ruan third party logistics execution via otm

OTM SIGRuan Third Party Logistics Execution Via OTM

August 2016

John Estapa+ Ruan Transportation - Senior Business Analyst+ 4 years with Ruan+ 2 years working with OTM

Malcolm Goodfellow+ Ruan Transportation – Integration Manager+ 2.5 years with Ruan+ 12 years working with OTM

Intro

+ Ruan Corporate Overview

+ Why Oracle Transportation Management

+ RTMS2.0 System Architecture

+ RTMS2.0 Functionality

+ Integration

+ Outreach

+ What’s Next

Agenda

+ Asset-based 3PL founded in 1932+ Headquartered in Des Moines, IA+ Revenue: $869,200,000+ Manage over $1 billion in annual transportation spend+ 10,000 active carrier partnerships+ 315 operations nationwide+ 5,600 employees+ 4,400 professional drivers+ Own or operate 3,951 power units+ Own or operate 8,395 trailers

Ruan Company Facts

Mission Statement

To employ the best team in the industry to move our customers’business safely, efficiently and on time, every time.

2014 20151992

Ruan opens 300,000 square foot warehouse tomanage inbound raw and outbound finished goods fora manufacturing customer utilizing Ruan’s WMS.

Ruan begins a period of significant reinvestment in our dedicatedfleet, warehousing and transportation management systems.

Ruan upgrades its supply chain platform with OTMand creates industry-leading integration team; Ruanpartners with Oracle and Iowa State University.

Ruan continues platform advancement byintegrating additional best-of-breed systems tocreate a single platform for customers and carriers.

Ruan’s integration team develops process to delivercustomized workflow, real time event management forfleets as well as carriers and customer start-ups in 10week timeframe. Servicing a diverse group of customersover various industries from minor to major complexity.

Ruan Supply Chain Management TimelineRuan begins logistics services, providing load and carriermanagement as well as route optimization for its largestdedicated customer at $50M freight under management.Ruan continues growth with logistics customers.

201220102004

Ruan Valued Partnerships

Canada Logistics

Mexico Logistics

315 domestic operations with U.S. domiciles and logisticsmanagement across the NAFTA region

NAFTA logistics management shipmentsOrigin locationDestination location

“During our TMS selection process,Ruan reviewed the best-of-breed TMSsolutions available in the market. OTMwas evaluated and ranked as the bestsolution based on overall functionalityand capability. Customized configurationcontrolled by our team members andease of integration with other technologyalso played into our decision to selectOTM as the backbone of our managedtransportation solution.”

- Marty Wadle,SVP – Supply Chain Solutions

“During our TMS selection process,Ruan reviewed the best-of-breed TMSsolutions available in the market. OTMwas evaluated and ranked as the bestsolution based on overall functionalityand capability. Customized configurationcontrolled by our team members andease of integration with other technologyalso played into our decision to selectOTM as the backbone of our managedtransportation solution.”

- Marty Wadle,SVP – Supply Chain Solutions

Why Oracle Transportation Management

+ Our dedicated business has grown with customizedvalue-added transportation solutions across people,process and technology• Unique service requirements• Specialized equipment and driver qualifications

+ Ruan required a logistics technology platform thatcould scale with volume growth and provide thesame type of customized product offerings across adiverse customer base• Customization must be manageable and configurable• Broad functionality footprint

– Order palletization and 3D Load Configuration– Round-trip routing– Various load notification methods with a large carrier

base– Carrier and customer portal– Business intelligence platform with Fusion

System Architecture

Customer Profile and Flexible System Configuration

+ Every customer is unique with specialized integration, routing, and reporting requirements+ OTM not employed for non-contractual term customer relationships that revolve around inconsistent transaction

business+ Collaborative design sessions with the customer to develop integration points+ Multiple standard integration touch-points which enable the following (not all required):

+ OTM domain create functionality enables new customer domain build to be completed in < 2 hours with branding+ Custom canonical design enables customer integration map completion from DEV to PROD in < 5 business days+ Standard 10-week complete customer on-boarding timeline+ Successfully integrated with multiple ERPs

• Shipment Actuals from Customer to Ruan• Rated Shipment Actuals from Ruan to Customer• Customer Invoice

• Order/ Route Integration from Customer to Ruan• Routed Orders Integration from Ruan to Customer• Status Updates from Ruan to Customer

