Reduce transportation costs substantially by linking the material demand process to the transport process

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1 Reduce transportation costs substantially by linking the material demand process to the transport process Thorsten Fülling Director Business Development, SupplyOn AG 2013 SupplyOn AG Page 1 Public 1

2 A company with total costs of 1 billion can cut its transport costs by around 8 million Selection of the most cost-effective provider 12% Efficient load creation 7% Transport costs Company-wide freight consolidation Correct freight invoices Reduction of premium shipments Total costs Plus process improvements 2013 SupplyOn AG Page 2 Public 2

3 Why have these savings not yet been realized? What is the problem? 2013 SupplyOn AG Page 3 Public 3

4 1. Black box between demand and freight invoice Demand to the supplier? Freight invoice from the logistics service provider 2013 SupplyOn AG Page 4 Public 4

5 2. The material demand process and transport management process run as completely separate processes MATERIAL DEMAND PROCESS Demand Shipping advice Advance shipping notification (ASN) Goods receipt Invoice or credit Transport planning and consolidation Transport order Track & trace Proof of delivery Freight invoice TRANSPORT MANAGEMENT PROCESS 2013 SupplyOn AG Page 5 Public 5

6 3. Integrated material demand process with the supplier, but manual non-integrated transport ordering Electronic data exchange: Demand, forecast Company Shipping advice, delivery note Supplier Manual transport order (fax, , phone) Forwarder 2013 SupplyOn AG Page 6 Public 6

7 What SupplyOn can do for you: Link the material demand process to the transport process via a central platform Company SupplyOn Supplier Forwarder All relevant transport processes such as transport order management, freight rate costing, shipment formation, freight invoices, empties management, dock management, etc SupplyOn AG Page 7 Public 7

8 Linking the material demand process to the transport management process SupplyOn MATERIAL DEMAND PROCESS Demand (based on order, delivery instruction or VMI process) Forwarder pickup advice (FPA) Advance shipping notification (ASN) Goods receipt Invoice or credit note Transfer of demand data to TM system Updating of demand data Both invoices with identical reference Transport planning and consolidation Transport order Track & trace Proof of delivery Freight invoice TRANSPORT MANAGEMENT PROCESS 2013 SupplyOn AG Page 8 Public 8

9 Track and trace across the entire transport process based on the article number Demand Shipment formation Transport order Invoicing Internal cost allocation Delivery instruction X Transport costs X Order A Shipment Transport costs A Delivery instruction Y Transport Transport costs Y Delivery instruction Z Transport costs Z VMI process Shipment Freight invoice Transport costs VMI Order B Shipment Transport Transport costs B 2013 SupplyOn AG Page 9 Public 9

10 Core features of SupplyOn transport management Link between the material demand process and the transport process Enables track and trace based on the article number Simplifies the verification of freight invoices Supports the transparent internal posting of transport costs Improves the overall process since transport-related data is available sooner Optimized transport capacity utilization Consolidation of shipments Combination of full and empty containers 2013 SupplyOn AG Page 10 Public 10

11 Your benefits with SupplyOn transport management $ SupplyOn makes your global transport network and the costs of each shipment visible, enabling you to substantially reduces your manual effort and your transport costs 2013 SupplyOn AG Page 11 Public 11

12 Your advantage with SupplyOn is the rapid implementation in the existing SupplyOn global network Company SupplyOn 10,000 suppliers 2,500 forwarders 2013 SupplyOn AG Page 12 Public 12

13 Lower costs - reliable data - secure shipments Quantitative benefits Lower freight costs through company-wide consolidation of shipments: up to 5 percent through elimination of incorrect freight invoices: up to 5 percent through efficient load building: up to 5 percent through selection of the most cost-effective provider: depends on type of business through reducing extra tours: depends on type of business Lower process costs Qualitative benefits Availability of accurate and reliable information to analyze and optimize the company-wide transport network Improved transport reliability 2013 SupplyOn AG Page 13 Public 13

14 Contact Details SupplyOn AG Thorsten Fülling Director Business Development Ludwigstraße Hallbergmoos phone mobile web SupplyOn AG Page 14 Public 14