2. What is TACTICIAN?
• Am I shipping from the right places?
• Do I have the right number of warehouses?
• Am I using the right modes of transportation?
• Can I better leverage 3PL services?
Purpose—Answer emergent questions:
3. OPPORTUNITY:
HERE IS WHAT LOGISTICS PROVIDERS SAY
“Need to find that
call to action
to change the way
they are operating”
“Sales take a long
time - sometimes
as long as 6 or 12
months”
“I would say there is
40 hours or more
of wasted work
per quote”
“Nobody likes to
wait for an RFP
to be issued” “Anything that speeds
a customer to a
decision point helps
both parties”
“
“I could easily
eliminate 2 or
more meetings
per sales cycle”
4. !
TACTICIAN IS A REAL-TIME
DECISION MAKING PLATFORM
Build models quickly
Explore variations
Score and visualize impacts
Triage ideas
Achieve consensus
6. Shippers Are Looking to Their Logistics Providers to help them
be smarter
71% of incremental
sales are driven by
relationships and
gainsharing
Direct
Sales
Effort
38%
Respond to
RFP
29%
Existing
Customer
Expansion
33%
New Revenue Sources
For 3PL Companies
Source: Armstrong and Associates 2012
71%
29%
Collaborating – Adding Value
Trench Warfare
7. Data is Available & Abundant
Model A Variety of Demand Drivers
Retail Grocery DCs and Stores
9. COSTLY -
CUSTOMIZED
INTELLIGENCE
FAST - STANDARDIZED
INTELLIGENCE
NETWORK
DESIGN TOOLS
(I2, LNP)
ENTERPRISE
SOFTWARE
(SAP, ORACLE)
CONSULTING
SERVICES
SPREADSHEET
ANALYSIS
CUSTOM
MACROS
HOW DOES TACTICIAN HELP PUSH THE
DECISION MAKING HORIZON?
DECISION MAKING MATRIX
TIMELY-PERTINENT
INTELLIGENCE
LATE - CUMBERSOME
INTELLIGENCE
?
FLEXIBILITY
LEAD TIMELONG SHORT
LOWHIGH
We can take
you here
TACTICIAN
Advanced tools no longer require
highly trained analysts
Advanced tools no longer need to
consume expensive time,
resources, and data
10. TACTICIAN
CRITICAL SUCCESS FACTORS
!
Stunning and intuitive interface
Tactile-fast
Layered with your data
Configured for your metrics
Always returns an answer
Enterprise grade architecture
11. TACTICIAN relies on layers of reference data to complete the metrics in your model
12. What does it take to set up network design as a customer service
Setting up a Network Analysis Service:
Consult with Starboard on data and analytical options
Train 2 or more analysts or analytically minded sales people
Run 1-3 pilots to coach 3PL through process
Provide ongoing coaching and support
And Starboard would like to add:
Work with Starboard on roadmap and capabilities—you tell us how to make it
easier and better for the warehousing business
13. Opportunity
Network Analysis can often identify 5-25% reduction
1.4
Trillion
in the US
5-25%
Potential
reduction
1,000s
Potential
customers
Logistics costs average 7-8% of revenue
Mid and small sized companies are challenged to find these savings
14. Challenge
And cost between $20K and $200K
4-16
weeks
$20k -
$200k
ROI
Negative
A classic network design project can take from 4-16 weeks
Small and Mid-sized companies do not have budget or bandwidth
15. Economics of performing Classic Network Analysis
Can afford $20K-$500K to do a
network analysis study
Left with doing spreadsheet
analysis or asking 3PLs for help
>$2BB
Everyone else
16. TACTICIAN Classic Network Design Software
User/training Sales Person or Supply Chain Analyst – 2 hours training Supply Chain Engineer – 3-5 days training
Origin of Design Gaming and Gaming Simulation Research and Academic Programming
Engineering Structure Object Oriented Architecture Database Centric Algorithms
Interface Graphical/interactive on map
- Spreadsheet inputs of structure
Design oriented/table inputs
Model Resident in Memory Resident in Database
Optimization and
Simulation
Escalation of solutions
1. Inline Gaming Simulation + LP
2. Heuristic Reduction of Problem
3. MIP Solver
MIP Solver/LP Solver/Custom Scripts/Discrete Event
Simulation
Reference Data Centrally managed reference data across all models
(example for lane rates):
1. Facility to Facility
2. Geography to Geography
3. Interpolation + Regression formula
All Data accessible through in-memory database
Combination of reference data and table inputs by model
Slow, row by row lookup
Comparison of TACTICIAN Gaming Simulation to Classic Network Design Software
17. TACTICIAN Classic Network Design Tool
Primary Users per account
License cost/user/year
5-10
$6,000
1
$20,000-$40,000
Hardware
Incremental cost per year
Use existing laptop or tablet
$0.00
Workstation
$1,000/ year (one workstation amortized over 3 years)
Dedicated Engineering Support
Salary + Benefits ($120,000)
05% FTE (to manage reference data)
$6,000
50% FTE (requires significant time dedicated to using tool)
$60,000
Training time
Cost/user
2 hours
$100
16-24 hours
$800
Reference Data
Cost estimate
Included
0
Purchased or managed separately
$3,000 estimated
Average Hours per project 2-4 hours 4-80 hours
Risks Retraining engineers when they move jobs or spend time away
Analysis errors in using tricky software
Total cost per year per user $8,100 $94,800
Cost of analysis comparison
18. Single Subscription Enterprise
Subscription
User Environment Single Multiple
Dedicated Server X
Spot Rate Reference Data X X
Corporate Reference Data X
Configurable Metrics and Graph Cards X
Configurable Optimization Action Cards X
Configured Data Plug-ins X
Branding of interface and icons X
TACTICIAN Subscription Options
