Information for Members of the Warehousing Education and Research Council

November /December 2013

In this issue...

The Top 10 Losing Warehouse Strategies 4

Introducing the Board 9

WERCouncil First Annual Retreat 10 A Resounding Success.

2013 WERCSheet Article Index 11 A listing of all articles printed in WERCSheet during 2013.

When Your Provider MergesAll sectors of the logistics industry are ripe for mergers and acquisitions these days. How to ensure a smooth transition when it happens with a provider.

W hen software provider JDA acquired Manugistics, plenty of clients wondered about the impact the event would have on

their relationship with the new provider. Perdue Farms Incorporated, a leading food and agriculture business, wasn’t overly concerned, however.

Greg Gries, data systems manager at Perdue, said in a JDA press release that overall, the company was excited. “There’s opportunity to achieve some synergistic results with the integration of JDA and Manugis-tics applications,” he said. “For example, we are looking forward to learning more about how JDA’s best-of-breed demand planning solutions can enhance what we’ve implemented with Manugistics.”

This positive attitude on the customer’s part is key to ensuring a smooth transition when a service provider is involved in a merger or acquisition (M/A). “It’s important to be proactive when you know it’s coming,” says John Anderson, advisory director at Rye, N.Y.-based Greenbriar Equity Group “Go into this with a positive mindset and look for ways to bring your story to the new provider right away.”

With M/As continuing to trend high in the logistics industry, the odds favor that one of your providers—be it software, transportation, or 3PL—might be involved in one at some point in the near future. While this can be a frightening prospect for cus-tomers, there are plenty of steps to take to help secure a smooth transi-tion and continued good service.

continued on page 2

Look! Supply Chain VisibilityVisibility is the key to unlocking greater gains and untold improvements in supply chain performance.

S upply chain visibility remains a topic of serious dis-cussion, a subject of intense scrutiny, and a point of

deep interest. It continues to be a top priority issue in poll after poll of supply chain managers, executives and profes-sionals. Specifically, an IBM survey (New Rules for a New Decade) filled out by 664 supply chain management execu-tives in 29 countries identified visibility as “among the top organizational challenges” they will face in coming years.

Further, several Aberdeen Group (Boston, Mass.) stud-ies have indicated the importance of supply chain visibility. In the most recent report (Supply Chain Visibility, a Critical Strategy to Optimize Cost and Service) the survey of 149 companies with predominantly global supply chains found that 63 percent of respondents indicated supply chain visibility as a high priority for improvement, with an addi-tional 28 percent indicating it was a medium priority.

As the report’s author, Bob Heaney, senior research ana-lyst, supply chain execution, observed, “Increasing visibility is a critical strategy for enterprises aimed at reducing costs and improving operational performance in the context of their increasing complex and multi-tiered global supply-demand networks. The importance is only amplified for those with global supply chains and partners.”

companies joining forces to offer complementary or adjacent services have fueled the … current wave of m/As.

continued on page 6

/ NOVEMBER–DECEMBER 20132

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Writers: Amanda Loudin and Joseph Mazel

Why all the merging?Mergers and acquisitions aren’t new in the logistics

industry—in fact, they’ve been a trend for several decades now—and some might argue that it’s one that is reaching fever pitch these days.

“There have been three major waves of mergers and acquisitions, says Benjamin Gordon, CEO and managing partner at BG Strategic Advisors, Palm Beach, Fla. “The first took place in the 1980s with deregulation.”

The second wave, he says, occurred over the last decade when acquisitions began occurring as a way for companies to scale up and offer a wider array of services. A good example of this, says Gordon, is Jacobson Com-panies, which, though a series of acquisitions, has grown substantially over the past 10 years or so. Excel Logistics is another example. The company has spent the past decade strategically acquiring companies to expand its services, today making it the world’s largest logistics ser-vice provider.

Companies joining forces to offer complementary or adjacent services have fueled the third, or current wave of M/As. “So you see warehousing companies moving into packaging services,” says Gordon. “The whole idea is to offer a more complete range of services to customers.”

Anderson says that M/As can also be broken down into two major categories: Strategic and financial. “Stra-tegic buyers are those looking to expand their range of services to customers and so merge or acquire comple-mentary businesses,” he explains.

Financial buyers, on the other hand, are often private equity companies looking for a good fit for their portfo-lios that will provide an attractive return to investors.

Greenbriar is a prime example of this: a private equity firm focused solely on the global transportation industry. The company looks for good fits to its portfolio, acquires them, and then builds value in a company by supporting growth plans, acquiring add-on companies, and helping management expand into new regions and services. “We’ve seen a steady pattern of strategic buyers in the past 20 years,” says Anderson, “but in the 2000s, more financial buyers have joined the trend as well.”

