1. FIU Business Inter-American Supply Chain Forum
James W. Moore
Vice President,
Supply Chain Excellence
Ryder Supply Chain Solutions
March 16, 2012

2. Company Overview and Solutions

3. CORPORATE OVERVIEW
Since its founding in 1933, Ryder has become a leading provider of integrated logistics & transportation solutions. We deliver outstanding functional execution and proactive solutions built from deep expertise in key industry verticals, including retail and consumer goods.
2011 Revenue
$6.05 Billion
Supply Chain Solutions Division
$1.61 Billion (36%)
Fleet Management Solutions
$3.84 Billion (64%)
2011 Net Earnings
$169.8 Million
Employees
27,500
Fortune 500 Rank [NYSE : R]
437
Distribution Facilities Managed / Sq Ft
235+ / 30+ Million sq ft
SCS Customer Accounts
480
Fleet Equipment
169,900
Clients Worldwide
15,000+
Headquarters
Miami
Canada
Toronto
Asia
Shanghai
Mexico
Mexico City
Other
London
Freight Under Management*
$4.2 Billion
Carriers Under Contract
1,700

4. CORPORATE OVERVIEW MEXICO
Since its founding in 1994, Ryder has become a leading provider of integrated logistics & transportation solutions in the Mexican market. Our customer’s recognize us for our outstanding functional execution and proactive solutions built from deep expertise in key industry verticals, including automotive, retail, high-tech and consumer goods.
2010 Revenue
~ $165 Million
Ryder Mexico HQ
Mexico City and Miami FL.
Ryder Mexico Regional Offices
Monterrey, Guadalajara, Saltillo.
Employees
~1,900
Ryder Operational locations 16
Customer’s locations (operated by Ryder) 18
Clients Mexico 87
Ryder Mexico
Ryder Monterrey
Ryder Guadalajara 4

5. CORE COMPETENCES
Ryder’s asset-light philosophy allows us to design, implement and operate complex, high-value supply chains for our clients around the world. This approach is based upon a flexible, responsive and customer-focused organization consisting of world-class people, processes and technology.
TRANSPORTATION
WAREHOUSING
VALUE ADDED SERVICES
INTEGRATED
Global Transportation Management
Dedicated Contract Carriage
Shipment Planning & Execution
Freight Procurement & Contract Management
Cross border network
Inbound Materials Management
Vendor Managed Inventory (VMI)
Order Fulfillment
Multiclient Facilities
Cross Dock operations
Reverse Logistics
Vendor & Retail Compliance
Retail & Product Configuration
Promotional Display Construction
Product Customization
Kitting, Packaging & Assembly
Control Tower for supply chain visibility
Solutions Engineering
Strategic Consulting/Decision Support
Network Modeling & Optimization
Total Landed Cost
Origin/Destination Services
IT SOLUTIONS
Inventory & Shipment Visibility Tools
Network Optimization Models
WH & TM Systems

6. Demand Driven Supply Chains and Ryder’s Control Tower Solution

7. DEMAND DRIVEN SUPPLY CHAINS: LSP ROLE
Logistics Service Providers are integral in the flow of information, product and finance in a Demand Driven Supply Chain
Logistics Service Provider
Market
Vendors
Retailers
Suppliers
Manufacturers
The challenge of DDSC is seamless visibility—no discontinuities

8. CONTROL TOWERS FOR VISIBILITY: MARRY PHYSICAL AND VIRTUAL FLOWS
Physical Event
Plan for Every Product
Release & Ship
Movement
Delivery
TL, CL
LTL, LCL
Tier 1
Virtual Event
Plan for Every Product
Release & Ship
Movement
Delivery

9. THE GOAL: RESPOND TO POS FROM THE SHELF
Control Tower
Design the Flow
Execute the Flow
"Sense the Shelf"
"Supply the Shelf"

10. THE LSP CHALLENGE: ONE VIEW; ALL EVENTS; FOR ALL PARTIES
Current State
Goal
TDCC
830
862
BOL SO
Manifest
Receipt PL FB

