Supply Chain Solutions that Deliver WAR ROOM PROCESS

>>Supply Chain Solutions that Deliver WAR ROOM PROCESS www. go 2 uti. com www. go 2 UTi. com

Exxon Mobil Daimler. Chrysler Sasol Ford Atlas Copco Dow Agro. Sciences Nampak Volvo Cummins Rover www. go 2 UTi. com

Prospects at the Start Prospect Status Remarks Daimler. Chrysler Hymie Exxon Mobil Kiall AECI Coatings Dave Cummins Diesel Clive Atlas Copco Grant Sasol Gerald/Wendy/Clive Ford Wendy Volvo Andrew Dow Agro. Sciences Kiall Kromberg & Schubert Jenny Rover Hymie Fiat Hymie Babcock Clive Sandvic Tamroc Shaun Rectron Shaun www. go 2 UTi. com

Why Implement the War Room Process? • Major Accounts Success depends on – Total focus – Clear Strategy – Commitment • Solution Selling requires – All levels of management – Multi-disciplinary input • Continuity of effort is required www. go 2 UTi. com

Why Start a War Room Process Now? Prospect Status Daimler. Chrysler Closed Exxon Mobil Closed AECI Coatings Closed Cummins Diesel Remarks Closed Atlas Copco Running Sasol Decision pending/bid pending Ford Closed Volvo Closed Dow Agro. Sciences Started again Kromberg & Schubert Closed Rover Closed Fiat Babcock Close to decision Closed Sandvic Tamroc Wounded but still running Rectron Still running www. go 2 UTi. com

How does the War Room work? • War Rooms – Process – Regional and National levels • In depth prospect assessment – Opportunity Strategy – Only scores of more than 4 www. go 2 UTi. com

Opportunity Strategy l l l l Describe Prospect What is the probability of success? Understand the prospect. How much effort will be involved and how will we price? What people are we dealing with? Identify the UTi game plan What are the risks? Action Items: n n Agreed sequence of events with Prospect; UTi’s action plan. www. go 2 UTi. com

Describe Prospect l Who is involved? l How big is the potential? l Profile the prospect: n n n n Description Close Date Customer Approved Buying Steps Closing probability Qualification Score Buying influences Decision making process www. go 2 UTi. com

What is probability of success? 1. Customer Business Relationship 2. Executive Sponsorship 3. UTi Solution Area 4. Ideal Customer Profile 5. Ease of Implementation 6. Customer Buying Process 7. Customer decision making Process 8. Potential Value to UTi Score each category and take the average. Progress those where average is higher than 4. www. go 2 UTi. com

Understand the Prospect l Why do something? l Why now? and l Why UTi? Strategic, Tactical & Operational pain points and needs? What is our Competitive Advantage? www. go 2 UTi. com

How much effort is involved and how will we price? 1. Process Map 2. Current environment, supply chain approach and objectives 3. How educated is the prospect in SCM? 4. What competing services are under consideration? 5. Describe solution being offered 6. What is the pricing strategy? 7. Channel Partners: l l l Do we need one? If so who? What value do they add? www. go 2 UTi. com

Process Map Packhouse Planning Meeting Packhouse Operations UTi Exports Departure Port Arrival Port UTi Imports Distribution Center/Final Destination Market Demand U-Trac BO Co-ordinate Transport Build Pallets T Create CO Cold Store Receive CO Order Dispatch Pallets T Receive Freight U-Trac RV Truck Departs Packhouse U-Trac TS U-Trac TA Order Containers Receive Containers Export Documentation Pack Containers T U-Trac DP Deliver to Port U-Trac SA Packing Instruction Truck arrive at Port T Ship depart from Port Ship arrive at Port Move to T Cold Storage U-Trac AR Import Documentation Co-ordinate Transport T Touch points for temperature scanning U-Trac DC Deliver T www. go 2 UTi. com

Channel Partners • Do we need one? • If so who? • What value do they add? www. go 2 UTi. com

What people are we dealing with? Relational Power Base Analysis Role Legend: 5 4 3 2 1 Name/ Title Level of Relationship Degree of Influence on Decision Sense of Urgency Support UTi vs Competitors Business Pain & Personal Agendas Significant Above Average Some Little None www. go 2 UTi. com

