• For 1999, build a plan that allows you to react to different scenarios, given the high level of economic uncertainty.

• Given this uncertainty, we need an ambitious plan for productivity that overachieves the target.

• Develop a proposal for reducing your cost structure. I want to know what you would do, how much it would cost, and the impact to census and 1999 AOP financials.

• Our quality problems are disturbing. Continue to work to improve quality. I am especially concerned with our problems with customer X. Develop a program for X that will convince them that we are addressing the issues. A key component of the solution is a further reduction in our supply base.

• Good work on reducing past-due shipments. However, past-dues are still among the highest in the company, so opportunity remains.

• Supply chain is our number-one process priority. Do not fix the problems individually; fix the process. Please make sure we have a defined path to achieve the reduction in the fourth quarter.

Taken from: Execution The discipline of Getting things Done