Today’s fast-paced logistics and distribution sectors require distribution management software (DMS) intervention to streamline operations, reduce costs, and enhance delivery. An important aspect of DMS is route planning. Companies – large, medium, and small – have started to focus on optimizing delivery routes as a competitive advantage.
Mastering your route planning with the help of DMS helps you fight the complexities of distribution network operations efficiently.
Here, we’ll take a close look into strategies that enhance your distribution routes, discuss the process, explore key factors to consider and understand the benefits of this DMS element.
The Importance of Route Planning
Route planning is simply chalking out the delivery routes that products or items take to and fro the whole distribution channel. It also includes the routes sales reps take to visit distribution points.
Not having an automated or advanced route planning tool will create the following problems:
Your sales reps will lose track of time or direction in visiting distribution points.,
Your inventory or distribution items might get stocked out
You may miss out on expected delivery targets
You may face unwanted losses or expenses
Your business productivity may fall drastically
All these problems are concerning issues that need addressing. To solve or avoid these troubles, DMS solutions are important.
How DMS Optimizes Route Planning
Normally, when businesses plan out routes, they create them based on predetermined conditions and factors. However, these strategies are mostly assumed, and without:
clearly defined territories,
properly managed resources,
cost analysis for multiple scenarios
Analyzing the daily routes
However, a DMS sets your route plans by:
Using real-time data insights
Monitoring sales team movements
Visualizing logistics, demand forecasts, and customer engagement metrics
Gaining real-time visibility into stock levels, locations, and sales team movements
Suggesting the ideal no. of sales reps to particular territories
Predicting the best days and best routes to visit stores/distribution points as per real-time data and GPS tracking.
Generating daily optimal routes
Creating customized reports on route plans and deliveries
Sokrio DMS, a local mobile and web-based software solution that helps retail brands achieve their sales and distribution goals in the FMCG, Consumer Goods, and Manufacturing industries, is a great example of a DMS that optimizes your route plan.
Factors a DMS Considers to Optimize Route Planning
There are numerous factors to consider when optimizing route plans for your business. And DMS solutions like Sokrio have the features to expedite this process.
The factors are:
Number of distribution points
The more points you have along your routes, the more resources and route tactics you might need to master your route plans. This is a key factor in helping sales reps and area managers set their schedules for deliveries and operations.
Territory or Location
DMS helps you track the precise location of stores/points via GPS so that you can set routes, prioritize visits, and select the right salesperson to do the job accurately.
Personnel Number
The number of sales reps or manpower will influence your route plan because of allocation issues. Less sales reps mean more area coverage by individuals while more means the opposite and potentially more face time with dealers/distributors.
Transportation Available
The number of available delivery vans/motorcycles/trucks at hand determines how timely and efficiently you can deliver goods to points along the routes.
Traffic
In a country like Bangladesh, this factor is by far the biggest. DMS considers traffic congestion and patterns to avoid delays in visits or deliveries. Effective GPS tracking and maps can create effective routes when combined with the ability to modify in real-time.
Day of the Week
A well-optimized DMS has data on sales rep or distribution personnel rosters and working hours to ensure fair and proper tracking. You need to look at how long your manpower is working on a particular day to ensure none of your routes compel them to work beyond their hours.
DMS also records and tracks the number of work days as well as holidays in creating optimized routes so that issues with unwanted or heavy traffic is minimized.
Key Benefits of DMS Route Planning
Enjoy the following benefits that DMS adds to your Route Planning:
Reduced operational & administrative costs
DMS significantly reduces your firm’s fuel consumption, possible vehicle wear and tear, and overtime costs by optimizing delivery or transport routes. Efficient routing ensures your sales reps avoid traveling unnecessary miles.
Also, setting the routes accordingly as per road conditions and days of the week helps to minimize delays and overtime.
Improves Efficiency & Productivity
Optimized and automated route plans reduce idle time on the roads. This minimizes drivers’ or sales reps’ fatigue. Selecting the most convenient days for particular routes creates better schedules, more realistic deliveries on time, and more visits. It also frees up resources to focus on other critical aspects of the business
Read about a local success story of Sokrio DMS where the brand increased scheduled outlet visits by 89% and boosted the sales & reputation of its client.
Enhanced Tracking of Sales Performance
An effective DMS software enables automated, real-time sales tracking which is a key element in better route planning. You can access data on sales personnel’s whereabouts along the assigned routes of their duty, allowing you to assess their performances and dedication. Eventually, that will help you plan out any major changes in the assignment of routes to sales reps.
Data Integrated Analysis
Data-driven insights to your route planning upscale your sales strategies. DMS integrates with your existing databases and systems and extracts data on:
inventory levels,
vehicle details,
manpower reports
Attendance and visit reports
Territory-wise distribution points
Order management activities
This ensures the software has all the necessary data to optimize route-setting effectively.
Creates Customized Reports
Automated and advanced DMSs like Sokrio’s enable you to generate reports to your specific business needs, offering relevant data and insights for informed decision-making. You can also turn complex data into easily understandable visualized presentations.
This empowers you to develop route plans derived from in-depth analysis and accurate trends.
Improved and Faster Decision-making
With so many features and benefits mentioned above, decision-making becomes easier and faster. You can trust a DMS solution to help you make the best decisions for your route plans and overall business.
Mobile Device Accessibility
One additional beneficial feature of a new-age DMS is its accessibility via mobile. This helps you view and create plans from anywhere, at any time, boosting productivity and timeliness.
Final Words
Mastering your route planning with distribution management software (DMS) is all about transforming the way your distribution networks operate in these times of tech advancements. By leveraging DMS, businesses can attain a competitive edge that optimizes route planning to boost their operations and sales.
With the right software and strategies in place, businesses can master route planning sustainably and build up a truly ‘Digital Bangladesh.
