Network optimisation
Network optimisation is an activity normally undertaken by large transport companies or businesses with their own distribution operations. It involves analysing their entire network of transport delivery operations to see where efficiencies may be achieved.
Modelling tools, including fleet routing and scheduling software tools can assist fleet managers to optimise their network. Factors to consider include:
- Delivery schedules, routes and times
- Existing congestion patterns
- Loads
- Loading zone restrictions
- Customer needs
- Freight consolidation efforts
Optimisation services contracts are available offering guaranteed savings of between 5 and 10 per cent
Advantages of network optimisation
Fuel and time savings might be possible just by changing the direction of delivery for goods delivered to multiple locations by routing trucks against the peak traffic flow or reducing driving fully laden vehicles up hills.
Links
- Victorian Transport Association case studies have shown improvements of between 5.55 and 38 per cent.
- A now classic case study of route planning was reported in the New York Times where the courier company UPS saved millions of dollars in fuel costs by avoiding left hand turns (or right hand turns if this was implemented in Australia) and greatly reducing time in traffic with the engine idling. Large reductions were made in delivery time and fuel consumption.