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OHL Team Ready for the Big Leagues
Brentwood, Tennessee USA
June 30, 2009
By
Richard Armstrong
Key Personnel:
Scott McWilliams, Chief
Executive Officer
Bert Irigoyen, President &
Chief Operating Officer
Frank Eichler, Chief
Administration Officer & General Counsel
Catherine L. Cooper, Executive
Vice President & Chief Information Officer
Bob Spieth, President –
Contract Logistics
Denis Reilly, President –
North America Transportation
Mick Fountain, President &
Chief Executive Officer – Global Freight Management & Logistics
Charlie
J.
Cape,
Phd, Chief Information Officer – Global Freight Management & Logistics
Michael A. Burns, Executive Vice President – Global Sales & Marketing
Fred Loeffel, Executive Vice
President – Global Account Management
John R. Norris, Sr. Director of
Business Development
Karen Hall, Director of
Marketing & Communication
OHL is ready to be a global
supply chain leader. Since 2006, when it acquired Barthco, OHL has quietly built
a portfolio of global supply chain management capabilities that complement its
well-known expertise in value-added warehousing and distribution. OHL has
rounded out its leadership and operations teams to go toe to toe with any
third-party logistics provider (3PL) in the industry. The team that CEO Scott
McWilliams fields is particularly strong given its company size. However, that
smaller size gives it flexibility and responsiveness to its target market of
Fortune 500-1,500 companies.
A key member of the team is
Mick Fountain, president & CEO of OHL’s Global Freight Management and Logistics
business unit. Fountain learned the game at Lep Air Services, MSAS and
DHL/Exel. OHL has built on the 2006 acquisition of Barthco, purchasing key
offices of Hong Kong based Dart Express in 2007 and acquiring London based
Activair in 2008. The company has 56 global locations and Fountain says that OHL
needs 65 to complete the global network. He indicates that additional European
locations will cement OHL’s ability to compete against the other global
providers.
Figure 1 -
OHL Timeline
Fountain’s group contains some
key heavy hitters. Mary Jo Muoio, SVP, is the leader of OHL’s trade services
group – a strong element of the international transportation management
offering. Muoio is also president of the National Customs Brokers & Freight
Forwarders Association of America. Including Muoio, OHL has 55 licensed customs
brokers.
OHL currently handles 110,000
air freight shipments a year and 60,000 TEUs (twenty-foot equivalent units). The
company anticipates clearing 500,000 U.S. Customs entries this year and had
a 98.3% “correct as filed” accuracy rating last year. This compliance score is
one of the best in the business. OHL will file approximately 100,000 ISFs
(importer security filings) during 2009.
Michael Burns, EVP global sales
and marketing, is an experienced and proven sales leader who worked in tandem
with Fountain at Exel. Charlie Cape leads the deployment of the new Cargowise
platform. The Cargowise deployment is about 90% complete, with some business
modeling additions to be completed by year end.
Cape’s efforts are coordinated
with OHL’s EVP and CIO, Catherine Cooper. Cooper is another of the entrepreneurs
who joined OHL. She’s bright and quick and will continue to lead OHL and its
customers to a one portal visibility system, slated for 2010.
Figure 2 -
OHL Supply Chain Operating Systems
In addition to Global Freight
Management and Logistics, OHL has two other business units – Contract Logistics
and North America Transportation. Quality-wise, Contract Logistics belongs with
a few consistent Class A value-added warehousing and distribution (VAWD)
operations. OHL now operates over 120 warehouses with 28.3 million square feet
of space. Besides North America, OHL has VAWD operations in Amsterdam, Shanghai,
and Singapore. Twenty-two percent of the operations now involve fulfillment for
the direct to consumer channel in which OHL has significant competency. In
addition, OHL has developed a return logistics operation for a leading
electronics manufacturer. One of OHL’s advantages comes from multi-customer
campuses, with robust operations in Atlanta, Chicago, Dallas, Los Angeles,
Memphis, Nashville, St.
Louis, Sparks and other campus locations.
Back in the days when it was
known as Ozburn-Hessey Logistics, OHL involved itself heavily in the real estate
part of warehousing. McWilliams has moved steadily to an asset-light business
model. These days, OHL’s building needs are handled by strategic partner,
ProVenture Commercial Real Estate, which is also headquartered in
Brentwood.
