Operational Intelligence:Regional Logistics, operations and Intermodal challenges

Vino KumarMiami, February 20th 2015

Smart Operations 2015:

Intermodal

• Equipment Imbalances-Low exports (domestic business)• High trucking costs-limited truck power• Limited logistical alternatives (ex: Barging & railroad)• Infrastructure• High Storage rates & low Free pool• Lack of off dock bonded facilities• High costs as a whole

Maintenance and repair

• Central America & Caribbean• Equipment Supply (Reefers-Costa Rica)• Dry containers upgrade (food grade)• New M&R providers• Tariff Grid, Process and Procedures• Reefer Spare Parts (Supply and Prices)• Equipment Segregation

• West Coast South America• Equipment Supply (Reefers-Ecuador)• Remote allocations (M&R Depot providers)• Lack of units in upgradable conditions• High Reefer Volumes hence High Repair Costs• On board & Transshipment Reefer Repairs

Logistics• Central America & Caribbean• Terminal productivity & Resource reliability • Schedule delays• Inaccurate reporting• Equipment Imbalance- specific requirements• Fluctuations in booking forecast on reefers• Inconsistency in the equipment demand• Venezuela

• West Coast South America• Move restrictions• Delays in empty return from inland points• Delays in information flow • Low space and allocation for evacuation • Idle empty equipment evacuation   • Equipment Imbalance – specific requirements.  • 40’ RH requirement and stock buffer• Weekly reefer report and continuous communication with these countries help to cover week to week

Marine OperationsMarine Operations

• Central America & Caribbean• Politic interference – Trinidad & Tobago• Infrastructure & Investment – Caribbean islands & Guyanas• Security – All countries• Efficiency

• West Coast South America• Breakwater – Chile• Depth – Ecuador• Berth window – Peru & Colombia Pacific• Customs - Mexico

Marine• Advance resources and

equipment• Terminal expansion• Dredging (rivers) + Berth• Flexibility on c.y. cut off

Security• no compromise or cutting

corners (contraband)

Intermodal• Reliable trucking providers• Volumes• Warehousing and cold

storage facilities• Match back

Logistics• Improved infrastructure• New highways• No storage/high free pool• Bonded offdock facility

Concise analysis

THANK YOU

Vino KumarMiami, February 20th 2015