Executive Sponsor for Quality through Engagement (QTE) Executive Sponsor for Asian Affinity Group Executive Sponsor for Hershey Track and Field Games
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1 Alan R. Warehime Professor Penn State University BACKGROUND INFORMATION Personal Residence: 425 Hillcrest Avenue State College, PA Telephone: (O) (M) Education B.S. Science Education, Virginia Tech, 1978 M.S. Food Science, Penn State University, 1984 Ph.D. Food Science, Penn State University, 1986 Professional Awards Outstanding Alumnus College of Agricultural Sciences Penn State University, 2003 Trade Association Boards National Confectioners Association (NCA), Executive Board International Food Information Council (IFIC), Executive Board Other Executive Sponsor for Quality through Engagement (QTE) Executive Sponsor for Asian Affinity Group Executive Sponsor for Hershey Track and Field Games
2 Page 2 Summary Currently serving as the Alan R. Warehime Professor of Food and Agribusiness in the College of Agricultural Sciences, Penn State University. Responsible for developing interdisciplinary programs integrating technical, business and international perspectives. Conducting research to better understand the interaction of industry, academia and policy makers in the food industry. Serve as the Director of Entrepreneurship, Innovation and Commercialization in the College. Responsibilities include building a culture of innovation through faculty involvement and industry partnerships. Work with Dean s leadership group to communicate strategy for entrepreneurship and innovation to faculty, staff and students. A senior food industry executive (retired) with 25 years of proven success in Global R&D leading Product Development, Basic Research, Nutrition, Continuous Improvement and Open Innovation. As Vice President for nearly ten years, responsible for new product sales and cost savings projects totaling over three billion dollars. Reported to CEO as member of Executive team. Valued contributor to enterprise-wide initiatives including approach to innovation, talent management, improved supply chain efficiencies, and global expansion. Strong technical strength and knowledge of global confectionery markets. Core Competencies/Field of Expertise Food production/process value chain and its influence on human health Innovation process as related to new product development, entrepreneurs, and open innovation Food Science/Chemistry research and related areas Proven Senior Executive at The Hershey Company; served on Boards of major trade organizations Continuous improvement/cost savings while maintaining quality Human Resources related expertise including performance management, talent management, organizational development, leadership competencies International confectionery/snack segment Teaching and communicating technical subject areas including strategic management, product development and sustainability
3 Page 3 Summary of Experience 2012 to present Penn State University College of Ag Sciences University Park, PA Alan R. Warehime Professor Ag Economics, Sociology and Education 1986 to 2012 The Hershey Company Hershey, PA SVP Global Research and Development VP Global Research and Development VP Global Innovation and Quality VP Global Research and Development VP Research and Development Director Product Development Sr. Manager Ingredients Research Manager Ingredients Research Group Leader Biochemistry Research Senior Biochemist Penn State University University Park. PA Graduate Assistant Fairfax County Public Schools Fairfax County, VA Chemistry Teacher and Track Coach
4 Page 4 Detail of Experience 2012 to present Penn State University College of Ag Sciences University Park, PA Alan R. Warehime Professor Ag Economics, Sociology and Education Director of Entrepreneurship, Innovation and Commercialization. This position supports the College of Agricultural Sciences strategic plan to build a culture of Entrepreneurship and Innovation. Current work includes transforming faculty research to commercialization and working with industry partners to identify and partner on common areas of research interest. Member of the Entrepreneurship and Innovation Program faculty Faculty Sponsor for student product development teams Teaching classes in Food Innovation, Strategic Decision Making and International Agriculture AG BM 308W AG BM 440 AG BM 470 A&B Strategic Management in Agribusiness Innovation Comparing Serve on Alumni Relations, Governance and Outreach Commitees 1986 to 2012 The Hershey Company Hershey, PA 2011 to present SVP Global Research and Development Led R&D function as part of Project Next Century to close original Hershey Factory and move production lines. Worked with transformational team to develop a vision for Hershey R&D Completed plans and established timetable to build and open a new R&D Center in Asia. Launched enterprise-wide software as part of the open innovation initiative to allow idea sharing across the company.
