Case Studies
1. How ArcLogistics makes you money.
ArcLogistics Route Software at Morey's Seafood International
Morey's Seafood International, LLC
Morey's Seafood International, LLC is one of the largest fresh fish and seafood distributors in the country. Getting fresh fish to restaurants and grocery stores in an efficient and economical manner while satisfying their customers' requirements for meeting delivery windows is critical in this highly competitive industry.
Historically, Morey's used the common technique of fixed/zone routing (routes assigned to fixed geographic areas) to designate orders to the vehicles. Frequently one zone would get overloaded with orders, while the next zone over only had a few orders. After receiving their orders, the drivers would be the ones to decide their stop sequence (often having to reorganize the products on the truck). The only information sales would receive was the sequence of deliveries. Thus, sales had to guess estimated times of arrival for each stop.
ArcLogistics Route
In the Fall of 2000 Morey's implemented ArcLogistics Route software. The 200-300 daily orders are optimally routed by the software, minimizing driving distance and utilizing the most economical configuration of vehicles. All the while meeting the customers' specified delivery time windows.
Historically, all the local delivery drivers started work at the same time each morning, even though there was limited number of dock doors for loading. With ArcLogistics Route the company now schedules for three trucks departing every half hour starting at 5:30am. Drivers arrive at the plant fifteen minutes before their assigned departure times (no longer standing around waiting for their trucks to be loaded).
Given the parameters of weight, volume, or other capacity restraints, plus available hours in the day, the software maximizes the load in each vehicle. While Morey's may have 28 vehicles available, instead of dispatching all 28 at 80% of capacity; the software will select the most economical vehicles and fill them 100% leaving the rest in the yard.
Since the software determines the stop sequence, a load journal is provided to the loading dock, so the orders are placed in the truck with last stop in the nose, first stop by the door. Saving time unloading and causing less delivery mistakes.
The drivers are provided a route manifest, which details each stop, including comment fields for special handling or delivery messages. Detailed maps and directions of each stop are available, so even new drivers have little problem locating the customer.
Then finally, the dispatcher is provided several customizable management reports that summarize the day's activities. The dispatcher summary provides estimated costs per route, so one can track the economic performance of the operation. The summary also provides estimated return times for each vehicle, the dispatcher uses this data to monitor and manage labor hours.
The results
During the phase-in of ArcLogistics Route a study was undertaken comparing the old fixed/zone approach to ArcLogistics Route dynamic routing. The original system loaded 44 orders on six trucks (7.3 orders /truck) travelling 384 total miles. Arclogistics was able to configure four full trucks plus a couple of orders on a fifth vehicle (8.8 orders /truck) travelling 343 miles. This equates to 20% more orders per truck (20% less trucks), travelling 11% less distance.
The 8am to 10am mad house on the loading dock trying to get 28 vehicles loaded through four dock doors has disappeared. With ArcLogistics, trucks are more evenly scheduled (now only 37% depart after 8am vs. 71%) getting out earlier (some start at 5:30am) to beat traffic and having more time available to make deliveries. Reducing the chaos on the dock has helped to reduce loading mistakes.
In the first six months of installing ArcLogistics Route the average load per vehicle has increased over 30% going from 9 orders per route to over 12 orders per route. Morey's local delivery fleet of 28 trucks is now down to 23 (an 18% decrease).
Static Zone Routing |
Dynamic Routing |
2. ArcLogistics and Cloudberry in action
Delivering seafood smartly
Retail deliveries often have to be fast, and nowhere is this requirement more important than in the perishable foods industry. And if the perishable commodity is fresh fi sh, the stakes are even higher. For distributors in this highly competitive industry, getting fresh fi sh to restaurants and grocery stores just when the customer needs it is critical.
One such fi rm is showing how GISbased delivery systems are vastly superior to the old way of doing business. Loading docks are saner places than before; warehouse workers are loading trucks more systematically; fewer mistakes are being made; and drivers are able to start deliveries earlier and make all their stops while traveling fewer miles.
For more information download 'Delivering seafood smartly' case study brochure.