Good vehicle routing can play an important part in reducing your spend on logistics.
But, vehicle routing is a notoriously hard problem. And, adding in factors such as backhauls, continuous moves, and other sophisticated considerations make the problem even tougher.
IBM's ILOG Supply Chain group has invested heavily in the Transportation Analyst product powered by our own Transport PowerOps routing engine. This has allowed our users to explore transportation strategies they couldn't consider otherwise.
For example, besides routing a set of shipments, our clients have been able to better incorporate backhauls into their plans or determine the frequency of delivery to their stores.
Here is what Adrian Gonzalez of ARC Logistics Viewpoints reported on one of our customers:
Last week, I was briefed by Sterling Commerce on their software-as-a-service TMS. The main focus of the briefing was their new optimization capabilities, powered by ILOG’s Transport PowerOps (TPO) solution. According to Sterling, TPO offers improved capabilities over their previous optimization solution, including faster processing speed, multi-modal capabilities (including parcel), and improved route planning functionality.
Strong optimization capabilities can have a big impact on routing problems.