Presentación de Gabriela Alvarez de DB Schenker en el Congreso de Logística y Servicios al Comercio Exterior de CADEXCO

1. 3PL; Inventory Management Outsourcing
Gabriela Alvarez
Congreso de Logística y Servicios
CADEXCO
Hotel Radisson Europa, 30 de Junio 2011

2. 1. DB Schenker Contract Logistics / SCM
2. Our Supply Chain Solutions and Industry Expertise
3. VMI Implementation
4. Advantages of Using a Third Party Logistics Provider
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3. Executive Summary
The Purpose of this presentation is to show your company the benefits of having your
cargo under consignment in a bonded warehouse or hub close to your customer in
order to provide your materials in a shorter time and avoid risks of delays in
transportation, or any other issue that may cause a gap in your customer’s Supply
Chain; mostly if your materials are basic in your customer’s production
Costa Rica law allows to keep shipments in bonded warehouses for a period of one
year without paying duty & taxes, for companies under Free Trade Zone this is a plus
as customs transaction are easier and faster to move materials from bonded
warehouses to their facilities.
Schenker Costa Rica has the experiencie in handling this type of operations for many
healthcare companies under Free Trade Zones where we as a Third Party Logistics
become a key to keep the product flow running from Supplier to Customer

4. We are a leading logistics and passenger company
1)
DB Bahn DB Schenker
DB Netze Track
Long Distance Rail
No. 1 Public transport in Rev. (EUR mn) 3,523 Rev. (EUR mn) 4,654 Rev. (EUR mn) 725
Europe EBIT (EUR mn) 306 EBIT (EUR mn) 307 EBIT (EUR mn) 670
Employees (‘000) 15 Employees (‘000) 29 Employees (‘000) 41
No. 2 Passenger rail
transport in Europe
DB Bahn DB Schenker DB Netze
No. 1 European rail freight
Regional Logistics Stations
transport
No. 1 European land Rev. (EUR mn) 6,687 Rev. (EUR mn) 14,680 Rev. (EUR mn) 344
transport EBIT (EUR mn) 857 EBIT (EUR mn) 381 EBIT (EUR mn) 210
Employees (‘000) 25 Employees (‘000) 62 Employees (‘000) 5
No. 1 Biggest rail network in
Europe
DB Bahn DB Netze
Rev. (EUR bn) 33.5 DB Services
Urban
Stadtverkehr Energy
EBIT (EUR bn) 2.483 Rev. (EUR mn) 1,962 Rev. (EUR mn) 112 Rev. (EUR mn) 554
EBIT (EUR mn) 205 EBIT (EUR mn) 131 EBIT (EUR mn) 74
Employees (‘000) 240 Employees (‘000) 12 Employees (‘000) 25 Employees (‘000) 2
As of 31.12.2008 1) Difference between the sum of the departments and DB concern result of other activities/consolidation
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5. DB Schenker edge for you includes flawless solutions
delivered by passionate experts, who fulfill your promises
constantly
We deliver Customer Value by:
 Exceeding daily customer expectations
 Fulfilling customer promises constantly
 Complying with government regulations
We provide Flawless Solutions by having:
 Clear, consistent measurements
 Effective execution of operations
 Continuous improvement
We employee Passionate Experts who:
 Care for customers business
 Embrace and live customers business
philosophy, culture and measurements
 Are continuously trained
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6. Our logistics expertise is evidenced by our worldwide network of facilities
Europe, Middle East, Africa
 Warehousing space: 2.9 million m²
 Locations: 394
Americas
 Warehousing space: 1.0 million m²
 Locations: 52
Asia Pacific
 Warehousing space: 800,000 m²
 Locations: 233
6 As per Q2 2008

7. DB Schenker Logistics is a leading provider of
international transport and logistics services
DB Schenker Logistics DB Schenker Logistics Service Portfolio
No. 1 in European Land transport
 800 offices in 36 countries
 70 million consignments p.a.
 approx. 32,000 regular services per week
No. 2 in global Air Freight
 More than 700 sites worldwide
Integrated transport  800 freight flights p.a.
and logistics services  1 million tons airfreight volume p.a.
 Operation of global networks
No. 3 in global Ocean Freight
 Expertise in specific industries,
e.g. automotive, electronics,  1.4 million TEU1 ocean freight volume p.a.
consumer goods
 Strong brand with global
No. 4 in global Contract Logistics
door-to- door service
 500 offices in more than 50 countries
 5.3million sqm (55 million sqft) storage space
as of 31.12.2009, 1 TEU = Twenty-foot Equivalent Unit DB ML AG, Communication Transportation and Logistics (GKL)
, 04.07.2011 7

