Intelligent Fleet Logistics – Improving Asset Utilisation

February 10th, 2015

Asset utilisation diagram

The Challenge

Line-Haul Network Optimisation for Tip Top Bakeries

  • George Weston Foods – Tip Top bakeries have an extreme logistics challenge delivering fresh bread daily
  • 11 bakeries, 100 distribution centres, >1 million loaves to 20,000 stores
  • Transportation spend >A$100M p.a.

 

Data61’s Approach

 

  • Data61 developed a new optimisation algorithm, modelling the distribution problem more accurately
  • Data61’s constraint programming approaches achieve best solutions to 180 of 300 vehicle routing benchmarks
  • Saved 10.4% of operational costs through a better asset and resources plan
  • Developed a “Cost To Serve” tool that:
    • Determines the optimal fleet configuration
    • Distributes ‘more-than-truck-load’ volumes
    • Optimises cross-docking
    • Calculates street level routes
    • Adheres to all business constraints.

 

Impact

 

  • More efficient use of assets is key to reducing cost and CO2 emissions
  • Fewer journeys, leads to less congestion
  • Data61’s optimisation algorithms extend the scope of planning across the supply chain.

 

Collaborators

Tip Top Bakeries

Download the Improved Asset Utilisation brochure.