Arthur Andersen Releases New Book Documenting Worldwide Activity-Based Management Success / Global Lessons Highlights Progress and Benefits of International ABM

DALLAS (PROTEXT) - Arthur Andersen today proudly announced itsmost recent addition to its book series with the release ofArthur Andersen's Global Lessons in Activity-Based Management,which provides an inside look at 14 international case studiescurrently reaping the benefits of activity-based management(ABM). Global Lessons tracks the rapid worldwide expansion of ABMdue to the advancements of software capabilities, and thedevelopment of corporate reporting solutions. Written by StevePlayer of Dallas, Texas and Roberto Lacerda of Sao Paolo, Brazil,Global Lessons presents the seven commandments of ABMimplementation based on recent research and the key lessons fromArthur Andersen's ABM Best Practices Studies. In Global Lessons, the ABM implementation teams of each cross-industry case study share the challenges and lessons learned fromtheir projects. The profiled organizations include: Brazil:

Banco Real, CTBC Telecom, and Multibras

Electrodomesticos; Canada:

Alcan Smelters & Chemicals, FinningInternational

and Clarica (formerly The Mutual Group); France:

AscoForge Safe; Mexico:

Grupo Casa Autrey; The Netherlands: Hallmark Greeting Cards; Portugal:

Portugal Telecom; and United States: Manco, National Council on Compensation

Insurance, American Seating, and TampaElectric. Jeff Medek, director of ABM at Navistar -- a leading NorthAmerican producer of heavy and medium trucks, confirms the valueof the new book. "From best practices to industry trends, thisbook offers a comprehensive guide to ABM implementation and thebenefits it offers," Medek explained. "This is really a powerfulcollection of Global Lessons for management taking business to ahigher level of financial success." "From the manager who is a novice at ABM to the veteran of theABM evolution who is looking for best practice tips, GlobalLessons has something for everyone," co-author Lacerda said. "Thecase studies show how making business decisions with activity-based information, rather than traditional financial tools, trulycan increase productivity and revenues. While competition nowcomes from around the globe, so do opportunities for enhancedprofits." One featured organization is Tampa Electric Company (TEC), asubsidiary of TECO Energy -- a diversified, energy-relatedholding company. As described in Global Lessons, TEC implementedABM to identify the total energy delivery costs of providingvarious services to different customer segments. "Ourshareholders expect a good return on their investment. ABM allowsus to maximize the use of our resources by eliminating non-valuework resulting in increased profitability," Tom Salisbury,director of financial services for energy delivery at TEC, said.TEC now uses ABM to recognize important cost savingsopportunities and target new market expansion in the changingderegulated utility environment. "The biggest industry change in the last several years hasbeen the improvement in PC software available to support ABMimplementations and perform analytical applications," Playersaid. "More powerful OLAP (Online Analytical Processing) toolshave come onto the market. Vendors have used funding from venturecapitalists or investments from other companies to strengthentheir products and enhance their understanding of the needs ofABM customers. In a nutshell, the support systems for ABM havegrown much stronger." Another international case study in Global Lessons is CTBCTelecom. Controlled by one of Brazil's largest conglomerates,CTBC Telecom is the only private organization operating on fixedand cellular telecommunications in the country. With 1997revenues of US$270 million, CTBC Telecom decided to implement ABMto not only provide more accurate product costs, but also tosupport cost reduction and continuous improvement efforts. "Weexpect strong competition from some of the largest companies inthe world. Consequently, understanding our true costs and marginsand knowing their drivers will be critical to be one step aheadof other players," Marineide da Silva Peres, CTBC Telecom's CFO,said. Arthur Andersen's Global Lessons in Activity-Based Managementis published by John Wiley & Sons, Inc. The book retails forUS$29.95, and is now available in bookstores nationwide or may beordered online through www.amazon.com and www.barnesandnoble.com.In conjunction with the Global Lessons launch, Arthur Andersenis also releasing Activity-Based Management: Lessons from the ABMBattlefield -- second edition (John Wiley & Sons, Inc., 1999).Spurring from the success of the earlier version, the secondedition retails for US$29.95, and is also available at bookstoresnationwide. About Arthur Andersen Arthur Andersen's business consulting practice helps leadingorganizations to improve their decision making, businessoperations and organizational capability through a broad range ofprocess improvement, performance enhancement and middle markettechnology implementation services. Arthur Andersen is a globalprofessional services organization consisting of over 100 memberfirms and more than 70,000 people united by a single worldwideoperating structure and a common culture of innovation andknowledge sharing. With revenues of more than US$6 billion, itstands today as a world leader in professional services. ArthurAndersen is a business unit of Andersen Worldwide. ots OriginalText Service: Arthur Andersen Internet: http://www.newsaktuell.deContact: Megan F. Salch of Arthur Andersen, 214-741-8086 (in theUSA), or email, megan.f.salch@us.arthurandersen.com Web site:http://www.amazon.com Web site: http://www.barnesandnoble.com

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