1. THE FRANK HAWKINS KENAN INSTITUTE OF PRIVATE ENTERPRISE
Creating a Competitive Logistics Infrastructure for Monterrey-Villa XXI
Dr. John D. Kasarda, Director
The Kenan Institute of Private Enterprise
The Kenan-Flagler Business School
The University of North Carolina at Chapel Hill
Monterrey, Mexico
February 24, 2000

2. Changing Competitive Priorities
1970s Cost
1980s Quality
1990s Delivery Speed
Agility

3. New Industrial Strategies for New Global Realities
Integration of world markets
Global sourcing predominates
Production flexibility and mass customization
Response replaces inventory, flows replace stocks
SURVIVAL OF THE FASTEST AND MOST AGILE

4. To Create Speed & Agility
Manufacturing
Transportation
Information
Agile
Logistics
Integrating Manufacturing, Information and Transportation

5. Villa XXI Inland Port A New Infrastructure for Agile Logistics
Manufacturing & distribution facilities located on or accessible to Inland Port site
Multimodal transportation (air, road, rail, with links to sea)
Central Cargo Facility (for sorting and consolidating)
Automated materials handling
Advanced ISDN and fiber optic communications (for EDI and materials tracking)
Logistical support
Commercial and knowledge support

6. VILLA XXI INLAND PORT MULTIMODAL TRANSPORTATION INTEGRATED
Information Systems
Management
Multimodal Management
MULTIMODAL
TRANSPORTATION
INTEGRATED
TELECOMMUNICATIONS
Airports
Highways
Information Superhighway
Digitalized Teleport
Seaports
Rail
Materials Handling
Systems
Communications Satellites
Fiber Optics &
Harmonized EDI
VILLA XXI INLAND PORT
Sourcing
Distribution
Production
CS Management
KNOWLEDGE
SUPPORT
KS Management
COMMERCIAL
SUPPORT
Customs Facilitation
Foreign Trade Zone
Distance Education
Training Facilities
Universities, Community
Colleges & Schools
Commercial Services
Marketing, Empl. Agencies ...
Government &
Legal Services
Market Research
R & D Labs
Financial Services
Expo Centers &
Trade Associations
Strategic Planning
Technology Transfer
Consultancy

7. Intermodal Interfaces at the Global TransPark
CTS
Automated Materials Handling
Container Storage
Area (SLOT)
Trucks
Loading
Unloading
Off-Ramp JIT
Manufacturing
Facility
On-Ramp JIT
Factory
and/ or
Distribution Facility
Automated Materials Handling Systems
Customs
CENTRAL
CARGO
FACILITY
CTS - Rail
Link
Intermodal Rail Facility

8. Linking Monterrey- Villa XXI to Global Commerce Networks
THE FRANK HAWKINS KENAN INSTITUTE OF PRIVATE ENTERPRISE
Linking Monterrey- Villa XXI to Global Commerce Networks

9. Developing Global Network
Europe
North
Carolina
Philippines
Thailand
Brazil

10. Illustrative Global Link System for Mexico with Dual Hubs
MEXICALI
TIJUANA
GLOBAL LINK SYSTEM GATEWAY
REGIONAL TRANSPORTATION HUB
INTERNATIONAL ACCESS
SATELLITE FEEDER ACCESS
MEXICO CITY HUB LINK
JUAREZ
GLOBAL
ACCESS
HERMOSILLO
CHIHUAHUA
FIDENOR
NUEVO
LAREDO
TORREÓN
MONTERREY
TAMAULIPAS
LA PAZ
DURANGO
MERIDA
GUADALAJARA
MEXICO CITY
VERACRUZ
PUEBLO
GLOBAL
ACCESS
OAXACA
GUERRERO
SALINA CRUZ

11. Illustrative Global Link System for Mexico with Dual Hubs and Local Multimodal Webs
GLOBAL LINK SYSTEM GATEWAY
REGIONAL TRANSPORTATION HUB
INTERNATIONAL ACCESS
SATELLITE FEEDER ACCESS
MEXICO CITY HUB LINK
LOCAL MULTIMODAL WEBS
GLOBAL
ACCESS
MONTERREY
MEXICO CITY
GLOBAL
ACCESS

12. Villa XXI Inland Port Summary
Targets global markets and time-based competition as the keys to business success
Features full integration of air, road, rail and sea transportation modes
Links Monterrey into an emerging international network what will give the region’s manufacturers quick and efficient access to suppliers and customers around the world
Can make Nuevo León a major hub for multimodal commerce and catapult the state into global leadership in JIT manufacturing and distribution

13. Proposed Next Steps
Public-private team formation for the regional Master Plan
Identify financial sources for the Master Plan
Continuing the Inland Port Villa XXI Business Plan (2nd.Phase)
Start up the free trade zone study
Involvement of major companies for the master planning

14. THE FRANK HAWKINS KENAN INSTITUTE OF PRIVATE ENTERPRISE
5 Minute GTP Video