Discover The Value of An Experienced 3PL Partner

Transcription

1 Discover The Value of An Experienced 3PL Partner W A R E H O U S I N G O M N I C H A N N E L F U L F I L L M E N T T R A N S P O R T A T I O N P A C K A G I N G C O N F I D E N T I A L

2 Fast Facts Founded in 1966 by David Lyons Lakeland, FL Corporate Headquarters Ownership Privately held, professionally managed Revenue $451m in Sales FY16, $510m plan FY17 Associates 2,800+ full-time nonunion associates Warehouse Locations 17.1m sq. ft. of warehouse space in 41 locations Transportation 550 tractors 200 CNG and 2,000 trailers (53 ) Carriers Over 5,000 carriers under contract W A R E H O U S I N G O M N I C H A N N E L F U L F I L L M E N T T R A N S P O R T A T I O N P A C K A G I N G C O N F I D E N T I A L

3 Saddle Creek Locations 3 16 States 28 Markets 41 Locations 66 Buildings 550 Tractors 200 CNG 2,000 Trailers Campus locations strategically located SCLS Fleet in larger campus locations Dedicated facilities located where customers need us W A R E H O U S I N G O M N I C H A N N E L F U L F I L L M E N T T R A N S P O R T A T I O N P A C K A G I N G C O N F I D E N T I A L

4 HDQ in Central Florida 4 W A R E H O U S I N G O M N I C H A N N E L F U L F I L L M E N T T R A N S P O R T A T I O N P A C K A G I N G C O N F I D E N T I A L

5 Repeatable Business Models Applied to Multiple Industries 5 Fulfillment 21% Packaging 4% Warehousing 45% Electronics 6% Food/Bev Apparel/Footwear 44% 3% Service Type CPG 16% Commodity Type Other 6% Transportation 30% Retail 10% HBA 15% Diversification of services non-warehousing services have grown Diversification of industries bringing tried and true solutions to new industries W A R E H O U S I N G O M N I C H A N N E L F U L F I L L M E N T T R A N S P O R T A T I O N P A C K A G I N G C O N F I D E N T I A L

6 What does a 3PL do? Manages all, or a portion of a customer s supply chain Supplier Web Stores Manufacturer Consumer Distribution Centers Retail Stores 6

7 Warehousing Fulfillment Transportation Packaging 7 Dedicated Space Omnichannel Asset Based Assembly Shared Space Pick Pack Ship Brokerage Display Cross Dock Subscription Services Small Parcel Value Added Services Integrated Omnichannel Solutions for Manufacturing, Retail and ecommerce W A R E H O U S I N G O M N I C H A N N E L F U L F I L L M E N T T R A N S P O R T A T I O N P A C K A G I N G C O N F I D E N T I A L

8 Why would a company outsource? Reduced cost Flexibility ability to accommodate changes in business Customer service/time to market Need to reduce risk Expertise 8

9 3PL Market Segments Larger Global 3PL s National or North American Smaller Regional 3PL s Non-traditional competitors 9

10 Order Fulfillment Core Services Same day, omni-channel fulfillment Multiple units of measure ( each, inner, case) Extensive small parcel and LTL discounts Single or multi-facility distribution Lot/expiration control Value-added services including call center, returns processing, gift wrapping and retailer compliance Customized approach for continuity and sampling programs Enhanced systems and material handling equipment Custom branding Scalable and flexible engineered solutions 10

11 A Few of Our Customers 11 Large recognizable brands and smaller niche companies Customers in a wide variety of industries Solutions vary by customer Some relationships date back more than 20 years W A R E H O U S I N G O M N I C H A N N E L F U L F I L L M E N T T R A N S P O R T A T I O N P A C K A G I N G C O N F I D E N T I A L

12 A Sampling of the Retailers We Ship To 12 Understanding of delivery requirements Reduce chargebacks Improve customer service W A R E H O U S I N G O M N I C H A N N E L F U L F I L L M E N T T R A N S P O R T A T I O N P A C K A G I N G C O N F I D E N T I A L

13 Transportation 13 Asset Based Non - Asset Based 600 Company Drivers Transportation Management 550 Power Units Lane Based Brokerage Services 2000 Trailers Committed Capacity Regional and Dedicated TL Service Non-Union Best in class safety record Centralized or On-site All Modes Carriers in Network Transportation options as stand alone solutions or seamlessly integrated with our other services. W A R E H O U S I N G O M N I C H A N N E L F U L F I L L M E N T T R A N S P O R T A T I O N P A C K A G I N G C O N F I D E N T I A L

14 Transportation Management Dedicated account managers and operations team Carrier rate negotiation and contract management Carrier service, claims and performance management Full visibility to network via web based SCTS TMS Continuous improvement process implementation and management Full suite of KPI and metrics reporting Freight Audit and Payment 14

15 Trucks - Day Cabs Increasing 56% Day Cabs vs Sleeper Truck Sales in USA Length of Haul is Reducing 54% 52% 50% 48% Day Cabs are majority of Trucks being built today! 46% 44% 42% Day Cab Sleeper 1

16 Regional Distribution Increasing 16

17 Driver Shortage Looming Regulations Increasing Hours of Service Driver Shortages Growing Increasing Costs Greater Congestion Aging Workforce 1

18 Our Commitment to Sustainability Speed Control (65 mph) Reduction in Idle Satellite Monitoring Special Tire Program Auto Air Inflation Systems Trailer Skirts Improved Utilization Continuous Driver Training Aerodynamic Mud Flaps Wheel Covers Drivewyze (Inspection Pass) OER Sudden Stops/Starts Alternative Fuel (CNG) Dual Fuel Downsped Technology Alternate Routing

