Scheduling Achieving the Positive Ripple Effect
Author - Rachel
- July 1, 2002
Part 3: An Illustration
example shown below of a national truckload carrier illustrates perfectly
benefits described in Part Two. Particularly noteworthy is the additional
capacity made available through decreased waiting time.
a carrier who drives 1 billion miles per year, based on their number of
tractors, each tractor currently drives approximately 2,072 miles per
the wait time figure of 33.5 hours per week (cited from the National Dry
Van Drivers Survey) the total number of miles that could be gained from
eliminating wait time could be determined. However, as it is not feasible
to eliminate wait time completely, these figures are then divided in half
to present a more realistic picture. If wait time could be reduced to
17 hours per week, each tractor could gain an additional 32,160 miles
additional miles per tractor, even when adjusted for overhead, carry a
significant profit potential.
the figures calculated above it can be determined that an additional 32.3%
capacity could be gained for an astounding 323 million mile increase for
this carrier overall.
capacity utilization translates to lower rates for shippers and receivers
and improved carrier relations. By improving appointment scheduling through
the type of system outlined above, dock operations become more efficient
and wait time decreases, bringing about the benefits illustrated here.
is Part Three of a three-part article on appointment scheduling. Part
One discussed the problem, Part
Two proposed a solution. This part is an illustration of the proposed
appointment scheduling is often filled with miscommunication and frustration
for shippers, receivers and carriers, there are great benefits to be gained
from the diligent pursuit of an efficient scheduling system. Real-time
communication can help to minimize loading and unloading delays, providing
a revenue benefit to carriers and increase driver satisfaction. Increased
benefit to carriers can translate to lower freight costs for shippers
and receivers and minimized detention charges.
a centralized repository of order information, linked to shipments and
appointments, promotes the adherence to delivery schedules required by
Purchasing. In the end, when best practices are employed in appointment
scheduling, distribution is streamlined, inventory is maintained at optimal
levels and product is available to the end customer when it is desired.
Advantages from appointment scheduling SKU level visibility, supplier
compliance, access to historical trends, decreased freight rates and greater
resource utilization equate to a powerful competitive advantage in any
industry. Efficient dock scheduling, achieved through an Internet appointment
scheduling system, can create a ripple of benefit across supply chain
departments that cut costs and bring advantages to all.
Nemecek is a Senior Business Analyst at Elogex, Inc. a collaborative logistics
software provider (www.elogex.com)
and has several years of industry experience in supply chain operations
and application development. Her background includes supervisor positions
in export operations and international trade logistics at Schenker International
and E.Boyd & Associates. Nemecek has a deep operational knowledge in all
forms of transportation - road, rail, ocean, and air and several software
methodologies including the Rational Unified Process. Nemecek graduated
with Honors from the University of North Carolina at Chapel Hill.