Tuesday, July 18, 2006

ADS Logistics to Manage Steel Resale Program for Mitsubishi Motors North America, Inc

HOMEWOOD, Ill. -- ADS Logistics, LLC (ADS), the leading North American provider of integrated logistics and supply chain solutions for the metals industry, today announced their selection by Mitsubishi Motors North America, Inc. (MMNA) to manage a Resale Program for this major manufacturer of automobiles.

As program manager, ADS provides a neutral, single point of management and services coordination for MMNA. Utilizing ADS' expertise and knowledge as a metals industry consultant, ADS provided analysis and data in a variety of functional areas. This data was used by MMNA to reach decisions in processor, carrier, and warehousing selections. The resale program involves logistics from mill, through the processor and ultimate delivery to parts manufacturers in the U.S. and Canada with ADS providing coordination of trucking, warehousing, inventory control, processing, and documentation preparation, with a single invoice to MMNA covering all aspects of the program.

"ADS has provided MMNA with cost savings, better control of our supply chain and cost transparency," states Greg Neville, Senior Buyer, Materials & Services Procurement & Supply of Mitsubishi Motors North America, Inc. "By managing MMNA's steel resale supply chain, ADS facilitates MMNA in transitioning the steel resale program from a steel distributor-directed program to a MMNA-directed program, whereby MMNA controls the purchase of the steel from the mill, the processing of that steel to the stamping supplier's specification, and the sale of the steel to the stamper."

LoMaS(R), ADS' supply chain management application, will be utilized to manage and provide total supply chain visibility. By utilizing LoMaS(R), MMNA will be able to pull parts from OEMs, driving the replenishment of processed coil to the part manufacturer, which in turn drives reorder of master coil from the mill for delivery direct to the processor.

"Our focus as a resale program manager and integrated solutions provider is to help customers improve their supply chain performance and lower costs," states Gordon Gustafson, Chief Commercial Officer for ADS and Vice President of their Integrated Solutions Group. "We can do this by offering LoMaS(R) to manufacturers to either self-manage their resale program, or they may choose to outsource the management of the physical, informational and financial flows to ADS."




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