Learn How to Reduce Operating Costs with Distribution Route Optimization

In the logistics industry, the challenge of effective distribution is becoming increasingly important as the need for fast and efficient delivery increases. For companies that rely on distribution as a major part of operations, proper route management can be a significant difference in cost and productivity. TransTRACK comes as a superior solution in distribution route optimization, enabling companies to improve delivery efficiency with advanced technology specifically designed for distribution route optimization, managing fleets, and minimizing mileage. With this solution, companies can reduce operational costs, increase driver productivity, and provide higher customer satisfaction. Let’s see how TransTRACK is leading innovation in optimizing distribution routes for various industry sectors.

Distribution Route Optimization Case Study for a Wholesaler in Paris

A wholesaler in Rungis that delivers fresh produce to restaurants and merchants in Paris faces the challenge of maintaining delivery efficiency and customer satisfaction. With 12 vehicles, an average of 210 daily deliveries, and several customers that dictate delivery schedules, the wholesaler operates with refrigerated trucks between 3 and 11:30 pm. Before optimization, the company experienced constraints such as a delivery slot time compliance of only 76%, a high mileage of 5,139 km, and daily operating expenses (OPEX) of €5,000.

After using  the optimization system, significant results were achieved. Delivery slot time compliance increased to 98.6%, mileage reduced by 11.2%, driver productivity rose by 22.9%, and the number of vehicles used decreased by 15.4%. In addition, daily operating costs dropped to €4,260, resulting in an estimated annual revenue increase of more than €200,000. This solution not only improved customer satisfaction through punctuality, but also eased the workload of planners and drivers with less time on the road and more efficient operations.

Dairy Distribution Route Optimization for Improved Efficiency and Cost Savings

A leading dairy supplier in the Middle East, which handles nutritional production, packaging, and distribution with 500 sales routes and 24 warehouses, relied on a route optimization services company to overcome complex distribution challenges. Facing obstacles such as potentially overlapping routes, delivery schedule mismatches, and fleet management, the supplier needed a more efficient distribution system to reduce operational overheads and meet the delivery needs of perishable products. With data science technology and route optimization algorithms, the company helped the supplier create a structured delivery plan.

The route optimization service company applied machine learning algorithms and genetic algorithms to group adjacent delivery points and arrange routes sequentially, resulting in increased sales volume. Through this approach, the supplier was able to reduce mileage by 27% and reduce delivery routes by 16%. This not only reduced operating costs and reduced the number of trucks used, but also enabled significant savings in time and resources used.

TransTRACK’s Route Optimization Solution for Distribution Efficiency

TransTRACK offers Route Optimization solutions designed to optimize distribution routes and improve the efficiency and effectiveness of product distribution. By utilizing advanced technology and innovative route mapping algorithms, this solution helps companies better plan and manage shipments, thereby reducing operational costs and improving customer satisfaction.

Key features of TransTRACK’s Route Optimization solution include:

Distribution Route Optimization with Intelligent Route Mapping

TransTRACK uses advanced route mapping algorithms to determine the shortest and most efficient routes based on delivery locations. By considering factors such as distance, traffic conditions, and delivery time, the system can plan the optimal route.

Efficient Fleet Management

This solution enables companies to monitor and manage fleets in real-time. With up-to-date information on vehicles, drivers, and routes, managers can make better and faster decisions in organizing deliveries.

Flexible Schedule Setting

TransTRACK provides the ability to set flexible delivery schedules, taking into account customer timing and preferences. This allows the company to better fulfill customer requests, such as deliveries at set times or emergency deliveries.

Data Analytics and Performance Reports

With the data analysis feature, companies can monitor delivery performance and gain valuable insights from the reports generated. This helps in making strategic decisions to improve future operations.

Integration with Other Systems

TransTRACK’s Route Optimization solution can be integrated with other management systems, such as inventory management systems and vehicle monitoring systems, to create a more integrated and efficient logistics ecosystem.

By implementing TransTRACK’s Route Optimization solution, companies can reduce shipping costs, increase productivity, and provide better service to customers. This approach not only supports operational efficiency, but also assists companies in achieving sustainability goals by reducing their carbon footprint through reduced vehicle miles traveled.

With TransTRACK’s Route Optimization Route Optimization solution, your company can achieve higher distribution efficiency, reduce operational costs, and improve customer satisfaction. Don’t miss the opportunity to optimize your delivery routes and provide the best service to customers. Contact us now for a free demo and see how TransTRACK can help your logistics transformation become more effective and sustainable. Join us and experience the real benefits of advanced technology in distribution management!