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
The	
  Path	
  to	
  Becoming	
  a	
  Successful	
  3PL	
  



       TMW Systems Transforum 2012 User Conference
                  September 24, 2012

                           (Excerpt)



                                                     Adrian Gonzalez
                                                            President
                                                       Adelante SCM
So,	
  you	
  want	
  to	
  be	
  a	
  3PL?	
  
A	
  Great	
  Opportunity	
  Exists!
                                                                	
  
  Most shippers are still using               Most small & midsize companies are
spreadsheets & fax machines to                still managing their transportation
manage their transportation ops                     and logistics ops in-house



                                                        Smaller
                                                       Companies


                                                              Fortune 500
                                                               Companies




 Only about 1/3 of the companies that could      About 70% of 3PL revenues come from
benefit from using a TMS have deployed one.             Fortune 500 companies.
Source: ARC Advisory Group                                          Source: Armstrong & Associates
The	
  Question	
  is	
  How	
  	
  Do	
  You	
  Get	
  There?	
  


     What do shippers look for in a 3PL?
     What capabilities do you need in terms of people,
     technology, and go-to-market approach?
People:	
  Your	
  Most	
  Valuable	
  Asset	
  

  Experience	
  and	
  exper,se	
  in	
  the	
       Position your talent as one of
                                                        your most valuable assets.
      ver,cal	
  industries	
  you	
  serve	
  
                                                    Sell the knowledge, experience,
  Consul,ng	
  experience	
  
                                                     and expertise of your team as
                                                              much as your services.
  Analy,cs	
  skills	
  
                                                      Invest in hiring, training, and
  Value	
  Selling	
  
                                                           retaining the best talent
                                                                            available.
  Lean/Six	
  Sigma	
  	
  
                                                     “Look for people who have
  Interpersonal	
  skills	
                        superior talent in managing
                                                                 relationships.”
Technology:	
  Your	
  customers	
  are	
  users	
  too!
                                                       	
  
     	
  Important	
  TMS	
  AAributes	
  

  Supports	
  mul,ple	
  transporta,on	
           Give your customers a voice in
     modes	
                                          developing your IT roadmap.

  Supports	
  different	
  contract	
  terms	
        Solutions must be quick and
                                                    easy to configure and upgrade.
  Visibility	
  and	
  op,miza,on	
  
                                                     Mobile access and capabilities
  Business	
  Intelligence	
                          becoming more important.

  Re-­‐usability	
  of	
  customer	
  setups	
             Users want simple user
                                                       interfaces, and the ability to
  Connec,vity	
  to	
  carriers	
                       view data/info in graphical
                                                    formats – “A picture is worth a
  Customer	
  self-­‐service	
  features	
                        thousand words.”
Go-­‐to-­‐Market:	
  Crawl,	
  Walk,	
  Run	
  
  Focus	
  on	
  your	
  most	
  strategic	
  clients	
  
       A	
  history	
  of	
  proven	
  success	
  
       Strong	
  personal	
  rela,onships	
  
       Trust	
  already	
  established	
  

  Use	
  consul,ng	
  services	
  as	
  a	
  stepping	
  stone	
  
       Network	
  Design	
  
       Procurement	
  
       “Tell	
  them	
  what	
  they	
  don’t	
  already	
  know”	
  

  Invest	
  in	
  building	
  your	
  brand	
  
       Have	
  sa,sfied	
  customers	
  tell	
  their	
  story	
  
       Leverage	
  social	
  media	
  to	
  get	
  word	
  out	
  
Summary	
  &	
  Recommendations	
  
  Big	
  Opportunity:	
  Serving	
  small	
  and	
  midsize	
  shippers	
  who	
  don’t	
  
     use	
  a	
  TMS	
  and	
  s,ll	
  manage	
  opera,ons	
  in-­‐house.	
  

  A	
  successful	
  3PL	
  is	
  an	
  opera,ons	
  manager,	
  a	
  consultant,	
  and	
  a	
  
     technology	
  provider	
  all	
  rolled	
  into	
  one.	
  

