Truck and Track Spring 2025 www.truckandtrack.com 18 Transporting goods is becoming increasingly expensive due to rising fuel prices, supply chain volatility and labour shortages. For companies in the transport and logistics industry, maintaining profitability without compromising service levels is a growing challenge. However, one of the most effective solutions to address this is route optimisation technology. Route optimisation software is a game-changer for businesses striving to improve efficiency and reduce costs. By automating the creation of optimised delivery routes, this technology allows businesses to save time, reduce fuel consumption and enhance customer satisfaction. Moreover, as sustainability becomes more important, route optimisation plays a crucial role in reducing environmental impact. For companies committed to both profitability and sustainability, route optimisation is an essential tool. Whether you’re considering implementing route optimisation for the first time or are looking to maximise its potential, this article will explore how it can help reduce costs, improve efficiency and contribute to a greener future. What is Route Optimisation? Route optimisation refers to the process of determining the most efficient paths for vehicles when delivering goods, taking into account factors such as time, distance and cost. The primary goal is to streamline operations, reduce expenses and ensure timely deliveries. However, route optimisation can be complex, often requiring additional considerations like vehicle profiles, delivery time windows, product types and driver preferences. To navigate this complexity, businesses often rely on route optimisation software, which uses advanced algorithms and mapping data to find the best combinations of pickups and deliveries. By considering real-time factors such as traffic, road conditions, and distance, route optimisation software helps businesses save time, reduce costs and improve overall efficiency. How Does Route Optimisation Work? The process begins by gathering accurate data related to orders, vehicles and drivers. This data can be manually entered into the software or automatically imported from a Transportation Management System (TMS) or Enterprise Resource Planning (ERP) system via an API integration. Once the data is in place, the next step is configuring the optimisation settings. These settings can be adjusted based on fluctuating demands, seasonality, or other business-specific factors. Once the settings are fine-tuned, the route optimisation software takes over, generating an optimised plan. The planner can then review and compare different options before finalising the route. Once the plan is approved, it can be seamlessly exported to drivers’ mobile devices or onboard computers for execution. Route Optimisation and Sustainability In addition to improving operational efficiency, route optimisation software contributes significantly to sustainability efforts. As businesses look for ways to reduce their environmental impact, many are adopting green practices like using alternative fuels, establishing strategic hub locations and collaborating across the supply chain. Route optimisation plays a key role in these efforts by reducing fuel consumption, lowering emissions and ensuring that fleets operate in the most environmentally friendly way possible. Here’s how: 1. Optimal Load Factor: Route optimisation increases vehicle load efficiency, reducing the number of trips needed and thereby cutting down on fuel usage and emissions. By combining deliveries and collections, it maximises vehicle capacity, optimising every journey. 2. Reduced Time in Traffic: Real-time and historical traffic data helps route optimisation software avoid congested areas, minimising time spent in traffic and reducing fuel wastage and CO2 emissions. 3. Fewer Kilometers Driven: The software’s advanced INTERMODAL TRANSPORT SOFTWARE Optimising Routes for Profit and Planet: The Essential Role of Route Optimisation in Logistics
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