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Ford/SLI ~ Logistics Insight Review
Logistics Insight Corporation June 25, 2007
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Our insight is your advantage.
Table of Contents Company Overview Experience Metrics Memphis Facility Implementation Scanning/Systems Our insight is your advantage.
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Introduction Mike Akkanen Senior Vice President Frank Sacha Director, Business Development Marv Rons Director, Operations Pete Spata Vice President ~ IT John Walters Pricing Our insight is your advantage.
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Company Overview Our insight is your advantage.
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CenTra, Inc. The parent holding company for a diverse family of more than 60 specialized corporations providing: Wide array of transportation services “Turn-key” real estate development Logistics management Financial services. Employing more than 5,000 employees across North America in 37 states, Mexico, and Canada. Very strong due to our tangible assets The Ambassador Bridge Crown Real Estate Holdings Our insight is your advantage.
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CenTra, Inc. Company Overview LINC ONTARIO CTX CENTRAL TRANSPORT
ECONOMY TRANSPORT MASON DIXON UNIVERSAL AM-CAN UNIVERSAL TRUCKLOAD SERVICES TL GROUP PRO LOGISITICS MOHICAN CENTRAL GLOBAL EXPRESS CTX LINC ONTARIO LOGISTICS INSIGHT CORPORATION SUPPLY CHAIN SERVICES GROUP CT TRANSPORT CANADA CENTRAL TRANSPORT LTL GROUP REAL ESTATE SERVICES & DEVELOPMENT CUSTOM SERVICES INTERNATIONAL SPECIALIZED GROUP PRECISE LOGISTICS NETWORK Our insight is your advantage.
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Company Overview Logistics Insight Corporation (LINC), a subsidiary of CenTra, Inc., was formed specifically as a single source contract logistics service provider to design and manage dedicated and integrated distribution systems. LINC has extensive experience in automotive and automotive related industries. We have substantially reduced costs for our customers by customizing solutions to address their: Transportation Warehousing Inventory Carrying Costs Information Systems Packaging Other Specialized Requirements like CMA, CMC, Sequencing, Sub-Assembly, kitting, etc… Our insight is your advantage.
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Outbound Transportation Management Material Processing Centers
LINC Overview SERVICES PROVIDED Vendor Managed Inventory (VMI) U.S. Port Transload & Value Added Services Dedicated Transportation Distribution Warehousing Reverse Logistics Management Consolidation Inbound/ Outbound Transportation Management Programs Material Processing Centers Container Management Home Delivery Consulting Services Pooling Operations Kitting Repack Sequencing (ILVS) Subassembly Our insight is your advantage.
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Company Overview ISO 9000 CERTIFICATION ISO 9001: 2000 Corporate Office Single Certificate Warren, MI Detroit Regional ILC Romulus ODC Pontiac Processing Center Flint LOC Brampton Fort Wayne Processing Center Janesville Processing Center Moraine Material Processing Center ISO CERTIFIED All LINC sites are registered to ISO 9001: The Corporate Office’s single certificate lists each site. Our insight is your advantage.
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Experience Our insight is your advantage.
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World Class Experience
INBOUND TRANSPORTATION PROGRAMS Logistics Optimization Centers (LOC) Small Lot/Bulk Management Fort Wayne Flint Moraine San Luis Potosi Sequencing/ Sub Assembly Janesville Pontiac Plant Shuttle Operations Janesville Pontiac Fort Wayne Moraine Lordstown Arlington Deconsolidation Centers Janesville Fort Wayne Moraine Pontiac Lordstown CMC Operations Flint Janesville Pontiac Fort Wayne Lordstown San Luis Potosi VAA San Luis Potosi Sister Company Central Transport is single source LTL carrier for all of GM and is a Core Carrier for GMSPO Our insight is your advantage.
