The document discusses Elemica's logistics solutions and their value in helping companies achieve supply chain excellence. It describes how Elemica can help increase velocity, agility, reliability, and efficiency through solutions like time slot management, global shipment visibility, transport execution, and logistics sourcing. The document estimates that Elemica's solutions can save companies $265-$325 per shipment in automation and collaboration savings, lower labor costs, and lower freight costs by improving carrier negotiations and reducing charges. This leads to an estimated reduction in cost per shipment from $2356 to $2061 for US companies and from €1505 to €1327 for European companies when using Elemica.

1. Linking Business
Strategies to Logistics
The Value of Elemica’s
Logistics Solutions

2. QuickLinkTM
Integration
Connections
Inter-­‐Co
Master
Data
Elemica
Client
ERP
Document
Stream
Document
Stream Client
Partner’s
ERP
Mapping
Elemica Supply Chain Operating Network
Discovery
3rd
Party
ApplicationsSmartLinkTM
Applications
On-­‐Boarding
Collaboration
Universal
Data
Model
Universal
Business
Documents
ELEMICA
CONFIDENTIAL
Business
Process
Dashboard
Messaging
Dashboard
Unstructured
Data
SmartLinkTM
Analytics
+ =Universal
Business
Concepts

3. Our Discussion Today
The
Quest
for
a
World-­‐Class
Supply
Chain
Linking
Business
Strategies
to
Supply
Chain
Objectives
Quantifying
the
Value
of
Logistics
Solutions
Commencing
Your
Journey

4. The Value of Supply Chain
Excellence
Bottom
25%
Avg
Performance
vs.
Industry
Progressive
15% World
Class
10%
Average
50%
0%
Source:
Corporate
Executive
Board,
Supply
Chain
Management
Research
Group,
2006

5. SCOR Level 1 Metrics
P&L:
Top
Line
P&L:
Bott
om
Line
Bala
nce
Shee
t

6. Metrics that Matter

7. Competing Supply Chain
Metrics
Sources:
“An
Econometric
Analysis
of
Inventory
Turnover
Performance
in
Retail
Services”,
Gaur,
Fisher
&
Raman,
May
2004
“TIME
FOR
A
MEA
CULPA?”,
Lora
Cecere,
Supply
Chain
Insights,
April
2014
“Nine
out
of
ten
companies
are
stuck
at
the
intersection
of
operating
margin
and
inventory
turns,
but
they
do
not
know
what
to
do
about
it.”
-­‐
Lora
Cecere

8. Supply Chain Objectives
Velocity
(Responsivene
ss)
Agility
(Flexibility)
Reliability
Efficiency
(Costs,
Assets)
Consume
the
fewest
possible
resources
COGS
Increase
Velocity
of
Product,
Information,
&
Cash
Flows
C2C
Respond
to
Changes
Quickly
Sales,
COGS
Provide
Perfect
Orders
to
Customers
Sales,
COGS

9. What is your Competitive
Strategy?
Cost
• Provide
comparable
products
and
services
at
lower
prices
than
your
competitors
Quality
• Provide
comparable
products
and
services
that
perform
better,
last
longer,
fewer
defects
than
your
competitors
Service
• Provide
faster
lead
times,
flexibility
to
handle
changes,
more
convenience,
less
restrictions
than
your
competitors
Innovation
• Provide
unique
features
and
better
designs
than
competitors
on
similar
products
or
be
the
first
to
market
on
new
products
Source:
Adapted
from
The
Discipline
of
Market
Leaders,
Treacy
&
Wiersema,
1997,
Basic
Books

10. Prioritizing Supply Chain
Objectives
Reliability Agility
Quality
Cost
Service
Innovation
VelocityEfficiency
2nd 3rd1st 4th
VelocityAgilityReliability Efficiency
ReliabilityAgility Efficiency Velocity
VelocityAgility Reliability Efficiency
Addressing
the
flat
curve
to
world-­‐class
supply
chain
status
1. Design
your
supply
chain
to
align
with
competitive
strategy
2. Force-­‐rank
your
acceptable
metrics
&
targets
based
on
these
priorities
3. Set
expectations
with
leadership
as
to
these
targets

