Gear Up! Supply Chain Best Practices & Tactics

For 2014 & Beyond

About Trinity LogisticsFounded in 1979, we are a privately-owned and family-run business. We are solutions-driven and focused on serving our customers 100% of the time.

Our devotion to service and commitment to continuous improvement have cultivated a unique company culture that fuels our unrivaled reputation in the logistics industry.

We arranged over 20,000 shipments per month in 2012, and we work with a network of over 29,000 authorized carriers.

We are the 3PL partner you can count on.

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Chances are, if you’ve heard of it, we’ve arranged a shipment of it. Over time, our repeat experience in a wide variety of select industries has made us quite the expert when it comes to shipping items like…

Industry Experience

Valued MembershipsWe are committed to staying abreast of current industry trends, networking with others to expand our knowledge, and maintaining certifications that make us easier to do business with. Some of our memberships include:

Alliance PartnershipTrinity is an Alliance Partner with the NAFCD. During this convention, we are also Ruby Sponsors. We are offering a special program for members of NAFCD to include a free freight consultation.

See us after this session to reserve an appointment time with us to take advantage of this offer while we’re together in Chicago, or afterward in the weeks ahead.

Best Practices: LogisticsThere are 10 key control factors that, when implemented, help equip your supply chain for growth, enhanced efficiencies, and freight savings. Let’s discuss the first 5 now:

#1-#5 Best Practices1) Make on-time delivery to customers the primary

transportation objective

2) Maintain all rates and shipment activity in one repository

3) Use a transportation contract to control rates and service levels

4) Plan as far in advance as possible to obtain capacity for truckloads

5) Log the cost of each shipment before it moves, unbundling line haul from fuel

Best Practices: LogisticsThere are 10 key control factors that, when implemented, help equip your supply chain for growth, enhanced efficiencies, and freight savings. Let’s discuss the rest now:

#6-#10 Best Practices6) Keep transportation assets moving

7) Monitor every shipment, proactively

8) Pay carriers based on the shippers record of events and charges

9) Go green with paperless transactions

10) Use KPI’s to track carrier performance

Carrier Capacity RealitiesIn addition to an annual shortage in the pool of available equipment caused by produce seasonality, an overall shortage in supply has led to a carrier capacity shortage like no other. What has caused this perfect storm? A few reasons include:

● CSA-Compliance Safety & Accountability Regulations● Slow recession rebound prevented truckers building up their fleets● Retirement age workforce + difficult recruiting market● Aging equipment, slow replacement, increased cost of new rigs● Increased fees associated with trucking (insurance, permits, TWIC)● Larger fleets increasing costs vs adding more capacity to their fleet

What Can You Do?As a shipper you do have options. Of course you can simply pay more and more to move your freight, but the better option is to find creative ways to become more efficient. Find cost savings throughout your processes, technology, and personnel instead of just trying to reduce your freight rates.

● Processes● Technology● Personnel● Be carrier-friendly● Time to commit● Stay educated

?TMS Operation/Capability Savings Potential*

Route & mode optimization 5%-15%

Carrier assignment optimization

4%-8%

Electronic communications w/supply chain partners

2%-6%

More efficient/automated operations

1%-5%

*Source: AMR Research, Inc. based on ~10 yrs evidence of TMS systems.

Hours of Service & EOBR’sThe trucking industry has experienced some of the most challenging regulatory changes that impede their profitability. Two instances of this include:

● Hours of Service● In efforts to prevent commercial motor vehicle-related fatalities and injuries, the FMCSA has published

highly controversial changes to the regulations involving truck drivers’ allowable driving time, called “Hours-of-Service”, or HOS. The changes were released in December of 2011, and the final compliance date was July 1, 2013.

● Map-21 Act & Electronic on board recorders (EOBR’s)● On October 1st, 2013, the MAP-21 (Moving Ahead for Progress in the 21st Century) Act went into effect.● Within 2 years, all commercial vehicles must be equipped with EOBR’s. ● All freight brokers must have at least $75,000 Surety Bonds.

Reducing Your RiskA primary advantage to partnering with a Third Party Logistics Provider such as Trinity includes our ability to help mitigate your risk when contracting motor carriers to haul your shipments.

Every single shipment requires that you perform due diligence when hiring a provider to ensure you have a standard process in order to avoid negligence in the event something goes terribly wrong during the course of the contract.

Examples of checkpoints to cover include:

• What’s the safety rating of the providers moving my freight?• Do I have a copy of their authority and other documentation?• Do they have adequate insurance for both cargo and liability?• Does their insurance carry any exceptions for my type of freight?• How do they perform for other shippers? Did I check referrals first?

Reducing Your RiskOur carrier compliance department exists solely to ensure the carriers we select to haul your freight pass our rigorous process and quality control checkpoints.

• Are they insured and compliant with federal regulations?• Before a carrier is cleared for take-off, their records are examined, their

reputation is checked online, their insurance is confirmed, and we verify the phone number provided matches their official FMCSA listing.

• Additionally, our logistics specialists are trained to verbally confirm with the dispatchers that they are indeed from the same carrier we booked.

• While none of our practices are 100% fail-safe, we have the resources and expertise to prevent your freight from falling into the hands of a non-compliant carrier.

Why take such a huge risk when you don’t have to?

Freight SolutionsWe make it simple. Our team learns about your company, how you operate, defines your transportation goals, and then offers solutions that utilize the most efficient freight solutions to meet your goals.

Our Core Freight Solutions:● Truckload● Less-Than-Truckload (LTL)● Intermodal (Door to Door)● International● Specialty Freight

“Trinity’s thorough knowledge of our factories, personnel, and distribution partners allows us to maintain efficiencies by staying cost-competitive, and more importantly, reliable.” – Pizza Blends

Testimonial

Logistics & TechnologyWhether you have an in-house logistics team or you operate lean, we can help. Working to improve your existing processes and maximize efficiencies, our process begins with a freight consultation. We learn about your goals and work together to design recommendations for future success.

Solutions we offer:● Software & technology● Logistics consulting services● Other logistics services

“Trinity has helped us streamline freight quotes to our clients, lower freight costs, and simplify logistics. Trinity has helped our company and also helped us improve our service to our clients.” – Tajima Flooring

Testimonial

Logistics ConsultingDon’t simply guess at how to reach your supply chain goals. Let us be your trusted resource so that you can move forward with speed and confidence. We have the experience and the know-how to provide the guidance you need – in a way that’s easy for you to implement. A few of the consulting services we offer:

● Process evaluation● Cost analysis● RFP administration● LTL rate negotiation● Carrier compliance audit● Strategic site evaluations● Shipment optimization & consolidation

Logistics ServicesIn addition to our freight arrangement, technology & consulting services, we provide a wide array of other logistics services. Examples of these solutions include:

● Warehousing● Cross-docking● Small parcel● Reverse logistics● On-site freight management● Strategic partnerships for contracted hauls

Connect With Us

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50 Fallon AvenuePO Box 1620Seaford, DE 19973

Phone: (800) 846-3400Fax: (302) 253-0224

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www.trinitylogistics.com