| The value of time window management |
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Time is of the utmost importance in logistics. Time can even be the decisive factor for efficiency and effectiveness of the supply chain. The Just in Time concept for example, successfully streamlined the inbound logistics for production companies. Service lead times are another well known element in logistics. Agreed service lead times can force choices in the supply chain processes which are not necessarily the most cost effective or environmentally friendly. A less known, but very relevant, time related aspect is waiting hours on terminals. These can seriously effect the productivity of the driver, resulting in higher costs. New technologies like GPS with traffic information based on information from mobile phones, can now more accurately predict the actual time of arrival at the terminal, allowing the terminal to work more pro-actively. Studies from Prof. dr. J. van Nunen from the Erasmus University in Rotterdam show that this can reduce waiting hours at the terminal with up to 1 hour. A fourth aspect of time-management relates to the increase in e-shopping and the impact on home deliveries. Stricter control of time windows results in happier consumers as well as more efficient logistics. Using the right financial incentives, the supplier can steer the consumer to pick those time slots which will improve the utilisation of the delivery van and at the same time reduce the mileage to be driven for all deliveries. R&D at MP Objects shows great opportunities for new Supply Chain Portals for Interactive Time Window Management between customers and suppliers.
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