11. Happy Path
Velocity
(Responsivene
ss)
Agility
(Flexibility)
Reliability
Efficiency
(Costs,
Assets)
Increase
Velocity
of
Product,
Information,
&
Cash
Flows
Respond
to
Changes
Quickly
Provide
Perfect
Orders
to
Customers
Consume
the
fewest
possible
resources
COGS
Sales,
COGS
Synchronization
Connect
supply
to
demand
COGS,
Sales,
C2C
C2C
Sales,
COGS

12. The Value of Elemica
Logistics Solutions
Velocity
(Responsivene
ss)
Agility
(Flexibility)
Reliability
Efficiency
(Costs,
Assets)
COGS
Sales,
COGS
Sales,
COGS
Time
Slot
Management
Freight
Cost
Management
Terminal
&
Whse
Visibility
Global
Shipment
Visibility
&
Control
Transport
Execution
Time
Slot
Management
Logistics
Sourcing
Transport
Execution
Time
Slot
Management
Freight
Cost
Management
Synchronization
COGS,
Sales,
C2C
Global
Shipment
Visibility
&
Control
Time
Slot
Management
C2C

13. Real Value Realized
$265-­‐$325Automation
&
Collaboration
Savings
Shipments
&
Freight
Invoices
Lower
Labor
Costs
Reduced
data
entry,
paper
handling
Better
POD
visibility
Reduced
time
fixing
errors
Lower
freight
audit
effort
Lower
Freight
Costs
Improved
carrier
negotiations
Reduced
detention
charges
Fewer
premium,
cancellation
charges
Better
control
over
assessorials
Improved
Cash-­‐to-­‐Cash
Cycle
Faster
POD
information
Better
terms
with
carriers
Better
inventory
management
Real-­‐time
visibility
to
LSP
activities
$2356
Cost/Shipment
Before
Elemica
$2061
Cost/Shipment
With
Elemica
$32
$82
$181

14. Real Value Realized
€159-­‐€195Automation
&
Collaboration
Savings
Shipments
&
Freight
Invoices
Lower
Labor
Costs
Reduced
data
entry,
paper
handling
Better
POD
visibility
Reduced
time
fixing
errors
Lower
freight
audit
effort
Lower
Freight
Costs
Improved
carrier
negotiations
Reduced
detention
charges
Fewer
premium,
cancellation
charges
Better
control
over
assessorials
Improved
Cash-­‐to-­‐Cash
Cycle
Faster
POD
information
Better
terms
with
carriers
Better
inbound
control
Real-­‐time
visibility
to
LSP
activities
€1505
Cost/Shipment
Before
Elemica
€1327
Cost/Shipment
With
Elemica
€21
to
€25
€25
to
€31
€114
to
€140
€

15. Continuing the Quest
Align
the
SC
with
strategy
Determine
metrics
&
targets
Create
roadmap
of
initiatives
Prioritize
&
Rationaliz
e
Implemen
t
&
measure
Engage
with
Elemica
at
any
step
in
this
process!
Use
Elemica
tools
for
estimating
value
and
rationalizing
opportunities

16. Cindi
Perdue
Hane
Vice
President,
Logistics
cindi.hane@elemica.com
Phone:
+1
404
477
5286
cindi.hane
@CindiHane
cindi.hane@elemica.com
www.elemica.com

17. Appendix 1:
Tools for
Estimating Value

18. 100%
Labor Savings
▪ Automated
booking
improves
productivity
and
quality
of
logistics
team’s
activities
▪ Site
resources
are
optimized
with
carrier
appointments.
Real-­‐time
visibility
and
POD
eliminates
tracking
activities
and
dispute
resolution
▪ Freight
Cost
Management
eliminates
post-­‐audits
and
disputes
▪ Access
to
data
in
single
system
eliminates
data
gathering
and
streamlines
analysis
$32
in
Labor
Cost
Savings
per
Shipment