Other factors that have played into the growing number of M/As include globalization—with increas-ingly longer and more complex supply chains, companies often need to add to their international port-folio to get the job done. If a company isn’t adding on these services itself, its 3PL partner is, often making it an attractive target.

There’s also the stronger economy we have today compared to a few years back driving the rate of M/As. When companies have balanced books, they’re more likely to sell, and buyers with extra cash to spend are ready to take advantage of the opportunities.

The second wave of loosened regulations has played a role in M/A upticks as well, because it gives more com-panies incentive and opportunity to invest. When regulations were tight, companies were less likely to move on M/As.

Upside and downsidesWord of a M/A sometimes sends shudders down the

backs of both customers and the companies that are going through the process. But there are plenty of upsides if you find yourself on the receiving end of a new M/A via your service provider.

Anderson says that for customers, having a one-stop shop for all their logistics needs is a big benefit. “Big con-solidations like Exel mean that providers can satisfy a much wider range of needs,” he explains. “Warehousing, transportation, international freight forwarding—all taken care of by one provider. There’s a lot of benefit to that.”

When you have fewer providers overseeing your needs, you have more control as the customer. You can gain more visibility, reliability, and even better pricing through one or two main service providers compared to working with several diverse partners.

“Pricing can definitely improve when your providers merge or acquire,” says Gordon. “For instance, when C.H. Robinson did some acquiring, it was able to increase its volume, yet lower costs for its customers. Take advan-tage of these situations.”

Anderson says that on the whole, the larger, consoli-dated companies have helped drive down logistics costs.

When Your Provider Merges continued from page 1

S T R A T E G I E S

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“With the technology and efficiency improvements that these larger companies have been able to make, costs are down about 10 percent to 20 percent over the past decade,” he says.

Potential downsides do exist, however. Gordon says that M/As can lead to some staffing changes, and that can be tricky. “This is a people business,” he says. “Sometimes if the best people don’t stay on, your service can suffer.”

And just as M/As can giveth more services, they can also taketh away. “When competitors get larger and have more market power, they may find that the lower profit business are expendable and reduce the services they offer,” says Anderson. “You have to be on top of the situa-tion to ensure your needs are still being met in a way that fits with the new owner’s approach.”

There’s also the potential that your stock may go down in terms of your customer leverage. “A big provider may not be as willing to deal with a medium- or small-sized company,” warns Anderson. “Be proactive to make sure that’s not the case.”

Get it rightMost mergers and acquisitions don’t come out of the

blue or happen overnight. So when you learn that your provider might be involved in a M/A, take some steps to prepare and ensure a smooth transition.

Gordon recommends being straightforward with your providers and asking questions. “Ask them what the plan is,” he says. “You should be getting a more complete service from the merger, so make sure to find out exactly what’s going to go down.”

Anderson says that you should also work for a con-tract with flexibility. “You want to be able to expand and think about the possibilities available through these changes,” he says. Request a meeting to talk about how you and the new owner can work together in a mutually beneficial manner.”

Another step to take: ask the provider to explain to you exactly how the integration will happen. “Ask that disruption be as minimal as possible,” says Gordon. “If there is work to be done, ask that it be fast. Better to take your medicine quickly and get it over with.”

“Go in with a positive mindset,” says Anderson. “Look for ways to bring your story to the attention of the new provider right away. If they know you and appreciate your story, they are much more likely to work with you for a positive outcome.”

Gordon agrees. “Get to know the new company,” he says. “They may be able to bring you great value if you understand what they have to offer and they understand your needs.”

To that end, offer to help the new provider. “Most providers are going to start formulating their strategy early on,” says Anderson. “If you offer to help them with this, you’re going to build a better rela-tionship and that can only help you in the long run.”

The first one in is often going to be the first to get the attention of the new provider, says Anderson. “It all has to do with being proactive,” he says. “Find ways to reap the ben-efits of this new relationship.”

If you stumbleThat said, there will undoubt-

edly be times when everything doesn’t go off without a hitch in a brand-new relation-ship. Again, Gordon emphasizes the importance of communication if that’s the case. “Make sure your service provider knows you are unhappy,” he says. “They can’t help if they don’t know.”

Once you’ve communicated your feelings to the pro-vider, give them a chance to get things right. “It make take a while, but if you take the long-term view, you’re more likely to emerge from things satisfied with the response,” says Gordon.

Anderson says that the same rules apply to a new contract with a new provider as did in your old relation-ship. “Take a step back, talk things through and increase the odds that you can fix things,” he says.

He says it all goes back to the prep work: “Avoid get-ting forgotten in this new relationship and getting less personalized service. Be proactive with the new owner about your expectations of the new relationship.”

