TMS Report for multimodal indusrty PDF

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This is the structure of how a TMS system workds and helps...

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TRANSPORTATION MANAGEMENT SYSTEMS REPORT BY: MELISSA, MOHAMED & MARYAM

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TABLE OF CONTENTS:

 Planning – Pre-Execution Phase-Route Planning & Load Planning: -Route Planning -Load Planning -Comparison Between Route & Load Planning -Company Example -Importance of Route & Load Planning

 Execution Phase-Load Tendering, Status Tracking & Appointment Scheduling: -Load Tendering - Use of a truck load carrier for load tendering - LTL carrier for load tendering - Status Tracking - How appointment scheduling adds efficiency to logistics management

 Analytical Activities-Performance reporting & Freight Bill Auditing: - Types of Performance Indicators - Rate Elements that make up the freight cost - Importance of Freight Bill Auditing

Planning – Pre-Execution Phase-Route Planning & Load Planning Route Planning: Route planning is also known as “route mapping” or “route sequencing”. Route planning is the process of computing the most effective method of transportation or transfers through several stops. Route planning is used to ascertain which route is the most cost-effective when moving from one place to another. Generally, logistics or transport companies use applications/software for route planning and to compile the required routes.

Load Planning: Load planning in transportation is the process of consolidating cargo to maximize the capacity of each truck and driver so that multiple shipments can be delivered in the fewest number of vehicles. The aim of load planning is to reduce the number of vehicles on the road and therefore reduce transportation costs while improving operational efficiency. Factors to consider are the vehicle’s specifications (E.g., Refrigeration), centre of gravity, destinations, type of product, and much more.

Comparing Route & Load Planning: Route planning is primarily focused on the mapping of the most time and cost-effective route of transportation. For example, choosing the most direct and fastest highways avoiding small towns and residential areas. Load planning involves consolidating cargo to maximize the capacity of each truck. For example, if there are 20 skids going to Alberta and BC they would go on one truck and 20 skids going to Quebec and Nova Scotia would go on a separate truck. Or if the product is heavy metal parts coated in chemicals, they would go on separate truck that would contain fresh produce.

Company Example of Route Planning: FedEx uses a technology called Dynamic Route Optimization, or DRO, to optimize the routes given to FedEx drivers. First released in 2019, this tool rivals similar apps such as Orion from UPS to help compete in terms of delivery time, driver efficiency, and customer satisfaction.

Importance of Route & Load Planning In Logistics Management: Load planning can help you to compete on price. It can help lower your mileage, improve your delivery capacity, and reduce your overhead and increase your profit margins. Proper Route Planning you can save time and fuel by effectively planning efficient routes that factor in locations and avoid backtracking. Therefore, drivers spend less time driving, less fuel is needed as less backtracking is taking place, and businesses can reduce the wear and tear of the vehicle, ultimately saving on maintenance costs too. Customer Satisfaction is also improved with proper route and load planning. Faster response times, and speedy deliveries, not only increase productivity but also create appealing delivery experiences - guaranteeing customers will come back for more. With efficient route and load plans businesses can make last minute changes and meet tight schedules so no customer is getting left behind. Route and Load Planning also increase productivity. Businesses need to consider time frames, driver shifts, the number of stops, and stop changes. Route and load planning systems not only help avoid backtracking, as they organize stops based on location, but also ensure that businesses are reaching all set destinations - with time to spare. In conclusion route and load planning systems cut transportation costs, providing businesses with a more flexible budget, helps them get to their customers more efficiently and on time, and increase the number of destinations they can reach in a day, effectively saving businesses time and money on the road.

RESOURCES: www.saloodo.com/logistics-dictionary/route-planning/ https://www.upperinc.com/guides/route-planning/ https://optimoroute.com/load-planning/ https://www.getstraightaway.com/fedex https://www.scmr.com/article/why_route_planning_is_important_for_your_business...