Introduction to LeanLogistics

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  • Introduction to LeanLogistics

    1. 1. LeanLogistics: Bringing Innovation to Transportation Management April 2009
    2. 2. Agenda <ul><li>Company </li></ul><ul><li>LeanLogistics’ Network </li></ul><ul><li>On-Demand TMS ® Business Model </li></ul><ul><li>LeanLogistics’ Supply Chain Services </li></ul><ul><li>LeanLogistics’ Solution </li></ul><ul><li>Path to Value </li></ul><ul><li>Client Cases </li></ul><ul><li>Next Steps </li></ul>
    3. 3. Leader in Global Transportation Technology Innovation Tens of Thousands of Users Solutions Transportation Supply Chain Services Network Billions in Spend Thousands of Carriers On-Demand TMS ® Millions of Loads
    4. 4. Powerful Network
    5. 5. Convergence of Technology and Services Network Network Technology We do it for you You do it Services <ul><li>Managed Transportation Services (MTS) </li></ul><ul><li>Freight Optimization Service (FOS) </li></ul><ul><li>Network procurement </li></ul><ul><li>Consulting </li></ul>Managed Services <ul><li>Procurement </li></ul><ul><li>Search / directory </li></ul><ul><li>Analytics / Business Intelligence </li></ul>Platform as a Service <ul><ul><li>On-Demand Transportation Management System (TMS) </li></ul></ul>Software as a Service
    6. 6. Leading Technology
    7. 7. Delivering Benefits <ul><li>On-Demand Provides : </li></ul><ul><ul><li>Access to Latest Technologies </li></ul></ul><ul><ul><li>Access to Most Robust Transportation Information </li></ul></ul><ul><ul><li>Access to Thousands of Carriers and Suppliers </li></ul></ul><ul><li>On-Demand Network Model enables: </li></ul><ul><ul><li>Visibility </li></ul></ul><ul><ul><li>Collaboration </li></ul></ul><ul><ul><li>Benchmarking </li></ul></ul><ul><ul><li>Business Intelligence </li></ul></ul><ul><li>On-Demand provides fastest possible Implementation: </li></ul><ul><ul><li>Limited customization (standardized on best practices); interfaces are only custom development </li></ul></ul><ul><ul><li>No hardware, third-party software, or infrastructure to install </li></ul></ul><ul><ul><li>Reduces deployment costs by 5-10 times; eliminates capital costs </li></ul></ul>Assess & Plan Implement System Live Deploy Financial Return Accelerates ROI through “Pay as you go” model 1 2 3 4 5 6 7 8 10 9 11 12
    8. 8. Supply Chain Services <ul><li>Managed Services </li></ul><ul><ul><li>Business Process Outsourcing </li></ul></ul><ul><ul><li>Customer retains Carrier Relationships; Command and Control </li></ul></ul><ul><li>Procurement & Benchmarking </li></ul><ul><li>Examine lanes and rates </li></ul><ul><li>Benchmark your network against our On-Demand TMS ® network </li></ul><ul><li>Identify procurement opportunities and out-of-tolerance conditions </li></ul><ul><li>Freight Optimization </li></ul><ul><ul><li>Provides shippers with guaranteed capacity </li></ul></ul><ul><ul><li>Provides the benefits of a dedicated fleet </li></ul></ul><ul><ul><li>Assures carriers a predictable core business </li></ul></ul><ul><ul><li>  </li></ul></ul>
    9. 9. Network Service Solution The ultimate solution is the convergence of technology and process management MANAGED TRANSPORTATION INSTALLED SOFTWARE
    10. 10. Creating a Path to Value On-Demand TMS ® Best Practices Services Network Visibility Value
    11. 11. Thank You
    12. 12. Client Cases
    13. 13. Client Cases Business Driver: Capacity issues due to HOS Solution: Implemented “Carrier Friendly” system Benefits: Avoids last-minute premium freight Provides better fulfillment, lowers costs, operates efficiently Saves 5% to 10% of Freight Bill 25 <ul><li>Business Driver: </li></ul><ul><li>16 independent locations; no sharing carrier capacity/networks or enterprise visibility </li></ul><ul><li>Solution: </li></ul><ul><li>Implemented “Command Center” operation </li></ul><ul><li>Centralized procurement, planning, settlement </li></ul><ul><li>Shared shipping schedules creates continuous move opportunities </li></ul><ul><li>Benefits: </li></ul><ul><li>Reduced transportation spend 8% over multi-year period </li></ul>Business Driver: No control of, or visibility to, inbound orders Solution: Implemented Supplier Inbound Management Benefits: Saved 5% to 8% of Freight Bill Reduced inventory and stock outages Gained proactive information on issues; scorecard on Vendor performance Business Driver: Increase Service Levels Solution: Implemented Supply Chain Monitor Benefits: Proactively identify defects; remedies issues Provides up-front communications to customer of impending outage Aligns transportation and customer service promises to lower costs Finding Capacity Increasing Visibility Centralizing Control Controlling Inbound
    14. 14. Client Cases <ul><li>Business Driver: </li></ul><ul><li>16 locations; labor-intense; complex workflow </li></ul><ul><li>Solution: WebSettle ® Business Process </li></ul><ul><li>Audit-quality rate developed at tender; Delivery confirmation authorizes payment </li></ul><ul><li>Shared shipping schedules creates continuous move opportunities </li></ul><ul><li>Benefits: </li></ul><ul><li>Greatly reduced A/P processing; increased control </li></ul><ul><li>$8M saved over 2 years </li></ul><ul><li>Business Driver: </li></ul><ul><li>Capacity issues due to Hours of Service; visibility issues </li></ul><ul><li>Solution: </li></ul><ul><li>Forecasting; Carrier Friendly Best Practices </li></ul><ul><li>Benefits: </li></ul><ul><li>Implemented 6 DCs, 3 plants in 10 weeks </li></ul><ul><li>Decreased tender reject rate by 50% </li></ul><ul><li>Provided better fulfillment, lowered costs, handled volume spikes </li></ul><ul><li>Saved potential Freight Bill increases </li></ul><ul><li>Business Driver: </li></ul><ul><li>No control of, or visibility to inbound orders </li></ul><ul><li>Solution : </li></ul><ul><li>Supplier Inbound Management (ready-to-ship) </li></ul><ul><li>Benefits: </li></ul><ul><li>Saved 6% to 8% of Freight Bill </li></ul><ul><ul><li>Ace - $1.1M in one lane alone </li></ul></ul><ul><li>Reduced inventory & stock outages (as much as 20%) </li></ul><ul><li>Gained proactive information on issues; scorecards on Suppliers/Carriers performance </li></ul><ul><li>Implemented 14 DCs; > 1000 Suppliers in 9 months </li></ul>Controlling Inbound Settlement <ul><li>Business Driver: </li></ul><ul><li>Improve On-time Performance Levels </li></ul><ul><li>Solution: </li></ul><ul><li>Supply Chain Monitor & Continuous Improvement </li></ul><ul><li>Benefits: </li></ul><ul><li>Proactively identified defects; remedied issues </li></ul><ul><li>Aligned transportation/customer service promises to lower costs </li></ul><ul><li>Increased On-time delivery 3% (94  97%) </li></ul>Performance Improvement Route Guide Compliance

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