Over the last seven to eight
years, OHL has developed a range of transportation service offerings. The key
operating system is Oracle Transportation Management (G-Log). Denis Reilly is
president of OHL’s North America Transportation (NAT) business unit. Reilly is a
veteran of Menlo, USF, and YRC Logistics. Reilly has built a team of industry
veterans with deep experience in selling transportation management solutions.
NAT’s engineering and analysis work features network optimization, facility
location, model shifts, and route design. As part of its daily transportation
management (TM) activities, OHL provides carrier management and shipment
optimization and execution. The solutions offered are designed for customers
with transportation spends of $3 to $5 million per year but are robust enough to
handle larger operations. TM is a contracted service normally with 3 to 5 year
terms. Control centers are operated in
Nashville
and Sparks.
Reilly’s group also runs a
truckload brokerage operation. About 7,000 shipments are handled monthly with
half requiring specialized handling such as refrigeration. These operations were
expanded with the purchase of Turbo Logistics in 2006. OHL provides brokerage
services for a leading soft drink manufacturer at 51 locations. The brokerage
hub is in Atlanta.
NAT also operates a
less-than-truckload, temperature-controlled network in the Midwest and
Southeast. There are seven terminals in the network from Kansas City to Chicago
to Atlanta. National coverage is provided with carrier partners.
OHL’s core business segments
have a cumulative annual growth rate of 11.4% since 2005. Acquisition growth
rates have been 4.3% for the same period, for a total growth rate of 15.7%. The
growth rates are indicative of the core business strengths for Contract
Logistics and NAT. Fifty percent of OHL’s business development spend per year is
for new business startups. About 25% is for building new IT systems necessary
for global supply chain management.
Fred Loeffel, EVP global
account management, heads the cross-selling effort for OHL. Forty-one of OHL’s
top 100 accounts are using the services of two or more business units indicating
several early successes towards achieving OHL’s goals of providing complete
supply chain solutions for its customers. Loeffel and his team recently designed
an end-to-end supply chain solution for Sara Lee. Key results are outlined in
Figure 3 below.
Figure 3 -
OHL Solutions Approach and Results |
|
 OHL has the team, the momentum
and the depth of expertise to sustain its growth and solidify an already strong
position. It’s time to move into the big leagues.
...3PL, Third-Party
Logistics, Logistics Provider, Armstrong & Associates, OHL, Ozburn-Hessey,
Barthco, Lep Air Services, MSAS, DHL, Exel, Mick Fountain, Scott McWilliams,
Mary Jo Muoio, Customs Brokers, Importer Security Filings, U.S. Customs,
Cargowise, Oracle, Contract Logistics, North America Transportation, Global
Freight Management, Sara Lee, 3PL, Third-Party Logistics, Logistics Provider,
Armstrong & Associates, OHL, Ozburn-Hessey, Barthco, Lep Air Services, MSAS,
DHL, Exel, Mick Fountain, Scott McWilliams, Mary Jo Muoio, Customs Brokers,
Importer Security Filings, U.S. Customs, Cargowise, Oracle, Contract Logistics,
North America Transportation, Global Freight Management, Sara Lee, 3PL,
Third-Party Logistics, Logistics Provider, Armstrong & Associates, OHL,
Ozburn-Hessey, Barthco, Lep Air Services, MSAS, DHL, Exel, Mick Fountain, Scott
McWilliams, Mary Jo Muoio, Customs Brokers, Importer Security Filings, U.S.
Customs, Cargowise, Oracle, Contract Logistics, North America Transportation,
Global Freight Management, Sara Lee, 3PL, Third-Party Logistics, Logistics
Provider, Armstrong & Associates, OHL, Ozburn-Hessey, Barthco, Lep Air Services,
MSAS, DHL, Exel, Mick Fountain, Scott McWilliams, Mary Jo Muoio, Customs
Brokers, Importer Security Filings, U.S. Customs, Cargowise, Oracle, Contract
Logistics, North America Transportation, Global Freight Management, Sara Lee,
3PL, Third-Party Logistics, Logistics Provider, Armstrong & Associates, OHL,
Ozburn-Hessey, Barthco, Lep Air Services, MSAS, DHL, Exel, Mick Fountain, Scott
McWilliams, Mary Jo Muoio, Customs Brokers, Importer Security Filings, U.S.
