1. COMMANDoptimize: Dispatch Optimization
Andrew Dyment
(905)

2. Session Objective
This session introduces COMMANDoptimize, our newest dispatch technology. In this course, attendees will receive an introduction to the concepts of optimization; the basis behind the ROI that can be achieved; and the challenges the industry faces to achieve more cost-effective use of their fleet. We will also cover the prerequisites necessary to get your company ready for optimization; the status of our progress in this discipline; and the future business intelligence vision this solution will offer. Owners, Comptrollers, General Managers, and Dispatch Managers will all benefit from this session.
MGT-001 COMMANDoptimize: Dispatch Optimization

3. Agenda Introduction Scan Name Tags Optimization Brief Primer
Dispatch/Logistics Optimization
Requirements to Implement
Changes to processes
Product development
MGT-001 COMMANDoptimize: Dispatch Optimization

4. Housekeeping Introduction
1.5 hour class MGT-001 COMMANDoptimize Introduction
Break 10 min
Evaluation
MGT-001 COMMANDoptimize: Dispatch Optimization

5. Command Alkon Optimization Teams
CmdSeries Product Development -Mandy Cherry -Wayne Silva -Eric Godsey -Kasthuri Kona -Jimmy Mbiye -Rajiv Verma -Sunita Bagga -Cindy Bishop
MGT-001 COMMANDoptimize: Dispatch Optimization

6. Command Alkon Optimization Teams
CmdSeries Optimization Service Team -John Kirkpatrick -Bob Berryhill -Amy Hughes -Bob Watson -Lisa Calamusa
MGT-001 COMMANDoptimize: Dispatch Optimization

7. Command Alkon Optimization Teams
Integra Team -Tim Muenstermann -Sue Conckus -Rest Of the Integra Team
MGT-001 COMMANDoptimize: Dispatch Optimization

8. Ready Mix Optimization
Optimization -Calculating the independent costs of every viable dispatch decision so to generate the best value for a given set of constraints Function Value - Lowest combined Delivery and Material cost plan per yard of concrete that meets your conditions Independent Variables – 88% - Raw materials Costs - Driver Cost - Truck Cost (mile, minute) - Plant Cost (fixed, minute) Conditions - Order Requirements and Location - Plant Locations and Capacities - Raw Material Locations - Truck/Drivers Capacity, Availability, Configuration, Call in scheme
MGT-001 COMMANDoptimize: Dispatch Optimization

9. COMMANDoptimize
Realtime Optimization: Optimizing your current & future delivery plan every minute of the day. (changing Rubik’s Cube)
Generates a consistent plan in alignment with your company goals
MGT-001 COMMANDoptimize: Dispatch Optimization

10. Concrete Paradigms Order/Project belongs to a plant $
Loading trucks in the order they arrive at the yard. $
If we are constantly late on the first round, call the driver’s in earlier $$
Trucks idle in the yard need to be loaded now! $
Holding trucks in the yard for balance loads $$
Push our customers to get trucks back earlier $
Dispatch delivery model is static. $
Past performances should not affect future orders $
Same focus on well/problem serviced orders/plants/drivers $
We need to call a new truck for all early loads $
MGT-001 COMMANDoptimize: Dispatch Optimization

11. Why Are They Difficult To Shift?
Concrete Paradigms
Why Are They Difficult To Shift?
Time
Complexity
Toolset
MGT-001 COMMANDoptimize: Dispatch Optimization

12. The Problem IS Significant
Consider only Round Trip Time:
Using Truck/Driver Costs at $60 per hour
For a fleet of 60 trucks, each average minute of “wasted” time during a load is really 60 minutes because it’s not happening to 1 truck, but 60. Each minute of “wasted” time therefore costs $60.00.
If each truck averages 3.5 loads per day
and we save (or waste):
1 min/load = $ 210 per day * 250 days = $ 52,500 per year.
2 min/load = $ 420 per day * 250 days = $105,000 per year.
4 min/load = $ 840 per day * 250 days = $210,000 per year.
6 min/load = $1260 per day * 250 days = $315,000 per year.
The average on-job waiting time in North America is 26 minutes per load…… There is still some room for improvement
MGT-001 COMMANDoptimize: Dispatch Optimization

