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ATCLE Overview
 

ATCLE Overview

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A short presentation covering some of ATC Logistics & Electronic\'s capabilities.

A short presentation covering some of ATC Logistics & Electronic\'s capabilities.

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  • ASURION QUESTION #2Describe the Company’s equipment, repair parts and accessories procurement process and strategy by Material Logistics CustomerFor equipment and parts provided by Material Logistics Customer and held by the Company on consignmentEquipment provided, source of equipment, consignment terms; break out between new, refurbished, remanufactured, repaired and salvaged equipmentContracts in place Economic structure, including any risk share arrangementsCertification levels (if applicable)For equipment and parts sourced directly by the Company through an OEM or distributor, describe:Services provided / equipment sourced; break out between new, refurbished, remanufactured, repaired and salvaged equipmentContracts in place Economic structure, including any risk share arrangementsCertification levels (if applicable)Relationship strength
  • ASURION QUESTION #3With respect to the Company’s repair operations, please discuss the following for both in-warranty and out-of-warranty repairs:Describe your financial model for repairs and how it differs (or not) by Material Logistics CustomerDescribe repair capabilities and capacityList sources of equipment to be repairedDescribe the decision process on when to repair a device and when it is beyond economic repair (“BER”)Percentage of returned devices that are repaired, remanufactured and/or re-flashed Number of in house repairs per month by repair level by device by Material Logistics CustomerPercentage of repairs handled off or near shore versus domesticallyNumber of third party repairs per month by repair level by device by Material Logistics Customer that are managed by the CompanyDisposal process for devices that are BERProcess for re-introducing remanufactured devices into the system by Material Logistics CustomerOut of total in-warranty and out-of-warranty advanced shipped equipment by the Company to consumers, provide the percentage of original damaged or malfunctioned equipment returned to the Company from consumersList of OEM Certifications, describing rights granted and any change of control or other contingencies. For each, indicate whether or not the Company owns the certificate, and if not, what entity doesReimbursement process with OEMs
  • ASURION QUESTION #4Discuss each of the Company’s relationships with transportation vendors (parcel and freight):Services providedContracts in placeEconomic structureAnnual spendRelationship strength

