Just how important is transport planning when it comes to logistics? Well, it’s extremely important, the same way website visitors are extremely important to anyone who has just started to build a website. You see, logistic costs make up a major part of total costs in many companies. Consequently, reducing transportation costs is high on the agenda of supply chain managers.
However, this poses a difficult challenge today, particularly because of the turbulent business environment. You have to consider customers who have become increasingly demanding, a growing environmental awareness plus the need to reduce costs for this, as well as emphasize the importance of efficient logistics. All this worry, however, may be significantly reduced by good transport planning.
Some Guidelines to Remember for Transport Planning
Be more flexible by avoiding strict rules of thumb.
In modern society, transportation planners are facing a massive amount of choices.In this highly complex environment, planners often rely on rules of thumbs. However, rules of thumb produce suboptimal solutions and cost companies a lot of money. A better approach for transport planning is to use advanced planning tools that take into account all constraints and choices, whilst safeguarding service levels.
Implement adaptive routing; flexibility is key.
So, what’s adaptive routing all about? Well, it is responsible for ensuring that a company’s system is capable of changing the routes dynamically in response to a change in conditions. Adaptive routing is often implemented in different stages. In a first step, using different routes on different days often suffice to obtain the first benefits. In more mature environments, routes are alternated during the day, especially information such as traffic data, special events in the vicinity, etc.
Be careful to use only real time information.
If you’d like to be sure that you’re providing better solutions, then you also have to be sure about your own information sources, as well. The more real time your information is, the better your data is, and, as a result, the better your solution.
So you see, transport planning heavily relies on your capacity to think on your feet, both as an individual and as a logistics company. If you can’t plan well, better not to get into the transport business at all.