11. THE LSP SOLUTION: CONTROL TOWER—ONE VIEW; ALL EVENTS; FOR ALL PARTIES
Vendors
Retailers
Suppliers
Manufacturers

12. Mexico Cross Border & Control Tower Capabilities

13. CROSS BORDER CAPABILITIES
Ryder is one of the largest managers of Mexico Cross Border services. Ryder has dedicated teams focused solely on planning and executing the fastest, safest and most secure border crossing process on a 24 x 7 operation.
Infrastructure
~156,000 cross border shipments in 2010.
Integrated or stand alone services.
Common and Dedicated Cross docks.
Equipment maintenance and storage.
Secured trailer yards.
Management teams on both side of the border.
COORDINATION
CUSTOMS
OPERATIONS
Liaison with US and Mexican carriers, customer representatives and customs brokers.
Direct trailer shipments from Mexico to US or US to Mexico.
Coordinates all door to door activities including the handling of all customs brokerage transactions.
Dedicated US and Mexican brokers to provide full Customs Brokerage services.
Interfaces with the Customer’s brokerage system to provide all data required for customs processing.
Manage Forwarding Services.
Consolidate & deconsolidate products.
Drayage services.
Dedicated Yard facilities.
Yard management systems that allow Ryder to track the location of trailers within the network.
Cross dock facilities across the border for material going into Mexico from US and material going into US from Mexico.
Security Program: Prevention & Response
Proven lead time reduction C-TPAT, FAST lane.
Quantitative Success Rate 99.5% incident free
Security Programs CCTV, guards, drug-sniffing dogs
Industry-leading Benchmarks C-TPAT, BASC, TAPA 13

14. CONTROL TOWER CAPABILITIES
The OMC Operational Management Center is a shared solution center providing the flexibility to deliver a customized solution that meets our client’s requirements. Ryder’s OMC is a key component in our Transportation solution portfolio value proposition – providing strategic network design through optimized order fulfillment and flawless shipment planning and execution.
Tier 1
Automotive
CPG
Delivery
Movement
Tender & Ship
Optimization
Tier 1
OMC Operational Management Center
Nuevo Laredo
Mexico City
Guadalajara
Improve
Execute
Procure
Plan

15. MEXICO INFRASTRUCTURE
Multi-client Facilities
Benefits: Flexibility, economies of scale and complementary seasons that a dedicated facility would be unable to achieve. Allows customer to focus on its core business.
Tijuana: Cross Border
Laredo: Xdock + Xborder
Cd. Juarez: Yard
Yard Area: 10,000 m2
Yard Area: 5,000 m2 1
Ramos: Ryder ASL
Area: 5,760 m2
Yard 6,690 M2
Nuevo Laredo: Control Tower
Nuevo Laredo: Yard 1
Area: 20,304 m2
SLP: Ryder ASL
79% Industry Base
70% Urban Population
80% Commerce 1 4
Yard Area: 28,000 m2
MTY: Diamante
MTY: Stiva 1
Area: 20,475 m2
GDL: Ryder III 1 2
Area: 20,467 m2
Area: 34,123 m2 1
MTY: Kalos
MEX: Carrizal
Area: 42,175 m2
Area: 4,106 m2
Area: 37,770 m2

16. Ryder Mexico Locations and Customers (sample)
MEXICO CUSTOMER BASE
Ryder Mexico Locations and Customers (sample)
Manages approx. 3,000 border crossings each week between Mexico and US.
WH space 221,159 m2
Yard space 306,482 m2
Total Space 527,641 m2 16 16 16 16

17. CONSUMER GOODS CUSTOMER: LEAD TIME REDUCTION OF 55%.
Ryder Solution provides Control Tower & Visibility through planning, optimization, execution, visibility, and reporting enabling an adaptive, responsive supply network reducing total logistics inventory
11 days
6 days reduction in
inventory
5 days
Impact to Northbound Crossborder Lead Time

18. Thank You !!
Please visit 18

19. Appendix

20. INFORMATION TECHNOLOGY STRATEGY
Ryder’s Supply Chain Management System includes Warehouse Management System WMS, Transportation Management System RTMS, Yard Management System YMS and Vehicle Management System VMS for trailer yard and vehicle yard administration respectively and Control Tower Application CTA for visibility through the entire supply chain. These systems are able to provide control, reliability, visibility and confidence to our customers that their products are best handled and delivered to their Customers.
Integrated – centralized solution
Infrastructure in support of applications, databases, WAN/Internet, EDI Integration
ERP, Legacy, etc
Customer’s Systems
Supply Chain Mgmt System
Web based access
Customer, Ryder, 3rd Party
Database
WEB
Application
IB / Receipts
Put away, Returns, etc
Inventory Control, RF
Order-Delivery, Picking,
Dispatch, POD / OB
Product Traceability
EXECUTION
INFRASTRUCTURE
INTEGRATION
TO CUSTOMER’S
EDI WORKFLOW
Delivery Orders,
ASNs
Goods Receipts, Goods Issue,
POD, etc

