Metro Cash&Carry is one of the world's largest retailers. It is an international network of wholesale and retail stores in 31 countries employing over 255,000 employees and making more than 3,000 deliveries daily.
The company’s annual turnover is €63bn, and as the number of stores and sales continues to increase, the delivery segment has been growing by up to 20% annually. Now, Metro Cash&Carry has turned to LEAFIO Rinkai TMS to optimize its routes in the Czech Republic and Slovakia.
Metro Cash&Carry’s requirements
When the volume of certain deliveries exceeded 100 orders per day in a single store, the company faced the challenge of creating an optimized delivery route plan. An efficient logistics organization was needed.
The following goals were set:
- Increase the number of deliveries without also increasing the number of vehicles;
- Ensure timely deliveries, including scheduled maintenance;
- Optimize transportation routes as well as their generation while considering existing orders;
- Optimize driver movement and route navigation;
- Analyze the delivery of goods in real-time.
At the end of the day, after a demonstration of the workflow and the first simulations with the data, Metro Cash&Carry opted for the LEAFIO Rinkai TMS system.
The project implementation process
During the project, a transparent algorithm for working with orders was created. It includes:
- Creating optimal transportation routes based on existing orders;
- GPS tracking, driver navigation along the route;
- Automated delivery of routes to the driver;
- Online logistics monitoring of route execution.
Implementation results
- Increase in the number of deliveries while avoiding increases in the fleet size
Even an 11% increase in sales in the first 6 months did not require additional vehicles, as the automated planning process ensured maximum efficiency of vehicle utilization.
- Significant increase in logistics efficiency through accounting for warehouse capacities and time slots.
Each transportation route was created with all restrictions in mind, which minimized driver downtime at the destination and enabled the fulfillment of more orders in the same time frame. Additionally, automatic route delivery to the driver was also set up.
- Significant improvement in the level of control over route execution through the use of GPS monitoring
Dynamic route planning has been fully automated and now only takes 30 minutes. Using the system has reduced the workload of logisticians and minimized the impact of human errors.
- LEAFIO Rinkai TMS's unique algorithm has also reduced the negative impact on the environment
More mileage means more emissions, but by reducing the total mileage, LEAFIO Rinkai TMS managed to reduce the associated air emissions.
- Easy tracking of orders or drivers
Since managers receive the intuitive analytics module, orders and drivers can be easily tracked. Therefore, interactions with carriers are now transparent, and decisions are founded on accurate information.
We are tremendously grateful for the trust placed in LEAFIO by Metro Cash&Carry. We are confident that with the acquired tools, Metro Cash&Carry will only continue to increase the number of quality deliveries.