Ruan’s Transportation Management Platform

Order Entry and Transportation Planning

+ Order Entry• Leverage diverse set of order configuration options

– Single item per ship unit or order line– Multiple items per ship unit or order line– Prebuilt or dynamically built ship units

• Systematic Order Entry– Ruan’s custom canonical design supports multiple file types or XML formats– Multiple communication protocols supported from AS2 to FTP

• Manual Order Entry– VBA / formula powered Microsoft Excel uploader mapped to OTM schemas for custom transmissions

• Model a wide variety of constraints with versatile automation agent workflow

Order Entry /Transportation Planning

Order Entry and Transportation Planning (Cont.)

+ Transportation Planning• Utilize both buy and sell shipments• Wide variety of planning options are tested and configured based on customer and

industry needs– Dynamically built ship units and loads using 3D Load Configurator– Leverage predefined ship units DIMs and equipment capacity specifications– Optimal load capacity achieved using Equipment Reference Units (ERU)– Load equipment based on warehouse order fulfillment priority– Release created from blanket purchase orders– Create bulk load from single order

• Optimization Planning Execution– Manually query orders and initiate direct or bulk plans– Manually leverage saved queries and initiate direct or bulk plans– Systematically initiate direct shipments via automation agents– Systematically initiate bulk planning via recurring jobs

Order Entry /Transportation PlanningOrder Entry /

Transportation Planning


+ Transportation Planning (Cont.)• Rules are driven by Automation Agent Workflow and Planning Parameters

– Customer specific planning parameters tied by user preference– Logistics planning teams servicing multiple customers leverage different planning

parameters

Order Entry /Transportation PlanningOrder Entry /

Transportation Planning


+ Advanced Manager Layout• Enable Logistics Planners to easily identify object relationships and manipulate as

necessary• Anticipate migrating to workspaces in OTM Version 6.4.1



+ Facilitating Freight Rates• Manage a diverse set of rate basis and conditions

– Per piece, loading length, rate per mile, flat, mileage & weight bands– Unloaded distance, loaded distance, direct & indirect service points

• LTL, TL, Intermodal, Continuous Movement Rates– PC Miler, Mile Maker, SMC3

• Load carrier specific fuel schedules• Custom upload tools

– VBA / Formula Microsoft Excel Uploader for easeof rate management


Resource Assignment/Dispatch

+ Resource Assignment/Dispatch in OTM• Capacity can be secured in many different ways to satisfy preferred communication

method– Bulk, individual or automated tender

• Sent electronically using XML or EDI, or via e-mail• Response required or notification only• Customized rules based on tender accept/reject transactions

– OTM has ability to cater diverse carrier base via custom integration• OTM and small or large carriers

– EDI documents (214, 204, 990)– Carrier portal– Mobile application

Resource Assignment /Dispatch

Transportation Execution

+ Customer Portals• Flexible order release, buy shipment, sell shipment screens• Branded vendor portals and rapid order release screen

TransportationExecution

Transportation Execution (Cont.)

+ Customer Portals (Cont.)• Customer portal screen set customized to ensure key customer data elements

are searchable and appear on results screen without scrolling• Visual indicators, attribute fields and search functionality powered by customer specific

automation workflow to satisfy needs



+ Claims Module• Ruan manages claims for our customers as a service

− Paperless− Reporting capabilities (filed $ vs. collected $)− Central data hub for

• Documents• Contacts• Dates• Business numbers

− Designed to accommodate non-OTM shipments (brokerage)


Transportation Execution (Cont.)Transportation

Execution+ Custom Alerts• Systematic event or status based alerts triggered to involved parties• Customized stylesheet profiles called from within Automation Agents



+ Visibility through Web-based Track and Trace• Shipment status messages gathered from carriers electronically via web user

interface, EDI 214, or mobile application• OTM portal accessible by customer, carrier, logistics representative for freight visibility• For shippers which have difficulty applying timely tracking events required to make educated supply chain decisions…


+ Real Time Visibility through Third-Party Tracking Providers• First deployment between OTM and FourKites for real-time tracking

– FourKites links to the carrier’s onboard system or driver’s cell phone for “passive”tracking of truck position, geo fencing and ETA calculations

– Transmitted to OTM via EDI 214 messages and applied to shipment via automation agent workflow




+ Real Time Visibility through Third-Party Tracking Providers (Cont.)• FourKites Integration

– OTM shipment assigned to carrier, tender accepted and custom status set– Booking number and shipment details transmitted from OTM to FourKites via planned

shipment / customized external system (XML)




– Shipment details passed from FourKites to carrier– Carrier assigns equipment number or driver cell phone and passes details back to FourKites– Information is processed and FourKites system pairs with carrier on boarded– Polling every 15 minutes, events transmitted from FourKites to OTM– Calculations and automation workflow leveraged to determine status in OTM



– FourKites technology available to track shipment details and post updates back toOTM via HTTP post• Shipment stop delivery or pickup appointments (AA or AB)• Location based events (X3, AF, X1, CD, etc.)

– Actual delivery and pickup events – based on geo-fence logic– Calculated ETA for future pickup and delivery locations on route

• X6 non-location based tracking events with lat/long location


Carrier and Driver Settlement

+ Carrier and Driver Settlement & Customer Billing• Carrier Settlement

– Ruan managed carriers use web-based carrier settlement– Payment method can be match-and-pay or auto-pay customized by carrier

• Match-and-Pay• Auto-Pay

• Customer Invoicing– List Bill, Standard Bill, or EDI 210– Weekly management fee, transaction fee, buy-sell margin or gain-share

• Custom billing reports can assume a variety of formats– Electronic invoices that incorporate general ledger accounts

Carrier and DriverSettlement & Customer

Invoice

Reporting, Analysis, Improvement

+ Business Intelligence• Key Performance Indicators (KPIs) co-developed by Ruan and Customer

– Define KPIs of relevance and ensure they remain manageable and meaningful– Determine report accountability

• Ruan has pre-built dashboards by industry that are tailored based on the aforementioned KPIs– Pre-built dashboards typically satisfy 80% of customer needs, remaining 20% are satisfied

through customization• Heavily leverage workflow, order, and shipment flex fields to power dashboards

– Reduce complexity and customization to the ETL component• Recognize dashboards continually evolve so we invest in continuous improvements efforts

and quarterly business reviews• BI Publisher functionality also used to generate operational reports

Reporting, Analysis,Improvement

Integration

+ External Customer Mapping• ‘Standardized’ canonical structure supports both Inbound and outbound file integration• Custom integration methods through VBA / formulated Microsoft Excel Uploader• Conduct mapping exercise as part of collaborative design sessions with customer• If any changes to data elements are required, internal prototyping enables simplified mapping execution with I.T. resources

+ Outbound Integration• Customize and transform outbound data

– Take advantage of External System interface capability• Utilize Out XML Profiles to reduce over head when building XML and XML Blob sizes in I_Tables• Flexibly to manage creation and modification of interfaces internally with minimal I.T. resources

Integration (Cont.)

+ Outbound Integration (Cont.)• Example of XML Profile using XML Template versus GUI

– Used when OTM has issues passing all child nodes out when defined in a GUI XML profile

Integration (Cont.)

Integration (Cont.)

+ Outbound Integration (Cont.)• XSL Transformation applied to XML

• Aid with processing of integrated systems• Insulates and simplifies OTM data schema to both internal and external stakeholders• Minimize external impact of schema changes as a result of application upgrades

Outreach

+ Iowa State University Partnership• As part of our investment in OTM, Oracle agreed to pursue the first ever academic license for the software. Oracle accomplished this

milestone, and Iowa State University became the first academic licensor of OTM• Supporting organizations, and their roles

– Oracle• Provide OTM Suite software licences for all necessary modules

– Iowa State University• Instruct on the use of the OTM Software within the Supply Chain and Information Systems classes

– Ruan• Assist Iowa State University with OTM implementation• Build Course-work, OTM data sets, and provide training to Iowa State University• Provide guest speakers and guidance on course outlines to Iowa State University

– Mavenwire• Application hosting partner who is also co-sponsoring an ISU student scholarship with Ruan

What’s Next?

+ Upgrade from 6.3.2 to 6.4.1

• Mobile App Enhancements

• Fleet Aware Bulk Planning

• Continuous Move with Depot Logic

• Track & Trace Usability

• Workspace

+ Dock Scheduling

Review

Questions

OTM SIGRuan Third Party Logistics Execution Via OTM

August 2016

ruan third party logistics execution via otm

Technology