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LeanLogistics: Bringing Innovation to Transportation Management
April 2009
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Agenda
■ Company■ LeanLogistics’ Network■ On-Demand TMS® Business Model■ LeanLogistics’ Supply Chain Services■ LeanLogistics’ Solution ■ Path to Value■ Client Cases■ Next Steps
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Leader in Global Transportation
Technology
InnovationTens of Thousands of Users
SolutionsTransportation
Supply Chain
Services
Network
Billions in Spend
Thousands of CarriersOn-Demand TMS®
Millions of Loads
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Powerful Network
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Convergence of Technology and Services
Network
Technology
Network
We do it for you
You
do it
Services
Managed Transportation Services (MTS)
Freight Optimization Service (FOS)
Network procurement Consulting
Managed Services
Procurement Search / directory Analytics / Business Intelligence
Platform as a Service
On-Demand Transportation Management On-Demand Transportation Management System (TMS) System (TMS)
Software as a ServiceSoftware as a Service
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Leading Technology
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Delivering BenefitsOn-Demand Provides:
■ Access to Latest Technologies■ Access to Most Robust Transportation Information■ Access to Thousands of Carriers and Suppliers
On-Demand Network Model enables:■ Visibility ■ Collaboration■ Benchmarking ■ Business Intelligence
On-Demand provides fastest possible Implementation:■ Limited customization (standardized on best practices); interfaces are only
custom development ■ No hardware, third-party software, or infrastructure to install■ Reduces deployment costs by 5-10 times; eliminates capital costs
1 2 3 4 5 6 7 8 109 11 12Assess &
PlanImplement
System Live
Deploy
Financial Return
Accelerates ROI through “Pay as you go” modelAccelerates ROI through “Pay as you go” model
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Supply Chain ServicesManaged Services
Business Process OutsourcingCustomer retains Carrier Relationships; Command and Control
Procurement & BenchmarkingExamine lanes and rates Benchmark your network against our On-Demand TMS® network Identify procurement opportunities and out-of-tolerance conditions
Freight OptimizationProvides shippers with guaranteed capacity Provides the benefits of a dedicated fleet Assures carriers a predictable core business
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Network Service Solution
The ultimate solution is the convergence of technology and process management
MANAGEDTRANSPORTATION
INSTALLEDSOFTWARE
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Creating a Path to Value
On-Demand TMS®Best Practices
ServicesNetwork Visibility
Value
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Thank You
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Client Cases
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Business Driver:Capacity issues due to HOS
Solution:Implemented “Carrier Friendly” system
Benefits:Avoids last-minute premium freight Provides better fulfillment, lowers costs, operates efficientlySaves 5% to 10% of Freight Bill 25
Client Cases
Business Driver:16 independent locations; no sharing carrier capacity/networks or enterprise visibility
Solution:Implemented “Command Center” operation Centralized procurement, planning, settlement Shared shipping schedules creates continuous move opportunities
Benefits:Reduced transportation spend 8% over multi-year period
Business Driver:No control of, or visibility to, inbound orders
Solution:Implemented Supplier Inbound Management
Benefits:Saved 5% to 8% of Freight BillReduced inventory and stock outages Gained proactive information on issues; scorecard on Vendor performance
Business Driver:Increase Service LevelsSolution:
Implemented Supply Chain Monitor Benefits:Proactively identify defects; remedies issuesProvides up-front communications to customer of impending outage Aligns transportation and customer service promises to lower costs
Finding Capacity Increasing Visibility
Centralizing Control Controlling Inbound
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Client Cases
Business Driver:
16 locations; labor-intense; complex workflow
Solution: WebSettle® Business Process Audit-quality rate developed at tender; Delivery confirmation
authorizes payment Shared shipping schedules creates continuous move opportunities
Benefits: Greatly reduced A/P processing; increased control $8M saved over 2 years
Business Driver:Capacity issues due to Hours of Service; visibility issues
Solution:Forecasting; Carrier Friendly Best Practices
Benefits: Implemented 6 DCs, 3 plants in 10 weeks Decreased tender reject rate by 50% Provided better fulfillment, lowered costs, handled volume spikes Saved potential Freight Bill increases
Business Driver:No control of, or visibility to inbound orders
Solution:Supplier Inbound Management (ready-to-ship)
Benefits: Saved 6% to 8% of Freight Bill
Ace - $1.1M in one lane alone Reduced inventory & stock outages (as much as 20%) Gained proactive information on issues; scorecards on
Suppliers/Carriers performance Implemented 14 DCs; > 1000 Suppliers in 9 months
Controlling InboundSettlement
Business Driver:Improve On-time Performance Levels
Solution:Supply Chain Monitor & Continuous Improvement
Benefits: Proactively identified defects; remedied issues Aligned transportation/customer service promises to lower costs Increased On-time delivery 3% (9497%)
Performance ImprovementRoute Guide Compliance
