Route planning and Route Optimization are often mistakenly thought of as the same thing. So, how are the two different?

What is route planning?

Route planning (a.k.a. route mapping) is not a new concept for experienced members of the Logistics and Supply Chain industry. Logistics coordinators often use messy excel sheets and google maps to plan their routes and send information to their drivers via SMS. While this strategy may be useful for small businesses with a few deliveries each week, it is not feasible for larger companies with a fleet of vehicles.

What is route optimization?

Route optimization takes the planning process to the next level by providing complete control of the routes at every stage. Logistics coordinators can account for additional constraints like vehicle load capacity and delivery time windows. It also significantly improves delivery speed by taking the shortest and most cost-effective route possible, thereby increasing your business’ efficiency. While route optimization can be useful for anyone, it is incredibly beneficial in managing routes for a fleet of vehicles.

Routimo – What are the benefits of planning and optimization?

Routimo enables you to find optimal routes for your deliveries by assigning vehicles from your fleet. Our software takes into account your business requirements like: average time window to complete a delivery, open hours of dropoff location, drivers’ working time, delivery schedule and vehicle capacity. The Routimo algorithm allows you to optimize by time or distance, so you can complete tasks as fast as possible or minimize kilometers/miles traveled by your vehicles.

You don’t have to spend hours and hours manually planning multiple stops with a route optimization program. For example, it takes only 4 seconds to optimize 50 deliveries among a fleet of 10 vehicles. Logistics coordinators can save up to 20 hours of manual planning per month for a fleet this size. It’s also important to note that humans are limited to computing about 500-600 different route combinations. In contrast, our algorithm computes tens of thousands of combinations (and that’s just for 1 vehicle)!

You can also reduce fuel consumption, vehicle leasing costs, and maintenance costs by taking more efficient routes every time! Routes planned within Routimo are up to 30% more efficient than ones developed without it.

With the benefits of route planning and optimization, your business will also improve customer satisfaction. By tracking your vehicles in real-time and never missing a scheduled delivery, you’ll leave competitors behind and stand out to your customers.

If you want to see how Routimo can help you, try out our free 7-day trial! It is entirely free, with no credit card needed to register.

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