Efficient Cargo Bundling in Long-distance Distribution Using SaaS



Efficient Cargo Bundling in Long-distance Distribution Using SaaS

Authors

Tilman Platz, MARLO Consultants

Description

The paper shows the key features of the service MixMoveMatch.com and describes how MixMoveMatch.com functions with respect to the underlying logistical concept and ICT.

Abstract

In Europe, one out of four trucks is driving around empty. And the trucks loaded with cargo only use between a third and a half of their transport capacity. This represents a waste of space, and money. A typical large scale shipper or logistics service provider deals with transport flows between many locations, across several hubs and distinct consignees. In this context, and in most cases, truck and vehicle capacity planning is done without taking into account the overall supply chain picture. This leads to a situation where transport orders are very fragmented and often not optimised.

Through intelligent order reconstruction and transport bundling along with adjusted routings of cargo through logistical networks, in distribution over longer distances, capacity usage of vehicles can be considerably increased. A requirement for the implementation of such logistical concepts is ICT supporting the whole distribution process. MixMoveMatch.com is an innovative logistics software service provided in the cloud that optimises the shipping of goods in distribution systems by bundling shipments across different companies. It combines order reconstruction and vehicle load planning in order to increase capacity use of the vehicles engaged in distribution. This does not only contribute to a reduction in transport cost, but also helps to reduce negative environmental impact resulting from transport operation: The number of trucks trips is being reduced, there is fewer fuel and energy consumption, and there are fewer emissions of CO2 and harmful substances.

The paper shows the key features of the service and describes how MixMoveMatch.com functions with respect to the underlying logistical concept and ICT. It is outlined how an idea that evolved at a major shipper turned into a commercial service product. Finally, the economic and environmental benefits of MixMoveMatch.com are explained.

Publisher

Association for European Transport