暖灰色调阳光照射效果

暖灰色调阳光照射效果COSTofFREIGHTThecost($)offreightisgenerallybetween4%to8%ofacompaniesGrossSalesFreight($)is5.5%*ofGrossDomesticProduct(GDP)intheUnitedStatesWiththelargestmodebeingtruckload{2010-$520Bn**}Either:Parcel(Ground)Less-than-Truckload(LTL)TruckloadCommercialCarriersPrivateFleetsDedicated-ContractCarrierServicesInter-modalTOFC–TraileronFlatcarCOFC–ContaineronFlatcar*Source:APICSModule3,ManagingCustomer&SupplierRelations,pg74**Source:DCVelocity,March2011,pg512SRMLogistics,Inc(StephenRMcCleary,Pres)©2012ANNUALSALEStoTRANSPORTATIONSPENDtoMANAGINGFREIGHTRemoved$36MMfrom$270MMinfreightcoststhrough:ReengineeringStrongerTariffsBetterContractNegotiationsFocusedRoutingGuidesSALES

TRAFFICSPEND

POTENTIALSAVINGS

(4%to8%ofSales) (13%ofTrafficSpend)

$50MM $2MMto$4MM $260Kto$520K$75MM $3MMto$6MM $390Kto$780K$100MM $4MMto$8MM $520Kto$1.1MM$250MM $10MMto$20MM $1.3MMto$2.6MM$500MM $20MMto$40MM $2.6MMto$5.2MM3SRMLogistics,Inc(StephenRMcCleary,Pres)©2012PERCENTAGEofFREIGHTintheLOGISTICSBUDGETSRMLogistics,Inc(StephenRMcCleary,Pres)©20124Source:GroceryManufacturersAssociation(GMA)Survey2005CONTROLofFREIGHTCOSTTHROUGHCOMPETITIVEContractsTieredDiscountsTariffsRatesheetsTARGETEDACCESSORIALS($)RE-ENGNEERINGofMETHODSCOLLABORATIVETRANSPORTATIONMANAGEMENT(CTM)5SRMLogistics,Inc(StephenRMcCleary,Pres)©2012FUELSURCHARGE

Addedintotheline-haul(offsetthefluctuationinfuel)ChangesWeeklyfromDOEpublishedDieselPrices(cst/gal)TwoWaystoCalculateCstpermiles–Advantageifshipmentsarelessthan(<)500milesPercentage(%)–Advantageifshipmentsaremorethan(>)750milesAllCarriersarecalculatingthisintheirratesThereisnoadvantagetoanAll-InRateSRMLogistics,Inc(StephenRMcCleary,Pres)©20126COSTofDIESELFUEL(US-DOE)7SRMLogistics,Inc(StephenRMcCleary,Pres)©2012FSCCalculationMostcarriersusuallyagreetofollowacompanystructuredindexInthenextgraph–AnaggregateofcarrierfuelindicesComparedtoaStructuredonePercentage(%)Cstpermile($)RatesbasedonatypicalcstpermileandLine-haulfor250miles500miles750miles1,000miles1,500miles3,000miles(cross-country)SRMLogistics,Inc(StephenRMcCleary,Pres)©20128DIFFERENCE:MARKETvs.STRUCTUREDFUELSURCHARGESCHEDULE–

OneEngineeringMethod9SRMLogistics,Inc(StephenRMcCleary,Pres)©2012RESULTSReducedtransportationcostsby29.6%byimplementingastandardizedFuelSurcharge(FSC)indexamongstallLTLTransportationProvidersalongwithasinglebaserateReducedtransportationcostsby21.9%throughtheimplementationofastandardizedFuelSurcharge(FSC)indexamongstallTransportationProvidersalongwithasinglebaserateCreateda12.8%decreaseinfreightcostswiththeimplementationofastructuredFuelSurcharge(FSC)Index10SRMLogistics,Inc(StephenRMcCleary,Pres)©2012FREIGHTCONSOLIDATIONDELIVERIES(ORDERS)NOTHINGLESSTHAN250lbs(One-Ways)–Minimum$65COMBINEDORDERSSHIPPEDOVERA2-DAYPERIODAverageWeightperShipment

