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  • 1. Ryder System, Inc. Supply Chain Solutions 1
  • 2. SUPPLY CHAIN SOLUTIONS OVERVIEW 2011 Revenue SCS Customer Profile Supply Chain $1.61 Billion Dedicated Contract Carriage $601 Million Hi-Tech/Elec Headquarters Miami Auto/Aero CPG Canada Toronto Asia Shanghai Industrial Retail Mexico Mexico City Other London Food/ SCS Client Accounts 852 Bev Retail Total Distribution Footprint 30+ Million SF Freight Under Management $314.5 Mllion CPG Carriers Under Contract 1,700 Segment Service Composition Composition 2 2
  • 3. WHO WE WORK WITH :: RETAIL VERTICAL Ryder serves a diverse collection of retailers in various channels including mass merchants, grocers and specialty retail. We are proud to support some of the biggest retail brands in the world...all over the world. We also support: Lacks Home Furnshings | La Vie en Rose | RICKI’s | Cleo | The Bargain Shop Reitmans | BootLegger | Prime Source | United Stationers | Atwoods 3
  • 4. WHO WE WORK WITH :: CPG VERTICAL Ryder provide distribution and transportation solutions to a wide variety of the worlds leading consumer goods companies, including manufacturers and retailers of personal care, household, and food and beverage products. We also support: Delphi Corporation | Domino’s Pizza | Dr. Pepper Snapple Group | Reckitt Benckiser Georgia-Pacific | Gerber | Johnsonville Sausage | Cargill | Nestle 4
  • 5. WHO WE WORK WITH :: HIGH TECH/ELECTRONICSRyder serves a diverse collection of electronics manufacturers and retailers invarious channels . We are proud to support some of the biggest consumerand retail brands in the world.We also support: Delivering to other Top Retailers:Lexmark | Cisco Systems | Pilot Pen Best Buy | Wal-Mart | BrandsmartUSA | The Home Depot | Do It Best Toys ‘R Us | Foot Locker | Sav-A-Lot | Men’s Warehouse | Roots Eddie Bauer | Jacob | Club Monaco 5
  • 6. CLIENT & INDUSTRY RECOGNITIONWidely recognized as a leading provider of logistics services, Ryder’s experience andexpertise encompasses small and large companies in virtually every industry. Ryder hasearned a reputation for world-class execution and innovation. CLIENTS INDUSTRY TECH/OTHER Inbound Logistics Magazine Cisco  #1 3PL Provider - 2007 to 2010 InformationWeek 500  Supplier of the Year – 2010, 2011  Leading Business User of Information  Best 3PL Provider - 11 consecutive Best Service Logistics Supplier - Technology - 8 consecutive years years 2011  Top 25 Greenest Logistics Providers - Forbes PepsiCo  Best Big Companies in America - 2008 2009-2010  Supply Chain Q2 Warehouse Excellence – 2010 Black Enterprise Fortune Magazine  Most Admired Companies -  40 Best Companies for Diversity - Domino’s Pizza 2008 10 consecutive years  Supply Partner Award – 2011 SupplyChainBrain Computerworld General Motors  100 Great Supply Chain Partners  Top 12 Green Users - 2008  Supplier of the Year – 2007, 2009, – 2010, 2011 2011 Security Magazine Logistics Management  Security 500 - 2 consecutive years Toyota  Quest for Quality Award – 2009, 2010, Supplier Diversity Award – 2012 2011 Carrier of the Year - 2011 Food Logistics Magazine  Top 70 3PL – 2009, 2011 6
  • 7. RYDER’S PORTFOLIO OF SERVICES ORIGIN/DESTINA TIOTRANSPORTATION DISTR IBUTION SUPPLY CHAIN N » Global Transportation » Order Fulfillment » Vendor & PO » Control Tower for end- Management to-end supply chain Management » Kitting, Packaging & management » Dedicated Contract Assembly » Freight Consolidation » Solutions Engineering Carriage » Inbound Materials » Store-ready Pallet » Strategic Management Construction Consulting/Decision » Shipment Planning & Execution » Value-added Services Support » Vendor Managed Inventory (Price Tagging, » Network Modeling » Freight Procurement & & Optimization Bundling) Contract Management » Reverse Logistics » Total Landed Cost » Deconsolidation Services » DC BypassIT SOLUTIONS» Warehouse & Transportation Management » Inventory & Shipment Visibility Tools » Network Optimization Models Systems 7
  • 8. Services & Solutions 8
  • 9. GLOBAL TRANSPORTATION MANAGEMENTRyder currently manages in excess of $4.3 Billion in annual transportationmovement through our suite of services. We manage over 9 million shipmentsthrough 5 global control towers and a network of 1,700 carriers. Nuevo Laredo, MexicoFull Service Management PLA N PROCURE EXECUTE Nuevo Laredo, Mexico » Network Design » Select Carriers » Load Planning » Optimal Shipment Planning » Procure Carrier » Tender & Accept Commitments » Mode Optimization » Control Movements » Carrier Contract Management Hong Kong, China Fort Worth, Texas 9