13. Areas For Increased Profits
Driver Call in
Jobsite Wait Time
Driver End Of Day
Lower Cost Raw Materials
Driver Plant Queuing
Leveraging Plant Network
Coherent Accurate Plan
Crisis Management
Lower dispatch stress
Streamline Processes
Focus on the exceptions
MGT-001 COMMANDoptimize: Dispatch Optimization

14. COMMANDoptimize is a Game Changer!
MGT-001 COMMANDoptimize: Dispatch Optimization

15. What software is needed?
Map Order Entry
Truck Tracking – Driver Login
Functioning Map Pages with travel times to and from each plant
COMMANDconcrete
COMMANDoptimize
MGT-001 COMMANDoptimize: Dispatch Optimization

16. What hardware is needed?
Status system
GPS with autostatusing (preferred)
High percentage of accurate and timely statuses
Dedicated Optimization server (Virtual Server is fine)
MGT-001 COMMANDoptimize: Dispatch Optimization

17. How does COMMANDoptimize work?
Optimization
Plant capacity
Route plan
Truck capacity
Labor constraints
Costs
Service Penalties
Priority
Updated Plan
Capacity Plan
Real Time Schedule
Truck Req’ts
Schedule Req’ts
Order Req’ts
DRCI
COMMANDseries
Changes
Quantity
Time
Rate
Status
Breakdowns
Delays
Etc.
The system will take the existing information that we capture in Cmd and pass it to the optimizer software
Optimizer software will have various additional configuration tables and rules which will be added before the data is “optimized”.
Optimizer will recalculate and send back to CommandSeries a new schedule in both real time and for future planning.
i.e. Which order, which plant, which truck at what time.
Dispatcher can accept the optimized recommendation or override it.
The process will be automatically repeated in real time for any change that could affect a schedule. Status changes, order quantity changes, breakdowns, slow downs, etc.
Ticketing
MGT-001 COMMANDoptimize: Dispatch Optimization

18. COMMANDoptimize considers
Haul cost by time and distance
Dead head costs
Plant loading speeds
Loading speed by mix
Plant opening times
Driver seniority
Union rules
Driver call in rules
Time of day
Trucks Alternate Cap.
Age Of Concrete
Cost of being late
Cost of not recycling trucks to same job
Truck attributes
Mix cost
Job priority
Job start time ranges
Linked orders
Need to load early
Trucks on tasks
Plant Opening Time
MGT-001 COMMANDoptimize: Dispatch Optimization

19. COMMANDoptimize – An Expert System
Planning Scenarios
Future Day (Capacity Plan)
Driver Call In Rules
Current Day (Real Time)
Order Scenarios
Fixed Delivery Rate Orders
Adjustable Delivery Rate Orders
Multiple Delivery Rate Orders
Single Product Orders
Multi Product Orders
Linked Orders (Finish – Start)
Hold Orders (Unconfirmed)
Truck Size Constraints
Load Size Constraints
Unknown Quantity Orders
Suspicious Rate Orders
Load by Load Adjusted Orders
Plant Restricted Orders
Range Committed Time Orders
Delivery Scenarios (Job Site)
Pour Rate Slower than Ordered
Pour Rate Faster than Ordered
Pour Rate Variable
Job Site Holds
Rejected Loads
Job Site Not Ready
Travel Time Variable (Traffic)
Truck BreakDowns
Plant BreakDowns
Status Changes
MGT-001 COMMANDoptimize: Dispatch Optimization

20. Differences in Scheduling
Scheduling Scheduling a virtual truck from the scheduled plant to an order at a given time with a default load size Optimized Scheduling Scheduling the best “real” truck to the right order from the most economical available plant at the most appropriate time with the proper quantity so that costs are minimized and order requirements are satisfied.
MGT-001 COMMANDoptimize: Dispatch Optimization

21. How does order entry change?
Most of the fields are the same
The look and feel is similar
MGT-001 COMMANDoptimize: Dispatch Optimization

