2 What Sets Successful Agents Apart Common traits of successful agentsAttitude/desire for growthWillingness to invest in the agency (resources/facilities)Commitment to quality at all levels of the agencyA relentless focus on salesAbility to communicate needs and properly utilize all available extended resourcesFocus on servicing direct customersAbility to broker freightWillingness to learn multiple modes of transportation and service all customer freight needsWillingness to learn from other agents
3 How to GrowPlanned Approach to Growing Your Agency – Understanding current stateUnderstand your current agencyWhat customers do I service today? (ARA report)What services am I providing my customers?Why is the customer choosing me vs. the competition?Understand your customersWhat is the role of my current contact as it relates to the entire supply chain?Is there more business to be had under his direct control over?Is there more business outside of his control?
4 How to GrowPlanned Approach to Growing Your Agency – Understanding current stateUnderstand the industries you serviceWhat industries am I servicing ?What other customers can I target in these industries?Understand the current services you provide as it relates to the customers and industries that you currently serviceAm I providing transactional services or solutions to my customers?Have I been providing all modes of transportation to my clients?What services or modes am I not comfortable with providing my clients today?
5 How to GrowPlanned Approach to Growing Your Agency – Develop A Plan for GrowthAgency PlanDetermine if resources are properly aligned to support growthUnderstand your current capacity for growthIdentify additional resources needed to support growthHave roles and responsibilities clearly defined for employeesHave plan to support sales, operations, and the back office for continuous growthSales PlanIdentify a lead sales person for the officeSet a day sales planPrioritize accounts to call on based on immediate opportunities with existing accountsFocus on new accounts from target market segments that best fit
6 How to GrowPlanned Approach to Growing Your Agency – Executing the planEngage the right resourcesShare plan with Landstar to ensure corporate and field resources are fully engaged in your successNetwork with other agents to learn best practicesTeam up with other agents for services you do not want to provideFollow-up and showcase your successesTake the lead in driving your planEnsure resources are fully engaged and remain focusedGet people excited about your successCommunicate , communicate, communicate…..
7 How to Sell Solution sales approach vs. transactional Ask questions! Try not to “sell” until you know the customer needsAn introduction to Landstar is often enough get your foot in the door and open up opportunities for discussions around customer needs.Understanding the big picture will ultimately lead to more opportunityWe are here to help – As you understand more about the needs of your customer engage the right resources to help develop the right solution.
8 Corporate Headquarters Landstar System, Inc.Publically Traded as LSTR on NASDAQ1,300 Employees (Jacksonville, Rockford and Southfield)Over 1,300 Agent Locations8,500+ Exclusive Business Capacity Owners30,000+ Contracted Capacity ProvidersWarehouse FacilitiesCorporate HeadquartersJacksonville, Florida8
9 Business ModelLandstar is a worldwide, non-asset based provider of integrated supply chain solutions delivering safe, specialized transportation and logistics services to a broad range of customers utilizing a network of agents, third party capacity owners and employees.LandstarCapacityAgentsCustomersHow does choosing Landstar as your transportation provider benefit you? That’s simple. It’s the strength of our unique business model.A model that provides your company with the best of two distinct worlds. A large, well respected, financially stable, publicly traded corporation, as well as a local entrepreneur with years of experience working day in and day out to satisfy the needs of customers just like you.From Landstar capacity, to your Landstar agent, to Landstar Transportation Services, Inc., we all have one goal…….satisfying your supply chain needs safely, consistently, and for a price you can afford.8,000 BCOs31,500 Approved CarriersAll Major U.S. Rail LinesOcean Cargo CarriersAir Cargo CarriersWCO NetworkForeign Correspondent NetworksInsuranceFinanceOperating AuthorityTechnologyIndependent Business OwnersCustomer ServiceSourcing CapacityTracking & TracingCustomer ReportsDispatchingSafetyProcurementSales Support
10 Financial Results Full Year (In Thousands)16.0%16.3%16.4%We’re proud of our success at Landstar.Satisfied customers, have helped Landstar sustain positive financial results while growing theirs. With Landstar, you have the financial strength of an industry leader there to serve you year after year. Financial strength is vital to the day to day transactions (payment to our various providers/vendors/carriers…) as well as have the ability to manage any possible risks that may arise over the course of normal business activity.46.2%42.4%35.5%Gross margin equals gross profit divided by revenueOperating margin equals operating income divided by gross profit
