Goal of the analysis:
Maximize asset utilization and reduce empty miles by planning continuous moves or round-trip routes for trucks and trailers, thereby lowering transportation costs and improving driver productivity.
Data required:
- Historical load data (origin, destination, frequency, capacity utilization)
- Current driver schedules, shift lengths, and hours-of-service rules
- Fuel costs, tolls, and other operational expenses
- Network or lane overlaps (inbound, outbound, and potential backhauls)
- Seasonal volume fluctuations or demand surges
- Real-time visibility of available loads or digital freight matching options
Detailed step-by-step instruction on how to conduct the analysis:
- Aggregate Lane & Volume Data:
Compile shipment information by route, noting which lanes are frequently used, which have consistent backhaul potential, and any seasonality trends affecting load availability. - Identify Potential Continuous Move Sequences:
Look for route patterns where one truck can finish a delivery and pick up another load nearby. Match origins and destinations that align well to form a continuous cycle. - Evaluate Driver & Hours-of-Service Constraints:
Ensure route planning respects driver shift limits and rest requirements. Check if proposed continuous moves fit within legal driving windows or if additional staging is required. - Analyze Cost Savings & Asset Utilization:
Estimate reduced empty miles and associated cost reductions when trucks transition directly to a new load without returning empty.
Example formula:
Empty Miles Reduction = (Baseline Empty Miles – Optimized Empty Miles) - Consider Equipment Compatibility:
Verify that trailer type, load requirements (temperature control, flatbed, dry van), and regulatory constraints match across potential continuous move routes. - Pilot & Measure Outcomes:
Implement continuous move scenarios for a selection of lanes. Track changes in average load factor, fuel usage, and on-time performance to validate assumptions. - Scale & Integrate into Daily Operations:
If pilot results are favorable, gradually expand continuous move strategies across multiple regions or customers. Integrate with TMS or digital freight matching tools for real-time route adjustments.
Format of the output of analysis:
- A route map showing potential continuous move or round-trip loops
- A before-and-after comparison table for total miles, empty miles, and cost per mile
- A performance dashboard tracking driver utilization, on-time delivery, and cost savings
- A recommendations document outlining optimal lanes for continuous move programs and steps to scale implementation
How to interpret results:
- High Reduction in Empty Miles: Indicates a successful matching of backhauls or continuous moves, lowering costs significantly.
- Improved Driver Productivity: Suggests better scheduling alignment and less downtime, potentially enhancing driver retention.
- Limited Opportunities for Certain Lanes: May reflect a low volume of outbound or inbound shipments that match continuously, requiring broader network collaboration.
- Potential Equipment or Compatibility Issues: Could restrict full implementation if specialized loads or trailers cannot be easily transitioned from one route to another.
Steps a company can take to improve on this measure:
- Leverage TMS & Data Analytics: Use real-time data to identify feasible continuous move or round-trip matches, automating load assignment where possible.
- Engage in Collaborative Networks: Partner with customers or other shippers in shared regions to combine volumes and expand backhaul opportunities.
- Optimize Driver Schedules: Coordinate dispatch planning with hours-of-service regulations to keep trucks moving within legal limits.
- Promote Driver & Dispatcher Communication: Ensure dispatchers have up-to-date visibility of driver locations and availability, enabling quicker continuous move decisions.
- Regularly Review & Refine Routes: Conduct periodic audits to adjust continuous move strategies based on lane changes, new customer accounts, or shifting market conditions.
