Cat Logistics
Overview
Cat Logistics heritage Caterpillar culture Cat Logistics overview
Cat Distribution Services Manufacturing Logistics Transportation External Client Business
The Differentiator
What sets Caterpillar apart? Superior customer service through 180 Dealers 1,890 Dealer branch stores 1,467 Dealer rental outlets Enabled by world class parts distribution Cat Logistics distributes more than 750,000 unique Caterpillar part numbers, with worldwide parts availability of 99.7% Caterpillars ability to get the right part in the right place at the right time separates us from the competition
Caterpillar Culture
Documents high ethical standards our company has upheld for more than 80 years First published in 1974 Global company with global standards and expectations Living Our Values in Action is an individual choice
LEAD
BUILD
with values
high expectations
SET
customer focus
DELIVER
DEVELOP
results
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Cat Logistics
Supplier
Manufacturing
Distribution
Dealer / Retail
Consumer
Supply Chain is the flow of materials, information, and finances as they move in a process from the origin point to the end consumer
Logistics involves all of the planning, execution & control required to successfully deliver the product to the end consumer The goal is to optimize this flow to achieve low cost and high customer service
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Manufacturing Logistics
Transportation
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Service Parts Management (SPM) software / processes Strategically placed inventory 24 x 7 x 365 operations
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Manufacturing Logistics
Parts entering manufacturing facilities (inbound logistics) Inbound Logistics Centers (ILCs):
Only hand-weight items (<35lbs or <16kgs / part) Warehousing, inventory management, sequencing, assembly processing, kitting and sub-assembly 2 ILCs supporting 130 facilities (Belgium and Illinois)
Suppliers
Manufacturing Plant
Transportation
Transportation of finished products and parts across all modes truck, rail, ocean and air Caterpillar and external clients One of the largest freight movers in the world:
Transportation spend managed $1.8 billion Carriers providing service 600 Country to country lanes managed 900
Track and trace tool enhancing visibility Sustainable development strategy Product Distribution Centers (PDCs):
Supporting Caterpillars finished goods multi-lane distribution strategy of product configuration simplification and increased availability Strategically located PDCs (Australia, Belgium and UAE) Product examples wheel loaders, excavators, tracktype tractors, wheel loaders and skid steers Modeling, implementation and operations
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Logistics knowledge gained by serving 60+ clients has allowed us to constantly improve the logistics solutions and competitive advantage for all our clients
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OTHER SERVICE PARTS (Aerospace & Defense, Technology, and Consumer Durables)
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Solution leader
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Asia-Pacific
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Miami DC Overview
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Miami DC History
The first Miami area facility opened in 1956 The current Miami Lakes facility opened in 1976 Facility expanded (C1) in 1997 Facility expanded (C2) in 2002 Yard Expansion Completed in 2007 Opened Off-Site facility in 2008 (17,000 sq. ft)
Yard Expansion (Not Shown) 2007 C2 Building 2002
C1 Building 1997
C Building 1976
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Miami DC Overview
Facility Overview
441,000 sq. ft. under roof, 44,000 sq ft. yard, 17,000 sq. ft. under roof off-site 229,000 stocked parts / 264,000 locations 230+ employees, 3 shift operation (M-F) + Weekend Shift
Volume Overview
12,000 Outbound lines/day 65% stock orders processed on 3rd and 1st shift
35% emergency orders processed on 1st and 2nd shift
Customers
Facing facility for 1 Florida Dealer and export to over 33 other dealers Secondary facility in search tables for other dealers Ship to over 1,200 Destinations 55% of outbound is shipped in Ocean containers to facing dealers 43% of outbound is air or LTL to facing dealers 2% of outbound is shipped to non facing dealers
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Problem Statement
Need to develop 5 year space solution for facility with implementable plan to achieve 85% maximum utilization. Plan for 5,000 additional parts to store each year across all concepts. In scope: Improved use of current concepts, new storage concepts, off-site Out of scope: Facility expansion, Yard Current Utilization by Concept
TYPE CTL ELG FLR GLS GSK HRK HVR MZB RCK YRD FULL 2068 12780 1778 610 2265 1607 10734 191549 11508 4102 EMPTY 54 1002 118 12 17 2 434 21599 2268 364 TOTAL 2122 13782 1896 622 2282 1609 11168 213148 13776 4466 PCNT_FULL 97.46% 92.73% 93.78% 98.07% 99.26% 99.88% 96.11% 89.87% 83.54% 91.85%
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Facility Layout
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Maint.
Office
Loading Docks
RCK
FLR
RCK
MZB
YRD
RCK
FLR
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Data Files
Item Master (Parts Stocked in Miami) Part Number Recommended Storage Quantity (RSQ) Bin Map Location Part # (if occupied) Country of Origin Location Storage Quantity (LSQ) Facility Stock Available (FSA) Concept type (CAT term for slot) Concept size (slot size) Concept sector Sales History Part Number Country of Origin MR Qty Customer Code Pack With ID Order Class Weight Volume Required Completion Date
Min
Max Pieces per entry Forecast annual demand Forecast annual entries (lines) Package Quantity Weight Length Width Height
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MZB (Mezzanine/Bins)
Full quantity in one location Parts under 30 lbs Hand picked onto carts
2010 Caterpillar Logistics Services, Inc. Caterpillar: Non Confidential
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RCK
Parts may have multiple locations Parts under 50 lbs Hand picked using order picker
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CTL (Cantilever)
Crated and uncrated parts Heavy parts Parts may have multiple locations Machine picked with reach truck
2010 Caterpillar Logistics Services, Inc. Caterpillar: Non Confidential
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ELG (Elongated)
Elongated parts Hand picked using order picker Difficult to store and pick Slower moving parts
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FLR (Floor)
Large Crates, Filters, and Rollers Primarily picked with reach truck or hoist Mix of commodities
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GLS (Glass)
Fragile items Stored vertically 80% Hand picked 20% Palletized picked with reach truck
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GSK (Gasket)
Long narrow commodity Hand Picked with order picker Fragile items
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YRD
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QUESTIONS?
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