Streamlining Supply Chain Demands and Milk-Runs.
POS Malaysia has a track record of over 200 years that transcends traditional postal services. POS Malaysia's services include supply chain solutions with the largest delivery and touchpoint network in Malaysia. To maintain and grow their client offering, POS spoke to Custella about a system that can improve the efficiency of their milk runs.
Custella proposed their Transport Management Application as a solution. The app plans, tracks, and reports on vehicles and load locations. It can assign consignments based on location, travel time, capacity, and availability. Using predictive algorithms, the Custella app is able to automatically optimize the route, considering scheduled appointments, location, availability, and priority. It even factors in buffer times such as traffic stops, as well as route restrictions, to ensure the delivery arrives on time.
Custella is able to contribute to an improvement in customer service levels by:
• reducing fault response times
• minimizing empty milk runs
• improvement in SLA compliance and adherence
• providing visibility of route performance for analysis
In addition to the above, Custella provides improved system reporting, reducing manual reporting and the associated errors and delays. In addition, notes, photos, and digital signatures were linked to existing systems to provide a better overall view of delivery status and progress on a real-time dashboard.
Vice President, Jaffilous B. Janan, said that Custella would be a great fit for organizations with 1PL, 2PL, or even 3PL case studies.
"For some time now we've been contemplating trucks that either carry very little to no cargo. To meet our client's criteria of variable supply-demand, we've had several instances of trucks following their milk routes despite there being no demand. The consequence: we're being billed routinely for these empty trucks even when there is no demand. Alternatively, we have periods of ad-hoc, short notice demand but no trucks to fulfill these deliveries since they are out on their preassigned milk runs. These inefficacious circumstances led to us being penalized as per the service level agreement (SLA)."
"We've seen a strong potential in the use of Custella to maximize the efficiency of our milk-runs. With the use of Custella's fleet planning, there could be a significant reduction in the losses incurred by empty runs, and we can look towards improving our SLA performance by about 43%. All these factors tie-in notably contributing to increased savings," he said.
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