ATCLE Overview ATCLE Overview Presentation Transcript

  • ATC Logistics & Electronics Overview
  • 2
    What We Do
    1. Forward Logistics
    2. Customers / Markets
    Over 61M items shipped annually
    • Direct-to-consumer and bulk fulfillment
    • New and refurbished products
    • Warehouse and inventory management
    • Labeling, kitting, pick-pack and light assembly
    • Limited break-bulk and cross-dock activities
    • Wireless
    • GPS
    • Broadband & Cable
    • Auto Electronics
    • Emerging Devices
    Value-Added Services
    • Specialized technology
    • Testing and sorting
    • Quality inspection
    • Return product inspection
    • Packaging
    • Transportation management
    • FTZ
    3. Reverse Logistics
    Outbound Finished Goods
    • OE quality and specification
    • Direct consumer and retailer returns
    • Asset recovery and disposition
    • Sustainability programs
    4. Test / Repair / Refurbish
    Over 6M items repaired annually
    • Electronics diagnostics
    • Repairs
    16M items returned annually
    We Decrease Time, Cost ,and Capital for Customers
    by Fully Integrating Their Supply Chain
  • Focus on Operational Excellence
    Lean / Continuous Improvement
    Cost-Out Action Plan
    9 Six Sigma Black Belts
    11 Six Sigma Green Belts
    • Assigned “owners” throughout organization
    • Focus on (i) productivity improvement, (ii) E&O reductions and (iii) employee mix / efficiency savings
    • Cost-out programs have delivered $35 million in savings since 2006
    Commitment to Quality
    Rigorous performance measurement
    Multi-layered approach to security and loss prevention
    Selected Certifications
    • ISO 9001: 2008 and TL 9000 Quality Management System
    • C-TPAT certified
    • J-STD-001-D certified trainers and inspectors
    • 4 RAB Certified Lean ISO Auditors
    • Process Document Control System
    Engineering Expertise
    • Support geographic expansion
    • Expand “green” initiatives
    • Evaluate new service offerings
    • Pieces-per-man-hour cost-outs
    • Create shared service model
    • Test & repair leadership
    • Distribution center layout and design
    Key Areas of Focus / Initiatives
    3
  • Facilities Overview
    Fort Worth and Carrollton, Texas
  • ATCLE Mexico
    Initiated September 2008
    ~70+ total teammates
    67,000 square feet leased (expandable to 203,000 square feet)
    Devices are trucked to Brownsville, transferred across the border to Matamoros, repaired and returned to Fort Worth
    5
    Key Achievements
    Overview
    • Partner with NovaLink
    • 2+ years of successful operation (TomTom)
    • Two shifts
    • Operating at similar superior levels of quality, service and delivery as Fort Worth facilities
    • ISO 9001:2008 certification
    Strong Execution Since Launch…With No Security Issues
  • Forward Logistics
    • High-value, high-velocity serialized environment
    • Over 61M pick, pack and ship transactions annually
    • Customized programs for customers with 10 to 10,000 daily orders
    • Same-day order shipment
    • Key capabilities
    • Warehousing and distribution
    • Direct-to-consumer and bulk (retail) fulfillment
    • E-commerce order fulfillment
    • Forward stocking
    • Warehouse, inventory and order management
    • Vendor-managed inventory (VMI)
    Representative Customers
    6
  • 7
    Kitting and Packaging
    Creative packaging solutions that include labeling, RFID technology and security tagging
    Dedicated forecasting and procurement team
    Critical control points – deliver 0.65% acceptable quality level (AQL)
    Real-time inventory visibility
    Last-minute re-flash for software upgrades
    Customized art cards
    Component sourcing
    Bulk receipt
    Pack-to-order
    Representative Customers
  • Kitting and Packaging Service Offering
    Design
    Corrugate, trays, blisters, collateral material, labels
    Assembly Options
    Manual, semi-automated, or fully automated
    System Integration
    Full work order interface, production initiated W/O, adjustments
    Inventory Ownership
    Packaging elements, accessories and/or devices
    8
  • Kitting and Packaging Design
    Iterative process with the customer
    From scratch, build around device, reverse engineer
    Refurbished product
    Operations owns budget, they desire lowest cost
    Limited graphics and basic materials utilized
    New product
    Battle between operational budget owner and marketing team
    Tend to have very high end “first pass”; end up “in the middle”
    Primary suppliers (source of design options)
    Strong relationships with a variety of suppliers for Corrugate, Plastics, Collateral ,CD’s, etc…
    9
  • Kitting and Packaging Assembly
    Automated or semi-automated
    Utilized for long term engagements, consistent configurations, sealing required and high volume runs
    Box erectors, conveyance, check weigher, wrappers
    Manual
    Utilized for projects and programs with uncertain volumes with no minimum commitments
    Cell configurations with no fixed infrastructure except power and data
    Refurbishment processes utilize due to very small batches
    Other related capabilities
    High speed collateral “stuffer”
    Parts bagger with variable print application
    Next step technology
    Robotic placement
    Palletizers
    10
  • Reverse Logistics
    11
    • Inspection, qualification and tracking of returned item from customer to conclusion
    • Order and returns management
    • Claims processing and data collections
    • Billing, credit, and collections
    • Advanced exchange and post exchange
    • Returns inspection
    • Over 16M items processed annually
    • Materials management / parts fulfillment expertise
    • Proven process for forecasting, sourcing, receiving, consumption, and inventory cycle counting
    • Annually source and manage over $100M in parts
    Asset Recovery Drives Value to Customers
    Reclaim over 95% of product that was previously landfill bound
    Warranty and non-warranty parts
    Recall management
    Recycling and waste management
    Green solutions
    Representative Customers
  • 12
    Test and Repair
    • Board and component-level repair and testing solutions
    • Capabilities include
    • Diagnostics and failure analysis
    • Triage
    • No trouble found (“NTF”) return minimization
    • Contract and repair services and logistics
    • Refurbishment
    • Reconfiguration and programming
    • Repair center management
    • Procure OEM-certified repair parts
    • Technical support
    • Over 6M devices processed annually
    • Represents 40% - 45% of all devices returned through ATCLE
    Representative Customers
  • OEM Relationships
    • Nokia
    • Motorola
    • LG Electronics
    • Palm
    • Samsung
    • Sierra Wireless
    • Sony-Ericsson
    • HTC
    • Apple
