Definition
In logistics networks, route optimisation describes the data-driven planning and adjustment of transport connections in the main run in order to maximise truck utilisation and minimise the number of kilometres driven per shipment. The aim is to synchronise fluctuating volumes and capacities in such a way that empty runs are avoided and dependence on external load meters is reduced.
The problem: empty runs and unused capacity
In a general context, the term ‘empty run’ refers to any journey made by a means of transport without a load. In logistics, empty runs are one of the biggest efficiency killers. It is not only completely empty lorries that cause unnecessary costs, but also the lack of transport utilisation on partial routes.
In general cargo transport in particular, seasonal peaks, volatile demand and a lack of transparency mean that:
- Freight forwarders have to accept empty runs because there is no return freight, existing transport capacities are not fully utilised,
- while at the same time expensive external loading metres are purchased on other routes,
- and historically developed routes no longer match the current reality of shipment flows.
Optimise your main run: The lever for your general cargo network
The main leg forms the core of general cargo transport and offers a great deal of potential for optimisation. In order to optimise the main leg, the ‘local perspective’ of the individual locations must be abandoned and the entire network must be viewed as a single unit.
Goals of successful route optimisation:
- Avoid empty runs: Reduce the number of kilometres travelled without a load.
- Utilise empty truck runs: Make free capacity available to other network partners.
- General cargo network efficiency: Increase profitability through better bundling.
- Cost reduction: Reduce expenditure on external carriers.
Digression: Ring exchange as a lever for efficiency
A special tool for route optimisation is known as ring exchange. While traditional shuttle services often struggle with the problem of one-sided goods flows, ring exchange links three or more locations to form a closed circuit (e.g. A → B → C → A).
The advantages of ring exchange:
- Volume balancing: Deficits on a direct route are compensated for by freight on partial routes.
- Maximum truck utilisation: The vehicle is optimally loaded on every section of the ‘ring’.
- Process stability: Fixed cycles create planning security at the ramps.
The role of data and software
Effective route optimisation is hardly possible today without specialised logistics software in the network. Planning complex relationships such as ring exchanges is best done with the help of powerful algorithms.
- Creating a data basis: The software collects information on routes and cargo space, which previously lay dormant in decentralised Excel spreadsheets, in one place. This depends on input from employees who enter local data into a central interface.
- Algorithm-based analysis: The algorithm recognises patterns, calculates the optimal distribution and identifies where you can reduce empty runs.
- Concrete recommendations for action: Instead of abstract numbers, the system provides clear suggestions, e.g. the redistribution of quantities or additional stops on existing routes.
Conclusion: Software and humans work hand in hand
Route optimisation is a strategic process. Even small increases in truck utilisation in the low single-digit percentage range lead to enormous savings. The software enables networks to take action by providing concrete recommendations that can be implemented step by step. This makes change management in the network manageable and increases profitability in the long term.