Electro-Motive Diesel Selects OASIS from Supply Dynamics to Help Manage Raw Materials Across Extended Enterprise

Loveland, OH, July 14, 2010 --(PR.com)-- Supply Dynamics’ unique multi-enterprise solution (OASIS) for managing the timely purchase and supply of raw material has been licensed by Electro-Motive Diesel, one of the world’s leading providers of locomotive technology. The main driver of the licensing agreement is Electro-Motive Diesel’s desire to improve its cost structure by reducing what it and its outside parts suppliers pay for the raw materials they buy to support Electro-Motive Diesel’s production requirements.

OASIS is a proprietary platform that allows multiple enterprises in an Original Equipment Manufacturer’s (OEM’s) supply chain to access appropriate reports and information related to the raw material requirements of the OEM and its outside parts suppliers. OASIS is accessed securely over the internet and requires no costly integration effort with the OEM’s existing IT systems. The managed information includes Bills of Material (BOMs) for the OEM’s parts and the Finished Parts Schedules that dictate when those parts must be delivered to the OEM. Taken together, that information enables OASIS to produce a Material Demand Profile which allows the OEM to understand exactly what raw materials need to be bought, when and where they will be needed, and which production site or parts suppliers will be buying them. This information, when shared by the OEM, is extremely valuable to producers and distributors of raw materials. By eliminating speculation about demand, it helps them improve the efficiency of their operations. The improved efficiency results in lower raw material costs for the OEM and its parts suppliers.

A high-level overview of the Material Demand Aggregation that OASIS directly supports is found in an online video located at:

http://www.supplydynamics.com/material/presentation.asp

Christian Pentell, Manager of Global Strategic Sourcing at Electro-Motive Diesel said that, "Discovering OASIS, will provide my team with precision material requirements visibility throughout every stage of the entire supply chain and that’s huge. This program is truly leading edge strategy that most supply chain professionals have envisioned, but could never choreograph, much less formulate. It affords us a level of adaptive demand optimization with the kind of transparency we never had before." Trevor Stansbury, President of Supply Dynamics noted, "Adding Electro-Motive Diesel as a customer demonstrates how our aggregation process and on-demand solutions can be applied by companies in all sorts of different industries. OASIS is being used to forecast the raw material requirements of airframe supply chains that use high performance alloys, power generation equipment supply chains that use a mix of carbon steel and high performance alloys, and now advanced transportation equipment supply chains that uses carbon steel almost exclusively. We are pleased to be moving forward with Electro-Motive Diesel."

About Supply Dynamics: Supply Dynamics is the leading provider of material consolidation solutions known as "Material Demand Aggregation." Located in Cincinnati Ohio, Supply Dynamics utilizes proprietary processes and IT solutions to provide OEM customers with real-time visibility and control over the materials that go into their finished parts – especially the materials that go into the parts made by their Tier 1 and Tier 2 outside part suppliers. Provided in a hosted "software as a service" model, the Supply Dynamics multi-enterprise platform exchanges critical-to-quality data with virtually any number of legacy MRP/ERP systems, providing customers with a single, unified view of how finished part materials are impacting their business. Supply Dynamics’ suite of web-based tools and reports allow customers to instantly forecast and negotiate common materials and monitor the timely order and supply of materials across their extended supply chain. This enables an OEM and its supply partners to know that materials being produced, ordered and delivered are synchronized with actual finished part demand. It also allows the OEM to measure on-time delivery of raw materials to production sites and outside part manufacturers, to standardize materials and to identify users for surplus, excess and obsolete materials. Material Demand Aggregation is applicable to numerous industries providing a means for OEMs to coordinate the actions of each link in the supply chain to dramatically improve efficiency and predictability of supply. (www.supplydynamics.com)

About Electro-Motive Diesel: Founded in 1922, Electro-Motive is one of two U.S. original equipment manufacturers of diesel-electric locomotives. Headquartered in LaGrange, Illinois, with additional facilities in London, Ontario, EMD designs, manufactures and sells diesel-electric locomotives for all commercial railroad applications and has sold its products in more than 70 countries worldwide. The Company is the only diesel-electric locomotive manufacturer to have produced more than 70,000 engines and has the largest installed base in both North America and worldwide. In addition to its manufacturing activities, EMD has an extensive aftermarket business offering customers replacement parts, maintenance solutions, and a range of value-added services. The Company is also a global provider of diesel engines for marine propulsion, offshore and land-based oil well drilling rigs, and stationary power generation. Additional information may be found at www.EMDiesels.com.

For more information, please contact Mr. Bob Hales, Director of Market Development at (513) 965-2000.

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