19. Freight Savings
▪ Logistics
Sourcing
activities
improve
negotiated
rates
▪ Automation
&
Visibility
reduce
errors
on
shipment
data
and
allow
for
proactive
management
to
reduce
expedited
costs
▪ Time
Slot
Management
dramatically
reduces
detention
charges
at
load/
unload
locations
▪ Collaborating
on
assessorials
improves
accuracy,
allows
for
passing
charges
to
customers,
reduces
disputes
100%
$181
in
Freight
Cost
Savings
per
Shipment

20. C2C Savings
▪ Automated
shipment
confirmations
from
LSPs
reduces
Days
of
Inventory
by
speeding
up
PGI.
▪ Time
Slot
Management
reduces
mean
lead
time
and
variation,
which
reduces
inventory
levels.
▪ Better
in-­‐transit
inventory
visibility
throughout
long
supply
chains
promotes
optimized
inventory
practices,
reducing
DOI.
▪ Multi-­‐party
shipments
are
more
prone
to
delays
in
pick-­‐ups
at
hand-­‐off
points.
Visibility
allows
more
pro-­‐
active
management
of
these
shipments.
Reduces
DSO.
▪ POD
is
required
before
customer
approves
invoice.
Authenticated
POD
reduces
DSO.
▪ Can
negotiate
better
terms
with
(some)
carriers
because
of
electronic
approval
and
payment
-­‐
lowers
disputes
and
decreases
variability
of
their
DSO.
Increases
DPO.
$82
in
C2C
Improvements
per
Shipment

21. Value by Logistics Solution
Freight
Cost
Management
$
41.87
Time
Slot
Management
$
44.21
Terminal
&
Warehouse
Visibility
$
17.81
Transport
Execuaon
$
96.10
Logisacs
Sourcing
$
95.00
Savings
per
Shipment
including
Labor,
Freight,
and
C2C
costs

22. Appendix 2: Tools
for Rationalizing
Initiatives

23. Value of Transport Execution
Improved
Productivity
of
Logistics
Ops
• How
much
does
your
company
spend
on
booking
&
tracking
Reduction
in
Freight
Costs
• What
%
of
your
shipments
are
expedited?
Why?
• Could
you
Reduction
in
Cash-­‐to-­‐Cash
Cycle
• On
what
%
of
shipments
do
you
have
authenticate
d
Proof
of

24. Value of Time Slot
Management
Reduction
in
Detention
Charges
• What
is
your
average
detention
charge?
• What
%age
of
your
Reduction
in
Cash-­‐to-­‐Cash
Cycle
• What
is
your
variability
of
shipment
lead
times?
• How
are
you
buffering
Improved
Site
Operations
• How
do
you
handle
surges
in
truck
arrivals?
• If
you
could
smooth
the

25. Value of Freight Cost
Management
Reduction
in
Audit
&
Pay
Charges
• What
do
you
spend
per
shipment
on
Freight
Audit
&
Pay
Reduction
in
Freight
Charges
• Do
you
believe
more
discipline
is
needed
in
freight
Reduction
in
Cash-­‐to-­‐Cash
Cycle
• Could
you
negotiate
better
terms
with
carriers
in
exchange
for
reduced

26. Value of Terminal &
Warehouse Visibility
Accelerate
Post
Goods
Issue
• Do
any
of
your
LSPs
provide
shipment
confirmatio
ns
Reduction
in
IT
Infrastructure
Costs
• Have
you
implemente
d
ERP
terminals
at
your
LSPs’
facilities?
Improved
Data
Quality
&
Security
• Do
you
receive
consistent
data
across
your
network
of