  Don’t	
  just	
  sell	
  your	
  services,	
  but	
  also	
  the	
  knowledge,	
  skills,	
  and	
  
     experience	
  of	
  your	
  people.	
  

  Con,nuously	
  invest	
  in	
  customer-­‐facing	
  technologies.	
  

  Avoid	
  the	
  ailments	
  of	
  typical	
  3PL-­‐customer	
  contracts.	
  

  Harness	
  the	
  value	
  of	
  your	
  customer	
  and	
  employee	
  community.	
  
Thank	
  You!	
  



        Adrian Gonzalez
               President
          Adelante SCM
adrian@adelantescm.com

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Path to Becoming a Successful 3PL (excerpt)

  • 1.  The  Path  to  Becoming  a  Successful  3PL   TMW Systems Transforum 2012 User Conference September 24, 2012 (Excerpt) Adrian Gonzalez President Adelante SCM
  • 2. So,  you  want  to  be  a  3PL?  
  • 3. A  Great  Opportunity  Exists!   Most shippers are still using Most small & midsize companies are spreadsheets & fax machines to still managing their transportation manage their transportation ops and logistics ops in-house Smaller Companies Fortune 500 Companies Only about 1/3 of the companies that could About 70% of 3PL revenues come from benefit from using a TMS have deployed one. Fortune 500 companies. Source: ARC Advisory Group Source: Armstrong & Associates
  • 4. The  Question  is  How    Do  You  Get  There?   What do shippers look for in a 3PL? What capabilities do you need in terms of people, technology, and go-to-market approach?
  • 5. People:  Your  Most  Valuable  Asset     Experience  and  exper,se  in  the   Position your talent as one of your most valuable assets. ver,cal  industries  you  serve   Sell the knowledge, experience,   Consul,ng  experience   and expertise of your team as much as your services.   Analy,cs  skills   Invest in hiring, training, and   Value  Selling   retaining the best talent available.   Lean/Six  Sigma     “Look for people who have   Interpersonal  skills   superior talent in managing relationships.”
  • 6. Technology:  Your  customers  are  users  too!    Important  TMS  AAributes     Supports  mul,ple  transporta,on   Give your customers a voice in modes   developing your IT roadmap.   Supports  different  contract  terms   Solutions must be quick and easy to configure and upgrade.   Visibility  and  op,miza,on   Mobile access and capabilities   Business  Intelligence   becoming more important.   Re-­‐usability  of  customer  setups   Users want simple user interfaces, and the ability to   Connec,vity  to  carriers   view data/info in graphical formats – “A picture is worth a   Customer  self-­‐service  features   thousand words.”
  • 7. Go-­‐to-­‐Market:  Crawl,  Walk,  Run     Focus  on  your  most  strategic  clients     A  history  of  proven  success     Strong  personal  rela,onships     Trust  already  established     Use  consul,ng  services  as  a  stepping  stone     Network  Design     Procurement     “Tell  them  what  they  don’t  already  know”     Invest  in  building  your  brand     Have  sa,sfied  customers  tell  their  story     Leverage  social  media  to  get  word  out  
  • 8. Summary  &  Recommendations     Big  Opportunity:  Serving  small  and  midsize  shippers  who  don’t   use  a  TMS  and  s,ll  manage  opera,ons  in-­‐house.     A  successful  3PL  is  an  opera,ons  manager,  a  consultant,  and  a   technology  provider  all  rolled  into  one.     Don’t  just  sell  your  services,  but  also  the  knowledge,  skills,  and   experience  of  your  people.     Con,nuously  invest  in  customer-­‐facing  technologies.     Avoid  the  ailments  of  typical  3PL-­‐customer  contracts.     Harness  the  value  of  your  customer  and  employee  community.  
  • 9. Thank  You!   Adrian Gonzalez President Adelante SCM adrian@adelantescm.com