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Luis Garratón , Inc. Business Profile

Luis Garratón , Inc. Business Profile. Index. Who we are Our Commitment Our Mission Our Vision Values Human Resources Organization Healthcare Division Consumer Division Logistics Division Market Scope Leadership Team. Who we are.

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Luis Garratón , Inc. Business Profile

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  1. Luis Garratón, Inc. Business Profile

  2. Index • Who we are • Our Commitment • Our Mission • Our Vision • Values • Human Resources • Organization • Healthcare Division • Consumer Division • Logistics Division • Market Scope • Leadership Team

  3. Who we are • Luis Garratón, Inc. (LGI) is a privately owned corporation established in 1948. Today, the Company provides services and sales of ethical and OTC pharmaceutical products and consumer goods such as: dry foods, household goods and health and beauty products. Also, LGI is specialized in providing 3PL warehousing and logistic services. • Corporate Headquarters and Warehouse facilities are located in Luchetti Industrial Park, Bayamón , Puerto Rico. • Warehouse is 80,000 sq ft., with a controlled temperature area for Rx products. • In addition, LGI has a 170,000 sq ft. warehouse facility located in San Juan and Droguería Betances with 60,000. • LGI and Droguería Betances, an affiliated company, with a combined total sales volume exceeding $400 millions.

  4. Our Commitment • We succeed only when we meet and exceed the expectations of our clients. • We have a passion for excellence and endeavor to set and deliver the highest standards of service, value, integrity and fairness.

  5. Our Mission To market and sell quality products and services through higher standards of performance for the benefit of the companies that we represent, their customers, our employees and the community we serve.

  6. Our Vision • Establish a solid network with clients and suppliers by providing full market coverage for their consumers. • Excel in the logistics business services providing our clients with a state-of-the-art technology, quality assurance programs and high caliber professionalism.

  7. Our Values Our actions are a reflection of our values. For this reason we engage ourselves to the highest levels of Ethical behavior. • Client Focus Being committed to our clients, performing whatever it takes to exceed their expectations. • Integrity To perform our services with absolute rectitude, transparency and honesty. • Team Work Active participation in collaborative efforts to generate measurable and sustainable results to advance our business partners.

  8. Our Values • Leadership • Alignment with our business partners needs, to achieve extraordinary results and support their business growth. • Innovation • Creative initiatives in our daily performance on behalf of our clients and their customers. • Respect • A true commitment to respect our Clients, Suppliers, Colleagues and the communities that we serve.

  9. Our Values • Accountability • To assume total responsibility for the results of our professional performance. • Commitment and Absolute Loyalty • To fulfill our business and Christian roles in the communities we serve.

  10. Human Resources • Job Evaluation Policy • Areas of opportunities • Reinforcement of strengths • Reward and Recognition Policy • Non-union labor environment • Effective communication • Open door policy • Continuous training • Personnel Turnover • Minimum • Individual Advancement • Quality of Life

  11. PRESIDENT VICE PRESIDENT FINANCE HUMAN RESOURCES LOGISTICS QUALITY ASSURANCE HEALTHCARE DIVISION CONSUMER DIVISION Our Organization EXECUTIVE DIRECTOR

  12. HealthCare Division

  13. VP PHARMACEUTICAL DIVISION ADMINISTRATIVE ASSISTANT SALES & MARKETING MANAGER MANAGE CARE & GOVERNMENT AFFAIRS CUSTOMER SERVICE MEDICAL REPRESENTATIVES SALES REPRESENTATIVES Healthcare Division

  14. Our Business Associates Among the current, distinguished companies that our Healthcare Division represent are: • Warner Chilcott • Genzyme Laboratories • Glaxo SmithKline • JHP Pharmaceuticals • MEDA Pharmaceuticals • Reckitt Benckiser • Shire U.S. • Abbott Laboratories PR Inc.

  15. Our Healthcare Division Services • Product and supplier loyalty, focused on our represented products. • Sales & marketing strategies, development and executions. • In-store and Pharmacy promotions. • Daily visits to physicians’ offices and follow up calls. • Sales/Inventory report analysis to determine sales performance and trends. • Active participation and support of our partners in trade shows, conventions and outreach events.

  16. Our Healthcare Division Services • Rx and OTC products registration in the Puerto Rico Department of Health. • Coordination of training seminars for Medical and Sales Representatives. • Government Sales: • Bids • Contracts • Marketing efforts targeted to family, gastroenterologists, hematologists, psychiatrists, neurologists, general and internal medicine physicians.

  17. Our Healthcare Division Services • Regular visits to community hospitals, PHS Hospitals and drug • wholesalers. • Direct sales to pharmacies. • Key drug wholesalers, top chains and independent stores networking. • Medical conferences with health-related professionals to introduce • pharmaceutical products and enhance existing ones. • Managed Care Support • Presentation of new products to insurance companies • approvals in formularies (including Health Reform) and • proposal negotiations • Compliance with Federal and local laws, regulations and rules. • Return goods service to customers.