19 SmartWay Featured Partner 19

20 Why CNG at Saddle Creek??? Reduces Our Dependency on Foreign Oil Improves Reliability & Limits Potential Diesel Disruptions Safer than Diesel ~ Never Spill a Drop Quieter at Idle Exceeds Saddle Creek s & Our Customers Expectations for Sustainability 100 Million Miles And Growing 20

21 Why is Natural Gas Cleaner Than Diesel? Natural Gas is an Inherently Clean Energy Natural gas is mostly methane CH4 Diesel C16H34; Gasoline C8H18 Less NOx *87% Reduction Less PM *95+% Reduction Less GHGs *HDV: 20-23% less; LDV: 26-29% less Natural Gas is Very Safe Lighter than air.. Dissipates when released High ignition temperature * F Limited range of air/fuel combustion ratio (5-15%) Colorless, non-toxic substance Doesn t leak into groundwater Comprehensive fuel tank, vehicle and station design/mfg codes and safety standards Diesel C18H34 Gasoline C8H18 Methane CH4 21

22 CNG Deployment Wherever Needed 200 of 550 Trucks CNG 100 Million CNG Miles 22

23 CNG Tractors Gen 1 thru 3 Generation Units (9 liter) 130 DGE s First 500 Mile CNG Tractor Generation Liter 155 DGE s Generation Units 9 liter 140 DGE s 23

24 CNG Tractors Gen 4 Generation DGE s 600 Mile Range 24

25 Generation 5 2

26 Generation 6 Improved Aero Reduced Trailer Gap New Aero Package Lighter Weight (500 lbs.) Manual Transmissions 2

27 Duel Fuel Project Refurbishing 50, 06/07 diesels with rebuilt engines (1 MM miles, exteriors and interiors) Extends life of our tractors 6 years 8 tanks, Type I, less heat of compression Testing for past 2 years EPA Certified

28 Ultra-Low NOx Heavy-Duty Engine In September 2015, the U.S. Environmental Protection Agency and the California Air Resources Board certified the world s first heavy-duty engine that emits oxides of nitrogen (NOx) at levels so low they are considered near-zero (NZ). This is the cleanest commercially available heavyduty truck engine available in the market today. Near Zero Emissions 28

29 Downsped Engines Top Gear Percentage Columbus 2.47 Atlanta idp Charlotte idp Modern tractor/trailers only require 220hp to cruise at 65 mpg The old standard was 1,500 rpm s at 65 mph Today the goal is to operate at 1,150 rpm s at 65 mpg Downspeding has the engine operate at a low rpm with high torque The benefit of downspeding is that it allows the engines to spend more time in the top gear where they yield better fuel economy

30 CSA CSA / Safety 70.0 SCTI Unsafe Driving Jan Feb Mar Apr May June July Aug Sep Oct Nov Dec Jan Unsafe Driving DOT Intervention 30

31 Why Event Recorders? (Video) To protect SCTI and its drivers from claims costs and injuries Videos capture evidence when an event occurs, protecting drivers and fleets from fraudulent or other errant claims To enhance Saddle Creek s training methods To reduce costs, such as fuel, repairs, wear/tear, and damage To improve safety, by modifying driver behavior with coaching 31

32 Results Summary Recordings Per Truck Per Day 0.2 (1 out of 5 get a video) Coachable Behaviors 17% of total videos captured Top Behavior Observed Late Response 45% Sudden Stops Reduced 27.7 sudden stops per tractor without ER 14.6 sudden stops per tractor with ER Unsafe Behaviors % of Total Late Response 45% Intersection Approach 19% Following Distance 10% Overdriving Conditions 9% Stop Sign 5% Lane Change 5% Red Light 6% Near Collision 1% Improper Turn 1% 32

33 Event Recorders 3 3 New Insights Event Trigger Speed Cruise Control Clutch Braking Accelerator W A R E H O U S I N G O M N I C H A N N E L F U L F I L L M E N T T R A N S P O R T A T I O N P A C K A G I N G C O N F I D E N T I A L

34 Backing On Interstate 34

35 Proof Not At Fault! 35

36 Exoneration 36

37 You hit my car 37

38 Positive Feedback 38

39 Manual Trigger 39

40 Safety Analytics

41 Safety Analytics

42 GPS Tracking and Communications E Logs (ELD) PeopleNet TMW/TruckMate SkyBitz Mercury Gate SCMS MOJO 42

43 Alternate Route - Orlando Interactive Google map of the Orlando area displaying current traffic levels. Green No congestion Yellow Medium congestion Red Heavy congestion Trend line displays travel times for the last hour 43

44 Location: Corner of Hwy 92 & Fish Hatchery Rd Issue: The light only stays green on the Fish Hatchery side for about 11 seconds. The traffic backs up on Fish Hatchery on the North side across the railroad tracks during peak times. Traffic going North & crossing Hwy 92 have the right of way to vehicles turning left. Our trucks take this route to go East & South.

45 Location: Auburndale Hwy and Berkley Rd Issue: Turn radius for trucks.

46 Our Mission & Values To provide exceptional logistics solutions and services for our customers Whatever It Takes! We Deliver Excellence in Service We Respect the Individual We Promote Performance and Accountability We Foster a Supportive Work Environment We Behave with Integrity W A R E H O U S I N G O M N I C H A N N E L F U L F I L L M E N T T R A N S P O R T A T I O N P A C K A G I N G C O N F I D E N T I A L