Supply Chain Solutions 2010 Capabilities

Supply Chain Solutions
Creating Business Value

www.scsolutionsinc.com

Market Challenge
From Your Raw Materials
Suppliers, Through
Production And Inventory, To
Your End Customers,
Your Supply Chain Is Your
Company's Lifeline.


Supply & Demand

Market Response
Make Your Supply Chain
More Efficient And
More Responsive, And You
Can Actually Improve
Customer Service While
You're Cutting Costs.


The Solutions
Demand More From Your Supply Chain

SCS's Supply Chain Management
Experts Can Streamline Your Supply
Chain, From End To End, To Improve
Your Competitive Position.


Who We Are
SCS is a global provider in logistics and supply chain solutions
Year Business Started 2001
Revenue $17 million
Number of Clients Worldwide 250
Employees 102
Country Presence 40+
Locations Worldwide 7
Freight Under Management $32 Million
Carriers Under Contract 100
Distribution Centers Managed 6


Our Mission
Supply Chain Solutions: Creating Business Value
Supply Chain Solutions, Inc. was founded on the understanding
that many organizations aspire to implement effective supply
chain improvements, quickly and affordably. Long, drawn out
analysis and intricate strategies that are not aligned with overall
business goals, can result in unaffordable, complex solutions
that do not deliver true value. We create measurable business
value and generate profits for our clients through assessment,
design, implementation and management of end-to-end
integrated supply chain solutions.


Industries We Serve

Aerospace Manufacturing Automotive Retail


Why Partner With SCS


People
The Right People For The Right Job
– Some of the industry’s best recognized
logistics & transportation experts
– Proven team approach provides quality
solutions

Industry Expertise
– Serving clients throughout a wide range
of industry channels.


Open Book Policy
SCS’s Open Book TM Solution

Our Open Book Transportation Management
Solution” is a very simple idea. Show a company
each and every freight bill after auditing. No Smoke
and Mirrors. Show them the best carriers, negotiate
the best rates and give our customers our negotiated
cost and a management fee. Every item is
transparent to our customers so they know they are
getting the very best pricing each and every time we
arrange a shipment.


Operational Know-How
• Best Practices Learned Across A Wide
Range Of Industries And Company Sizes
– Proven practices in some industries can be
innovative in others
• Integrated Solutions Assure Information
Flow And Operating Efficiencies All Across
Your Supply Chain
• Dynamic Processes Are Flexible To Meet
Changing Needs Within Your Organization
• Comprehensive Safety, Health &
Compliance Procedures


Committed to Customer Service
We're Organized Around Our Customers, With A
Culture Of Quality And Continuous Improvement

Committed To Helping Our Customers Exceed
Expectations of Their Customers

Tracking Key Measures Of Performance and
Continuous Improvement Processes Ensure
High Levels of Customer Satisfaction


Cutting Edge Information Technology
• Electronic Communications Via Web And EDI Allow
For Seamless Integration With Your Systems
– Management & operational reporting
– Flexible billing & invoicing

• Web-Enabled Applications World Class Decision Support And Execution Software
– Supplier Connection – Shipment Planning & Execution System Manages
– Track & Trace allows supply Transportation Solutions:
chain visibility 24/7 • Selects carriers/modes/routes and audits bills
– Suite of tools to support Supply – Just In Time Delivery
chain visibility and integration. • Plans and monitors routing, scheduling, tracking,
– Freight Matching And Tendering asset utilization, etc.
System
– Distribution Management System
– Asset Management
• Uses computer-based modeling to optimize network
– Sourcing
– Risk Mitigation


Marketplace Challenges


Top Goals for Supply Chain Management
CEO’s Believe Supply Chain Integration Has Increasingly Become Critical To Their
Business Performance, And The Trend is Expected To Continue In The Future

