OTM 101. Chris Gumz. OTM SIG Philadelphia, PA July 29, 2013
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1 OTM 101 Chris Gumz OTM SIG Philadelphia, PA July 29, 2013
2 Agenda Introduction Transportation Market Oracle Transportation Management Domain Structure User Roles Navigation Master Data Order Management Transportation Planning Transportation Execution Freight Settlement Business Intelligence Lessons Learned Q & A
3 Introduction
4 Business Model Landstar is a worldwide, asset-light provider of integrated transportation management solutions delivering safe, specialized transportation logistics services to a broad range of customers utilizing a network of agents, third party capacity owners and employees. Capacity 8,000 BCOs 31,500 Approved Carriers All Major U.S. Rail Lines Ocean Cargo Carriers Air Cargo Carriers WCO Network Foreign Correspondent Networks Capacity Landstar Agents Independent Business Owners Customer Service Capacity Sourcing/Dispatching NVOCC/IATA Agents Customers Agents
5 Transportation Market
6 Transportation Management Benefits Cost Reduction Shipment optimization Carrier sourcing Performance measurement Operational Efficiency Process centralization Process standardization Process automation Shippers Logistics Service Providers Carriers Customers Service Improvement Service / lead time optimization Supply chain visibility Event management Business Growth Global operations platform Process enablement & flexibility Scalability 6
7 Transportation Management
8 Oracle Transportation Management (OTM) 12+ Years of Evolution into a Broad and Deep Platform Transportation Management Transportation Cooperative Routing Transportation Operational Planning Transportation Sourcing Freight Payment, Billing & Claims Fusion Transportation Intelligence Fleet Management Forwarding & Brokerage Operations Logistics Inventory Visibility Global Trade Management
9 Multi-Domain Architecture Supports Multiple Divisions/Lines of Business Top Level Full Visibility Parent Company Domains Partitioned Visibility & Functionality Business 1 Business 2 Business n Configure Software for Specific Divisions / Lines of Business Business Logic: User interface, workflow, reports, integrations Security: Segmented data and functional security Customization via configuration Expand without having to buy another system 9
10 User Role/Preferences 10
11 Navigation
12 OTM Login All OTM logins are in the form DOMAIN.USER Ex. DEMO.CHRIS User name should be entered this way on the login screen OTM will automatically capitalize user name
13 OTM Home Screen 13
14 OTM Help 14
15 Business Monitor 15
16 FLVN Buttons Many OTM fields feature a box of the letters F, L, V and N besides the data entry field F = Find or Search L = List V = View N = New These fields contain data that themselves are OTM objects (i.e. contacts, shipments, locations) The buttons allow you to either find or create new objects for your use 16
17 Search Options 17
18 Actions 18
19 Master Data
20 OTM Configuration Flow 20
21 Location General Master Data A place where freight is picked up from, shipped to, or shipped via Customers, Suppliers, Warehouses, Pools, Cross Docks, Ports Corporation Corporations are used to group and Organize locations Contact Anyone that needs to be able to communicate with OTM OTM may be configured to automatically notify contacts when an event occurs (i.e. shipment delay) Service Provider A company that provides transportation services for freight in OTM UPS, LTL/TL carriers, airlines, shipping lines, customs agents 21
22 Locations A location is a fixed node or point where cargo is shipping to, shipping from, or flowing through 22
23 Contact A contact is a person or system to which you want to send notifications or tenders 23
24 Service Provider A Service Provider is a company that provides transportation services for freight in OTM OTM retains information such as rates, schedules, and equipment for all service providers so that it may choose the best way to transport goods OTM is also able to communicate with service providers so that they may receive from/feed information to OTM regarding their service offerings New Rates Schedules Tender requests/acceptances 24
25 Rates and Contracts Rules and Regulations Transportation Rate Management Manage All Service Provider Information OTM Contract and Rate Management Manage Detailed Rate Structures Equipment Types Track Commitments Accurate Service Time Estimates Contract Commitments Integrated with OTM Sourcing External Data Sources Electronic Transfer via CSV Available Manual Edit and Entry Screens Division 1 Division 2 Division n Results Accurate Freight Settlement Better Carrier Retention Improved Shipment Optimization Increased Equipment Utilization 25
26 Rates -Rates are used by service providers to define the cost of a transportation based service Rate Service -Origin & Destination - Mode Rate Offering -Origin & Destination -Mode -Carrier Rate Record $$ Rate Record $$ Rate Record $$ 26
27 Rate Inquiry 27
28 Equipment Groups & Equipment Group Profiles 28
29 Items, Commodities & Packaged Items 29
30 Items, Commodities & Packaged Items Example 30
31 Itinerary 31
32 Itinerary An itinerary determines the specific route for a shipment 32
33 Order Management
34 Order Management Order Orders represent the requirement to move freight from one point to another 34
35 Transportation Order Management Manage All Transportation Orders Outbound Orders Purchase Orders Sales Orders BPEL XSL EDI Orders Received Interfacility Orders Planning & Execution Batch Transport Orders Manual Notice! Ready to Ship Inbound Orders Integrate with any ERP, Order Management, Purchasing and other systems to manage transportation orders Oracle Integrations: E-Business Suite, JD Edwards EnterpriseOne, Siebel CRM 35
36 Transportation Planning
