Title Slide

TMS Trends

ABF Freight System, Inc.®

Danny Loe

Director, Marketing & Public Relations

Transportation Management SoftwareTMS

Provide transportation solutions to shippers Automate transportation management processes Created to help shippers in transportation

selection, visibility, & management

TMS

Who provides TMS packages? 3PLs Software vendors Carriers

3PL TMS Benefits

Multiple rate quotations from participating carriers Schedule pickups & create bills of lading Load optimization Manage inventory Manage shipment documentation Tracking & shipment visibility Contacts / shipment locations stored online Freight payment Potential for virtual traffic department

3PL TMS Disadvantages

Act as a layer between the shipper and asset-based provider

Possible increase in total transportation cost Loss of internal control – increased dependence

on external parties Lack of acceptance by management

and labor

Carrier TMS Solutions

Majority of solutions also offered by asset-based companies

Most services provided free of charge to the shipper

What carriers provide TMS solutions? Example: ABF, Yellow, Roadway, Watkins,

Fed Ex, and USF

Carrier TMS Benefits

Advanced, customer-specific rate quotations directly from service providers

Schedule pickups & create bills of lading Load optimization Manage inventory Manage shipment documentation Advanced tracking & shipment visibility Contacts / shipment locations stored online Freight payment Potential for virtual traffic department

Why Consider Carrier TMS?

Internal control of your shipments Services are provided free of charge No middle layer; direct contact with service

provider No hidden costs per shipment Flexible Internet Enabled Logistics

Internet Enabled Logistics

Internal users ofInternal users ofOnline LogisticsOnline Logistics

ApplicationsApplications

Traffic &Traffic &TransportationTransportation

Customer Customer ServiceService

AccountingAccounting

Sales &Sales &MarketingMarketing

ManufacturingManufacturing& Production& Production

PurchasingPurchasing

WarehousingWarehousing

Shipment Shipment StagingStaging Service research,Service research,

Rate quotations,Rate quotations,Pickup requests,Pickup requests,Document creation…Document creation…

Shipment Shipment VisibilityVisibility Comprehensive tracking,Comprehensive tracking,

Proactive notification,Proactive notification,Status reports,Status reports,Document access…Document access…

Shipment Shipment ControlControl In-transit rerouting,In-transit rerouting,

Merge-in-transit,Merge-in-transit,Freight invoice review…Freight invoice review…

LogisticsLogisticsPlanningPlanning Historical reports,Historical reports,

Charts & graphs,Charts & graphs,Business trend analysis, Business trend analysis, Pool distribution…Pool distribution…

Internet Enabled Logistics

Shipment StagingRate Quotations

Shipment StagingPickup Request

Shipment StagingBOL Creation

Integrated Flexibility

Applications are designed to:

Streamline operations at all levels of the organization

Recognize and capitalize from efficiencies

Integrate with new technologies

Internal data is shared with applications to expedite completion of tasks

Transfer shipment details from quotation directly to the bill of lading or pickup request

Sharing of Internal DataExample: Location Information for Shippers

Shipment StagingContact Management

Add, manage, and create your own customizable contact database.

Shipment StagingAdvanced Rate Quotations

Shipment StagingCommodity Management

Manage a database consisting of saved commodities. Commodities shipped in the past 45 days are dynamically added. If you do not know what the class is, look it up with the NMFC item lookup.

Shipment StagingRate Quotations

ABF Key Features & Benefits Quotation based on customer’s specific pricing

Choice between advanced form and short form:

Advanced Form – Offers ability to provide more shipment details and use of templates

Short Form – Page changes based on account pricing

Search NMFC by freight description

Assured and TimeKeeper options appear on quotation

Transfer shipment details from quotation directly to the bill of lading or pickup request

1.1. The shipper performs a rate quotation.The shipper performs a rate quotation.

2.2. The shipper creates a bill of lading The shipper creates a bill of lading based on data entered on the rate based on data entered on the rate quotation.quotation.

3.3. The shipper submits a pickup The shipper submits a pickup request based on data from the bill request based on data from the bill of lading.of lading.

4.4. The pickup request is routed to the The pickup request is routed to the origin service center.origin service center.

With each step, requests are saved – may With each step, requests are saved – may create templates for common requests.create templates for common requests.

Also, each request may be e-mailed to Also, each request may be e-mailed to multiple third parties.multiple third parties.

Shipment Director

The Shipment Director simplifies the steps involved in document preparation and carrier pickup notification for multiple shipments.

Internet Enabled Logistics

Shipment Shipment ControlControl Dynamic rerouting,Dynamic rerouting,

Merge-in-transit,Merge-in-transit,Freight invoice review…Freight invoice review…

Shipment Shipment StagingStaging Service research,Service research,

Rate quotations,Rate quotations,Pickup requests,Pickup requests,Document creation…Document creation…

Shipment Shipment VisibilityVisibility Comprehensive tracking,Comprehensive tracking,

Proactive notification,Proactive notification,Status reports,Status reports,Document access…Document access…

LogisticsLogisticsPlanningPlanning Historical reports,Historical reports,

Charts & graphs,Charts & graphs,Business trend analysis, Business trend analysis, Pool distribution…Pool distribution…

Shipment ControlDynamic Rerouting

Change the destination point of an in-transit shipment.

Shipment ControlMerge-in-Transit

ABF Key Features & Benefits Facilitates the simultaneous delivery of several shipments

from different origin points.

Customers assign existing and/or prospective shipments to a coordinated delivery project.

Customers can track the individual shipments with a single project identification number.

ABF will deliver the shipments on the requested date and in the order specified by the customer.