“Look for ways to expand your services with the new provider,” Anderson recommends. “Use this leverage to make yourself more relevant and to ensure good service in return.”

The bottom line: Don’t let a M/A just “happen” to your company. “Be proactive—get involved and have a say in things,” says Anderson. “Work with the new pro-vider on how the new relationship will proceed. If you take these steps, you shouldn’t find yourself unhappy.”

John Anderson, Greenbriar Equity Group, www.greenbriarequity.com Benjamin Gordon, BG Strategic Advisors, www.bgstrategicadvisors.com Copyright ©2013 WERC. All rights reserved.

“A big provider may not be as willing to deal with a medium- or small-sized company. be proactive to make sure that’s not the case.”John Anderson

/ NOVEMBER–DECEMBER 20134 / NOVEMBER–DECEMBER 2013

The Top 10 Losing Warehouse StrategiesMotorola points out common mistakes and how to overcome them.

A ccording to Motorola, warehousing operations often fall victim to 10 common losing strategies—

strategies that the company says can easily be avoided. “You’ll reap big rewards if you lose these 10 outdated practices and strategies and adopt new ones that take advantage of the latest advances in mobile technolo-gies,” the company says in a recent white paper.

Here, then, are the top 10 losing strategies, accord-ing to Motorola:

1 Receiving product manually and then having someone key the data into a fixed terminal—this is a slow and redundant process that is prone to errors and delays that will cost you big, says the company. Instead, it recommends, use mobile com-puters with bar-code scanners or RFID readers at the receiving dock to ID products on arrival.

2 Not requiring your suppliers to provide bar-code labels and advanced ship notices (ASNs) for incoming materials. Without them, it’s nearly impossible to unload and receive efficiently, says Motorola. Instead, require your suppliers to provide bar-code labels or RFID-tagged packages and ASNs for all shipments.

3 Allow material handlers to put products wher-ever there’s an open slot and then write the location down on paper—an outdated method that causes problems. Instead, track all material moves and ensure everything is put away in the cor-rect spot, instantly, by scanning all destination locations including rack, shelving, or in bulk.

4 Insist workers manually perform cycle counts using paper forms—a labor consuming process, Motorola says, that produces errors and can even complicate and interrupt order processing. Instead, use bar code scanning and RFID to capture inven-tory counts and update them on the spot.

5 Force all tasks into a single mobile device, even when that device has significant ergonomic and technical disadvantages. When devices are poorly suited to tasks, productivity, accuracy, and morale suffers. Instead, match the mobile device to the task, says Motorola.

6 Use printed reports to figure out which pick slots need to be replenished, says Motorola. Instead, scan the product and location to make sure the right item gets into the right pick slot.

7 Make pickers juggle handheld devices and paper lists, while ignoring all the hands-free technol-ogy that can make life much easier for them. Instead, consider hands-free, real-time technology to direct and confirm each pick.

8 Avoid equipping managers and workers with real-time voice communications and make them rely on inefficient, face-to-face communications and batch processing. Instead, Motorola recom-mends, use real-time technologies to optimize your workflow.

9 Fail to invest in tools that can help you proac-tively manage your infrastructure and your mobile devices, leading to downtime and frus-tration. Instead, says the company, invest in tools to help you secure, provision, monitor and maintain performance levels.

10Give your workers consumer-grade instead of rugged or industrial-class devices. You may

savor a one-time savings in device acquisition, but suffer months or years of operation disruptions and high costs over the long run, says Motorola. Instead, spend a bit more for devices that are built to with-stand the drops, dirt, and environmental challenges typical of the warehousing environment.

P R O C E S S E S

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According to Mark Wheeler, director of warehouse solutions at Motorola Solutions, it’s actually quite common that companies come up short with technology and depend instead on manual opera-tions. “Warehouses began to automate and integrate technology into their most costly operations first to maximize their initial ROI,” he says. “That typically meant targeting picking first.”

That’s a mistake, however, he says. “Inbound han-dling at receiving or put-away, or outbound handling at stage/pack/ship has lagged behind. Tightening compli-ance requirements from trading partners at both receiving and shipping is going to really pressure lag-gards in deploying technology on these two bookends of traditional warehouse or DC to change.”

Wheeler says that manual handling remains com-mon in smaller, branch-based segments of the market, particularly wholesale or in specialized niche segments such as cold chain. “There still exists pockets across vari-ous warehouse processes and market segments where technology is not being deployed to its full extent.

BarriersSo what are the usual barriers to technology? Cost,

for certain, says Wheeler, but also the lack of resources and focus on deploying new technology over the past few years. “Technology is only as good, or as bad, as the business processes that are re-engineered as new tech-nology is introduced,” he explains. “That is often times complex and it takes time. It can introduce what is per-ceived to be significant risk to operations-critical and resource-strained warehouses.

