Dynamic Route Planning to Minimize Fleet Costs – Fleet Management Best Practice #1
Best-in-class fleets employ history to strategically plan their fleet asset allocation, to provide adequate assets to ensure service in each territory, and when appropriate, to develop master routes; they revisit these plans frequently to adjust for change – new customers, routes, seasonal demands, and other periodic peak demand issues.
The benefits of this type of planning are significant. Having the right assets in the right place at the right time increases customer service and satisfaction due to on-time performance-to-plan and elimination of service failures. It enhances equipment utilization and reduces miles. Thinking ahead and evaluating the impact of change on plans, adjusts asset inventory in advance for unusual demand and prevents last-minute, frenzied reaction.
Rather than just static route plans created through traditional batch optimization techniques, the planning system must include dynamic planning to accommodate change up to the time the truck is loaded – and even when in route. It provides the ability to adjust to a variety of anomalies and last minute plan changes. When an order must be added to, or deleted from the plan at the last-minute, the route planning evaluates the most cost effective way to deliver orders, and re-sequence stops.