ShockWatch 2

ShockLog Multi-use recorder Complete event analysis and journey profiling G-View Threshold alarms for 3 axes Performance Full Analysis Data Recorders Indicators ShockWatch Product Portfolio ShockWatch Label, SW2. MAG, Clips, Tilt Single-use Low cost Go – No/Go Price Simple Data Recorders Increasing Value to Customer ShockWatch Product Line Solutions range from simple indicators through full data recorders Customers are able to scale their monitoring needs over time – start with a recorder and scale to an indicator when supply chain becomes stable.

ShockWatch 2 Impact Indicator ShockWatch continues to build upon its heritage in the damage detection industry with the delivery of another uniquely engineered solution - the reliable, tamperproof ShockWatch2 Patented, field-armable impact indicator that reveals the mishandling of goods in the supply chain

Why use ShockWatch2 impact indicators? Reduces mishandling incurred during transportation or storage Provides indisputable evidence of mishandling Acts as a visual deterrent to improper handling Alerts recipient to inspect contents before acceptance Promotes chain of accountability for all product handling Confirms effectiveness of packaging Helps identify trouble spots in supply chain, from production to transportation and storage Helps increase quality of product from dock to dock

ShockWatch Label vs. ShockWatch 2 ShockWatch LabelShockWatch 2 ArmabilityAlways live Field-armable (Reduces activations during shipment) Sensitivity25-100G5-75G Indication Window Size Approximately ¼ x 1/8”Approximately ½ x ¼” Co-branding Available Yes (directly on label)Yes (framing label) Security Tamperproof Serialization available Tamperproof Serialized

Field armability reduces costs Reduced packaging decreases shipment size and cost ■ Possible to ship a single unit Activation of ShockWatch 2 during shipment of indicators is eliminated Smaller size reduces size of storage space needed

ShockWatch 2 ShockWatch 2 - Indication Window ShockWatch 2 has a larger indication window which improves visibility ShockWatch Label

ShockWatch 2 - Framing Label A framing label is shipped with each ShockWatch 2 to increase the visibility of the device on a shipment (at no extra charge) Framing label allows for cobranding of the ShockWatch 2 ShockWatch LabelShockWatch 2

ShockWatch 2 - Serialization Traceability enhanced by serialization Serialization is standard

Selection Criteria Weight and volume are starting points for selecting the appropriate ShockWatch 2 indicator. Depending on packaging and product fragility, it may be necessary to adjust the sensitivity up or down.

Sample Return on Investment Typical ShockWatch users see damage rate reductions of 30-70% within 6 months Company’s est. total shipments per year XCompany est. damage rate=Company damaged units 250,0002%5,000/year Company’s damaged units XAvg. replacement / repair costs per unit =Current yearly costs for replacement / repair 5000$300$ 1,500,000 Company’s units shipped per year XShockWatch unit cost=Total ShockWatch investment 250,000 $ 1.00 $ 250,000 Current yearly costs for replacement / repair xConservative damage reduction rate using a ShockWatch* 40% decrease in damage equates to savings of $1,500,00040%$600,000 Reducing your damage rate by 17% pays for total investment. A conservative 40% reduction more than doubles your return. Not captured in current costs (that may be reduced with monitoring program): Administration fees Freight (if product cannot be repaired in the field) Unhappy customers (customer service manpower)

Monitoring program When used in conjunction with companion labels, alert stickers, caution tape, posters, and communication tools, ShockWatch indicators become a highly effective damage reduction and prevention program. To aid in communication with program participants, ShockWatch provides customized letters for your carriers and customers. These letters describe the ShockWatch program and detail the steps to follow in the event a shipment is received with an activated label. Posters are available for the sending and receiving docks. These posters are another reminder of the ShockWatch program details. Alert tape and ShockWatch companion labels are additional tools that increase the visibility of the handling requirements of your package.

ShockWatch 2 – Framing label Improves visibility on a shipment Provides area for cobranding Included with every shipment

Companion label Provides instruction to receivers when indicator is activated Available in multiple languages – Spanish, French, German, Chinese, Japanese, and Korean

Mounting Instructions Mount the ShockWatch 2 Impact Indicator in the lower third of the package/pallet as close to the edge as possible. ■ Avoid the center of the package because the mounting locations should be structurally sound. If the package is twice as long as it is wide, use two ShockWatch 2 Impact Indicators. ■ Place a second indicator in the same position on the opposite side of the package. Place the Alert Sticker on your bill of lading as a reminder to receivers to check the ShockWatch 2 indicator immediately upon arrival.

Next steps Identify your product experiencing the most damage during transit Select the appropriate ShockWatch 2 for your environment Run a pilot program – ShockWatch is there to help you along the way ■ Communicate with carriers and recipients ■ Ask recipients to collect information correlating indicator activation / damage and return the results ■ Monitor damage levels during the program period ■ Compare damage levels pre and post program Review the results with the ShockWatch team Implement the ShockWatch program on a permanent basis Expand program to additional product lines

Ordering information Part NumberProduct Description 45000KShockWatch 2 – 5G impact indicator 46000KShockWatch 2 – 10G impact indicator 47000KShockWatch 2 – 15G impact indicator 48000KShockWatch 2 – 25G impact indicator 49000KShockWatch 2 – 37G impact indicator 50000KShockWatch 2 – 50G impact indicator 51000KShockWatch 2 – 75G impact indicator

For additional information Contact: or visit

Backup Slides

ShockWatch 2 - Response ShockWatch label has one direction that will not respond to impacts; most sensitive angle is 45 o ShockWatch 2 has two directions that will not respond to impacts; most sensitive angle is 90 o No response to impact in this direction Most sensitive angle