37 Transportation Operational Planning Maximize Fulfillment Service, Minimize Transportation Costs Optimized Decisions Route Mode Timing Equipment Consolidation Service Provider Algorithms Multi-Leg Multi-Mode Consolidation Common Leg Consolidation Multi Stop Consolidation Multi-Tier Networks LTL Consolidation Continuous Moves Engines & Rules Service Time Calculation 3-Dimensional Container Optimization Itineraries & Profiles Carrier Capacity Throughput Rating Support a Wide Range of Optimization Needs Simple Rules Based Planning to Complex Cost & Constraint Based Optimization 37
38 Areas of Optimization LTL Consolidation Multiple orders to single shipments Multi-Stop Consolidation Multiple pick-ups or deliveries per shipment Multi-Tier Networks Dynamic Routing and Consolidation (Pool Points & Cross-docks) Multi-Leg, Multi-Mode Multiple modes of shipments for single order Multiple modes of shipments for multiple orders Continuous Moves Existing en-route shipments tied with newly planned shipments DC/Warehouse Planning Dock Door and Warehouse picking balancing 38
39 Planning: Shipment Optimization Minimize Costs Route Optimization 3-Dimensional Load Configurator Consolidation Multi-Leg, Multi-Mode Itineraries 39
40 Bulk Plan Plan multiple orders together to achieve optimal transportation solutions and consolidation opportunities Planner has option to execute on shipments or re-plan orders in a future bulk plan
41 Planning: Dock Appointment Scheduling Improve Facility Efficiency & Carrier / Supplier Collaboration Automate the dock appointment scheduling process Account for facility operations constraints dock availability, operating hours, throughput Partner collaboration carriers & suppliers can manage their appointments online User productivity intuitive user interface with drag & drop appointment setting Integrate with Warehouse Management System to optimize operating efficiency 41
42 Transportation Execution
43 Your Company Transportation Execution Service Providers Review & Approve Shipment Tender Accept Tender Sched Appt Pick-up Transport Deliver EDI 204: Load Tender Wireless: Picked-up EDI 214: Delayed Internet: Delivered Support for all modes: Ocean, Air, LTL, TL, Rail Electronic (EDI), Internet, and wireless communication Automated dock scheduling and partner collaboration 43
44 Shipment Execution Support for manual intervention before and after planning, as well as during execution Change carriers Split / merge shipments Divert / re-route en-route Tendering / Booking Bulk, Individually, or Automated Electronically (XML/EDI), / Web, or Manually Response required or notification only Considers office hours, time-outs, re-tenders, and dispatch locations Shipment Status Updates Electronically or via web user interface. Automatically re-drive shipment to determine new ETAs Alerts users of new dates Trigger customized workflow to implement your specific business rules 44
45 Secure Resources Many Options Tenders can be blasted out to several carriers for bidding or expedited service Carriers Can be notified via , EDI, or Fax Tender Decline or time-out will automatically tender to the next carrier 45
46 Visibility & Event Management Alert: Shipment arrived late at HK Port Alert! Shipment is 12 hours behind schedule Kansas City DC 1 China Factory Shipment to HK HK Port Vessel Carrier US Port Planned vs. actual milestone tracking Proactive monitoring and notifications Automated, event-driven processes Track & Trace history 46
47 Freight Settlement
48 Freight Payment, Billing and Claims Carriers Invoices via web or integration Match & Pay Auto-Pay Match, validate, and pay invoices; flag exceptions Pay based on actual shipment activity and contract rates Allocate costs to orders & order lines for billing Apply appropriate GL codes based on order characteristics Calculate profit margin for each shipment VAT & NFRC* Bills via web or integration Shippers / Customers Intra-company cost transparency AR & AP Vouchers Allocated costs Payments Financial System Payments Support Settlements & Payments Based on Plans Generated in TM or Other System *Value-Added Tax and Non-Freight Related Charges 48
49 Business Intelligence
50 Transportation Business Intelligence Real-Time, Embedded, Actionable Information Embedded within OTM not a separate data warehouse Business intelligence for managers & operational users BI workflows Create user specific reports and dashboards Perform ad hoc analysis Proactive alerts 50
51 Transportation Business Intelligence Measure Performance, Take Action KPI Dashboard Drill to Additional Detail Measure Against Targets and Drill to Benchmarks Transaction 51 Level
52 Transportation Business Intelligence Embedded Analytics for Improved Decision Making 1. Change Service Provider 2. View Carrier Scorecard 52
53 Lessons Learned
54 Lessons Learned OTM is highly configurable and can be tailored to fit your business processes. While this flexibility is beneficial, custom configuration can add complexity and hinder system performance. Domain management carefully layout a domain structure before beginning configuration and set clear standards on what data will be housed in each domain. Know your master data only load what you need. This will save you processing time, and will help to keep your database clean. Leverage Oracle resources Oracle posts a lot of useful information on their support site and there are numerous OTM wikis/blogs that also have lots of helpful tips. 54
55 Useful Links Learn more about OTM at the following sites: ebusiness/logistics/ htm
56 Q & A 56
Transportation Process Framework
ation Process Framework Qualify ation Partners Data Orders for Plan Schedule Book Resources and Monitor Execution Approve Shipment Charges Monitor ation Performance CORE TMS VALUE TENANTS Reduce transportation
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