Tips to Reduce Fleet Costs
- Lucas García
- Jul 11
- 2 min read
Since transportation costs typically account for between one-third and two-thirds of total logistics costs, improving efficiency through maximum utilization of transportation equipment and personnel is a major concern. A common decision-making challenge is reducing transportation costs without compromising the level of service to our customers.
To achieve this goal, we'd like to share some tips that might be helpful in optimizing our fleet and distribution routes:
The route should be designed around a group of stops that are as close together as possible to minimize the total travel time on the route: Truck routes should be formed around groups of stops that are close together to minimize travel time between them. This also minimizes the total travel time on the route.
Start the network at the furthest point: Efficient routes can be developed by building stop clusters around the furthest stop from the depot and then working back toward the depot.
The sequence of truck stops should avoid intersections: Stops should be continued in such a way that no road on the route crosses, and the route appears to be teardrop-shaped.
The most efficient route should be built with vehicles of the greatest capacity: Ideally, using a vehicle large enough to handle all stops on a route will minimize the total distance, or time, spent serving the stops. Therefore, the largest vehicles should be assigned first, from among the multiple sizes in a fleet, provided they can be utilized well. The transport unit used should be tailored as closely as possible to the amount of cargo to be transported. If the unit is too large and there is excess space, costs will be incurred to transport air in the empty spaces.
Trips with empty cargo only generate additional costs (usually on return trips). Any combination that allows the return trip of the cargo-laden cargo to be completed will improve logistics costs.
Loads to be removed should be picked up during deliveries: Pickups should be made, as far as possible, during deliveries to minimize the number of roads crossed, which can occur when these stops are attended to after all deliveries have been made.
Overutilization of the system leads to its destruction over time. Loading more than the transport unit can handle, traveling at speeds greater than permitted, or operating it without maintenance stops will destroy the transport unit over time.
Carbon footprint reduction: CO2 emissions can be reduced in transportation through smart and optimized resource utilization, achieving savings of between 10 and 15%, generally without significant investment. The use of alternative energy and emission reduction programs can contribute to this goal, in addition to strengthening our company's corporate image.
Putting them into practice can make the difference in our company's continued competitiveness in an increasingly demanding market that focuses on those who offer the highest quality of service and reliability at the lowest possible cost.
Engineer Lucas Maximiliano Miranda Vidal