Adding Value to your Transportation Processes

Mark McMonagleVP Solutions Engineer Operations

Simplifying Your Shipping

• Adding Value to your Transportation Processes• Simplifying your Non-Production Shipping• QAD TMS Overview

- Transportation Management- Global Trade Management- Trade Compliance- Package Exception Management

• ‘Live’ Software Demonstration• Available On Demand• Recap of Benefits• Q&A

Agenda

Simplifying Your Shipping

Return on Investment• Reduce Transportation Costs

- Consolidations, Rate Shopping, Routing Guide

• Automate Manual Processes- Reduce keystrokes and duplicate processes- Error Free and compliant International Paperwork and

Manifests- Reduction in Overtime- Reduce Headcount

• Increase opportunities for consolidations- Zone Skipping, Group destinations

• Eliminate some 3rd party activity

QAD TMS - Adding Value to your Transportation Processes

Automotive Industry• Challenge

- Meet Industry Standards (e.g. AIAIG & Odette Shipping Labels / documents)

- Customer-specific document and label requirements

- Customer Routings based on weight/carrier- Scheduled / Consolidated Shipments

• Solution- Automate label creation based on product /

customer- Maintain customer-specific routing instructions

electronically- Consolidate shipments by customer for

scheduled deliveries

Transportation / Trade Challenges & Opportunities by Industry

Consumer Products

• Challenge- Control Shipment Costs (esp. from offshore

suppliers)- On-time deliveries / pro-active customer

service- Regulatory Compliance for broad base of

customers- Collaboration with suppliers for direct delivery

to customers

• Solution- Multi-modal shipments and rate shopping- Restricted party checks and

product/country/end use compliance- Visibility & tracking of inbound and outbound

Transportation / Trade Challenges & Opportunities by Industry

High Tech / Electronics• Challenge

- On-time delivery for manufacturing lines- Moving parts to spare parts depots / field service

engineers- Some hazmat - Return / Repair Mgmt

• Solution- Automation of key logistics processes via

workflow management- Electronic routing guide to support customer-

routed shipments and product requirements- Rules-based documentation library ensures cross-

border compliance - Product classification for import/export reporting- Package Tracking to ensure on-time delivery- Landed Cost calculations for inventory network

optimization

Transportation / Trade Challenges & Opportunities by Industry

Industrial

• Challenge- Often hazardous types of shipments- Large / Bulky equipment needing to be

broken up into multiple shipments- Multiple drop shipments

• Solution- Product compliance checks for hazardous

shipments- Automate hazmat documentation and label

printing- Load building of trucks for multiple drop-

offs- Create single manifest for multiple

shipments

Transportation / Trade Challenges & Opportunities by Industry

Life Sciences• Challenge

- On-time Delivery (e.g. critical drug delivery, for equipment maintenance/repair

- Cold Chain Shipping- Product Approvals by Country- Visibility within the Supply Chain

• Solution- Track inventory from supplier through

delivery to customer- Reduce transportation costs through carrier

and service-level choice- Automate documentation to meeting

country/product-specific regulations- Automate regulatory compliance checks

Transportation / Trade Challenges & Opportunities by Industry

Logistics Service Providers• Challenge

- Management / Fulfillment for multiple customers

- Reverse Logistics / Return & Repair Management

- Need for visibility to inventory movements & locations

- Accountability for handling goods across multiple industries/regulatory bodies

• Solution- A single system for transportation, global

trade and compliance - Visibility to multiple clients, locations,

inventory and transportation tracking- Return labels and tracking of inbound

shipments

Transportation / Trade Challenges & Opportunities by Industry

Retail

• Challenge- Often high volumes of shipments- Visibility to supply chain to match demand

with inventory availability - Control of transportation costs- Need for import / export compliance as new

suppliers and markets are developed

• Solution- SOA deployment of PRECISION for high

volume processing- Automated documentation and compliance

checks- Supply Chain visibility and tracking of

inventory

Transportation / Trade Challenges & Opportunities by Industry

QAD TMS Solution Overview

BaseSupply Chain Portal & Transportation Tracking

Global Trade Management

Transportation Management

Trade Compliance

Package Exception Management

• Database• Set of Rules and Workflow

•User Interface (black box / interactive)• Shared Architecture

…based on 1

QAD TMS Solution Overview

Functional Capabilities

QAD TMS Base

Key Master Tables Functionality Standard Integrations

Partners* Workflow QAD SE / EE Applications

Products* Rules/Rulebooks Other ERP Systems

Languages (Includes Translations)

QADTMS ePage(Form Design)

Any WMS System

Edit Codes(Numeric Formats)

Document Production and Distribution (Note: This does NOT include Document Library – See GTM)