8. DB Schenker has received numerous industry awards and recognition for our
contract logistics and SCM competence
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9. 1. DB Schenker Contract Logistics / SCM
2. Our Supply Chain Solutions and Industry Expertise
3. VMI Implementation
4. Advantages of Using a Third Party Logistics Provider
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10. Our Products and Solutions capitalize on long years of
experience and know-how on key industry verticals....
Automotive Consumer Electronics Industrial
 Broad scope of experience  Multi-user distribution  Long-established solutions  Established global spare
on multiple OEMs, TierXs centres in key markets to deployed globally for leading parts network in order to
and Aftermarket logistics maximize flexibility electronics companies guarantee fast local
interacting services maintenance services for
 Dedicated solutions tailor  Globally integrated, end to MRO parts including
 JIT/JIS/Kanban Deleiveries, end solutions extending from „power-by-the-hour“ service
made for large global
Sequencing, Light Assembly, suppliers and contract
storage and distribution of
manufacturers manufacturers to customer  Aero WMS covering all
spare parts, Returns markets. network sites
Management...  Experience with complex
retail requirements  Production support, Finished  Professional customs
 Standardizations which can Goods and After Market clearance service to ensure
be used to replicate solutions  Specific co-packing distributions incl. complex short term article availability
quickly and globally. solutions, scalable and receiving and picking, PO/SO
robustly integrated into Mgmt, Kitting and VAS, VMI  Long time experience in
 Continuous Improvement WMS solutions Services. tool crib service including
and Lean Logistics strategy reverse logistics
driven operations  Proven quality  TAPA security and continous management
improvement quality
management and
 Global transfer of Know How programs  Transport control centre
and Competences
continuous improvement. organizes last mile delivery
 Customer Service Centre to avoid downtime costs
set-up and expertise
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11. …enabling leading companies to manage and excel
their complex supply chain
Automotive Consumer Electronics Industrial
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12. Global Trends In The Healthcare Market
Trend Effect on Logistics
 New bio drugs needing cold chain services are increasing
 More demand for highest safety and security in transportation
Growth of Bio Products
 New transportation lanes are growing due to short self life of bio drugs
 Very expensive & sensitive products – cost of transportation is minor
 Governmental regulations requiring pedigree / chain of custody
 Strict control / visibility needed in a closed loop supply chain
Increased Regulation
 Pharma industry is now issuing own guidelines for transportation
 Single global service provider / one stop shop now has great value
 New wealth creating demand for high end drugs
 Personal & Targeted drugs creating new supply chains
Emerging Markets
 Generic Market driving growth in emerging markets
 Traditional manufacturing & distribution models are changing fast
 Each product has unique transportation requirement & standards
 Cold Chain Solution, and Global Security are key requirements
Specialized Solutions
 Door to Room service for Medical Technology sectors
 Focus on driving efficiency and streamlined supply chain
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13. Healthcare Logistics Challenges For Costa Rica
•Limited GDP compliance (Good Distribution Practices)
•Inadequate cold chain services and compliance support
•Product security and cargo security
•Regulatory issues and compliance (FDA & EC Directives)
•Cost pressures to operate within budget
•Transportation service solutions and lift capacity
•Time to market & product life cycle – need streamlined supply chain
•Performance pressure from various groups
•Direct shipments to end customer in USA, Asia and Europe

14. Into Country Solutions
• Schenker has several years of experience providing In House
experts who will work side by side with the Customer, providing the
necessary logistics expertise at considerably low cost.
• The professionals are consistently trained and capable of taking
decisions over the Traffic Flow, speeding up the process maintain
the Customer fully informed, participating on internal Customer
meetings and working on the Action Plan over the Forecasted
volumes.
• Schenker Costa Rica has the experiencie in handling this type of
operations for many healthcare companies under Free Trade
Zones where we as a Third Party Logistics become a key to keep
the product flow running from Supplier to Customer

15. Our Healthcare Customers
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16. 1. DB Schenker Contract Logistics / SCM
2. Our Supply Chain Solutions and Industry Expertise
3. VMI Implementation
4. Advantages of Using a Third Party Logistics Provider
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17. Improving logistics efficiency through 3PL
While the reduction of logistics costs has been
the primary objective of 3PL until recently,
customers have also been increasingly
demanding solutions that help to improve
logistics quality and reduce their
environmental damages. Based on research,
analysis, building, and implementation in the
logistics process is able to achieve cost
reductions as well as improvements in
logistics quality that were not possible through
individual optimization

18. We provide long-term logistics solutions for our
customers’ complex supply chains
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19. 1. DB Schenker Contract Logistics / SCM
2. Our Supply Chain Solutions and Industry Expertise
3. VMI Implementation
4. Advantages of Using a Third Party Logistics Provider
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20. Why Schenker?
Logistics Services
Schenker can offer on a Global Basis several Logistics Services such as for example, Reverse Logistics,
where Schenker can manage the entire process of return and repair of equipments, acting on behalf of the
Customer and servicing the end Consumer.
By having a third party managing their Return and Repair Services, the Healthcare Customer can focus on
producing and selling Equipments.
Schenker can hire Technicians, who will be trained and certified by the Customer to repair any of their
equipments.
The activities may include:
• Call Center
• Pick Up Scheduling
• Repair
• Parts Inventory Management
• Delivery/Return of the Equipments

21. A Good Service Provider Should Provide The
Following advantage for the Industry
Reductions in
•● Reduce logistics costs and improve the visibility.
transport and
•● Reduce additional logistics investments.
distribution costs
Create more •● Reduced delivery lead time can realize delayed
value and service order dead line.
for customers •● Support for high-frequency, small lot deliveries.
•● Improve loading ratio on trucks and distribution
Improved logistics
quality.
quality and work
•● Optimize inventory level and reduce
efficiency
administrative workloads.
•● Focus the workforce to improve quality and
Storage Space
production
reduction increase
•●More space devoted to manufacturing and
production
administration

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