21. WAREHOUSING CAPABILITIES
Ryder Mexico has provided supply chain and warehouse solutions to major Automotive, Industrial, High-Tech and Retail Appliance Customers since Services include warehousing management and outstanding execution.
Value Added Services
Kitting and packaging.
Retail pre-distribution per store.
Bundling.
Inspection and Private & Branded Label Products
Other as required by customers.
OPERATIONAL ENVIRONMENT
Multi-client and dedicated facilities with more than 220,000 m2.
Ryder location yard space with more than 306,000 m2.
Best warehousing practices.
Cross docking operations.
Pick, pack and ship through various channels.
Ryder WMS.
KPI tracking and reporting.
Vendor Management Inventory VMI.
Reverse Logistics.

22. TRANSPORTATION CAPABILITIES
Through a carefully executed selection process Ryder has selected several Carrier Partners in the market to whom we lease Ryder owned trucks to provide us with dedicated transportation services. In addition, Ryder Mexico has over 100 mexican carriers under contract providing services to Ryder on a daily basis. Ryder Mexico provides its customers a unique and effective transportation management system through access to dedicated and transactional transportation managed seamlessly by Ryder Mexico. This system works like a Control Tower for all movements of Ryder.
SERVICES
PROCESS
SYSTEMS
MAINTENANCE
Dedicated and Transactional Transportation
Onsite Fleet Management, Dispatch and Administration
Shipment Planning and Execution (SPE)
Freight Bill Audit and Payment (FBAP)
Contract Administration
Rate Management
Claims Management
POD Management
Performance Metrics
Proven Safety Program
Continuous Improvement
Training and Compliance
Transportation Management System RTMS
Web Visibility
GPS Tracking
Electronic Dispatch
Yard view
Optimization Modeling
Integration via EDI
Onboard Communications
7 Maintenance workshops and a fleet of mobile maintenance units.
Programmed Preventative and Corrective Maintenance

23. RAIL SWITCHING CAPABILITIES
Another capability in Ryder Mexico is the Rail Switching Operations. Currently, this service is performed for finished cars in Silao and Ramos Arizpe. USA, Canada and Middle East destination units, are loaded into Multilevel Railcars.
Infrastructure
5 Ryder Locomotives (2 in Silao and 3 in Ramos Arizpe)
Up to 300 railcars in inventory are managed at Silao, 205 at Ramos Arizpe.
OPERATION ENVIRONMENT
Rail Loading.
Rail Switching.
Ryder’s Vehicle Management System (Vintelligent) thru RF scanning.
Vintelligent updates customer’s system (VTIMS) in an automated process via EDI.
Safety is the overriding priority.
VAS services:
Finished Vehicles Inspection, Receiving and Driving away according to Ramp Codes Destinations.
Wrap guard and wax coating to avoid rust damage for thru-ocean destinations
Laser engrave. 23

24. SECURITY INFRASTRUCTURE
Ryder’s Multi-client facilities are equipped with the most innovative and proven security technologies, such as internal and external CCTV, High Value Areas surveillance and Central Monitoring.
Infrastructure and Systems
Secure Data Processes
Biometric access control to the facility.
Fire Protection System: Fire hydrant and fire extinguisher. Mexican regulation and NFPA Compliant (National Fire Protection Association).
Emergency power plant.
Medical service.
CCTV Digital System.
Electronic card access control to the high value areas.
At the multi-client facilities:
Local area network services and computer room.
Telecommunications to access Ryder’s Data Center with backup link.
60 to 90 days backup on hard disk for video surveillance.
At the Data Center (centralized off-site location):
Data center infrastructure with redundant components.
Daily database backups.
Database replica to alternate Data Center.
Video Surveillance / Access Controls
Central Monitoring
Internal
External
High Value Areas