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    Freight Forwarding Optimization

    Supply Chain Logistics

    An algorithmic approach to determine an optimal assignment plan for the fastest turn around.

    About the customer

    A global shipping giant with headquarters at an important port hub who catered to the freight needs of multiple shipping agencies around the world.

    Business Problem

    The client needed a solution that could further optimize the freight shipping processes among its several liners.

    • Assign shipments optimally from Point of Loading (POL) to Point of Discharge (POD) among various liners (shipping agencies) available. The assignment should include details for each route with cost and lead time for 40 ft HC containers.
    • Determine an optimal assignment plan that enables a) Fastest shipping of containers. b) Cheapest shipping of containers. c) Combination of both.

    Our Approach

    ORMAE arrived at the right solution taking into account these factors:

    • If the demand for a route is more than 50 containers, they will be divided amongst at least three liners to minimize risk.
    • The liner is given weekly capacity constraints (region wise and port wise).
    • The number of liners assigned per given port.
    • The output of the custom algorithm informs the user the priority of freight demands (based on liners available, routes, cost, lead time and/or a combination of all based on user preference).

    The Result

    The solution that ORMAE architected for the freight client recorded immediate cost savings of 5% in the initial phases of the project, with a scope for further savings as the freight load increased.

    Get in Touch

    Have a project in mind?

    Looking for collaboration?
    Send an email to bd@ormae.com
    for availability and enquires.

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