“Without the talent, bandwidth or appetite to do a technology or mobility assessment with a DC when faced with these challenges, it’s easy to keep your head down and just strive to meet the next level of perfor-mance through brute strength and willpower. But doing so limits long-term transformational potential that can set companies apart.”

So how can companies justify the technology expense and put an end to these losing strategies? “ROI

modeling can help substantially,” says Wheeler. “That often times will focus primarily on the cost savings that are generated by improving inventory and order accuracy, making staff more pro-ductive and more efficient, and potentially even freeing capital tied up in excess or obsolete inventory.”

One hitch, though, says Wheeler, is that traditional ROI

modeling doesn’t consider the top-line impacts of an investment in technology in the DC, such as the ability to win new business or protect margins by providing faster and better fulfillment performance.

WMS or middlewareOne necessary piece of the equation, says Wheeler, is

WMS. “Data capture and mobility are always best when tied into a WMS,” he says. “We work closely with leading WMS providers in delivering complete and holistic solu-tions that leverage our technology and help increase the utilization and accuracy of the information contained within the WMS.”

Another alternative is to look at middleware that can augment or supplement an existing WMS to add new functionality without a complete upgrade, he says. “Without WMS, handheld, forklift, wearable and wireless mobile technologies provide a valuable means for data capture, but not for data synthesis in order to make bet-ter business decisions. The two go hand-in-hand.”

If you are interested in following up on some of Motorola’s advice, they have another white paper, says Wheeler, which provides a roadmap to mobile device implementation. Called the “Six Steps to Flawless Fulfill-ment,” Wheeler says that no matter where a DC is along the maturity curve, can provide step-by-step guidance to the process.

At the end of the day, according to the Top 10 Losing Warehouse Strategies white paper, by adopting the rec-ommendations made, you can expect to see error rates and labor costs drop, while productivity, inventory turn-over, customer loyalty and profitability increase.

Copyright©2013 WERC. All rights reserved.

“Technology is only as good, or as bad, as the business processes that are re-engineered as new technology is introduced.” Mark Wheeler

/ NOVEMBER–DECEMBER 20136666

Defining supply chain visibility“Supply chain visibility is the process of sharing criti-

cal data required to manage the flow of products, services and information in real time between suppliers and customers,” explains Marc Wulfraat, president, MWPVL International Inc., Montreal West, Quebec, Can-ada. “Supply chain visibility enables companies to react quickly to unexpected supply change disruptions or changes in supply and demand.”

Richard Sherman, principal essentialist, Trissential, Austin, Tex., maintains, “It’s having time-sensitive data collected at every point in SCM transactional flow made visible to decision support systems that can transform it into actionable information.” There are various permuta-

tions of the applications that lead to supply chain visibility, such as ship-ment tracking applications and eCommerce (including EDI).

“Supply chain visibility,” says Sandy Stephens, principal, Johnson Stephens Consulting, Smyrna, Ga., “is business intelligence recognizing in real time the status, location, demand and optimized routing of merchan-dise in selling unit quantity.” By recognizing changing demand for merchandise during sourcing links (manufacturing and ocean freight) of the supply chain, vendors and retail-

ers utilize supply chain visibility tools to optimize the routing of product directly to the point of demand. “This includes deconsolidation and DC bypass functions to move product directly to stores, fulfillment centers and replenishment facilities based on real time demand,” he explains. “Transportation and handling are minimized while the speed to point of need may be greatly improved.”

Clarifying supply chain visibilityNot having supply chain visibility, for Wulfraat, is like

driving on a winding mountain road in a thick fog. You can never be too sure what is within a short or long dis-tance away. “The purpose of visibility,” he explains, “is to lift the fog so that you can plan and execute your busi-ness operations regardless of where your company fits within the global supply chain.”

For manufacturers this means having far more infor-mation at one’s fingertips in terms of where inventory is within the supply chain which significantly impacts ones’ ability to manage situations in advance of them

becoming a crisis. For retailers, according to Wulfraat, it means knowing with far more precision when and where goods will be arriving from different suppliers around the world which enables improved downstream decision making right on up to day-to-day staffing decisions.

An example provided by Stephens is that of a nation-wide retailer with two DCs (one in the center of the country and the other on the east coast). “Visibility enables the retailer to employ a 3PL on the west coast to transload containers from Asia to 53-foot intermodal trailers for the DCs while crossdocking cases and deliver-ing directly to west coast stores based on recent demand,” he explains.

