5 minute read
Planning for peak season
As we edge towards the peak season, logistics providers are already starting to plan for the huge challenge ahead. Peter Kueth at HERE Technologies says organisations can better cope if they maximise their available assets.
Spending at Christmas is rising every year and online discount days such as Boxing Day, Amazon Prime Day and Black Friday are becoming increasingly popular in Australia. Amazon Prime Day took place for the second time in Australia this year and generated nearly $3 million for the company. The number of customers who used Prime Day this year in Australia was up around 15 per cent from its first year.
In 2017, Australians spent $11 billion dollars on Christmas gifts alone, and that’s without even considering all the food and drink that play such a central role in the festivities. When this is taken into consideration the figure will reach close to $25 billion, according to a study by Finder.com.au.
One of the most crucial factors to get right in ensuring that peak season runs according to plan is accurate estimated time of arrivals (ETAs), according to Peter Kueth, Senior Product Marketing Manager at HERE.
“In order to plan well for any peak in demand you need to know where your trucks are, where they are going next, and have an accurate understanding of when they will arrive at their destination,” Peter says.
REAL-TIME DATA For Kueth, coping with the demand during peak season is very much about ensuring that the assets you do have are performing at optimum levels. “In our experience, some of the most sophisticated logistics companies find out if a shipment is running late by calling someone, who calls someone else, who then calls someone else. By the time they find out it’s late, it’s already had a negative impact on the operations,” he says. By using location intelligence solutions, there is complete visibility over where assets are at any time. Additionally, comparisons can be made between historic data. “With location intelligence software that is specific
Peter Kueth, Senior Product Marketing Manager at HERE.
to industry, you can see patterns in routes taken, rest times, weather conditions, speed limits,” Peter says. These patterns can be used to route better as well as make changes, if necessary. “If you have access to live data, you can make changes to a route and spot problems before they become an issue,” he says.
This is particularly helpful when moving time-sensitive freight. “If you are moving refrigerated goods and you have a change in temperature, you can very quickly change the route the truck is going to take to prevent goods from being ruined or damaged” Peter says. Additionally, if an organisation is moving a certain chemical or hazardous goods, the mapping software can route accordingly. Many mapping solutions organisations build data around consumers in cars, but HERE has developed industry specific roadmaps. “Our data encompasses truck speed limits, height of any bridges, curvature of the road, road surface—every attribute you need to plan the most efficient route possible,” Peter says.
Peter uses the example of the famously low South Gregson Street train overpass in North Carolina. “Trucks have lost their rooves countless times trying to get under this bridge, but our software would never route them this way because our data includes all these relevant attributes,” he says.
DRIVER SAFETY AND BEHAVIOUR The HERE data does not stop at the attributes of the road; it also includes driver behaviour. “We can plan a route to include rest response time but also maximise the time on the road safely. We can make sure that a driver chooses a rest time that optimises their route,” Peter says.
Routes can also be planned dependent on the type of vehicle used, whether the goods will be travelling in a larger truc k, a small truck or a van. There are attributes of the
road that will suit different kinds of routes. It’s not a one-route-for-all approach, Kueth says.
ON-TIME DELIVERY During peak periods, logistics providers have to make more deliveries in a tighter timeframe, usually with the same amount of assets. One of the main issues that logistics providers have to deal with is missing delivery slots at ports, warehouses or retailers – often resulting in significant fines.
“Many companies have been imposing stricter delivery windows, because they recognise that these impact their bottom line as well as customer satisfaction,” Peter says.
Without accurate ETA information, it’s difficult to avoid these kinds of fines. “Our software will alert the right person to let them know that the predicted arrival time is outside of the allocated time slot. This way, something can be done. A reschedule of the slot or at least communication with the customer will go a long way in reducing these fines,” Peter says. Having access to live and real-time data from the moment the goods leave their origin allows organisations to better make decisions about the entire operation. This is particularly crucial when the pressure is on during peak periods.
COLLABORATION HERE has designed a solution that integrates with software commonly found in the logistics space. “We recognise that most logistics managers start and end their day within a Transport Management or Enterprise
Access to live data allows organisations to make better decisions.
Resource Planning platform, so we have made sure that by integrating HERE location intelligence and mapping there is no requirement to add yet another user dashboard that will need to be logged into,” Peter says. HERE recognises that delivering at peak period puts pressure across the entire logistics operation. The location software has been designed to better manage fleets and maximise the utilisation of assets so that organisations can deliver the quantities required as safely and efficiently as possible. ■
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