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Logistics Optimization and Fleet Management

From the negotiation of prices and demands with manufacturers to engineering solutions to manage fleets, there are many ways to improve logistics processes. Certain strategies will have the most impact on reducing costs within the supply chain.

Poor route planning can lead to wasted fuel and driver expenses and vehicle maintenance costs. It’s why it’s important to ensure that each route is as valuable to each day as is possible while avoiding unnecessary driving and waste.

Attaining a high degree of efficiency in the final mile can be a challenge for delivery companies. The last mile of a delivery could be as high as 30 percent of the total logistical cost. Software that optimizes fleets can assist companies reduce costs by finding the most efficient routes, while also considering customer requirements, mandatory breaks and load limitations.

A well-planned route helps businesses meet customer expectations and reduces the likelihood of a failed delivery. Failed deliveries are costly because the order needs to be rerouted, or sent back to the warehouse where it is stored for a future day.

To get the most value from your fleet, you must have the right data. For route planning, historical as well as live traffic data location and attributes of trucks are crucial. This will ensure that you’re only maximizing the potential of your fleet and not making use of time spent on manual tasks. This is how fire safety company Telgian was able to reduce the planning time by 82% while boosting orders and reducing operational costs.

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