UTi Game Plan – Strengths & Weaknesses Customer’s Buying Criteria UTi Competitor No 1 Competitor No 2 1 2 3 4 Strengths Weaknesses Strategy Note: Rank 1 -3 for each criteria with 1 being the strongest www. go 2 UTi. com

What are the Risks? What could cause UTi to lose this opportunity? 1. …………… 2. …………… 3. …………… 4. …………… www. go 2 UTi. com

Action items • Agreed Sequence of Events with Customer – Description – Date • UTi’s action plan – Objective – Action – Who – When www. go 2 UTi. com

Learning Points • • • Total Focus at all levels Work as a team Detailed assessment Action/Game Plan Continuous effort Discipline www. go 2 UTi. com

Opportunity Evaluation Agreed to Sequence of events with the Customer/Prospect A. Account Opportunity Evaluation Name: Clive Griffiths / Joanne Verburg Date of Last Revision Customer Name Customer Solution Manager SCM’s Manager Channel Partners Financial Estimate of Opportunity Revenue (R) Margin (R) p. a. A. Manager: Shaun Clayden Atlas Copco / Interoc Clive Griffiths Grant Spencer Sun Couriers / CMH Current Fiscal Year Long Term 4, 200, 000 Current / Existing Revenue Base 1. Prospect Profile The company has been identified at a “mining initiative prospect”. Although they operate 4 distinctive divisions, with each having a logistics manager, up until now the choice of service provider has been left up to the logistics manager. A decision has been taken to appoint a single service provider having a global presence. www. go 2 UTi. com

3. Mid / End September 2001 Has the customer approved YES X NO 4. Buying process step that has been completed – has the customer: 2. Projected close date: X X X Recognised the need Identified requirements Evaluated options Resolved concerns Negotiated / approved 5. Closing probability: 6. Qualification Score 7. Identified all buying influences 8. Explain customer decision process – people / timing / events: YES X NO 85% 4. 875 Our timing has been about correct. They have been making user of service provider Danzas/AEI for pat 2 years. In process they have lacked operational efficiency insofar as: communications, system integration, transit times, customised solutions, etc. This has been 1 st task. Thereafter, consideration outsource warehousing and distribution www. go 2 UTi. com

Probability of Success Customer Business Relationship a. Current strong relationship with recognised UTi value b. Some business relationship c. No relationship today 6 3 0 5 Executive Sponsorship a. Strong relationship with C level sponsor b. Executive sponsor identified – no relationship c. No identified executive sponsor 6 3 0 4 UTi Solution Area a. Ideal match for UTi solution capabilities b. Matches some UTi solution capabilities c. Does not match UTi solution capabilities 6 3 0 6 Ideal Customer Profile a. Meets all aspects of UTi ICP b. Meets some aspects of UTi ICP c. Does not meet UTi ICP 6 3 0 6 Ease of Implementation a. Very easy b. Average difficulty c. Very difficult 6 3 0 5 Customer Buying Process a. Early in the buying process b. Some influence on customer requirements c. Late in process / RFP received 6 3 0 4 Customer Decision Making Process a. Simple / one decision maker b. Medium complexity c. Very complex / multiple global decision makers 6 3 0 3 Potential Value to UTi a. Greater than * R 200 / R 500 K b. Greater than R 100 / R 200 K c. Less than R 110 R 200 K 6 3 0 6 B. Opportunity Evaluation Scorecard 39 TOTAL Qualification Score (÷ 8) 4. 875 * Regional (R 200 K value) National (R 500 K value) www. go 2 UTi. com

Understand the Prospect C. Business Value Argument Why do something? 1. Strategic: As a result of globalisation and developments within the mining industry, there is a need to focus on company e. Commerce initiatives and management of inventory levels 2. Tactical: Need for greater IT interface/information flow and management of direct costs, transit times and inventory Greater efficiency and communications 3. Operational: Why Now? 1. Strategic Rationale: It is a quest to become “world class” 2. Tactical /Financial Rationale: Market and industry drivers are dictating product availability at competitive prices. Refer book “Lean Thinking” that company subscribes to – we have a copy available. Due to competitive business in which they operate, need to improve service to customers 3. Operational Rationale” www. go 2 UTi. com