  18. HealthCareMarket

  19. Consumer Division

  20. VP SALES & MARKETING Consumer Products Administrative Assistant Key Account 3 Sales Supervisor Brand Manager School Supply 1 Sales Supervisor Customer Service 2 Customer Service 2 Sales Rep 10 At Large 1 Merchandiser 6 Sales Rep. 8 Merchandiser 4 Consumer Division CHAIN INDEPENDENT

  21. Our Consumer Division Services • In-store “planograms” to maximize product exposure. • Consistent strategic promotional efforts to support our Brands. • Monitor distribution levels to obtain strong market coverage. • Periodic business reviews with top chains. • Merchandising efforts to support the selling cycles. • Market Research to determine product positioning. • Active participation in trade shows and conventions. • Periodic business reviews with our suppliers to identify opportunities.

  22. Our Business Associates Amongthe current Brands that our Consumer Division distributes are: • HBC/ OTC • Boost • Humphrey’s • Lanman & Kemp • Garden House Labs • Ciruelax / Prunelax • Konsyl Labs • AMO • Natural Systems • STRATEGIC ALLIANCES • Schering • 3M • Gerber • SCHOOL SUPPLY • Crayola • Bic • Pentel • Pilot • Libretas Manpa • OTHER CONSUMER BRANDS • Same/Equal • Westsoy • Universal Manufacturing • Nissin Soup • Pic Corp. • Servaas Labs • Bar Keeper Friends • King Pine • NUK • Wysinco • D and H Products

  23. Our Market Scope • Independent Supermarkets • Supermarket Chains • Mass Merchandisers • Department Stores • Drug Wholesalers • Hardware Stores • Doctors • United States Military Bases • Hospitals • Government Institutions • Community Pharmacies • Drugstore Chains • Cooperative Buying groups • Drug stores • Supermarkets • Food Clubs

  24. Our Market Walgreens, CVS, Amal Drugstore Chains Community Pharmacies Drugstores 700 Independent Stores Coopharma, Aliadas, Good Neighbor, ABC RX, Plaza, Caridad Buying Groups Walmart, Kmart, Pitusa, Capri, Topeka Discount Stores Mass Merchandiser 188 OUR MARKET Dollar Stores Always 99, Ahorro Xpress Pueblo, Grande, Hiper, Amigo Supermax, Ralph’s, Plaza Gigante, Mr. Special, Super Ahorro Supermarket Chain Supermarkets 183 Independently Owned Econo, Selectos Centro Ahorros, Mi Familia, Mi Casa, Union Independent Supermarkets 306 Supermarkets Convenience Stores Gas Stations Membership Clubs Sam’s, Costco Wholesalers 18 Food Wholesalers and Cash & Carry Ponce C&C, Oscar C&C, Perez Hnos., Hnos Santiago

  25. Discount Stores

  26. Dollars Stores

  27. Drugstores Chains

  28. Independent Drugstores and Buying Groups

  29. Supermarket Chains

  30. Membership Clubs

  31. Independent Supermarkets – Buying Groups

  32. Food Wholesalers and Cash & Carry

  33. Logistics Services

  34. Logistics Division

  35. Logistics DivisionScope • As a third party logistics provider (3PL), LGI specializes in integrated warehousing, IT and transportation services that can be scaled and customized to customer’s needs. • We have achieved strategic alliances with key business partners by providing value added services. We have become their primary service provider, going beyond our logistics operations

  36. Logistics Division • Service Culture • LGI’s primary Organizational principle is its Service Culture. It is a natural way of thinking for all our employees, constantly seeking to meet and exceed our customers and business partners expectations. • The Service Culture is reinforced in all trainings provided to LGI employees at all levels in the organization. • It is also properly evaluated and rewarded in the annual employee performance evaluation process.

  37. Logistic Services • Warehousing • Includes facility for controlled substances and temperature controlled area. • Transportation. • 24 hour delivery • Sales and Distribution. • Medical Representatives. • IT System (hardware & software). • Our system, ASW contains WMS, Finance & Accounting and Sales modules • Flexible reporting capabilities • Customer Service Representatives. • Special package customization.

  38. Warehouse Management System • Designed for Consumer and Pharmaceutical Distribution. • Radio frequency system. • Manage product by lot number and expiration date. • Location Management. • Full integrated platform that can communicate with: SAP  JD Edward  Oracle System • Cycle Count System. • Dangerous Goods Handling. • Customer Delivery System. • Alert System – notifies via e-mail or text message to a mobile device that the product has been delivered

  39. Quality Assurance Program • Management Commitment • QA principles in strategic planning • Provide required financial, material and personnel resources to fulfill operational goals • Effective communication across all levels of the organization • Facilities and Equipment • Cleaning Pest Control • Written Procedures • Warehousing and Handling of Inventory • Personnel Management • Training • Development • Reward & Recognition • Safety • Security • Record keeping • Monitoring