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LINC / GMSPO Flint Michigan Cross Dock / Accessory Consolidation Center Service Parts Distribution 20 IB trailers per night: 14 OB loads/day to GMSPO PC’s/PDC’s Lansing Sort: 5 Loads/day 1500 Boxes per night to 6 unique destinations Hollingsworth Envelope Sort Receive 3 pallet boxes per day, containing envelopes We sort these envelopes to 15 locations via Fed Ex and static routed carriers. ACC (Accessory Consolidation Center) Consolidation of GMSPO accessories for the GMSPO ADI network. Accessories are scanned by pallet/piece and routed to an OB trailer or staging location as indicated by our scanning system. Value added audits are based on number of parts received. LINC Audits include: Bar code, shipping, and packaging audits. Repack of non-conforming material. LINC provides a web-based tracking system for ADI visibility/tracking. Expedite Center (Hot Parts) Receive trailers per day, servicing 19 PDC’s (Parts Distribution Centers) We also handle the following: Material Returns Returnable Containers Transfer Loads Material is scanned and routed via our web-based scanning system. Our insight is your advantage.
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World Class Experience
SYNCHRONIZED MATERIAL CENTERS Transportation Truck Load - Q1 Carrier Ford Kentucky & Louisville Mega Plant Shuttles Central Transport- Q1 LTL Carrier Dedicated Milkrun LTL - Non Production - Single Source Dedicated Seat Shuttles MI Truck Assembly Dearborn Truck Assembly Kansas City Assembly Ford Romulus ODC Cross Dock & Container Center Services: Ford Assembly Powertrain Export Plants Crossdock = 29.5 Million lbs. weekly Daily: 345 IB & 360 OB Loads Single source provider of 150+ daily collection routes Auto Alliance - Flat Rock, MI Sequencing, Card Market, Container Management Center Sequence 29 commodities Card Market 11,000 Daily Picks, 3,800 Part Numbers Sequence 443 Part Numbers – 35,200 Daily Picks Inventory & Meter Japan Origin Parts – 1200 part numbers New Model Launch Transportation & ASN Update Ford CSD Mexico Ford Oakville Ford Michigan Truck Ford Avon Lake Ford Kentucky Truck Ford Chicago Ford Wayne Lima Engine Warehousing & Transportation Our insight is your advantage.
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World Class Experience
INBOUND TRANSPORTATION PROGRAMS Detroit Regional Integrated Logistics Center (DRILC) Services 37 DCX assembly & manufacturing plants Services 9 Freightliner plants Services 9 Mopar plants Crossdock 5 million lbs. daily 180 IB & 165 OB freight loads daily container loads weekly International Stuff Ocean Containers for Export Brampton Assembly SPD Truckload Carrier Truckload and Milkrun Provider International Repack and Direct Ship Program St. Louis N & S Assembly Small Lot CMA Sequencing Rail Trans-loading Switching/Yard Mgt. CMC Brook Park Northeast ILC Processing center for Northeast U.S. LTL Suppliers Warren Truck Assembly SPD Truckload Carrier Our insight is your advantage.
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Current LINC facilities Company owned logistic facilities & cross docks with capacity for LINC operations Our insight is your advantage.
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Metrics Our insight is your advantage.
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Individual carrier performance across all plants for 5/31/07
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Memphis Facility Our insight is your advantage.
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5.8 Miles 6.1 Miles Our insight is your advantage.
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Implementation Our insight is your advantage.
