Let's Explore the Power of Dynamic Routing Software!

dynamic routing

The greatest thing that any company can hope to achieve is to surpass the expectations of their customers. 

However, businesses across multiple industries face a constant, sometimes everyday struggle. They are trying to provide stellar customer service while also increasing bottom-line profits. Sounds like it should be rather simple, right? 

Well, in actuality, there is a very fine line between the two and walking it requires a good deal of balance. That balance takes a certain level of planning, dedication and plenty of communication.

Fortunately, there is a piece of software that helps shippers to achieve this goal. This software platform is the dynamic routing system. And in this blog post, we are going to discuss how a well-built dynamic routing platform can help you find that balance.


What is Dynamic Routing?  

Today's consumers have high expectations for the companies to whom they choose to give their patronage. Honestly, as technology consistently advances, people almost expect instant gratification.

Whether it's being able to access files and data from their mobile phones or receiving notifications that their delivery is 15 minutes away, technology gives customers what they want. And it does it with lightning fast speeds. The dynamic routing platform permits businesses to realize increased on-road efficiency, improved communication with customers, and reduced errors in deliveries.

This revolutionary software is comprised of multiple independent systems or software that are all tied to one another. These systems include things such as blockchain technology, communication systems, and an array of complex mathematical algorithms. These systems can be further customized by the shipper to include personalized features that make the most sense for their company. While installing these systems are easy enough for a novice user, we recommend working with an experienced 3PL to ensure proper integration.

Once installed and configured to meet specific needs, the dynamic routing system is ready to replace all that manual route planning!

From there, it is just a matter of learning to use the system.


What are the Top Benefits of Using Dynamic Routing Software? 

There is absolutely no use in swapping out an old, outdated system if there isn't a good reason and benefit for doing so, right?

Here are a few of the biggest benefits that come along with the integration of a dynamic routing platform...


Improved Route Efficiency  

It's often assumed that delays such as construction, traffic, or other road-related issue are out of the control of a delivery company.

Okay, well, carriers and shippers can't actually control those things, but they can take proactive steps to work around them. Things like GPS tracking and real-time on-road performance reports are essential for doing just that. These tools allow you to reroute shipments on the fly as soon as you receive a road closure or weather alert.

These communication and reporting abilities allow dynamic routing platforms to send instant notifications to the carrier, dispatcher and/or customer. By keeping everyone in the loop creates a sense of security and peace of mind.

And if you want to improve your customer's experience, we hear that security and peace of mind go quite a long way!


Increased Stops Per Hour 

Everyone in the logistics industry uses certain metrics to measure the success or failure of their operations. We often refer to these as Key Performance Indicators (KPI).

One of the most important KPIs to monitor is the carrier's amount of stops per hour. The more stops they are making, the longer the customer is going to be waiting on their goods.

By using a dynamic routing software platform, delivery companies can monitor their overall stops per hour. This is to ensure that the carrier stops when scheduled, but keeps moving efficiently when back on the clock.


Reduced Operational Costs 

Another important KPI to keep a close eye on is the overall operational costs. Vehicle maintenance, fuel costs, and keeping drivers paid are some of the most important entries in a company's budget.

To help shippers manage this a bit better, dynamic routing software can even print out the reports. From this dashboard, operation managers, fleet managers, and even delivery drivers are able to review their on-road performance. Having the ability to glimpse into service records and on-road performance reports can help them set goals for themselves. There is nothing better than a self-starting worker!