  40. Quality Assurance Program • Performance Indicators • Tracking of Results • Contractors’ Responsibilities • Contractual agreements • Training • Compliance with QA and Safety Requirements • Self Improvement program • Quarterly Self Audits • Active participation from all operational areas • Corrective plan developed and Implemented

  41. Performance Indicators • On-time deliveries • Dispatch productivity • Dispatch accuracy • Receiving Performance • Inventory accuracy • Cycle Count • Inventory variations • Claims • Damages

  42. Logistics DivisionPartners Consumer & Over the counter products • Nestlé • Cordialsa Boricua Empaques • Revlon • Vinos Selección Rx & Controlled substance products • Efficient Laboratories • Lanza & Sons. • Llorens Pharmaceuticals • Portal Pharmaceuticals • Report Labs. • Biovail

  43. Strengths Benefits Obtained by our Customers by Choosing LGI as their 3PL • Improvements in their operations • Performance • Organization • Quality program • Product integrity • IRA • Damage reduction • Continuous Improvement • Optimization of resources utilization • Special packaging preparation when low demand • Flow of resources from other areas to support peaks on demand. • Support to business growth without added costs

  44. Strengths Our Management • Over 20 years of experience in Logistics Business • High Quality Professionals from Logistics Industry • Service and Quality Culture • Knowledge of Internal Controls • Sarbanes Oxley requirements • Over 20 transitions of companies to third party logistics

  45. Executive Team Raúl Rodríguez, CPA President/ CEO As President / CEO, Raúl brings to LGI Inc. an extensive and profound experience in leading top locally owned companies in Puerto Rico. He started his career at Deloitte & Touche and later worked as Vice President of Finance and Administration at César Castillo, Inc. Among the outstanding positions that he has occupied during his career are: Chairman of the CPA Society of Puerto Rico 2001-02; Chairman/ Treasurer of the ICPR Junior College Board 1985-2004 and Chairman of the Inter-American Accountant Associations Quality Commissions from 2002 to present. Raúl has been the recipient of various professional awards; among them, the Certified Public Accountant of Puerto Rico in 1993. As an active community leader, he has volunteered in major civic and sports associations, among other community initiatives. A graduate from the University of Puerto Rico, Raúl holds a Business Administration Degree, with a major in Finance and Accounting. He is a Certified Public Accountant. Raul is also President/ CEO of Droguería Betances.

  46. Executive Team Rafael Rodríguez Vice-President Rafael hold a Business Administration Degree, with a major in Marketing from the University of Puerto Rico. He started his business career working in a Family Owned business. He was one of the founding members of the Selecto Chains Supermarkets. In 1981, he moved to the US, worked with town Fortune 500 companies Campbell Soup Company and the Miller Brewing Co., a division of Phillip Morris, working as a Sales Representative, Account Manager, Brand Manager and Sales Supervisor. With Grupo Modelo, the manufacturer of Corona Extra, he worked in the International Division managing the Caribbean and the Central American Market.

  47. María Victoria started her career at Ernest & Young. She occupied the positions of the Finance Director for the Puerto Rico Tourism Company, Auxiliary Secretary of Administration & Finance for the Secretary of Transportation & Public Works, President of the Highway Authorities Auctions Committee, Finance Director for the Municipality of San Juan. María Victoria is member of the Finance Analyst Association and CPA Society of Puerto Rico. Graduated from University of Puerto Rico, Magna Cum Laude on 1985, Business Administration Degree with mayor in Accounting. She is Certified Public Accountant. Executive Team María Victoria León Freire, CPA Director Financial Department

  48. Executive Team Elizabeth Garratón, R.Ph. Vice-President Healthcare Division Elizabeth is a Registered Pharmacist, graduated from the University of Puerto Rico Medical Science Campus, 21 years ago. As Vice President of the Healthcare Division of LGI, she leads all the Company’s ethical, OTC products marketing, and sales strategies executions. Characterized by a dynamic personality, she was responsible for the outstanding launch of Suboxone® and Subutex® products in the local market, being the first time that a medicine serves as a true alternative for opiate addiction in Puerto Rico.

  49. Executive Team Carlos Martinez, MBA Vice-President Consumer Division Carlos holds an MBA in Marketing from the University of New Haven in Connecticut. Later, he lead his own Company dedicated to Product Management for 14 years. Previously, he was Brand Manager for Kellogg's and Marketing Manager for Revlon in Puerto Rico. As Vice President of LGI Consumer Division, he is responsible for the strategic planning, marketing and sales of LGI consumer goods. His ability to understand the consumer mindset and uncover the consumer insights has built LGI business to a new level. Therefore, enhancing LGI customers’ relationships.

  50. Executive Team Marisol González Jiménez, Executive Director A proactive and forward thinker, Marisol is a Summa Cum Laude Business Administration graduate of the Interamerican University of Puerto Rico, with 15 years of experience and hands-on knowledge in sales, marketing and operations. An energetic leader, her excellent organizational and motivational skills and business focus earned her the actual role in LGI leadership team.

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