    • Option Wireless
    • PCD
  • 14
    Value-Added Services
    • Broad range of services for complete integration and continuous improvement
    • Quality management
    • Facility planning and management
    • Procurement services
    • Robust IT architecture and solutions
    • Web-based
    • Real-time visibility
    • Daily dashboard of KPIs and metrics
    • Forecasting and planning
    • Data warehousing
    • Comprehensive reports
    • Over 110M transactions annually
    Representative Customers
    • ATC Logistics & Electronics is experienced in parts management
    • Annually manage over $120M in parts
    • Parts fulfillment for multiple OEMs
    • Proven process for
    • Forecasting
    • Receiving
    • Consumption
    • Inventory cycle counting
    • Demonstrative compliance with ESD
    • On-going collaboration with clients to reduce and standardize packaging
    15
    Materials Management
  • 16
    Transportation Management
    • ATCLE provides truckload and less-than-truckload transportation management services, including freight optimization on small parcel as well as LTL and FTL shipments
    • Our internal transportation department collaborates with our operations team to ensure alignment between what has been forecasted versus historic actual movements for proper resource utilization
    • The transportation management software we employ (Lean Logistics) systematically assists our team from the planning through execution providing rate shopping, load optimization, in-transit updates, and full transparency (reporting), based on your requirements
    • ATCLE contracts with Newgistics to provide reverse transportation services, intercepting and consolidating returns and transporting the returns back to ATCLE’s centralized returns center in the most efficient and cost-effective manner
    • FedEx and UPS (small parcel express and ground carriers) are on-site
    • ATCLE has later cut-off times with FedEx and UPS as their associates seal their airline containers on-site
    • With our proximity to DFW International airport, our associates are able to maximize production proficiency in order to get product out
  • Overview
    ATCLE maintains relationships with a blend of certified diversity suppliers and partners to supplement the services provided to our clients. These suppliers deliver their specific services to the same exceptional values that we utilize for internal operations.
    • ATCLE provides
    • The forecasting, evaluation, and demand planning on behalf of our clients. This includes completing the analytical processes, determining order quantities and delivery dates
    • We manage these suppliers directly, making the supplier invisible to our clients
    • ATCLE provides diversity supplier with daily receipt reports
    • Each specific diversity supplier collaborates with ATCLE to process orders, feed information back to our demand planning system, and confirms all POs with approved supplier base
    • Our diversity supplier works all invoice discrepancies and processes necessary RMA’s and credit memos (as needed)
    • Additionally our diversity supplier reports on SLA’s (PO TAT, invoice discrepancy TAT, etc) and on overall performance
    Benefits
    • Facilitates the OEM’s Diversity Spend requirements with Carriers
    • Contractual Agreement between OEM and ATCLE, making the diversity supplier is invisible
    17
    Diversity Spend
  • 18
    PURCHASING
    INVENTORY
    SALES ORDERS
    RETURNS
    INVENTORY
    SALES ORDERS
    RETURNS
    Information Technology Overview
    ATCLE
    EAI Layer
    Transportation
    Carriers
    Client’s Systems
    ERP/Order Management
    ATCLE
    Application Suite
    EDI
    FTP
    XML
    Web Services
    Messaging
    • E-Business Suite
    • Financials
    • Purchasing
    • Order Management
    • Inventory
    • Demand Planning
    • WMS
    • Inventory Control
    • Receiving
    • Fulfillments and Returns
    • Test & Repair
    • TMS
    ORACLE 11i
    IBM Websphere
    SAP
    ORACLE
    J.D. EDWARDS
    LEGACY
    ECOMMERCE
    PURCHASING
    Red Prairie
    LeanLogistics
    Hyperion
    Host Analytics
    Ongoing Upgrades and Maintenance of Software Applications and Hardware Platform
    Provides the Backbone of Our Custom IT Offering
    • Secure role-based supply chain web-visibility tool
    • Fully integrated to RedPrairie Warehouse Management System providing “cradle-to-grave” order lifecycle management
    • Complete real-time production and archive transaction visibility for serialized and non-serialized product:
    • Inventory position and status by part number
    • Purchase orders and receipts
    • Sales orders and shipments
    • Return material authorizations andreceipts
    • Return to supplier orders
    • Work orders and completions
    • Logistics reporting (business objects)
    • Transportation carrier tracking
    • Online custom user guide
    19
    Systems - Logistics Execution Nervous System (LENS)
  • Business Objects
    Provides the ability to transform, control, and deliver secure business information in a variety of formats accessible via the Web for customers
    Summary Shipping Trend Report Sample with Change Over Time Information
    Value-add Allowing Customer Access to Information with the Ability to Trend/
    Reformat/Drill Down While Maintaining Control and Removing Dependency on IT.
    20
  • Security and Loss Prevention – Multi Layered Approach
    • State-of-the-art technology
    • Access controls, Burglar alarm, and cameras electronically secure the facilities
    • Burglar and fire alarms monitored remotely by ADT
    • Centrally monitored inventory and personnel egress/ingress points using IP based video and access-system controls
    • Shipping and receiving activities controlled and monitored via secured truck yards
    • Procedures
    • All visitors pre-screened and recorded upon entry or exit
    • Phones, laptop, bag check
    • Safety culture
    • Security Staffing
    • Industry-certified management (ASIS)
    • On-site guard service 24x7x365
    • Formal training, and auditing programs for allguard service employees
    21
  • by
    22
    Partial List of Clients
    • Fulfillment
    • Same day order shipment
    • Over 61 million pick, pack, and ship transactions annually for companies with 10 to 100,000 daily orders
    • Reverse Logistics
    • Over 16 million items processed annually
    • Test and Repair
    • Over 6 million devices annually
    • Kitting and Packaging
    • Over 12 million pieces annually
    • Value-Added Services
    • Over 110 million transactions annually
    • Inventory Throughput
    • More than $5 billion annually
    • Materials Management
    • Manage over $100 million in parts annually
    • Asset Recovery
    • ATCLE’s process recycles an astounding 95% of all materials
    23
    Proven Performance