Technology Category
- Functional Applications - Fleet Management Systems (FMS)
- Functional Applications - Transportation Management Systems (TMS)
Applicable Industries
- Retail
- Transportation
Applicable Functions
- Logistics & Transportation
- Warehouse & Inventory Management
Use Cases
- Last Mile Delivery
- Transportation Simulation
About The Customer
Tesco is one of the world's leading international retailers, with over 700 stores throughout the UK and Ireland. The company processes over 4,000 daily deliveries using a fleet of 1,400 trucks from 26 distribution centers. Tesco is committed to sustainable growth and has set ambitious sustainability targets as part of its corporate strategy. The company's delivery fleet accounts for almost a sixth of its total carbon footprint, and over the next five years, Tesco is working to reduce the CO2 created per case of goods delivered by 50%.
The Challenge
Tesco, a leading international retailer, was facing a significant challenge in its quest for sustainable growth. The company was dealing with the pressure of processing over 4,000 daily deliveries to more than 700 stores throughout the UK and Ireland, using a fleet of 1,400 trucks from 26 distribution centers. This delivery fleet accounted for nearly a sixth of Tesco's total carbon footprint. The company had set an ambitious sustainability target to reduce the CO2 created per case of goods delivered by 50% over the next five years. However, the increasing CO2 targets driven by corporate strategy and the growing number of deliveries were creating mounting pressures.
The Solution
To address these challenges, Tesco partnered with Aptean, a leading provider of delivery route optimization solutions. The company adopted Aptean's strategic planning solution as part of its sustainable distribution strategy. This solution was designed to optimize transportation operations and support Tesco's corporate sustainability goals. The solution provided strategic analysis capabilities for their corporate sustainable distribution strategy, optimized transportation schedules, balanced warehouse capacity and daily throughput limits from the distribution center, and provided a sophisticated planning resource to help reduce food miles and CO2 emissions. This partnership enabled Tesco to make significant savings and provided them with the resources needed to achieve their ambitious carbon reduction targets.
Operational Impact
Quantitative Benefit
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