Question & Answer
Question
Truckload Efficiency Calculation
Answer
Truckload Efficiency Calculation
Sterling TMS calculatesthe efficiency of each truckload based on the percentage of the shipmentweight that is on the truck for the duration of the shipment. Sterling TMS displays theefficiency rating on the Itinerary for each shipment.
Sterling TMS usesthe following formula to calculate the truckload efficiency for amulti-stop shipment that contains three legs:
(Leg 1 weight * Leg 1 distance)
+
(Leg 2 weight * Leg 2 distance)
+
(Leg 3 weight * Leg 3 distance)
? total weight
? total distance
Example of Efficient Route
The followingexample shows an efficient route.
Sterling TMS calculatesthe truckload efficiency to be 94 percent:
- The truck picks up a total of 40000 pounds at the origin.
- In Leg 1 the truck carries the entire 40000 pounds for 800 miles.This is computed as:
40000 * 800 = 320000
- The truck drops off 20000 pounds at a customer warehouse.
- In Leg 2 the truck carries the remaining 20000 pounds for 100miles. This is computed as:
20000 * 100 = 20000
- Sterling TMS addsthe values for each leg:
320000 + 20000 = 340000
- Sterling TMS dividesthe total value for the two legs by the total weight:
340000? 40000 = 850
- Sterling TMS dividesthe result from Step 6 by the total distance:
850 ? 900 = 94%
Example of Less Efficient Route
The followingexample shows a less efficient route in Sterling TMS.
The truckload efficiency is calculatedas 30.6 percent because most of the weight is dropped off within thefirst 100 miles:
- The truck picks up a total of 40000 pounds at the origin.
- In Leg 1 the truck carries the entire 40000 pounds for 50 miles.This is computed as:
40000 * 50 = 20000
- The truck drops off 20000 pounds at a customer warehouse.
- In Leg 2 the truck carries the remaining 20000 pounds another50 miles. This is computed as:
20000 * 50 = 10000
- The truck drops off 10000 pounds at a customer warehouse.
- In Leg 3 the truck carries the remaining 10000 pounds for 800miles. This is computed as:
10000 * 800 = 80000
- Sterling TMS addsthe values for each leg:
20000 + 10000 + 80000 = 110000
- Sterling TMS dividesthe total value for the three legs by the total weight:
110000? 40000 = 275
- Sterling TMS dividesthe result from Step 8 by the total distance:
275 ? 900 = 30.6%
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Document Information
Modified date:
08 December 2018
UID
ibm10752263