Route 66

A Lawndale-based warehouse intended to

employ under-utilized land and residents to
better serve Chicago with product deliveries

Executive Summary
What We Do:

Route 66 will be a Lawndale-based warehouse used by large retail

customers and local vendors to more efficiently serve downtown
Chicago with product deliveries.

We are focused on the growing $2.5B retail fulfilment market in

Chicago.
Current Status:
We are well into the concept development stage.
Traction To Date includes:

Discussions with Lawndale city officials, pastors and business leaders

strong community interest and support from Alderman Scott, Jr.,
Commissioner Steele, State Representative Turner Jr., North
Lawndale Chamber of Commerce and the NLCCC

Upfront concept planning is complete.

Potential sites are being evaluated for acquisition

Presently exploring client potential

Team Experience
Three (3) core team members with a combined 85+ years
in logistics, warehousing and supply chain

Thom Alcazar

Bob Shaunnessey

NLCCC committee on Economic and

Workforce Development
Founder, Alcazar Ltd.
Logistics IT Expert

Former Director,
Warehousing Education & Research
Council (WERC)
Warehousing Expert

Eric Pettersen
Supply Chain & Logistics Professional
Transportation Expert

Target Customers

Currently Focused on:

Finding a key retail launch customer.

Securing a location.

Confirming our local community outreach and support.

Problem #1 for Business

Amazon is investing aggressively and
is eating other retailers lunches when it comes to

delivering to the businesses and citizens of Chicago

Retailers are getting
out-maneuvered by Amazon
on local product deliveries.

Retailers lack the resources and

infrastructure to deliver with
similar speed and precision

and, their existing

fulfillment centers arent
close enough to Chicago.

Problem #2 for Community

Lawndale, as a community, is under-appreciated and
under-utilized from an economic, land and
human resources perspective
U.S Businesses have
under invested in
Lawndale

Many viable land plots

have not been put to
productive use

And, many citizens are not

getting the job opportunities
that should be afforded them

Solution Warehouse in Lawndale

By setting up the right warehouse in Lawndale,
Retailers and the Local Community can benefit
VALUE PROPOSITION FOR PARTICIPANTS
Retailers

Lawndale Community
Amazon-like reach
and delivery
capabilities
Superior economics

(based on business model design)

Enhanced
corporate image

A new business
with tax revenues
Expanded jobs for
locals and the
disadvantaged
Enhanced training &
skills for local labor pool
5

Go To Market Lawndale Warehouse

This business will capitalize on built-in advantages and local support
Anticipated Structural Advantages

Strategic Location

Closer to customers - enabling fast, frequent &

Designed for Cost Advantage

land & building:

efficient deliveries

Community-Powered

Elected officials, local pastors and community

Available with commitment to rehab in Year 1

Eligible for state waivers of tax liens

Showcase greatness of community

to large national retailers

Environmentally friendly approaches

Labor Hiring the unemployed, underemployed and socially

and economically disadvantaged:

will serve as key advisors

Land & Facility Using vacant, city-owned, or state-owned

Provides OJT & State $ incentives

Technology Implementing high-end logistics optimization

tools and innovative delivery methods will enable highly
efficient operations
6

Go To Market Proximity to Chicago is a Major Advantage

Comparing Drive Times

Map of Locations - Route 66 versus Retailer Warehouses

Each Key Retailers Closest

Warehouse to Downtown
Chicago

Operator

Minutes to
Downtown

70-110
Sams Club : 40-80
Other : 100-150

50-85
Now: 40-80
By 2018 : 24-45

40-65
16-30

Summary - What is better about Route 66?

Proximity to Central Chicago

Features

Flexible Inventory receiving

options including:

Social Responsibility
Community Revitalization
Jobs for Under-employed
High Security Inventory
Shortest Delivery Time
Sophisticated Warehouse
Management System (WMS)
Third-party Logistics Experience

ASNs (Advance Ship Notices)

RF (Radio Frequency) manageable
from Containers, Pallets, Cases, Ea.

Rates contracted by cubic

dimensions, designated, time,
services
Production and Kitting
And More
8

Logistics Services Offered

Cross Docking
Calculated Put-Away
Quality Checks
Lot Management
Serialized Tracking
End to End Visibility
Custom Cycle Count
Picking & Packing options
Shipping by Common Carrier or
Custom
Value Added Services
Labeling, Kitting, etc.
Yard and Dock Mgmt.

Transportation Management
Air-Domestic or Intl
Truckload, LTL, Package, USPS
Cargo
Rail
Ocean
Package Carriers,
Delivery Mgmt.
PODs (proof of delivery)
Flexibility and Responsiveness
Your Plan = Our Compliance!

