Papyrus is viewed by many as a trailblazer in the paper wholesale industry. With trip planning, however, the company has devoted itself toward leading a sector. Optimization has the potential to become their defining competitive advantage and set the company apart from market entrants and incumbents alike.
Leading paper wholesale trader Papyrus has managed to reduce the number of trips and, in so doing, decrease their carbon footprint by nearly 12% per day without sacrificing performance. The company wouldn’t have been capable, however, without first leveraging centralized supply chain optimization software from PTV Group.
Such logistics systems are constantly being put to the test because of macroeconomic conditions, ever-changing customer preferences, increases and decreases in order quantity, delivery delays, time window restrictions, and unanticipated traffic conditions. The intelligent use of all resources offers stability and security for not only Papyrus, but also for any firm that is not, first and foremost, a supply-chain company.
That said, the more efficient and tailored the trip planning software, the more flexible companies like Papyrus can be in meeting the expectations of local and global consumers.
Initial decisions about vehicle size, type and equipment required enable the decision-making process to flow almost automatically, which frees time-constrained employees to think more long-term and strategically about their business.
Centrally and smartly planned
For Papyrus, a crucial step towards optimized trip planning was the standardization of the processes and the concentration of trip planning around a central hub, which compares to their previous operational approach around regional segmentation.
Short communication paths today result in fast internal decisions and quicker re-routing on roads to the destination. Papyrus tailored their software to focus on increasing flexibility around searching for solutions versus executing strict logistics routines.
The roll out of state-of-the-art trip planning software has been instrumental to the success of optimized trip planning and positive customer experiences at Papyrus since the initial roll-out in 2016.
PTV software automatically plans orders for optimized trips around the world. All master transport-data and individual delivery requirements are taken into consideration, whether on a daily or weekly basis as well as mixed-origin or depot-based orders. Additionally, the software also enables direct-to-consumer routing. Its introduction was supported by experts from the PTV Group and tailored, still further, to changing requirements from Papyrus. Influential in this was the considerable experience of the logistics specialists, who helped to plan and optimize anything that moved people, parts, and equipment worldwide, or transport routes, sales structures, and private and public transport.
Papyrus decided to work with the PTV Group because it offers the flexibility, know-how, IT intelligence, and integration to their SAP-based inventory management system.
In the following interview, Florian Fassnacht, Account Manager of PTV Route Optimizer, spoke about the advantages that using state-of-the-art trip planning software offered the paper wholesale trade and its customers.
Company logistics builds bridges between products and customers. Physical transport can be a catalyst not only for processes but also for bottlenecks. How can companies in the paper industry further optimize their processes through software-supported trip planning?
Fassnacht: “Companies can use software-supported trip planning to improve the capacity of all of their resources. This saves time and money. By taking into account all of the order information relevant for planning, trip planning software can prioritize orders and get around the often-tight delivery timeslots in the paper industry.
The results can also be distributed across the company as a visual display of each department. With Trip Display, the dispatcher, sales and customer service always have a view of trips, unloading points and unloading times, as well as the vehicles used. Deviations can be reacted to with appropriate speed.”
What benefits does state-of-the-art trip planning offer customers?
Fassnacht: “In comparison with manual planning, trip planning software produces optimized trips – in terms of the order, amount, duration and length – within less planning time. The reduced planning time means faster results. Companies can use this time saved to offer their customers longer order windows. Timely pick-up ensures precise delivery commitments, which, in turn, improves service quality.”
People are talking more and more about “smart mobility”. What does this mean?
Fassnacht: “To meet today’s needs, trip planning is increasingly evolving into real-time planning. Drawing upon the latest traffic situations, cloud-based services actively provide information about the estimated times of arrival (ETA). This leads to intelligent networking, which facilitates real-time interaction with all the links on the transport chain, up to the customer. The buzzword ‘smart mobility’ essentially means speed and punctuality, while maintaining a high level of quality and considering aspects of sustainability.”
Does smart mobility contribute to a sustainable environment and climate protection? Are there any reliable figures?
Fassnacht: “Optimized trip planning basically helps you to reduce mileage. CO2 emissions can be calculated accurately using a special calculation method through our trip planning software, PTV Route Optimizer. These product properties, for example, helped our Dutch customer, De Mandemakers Group, to win the Lean & Green award with a commendation for the large savings made. In the Papyrus example, savings of up to 12 percent per day were achieved in comparison with the earlier standard trips.”
How does the implementation process of trip planning software typically work in the company?
Fassnacht: “Our experts provide implementation assistance from the very start. Our services include installation and integration with previous systems, in addition to user workshops. The goal is to enable all users to work with the system independently. We also offer comprehensive project assistance, and support for strategic planning and data processing.”
What is the minimum size of a company and fleet for trip planning software to be worthwhile?
Fassnacht: “The use of trip planning software should not rely purely on numbers. It is important for the entire project to be assessed. It is also critical to look at the advantages for every company, dispatcher and customer individually, such as cost savings, utilization of capacity, better quality of deliveries and finally, satisfied customers. We can then work together with our customer to be successful in carrying out the stated goals.”
Information in real-time
After optimizing the trip planning process as well as increasing transparency in the decision-making process on behalf of Papyrus, the team at PTV Group took one more step in optimizing rout planning within the company by implementing modern telematics. This means that in the near future, drivers will have real-time data on changes to their trip planning (i.e. due to traffic jams) as displayed on the vehicle’s navigation system.
Using telematics, track-and-trace systems facilitate the continuous and ongoing optimization of trip planning through a daily target-versus-actual comparison without the driver having to stop and correct routing based on limited information. The focus, then, is to make lasting improvements within the communication system as it directs drivers, dispatchers, sales, and customers.
Faster, more flexible, more secure
Sustainable logistics optimization continues to open a world of possibilities for Papyrus customers.
The leading paper wholesale trader can react promptly to particularly urgent customer demands and proactively supply customers with information in real-time. The centralized coordination of the product flows allows for optimal interaction between Papyrus warehouses and, therefore, boosts productivity while simultaneously freeing capacity for more orders and more revenue.
This increased flexibility and punctuality of deliveries ensures maximum planning efficiency, and is reflected in online tracking updates, delivery receipts, and on-site documentation being captures should an issue (i.e., damage to goods) occur.