Units of Measure Document Imaging

Currencies Security Setup

Transaction Types* Packing

Pack Types* Dataflow (Create Master Shipment)

Cost/Charge Codes* XML Data Exchange Utility

Hazmat UN Codes* Highway (Messaging Subsystem)

Functional Breakdown: QAD TMS Base

Functional Capabilities

Transportation Management

Carrier-Related Functionality

Functionality Key Transportation Documents & Labels

Certified / Approved Carriers (Refer to Topic 029 – Per Carrier Functionality)

Routing Guide Packing List

Generate Tracking Numbers(Pro #’s / Waybill #’s)

Charge Table/Rate Maintenance(All modes, spreadsheet updates)

Bill of Lading (BOL)

Label Production (Carrier Compliant for Integrated Carriers)

Rating(Other non-carrier charges, e.g., handling, insurance)

Generic Labels

Electronic Communication (including End-of-Day Manifesting)

Rate Shopping Dispatch / Consignment Notes

Carrier Rate Maintenance and Upload

Freight Quoting Hazardous / Dangerous Goods Notes(ADR , IATA, Sea)

Rating(Carrier rates and accessorials)

Load Offering(e-mail offer of a shipment, portal for carrier to accept, user selects carrier)

Driver’s Manifest

Transit Times Consolidations/ Master Shipments

Carrier Consolidations(FedEx Int’l Priority Distribution – IPD, UPS WorldEase, DHL Breakbulk

Zone Skipping

Load Building

Desktop Shipping

Basic Freight Audit(Match carrier invoice to shipping estimates)

Functional Breakdown: QAD TMS

Sample Worldwide Carrier Coverage

Multi-modal Domestic & International Shipping

QAD TMS Transportation Management System

• Certified with 40+ carriers worldwide • Automated Routing Guide

- Selection of carrier/mode- Adhere to company policy / customer routings

• Communication with Multiple Carriers- Rate, Label and Manifest Shipments

• Return Label Support• Transportation Visibility in real time

Benefits

• Uniform way of working with all shipments• Transportation Visibility• Ensure compliance with carrier

requirements

Standard QAD TMS Features• Automatic Hundredweight Consolidation

• Electronic Communications with Customers

and Carriers

• Carrier Certified Manifests and Labels

• Automated BOL Generation

• Automated EOD Manifest Generation

• Automated HazMat compliance and

documentation

• Automated International Document Generation

• Buy and Sell rating capable

- Could be published vs. negotiated

- Negotiated, with uplift applied

- Manage Promotions around shipping cost

Carrier Certification Programmes

• Tracking number generation• Label• Rating

- Published / List- Negotiated

• EOD- FTP, HTTP, other

Test Case Validation

Carrier Certification

• Label

• Rating Engine

• Tracking Number generation

• EOD Manifest

• URL Tracking link

Other Carriers - Overview

• Sender Address Details• Receiver Address Details• Carrier Code• Pro Number (Tracking Number)• Barcode of Pro Number• Also available without Pro number• Customizable reference field• Ship Date• Total Weight

Mailing Label

LTL and other Carriers - Shipping Label

Zone Skipping

• Consolidate based on end-point delivery

• Ship From nearer to final destination

• Pre-label with alternative Ship From

• Sample: US to US carrier hub

Zone Skipping - Example

QAD TMS Invoice Matching • Invoice Matching Engine• Automated Matching for

- Actual Freight Invoice- Estimated Cost

• Determination of discrepancies• Approval of supplier invoices• Creation of ‘light’ shipments

QAD TMS Matching Process• Shipment Retrieval by tracking number• Invoice Cost tends to be Totalled• Estimates matched in precedence:

- Freight- Fuel- Accessorial charges

• Variance calculated- Carrier variance (default)- Shipper variance (manually chosen)

• Multiple departments• Different types of shipments• Limited or no process in place• Time consuming• Little oversight

Non-Production Shipping Challenges

Simplifying your Non-Production Shipping Process

According to a study by PARCEL Magazine and the ARC Advisory Group, poor management of desktop shipping can lead to shipping cost increases of at least 20% on a yearly basis.

• Empower employees• Control Freight Usage• Streamline handling in

your mailroom / dock• Automate

documentation• Gain visibility to costs• Consolidation of carriers / accounts

Opportunities for Improvement

Non-Production Shipping Opportunities

One high-tech firm found that they had 73 different contracts in place with parcel carriers around the world. By consolidating that to three or four carriers that could serve the entire company, they found they would save an estimated 10% from their annual parcel spend.

• Departments and people across your company

Who Uses Desktop shipping?

Non-Production Shipping

• Shipping things like- Samples- Engineering pre-production

products- Marketing materials- Documents- Internal assets (Equipment)

Why Use Desktop Shipping?

