"Developed"

These are firms that utilize or are looking to utilize cross-border operations (e.g., outsourced manufacturing, light assembly, new markets, etc.) to expand their business or improve operational leanness.

The following are Marleon's views regarding "Growing" firms' issues and needs and Marleon's solution focus.

Business Issues

Cost pressures, shrinking production cycles, and business encroachment from non-traditional competitors (i.e., distributors providing light assembly and manufacturing)
- Cross-border and offshore operations lengthen supply chains, necessarily increasing distribution requirements
Large stable of transportation vendors requires rationalization to drive improved asset allocation and utilization
Thin margins easily eroded by lack of comprehensive transportation strategy and policy
- Incorrect invoicing, freight classifications, assessorial charges
- Escalating fuel surcharges
- Driver turnover within largest vendors organizations
Neglected transportation departments or lacking transportation management experts
Require visibility into trade-offs between LTL shipments and volume quotes
No centralized transportation management systems (TMS) – use a variety of legacy systems
- Lack reliable data warehouse to track and improve transportation management and spend
- Volume of shipping related records unmanageable
  - Carrier submitting significant number of incorrect invoices

Business Needs

Centralized and focused transportation and logistics strategy
- Simplified transportation management and visibility
Multiyear shipping contracts with yearly performance and pricing reviews
Flexible logistics network design
- Insight into trade-offs between cost, agility, and points of flexibility
  - Port shopping
  - Switching between rail and truck for inland transport
  - Diverting product directly to the point of consumption

Marleon's Service Solution

Pay for Performance – drives bottom line savings through consolidated / centralized transportation strategy and common shipping practices based on a comprehensive transportation usage and cost benchmarks.

Rationalizes number of transportation vendors (national coverage typically requires only 3 carriers)
- Reduces number of Bills of Lading and number of contracts and rate negotiations
- Reduces transportation management requirements (carriers have own rates, invoicing systems)
Prepares and implements "Universal Bill of Lading"
Optimizes product class and space used
Develops and executes freight consolidation and pool distribution strategy
Negotiates national contracts (centralized transportation strategy) to drive economies of scale
- Minimizes local sourcing and rate negotiation requirements
- Negotiates local delivery carriers as necessary (based on freight consolidation and pool distribution strategy)
Provides on-demand transportation management system
- Carrier rate management
  - Load multiple tariff formats, accessorial fees, fuel surcharges, etc.
  - Data and cost analysis / reporting
  - Invoice auditing
- Unlimited quotes and Bill of Lading generation
- Multiple user logon and permission rights (i.e., limited access to full administrative rights)
- XML interface to improve, simplify, and expedite system integration requirements
  - EDI ready
- Customizable to company web standards (i.e., look and feel)