Customs, Cargowise, Oracle, Contract Logistics, North America Transportation,
Global Freight Management, Sara Lee, 3PL, Third-Party Logistics, Logistics
Provider, Armstrong & Associates, OHL, Ozburn-Hessey, Barthco, Lep Air Services,
MSAS, DHL, Exel, Mick Fountain, Scott McWilliams, Mary Jo Muoio, Customs
Brokers, Importer Security Filings, U.S. Customs, Cargowise, Oracle, Contract
Logistics, North America Transportation, Global Freight Management, Sara Lee,
3PL, Third-Party Logistics, Logistics Provider, Armstrong & Associates, OHL,
Ozburn-Hessey, Barthco, Lep Air Services, MSAS, DHL, Exel, Mick Fountain, Scott
McWilliams, Mary Jo Muoio, Customs Brokers, Importer Security Filings, U.S.
Customs, Cargowise, Oracle, Contract Logistics, North America Transportation,
Global Freight Management, Sara Lee, 3PL, Third-Party Logistics, Logistics
Provider, Armstrong & Associates, OHL, Ozburn-Hessey, Barthco, Lep Air Services,
MSAS, DHL, Exel, Mick Fountain, Scott McWilliams, Mary Jo Muoio, Customs
Brokers, Importer Security Filings, U.S. Customs, Cargowise, Oracle, Contract
Logistics, North America Transportation, Global Freight Management, Sara Lee,
3PL, Third-Party Logistics, Logistics Provider, Armstrong & Associates, OHL,
Ozburn-Hessey, Barthco, Lep Air Services, MSAS, DHL, Exel, Mick Fountain, Scott
McWilliams, Mary Jo Muoio, Customs Brokers, Importer Security Filings, U.S.
Customs, Cargowise, Oracle, Contract Logistics, North America Transportation,
Global Freight Management, Sara Lee, 3PL, Third-Party Logistics, Logistics
Provider, Armstrong & Associates, OHL, Ozburn-Hessey, Barthco, Lep Air Services,
MSAS, DHL, Exel, Mick Fountain, Scott McWilliams, Mary Jo Muoio, Customs
Brokers, Importer Security Filings, U.S. Customs, Cargowise, Oracle, Contract
Logistics, North America Transportation, Global Freight Management, Sara Lee,
3PL, Third-Party Logistics, Logistics Provider, Armstrong & Associates, OHL,
Ozburn-Hessey, Barthco, Lep Air Services, MSAS, DHL, Exel, Mick Fountain, Scott
McWilliams, Mary Jo Muoio, Customs Brokers, Importer Security Filings, U.S.
Customs, Cargowise, Oracle, Contract Logistics, North America Transportation,
Global Freight Management, Sara Lee, 3PL, Third-Party Logistics, Logistics
Provider, Armstrong & Associates, OHL, Ozburn-Hessey, Barthco, Lep Air Services,
MSAS, DHL, Exel, Mick Fountain, Scott McWilliams, Mary Jo Muoio, Customs
Brokers, Importer Security Filings, U.S. Customs, Cargowise, Oracle, Contract
Logistics, North America Transportation, Global Freight Management, Sara Lee,
3PL, Third-Party Logistics, Logistics Provider, Armstrong & Associates, OHL,
Ozburn-Hessey, Barthco, Lep Air Services, MSAS, DHL, Exel, Mick Fountain, Scott
McWilliams, Mary Jo Muoio, Customs Brokers, Importer Security Filings, U.S.
Customs, Cargowise, Oracle, Contract Logistics, North America Transportation,
Global Freight Management, Sara Lee, 3PL, Third-Party Logistics, Logistics
Provider, Armstrong & Associates, OHL, Ozburn-Hessey, Barthco, Lep Air Services,
MSAS, DHL, Exel, Mick Fountain, Scott McWilliams, Mary Jo Muoio, Customs
Brokers, Importer Security Filings, U.S. Customs, Cargowise, Oracle, Contract
Logistics, North America Transportation, Global Freight Management, Sara Lee,
3PL, Third-Party Logistics, Logistics Provider, Armstrong & Associates, OHL,
Ozburn-Hessey, Barthco, Lep Air Services, MSAS, DHL, Exel, Mick Fountain, Scott
McWilliams, Mary Jo Muoio, Customs Brokers, Importer Security Filings, U.S.
Customs, Cargowise, Oracle, Contract Logistics, North America Transportation,
Global Freight Management, Sara Lee...
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