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Organization for Launch and Startup
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Implementation Team Background - (1 of 3)
LINC FCSD DDS IMPLEMENTATION TEAM BACKGROUND DONALD J. BERQUIST - VICE PRESIDENT OF OPERATIONS DON CURRENTLY HOLDS THE POSITION OF LINC EXECUTIVE DIRECTOR OF OPERATIONS. HE WAS BORN AND RAISED IN MCKEESPORT, PA AND ATTENDED PENN STATE UNIVERSITY. WORKED FOR CENTRA SINCE 1977 IN THE FOLLOWING CAPACITIES: TERMINAL DISPATCHER AND SUPERVISOR (IRWIN, PA), OPERATIONS MANAGER (LANSING, MI), TERMINAL MANAGER (IRWIN, PA), DOCK OPERATIONS MANAGER, DECON MANAGER (PONTIAC, MI), TERMINAL MANAGER (CT FLINT, MI), GENERAL MANAGER FSS (FLINT SPECIAL SERVICES), STARTED FSS OPERATIONS FOR BUICK CITY, LOGISTICS INSIGHT CORPORATION (LINC) OPERATIONS MANAGER, LINC GENERAL MANAGER FOR GENERAL MOTORS CORPORATION, EXECUTIVE DIRECTOR OF OPERATIONS AND VICE PRESIDENT FOR LINC. JOHN ELLIOTT – QUALITY/PROCESS IMPROVEMENT JOHN IS CURRENTLY ASSIGNED AS THE MANAGEMENT REPRESENTATIVE AND COORDINATOR OF LINC’S ISO CERTIFICATION EFFORTS. JOHN WAS RECENTLY PART OF THE LAUNCH TEAM IN JANESVILLE, AND AAI IN FLATROCK AND HAS BEEN INVOLVED IN OVERSEEING AND MANAGING THE ISO CERTIFICATION OF 14 OPERATING FACILITIES. PRIOR TO THIS, JOHN WAS CORPORATE SERVICES MANAGER FOR CTX, OUR SISTER EXPEDITED SERVICE CARRIER. PETER SPATA - VICE PRESIDENT - IT PETER HAS BEEN WITH THE CENTRA FAMILY OF COMPANIES SINCE 1986. HE CURRENTLY HOLDS THE POSITION OF VICE-PRESIDENT OF IT & COMMUNICATIONS. HE WAS RAISED IN LANSING, MI AND ATTENDED MICHIGAN STATE UNIVERSITY. SUPERVISED AUTOMOTIVE OPERATIONS FOR CGE, (THE AIR FREIGHT DIVISION), AS WELL AS COROPRATE OPERATIONS MANAGER, DIRECTOR OF OPERATIONS, & VP OF INFORMATIONS SYSTEMS BEFORE TAKING ON THE CURRENT ROLE WITH LINC. PRIOR TO CENTRA HE WAS A PARTNER IN A MICHIGAN, AUTOMOTIVE BASED, TRUCKING COMPANY AS WELL AS TERMINAL MANAGER. Our insight is your advantage.
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Implementation Team Background - (2 of 3)
MARV RONS - DIRECTOR OPERATIONS MARV RONS IS CURRENTLY WORKING OUT OF ROMULUS, MI. HE IS IN CHARGE OF OVER 10 FACILITIES THAT COVERS GM, FORD, AND DAIMLERCHRYSLER. MARV HAS OVER 17 YEARS WITH LOGISTICS INSIGHT AND HAS EXTENSIVE EXPERIENCE IN THE OPERATIONS FIELD. GRADUATE: EASTERN MICHIGAN UNIVERSITY FRANK SACHA - DIRECTOR SUPPLY CHAIN BUSINESS DEVELOPMENT FRANK SACHA IS CURRENTLY LINC'S DIRECTOR OF SUPPLY CHAIN BUSINESS DEVELOPMENT FOR THE FORD MOTOR ACCOUNT.FRANK SACHA HAS SERVICED ALL DIVISIONS OF THE FORD ACCOUNT INCLUDING ASSEMBLY, POWERTRAIN, EXPORT AND FORD CUSTOMER SERVICES DIVISIONS FOR 21 YEARS. FRANK SACHA BEGAN HIS CAREER IN THE CENTRA ORGANIZATION WITH CENTRAL TRANSPORT AND TRANSITIONED TO LOGISTICS INSIGHTS IN HE HAS PROVIDED VARIOUS TRANSPORTATION SERVICES TO FORD INCLUDING LTL, TRUCKLOAD, CONSOLIDATIONS, WAREHOUSING AND OPERATING CENTERS. GRADUATE: WAYNE STATE UNIVERSITY MARJORIE CLUBBS – OPERATIONS MANAGER MARJORIE WENT TO CENTRAL MICHIGAN UNIVERSITY, GRADUATED IN MAY 2003 WITH BSBA MAJORED IN PRODUCTION/OPERATIONS MANAGEMENT WITH EMPHASIS ON QUALITY. I STARTED WITH THE CENTA COMPANIES IN JUNE MARJORIE SUPERVISED THE FLAT ROCK SMALL PARTS, REPACKING, RECEIVING, SEQUENCING OPERATION FOR MAZDA. I WAS AN OFFICE SUPERVISOR IN ROMULUS AND HAVE BEEN ON 3 LAUNCHES; ONE IN MORAINE, ONE IN BRAMPTON AND MOST RECENTLY AS THE QUALITY LAUNCH MANAGER IN FLINT FOR THE GMSPO OPERATIONS. SHE HAVE SERVED AS A DOCK SUPERVISOR, QUALITY SUPERVISOR, PLANT LIAISON AND SAFETY COMMITTEE. CHRIS BECK – SYSTEMS CHRIS IS CURRENTLY THE MANAGER OF OUR SYSTEMS SUPPORT GROUP AT OUR CORPORATE OFFICE. CHRIS HAS PURCHASED AND DEVELOPED IN-HOUSE SOFTWARE TO DESIGN LINC’S OPERATING AND REPORTING SYSTEM. CHRIS WAS MOST RECENTLY ASSIGNED TO THE JANESVILLE AND AAI FLATROCK LAUNCHES. GRADUATE: YOUNGSTOWN STATE Our insight is your advantage.
