The Advance ICP is the leader of a large logistics team, up to 15 people. Generally, they already have a TMS that was implemented as part of a corporate strategy from upper management. The TMS is usually a global standard like SAP, ORACLE, or Blue Yonder. From there, procurement processes and demand planning are managed; however, delays due to manual data capture and the lack of a reliable monitoring module make tangible the need for a complementary logistics management tool.

The following are the specific characteristics of this class of teams:

Characteristics of the Logistics Manager (Client)

• Male or female (almost always male) between 40 and 50 years old
• Has more than 5 years of experience in their position
  • In the case of the Advance ICP, it is practically indispensable that they have more than 5 years in the position. This is because they must have perfectly identified the problems and opportunities for improvement in the logistics process. They must also have enough trust to be able to access budget authorizations.
  • It's important to mention that if the manager has been in the position for too long, for example 15 years, they probably don't want to change anything. The time they've been there can be a factor against us (commercially speaking). We may have to face issues of arrogance and/or apathy.
• Is a technology enthusiast
  • It's important that the client is already familiar with the idea that there are technological tools (outside of SAP, ORACLE, or BlueYonder) that solve industrial problems. They have probably researched on their own, already know some, and may have even approached competitors.
  • If the client is not enthusiastic about technology and is "comfortable" with a traditional operation, it will be very difficult to move forward with them.
  • Another factor against us is that they may have the prejudice that TrackChain's functionalities are already present in their current ERP or TMS.
• Has a very clear vision regarding the fulfillment of objectives.
• Their mind works in a very strategic way. They usually identify very quickly the pros and cons of an option to solve a problem. Once this happens, it's difficult for their opinion to change.
• Generally somewhat incredulous and requires tangible evidence
  • Budgets are usually not a problem for them. However, it is essential to justify the value of a solution compared to the money, time, and effort for the implementation of a technological solution.
• The Advance ICP is a person very related to the operation. They know it perfectly despite not carrying it out directly and identify the scope of each member of their team. The characteristics inherent to the virtue of leadership are indispensable for the Advance ICP. These become visible in examples such as the following:
  • They often mention things like:
    • "We know this will take time and will be hard at the beginning, but it has many benefits in the long term"
    • "We need to be clear about why we're doing this. More than x% of shipments to our main client have incidents or lose visibility"
    • It's also common for them to mention system improvements in the long or medium term, this suggests that they visualize their operation with the tool already implemented.

Characteristics of the Logistics Operation

• First mile and middle mile distribution (for now, we DO NOT handle last mile)
• Volume: between 1000 and 5000 shipments per month maximum
  • An operation of more than 5000 shipments usually involves managing multiple distribution centers in different cities with different operations. This is not necessarily a problem, but in such a case, we need to explore the possibility of having a dedicated TrackChain account for each distribution center. At the moment we don't have a precedent for this, so we can't foresee inconveniences related to functionalities that haven't been developed in the product, such as the fact that different shipper accounts can interact with each other, to mention an example.
• +90% of the operation is domestic (Cross-Border opens in November)
• FTL shipments
  • We can manage multi-origin OR multi-delivery operations. But it is essential that in each shipment, the unit is 100% dedicated.
• +60% of the operation is carried out with articulated units (Single or Full)
  • We can manage operations with Torton, Rabón, and 3.5 Ton. But when more than 50% of the operation is done with small units, the shipper usually needs to manage vans or smaller vehicles as well, and they are closer to a last-mile operation.
• Units requested from providers: Dry van, Curtainside, platform, or hopper
  • Refrigerated units can be selected. However, refrigerated units have particularities in their management. For example, temperature monitoring or pre-cooling status during shipment.
  • In the pharmaceutical industry, for example, an operation that combines dry van and refrigerated units is common. In such a case, we would need to analyze first the percentage of operation in refrigerated units and secondly the particularities of managing refrigerated shipments.
• +95% of their operation is assigned to external providers.
  • The assignment of cargo to brokers (logistics intermediaries) complicates the management and transparency of shipment information documentation and transport units.
  • On the other hand, it is relatively common for a shipper to have their own fleet. Generally, this is managed with a different business name, and there is no problem in managing this type of operation through TrackChain. However, if the operation is assigned to this fleet in a high percentage, for example 50% or 60%, there tends to be a bias of having high control of the operation just because it is their own fleet. Convincing them that they have a problem and then convincing them that our solution to that problem is the best can be an important factor in wasting time.
  • The factor that would completely disqualify the ICP is an operation that is divided solely between logistics intermediaries and own fleet.
• Their provider ecosystem is integrated by 70 or +300 carriers.
• It is common that many providers, or even the majority, are owner-operators or SMEs. This is an advantage in implementation most of the time.