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ShaleApps – Last Mile Demands Faster Decision Making

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These slides show how slow decision making in last mile logistics has left last mile to be a source of the most untapped value in sand’s value chain. We cover why it is challenging to make fast decisions in last mile and the cost of those slow decisions. Finally, we introduce the concept of digital transformation, and how it differs from todays digital solutions.

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ShaleApps – Last Mile Demands Faster Decision Making

  1. 1. Last Mile Complexity Demands Exponentially Faster Decision Making Making Last Mile Logistics Simple
  2. 2. Increasing Decision Making Frequency for Last Mile Is a Huge Source of “Untapped Value” Last Mile is the Biggest Value Creation Opportunity in the Value Chain Today’s Decision Frequency Procurement Management Mine Inventory Rail Logistics Regional Inventory Truck Logistics Well Site Inventory Invoicing Management Months to Days Weeks Weeks Days 12 hours 12 hours Weeks Complexity Low Low High Med Very High Very High Low Optimum Decision Frequency Days Days Days Minutes Minutes Minutes Minutes Last Mile
  3. 3. Complexity of Logistics Makes Fast Decision Making Challenging Dynamically changing environment with many different factors slow down “human” decision making 350+ Loads/Well Multiple Loaders Multiple Wells Factors that Contribute to Slow Human Decision Making: Multiple loaders with: • Variable wait times • Variable status • Limited lanes • Limited capacity Multiple wells with: • Variable demand • Limited on pad storage • Limited unload points Multiple Trucks with: • Multiple vendors per well • Variable operational status
  4. 4. Slow Decision Frequency Result in NPT and Detention 350+ Loads / Well LAST MILE COMPLEXITY Sand Drought (Non-Productive Time) and Trucking Floods (Detention) are the Inevitable Result Sand Drought >20% Increase In Non-Productive Time during this Industry Upturn Trucking Floods >65% Of Loads Carrying Detention during this Industry Upturn SLOW DECISION MAKING CYCLES 12 Hours
  5. 5. Digital Transformation is the Only Way to Turn 12 Hour Decision Making Cycles to 1 Minute Decision Making Cycles Todays Solutions Don’t Enable Fast Decision MakingTIMESPENT DATA PREPARATION DATA ANALYSIS DECISIONS Digitization Real-time Data Dashboards Digital Transformation Predictive Optimization Advisor Digital Business Intelligence Tools No Real Time Decisions Real Time Reactive Decisions Real Time Proactive Decisions Today’s Ineffective Solutions
  6. 6. Visit our website to see how ShaleApps is Digitally Transforming last mile, and try our app for free. ShaleApps.com/sand ShaleApps.com Only Digital Transformation Enables Fast & Proactive Decision Making ShaleApps makes Last Mile Simple

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