The trucking industry is going through a revolutionary phase where a simple tweak in the process can make a big difference. Adapting a truck routing software is one of them. The reason trucking industries are introspecting their methods and practices so vigorously is the shrinking margins and changing market trends. With the trucking industry revenue topping the $700 billion mark for the consecutive second time in 2015, the trucking industry is pulling up socks to beat the heat of the competition.
Stricter environmental regulations, persistent and growing driver shortage, decentralization of manufacturing facilities and changing trends of e-commerce segment (which was fueling the logistics boom till now) are the few reasons to why trucking majors are looking out for most efficient practices. It is not only benefits that trucking companies are looking at by adopting to advanced technology. They are also searching for the solutions to age-old problems.
Instinctively, the trucking companies are finding ways to efficiently tackle their biggest problem i.e. Vehicle routing Problem (VRP). VRP has been the prime target for ages for the industry wizards who are trying to change the face of the trucking industry. With the help of satellite communication and faster reach, VRP is not same as before. Now the problem is not only about connecting the dots, it is about connecting the dots in a way that you will be spending the minimum ink (fuel, man hours) in the process. Wait! I haven’t included dynamic routing based on freight management yet and routing has already started to look like a big thing. Hang on there.
The truck routing solutions are not limited to the planning of routes via Global positioning Systems (GPS) or even Advance Fleet Management System (AFMS), it has now grown to cater planning and delivery problems too. In fact, with the changing practices in truck routing, VRP is also increasing its umbrella by including problems of pickup and delivery, multiple time windows, heterogeneous fleet, different pay structure for drivers, re-optimization of routes and constraints of intermodal transportation.
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Real Time tracking for trucking companies
Real time tracking is essential to follow up with the trucking consignments. It becomes even more essential if there is a change in the plan due to freight management or other reasons. Real time tracking works as a strategic advantage for any trucking company to plan the travel journey and estimate expected time of arrival for the deliveries. Real time tracking works as a crucial factor for asset management and status update of the deliveries at different stop points. This might be otherwise dependent on the manual update which may not be very trustworthy.
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Dynamic Rerouting
Trucking companies have complex environments of pickup and delivery where anything can start from anywhere to end at anywhere. The challenge is to not let the one failed delivery attempt hamper the performance of other delivers. This is very difficult when the resources like truck and driver both have planned steps after one delivery in case of different shifts. Dynamic rerouting takes away the manual headache of arranging pickup and drop for everything related to goods or humans. It also helps trucking companies to take into consideration any unexpected delay or change in route due to uncontrolled reasons such as weather conditions, vehicle failure, accidents or repair works due to which road transportation can face a setback.
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Savings on fuel with Truck Routing Software
An efficient truck routing software can cause you 20-40% savings on fuel. Their advanced routing algorithms figure out where you are wasting your precious miles and close those loopholes by devising a better route plan. Apart from the direct benefit of increased fuel efficiency, it also gives you the benefit of escaping frequent servicing charges for trucks which are now traversing to a more efficient journey with the help of truck routing software.
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Fast paced Scaling capacity
Truck routing doesn’t only automate the process of route planning, it also ensures that you are getting more business done with lesser resources. With lesser detention time for trucks and multiple driver shifts on the same asset, you can become confident to scale up without actually investing much in building up the infrastructure which often becomes the major hurdle to cross. You can also optimize your routing software to keep your trucks running 24/7 with the help of more contract drivers without investing in getting carrier vehicles upfront. In logistics where freight management is a volatile and dynamic issue, such flexibility gives trucking companies a huge relief.
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Easily accessible multi-device solution
Trucking companies have their trucks installed with GPRS systems for navigation assistance. But rather than completely depending on the GPRS it is great to have a multi-device mode of communication between truck driver and support center. This can be done with the help of an app installed on a mobile or any web based application used via integrated dashboard in the truck or a tablet. It avoids the situations where driver get stranded to continue his journey without any assistance in case there is some technical failure in the truck GPRS system.
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Optimized man hours
When you are streamlining your routes with the help of truck routing software, the immediate resources which will feel the impact are truck drivers. He will be able to complete the delivery assignments more judiciously with fixed shift hours. They can also choose to work in the favorable shifts which help them to move forward for creating a better future.
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Delightful Customer Service
Almost 55 % trucking companies agreed that having a direct communication with their drivers and clients in real time is priceless and is a major criterion while selecting a software for transport management. They can get their customer requests implemented quickly and generate faster results. Logistics clients also show greater confidence in the trucking services which can provide them instant updates and alerts for their deliveries. As a trucking company, if something makes your customers happy, there is no reason you shouldn’t have it. Real time tracking makes the rerouting as optimized as it could be as the planners can see that which will be the easiest travel route to save on manpower and work hours.
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Compliance with standard practices
Each carrier truck is valuable enough to be protected with supreme measures, even from their drivers. The routing software also installs the tracking systems for the speed attained and the driving violations done by any of your fleet drivers. During intermodal transportation, it also becomes very useful to bring in the attention of driver about any change in the norms and safety standards to the driver aptly.
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Figuring out hidden opportunities
Trucking companies are often unaware of their most profitable routes and the ones where their drivers perform best. The routing system is fed on the driving patterns of your existing drivers and their travel history. It also stores them to gauge against the performance parameters of different drivers on the particular terrain and gives better suggestions about the best drivers and routes to complete a particular assignment.
It is interesting to notice that even with the 3.7% increase in the annual revenue of U.S. trucking industry, the total revenue of 100 largest trucking companies is declined by 3.1%. This infers that the main propellers of the increase in revenue are the smaller trucking companies which are adding more value with their specialized and concentrated services. With the smaller trucking companies looking at a brighter future and scope to grow at a high rate, advanced strategy and technology aid such as truck routing software is becoming more and more important to seize the opportunity.
About DreamOrbit:
DreamOrbit is a Logistics and Supply Chain Technology Development company. We have been creating meaningful and reliable software products for the industry which is “Always on the go” for the past half decade. We are highly motivated team aimed at innovation. Our philosophy is to “keep challenging the potential within”. With the support of our happy customers and dedicated team, we strive to provide best possible solutions to industry problems. Visit our website to know more about DreamOrbit.
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