Non-Production Shipping Benefits

ARC Advisory Group, The High Cost of Desktop Shipping

Functional Capabilities

Package Exception Management

Shipment Tracking Challenges

• On-time delivery is critical for time-sensitive products

• Missed deliveries means penalties and damages customer satisfaction

• Lack of visibility to shipments after they leave your door

• Inability to track every package due to shipment volumes

• Too much time spent looking up tracking numbers via individual carrier websites

Operational and Carrier Challenges• No visibility to inbound / return shipments

• Claims are not always made for lost/damaged shipments due to lack of resources

• No easy way to analyze carrier and service-level usage across the organization

• We rely on the carrier to tell us how they performed

• Invoicing can’t happen until Proof-of-Delivery is obtained

A Day in the Life of a Typical CSRTime Consuming / Inefficient Ad hoc Tracking Activities

• Customer calls• Look up shipment

• Carrier Web site / System• Call

• Advise customer of delivery status

Customer Request

• Lost / Damaged Shipment• Look up shipment

• Carrier Web Site / System• Call

• Raise a Tracer

Lost or Damaged • Finance needs POD

• Look up shipment• Carrier Web Site / System• Call

• Screen shots / off-line notes of delivery info

RevenueRecognition

Control Tower

Ship

In-transit

AlertManage

Deliver

Report

Package Exception Management

PEM: Delivering ValueGet “Control Tower” Visibility and Management

• Shipments In-transit• Inbound, Outbound and Return Shipping• Automated Alerts• Pro-Active Exception Management and

Communication• Automated Proof-of-Delivery• Reporting

With Visibility Across ALL Modes and Carriers

Carrier A Carrier B Carrier C Carrier D

Carrier B

Carrier C

Carrier A

More Carriers

QAD TMS Demonstration

Demo Scenarios Demo Scenario description

Desktop Shipping Manual Shipment (Domestic) Parcel shipment with rate shopping

Interfaced Shipment number 0900001

Demo Scenario 001 - UPS Next Air (Domestic)

Interfaced Shipment number 0900002

Demo Scenario 002 - UPS Ground

Interfaced Shipment number 0900003

Demo Scenario 003 - USPS – Parcel Post

Interfaced Shipment number 0900004

Demo Scenario 004 - USA to France (International & Documents generation)

Interfaced Shipment number 0900005

Demo Scenario 005 - LTL/TL – YFSY 500 Rated (Domestic)

Tracking Package Exception Management Outbound/Inbound

Standard Integrations

TMS Deployments with Shipper

QAD

TMSClientWorkflow

QAD/TMSABS_MSTR

7.1.1OrderEntry

7.9.1Create

PreShipper

7.9.2Create Shipper

PackingConsolidation

CalculateFreight

ShippingDocuments

TMSMessage / SOA

Kick OffShip Confirm

QAD

TMSClientWorkflow

7.1.1OrderEntry

7.9.1Create

PreShipper

PackingConsolidation

CalculateFreight

ShippingDocuments

TMSMessage / SOA

Create ShipperKick Off

Ship Confirm

QAD/TMSSO_MSTR

QAD/TMSABS_MSTR

QAD Warehousing

(optional)

TMS Deployments with Pre Shipper

Most popular integrationOne interface point at Shipper CreationOption to deploy in background*

ComplianceTransaction

ComplianceTransaction

QAD/TMSSO_MSTR

Run TMS workflowProcess Compliance / FreightPrint Documents

Message

TMS Deployments with Discrete Sales Orders

QAD

TMSClientWorkflow

QAD/TMSSOD_DET

7.1.1OrderEntry

7.9.1Create

PreShipper

7.9.13SO Packing

List

PackingConsolidation

CalculateFreight

ShippingDocuments

TMSMessage / SOA

QAD/TMSSO_MSTR

QAD

TMSB lack Box / SOA

7.1.1OrderEntry

Message

QAD Warehousing

TMS Deployments QAD Warehousing Messaging

Consolidation Rating / Labels

Message

7.9.15SO Shipments

ComplianceTransaction

ComplianceTransaction

QAD/TMSSO_MSTR

High Volume ParcelAutomationLimited TMS processing

Deployment Options

Available On Demand

Global Solution

Local Execution

Established Express Carrier Network

On Premise

Traditional deployment behind the firewall

Reduce Cost of Ownership

On Demand

• Reduce costs and control usage• Empower employees• Streamline handling in your mailroom / dock• Ensure compliance • Visibility to all shipments and cost center

usage• On Demand for easy on-boarding

Save Time. Save Money. No Headaches.

Thank you for joining us!

Additional Information Available At:

www.precisionsoftware.com