decentralized freight intelligence in the parcel delivery ... · paul buijs. 22-8-2019 | 2...
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Decentralized freight intelligence in
the parcel delivery industry
Rosemarie Cramer
Paul Buijs
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Traditional planning approaches
Centralized planning approach Decentralized planning approach
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Decentralized freight intelligence
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Decentralized freight intelligence
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Route efficiency vs situational awareness
› Goal: more efficient
operations for more driving
time
› Challenge: Drivers lose
some situational awareness
Loading
process
Way up
First to last
stop on-
route
Break
Waiting
time
Way downUnloading
process
16,85%
58,43%
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Experiment
› Field experiment in real-life operations
an international parcel delivery
company▪ 2 drivers – each six days in total
- 1 time benchmark
- 2 times some information
- 2 times more information
› Measure: search time
Segments LIFO
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Search times as % of stop time
(i) benchmark
5.23%
94.77%
15.11%
84.89%
5.55%
94.45%
(ii) segments (iii) LIFO
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Search time distribution over the trips
0:00
0:17
0:35
0:52
1:09
1:26
1:44
2:01
2:18
2:36
2:53
1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35 37 39 41 43 45 47 49 51 53 55 57 59 61 63 65
Sea
rch t
ime
(m:s
s)
Parcel (chronological)
0:00
0:17
0:35
0:52
1:09
1:26
1:44
2:01
2:18
2:36
2:53
1 4 7
10
13
16
19
22
25
28
31
34
37
40
43
46
49
52
55
58
61
64
67
70
73
76
79
82
85
88
91
94
97
100
103
106
109
112
Sea
rch t
ime
(mm
:ss)
Parcel (chronological)
(ii) segments (iii) LIFO
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Decentralized intelligence
› Trade-off
▪ Efficiency gain by utilizing loading
time for driving
▪ Efficiency drop by loss of situational
awareness
› Use of decentralized information
▪ Efficiency drop can be mitigated
already with very little information
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Volume capacity
2% 2%
5%
11%
27%
24%
18%
8%
2% 1% 0% 0% 0% 0%0%
5%
10%
15%
20%
25%
30%
% o
f to
urs
No. parcerls per tour
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Efficiency gains
› Goal: More efficient operations ->
more parcels per vehicle -> less
vehicles on the road
› Means: use loading time for
driving, provide drivers with
information
› Routing constraints
▪ Total driving time constraints
▪ Volume constraints (no. of parcels
per vehicle)
No. of parcels per vehicle
Some information (segments)
More information
(LIFO)
160 86.8% 77.2%
155 88.7% 78.9%
150 90.4% 80.4%
145 92.9% 82.6%
140 97.1% 86.4%
135 104.6% 93.0%
130 110.1% 98.4%
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Key take-aways
› Decentralized freight intelligence may result in loss of
situational awareness, but this can be mitigated already
with very little information
› Reduction of 20% in the number of vehicles is feasible
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