Prior to sophisticated supply chain visibility, the con-tainers were delivered to the central U.S. facility, unloaded, put to storage racks, and pulled based on the nightly demand waves. Merchandise required 7 to 14 days to move from port to store. With supply chain visi-bility merchandise arrives at stores 3 to 8 days after arriving at the port.

Sherman, in his recent book, “Supply Chain Transfor-mation: Practical Roadmap to Best Practice Results,” introduces the Smart Supply Network. “It’s the only means to synchronizing material flow (and all related information, such as order, batch, price, shipment, loca-tion, time delivery, receipt, quality, payment, etc.) across the end-to-end supply chain in response to demand,” he explains. “The few implementations that I have experi-enced have taken monumental cost and working capital out of the supply chain.”

Generally, larger, more global logistics networks imply more complexity, and the probability of a higher benefit to be derived from supply chain visibility. A com-pany that operates many different global divisions running on different IT platforms with corporate plants and a mix of internal and third party warehouses is more likely to benefit from visibility solutions than a smaller firm with low complexity. “In other words,” says Wulfraat,

S Y S T E M S

Look! Supply Chain Visibility continued from page 1

Not having supply chain visibility…

is like driving on a winding mountain road in a thick fog.

You can never be too sure what is within

a short or long distance away.

/ NOVEMBER–DECEMBER 2013 7

continued on page 8

“the more repositories of inventory, the more that visibil-ity plays a key role in centralizing the information that benefits all stakeholders from internal associates and manager right on through to customers.”

Ultimately, more visibility means better fulfillment rates and lower operating expenses because managers have better quality information to react proactively before a situation becomes a crisis. “Supply chain visibil-ity also can enable high levels of collaboration between a company and its suppliers which significantly improves overall accuracy and service levels,” he states.

Paving the way to visibilityLong links of transportation and reverse legs of

transportation signal a need for improved supply chain visibility, maintains Stephens. Merchandise traveling from port to a central DC and returning to customers or stores near the port signal a need for visibility and addi-tional services.

“Multiple touches within a short period of time often illustrate an opportunity for improved supply chain visi-bility,” he notes. If a shipment arrives at the dock of the DC, is unloaded, placed in storage, pulled for replenish-ment of a forward pick location, is picked and shipped within three days, a visibility tool could have eliminated over half of the labor required to complete those links of the supply chain, claims Stephens.

“You need visibility to actionable information to put out the sparks before they become fires,” warns Sher-man. “Whether in a corporate role or managing a warehouse, you can define the information that you need to resolve those problems on a recurring basis.” For example, begin the process by defining your different supply chains (segments) and their requirements, he rec-ommends.

Often problems are generated with different require-ments and segments being served with a single procedure. Break the rule! According to Sherman, all cus-tomers and products are not created equal; different segments require different processes.

Document the processes and metrics that are required to meet the supply chain requirements for the most important or problematic segments. During pro-cess documentation, define any data/information inputs and outputs that would streamline the processes and support better decision making. “This will allow you to identify the information and sources, analytics, time-frame and resources throughout the process required to take corrective actions,” says Sherman.

Wulfraat likens supply chain visibility to a brain that

receives signals from a complex central nervous system. “The nervous system is the data that is being fed to the brain from all of the suppliers, carriers, plants, ware-houses, so that the brain can centralize the data into a meaningful shared format for key stakeholders,” he explains. “Thus, this is very much an IT project that must be developed around the needs of operations in such a way that key priorities are addressed in a prioritized sequence.”

Supply chain visibility is typically an information layer that covers the data flows that span across an entire network of corporate divisions and operations as well as suppliers and third party partners. The visibility toolset is made up of events/alerts that are generated based on key signals that require attention, and measurement tools in the form of various KPIs.

To execute visibility, says Wulfraat, one must first study the extended issues that act as constraints for excel-ling at one’s business. This study should definitely include the voice of the cus-tomer. The study also needs to produce a roadmap of the information that is needed within the supply chain visibil-ity framework.

Specific to warehouse/DC opera-tions, he explains the critical points for visibility that will enhance operations “tend to pertain to order and order sta-tus change, inventory status change and shipment and receipt exchange.” The key warehouse drivers are reducing loss of potential sales, more efficient allocation and distribution of finished goods inventory and proactive planning in case of potential non-avail-ability of critical SKUs.

Tools for visibilityGaining visibility requires much more than basic

track-and-trace functionality, states Aberdeen’s Heaney. It involves a control tower approach, which is defined as a set of integrated processes and technologies that sup-port a seamless flow of product from source to end consumer, regardless of global complexity, or sale and logistics preferences of customers, and closing the loop between planning and execution and synchronization of end-to-end activities—from raw material to the delivery to the end customer.

