1. Daimler Vans Manufacturing in Ladson SC Integral part of the global Daimler production and supply networks
May 28, 2008

2. Best Practices…?

3. Agenda Daimler Vans Manufacturing LLC 1 2 Mercedes Benz Vans 3
Daimler AG 3

4. Dodge and Freightliner Sprinter Products of Daimler Vans Manufacturing LLC

5. The Logistics Process at DVM is designed according to the common Daimler Supply System
All Logistics and Supply Processes will follow the structure of the Supply Backbone – with the enhanced vision to shape the world’s most effective supply chain

6. Agenda Daimler Vans Manufacturing LLC 1 2
Mercedes Benz Vans - The Sprinter 3
Daimler AG 6

7. Mercedes-Benz Sprinter Dodge & Freightliner Sprinter
Mercedes-Benz Vans Sprinter Products
Mercedes-Benz Sprinter
Dodge & Freightliner Sprinter
VW Crafter
Cab
Crew Cab
Passenger Van
Cargo Van

8. Process Landscape Logistics
Product Development Process
Order Process
Development Ø
Program Planning Ø
Logistics compatible Product Design Ø
Order Processing
Suppliers Ø
Specification Sheet and Delivery Instructions
Material
Handling
Engineering Ø
Technical Support
Engineering Ø
Cost Calculation for Supply Chain (TCO) Ø
Production Control Ø
Container Planning/Design Ø
Documentation Ø
Planning of Transportation Logistics Ø
Distribution
Sales
&
Marketing
Docu-
Order
Production
mentation
Production
Distribution
Customer
Center
Control
Change-
Mgmt Ø
Implementation Control IT
Material Ø
Prototypes
Supply Ø
Optimization of Call Ups
Suppliers Ø
Securing availibility of Materials Ø
Planning of Relocation
Logistics
Procurement Process
The Logistics Process Landscape was designed on basis of the specification sheet Sprinter, the Mercedes Production System (MPS) and the Daimler Supply System (DSS).
Target: to improve the economic efficiency and qualitative optimum by standards and individual solutions

9. Major Logistics Targets
Simple, economic and solid material supply processes
Continuous transparency within the supply chain (inventory, deadlines, locations)
Optimized inventories in supply chain
Direct delivery to point of use
Minimizing handling by direct deliveries (JIS, JIT) and one-tier supply process (RLC)
One Piece Flow for sequenced parts
One Box Flow (same container from supplier to point of use) for JIT- and RLC- material
Ordering of supplies by consumption in production lines (Pull Princip)
Continuous use of reusable containers
Container concept that allows pool-processing and modular, fold-away containers
Standardized KPI‘s (Cost & Quality) and Continuous Improvements

10. Cargo Flow - Duesseldorf Sprinter Plant Daily 550 Trucks in and out
11 North
22 East
Abroad 90
Total: 270 trucks daily
Germany 110
Total: 280 trucks daily
122 West
Trucks daily
Trucks daily
from Germany
Stock
Trucks daily
to harbors
45 South
8 North
20 West
Trucks daily
from Europe
Barges weekly
12 East
29 South
Truck daily
from overseas
Railway cars daily

11. Agenda Daimler Vans Manufacturing LLC 1 2 Mercedes Benz Vans 3
Daimler AG 11

12. All Daimler revenues from automotive business and automotive-related services
Joint Ventures
Note: Additionally 48,078 employees in sales organization 12

13. The Global Ocean Container Network

14. The Global Ocean Container Network 2007 Incorporating Mercedes-Benz Cars, Daimler Trucks, Mercedes-Benz Vans, Daimler Buses, Chrysler, GSP/MOPAR

15. The Global Ocean Container Network 2007 by Trade
Main routes
Europe  NAFTA  Europe TEU 56 %
Europe  Asia-Pacific/Middle East  Europe TEU 17 %
Europe  South America  Europe TEU 11 %
Europe  Africa  Europe TEU %
Others (Cross-trades) TEU %
Total TEU 100 %

16. The Global Airfreight Network

17. The Global Airfreight Network Incorporating Mercedes-Benz Cars, Daimler Trucks, Mercedes-Benz Vans, Daimler Buses, Chrysler, GSP/MOPAR

18. The Global Airfreight Network 2007 by Trade
Main routes
Europe  NAFTA  Europe tons 42 %
Europe  Asia-Pacific/Middle East  Europe tons 26 %
Europe  Africa  Europe tons %
Europe  South America  Europe tons %
Others (Cross-trades) tons 18 %
Total tons 100 %

19. Global CEP stands for „Courier-Express-Parcel Services“ and incorporates time critical, international shipments within the entire Daimler network

20. Major cargo flows of the global CEP network are Intra-NAFTA, Intra-Europe and Intra-Middle East
Total volume: t
Total turnover: 35M €
0.08 t

21. Our Challenges in a Company with Global Production- and Supply Networks
Globalization of the Supplier Base
Market Volatility
Leads to Fluctuations
in Demand
Global
Production- and Supply Network within Daimler
Customers
Suppliers
Daimler Plants
Increasing Costs for Transportation Services/Capacity
Constraints
Emerging Markets
Management of Complexity and Integration of Global Transportation Volumes
into a Common Transportation Network at Optimal Costs 21

22. Thank you for your attention !