2. 2
Learning Objectives
• Outline the role of fleet management
• Understand the issues relating to
routing and scheduling
• Recognise different routing &
scheduling choices
• Identify data capture methods used in
routing and scheduling
• Assess transport resource requirements
14
3. 3
Need for planning
transport
• Balance between cost & customer service
• Maximise vehicle assets at minimum cost
• Meet customer service expectations
• Manage drivers safely & efficiently
• Vehicle maintenance & replacement
• Security of goods
• Track & trace
00.07
4. 4
Role of fleet
management
Needed for long term reliability of vehicles
Consists of:
• Maintenance scheduling
• Fleet administration
• Maintenance records, licensing, insurance
etc
• Fleet costing
• Vehicle & driver cost analysis
Use data to manage fleet cost effectively
00.08
5. 5
Measurement of transport
efficiency
• Percentage of time away from base.
• Maximum use of driving hours.
• Minimum amount of empty running.
• Utilisation of carrying capacity.
• Efficient loading/off loading.
00.09
6. 6
Transport resource
requirements
Determined by:
• Weight or volume capacity of vehicles
• Total time available in a day
• Loading & unloading times
• Different vehicle speeds
• Traffic congestion
• Access restrictions
00.10
7. 7
Transport resource
requirements
Determined by:
• Nature of the products
• Consignee location
• Method and efficiency of delivery at
these locations
• Security and handling
• Customer service requirements
00.11
8. 8
Difference between routing
& scheduling
Scheduling method
• How loads are organised to meet customer
service expectations
Routing principle
• The principle used to match the scheduled
load to the geography
Trunking & stem mileage principles
• Combining different routing principles eg hub &
spoke
00.13
10. 10
Routing principles
• ARC or CIRCUMFERAL routes, which link
customers in an arc shape at various distances
from the depot.
• AREA routes, which link customers in
concentrated areas.
• RADIAL routes, which link customers along
radial patterns to and from the depot.
00.16
11. 11
Scheduling principles
• Simplified delivery system
• Consolidation in small geographical area
• The petal method
• Milk runs & set delivery days
• The savings method
• Deliver goods enroute
00.18
13. 13
Hub and spoke system
Feeder Hub
Goods destined
for anywhere
collected from
local feeder
area
Taken to central
hub and sorted
geographically
Same vehicle
returns to
feeder area
Delivers in
local delivery
area
13
14. 14
Trunking & stem mileage
Distance runs to customers
Trunking to local re-distribution centres
Movement between sites
15. 15
Trailer
Change
GLASGOW PRESTON LONDON
4½ Hours 4½ Hours
CENTRAL
WAREHOUSE
STANDING BODIES
AWAITING RETURN
DEPO
T
NIGHT
CHASSIS AWAITING
BODIES TO GO ON
LOCAL DELIVERIES
NIGHT LOCAL
DEPOT
WAITING
TRAILERS
LOCAL
TRAILER
S
MULTI SERVICE
TO LOCAL
CUSTOMERS
Trunking principles
00.20
16. 16
Assessing transport
resources
Audit vehicle availability ensuring that:
• Identify location of available vehicles
• Identify location of available drivers based on
available hours and licence type
• Identify body type of available vehicle to allocate
qualified driver and loads safely
• Identify vehicles maximum payload both in weight
and volume to allocate loads appropriately
16
17. 17
Tools for assessing
transport resources
List drivers and vehicles using either:
• Traffic sheet or diary system
• A wall chart
• Can use magnetic pieces to represent vehicles
and drivers
• T-card or pin system
• Wall mounted racks with slots for cards or pins
• Database or bespoke traffic system
17
00.22
20. 20
Data that needs capturing
• Customer addresses (including
postcodes)
• Order details such as product and quantity
• Order size and weight
• Special requirements
Most of this information is found on a
delivery note
20
22. 22
How delivery data is
captured
Sales staff take orders from customers and:
• Manually enter order onto pre-printed,
multi-sheet delivery notes
• Manually enter order into a computer
system that prints delivery notes
• Use a database system to select
customer’s delivery address and goods
ordered which produces a digital delivery
note
22
23. 23
Data capture methods
• Pen and paper
• Hand inputted by computer operators
• Scanned in using a bar code system
• Received by EDI or other digital format,
such as XML or email
• Entered directly by a customer through a
secure interactive web page
23
24. 24
Capturing routing and
scheduling data
Need to match:
• Vehicle and driver capacity available
with
• When and what deliveries need to be made
Can then successfully schedule & route loads
24
26. 26
Requirements for
scheduling
List of loads to be delivered to include:
• Geographical address to the postcode level
• Any physical unloading restraints
• Loading bay is very low, small vehicles only
• Any customer service constraints
• Closed for lunch break, delivery day and time
• Vehicle resources available to load
• Routing method
26
27. 27
Traffic planning
• Traffic staff often use customers’ delivery
notes to organise loads and allocate to
available vehicles
• Routing & scheduling software
automatically organises loads
• Often computer organised loads need to
be ‘tweeked’ manually by experienced
traffic staff
27
28. Types of Routing packages
• Telematics
• Maps and routes from A to B (Sat Nav devices,
traditional maps)
• Routing & scheduling
• Organise loads into routes and schedules, based on
vehicle & driver capacities, customer expectations
• Track and trace
• Where is consignment, when was it delivered
• Transactional
• Billing, invoicing, fleet & driver management
28
M31EKM Lecture 9 28
Editor's Notes
It is important that the costs are minimised as customer service is maintained. Vehicles are large investments and it is essential to keep them moving. Therefore turn around time is equally important. Running cost such as tyres, fuel etc need to be accounted for.
Customers delivery window and timed deliveries need to be accounted for
Driver time legislations and safety need to be observed, tachographs help towards efficiency
Reduces cost and increases customer service
Track and trace and security, uses technology to get information about vehicle where abouts
This is a management information system
Holds information about service history, maintenance reports, cost analysis
The list applies when considering an operation.
Consignee- Customer
Trunking and stem: straight distance between two points (A to B) as in a tree trunk, at each end could have a petal method . A could be a distribution centre and B an area with petal pattern of distribution.
Environ mental- refers to the transport business itself and its constrains.
Customer- refers to their requirements and constrains
Company –refers to the transport business, is it cost efficient?
SDS – works with post code deliveries
Petal- similar to above, uses weekdays deliveries for each area
Savings –from o to A and back 2a, o to B is 2b total distance travelled is 2a + 2b. Alternatively o to A to B and back to A, distance is a + x + b, difference is (2a + 2b) – (a + x + b) = a + b - x
Primary distribution: Movement between manufacturers, national distribution centres (NDC) and regional distribution centres (RDC)
Trunking uses large vehicles that need to be fully loaded to utilise space and minimise cost and is used for the above movements.
Secondary distribution: movement between RDCs and customers/retailers, this could use multidrop vehicles
