Tactical Routing. The leading solution for optimizing your transport on a tactical level

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1 Tactical Routing The leading solution for optimizing your transport on a tactical level

2 How do we deploy our company fleet with optimal efficiency? Challenges The supply chain sector is currently under pressure. With growing complexity and rising costs combined with declining volumes as a result of the economic crisis, competition is becoming increasingly aggressive. The continued ability to meet your customers needs is crucial in remaining a competitive market player. Better still: why not exceed these expectations with a level of service that sets you apart from the competition? Intelligent route planning can help you achieve major improvements in these areas, especially if you do not deliver to your customers on adaily basis. This raises questions such as: how do I ensure my routes are planned with optimal efficiency? What is the most optimal delivery date and time for my customers? Also the impact of changes, such as rapid growth in terms of delivery frequency or addresses, and potential collaborations with other parties, need to be considered. The following central question is key to all these aspects: how do we deploy our company fleet with optimal efficiency? After all, the emphasis is on ensuring the highest possible degree of occupancy and efficiency. In short, customer satisfaction and cost control are both crucial to any business seeking to achieve and maintain the best position in their sector. Parcel/Express Distribution Bulk/Liquid Gas Retail Consumer packaged goods 2

3 A master plan over different regions and/or a longer planning period Solution ORTEC would like to help you address these issues. With years of planning experience in the transport and logistics sector, we can offer a broad range of flexible planning solutions. ORTEC Tactical Routing is one such solution that can help you achieve operational excellence. helps you create a master plan over different regions and/or a longer planning period. While ensuring your customer goals are met, the system can help you reduce real operational costs at the same time. The system creates well-balanced distribution and collection zones, divides deliveries over the schedule period and tactically determines the best master routes to ensure the most efficient schedule. This high level of efficiency is achieved on the one hand by geographically clustering deliveries into routes, while on the other hand evenly dividing workloads over the days and the week. Tactical planner KPI s ERP/TMS/WMS/APS ORTEC Tactical Routing Tactical plan with optimal routes What-if? Scenario Analyses Tactical routing and optimization in Transport and Distribution 3

4 Characteristics creates a tactical plan for your deliveries or collections. The application consists of three functionalities that can be combined or used individually. 1. Territory Optimizer Creates distribution and collection zones Balanced distribution of workload over the various territories More efficient routes due to geographic clustering Assign locations to regions/resources 2. Visit Day Optimizer Calculates optimal delivery days and weeks Workloads are divided equally over a schedule period Variable schedule periods ranging from a week to a year 3. Routing Creates optimal master routes based on the selected territories and schedule period Additional characteristics Balance workload over planning period Calculate optimal routes helps you create tactical routes. The solution can accommodate both your wishes and requirements and those of your customers. An overview of some additional characteristics: ORTEC calculates the most efficient master routes, ensuring the optimal utilization of your fleet and working hours. The system calculates optimal delivery days for non-daily deliveries. Work is divided equally over the days of the week, and visits to multiple locations in the same area are scheduled for the same day. The system can also create distribution and/or collection zones over which the workload is divided equally. These zones can form the basis for the master routes. The use of zones also offers the additional benefit that drivers will become accustomed to a specific area and the customers within it. You can determine which delivery days you offer the client, and they can choose their preferred day. 4

5 The system takes into account a broad range of factors, such as: vehicle capacities and permitted vehicle types, delivery times, desired amount of time between deliveries, opening hours, working hours, driver-customer relationships, and overtime and delivery agreements. State-of-the-art maps offer immediate insight into customer locations and schedules. Scenario analysis helps you gain insight into the effects of potential policy adjustments. The system allows for easy comparison of the various scenarios. Some examples: o How will an expansion of my customer base affect my fleet configuration? o Can I deploy my fleet more efficiently by adjusting working hours? o Can I benefit from changing the frequency of deliveries per week? Hhe graphical user interface (GUI) can be easily configured to your specifications. The default GUI can be configured to reflect your wishes and terminology. If required you can create your own information screen layout. The solution can be combined with an operational software package from the ORTEC Solution Suite. The operational software will help you respond to dynamic dayto-day situations such as ad-hoc orders, delays, and illness of employees. ERP/TMS/WMS/APS Customer Addresses Delivery Frequency Average Delivery Time and Volume Fleet Depot Tactical Planning Creation of balanced distribution and collection zones Optimal assignment of delivery schedules and delivery moments Route optimization Invoicing Financial Settlement What-if scenario analyses Assignment of new customers to existing planning 5

6 Your benefits Results The optimal schedules created with will help you achieve the following results: + More cost-efficient routes that help you cut back on mileage and working hours. + CO 2 reduction and contribution to a cleaner environment due to lower overall mileage. + More work can be done with the same amount of resources and you can optimize the composition of your fleet. Our distribution process has become much more efficient. As a result we are able to deliver to more customers with the same number of vehicles. ORTEC Tactical Route Planner + You will be able to offer your customers the highest service level due to accurate and reliable delivery appointments. + You can solve complex problems in less time due to the possibility to easily compare various scenarios. The scenario analysis functionality offers a crucial advantage in any key decision making process. + Reduction of the amount of time needed to create a schedule. + Drivers are deployed on the basis of a realistic and feasible schedule. + Greater flexibility and more options for meeting stringent service requirements. + Limited use of subcontractors during peak periods due to a more efficient deployment of your fleet. + Reduction of overtime payments due to a more balanced distribution of workload. 6

7 Our software solutions SAP Integrated: ORTEC Load Building for SAP ERP Certified add-on to logistics optimization in SAP ERP with integrated carton, pallet and load space optimization, plus route planning and optimization. ORTEC Warehouse Execution for SAP WM Certified add-on to Warehouse Management in SAP ERP for picking planning and control, including paperless picking. Windows applications: ORTEC Load Building Carton, pallet and load space optimization, plus order picking. ORTEC Routing and Dispatch Route planning and optimization with a primary focus on real-time route planning and dispatching in a multiuser environment. ORTEC Route Scheduling Route planning and optimization for logistics and field services. Territory and delivery day optimization including individual route sequencing and the creation of trips while optimizing the utilization of resources. ORTEC Service Planning Route planning and optimization for field services. ORTEC Inventory Routing An advanced solution for demand forecasting, order generation, and route planning and execution. ORTEC Workforce Planning Strategic workforce planning, forecast and budgeting. ORTEC Workforce Scheduling Operational workforce scheduling with rules, skills, service-level agreements and employee preferences taken into account. 7

8 ORTEC world wide About ORTEC ORTEC is one of the largest providers of advanced planning and optimization solutions and services. Our products and services fully optimize fleet routing and dispatch, vehicle and pallet loading, workforce scheduling, delivery forecasting, logistics network planning, and warehouse control. We offer stand-alone, custom-made and SAP certified and embedded solutions that are supported by strategic partnerships. Our 750 employees support over 1,800 customers worldwide from offices in Europe, North America, South America, and Asia Pacific. North America USA South America Brazil Western Europe Belgium France Germany Italy Netherlands UK Asia Pacific Australia China Singapore Nordics Denmark Central and Eastern Europe Greece Poland Romania Want to learn more about our solutions? Contact us at: