Site Surveys for OTM Expansion

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Post on 21-Feb-2017




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  • Site Surveys forOTM ExpansionFinding out what you need to know toonboard new facilities and businesses

    Caleb WarnerWestRock

  • NorthAmerica81%




    Net Sales$15 billion

    About WestRock WestRock (NYSE: WRK) aspires to be the

    premier partner and unrivaled provider ofpaper and packaging solutions in consumerand corrugated markets.

    (1) Reflects combined LTM 9/30/15 data

    Balanced Business Mix (1) Revenue by Geography (1)

    $15 billionTotal sales



    250+Operating andbusiness locations

    13.3 millionTons of mill production

    ~100 billionSquare feet ofconverting production





    Net Sales$15 billion

  • Paperboard Solid Bleached Sulfate (SBS) Coated Unbleached Kraft (CUK) Coated Recycled Board (CRB) Uncoated Recycled Board (URB)

    Containerboard/Kraft Paper

    Virgin and recycled linerboard Coated white top linerboard Corrugated medium White top linerboard Kraft paper

    Pulp Fluff pulp Bleached market pulp (SBSK) Unbleached market pulp (UKP)

    Recycling All grades of recycled fiber and non-fiber materials

    Waste brokerage services

    Forest Resources Landowner forestry assistance Timberland resource management Fiber sustainability and certification

    programs All virgin fiber procurement

    operations for both papermaking andbiomass for energy production

    Our paper solutions

  • Our packaging solutionsBeverage Paperboard multiple packagingPackaging machinery


    Corrugated containers to protect, ship,store and display productsAutomated packaging machinery

    Folding CartonFolding cartonsFood service packagingExpress mail envelopes

    Home, Health &Beauty

    Pumps, sprayers, aerosol actuatorsDispensing closuresAdherence packaging


    Temporary promotional and permanentpoint-of-purchase displays

    Partitions &Protective Pkg.

    Solid fiber partitionsCorrugated partitionsDie-cut paperboard components

  • Every Stick of Freight in OTM

    27 corrugated and consumer mills22 recycling facilities24 merchandising display facilities

    104 corrugated converting facilities39 folding carton plants

    15 packaging partition plants11 pump and dispensing facilities3 packaging machinery facilities

  • Corrugated and Consumer MillsCorrugated MillsDublin, GAFernandina Beach,

    FLFlorence, SCHodge, LAHopewell, VAJacksonville, FL

    (Seminole)La Tuque, QCMorai, IndiaPanama City, FLSolvay, NYSt. Paul, MNStevenson, ALTacoma, WATrs Barras, BrazilWest Point, VA

    Consumer MillsCovington, VADemopolis, ALEvadale, TXBattle Creek, MIDallas, TXSheldon Springs, VT

    (Missisquoi)St. Paul, MNStroudsburg, PAAurora, ILChattanooga, TNEaton, INLynchburg, VAMahrt, ALLow Moor, VAPointe-aux-Trembles, QCSilsbee, TXVenlo, Netherlands

    In OTMAdded to OTM in the last 12 monthsAdding to OTM in the next 18 months

  • What do you do in OTM today? Planning (Bulk Planning, Direct Planning) Tendering (EDI, Email, Other System) Rating (Contracted Rates, Spot Rating) Tracking (Shipment Status Messages) Payment FTI/Fusion/Reporting(On Time Pickup/Delivery/Carrier

    Scorecard) Modes Equipment Types Fuel Surcharge

  • How are you expanding? More of the Same New Areas of Business Reaching a New Customer Base Additional OTM functionality

  • OTM Environment Questions Will you attempt to separate your businesses?

    Domains Agents Other considerations

    Will you change your new facility to your current OTM processesor will you have a new set of processes to support in OTM? Who is your Executive Sponsor? Who is you business partner who will enforce this change? Will the business require a new STANDARD process regardless?

    What processes are currently manual? Are these scalable with the new addition?

    How accurate is your data in the legacy systems and OTM?

  • Process Questions Will you accept Order Modifications? Do you want to trigger tender modify notifications? Do you have any involved parties that need to be added? Do you have any secondary shipment requirements? How will you generate customs documentation? Will you assign customs brokers automatically? How will you handle returns and diversions? Do you want to handle multileg routing in OTM? Are there any required transportation movements that

    would not come from your Order Management System?

  • Systems Questions Master Data Naming Conventions Systems of Record Order Management Warehouse Management Payment System Yard Management/Dock Scheduling Load Ready Notifications

  • Operational Questions Will this increase your modes in OTM? Will you be using new equipment types?

    Weight limits the same or different? Equipment availability? Exact Match of equipment to execution?

    Carriers New Carriers? Region based Tendering? Does your spot rate process change?

    Do you use a warehouse? Would OTM be responsible for those moves? Where would the order come from?

    Will you also include Customer Pickup or Supplier Delivered shipments? Will this increase your regions? (Domestic/Export/Import/Border Documentation) Do you have the requirement to move miscellaneous shipments that are not in your Order Management

    System? (ie. Repair Parts) Seasonal requirements?

    (Produce Season/Superbowl/Christmas Shopping/Freeze Thaw)

  • Rate Sourcing Questions Are rates sourced today by the same group that they will be in the future Is there a standard fuel surcharge? Any new accessorial costs or changes to existing costs?

    Tarping/Tolls/Stop Offs/Detention/Demurrage/Truck Order Not Used Will rate costs remain the same? Will rate structure be the same? How will rates be loaded into OTM? Is there an RFP process in place?

    When will it next occur? How will this work with the project

    timing and resource requirements?

  • Finance Questions Allocation Rules Freight Payment Accrual Currency for Payments

    Currency conversions? Are there any tax implications on your shipments

    GST/HST/VAT What does your finance system require from OTM?

  • Physical Location Attributes Validate address information

    Name/Address/Contact Information Required Communications on Tender Hours of Operation Rail siding Dock doors Drop Yard

    Size Who is allowed to drop Drop vs Live Load expectations

    Do you have any servprov constraints on sources or destinations? Does your location have any special security requirements?

    TWIC/Background Check

  • General Recommendations Have a single point of escalation for business process changes Utilize legacy data whenever possible to understand what they are

    actually doing, not what they "think" they are doing Ask what works well now and what are your biggest pain points currently Plan to spend 50% more time per site on your first three sites

    Make your first sites sing your praises to their partners Plan post go-live care in advance Can any of the business process changes be made in advance Know your rules and what the exceptions are to your rules Identify any competing projects for resource availability and possible

    timeline impact Executives don't want to hear about why you are delayed

  • Q&ASite SurveyQuestions