What is Route Optimization?
Route Optimization refers to the process of mapping the most efficient routes for delivery vehicles. There are several factors that must be considered for route optimization. Some examples include stop locations, total number of stops, traffic conditions, and the window of delivery time required by customers.
Which businesses need Route Optimization?
If you’re in any of the following industries and use your own fleet of vehicles to deliver products to your customers; then you may want to consider Route Optimization:
- Food and beverage
- Automotive lubricants and maintenance supplies
- Oil and gas products
- Tobacco and vape products
- Hard goods distribution and
- Electrical and contractor supply industries
Why does Route Optimization matter?
Route optimization is important because 89% of customers who have had a poor customer experience go to a competitor.*
If you only have 1 – 2 trucks making deliveries, then route optimization automation may not be critical for your business. However, if you’re interested in offering the best customer experience and making the best use of your resources; then route optimization automation cannot be overlooked.
Costs to consider in Route Optimization
Labor costs of drivers, admin personnel and fuel costs must all be factored into Route optimization costs.
Processes that are included in Route Optimization
Some examples of Route optimization processes include:
- Truck loading and route planning
- Physical delivery of the product and
- Route reconciliation for inventory and payments collected at the end of the day.
Route Optimization automation for Sage 100 with xkZero
xkzero Mobile Commerce (XMC) for Sage 100 allows you to automate mobile proof of delivery for orders managed within Sage 100. It also integrates Route sales and Direct Store delivery.
xkzero can also allow you to manage the following services:
- Assets and Equipment Management
- Merchandising and marketing
- Full survey application
- Photo tags
- Mobile printing and email
- Full support for lot distribution, and serial capabilities.
The xkZero Route Optimization automation capabilities include:
- Defining unlimited routes
- Dynamically assigning routes by zip code or other delivery address criteria
- Maintenance of delivery addresses in the ERP system
- Dispatching orders for delivery by origin warehouse
- Deciding the most efficient route in a matter of seconds
- Optimizing routes during the planning stage
- Estimated service times as well as recommended and required break schedules
- Overriding the delivery time window restrictions for each customer, the estimated service times, and more.
Once the route plan is created, drivers can reoptimize routes throughout the day. Additionally, when the driver makes a change to the routes, the customer service team can see those changes online.
How does Route Optimization automation for Sage 100 work?
In Sage 100, you can manage all of the data around customers, items, sales orders, pricing rules, taxation, and warehouses. Additionally, you’ll process all your invoices and payments for completed deliveries in Sage 100.
In the XMC Web portal, you can do the following:
- Establish route parameters
- Manage route planning
- Enjoy order management capabilities
- Dispatch orders to trucks
- Automate truck loading and unloading
- Reconcile routes and view any updates to the route activities.
The web portal and Sage 100 are interconnected using Sage 100 web services (built by xkZero). So, you have full control over the passing of any information between Sage 100 and xKZero Mobile Commerce.
XMC Mobile App – This app is useful for the driver to perform all of his/her daily activities in the field to successfully serve the customer.
The mobile app activities include:
- Route plan optimization
- Completing deliveries
- Capturing proof of delivery
- Processing returns
- Taking payments
- Printing mobile receipts and more
To watch a demo of xkZero, please watch the video below (starting at 13:39)
Next Steps
To schedule a personalized demo for your business, please contact us via our website or call us at 413-367-9202 today.
About CTO Associates
Whether you’re looking to restructure your accounting operations, resolve inventory issues, quit using MS Excel spreadsheets for reporting; or find a replacement for your old accounting system, we’d love to talk with you.
Our team has combined experience of over fifty years in a wide variety of industries. We have a CPA, a senior financial consultant with a background in international operations and financial analysis, and experienced bookkeepers and consultants to assist your growing business. From entity formation to bookkeeping to Consulting Controller / Chief Financial Officer.
At CTO Associates, we provide accounting and manufacturing software solutions to manufacturing, distribution, and service businesses. We have clients in MA, CT, NY, and across the US. We look forward to connecting with you soon.
* According to research done by Sage
Image Source: Recorded demo by xKZero about Route Optimization