PARTNER FOR PROGRESS

Operating Model

The Physical Distribution Cycle (Overview)

Employees will learn and apply skills for the expanding Supply Chain Logistics
industry a $31B that employs 660,000 workers in the U.S.
Inventory Control
Replenishment
Labor Supervision

Picking

Shipping
Loading

Cross Docking
Put-Away
Receiving
Yard Management
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Will Utilize Powerful Information Systems

Execution Visibility

Automation

Billing

Yard
Management

Warehouse Management

Load
Planning

Dynamic
Routing

Delivery
Tracking

Transportation Management

Supply chain systems will enable

high levels of quality and efficiency:
Effective operations,
Accuracy in orders and inventory
management,
Visibility for Retailers on inventory
levels, order activity and billing,
Shipment status for delivery
customers
12

Highly configurable Technology

Systems enforce Customer-specific policies, business rules.
Product-specific attributes optimize allocation of space and resources
EXAMPLES Flexibly Address
Operating to each Inventory Owner
unique requirements

Pricing, billing and contract terms

Receiving, storage and shipping rules
Inventory management procedures
Custom labels & documentation
Bar coding, value-added services

Detailed
product characteristics

Item number, description

Item color, size
min/max inventory levels
Dimensions, quantities per box, weight
Standard cost, freight cost, sales price
Handling & storage requirements, lot
control, etc.

Defining storage locations

Physical attributes Type of storage (e.g.,
pallet rack, bin, shelf storage, carousel,
pick-to-light, etc.)
Capacity Width, depth and height, max
weight
Material handling capability
XYZ Coordinates, Vacant vs. occupied

Ship From:
Ship TO:

13

Our Systems will integrate with Retailer Systems

* WMS = Warehouse Management System
ERP / Host

Inventory

Purchasing
Vendor
Returns
Sales
Customer
Returns

WMS
Products
Control Codes
Packaging Instructions
Inventory Adjustments
Inventory Balances

Inventory

Purchase Orders
Advance Receipt Notifications
PO Receipt Confirmation
Vendor Returns
Vendor Return Confirmation

Receiving

Sales Orders
Packing List Special Instructions
Backorders
Shipment Confirmation
Serial Numbers & Lots

Shipping

Host
Interfacing

Customer Returns
Customer Return Confirmation

Result:
Great
visibility for
participating
Retailers

Customer
Returns
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Also, our technology will enable Operational Excellence

Our system will enable efficiency and employee success at every operational step
Scheduling
Scheduling deliveries and pick-ups
based upon available dock doors
and assigned workers
Assigning staff to load and unload
trucks
Pre-planning and allocating workers
to required tasks

Receiving
Arrival scanning
Matching physical products received with
whats listed in system
Identifying which products can be crossdocked (i.e., loaded directly onto an
outbound truck) versus those to be stored
in warehouse

RF (Radio Frequency)
Scanning & Receiving
Scheduling

HOST

Supporting
documentation

TEKL OGIX

15

Our People plus Technology will drive Operational Excellence

System Put-Away
Systems for storing product will
help our team with:
Storing product in the right
size and type of location
Minimizing travel times and
aisle congestion
Placing faster moving
product in closer, more
accessible locations
Managing product safety
and shelf life

16

Our People plus Technology will drive Operational Excellence

Picking & Packing

Warehouse picking methods will
include:
Pick By Order
Pick by Item
Pick by Zone (Area)
Pick by Shipment
Multi-order Picking
Kitting and Assembly
System will auto-select the best
picking container based on order,
size, customer, etc.
Audits of our picking process will
be easily performed when there
are order discrepancies
17

A Key Focus Developing Employees

Professional
Development

Personal /
Life Success

Providing a Desired Training

Syllabus and Jobs to
Established Training Centers

Lunch room Speaker Series

Tips for Life Success from
Business and Community
Leaders

On-the-Job-Training
Jointly Defined and Targeted
Skills Building

Peer Feedback, Apprentice, &

Mentorship Programs

Personal Budgeting and

Finance workshops
Customer Service
workshops and training
Personal Career
Development
Coaching and Tips

Delivery
Operations

Operational Improvement
Team Projects

Brown Bag & Peer Learning

Sessions

Warehouse
Operations

Community input into Hiring

Selection, Recruitment,
Promotion and Retention

Personal
Example
Success

Employee
Growth and
Development
Plan

Professional
Development

Our model will help employees build and realize potential; well partner with the
community and established training centers to achieve best outcomes

18

Our Model A Solution for Lawndale and Industry

Local hires will be positioned to fill need for Supply Chain Logistics Professionals

Source: White Paper

Talent: The Future Supply Chains Missing Link
Lora Cecere

19

Projected Revenues and Employees

Revenues

Headcount

$M

20

250

18
16

200

14
12

150

10
8

100

6
4

50

2
0

Year 1

Year 2
1st Customer

2nd Customer

Year 3
3rd Customer

Year 4
4th Customer

Year 5
# Employees

20

Summary Our Goal Is That Everyone Wins

We are excited that our business addresses key needs for major

retailers, the Lawndale community and, the greater west-side:

Retailers can match Amazon fulfillment offerings at competitive

rates

Lawndale will see attendant economic benefits from a business

poised to capitalize in a growth industry

Under, unemployed & economically disadvantaged residents can

obtain jobs and training in a high demand field

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