- 14% average reduction in driving time
- 26% increase in parcels per shift
- Post-COVID-19 fleet and contractor increases reduced
Rapid and massive growth in eCommerce is straining national supply chains across the world. To cope, many parcel and courier organisations are scrambling to find contract drivers and boost their fleets in flexible but costly ways. With volumes currently near the holiday seasonal peak, organisations are looking for long term strategies and technology to help them navigate this ‘new normal’.
This major national postal organisation was introduced to Adiona through the Telstra Partnership network. As a Telstra-backed company, Adiona has access to a wide ecosystem of Internet of Things (IoT) hardware, software, telematics, and managed services. In this case, it gave Adiona direct access to software integrations into the leased scanners and mobile devices from Telstra, and implementation support for Telstra-backed data systems.
The organisation was initially skeptical because they’d worked on a number of efficiency programs in recent years with underwhelming results. The projects often relied on imperfect and inconsistent data, and other optimisation systems require a commitment to very large integration and cleanup activities with a high initial capital expenditure.
Adiona was able to extract sufficient data quickly and automatically detect errors and inconsistencies. This allowed the team to ‘spot fix’ the important issues and quickly move on to a more detailed analysis. The FlexOps Diagnostics engine was able to map the process of goods flowing through the distribution centres and benchmark the efficiency at key stages. This resulted in a prioritised list of efficiency opportunities, ranked by their potential ROI and their speed and cost of implementation.
The top 2 opportunities both led to double digit efficiency improvements in key areas with only 8 weeks of implementation work. The first initiative used the FlexOps API to parse booking information into automated sorting assignments for different territories. This allowed cross-utilisation of separate fleets and an overall delivery drive time reduction of 21% once implemented. The second initiative used the FlexOps API to automate the distribution and correct ordering of parcels as they are packed into the vehicles, leading to a 26% increase in parcels per shift run.
Post Covid-19, the value of FlexOps has increased even more. eCommerce is continuing to grow and requires constant innovation to create sustainable solutions. Adiona’s technology allows this organisation and others to continuously improve their efficiency using new techniques, increase efficiency, reduce KMs and fuel costs, and contribute to environmentally responsible provision of transport services.