Supply Chain Integration Critical to Business 80%
Performance

Logistics Impact Critical to Business 60%
Performance in Past 3 Years

Logistics Impact Critical to Business Performance in Next 3 83%
Years

Source: CEO Magazine Survey, October, 2008


Top Goals for Supply Chain Management
CEO’s Look Toward Their Supply Chain To Increase Customer Satisfaction While
Cutting Costs - Helping Them Gain A Competitive Edge In The Marketplace

Increasing Customer Satisfactions 88%

Reducing Total Costs 86%

Gaining a Competitive Advantage 85%

Source: CEO Magazine Survey, October, 2008


Key Factors Impacting Business
Managing The Supply Chain Function Through Information Technology Is A Top
Concern Among Today's Successful Business Managers.

Pressure to Reduce Costs 79%

Emphasis on Improved Supply Chain Mgmt. 66%

Implementation of New Technologies 56%

Rapidly Accelerating New Product Introduction 51%

Source: ”Third Party Diagnostics Services, View from Customers, University of Tennessee, 2008 Study


Conquer Challenges
SCS Brings Together an Optimum
Combination of Transportation &
Logistics Resources that Examines
Each Client’s Individual needs to
Help Conquer Today’s
Marketplace Challenges


Needs-Based Approach – Financial Management
• Manage cash flow
SCS’s needs-based approach • Improve tax position
• Maximize stakeholder’s
examines solutions that can help returns
– Business Strategy
– Efficient Operations • Business growth
• Optimize inventory deployment • Improve customer loyalty
• Manage business fluctuations • Stay ahead of
– Human Resources competition
• Source, hire, train & retain – Customer Satisfaction
knowledgeable workforce
• Be flexible & responsive
– Risk Management
• Build stronger
• Shift/reduce exposure in the relationships
workplace, on the road, to the
environment


Global Networks


Solutions Strategies


Our Capabilities SCS's Logistics And Transportation Solutions Service Areas


Transportation Management


Transportation Management Solutions

SCS’s End to End Solution


Dedicated Contract Carriage
• SCS Dedicated Contract Carriage: A
turnkey transportation service, from
drivers and equipment to complete
administration and management.
– Routing and scheduling design
– Asset utilization analysis
– Onboard computers
– Managing the Driver hiring, training,
testing, compensation and supervision
– Fleet operations management and
supervision


Global TMS Solutions
Whether you ship by road, air, sea or rail,
Transportation Management Services
optimizes the flow of your domestic and
international freight to meet your customer service
goals, while minimizing your transportation costs.

• SCS accomplishes this through…
– Network Consulting
– Carrier Procurement
– Shipment Planning & Execution
– Freight Bill Audit & Payment



Carrier Procurement
Carrier Procurement: determines
the best modes and carriers for
each shipment. Includes:
– Rate and Service Negotiation
– Customs Brokerage
– Freight Forwarding


Network Consulting
Network Consulting improves your Supply
Chain’s performance by evaluating your:

– Transportation Process Design
– Mode & Route Optimization
– Asset Utilization
– Inventory / Transportation Trade-offs
– Cycle Time
– Technology



Shipment Planning & Execution
Shipment Planning & Execution: optimizes the
transportation of your freight.

Enabled by the latest technology, SCS:
– Aggregates orders into loads
– Consolidates shipments
– Select routes and carriers
– Dispatches, tracks & confirms delivery with full
documentation and freight visibility
– Provides customized management reports

Freight Bill Audit & Payment
– Consolidates and pays your multiple freight
charges, leaving you with one audited invoice


Benefits
Improves your customer service Assures you the most reliable and cost-effective
Simplifies operations management transportation service across your supply chain by:
Supports business growth strategy – Improving management control and customer service
Improves risk management while minimizing inventory and controlling costs
– Dynamic processes coupled with freight visibility help
Improves financial management you reduce cycle time and meet critical customer
demands
Simplifies human resource management
– Management reporting fosters continuous
improvements in service and cost
– Capturing new market and sudden business demand
opportunities


iCap Consulting Services


iCap Consulting Services
Our team of iCap associatesare experts in their fields. By utilizing our
experts, your organization can drive supply chain improvements without the
disruption of reallocating or training internal resources.