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Implementation Team Background - (3 of 3)
LARRY COX – DIRECTOR OF TRUCKLOAD OPERATION LARRY COX HAS WORKED WITHIN THE CENTRA ORGANIZATION FOR OVER 35 YEARS. HE HAS HELD MANY MANAGERIAL POSITIONS PRIMARILY ON THE OPERATIONS SIDE OF THE BUSINESS AND HAS ASSISTED IN THE DEVELOPMENT OF MANY NEW FACILITIES IN BOTH THE USA AND CANADA. LARRY HAS ALSO BEEN INSTRUMENTAL IN THE START UP OF NEW COMPANIES WITHIN THE CENTRA ORGANIZATION. BOB TACOMA – DISPATCH OPERATIONS BOB IS CURRENTLY THE LLP CONTRACT MANAGER FOR PONTIAC. HE HANDLES DAY-TO-DAY OPERATIONS. PRIOR TO THIS POSITION, BOB WORKED FOR AMEX DUTY FREE SHOPS ( ) AS OPERATIONS MANAGER HANDLING WAREHOUSING, STORE OPERATIONS, EMPLOYEE MANAGEMENT, ETC. BOB THEN WORKED FOR FSS DISPATCH SYSTEMS, DOCK MANAGEMENT. BOB ALSO HAS BEEN LINC MANAGER FOR FSS IN PONTIAC AND OPERATED BOTH LOCAL AND LONG DISTANCE ROAD CREWS FOR 5 DIFFERENT PLANTS (PICKING UP FREIGHT IN DISPATCH SYSTEM). RICHARD BOARI – EQUIPMENT DICK IS CURRENTLY RESPONSIBLE FOR A TEAM THAT MONITORS ALL SHIPMENTS WITHIN THE CENTRAL SYSTEM FOR DELPHI, COLLINS & AIKMAN, AND VALEO INTO AND OUT OF ALL FACILITIES WITH THE U.S., CANADA AND MEXICO. DICK HAS BEEN WITH CENTRA/LINC FOR 27 YEARS AND HAS IN DEPTH EXPERIENCE IN CUSTOMER SERVICE, EQUIPMENT CONTROL, TRAILER CONTROL, OSD, CLAIMS PAYMENT, DISPATCH, BOTH CITY AND LINEHAUL, WAREHOUSING, AND WAREHOUSE ROUTE DESIGN. DICK SERVED ON THE JANESVILLE LOC, FORT WAYNE CMC & CMA, AAI FLATROCK, LORDSTOWN AND FLINT CMA LAUNCH TEAMS. LEE WEISENBERGER- SYSTEMS INTEGRATION LEE IS CURRENTLY THE SENIOR SYSTEMS ARCHITECT FOR CORPORATE OPERATIONS. HE HAS DEVELOPED AND IMPLEMENTED CMA/INVENTORY, KANBAN, AND INTERNAL REPORTING SYSTEMS. LEE IS ALSO RESPONSIBLE FOR SYSTEM SETUP IN NEW SYSTEM IMPLEMENTATIONS, INCLUDING SERVER AND WIRELESS SETUP Our insight is your advantage.