“As the supply chain control tower bandwagon is making its way around, many providers are jumping on supply chain visibility, resulting in many different flavors,”

“The key to any collaboration platform is its un-intrusive, system agnostic, plug-and-play capabilities with cloud deployment options.” Rich Sherman

/ NOVEMBER–DECEMBER 20138

Look! Supply Chain Visibility continued from page 7

says Sherman. At the more comprehensive end, he cites companies such as Serus, GT Nexus, Descartes and Vecco International as having developed “some very compre-hensive multi-tier supply chain visibility and execution platforms. Vecco, one of the smaller companies, is in his opinion, the most industry and system agnostic of the collaboration platforms.

“The key to any collaboration platform is its un-intru-sive, system agnostic, plug-and-play capabilities with cloud deployment options,” he maintains. Key tools that Wulfraat recommends for supply chain visibility include: A real time dashboard or command center that

enables an enterprise-wide visibility of key supply chain information.

A data warehouse that acts as a repository of histori-cal data to store large quantities of data that is fed from different systems. This allows research into trends and statistics.

Performance-based logistics reports that allow critical objectives to be defined and consistently measured across the enterprise (e.g. cost per unit).

Generator of user-defined alerts for critical supply chain events to prompt users to take proactive actions due to a specified set of circumstances.

Web-enabled system tools to enable collaboration across multiple divisions, departments and facilities within a company and also out to its extended supply chain network of trading partners.

A service oriented architecture that is a technology-agnostic application that can be applied to all software systems being used by companies.

Track and trace capability across the entire supply chain to allow a company to sense and respond to important events—this may be more important to industries that face a high degree of risk associated with product recall or product security.

A nice to have may be the ability to look ahead and conduct predictive analysis to analyze and decide upon supply chain behavior.

Lessons learned for visibilitySecurity is obviously a major concern, cautions

Sherman. “Selecting the providers and partners has to be done carefully with non-disclosure and contractual agreements, audit procedures and governance well-defined and formalized,” he explains. “While technical security is pretty sophisticated, so are the threats.”

Agreements must also cover intellectual property, social responsibility, diversity, tax, import/export, and other issues. “The greatest value comes from the depth of multi-tier integration; however, the further down the channel you go, the sophistication often goes down as well,” he warns.

Align supply chain visibility with your company’s objectives, advises Wulfraat. “Many firms buy into the concept of supply chain visibility but they have no clear vision of how to create a roadmap for global systems and processes,” he explains. “Most companies need to work with external, experienced resources that can help them to define consistent processes that work across the global enterprise regardless of geography.”

Process definition and documentation are the key ingredients to supply chain visibility success, says Sher-man. “Whether it’s a small collaborative effort at a single facility or a corporate wide implementation, it will be a transformation, so plan and resource accordingly for success.”

Marc Wulfraat, MWPVL International Inc., www. mwpvl.com Richard Sherman, Trissential, www.trissential.com Sandy Stephens, Johnson Stephens Consulting, www. Johnsonstephens.com Copyright © 2013 WERC. All rights reserved.

These months are when the majority of members renew their membership with WERC. Watch the mail and email for your invoice and reminders. The fast and easy way to renew is online at www.werc.org. Click on the “Renew WERC Membership” link. But snail mail or a phone call work as well! Call Rosanna or John at 630.990.0001.

Is It Time to Renew Your WERC Membership?

/ NOVEMBER–DECEMBER 2013 9

PRESIDENTMichael B. Wohlwend is a vice president with SAP Americas. In this role, he develops strategies, solution concepts and new business opportunities to serve existing and new customers. A WERC member since 1999, Michael has been active in the Chicagoland WERCouncil, and as Director of WERC’s 2011 Annual Conference, Roundtable Chair and as a Topic Chair, speaker and volunteer.

VICE PRESIDENT/PRESIDENT ELECTPaul M. Avampato is currently the VP, Customer Service & Logistics for Mondelẽz International’s North American Region. In this role he is responsible for the management of customer service, customer development, distribution, transportation direct store delivery operations, and product supply for the North American Region.

DIRECTOR OF MARKETING MEMBERSHIPSheila Benny serves as executive vice president of Optricity Corporation where she leads marketing, strategy and alliances. Her background has focused specifically in the market space where technology and service industries intersect.

DIRECTOR, 2015 ANNuAL CONFERENCE Ken Woodlin is the VP of Compliance, Safety and Asset Protection for Walmart Logistics. In this role he has accountability for all compliance, safety and asset protection decision makers and strategy developers serving one of the largest warehousing, distribution and transportation operations in the world.

DIRECTOR, 2014 ANNuAL CONFERENCE Tim J. Hotze is the Corporate Head of Logistics Competence Center, North America Vice President, at Panalpina Inc. He is an expert in international supply chain management, warehouse and distribution, value-added logistics solutions, and a broad scale of Logistics and SCM IT solutions.