22. How does order entry change?
MGT-001 COMMANDoptimize: Dispatch Optimization

23. How does order entry change?
MGT-001 COMMANDoptimize: Dispatch Optimization

24. How does order entry change?
MGT-001 COMMANDoptimize: Dispatch Optimization

25. How does order entry change?
MGT-001 COMMANDoptimize: Dispatch Optimization

26. How does order entry change?
MGT-001 COMMANDoptimize: Dispatch Optimization

27. How does order entry change?
MGT-001 COMMANDoptimize: Dispatch Optimization

28. How does order entry change?
MGT-001 COMMANDoptimize: Dispatch Optimization

29. How does order entry change?
MGT-001 COMMANDoptimize: Dispatch Optimization

30. How does order entry change?
MGT-001 COMMANDoptimize: Dispatch Optimization

31. How does order entry change?
MGT-001 COMMANDoptimize: Dispatch Optimization

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33. If the plant is expected to be down for a couple of hours enter the time
MGT-001 COMMANDoptimize: Dispatch Optimization

34. Use this report to post or audio record call in times.
Driver Call in Report
Use this report to post or audio record call in times.
Better yet, use ScheduleCom.
MGT-001 COMMANDoptimize: Dispatch Optimization

35. How does Tracking change?
A counter shows the number of minutes and seconds since the last optimized update, in this case 00:32 seconds.
Optimization usually occurs within 1 minute
MGT-001 COMMANDoptimize: Dispatch Optimization

36. How does Tracking change?
Ord – Ordered rate in quantity/hr
Esr – Effective Service Rate – rate of loaded trucks
Unl – Actual unload rate in quantity/hr
Opt – Optimized rate for remaining, unticketed loads
MGT-001 COMMANDoptimize: Dispatch Optimization

37. How does Tracking change?
MGT-001 COMMANDoptimize: Dispatch Optimization

38. How does Tracking change?
Optimization shows the actual status times from each truck.
MGT-001 COMMANDoptimize: Dispatch Optimization

39. If returning to an alternate plant is required in the reschedule the truck is displayed in blue
MGT-001 COMMANDoptimize: Dispatch Optimization

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41. A text message can be sent to the truck to direct it to the other plant
MGT-001 COMMANDoptimize: Dispatch Optimization

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49. Sometimes one will wonder why a truck is suggested for a certain order.
MGT-001 COMMANDoptimize: Dispatch Optimization

50. Right click on the truck and select “Show Plan”
MGT-001 COMMANDoptimize: Dispatch Optimization

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55. Implementation Configure system
Redefine Dispatch roles and Company processes
Train Order Takers, Dispatchers, Schedulers
Verify solution – Monitoring suggestions
Measure
OptimizeDispatch
MGT-001 COMMANDoptimize: Dispatch Optimization

56. Changed Responsibilities
Impact
Order Taking
Planning
Shipping
Managing config. of capacities, costs N Y
Additional order requirements
Diligent review of future orders
Managing availability of resources
Tighter management of driver call in & requests
Assignment of order priorities when needed
Tighter management of wash out
Tighter management of driver tasks
Team focus on performance metrics
MGT-001 COMMANDoptimize: Dispatch Optimization

57. COMMANDtrack Dashboard
MGT-001 COMMANDoptimize: Dispatch Optimization

58. 2010/11 Optimization Enhancements
Rental trucks
Schedule Drivers Lunch breaks
Age Of Concrete
Scalability
Locking In Optimizer Suggestions
Locking In First Round Deadheads
Union Rules
Round Trip Trucking
Driver Call In based on hours worked
Foreign Trucks…..
MGT-001 COMMANDoptimize: Dispatch Optimization

59. Driver Hours
MGT-001 COMMANDoptimize: Dispatch Optimization

60. Driver Hours
MGT-001 COMMANDoptimize: Dispatch Optimization

61. Resource Attributes
MGT-001 COMMANDoptimize: Dispatch Optimization

62. Resource Attributes
MGT-001 COMMANDoptimize: Dispatch Optimization

63. Resource Attributes
MGT-001 COMMANDoptimize: Dispatch Optimization

64. Enhanced Driver Call In
MGT-001 COMMANDoptimize: Dispatch Optimization

65. Please Complete Your Evaluation
Be sure to circle the session you are evaluating on the back of your card
MANAGEMENT (Track Name)
MGT-001 (session code)
Optimization (session title)
Thank You!
All breakout session materials can be accessed at:  
MGT-001 COMMANDoptimize: Dispatch Optimization