SOURCE: GT Nexus, Inc.

May 19, 2005 08:45 ET

GT Nexus Launches Managed Service for Global Freight Analytics

Program Combines "On-Demand" Contract Management Software With Freight Analytics and Reporting; Enterprises Can Monitor, Measure Global Freight Performance

ALAMEDA, CA -- (MARKET WIRE) -- May 19, 2005 -- GT Nexus, the leading provider of on-demand software for global logistics and supply chain management, today launched a new managed technology service providing integrated contract management and performance analytics for global ocean transportation.

The new offering is the third in a series of logistics IT services the company has brought to market. Earlier this year, GT Nexus launched managed services for strategic ocean freight procurement and bid management, followed by a companion program providing network optimization and freight allocation planning for ocean freight operations.

Global companies invest significant time and resources to manage the annual procurement and negotiation of ocean freight contracts, and then to optimize those contracts to reach the ideal mix of cost and service for their business, noted John Urban, GT Nexus president. "However, the benefits of all that work can evaporate unless the enterprise implements an integrated system and process to manage those contracts going forward, and measure how their service providers are executing against the plan."

Poorly managed service contracts and the inability to track "actual" performance against plans leaves companies exposed to excessive global transportation costs, insufficient capacity, cargo delays and sub-standard transportation operations that can inhibit overall supply chain performance.

How it works

The Global Freight Analytics managed service program includes:

--  Process support and workflow tools for standardizing the customer's
    ocean transportation agreements and uploading them to the GT Nexus system.
--  A central database and hosted software applications for managing and
    updating "digitized" carrier contracts going forward.
--  Collaboration tools enabling companies to share strategic contract
    data with partners who tender and manage shipments on their behalf, such as
    freight forwarders.
--  Analytics for measuring global transportation network operations, such
    as carrier volumes and capacity commitments, plan exceptions and their
    financial impacts, and partner service performance.
--  Freight bill auditing tools that compare actual charges against
    contracted rates.
--  A dedicated GT Nexus specialist to manage system implementation and
    provide ongoing user support.
    
Combining planning, execution and measurement on a common platform

A key advantage of the GT Nexus offering is its ability to provide an integrated system of software applications and data management tools for both transportation planning and execution activity -- delivered as a "on-demand" service on a common platform. First, the customer establishes their service contracts on the system. Then, as customers begin to book shipments and the freight starts to move, the platform captures "actual" shipment activity, which can be measured against plans and service commitments. Finally, performance information can be aggregated and analyzed to reveal trends.

"This is a very powerful and strategic feature that's unique to GT Nexus because of the network connectivity we already have built with dozens of carriers and forwarders in the global trade community," noted Urban. GT Nexus operates the industry's leading transaction platform for ocean transportation. "By capturing booking, freight bill and shipment status information, we can run a whole host of 'plan vs. actual' reports and analytics that give customers immediate insight into how their global transportation network is really performing -- and where the gaps are."

The program is designed for importers or exporters with 5,000 or more full-container shipments annually (spending $10 million or more on ocean freight) and who contract with as few as five to as many as fifty ocean carriers. It is offered as an "on-demand" service and requires no purchase of hardware or installation of software at the customer's location. Users securely access the system through a simple Web browser.

"Software as a service" reduces risk, lowers overall technology costs

Transportation management systems are one area where "on-demand" technology is particularly strategic, explained Ann Grackin, CEO of ChainLink Research, a supply chain technology consultancy. "These network models have compelling benefits for users. The model shifts risk to the vendor for implementation and operation. It allows the enterprise to share a global network platform -- and therefore pay only a fraction of total system cost -- yet fully realize the value as if it were a stand-alone application."

For more information about GT Nexus' managed technology services program for Global Freight Analytics, write us at information@gtnexus.com, or call +1-510-747-3200.

ABOUT GT NEXUS -- GT Nexus is the leading provider of hosted, on-demand software and services for global logistics and supply chain execution. Founded in 1998, the company provides integrated technology that enables enterprises and their partners to control, optimize and manage the flow of goods and information through a single Web platform, from order point to final delivery, anywhere around the globe. GT Nexus solutions span and link three critical logistics functions: multi-modal transportation management, global supply chain visibility, and performance management. GT Nexus technology also powers GTN -- the world's leading portal for the ocean transportation industry. Backed by a consortium of global shipping lines based in Europe, Asia and the Americas, GTN represents over 45% of the worldwide market for containerized cargo. For more about Alameda, California-based GT Nexus, visit us at www.gtnexus.com

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