Shipment ControlMerge-in-Transit

Shipment ControlInvoice Review

Quickly resolve questions regarding the charges on an ABF invoice. ABF answers most inquiries, by e-mail, within one hour with a detailed explanation of the basis for the charges or an immediate adjustment to the amount due.

Internet Enabled Logistics

Shipment Shipment VisibilityVisibility Comprehensive tracking,Comprehensive tracking,

Proactive notification,Proactive notification,Status reports,Status reports,Document access…Document access…

Shipment Shipment StagingStaging Service research,Service research,

Rate quotations,Rate quotations,Pickup requests,Pickup requests,Document creation…Document creation…

Shipment Shipment ControlControl In-transit rerouting,In-transit rerouting,

Merge-in-transit,Merge-in-transit,Freight invoice review…Freight invoice review…

LogisticsLogisticsPlanningPlanning Historical reports,Historical reports,

Charts & graphs,Charts & graphs,Business trend analysis, Business trend analysis, Pool distribution…Pool distribution…

Shipment VisibilityTracking

Access status information on your shipment.

Shipment VisibilityProactive Notification

Access up-to-the-minute status information on your shipments. Setup e-mail reminders to be notified when a shipment is delivered, delivered with an exception, may be delayed or for every change in shipment status.

Shipment VisibilityAutomated Reporting

Schedule status and historical reports to be sent to you on a daily, weekly or monthly basis and access these scheduled reports by e-mail or from the online Reports Inbox.

Shipment Visibility

Manage your shipments via a simple calendar interface that integrates your shipment data and personal events.

Shipment VisibilityIntegrated Flexibility

Shipment VisibilityDocument Access

Internet Enabled Logistics

Shipment Shipment StagingStaging Service research,Service research,

Rate quotations,Rate quotations,Pickup requests,Pickup requests,Document creation…Document creation…

Shipment Shipment VisibilityVisibility Comprehensive tracking,Comprehensive tracking,

Proactive notification,Proactive notification,Status reports,Status reports,Document access…Document access…

Shipment Shipment ControlControl In-transit rerouting,In-transit rerouting,

Merge-in-transit,Merge-in-transit,Freight invoice review…Freight invoice review…

LogisticsLogisticsPlanningPlanning Historical reports,Historical reports,

Charts & graphs,Charts & graphs,Business trend analysis, Business trend analysis, Pool distribution…Pool distribution…

Logistics PlanningHistorical Reports, Charts & Trend Analysis

Logistics PlanningLoad Optimization

Logistics PlanningLoad Optimization

OptiPool, Key Features & Benefits Examines prospective large LTL shipments to be tendered at the

same time and offers an online pool distribution solution.

Customers can have flexible LTL delivery schedules and can avoid the delays associated with the sequenced deliveries of the typical truckload/stop-off scenario.

Offers other advantages of LTL delivery, including single-carrier tracking, billing and control, with a single tracking number.

Trends for 2005+1.1. The increasing availability of wireless broadband networks and

devices is creating the possibility of a truly connected society.

2. Business intelligence systems are moving beyond a research and analysis platform to an intelligent, proactive state – they will monitor and manage individual transactions and business processes in real time.

3. Supply chain event management capabilities are providing real-time information about order status and inventory levels, as well as other supply chain events such as deliveries, shipments and production.

4. Expanded use of XML is providing the basis for developing specifications and standards for automating business process within and between enterprises.

Trend #1 – Wireless BroadbandABF Anywhere

Trend #1 – Wireless BroadbandABF Anywhere

Trend #1 – Wireless BroadbandABF Anywhere

Trend #2 – Business Intelligence+ABF Historical Reports

Trend #2 – Business Intelligence+ABF Charts & Graphs

Trend #3 – Real-time SCMABF Status Reports

Status Reports, Key Features & Benefits Pull status information for multiple shipments without knowing

specific reference numbers.

Link directly from the report to related information and documents per shipment.

Download reports in multiple formats: Web page, Excel file, ASCII comma-delimited file.

Use standard reports or create and save custom reports.

Trend #3 – Real-time SCMABF Status Reports

Trend #3 – Real-time SCMABF Status Reports

Trend #3 – Real-time SCMABF Status Reports

Reports Inbox, Key Features & Benefits Automate the creation and distribution of status and

historical reports.

Allows customers to manage exceptions.

Fulfills the “push” niche of customers – would rather not go online to get shipment data.

Trend #4 – Expanded Use of XMLABF Transparent Direct Links

The ABF server processes the request and returns the shipment status back to the shipper’s server.

ABF CustomerABF Customer

gg

ABF.COMABF.COM

The shipper’s customer requests a shipment status from the shipper’s Web site.

A program on the shipper’s Web server validates the customer data and sends a trace request to the ABF Web server (via XML, HTML or Web Services technologies).

The shipper’s server parses the status data into a custom trace page that is returned to the shipper’s customer.

PersonalizationPersonalization Molding information to the preference of the customer. Molding information to the preference of the customer.

CustomizationCustomization Selling to a marketplace of one; using decision supportSelling to a marketplace of one; using decision support systems to determine customer needs. systems to determine customer needs.

IntegrationIntegration Along the supply chain – serving the customer’s customer. Along the supply chain – serving the customer’s customer.

PersonalizationPersonalization––CustomizationCustomization––Integration Integration Integration – buy.com & USPS Integration – buy.com & USPS

PersonalizationPersonalization––CustomizationCustomization––Integration Integration Integration – chemdeals.com & ABFIntegration – chemdeals.com & ABF

PersonalizationPersonalization––CustomizationCustomization––Integration Integration Integration – chemdeals.com & ABF Integration – chemdeals.com & ABF

Satisfied Customers