The “on-the-ground” operational experience and tactical expertise to create
and implement strategy. Our engagement will produce an implementation
plan with actionable steps and defined metrics to measure your success.

SCS works with organizations of all size and across many diverse industries.
Our experience with a diverse clientele provides us the background
knowledge to set benchmarks which are achievable for your company size
and industry.

Whether your needs are in Sourcing, Inventory Management, Transportation,
Logistics, or Technology, we can help drive supply chain improvements.


Warehouse Assessment
Our Warehouse Assessment service evaluates your warehouse
operations, identifies areas with improvement potential, and prioritizes
those opportunities to push the greatest savings forward first.

Areas of analysis include:
•Current business processes
•Information Technology Systems
•Material Flow
•Layout efficiency
•Inventory slotting
•Labor efficiency
•Material handling methods
•Performance metrics

We compare these areas to best practices and industry benchmarks.
From there we’ll create a road map to help your operations reach their
full potential.


Transportation Assessment
Transportation Assessment service evaluates your transportation
operations, identifies areas with improvement potential, and prioritizes
those opportunities offering the biggest return on investment.

Areas of Assessment Include:
•Current business processes
•Information technology systems
•Carrier strategy
•Mode utilization
•Cost rates
•Service metrics

We will create a roadmap to help your operations reach their full
potential and optimize your transportation spend.


Network Modeling
Our Network Modeling services will evaluate the cost and service
effectiveness of your current network for the business you have now and
the business you expect to have in the future.

Scenarios that necessitate Network Modeling services include:
• Significant business restructuring or changes
• Shifting the sourcing of materials to different suppliers
• Moving into new markets
• Change in manufacturing strategy
• Merged with or acquired competitors in your industry

All of these situations have significant impacts on your supply,
manufacturing, and distribution network We will evaluate alternative
network structures and recommend a solution that best serves your
customers while minimizing the total landed cost of getting your products
into their hands.


Lean Materials Management
Regardless of where you are on your Lean journey, our Lean Logistics experts can
help. We can introduce you to Lean principles, train your organization on how to
utilize lean tools and techniques, facilitate Value Stream Mapping sessions with cross
functional teams to pinpoint barriers to your optimal performance and otherwise help
you make Lean principles work for your business.

Whether you wish to cut operating costs, reduce working capital, streamline
processes, or eliminate waste, our Lean experts can help you educate your
organization and arm them with the tools and techniques to continuously drive
improvement.

Lean Materials Management includes:
• Introduction of Lean principles and tools
• Training on how to use in your organization
• Facilitation of Value Stream Mapping sessions
• Eliminate Waste
• Reduce Inventories
• Streamline Processes


Import / Export Assessment
Our experts can help you navigate the business of international trade so
that you take full advantage of the benefits without taking on unknown
costs or unnecessary risks.

Areas of Assessment Include:
•Proper classification of Harmonized Tariff Codes
•International Duties
•INCO Terms
•C-TPAT Programs
•Cost reduction opportunities

Whether it be understanding Harmonized Tariff Codes, international
duties, INCO terms, and C-TPAT requirements, strategizing how to lower
your international transportation costs, or identifying qualified foreign
suppliers to do business with, our experts can help you determine how to
best leverage the global trade environment we live in today.


Distribution Management


Streamline Your Distribution
SCS Distribution Management Services
can handle all or any part of your
transportation, warehousing and
distribution network to deliver the
desired service levels at the lowest
possible cost.

SCS accomplishes this through:
– Network Consulting
– Product Supply
– Product Distribution
– Product Support


Distribution Management Solutions

Network Consulting
SCS Network Consulting: optimizes your
transportation, distribution and inventory
processes at a single site or enterprise-wide.

