Frugt.dk is a leading supplier of packed fruit baskets to workplaces all over Denmark. The company used to plan their routes manually with pens on paper maps. Now, route optimization takes place automatically in AMCS Route Planner. This has resulted in increased customer satisfaction and large savings in the distribution but also given a strong sense of security, accuracy, and structure.
7000
Fruit baskets delivered weekly2500
Fruit boxes delivered weekly30
Less administrative work100
Control of route costsRoute and transportation optimisation
Exponential technology is driving change in almost every industry, and business models are shifting. To stay competitive, the supply chain in your industry must be optimized, predictable and reliable all at the same time. At AMCS we are taking things to the next level. With AMCS Intelligent Optimization you can operate with the agility your customers need, and have come to expect. Achieve the highest level of customer engagement and continuously improve your margins with our superior forecasting, time slotting and price optimization capabilities.
Challenge
Logistics manager at Frugt.dk, Niels Christensen, explains, “We used to plan our routes manually on printed maps. With 7,000 customers across the country and 60% of our volume going out on 120 routes on Mondays, it was very difficult for us to maximise the quality and efficiency of our operation through manual planning. Read moreChallenge
Logistics manager at Frugt.dk, Niels Christensen, explains, “We used to plan our routes manually on printed maps. With 7,000 customers across the country and 60% of our volume going out on 120 routes on Mondays, it was very difficult for us to maximize the quality and efficiency of our operation through manual planning.
“Adding to this complexity, our routes can be very dense in urban areas, where each route typically has around 100 stops. This, combined with very tight time windows and fixed delivery days, made it impossible for us to create efficient distribution plans. Since distribution accounts for a great part of our costs, and delivery accuracy is key to our customer satisfaction, we saw great potential in optimizing our routes with AMCS Route Planner.”
Solution
"When implementing the system, difficult but necessary decisions and organizational changes had to be made,” recalls Niels Christensen. “Discussing assumptions regarding work procedures was a challenging task, and the drivers were reluctant to provide the needed information. This was unfortunate because, in order to obtain optimal results with AMCS Route Planner, accurate data are crucial.” Read moreSolution
"When implementing the system, difficult but necessary decisions and organizational changes had to be made,” recalls Niels Christensen. “Discussing assumptions regarding work procedures was a challenging task, and the drivers were reluctant to provide the needed information. This was unfortunate because in order to obtain optimal results with AMCS Route Planner, accurate data are crucial.”
Niels Christensen continues, “In an attempt to respond to our drivers’ fear of change, we had to take some initiatives. At Frugt.dk, the drivers’ need for repeated master routes was respected, and they were invited to see and validate the routes in AMCS Route Planner. It also helped that our main distribution planner is a former driver, as this created extra trust in the quality of the routes. “Furthermore, we realized that it was important that the optimization process took place gradually to get the entire organization on board. Commitment, management support, and a belief in the benefits of a route planning system were essential elements.”
Results
Niels Christensen adds, “We believe that AMCS Route Planner has given us a clear competitive advantage and a very lean distribution set-up." Read moreResults
Niels Christensen adds, “We believe that AMCS Route Planner has given us a clear competitive advantage and a very lean distribution set-up."
Major benefits from implementing the system:
- Solid savings due to fewer routes and lower mileage
- A reduction of 25-30% in administrative work
- Almost 100% elimination of complaints about late deliveries
- Planning time reduced from 14 days to 3 hours when optimizing master routes
- 100% control of route costs, enabling hauler self-billing and a reduction in costs per route
- Ability to assess new customer profitability
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