Solution – 5 MIN READ
Solution – 5 MIN READ
Today, transport routes optimization is necessary for logistics professionals looking to boost their productivity. Many transport companies are now using route optimization solutions to facilitate the management of the activity and save time for their teams. This approach requires the use of tools specific to your business sector. Discover now the benefits of transport route optimization.
March 2nd 2020
With the growing number of customers to deliver and the logistics constraints, it is more and more complicated for Operations Managers to define the best routes without tools. Several hours are usually required to build a route cutting down associated operational costs and miles travelled. Nevertheless, there are route optimization software designed for businesses to create the best routes in a few minutes while growing their turnover. Logistics route optimization requires the digitalization of the transport company’s activity.
The transport route optimization offers several advantages:
In a highly competitive context, meeting the expectations of consumers is now essential. While the costs to acquire a new customer is high, transport companies must succeed in retaining current customers. With the development of e-commerce and the multiplication of distribution channels, the distribution chain continues to become more complex. Thus, the delivery becomes a crucial stage for transporters. Consumers are particularly demanding regarding the time necessary to make products available. Therefore, transport companies must succeed in reducing delivery time to the customer’s door, without increasing operational costs.
To ensure observation of delivery times, transport routes must be smartly created beforehand. It’s for what route optimization software is designed for. This type of tool makes it possible to create feasible routes to deliver each customer on time. Furthermore, logistics route optimization software helps businesses to reduce delivery time. The system builds routes limiting miles travelled between two delivery points. The time slots communicated to customers are precise and they receive information throughout the delivery process thanks to the automated sending of notifications. Therefore, the use of logistics route optimization software allows you to offer your customers a satisfactory delivery experience.
For businesses, the monthly costs of their fleet of vehicles is significant due to the fuel costs, tire wear and maintenance. The operational costs are particularly high for the fleet of trucks as the average fuel consumption is higher than the one of light commercial vehicles. That’s why, the professionals responsible for the logistics strategy must succeed in reducing these operational costs to increase the profitability of the transport company.
The use of route optimization software makes it possible to maximize the use of resources. The routing tool assigns transport operations smartly to drivers while integrating logistics constraints. In addition, the software avoids empty transport thanks to optimal management of vehicle capacities, like volume, weight, pallets, parcels and more. Thus, you can carry out your current routes with a fewer number of vehicles. The vehicle maintenance costs and fuel consumption are cut down and routes become more profitable. The roll-out of such a solution within your company can reduce your operational costs by 35% on average.
Furthermore, the acquisition of transport route optimization software will make it possible to meet the growing demand without having to increase the workforce. Your drivers carry out more daily deliveries thanks to a decrease in miles travelled between two addresses.
The building of routes can be complex due to the multiple business constraints and the geographic distance of customers to deliver. Transport scheduling managers must integrate all the logistics constraints while limiting miles traveled between two points. Several hours of manual planning are required, while there are solutions to automate the the process and create the best transport routes in a few minutes. The algorithms make it possible to create routes integrating different business constraints like opening hours, capacities and availability of vehicles, availability, working hours and breaks of drivers, delivery time slots, loading duration and unloading duration.
Furthermore, logistics route optimization software which provides a driver tracking system, enables professionals to save time in the management of unexpected situations on the road. Thanks to this tool, the operations managers can quickly assign emergency transport operations so as to limit extra miles and ensure delivery times. The geolocation of vehicles allows the software to determine the best delivery driver to carry out a delivery.
With the introduction of new measures to reduce polluting emissions in urban areas, business fleet managers must find new solutions to limit their carbon footprint. The use of logistics route optimization software avoids empty transport and eliminates not necessary miles. Thus, carbon dioxide emissions due to drivers’ travelling are lower. Some software also offers the integration of electric vehicles in the building of routes. These low-emission vehicles are today the best solution for transport companies which have to deliver customers within Low Emission Zones.
The use of transport route optimization software also improves working conditions of drivers. Delivery drivers can directly receive their daily routes on their smartphone or tablet. These mobile applications with navigational aid tools like Waze or Google Maps allows drivers to follow their routes. In addition, this tool makes it possible to build balanced and feasible routes respecting the breaks and working hours of drivers.
In conclusion, the acquisition of transport route optimization software allows your company to meet the expectations of your customers in terms of delivery time while improving the productivity of scheduling teams and drivers. Digitalize your logistics activity will quickly boost the turnover of your transport company. This is what the AntsRoute transport optimization software allows to do.