– Assesses current and new distribution
networks
– Selects facility sites
– Designs the most appropriate facility for
your needs



Product Supply
SCS Product Supply: inbound transportation of
raw materials and/or components to your
plant or assembly line. Can include:

– Order management
– Routing and scheduling
– Cross-docking and flow-through
– Kitting, sequencing, light assembly and
materials replenishment



Product Distribution
SCS Product Distribution
The outbound transportation and distribution of
finished goods.
•Moves your product from manufacturing plant or
assembly line to distribution centers or direct to
retail outlets
•Manages the inventory and operations within
your warehouse, distribution center & cross-dock
facilities using the most appropriate warehouse
management systems

Provides management reporting and inventory
visibility allowing for continuous improvements



Product Support Services
• SCS Product Support: a wide
selection of services, such as
– Spare parts inventory management
– Reverse logistics for returns and
reusable containers


Benefits
Supports your business strategy • Ensures your distribution network operates
Helps you manage risk better efficiently to meet/exceed your customer
service objectives while minimizing asset
Simplifies human resource management expenditures
Facilitates better service to your customers
Helps you manage your finances better – Fast response and accurate fulfillment of dynamic
or scheduled orders
– Reliable product delivery speeds your product to
market
– Flow-through distribution, computerized
tracking, and bar coding cut storage facility costs
– Manage risk though safety training, regulatory
compliance & minimizing lost/damaged products
– 24/7 product visibility inside the warehouse


Taking the waste out of the supply chain can lead to amazing cost savings
and efficiency improvements. Simply put, we help you streamline the
flow of your materials.

Lean Vision and Strategy

Inbound Logistics Analysis and Planning

Lean Supply

Just-in-Time Delivery and Line-Side Delivery

Sub-Assembly and Kitting

Inventory Control, Dunnage Management and Metering Center
Management


Supply Chain Management


Create A Value Chain
SCS Supply Chain Management
streamlines your supply chain by
integrating and managing the end to
end flow of materials, products and
information.

SCS accomplishes this through:
– Supply Chain Consulting
– Integrated Logistics Operations
– Lead Logistics Management


Supply Chain Consulting
SCS Supply Chain Consulting: analyzes your entire
supply chain -- from your suppliers to your
customers -- identifying specific ways to add
quantifiable value to your business.

• SCS end-to-end Value Chain Assessment (VCA)
process:
– In-depth interviews with key personnel
– Utilization of proprietary research to develop new
insights
– Comparisons with the rest of your industry & your
competitors
– Use of Root Cause Analysis to 'map and gap' shortfalls
– Defining actual dollar benefits of closing the “gaps”


Supply Chain Management Solutions

Integrated Logistics Operations
• SCS Integrated Logistics: a comprehensive
outsourcing solution optimizing the functional
components of your business, creating an
integrated, smooth running supply chain

– System-wide engineering of entire product flow
– Asset management for synergy and consolidation
– Transportation management
– Flow-through distribution of raw materials, work-in-
progress and finished products
– Customized performance measurements & reporting



Lead Logistics Management
• SCS Lead Logistics Management: provides
global distribution network capabilities with
comprehensive supply chain solutions, involving
the coordination of all logistics providers in the
network.

– Strategic network service specifications
– Optimizes and coordinates tactical network
– Single point of contact for all logistics services
– Utilizes integrated technology to meet key
performance measures



Benefits
Enhances Your Customer Service Enterprise-wide solutions help you streamline
Simplifies Operational Activities operations, enhance customer service & capitalize
on new opportunities
Better Financial Management
Streamlines Human Resources – Improves both balance sheet & P&L measurements
Management by lowering capital investment & operating
expenses; positive impact on ROA
Complements Business Strategy – Creates competitive advantage through improved
service
– Frees up investment capital & personal time
allowing you to focus on your core business


Strategic Global Sourcing


Global Sourcing
One of the most complex supply chain puzzles is that of figuring out how, when
and from where to buy the components you need to deliver your product or
service to its final destination. The options are endless, but we help you sort
through the maze and make more profitable and effective choices. Includes:

Supplier Relationship Management
We work with your suppliers to align their processes with the needs of your
customers.