Why UTi? 1. Strategic Link: 2. Tactical Link: 3. Operational Link: We are viewed as industry leaders particularly with our “mining initiative” involvement We are already established in IT providing customised solutions with quantified value UTi being a global company provide system integration – particularly u. Perform and exception reports Competitive Advantage Globalisation IT initiatives Single point of contact End-to-end service provider / multi-modal www. go 2 UTi. com

Effort & Price D. Solution and Pricing Strategy 1. Describe the solution being offered Single service provider on a group basis providing end-to-end solutions globally on a multi-modal basis 2. Attach a process map 3. Describe their current environment including supply chain approach and objectives It is the objective of the management team to appoint a single service provider and streamline choice of service provider achieving economies of scale 4. How educated is the prospect in this area? Ian Dicks aware of benefits, others within group not so sure. Response to date has been very positive 5. What competing services are under consideration? Clover Cargo / Wilson Expeditors RTT ETC: National Distribution International Clearing and Forwarding www. go 2 UTi. com

6. Describe the solution being proposed Single service provider on a group basis providing end-to-end solutions. Aided by empower suite of products, having a single point of contact. 7. What is the Value Pricing Strategy? Compressor Technique Division, door-to-door rate been in place and submitted accordingly 8. Channel Partner Strategy YES: CMH / Sun Couriers Do we need a channel partner? If so, who is the channel partner and what role do they play? What value do they bring? In providing warehousing and distribution on a national scale. However, have doubts that Sun Couriers will be the right choice, might need to consider other options, ie. RTT/Value/DNA etc. www. go 2 UTi. com

Who are We Dealing With? E. Relational Power Base Analysis Supports UTi vs Competitors Name/Title Sense of Urgency Role Degree of Influence on Decision l List all decision influences and required information Attach an organisation chart to your Account Opportunity Evaluation Level of Relationship l Business Pain and Personal Agendas Approver Ian Dicks Jan du Preez Charmagne Newton Abies de Wet 4 4 Service/Delivery Transit times Commuication Cost Decision Maker GM’s / Director 1 1 No contact to date Technical Buyer Victor Scott 4 4 Service/Delivery /Transit times/Communication/ Cost End User Legend: 5 = Significant 2 = Little 4 = Above Average 1 = None 3 = Some www. go 2 UTi. com

Strengths & Weaknesses F. Competitive Strategy l Rank 1 -3 for each criteria with 1 being the strongest Customer’s Buying Criteria 1. 2. 3. 4. Globalisation IT Integration Performance Management End-to-end Solution Strengths Weaknesses Strategy Head-to-Head Flank Divide and Conquer UTi 1 1 Competitor 2 DANZAS/AEI Expeditors 1 3 3 2 1 2 2 3 *Fully Integrated IT *Current provider *End-to-end Solution in house at *Global holding co. *Global *Airfreight focused *No Company *Current service dealings limited responses *Method of Dist *Global *IT products *Inbound *Airfreight focused X X www. go 2 UTi. com

Risk of Failure? G. Risk Analysis – What could cause UTi to lose this opportunity? 1. 2. 3. Unknown within group Influcence of Charmagne – although response positive Influence of Holding company in Sweden www. go 2 UTi. com

Game Plan 5. Agreed to Sequence of Events with the Customer / Prospect Date 1. 2. 3. 4. 5. 6. Presentation in Solution Centre Client Visits Present Proposal Document 19/07/01 25/7 – 7/8 1/8 – 15/8 Completed Yes Yes Yes X X X End End End www. go 2 UTi. com

Game Plan (continued) 6. UTi’s Action Plan Objective Action Who When Complete Presentation proposal Aies de Wet / Jan du Preez Clive 20/08/01 Management Meeting Ian Dicks Clive 07/09/01 Management Meeting Ian Dicks Bengt Clive 21/08/01 Management Meeting: Suppliers (Sweden Belgium and USA) Senior Management Clive 21/08/01 www. go 2 UTi. com

Learning Points • Ensure that the War Room is a priority with senior executives • Use structured analysis (Opportunity Strategy form) to: – Judge probability of success – Estimate value of proposition • Run a disciplined meeting/process that focuses on getting the client • Get commitments and team work and report back …. . Persevere. www. go 2 UTi. com