5 Gained approval from FDA to move forward with a large clinical trial to show the benefits of cocoa and dark chocolate on blood pressure VP Global Research and Development Member of the Hershey Executive Team (HET) reporting directly to the CEO. Key contributor to the 2011 organizational redesign. The new organization includes an SBU structure and a key role for Research, Development and Long-term/Disruptive Innovation. Worked with team to redesign innovation process and associated financial targets. Created a Global Platforms and Research Insights Group in Global R&D to align with the CMO organization focused on disruptive innovation and incubator businesses. Expanded International R&D resources and established growth plans for Global R&D. Received approval to build an Asian R&D Center. Hired appropriate talent for international growth and adjacency expansion. Maintained a 2-3 year global new product pipeline capable of delivering 5% of annual net sales. Established an Open Innovation Program (Sweet Solutions) for the Company. Established want, get, find, manage components of the program. Improved efficiency of legal document process and reinvented intellectual property strategy. Identified Knowledge Management and Retention as a key component to ensure the future success of R&D. Established Communities of Practice in critical technical areas. This program is looked to as a model for the rest of the Company. Working with Operations, responsible for matching product quality during the Global Supply Chain Transformation. This project reduced the number of manufacturing plants and led to the opening of a new facility in Mexico resulting in $180M in cost savings. Serve on the Research Committee for the Hershey-Barry Callebaut partnership. Manage the project portfolio including research charters, new product briefs and supply chain opportunities. Advanced cocoa science through the Hershey Center for Health and Nutrition. Completed clinical trials supporting the Company s Health and Wellness strategy. Represented The Hershey Company s position on nutrition policy issues. Expanded nutrition expertise in Mexico and responsible for building a global nutrition program.
6 Page VP Global Innovation and Quality Reported to Chief Innovation Officer. Started first program designed to produce breakthrough or disruptive innovation. Worked with outside marketing group to develop a line of cocoa-based products and beverages. Identified energy recovery beverage that is currently in market today under the ReGen brand. Acted as interim head of Quality and Regulatory Compliance during this period. Established the Hershey Center for Health and Nutrition. This Center is dedicated to researching and communicating the science supporting the health benefits of cocoa, chocolate, nuts and more. Participated in the R&D integration of JV in China. This involved developing a relationship with members of Lotte s R&D team in Japan. Identified Barry Callebaut as a key supplier and innovation partner. Hershey is currently in year five of this partnership VP Global Research and Development Reported to CEO and served as a member of the Hershey Executive Team (HET). Focus at this time was on a variety strategy and launching a snack business. Global R&D reorganized to reduce product development cycle time. New product launches went from 5% to 12% of sales. Most of these items were line extensions and limited editions. Global R&D produced great tasting snack products that were commercialized including cookies, snack bars and nut snacks. Supported international businesses in Mexico, Brazil and Asia which were beginning to grow VP Research and Development Reported to Senior VP Operations. This aligned R&D with Operations providing a focus on filling idle capacity and product and process improvements. Delivered $100M in cost savings over 18 months.
7 Page Director Product Development Reported to VP R&D. Responsible for the development of low fat and calorie confections. Launched Sweet Escapes low fat line achieving $100M in year one sales. This brand was in the market for 2-3 years during the low fat trend that was popular during this time period. Formed a funnel filling group with marketing. Developed over 50 product concepts projected to be worth over $500M with many being launched over the next five years Sr. Manager Ingredients Research Manager Ingredients Research Responsible for this basic research function in R&D. Developed research strategy based on technical needs associated with new product program and operations. Managed key gate keepers serving as experts for dairy ingredients, protein, fats and oils, sweeteners, gums and hydrocolloids and flavor chemistry. Hershey had businesses in chocolate, sugar confections, cough drops, gum, pasta and pudding in this period. Directed Dairy Center of Excellence chartered to identify new approaches to the use of dairy ingredients in our products. Work of the team lead to over $50M in cost savings over three years. Served as a technology scout for new ingredients and related technologies. Visited global suppliers to understand their technology pipeline and transferred findings to Hershey Group Leader Biochemistry Research Senior Biochemist Provided scientific basis to better understand flavor development in key chocolate brands. Developed a modernized process to match the dairy flavor component in Hershey Milk Chocolate that enabled move from 19E to the new West Hershey plant. Modeled West Hershey crumb processing specifications and developed a processing guide for operations. Similar work was done for Symphony chocolate.
8 Page Penn State University University Park, PA Completed Master s and Ph.D. in Food Science. Thesis work looked at the development of unique dairy flavors resulting from lipolysis of milk fat. Served as a graduate teaching assistant for undergraduate coursework Fairfax County Schools Fairfax, VA Taught high school chemistry and biology and coached track and field. Professional Development Executive Board Vice President, International Food Information Executive Council (IFIC), 2010 to present Executive Board, National Confectioners Association (NCA), 2008 to present The Hershey Company Executive Leadership Program, 2005 Strategic Leadership Experience (DDI), 2001 Penn State Executive Program, 2000 Hershey Management Program, 1993 Center for Creative Leadership, 1992 Personal Married, two children Avid hiker and school volunteer
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