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Blog November 2021

Rank your company’s logistics operations in our Intelligent Optimization Benchmark

Efficient businesses tend to be successful businesses

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Wim Hoek Product Marketing Manager

Our vision at AMCS is to help our customers achieve increased profitability and sustainability through intelligent optimization. 

Intelligent Optimisation enables logistics companies to reduce the number or distance of routes driven, maximizing the efficiency of the number of vehicles being deployed.

Whether your company is involved in waste and recycling, transport aggregates and construction materials, ready mix cement, livestock transport, and oil and gas supplies, we are confident that we can improve the performance of your logistics operations.

Our suite of Intelligent Optimization solutions is proven to reduce transport costs by 15%, reduce planning time by 40% and reduce mileage, driving time, and carbon emissions.

Intelligent Optimization Benchmark

We recently developed the AMCS Intelligent Optimisation Benchmark that includes five stages that can help you assess where you are now and assist you to identify the tools you need to make your logistics more efficient.

Most companies are somewhere between Stage 2 and Stage 4 at present, but some are still at Stage 1. By moving up these stages, significant cost savings can be made, with the bonus of making your operations more fuel-efficient and therefore reducing emissions from vehicles. In addition, optimized logistics deliver better service outcomes and offer customers more choice to select tighter delivery windows.

Stage 5 is a future goal, but many top-performing firms are investing in this future of fully automated and optimized logistics, and some are implementing early-stage technology to achieve this.

Stage 1 – Manual Planning

At this stage, companies have begun the process to automate tasks and are seeing efficiencies.

This stage is how we used to do things, and some companies still do! It depends on manual planning and reacting to events when they happen.

Businesses in this stage tend to have:

The weaknesses of this approach are:

Stage 2 – Semi-automatic Planning

At this stage, companies have begun the process to automate tasks and are seeing efficiencies.

By using semi-automatic planning, they are benefitting from:

Stage 3 – Automatic Planning

Automatic planning is seen in stage 3 and is where many logistics and waste and recycling are now operating. Highly effective logistics systems improve the efficiency of the business and often result in significant margin improvements. The resources are utilized across the whole organization, and not just for the typical 10 trucks which each planner normally can plan for. This is whereby automation can generate at least 10% more savings.

The benefits of this stage are:

Stage 4 – Predictive Planning

Advanced businesses are already taking advantage of predictive planning technology, including AMCS customers. Our products are designed to enable the use of sensors, for example, to relay data into the AMCS Platform.

At this stage, the logistics planning system now creates its own orders using vendor-managed inventory (VMI). Predictive planning is typically based on a mix of historical data, real-time data, and sensor data.  This type of technology is often used in the waste management industry with (underground) containers with fill-level sensors and in the fuel industry for replenishment of petrol stations.

This stage requires:

Stage 5 – Fully Automated Logistics

This stage is where we believe many of those companies at Stage 4 are already heading. While we might be some years from fully implementing these measures, some companies are already using ultra-sophisticated technology to optimize their operations as much as technology will currently allow.

When we eventually reach the technological capability to fully implement this stage, businesses will:

How is AMCS preparing for this future?

AMCS is constantly striving to improve its products with many of our customers already taking advantage of Stage 4 and some early Stage 5 technologies.

We will continue to invest in developing our products to help our customers fully optimize their processes, making their logistics and operations highly efficient, while also supporting reduced cost and higher margins.

Want to learn more about how AMCS can assist your company to make your logistics more efficient? Our team of optimization experts is available to help your business with leveraging next-generation optimization technologies.  Don't wait and contact AMCS now.

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