826.8lbsAveragePalletsperShipment

4palletsRECHOURS

8am–2pm(UnlessSpecified)MAXIMUM7SHIPMENTSperTRAILER

MAXIMUM24PALLETSperTRAILERSRMLogistics,Inc(StephenRMcCleary,Pres)©201211FREIGHTCONSOLIDATIONUNLOADRATE

35PALLETSperHOUR

MINIMUMTIMEperSTOP

25MINUTESMAXIMUMWEIGHT45,000lbsperTRAILER

FOLLOW‘HOURSOFSERVICE’DRIVINGREGULATIONSUSEDROUTINGSOFTWARETODEVELOPPOTENTIALLOADCONFIGURATIONSCOMPAREDCURRENTLTLCOSTTOPROPOSEDTRUCKLOADw/INTERMEDIARYSTOP-OFFSSRMLogistics,Inc(StephenRMcCleary,Pres)©201212COMPARISONofLTLRATES{Ratesw/FSC-DiscApplied}vs.TRUCKLOADRATE{w/Stop-Off&FSC}

AnotherEngineeringMethod13SRMLogistics,Inc(StephenRMcCleary,Pres)©201214L/HwithFuelVIIILTL

$1,541.17T/Lw/Stops$1,421.98TOTALWEIGHT–19,814lbsTOTALPALLETS–25SixIntermediaryDeliveriesplusFinal1414SRMLogistics,Inc(StephenRMcCleary,Pres)©201215L/HwithFuel

LTL

$3,025.99T/Lw/Stops$2,483.97TOTALWEIGHT–23,605lbsTOTALPALLETS–20FiveIntermediaryStopsplusFinal1515SRMLogistics,Inc(StephenRMcCleary,Pres)©201216L/HwithFuelVILTL

$780.14T/Lw/Stops$404.66TOTALWEIGHT–34,358lbsTOTALPALLETS–20TwoIntermediaryStopsPlusFinal1616SRMLogistics,Inc(StephenRMcCleary,Pres)©2012RESULTSReducedfreightcosts$147,304annually(20.2%)withtheimplementationofafreightconsolidationprogrammovingLTLshipmentstoTruckloadwithintermediarystops-offshipments17SRMLogistics,Inc(StephenRMcCleary,Pres)©2012BILLEDMILESvsOPTIMIZEDMILES–

AnotherEngineeringMethod18SRMLogistics,Inc(StephenRMcCleary,Pres)©2012RESULTSSaved$313,474annuallybyutilizingaroutingprogramalongwiththePCMilersoftwarewheremilesweredeterminedformulti-stopshipmentsandinvoicespaidfromthisdata,thisproduceda37.6%ofthatportionofthefreightspend19SRMLogistics,Inc(StephenRMcCleary,Pres)©2012LTL–ShippedProductWeightandPalletWeight

AnotherEngineeringMethod20SRMLogistics,Inc(StephenRMcCleary,Pres)©2012RESULTSReducedtheAnnualLTLFreightSpendby9.2%withremovalofthepalletweightfromtheratecalculationoftheshipmentSaved$242,000(11.8%)inAnnualFreightCostsbynegotiatingastrongertariffamongsttheLTLcarrierswithbetterdiscountsandwaiverofpalletweightwiththeproductshipmentEliminated5.2%ofcalculatedratingwiththeremovalofthepalletweightfromtheshipmentcalculation21SRMLogistics,Inc(StephenRMcCleary,Pres)©2012REGIONALPARCELCARRIERS-AnotherEngineeringMethodSRMLogistics,Inc(StephenRMcCleary,Pres)©201222REGIONALPARCELCARRIERS

STATESCOVEREDTransTek

CO,WYOnTrac

WA,OR,CA,NV,UT,AZLoneStarOvernight

TX,NM,OK,LA,ARSpeeDeeDeliveryService

MN,IA,KS,MO,NE,WI,ILUSCargoPackaging

WV,OH,KY,TN,IN,MIEasternConnection

VA,MA,NJ,NY,VT,MD,DE,ME,CT,VT,RI,PA,NHSkylineMessenger

GA,ALRESULTSIf30%ofShipmentsarewithin600miles(zones2thru4)ofSp