could significantly improve the outside world s response to that person s ideas and this could translate to better business.

With end-to-end visibility in place and a newly streamlined supply chain, Avon was able to make truly dramatic changes to its business.

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