Effect of Utilisation on TM Planning

[S_Arora]

Hello,

Can anyone explain how utilisation effect planning in TM.

If I have two resources, LTL Truck with min utilsation Target of 70% (capacity 5000 kg) and FTL truck with min target util of 100 %. (capacity 10000 kg)

If there are two FU, A with 3500KG and B with 4000 KG.

1)System will select which truck first -LTL or FTL ?

2) if system selects LTL first, then FU A will be planned in it ( 70% of 5000 kg =3500). What to do with balance 1500 kg (5000-3500 kg ) ?

3)Under what conditions FU is broken ?

rgds

sachin

[GRABLERE]

Hi Sachin,

I assume you are referring to optimizer(VSR) planning when talking about minimum utilizations and you are using minimum Utilizations as a hard-constrain?(System does not allow to go under treshhold).

In that case already the set-up of having a minium treshhold of 100% for FTL seems a bit confusing.

But let me try to answer your questions the way I understand your scenario and let me start first with point 3:

3) The optimizer will never break and I assume with that you mean split freight units. For the optimizer the freight unit is the smallest atomic unit that has to travel e2e and will therfore not be split off to reach any of your utilization goals.

1) There is no first/last selection. The optimizer always goes against planing cost and tries to come up with the cheapeast result. Therefore picking FTL/LTL MTR dependant on the planning cost settings(fix cost, variable cost etc.) plus capcacity

2) As you cannot fill the FTL truck up to your minimum treshhold with your demands FTL, will actually never be an option in your scenario.

So know there are 2 scenarios what the system could do depending if you are using multi resource(what I expect) so you can plan as many LTL tours as you want or you are using a single resource so you only have 1 LTL truck for given planning run.

For case 1, the system would simply build 2 LTL tours for a and b seperate, as both exceed the minium utilization for LTL, but combined exceed the capacity but do not reach the 100%minimum utilization of FTL

For case 2, the system would only be able to transport either A or B and determine the cheapest option given your setup of planning cost for the executed tour + the penalty costs for not delivering either A or B.

Regards,

Emanuel