Industry:
Home Delivery , Non-Food Retail
Categories:
Operational routing and scheduling , Benefits reported , Large operation
General goods retailer Argos has implemented Paragon routing and scheduling software to improve efficiency in its multi-DC home delivery operation, involving 550 trucks making 15,000 deliveries a day, quickly achieving productivity improvements and mileage reductions.
Convinced that better use could be made of its vast fleet and 10-strong planning team Argos Direct conducted a series of comparison tests to replace its previous planning system, pitting Paragon against competitor systems. In addition to efficient transport plans it was looking for reliability and scalability - the operation involves the delivery of orders from 650 Argos stores, 34 million catalogues and millions of online shoppers. Paragon was selected and rolled out across all 30 depots.
Argos Direct uses three Paragon systems in two shifts at its national operations centre in Stafford to automatically route and schedule the entire fleet. In addition to the improved efficiency of these routes, Argos Direct has noted the positive impact of Paragon's maps on actual delivery performance. By using NAVTEQ's street level data, Paragon's routes automatically take account of factors such as one-way roads and turning restrictions which is vital to ensure routes are practical and delays are avoided.
"In a large business such as ours, the performance gains that Paragon gives us - such as improved miles per drop, improved hours per drop and improved vehicle utilisation - represent a substantial financial saving," says Ian Anderson of Argos Direct. "At the same time, Paragon has had a tangible impact on the quality of our customer service. Its schedules are more accurate and consistent which is a huge bonus for home delivery, enabling us to improve delivery to timeslot."
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