Everything You Need to Know About Fleet Route Optimization

May 25, 2022


Everything You Need to Know About Fleet Route Optimization

Last-mile deliveries, supply chain, rental and leased cars, school buses, taxis and limos, and a host of other transportation-based enterprises all encounter recurring issues on a daily basis. One of the most challenging might be fleet route optimization.

To keep costs down and clients satisfied, managers must constantly juggle a driver’s scheduling and vehicle availability with time-efficient multi-stop route design.

Thanks to improvements in telematics and fleet tracking systems with routing capabilities, managers may now develop new route optimization tactics efficiently and quickly.

In this guide, we’ll break down the basics of route optimization for fleets; how they work, why they are beneficial, and how Zenduit’s proprietary telematics technology can help you implement better route optimization for your business.

What is Route Optimization?

The technique of determining the best cost-effective route for a given destination point while also taking into consideration all intermediate stops is known as fleet route optimization, or simply, route optimization.

Although it appears simple at first glance, fleet route optimization is more difficult than just locating the shortest route on a map; fleet managers must consider a variety of aspects.

The number of clients to be served on a given day and their locations, a thorough schedule of in-between stops, service windows, driver and vehicle availability, and freight management are just a few of these considerations.

Route optimization is a strategy that allows fleets to travel to their destination as quickly as possible while considering various driving factors along the way. Fleets use a variety of strategies to do this, but many rely on route optimization software.

Route optimization software uses algorithms, GPS, and traffic data to identify the shortest route with the fewest obstacles. It’s one of the most important tools in a fleet manager’s toolbox, and without it, fleets would be inefficient and unable to stay ahead of the competition.

How Does Fleet Route Optimization Work?

Most fleets employ one of three different strategies for route optimization:

  • Static Routing: With static routing, trip planners only adjust their drivers’ routes on a yearly or semi-annual basis. This strategy works best for longer-haul fleets or specific fleets that deliver on a predictable timetable every trip. These days, this is the least used form of route planning.
  • Dynamic Routing: Route planners use this strategy to adjust routes on a daily basis, taking into account traffic trends and historical data. This system is more modern since dispatchers can alter routes until the vehicle is loaded. This strategy is more likely to be used by organizations whose routes tend to switch up every day.
  • Real-time Dynamic Routing: This is the most common and effective approach to route optimization. Compared to standard dynamic routing, this strategy is substantially more current. Real-time dynamic routing evolves as new jobs are created or when traffic patterns shift while fleet drivers are on the road.

Typically, fleet route optimization uses an algorithm since there are too many parameters and variables to consider (such as traffic congestion, weather conditions, and so on). Simply put, computer science selects the best path from any number of routes across multiple destinations.

How Route Optimization Benefits Fleets

Route optimization provides real-time updates whenever a new order is placed or when one is canceled. It also automatically updates changing traffic conditions, such as accidents, road closures, weather events, or any other issues on the road.

Route optimization features can be easily integrated with fleet management software, allowing fleet managers to pick up new or canceled assignments and keep drivers up-to-date.

Integrating with fleet management software also allows the software to collect client data and keep track of past data sets. Route planning software relies heavily on historical data, which allows the program to generate a more accurate estimate of how long a journey will take.

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How ZenduiT’s Telematics Solutions Can Help

Telematics and routing software from ZenduiT’s might be the ideal answer for your fleet needs. Use our solutions to manage staff and access everything from real-time driver locations to current clients.

Our objective is to make route optimization for fleet managers simple and feasible. Contact our consulting team now to learn more about how our platform can integrate with your current business model, and how you can start improving your fleet’s routes right away.