DIRECTOR AT LARGEStuart M. Rosenfeld, VP Distribution/ Logistics, Pep Boys, is the only founding family member still actively involved in company management. Pep Boys is an aftermarket service and retail chain that was established in 1921, and celebrated its 90th Anniversary in 2011.

CHIEF EXECuTIVE OFFICERMichael J. Mikitka, CAE joined WERC in 2000 as director of conference and in 2006 was promoted to senior director of conference and to CEO in 2009. Michael is responsible for overall management of the association and staff.

DIRECTOR OF WEB SERVICES Sylvia Spore, Technology Manager, with Humana, has 12+ years of supply chain expertise gained in the pharmaceuticals, semiconductor and software development industries. Supply chain operations, analysis and technology are her passions.

DIRECTOR OF INDuSTRY RELATIONSC. Frederick Rake is EVP, Senior Group Advisor, with EP America, Inc. A seasoned veteran of global supply chain intricacies with experience in roles with CEVA, Anixter Intl, Exel/DHL, he has opened warehouses in 14 countries around the globe; and managed global relationships across the entire supply chain.

DIRECTOR OF MARKETING MEMBERSHIPTony Ward is a lead Partner in the Supply Chain Practice for Kurt Salmon Associates, a global management consulting firm focused exclusively on retail and consumer products industries. He has 20+ years of experience in supply chain manage-ment, global product flow, transportation, sourcing,  and enabling technologies.

DIRECTOR AT LARGEDeb Parmé is Vice President, N. Am. Logistics & Global Supply Chain Processes & Technology for Amway Corporation. Deb leads the Amway team that provides comprehensive, flexible and robust logistics solutions throughout North America. IIn addition, she is respon-sible for developing a Global Supply Chain Center of Excellence supporting business process optimization and establishing the supporting technology roadmap

DIRECTOR AT LARGETom Nightingale is President of GENCO Transportation Logistics and is responsible for the growth, profitability and execution of GENCO’s transportation logistics solutions across its blue-chip list of customers. Previously, Tom was president, sales and marketing for ModusLink Global Solutions, chief marketing officer at Con-way, Inc. and held senior roles at many other leading transpoprtation and logistics companies.

DIRECTOR AT LARGEStan Danzig, SIOR, Executive Director, Cushman & Wakefield, East Rutherford, NJ, leads a six-person team, focusing on industrial leasing and sales, significant land tract transactions and national/global corporate representation.

PAST PRESIDENTGregory J. Javor,Senior VP, Supply Chain Operations EMEA Region, Starbucks Coffee Company, has responsibility for the Starbucks end to end supply chain for Europe, the Middle East, and Africa.

2013-2014 Board of Directors

/ NOVEMBER–DECEMBER 201210 / NOVEMBER–DECEMBER 2013

T he WERC National Office held its first WERCouncil Retreat in Oak Brook, IL on October 9–10, 2013.

There were 22 people in attendance from a variety of national WERCouncils—from California to New Jersey, and many places in-between. The two-day retreat was fruitful—as attendees shared ideas, best practices and discussed solutions to issues faced by multiple councils.

Guest speakers included:

Melissa WallingDirector of Membership at IREM, who discussed success-ful chapter management, common pitfalls, and opportunities of working with a volunteer board and committees.

Gary MasterCo-founder of Agile Business Media LLC and publisher of DC Velocity Magazine and CSCMP’s Supply Chain Quar-terly, who discussed industry trends and what to do to prepare for upcoming trends.

Sheila BennyEVP of Optricity Corporation and WERC Board Member, talked about issues facing WERCouncils, goals for this fiscal year, and what future WERCouncils might look like.

After a successful day of workshops and best prac-tices discussions, the group went out for a wonderful dinner at Mon Ami Gabi. Day two began with a lively discussion on collaboration, technology and the types of successful events that could be shared across Coun-cils. Due to its valuable outcome, it was decided to keep the momentum going. Therefore, 1–2 conference calls will be scheduled between the retreat and our next face-to-face meeting, which will take place at our annual conference in April. Thank you to all who made the trip, participated and provided meaningful outcomes for all of us.