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Sample Implementation Plan, (Page 1 of 9)
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Sample Implementation Plan, (Page 2 of 9)
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Sample Implementation Plan, (Page 3 of 9)
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Sample Implementation Plan, (Page 4 of 9)
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Sample Implementation Plan, (Page 5 of 9)
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Sample Implementation Plan, (Page 6 of 9)
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Sample Implementation Plan, (Page 7 of 9)
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Sample Implementation Plan, (Page 8 of 9)
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Sample Implementation Plan, (Page 9 of 9)
The implementation plan that is referenced above is for planning purposes only and if LINC is awarded the DDS Operation a formal implementation plan in Master Dot Format complete with merged information from the incumbent and SLI will be created. Our insight is your advantage.
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Scanning & Systems Our insight is your advantage.
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Systems Overview and General Processes
Inbound Processing 862 (schedule) Creating & Processing Routes Processing Supplier ASN Assigning Parts / Plant / Supplier to Route Generating Crossdock data 214 Generation Crossdock Process Incoming & Outgoing Messages from Route Dispatch Crossdock Freight Process Electronic verification Outbound Verification of Freight Crossdock Close Out processes Dispatch Process Outbound ASN Process 214 Processing Both our Routing/Dispatch and Crossdock system are cluster server based (multiple redundant failover servers) Windows 2003 Operating System Microsoft 2000 SQL Databases Crossdock System is a secure Wireless network. Scanners are mini computers running on Microsoft CE that enable more functionality to the user All systems are updated real-time through Microsoft message queue. Process updates are reflected immediately in all areas of the systems. Our insight is your advantage.
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Expedite Orders (Consolidated Racks)
Gives Detailed trailer view of Inbound Expedite Trailers, and the associated Consolidated Racks) Our insight is your advantage.
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AUDIT SETUP Plant/Destinations- AUDIT SETUP Inbound Shipments can be setup for Audit, Based on Supplier/Destination combination. This information drive the Scan Guns, shipments specified for audit cannot be scanned to any other warehouse location Our insight is your advantage.
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Plant/Destinations- This screen setups outbound destinations, allows plants and destinations to be setup to specific outbound doors or zones. These Zones drive the delivery locations on the scan guns. Our insight is your advantage.
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Current Zone Inventory
AUDIT SETUP Current Zone Inventory Gives Status information for the material scanned in each warehouse Zone/BIN Our insight is your advantage.
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Current Orders Gives All orders for a given day, sortable. Our insight is your advantage.
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Outbound Trailers (Consolidated Racks)
Trailers are closed on the dock from the scanners, and awaiting trailer, carrier, seal information before transmitting asn. Our insight is your advantage.
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Outbound Support (All Shipments)
Gives a list of all parts shipped out from within a specific date range. This provides addition support documentation for ASN data transmitted to the OEM. Our insight is your advantage.
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Inventory System 1. Part number management: a. Part Numbers cross reference between shipper and vendor numbers (if different) b. Part Alias functionality (due to engineering changes, for example). c. Primary and secondary warehouse locations d. Total Quantities / Quantities by Status f. Quantities by Location e. Part Quantity minimum and maximum f. Descriptive Information g. Standard Pack Quantity h. Supplier i. Part Classification j. Part Serial Number Identification Option j. Hazardous Material designations k. Weight l. Packing Material m. Part Cost n. Repack configurations Our insight is your advantage.
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Inventory System 2. Racking / Storage – Bar coded a. Identity & Profile b. Warehouse location c. Type (bin, drawer, rack) d. Primary / Secondary e. Dimensions 3. Supplier / Customer Profiles a. Shipper Details b. Consignee Details 4. Receive ASN a. ASN sent from Customer to Linc G.O. EDI mapper. b. Linc G.O sends 997 reply and forwards data to WMS module Our insight is your advantage.
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Inventory System 5. Receiving process a. Paperwork retrieved from driver b. Trailer # (BOL or SID) Entered into Scanner c. Material Unloaded d. Parts are scanned into inventory based on the AIAG bar code 39 standard. This scan will place each box of material into our database down to a serial number or lot level. e. PDF417 Barcode scanned using ‘Material Receipt’ dropdown. f. Part, Quantity, Serial Key match to avoid duplicate entries g. Compare Actual receipt vs. Expected receipt (from ASN). 1. Discrepancy (if any) noted and filed in database. Reply sent to Customer. 2. Parts added to “Temporary receipt” status. h. Put Away Location Identified upon completion. Put away report Part # Serial # LOC D12A D04B Our insight is your advantage.