Spend Analysis
We look closely at where your supply chain dollars are being spent, and determine
ways to be more efficient with your limited resources.

Total Landed Cost Modeling
We give transparency to each and every cost along the supply chain. This
knowledge arms you to make the best decisions about bringing your product to
market.

Supplier Strategy/Supply Base Analysis
We help you measure the performance of your suppliers, set goals for them, and
monitor their improvements towards meeting your customers’ needs.


Information Technology Management


Information Technology

SCS IT Goal
Overall IT Goal:
Leverage best hybrid applications,
while reducing implementation
timelines and deployment costs for
our clients



SCS IT Strategy
IT Strategy:
Central, secure operations allow multiple
applications to share capacity across
clients

• Impact:
– Reduced implementation time and cost
– Solutions that are repeatable, expandable
– Can be maintained easier and are reliable



SCS IT Strategy
IT Strategy:
Align our “best in class” development
with integrate off-the-shelf
technologies that fit SCS’s business
model and integrate them into current
architecture

• Impact:
– Allows for flexibility and the ability to
embrace new technologies in a fast
paced arena



SCS IT Strategy
IT Strategy:
Implement standard business processes,
methodologies and rigid testing procedures using
global IT infrastructure

• Impact:
– Reduces risk inherent with tight timelines for
implementation
– Ensures smoother start-ups by avoiding known pitfalls
– Seamlessly integrates SCS’s applications and client’s
environment



Planning Supply Chain Planning

Visibility Rendezvous

Integration Boomi

Execution
Ramp Rhythm Paradox Tempo

 EDI Transactions  Shipment Planning  Private Fleet  Scalable WMS
 Web Servers  Dispatching  Dispatch/Asset  Cross Docking
 WANs/LANs  Shipment & Status Management  Yard/Dock Mgmt
Tracking  Driver Management  Item Level
 FBA&P  Route/Schedule Tracking
 Reporting  Backhaul Mgmt
 Mobile Computing



SupplyHarmony - Supplier Management Portal

SupplyHarmony is a the next generation of supplier portals
Features for small to medium sized OEMs that have previously not
• Web based had access to the same full integration that large
enterprise resource planning (ERP) systems offer.
• ERP for midsized OEM
• Hosted & Managed SupplyHarmony brings inbound visibility from the moment
an order is issued to a supplier all the way down to the
Benefits moment it received by the OEM and all of the many
• Resource efficiency checkpoints in-between. With far less cost, less internal
• Optimize relationships support, and a remarkably smooth transition period,
• Smooth adoption process OEM’s can now enjoy the significant benefits possible with
ever-present visibility of the entire inbound supply chain.

Demo Now



Rhythm - Global Transportation Management

Rhythm manages both physical and financial components
Features of shipment activities regardless of size, mode or
• Web based geographical location. Control of the planning, execution
and settlement processes as well as real time visibility for
• Real time visibility
shipment tracking is key in today’s supply chain and
• Micro level controls Rhythm covers these components in addition to other
client-specific requirements.
Benefits
• Hosted solution Rhythm keeps shipments moving in a controlled and
• Planning, execution, financially beneficial environment with Web based portals
settlement for visibility, reporting and tight management control.
• Real time shipment tracking
Demo Now