ParticipantsAtlanta: Stephen T. Hopper, P.E. and Larry ClausenBaltimore/Washington: Joseph Tillman, CTLChicagoland: Mark Diehl and Ronald T. GroveCincinnati: Brian K. Jaynes and Jake WilliamsColumbus: Myles K. Harmon and Holly WhiteDelaware: Kevin McGowan, SIOR, CCIMIndianapolis: Kate EmsSt. Louis: Mark GaskillMichigan: Jim LaRueNew York/New Jersey/ Connecticut: Donald CroninNorth Carolina: Sheila Benny and Kristen BasmajianNorth Texas: Norman E. Saenz, Jr. and Bill GayNorthern California: Erin JenkinsUtah: Aaron JenkinsWERC Board: Michael B. WohlwendWERC staff: Michael Mikitka and Patricia O’Neill

First Annual Retreat — A Resounding Success

P E O P L E

Melissa Walling

Sheila Benny

Participants Joe Tillman and Kristen Basmajian

/ NOVEMBER–DECEMBER 2013 11

ISSUe PAGe

GOING GREEN

Is Wind Power a Practical Solution for the DC? Jan/Feb 1 Walmart gives it a go.

FACILITIES

Network Redesign: No Time to Waste Jan/Feb 1 Taking a look at your network design on a more frequent basis can pay big dividends.

Spaced Out: May/June 1 Are you making the most of your (shrinking) space?

PROCESSES

Inventory Management 2013 Jan/Feb 6 Four leading authorities discuss today's inventory management challenges; provide insights into their resolutions.

The Top 10 Losing Warehouse Strategies Nov/Dec 4 Motorola points out common mistakes and how to overcome them.

PEOPLE

Refocus, Renew Safety Culture Initiatives May/June 1 Create environment where individuals accept personal responsibility for their safety and their co-workers, too.

Warehouse Employee Opinion Survey May/June 10

Disability Initiatives in the DC July/August 8

Maximizing Workforce Productivity Sept/Oct 10

RELATIONSHIPS

Doing Good is Good Business March/April 1 Corporate social responsibility is a concept whose time has come.

ISSUe PAGe

STRATEGIES

When Your Provider Merges Nov/Dec 1 All sectors of the logistics industry are ripe for mergers and acquisitions these days. How to ensure a smooth transition when it happens with a provider.

SYSTEMS

2013 RFID Update: Item-Level Tagging Mar/Apr 1 Proven technology, solid benefits and a sound business case create path for expansion of item-level RFID concept.

Labor Management Emphasis Guides DC Performance Gains Sept/Oct 6 Workforce productivity, warehouse efficiency among critical factors benefiting from labor management principles.

Look! Supply Chain Visibility Nov/Dec 1 Visibility is the key to unlocking greater gains and untold improvements in supply chain performance.

WERC

Official Notice Board of Directors Slate Mar/Apr 11

WERCouncil Circle of Acclaim May/June 9

WERC’s 36th Annual Conference Coverage July/August 1

WERC’s 36th Annual Conference Coverage Sept/Oct 1

At WERC Sept/Oct 5

The 2013-2014 Board of Directors Nov/Dec 9

Index of 2013 Articles Nov/Dec 11

Articles by and for Young Logistics Professionals:

Insight: Quiet on the Set Jan/Feb 10

Insight: Ready, Set Mar/Apr 10

2013 WERCSheet Index of ArticlesArticles are presented chronologically by topic.

PS Form 3526: Statement of Ownership, Management, and Circulation

Publication title: WERCsheet; publication number 014-998; filing date 9-12-13; issue frequency: bi-monthly; number of issues published annually: 6; annual subscription price: $80.00. Name and address of publisher: Warehousing Education and Research Council, 1100 Jorie Blvd., Ste. 170, Oak Brook, IL 60523-4413; editor: Rita Coleman. Owner: Warehousing Education and Research Council. Tax Status: The purpose, function, and nonprofit status of this organization and the exempt status for federal income tax purposes has not changed during preceding 12 months.

Extent and Nature of Circulation: average no. copies each issue during preceding 12 months; total: 1850; paid or requested mail distribution: 1,795; free or nominal rate distribution: 40; total distribution: 1835; not distributed: 15; percent paid and/or requested circulation: 97%. No. copies of single issue published nearest to filing date; total number of copies: 1850; total paid and/or requested distribution: 1,806; free or nominal rate distribution: 40; not distributed: 4; total distribution: 1,846; percent paid and/or requested circulation: 97%.

PERIODICALS

The Warehousing Education and Research Council and DC Velocity Magazine invite your company to participate in the 2014 WERC Annual Conference and WIRE (trade show) to be held April 27–30, 2014, at the Chicago Hyatt Regency Hotel, in the heart of the Midwest.

Exhibit & Sponsorship Opportunities Exhibit LiaisonGary Master John Case 719.495.5050 630.990.0001 gmaster@dcvelocity.com jcase@werc.org

Jim Indelicato 630.521.9033 jindelicato@dcvelocity.com

WElComE to ouR 2014 SponSoRS

REGISt

RAtIon

noW o

pEn!

www.werc.org