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Koch Logistics Retail And Logistics Overview May 6 2008


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Koch Logistics Retail And Logistics Overview May 6 2008

  1. 1. Retail and Logistics Overview Presented by: Jennifer Johnson and Darren Nelson May 6, 2008
  2. 2. Agenda and Purpose of Visit <ul><li>Introductions </li></ul><ul><li>About Koch Logistics </li></ul><ul><li>Retail Capabilities and Experience </li></ul><ul><li>Current Strategies and Future Growth Iniatives </li></ul><ul><li>Focus Areas and Challenges </li></ul>SMARTER Supply Chain Connections
  3. 3. 30 Years of Smarter Shipping <ul><li>Koch Logistics is a division of Koch Companies, a leading, privately held international transportation and distribution firm. Koch Companies began as a manufacturer’s rep of chain, rope and hardware in the mid 1950’s. Two decades later the company had expanded into transportation. From the beginning, the Koch family embraced a philosophy of customer service that continues to distinguish Koch Companies today. This steadfast commitment to service has allowed Koch Companies to become a strategic resource for its customers in all aspects of international and North American transportation including logistics, trucking, air freight, maritime, warehousing and leasing. </li></ul>SMARTER Supply Chain Connections
  4. 4. About Koch Companies <ul><li>Asset and Non-Asset Service Offerings: </li></ul><ul><li>National Truckload Division; operating over 300 trucks in critical retail DC to store dedicated networks </li></ul><ul><li>National Truck and Trailer Leasing Division; assisting retailers with home delivery equipment and short-term onsite/offsite storage needs </li></ul><ul><li>Worldwide 3PL network of managed, project and transactional logistics services </li></ul>SMARTER Supply Chain Connections
  5. 5. Koch Logistics Capabilities <ul><li>TRANSPORTATION SERVICES </li></ul><ul><li>Truckload </li></ul><ul><li>Less than Truckload (LTL) </li></ul><ul><li>Warehousing </li></ul><ul><li>Expedited and Air Freight </li></ul><ul><li>International Import and Export </li></ul><ul><li>NVO/Customs broker </li></ul><ul><li>SUPPLY CHAIN MANAGEMENT </li></ul><ul><li>Retail & store opening/remodel logistics </li></ul><ul><li>Reverse logistics & returns </li></ul><ul><li>International consulting </li></ul><ul><li>On/Off-site distribution management </li></ul><ul><li>Distribution planning & optimization </li></ul><ul><li>Proactive customer & claims support </li></ul>SMARTER Supply Chain Connections
  6. 6. Approach to Retail <ul><li>Our People Make the Difference </li></ul><ul><ul><li>Dedicated leadership and team to manage retail programs </li></ul></ul><ul><li>Programs are Interactive and Flexible </li></ul><ul><ul><li>Collaboration with our clients early on and at multiple levels </li></ul></ul><ul><li>Extended Product Offerings </li></ul><ul><ul><li>Strategic and exclusive relationship with Store Opening Solutions </li></ul></ul><ul><ul><ul><li>Installation Services </li></ul></ul></ul><ul><ul><ul><li>Merchandising Services </li></ul></ul></ul><ul><ul><ul><li>Consolidation Services </li></ul></ul></ul><ul><ul><ul><li>Construction Services </li></ul></ul></ul><ul><ul><ul><li>Inventory and Construction Management Software </li></ul></ul></ul>SMARTER Supply Chain Connections Retail Support is at the heart of our organization. Koch Logistics brings a rare spirit of determination, integrity and smart thinking to third party logistics. We solve your most important and complex logistics challenges with a dedicated account team that’s focused on serving you.
  7. 7. Stay Connected <ul><li>Web Enabled Load Tracking </li></ul><ul><li>Web Enabled Load Tendering </li></ul><ul><li>EDI Capable </li></ul><ul><li>Custom Reporting </li></ul><ul><li>Data Security/Disaster Recovery </li></ul><ul><li>Data Imaging </li></ul><ul><li>Warehouse Management </li></ul><ul><li>Freight Management </li></ul><ul><li>Custom Data Interfaces </li></ul>High quality, integrated business solutions employing the latest information technology. SMARTER Supply Chain Connections Technology is a powerful tool for achieving a more convenient, efficient and information rich supply chain. At Koch Logistics , we’re well equipped to keep you ahead of the curve.