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Inventory System 6. Put away Process a. Parts scanned to temporary put away area or taken directly to the warehouse rack or bin location b. Bin, drawer or rack location scanned; bin location must match part location(s) in database. c. Inventory totals are incremented (parts put away) by part and location 7. ULOC, Queue and DLOC fulfillment a. As ULOC reaches replenishment level, location is scanned for warehouse inventory location. b. Parts retrieved from inventory, scanned to ULOC for validation, and status changed to ULOC with reference to new warehouse location. c. As Queue location reaches replenishment level, location is scanned for ULOC inventory d. Parts retrieved from ULOC, scanned to Queue for validation and location updated in WMS. e. The same process occurs to satisfy the DLOC parts replenishment. f. From DLOC the parts move into the subassembly process Our insight is your advantage.
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Network Hardware & Redundancy
The focus of the Linc IT systems strategy is on maintaining the highest level of system availability. We understand the extremely critical nature of our customers’ business and provide a multi-layered approach to system redundancy. Each primary Linc logistics center has the following minimum facilities, network hardware and redundancy in place. Full facility backup generator running on natural gas with automatic transfer switch 2-APC battery backup devices for support as generator comes on-line and for short term loss of power. Cisco network router and backup router with automatic failover Cisco 24 or 48 port switch and backup switch Nokia Firewall for Internet security Baracuda spam protection, content filter and virus monitoring device RackBotz environmental monitoring device - sensors for temperature, humidity, air flow, unauthorized access and water alarm. Our insight is your advantage.
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Network Hardware & Redundancy
Depending upon the critical nature of the operation, multiple T1’s or a combination of T1’s and Broadband Wireless connections will be deployed to maintain connectivity between the Linc logistics center and the customer site. Automatic failover is accomplished by maintaining dual network cards in the router or via multiple routers. The programs used to maintain the local operations are setup on “clustered servers” whereby 2-servers, configured identically, are setup to act as one in case of failure by either device. The servers are both supported by an external “raided disk array” which contains multiple hard drives that act as one large hard drive to store the data files. Since the data are automatically stored across multiple disks, it can survive the failure of a single disk without loss or shutdown. Our insight is your advantage.
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Disaster Recovery Disaster Recovery Our first line of defense - keep enough redundancy in place so as to minimize the need for it. If the situation arises, the following feature & functions are invoked depending upon the type of failure. Local recovery Transaction logs are backed up every 30 minutes. The most recent log files can be restored. Incremental backups are run every 2 hours. The most recent ones can be restored. The incremental backup is also sent to the redundant Disaster Recover server housed at the Linc G.O. A full backup on the database is performed each night. The full save can be restored if required. The full save is also backed up on the D/R server housed at the Linc G.O. Linc General office recovery Disaster recover server is configured to “mirror” the local “on-site” server. The D/R server receives the incremental and full saves from the local servers and also performs a full save each night. 14 backup disks are used in rotation over a two week period to hold the nightly full backup. Disks will be stored in a media safe after use and until required for backup rotation. If the local on-site server or raid array completely fails, the D/R server would be sent to fulfill the needs of the local server. Depending upon the customer requirements we can store multiple years of assembly records. Our insight is your advantage.
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Data Security Data Security Data access is secured at multiple levels. Active Directory running on Windows Server 2003 controls initial user authentication and access to the network via username and password. Other data & physical security measures are: User must change password every 3 months and can not repeat any of the previous 3 passwords. Not allowed to use simple repetitive type password (ex: , abcdef, etc). Databases access is controlled by a separate user login - only issued to authorized parties. SQL databases are encrypted. Nokia Firewalls, Barracuda spam & content filter, and Symantec virus protection and text message notifications are sent to network managers when data integrity or network connectivity is compromised. Physical access to the data servers is controlled by either a swipe card reader or lock & key. The Linc General Office server room is also protected by a Halon gas fire suppression system. Within each server rack is a Rackbotz environmental / access monitoring device. Checks for humidity, temperature, airflow, moisture and rack access. External access to the Linc network is controlled by VPN with encrypted user access or by private data circuits. Our insight is your advantage.
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SLI/FCSD DDS & Cross Dock
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