Lisburn Fuels is a leading regional distributor of fuel oils to a domestic, industrial and agricultural customer base.  To help ensure an efficient delivery service in a competitive market and minimize fuel, running costs and CO2 emissions, Lisburn Fuels has implemented Optrak’s vehicle routing software.  The distributor has seen an immediate improvement in efficiency leading to a 20% increase in its delivery capacity without changing the fleet.

 

Business challenges

Lisburn Fuels operates six vehicles that deliver home heating oil, agricultural diesel and road diesel.  Each vehicle has compartments with different capacity limits.  Planning was carried out manually which was time consuming and did not consider orders that were due for delivery later in the week. The process had to take into account the relevant compartment capacities and customer locations and it was becoming an increasing struggle.  It was also unclear how efficiently resources were being deployed.

 

We knew that without a radical change to loading and routing we couldn’t grow our delivery capacity.  We were attracted to Optrak’s vehicle routing software as it has unique functionality for dealing with compartments.  We gave Optrak two days of our operational data and the results clearly showed a strong business case for the investment even though we have a relatively small fleet.  After using the software for some months the results have been impressive with a 20% increase in our delivery capacity, whilst minimizing our fleet running costs and the impact that we have on the environment, all of which are central to the company’s long term performance.”

Steven Frazer, Managing Director of Lisburn Fuels

 

Daily planning

Lisburn Fuels promises to deliver all orders within two to three working days.  The company also provides a 'priority’ service for urgent customer requests.  Orders are considered “can-go” up until the day before the last possible delivery date, and “must-go” on the final day of the delivery window.

 

Since going live, Lisburn Fuels has been using Optrak to plan daily routes and loading schedules.  When using Optrak, the planner first looks at the available vehicles and drivers before checking what and how many orders have to be delivered over the next few days.  Orders are color coded in Optrak to differentiate can-go and must-go status and displayed against the Navteq digital map.  This gives a clear picture of the geographic spread and density of their delivery commitments, before they use Optrak to build an initial set of routes and loading plans.

 

It takes just minutes; even though it is taking into account weight and volume limits of each vehicle and compartment. 

The time that is saved by routing with Optrak can now be spent on other customer service activity”

Steven Frazer, Managing Director of Lisburn Fuels

 

Boosting vehicle and compartment utilization

Lisburn Fuels then spend a short period of time refining the results, for example, to swap drivers onto particular trips.  Optrak automatically routes all of the must-go orders and adds in as many of the can-go orders as possible - during peak times as many as 30% of orders have a can-go status.  This process boosts vehicle, driver and compartment utilization.  By adding optional deliveries to those vehicles already committed to meet the must-go orders, Lisburn Fuels is able to achieve significant productivity and cost benefits.

 

Once routes have been finalized, a customized trip manifest report is printed for each driver.  Optrak produces a loading report so that drivers have a clear visual summary of the products that need to be loaded into each compartment.  The transport office also uses an Optrak report showing volume utilization per vehicle and this helps identify which drivers could potentially do urgent deliveries.  The trips are automatically uploaded back into Lisburn’s ERP system to update the customer records so that the customer service team have all the information they need.

 

Tankers are often loaded over and above what is needed.  Some spare capacity allows Lisburn Fuels to fulfill same day requests and it is this responsiveness which is a key part of the company’s reputation for outstanding customer service.

  

Greater visibility and control

Optrak has given Lisburn Fuels greater visibility over its operations during the day, making it easier to deal with urgent same day requests, as the user can quickly see which driver is best placed to fulfill that order bearing in the mind the order quantity, product etc.

 

Optrak gives us a more global view of deliveries for the next few days.  We can now see clearly what can-go orders can be added to the must-go deliveries.  It is more convenient and cost effective to fulfill can-go orders as early as possible as it offers greater flexibility, we are making maximum use of our resources and it is better from a customer service point of view.  It has enabled us to minimize how much additional fuel is carried but will not be delivered which in turn cuts our distribution costs and reduces the impact that we have on the environment.”

Steven Frazer, Managing Director of Lisburn Fuels

 

Optrak’s industry expertise proves invaluable

Steven Frazer is pleased with the relationship that he has built with the Optrak team:

Right from the start Optrak demonstrated expert understanding of the issues and challenges that we face.  However, what really impressed me was their willingness, commitment and can-do attitude to making sure that the implementation met our exact needs.  The software itself is proven in a number of similar operations and it will help us to develop a competitive advantage in the heating oil market by minimizing our distribution and fuel costs and enabling us to deliver higher levels of customer service.  Additionally, the support and backup has been highly responsive.”

 

Other benefits for Lisburn Fuels include:

·         Minimized paperwork in the transport office

·         Improved efficiency and flexibility throughout the supply chain

·         Better management information and reporting

·         Easier access to important data to answer customer queries

 

Able to meet the needs of a smaller delivery operation

Lisburn Fuels is already looking forward to implementing Optrak Realization, a powerful add-on to Optrak’s routing software that incorporates real-time tracking, reporting, telematics and business intelligence and integrates with TomTom Work. 

 

Many routing systems were designed for larger fleets but Optrak was able to scale down to meet the needs of a smaller operation.  The software’s flexibility and design enable it to adapt to the specific requirements of the fuel industry and closely match our requirements.  It has delivered real benefits to us and has become integral to maintaining our service levels which is an important differentiator.  Additionally the investment has proven to be extremely cost effective when compared to the benefits that we have achieved, and we have seen a rapid return on our investment.”

Steven Frazer, Managing Director of Lisburn Fuels

 

Tim Pigden, Managing Director of Optrak commented, “Lisburn Fuels is a good example of a smaller fleet operator successfully using vehicle routing software to achieve benefits previously thought only to be accessible by larger companies.  By taking proactive steps to minimize its carbon footprint, Lisburn Fuels has reinforced its green credentials.”

 

The Optrak project has been incredibly worthwhile and we will see the benefits for years to come.  Not only are we saving time but we are getting more out of our fleet and achieving this with less planning effort. By increasing efficiency and vehicle utilization we can cope with our peak periods with ease and accommodate any future growth in order levels.  I would recommend Optrak to other small fleet operators. It enables you to work harder and smarter with your existing resources.  As a result we have an excellent foundation on which to grow our business based on reliable and proven technology.”

Steven Frazer, Managing Director of Lisburn Fuels