  • 10. DEDICATED CONTRACT CARRIAGEDedicated Contract Carriage (DCC) is composed of a variety of transportation solutionsform solely providing truck drivers and equipment, through complete administration andmanagement of goods transport. Our 650 dedicated fleets and 900 maintenance facilitiesprovide industry leading coverage throughout North America.Turnkey Transportation SolutionSERVICE PROCESS SYSTEMS Preventative Maintenance» Onsite Fleet » Proven Safety » Web Visibility Management, Dispatch Program and Administration » GPS Tracking » Continuous » Electronic Dispatch» Driver Hiring, Training, Testing and Improvement Culture » Onboard Compensation Communications» Programmed Preventative Integrated with Mfg Maintenance & Distribution Onboard Computers 10
  • 11. DISTRIBUTION & VALUE-ADDED SERVICESRyder’s North American distribution solutions include the design, implementation, andmanagement of warehouse operations and the distribution of products in and out ofthese warehouses. Services include:Warehouse Facilities Management – Services associatedwith the operation of a warehouse facility. Value AddedCross-Docking – Management of continuous product flow Services:through a warehouse that typically never enteres a storage » Product Customization &location. Testing » KittingVendor Managed Inventory (VMI) – management of a shared » Bundling/Unbundlingwarehouse facility where multiple vendors store product for » Sequencing & Line-sideone client. Assembly » Sort & RecycleMulti-Client/Shared Facilities – Management of a facility » Returns Managementshared by multiple clients. » Inventory ManagementFacility Design/Network Design & Planning – Design of one, » And many more..or a network of, new or existing warehouse locations. 11
  • 12. ASIA ORIGIN SERVICES Ryder operates an extensive logistics networkTo N. America throughout Asia to serve our clients. With more than 30 years of expertise through our CRSA Logistics and Ryder Container Terminal operations, we offer a wide range of services: » Vendor & PO Management » Freight consolidation » Container stuffing » Store-ready pallets » Value-added services (e.g. price tagging and garments-on-hanger) Price Tagging Store ready pallets Freight consolidation 12
  • 13. NORTH AMERICA DESTINATION SERVICES Ryder operates both multi-client and client-specific solutions for some of North Americas largest and most complex Retail/CPG companies. Transload to Deconsolidation to DC Service LTL/FTL to Store/DC Our NAFTA-wide network ensures seamless cross border flow and timely product arrival for our Container Inbound Raw Materials to Land-Bridge Manufacturing clients. Services include: » Port Drayage » Cross Docking » Deconsolidation » Retail Configuration » DC Bypass » Postponement ia As m Fro Pick-Pack Operation Central IndianaDeconsolidation FacilityVancouver, British Columbia Multi-client Facility Mexico 13 13
  • 14. RYDER’S END-TO-END SOLUTION Ryder’s global supply chain capabilities provide our clients with the opportunity to select and bundle services for seamless supply chain activities. Eliminate third party hand-offs, lost visibility and multiple parties to manage.Bundled Services » Vendor & PO Management » Packaging & Consolidation » International Transportation » Deconsolidation & Transloading » Domestic Transportation » Last Mile Delivery Proprietary and Confidential | 14
  • 15. PERFORMANCE MANAGEMENT People Involvement (PI)Five LEAN guiding principles govern every activity we » People at all levels feel they are important team membersconduct in our own and our customers warehouses. These » Empowered to make decisions on how their job is performedprinciples allow us to find efficiencies and root out waste » Held accountable for decisionsto improve customer satisfaction and reduce costs. Continuous Improvement (CI) » Every aspect of business is challenged to get better » Good yesterday  improved for acceptable today LEAN GUIDING PRINCIPLES Short Lead Time (SLT) » Reduce the time it takes to complete a task » Eliminate waste from every process step Built-In Quality (BIQ) » Do it right the first time » Eliminates costly reworks and downstream quality inspections Standardization (S) » Document work processes/best practices » Use standard operating procedures to train new employees » Act as baseline for continuous improvement 15
  • 16. EXECUTION IS EVERYTHINGWhen it comes to your supply chain,it isn’t enough to understandlogistics –Execution is Everything. 16
  • 17. For more information on Supply Chain Solutions, visit our website at: www.RyderSCS.com

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