From the name, you can probably already tell what route optimization is. This is the process of determining the best route for your shipments in terms of time and especially cost. It goes beyond just finding the shortest route between two points.
Some factors that go into determining the best routes include the number of stops in between destinations, the different locations, and time windows between deliveries. More factors include;
- Number of turns along the route
- Number of intersections
- Traffic for different times of the day
- The best approach to a stop/ destination
Importance of Route Optimization
There are many benefits that come with leveraging route optimization. Some of them include;
- Avoiding Unnecessary Miles
Analyzing all the best routes for your shipments and taking the shortest ones to help avoid unnecessary miles, thereby cutting down on the shipment cost and delivery period.
- Cut Down Costs and Increase Savings
Identifying the most cost-effective routes will help you cut down on shipment costs and increase the profitability of your business. This includes reducing fuel, maintenance, and even the number of drivers you have to pay.
- Improved Safety
The less time your truck (s) will be on the road, the more the safety. And analyzing the different potential routes gives you the option to choose the shortest one. Some safety challenges your drivers may encounter on the route include;
- Tricky turns
- Inclement weather
The lesser the U-turns your driver has to come across on the road, the more the safety and fewer delays. If there is bad weather, you don’t want your driver on the road for a long time either.
- Improved Customer Service
The last thing you want is to give your customers excuses such as “we got stuck in traffic” for failing to deliver on time. Strategic route optimization allows you to take the shortest possible route, helping you to avoid delays.
- Increased Productivity
This is simple; the longer you take on the road to deliver one shipment, the more time it will take to deliver more shipments. Taking more breaks and the longest times on the road may also cause major business setbacks financially. Route planning can help address this problem by using GPS and real-time tracking.
5 Route Optimization Tips to Consider
Getting route optimization software is one of the major steps to take. But here is more you can do to get the most out of it;
- Use your route optimization software to collect accurate data related to your routes. The key thing here is to make sure you collect accurate information that will enable you to make credible decisions.
- Remember to factor in stop and break times.
- Choose your route optimization software carefully.
- Consider your transportation modes depending on the destinations.
- Organize your routes carefully, depending on your addresses
Remember, the goal is to ensure you take the best route for your shipment. To determine the best route, it’s important to properly use the information you get from your route optimization software and analyze every detail to determine the best route. This includes traffic, weather, time of delivery, type of shipment, and more.