  8. 8. Retailers Face Many Challenges Related to Store Openings and Remodels <ul><li>Significant last minute changes and coordination </li></ul><ul><li>Coordinating and managing a large number of vendors </li></ul><ul><li>Financial impacts of late deliveries or site delays </li></ul><ul><li>Managing multiple carriers </li></ul><ul><ul><li>Bidding </li></ul></ul><ul><ul><li>Tracking </li></ul></ul><ul><ul><li>Issues </li></ul></ul><ul><ul><li>Payment </li></ul></ul><ul><li>Resources to manage process, vendors, carriers, performance and communications effectively </li></ul>SMARTER Supply Chain Connections
  9. 9. Some of Our Retail Partners SMARTER Supply Chain Connections
  10. 10. Re-Branding for Leading Health and Beauty Retailer <ul><li>Client Needed: </li></ul><ul><li>1,200 Stores re-branded within 18 months </li></ul><ul><li>Managed more than 100 suppliers and over 12,000 shipments </li></ul><ul><li>Multi-modal solution utilizing Truckload, LTL and air services </li></ul><ul><li>Delivered Value: </li></ul><ul><li>99.6% On-time delivery performance for entire project </li></ul><ul><li>Simplified process - single source for planning, execution and payment </li></ul><ul><li>Event manager and dedicated team reacted to changes quickly with pro-active communications </li></ul><ul><li>Seamlessly coordinated heavy equipment and labor for store deliveries </li></ul><ul><li>We became the primary transportation provider for all future new store and remodels projects </li></ul>SMARTER Supply Chain Connections Koch Logistics client since November, 2000
  11. 11. Leading Retailer of Technology and Entertainment <ul><li>Client Needed: </li></ul><ul><li>Visibility and execution of all Truckload shipments from vendor direct to store </li></ul><ul><li>Sequence trucks to coordinate with construction crews </li></ul><ul><li>Manage multiple vendors and more than 5,000 shipments annually </li></ul><ul><li>Support significant spikes in volume during peak months </li></ul><ul><li>Delivered Value: </li></ul><ul><li>99.1% On-time delivery in 2007 as measured to the day and hour of delivery </li></ul><ul><li>Network visibility and reporting tools enable process improvements to be identified and realized </li></ul><ul><li>Flexibility and partnership to support addition specialty needs within one provider such as the “Big Joe” program </li></ul><ul><li>Consistent and dedicated team has managed the vendor direct to store network for more than 8 years. </li></ul>SMART Supply Chain Connections Koch Logistics client since April, 1996
  12. 12. Growing Health and Fitness Provider <ul><li>Client Needed: </li></ul><ul><li>Visibility and execution of inbound goods into gym openings </li></ul><ul><li>Vendor management and pro-active communication </li></ul><ul><li>Reduce Shrinkage </li></ul><ul><li>Minimize delivery window upon turnover to less than 3 hours </li></ul><ul><li>Delivered Value: </li></ul><ul><li>Eliminated shrinkage by consolidating and completing inventory audits prior to final site delivery </li></ul><ul><li>Improved organization and flow on day of delivery by having an associate on-site on day of delivery at each gym opening </li></ul><ul><li>Reduced delivery window on turnover day to <2 hours </li></ul>Koch Logistics client since January, 2007 SMARTER Supply Chain Connections
  13. 13. Leading concessionaire of baggage cart, locker and other guest services <ul><li>Client Needs: </li></ul><ul><li>Improved service, visibility and execution </li></ul><ul><li>Manage delivery site restrictions </li></ul><ul><li>Communication with install teams </li></ul><ul><li>Support site returns </li></ul><ul><li>Delivered Value: </li></ul><ul><li>Improved level of service </li></ul><ul><li>Project summary ensures timely follow up and service reporting </li></ul><ul><li>Pro-active visibility allows their resources to focus on other areas of the business </li></ul>Koch Logistics client since January, 2008 SMARTER Supply Chain Connections
  14. 14. Strategic Growth Areas <ul><li>Project Management </li></ul><ul><li>Expanding Presence Nationally </li></ul><ul><ul><li>Nashville </li></ul></ul><ul><ul><li>Chicago </li></ul></ul><ul><ul><li>Dallas </li></ul></ul><ul><ul><li>Atlanta </li></ul></ul><ul><li>Launch of Koch Maritime </li></ul>SMARTER Supply Chain Connections
  15. 15. We Add Value Through…. <ul><li>Our Experience & Track Record </li></ul><ul><ul><li>Over $30M in annual revenues attributed to this type of work </li></ul></ul><ul><ul><li>Multiple network models and modes supported </li></ul></ul><ul><ul><li>Over 99% On-time delivery performance measured to the date and hour </li></ul></ul><ul><li>We Understand the Impacts of Missed or Delayed Shipments </li></ul><ul><ul><li>Overtime costs for labor </li></ul></ul><ul><ul><li>Store opening delays and lost sales </li></ul></ul><ul><li>Our Ability to Incorporate Additional Services </li></ul><ul><ul><li>Installation, Merchandising, Inventory and Construction Management Software, Heavy Equipment & Manpower Coordination and Dedicated Operations </li></ul></ul>SMARTER Supply Chain Connections
  16. 16. About Northern Tool <ul><li>Over 18,000 products sold and supported </li></ul><ul><li>Sales channels include: </li></ul><ul><ul><li>Catalogue </li></ul></ul><ul><ul><li>Website </li></ul></ul><ul><ul><li>Store (Over 60 stores in 11 states) </li></ul></ul><ul><li>European operation in Portsmouth, United Kingdom </li></ul>SMARTER Supply Chain Connections
  17. 17. Make the Connection Minimize interruptions and maximize sales with Koch Logistics Smarter Supply Chain Connections