Tempo - Advanced Inventory Management

Tempo provides unmatched inventory visibility as well as
Features event alerts such as min/max level notices, auto-email
• Web based shipment confirmations, auto-email receipt confirmations,
and more. All while offering a central visibility console on
•Scalable
the web to view each part number, description, min/max
• Auto receipt confirmation levels, real-time quantity on hand, total skids (or stand
Benefits moveable unit) on hand, and various other user specific
• Boost productivity fields. Tempo also offers a robust detail view page for each
• Reduce costs part in inventory that shows any on-hold product,
• Shorten order fulfillment times adjustment history, year-to-date average turn amount, as
well as each inbound and outbound shipment that has
ever taken place, with detailed information of each
transaction.
Demo Now



Boomerang - Returns Management

Returned product is a part of any business, but lost
Features revenue due to lack of visibility is easily changed.
• Web based Boomerang was created from research and development
projects with large OEM manufactures who struggled with
• Track each product for return
tracing a returned product back to its initial order allowing
• Automatic instruction transmit a full circle of checks and balances. Boomerang is a web-
based system allowing the OEM to track each product
Benefits slated for return, automatically communicate return
• Recover lost revenue instructions to the dealer/owner of the product, track the
• Full circle checks & balances returned product’s transportation, its plant/DC receipt, the
• Track & Trace quality inspection phase, all the way to through the steps
of re-stocking, repair, or destruction and the issuing credit
back to the ordering party.
Demo Now



Alert - Exception Reporting

Damaged product, over-turned skids, missing paper work,
Features and a host of various other issues are, unfortunately, part
• Web based visibility of moving product through a supply chain. Alert provides a
web-based logging and visibility system that is both simple
• Simple exception logging
and functional to ensure logging exception events do not
• Collaborative solution tool create inefficiencies in standard processes. Alert has
functionality to allow standard digital photos to be
Benefits attached to each exception creating another level of
• Standardized process detailed visibility for both the internal user as well as the
• Reduce inefficiencies outside user so the parties can properly apply a solution.
• Quick resolution .

Demo Now



Rendezvous- Global Shipment Visibility

International tracking has long been a point of confusion
Features for many manufacturers and transportation specialists due
• Web based to the non-standardized reporting methods used by
• Standardized reporting different countries, ports, carriers and origin suppliers.
Rendezvous offers the ability to both manually track and
• Manual or automatic updates
update all of your inbound and outbound international
shipments as well automatically update shipments using
Benefits systems integration powered by XML, EDI, flat files and
• Standardized system even GPS capable systems. Rendezvous is better classified
• Real-time visibility as an entire process solution rather than a simplistic
• Optimized planning tracking application. Offering a new way to look at tracking
international shipments with a focus on events based
updates and graphic display of shipments status allowing
one person to view and direct more in less time.



CheckPoint Lean Supply Management Tool
The receipt of cross-dock product from a multitude of
suppliers is often a terribly non-standardized event with
Features packing information as varied as the number of suppliers
•Tracking visibility and carriers you work with. It becomes difficult to
effectively acknowledge and provide tracking visibility to
•Multiple supplier management
each piece of product down to the line item level.
• Trending / Tracking Reporting CheckPoint was created in a demanding environment to
receive, acknowledge, and provide robust visibility for just
Benefits that type of situation. CheckPoint has been used for cross
• Simple to implement docks that handle anywhere from 50 different suppliers
• Little resource investment daily to well over 800 different suppliers and thousands of
• Improved visibility weekly receipts. Simple to implement with little resource
investment needed from the OEM and excellent return in
the form of robust reporting, visibility, tracking and trend
Demo Now reporting.



Benefits Summary
• Lower Cost - Enables sophisticated functionality
while reducing overall operating costs
• Shorter Implementation - Shrinks implementation
time by using repeatable methodologies and standard
processes
• Scaleable - Ability to dynamically allocate capacity or
share capacity across customers
• No Guesswork - Solutions are repeatable,
expandable, supportable, maintainable and reliable
• Systems Integration - Seamlessly integrates SCS’s
Supply Chain applications to client environment
• Quality Assurance - Integrated suite of solutions
which have been chosen for effectiveness and tested
for accuracy


Supply Chain Solutions 2010 Capabilities

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