Introduction to SCI Group
Roger Champagne
Director, Business Development
(450) 661-8300 extension 8312

Logistics Outsourcing Defined …
Logistics Outsourcing
A business strategy to improve business
performance which leverages the
competencies, business processes, internal
controls and other enterprise assets

Logistics outsourcing has evolved responding to
the changing business priorities …
Evolving Industry Return On Capital New Regulatory Internal Business
Dynamics Pressures Requirements Pressures
• Margin pressures • Internal competition • Sarbanes-Oxley / C- • Ever increasing
from competitors for limited 198 pressure for
• New security
with new business investment dollars services
models… offshore • Previous investment customization from
requirements add
manufacturing internal customers
decisions limit unforeseen costs of
• High fixed costs • Major workforce
flexibility doing business
• Many companies • Requires new
compared to productivity issues
• Inability to influence
competitors are reaching the capabilities and new
• Limited available diminishing returns learning curve union
• More robust
capital for services with internal re-
renewal engineering / infrastructures are
automation required

SCI Logistics Company Background
We help our clients
Canada’s premier A disciplined
drive greater business
logistics outsourcing approach to realizing
efficiency
partner value
• Revenues: 140 M$ • Focus: Deep supply • Industry focus
(2007) chain expertise and Progistix Assured
• Employees: 1000 + industry knowledge Logistics, AMG
• Network coverage: 12 Logistics.
• Integrated services
• Demonstrated
Distribution Centers,
within the Canada
19 high-availability methodology, proven
Post Group of
parts depots success
Companies
• World-class • Relationship
• « Fortune 500 » client
technology governance model
list
infrastructure powered ensures supply chain
• Annual Customer
by SAP activities are aligned
Satisfaction Index
• Strong Enterprise
(CSI) above industry
Application Integration
averages

Industry specialization within our company
subsidiaries …
Retail fulfillment
 Fulfillment services for consumers and
business
 Online and bricks & mortar
 Merchandise returns
Service Supply Chain
 Finished goods distribution
 Technician fulfillment services
 Network build support
 Reverse logistics
Transportation
 High-Value Transportation
 Transportation Management Services
5

… offering solutions tailored to help solve
specific industry problems.
Industries served
 Communications
 Retail
 Home Improvement
 High Tech
 After Market / Spares
 Financial Services
 Health Care
6

Added value as perceived by our clients
• Focus on the Canadian marketplace, local expertise & decision-
making
• Multi-industry supply chain & logistics experience
• Realistic, pragmatic approach to logistics outsourcing
• Hands-on experience in operational environments & client integration
processes
• Long lasting client relations
7

Our logistics services ensure on-going
operational benefits …
• Goods Receipt • Network Design • Return
Order Fulfillment
Service Supply Chain
Logistics
Reverse Logistics
• Warehousing & • Parts Planning Delivery
• Call Back
• Critical Parts
Storage
• Value Added Campaign
Service Network
• Warranty
• Service Parts
Services
• Cross-Docking / Management
Fulfillment
• Refurbish, Test &
• Emergency
Flow Through
• Merchandise Upgrade
Response
• Repairs
• Bilingual Call
Distribution
• Fulfillment Processing
Center Services
Visibility &
Tracking

Information Technology: An Integral Part Of Our
Supply Chain Solutions.
Optimization
• Leading enterprise-wide technologies
for order fulfillment, transportation
management and, distribution or
warehouse management.
Connectivity
• Industry leading middleware enables
the integration of organizations and
other supply chain.
Visibility
• Our customers can manage the flow
of products and information in real or
near real-time fashion.

Logistics Outsourcing Improves Business
Performance…
Total supply chain cost reductions
Improved focus on core business
Lower capital investment costs
Improved asset utilization
Increased customer satisfaction
Business process re-design improves supply chain
efficiency
Integrates supply chain partners and delivers
visibility & collaboration

But Successful Outsourcing Begins With
The Client…
Top Factors For Successful Outsourcing
Understanding company goals and objectives
A strategic vision and plan
Selecting the right vendor
Ongoing management of the relationships
A properly structured contract
Senior executive support and involvement
Near term financial justification
Use of outside expertise