11 Awards Top Ten 3PL Excellence Award Quest for Quality Awards Quest for Quality AwardsInformationWeek 500 Award Winner Innovation in Technology14 consecutive yearsAlong the way we’ve won several awards.Landstar has received Inbound Logistics Top 10 3pl Excellence award and Inbound Logistics Quest For Quality Awards for 10 straight years. Landstar ranked #1 on American Cranes 7 Transports 2012 ACT Transport 50 listing of North America’s Largest Heavy and Specialized Transportation Companies and ranked second on International Cranes & Transport 2012 Transport 50 listing of the World’s Largest Specialized Transport CompaniesAnd, as proud as we are of that, it pales in comparison to Landstar’s unmatched safety record.#2 – 2012 Transport 50# ACT Transport 502012Top 100 For-Hire Carriers, Top 50 Logistics Companies, Top 50 Freight Transportation Firms ,Top 25 Freight Brokerage Firms
12 Certifications 9001:2008 ISO 9001:2008 Registered With processes in place including ISO Certification, and as a member in good standing of Responsible Care and SmartWay, Landstar ensures your freight is picked up, transported, and delivered while employing monitored quality processes that protect your freight, your customer, and the environment.9001:2008
13 Business Model Industries Served As a Percentage of Revenue Fiscal Year 2012Landstar is very diversified not only in the mix of freight, but in the various modes needed to provide safe capacity to our customers. Landstar is not reliant on a small group of customers or any one industry so we are able to react to and sustain positive activity for all of our customers and service providers.
14 Transportation & Logistics Solutions North America OTRPlatformVan/LTLBulkTankerExpeditedHeavy HaulWarehouse• Flexible & ScalableEstablished Network of ProvidersAll Major MarketsWith Landstar,We canMove It & Manage It.IntermodalReliable/Efficient TransportationSubstituted ServicesFull CoverageSupply Chain Solutions• Freight Management Services• Freight OptimizationEvent ManagementLeading TechnologyInternational• NVOCC/OTIIATA/IAC (Domestic and Intl)Break Bulk/OOGProjects
15 Transportation & Logistics Solutions Supply Chain Solution ServicesTraditional Transportation ServicesOptimization of the order-to-cash processTruckload / LTLFreight management servicesVan, flatbed, over dimensionalFreight optimizationTrailer poolsComplete carrier visibilityEmergency / expeditedEvent managementAirWarehousingOceanRailLandstar solutions range from Complete Supply Chain Management to Traditional Transportation Services. We will look to work with N.E.M.S. to build a customized solution that works best for you and your organization.
16 Landstar Supply Chain Solutions Corporate Headquarters Traditional non-asset based 3rd Party LogisticsOver 20 years experience in transportation managementProprietary technology and Oracle™ (OTM)Safety First Culture24 x 7 x 365 coverage2012 statistics354,891 shipments managed$387M transportation spend managed1877 primary carriers usedCorporate HeadquartersJacksonville, Florida16
18 Supply Chain Solutions Outsourced Logistics Management ServicesComplete Management of Information & Physical Flow of GoodsManage OrdersOptimize ShipmentsExecute ShipmentsFinancial SettlementBusiness IntelligenceProactively manage daily transportation requirementsOptimize Cost by Mode (LTL, TL, Intermodal)Event Management & Shipment VisibilityExperienced logistics professionalsIndustry-leading technologyLandstar offers outsourced logistics management services utilizing industry-leading technology to manage your daily transportation requirements right down to the shipment level.
19 Supply Chain Solutions Improve Your Supply Chain PerformanceReduced transportation costsGuaranteed capacitySafe, reliable capacityReal time in-transit visibilityLow cost of implementationEase of implementationSingle point of contactFreight settlementBusiness intelligence reporting capabilitiesOur outsourced logistics management services provide significant benefits to customers.
20 What Sets Landstar Apart Agent Driven Project Manager with Expertise & Assistance of LandstarLandstar sets shippers on the road to success through an extensive network of independent agents, business capacity owners and third-party capacity providers. Landstar responds to the needs of customers by utilizing innovative technology and expansive capacity to provide the customer with superior, comprehensive service, while offering efficient, cost-effective global and domestic supply chain solutions.Most importantly, every agent owns his or her business, which means they have the insight and perspective to manage the customers logistics needs. The agent becomes the customers project manager. They become and remain committed to your business and are driven to the success of the program. Landstar will surround the agent with the appropriate expertise to be certain that the customers expectations are not only met but succeeded.